Full day Hansard transcript
Transcription
Full day Hansard transcript
Questions and Answers. [6 '-MAR.;l946.] iifjrgi5latitlt 'i\.a.5ttitbly. W~ednesday, ' 6 JJ!arch, 1946. Que>tions. without Notice--Food and ;)ledical Supplies for ·the• Dutch· Ea>t Jn(lies ()lotion of {;rgency) · -Oommonwe·1lth aPd Stnte -Fnu!Ung. Agrrement Rill-State Brickworks Bill l •coi1d readirg)-- ·l:i'ormo£an and Korean Uep_atlJ<.~tcs·: -0\'erci:owd- ~ ing on -Y~izuki. •Mr. ·SPEAKER took the chair. The ·Op!'lning Pl,'ayer .was .read. QUESTIONS ~~WITHOUT .'.NOTICE. FREDERICK LEITH DAVIDSON. Captain ARTHUR: I ask the Minister for Labour and Industry whether it is a fact that an application has been lodged with the Industrial Commission of New South Wales by Frederick Leith Davidson, secretary-treasurer of the New South Wales Fruit Shopkeepers' Association, for a variation of the Shop Assistants, Confectioners, etc. (Metropolitan) Award of 21st August, -1942, which, in effect, requests that the ''equal pay" clause be deleted from the award? Is it a fact, too, that this is the. same gentleman who is continually featured as a representative of the working-clas~ in .the communistic journal, Tribune? Will the Minister say whether this gentl~man is a prominent member of the Communist party? If the Minister is .not in a position to make a full statement now with regard to the affiliations .and activities of this gentleman, .will he .have a comprehensive inquiry made into these .allegations in order to reveal him .in his true light? Mr. KNIGHT: It is true that an application has been made by Mr. David.son, . who is secretary-treasurer of the Ne.w South Wales Fruit Shopkeepers' Association, for a variation of the· Shop .-Assistants, Confectioners, etc. (Met·ropolitan) -Awai;d. I .have no knowledge of. his ·political ,affiliations, but I will .make inquiries and let the hon- mem·ber know their result. Questions and~A i~swm·s:. · ·2495 .REl\IISSION OF PRISON SENTENCES. Mr. TR.RATT: Will .the AttorneyGeneral lay on the table of the House the files in. re]ation to the prisoners whose sente:pces have. been remitted by the Minister of Justice? Major MARTIN: I do not intend to take any .such ,action. I shall refer the matter to my colleague, the Minister of .Justice, to,see .what his yiews are. TRAM. AND J3US .. E:MPLOYEES: .PENSIONS. Mrs. FOWLER: Following a reply given to me by the Minister for Transport last .week, that the .combined tram and bus employees had not submitted a scheme to him, will he say whether it is a fact that these employees submitted a.scheme for doubling their contribution from H per cent. to 3 per cent., so that they could receive a pension of the basi~ wage, instead of about £2 lOs., as at present? Is it a fact, too, that the.scheme embodied a plan whereby the employee's widow, dependent mother or invalid child col\ld benefit? If these are facts, wiii the Minister now say when he will invite a representative of the union concerned, who will be able to give firsthand information as to the employees~ requirements, to take a seat on the committee? .Mr. O'SULLIVAN: The han. member for Newtown previously asked me a question on similar lines, and I replied that the combined tram and- bus employees had not submitted a scheme for superannuation, but for gratuities. I still say that is the c:;ase. Only yesterday I discussed this matter with representatives of the unions concerned. Whether they take a seat on the committee will be .determined in due course. Already the committee is determining what form of superannuation should be introduced in order to cover the men wh() are not already covered. Immediately I receive some information from that committee they will be invited to take ·their r.•;ats. ~496 Questions and Answers. [ASSEMBLY.] l!"OR:1110SAN WOMEN REPATRIATES: SHIPBOARD OVERCROWDING. Mr. DRU11:MOND: Will the Premier convey to the military authorities .of Australia the appreciation of this ]louse in saving Australia from the out.standing disgrace of permitting 100 ·women and others to be transported to .Japan in a ship that is already over·crowded with men? Mr. McKELL: I must admit that I ]mow nothing whatever about the matter referred to by the hon. member. I suggest that he should bring the facts under my notice, and if he does I will see what :action is necessary. EVICTIONS OF TENANTS. Mr. MATTHEWS: I ask the Premier -whether it is a fact that many tenants .are receiving eviction orders on the ,ground that the applicant claims that the ~Jroperty requires reconstruction or rel10Vation? In Tiew of the acute short.age of houses, will the Premier consider .amending the Act to prevent the enforce:ment of eviction orders on the ground ·Of reconstruction or renovation? Mr. 11:cKELL: I am prepared to .examine the State law, and also the re.{?;ulations under the National Security Act to see whether the Government can take further action with a view to pre·venting unnecessary evictions. RAILWAYS: ISSUE OF SOAP AND TOWELS. Mr. DARBY: I ask the Minister for Transport whether he can inform the .House when a piece of soap and a towel will be available for passengers trave11jng by train? Mr. O'SULLIVAN: When the other passengers refrain from itaking them ..away. ZONING: MILK AND ·BREAD. Mrs. QUIRK: Will the Minister for 'Social Services say whether it is a fact that master bakers and milk companies l1aYe decided to continue zoning, despite ·the Government's decision that it shall ;he abolished? Is it a fact that they J1ave threatened not to supply these Qttestions ar,d Answe1·s. necessary commodities to any .one commencing business? Is it further a fact that these two industries have made huge profits out of the housewife because of zoning during the war period? Is it also a fact that these monopolies are keeping out of employment men who are desirous of opening these businesses? lf these are facts, will the Minister take steps to see that the law is obeyed in its entirety and, furthermore, take action against these firms if they so offend? Further, will the Minister take some action against these men who are threatening intimidation and see that other men who made great sacrifices in their fight for freedom are allowed t~~> earn an honest living? 11:r. KNIGHT: I am not aware of the action mentioned by the hon. member. A great deal 'Of press publicity was given against this Government and the Federal Government retaining any form of zoning. It was sugg.ested that the only things that stood in the way of people having a free choice in these matters were the regulations relating to zoning, and that if the Government wouid give private• enterprise a free hand everything would be all right . However, when the Federal Government lifted the zoning regulations there was a public outcry that the Government should take some action against somebody because something had not been done. I do not know of any law that gives an Administration power to direct or compel anyone to deliver goods to anyone. I have seen statements in the press that certain people will not deliver ice, bread, or milk outside their present zoned areas. I know of no law that can be brought into being to compel them to do so. So far as I know there has always been an arrangement between the purchaser and the seller, but there has been a great deal of criticism in regard to zoning which is largely based on something that did not affect zoning but on the fact that no deliveries were being made. It was stated that women had to stand in queues because storekeepers did not deliver goods. The facts are that milk is delivered to the household seven days a week, and that Questions and Answers. (6 :h!AR., 1946.] :bread is delivered six days a week and ice four days a week. The goods that ·were not zoned were those that were cau.sing all the public criticism because there were no deliveries. I have called :a conference of the storekeepers and those associated with the delivery of ,goods for Monday next for the purpose -of finding out whether there is anything in the way of delivery of goods that I, ·as Minister, or the Government, can do :in order to facilitate the delivery of goods to the people. I appreciate the fact that in the war years the house-wife was called upon to do more than .her fair share. She was called upon viriuall,y to become a pack-horse. I think that any storekeeper who refuses to de1iver goods when he could do so is doing something that is most reprehen·· ·sible. I am hoping, if it is a question -of the release of vehicles, tyres or petrol, that as the result of the con-ference on J\.fonday we might be able to -find some way to help. EIGH SCHOOLS: COUNTRY CENTRES. :hfr. CHAFFEY: I ask the Minister for Education whether it is a fact that :a Minister in the present Government has claimed publicly that he received a :special concession for a town in his electorate, in that the Department of Edu-cation waived the condition requiring a -certain attendance at high schools, in ·consequence of which the status of the :school in that town in his electorate was raised to that of a high school~ If my information is correct, would the :Minister be willing to extend that con-cession to other country areas~ Mr. HEFFRON: I do not know of :any Minister of this Government making such a statement, and it is certainly not true that high school status has been given to any school in any electorate, without the necessary number of pupils. HOUSING: COUNTRY BRICK SUPPLIES. Mr. DAVIDSON: I ask the Premier whether it is a fact that there is a shortage of houses in most of the country towns throughout the State~ Is it 7T Questions and A nswe1·s. 2497 a fact that this is one of the causes of the drift of the population to the city? Is it a fact also that decentralisation is a prominent part of the policy of the Government? If these are facts will the Premier consider in conjunction with the State Brickworks proposal which is now before the Douse the establishment of brick kilns in the larger country towns, particularly at Broken Hill which is isolated and much in need of bricks and thereby save freight from the city to the country? Jl.fr. 1foKELL: I understand that there is a shortage of houses in most country towns. I am prepared to investigate the matter of the production of bricks in country centres and also to take whatever action is necessary to increase it. GAS AND ELECTRICITY RESTRICTIONS. Mr. HUNTER: I ask the Minister for Local Government whether it is a fact that for about a month at the last Christmas period, due to industrial disputes, he was forced to restrict the use of gas and electricity in a manner previously unparalleled, and that he commended the peopll:) for playing fair by the restrictions he was forced to impose? Is it a fact that the restrictions are not reflected in the accounts rendered for those commodities, but rather that there have been substantial increases? If these are facts, can the Minister throw any light on the seeming anomaly? Mr. J. J. CAHILL: It is a fact that rationing of gas and eleCtricity was· imposed about last Christmas time and that since accounts have been rendered covering that period certain complaints have been made that the electricity accounts rendered do not reflect the reduction that the consumers think took place. I do not think I have had any complaint in regard to gas accounts. There have also been letters received in the department showing a saving on the accounts. I referred these matters to the supplying authority, the Sydney County Council. It was generally expected that because of rationing there would be a substantial reduction in the quarterly accounts.. · 2498 Questions and Answers. [ASSEMBLY.] but in many cases this has not eventuated. The explanation tendered to me is that the charges for electricity arc based mainly on a "residence" rate, under which a charge of Hd. is made for w many units and a fraction of a penny for subsequent units consumed. The savings wei·e not effected on the Hd. units but on those charged at a fraction of a penny. It must be borne in mind also that the public was permitted to use electricity for the cooking of the evening meal and one light was permitted until a certain time. "While the restrictions caused great inconvenience, the quarterly accounts have not reflected the savings to the extent expected. I appreciate that there is cause for complaint but am assured by th.:1 supply authority, the Sydney County Council, that the charge has been· made only in accord.ance with the reading of the meters and that if a perwn considers his account to be incorrect, his meter will be checked. During the rationing period large numbers of persons co-operated to the fullest possible extent, though others failed to comply with the restrictions. I am assured by the County Council that no charge has been levied that !'hould not have been made and as that body is the supply authority I must accept that statement unless something is proved to the contrary. WESTERN DIVISION· CO~TDITION OF ROADS. Ques~ions and Answers.' MANUAL TRAINING: TENTERFIELD ELEC'l'ORATE. Lt.-Colonel BRUXNER: Is the Minister for Education aware that the· teacher of manual training at the Cen-· tral School at Tenterfi.eld is compelled to travel 100 miles to take a class at the Emma ville Central School? As this is neither fair to teacher nor pupil-Mr. SPElAKER: Order! The hon. member is expressing an opinion! Lt.-Colonel BRUXNER: Will the llfinister see that a manual training teacher is appointed to the Centra] School at Emmaville~ · 11£r. HEFFRON: I am not aware of the facts mentioned by the hon. member but will look into the matter immediately. The distance mentioned is too great for a teacher to travel and .if it is possible to comply with the hon. member's request it will be done. FARM REQUISITES: 11fr. FINN AN: Will the Premier say whether it is a fact that large stocks of galvanised barbed wire, galvanised: rabbit-proof fencing, steel posts and corrugated fibro are deterior.ating at the Army depot at The Speedway, Penrith? Is it a fact also that many primary producers in the Hawkesbury district have had urgent orders placed for these materials for the last eighteen months'? If these are facts, and in view of th<1 urgent need of primary producers and ex-servicemen for these materials, will the Premier ask the Minister for the Army for the immediate transference of these materials from the Army to another department for disposal to those io u~gent need of them~ Mr. HORSING TON: Will the :Minister for Transport say whether it is a fact that because of recent heavy rains, ro~ds in the \Vestern Divi~ion are in :1 very bad condition and that many of them are impassable? If this is a fact will he ask the :Main Roads Board to increase the maintenance staff on these · ]l{r. McKELL: I do not know that roads, particularly the road from it is a fact that there are large stocks. l3roken Hill to Tibooburra. so that they of the materials mentioned by the bon .. : may be put in reasonable travelling member on hand, but I am certainly pre<In·der ~ 11£r. O'SULI,IV AN: It is a fact that pared to take the bon. member's worcJ recent rains have badly damaged the for it, and I shall make representationg roads in the Western Division and if to the Commonwealth authorities with possible effect will be given to the hon. a view to their being made available for member's sugg-estion. civil purposes. F'ocd and ~nfedical81tpplies [6 MAR., 1946.] '· FOOD AND MEDICAL SUPPLIES FOR 'l'HE DUTCH EAST INDIES. MOTION OF URGENCY. Mr. TREATT (Woollahra) [2.51]: I move: That it is a matter of urgent necessity that this House should forthwith consider the following motion, viz.: "That this House is of opinion that,(1) 'l'he organised attempt by '\.tterside disruptionists to prevent the despatch of food and medical s11pplies to the peoples of the Dutch East Indies is a flagrant de· fiance of constituted law and order and a cruel insult to a gallant ally. (2) This Parliament calls upon the Com· monwcalth Government to exercise the full authority veste-d in it by the Constitution to allny Dutch suffering and maintain Australia's honour. ( 3) That the terms of this resolution be conveyed to the Prime Jl.iinister of Aus· tralia. On the question of urgency, I think it will te conceded by members on both sides of the House that Australians have teen shocked at the circumstance that medical supplies and food for the relief of women and children in the Dutch East Indies bave been denied to the wives and children of men who fought with and for us. It is a matter of urgency, I submit, that this motion, if it be >:cceptable to the House, be passed forthwith and forwarded to the Commonwealth Government, cecause reflection, I think, will satisfy the House, having regard to the history of the matter. that th Commonwealth Government will corcliallv recei1•e :mel be glad to have the expr~ssecl opinion of the Parliament of New South Wales that every action should te taken to restore Australia':3 honour and to bring relief to these people. It is a matter of common knowledge that the Federal Parliament meets to-clay. No ·doubt the House is aware that an opportunity will be taken to bring these matters before that Parli~ment, and surely it is urgent that all parties in the Federal Parliament, if thev take the view that I am sure this Ho~1se will tnke. should have the suprort of the Parliament of New South Wales, which is comprised of members who i''·e in close toueh with the events that have led to the degradation of fer Dutch East Indies. 24!)!) Australia?s name. It is no use mincing words. On the question of urgency, I submit that we cannot wait for the forms of this House to be gone through, by notice of motion, before something is done in regard to this important matter. If something is to be done, it will have to be done immediately. The iron must be struck while it is hot. Every effort must be made by enlightened anJ responsible citizens to see that the Commonwealth Government obtains the support _and encouragement of the responsible people of New South Wales. I submit that the matter is urgent, Mr. Speaker, because our feelings of humanity have been outraged and Australian honour is involved in the determination of this issue. Question put. The House divided: Ayes, 24; noes, 47; majority, 23 .. AYER. Bate, Jeff Black, I. C. Brai11, G. W. Bruxner, Lt-Colonel Darby, E. D. Dickson, S.D. Drummond, D. H. Frith, W. Gollan, G. C. Rearnshaw, E. Howarth, W.A. H. Hunter, D. B. Jackett, H. G. Arthur, Captain Baddeley, .J. M. Cahill, F. J. Cnhill, J. J. Cameron, R. Chanter, Major Davidson. M.A. Davies, W. Enticknap, A. G. Finnan, F. J. Fowler, Mrs. L. Freeman, J. S. Geraghtv ..J. L. · Gollan, w. M. Gorman, R. D. Graham. E. H. Grei!!. R. Hawkins, F. H. Heffron, R. J. Horsine-ton, E. M. Kellv. C. A. Knight. H. Lamb, vV. H. Landa, A. Jordan, L. C. Lawson, J. A. Reid, J. T. Rose, D. Stephens, S. T. Treatt, V. H. Turner, H. B. Vincent, R. S. Wingfield, C. G. Tellers, Chaffey, W. A. Robson, Lt.-Colonel NoEs. Lang,J. T. Lazzarini, C. C. Macdonald, D.P. McGirr, James McKell, W. J. Martin, Major Matthews, C. H. Nott, R. B. O'Halloran, R. E. O'Sullivan, M. Qui1·k, Mrs. M. Renshaw, J. B. Robertson, C. G. Seiffert, J. W. Stanley, F. Storey, S. A. D. Sweeney, J. T. Ton~e. A. 'l'nlly,.T.M. Weir, G. Williams, A. J. L. Tellers, McGrath ..T. F. Woodward, H. P. J. 2500 Questions and Answers. [ASSEMBLY.] PAms. Mair, A. Richardson, A. Carlton, W. J. Hamilton, R. G. Question so resolved in the, negative. QUESTIONS· WITIICUT NOTICE (Resu~ned). SOLDIER SETTLE£.<IENT. Mr. SEIFFERT: I ask the Minister for La)lds whether it is a fact that he has issued, closer settlement proclamations over ni11e large properties in· the Monaro electO.l'ate in connection with the settlement of returned soldiers on the land~ Is it a fact, also, that there is a. general reluctance on the part of the companies and others who. own these large a~:eas, to release their surplus lands for the soldiers? If these are factsand to show these owners that the Government means business-will the Jl.fini:ater take immediate <>teps to institute resumption proceedings instead of waiting for the voluntary giving up of surplus lands, which. obviously, will not 'be done to any large extent? · Mr. TULLY: It, is a fact that several have been plac·,~d over ·suitable estates in the Monaro .district, :and vario.us other parts of K ew South Wales. Tb,ere is also a disposition on the part of some holders to ask for a nigher price than would ordinarily be required, but nevertheless a fair number of large holders are prepared to sell parts of their estates to the Government. Naturally these sales can be effected much more expeditiously in a voluntary :and amicable. way, and rather than enforce a resumptioi.\, we are giving preference to those holders who are pre·pared voluntarily to submit their properties to the Government. I want the ·House to realise that sometimes resumptions mean a lot of expense and the -collection of considerable evidence; sometimes it will add lOs. an acre to the cost of the .land, and by the time- the -court deals with. the resumptions and disturbance d0lay-s of up to twelve months are occasioned. We, therefore, -prefer to come to some voluntary proclamation~;> Questions and A nsu·e1·s. arrang·ement with respect to the acc;ui-: sition of these estates, because where compulsory :~:es1,llllptions take place, delaY.s of up to eighteen months · are occasioned before the estates are finalised. TEACHERS' TRAINING COLLEGES. Jl.lr. DICKSON: I ask the nfinister for Education whether it is a fact that the Federal Gover-nment bas been unable to make accommodation available at the agga W agga aerodrome for the purpose of establishing a teachers' training college there? If so, will the :Minister have immediate investigations made as to the possibility of obtaining suitable accommodation at Cootamundra or· Temora aerodromes for this purpose, and thus meet an urgent and pressing need? 'V Mr. HEFFRON: I shall be very. pleased to investigate the facilities at both places mentioned by the hon. mem!i>er. It is desirable to establish a teachers' college in a town where there are .a number of schools, so that the students may be able to take advantage of practice teaching. That is one of the reasons why \Vagga Wagga was regarded as a very good place to establish a college. As to the lack of accommodation, I shall he pleased to look into the merits of both the places mentioned by the bon. merober. Captain ARTHUR: When the Minister' for Education is considering the establishment of any further teachers' colleges in ~ew South Wales, will he give favourable consideration to establishing one in the Newcastle district, where all the facilities that he has mentioned are av.aila ble ~ :Mr. HEFFRON: I shall be very pleased to give consideration to the merits of the Newcastle district, too. Jl.fr. ENTICKN AP: Following a question I asked last week in regard to the proposed teachers' colle~e for the southwestern portion of the State, and in view of the fact that the :Minister for Education was unable to obtain premises for Sl.lch a· college to be established at W agga Questions and Answers. [6·MAR., 1946.] Questions and Answers. . W.agga, will the Minister now give consid·eration to obtaining premises at N arrandera, which is in the centre of the south-western district~ Mr. HEFFRON: When the hon. member asked the question last week I said that we were making representations anrl very strong protests to the Federal authorities for using the camp at ·wagga W agga for the purpose of housing refugees when other places could have been used for that purpose. I suggest that the Federal authorities should reconsider their decision and let us have that camp. The situation has not .altered since I made that statement. EDUCATION: HOME SCIENCE TRAINING. Mr. WOODWARD: Will the Minister for Education say whether it is a fact that home science training provides an excellent foundation upon which to build happy and contented home life~ Is it a £.act, too, that home science schools in this State compare favourably, if not more than favourably, with those in any other part of the British Empire~ If these are facts, in order to maintain and improve the standards, will the Minister give consider.ation to a suggestion made in the press last week that a (!Ourse should be provided at the universities for the teaching of future leaders in the art of home science~ Mr. HEFFRON: I agree with all that the hon. member has suggested concerning the value of training in horne science. It can be generally admitted th.at the set-up for home science teaching in the latest schools in this State at least cornpares very favourably with that in existence in any other country. As to whether I would favour the suggestion made in the press a few d.ays' ago that the university should train leaders and confer degrees in home science, I might say that there is already provision for a degree of Bachelor of Domestic Science at the University of Sydney, though so far onl:v one person has actually completed the course. Some little time ago we went into the question of dealing with home science in a very thoroug-h way in our technical education branch. 2601 .