House of Representatives
24 October 1935

14th Parliament · 1st Session

  1. House of Representatives
  2. 14th Parliament
  3. 1935

Mr. Speaker (Hon. G. J. Bell) took the chair at 10.30 a.m., and read prayers.

page 1062

SPECIAL ADJOURNMENT

Motion (by Mr. Lyons) agreed to -

That the House, at its rising, adjourn until Wednesday next at 3 p.m.

page 1062

PAPERS

The following papers -were presented : -

Dairy Produce Export Control Act - Annual Reports of the Dairy Produce Control Board, together with statements by the Minister regarding the operation of the Act-

Ninth, for year 1933-34.

Tenth, for year 1934-35.

page 1062

QUESTION

CLAIM FOR EXPLORATION WORK

Mr JENNINGS:
WATSON, NEW SOUTH WALES

– Has the attention of the Prime Minister been directed to the cabled report from Warsaw that the Polish Consul at Sydney would hand to the Commonwealth a demand by the heirs of the late Count Strzelecki, the Polish explorer who named Mount Kosciusko, for £630,000,000,’ which it is claimed is the value of mineral rights conferred upon . the Count during his exploration work in Australia last century? If so, can the right honorable : gentleman state whether such a demand has yet been received, and if the Government is aware of any grounds justifying it?

Mr LYONS:
Prime Minister · WILMOT, TASMANIA · UAP

– My attention has been drawn to the report, but I have no other information in regard to the matter.

Mr E J HARRISON:
WENTWORTH, NEW SOUTH WALES · UAP; LP from 1944

– Is it a fact that Mr. T. Strzelecki, a great-grandson of the Polish explorer, Count Strzelecki, interviewed the right honorable gentleman during his recent visit to the United States of America, seeking a fitting celebration of the centenary of the Count’s arrival in Australia. If so, is the matter being considered by the Government?

Mr LYONS:

– I was interviewed by so many persons while abroad that I have probably forgotten a number of them. Although I have not the slightest recollection of the interview referred to by the honorable member, it may have taken place.

page 1062

QUESTION

DAIRYING INDUSTRY

Mr FRANCIS:
MORETON, QUEENSLAND

– Can the Minister for Commerce advise when he anticipates that he will introduce the proposed amending legislation affecting the dairying industry? The right honorable gentleman having made his second-reading speech, will he allow the debate to be adjourned for a reasonable length of time, in view of the controversial- nature of the contents of the measure?

Dr EARLE PAGE:
Minister for Commerce · COWPER, NEW SOUTH WALES · CP

– The Government is at present considering the contents of this measure. The honorable member’s suggestion will receive attention.

page 1062

QUESTION

COUNCIL OF THE LEAGUE OF NATIONS

Presidency of Mr. Bruce

Sir Donald CAMERON:
LILLEY, QUEENSLAND · UAP

– Will the Prime Minister state whether the report is correct that Mr. Bruce, the High Commissioner for Australia in London, is President-elect of the Council of the League of Nations and will assume the responsibilities of that office next January? If it is, will the right honorable gentleman indicate the term during which Mr. Bruce will occupy that office?

Mr LYONS:
UAP

– Under article 4 of the Rules of Procedure of the Council of the League of Nations, which provides for the selection of President in alphabetical order from among the nations represented, Mr. Bruce will be President of the Council for one session. A session generally lasts for a week or so. The Council holds from four to six sessions during a year.

page 1063

QUESTION

ITALO-ABYSSINIAN DISPUTE

Mr BEASLEY:
WEST SYDNEY, NEW SOUTH WALES

– ‘Will the Prime Minister state whether Australia can observe its obligations under the Covenant of the League of Nations and at the same time differentiate between the application of economic and financial, and military sanctions ? If not, how is it possible to reconcile the position with the statement of the British Foreign Secretary, Sir Samuel Hoare, that the sanctions which, it is believed, it is our solemn obligation to apply, are not military but economic?

Mr LYONS:
UAP

– The honorable member must realize that his question is of such a nature that it ought to be placed on the notice-paper, so that a full and considered reply may be made to it.

page 1063

QUESTION

NORTHERN TERRITORY

REPORTS by Mb. Blain - Lease of Large Area.

Mr BLAIN:
NORTHERN TERRITORY

– In view of their importance to Northern Territory development in connexion with cattle raising and fisheries, will the Minister for the Interior lay on the table of the House, for my benefit, and the benefit of other honorable members, the following technical reports written by me before I became a member of this House: - (1) Reports of areas on the East Alligator rivers, and the western half of Arnheim Land: (2) report of a developmental policy for the areas west of Anthony’s Lagoon, and extending to the mouth of the Roper River and Vanderlin Island ; (3) resumption report of the proposed consolidated resumptions from Banka Banka and Rockhampton Downs stations for a proposed territory stud bull holding?

Mr PATERSON:
Minister for the Interior · GIPPSLAND, VICTORIA · CP

– These reports were made by the honorable member as an officer of the Department of the Interior, for the information of that department. It is not customary to place such reports on the table of the House. If the honorable member so desires, however, I have no objection to his refreshing his memory as to their contents by a perusal of them at the department. Indeed, I would provide facilities for any other honorable member to do so.

Mr ROSEVEAR:
DALLEY, NEW SOUTH WALES

– Will the Minister for the Interior lay on the table of the House all the papers in connexion with the proposal that was made to the Government about two years ago for the leasing of the Northern Territory?

Mr PATERSON:

– I shall look into, the matter and see if the request of the honorable member can be properly complied with.

page 1063

QUESTION

LOAN COUNCIL

Mr CURTIN:
FREMANTLE, WESTERN AUSTRALIA

– Will the Prime Minister state when it was decided that thenext meeting of the Loan Council should be held at Melbourne, whether he intends to be present at that meeting, and. if so, whether he is to’ be assisted ‘by otherMinisters?

Mr LYONS:
UAP

– The date of the next meeting of the Loan Council was fixed some time ago after consultation with the States, whose views have to beobtained in this matter. Apparently, the majority of the States desired that it should take place in Melbourne rather than in Canberra. I shall not be present at it. The Chairman of the Loan Council, the Commonwealth Treasurer, will preside. As the Senate will probably not meet during that week owing to lack of business, it will be possible for one or twoother Ministers to attend without interfering with their legislative duties.

page 1063

QUESTION

GRANTS TO RIFLE CLUBS

Mr STACEY:
ADELAIDE, SOUTH AUSTRALIA

– Has the Minister for Defence; considered the representations that I made on Tuesday last for therestoration of the Commonwealth grant to rifle clubs in order to assist riflemen who will visit South Australia next year for the centenary rifle-shooting matches?

Mr ARCHDALE PARKHILL:
Minister for Defence · WARRINGAH, NEW SOUTH WALES · UAP

– An amount has been placed on the Estimates for the Commonwealth rifle shootingmatch that is to be held in South Australia during the course of the centenary celebrations in that State.

Mr NAIRN:
PERTH, WESTERN AUSTRALIA

– Is the Minister for Defence now in a position to give a reply to a deputation which waited upon him a fortnight ago asking that the vote for defence rifle clubs should be restored tO’ the normal amount?

Mr ARCHDALE PARKHILL:

– I have nothing to add to the information which I conveyed to the deputation on. that occasion.

page 1064

PARLIAMENT

Annual Sessions

Mr.R. GREEN. - Since the transfer of the Parliament to Canberra, successive governments have flouted the provisions of the Constitution with respect to the number of sessions held in each Parliament. As His Excellency the GovernorGeneral has delivered only one Speech since the last elections were held, and a change of government has since taken place, is it the intention of the Government to revert to the practice of having annual sessions? In other words, will the present session be brought to a close at the adjournment prior to Christmas?

Mr LYONS:
UAP

– I should lite to adopt the suggestion of the honorable member, but the volume of business which has to be transacted will make it impossible to terminate the present session before Christmas. There is also the further difficulty that the tariff schedules which have been tabled must be passed before the session can be brought to a close.

page 1064

QUESTION

ONION PLANTING

Mr GANDER:
REID, NEW SOUTH WALES

– Has the attention of the Minister for Commerce been drawn to the paragraph in yesterday’s Melbourne Herald which states that a Mr. George Ralph claims that he is the best onion planter in Victoria, being able to place 8,000 plants in the ground before breakfast? Will the right honorable gentleman make provision for the holding of a competition in Canberra between Mr. Ralph and the honorable member for Adelaide (Mr. Stacey) ?

Question not answered.

page 1064

QUESTION

ENGLAND-AUSTRALIA AIR MAIL SERVICE

Giant Seaplanes fob Imperial Airways Limited.

Mr HAWKER:
WAKEFIELD, SOUTH AUSTRALIA

– Has the Minister for Defence received official confirmation of the published report that Imperial Airways Limited has placed an order for a large number of giant seaplanes, which will enable it to tender by 1937 for the carriage of the air mail from England to Australia in seven days?

Mr ARCHDALE PARKHILL:
UAP

– I have no official information on this subject beyond the statements made by the delegation that visited Australia in February of this year. During’ the course of the conference that was then held, it was stated that flying-boats of the nature indicated by the honorable member were under construction.

Mr. O’HARA’S TRANS TASMAN FLIGHT.

Sir CHARLES MARR:
PARKES, NEW SOUTH WALES

– Yesterday I directed a question to the Minister for Defence in connexion with the flight of Mr. O’Hara to New Zealand and his proposal to make a return flight from that Dominion to Australia. The report, which appears in a section of the press, of the answer given by the Minister is slightly at variance with the honorable gentleman’s statement in this House. Can he clarify the position as to the intentions of the department concerning this flight?

Mr ARCHDALE PARKHILL:

– I have seen the reports referred to by the honorable member. The facts regarding the flight of Mr. W. M. O’Hara to New Zealand are briefly as follows : - The normal flying capacity of the Klemm “ Eagle “ machine which was used for ‘ this flight did not give sufficient range, and the owner therefore had to modify the aircraft! and fit additional fuel and oil tanks. Pull particulars were obtained of the estimated range without overloading, but as this was not considered sufficient to provide a safe margin, instructions were issued for the certificate of airworthiness to be withdrawn. Mr. O’Hara was informed that the certificate had been suspended. The commanding officer at Richmond was advised of the position, and the machine was locked up for the night, but was released at daylight, after Mr. O’Hara had given the assurance that he would not depart from Richmond on a trans-ocean flight. O’Hara’s action in subsequently making this flight to New Zealand was contrary to the expressed wishes and advice of the department, but, strictly speaking, it did not infringe any Commonwealth air navigation regulations, as the existing regulations do not lay down that a certificate of airworthiness is necessary for private aircraft. A certificate of airworthiness is, however, required for international flying by the regulations of the Inter- national Convention for Aerial Navigation, and the flight was, therefore, a breach of those regulations. In view of the circumstances the Civil Aviation Department has recommended that O’Hara’s pilot license be suspended. This has been given my approval.

page 1065

QUESTION

WHEAT CONFERENCE

Sir LITTLETON GROOM:
DARLING DOWNS, QUEENSLAND

– Recently the right honorable the Minister for Commerce promised to make available the report of the proceedings of the conference held in Canberra on the stabilization of the wheat industry. When will the report be obtainable?

Dr EARLE PAGE:
CP

– Proofs of their speeches have been forwarded to the respective Commonwealth and State Ministers for correction, and, as soon as they are returned, the report will be published and made available to the House.

page 1065

QUESTION

AEROPLANE CONSTRUCTION

Mr ARCHIE CAMERON:
BARKER, SOUTH AUSTRALIA · CP; LP from 1944; LCL from 1951; LP from 1954

– Has the Minister for Defence any knowledge of a statement published in a German newspaper in Sydney last month to the effect that a new company has been established in Australia for the construction of aircraft of the celebrated Sikorsky type?

Mr ARCHDALE PARKHILL:
UAP

– No, I have not heard of the formation or contemplated formation of such a company.

page 1065

QUESTION

SALES TAX

TAILORING Trade

Mr ROSEVEAR:

– Will the Prime Minister say how many telegrams were received by him from master tailors requesting the Government not to give any further exemption from sales tax to any section of the tailoring trade? Who sent the telegrams, and for whom did they claim to speak? Will the right honorable gentleman place the communications on the table of the House ? Did he take any precautions to satisfy himself as to the genuineness of the telegrams in order to determine whether or not these master tailors were emulating the exploits of the tailors of Tooley-street?

Mr SPEAKER:

– The honorable member should not make imputations when asking a question.

Mr LYONS:
UAP

– There is so much involved in the question that it had better be placed on the notice-paper. In any case, it is not an urgent question, and notice of it should have been given. I have no objection to laying on the table any telegrams that have been received from the source indicated, but as to the rest of the question, notice must be given.

Mr BRENNAN:
Minister without portfolio assisting the Minister for Commerce · BATMAN, VICTORIA · UAP

– I desire to address an urgent question to the Prime Minister. Last evening, during the discussion in committee on the Sales Tax Bill, the Treasurer intimated that the Prime Minister had received telegrams from certain vested interests in this country, by virtue of which he felt unable to concede-

Mr SPEAKER:

– The honorable member will be entitled to ask if certain telegrams can be produced, but he may not refer to a prior debate that has taken place on the matter.

Mr BRENNAN:

– May I not explain my question?

Mr SPEAKER:

– The honorable member must not introduce argument.

Mr BRENNAN:

– The matter is very important, and I have no desire to introduce debate. I wish, very shortly, to state the facts upon which my question is based. The Treasurer intimated that the Prime Minister had received certain telegrams which the Treasurer said vitally affected his policy in regard to the matter.

