SALARY “CUTS.”

Taranaki Daily News, 15 September 1922, Page 2

SALARY “CUTS.”

ATTITUDE OF P. AND T. ASSOCIATION, GOVERNMENT CRITICISEL. The question of the withdrawal of certain privileges and the attitude of the P. and T. Association towards this and the salary cuts, in the Government service were freely commented on at the annual re-union of the New Plymouth branch of the P. and T. Association at Kawaroa Park Bungalow on Wednesday night. In proposing the toast of the association, the chairman of the local branch, Mr. J. Gillick, said he was asking those present to drink to the continued prosperity of their organisation, an organisation to which they owed a great deal. From its inception it had played a very important part in the progress of the department and in bringing about reform in the classification and conditions of service. He appealed to the officers and the. rank and file to give the association their support; it was the watch dog of the service, and would continue to watch over their interests in co-op-eration with the heads of the department. The department had long since recognised its assistance, and had given the association the official recognition which it rightly deserved. They had hardly any privilege which was not the direct outcome of negotiation by the association. It had passed through vicissitudes and difficulties which had almost shaken it to its foundations.

During the past year, Mr. Gillick continued, the association had met difficulties never before dreamt of in their history. They had been seriously threatened, and it was due to the courage and determination of the executive officers that the association had come proudly through the conflict of the last twelve months. Their official recognition had almost been taken away, but the executive had maintained it. Speaking of the second salary cut, Mr. Gillick said that had it not been for the attitude of the association the cut would have been on the same basis as provided for in the Public Service Salaries Bill. Unity was an absolute necessity, and he hoped to find all branches of the public service standing together in all matters affecting the service. OVERTIME AND SALARY. In responding to the toast, Mr. H. 11. Brown, assistant general secretary of the association, said that the' chairman had told them they had been suffering during the past twelve months, but he would go further, and say that during that period the service had been subjected to the most demoralising influence to which it could be subjected. They had suffered very materially, and the chairman had put his flliger on the point when lie said, that a deliberate attempt had been made to cripple the association and take away the official recognition which had been given by a previous Postmaster-General. If the Government had had its way their recognition would have been lost. One point Mr. Brown said he would like to touch on was the question of overtime. Overtime payment had been taken away and time off substituted. It was generally recognised throughout the whole of this country and every portion of the Empire, that if a man was required to work overtime the employers of labor should give a. certain amount of money as recompense for it. but overtime pay had been taken away and time off given in lieu. It. had been that if overtime pay was taken away a certain number of officers, in the service would be retained, but it han been taken and a number were retrenched. Other things had happened; a certain amount of annual leave had been deducted and a number of allowances taken away. They had all been taken, but owing to the attitude of the association the Government had restored, half of them.

The greatest thing which had happened. Mr. Brown went on, was in the reduction of salary or bonuses. They would remember that, the increase which they received in 1920 was either £5O. or £2O. according to grade, and the reason they had received it was because at that time the cost of living had increased G 3 points over 1914. Those were the Government Statistician’s figures. but actually the £5O or £2O represented only a 56 point increase on the cost of living. When this was given the executive of the association was quite cognisant of the fact that the increase was only 56 points, but. they decided to keep the other 7 points in hand because thev thought that the Government would not be justified in taking it away if the cost of living fluctuated. DISCUSSION WITH PRIME MINISTER. About . that time the executive had occasion to meet Mr. Massey, who was also Minister of Finance. At that meeting the question of salaries or bonuses was not discussed, but Mr. Massey asked, in connection with this matter, that if the cost of living came down 10 points for a six-monthly period, would the members of the association be prepared to accept a corresponding decrease in salary ? The executive said they would on conditions, and when asked to name them, said they would agree on condition that if the cost of living went up 10 points the Government would give a corresponding increase. They were all of opinion that an arrangement had been come to that there should be an adjustment of the salaries or bonus over a six-monthly period on the figures produced by the Government Statistician. The. Statistician produced figures which established the fact that there had been in increase of over 10 points, and as soon as the executive recognised the position members of the service were in. they made an effort to get into touch with Mr. Massey. It took them about four months to get an interview, in spite of numerous urgent telegrams, letters, and members of Parliament who made public protest.

The executive said to Mr. Massey that the Government Statistician had produced figures showing an increase of over 10 points in the cost of living, but Mr. Massey turned round and said “I repudiate the Government Statistician’s figures, and what is- more I find it almost impossible to pay the wages of the public servants of this country because I have not got the finance.”

“Now when the Prime Minister of this country repudiated the Government Statistician’s figures,” continued Mr. Brown, “and c aid that) he could not pay the wages, the executive Had no alternative but to walk out. notwithstanding the arrangement which had been entered into between the Government and the association.

LAND AND INCOME TAX REBATES. "In the latter part of last year a certain deputation waited on the Prime Minister which was supposed to represent the primary producers, and said that unless the country came to their assistance they would be in a state of bankruptcy. They also suggested that the 'Government should cut down public expenditure and the rates of pay of the public the features of tlie last, report tlie Farmers’ Union conference in Wellington. As a result of this meeting, instructions went out to all the departments that certain economies had to be made, and at the same time a Bill was put through the House giving a rebate in the land tax and income tax which meant about £500,000. “I say this, that had not the Government of this country been forced into the position of having to these rebates there would not have been any necessity to make a tax on the public servants. Last year the Bank of New Zealand experienced one of the most prosperous years in its existence, and it has been stated that it has had handed back to it a rebate of something like £40,000. This had happened to the other banks and to the newspapers, one newspaper company getting back about £l2OO, while large financiers had received £5OO and £6OO rebate in their land tax. I say on behalf of the members of the Post and Telegraph service that there is not one man or woman in the service who would not, if occasion arose, help any man or woman struggling in the country, and who needed help, but the time has not yet come to tax the public servants-to-help the banks or large squatters. These figures have never been disputed, and it has not been disputed that the Post and Telegraph and other services have had their salaries cut down to meet these rebates.

ARBITRATION COURT FIGURES. “In the Public Employees Amendment Act provision was made to cut down salaries in January, April and July of this year, the whole of the cuts to be made during the first six months. The association, in combination with others, had had the period extended to twelve months. There is one clause in that Act I would like to draw attention to, because it has a direct bearing on the cut made in July. This provision stated roughly that any cuts which should be made in July or January of 1923 should be made on figures which were to be produced by the Judge of the Arbitration Court. Acting on these instructions, the Judge brought down figures in May of this year, and he said that the cost of living was 67 points above 1914. What the association is 1 doing at the present time is that, in combination with the other branches of the public service, we are taking expert legal opinion, and if that opinion should be the same as we think it should be. we intend making an effort to get the whole matter cleared up in the Supreme Court.” Mr. Brown, who was listened to with close attention, concluded his remarks by saying that he did not believe there had been any time in the history of the organisation when it had been in such a position of stress regarding, the attacks being made on it. He appealed for co-operation, and said he had been told by someone outside the association that their organisation stood as one of the strongest in the Labor movement to-day. Their duty was to make their organisation what it should be, and then they would be doing something that would redound to their credit when they left the service.