AUSTRALIAN CONDITIONS.

Taranaki Daily News, 1 April 1922, Page 5

AUSTRALIAN CONDITIONS.

AS A MANUFACTURING COUNTRY. EULOGISED BY HIGH COMMISSIONER. CONDEMNED BY BRITISH FIRM. By Telegraph.—Press Assn.—Copyright. Received March 31, 19.20 p.m. London, March 30. The Imperial Industries Club gave a dinner to Sir Joseph Cook, Australian High Commissoner, who, in the course of his speech, dwelt on the progress made by Australia, making special reference to the opportunities for establishing factories there, Australia being destined to become one of the greatest manufacturing countries in the world. The discussion on the address developed somewhat tense differences of opinion, verging on bitterness, regarding the attractiveness of Australia for branch factories of British firms. Mr. George Pearson, representing Burroughs’ Welcome Company, said he regretted that his firm’s experience had hardly justified Sir Joseph Cook’s optimism. Theirs was the first British firm to establish a branch in Australia, as far back as 1902, at Waterloo, a suburb of Sydney. What was the result? The Wages Board, under Government auspices, had fixed scandalous rates of wages for unskilled labor, making profitable development practically impossible. After twenty years’ expert* ence he was convinced that Australian labor conditions must be changed before British or any other capital would be responsive. “We struggled to make our enterprise successful, and would have been able to do so had we not been faced with wretchedly impossible conditions. For instance, the Trades Union insisted on the drivers of stationary engines being paid the same rates as locomotive drivers, which was manifestly absurd.”

Sir Joseph Cook, intervening, exclaimed: “’That is not so, and has never’ been so.” Mr. Pearson retorted: “All I know is that we had to submit to this perfectly idiotic imposition.” Sir Joseph Cook replied: “I say you are wrong, absolutely wrong.”

Mr. Pearson: “I still maintain we are compelled to pay skilled men’s wages to unskilled workmen. Even now, after war conditions have passed, I am compelled to pay war rates of wages. I am still protesting against skilled rates for absolutely unskilled labor. If the Commonwealth expects British capital to be invested in Australia, the thing the Commonwealth must do is to direct their attention to labor’s onerous exactions. We have been long established, and might reasonably expect now to be able to *pay our way. but even when we made provision to meet labor conditions we found ourselves faced with differential Federal and State taxation.

• Sir Joseph Cook retorted that the combined Federal and State taxation >vas only £l2 per head, as against £24 in Britain.—Aus.-N.Z. Cable Assn.