Mr SPEAKER:

– The honorable member can make it understood what telegrams he wishes to see without referring to the debate in the House.

Mr BRENNAN:

– The telegrams were from certain vested interests in Sydney respecting the tailoring trade. A request was made that the telegrams should be produced, but it was refused.

Mr SPEAKER:

– The honorable member is clearly referring to a debate which took place last night. As that debate has terminated and a decision has been reached on the matter, it cannot be further debated now.

Mr BRENNAN:

– But I want to ask whether the Prime Minister, before the measure goes to the other branch of the Legislature, will produce those telegrams ?

Mr LYONS:

– I have already replied to another question which, I take it, had reference to this matter, and asked that notice be given. I have also intimated -that I have no objection to tabling the telegrams, but I am afraid I must inform the honorable member that he has not made very clear to me which are the telegrams to which he refers.

Mr Brennan:

– I was not permitted to do that.

Mr LYONS:

– I shall make inquiries on that point for myself.

page 1066

QUESTION

MARKETING OF PRIMARY PRODUCTS

Privy Council Appeal Case

Mr BERNARD CORSER:
WIDE BAY, QUEENSLAND

– As the Privy Council appeal case of James v. the Commonwealth is a direct challenge to Commonwealth authority, and is of the greatest importance in regard to the dairying and dried fruit legislation and the future of the wheat, meat and other contemplated legislation, as well as the whole of the legislation affecting the relations between the Commonwealth and the States, in view of the grave . importance of the principles involved, and the anxiety occasioned, necessitating the strongest possible legal appearance on behalf of the Commonwealth Government and the industries concerned, will the Prime Minister consider the advisability of securing the personal appearance of the Commonwealth. AttorneyGeneral in this important issue?

Mr LYONS:
UAP

– As the question raised is one of great importance, it is already receiving serious consideration by the Government, but no decision has yet been reached in regard to it.

page 1066

QUESTION

STATE EXPENDITURE

Mr HOLLOWAY:
MELBOURNE, VICTORIA

– In view of the recent statement by the Treasure]1 that a large amount of the money granted by the Commonwealth to the States is still unexpended, will the Prime Minister consider ways and means of urging the States to spend the money more readily?

Mr CASEY:
Treasurer · CORIO, VICTORIA · UAP

– The question is entirely one for the State governments themselves, and I do not suppose that the Prime Minister would agree to bring any pressure to bear on the States in a purely domestic matter.

page 1066

QUESTION

BUFFALO FLY

Mr BLAIN:

– I have just received a telegram from the Northern Territory in regard to the buffalo fly. It states -

Queensland authorities again closed border north of Lake Nash owing buffalo fly restrictions. This closes direct outlet for herdstotalling 40,000. All sales held up. Can you do anything - -MACINTYRE

In view of the fact that the buffalo fly does not stay on cattle traversing south through the drier areas on the eastern side of the Barkly Tableland, will the Minister for the Interior get into touch with the Queensland authorities with a view to their withdrawal of this foolish regulation?

Mr Paterson:

– A communication is being sent to them in connexion with the matter.

page 1066

QUESTION

ADVANCES FOR PRIVATE ENTERPRISE

Mr JENNINGS:

– In view of the Treasurer’s statement that he was unaware that there had been any sensible withholding of advances from legitimate private enterprise, has his attention been drawn to the recent statement by Mr. C. V. Janes, economist of the Bank of New South Wales, when addressing the Economic Society, that the Bank of New South Wales had received a large number of applications for advances from clients who had been refused accommodation by other banks owing to the diminution of the cash reserves by £17,000,000 ?

Mr CASEY:
UAP

– When the general manager of the Bank of New South Wales makes that statement in public, I think it will be time to reply to it.

page 1066

PRIMARY PRODUCERS RELIEF BILL 1935

Second Reading

Debate resumed from the 18th October (vide page 858), oh motion by Dr. Earle Page-

That the bill be now read a second time.

Mr FORDE:
Capricornia

A3 the Opposition is always anxious to help all sections of deserving primary producers, it does not intend to oppose this measure, but will give it a speedy passage, providing as it does a small modicum of relief to a section of the primary pro- ducers in the form of a bounty of 15s. a ton on fertilizers used in growing crops other than wheat. The total commitment for the year will be £275,000. Oan the Minister for Commerce (Dr. Earle Page) give an assurance that there will be no increase of the price charged for fertilizers by the fertilizers combine? Otherwise, the benefit conferred on the primary producers as a result of the provision of this bounty would be largely diminished. Probably, the right honorable member has already been in touch with the companies concerned, and has received an assurance that there will be no increase of price. The Opposition agrees that previous bounties under the Financial Relief Acts of 1932 and 1933 were very helpful in tiding the primary producers over difficult seasons; but I am unable to understand why the whole amount of £250,000 provided for the year ended the 30th June, 1935, has not been distributed.

Dr Earle Page:

– All the claims are not in yet.

Mr FORDE:

– I accept the Minister’s explanation; but knowing of the demand for this concession by the primary producers, I am surprised that the whole of the amount has not already been claimed. On what basis was the money apportioned? Only £22,000 was provided for New South Wales, against £100,000 for Victoria. I am at a loss to understand why this differentiation should have been made. The Labour party realizes that the primary producers of Australia have had a very lean time owing to the great fall in prices of exportable products during the last four or five years and agrees that anything that can be done to help them should be done gladly. The fertilization of the soil is of great importance and will continue to be of increasing importance to Australia as closer settlement areas are opened up. By a system of extensive topdressing, lands will be utilized to a much greater extent than they are to-day, because, undoubtedly, it improves the carrying capacity of the land and greatly increases its fertility. No doubt the assistance given in this bill will be of considerable advantage to graziers and fat lamb raisers who are adopting this method of treating their pastures. Last year, a certain amount of hardship was imposed on farmers by excluding from the bounty quantities of fertilizers, of less than one ton, and I am glad to notice that, in the bill now before the House, provision is made for the payment of bounty on half ton lots. In order to provide employment for the 324,000 unemployed population, a policy of closer land settlement and of wellbalanced development of both primary and secondary industries will have to be adopted in Australia. I believe that 50,000 families could be settled on the land between Brisbane and Melbourne in closer settlement areas within a distance of, say, 100 miles from the coast. But to ensure the success of such a scheme, it would be necessary to go in for extensive cultivation necessitating the utilization of fertilizers to a much greater extent than at present. This bill is a step in the direction of assisting those primary producers who ordinarily would not be able to purchase fertilizers. It has the Opposition’s blessing.

Mr PROWSE:
Forrest

.- From the viewpoint of Australian progress the provision of this bounty is sound policy. Recently, I asked the Minister for. Commerce (Dr. Earle Page) if it were possible to allow the benefit of this bounty to be immediately available to the farmers, so that if a farmer required more fertilizers, he would be able to make use of the bounty in order to treat his land. For instance, a farmer at present able to .purchase 20 tons of fertilizers could, by the provision of this bounty, increase his purchase to 23 tons. Another point which I raised was in connexion with fertilizers of high quality and correspondingly high cost for use by orchardists and others engaged in intensive production. I suggested that the bounty should be made on a cost basis rather than on a ton basis. Many farmers who use expensive fertilizers, costing between £10 and £12 a ton, have brought this matter under notice. Ordinary fertilizers cost from £3 15s. to £4 a ton. I agree with the suggestion of the Deputy Leader of the Opposition (Mr. Forde) that the Government should watch the fertilizer companies to see that no advantage is .taken of the provision of the bounty to raise the price. Some of the Victorian fertilizer companies are doing excellent work in reducing the cost of their output. Therein, possibly, lies the explanation of the use of such large quantities of fertilizers in Victoria. Apparently the farmers of New South Wales do not appreciate the value of using them in the production of their crops ; otherwise the pr oportion of bounty provided for that State would have been much larger. I hope that the Minister will ascertain if it is possible to make arrangements for farmers to use the bounty for the purchase of fertilizers this year.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– When the bounty on fertilizers was first proposed, I made a suggestion to the Government that large co-operative concerns might be permitted to purchase in bulk lots for supply to individual members in quantities less then those to which the bounty was applied, thus enabling small farmers to derive the benefit of the bounty. Although in this bill provision is made for the payment of bounty on fractions of a ton not less than half a ton, many farmers use only small quantities of fertilizer for top dressing; and an endeavour should be made to allow these farmers to benefit from this bounty. If my suggestion were accepted, instead of the requisite certificate required under clause 5 of the bill being secured by the individual farmer, it could be secured by the co-operative company. Thus the small farmer would be able not only to take advantage of membership of a cooperative company to secure a reduction of freight and other charges, but also to participate in the bounty provided on fertilizers.

Mr STREET:
Corangamite

– I congratulate the Government on the introduction of this bounty on superphosphates. I think the provision of the bounty has had very great effect on production in Victoria. I know of many properties in that State that with the introduction of superphosphates have increased their production materially, and one property in particular that I have in mind has increased its yield of wool from 7 lb. to 16 lb. an acreI do not think that there are any grounds for the fear expressed by the Deputy Leader of the Opposition (Mr. Forde) that the companies might take advantage of the bounty to increase the prices of fertilizer. In Victoria, the bounty has had the opposite effect, prices having been reduced very considerably since it was granted. I agree with the suggestion of the honorable member for Forrest (Mr. Prowse) that farmers requiring small lots should receive the immediate benefit of the bounty instead of having to pay cash and wait for reimbursement. If this concession were granted it would enable many of them to purchase greater quantities of fertilizer.

Mr A GREEN:
KALGOORLIE, WESTERN AUSTRALIA · ALP; FLP from 1931; ALP from 1936

– I support this measure. The introduction of superphosphates as a fertilizer has been a great boon to the farmers of Australia, and has made productive, land which would otherwise have gone out of cultivation long ago. When I was a youth living in the north-west of Victoria, I observed that land which had given prolific yields when first put under crop had become so worked out within a few years that it was going out of cultivation, and flour mills that had been established in the district were closing down. The farmers were ceasing to grow wheat, and were trying to run sheep on the natural pastures. Then, within a few years after the introduction of superphosphates, the farmers were able to revert to the growing of wheat, and, from being almost on the bread line, became once more prosperous. Australia is more indebted to superphosphates than is any other country. When the Commonwealth was granted a mandate over the former German possession of Nauru, an agreement was entered into between Great Britain. Australia and New Zealand under which Great Britain and Australia were each to receive 42 per cent, of the output of phosphatic rock, while New Zealand was to receive the remaining 16 per cent. In practice, New Zealand has never taken its full quota, while Great Britain has taken practically nothing, so that Australia has been absorbing over 80 per cent, of the total output. During the last few years, when the price of wheat has been so low, many farmers have used a large portion of their land for grazing purposes, but in order to make a success of this it has been necessary for them to grow oats. It is here that superphosphates have proved themselves useful because, with their help, much better crops of oats have been raised.

The honorable member for Richmond (Mr. R. Green) suggested that farmers who require only small quantities of superphosphates should be able to buy half-ton lots, and divide them with their neighbours, and still get the benefit of the bounty. Perhaps that would be of value in his district to struggling farmers on small areas of land, but farmers in Western Australia, who generally use 90 ‘ to 100 lb. of superphosphates to the acre, half a ton would not put in more than 12 acres of crop. Although the farmers have not availed themselves of this bounty to any extent in the past, now that its benefits have become more widely known, they will probably take greater advantage of it in the future.

Motion (by Mr. Gander) agreed to -

That the question be now put.

Question resolved in the affirmative.

Bill read a second time.

In committee:

The bill.

Dr EARLE PAGE:
Minister for Commerce · Cowper · CP

– The Deputy Leader of the Opposition (Mr. Forde) asked for an assurance that the whole benefit of the bounty would not be absorbed by the fertilizer companies. When the bounty was first introduced, it was pointed out to the . companies that the effect should be greatly to increase the quantity of fertilizers used, so that it would be possible for them to reduce the price. The companies recognized the force of this argument, with the result that there has been a gradual diminution of price over the last few years. Five years ago the price of superphosphates was £5 8s. 6d. a ton, while at the present time it is only £3 15s. a ton, less 5s. for cash. I agree with the honorable member for Richmond (Mr. R. Green) that there has been a certain amount of difficulty in the past in regard to fertilizers handled by co-operative companies. One of those difficulties will be removed by the reduction of the quantity on which the bounty is payable from one ton to half a ton. The position will be further rectified by the provision in the bill that a farmer may nominate as his agent a co-operative company which will be able to transact business in his behalf along the lines suggested by the honorable member. It will be the object of the department to facilitate such arrangements as much as possible, so that the farmers may obtain all the benefits arising out of bulk handling.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– Will the one cooperative organization be able to act in behalf of a number of farmers?

Dr EARLE PAGE:

– Yes, but each farmer will, of course, be required to take a minimum quantity of half a ton. I do not agree with the honorable member for Forrest (Mr. Prowse) that farmers should be permitted to claim the bounty on the value of purchases, instead of on the weight. I think that the present system is sound.

Sir LITTLETON GROOM:
Darling Downs

– Artificial manure is defined in the bill as any substance -

  1. which contains nitrogen, phosphoric acid or potash;
  2. which has been manufactured, produced or prepared in any manner for the purpose of fertilizing the soil or supplying nutriment to plants ; and
  3. in respect of which, if used in a State, the laws of that State in relation to the preparation and sale of that substance as a fertilizer have been complied with,

I agree with the intention behind the provision in paragraph c, because it is desirable that the Government should pay bounty only upon the purchase of such fertilizer as complies with standard requirements. I should like to know, however, whether it is proposed that the onus of ‘determining whether the fertilizer complies with such requirements is to be thrown upon the person applying for the bounty.

