NEED FOR STABILITY

Waikato Times, Volume 124, Issue 20739, 24 February 1939, Page 6

NEED FOR STABILITY

Some of the difficulties faced by the building trade were emphasised at the conference of the New Zealand Federated Builders and Contractors* Association at Hamilton. The conviction that emerges from the discussions is that the greatest need of the industry is stabilisation of the conditions of work, wages and costs that affect builders. In constantly changing economic conditions tenderers for building contracts have many uncertainties to contend with. A contract may be accepted at a given price, and before the work has progressed far the whole basis on which the price was calculated might be changed.

Realising the difficulty in stabilising costs in the present circumstances, the conference decided to prepare a clause for insertion in building contracts protecting the contractor against fluctuations in award wages. This, however, does not overcome the difficulty of unexpected increases in the cost of materials, which have been very frequent of late. That which complicates the building trade also in some degree affects every other industry in the country. Constantly changing wages and costs are unsettling to employers and employees and damaging to confidence in enterprise.

While the Government is developing its policy, which has brought about drastic changes in economic conditions in every sphere of activity, it has been almost impossible to reach a stable basis. Now, however, the major portion of the policy is in operation, and it should be possible to work towards settled standards. It is unfortunately true that step by step the cost of living is still advancing, and each step causes a readjustment somewhere else. It remains, nevertheless, a vital necessity that the Government shonld recognise the need for stability and work vigorously toward that end.