• It is felt that all the facilities necessary for such training are there. We advertised for a lecturer in home science, and have received a number of applications. These we are now considering. When a lecturer is appointed I am sure that we shall be able to provide in our technical colleges the kind of leadership advocated in the press and to which the hon. member refers. FACTORY BUILDING PERMITS: COUNTRY DISTRICTS. Mr. FRITH: Will the Jlfinister for Labour and Industry say why applications for permits to build factories in country districts are not granted~ llfr. KNIGHT: I could not answer such a general question as that. If the hoi1. member has any particular person or company in mind that has applied for a permit to build and has been refused, and he supplies me with p.articulars, I will find out the exact reason for the refusal. We are encouraging the building of factories in country towns, particularly where there are materials available and where m.aterials other than bricks c·an be used. In some country centres ·there is a surplus of bricks, and we encourage applicants to use them. If the hon. member will give me the particulars of a specific case I shall be able to find out the facts and give him a reply. PRIVATE MEMBERS' DAY. Mr. LANG: Will the Premier state when he proposes to remove the "gag'' from Parliament by restoring private members' da:v ~ Jlf r. MoRELL: There is no "gag" on Parliament, nor has there been at any time since this Government took office. That is in marked contrast to the action of the Parliaments that preceded it. Mr. TREATT: Will the Premier inform the House when he proposes to re~tore private mem hers' da:v ~ 1\fr. SPEAKER: Order! That question has already been answered. The hem. member has merely repeated it in different language. 2502 Quest-ions ancl Answe1·s. [ASSEMBLY.] Questions and Answe1·s. HOUSING: RELEASE OF BUILDERS. TAXI-CAB PLATES. Mr. W. DAVIES: Will the Minister for Housing say whether there is a shortage of operatives in the building industry? Is it a fact that many builders who are in the army wasting their time have applied for their release and have been refused? Will ·he approach the Minister for the Army: and acquaint him with the urgent need for builders and the absolute waste of skilled labour in the running of military trucks all over the country, as well as of tyres and petrol, when these men could be employed in the building of homes? 11:r. TURNER: I ask the Minister for Transport whether it is a fact that, despite recent legislation and fears expressed by the Opposition, when that legislation was being considered, taxi-cab plates are selling at £1,500 each? Is it a. fact that this indicates a -considerable shortage of taxi-cabs, to the inconvenience of the public? Will the Minister say whether it is intended to increase the number of plates, .and, if so, to what extent? Will he further say when and on what principles additional taxi-cab plates will be allotted? Mr. JAMES McGIRR: I should like to say that there is a shortage of men not only for the building of homes, but also for the production of the materials nec,essary. The 11:anpower and Material Supply branch of the Housing Commission is constantly in touch with the manpower authorities and the army in an endeavour to have men released. It is very difficult to secure their release, but I am prepared to press the matter raised by the bon. member in order to see whether something more substantial can be done through fhe Minister for the Army. SUPERANNUATION FUNDS. :Mr. STOREY: I ask the Premier whether it is a fact that there is .::~ wide~ variation in the contributions and benefits of the various superannuation funds in this State? Is it a fact that superannuation pensioners are subject to income tax, .and do not receive travelling concessions as do other pensioners? If these are facts, is the Premier willingto set up a committee to consider whether uniformity cannot be achieved and the lot of the superannuation pensioner improved? Mr. :McKELL: The question of some uniformity with regard to superannuation payments and benefits as between the respective branches of the pu.blic service is at present under consider.ation. Mr. O'SULLIVAN: Recent le~isla tion was passed in an endeavour to prevent trafficking in taxi-cab. plates. Anyone who held a taxi registration before the passing of the Act could transfer his registration once only. If people are prepared to p.ay £1,500 for a taxi-cab plate that is their own business. There is no shortage of taxi-cabs at the present time. [Interruption.] :Mr. SPEAKER: Order! :Mr. O'SULLIVAN: If we take the two cities concerned, namely, Sydney and Melbourne, where there is no great disparity in population, we find that with our population we have 950 unrestricted taxi-cabs operating, while in the city of :Melbourne, with a population not very much lower than that of Sydney, there are only il50 unrestricted taxi-cabs. If hon. members will go into the -city they will find taxi-cabs parked in various places awaiting passengers. What is making taxi-cabs so profitable to-day is that there l1as been a restriction on tr.~.n~:>port, and taxi-cab owners have been permitted to do something that is not done ordinarily, that is, to "jitney." The moment we> are in a position to prevent that practice any taxi-cab driver who indulges in it will lose his licence. No taxi-cab licence will be issued in future unless a ballot has been previously taken. In this ballot preference will be given to returned servicemen who had previously held a licence, and the next preference will be given to ex-servicemen who now desire to become taxi-cab owners. Questions and Answers. [6 MAR., 1946.] AUSTRALIAN FILM INDUSTRY. Mr. BADDELEY: With reference to the question asked by the hon. member for Annandale concerning the exhibition of Australian films, I should like to inform him that under the existing law, motion picture exhibitors are required to exhibit two and a half per cent. of Australian films in their programmes oeach year, not five per cent. as mentioned by him. If an exhibitor exhibits <me copy weekly of an Australian newsreel that is counted as one feature film for the purpose of fulfilling his quota. So far as Australian shorts of any other nature are concerned, the provisions of the quota legislation do not apply to them. During the war years the production of Australian films fell away almost to nothing, but from information available in the department it is understood that production is now increasing. I recently approved of one Australian film, "A Son is Born," being accepted under the provisions o_f the Act as an Australian quota film, lmd it is anticipated that two other films, "Smithy" and "The Overlanders," will be submitted for consideration in the near future. There is provision in the Act that if in any year compliance with the quota requirements by exhibitors is not commercially practicable by reason of the quantity, character or exhibition value <Jf Australian films available or the excessive cost of such films in relation to foreign films, the requirements may be modified or exhibitors may be exemptoed therefrom to such extent as, in the <Circumstances, is considered reasonable. ~rhe Theatres and Films Commission is at present inquiring into the failure of -certain exhibitors to comply with requirements in respect of the year ended '30th June, 1945, but it is known that the number of Australian films available <luring that period was negligible. DUST COMPE~SA TION CASES. Mr. KJnGHT: Yesterday the hon. member for Wollongong-Kembla asked me whether it was a fact that many miners had to go on the dole system for twelve months because insurance companies are not prepared to pay compen- Housing Agreement Bill. 2503 sation until the matter has been decided by the court. In reply, I want to assure the hon. member that there is no case where the applicant has had to wait twelve months on account of the congestion in the Commission's lists. There may be dela:ys of a few months in some cases, but that is entirely clue to the parties themselves asking for adjournments. If the hon. member will furnish me with the names of the miners who have had to wait an undue length of time I wili let him know the reasons for the delay. I can, however, inform the hon. member now that there is no delay in the hearing of workers' compensation cases at \Vollongong, where the Commission sits four or five times a year. As a matter of fact, there was a sitting of the Commission at vVollongong last week when all cases awaiting hearing there were dealt with. Some litigants, instead of exercising their right to have their cases heard at \Vollongong, prefer to have them heard in Sydne,y. When this course is adopted the cases must then take their place in the S,ydne:y list. But even with the Sydne:y lists, special hearings are arranged in Sydney for vVollongong cases to suit the convenience of the parties' solicitors. I should like to inform the hon. member further that the majority of claims for compensation by South Coast coal miners are dealt with by conciliation through the Commission's Conciliation and Information Dureau, and awards are made immediately after the findings of the Medical Board. There is no delay at all when the parties use the services of the Com· mission's Conciliation Bureau. In thos.:; cases where the parties prefer to liti-· g·ate the dispute in open court, delay car; be reduced to a minimum if they have the cases heard in W ollongong. COMMONWEALTH AND STATE HOUSING AGREEMENT BILL. :Mr. J AlliES llic:GIR.R (Bankstowu) :Minister for Housing [3.20] : I move: 'f·hat leave be given to bring in a bill to appro1•e :mel rntify an agreement between the Commom1·ealth ancl the States in rclat ion to housing; ancl for purposes connected therewith. This Bill which I present to the Hou&e approves an agreement between the Commonwealth Government and the governments of the various States of .Australia. .At the Premiers' Conference in January 1944, the then Prime Ministe·r put forward a proposal for a Commonwealth-wide post-war housing scheme. The proposal, br.iefly, provided that the Commonwealth Government would make loan moneys available to the housing authoritie& set up by the various States, which were to build homes primarily to meet the needs of the low income groups, large families and servicemen and servicewomen, and to provide certain rent rebates. The proposal was generally approved by the Premiers' Conference, which directed that the officers of the Commonwealth and the respective States &hould meet to prepare an agreement covering the proposal. The officers subsequently met and a resultant draft agreement was submitted to the Premiers' Conference in .August, 1944. .At the conference the various clauses of the agreement were discussed in detail and certain principles were agreed upon. It was directed by the conference that a further meeting of Commonwealth and State officers be called to determine certain administrative details. That meeting was held in Melbourne in June, 1945, when the draft of the agreement was carefully revised. The agreement was again submitted to the Premiers' Conference in .August, 1945, where final agreement was arrived at. The draft agreement having been subjected to the close scrutiny of the Crown Law authorities, officials of the Treasury and of the Ministry of Housing in this State, and the appropriate authorities in the Commonwealth and the other States, the agreement has now been signed by the Prime Minister and by the Premiers of the respective States. The agreement provides that, before it becomes effective, it must be approved by the Parliament of the Commonwealth and the Parliament of each of the States. Information has been received Mr. James McGirr.] that a bill approving the agreement has been passed by the Parliament of the Commonwealth and by the Parlia-· ment of each of the States, with the· exception of Victoria and New South Wales. It is now necessary, therefore,, for the agreement to be approved and ratified by thi& State. Mr. TREATT (Woollahra) [3.24]::: This bill obviously will require careful consideration, not that it would appear that this Parliament will have much say as to its contents. It conforms to the pattern of similar bilis and follows the trend of events in our national life consequent on the war, in that the Commonwealth Government, admittedly after consultation with State Premiers~ invites the State Parliaments to accept or to reject a measure. The States; cannot amend these bills to their liking. I want to make it perfectly clear that members on this side are as anxious as anyone could be to have the housingposition in New South Wales cleared: up, and I should not be so foolhardy, without seeing the proposals embodiecT in this bill, as to suggest that there coulcT be no progress implicit within its clauses; but I take the opportunity of saying that it seems in the highest degree improbable that the Premier of New South Wales was able to approvethis measure in its entirety. It is evidently necessary to get the approval of all the States to a bill presented. by the Commonwealth Government as a bait or inducement, or at any rate something that goes along with a grant of money; and it seems in the highest degree improbable that every State could be perfectly satisfied that the biU meets the requirements, no more and no. less, of its citizens. It may or may not have proved an embarrassment to the Minister or the "Premier; it may be that the Premier in return for the money was willing to accept anything. On the other handthe people of New South Wales do not know-it may ha>e been that he objected to some features of the measure. The Premiers were expected to come to some Housing Agreement'Bill. 16 Mi\R., 1946.] agreement on the basis of a uniform system throughout Australia, though conditions are different in every State. That sort of problem must arise if the system of uniform taxation combined with conditional grants is to be engrafted permanently upon the financial activities of the States. I suggest that the J\finister or the Premier, every time a bill of this sort is introduced should give an assurance, supported by facts, that what he. conceives to be the real requirements of the State, and not a compromise, were preserved when the agreement was entered into. I assure the Minister and this House and the people that the Opposition is keen to see houses built. It is keen to see that certain persons get priority, as is their due in common justice. These matters seem to have been in view in drafting the agreement that is embodied in the bill. The Opposition, even though we have not the control over taxes that we ought to have, want to see that the taxpayers' money is spent properly and not squandered. So far as the g-eneral objectives of the bill are concerned, the J\.finister can be assured of the absolute sympathy and interest of this side of the House. So far as the other matter is concerned, we do not 'know with any certainty what is the position. It is to be hoped that the bill, which will provide the pattern for others, will provoke a most earnest and searching debate inside and outside the House. Mr. LANG (Auburn) [3.30] : Leave to introduce is sought for a bill to ratify an agreement between the Commonwealth and the States. No doubt the Premier's signature was attached to the document and his was the· major voice from this State in the discussions that took place. It puzzles me, therefore, why the bill has not been introduced by the Premier. It is presented to the 'House and bon. members are asked to accept or reject it. It comes before the House as an accomplished fact and not one word of the bill ca.n be altered by amendment. The agreement was made and the negotiations that led up to it will be State Bfic'hworlcs Bill. kno,vn to those who took part in the discussion, but not to hon. members. I thetefore ask the J\finister to lay on the table, before the measure is dealt. with at the second reading stage, the record, if one exists, of the discussions. that took place, so that bon. member~ may know exactly what occurred and why certain decisions were made. If that action is taken on this occasion, it will become a precedent, and when billsof a similar nature are presented the i'esponsible Minister will see that they are accompanied by a. record of the proceedings that took place. That is a perfectly reasonable request and the House should have before it aU the reasons that actuated the Premiers to enter into the agreement. Hon. members will then be able to see whether there are any strings attached to the measure, and whether anything outside the agreement might affect the interpretation of its various clauses. I hope that the Minister will accede to my re-· quest and will lay on the table, not on the day he delivers his second reading speech, but prior to that day, any records that will asssist bon. members during the course of the debate. Question resolved in the affirmative. Bill presented and read a first time_ STATE BIUCKWORKS BILL. SECOND READIKG. Debate resumed (from 5th ]\{arch, ·vide page 2494) on motion by Mr. J. J_ Cahill: That this bill be now read a second time. Mr. TREATT (Woollahra) [3.35]; Last night I made the point that with the exception of the hon. member for J\1:arrickville, hon. members opposite who had spoken, allegedly in support of the measure, had confined their remarks to attacks upon a number of persons who were not and could not be present in the House and who were, therefore, unable to 'defend themselves. Most bon. members will regard that as something to which the gravest exception should 2.::03 State Brickworks Bill. [ASSEMBLY.] be taken, but it becomes more objectionable and more unpardonable when a report is available showing quite clearly that so far as such charges can be disproved, they are without foundation. The name of J\£r. Barton was mentioned and I hasten to say that I do not know him. Government members attacked this gentleman, alleg·ing, in plain terms. the gravest criminal acts against him. He was openly accused of being a crimanal, \:;ut I direct the attention of hon. members to the report of the late Mr. Justice Halse Rogers, who said: Earlier I summarised the charges which were made against Mr. Barton by Mr. Lang in his speeches. 'l'hose charges have been ~·eitera.ted and extended during the course <>f the hearing; in fact Mr. Sheahan has oroncentrated on nn attack on Mr. Barton during the whole course of the proceedings. The Commissioner further said: In view of the continued and reiterated :attacl;s that were made on Mr. Barton, both 1n the speeches and in the conduct of the -<:ase before me, and which have been repeated after examination of all the docuJnents and the hearing of all the evidence, I think it proper to say that nothing has <em€rged which, in m~· op:nion, can reflect :lldv€rsely upon Mr. Barton or in any way odamage the high repute in which, accord:'ing to the testimony, he is held by his felJow citizens. That gentleman could have no better testimony and in the light of that ex1Jaustive examination it .ill behoves any 11011. member to enter the Chamber a.nd :attack a person who cannot defend himself. Knowing that the throwing of mud might do irreparable damage, hon. meml)ers opposite did not hestiate to suggest that Mr. Barton was a criminal. They also hurled charges across the Chamber, using- the words "they are the guilty men," and on more than one occasion the plain statement was made that the guilty men, comprising hon. member;> Qn this side of the Chamber, were guilty Qf a crime. There is only one course l::y which such charg-es may be answered, an exhaustive public inquiry. Surely l10n. members on both sides will deplore these reckless attacks based upon what must be imperfect knowledge in the light of the considered report of a justice of the Supreme Court. Mr. Treatt.] State Brickworks Bill. The Hoyal Commissioner then stated: It "·ill be seen later that I find there is no evidence of any fraudulent transactions on the part of any member of the Government in connection with these sales, and consequently that there is no ground for the suggestion that Mr. ·weaver was removed to give freer scope to a Mini::ter engaging in fraudulent transactions. Without retaining the offensive meaning which the phrase was given by hon. members on the Government side when supporting this measure, I would say that if we are to look for "guilty men" we must look to the Government side. I suggest that the responsibility for the condition of affairs which prompts the Government-I tl1ink without justification-to introduce this bill is on the Government, first and last, and, incidentally, on those hon. members who stood idly by while the Governmest failed to discharge its responsibility to the people to provide houses. That is not a reckless charge. It can be supported by documents. I said last night that the brickworks had 40,000,000 bricks in reserve in 1940. It was not in 1940, but in 1943, that they had 40,0CO,OOO bricks in reserve. Because they were men who wanted to get on with the job, in order to ensure that there would be bricks available when the housing c:1mpaign got under way, they made a request to the Government. They asked for one thing, .:vhich was the necessary manpower. Is this House to be misled by shallow artifices such as those adopted by Government members when speaking in support of the measure? Is there any substance in the suggestion that these brick manufacturers did not want to get on with the job, or, conversely, that the Government was doing all that it should do to get on with the job? Let us test that in the light of this correspondence, which, fortunately, I am able to put before the House. If bon. members are to evaluate the worth o£ this bill, and if they are to assume that this bill will do anything towards solving the housing problem, they must ask themselves what has been done in the past. I am not g·oing back to 1915, but to the State Brickworks Bill. [6 MAR., 1946.] last few years. I wish to draw the attention of hon. members to a letter directed to the Deputy-Premier of New South \Vales, and I ask the House, before it idly accepts the me&sure, before it accepts the Government's statement that this is the only way in which to solve the housing problem, to consider what this letter suggests. It is dated the 18th July, 1945, is addressed to the Hon. J. M. Baddeley, Deputy-Premier of New South Wales, and commences : Realis~ng the great demands on manpower during the war period, we have previously 1·eframed from bringing under your personal notice the serious disabilities to which this industry has been subjected. I would remind hon. members that this letter was written to the repr.esentative of a Government which has represented itself to the people of New South Wales as one which is alive to the requirements of the people. The letter points out that manpower must be obtained. It is stated that forty million bricks were in reserve in June, 1943, that these stocl{S had been depleted during the following two years, and that in June, 1945, there were 16,000,000 bricks in stock, but that the position was serious. That letter was written on the 18th July, 1945, at about the end of the war, and just about the time when all the vast plans which had been prepared and which were ready to be put into opera-. tiou should have been put into operation. That was the time for action. This House has not yet be:m told what the Government did, nor what it told these people in reply to their letter. How can the charge be made that private enterprise has failed? How can the claim of the Government that the only way in which the position can be met is by the State Government taking over the brickworks be sustained? The position is not going to be settled in their electorates by their making the charge against hon. members on this side : "You opposed a Government measure which would have r~lieved the housing situation." The Opposition will tell the people that the Government failed to give to private enterprise the facilities asked for by prudent men which would have resulted in State Brickworks Bill. 2507 the 40,000,000 bricks in reserve being increased to meet an emergency. The responsibility for the present lack of bricks in New South Wales, if it can be charged to any person or group of persons, on the documents, clearly rests on the Government of New South Wales. The only way of judging the future is by a consideration of the past, and the Opposition will say that a consideration of the past shows that Government enterprises have been, by and large, substantial and complete failures. They will go further and say that it is the policy of the Opposition to support private enterprise, but to see zealously that private enterprise does not constitute itself a monopoly inimical to the public. The leader of the Opposition pointed out wh::tt has happened in New South \Vales. There has been a loss, on eight undertakings, of £1,205,000. What has been the position in Queensland, which has enjoyed the perhaps doubtful advantage of Labour Governments for a large number of years? The Queensland Government commenced a policy of State enterprises in 1915, and continued them for a period of nearly fifteen years until 1929. During that period of time it was established beyond a shadow of doubt that eighteen enterprises showed a total loss of £3,750.CDO. and most of them were abandoned. That is the experience which makes the Opposition take the stand for private enterprise. We say that private enterprise can produce the goods. It has produced the goods, and, given a fair chance, it will produce the goods more efficiently than Government enterprise. I know that it will be argued that the State brickworks, when they did operate, constituted an exception to the rule. It will be argued that the State Brick works operated at a profit. That I concede, and I should be the last person to advocate the removal of any enterprise that could make a profit after meeting all the charges that are normally placed on private enterprise. That was the attitude adopted by Sir Thomas Bavin when he was Premier of New South ·wales. But it is a ver:v different thing for .a Government to take the initiative, merely to cover up its own default, in 2508 'State Bficlcwofks Bul. [ASSEMBLY.] building up a State enterprise which, on prior experience of private enterprises, appears doomed to failure. The Opposition does not take up an unhelpful attitude in these matters, and, if the bill goes through, as appe.ars likely from the somewhat tolerant attitude of hon. members who are influenced by the present housing position, the Opposition proposes in Committee to move amend· lbents that will provide that State enterprises must carry all the burdens carried by private enterprise. From the point of view of ordinary accounting, we shall then be able to see whether the enterprise is a success or not. The public does not want a bolstered-up State enterprise making an unnecessary demand upon the finances of the State until the Government in office is deposed and another Government has the unpleasant job of liquidating the enterprise. I trust that the Government will support the amendment that will be moved. but my hope that that will be done is not strengthened by confidence; rather, it is a trust in the basic goodness of hon. members and their readiness to do the right thing when the true position is put before them. The leader of the Opposition has informed hon. members that the Opposition opposes the bill. ~fembers of this party say that the solution of the problem is not by the institution of a Government enterprise which, from past experience, is doomed to failure, but rather by giving private enterprise a decent chance to carry on business. Documents prove that private enterprise has not been given a reasonable chance. A letter that I have mentioned previously proves conclusively that the Government was most unhelpful to the private enterprises and, from what has been published in the press, the brickmakers h.ave been hampered in their efforts to get machinery in a time of great domestic crisis. For that I do not blame this Government. The Commonwealth Government or one of its instrumentalities was responsible. These grossly unfair burdens may have been placed on private enterprise as the result of some fault inherent in Government."