In the year 1933 bounty amounting to £245,000 was paid on the purchase of fertilizers, and of this £71,000 was devoted to the purchase of fertilizers used for top-dressing. It is most desirable that this form of fertilizing should be encouraged, and I should be pleased if the Minister could inform me how much is being spent in each State for this purpose. In Queensland bounty payments for the year- are put down as £37,000 but £29,000 was paid on fertilizers used on the sugarcane fields alone in 1933.

Mr McEWEN:
Echuca

– Clause 4 provides that the subsidy shall be payable in respect of superphos- phates used in the year ending the 30th June, 1936, but if the subsidy is not continued in the following year certain anomalies will be created by the fact that the eligibility for the subsidy terminates during the middle of a cropping period. Honorable members are aware of one instance in which hiatus in the payment of a subsidy caused a grave anomaly. The subsidy was payable upon fertilizers used in the production of crops sown during the autumn and up to the 30th June, but not upon that used for crops sown, in July. Subsequently both crops, those put in during June and those put in during July, were harvested on the same day, yet only one was entitled to the benefit of the subsidy. If practicable, the Government should make the subsidy payable until the 30th December, or the 1st January, either of which is a convenient date, falling as it does when no cropping operations are being undertaken. I ask the Government to give consideration to this matter, so as to avoid the creation of anomalies in the event of this subsidy being withdrawn at a future date.

Mr STREET:
Corangamite

– Can the Minister for Commerce inf orm the House whether it will be possible for a person when buying comparatively small lots of superphosphates, such as 20 tons, to assign his prospective subsidy to a manure company in order to purchase a larger quantity, say, an additional three or four tons?

Dr Earle Page:

– The company must take the risk of the purchaser not using the manure in the specified period.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– I fail to see in the bill any alteration mentioned by the Minister for Commerce that an agent may collect certain sums-

Dr Earle Page:

– There is no need for that alteration; it is purely an administrative step.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– The latter end of clause 4 states -

Provided that, in calculating the amount which may be paid to a State under this section in respect of artificial manure used by any primary producer during that year, fractions of a ton less than one-half of a ton shall be excluded and fractions of a ton greater than one-half of a ton shall be excluded to the extent by which they exceed one-half of a ton.

If a co-operative company purchases its requirements of fertilizers in bulk in order to get the benefit of the reduced freight and sells the superphosphates, without making a profit, to its shareholders in small lots, will the purchasers of these small lots be entitled to share in this subsidy?

Dr Earle Page:

– Yes, if. each farmer uses not less than half a ton.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– I think that every person working under a co-operative system, where no profit is being made by the concern, should be eligible for this concession, even though he does use less than the stipulated quantity of fertilizers. There would be no difficulty in administering such an arrangement. One company might act for 100 producers, and that would save some administrative work in the department, even though the individual farmers took less than the requisite minimum.

Dr Earle Page:

– The department has given careful consideration to every aspect of the position, and the half-ton basis is the minimum that can be granted.

Mr ARCHIE CAMERON:
BARKER, SOUTH AUSTRALIA · CP; LP from 1944; LCL from 1951; LP from 1954

– The point raised by the honorable member for Echuca (Mr. McEwen) also concerns the southern part of my electorate. Barley is sown there at any time from February to the end of August, and top-dressing of country being opened up in the mountainous and the south-eastern portion is done from July to October, while, in orchards and vineyards, cultivation is carried out in the spring and not in the autumn. Furthermore, a large percentage of the potato and onion crop is sown from July to the end of spring rather than in the autumn period.

Dr Earle Page:

– Those producers receive the bounty during the current year.

Mr ARCHIE CAMERON:
BARKER, SOUTH AUSTRALIA · CP; LP from 1944; LCL from 1951; LP from 1954

– Does the bill date back to the 1st July?

Dr Earle Page:

– Yes. The period was altered to avoid a recurrence of the difficulty pointed out by the honorable member for Echuca.

Mr ARCHIE CAMERON:
BARKER, SOUTH AUSTRALIA · CP; LP from 1944; LCL from 1951; LP from 1954

– Relations between the Federal and certain of the State governments have been somewhat strained lately, but that should not prevent negotiations in connexion with the high rates of freight ruling on the transport of superphosphates. When a subsidy on superphosphates is granted for a specific purpose, as in the present instance, the State governments should not charge excessive freights. South Australia is perhaps the greatest offender, with New South Wales next. If the Commonwealth Government proposes to continue to pay this bounty of 15s. a ton, it should see that this position is clarified. I represent a district where breaks in the railway gauge occur.

Motion (by Mr. James) put -

That the question be now put.

The committee divided. (Chairman - Mr. Prowse.)

AYES: 7

NOES: 46

Majority . . . . 39

AYES

NOES

Question so resolved in the negative.

Bill agreed to and reported without amendment; report adopted.

Third Reading

Dr EARLE PAGE:
Minis ter for Commerce · Cowper · CP

– I move -

That the bill he now read a third time.

I take this opportunity to comment on certain statements made during the second-reading and committee stages of the bill.

The honorable member for Darling Downs (Sir Littleton Groom) asked why a definition of “ artificial manure “ had been included in the bill. This has been found necessary because unscrupulous traders in certain States have bagged a useless mixture of coal dust and a little lime and marketed it as artificial manure, whereas it has no manurial value whatever. The definition has been inserted for the protection of the farmer.

Sir Littleton Groom:

– Will the onus be on the farmer to prove that the manure is in accordance with the definition?

Dr EARLE PAGE:

– I take it that the farmers will exercise care to ensure that they buy good manure covered by a certificate as to quality.

The honorable member for Echuca (Mr. McEwen) and the honorable member for Barker (Mr. Archie Cameron) referred to seeding time. This varies in different parts of Australia. Seed is sown in some districts in the spring and in others in the autumn. The intention of the Government is that this bounty shall be payable for the full financial year. It is expected that similar assistance will be granted each year. Farmers in all parts of the Commonwealth will be adequately covered if the assistance is available throughout the financial year.

A request has been made that steps shall be taken to obtain concessions on freight charges on superphosphates. This is a matter that the farmers themselves should take up with the State governments.

Sir Littleton Groom:

– Has the Minister been able to obtain the statistical information that I sought?

Dr EARLE PAGE:

– I have not been able to secure detailed figures, but I shall endeavour to do so. I know that the returns for Victoria are much heavier than those for other States. This is accounted for partly by the fact that top-dressing has been undertaken in Victoria to .a much greater extent than in, say, New South Wales, though a definite move is on foot in New South Wales to improve matters.

Question resolved in the affirmative.

Rill read a third time.

page 1072

BUDGET 1935-36

In Committee of Supply:

Consideration resumed from the 18th October (vide page 861) on motion by Mr. Casey -

That the first item in the Estimates under Division 1 - the Senate - namely, “Salaries and Allowances, £7,379,” be agreed to.

Upon which Mr. Curtin had moved by way of amendment : -

That the first item be reduced by fi.

Mr NOCK:
Riverina

.- The outstanding feature of this budget is its extremely cautious and conservative outlook. Though a policy of safety first cannot be condemned in national finance, many of us were hopeful that the inclusion of the Leader of the Country party (Dr. Earle Page) in the Cabinet would have hastened the recovery of industry and the restoration of employment generally by bringing about a rapid repeal of a good deal of the legislation under which emergency taxation has been imposed. But this has not happened. We find, for instance, that the estimated revenue from sales tax for 1935-36 is £8,650,000 or only £519,000 less than the amount received from this source in the peak period of three years ago. Primage duty is also expected to yield more than £4,000,000, while £1,000,000 will still be obtained from the super tax on property. A mere £500,000 covers the total reduction of taxation that will ‘be effected by this budget.

Mr E J HARRISON:
WENTWORTH, NEW SOUTH WALES · UAP; LP from 1944

– If the Government had not provided more than £4,000,000 for the assistance of the wheatgrowers, it could have reduced taxation to a greater extent.

Mr NOCK:

– I shall deal with that point later. My view is that had the Government been in less hurry to make restoration of wage cuts and allowances to honorable members, it would have acted more wisely. To-day emergency taxation yielding about £14,000,000 per annum is still in operation, yet all public servants and Government employees with salaries up to £485 per annum - and they represent 90 per cent, of the total number employed - have had their former emoluments fully restored. In these circumstances the long-suffering tax-payers were entitled to more consideration. It is extraordinary that of the total wealth production of Australia of £355,000,000 last year the various Commonwealth and State Governments took £99,000,000, the Commonwealth Government receiving £61,850,000, and the State governments £37,325,609. Taxation is nearly 28 per cent, of the total wealth produced. It is not surprising, therefore, that the taxpayers allege that they are being bled white. [Quorum formed.’]

Looking at the budget superficially, as most citizens do, we find that through the conversion of various government loans at lower interest rates a saving of £750,000 per annum is being effected in our overseas interest hill, that other savings include £4,066,000 which was paid to wheatgrowers last year, but will not be paid to. them this year, and that the Postal Department anticipates an increased profit of £500,000 for the year. It is stated in the budget that “ the net increase in revenue is expected to be £800,000.” The saving in outlay, plus the increase of revenue, will exceed £5,500,000, yet the public is expected to be satisfied with a reduction of taxation of about £500,000, and of possibly £211,205 of our accumulated deficit, which amounts to £17,216,000. Such a procedure would not satisfy private business men, but governments with accumulated deficits seem almost invariably to adopt the policy of “ try to forget it.”

The one bright spot in the budget is that our national debt sinking fund payments, amounting in the case of the Commonwealth to £4,100,000, are being maintained.

I next desire to refer to the Postal Department, which is probably the biggest enterprise, either public or private, in the southern hemisphere. That it has been placed upon a sound business basis no one can deny. An enterprise that can show progressive profits in successive years of £1,472,000, £1,680,000 and nearly £2,000,000, speaks for itself. But the business aspect may be carried too far. I consider that it is altogether wrong that this department of public service and utility should have been transformed as it has been into an instrument of taxation. A few moments ago, I said that, according to the budget figures, the Commonwealth Government had commandeered £61,850,000 of the national wealth production. If we add to this the £2,000,000 collected by the Postal Department, the total federal taxation is approximately £64,000,000. A few years ago, notwithstanding the buoyancy of the revenue received from the telephone service, the Government instituted a penny unit call with respect to all trunk line business. The complaint of country people is that this is nothing but an increase of the rate for trunk line calls, and that they contribute over 75 per cent, of it. Every time a subscriber connected to one of the thousands of small country exchanges puts through a call to his shopping centre for goods or service, this penal flat rate is inflicted upon him. I use the description “ penal “, because the> radius, of thousands of such calls would be less than that of the metropolitan networks, which are exempt from the charge. I appeal to the Government to remove this injustice.

Country people have been further penalized by the limitation of the business hours of the exchanges with which they are connected. A few years ago, it was possible to have a continuous service provided if the income of the exchange was not less than £250 per annum. The introduction of business methods had the effect of raising this amount to £450. The income which an exchange has to earn in order to ensure service up to 10 p.m. was raised from £150 to £300, and, to-day, £150 is the amount fixed to ensure a service up to 8 p.m. I submit that in the case of calls for either business or for a medical practitioner the telephone service is as vital in the country as in the city. An institution that conducts its operations only from 9 a.m. to 6 p.m. in districts where settlers are in the field before 9 a.m. and for a considerable portion of the year until after 6 p.m. seriously minimizes the value of the service that it renders. Surely if the department can transmit a letter from- Cairns to Perth, or from Australia to England, for a flat rate of 2d., the same as from Parliament House to the Hotel Canberra, it can have a little more consideration for settlers in rural districts with regard to the “ open “ hours of telephone exchanges.

In regard to the construction of telephone lines, the treatment accorded to settlers by the department is very little better. If a settler some miles out needs a service the department rightly demands a rental based on mileage. Within recent years, however, it has not been content to work on that basis, but has stipulated that payment must be made of any amount in excess of £25 in the cost of erecting the line, and in addition has charged rent on that portion of the line the cost of which the settler has defrayed. That is not just. It would be only fair to credit the settler with his contribution of the cost, and to use it as a set-off against rental charges for the service until it was exhausted.

There is also room for improvement in connexion with the delivery of mails in country districts. When the depression was first felt in Australia the frequency of many mail services was lessened. Settlers consider that the existing buoyancy of the revenue justifies their asking for restorations, but up to within a month ago the majority of such requests was refused. I admit that there appears to have been a change of policy within the last fortnight. Among the requests made recently was one by a settlement of 40 people for the restoration of a tri-weekly service, but it was refused. In another case a triweekly was reduced to a bi-weekly service because of the reduction of the train service, and no complaint was made; but an explanation was naturally expected when the reversion, to the original train service was not accompanied by an additional mail service. It should not have been necessary to exert pressure for the return of this service.

