CO-OPERATION OF WORKERS

Wairarapa Times-Age, 6 April 1939, Page 9

CO-OPERATION OF WORKERS

DESIRED BY MR SAVAGE. GOVERNMENTS DIFFICULTIES BEGINNING. (By Telegraph—Press Association.) WELLINGTON, This Day. The Prime Minister, Mr Savage, and the Minister of Finance, Mr Nash, addressed the New Zealand Federation of Labour at its annual conference in Wellington yesterday. The result of the general election, said Mr Savage, had increased rather than diminished the responsibilities .of the Government. Immediately after the election it had been necessary to tackle one'of the most thorny problems —the insulation of New Zealand against shocks from overseas. Unless it could succeed in that task, the Government could not substantially lift the standard of living above the standards of other countries. The Government’s difficulties today were beginning and not ending, said Mr Savage, referring to the fact that in the two months of September and October, 1938, Reserve Bank credits in London declined by £7,000,000. New Zealand industry would have to fill the gap created by import and exchange control and secondary industries could not be developed unless they were provided with raw materials, « considerable amount of which had to be obtained from overseas.

Mr Savage declared that the, Government would not fail, and asked for the full co-operation of the workers, stating that the standard of life did not come out of banks but out of the fields and the workshops. Mr Nash outlined in detail the financial position of the country. He said that in the last three years the,volume of wages had increased by £33,000,000, and the volume of other income by £30,000,000. In the same period retail prices had increased only 13.3 per cent.

If the Dominion produced more and was able to attain an element of stability in the next 12 months, by 1941 progress undreamt of in New Zealand or any other country would have been made.

Messrs Savage and Nash were thanked for their addresses and asked to convey to the Government an assurance of the loyal and enthusiastic support of the federation.