!} enterprisef'. That is not good administration.· The United Mr. T1·eatt.] ·State Brickworks Bill. Australia ·party invoked the ~1onopolies Act to prove that a monopoly exists. A royal commission was appointed for the pu'rpose, but, despite the protestation of supporters of this Government, when in Opposition, that they would take appropriate action, nothing has been done in that direction since it assumed office. If the Minister believes that a monopoly may operate in the future, why does he not adopt a scheme along the lines suggested to him, and at present obtaining with the Commonwealth Government, in respect of the Amalgamated Wireless of Australia Limited. If that were done, this State would have what the people demand-confidence in the enterprise, and efficiency in the production of goods. I have not the opportunity to mention the hundred and one occasions on which Governments wAre forced during the last war to go to private enterprise for assistance-and they have acknowledged the elficiency and drive of private enterprise. Nor does time permit me to detail the mtmerous instances in which Governments have admitted that these socialistic ventures are doomed to failure. Mr. ToxaE: The State brickworks was a financial success! Mr. TREA.'TT: It is a fact that the State brickworks was a financial success, but experience of State enterprises has shown that this is the exception rather than the rule. If the hon. member won the first prize in Tattersall's sweep to-day he would not be likely to win it again. Mr. J. J. CAHILL: Has the hon. member any knowledge of the Southern Electricity Supply undertaking, which has been a very profitable undertaking~ Mr. TREATT: I do not deny that the Southern Electricity Supply undertaking has been of benefit to the State, but, generally speaking, experience has shown that State industrial enterprises have resulted in financial loss. In Que·ensland, Labour Governments abandoned ·such undertakings after a loss oi almost £4,000,000 had been sustained, and the same thing has occurred in New South Wales. As I have pointed out to hon. members, there is documentary proof that private enterprise has not State Brickworks Bill. [6 MAR., 1946.] been given a chance and that obstacles have bee"n placed in its way. Before the Government usks hon. members to agree to an extraordinary measure of this nature, it should ensure that private <>nterp;·ises are given a fair chance to operate efficiently. Mr. VINCE:NT (Raleigh) [3.59] : I shull not take up a great deal of the time of the House in speaking upon this measure. Some hon. members have compared the position in 1935 with that obtaining to-day, bnt having in mind the fact tlwt a world war has inter"'·ened, I believe that there is no sound basis for comparison between thv;;e two periods. Had the war not intervened in all probability we should have found the brick position to-clay quite satisfactory. It was sati&factory after 1935, and also in 1938, 1939, 1940 and 1941, when up to 17,000 houses were built in one year. Therefore, the reason for the shortage of bricks to-day is that something has intervened and cut through the stream of production that was in evidence in the years to which I have referred. I am one of the few members in this House who was a member of the Cabinet in 1935 when these brickworks were sold. While I have not a clear recollection o£ all that took place, nevertheless I know that it had been the> policy of the Stevens-Bruxner Government-a policy founded on a mandate received from the people-to rid the State of what we called State enterprises so far as they had their being in industry. Quite a number of concerns <lwnecl by the State had been sold up to the year 1935, when the question o£ the selling of the brickworks was raised. Some people contend that because the brickw01·ks happened to be a paying proposition over the years, they should have been spared. But the conditions at that time were such as to indicate clearly that private enterprise was quite -capable of meeting all the demands of the people for bricks. That being the. case, there was no more justification for the retention of the brickworks than there was for the retention of other ~mterprises that had previously been sold. State Brickworks Bill. 2509 I want to point out to those hon.' members who have voiced the view that the han.d of guilty men was interwoven in this transaction, that the sale of the brickworks in 1935 was widely adver" tised and publicised by the then Oppo~ sition, yet despite thnt fact, in 1938 the mandate held by the GoYernment of the duy was renewed by the people. If anything may be deduced from that, it i~ that the people were quite satisfied with what the GoYernment had done at that time. , The Gover~nnent continued !in existence up to 1941 when it was defeated at the polls, and only three of the members of the Cabinet of 1935 were retul'ned to this House. J\fr. WILLIAMS: The others had been puslted out! Mr. VINCENT: Some of them had resigned. The fact remains that after the di&posal of the brickworks in 1935 and after all the criticism that had been levelled by the then Opposition at the action of the Government, nevertheless in 1938 the Government was returned with almost as great a majority as before, and thus had its mandate renewed by the people of the State. The people must have thought that what the Government of 1935 did was proper. Its action certainly was in accordance with the programme that it had placed be-: fore the people in 1932 a:tld 1935, inasmuch as the Government had &aid that it did not believe in the hand of Government interfering· in private enter-' prise. While the hon. member for, W oollahra was speaking, the Minister. interjected that we must recQgnise that the Southern Electricity Undertaking which this Gover-nment instituted, is profitable. That may be so, but I would point out to the Minister that we cannot compare a n.ational work of that character with an ordinary enterprise. It is the function of the Government to undertake these great national works. Mr. J. J. CAHILL: Private enterpri&e is also. running elec.tricity undertakings! Mr. VINCENT: That is so, but the Minister cannot point to any instapce eitlter on the mainland of Australia or in New Zealand where p:r;ivate ente.rprise is deriving electric energy from the; 2510 Slate B1·ickworks Bill. fASSEMBLY.] waters of those countries. The Government is generating electricity by and largely from water. It is true that there is an auxiliary plant at Port Kembla, but that i::. not private enterprise in the 'strict sense of the term. I would translate private enterprise as the control of ordinary business or industry in a community such as exemplified in bricb.\vorks or things of that sort. As far as possible the Government should keep its hand out of such enterprises, because if it does enter into competition with them it must compete with its own taxpayers with particular advantage to itself. Now the Government is emboldened to embark upon the establishment of the brickworks owing to the fact that there is an acute shortage of bricks. That applies more particularly to the metropolitan area where there is indeed an acute shortage, but in certain sections of the State there is no shortage. although there is the equivalent, inasmuch as it seems to be almost impossible to have bricks transported from th.e place of their production to the point where it is desired that they should be used. In consequence we find the same factors weighing against the building of houses in the country as we find in the metropolitan area, though in the country this is not due as much to a shortage of building materials, particularly of bricks, as it is in the city. O'ne might suggest that because the Government says there is a shortage of bricks, it should step in. By the same logic one might say that because there is a shortage of clothes and of certain classes of food, -the Government should enter into the production of cloth and set up establishments for the employment of· tailors so that the people may be clothed, and that it should establish factories so that foodstuffs may be processed to enable the people .to get the food to which they are accustomed. But we do not hear the Government say that it will do so, and I do not expect it to say that it will. When it comes to bricks, what is the position? I will define my attitude towards the bill. I ask myself why the Government confines its Mr. Vincent.] State Brickworks Bill. activities to the manufacture of bricks? My answer is, because the shortage of bricks has given rise to a state of emergency in this country Unquestionably a state of emergency exists, and unless it is met, it is possible that social disorder will result from the conditions given rise to by the shortage of houses. One has only to walk through the city and suburbs and travel in the trains to hear discussion on this. There is no doubt that the shortage of houses is pressing with the greatest harshness upon a considerable section of the community, a section that should have houses because it is upon that section we must depend for the renewal of life in this country. Having in view that a state of emergenc,y exists, I say that it is quite right for the State to act, and in saying that I do not weaken my normal attitude to Government trading. The State must act in any emergency-that is what the Government is for. Having that in mind, it is my intention to vote for the principle of the bill. I believe that it can be improved, but nevertheless, I think that the Government has in mind a measure designed to meet an emergency. Whether the Government will meet the emergency successfully is quite another matter; only time will prove that. llfy view is that it is doubtful whether the bill will meet fully what the Government has in view, though it may afford some assistance. We must remember that we have not emerged from the conditions that were given rise to by the war, and while those conditions remain, tl1e Governments in this country and elsewhere must do things that they would not do in normal times. During the war Governments were obliged to embark hastily upon various enterprises, including shipbuilding. The building of certain classes of ships may be regarded as a legitimate Government activity. We established shipbuilding yards at Newcastle because of the appe:1T made by the Home Government toAustralia to produce more ships. I shaH have something to say about our shipbuilding industry that will not be welcome, but nevertheless, I submit that State Brickworks Bill. [6 :MAR., 1946.] State Brickworks Bill. 25U during the period of the war the Gov- it will be good business in future to build vessels similar to those that ara ernment had to do everything it posbeing constructed in the shipyards at sibl.Y could to produce ships. When the :Minister brought down the measure in present. Mr. J. J. CAHILL: We protected our which was embodied the power to establish the shipbuilding yards at Newcastle primary industries! 11£r. VINCENT: Of course. you did .. there was no opposition from this side of the House, though I think there were and that is the justification for it, irresa couple of divisions in Committee. The pective of cost. Mr. J. J. CAHILL: Prior to the war broad principle of the bill was approved. we protected our primary industries by :Mr. J. J. CAHIIJL: Shipbuilding was means of a tariff. Why should we not well under way then ! protect our secondary industries, even 11£r. VINCENT: Whether it was or if costs are a little greater? not, would have made no difference. vVe Mr. VINCENT: That opens up a knew we had to have ships. Any means wide avenue of discussion. It will de> that could be adopted to build them had for another occasion:. But what was to be adopted by the Government. Cost done was fully justified, and nothing but did not matter; ships were everything; praise can flow to the Minister for it. we had to get our men and materials The time for full and comprehensive acaway. We are still building ships, but tivity at the shipyards had arrived in. if one could translate oneself to a point order to meet our great national needs. three or four years hence, and see what In regard to the State brickworks, which had happened in the intervening period, this bill proposes to re-establish, I would I fear one would see that we had passed point out tha.t we are still in the throes the point of time when we should con- of an emergency. and if by the passago tinue with this indust~y. If the Govern- of this legislation we can make som~ ment continues to build commercial impact upon the housing position, even ships the cost will be so great as to cause if it costs us much in money, neverthethem to enter into competition at a dis- less it would be justified. I do not advantage with ships built in other mean that it will be justified for air countries by private enterprise. I said time, but it will be justified if it carrie~ . du~ing the war-and the ·Minister will us through the gap which exists at prerecollect this-that there would be some · sent. For that reason I join with mem20,000,000 tons of shipping tied up at its bers of the House in voting for it. moorings in peacetime. In the United I shall vote for the second reading on States of America there are 54,000,000 the grounds that we are still in an emertons of shipping compared with 18,000,gency, and it is the Government'!'1 000 tons before the outbreak of war. The bounden duty to do whatever is necesBritish Empire has as great a shipping sary in order to meet that emergency;. tonnage to-day as she possessed prior to but in so voting. I am not casting m,y the war, while other countries have a vote for the re-establishment in this great deal of shipping at present. When country of the principle of Government· demobilisation has been completed, nnd enterprise in industry in spite of thewhen stores have been carried through to fact that certain bon. members have the places where they are required, I am stated that the price of bricks has risen sure that we shall see many millions of from 48s. a thousand to 98s. a thousand. tons of shipping tied up. That will have The conditions which have supervened· a depressing effect upon the shipbuilding since the outbreak of war are such that nctivity on the Hunter River. However, if in the course of three or four years· that does not say that it should not have we look back we shall find that whi]l}' been commenced. It was justified dur- this bill has been justified, nevertheless ing the war; it may be justified now anrl the time has come for us to examinP.the activities of this enterprise and if in the future for the building of certain it does not cease to exist, restrict its types of vessels, but I do not think that ~·5l2: State Brick1J)orks .~ill. [ASSEMBLY;.] Qutput, for the purpose of meeting the needs of Government departments, the Department of Railways, and so forth. Mr. WILLIAMS (George's River) [4.27]: No measure has been brought before this House that I welcome more i;han this one that provides for the re-establishment of the State brickworks. <Jontra:ry to the opinion of the last :Speaker, I am firmly of the belief that the fall in popularity of members of ihe United Australian party-cum Liberal party dates from the time when the leaders of that party, Mr. B. S. B. (now. :Sir Bertram) Stevens and ·:Mr. E. S. :Spooner, disposed of the. State brickworks and injured the people in one of their most important activities-house building. The fall of the United Australia party dates from the time of that sale. From that date onwards it lost its popularity. The two men to whom I have referred who were primarily Tesponsible for the sale of the State brickworks have never returned to this .House. In the intervening time United .Australia party numbers were reduced. The Labour party has won every by<election that it has contested, including the by-election for Ryde when I was :returned. That seat had seldom been won by a Labour man. Mr. JACKSON: The bon. member does not look like one! Mr. WILLIAMS: Possibly I do not. During the Ryde by-election campaign my fight was based on the disposal by the United Australia party Government o0f the State brickworks and the monier pipe works. I also attacked the Government for its failure to implement a lwusing programme. As the bon. member for Hawkesbury said last night, the Liberal party, which has followed the United Australia party, comprises guilty men who are responsible for the present :state of housing in New South Wales. .At the last two elections there has. been a complete landslide, this Government •On both occasions being. returned with overwhelming and record majorities. One of the most pl'Ominent features of the Labour party's policy at those elections. was the. restoration of the State State Brickworks B.ill. brickworks, and. the promise was made, that the Labour. Govemment would introduce legislation for the re-establish. ment of the State brickworks which represent one of the most vital activities in relation to housing. We have been fighting a war, and if we had attempted to bring in legislation such as this in the middle of a war hon. members opposite in their usual hypocritical manner would have said, "vVhy do you not get on with the wad" vVe got on with the war and won the war with a Labour Government in power, and I am convinced that Labour is the only party that can govern during a time of war or crisis. I am firmly satisfied that if any Government other than Labour had been in office during the last war we should not have come out without an inv.asion of Australia itself. I believe that an anti-Labour Government would hand over to private enterprise social problems such as housing. Private enterprise is not doing its job. We have heard that this is because of high taxation. I believe that is one of the reasons, but there is another reason. These people are not doing their job because they desire to see the housing problem become so acute and the shortage of houses so severe that the State will fall down on the job, and then they will come in to exploit the people in one of the fields where exploitation is at once so profitable to them and so hurtful to the people. I am one of those who believe that it is the duty of the Government to protect the people in regard to both housing and food requirements, and that wherever possible we should eliminate from these fields the element of profit, particularly since we have experienced the consequences of exploitation, both in regard to t'b.e rates of interest and the cost of raw materials in connection with housing. The United Australia party fell from popularity because it disposed o£ thfl assets of the people in 1935-36. The deputy leader. of the. Liberal party bas said here to-day, "Why blam,e ue ?" He said there was nobody here in his .party· who was: in the Cabinet .that disposed· State Brickworks Bill. [6 MAR., 1946.] State Brickworks Bill. 2513 of the State Brickworks, with the ex- at the right price. Can any hon. member suggest that a rise in price from ception of course of the leader of the Country party. However, the deputy 48s. a thousand in 1936 to nearly £5 .a leader of the Opposition cannot "get thousand to-day is justi£ed? Mr. TURNER: What is the Prices Qom:from under" by statements of that kind. 'The people at the next election, after missioner doing about it? -we have re-established the State Bri{!kMr. WILLIAMS: That is not for me ·works to protect their interests, will to say. We will produce bricks at a -return Labour with an overwhelming price that will convince people that they majority. Not one of the members of have been exploited in the past. Even -the Sutherland Shire Council, which is when people can buy bricks to·day, they :situated in my constituency of George's still do not get the quality that we supRiver, is a member of the Labour party, plied from the State Brickworks. They :yet I recently received a letter convey- get a callow brick-the sort that used to ing a unanimous request from that be discarded. Even at the in-council that the Labour party should flated price of £5 a thousand-and I -re-establish the State Brickworks in know that some people are paying n;,cre ihe· interests of the people of the -the callow brick is being supplied. :Sutherland Shire. That is what we Fancy bricks are about £7 lOs. a tho:J.s-are doing. I regret that we did not and. State enterprise should function <Io so earlier, but I believe that the £rst side by side with private enterprise so .necessity was to win the war, and that that you have .a practical experience of we a-re wise now in taking the opportune what is going on and you know whether time to bring down this measure. The the people are being exploited or not. brickmasters now realise that they are I suggest also that for one reason ·in trouble, and apparently have come alone the State should always have its to the Minister with a suggestion that own brickworks, and that is for they are willing to co-operate. They the purposes of the State's own building_ were not willing to do so until now, wnen .activities. Why should we have to pay ilhe danger point for them is reached and private enterprise these enormous pro£ts we are again going to have a State when we are building hospitals or schools? The hon. member for Willough'brickworks. by is an accountant and he knows that We know that there are theoretical the present prices are not warranted. systems of costing that may or may not The State has nu right, whether under :prove something. My own opinion is a Labour or anti-Labour Government, that State enterprises should be estab- to use publi{! money to buy bricks .at lished to function side by side with such prices for its own hospitals and priv.ate enterprise, because you then schools building programme, and the are not working on a theoretical system Government is now doing the right thing by this measure. ·of costs or fuing a, pri{!e on some unMr. BRAIN: Who will pay the taxes? ·Cel'tain basis, but you have the actu.al Mr. WILLIAMS: The brickmakers are job going on and you are selling on not making bricks and are not paying :ascertained costs and not on a theoretical taxes. To-day in our community the :assumption. That was the position man who is holding wealth is able to sit when the State Brickworks were pre- back in the breeches, particularly in this -viously operating. They were able to matter of housing. I know a builder who manufacture· and to sell bricks at 48s. went to one of the men in the brick combine to get bricks, and the brickmaker ..a thousand and show a pro£t. I am not said to him, "What are you coming into -concerned with pro£t-making-that is this business for? Keep out of it. Let not the job of a State activitythe State have it until they make a. but I am concel'ned with their turning muddle of it, and then we will come in." .out b;ricks in sufficient quantities and Of course, private enterprise will come 7u State B1·iclcwo1·ks Bill. [ASSEMBLY.] in, in its usual way, and charge the ~"'aut prices for timner au.J bricks and mone;y. Mr. Bn.AL.'