I intend to be importunate in connexion with border telegraph rates, because of the unsoundness of the reasons advanced by the department for its refusal to adjust them. I ask, not for a radial rate, but merely that the regulations shall become a little more federal in spirit and in practice. They should provide, first, that the rate of 9d. for a distance of fifteen miles shall not cease to operate at the border of a State; and, secondly, that a telegram containing sixteen words may be despatched anywhere within a radius of 50 miles, regardless of State borders, for ls. At the present time the rate for towns and suburbs, or for a distance under fifteen miles within a State, is 9d. I understand that the boundary of the Federal Territory is disregarded, and that a telegram may be sent from Canberra to Queanbeyan for 9d. Yet the charge for the smallest distance across a State border is ls. 4d. That charge is made on telegrams sent from Albury to “Wodonga, Wahgunyah to Corowa, and Moama to Echuca. The residents of Mungindi, in Queensland, have to cross the border of that State to reach the post office, which is on the New South Wales side of the river. If they wish to send a telegram from that office into their own State they are required to pay ls. 4d. It is a disgrace that such conditions should be allowed to continue 35 years after the establishment of federation. State borders should be disregarded, and the rate of 9d. for a distance of fifteen miles should operate in every case. In addition, a 50-mile radial rate of ls. for sixteen words should be put in operation. Such a charge would be ample for that distance. The Postal Department admits that interstate telegraph business represents only one-tenth of the total, the figure being £126,000.

The loss of revenue that would result from the adoption of a flat rate of ls. for Australia would be less than £30,000, for it must be remembered that the major portion of the interstate business is that which takes place between the different capital cities, and includes long telegrams. I am not asking for this yet, but merely requesting the department to meet the convenience of the border people by applying the rates of 9d. and ls. for 15 and 50 miles respectively regardless of State borders. The removal of these pin-pricking anomalies would be to the advantage of not only the people concerned but also the Government and the department.

I come now to the tariff. It devolves upon me, as a member of the Country party, to express appreciation of the tariff reform which the Government has effected during the last twelve months. The most remarkable fact is that the reductions made by the most comprehensive review ever given to the schedule have not dislocated business. On the contrary during the whole period of review the employment given in factories has been continuously on the increase. This is a tribute to the thoroughness and fairness of the Tariff Board. A further fact of note is that only ten of the 86 subjects which at the 1st July last had to be dealt with by the board were requests for increased protection. I claim that this is clearly indicative of general contentment with the existing tariff rates among the manufacturing section of the community. The board has admitted that, in order to protect consumers and remove the opportunity for exploitation, it has sought to limit protective duties to goods of qualities and sizes that can be economically and efficiently manufactured in Australia, lt has pointed out that its review of the items that come under the heading “Plant and machinery” has resulted in no fewer than 500 sub-items being placed on the United Kingdom free list. These include goods that are not being commercially manufactured in Australia. Such a practice is in harmony with the policy of the Country party. It has been of considerable advantage to Australia’s secondary industries, by enabling them to purchase essential plant at lower costs, thus reducing their overhead charges and making it possible for them to get more into step with world prices of their commodities. The result has been an increased turnover, from which the people have benefited. As a general principle, the reduction of the tariff is a weapon that the Government may use to protect the people from unduly high local prices and exploitation. I commend the continuance of the policy that insists upon the close scrutiny of all applications, and bases protective recommendations upon efficient, economic commercial production.

But there are two tariff items with respect to which the position is not yet satisfactory. I refer to agricultural machinery and galvanized iron. A reasonably recent report has been made in connexion with agricultural machinery, but, unfortunately, the Government has given effect only to the least important part of it, namely, that which relates to the British preferential tariff. Excepting mowers there is practically no Australian demand for British farm machinery, so that Australian users may be protected from exploitation only by implementing the board’s recommendation and making the foreign rate, or at all events the Canadian rate, a little more reasonable. Satisfactory protection would still be given to the Australian manufacturer. Notwithstanding the assertion of the board that its recommendations made ample provision for Australian manufacturers, this portion of its report has been disregarded. I am not aware whether the Government had in view the making of reciprocal treaties, but I can say that its action gave no pleasure to the primary producers.

The case of galvanized iron is in a different category. An inquiry has not been made into this industry under conditions such as those that exist to-day. The last report, which embodied a reference to the protective incidence of exchange, was returned to the board by the then Minister for Trade and Customs (Sir Henry Gullett) with the instruction that exchange should be disregarded. There has since been an alteration of the conditions. State and Federal taxes have been reduced, interest has been reduced, coal prices and wages are now lower, and the prices of competitive iron and steel goods are comparable with import costs plus exchange. That, however, is not the case with galvanized iron, in which there has been a monopoly. The inability of the manufacturers to meet the requirements of the people has caused a good deal of inconvenience and has delayed employment in the building industry. When the Minister for Trade and Customs agreed to issue import permits, buyers were able to save fi a ton despite the heavy exchange and import costs. I hope that this item will again be referred to the Tariff Board at an early date for an inquiry under the costs and conditions that operate to-day.

I shall now refer to fuel oil and petrol. I think that even the Government, as well as the people generally, with the exception of the selling companies, will admit that this is one of the most unsatisfactory businesses in the land. The first thing of which the people complain is the excessive tariff, and while I appreciate the extra £266,000 made available under the federal aid roads scheme, it seems to me that at least half of the duties collected on petrol should be used for road improvements. Country roads need much attention. In certain districts in wet weather motor car drivers have had to use chains for weeks at a time. It is only fair that those who use the roads should pay for them ; but so much of the revenue derived from this tariff is used by the Government for other purposes, that shire rates have to be unduly high in order to make it possible for the shires to maintain roads which are worn out by through traffic. Then there is the primage on fuel oil. The rate is 4 per cent, if the oil is used in Australian waters, but 10 per cent, is charged on oil used by the farmer, the road-maker, and others. Yet, on power kerosene, the primage is only 4 per cent. I should like to see both items free; but, if the Government cannot allow that, it should at least reduce the 10 per cent, charge on fuel oil to 4 per cent., thus putting all users of fuel oil and power kerosene on the same footing.

Regarding petrol and oil prices, we are all aware that the royal commission, - despite the Government’s good intentions, has proved a “ squib,” and that the exploitation of the people continues. The Commonwealth Oil Refineries Limited regularly joins in the price rises,, thus demonstrating its futility and failure to afford the protection for which it was instituted. But what else could we expect ? Of what use is it for the Government to hold a share majority in the company if the minority shareholders are allowed to control the directorate? The Anglo-Persian Oil Company elects the majority of the directors, and dominates the policy of the company. What chance had the Australian people of getting cheap supplies during the American oil glut when this semigovernment company was tied up by contracts to its other partner, the AngloPersian company? Having no tankers, it depends entirely upon the AngloPersian company for transport at such rates as that company cares to charge. I submit that the Commonwealth Oil Refineries Limited must be competitive; otherwise it is useless. Quarter after quarter, since the United States of America went off gold in 1933, the American price of crude oil has remained constant at 94 cents a 35-gaillon barrel. That is the price to-day. Power kerosene in Philadelphia in 1933 was 2.5d. an imperial gallon. The highest figure it had reached two months ago was 2.95d. - a rise of less than £d. - yet in Australia farmers are now being charged 4½d. a gallon more than they were a year ago. Petrol, which on the 1st July, 1933, at the Oklahoma Refinery, was 2.8d. an imperial gallon, was 3.02d. a gallon on the 7th September, 1935 - a rise of less than id. - yet in Australia, in 1933, the companies, Commonwealth Oil Refineries Limited included, raised prices in February, 1934, from ls. 5d. a gallon for second grade spirit and ls. 6d. a gallon for first grade to ls. 6d. and ls. 7d. respectively. Again, in October, 1934, the prices were increased to ls. 7d. and ls. 8d., and early this month to ls. 8d. and ls. 9d. a gallon in all Australian capital cities. The rise was id. a gallon in America, and 3d. a gallon, or twelve times as much, in Australia. For years I have pointed out in this House that the oil companies were charging farmers within 4d. to £>d. a gallon of the petrol price for power kerosene, on which there was 7£d. a gallon less landing cost than on petrol.

Surely, under such circumstances as these, the Government should put fortt every possible effort to protect the people ! The Commonwealth Oil Refineries Limited has failed. If the Government could secure a guaranteed continuity of supplies from an independent source, it should take over the Commonwealth Oil Refineries Limited in accordance with its rights under the agreement, and make the company competitive. Rumania and Russia both have oil supplies. A few years ago, Russia offered to deliver first grade petrol to Australia at 4d. a gallon, and buy wool with the credits; but the offer was not accepted. Russia bought from Australia goods to the value of- £3,369,841. in 1927-28; £1,940,941 in 1928-29; and £452,602 in 1929-30. Since then its purchases have practically dwindled to vanishing point. We are under no compliment to the United States of America, and surely, if the Government is seeking reciprocal trade treaties, it is also worth its while to .seek cheaper petrol supplies for the Australian people. The press has stated that oil search permits may be granted in New Guinea. If this be so, let me urge the Government to protect posterity, and provide for cancellation of such permits unless approved operations are maintained.

It seems to me that we are rapidly reaching the time when it will be compulsory to swing over from the pensions system to national insurance. This year, with an increased expenditure of £1,000,000, the pensions bill has reached £12,,770,000, the largest allocation in our history. According to the attitude of many honorable members, who are without budgetary responsibility, the expenditure should be over £14,000,000. Frankly, I have to admit that, since the pension has been increased to 17s. 6d. a week, I have had only two letters from the whole of my electorate urging that the former payment of £1 a week should be restored. [Quorum formed.’] I believe that most pensioners recognize that the Government is doing a fair thing by them. Indeed, if the recent rate of increase were maintained, the financial capacity of the Government would soon be exceeded. According to the latest official statistics, there are 277,000 oldage and invalid pensioners., and they represent 4 per cent, of the total population. As the men and women over the pension ages total 543,000, more than 50 per cent, of those citizens are in receipt of pensions. It makes one ask what has become of the thrift habit of the Australian people. For the last five years the average value of the total production of the secondary and primary industries of this country has been £330,000,000 per annum. This sum represents, not only the wages of the people, but also the earnings of all capital, plant, and land used in production ; yet it will be found that the amount taken from this fund by taxation and passed to the pensioners represents 3.8 per cent, of the total wealth produced. To summarize, we have this position: The necessitous aged and infirm., representing 4 per cent, of the community, are paid by the Government 3.8 per cent, of the total wealth produced, and, in addition, are allowed to have a private income of up to 12s. 6d. a week. Surely such treatment cannot be classed as unfair! The percentage of the aged in the community is increasing, and this threatens to make the pensions scheme top heavy. A sound system of national insurance is required to take its place. To this fund all would contribute - employer, employee, and the Government - and it would enable all to participate. Under such a scheme those who die may have helped to provide for those who live; but it would certainly encourage thrift, because savings would not prejudice a person’s right to his insurance. This is nothing more than the generally approved principles adopted by friendly societies.

Another matter which I desire to bring before the Government is the deduction of what is known as the draft on wool. This practice has been in force for more than half a century, and was established when scales were less accurate than they are today. But at present wool scales weigh exactly to the ounce, and there is no justification for its continuance. Yet buyers’ organizations refuse to agree to pay for the net weight of wool, and brokers, though they admit the justice of this demand, yield to them and tolerate this robbery of growers under the name of “ custom “. The amount deducted is 1 lb. in every 100 lb. which, on an average Australian clip of 3,000,000 bales, represents a loss of up to £300,000 per annum to the wool producers of Australia. For twenty years growers and their organizations have been fighting to get justice; but their efforts have failed and they have been forced to rely upon the introduction of legislation to remedy the wrong, and have carried resolutions in favour of government action. Queensland farmers have expressed themselves in favour of this course, and the Farmers and Settlers Association of New South Wales made a similar request five years ago. This year, not only the State organizations of graziers, but also the Wool Council of Australia, decided “ that the Federal Government should be asked to abolish the draft on wool by legislation “. This decision followed a resolution of the Empire Wool Conference in 1931 “ that every endeavour be made to secure the elimination of the draft allowance,” and is an indication of progress in the producers’ attitude. I also remind the Government that the Commonwealth Wool Inquiry Committee of 1932 made a similar recommendation “ that the practice be abolished at the end of the present season.” The Woolbrokers Association has, on numerous occasions, informed growers’ organizations that “ itfavours the abolition of the draft “. It was unanimously agreed at a joint meeting of London and colonial wool merchants and brokers “that, if Australia abolished the draft, the change would automatically be adopted in England “. In addition, the New Zealand Sheep Owners and Farmers Association advised the Australian Wool Council “ that the Association and the Government of that dominion would support any action taken by Australia “. Mr. Devereux conducted negotiations in London in respect of this matter for months. Sir Frederick Tout and Sir Walter Young, during their visits to England, did everything possible to have the draft abolished by mutual consent; but the wool-buyers’ conference “ refused to agree “. Every effort has failed, and there the matter rests. Despite the frank admission of many buyers that no regard is paid to the draft, and that it is accepted as “bunce”, the Wool-buyers; Association raises the objection that change of custom would necessitate adjusting the buying basis of its members. I remind the Government that in respect of thousands of commodities net weight sales are provided for by legislation to protect the public, and I maintain that, if necessary, wool-buyers should be prepared to adjust their basis. Let them be honest, and pay for the actual net weight they receive. The growers ask the protection of the Government in this matter. To accede to their request will cost the Government nothing, and can be done simply by providing that from a date to be fixed all bills of lading for wool must be accompanied by a certificate stating that the wool has been or will be sold on a net weight basis I ask the Government to take the necessary action at an early date to afford growers protection from a stubborn coterie of buyers.

