The Daily News. FRIDAY. JULY 28, 1922. INDUSTRIAL INSURANCE.

Taranaki Daily News, 28 July 1922, Page 4

The Daily News. FRIDAY. JULY 28, 1922. INDUSTRIAL INSURANCE.

The problem of providing a satisfactory scheme, for coping with unemployment, sickness and poverty in old age, is one that has considerably exercised the minds of statesmen, industrialists and others interested in the subject. The enormous amount paid by the British Government by way of doles to the unemployed has evidently convinced the authorities that some other means must be adopted for meeting industrial emergencies, and incidentally eliminating strikes. The figures recently quoted by Mr. C. A. McCurdy (Parliamentary Secretary to the Treasury) relative to the results of industrial unrest convey a moral that cannot be ignored. That one hundred and seventy million days should have been lost, since the Armistice, through strikes and lock-outs, forms a strong indictment against the present relations between capital and labor, inasmuch as it denotes wilful and wanton waste of producing power at a time when greater effort was imperative. The fact that the financial loss to Britain resulting from these upheavals is estimated at two hundred million sterling emphasises the evil, the effects of which are far more felt m times of stringency and slackness of trade than in periods of industrial activity and prosperity. There is no evading the penalties which result from I he infraction of economic laws, and it- is impossible to separate cause and effect. Consequently it appears perfectly plain that any scheme which is devised to benefit the workers when suffering from unemployment, sickness or old age, must, also deal with the eo-related question pt strikes, lock-outs and other similar operations that, are inimical to industrial peace. Mr. McCurdy only reiterated a well-recognised truism when he stated that doles were an interference with industry and could not solve the problem. Doles are simply a form of charity that cannot fail to create greater evils than they relieve. The only scheme that should appeal to any self-respecting worker is insurance, to which both capital and labor contribute, and the State assists with a just subsidy. Mr. McCurdy considers he has hit upon a scheme under which, with the aid of co-operation between capita] and labor, wealth could be saved in periods oE industrial peace and prosperity, which would give the workers ample security in times of depression. The idea underlying this proposal is perfectly sound, but it is obvious that’no scheme which does not eliminate direct action on the part of employers and employed can be relied upon to accomplish the end in view. In illustrating how the scheme would work out in the boot trade, Mr. McCurdy’s figures look convincing, but they do not allow for industrial upheavals. Without doubt the plan is simplicity itself —a contribution of two shillings a week by male workers, fifteen pence by women workers, a levy of threepence a pair on the output of boots, and a

continuance of the State’s subsidy—a sum of £2,035,000 woujd be provided annually, from which there could be paid sickness and old age pensions to the whole of the employees, at the rate of at least forty shillings weekly for men and twenty-five shillings for women, the respective unemployment benefits being thirty-five shillings and twenty shillings. If complete harmony and co-operation existed between employers and workers the scheme would certainly be a success—and then only. Industrial upheavals would destroy any such plan, therefore no solution of the problem is possible that fails to include adequate provision against strikes and lockouts. it would seem advisable, therefore, there must be created industrial councils in each trade, or trade groups, which would not only administer the insurance fund, lut would be clothed with full powers to settle all disputes. There would be no difficulty about the constitution of these Councils so as to ensure impartiality, justice and equity. Unionism clmgs ( desperately to the right to strike, | but in the light of the figures ; quoted as Io the costliness of this ! barbarous weapon, it would seem i the time has arrived to review the | whole industrial question in order I to place the future of the work- '■ ers on an assured basis. The exer- ; eise of ordinary common sense j should prqve to the workers that ■ their best interests depends on inj dustrial peace, and that by coj operation with the employers and t the State their future, can be rob- ; bed of all terrors. Surely the i shadow of power as expressed in i direct action is as nothing com- ! pared with the substance of an assured future, which they can have by adopting the only method whereby that future can be ren- . dered worthy of their life of toil.