<: The hon. member does not believe that story! l\fr. WILLIAMS: I do. It is the duty of the Government to protect the people in regard to housing and food requirements; that is a national responsibility. Our proposal to re-establish the State Brickworks is really just carrying out the job we ''ere elected to do. This particular builder, whose permis3ion I have to quote his case, is an example of private enterprise. We are told 1by hon. members opposite that the State can do nothing successfully. Nothing was ever more untruthful. More often than not the State is highly successful, but you cannot say that of private enterprise. Throughout the ages the bankruptcy court has proved that private enterprise frequently fails. Thi.s particular gentleman entered into a State ·contract and is building houses, and he has lost from £20{) to £250 on every house he has built. l\fr. BRAIN: Because of the labour! Mr. WILLIAMS: The hon. member claims that private enterprise cannot fail: I claim that it frequently fails. When private enterprise fails it h.::ts to be carried by the community; its losses are passed on to the community. In introducing the measure, the Government is taking a step along the road to CI"eating State enterprises in bricks, tiles and pipe works, all of which are concerned with housing. After solving its own problem of supplies for the building of schools and hospitals it should make bricks available to the public. I support the bill and shall vote for it with a great deal of pleasure. Mr. TURNER (Gordon) [4.41]: I listened to the debate last night, and to-day with great interest, sometimes last night with a good deal of enjoyment. It reminded me of a journey I once made from Jerusalem to Jericho. As we were leaving ·the J udean wilderness, a mountain on the left was pointed out, whf!re, in the olden days, the ritual of Racrificing the scapegoat was carried out. As the debate proceeded, I began to see some connection between the scapegoat State Brickwo1·ks Bill. and the case being put on the Government side of the House. That mountain. overlooked the Dead Sea. There are no birds above the Dead Sea and no fish. within it, nothing· is more dead. The darkness of the inner sepulchre is not so deadly still as is that wide stretch of water. That reminded me of the Housing Commission, and the absence of any real building activity in the State. As, I opened the Bulletin this morning, I saw reported in its columns a statement. made the other day by the hon. member for Hamilton who, I thought, provided the key to the situation. The statement. explained why the bill is being introduced, and explained also the argument& adduced on the Government side. Mr. J E~'F BATE: What did he say? l\fr. TURNER: He said that the Government had no more alibis available to explain to the people why it was not building houses. He went on to say that it might well result in the ejectment of the State and Federal Laboui" Governments from office at the next. election. ""What a dreadful thought .. Think of all those who would suffer if that were to happen. It would be dreadful for the racketeers who. are allowed to practise without let or hindrance. It would be dreadful foi" racing clubs and other institutions that have constantly received the support of the Government. The bill has been brought forward because the Government has failed to produce houses, and it is necessary to find some excuse. The Government is searching franti<:a Uy for nnother alibi and the scapegoat it has found is private enterprise. It ha!; begun by trying to fix the responsibility upon the brickmasters. It says that private enterprise has failed. The hon. member who has just resumed his seat,. supported that contention. It is a curious thing that it was necessary foi" that great socialistic country, Russia~ the spiritual home of those who support hon. members opposite, to use equipment provided by that capitalistic countr.v America for the purpose of waging war:Mr. DEPUTY SPEAKER: Order! Slate BTickworlcs Bill. [6 !fAR., 1946.] :Mr. TURNER: I am arguing that private enterprise far from failing, has just given the most perfect demonstration in the world that it is capable of achieving far more production than any socialistic country. I took two outstanding ex;:~mples, the United States and the Soviet Union. A number of charges were made last night, and I propose to deal with them. First, were the charges made by the hon. member for Yass who delivered what might have been a convincing speech but for tl1e fact that it was merely a repetition of his advocate's address before the Royal Commission . that inquired into the sale of .the State Brickworks some years ago. He redelivered the address he then made, but he did not tell the House that the judge's finding was against him. Hon. members know what it is to listen to a skilled advocate's address. After hearing the advocate for the plaintiff it is eas,y to assume that he mt:st be right. Then after hearing the advocate for the defence we begin to have some doubt. Finally, the judge, who is trained in these matters, sifts the evidence and comes to a conclusion. Last nig·ht the House heard Mr. Sheahan's side of the argument and I propose to quote briefly a few remarks made by the late Mr. Justice Halse Rogers who sat as a Royal Commissioner. Fi:·st of all, Mr. Sheahan said that a number of documents were missin~ from the official file and on page 18 o{ his report the Commissioner says: During the course of the henring every relevant document has been sought out and produced, nnd, with the r<'cords complete nnd in order, it is seen that there is no basis for the surmise or suggestion made by Mr. Lnng that the absence of these documents from the Public iVorks file is evidence of something sinister. Again, fhc hon. member said that the Rtate brickworks were disposed of to friends of the then Premier. On page 22 of his report the Commissioner says: It cannot be said either that the brick· works were given away or that the friends of th? Premier-even in the widest senser,,criv<'d :my preferential treat1ucnt. State Brickwo1·lcs B~ll. 2515 The hon. member then traduced M:·. Barton. That matter has been dealt with by the deputy-leader of the Opposition, but let me quote a few words from the Commissioner in that regard. He says: In view of the continued and reiterated attacks that were made on Mr. Barton, both in the speeches and in the conduct of the case before me, and which have been repeated after examination of all the docu· ments and the he a ring of all the evidence, I think it proper to say that nothing has emerged which in my opinion can reflect adversely upon Mr. Barton or in any way damage the high repute in which, accor· ding to the testimony, he is held by his. fellow. citizens. Further, it was charged that there was a conspiracy to sell the State Brickworks at a gross under-valuation. That charge was repeated by almost ever;y hon. member opposite who has spoken. Last night it was said that the brickworks were given away, but what does the Royal Commissioner say about that? He Eays: The allegation is that the brickmasters and the Government entered into a conspi· racy for the transference of the assets to the brickmasters at an under-value. The suggested conspiracy involves the Premier, Mr. Spooner, Mr. Barton, Mr. Gibson, Mr. Swift, and officials of the Brickmasters' Association . . . . I find no evidence of a conspiracy and nothing to show that the price obtained on sale was an unC:er-value. It is quite evident that the hon. member for Yass was doing what has been done for a number of years on the assumption that if you throw enough mud some is bound to stick. It was a curious way to bolster up the :Minister's case for the repurchase of the brickworks. Those are matters of the past. We are concerned with matters of the present. The strength of the argument of the hon. member for Hawkesbury was in inverse proportion to the strength of his voice. He claimed that the brickmasters were going slow on account of heavy taxation, and that statement was repeated by the hon. member for George's River. Mr. HonSTNGTON: It is quite true, too! l\fr. TURNER: It may be that hon. members opposite are in favour of high rates of taxation. That is the only inference that can be drawn from what State Brickworlcs Bill. [ASSEiiiBLY.] was said by -the hon. member for Hawkesbury and the hon. member for ·Georg-e's 'Jf{iv.er. It will be interesting ·for tl~e people of thia State to bear that the Labour Government and Labour members are in favour of heavy rates of ta...xation. Labour members we1·e giving us evidence last night, by their speeches and interjections, that that is their attitude towards taxation. Consequently, when promises are made at the next election about reductions in taxation, their sincerity can be judged in the light of their speeches and interjections during the course of this debate. I shall certainly draw the attention of my .constituents to what has been said here to show the insincerity of the Labour Government on this matter. The hon. member for Hawkesbury went on to say that he would not have such a thing as profits, which are wicked. I have no doubt that, so far as the proposed brickworks are concerned, there will be none! But do not let us forget that in those countries where there are 110 profits there are firing squads. People are induced to work either because they -obtain some advantage from it, or be·cause otherwise they may face a firing squad. I think that in a democratic community, profits are preferable to firing e,quads. The Government, however, is permitting some profits to be made. The ·wealthy members of this House do not sit on this side, but on the other side. 'The Government is creating a little :squirearchy. What hypocrisy! We have heard talk of hypocrisy, but where does it exist~ Does it exist on this side of the House or on the other side? I do :p.ot wish to pursue that matter, as I do not want to hurt the feelings of bon. lfiembers opposite, but if they raise these matters they must not be surprised if ·they are turned back upon them. Then there are the ambaasadors, such as :M:r. · Jaef!.sley; who go abroad. They do not go .as poor people. They take with them riches greater than the poor people of 'B:rit,ain. enjoy tocday. Ri<lhes in food·stuff-s a-lie of great importance in starviqg countries. Mr. Turner.] State Bricl,;tb'Orlcs Bill. The hon. member for Hawkesbury went on to speak abou.t certain, "guilty men." I thank the hon. member for his suggestion. Who are they? The bon. member went back a long way. He went back a decade. He pointed out that there was much unemplo;yment, and that the Governments thEn in office did not employ men to build houses. Labour Governmente, were in office in both the Federal and State spheres, and failed to find a solution. Other Governments were elected to office, and did find a solution, although the way was long and difficult. Possessing the knowledge that we now possess, we may feel that the way need not have been so long and difficult, but we did not then possess the knowledge. It was not until much later, for example, that ~fr. J. ~1. Keynes published his epoch-making book analysing the causes of unemployment.· Labour men struggled with the situation; others came and at last e,ucceeded. An honest attempt was made to deal with the problem. But let us look at the question of"guilty men" when we come to 194445-46. Men who leave the services are living in cellars and tente,, and are crowded into houses that are not fit for habitation. What has the Government done about it? 'iVhere arz thes;:o guilty men? They are here in the Government that is charged with the responsibility of housing these people. The Government has been in office for years, it has had every opportunity, and ali that it can propose is to put four families of returned men in one army hut. Where are the guilty men? The members of the Government have not liveu in army huts. If they had slept in an army hut and been awakened by mer: coming in late at night, maybe from an hotel when it was left open by permission of the Government, or maybe harmlessly returning from the camp cinema, if they had been awakened by the impact of army boots on wooden floors, perhaps when they had duties to attend to early in the morning, they would know what having to live in an army hut means. If they were living in tents that might be blown down in the night, they. State .Brickworks .Bill. [6 MAR., 194tl.] would know what it means, especially if their wives had young babies. Where are the guilty men? Are they on this side or the other side of the House? The Government has suggested no means of alleviating the conditions of the people who are distressed through lack of housing accommodation. Have bon. members on this side been content merely to oppose.._ without attempting to help? No. Whenever there has been an opportunity for debate bon. members on this side have pointed out the way in which these difficulties could be overcome. Has there been any response from the Government side? No. Last November, when the debate on the Estimates was ' proceeding, and long before the hullabaloo about the shortage of bricks, I referred to the lack of equipment in the brickyards. If anybody cares to turn up Hansa1·d he will find that I referred to a visit to a brickyard, and to my astonishment at the primitive methods employed to bring clay to the place where the bricks were moulded. Did the Orwernment take any notice? No. Did the press take any notice? No. The press noticed only the other day that there was a shortage of brick!;'. And the Government has only just noticed it. Then the hon. member for Newto the castle addressed himself bill. He did not complain about people "going slow" because of heaYy tHxation. It has been stated in this House, and in the press-though hon. members need not be influenced by that fact-that because of the heavy taxation imposed to-day the coal miners, in common with other sections of the community, do not like working harder than is necessary. The hon. member for Newcastle did not say that the brickmasters should be adjudged guilty because they had allowed heavy tal\:ation to slacken thPir nroiluction. It was just as well that he did not, because every other ~Pr:tion of the community is being affected by this blight, including- the miners. Production generally is being otifled by heavy taxation, and hon. members opposite have confessed that they State Briclcworlcs Bill. 2517• believe in high rates of taxation. The hon. member for Newcastle, with soma indulgence from you, sir, which I was· pleased to see, made some reference to the State Shipyards. He pointed out, as. the Minister had done, what a wonderful enterprise this was. It had made profits! But on the reasoning of some ministerial supporters that is wrong. Profits are evil: There should be no profits. Yet here we have the Government itself making a profit. I do not know how it can reconcile those two contrary points of view. Mr. W. GoLLAN: How did the ship~ yards make a profit? Mr. TURNER: It is simply a matter of cost plus. You cannot lose. No company, however inefficient, could fail to make a profit on the basis· of cost plus. I am sorry for the Minister, because, this is his babe that he has dandled at his knee, that he has pressed to his bosom, an.d whose merits he has extolled time and time again. He takes it to heart when he hears ill spoken of his child. I am sorry for him because this industry it1 going to bear the hard cold blast of competition that will blow in the economic IS ·over, world now that the war for if we hope to continue docking overseas ships our charges will have to be competitive. And if we are to build ships we shall have to do so at competitive prices. However, I do not wish to enter into a long dissertation on that matter at this stage. Mr. SPEAKER: The hon. member would be out of order in doing so. Mr. TURNER: I shall content myself with pointing out that the profits that were made by this particular enterprise cannot be adduced as a general argument in favour of the efficiency of State enterprises. The question is, has private enterprise failed? There has been a great deal of discussion on the subject. I do not wish to traverse ground that has already been covered, but this is a step in my argument, and, to achieve artistic completeness in my speech, I must touch upon it briefly. It has been claimed by the brickmasters that manpower has not been m~de available to them. A number of letters have been quoted by the leader of the Opposition 2:>18 State B1-iclcw01·ks Bill. [ASSEMBLY.] and the deputy-leader of the Opposition. I read from an article in the Sydney JJi ominy I1 erald which is dated 1st February, 1946, and which furnishes details of a statement made by the spokesman of the. brickmasters, and summarises the position very well. It reads: Efforts were made in August, 1944, to ha,·e men released from the services to offset the steady decline in brick stocks. Requests for this assistance, macle through the Department of War Organisation of Industry, met with scanty success in the early stages. Mr. Wilkinson produced copies of correspondence showing that in July, 1945, letters were sent to the Prime Minister, the chairman of the New South Wales Housing Commission, the Federal Minister for Works :mel Housing, the State Minister for Housing, and the Acting-Premier, stressing the need for releases of the necess:ny manpower before the position became really serious; but lack of man-power continued to be the main factor in retarding the reopening of brickyards. It has been suggested that private enterprise has failed. Need we go far afield to find an explanation? Ron. members know that there was a shortage of manpower during the war, and every sphere of industry suffered therefrom. That assertion rings completely true. The menace of invasion receded from our shores two ye.:ns ago, but the Federal Government failed to make the readjustments in industry that were necessary to win the peace. \Vhen the threat to Australia was removed and it was no long·er necessary to maintain a huge garrison army in this country, why did not the Federal Government cull out those whose skill and experience made them valuable to prime essential peacetime industries? Because it was incapable of the efl'ort and did not possess the administrati,·e capacity. This "magnificent" Government, which won the war, is losing the peace. Its supporters claim that it won the war, but I suggest that the sixth. seventh and ninth Australian Imperial Forces divisions had something to do with keeping war from the mainland of Australia. Of course, I am only a member of the Opposition and I may be wrong. Mr. BADDELEY: Those divisions were drawn from the workers of this country! J!r ..~'u7ncr.] State BTiclcworks Btll. llir. TUHNER: That is so, and I assure the Colonial Secretary that we of the A.I.F. work very hard. llir. J. J. CAI-IlLL: It is unfortunate that the hon. member raised that point because the Federal Labour Government had something to do with diverting those divisions from a theatre of war to which other people wanted to send them! llir. TURNER: That is a matter that I should be very pleased to debate on the hustings at a more appropriate time. That reference to the hustings reminds me of an incident and I thank the :Minister for the reminder. It occm-red during the last election campaign. I recall having listened to a Government member addressing a meeting on the Corso at Manly. Of course, the Labour candidate was defeated. The hon. member's argument was that it was very fortunate that a Labour Government was in office in this State, because it was able to co-operate satisfactorily with the Federal Labour Government, and could get just what it wanted from that Government. Therefore, I listened with great interest to a letter from the brickmasters that was read by the lead~r of the Opposition. It was written by brickmasters and was addressed to the acting Premier drawing his attention to the difibulty of getting labour. :Mr. BADDELEY: Did the leader of the Opposition read my reply? Mr. TURNER: I have no doubt of what was in the Acting Premier's reply, I am sure that he promised the brickmasters, with the utmost solemnity, that he "would look into the matter," and no doubt he is still looking into the matter. The ability to look into matters is a very excellent qualification for a crystal gazer, but it is not ver:v useful to anyone who is asked to obtain manpower for a industry that seeks to provide homes for returned servicemen. The Government is confronted with the situation that no houses have been built, nnd there is a rising tide of public resentment which will soon engulf it. The hest authority for that statement is the hon. member for Hamilton himself, who State Brickworks Bill. [6 MAR., 1946.] suggested that the Government was looking for an escape from its position of ineptitude. The reason why private enterprise has fallen down is not far to seek, because it is quite evident to all that manpower has been the main factor .in that connection. Then there is the question of mac'hinery, and in that respect I should like ito quote the following statement that appeared in the press on 7th February last:Mr. W. G. Pooley, who represents the co-operative building societies on the Buililing Industry Advisory Committee, said last night that official indifference to the brick problem constituted a national ~caudal, for which the Federal Govemmcnt c 1ulil not -escape responsibility. It was clear that output could be greatly increased if the brickyards could be furnished with machinery suitable to their Jteede. The inclustry could be mechanised .to an appreciable extent if six front-end loaders and five buckeye shovels could be procured. These were· in existence, in the l1ands of the army and the Department of import Procurement. The D.I.P. at first stood out for £9,000 for .each of its sho\·eJs, but it had now come -<lown to £7,060, ::llthough this offer had not .:ret been approved by the Federal Minister. 