I am glad that the Government is acceding to the public demand for an inquiry into monetary and banking systems. I believe that such an inquiry will clear the air of some of the fantastic financial notions of the advocates of “ something for nothing,” the “provision of purchasing power “ party, the “ creation of credit “ urgei-3, and the apostles of similar camouflaged inflation. One wonders at times how much longer it will take some people to realize that it is impossible to increase purchasing power by transferring it, and equally impossible to create credits without incurring the chaos that history tells us has resulted from the adoption of such policies by other nations. The Australian banking system is one of which we might well he proud, and if the unreasonable margin between fixed deposit rates of from 1-J per cent, to 2-J per cent., and the general overdraft rate of 5 per cent, were reduced, people generally would have little of which to complain. I submit my suggestions to the consideration of the Government.

Mr JENNINGS:
Watson

.- I desire first of all to extend my congratulations to the Treasurer (Mr. Casey) upon his first presentation of the budget, and on his promotion to full ministerial rank. His ability and knowledge of the financial position will be of great service to the people of the Commonwealth.

I listened with a great deal of interest to the very able speech delivered on the budget by the Leader of the Opposition (Mr. Curtin). I also congratulate the honorable gentleman on his promotion to the leadership of the Opposition, .and wish him as much success in his new position as this side of the House will allow. His speech, however, was remarkable for one omission. Prior to the assembling of Parliament we heard throughout the country that the Opposition was criticizing the Government in connexion with the meat negotiations in London. A few weeks ago, in the course of a no-confidence motion, the Deputy Leader of the Opposition (Mr. Forde) launched an attack upon the Government in connexion with the matter, but he wa3 answered sufficiently by the Leader of the Opposition who declared in his speech that the Government had achieved quite a considerable success in the negotiations responsible for the meat agreement, and that he would have been greatly surprised had it been otherwise. The graziers themselves, through their official organization, have congratulated the Government upon the success of the mission in London. We may take it now by the silence of honorable members opposite that the Opposition is in accord with its leader’s statement. [Quorum formed.]

I do not think it can be said that every field for a solution of the problem of unemployment has been explored, and I have no doubt that the Government concurs in this view. The problem of the unemployed youth is one that confronts all governments in the world to-day. None has yet, been able to bring forward a satisfactory solution of all the problems of unemployment. I was interested in the suggestion of the Leader of the Opposition that we should set up a national council consisting of representatives of the Federal and State Governments. But the Government has already sought the co-operation of the States, in this matter, and, apart from New South Wales, there appears to be a lack of harmony between the State and Federal authorites on this question. This, unfortunately, is also the position in regard to other national questions. I suggest in place of a national council that a council orcommittee should be “set up, representative of each party in “this House, in order that the consideration of this importantnational question might, be raised out of the atmosphere of party politics. That proposal m’a’y bo regarded as somewhat Utopian by honorable members opposite, but, in my opinion, it is certainly Worth a trial. In order to ascertain what improvement has taken place, let us first of all contrast the position as it exists to-day with that which existed during the regime of : the Scullin Government. I think most honorable members are prepared to admit that the right honorable member for Yarra (Mr. Scullin) came into office at a very trying period in the history of this country. Considering the difficulties “with which the right honorable gentleman had to contend, he made a valiant fight up to a point, and had he shown as much discretion as he did valour he might have achieved greater success. One does not care to be always saying this, but, unfortunately, one is forced to make such statements in rebuttal of attempts to discredit the work of the present Government, which I have no hesitation in saying put Australia on its feet and staved off impending disaster. To obtain a correct angle on the achievements of the Lyons Government, one is obliged to recall the conditions under which it took office at the end of 1931. Rarely, if ever before, has a government been called upon to face such a serious position as that which confronted it. At that time, in all parts of Australia, there was stagnation in industry and finance; everywhere existed a lack of confidence in industry which employed most of out people. But when the present Government came into office it brought a ray of light into the darkness. The- light spread, confidence returned, and money began to flow again. With the expansion of industry, the unemployed began to get back to work. The restoration of stability and confidence in financial investment, with a consequent increased industrial activity and employ ment has been the p’olicy adopted, and what has been the result? Probably there isno greater index of prosperity than is afforded by the savings bank returns. On the 30th June, 1931, the total deposits in the savingsbanks of the Commonwealth amounted to £193,375,000. At the end of that year, the Lyons Government took office, and by the 30th June, 1932, the savings banks deposits had gone up to £197,968,000. They have gone on increasing ever since then, and by the 31st August this year they had reached the total of £219,500,000.

Sitting suspended from 12.45 to 2.30 p.m.

Mr JENNINGS:

– Since the Lyons Government has ‘been in office total savings have been increased by £22,000,000, to £219,500,000. Since 1932 the savings of the people in every State have increased, with the exception of those in “the Federal Capital Territory, where, of course, the people were affected by salary reductions. Public Service salaries have now been restored in full up to £485, and no doubt a complete restoration will shortly be made. The savings per capita have been increased from £29 12s. to £32. In the cheque-paying banks of Australia, including the Commonwealth Bank, but not including the savings bank, deposits have increased from £301,687,000 to £342,762,000, an increase of approximately £41,000,000. Thus we see that bank deposits have increased during the last four years by more than £63,000,000.

The Leader of the Opposition and the Deputy Leader of the Opposition have charged the Government with having neglected the unemployment problem, but how can. they reconcile their statements with the irrefutable figures supplied by the Commonwealth Statistician? As a matter of fact, unemployment has been reduced during the last four years by nearly half, and is now only about 15 per cent. In the last three years the number of factory employees has increased from 337,000 to 451;000, notwithstanding the fact that the value of the wool clip has declined by nearly 10 per cent. During the’ same period, overseas loans totalling £160,000,000 have been converted to lowerrate’s of interest,- averaging £3 13s 5d per cent. I ask Honorable . members _ opposite whether they really think that aLabour government could have” achieved as much; Members of , the Opposition have. referred to our banking system; a”nd have stated that it is in need of drastic reform. Before the last election, the Opposition outlined its banking policy, but that .policy was not received with any enthusiasm hy the people. An American writer stated recently that the people of his country were divided into two parties - one of which desired to get hold of the money of the other, which in turn resisted the attempt. I am far from suggesting that that is also the position in Australia, but we hear so much talk from the Opposition side about the “ predatory classes “, that it sometimes makes one wonder what would happen to those who keep the wheels of industry going and provide *&u much employment for the people, if the- financial theorists of the Opposition and other rainbow chasers ever got the chance to put their fantastic theories into practice. Out of a population of 6,700,000, there are no fewer than 4,255,173 depositors in the savings banks, apart from the large number of depositors who have accounts with the trading banks, and this simple fact should be kept well in mind. Add the hundreds of thousands of people who have taken out insurance policies, and others who are applying their savings, with the assistance of various Government housing schemes, to the building of their own homes - not to mention the many thousands of workers who have already built homes for themselves - and you have one of the strongest possible arguments against any amateurish, slip-shod methods of finance. That is not to say there is no need for some reform, but it does mean that the people will not tolerate anything that strikes at sane and sound finance. “We have too much at stake in this country to take inane risks.

Our national debt is certainly large, but many of our critics seem to lose sight of the fact that the debt includes the cost of our railways, tramways and other extensive public services, which are not included in the national debts of other countries. Where other countries have thought fit to let private enterprise conduct such services, Australia, rightly or wrongly, has chosen to keep them under government control, for the benefit of both the present generation and posterity. We have all heard talk about “ passing the buck,” as the Americans say, and of “letting posterity pay”, but there is no doubt that we are handing down a great asset and a great heritage to posterity.

In this country pensions bulk largely in all our schemes of national finance. Apart from our obligations in respect of war services, payments to States, interest on war debts and other loans, defence, assistance to wheat-farmers, &c, the pensions liability of the Commonwealth involves a heavy annual drain on revenue. As the Treasurer (Mr. Casey) pointed out in a recently-published article, the pensions liability of the Commonwealth, with 538,000 persons participating, presents a serious problem in these times when taxation relief should be an essential objective of the national government. In 1911, when we had a population of 4,500,000, Australia paid out £2,149,650 in invalid and old-age pensions. Now, with a population of 6,700,000, we shall this year be called upon to pay over £12,750,000. To put it in another way, although Australia’s population has increased by only 50 per cent, in 24 years, its invalid and old-age pensions bill has increased during that period by 600 per cent. In addition to that we have committed ourselves to the payment of £7,000,000 per annum for soldiers’ pensions. Thus, we have a pensions bill of £20,000,000, which absorbs the whole of our income tax, the whole of the sales tax, and half the petrol tax as well. It is obvious that the position must be reviewed in the interests of both the taxpayers and the pensioners, as well as from the point of view of national finance, if future governments are to escape serious embarrassment.

It is necessary to consider some constructive proposal as an alternative to the policy at present being followed. Australia’s taxation problem is directly associated with the social service obligations of the various Australian governments, on which is spent each year approximately £30,000,000, or half the annual revenue obtained by direct taxation collected by State and federal authorities. No. one objects to taxation which confers social benefits on the community, but the financial problem must be faced sooner or later. I believe that greater benefits could be secured for both pensioners and taxpayers by the institution of a system of national insurance, which would provide an income for everyone in old age, though it would not be necessary for all to come under the scheme. It would certainly have the effect of making our people more independent and self-reliant. We insure our lives against death, and our homes against fire, but in regard to sickness, old age and unemployment, we do practically nothing. A scheme of national insurance could be put into effect without interfering with the excellent work of the friendly societies, or with the many private schemes which are giving such pood results. Such a scheme must necessarily be started by the government, but once started, it should be handed over to an independent body, free from political interference. It must not be made the football of party politics. Many nations have introduced schemes of national insurance, one being inaugurated in Germany as early as 1883. Great Britain’s scheme was begun in 1911, and provides a wide field of benefits. Contributions are, in most instances, collected annually, and the funds are supplemented by a State subsidy or by regular contributions. The Commonwealth Royal Commission of 1923 covered the ground fully, and presented four valuable and detailed reports, dealing with the application of the scheme to -

  1. casual sickness, permanent invalidity, maternity and old age;
  2. ) unemployment ;
  3. destitute allowances and
  4. membershipfinances and administra tion.

The commission’s report can easily be brought up to date to cover present-day conditions.

Mr Brennan:

– What happened to the bill which was introduced into Parliament by the present Minister for Commerce (Dr. Earle Page) ?

Mr JENNINGS:

– That was a bill brought in during the closing days of a session and would have been gone on with had the Bruce-Page Government not been defeated. Health insurance is a natural corollary to national insurance, and under a scheme of this sort the problem presented by invalids could be systematically examined. An invalid pensioner who draws a pension at 16 years of age, would, if he lived to be 66, draw a total sum of £2,340. The economic wastage here involved could be examined with a view to the provision of clinics which would prevent rather than maintain invalidity. That is only one of many phases.

Unemployment insurance presents greater difficulties, but they are not insuperable. At the present time, State governments are raising approximately £13,000,000 a year by wage and other relief taxes to provide work and sustenance. This points to the need for putting the whole matter on some scientific and systematic basis. Future years will present continually increasing difficulties and an outlet open . to the Government and to the people of Australia is along the road of national insurance.

In the last federal election campaign the Government offered to co-operate with the various States in regard to providing suitable housing schemes. It is most desirable that this important phase of policy should not be overlooked. Indeed, it is one of the most important national questions of the day, because it vitally concerns the lives and welfare of the people. If we can improve the environment and living conditions of the people, it will be the most effective means of raising the social standard, and that in turn will afford the best safeguard against the influence of communism. Housing is closely related to the key industry of building and plays a most important part in the absorption of the unemployed. Indeed, I think that much of the money now allocated to various schemes for the relief of unemployment should be employed by extending further the policy of housing, because it would give employment to thousands of people in a class of work which is essentially reproductive. Although this matter is primarily one for the consideration of the States, the Commonwealth could co-operate in devising a comprehensive scheme. The honorable member for Kennedy (Mr. Riordan) referred to the housing scheme now operating in Queensland. New South Wales has also an admirable housing scheme controlled by the Rural Bank, but apart from general housing schemes there is also the necessity for providing homes for another section of the community, and accordingly in the same State a Homes for Unemployed Trust has recently commenced operations. It has already provided 140 houses and proposes to build about another 100. It has also supplied 280 people with materials with which to build their own dwellings.

Mr MCCALL:
MARTIN, NEW SOUTH WALES

– Did not the Stevens Government introduce that scheme ?

Mr JENNINGS:

– Yes. The Stevens Government has allocated £200,000 for that purpose. The scheme is engaging the attention of many municipal bodies in New . South Wales. I speak from civic experience on this subject and because of the position in my own municipality at Randwick. The honorable member for Cook (Mr. Garden), who is aware of the conditions in the southern portion of that area will appreciate what I am saying.

Through no fault of their own, but as the result of the economic conditions of recent years, people in many parts of Australia have lost their employment and have been driven to live on Grown land and reserves adjacent to cities. The .unfortunate people must, of course, live somewhere, but over the last few years they have become a serious problem for local governing bodies. A cardinal principle of local government is the safeguarding of the health of the community, and for this purpose health and building regulations and ordinances can be enforced, but in the matter to which I refer the local governing bodies have no jurisdiction. The living conditions on these reserves are deplorable and are a reflection on our civilization. There are none of the ordinary domestic facilities, no drainage, and no proper conveniences ; if an epidemic were to break out in one of these camps, it would not only menace the inhabitants but would also be a grave danger to the adjacent city. Living in such surroundings inevita’bly leads to a deterioration of the social standards, and the squalid environment . breeds so much discontent, that men naturally conceive revolutionary ideas. If their living conditions and surroundings are improved those same men become good citizens and an asset to the nation. This is the best safeguard against the spread of communistic doctrines.

