H.—llA

58

(v) Southern South Island 473. With a population of 225,800, this zone ranks fourth in importance. It has similar characteristics to the Canterbury zone, and this fact should be borne in mind when studying it along the arbitrary zoning approach that has been adopted. 474. It is characteristic of the Southern South Island zone that most of the secondary industries in existence have been long established, but expansion has been slow. Invercargill alone—reflecting the great development of dairy-farming in Southland—is the only centre which has increased much in size, albeit this expansion has been by virtue of the city's entrepot trade rather than its secondary industry. 475. The Southern South Island zone is similarly situated to the Northern South Island zone, in that its industrial future depends largely upon the expansion of the population. 476. The main centres in this zone are now discussed briefly : — Oamaru.—No serious shortage of labour is at present experienced in this centre, although shops and offices have had staffs reduced in order to staff woollen-mills. Between-season unemployment has always been a problem in the Oamaru district, and secondary industries have not developed sufficiently to affect this aspect materially. Dunedin. —-In this centre the wartime demand for labour has been acute, and in particular the shortage of female labour has been more evident than in any other centre of the South Island. The future growth of woollen-mills, clothing-factories, foundries, and the confectionery industry will importantly affect the level of employment in this centre in post-war years. Probably because of its basic engineering activity, Dunedin is the centre which has perhaps the greatest stake in the general development of the South Island. Invercargill.—War conditions have made no appreciable difference to the employment sistuation in Southland. Most secondary industries have been established for some time. The war has not resulted in any new developments except for the manufacture of linen flax, the permanency of which is doubtful. Freezing-works and dairy factories employ a large number of seasonal workers, as do the milk-products-manufacturing industry, and the paper-mills. Coal-mines and sawmills are also in evidence in this district, and at the Bluff and Stewart Island fishing and oyster canning are noteworthy. It is unlikely that any dramatic expansion in secondary industry will be observed at any rate for some time to come, and greatest progress can be expected in farming. (vi) West Coast of the South Island 477. With a population of approximately 40,900, this zone is easily the smallest. It merits especial consideration on account of its geographical isolation and the long-term threat of economic decline which it faces. Farming in this zone is relatively unimportant and less efficient by comparison with the dairy-farming technique of the North Island and Southland. The main fields of economic activity continue to be coal-mining and timber-milling, and this must be expected to continue for some years. Rigorous climatic conditions and most restricted employment opportunities for both males and females in urban employment have led to a steady exodus from the coast to more favourable areas. For some years after the war such industries as coal-mining and timber-milling can be expected to maintain their present high level of activity (there has been considerable expansion during the war years), but ultimately the exhaustion of coal stocks as hydro-electric-power generation becomes more important will pose the question of whether to establish further industries on the coast —for example, woollen and clothing manufacture—or whether to stimulate the out-flow of man-power from the coast to centres of industry elsewhere. The wholesale development of exotic and indigenous afforestation projects on the West Coast appears to afford considerable scope for the engagement of male labour. 478. The two towns affected arc now discussed :— Westport.—This centre depends almost entirely on coal and timber, with some' dairy-farming activity. There is little prospect of industrial expansion, and the employment avenues for women in particular are most limited. The present labour position is satisfactory, with a keen demand for fit men in sawmills and coal-mining, &c. Greymouth.—Much the same picture as is seen in Westport is presented here. Timber and coal and gold mining all have a limited life, while the climate and location do not favour the development of primary industries. Labour of almost all kinds is at present fairly scarce, and likely to remain so for some time. As in the case of Westport, employment opportunities for women have been most limited, although a small clothing-factory which has opened during the war will correct this position to an extent. Nevertheless, the normal outflow of female labour from the district is expected to continue. SECTION XVII.- UNEMPLOYMENT AND EMPLOYMENT-PROMOTION MEASURES (i) The Incidence and Extent of Unemployment 479. New Zealand has attained a level of employment not previously reached. Although this state of affairs is attributed to heavy internal war expenditure and to the withdrawal of men and women from industry to serve with the Forccs, it is for the most part reflected in a general heightening of industrial activity. It is difficult to guage the extent of unemployment, if any, but if regard is had to the number and types of workers at present engaged on various employment-promotion schemes the conclusion that such workers as cannot now find employment in industry are marginal workers is inevitable. In the next Subsection the strengths of the various employment-promotion measures still engaging the attention of the Department are dealt with, and the entire Scheme 13 strength can be regarded as being made up of marginal workers.