'Brick manufacturers offered £4,500 for i:hese machines, and those competent to judge considered this a fair offer. During 1he war the Federal authorities had ~eized from Brickworks Limited a mechanical f'.hovel which had cost them £12,000, at an ·arbitrary assessment of £4,950. The shovel for which DIP now demanded £7,060 had only_ half the capncity of the £12,000 1nnchine. For neal'ly three months a price difference of £12.500 had held up delivery 1lf machines which. he had been told, could 'increase production by about 1,000,000 l)ricks a week. The Fed ern 1 Government \\·ould have to tnkr responsibility for it, hecnllPP tlm priP~ J'ITP were demanding ap· Jlenred unconscionable. Reverting to the statement of the hon. meml::er for Hamilton concerning co-operation between the Federal and i:'tat.c T"abour Governments, it does P.ppear t'hat the Federal Government is not so ameiO·able to the representations of this Government as he would lead us to suppose. Indeed, I am wondering whether, if a Liberal Government had been in office nnd had publicised these thin!!'s. there would not have been an immediate response. However, this Government could State B1·ickworks Bill. 2519 not expose the shortcomings of its friends in the .Federal sphere and therefore no action was taken. The statement that I have read characterizes the :flabbiness of the Labour Government in the Federal sphere ever since it has been in office. It was faced with an awkward predicament and it had to make some decision. Having no imagination, it drew from a back cupboard the moth-eaten fustian "Socialisation." It had no solution of the problem. The English Labour Government faced a similar situation, but socialism was found to be no solution. :M:r. SPEAI,ER: Order! Socialism in Great Britain has nothing t~ do with this debate and I ask the hon. member to confine his rema1ks to pertinent and relevant references to the provisions of the bill. !'1£r. TURNER: I am pointing out that socialism is not an answer to the problem that to-day confronts not only Australia but also Britain. Socialism will not solve the problem of Russia; it will not solve the problem of food for Britain and it is not likely to solve the export or any other problem. Socialism has not solved problems overseas and is not likely to solve our problems. The hon. member for George's River suggested that if the State Brickworks are re-acquired by the Government they will control the price of bricks and keep them at a reasonable level. l\fr. WIL.LI.tDIS: They did that last time! Ur. TURNER: Theoretically that is a wonderful proposition, but what doe~· happen? I have no time to quote figures, but I am sure that hon. members will take it for granted that I am summing up the matter correctly. Actually, when the State brickworks began• to operate back in the twenties the price of brick:;. was not fixed by those brickworks at all. They agreed with the brickmasters in fixing a price suitable to the brickmasters as well as to the State undertaking. The argument that has been p•.1t forward by the hon. member is that the competition introduced by the State brickworks will fix the price at a reasonable level, but that is not what 2520 State Briclcworlcs Bill. [ASSEMBLY.] happened pl'eviously. The Sltate brickworks were one of the ring and the price wa-s .:fixed by the brickmasters in conjunction with the State enterprise. That is how they made a profit. The inefficiency of State undertakings is notorious and there is an abundance of evidence in support of that C•)ntention in the various reports that ha-ve been published from time to time. Even if the State brickworks, when re-acquired, do not join the ring as they did ·before, the cost of production will still be so high that the brickmasters will be delighted to have the price :fixed on the basis of the cost of production at the State brickworks. In spite of the strange views held by some of the J\.iinister's colleagues, I am sure that he' will like the State brickworks to make a profit even though it is carried on inefficiently. I suggest that the cost of inefficiency plus the profit made by the State brickworks will undoubtedly bolster the price even higher than would be the case under the present system. If the State brickworks could be run as a private ent:~rprise there would be much in the theoretical argument put forward by the hon. member for George's River, but we cannot avert inefficiency in respect of a State enterprise. I have no doubt that the manager of this undertaking would not be permitted to dismiss an employee. We shall always :find among any body of, say, a hundred men two or three that are not efficient. They may be trouble-makers, and they may make little else but trouble. Unless· we get rid of this overhead we shall have inefficiency, and having regard to. the soft-heartedness of Labour Ministers evi~enced again and again, it is quit~ obvious that inefficiency will creep in. I now come to the constructive part of my speech. I oppose the bill because I want to see bricks produced and houses built, and because, in the :first place, thi~ bill will not achieve that objective, and because, in the second place, there is another means by which that objectiv<> could be achieved right now. I regret to say that some bon. members on this side of the House, for whose opinions Mr. Turner.] State Brickworlc:s B~'Tl. at other times I have the greatest respect, have adduced the argument that we must meet an emergency and that the· opening of the State Brickworks will d~> that. I do not know what the word "emergency" means if it does not mean that there is a pressing problem to .bemet now. When will the State Brick-· works produce bricks? It will be four months before the Government entersinto possession of the premises; it wili be .another three or four before it can put the necessary equipment in ·position. The most optimistic estimate of when production could be commenced is about: eight months hence. Would it be unreasonable, having regard to past experience, to add, say, another four months for contingencies? Yes. It will take at. least twelve months before the State Brickworks begin production. If that will meet an emergency-the catastrophiC' situation with which we are confrontecf at this moment-Mr. WILLLur-s: That is merely the bon. member's opinion! Mr. TURNER: I cannot see hmv the Government can achieve its purpose in less than twelve months under this proposal. At the present time. certain yards are partly in operation and have a certain quantity of equipment installed; other equipment is. to be added. They are going concrerns. Surely, if the Government is looking for an immediate solution of this problem, it must get the existing yards to prGduce bricks right now by giving them the machinery and the manpower that they lack. That is the only way to meet the emergency now. There is a combine-a combine that might well be detrimental to the public; it has been in the past. I make no· apologies for a combine suclli as that; I am utterly opposed to it, but. if the Government had appointed a chairman to the Brick Council three years ago, a·nd given him the assistance of a technical m&n, skilled in brickmaking, it would have·ensured that existing brickworks would be in full operation to-day and the public interest saf~ guarded. Instead, the Government comes along at this late sta-ge looking for a State Brickworks Bill. [6 MAR., 1946.] sca_pegoat and proposing something that cannot achieve its objective for a long time to come. Lieut-Colonel BRUXNER (Tenterfield) [5.24]: I do not wish to delay the House, but I want to make the attitude of my colleagues and myself on this matter perfectly clear. :My deputy, the hon. member for Armidale, has spoken during· my absence, and I have no intention of traversing his remarks, though I would recall that of which the hon. member for Gordon has reminded the Government, that it has had the necessary legislative machinery in its hands long since to enable it to deal with any monopolies that detrimentally affect the public. The fact that the Government has never put that machinery into operation, and has never dealt with this brick monopoly shows, as the hon. member for Gordon suggests, that it has either been recreant to the trust reposed in it by the people, or that the combinr: has not been acting detrimentally to the public interest. I would suggest that the reason why the Government did not put this machinery into operation was' that it has never been game to tackle the very people that it talks so much about. Mr. J. J. CAHILL: 'We have never said anything aboRt the monopoly. Most of the things that have been said about it WEl'l'e said by hon. members on the Opposition side of the House! Lt.-Colonel BRUXNER: I would say that if something is known on this side of the House about the combine, the Government, which is in possession of all the machinery for finding out the innermost doings, methods of accountancy, and so on in the business of this State, must have fallen down on its job if it did not know of some of the things that the Minister says members of the Opposition have told him. However, I am not concerned with that, and I will not waste one moment in replying to statements as to why previous Governments sold the State brickworks, or to anything else. I was a member of the Government that sold the State Brickworks, and it sold them because State Brickworks Bill. 2521 it did n~t believe in Government enterprise; it did not believe that it could achieve all that it set out to achieve. We believe that properly controlled private enterprise, that is to say, private enterprise that is not allowed to function against the interests of the people, will do the job. Why. all the talk about handing this great undertaking over tO> private enterprise at a bad price? It. is a thing of the past, and I shall not traverse any criticism. I have no need to traverse it. MT. SHA'H\ON: .. The hon. member was in the Government that sold the State Brickworks! Lt.-Colonel BRUXNER: Quite so. We are concerned about the people that the hon. member for Gordon mentioned, people that every other bon. member knows of to-day, people who cannot get a sheet of bark over their heads> people whose families are living in the open, people who are using bits of old tents for cover, people who are living three of four families in a room., servicemen who are coming bomP. and bringing their brides from the other side of the world into this State that has hardly been hit by a shell or a bomb. These brides might well have said., "We are going· to a promised land, a land where social amenities have been in the bands of some of the world's great social reformers over the years. This is the place where we shall get a home." But they land here to find the app·alling conditi-ons that have been referred to by various hon. members. I will not apportion the blame. The Government has been in office five years, and its confreres· in the Federal sphere have been in office even longer. The Government has had all the pow.er that could pos-· sibly to handed by democracy to any body of men, in fact, more power than has ever been handed to a body of men in any other democracy. It cannot plead one argument for not having done the job that it told the people it would do. It cannot blame this side of the House or previous Governments. It has had everything in its own lap. Every man' and ·every woman that is without a hom-e . 2522 State Brickworlcs Bill. [ASSEMBLY.] to-day must ti1rn towards hon. members <>n the Government side of the House .and say, "You are letting us down!" :Mr. J. J. CAHILL: The hon. member .should get on with the subject of bricks! Lt.-Colonel BH.UXNER: If I throw a brick at the Minister and he cannot "take it," whose fault is that~ 'l'he 1\'linister has been there for five years, and _yet every hon. member knows that there .r.re people \\•ho cannot get even a shack in which to live. If I had been in his ;place for five years, and could not have .clone something better than the sorry business we see to-day, I should not be ready to take any credit for it, or be very proud of my position. :M:r. J. J. CAHILL: If we had had the !brickworks that you gave away-Lt.-Colonel BR UXN ER : If you ha 1 had the brickworks! What I want to know is why the Government that wa5 Teturned five years ago could not haYe ·done this five years ago. It could have brought down this bill, and the brickwoTks could have been in opemtion foT ihe last fi1·e years, but, as the hon. memlber for Gordon has said, neither the Gov('rnment nor its supporters were awal:e. rrhey were too bus~· e3t.ablishing the :Sydney Turf Club. They were spending :all their time and energy and strength in increasing the number of racing and greyhound racing coursing days, and ir! 1.1sing the materials tha·t could havE> been •utilised for the building of houses. So far as we are concerned, we .are 110t going to accept any respon.::ibility whatsoever in denying- to the Government the use of anything that even looks like providing a house. or part of R !rouse, for the people who are in dire neE>d of homes to-rlay. I do not. believeand the bon. member for Gordon showerl it up pretty plainly on the Minister's ·own statement-that this great undertaking can !!"et g-oin!! in four months. If it does. most nf the records we have will be beaten. Unfortunately, this GovPrnment i~ in power. and has some time to go. So far as housing is concerned, nohody c:1n afford to wait. There is a wintPr coming on and wP must !:!'et busy. or thPre will not merely be tlw distre~s that exists to-day, but people will be suffering State Brickworks Bill. also from ailments that come from exposure to the cold weather that we shall experience in a few months' time. Anything that can be done to provide homes for the people should be done. The Government says, and it must accept responsibility for it, that if this undertaking is re-established it will increase the number of bricks that will be available to the people. Vve have no need to bother about price, because that enters into every other phase of building activity. One may have all the bricks in the world, but unless there are brickl.ayers to lay them, in large numbers, the houses will not go up any faster than the bricks go up. People to-day are not concerned about what they pay for bricks. They merely want bricks, whether they are made by the Government or by private enterprise. They also w.ant timber. We propose to let the Government have this bill. We will not vote against it. Mr. THEATT: The people will pay! Lt.-Colonel BRUXNER: They may get it in the neck, but people are not so much concerned about the price as the fact that they want .a roof over their heads. If houses that, some time ago cost £500 to build were put up for auction and there was no restriction on the price, there are people who would be prepared to pay from £1,400 to £1,500 for them. A man with a wife and children, without a home to live in, will spend everything he has to provide shelter for his family. The Government sa;ys: "We cannot do anything else," but we say, "If the Government does not turn out hricks, and lots of them, and very quickly, too, and if it does not make some real contribution towards the housing problem, it. still stands condemned." So far as my colleagues and myself are concerned, we do not support Government ownership of brickworks. We have not the power to prevent the Government from doing things, but we do say to the :Minister and to the Government t11at if it does not make the brickworks function satisfactorily after paying interest, sinking fund, taxation and meeting all the other charges that are met by private individuals and firms State BTickwm·ks Bill. l6 MAR., 1946.] in the production of bricks, we will have something to say even before the next State elections. The people have been let down badly by the Government, but we have no desire to withhold something from the people that will enable them to obtain homes. I was a member of the Government that disposed of these brickworks, and I say that I would do it again. In all probability if they are not run better than they were previously it may be our responsibility to do it again. However, if by taking the riok, and by re-establishing the brickworks we can build a few more houses and bring a little more brightness into a few homes, we will not oppose this action even if it means sacrificing for the time being some of the principles for which we stand and for which we have always fought. :Mr. JACKSON (Nepean) [5.38]: The Minister in presenting this bill failed to make out a good case for its introduction. The Government finds itsel£ in a difficulty. People are without homes. It is therefore the duty of the Government to relieve the position. However, its approach to this problem is weak. The Minister has attempted to make out a case for the passage of this legislation and for the re-establishment of an authority to produce bricks for the community. I suggest that we were €ntitled to a better story than that given by the 1.1:inister. My experience jn life does not permit me to take up the work that has been performed for a long iime by others; nor does my experience fit me to do the work equally as well as it has been performed by others in the past. I think we are entitled to hear from the Minister how he proposes to take over this function of brickmaking from the skilled men at present in it. I have not the privilege of knowing any of these gentlemen who constitute the brickmasters' council. I l1ave heard in this Chamber during the last 48 hours a lot in villification of it. I think it is a mean thing to come here as the hon. member for Yass did last nig·ht, and say that this is all a swindle, and that the brickmasters are perpetrating a crime against the community. State B1·icl.;worlcs Bil!. 2523 That has been substantially the approach of supporters of the Government on this question. We are entitled to be told what is the rnodus ope1·andi proposed for the production of these bricks. The creation of an authority and the expenditure of £30 000 to put the brickyards into order doe~ not ensure that bricks will be produced; there is more than that to be done. Ths Minister has not told us his proposals, nor has any hon. me~ber who has risen on the Government s1de. The Government's emergence into the field of brick production is not going to improve the position substantially. for any continuing period. I do not doubt that the Government leaving its own business of administration and entering the complicated field of production, will find many more difficulties than it now imagines, and meanwhile it will be leavin"' tasks at its elbow that should be in"' front of it. The difficulties in the way of brick-making must be insurmountable. The manufacturers themselves want the Government to take the job over. It seems from what the Minister has said that the brickmasters have asked him to take over the job because they cannot run it, and that they are ready to join with him on some basis of combined production to get bricks. These men have devoted their lives to obtaining the necessary skill to produce this essential home-building material, and if they are powerless to produce bricks, what will the Government do~ It is the duty of the Government, when experts in the production of a national commodity are in difficulties, to come to their assistance in the interests of the ,people. Profit-making does not come into the question; there are many means of checking undue profiteering, and I know that companies or individuals are not allowed to make great profits nowadays. The trouble is that manpower difficulties are besetting the brickmasters and every other organisation. The men engaged on the administrative side in industry know that is the trouble, but apparently the Government does 2524: Btate Brickworks Bill. fASSEMBLY.] not understand it. Like many misguided people in the community it believes that when you are in trouble all you need to do, if you have money, is to buy something big and set an organisation at work. That cannot be done in private enterprise; it ~rings about disaster. It can be done in State enterprise because it is the public that foots the bill and the public does not know the answer as a rule for long years to come. The governmental structure created for the construction and repair of ships at Newcastle was the subject of certain prognostications, but the story is not yet told and cannot be told for a considerable time. Mr. J. J. 0AmU,: They want cottages at St. Mary's very badly, and I am afraid that if the bon. member opposes this bill it will go ill with him! Mr. J AOKSON: I should be "~;ery sorry for all the people at St. Jl{ary's, if the only help they can expect to get is what will come from this measure. I will not be turned aside from what I believe to be an essential principle of government by any threat that my constituents might not like. I have to decide what the people of this country need. Mr. J. J. CAHILL: The hon. member for Nepean is a very brave man! ]l,fr. J AOKSON: Not at all. I am not wanting any glory in that way at all. I want the courage to do those things that I believe to be right, and I try to produce it when the occasion requires it. I am prepared to give away a lot if we can get the results. I have no belief in the story of the :Minister and his supporters, however, that this bill will help us at all. The most logical statement made during the debate was that of the bon. member for Marrickville, who said that the measure could be justified on the score of expediency. There might be something in that if we can logically assume that we are going to get more bricks. The problem is how can we get more bricks, when men cannot be found to produce the food we need to eat. Apparently the Government has not taken State Brickworks Bill. any account of this great scarcity of labour at all. The brickmasters, by way of correspondence, and members of this House also, have put to the Government an appeal that assistance be given in the way of releasing men to work in these brickyards, without which the work cannot go on-as is proved by the fact that the brickmasters themselves want the Government to take over the job. There are a lot of people in this community to-day who would be quite prepared to hancl over their jobs if there was a reasonable way of doing so. That difficulty is not confined to the brickmasters by any means. It is not a question of profits. You cannot build up a big organisation such as that which txists for the production of bricks and walk out any morning you like. The brickmasters have to make some attempt to keep the works going. They have a loyalty to many men, and must endeavour to keep them in employment. That being ·the position, they will naturally struggle on, even though their figures of production are much lower than formerly. But what can they do about it~ They can only beg those who control manpower to relea"Se men or more particularly appeal to their own domestic Government, which needs the bricks and whose constituents need them, to relieve t.hem of the restrictions on manpower. It appears that the brickmasters, not for their own sakes but for t·he sake of the men and women who need their products to protect them from the elements, are entitled to more consideration than they have received. The House has been told of a proposal on the basis of a 51 :49 per cent. shareholding control in favour of the Government. If the Minister had submitted a proposal that the Government should superintend this undertaking because it was thought that the best was not being done, it is probable that the· public would have been prepared to invest money in such an establishment, but it would want to be shown that the costing was on sounri liries, that a profit would be made and that in the event of failure they would be allowed to withdraw their m:oney. We Bta:te Brickworks Bill. '[6 MAR., 1946.] all suspect that those unversed in indus. trial control are likely to cause trouble ·when they deal on the investment market. It is not to be wondered at, having in mind the Government's record of inefficiency in the control of industrial enterprises, that the public is a little nervous at what is likely to happen. 'Vhen the undertaking is set up, men, who to-day are working for private enterprise, will be tempted to transfer to the Government institution. They will consider it a more secure livelihood with less dan~er of being disturbed. The result will be that no more bricks will be produced, indeed fewer bricl<s will be produced in a different yard. With unlimited capital at its disposal and a novel method of finance that permits regulation of capital according to profit or loss, competitors will not· be able to compete and conditions of employment in the Government yard will be somewhat more pleasant. If I were a brickmaker I should like to get across to the Government yard myself. Improved working conditions cost money and add to the price of the home that the citizen is to occupy. Many examples have been given of what happens to persons who buy homes to-day. I 1Jave seen men purchase homes valued from £200 to some thousands of pounds, but I should imagine that until recent years, the man on the basic wage or just above it, purchased a home costing about £750. Nowadays the purchase price is nearly £1,500. Even at £1,200 -and no one will question that estimate -it would be difficult for the averao-e worker to purchase a home. That is"' a large sum of money to be saved by a person working for wages or salary without means of adding to :•it. Not only does it take a longer period than formerly and require a greater 'Sacrifice, but it also makes the public disspirited. Anyone who faces the payment of £1,200 from .wages will. ~e .a very. w.e.ary individual long before l1e has discharged his debt, even if he has the best of luck. State Brir.kworks Bill. '2525 In his second reading speech the J\{inister suggested that there was a poverty of capacity in the circle of the brickmasters. Private enterprise, he said, had been responsible for the production of bricks and had produced almost no bricks. The position had gone from bad to worse and so, in desperation, he and his Government must make amends. If we can no longer produce the resources n1quired by the people we haYe lost the character that has made us what we thought was great; we have lost the nerve to face difficulties and must confess ourselves a blundering, incapable body. Those •who have been masters of the calling have helped us in a crisis but now the Government in a state of utter helplessness seeks to pick it up and tell us that everything will be alright. Can a person of ordinary intelligence accept tha.t reasonin¢~ I do not suppose that there is a person in the department who would claim to have more than an ordinary knowledge of the production of bricks. The case presented by the Minister and his supporters does not suggest that they are facing the practical side of the question. They look at it from thP angle of those who have promised to socialise an industry if the opportunity presents itself. I have heard streetcorner advocates of Labour policv swing into the grand old catch-cry, "We will ·nationalise this and that," and thP nromise is greeted with loud cheers. When it has been suggested, during the course of the debate, that the panacea for all ills is to let the Government enter an industry, irrespective of its difficulties and complexities, much cheering has come from the Government benches. These proposals have not been ad~ vanced merely by the Minister and members of the Government. Somewhat similar theories have been advauced by other Governments, but I notice that during the last few weeks there has been a departure from the previous attitude. The Prime Minister, when exhorted to approach the coal question from the viewpoint of nationalisation, proJ;llpdy said that that is ·not the s.olution. Only .:~ ,, ,; 2526 State B1·ickworl.:s Bill. [ASSEMBLY.] yesterday that great advocate of socialism in the British Parliament, Mr. Herbert Morrison, said that the people must work for everything they want, and that advantages could not be easily obtained. He is endeavouring to persuade the people of Great Britain away from any such foolish belief. Instead of endeavouring to boost the theory of socialism, be told the people quite plainly, as reported in yesterday's press, that Great Britain must depend upon private enterprise to assist in the relief of the great difficulties with which it is confronted. I suggest that the speakers on the Government side of the House have not made out a case. There is a right way and a wrong way, and I am confident that the Minister is taking tl1e wrong· way. If he had more practical experience, he would have approached the men who are competent to produce bricks. They would have no opportunity to make excessive profits, nor to obtain a monopoly, because their p-owers are restricted. I suggest that the Minister and the Government are doing the wrong thing. The establishment of State brickworks will not result in the production of more bricks. If men competent to produce bricks had been given the opportunity to do so, the Government would have got much further and would not have introduced a competitor against its own taxpayers. [Mr. Speal.