Having outlined the difficulties existing and having informed honorable members of what action the Government of New South Wales has already taken in an endeavour to alleviate the Conditions prevailing, I propose now to indicate another important scheme which is meeting with success at Hammondville, near Liverpool. It is a pioneer home scheme. Blocks of three-quarters of an acre are set aside, and on each at a total cost of £100 a Cottage Avith two bedrooms, a living room, verandah and bathroom is built, and water is laid on. By paying 5s. a week for the first three years, and then 7s. 6d. a week, out of money received from relief work and social relief, each tenant - a married man, with three or more children - under a Home Ownership scheme may purchase such a dwelling in seven years. Admittedly the houses are not mansions, but they are 1,000 per cent, better than the murky conditions in which these people have been living during the depression. Various organizations overseas have made inquiries in regard to this scheme and they have favourably commented upon it. Already 85 houses have been erected and the population of this little settlement numbers 416. A store has been opened and a school established with an attendance of 150 healthy children. On their blocks the settlers are able to grow vegetables, poultry and fruit for their own use, and they sell the surplus at a profit. And this scheme has been in existence only two and a half years A large majority of these people are employed on relief works, but their combined repayments for the purchase of the homes already ‘amount to £513. Several of these men have obtained permanent positions, but so satisfied are they with the conditions obtaining in the district, and with the prospect of making the homes their own, that they are content to remain there. A housing scheme of this nature is not practicable near a big city because of the high cost of land, and the small areas available, but such a plan is eminently suitable when operated iri a district like Liverpool, where large inexpensive areas lie adjacent to the town, and cheap railway fares are obtainable. One of the great obstacles in the way of many housing schemes of course is the high cost of land. The plan to which I have referred helps a man to help himself. As the sponsor of- the scheme states, one of its great merits is that it does away with the fear of eviction, in addition, it gives the man something to do and saves the children from being under-nourished. In and near various large cities and towns there are suitable areas and the Federal Government could very well set aside £250,000 to co-operate with the States to make 2,000 or more of these cottages available as a start to benefit this unfortunate section of the people. In the success of such a plan, a necessary factor which I must emphasize, is co-operation with the States, while any scheme adopted must also be controlled by an independent authority. If worked on the homeownership principle it would be reproductive. It would give employment in the building trade and the timber industry, and to manufacturers producing other necessary materials for the erection of homes. Furthermore, the new and healthy life would help to restore the former cheerfulness of mcn and women who had given away to despair, and create a brighter outlook for the future of their children. Far from being a charity scheme it would give a man an opportunity to provide a permanent home for his wife and family. There is nothing illusory about this scheme. It is already in operation, and its practicability has appealed to a large section of the community. I suggest that the Government should give the suggestion its earnest consideration.

In Australia there is still a duplication of arbitration State courts working in opposition, as it were, to the Federal Court, constituting a menace and an irritation to industry and bringing about unemployment. I remember the Attorney-General (Mr. Menzies) referring to this matter, and as I believe that he is sympathetic with a scheme for bringing about the abolition of this dual system, I am hopeful that the Commonwealth Government will give this desirable end its consideration. The people are in favour of one system of arbitration, and the time is opportune for this Parliament to take steps to give effect to this desire.

The financial position of the Commonwealth, as revealed by the budget, has substantially improved, and the country appears to be better placed than at any time within the last five years. The customs and excise figures,” £37,850,000, will probably be exceeded, and owing to the continued trade improvement sales tax returns will be substantially increased. I suggest that the sum of £25,000 allocated for publicity purposes in the United Kingdom might be increased. Great Britain’s trade is worth £1,100,000 a week to Australia, and the Commonwealth would be well repaid if, by doubling the expenditure on publicity, it could increase this trade by only 25 per cent. There must be proper provision for marketing and our products must be of the highest quality, but to ‘blaze the trail and obtain the right atmosphere in Britain, to secure a demand and reception for its goods, Australia must embark upon a system of properly-directed trade publicity. I again commend the Treasurer on the first budget, that he has presented. It does him great credit. Despite the criticism levelled against the Government, it is also entitled to credit for its record, which has ic spired confidence in trade and industry throughout the country and in our financial relations abroad. Measured by world standards Australia, in emerging from the depression, has established a record which has not been excelled by any other nation.

Mr DRAKEFORD:
Maribyrnong

– Having heard the remarks of the last speaker (Mr. Jennings), I believe that he, and other members on his side of the chamber holding similar views, could very well vote for the amendment moved by the Leader of the Opposition (Mr. Curtin), because he suggests that the issues raised by the amendment are worth consideration by the Government. I propose to support the amendment, which should commend itself to every honorable member who is not a hidebound supporter of the Ministry. Honorable members who have not spoken in this debate will find that the amendment provides them with an opportunity to offer constructive criticism, and I hope that they will take advantage of it. The Government appears to be satisfied so far to sleep on its declarations made during the last election campaign, and evidently it is not prepared to bestir itself from its somnolence until Parliament calls emphatically for action. Having been given a majority as the result of its promises to the people respecting employment, the Government went into hibernation, from which apparently it will not be aroused while the public remains quiescent. The honorable member for Kennedy (Mr. Riordan) has pointed out that in the promises made in the GovernorGeneral’s Speech at the opening of Parliament, the subject of unemployment was given particular prominence. From that speech we were led to believe that the method of dealing with this problem required not merely special, but also urgent treatment, which was to be made a special ministerial task, to be undertaken by the then Minister for Commerce (Sir Frederick Stewart), who was to be relieved of most of his other ministerial duties, so that he could devote the major portion of his energies to this great problem. The Government seems, however, to have concentrated its attention on making itself secure against possible internal attacks from its own disgruntled supporters, and when its efforts in that direction led to a reconstruction of the Cabinet, the honorable gentleman whose special task it was to deal with unemployment found himself omitted from the new team. Since then it seems to have been nobody’s job to concentrate on unemployment.

Mr Archdale Parkhill:

– It is every Minister’s job.

Mr DRAKEFORD:

– Then nobody seems to be doing it. While I am not in any way concerned with the reallocation of the portfolios, I cannot help expressing regret that the honorable member for Parramatta (Sir Frederick Stewart) was relegated to a position on the back bench, for he had given some indication that he was prepared to grapple with the problem of unemployment. It is true that he was appointed Parliamentary Under-Secretary for Employment, but though we were informed that he was to be directly responsible to the Cabinet in this regard, questions which were directed to him on the subject in the House were answered by a member of the Ministry and not by him. That the honorable mem ber could have furnished us with at least some of the information we desired had he been permitted to do so was generally recognized, but despite his high-sounding title he was deprived of the power to speak on behalf of, or as a member of, the Government. There was from that time a definite weakening of enthusiasm which the Government had worked up on the unemployment issue during the election campaign. One of the principal promises in the Governor-General’s Speech was that consideration would be. directed to the making of - a complete survey of the unemployment problem in order to determine whether there are any root causes which could be effectively dealt with by direct Commonwealth action or by some concerted action on the part of the Commonwealth and the States.

It is because no action has been taken to give effect to that promise that the Leader of the Opposition has moved the amendment we are now considering. More than twelve months have passed since that promise was made, and no visible evidence has been forthcoming that the promised survey has been commenced, let alone completed. The Government appears to be satisfied with the statement that it has advanced from time to time - that prosperity has returned; and, though I hope I am wrong in this view, for I wish to see the problem of unemployment tackled by whatever government may be in power, it would appear that- it is content to let the problem solve itself so long as its majority in this Parliament does not allow its voice to be heard in either the chamber or the party room. As evidence of its procrastination, we could have nothing more effective than the ineptitude of the legislative programme that the Government has submitted to us.

We have been provided, it is true, with certain figures relating to unemployment ; but we shall be disappointed if we expect, any immediate action on the part of the Government, beyond the making of eartickling statements intended to produce good results during the next election campaign. I agree entirely with the views of the honorable member for Cook (Mr. Garden), the honorable member for Melbourne Ports (Mr. Holloway), and other honorable gentlemen on this side of the chamber, that the unemployment returns furnished to the Government by trade union officials cannot be regarded as giving a correct indication of the number of people out of work.

Mr Archdale Parkhill:

– Well, they should do so!

Mr DRAKEFORD:

– The circumstances under which such returns are compiled are such that it is impossible for them to be complete. In the case of the Australian Locomotive Men’s Union, with which I am connected - which is one of the few industrial organizations that cover practically all the men working in the industry in every State - no records are kept of men who have been employed on the footplate but are now out of employment.

Mr Archdale Parkhill:

– Does not the union take any further interest in these men?

Mr DRAKEFORD:

– It is impossible for the union to do anything to provide employment for them. With an increase of the size of locomotives and a regrading of the permanent way in many States, engines are now built which have a greater haulage power than those formerly used, and fewer trains are needed. This has meant that many men with long experience in their calling have become redundant. Modern methods have also been adopted in certain other directions which have made fewer employees necessary. Those who have lost their employment as locomotive engine men halve drifted into the ranks of the unemployed, and are engaged on relief work if, indeed, they have been able to obtain work at all. The returns of the union do not account for these men, for their names have been struck off the list of members. As there are no means by which they could be re-absorbed in the industry for which their special training and experience fits them it would be useless for them to retain their membership in the union.

Mr Archdale Parkhill:

– That does not indicate that the union cares very much about their welfare.

Mr DRAKEFORD:

– There is in each State practically only one employer of loco running men, and they are not interchangeable between the States. After the names of the men are removed from the list of members of the union they are not shown on the returns forwarded to the Commonwealth Statistician as locomotive running men out of employment. The union has quite as much regard for their welfare, however, as has the Minister for Defence (Mr. Parkhill). What applies to the returns relating to locomotive running men would apply with equal force to all other returns relating purely to railway employment, and must also apply to figures or other information supplied by unions the rules and regulations of which do not provide that unemployed members shall be kept on the register. In many unions there is no provision for unemployment benefits.

There is also the difficulty caused by men in part-time employment. By this I mean men who may be engaged in a particular pay period on work of a spasmodic nature which is of sufficient volume to warrant them being kept on the books of the union and yet not to entitle them to such unemployment relief as may be provided for in the rules of the union. In my own union such men would be shown as in employment though in reality they may be on only half time. In the Bendigo division locomotive enginemen with ten or twelve years’ experience who have been on less than half time are reckoned as in employment. Although they are married men they are not entitled to participate in any unemployment relief scheme. Only a month or two ago we had on our books men employed as locomotive firemen who had ten or more years’ experience, but they were on only half time or less. No employment could be provided for them in keeping with the qualifications and training they possessed other than that furnished by the Victorian Railway Department. I have no doubt that many honorable members on this side of the committee who have had industrial experience could say that a similar state of affairs exists in connexion with the organizations with which they are associated. If the Government undertakes a belated inquiry into the unemployment problem - and I hope that as the outcome of the amendment moved by the Leader of the Opposition it will not lose more than the 12 months that have already b3en wasted in instituting such an inquiry - it will obtain statistical information more comprehensive and complete than that furnished by trade union officials. In my view it would be better to work on the system used for the collection of the census information. Only by that means can we get down to bedrock on the statistics of the unemployment problem.

I agree that root causes of unemployment must be ascertained before substantial progress can be made; but these have been investigated in many overseas countries, and there is no reason to believe that those in Australia would be in any way different. Even if it is intended to make an investigation into the root cause3 of unemployment, notwithstanding the volume of evidence that is already available, I submit that there would be no justification for waiting until the investigation is complete before collaborating with the State governments in undertaking work that has been specifically indicated by this Government as suitable for the absorption of the unemployed. Such works, according to the Governor-General’s speech, are the standardization of railway gauges between capital cities, the construction of country water storage schemes, national forestry, housing, and the treatment of coal deposits and shale for oil and other commercial products. These enterprises require nothing more than collaboration between the Commonwealth and State governments, and an agreement as to which work shall be undertaken at a given time and which will provide employment for the largest number of people. It cannot be claimed that the Government has displayed any energy whatever in giving effect to its own suggestions. I ask: Has there been any such collaboration as that mentioned under the heading of “ Employment “ in the Governor-General’s Speech? What has been done, for instance, to carry out works which, by reason of their size . and special nature, could be properly put in hand by the Commonwealth itself? Beyond certain additional expenditure for defence purposes and the passing of a bill to authorize the construction of the Port Augusta to Red Hill railway - a measure which seems to have been more ornamental than useful as the Government has not been able to overcome the difficulties raised by South Australia, although we were told that expenditure to the extent of £750,000 would be involved - the Government has shown itself to be devoid of any constructive ideas. If the State governments appear to be reluctant to co-operate with the Commonwealth Government in putting in hand such works, it may also be said that the Commonwealth Government has done nothing more than publish its good intentions to the world. When the “ showdown “ comes do Ministers propose to say, “We were willing to put works in hand, but the State governments would not co-operate with us ? “ I sincerely hope that that will not be the attitude of the Government.

Although the standardization of our railway gauges on the lines laid down in the report of the royal commission of 1921 was one of the major operations that the Government had in view for the absorption of the unemployed, the Prime Minister (Mr. Lyons) made it quite clear recently that the Government would not proceed with the work unless the State governments would take the initiative. The work of standardizing our railway gauges would, according to expert advice, provide employment for approximately 15,000 men for seven years; but apparently the Government does not intend to put the work in hand. It proposes, instead, to undertake a threeyear survey of the heaven of unemployment relief, while the expectant outofwork people must remain in the unlovely hell of unrealized hopes and unfulfilled election promises. The members of the Government, sinking back in sweet repose, are content to gaze upon the pleasant prospect of returning prosperity, for which they claimed credit in the Governor-General’s speech.