-er left the chair at 6.5 p.m. The House resurned at 7.90 p.m.] l\fr. HEARNSHA W (Ryde) [7.30] : I take this opportunity of registering a public protest against the bill. First, as may be assumed from the views that I have often expressed in this House, I am opposed to State enterprises operating in the realm of the ·production of commodities. Also, I must say that T am very disappointed with the way in which the bill has been presented to the House. From the e."'positions given Ly the Minister and his supporters, I should have imagined that this was a bill t.o rescind a previous determination .advocating the sale of the State brickworks. The argument put forward by hon. members opposite seems to revolve around State B1·ickworks Bill. the question whether something that happened in the past was right or wrong; and the impre::sion is given that this is an attempt to rehabilitate a venture that failed previously. l\fr. HoRSINGTON: It was a wrong thing to do! Mr. HEARNSHAW: That may be so, but I did not think that was the reason for this bill. l\fy impression was that, in a period of crisis, it was intended to provide urgently needed bricks for housing purposes, .and I should have thought that that would be the line followed by Government supporters. Instead, hon. members have had no clear statement from the :Minister, or, indeed, from any supporter of his Government, to indicate how this bill will help tu produce more bricks. ·we have been told that if the State brickworks begin to operate within a certain period of time, be it four months, eight months, or twelve months, it may be expected to produce 27,250,000 bricks, and th.at thP. number will ultimately expand to 74,000,000 bricks annually. Ron. members have a right to know whether those bricks are additional to those that cou ],1 be provided by private enterprise, but the :Minister has not yet given us any indication of this. l\fr. HonsrxGTON: The bon. member means the brick£ provided by the combines! llfr. HEAHNSHA W: The "combine~" are .a group of men, which has organised and rationalised the industry so that it. mig-ht be developed more effectively. Mr. J. J. CAHILL: Does the bon. mernbed call them public-spirited citizens? llfr. HEARNSHA W: These person'! have established themselves in industry and have demonstrated that they can meet the demand of a large market. l\fr. ,J. ,T. CAHILL: The Ryde Council h.ad something to say about that! llfr. HEARNSHA W: The Ryde CounC'il is distressed, as are all other citizen>', that there are insufficient bricks available to meet present demands. The Government did not tell the people why there were no bricks. It did not tell them that before the war our brickworks employed approximately 2,000 men, and' State B1·iclcworks Bill. [6 MAR., 1946.] that that number was reduced to 100. It w.as later built up to 600, and I believe that the present number is about 650. That is why private enterprise cannot produce bricks. The brickmasters have neither the men nor the machinery to operate their brickyards. Mr. HoRSINGTON: The combines closed the brickyards ! Mr. HEARNSHA W: The brickyards wer·e closed because there was a fluctuating demand for bricks in the building tr.ade, which is one of the most fluctuating of all industries. It was found, reasonably enough, that in certain areas brickworks had to be operated at a loss because of the poor demand for bricks in such localities. Those in control of the industry came to the conclusion, quite rightly, that the only effective means of retaining men in employment was to rationalise the industry. Such a laudable action should have the approval of hon. members opposite, and should not be sneered at by them. The brickmaking interests found that, by ceasing work in certain brickyards and concentrating it in others they could provide men with constant employment and could satisfy the public demand. They have paid dividends because they have made profits out of the brickyards, and if the Government was not satisfied with the way in which the brickyards produced bricks, why did it not interfere with them before now? Mr. HonsiNGTON: The Government supported by the hon. member could have done that! l\f r. HEARNSHA W: The price at which bricks are now sold is fixed by the Prices Commissioner, and it has nothing to do with the combines. Mr. J. J. CAHILL: The Prices Commissioner accepted the price given by the combine in 1942, and that became the fixed price! JIIIr. HEARNSHAW: That price was :flxed after due investigation was made. The Prices Commissioner fixes prices only after he has made the necessary investigation, and we must assume that he acted wisely when he fixed this price. The Government enterprise, when it was State Brickworks Bill. 2521 in existence, shared the increased price for bricks that was brought about by the so-called "combines." Mr. J. J. CAHILL : The increase in the price of bricks did not take place until after the State brickworks were sold! Mr. HEARNSHA W: There were subsequent increases, but increases have taken place from 1912 onwards. Mr. J. J. CAHILL: There was very: little complaint about those increases! Mr. HEAHNSHA W: No, because everyone is glad to get a profit out of industry, and that is as it should be. I should like to point out very clearly that members on this side of the House are advocates of profit from industry~ because that is the only reasonable way to establish which enterprises should remain in operation. :Mr. J. J. CALIILL: Does the hon. member say that even though yards did not operate their owners should have made a profit~ Mr. HEARNSHA W: Profits were not made by yards that were not in production. The rationalisation of the industry necessitated the closing .Uown of uneconomic kilns, thus permitting bricks to be made in kilns that could be economically worked. On that basis, the combine operated satisfactorily, and was able to pay a dividend. The combine made a maintenance contribution-GovERN~mNT MEMBERS: Oh, Oh! Mr. SPEAT\ER: Order! The hon. member must be heard in silence. I ask the hon. member to address his remarks to the chair and not to invite interjections. Mr. HEARNSHA W: In the stress of war Britain found it necessary to rationalise the brick industry, and it closed down certain kilns in order to make others productive. It paid a maintenance charge of 3s. a thousand bricks, based on the production at a kiln at the time that it was closed. I mention what happened in Britain as a justification for the action that was taken by private enterprise in the brickmaking industry of this country. That action was justified by the results, and it was logicaf that the brickyards that could not give full employment should be closed so ~528 State BriC'lcworks Bill. [ASSEMBLY.] -that other yards might provide full and .adequate employment. The problem of :manpower has been a very dreadful one indeed in the brick industry, as is evi·denced by the fact that the number of -employees dropped from 2,000 before the war to 100 during the conflict. How .can hon. members opposite expect brick:yards to be kept open with only 100 men to operate them? Surely commonsense <lictates that small labour units should be brought into a limited area where ilhey may be fully employed r.ather than be :scattered over thirty-six different brick:yards that cannot, individually, operate -economically. In my opinion, the practice adopted by the brick-making enterprises was justifiable and I support it. Mr. HoRSIXGTON: When men are transferred from brickyards in that way it -is not possible to produce sufficient bricks! Mr. HEARNSHAW: If supporters of the Government believe that a mere one hundred men in the brick industry can produce as many as could 2,000, it is futility to debate with them. When the brickyards had their full complement Qf men they were able to produce '250,000,000 bricks from the fifteen or sixteen brickworks that were then operating. In 1944, not because of the combines and not because of evil men who -exploit the public, but because of the shortage of labour, machinery and equipment, brick production fell from '250,000,000 to 42,000,000. Government supporters say that there was a period oQf emergency, but as the leader of the Country party and the hon. member for ·Gordon stated the conditions to-day are -in a shocking muddle. We have the responsibility of meeting that situation not by the implementation of a particular programme over a period of ten :years but by a definite and concrete application of intelligence. Had the Government assisted the brickmasters in securing machinery and men we should "have had more bricks. The brickmasters, according to the letter quoted by the leader of the Opposition, first made application for manpower in August, 1944. At that time the production was ·42,000,000, but now that the number of State Brickworks Bill. men engaged in the industry has increased from 100 to 600, the production has increased from 42,000,000 to 100,000,000. There is, therefore, evidence that the brickworks are meeting the situation. Intelligent men who know· this industry are prepared to produce bricks provided that they are given the men and machinery. We are not concerned with what the Government may do i11 twelve months' time. It is quite likely that at the end of that period the private brickworks will be able to supply all demands, and I would point out that to-day the brickyards have a capacity for producing 470,000,000 bricks. Mr. J. J. CAHILL: Why do they not produce them? 1fr. HEAR~SRA W: Because they have neither machinery nor labour. llfr. J. J. CAHILL: They have machinery! :Mr. REAHN SHAW : We heard the letter in which the brickmasters asked for machinery. They are anxious to use modern machinery. )fr. J. J. C,tHILL: The hon. member is making wild statements! Mr. HEARNSHA W: The Minister considers that my statements are wihi only because they are unpleasant to him. The fact remains that the brickmasters are willing and eager to produce bricks at an ever-increasing rate up to a capacity of 470,000,000 bricks a year, provided that the men and machinery are made available. That is not an unreasonable request. Now that the war is over the Labour' party has no justification in t~;ying to re-establish an undertaking the disposal of which hurt it in 1936. That seems to be the motive behind the introduction of this bill, and I am not to be confused and neither is the public to be confused as to the present issue, because we know that the need for bricks for ho.uses is not the true motive behind the bill. If it were otherwise we might even share the opinions of some members of the Country party, but in view of the circumstances I cannot understand their point of view. They say clearly that they are opposed to State enterprise and that they believe· that this bill will not bring State Brickw01·ks Bill. [6 MAR., 1946.] .about the necessary results, yet in a blind hope and with a sincere wish that .somehow or other it might improve the position they are willing to support it. We say clearly that this legislation is :no contribution to the housing scheme. It will not make one iota of difference to the production of bricks for the next .twelve months, and in the interim the hrickmasters should be supplied with :men and machinery so that they can utilise some of their surplus capacity. That is the only source from which ;bricks are likeiy to come. If the Government is earnest in de~iring to find homes for the community .and not to implement their political theories, then its remedy is simple. It :should exercise whatever influence it possesses with the Federal Government 150 that men may be released for this 'industry. Without labour and machinery bricks cannot be provided, not even by the Government. If there is a limited :supply of men willing to work in the brickyards where is the Government .going to secure its manpowed Will it take it from the other brickworks? Are ·the State brickworks merely going to provide 74,000,000 bricks by preventing the brickmasters from producing a similar number? If so, that is no solution of the problem. Mr. J. J. CAHILL: Competent men who were formerly employed at Homebush Bay have been out of the industry for years but now that it has become known that the Government intends to start the bric1.·works these men have been re-engaged by the brickworks people! Mr. HEARNSHAW: When were 'these men re-engaged? Mr. J. J. CAHILL: About a fortnight :ago! Mr. HEARNSHAW: It is quite •obvious that if this bill goes through there will be more Government jobs available and of course those who want Government jobs will re-enter the in.dustry. Mr. J. J. CAHILL: They are working for the brickmasters to-day! Tz. State Brickworks Bill. • 2529 Mr. HEARNSHA W: In anticipation of the opening of the Homebush Works? llir. J. J. CAHILL: The hon. member should not misconstrue· my statements. These men were working in private industry and when the brickmasters knew that the Government intended to reacquire the brickworks they asked these men to work for them so that they could open up new :vards! lllr. HEARNSHAW: From that we gather that the Government's interest in bricks has stimulated production. It is a pity that its interest was not. exhibited a few years' ago. The fact remains that the brick industry as organised to-day requires modern machinery· to make it effective. The machinery is here and could be made available if the influence of this Government were used with the Federal Government. It seems that this Government is holding back this machinery so that it can be used in its own works. and if that is the position it is an absolute disgrace. Private enterprise has for the last two years been pleading. with the Federal authorities to permit it to get on with its job, but its pleading has gone unheeded and therefore the brickmasters are unable to meet the tremendous demands that have been made upon the industry. The passing of this bill will provide no solution of the housing problem and I intend to vote against it. Mr. LANDA (Bondi) [7.49] : The hon. member for Ryde commenced hi;; address by deploring the fact that the speeches made by members on this side of the House were not to his liking because we indulged in too much argument about what had taken place in the past and what is taking place at present. And what is taking place? I should think that the bon. member would have endeavoured to bring the debate back to its proper level. Instead, we found him indulging in a strong and vigorous defence of the brick combine. Perhaps, in his profession of accountancy, he has special knowledge, and he certainly showed that in some respects he enjoyed acquaintanceship of those who controlled the combine. In other respects, however, he showed that his 2530 State B7ickwarks Bul. [ASSEMBLY:] · S'tate B·rickwork~ Bill. knowledge was sadly limited. This de· bate has, perhaps, taken on too muoh of a political character. The bill deserves the most careful consideration of hon. members in view of the urgent housing problems that confront this country to-day. We are faced with a crisis of .gTeat mag·nitude. Our young people who m:e getting married cannot (find homes. Some people are living with thrae ·Or four children, and even more, in one ·bedroom, a:n.d' are naturally crying out for homes. They are asking various hon. members to protect them against evictions, and to be given homes to which they can take their families. But we cannot cope with the demand for houses that is being made upon us. Naturally one cannot fail to be distressed by the conditions of these people .. One of the first debates that I heard in this House when I returned from abroad was a debate on housing. It was difficult for me to appreciate the eal'nestness and vigour with which some hon. members attacked the Government fot its failure to build enough houses. In every country that I visited while abroad, I heard exactly the same complaint. I visited New Zealand, where there have been proportionately more houses constructed by its Labour Government than have been built in any othe~ country. The New Zealand Government's housing record is magnificent. I stayed in New Zealand for three weeks and found the demand for houses there was equalled only by the demand fot houses in this State. When abroad, I also visited the United States of America, where Henry Kaiser builds a ship a day. .Jn that country mass production is a specialty, but they were unable to cope with the great demand for houses. In Canada I heard of a similar difficulty. When I visited England and Scotland there was more than a mere demand for houses; there was an outcry. 1fr. Aneurin Bevan answered questions daily in the House of Commons about what he was doing to provide homes for the people. Nevertheless, I did not see a single brick being laid in any part of England that I visited. When one returns to this State and hears people Mr. Landa.] criticising the Government's failur~ to provide enough homes, I can. only say that they are either unaware of all the difficulties associated with building to-day, or that they are trying to make political capital out of the peoples' hardships. The question of socialism does not arise to-dayThe party to which I belong does not try to hide from the public that it has certain socialistic objectives. That has been made quite clear to the public over the years. The Labour party. is not ashamed of the socialistic objectives for which it stands. Mr. SPEAKER: Order! The hon. member should link up his remarks with ther provisions of the bill and keep hisargument consistent with them. Mr. LANDA: I shall certainly do so,. because I have heard the word "socialism" used in this debate. But the question of socialism does not arise now_ This is a period of great crisis, and ther Government is not merely entitled totake <!teps, but is bound to take them, to reduce the shortage that is preventing the people from getting homes. I was very much surprised tp hear the leader of the Opposition and the hon. membe1· for Ryde say that this new enterprisewould not provide a single brick. I cannot understand that contention or ther reasoning behind the leader of the Opposition's speech. As a matter of fact, the Homebush brickyards will produce millions of bricks. I am mindful of the fact that the leader of the Opposition told the Minister in charge of thebill that he would not be able to build a rowboat in the shipyard for which her was responsible. Not one, but man:v ships have heeD( built ~n that ·yard,_ and more will be built. This Government is to be heartily commended upon the steps it has taken. Some hon. members have said that the Government'<J action in bringing down this measure is belated, but the old maxim ''better later than never" applies in this instance. Perhaps in years gone by it would not" have been so easy for the Government to take over these brickyards. State Br~ckwot·ksBul. [6 MAR., 19«1.] I have he"rd a great deal said about private enterprise, but the brick industry provides an example of where private enterprise has failed. It has not stood up to the test in a moment of crisis; it has not been able to produce and deliver the goods. Someone has suggested that the profits of the brick industry were so high that in order to obviate increased taxation it was decided to keep production down. I heard the bon. member for Ryde say that the brick industry was short of men and machinery. I say to him and to others that may think like him that if the industry is short of machinery it has only itself to blame. That would show a lack of foresight on its part, because during the war years, when there was no building or very little, it made no preparations for the post"war demands that everyone knew would be made. I understand that there is a workshop in this State that does nothing but make machinery for the brickyarcls. Jl,fr. HEARNSI-IAW: Did it make it during the war? Mr. LANDA: I do not know, but it has certainly made it since. I go a step further and say that the brick combine, which has been defended so vigorously by a certain section on the Opposition side of the House, has always wanted to limit the production of bricks to maintain the price at what it considered was a fair and reasonable level. The proof of that is this: The brick combine, as the hon. member for Y ass so eloquently stated last night, purchased the State brickyards in such a way as to cause shame to the Government of 1;he day. But the point I wish to make with regard to that transaction, fraudulent as it appeared to anyone, was that it involved the sale of a public asset at tho.usands of pounds less than it was worth. No sincerity was shown in the vurchase of that asset. They did not purchase it to widen their ramifications of the brick-making industry, or to give them another large, well-equipped brickyard. They showed b:v their purchase that they wished to limit the number of bricks produced. Shortly after they had State Bricl,works Bill. 2531 purchased the brickyard they began to sell the assets which they had pur• chased, and the modern equipment was sold or destroyed. The yard had cranes at both ends. It had punts with which to carry the brick~; across the water. It had a transport system of lorries all of which were dissipated. It had a light railway connection with the depot at Parramatta, and it also had depots on the north side of the city. I commend the courage of the Minister and the Government in taking over that piece of desolatiDn which has been left to it. The brickworks had ten patent kilns when they were sold, and twenty kilns for faced bricks. All this equipment in one of the most modern and highly-efficient brickyards in this community has gone. The cranes have vanished·. The transpo;rt system ha~; been broken up. The kilns are now covered with concrete. Mr. HE..,RNSUAW: By the na-vy! Mr. LANDA: But they were never used by the brick combine. The grinding plant was sold. I admire the cour· age of the Minister and the GovernmeEI in taking over the brickyard in its pr1•· sent condition, and I should be please~! if a miracle would happen to . en,ablo the production of bricks to be commenced next week or next month. U n· fortunately that cannot happen.. The Minister has a big job ahead of h.im, but I am sure tktat he will be ~s su.cuese;ful in regard to the State B;rickwoxks aiJ he was in connection with the New· castle dockyard. Ii he can get tkte Yi<t-J:dfJ in op.eration, and have the f;i.rst brickt. produced within six months, he will earn the gratitude of the whole com· munity. I propose now to refer to the perfidJ and insincerity of those persons who run the brick combine. They say that they have not enough men to increase brick production. Yet there are many exservicemen to-day who are unemployed, and I will tell you one reason why they do not go into the brick-making industry. A few years ago when the brick combine bought the State Brickworks, it achieved its purpose. It got rid of ·Government enterprise. But in 1923 this 2532 State B1·ickworh:s Bill. [ASSEMBLY.] same group sold one of the most efficient brickyards in New South Wales. I refer to t'he Flemington brickworks, alongside the railway line at Strathfield. This yard had been producing at least 14,000,000 bricks each year. It had two continuous kilns, whereas the average yard has only one. That brickyard was also sold. It i5 now being util-ised by a J;llanufacturer of :fly-spray. The brick combine did not want any additional brickyards. In point of fact, it has too many small brickyards at pre_sent scattered over the St. Peters areD. that ought to be closed down. The conditions of employment are abominable, and that is a further reason why bricks are not being produced efficiently. The works are not situated close to transport facilities and should be moved closer to them. There should be one large central brickya::d, near 'to the material it require5 and close to transport facilities, and the conditions of employment should be good. Then, with more efficient methods, more bricks would be produced, and produced more cheaply. I am glad to know that under the bill the Minister, if he so desires, will be empowered to take action to acquire some of these brickyards. Some of t'hem ought to be acquired, and amalgamated into one and the machinery fully utilised and modernised. At the pres.ent they are uneconomic from the viewpoint of employment and the public interest. If the machinery were centralised in one efficient and if the material brickworks, were more plentiful there would be a big increase in production. Mr. TREATT: Does the hon. member imply that the Government should take over the smaller yards and use the machinery? Mr. LANDA: No, but this bill gives the Government an opportunity to make the brick industry efficient. It is not an efficient industry to-day. During the debate I have heard very little said about the employees in this industry, who deserve consideration. I· speak as one ·who acts for the union that protects the Blalc fl.rickworlo:s Bill. interests of these employees. There is no industry that has fewer amenities for the employees than has the brick-makinci industry. There is no industry th.at is more irregular in emplosment. I have been advised by those who know the affairs of this union where the emplosec.:! are all enrolled that there is no encouragement for an ex-serviceman to enter the industry if the conditions are to remain as they are at present. Mr. HEARXSHAW: They are controlled by an award! Mr. LANDA: Yes, but it is not satisfactory to these men. I drew attention the other day to the fact that they have not adequate protection under the Factories and Shops Act. Nor in respect of explosives, have they the protection of inspection by the Department of Mines. This seems to have been overlooked. 