The honorable member for Watson (Mr. Jennings) had a good deal to say on the subject of returning prosperity, but I direct his attention to the following paragraph, under the heading “ Financial Policy,” which appears in the report of the Director of the International Labour Office on the Eighteenth Session, which was attended by the honorable member for Parramatta (Sir

Frederick Stewart), as the representative of Australia: -

It is being asked in the United States whether from a stand-point of economic balance it is important or quite irrelevant that in 1929, 30,000 American families at the top of the scale received practically as much as 11,653,000 families at the bottom. Is there an optimum proportion of wages to the national revenue from an economic standpoint? Has the theory that savings are automatically turned back into a fresh cycle of production, employment and consumption merely worked out in practice?

The honorable member for “Watson appears to think that an increase of savings bank deposits is a definite indication of returning prosperity; but I suggest to him that a much more effective indication would be the spending of money rather than the banking of it. People are not yet satisfied that the Government has any genuine intention to fulfil its election promises, and provide employment for the people. The report that I have already cited also makes the following comment : -

Is not the real flaw in the economic system to be found in the failure to distribute income in the manner best calculated to maintainindustrial activity most effectively? Queries of this kind strike at the root of our present troubles, but as yet no very certain or complete answer is forthcoming to them.

The Director of the International Labour Office also gives some valuable information in the report regarding conditions in various countries, in which certain signs of improvement have been evident, and observes that it would be unsafe to regard such improvement as . permanent. In fact, he says that the very circumstances that seem to indicate improvement may be a prelude to a further relapse into depression. Some of the statements of the report are well worthy of attention. In the chapter headed “Remedies for Unemployment,” the Director states -

From the two foregoing chapters it may be seen that the depression is only lifting partially here and there throughout the world. There is no sign of a general swing-back of the pendulum to prosperity such as occurred in 1921-22 without any basic disturbance of the economic system having taken place, and without any serious political consequences having ensued. The present depression is of a much graver character. At the end of five years it lias only been spasmodically relieved, not through the re-establishment of the old international machinery of credit and commerce, but rather through a. series of more or less successful exertions of a national character, many of which, by their very nature, cannot continue indefinitely. We are even told by some economic and business observers that the minor “ boom “, which in some countries has taken place during the last two years, is reaching its zenith, and will shortly be followed by a further relapse.

It will be seen that both economic and scientific observers fear that some of the apparent improvement may be due to “more or less successful exertions of a national character,” which cannot continue indefinitely, and that it is a sporadic state of affairs which has not been brought about by the old international machinery of credit and commerce. I quote the following further paragraph from the report to which I have referred : -

Whether this dark forecast is well founded or not, it is certain that the persistence of the depression, with the chronic unemployment and the lowered standards of life which it involves, is driving governments more and more to seek fresh and often untried remedies. It is also certain that the wider the departures from the old economic creed, the more unavoidable become deliberate attempts to modify and adapt the old economic structure to meet the new conditions. It has already been pointed out that most of these attempts have been inspired in the main by social considerations, and in response to a growing demand for energetic and coherent action to put an end to the prevailing distresses. The object of the present chapter is to examine some of these attempted remedies a little more closely and to form some general idea of their nature and efficacy.

The honorable member for Melbourne Ports (Mr. Holloway) has referred to the failure of the Government to mention, in its presentation of the budget, an intention to take what might be described as unorthodox action. I agree with the honorable member that the budget is a disappointing document. It exhibits a complete failure to recognize that orthodox methods cannot provide a lasting remedy for an entirely unorthodox set of circumstances.

In a pregnant paragraph the director of the International Labour Office, reporting upon a subject upon which his bureau is probably more competent than any other authority to pronounce an opinion, says - and I emphasize his words -

It is also certain that the wider the departure from the old economic creed, the more unavoidable become deliberate attempts to modify and adapt the old economic structure to meet the new conditions.

The Government prefers merely to continue to survey the situation. A part of its survey was made during a parliamentary recess which lasted six months and during that time numbers of men were put out of governmental employment.

The honorable member for Melbourne Ports has also referred to the dismissal of a number of men from one of the Government’s business undertakings - the Postal Department. According to the annual report of the Director of Postal Services, that instrumentality showed a substantial profit on its operations last year, yet some of these men whose services have been dispensed with have to become a charge upon the community generally, because they and their families have to rely upon the relief funds provided in their respective States, the Commonwealth having made no preparation for their absorption in other directions, despite its promise that a large-scale employment policy would be implemented. One would think that if employment could be found at the present time it would be in a profitearning department, the ramifications of which spread over the whole of the continent. The country is crying out for further postal, telegraphic and telephonic services, and these apparently can be provided without loss. These men who have been dismissed from employment, and thrown upon the bounty of the States have become, by reason ‘of Commonwealth action, or inaction, a burden instead of an asset. Ample funds are made available for the Defence Department, which is not a revenue-producing section of the Government’s activities, while an undertaking that produces a surplus is starved in regard to services and the provision of employment. An example of favoured treatment is to be seen at the Victoria Barracks, Melbourne. There the transport section of the Defence Department has a roomy, well-built, well-lighted, and wellequipped garage for the housing of its vehicles, while the Postal Department’s garage in Sturt-street, only a short distance away, is an out-of-date, ram- shackle shed, the floor of which is below street level. It is ill-lighted, and is supported by venerable piles from the old Princes Bridge. Some of these, which are in the final stages of decay, were recently repaired by having steel rails and concrete placed at their base. The cramped space in which the drivers of the large number of mail vans and other big motor vehicles are housed, and the obstruction caused by the insecure and decrepit supports, constitutes a menace to the safety of the building as well as of the lives of the men who work in it. The matter has been brought under the notice of the Postmaster-General, and the promise has been made by him that some repairs will be effected. The Defence Department is permitted to spend thousands of pounds on an up-to-date garage in which few men are employed, while the drivers attached to the Postal Department avoid accidents to themselves and their vehicles only by the exercise of great skill. The Government proposes to repair what ought to be removed. I am asking not for something pretentious, but for something useful. There are other features of this barn, which has developed out of a ‘bus shed half a century old, which could be dealt with by my friend the honorable member for Melbourne Ports, who recently accompanied me in an inspection of it. I am confident that a thorough inspection by the PostmasterGeneral would convince him that the erection of a new building is preferable to the repair of the existing structure. I understand, however, that the proposal is to effect only temporary repairs, -with the object eventually of building a new garage. The sum of £3,000 is provided on the Estimates to begin the alterations. That is not nearly sufficient.

It will not be denied by any honorable member that the industry in which the most substantial improvement has principally been made within recent years is the building trade. In regard to both housing and shopping facilities, there had to be some expansion after the period of stagnation from 1930 to 1933. The housing shortage was apparent to everybody. Even now the building of houses is not keeping pace with the marriage rate. Because of the shortage the build- ing of homes has again become a source of profitable investment. Banking institutions and investment companies found that it was to their advantage to make money available for that purpose. Because of the effort to overtake the building shortage, which, of course, is not confined to housing - I use that merely as an illustration - there is a mild boom in the building trade. For how long it will last, no one can say. It may cease entirely very shortly. There are many persons, a growing section of the community - and I am one of them - who believe that until there has been a complete change of the social order there will not be complete restoration of prosperity; there will be no real prosperity, that kind which affects and uplifts all the people, great and small, and not only one section which, under the existing system, controls the finances and credits of the country which rightly belong to the whole of the people. No government worthy of the name can afford to propound a policy in the vital matter of unemployment and, because of what may be a temporary ascension from the trough of depression, claim credit for the slight rebound and do nothing to assist the movement towards complete recovery. That appears to be the position of this Government. The Commonwealth Government and the Commonwealth Parliament should be hard at work on a well-planned, long-range policy providing for the absorption of the unemployed, and the training of our youth of both sexes, who are the unfortunate and at present the almost hopeless victims of our defective economic system. What has been done by the Government to deal with the problem in the depressed and distressed industrial areas of the Commonwealth? In the Newcastle district there are many workers who can never again be absorbed in the coal-mining industry, although the whole of their training and experience has been obtained in it. We have the spectacle of a large number of Australian workers and their families being condemned to idleness. Although willing and anxious to work, they cannot hope to be re-absorbed, even if the existing means for the extraction of coal are employed, while a wealthy concern that has waxed fat on the resources and the labour of Australia, developed and fostered by government assistance, proposes to devote some of its profits to the installation of machinery for coal extraction which inevitably must permanently displace a still further amount of human labour. In Great Britain and other countries the treatment of distressed areas and decayed industries has received and is receiving consideration. Valuable data are furnished in the first report to the British Parliament by the commissioner appointed under the Special Areas Development and Improvement Act passed at the end of 1934. The report covers the commissioner’s activities for only a short period, but shows that prompt action has been taken and that already commitments have been made, estimated to cost more than £2,000,000, including works of public utility, paid for by wages amounting to £950,000.

There is another and a vital aspect to which little, if any, serious attention seems to have been (paid by the Government. It is mentioned in the final sentence of that portion dealing with employment of the Speech of His Excellency the Governor-General at the opening of the .present Parliament. After setting out the schemes which the Government had in -mind, and which apparently are still in the mental stage, the Speech states -

In particular, the Commonwealth will aim at the creation of opportunities for the employment of youths.

I sincerely hope that the Government is doing something practical. There are, however, no signs of activity in that direction. It is a tragedy with which all honorable members - at all events those who reside in their electorates and live in any except the most favoured areas - must be familiar. Letters from, and interviews with distressed parents, and even -the young people themselves, bring home emphatically to every man of ordinary human sympathies the need for practical attention to the subject. That the need is .pressing, no one will deny; but when it is found that the Commonwealth is leaving the problem to the States, and that even its own business undertakings discharge youths as they approach the age of manhood, one wonders whether collectively the Government realizes the full portent of tha declaration in the Speech of the Governor-General, or its obligation to the youth of this country. In the Postal Department, when messengers reach the age of eighteen years, they are thrown on to the world, where they cannot hope to obtain any form of employment. Apparently, the Government is content to allow that state of affairs to continue.

The British Ministry of Transport compiles statistics which illustrate the relationship of the various sections of employable people who are out of work, and give the total number of unemployed. They are divided into four groups under the heads “ Men “, “ Boys “, “ Women “, and “ Girls “. They are classified in three classifications, two of which - the wholly unemployed and the temporarily stopped - have reference to those who normally would be in employment. The third classification covers persons normally in casual employment. In August, 1934, the total number of wholly unemployed was 1,598,338, of which 62,126 were boys, and 48,537 were girls. Of the total number under the head “ Temporarily stopped “, 6,517 were boys, and 5,400 were girls. The figures for persons normally in casual employment are not large enough by comparison to have any serious effect upon the position. For all classes the total was 2,136,578, consisting of 1,692,319 men, 6’8,715 boys, 321,603 women, and 53,941 girls. In August, 1935, however, whilst the total number of unemployed in all groups and classes had decreased by 188,614, the number of unemployed boys and girls had substantially increased. There were wholly, unemployed, 1,533,259, of which 1,230,719 were men, 64,692 were boys, 184,108 were women and 53,740 were girls. Of those under the heading “ temporarily stopped 227,774 were men, 5,702 were boys, 96,540 were women and 4,403 were girls. Passing over the casual employment figures, because of their small relationship to the main figures, we find the aggregates for each group to be 1,537,022 men, 70,483 boys, 282,312 women and 58,147 girls, the total being 1,947,964= - a decrease of the number of unemployed persons of 188,614 in twelve months. Whilst the general figures show an improvement, those for boys and girls are of a depressing character, and are as follow : -

The total increase was 5,974. There are, unfortunately, no group or classification records of this kind kept in the Statistician’s Department in Australia, but there is no reason to believe that the situation is any different in this country. If the increasing intensity of appeals for assistance in obtaining employment for youths is to be taken as a reasonable indication of the real state of affairs, then the evil is growing, particularly in regard to young men. Recently I have been besieged with requests for assistance in obtaining employment of any kind, mainly for youths between the ages of seventeen and 21 years, and even for young adults, but, so far as I am aware, I have not been able to give effective help in any one case.

Inquiries from officials of the Boys Unemployment Bureau, in Melbourne, revealed a similar state of affairs. The replies given from that source indicate that whilst there are some prospects for boys of the age of fifteen and sixteen years, there is little or no chance, even if they have good qualifications, for youths between the ages of seventeen and 21 years. Some of those who were fortunate enough to obtain employment soon after leaving school have been put off when nearing adult age to make room for younger and cheaper boys. During the period of despondency which followed the process of deflation, the number of apprentices to the skilled trades became so reduced that there is now a shortage of competent artisans. That organizations such as the Boys Development Bureau are doing their utmost in every way, no one will deny; but, despite their efforts, they only touch the fringe of the problem. The Government should take the initiative and ascertain its dimensions and character by making funds available to deal with it effectively. There is no hope for many of the younger generation, particularly for those between the present school leaving age and the adult age, unless the problem is attacked earnestly, instead of being talked about, and unless the friends of the Government, as well as its opponents, show their dissatisfaction at the apathy of the Ministry.

A report issued by the Ministry of Labour in Great Britain on juvenile employment for the year 1933 contains much valuable data. It covers the work of local juvenile employment committees in five divisions in England, and one each in Scotland and Wales. These committees number 340, and cover the principal centres of population and industry. Their chief duties are -

  1. To advise boys and girls and their parents, especially at the time the juveniles leave school, on the choice of a suitable career.
  2. To help to obtain the required employment.
  3. To endeavour to meet the demand of trade and industry for young labour.
  4. To keep in touch with boys and girls during the early years of their industrial life.

In addition to a brief summary of the employment position during the year, the report covers the supply and demand for juvenile labour, the increased supply of labour during 1934, the industrial distribution of insured juvenile population, the nature of juvenile unemployment, juvenile transference, displacement of labour, non-progressive occupations, the work of vocational guidance, the preliminary stimulation of interest, vocational advice, industrial supervision and after care, continued education and instruction, juvenile welfare and new legislation. In the year reviewed by the report it is recorded that the three provisions of greatest importance were -

The provision for lowering the age of entry into insurance to correspond with the school leaving age.

The provision for securing notification from the employer when any boy or girl becomes unemployed.

The provision for requiring and enforcing the attendance of all unemployed boys and girls, whether claiming benefit or not, at courses of instruction.

Although we have no unemployment insurance legislation, and no Commonwealth department through which data of a character similar to that compiled in the United Kingdom and other European countries could be obtained in regard to the employment of youths, must we wait until legislation has been passed ? Is it not possible for the Government to utilize the machinery of the Commonwealth Statistician’s Department, and to co-operate with the States in the direction of obtaining such information ? We were told that a survey of the position was to be made ; but, so far as I can see, this work has not been commenced. A reasonable deduction to make is that, despite the fact that there is ample information upon which to base a plan of action, the Government has made no attempt to carry out its promise in this regard. In the May issue of the International Labour Review, is an article headed “ Unemployment among young people “ by Henri Fuss, who states -

Unemployment among young people is a menace to the future of society. This is what gives it its especial seriousness. For the moment, the position of the head of a household who is out of work, and thus unable, in spite of the best intentions, to save his family from the hardships of poverty, is infinitely more painful; but it is not difficult to indicate the remedies for the more tragic consequences of his position. When people are out of work through no fault of their own, they have a right to claim from society some form of help, either insurance benefit or assistance, which will lighten the immediate and material bur-, don of their poverty and will also, with an eye to the future, protect the health of their children from the lasting after effects which poverty only too often entails.

We are assured that even in the Federal Capital Territory, which is under governmental control, many children are suffering from malnutrition. The author whose words I have cited goes on to deal with the evils arising from the knowledge possessed by those of marriageable age, but who cannot afford to enter into matrimony, and he follows with telling paragraphs regarding the damage thus done to the character of the future citizens. He proceeds -

For all these young people alike - from the juvenile of fourteen to the young adult of 25 - it is the ordinary walks of life, which should have given them a cheerful welcome, that are closed to them by the gloomy barrier of unemployment. And what are their mental reactions likely to be? Will they rebel against the injustice of their .fate? Only the best of them are likely to do so, those in whom a sense of human dignity is firmly implanted. And if their indignation is properly guided and enlightened it will lead them to claim social improvements and to secure the necessary reforms. But more often than not, as investigations show, young people who have been hard hit by unemployment are not galvanized into action, but are rather discouraged by the failure of life to keep its promises ; they lose all will-power, all inclination to work, all sense of personal dignity. This is the social danger inherent in the unemployment of young people, and it is this damage to character that must be seriously resisted.

This subject concerns all honorable members, and if we on the Opposition side allow the Government to “ fall down on the job “, a spirit of revulsion and condemnation will inevitably be kindled.

Mr Archdale Parkhill:

– The Government will not fall down on its work.

Mr DRAKEFORD:

– It has failed already in this matter for up to the present time no attention has been given to it. The writer calls attention to the danger in the following words: -

Not only is the danger widespread, but it is of vast dimensions. It is the future, not of a few thousand, but of several million young people which is at stake. The International Labour Office has estimated from the available statistics that throughout the world some six million young people under 25 years of age are at present unemployed. Of course they are not all permanently unemployed, but if they are not it is because there is a much greater number, no doubt more than twice as many, who are intermittently unemployed for more or less prolonged periods, and, who are accordingly more or less affected by the dangerous consequences of unemployment.

The subject is thoroughly examined in a series of paragraphs, and it is pointed out that there is urgent need to keep statistics for the purpose of throwing light on this social evil. I shall quote another brief extract which is most informative. [Leave to continue given.] The quotation of the author’s concluding paragraph should help the Government to make up its mind to shake off its lethargy, and to do something of real benefit to the young and adult sections by sparing them the demoralizing effects of having no remunerative occupations. Henri Fuss sums up in these words -

To conclude this brief survey of a subject which is as complex as it is serious, one possible objection may be forestalled. All the measures proposed here are expensive. Are they not more than a great many States can afford? Here we arc approaching the root of the problem of unemployment. If so many workers are unemployed, is it not because there is not a sufficient demand for the product of their work? But effective demand implies a readiness to spend. Ought not governments then to set an example, as some of them have realized they should do, by following a policy of business expansion, more especially by carrying out public works on a large scale and incurring other expenditure of social value?

Much was said in the Governor-General’s Speech as to what the Government intended to do to relieve unemployment, but it has done nothing. I do not know how it will justify before the public its waste of the time that has been at its disposal. Henri Fuss concludes -

Who will deny that expenditure calculated to save the younger generations from the mental and moral degradation to which prolonged unemployment exposes them is of the utmost utility? The future of humanity is at stake. By accepting the expenditure necessary to deal with unemployment among young people, the States will not only be protecting the future of humanity, but will also be putting up an effective reaction against certain factors in the present depression, which have their origin in the refusal to spend.

Are the members of both parties sitting behind the Government content with a mere declaration of policy? Is it their desire to see the whole period of the life of the Parliament frittered away in the making of a survey which, apparently, will take three years to complete? Do those representatives of constituencies wherein a considerable amount of money has been made available for relief to those on the land, feel justified in leaving the question of unemployment relief in Australia, with thousands of its future adult population without any prospects of employment and devoid of hope, to the tender mercies of a government which takes twelve months to consider how even to begin to operate its unemployment proposals? I believe that there are honorable members on both sides of the House who prefer immediate action to the expression of good intentions for the future. It must be realized that the altered situation of a mechanized world, with idle humans in want and misery, and production so great as to cause enormous waste and give rise to useless restriction, can only be successfully met by new and unorthodox methods. Because of that, I ask for support for the amendment moved by the leader of my party as an indication to the Government that it cannot be permitted any extension of time in which to frame a comprehensive plan to deal with a situation known and recog- nized when it assumed office, but in respect of which, so far, it has made no real effort to provide a remedy.

Progress reported.

page 1093

BILLSRE TURNED FROM THE SENATE

The following bills were returned from the Senate without amendment: -

South Australia Grant Bill 1935.

Western Australia Grant Bill 1935.

Tasmania Grant Bill 1935.

Sales Tax (Financial Relief) Bill 1935.

States’ Grants Bill 1935.

House adjourned at 3.50 p.m.

page 1093

ANSWERS TO QUESTIONS

The following answers to questions were circulated: -

Petrol: Excise Duty: Blending with Kerosene

Mr Scholfield:
WANNON, VICTORIA

d asked the Minister for Trade and Customs, upon notice -

In view of the intention of the Government to exempt from excise duty petrol obtained from coal and shale, will . petrol obtained from Australian-produced crude oil be included in this exemption?

Mr White:
Minister for Trade and Customs · BALACLAVA, VICTORIA · UAP

– It is not the present intention to exempt from excise duty petrol produced from Australian crude well oil. The reason for applying this exemption to petrol produced from Australian coal and shale was because it is generally recognized that . costs of production of petrol from these sources are higher than from well oil.

The information is being obtained, and will be furnished as soon as possible, in answer to a series of questions asked by the honorable member for Wakefield (Mr. Hawker), regarding the blending of kerosene with petrol.

Australian Broadcasting Commission: National News Service.

Mr Archdale Parkhill:
UAP

l. - The information is being obtained, and will be furnished as soon as possible, in answer to a series of questions asked by the honorable member for West Sydney (Mr. Beasley), regarding the broadcast of international news by the Australian Broadcasting Commission.

Italo- Abyssinian Dispute

Mr Curtin:

n asked the Prime Minister, upon notice -

  1. Has his attention been directed to the statement made by Professor A. H. Charteris in the Sydney Morning Herald of the 22nd October, to the effect that the terms of the assurance given by M. Laval, in reply to certain questions put to the French Government by Great Britain, may reasonably be construed to relate to the British Government’s use of French dockyards and bases in the Mediterranean ?
  2. Has the Prime Minister any knowledge of the questions and answers in relation to this matter, and whether any arrangement has been made either by Great Britain or by the Australian Government in respect to the use of French dockyards and bases by H.M.A.S. Australia or other vessels of the Australian Navy?
Mr Lyons:
UAP

– The answers to the honorable member’s questions are as follows : -

  1. Yes.
  2. The Commonwealth Government has no information on this matter.

The “ Soviet To-day.”

Dr Maloney:
MELBOURNE, VICTORIA

y asked the Minister representing the Postmaster-General, upon notice -

  1. Is the recent official prevention of the delivery of the publication Soviet To-day to the address of the honorable member for Melbourne directed towards preventing that honorable member from learning the truth about Russia?
  2. Does the publication referred to contain any indecencies, “ quack “ patent medicine advertisements, or adulterated food advertisements ?
Mr Archdale Parkhill:
UAP

– The answers to the honorable member’s questions are as follows: - 1 and 2. The transmission of this periodical magazine through the post is at present the subject of proceedings before the High Court. It is not the practice to answer questions relating to matters sub judice.

Treasury-Bills held by Banks.

Mr Casey:
UAP

y. - Inquiries are being made and a reply will be furnished as soon as possible, to a question asked by the honorable member for Capricornia (Mr. Forde) regarding the amount of treasury-bills held by the Commonwealth Bank and trading banks.

Commonwealth Loans: Contributions.

Mr Casey:
UAP

y. - The information is being obtained, and will be furnished as soon as possible in answer to a question asked by the honorable member for West Sydney (Mr. Beasley) regarding subscriptions to the last six Commonwealth loans.

London Funds.

Mr Casey:
UAP

y. - The information is being obtained, and will be furnished as soon as possible in answer to a question asked by the honorable member for Capricornia (Mr. Forde) regarding the amount of London funds held by the trading banks.

Cost of Paper.

Mr White:
UAP

e. - The information is being obtained, and will be furnished as soon as possible in answer to a question asked by the honorable member for Bass (Mr. Barnard) regarding the cost of paper for newsprint and stationery.

New Guinea Public Service.

Mr Lyons:
UAP

s. - Yesterday the honorable member for Wide Bay (Mr. Bernard Corser) asked me a question, without notice, in regard to the appointment of cadets to the Administration of the Territory of New Guinea. I am now in a position to inform the honorable member that 1,736 applications were received. Three appointments have been made, and thirteen vacancies have yet to be filled. The names of the three successful applicants who were despatched to the territory in response to an urgent request from the Administrator are - N. D. Mcwilliam; C. R. Croft; R, G. Ormsby. The Commonwealth Public Service Inspectors in the several States have been asked to interview 58 candidates who, after careful examination, are considered to be the most suitable, and the final selection to fill the thirteen vacancies will be made after the receipt of the inspectors’ reports.

Wireless Broadcasting: Prevention of Broadcast Lecture

Mr Archdale Parkhill:
UAP

l. - On the 23rd October, the honorable member for East Sydney (Mr. Ward) asked the following question, upon notice: -

Will he supply for the information of honorable members details as to what rules or regulations of the department were not complied with by a person styling himself “ The Plain Speaking Gentleman,” which led to the prevention of the broadcasting of a speed) intended for delivery over Station 2SM?

I am now in a position to furnish the honorable member with the following answer to his inquiries: -

The facts of the case in question are as follow. -

An anonymous person, signing himself “ The Plain Speaking Gentleman “ forwarded a letter intimating his intention to broadcast on the question of Australia’s defence. With a full realization of the delicate international situation and the possibility of matter being broadcast which would be inimical to the national interests of this country, combined with the fact that the letter from “ The Plain Speaking Gentleman “ indicated a highly critical attitude concerning the defence of the Commonwealth, the department approached the management of the station in question to ascertain whether the proposed statement had been approved as suitable for broadcasting. The opening passages only were read over the telephone by the station manager, and a departmental view was then expressed that it appeared unwise to broadcast such statements in the prevailing unsettled conditions. The manager, who had not previously read the transcript, apparently agreed with this view, as he took no further steps in the direction of submitting the transcript, as he would be expected to do in such circumstances. The statement has not since been broadcast, as presumably the manager decided not to proceed any further with the matter.

The censoring of broadcast addresses is obviously a matter of difficulty, but, fortunately, station managers realize their great responsibilities to the community in the control and management of a service of such great potentialities for good or ill, and they have usually exercised a wise discrimination in the treatment of subjects of a highly controversial character, which might be definitely harmful or might cause justifiable offence to a section of the community.

If any person is so concerned about national welfare that he would feel justified in making highly critical public comment, it is surprising that he would wish to hide Iiia identity. This aspect is receiving special consideration to determine whether it would not be wise to insist that all those who address the public through the medium of a broadcasting station shall be compelled to disclose their complete identity beforehand.

Cite as: Australia, House of Representatives, Debates, 24 October 1935, viewed 22 October 2017, <http://historichansard.net/hofreps/1935/19351024_reps_14_147/>.

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