111:r. HEARNSHAW: They have a remedy! Mr. LANDA: They have tried for years, but private enterprise has resisted every attempt of the union to better their conditions. Some of the men who were formerly employed at the State Brickworks at Homebush Bay have now taken employment with private enterprise, but as soon as the State Brickworks are opened these men will immediately leave that private enterprise to work in the Government enterprise. Mr. HowARTH: You cannot blame the men for that. They do not have to work so hard! Mr. LANDA: That is a gratuitous insult to men who produced a substantial quantity of bricks for this communitybricks that were sold to the public at 17s. a thousand less than those made by the brick combine. Those men did a highly efficient skilled job. The only point of difference is that in the State Brickworks the men were treated as human beings and given a job that could be regarded as permanent. They were paid from 3s. to lOs. over the award rates of pay and 33-1/3 per cent. of the net profit was distributed as bonuses amongst them. 1\fr. BRAIN: It is illegal to-day to pay over the award wage! · State Briclcworks Bill. [6 MAn., 1946.] Mr. LANDA: It is not. There are many servicemen without jobs, but I would not like to see them herded into the brick-making industry because I know the poor conditions of the men in that industry. I have come into contact with them in my daily work. The job is not permanent and gives the men no security. But if the Government Brickworks were re-established on the lines on which they operated previously I could confidently recommend servicemen to take up work there because they would be given some security and permanence, they would receive a decent wage and would enjoy better conditions than exist in any private brickyard. The Government is taking the necessary step to overcome the housing shortage, which is having such a deplorable effect on our community. Ron. members should all be behind the 111:inister and should give him every encouragement to get this brickyard cleaned up after its occupation by the Navy, to get rid of the concrete, and to get the machinery restored and to put the m,en back at wo1rk to produce millions of bricks in order to overtake the shortage that now exists. Even if the Minister takes nine months to bring this into effect, he will have earned the gratitude of the people of this community. Mr. STOREY (Hornsby) [8.13]: Those of us who were not in the House when these brickworks were disposed of are very interested in the historical background of the debate, but after all that has nothing to do with the question before us. The question is, whether having regard to the desperate position in regard to housing in this country, it is necessary for the Government to take the step that is contemplated. I think the step is justified and that if a referendum were taken, it would be carried by eight votes out of every ten. Since this bill was introduced, I have taken the trouble to check up with various electors who are in the middle of the road, the same as I am politically, and I find that there is a~ almost unanimous desire on the part of those people to see thia measure passed. The general expression of opinion is that even if the State Briclcworlcs Bill. 2533 Government loses money on this enterprise, it is more than justified in the step that is being taken. We have just been through a war that cost the country £1,500,000 a day, and yet we boggle over the expenditure of £50,000 or so in order to see to it that the people get houses. Those who have said that this will not produce bricks surely do not believe that what they say is correct. Their very hypothetical argument was really answered by the hon. member for Ryde, who saicl that the introduction of this bill has already stimulated the brick industry. I feel that an answerable case has been made out f~r those who say that the brickworks were sacrificed in 1936, and that the . people lost, taking into account what was paid to the Government for them; but as I have said, the historical background does not concern me at all. I am concerned with the fact that today we cannot get bricks, and men and women are almost blackmarketing in the fight to get them because the brickmasters say they are ten and twelve months behind in deliveries. In local government circles we have reports from the building inspectors time and again that that is the position, and we are told that we must allow people to live in garages or to put up half-fibro houses in brick areas, and to put up houses worth £500 alongside others worth £2.000 or £3,000, because there are no bricks and it would be inhuman to prevent people from building a roof over their heads. Those who have said that bricks are not the only building material are correct, but we have been told to-night that the maximum production at the brickworks in question, even if £100,000 more were> spent on it than the original £30,000 estimate and the cost of resumptions, will produce only 74,000,000 bricks a year. ·we have been told that the maximum annual production to date by the brickruasters is 250,000,000 bricks with a possible maximum of 470,000,000. If we look into some of the Commonwealth's reports we shall see without any doubt that we are about 250,000 houses short to-day. That being the position, let the brickmasters State Brickw01•ks Bill. [ASSEMBLY.] bring up their production to 250,000,000, and let the State Brickworks make 70,000,000, and we will have only 320,000,000 a year then, and we shall still not get very far. A lot has been said about socialisation and about private enterprise. It has been suggested that this industry ought to be left to private enterprise. Not much has been said about monopolies or combines, or about competition. The basis of private enterprise, after all, is competition, because without competition as a rule we cannot get efficiency. If there is a monopoly, w!1ere is the competition~ The only possible competition with a monopoly is a · State enterprise. I have said in this House on other occasions that I am m favour of private enterprise. I favour it, in general terms. I am not in favour of tpe socialisation of industry or of the Government nationalising everything· under the sun or even everything in the building industry. I •believe that in the present ·desperate position in which we find ourselves, a .Jittle competition will stimulate the industry. Competition, after all, is the right force in private enterprise, and it will help us to get more bricks and to build more houses. I have decided to eonfine m:v remarks to a very small compass. I am not interested in throwing the party political football from one side of the House to the other. I am responsible to my constituents, and I believe that my electorate, conservative though it is in some respects, in the present national situation would favour the establishment of a brickworks by the Government. There is a post-war works programme of £50,000,000. for this State. Bricks are required for hospitals, schools and many other amenities. If the State Brickworks did no more than supply public utilities, they would be doing a wonderful job because bricks produced by private eJ?,terprise could then be used by home builders. I should much rather see the Government establish the brickworks and become brickmasters than enter into home building. In my view the Mr. Storey.] State Brickworks Bill. construction of homes is a function in which private enterprise is more likely to be successful under reasonably even conditions than is Government enterprise. Those are a few remarks from the other viewpoint and I mention them to indicate that I am not one-eyed on the subject. It is futile for the Opposition to oppose the bill merely because it thinks private enterprise is being threatened. Private enterprise is not being threatened. Apparently this industry was the only State enterprise that showed a profit from 1911 until 1034 and it is now to be reestablished. From the viewpoint of everything that is fair and reasonable, in a time of crisis &uch as this we should bury some of the bogies of private enterprise versus Government enterprise, and give the Government credit for doing this job. I see ·no great spirit of socialism on the part of this Government and consider that the &tep it is now taking will have the approbation of the community. 1Ir. GuiEG: The hon. member said that the brickworks was the only State enterprise that operated successfully. The State Monier pipe works and the metal quarries also made handsome profits! :Thfr. STOREY: I am thankful for the hon. member's correction but this particular enterprise &howed a profit throughout. I say to members of the Opposition who declare themselves so fervently in favour of private enterprise that the basis of private enterprise is competition. With a monopoly competition is eliminated and private enterprise goes by the board. Because of that, if for no other rea&on, the Government is entitled to take this step. I agree with the hon. member for Raleigh who said that normally he might not support the bill, but having regard to the condition of almost national emergency that exist to-day, he believed that the action of the Government was justified. If a Government did nothing in this and other directions it would lose office at the next election irrespective of its political colour. .flitp.Ze !8rickworks .})ill. [6 J\{!1,1.~ 1946:] Mr. J. J. CAIHLL (:Minister for .Public W orlts and Lpcal Government) {Cook's River) [8.25] in reply: The con-tribution to the debate has covered a wide field and I congratulate some bon. members who have discharged what they .consider to be their responsibilities to the people.. I congratulate the members <Of the Oountry party, particularly those who say that they are opposed to State o€nterprise b11t who believe that something must be done to speed up brick production in order that homes may be '.built. They have interpreted the views .of the electorate and are in a much better position that are members of the Liberal party who have registered :a protest against Government enterprise jnterfering with private enterprise. The hon. member for Ryde does not speak very frequently and unfortunately when he does speak he is not always fortified with facts. His speech to-night was built .on statements made by other members of the Opposition. "\Vhen challenged he referred to the fact that his colleagues had said that such and such was the .case and it must be correct. I was taught jn a debating school that to make a point successfully it was necessary to have an authority. If the authority of :the bon. member for Ryde is what some <>ther member of his party has said, his .contribution to the debate has boon negligible. The Ryde Municipal Council has .been one of the foremost local governing bodies in the County of Cumberland in pioneering home building. It has applied for a loan, and I have approved of the money being made available, so that it may embark upon an extensive home ,building programme. That council is in the electorate of the bon. member. It l1as complained of brickyards being .closed in its immediate vicinity and has .asked me to amend the Local Govern.ment Act to give councils power to do what the Government proposes by this bill. I have agreed, and the Government J1as agreed, and an amendment of the 'Local Government Act will be presented to this House shortly. This is being done only because those responsible for State B1·iclo;w01·ks Bill. 2535 the production of bricks, for one reason or another, have not been able to meet the demands of the community. Many bon. members opposite have said that the Government would not supply the men and machinery to euable this to be done. What machinery is required? A number of brickyards were closed down and the machinery from those yards has become available. As a matter of fact, most of the machinery has been taken out of the former State Brickworks at Homebush Bay and has been used by the brickmasters in other yards. Consequently, they have been able to improvise, and it is well known that they have not pmctised the mechanical method of brick production about which they speak so much to-day. It is equally well known that the brick industry must be mechanised. I could never understand why bricks had to be placed by hand in a kiln wet, the kiln closed and burnt for four or five days and allowed to cool out before the bricks could be taken out again by hand. I have worked in a power house and have seen the coal fed by a chain stoker which went very slowly through the furnace as an endless chain. I do not know whether it is possible to bake bricks in that way, but, if it be possible, something like that should be done to prevent the manhandling of bricks which to-day must necessarily add to the cost of home building. If we are able to introduce a metL.-d whereby bricks can be placed in a furnace and taken out by mechanical means then we shall have contributed something towards ·the mechanisation of the industry. That may not be practicable, but, if Parliament agrees to the re-establishment of :the State Brickworks, they will be under my administration, and I can assure the House and the country that the administration will endeavour to get bricks into production at the earliest possible moment. The hon. member for Ryde said that I had no hope of producing bricks within twelve months. I hope that many cottages will have been built in this State within 2j36 State Brickw01·ks Bill. [ASSEMBLY.] twelve months and built wholly of bricks that have been baked at the State Brickworks. I now propose to refer briefly to some of the contributions to the debate by bon. members opposite. The leader of the Opposition described the bill, and especially the financial clauses, as "fantastic." He, as a former Colonial Treasurer, puts himself forward as an authority on :finance-a kind of financial "vVizard of G'z." It is customary for the leader of the Opposition to question the financial clauses of every bill that comes before the House, and the hou. member for Albury excelled himself in the debate on the Electricity Development Bill when he declared the financial provisions to be unconstitutional, and this without quoting any legal authority whatsoever, although he must have known that the Government had been advised by the Crown Law authorities, apart from departmental legal officers. On that occasion we had an extraordinary development when the deputy Je.ader of the Opposition stated that, in his opinion, the validity of the financial clauses of the bill was beyond questiou. From the moment of that expressed opinion, and all that it implied, not one further word of criticism was uttered concerning those clauses, and the "Wizard of Oz" became the "Wizard that Was." In the debate on this bill, the leader of the Opposition was very critical of the provision f'Jr any possible loss on the State Brickworks being met from the Treasury. Apparently his memory played him false in this matter, else he might have known that the Broken Hill Water and Sewerage Aet, introduced by his own Government in 1938, established the precedent for such a provision-one which has been incorporated in several bills in the n1eantime. State Brickworlcs Bill. comparison, let me point out that the output of the State Brickworks m 1929 was 62,250,000, but when they were banded over to Brick-· works Ltd. they produced only a total of four million bricks in one year and less than twelve million bricks in another. They were up-to-date brick-· works, and I put it to han. members that it is correct to say that the State· Brickworks were purchased in order to be closed down, as a number of other brickyards were, and the profits made from the remaining yards were spread over the idle brickworks. The leader of the Opposition in a characteristically sweeping statement, alleged that the bill provided that th~ capital cost of the State Brickworks would be increased or decreased according to the profit or loss. If he had read the bill more carefully, as befits the leader of the Opposition, he would have found that this is a direc~ mis-statement. In accordance with proper accounting and financial practice, the bill provides that the capital cost will be increased or decreased in accordance with the ex .. penditure or receipts, and the expenditure or receipts here referred to are clearly expenditure upon capital assets and receipts in respect of capital asset.;; which have been disposed of. The han. member for Armidale made much of the fact that a monopoly must be a monopoly acting in restraint of trade to the detriment of the public before it becomes liable to prosecution under the law. I think han. members will do me the justice to say that I have refrained from referring to the owners of brickworks as people who would not do this or that. I mentioned that they had had considerable difficulty in producing bricks because of the lack of manpower and the incidence The leader of the Opposition made a of the war. Most of the things that number of false statements, the . first have been said about the owners of the of which was that after the sale of brickworks were said by members of the They accused th 'l brickthe brickworks in ] 936 the combine kept Opposition. them in full production. In actual masters of having done this, ttat and fact, the number of bricks produced in the other, but immediately they made 1936 was less than 4,000,000, and in out a case against the briekmasters they 1938 less than 12,000,000. By way of began to pull it clown. State B1·ickworks Bill. [6 MAR., 1946.] However, one or two hon. members have been most caustic. The hon. member for Yass, who was interested in a legal capacity in a Royal Commission that sat, did make some very strong statements, but, generally speaking, hon. members have refrained from castigating the owners of the brickworks. They have castigated the former United Australia Party Government for the disposal of a State asset which was of tremendous benefit to the people, and which was saving the people 18s. a thousand on the price of bricks, but they have not been over critical of the brick combine which certainly acted in restraint of trade when it closed down certain brickworks and increased the price of bricks from the remaining brickworks. The hon. member for Armidale twit· ted the Government with having neglected to take action against the brick combine for five years, but in all fairness he might have made some allowance for the fact that the nation was at war for four of those five years, and that it has taken the only effective way to break the monopoly in the first year of peace. I had not intended to mention it, but this Government has not been inactive with regard to the question of reacquiring the State Brickworks. It is well known that the brickworks property has been in the hands of the Federal Government for a considerable number of years. It was impossible to take them .away from the Federal Government while the war was on, bearing in mind the huge amount of ammunition stored in those brickyards, even if this Government had the power to do so. For that reason, hon. members should be a little more charitable and should not twit the Government with having failed to acquire men some years ago. I thought that the" Commonwealth Government may have been interested in resuming this property, and if it had done so it would have been comparatively easy for the State Government to take it over when the Commonwealth had finished its work there. I understand that the Commonwealth Government did make certain advances and that a figure in the State Brickworks Bill. 2537 vicinity of £1t;O,OOO was asked for the sale of the property. Responsible officers. of the Commonwealth stated that· it. could be obtained for much less than that,. and I have been informed-han. members. may take this statement for what it isworth-that this would have been done· if an assurance had been given that n<> more bricks would be produced at Homebush Bay. I should not have imported this matter into the debate but for the hypocritic-al attitude of members of the Opposition, who &aid that the Gov-ernment should have done certain things; that, obviously, it was unable to do. This Government moves cautiously and does. not make mistakes. \Ve re-established the shipyard first, now the brickworks-and the field is still open. The Government will not rush headlong into taking over this, that, and the other industry, merely for the sake of nationalising everything. Its endeavour is to establish these in-· dustries on a sound business-like basis, and it requires that they should have some connection with the wants of the public. The Government has no desire to enter wholeheartedly into com•· petition with private enterprise, but where it is in the interests of the community to do so it believes that it should see that the people receive fair play. For that reason, the Government has decided to establish the State Brickworks. The hon. member for ]l.{osman signified his intention of supporting the bill, but spoke of "loose draftsmanship" without, apparently having read tl~e measure carefully, because clause 8 (1) of Part IV. answers his criticism. I suggest that. before hon. members make such state-· ments they should verify them. The reputation of those who draft these bills is at stake and it is very unfair that such utterances should be placed on record when they are not based on fact. It is made abundantly clear in that subclause that any land may be resumed, appropriated or purchased: Subclause ( 4) of the same clause makes it clear that brickworks, plant, ·equipment or machinery on such land shall vest in the constructing authority. The subclause pl~o makes mention of compensation. The deputy-leader of the Liberal Party 2538 State Brickworks .Bill. [ASSE;MBLY.] was in the h&ppy position of being able to show that he was not a member of the Government that sold the .State enterprises, because he was not in Parliament in those years. Therefore we have to absolve the deputy-leader of the Opposition and, generally speaking, 1 should s!ly that his contribution to the debate was characteristically fair. Another notable effort was the address of the hon. member for Y ass, and the frank and practical speech of the bon. member for Byron commended itself :to the House. This Yomlg Country party member set a standavd that might well ·be followed by his colleagues. He supported the bill in policy and in principle, and emphasised that there was no reason why this undertaking should not be utilised to the fullest extent. In my opening remarks, I made it ;abundantly clear that the State would require huge numbers of bricks for the progressive works programme that it now had in hand and which it contemplated in the immediate future. It bas been demonstrated ,beyond all doubt that the price of bricks is unreasonably high. This, as Sir Thomas Bavin pointed out in 1928, reacts to the detriment of every person who builds or occupies a home. It reacts to the detriment ·of the people also, beca]Jse public works ()OSt more than they should. This is a most important factor to-day, when the Government's present and immediate requirements of bricks reach unprecedently high figures. After serious consideration, therefore, the Government has decided to re-open the State brickworks in the interests of the people of this State, so that homebuilders can get cheaper bricks, so that public moneys are not unnecessarily drained away by high price.s, and so as to relieve the serious production lag that has hampered the State's progressive building programme. I should like to congratulnte the lJOn. member for Raleigh upon his contribution to the debate. The bon. member -and the Country party generally, realised that difficulty with which the Govern.ment was faced and appreciates that jt is int.roduciug this .bill in o:rdel." .to Stat:e Brickworks Bill. overcome the present housing shortage. Members of the Country party believe it is their responsibility to support the bill, not because they support the Government, but because it may be instrumental in providing more homes for the people. The hon. member for Gordon, who, I understand possesses some scholastic attainments, would go a long way in this House if his manner and attitude were different from that at present adopted by him. Mr. JEFF BATE: The bon. member will go a long way in this House ! Mr. J. J. CAHILL: The hon. member for Gordon will not go v~ry far in this House if he attacks every bill and problem that confronts us in the manner in which he attacked this measure. The hon. member will find that a supercilious air, calculated to convey the impression that he knows everything and that no one else knows anything, will not take him very far in this House. I saw very pr~m1i·neut business men enter Parliament and sit on the Government side of the House while the Labour party was in Opposition. Although they were looked upon as magnates in industrial spheres, they made no impression on bon. members. I remember, too, a very eminent legal gentleman who sat with hon. members now in Opposition and who made contributions to debates, but who failed to make an impression on even the most humble member in the House. It will be seen, therefore, that the mere fact that a man is possessed of scholarly attainments gained on the other side of the world does not count in Australia. Mr. JEFF BATE: The hon. member fought for Australia! ]lfr. J. J. CAHILL: That remark is typical of the hon. member for W ollondilly, who always seems capable of saying something that is foreign to the question before the Rouse. He invariably puts the cart before the horse and, as usual, his latest statement has no relation to the matter under discussion. I pay due regard to every man who fought for his country, and I may say that one of my family foug-ht for Australj:a in the •second World War and State Brickwork~ Bill. '[6 MAR., 1946.] another did not return from the World War I. Such matters should not be introduced in a debate that is unrelated to war service, and the hon. memhe·r should be more sure of his ground before importing such issues. The speech of the leader of the Country party was most refreshing. I am sur'\ that all hon. members regret thaL he has not been in the best of health for some little time. If the time ever came when we did not have him with us to stand up and fight as we all know he can, the House would be the poorer. To-day he was in his best form. He criticised the bill and he criticised the Government, but the sum total of his criticism was that his colleagues and he were going to support the bill. I want also to refer to the very practical speech made by the hon. member for Hornsby. I know that on the last occm;ion that I was introducing an important bill he was a thorn in my side, and I am very pleased to have him ''on side'' on this occasion. I cau assure him that his contribution to the debate was well worth while. I trust that hon. members will pass this bill, so that it may be dealt with immediately by another place. Everything is ready for its passage. The resumption papers are wa1tmg in my office pending the Governor's approval to this legislation. When that approval is given notice of re~umption will be isRued. I have competent tradesmen from a Government enterprise waiting to inspect the brickwork~:. and to inform me what is necessary by way of new machinery. I have a man from the Agent-General's office in England ready to go intn the works to make an inspection. I have been in constant touch with overseas in quest of suitable and up-to-date machinery. I nssure the House that when this bill becomes law I shall do my utmost to mechanie.e the industry and to place .it on a sound basis so that in a short time it will be producing bricks for the home builders of this State. I commend the hill to the House. State Brickworks Bill. 2539 ·Question put. The House di-vided : Ayee., 58; noes, 13; majority, 45. AYES. Arthur, Captain Baddeley, J. M. Booth, G.. Bruxner, Lt.·Colonel Cahill, F. J. Cahill,·J. J. Cameron; R. Ohaffey, W. A. Chante>, Major Cunningham, L. L. Davidson, M.A. Davies, W. Dickson, S. D. Drummond, D. H. Enticknap, A. G. Evatt, C. R. Fowler, Mrs. L. J<~owles, H. T. Freeman, J. S. Frith, W. Geraghty, .J. L. Graham, E. H. G1"Cig, R. Hawkins, F. H.' Heffron, R. J. Horsington, E. M. Jordan, L. C. Kell'y, C. A. Knight, H. Lamb, W.H. Lawsan, J. A. Lazzarini, C.'C. Macdonald, D.P. McGin, Ja!mes McGiath, J. F. McKell, W. J. Martin, Major Matthews, C. H. Nott, R. B. O'Halloran, R. E. O'Sullivan, M. Quirk, Mrs. M. Reid, J. T. Renshaw, J. B. Robertson, C. G. Seiffert, J. W. Stanley, F. Ste-phens, S'. T. Storey, S. A. D. Sweeney, J. T. Tully, J:. M. Vince11t, R. S. WeiT,"G. Williams, A. J. L. Wingfield, .C. G. Woodward, H. P. J. Tellers, Landa, A. Shannon, T. J. NOES. Brain, G. W. Darby, E. D. Fitzgerald, R. L. Hearnshaw, E. M. Howarth, W. A. H. Jackett, H. G. Jackson, J. Richardson, A. Robson, Lt.·Colonel Treatt, V. H. Turner, H. B. 1'el'lcrs, Bate, Jeff Black, I. C. PAIRS. Carlton, W. J. Gollan, W. M. Hamilton, R. G. Gollan, G. C. Hunter, D. B. Mair, A. Question so resolved in the affirmative. Bill read a second time. IN COMMITTEE. Clause 3 (Officers and employees). Mr. BRAIN (Willoughby) [9.0]: The clause reads: (1) The Govemor may, under and subject to the provisions of the Public Service Act, 1902, as amended by subsequent Acts, appoint and employ such officers and employees as ·may be necessary for the purposes· of thjs Act. 2540 State B1·iclcwo1·ks Bill. [ASSEMBLY.] (2) The officers and employees so ap· pointed or employed shall be subject to the provisions of the Public Service Act, 1902, as amended by subsequent Acts, dming their tenure of office or employment. (3) The Minister may appoint, employ :md dismiss such casual employees as are deemed necessary for the purposes of this Act and may fix wages and conditions of employment of such casual employees where such wages and conditions are not fixed in accordance with the provisions of any other Act. . To those provisions I take exception. The power should not· be vested in the 11finister to appoint, employ and dismiss casual employees. Surely th.at authority should be vested in the manager of the State brickworks. Mr. J. J. CAHILL: It is! Mr. BRAIN: If that is so it should be stated in the bill. The bill says one thing and the Minister assures us that it does not mean what it says. Some other procedure will have to be adopted. I think it is time that the Minister in charge of the bill gave instructions to the Parliamentary Draftsman to draft it in such a way as to make it mean what it says. Clause agreed to. Clause 4. (Capital cost.) 1fr. DRU1fMOND (Armidale) [9.2] : Consideration should be given to thi<> clause to ensure that there is no interference with the working of the proposed undertaking, and that it will be placed upon a financial basis that will ensure that it conforms to the best established business practice. It should be no part of this or any otl1er Government's activities to enter into unfair competition with those who are already eng.aged in the brick industry. There will be unfair competition if the Government does not include in these provisions means to ensure that every charge that will pe accepted by a corporate body in this State, or a company incorporated under the Companies Act, will be m.ade upon this undertaking. I do not suggest, for instance, that taxation which will be paid by the undertaking should be paid to the Commonwealth as it would he paid by a private incorporated company. I do not intend to infringe upon the State B1·iclcworlcs Bill. .announced intention of the leader of the Opposition, which I presume will be carried out by his colleague to-night, to move an amendment to ensure that certain things shall occur. In case there should be a movement that would close discussion on this clause, if the amendment foreshadowe9, by the leader of the Opposition is not moved, I shall move it myself. There are certain charges which, it is accepted, must be made by every properly organised undertaking that operates under the Companies Act. There is the payment of wages and provision for depreciation. Such provision must be made upon terms and conditions that ensure the undertaking's continuation. A charge must also be made from time to time for renewals, and replacements. Payments must also be made in respect of money borrowed upon overdrafts. What is proposed in this instance~ Is it proposed that this undertaking shall be granted a rate of interest more favom·able than that to which any other undertaking is subject~ Bank interest in the Commonwealth is fixed, and will continue to be fixed whether we like it or not, by the Commonwealth Bank which to-day controls the financial operations of Australia. It is a first principle of any undertaking of government which claims that it is at least as efficient as private enterprise, that it should meet the same charges as a corporate body would have to meet. It is possible that this organisation may have to meet certain demands that would be equivalent to the payment of interest on overdraft. If that is so it should pay the prevailing rate of interest on overdrafts; it should pay neither more nor less. It seems to me that certain privileged rates may be granted. Mr. W. DAVIES: That would be all the better! Mr. DRUMMOND: It might be for this particular undertaking, but if we ask private enterprise to pay tax to keep our schools, our hospitals and other Government institutions going, and then put private enterprise in unfair competition with a Government undertaking, we enter into a very controversial field and a State Briclcworks Hill. [6 MAR., 1946.] State B1·iclcworlcs Bill. 2i>4.1 very different one from that envisaged by hon. members. I want to make that perfectly clear. The leader of the Opposition has already indicated that he will move certain amendments. I do not propose to hold up the passing of the measure, but I do propose to indi-cate that I will move, if this amendment is not previously moved by the deputyleader of the Opposition: portion of the expenditure and add it to the capital cost or reduce the capital cost by any deduction of the expenditure for that year. The capital cost may be £100,000, but the Minister has not yet given any figure to show what the Government will pay for this undertaking. If the expenditure exceeds the revenue for the year by £20,000 he would be empowered ·to add that amount to the capital cost. That there be inserted in subclause (2) {b) of clause 5, after the word "for" the Mr. J. J. CAHILL: This clause does not words "overdraft at current rates or." relate to expenditure and revenue; it reThat is the form of the amendment · lates to the capital cost! which I propose, but I do not intend to Ur. BRAIN: That is so. It says that move it, but as a matter ·of courtesy ana the capital cost shall be increased or following parliamentary etiquette the decreased according to the expenditure -:remedy lies in the hands of the deputy- or receipts. What does that mean? The leader of the Opposition. J.\llinister has not told the Committee. Mr. BRAIN (Willoughby) [9.11]: The Minister has said that if there were Clause 4 of the bill is not clear and I a loss it would be written off. I do not .ask the Minister to elucidate it. For agree with that view. Taken in its instance subclause (1) wnich deals with literal sense, this clause means that if the capital cost of the brickworks the expenditure is in excess of the receipts the Minister can add that differreads: ence to the capital cost. Subclause (2) The capital cost of the State brickworks ;ghall be such amount as the Governor by provides that: proclamation published in the Gazette de· The Minister shall notifv in the Gazette dares to be the capital cost. Such p1·ocla· mation shall be published as soon as prac· ticablc after the establishment of the State ~rickworks. The ]vl:inister is empowered to determine the amount by which the capital cost shall be increased or decreased by reason of expenditure or receipts during the period commencing on the date as at which the capital cost was declared and -ending on 31st day of :March immediately following the declaration of the capital cost. :Mr. J. J. CATm,L: I ask the hon. member, who is an accountant, to read the :subclause carefully. Mr. BRAIN: I am trying to do justice to the bill. Mr. J. J. CAHU,L: Considering the provision is made in about four other ·enactments, the bon. member's state·ment is extraordinary. :M:r. BRAIN: If it is drafted in con-formity with previous legislation then it is time a change in the drafting ·was ~made because as drafted it gives the Minister the right to take any the amount of such increase or decrease. Upon publication of such notification, the capital cost shall be deemed to be altered accordingly . . . . What does that mean? Mr. J. J. CAHILL: The hon. member is, an accountant. Why does he not tell the Committee? :Mr. BRAIN: There should be an amendment to add the word "capital" before the words "expenditure and receipts." Mr. BRAIN: If the amendment were accepted it would be an intelligible clause. I\fr. J. J. CAHILL: I assure the bon. member that the clause provides for exactly what he considers it should contain. The whole thing refers to capital assets. I\fr. BRAIN: Why did not the Minister say that in his speech t :Mr. J. J. CAHILL: My departmental accountant assures me that it is proper to incorp~rate the provision in the bill! Mr. BRAIN: Irrespective of what your accountant may tell the :Minister~ 2542 State B1·ickworks Bin. [ASSEMBLY.] it appears to me that he could not have proper regard to capital income or capital expenditure if the clause is left in its present form. · Clause agreed to. Clause 5. ( 1) An account shall be kept in :Joe b1 ecial .0!'j:r.:;its Account· in the 'l'rcasw·y to be· called the "State Brickworks Work· ing Account," in this Act referred to as the "\Vorking Account." (2) (a) There shall be credited to the Working Account all 1·evenue, earnings and moneys received f1·om all sources in the course of the conduct of the State Brickworks and such amounts as may from time to time be appropriated by Parliament for the pmpose. . (b) There shall be debited to the Working Account the following charges, in the order set out hereunder:-Firstly, all costs and expenses whatsoever of and incidental to the administration, management and conduct of the State Brickworks and also the costs of repair and minor renewal of buildings, plant and. equipment. Secondly, interest on the capital cost declared pursuant to section four of this Act for any year ending on the thirtyfirst day of March at a rate or rates to 'be determined by the Colonial Treasurer, but not exceeding the average rate payable during such year by the Government for loan moneys, and exchange at a rate or rates to be determined by the Colonial Treasurer, the amount of which interest and exchange shall be credited to the Consolidated Revenue Fund. Mr. TREATT (Woollahra) [9.1'7]: I move: That in subclaul!e (2) (b) after the word "equipment" there be inserted the words: Secondly, such sums a.s are the equivalent of the amounts which would be payable by the State Brickworks if the· State Brickworks in respect of its brick-making business were liable as a brick-making company for the payment of income tax, land tax, local government rates and other ta-.:r,s under the provisions of any Act or CClmmonwea.lth Act, the equivalent sums of such rates and taxes shall be paid to the Colonial Treasurer. · This amendment is a simple one. It seeks to place the State Brickworks on precisely the same level as private enterprise. During the debate members on the Government side took up a considerable amount of time, energy 'and ability in a lot of persuasive talk State Brickwo9·ks Bill. directed towards showing that the reestablishment of the State brickworks would act as a sort of barometer or safety valve which would enable some check to be made on private enterprise. They said that if the Government could carry on the brickworks and charge d certain sum for bricks the State brickwork!! would have to conduct its affairs in a similar manner. What I am putting to the Committee is completely consistent with that principle. A member on the Government side said in effect that it would be a desirable feature of the bill. I do not know whether the Minister will relieve my anxiety by saying that he will accept the amendment. M •. J. J. CAHILL: I will relieve your anxiety by saying that I will not accept it! Mr. TREATT: It is a reasonable proposal. There is a duty placed on the -Government to align itself with the Opposition in accepting this amendment. The position is simple. This amendment seeks as far as possible to place the State brickworks on the same basis as private enterprise. The Minister has achieved his point and will get his State brickworks. Now we are asked to let the Government give an assurance to the people of New South Wales and its own supporters that the State brickworks will be run in an economic fashion and will constitute control against private enterprise which the Minister himself has suggested it will constitute. If those charges that private enterprise has to pay are not added to the cost of running the State brickw0rks -the public will be deceived; but if the Minister is sincere on this point to which his attention ·may not previously have been directed and he wants the State brickyards to set the pace,. then he will want it to carry the same weight. If ther.e are objectiom~ to what I suggest, let us hear what those objections are. Is there any reason why the State brickyards should not carry the same charges as a private enterprise'? The G-overnment has submitted that it is desirable to have the State brickworks as a pace-maker with which private enterprise can be checked. If a man State Brickworks Bill. wants to find out how a couple of champion horses are running, he does not put 9.6 on one and 7.6 on the other. This debate has been conducted on the basis that we are dealing with champions. On our right, so to speak, we have the State brickworks, something that will set right the disgraceful housing conditions that have characterised New South Wales during the term of the present -Government. On our left we have private enterprise, which it is admitted in 1943 had 40,000,000 bricks available, but was unable to carry on because the Government gave it no help. To put these champions to a fair test of ability, they need to carry equal rates. They have been tested in Queensland, and they turned down State enterprises there because they lost so much money on them. No Labour bettor in Queensland will put money on State enterprises. Will not the Government accept this amendment, which is designed to put the State brickworks, when established, on the same basis as private enterprise, so that the public and the Government will be able to see how the two are running~ Mr. DRUMMOND (Armidale) [9.25]: I am in accord with the views expressed by the deputy-leader of the Opposition, but I suggest to him that by moving his amendment, he may be excluding the necessity for paying interest, as proposed : Secondly, interest on the capital cost deelared pursuant to section four of this Act for any year ending on the thirty-first day of March at a rate or mtes to be determined by the Colonial Treasurer, but not exceeding the average rate payable during such year by the Government for loan moneys, and exchange at a rate or rates to be determined by the Colonial Treasurer, the amount of which interest and exchange shall be credited to the Consolidated Revenue Fund. If there is an overdraft it should be at the current rate available to ordinary business. If it is the intention of the deputy-leader of the Opposition to allow this provision to remain and for his amendment to come before it, then I am quite in accord with that, and it win State Bricl..--works Bill. 2543 leave it open to me to move my amendment without reducing the value of that proposed by him. Mr. JACKETT (Burwood) [9.28]: I support the amendment. The need for the brickworks to assume its full responsibilities in competition with private enterprise is all the g-reater because the records of the undertaking show that it has been a good source of revenue for the large builders. I do not think that hon. members on the Government side desire to . add to the profits of the large builders; I hope they are more concerned with· the small builders. The State brickyard charged about 5s. a thousand less than the private yards. That was because it did not concede any credit to the builders. They demanded cash before they supplied any bricks, whereas private brickyards allowed credit for some weeks or months to enable the small man to get on with his building work and meet his accounts as they became due. The State Brickworks were operating for the benefit of the big builder. I am sorry that the impetuosity of the Minister in getting on with the bill, denied my having something to say at the second reading stage, but I hope that the Min.ister will take notice of this because it is vital. The big builders desire the Government to start the brickworks because -they save 5s. a thousand on their bricks by paying cash. I put it to the Minister that the home builder receives no benefit or no concession, the only person who benefits is the big builder in the city who builds the banks. Mr. WILLLD!S: The hon. member does not believe that! Mr. J AOKETT: I do believe it; anyone who studies the bill must believe it. Here i;; the State Brickworks demanding the money before the bricks are delivered. Who can afford to pay that? Only the big builders. They are the only persons with money at their disposal and can say to the State brickworks, "'iVe want so many hundred thousand bricks; here is the money." It is a mere bagatelle to them. Surely we should not be wasting our time here to provide :2544 State B1·icl.:worlcs Bill. [ASSEMBLY.] ·<:heap bricks for big city builders. Every -claim made in support of the bill has been along the lines of building homes for the workers, yet the Jl.finister, be·<:ause of his impetuosity to get the bill through, prevented myself and others "from speaking at the second reading ·stage. I have had similar treatment ·from the Minister before, and I point -out to him that the purpose of the bill is not to provide bricks, because they o<:annot be produced for another twelve ·months. The amendment of the leader ·<>f the Opposition seeks to ensure that ·the Government Brickworks makes its proper contribution to the State. We do .not want large builders, merely because <Jf their financial resources, to profit by -the operation of the State Brickworks. lf we are here for anything we are 1here for the man who wants to build :a home. Mr. Lum: That is why the hon. mern'ber voted against the second reading! Mr. JACKETT: By casting his vote :in favour of the second reading of the · 'bill, the hon. member for Granville has ]JUt money into the pockets of the big ·builders. I ask the House to strike a "blow for the man who wants a home, Tather than for the ~ig builder who :saves 5s. a thousand by the operation of the State Brickworks. The amendment ·makes it · pos&ible for the State Brickworks to enter the field again. The :State has had experience of what the home builder can expect from the opera·tions of such an undertaking. It is all ·very well for the Jl.finister to sit there and say nothing, but we have been del.Jrived of our rights during the second reading debate. The CHAIRMAN: Order! -I make it ·perfectly clear to the hon. member for J3urwood and to every other hon. member that this bill has been before the Cham·ber for nearly three days. Every hon. member had ample opportunity of speaking during the second-reading debate, and if the hon. member for Burwood failed to take that opportunity the fault li2s with himself and himself alone. I State Brickworlcs Bill. am not prepared to allow to go in Hansard unchailenged a statement that an bon. member was not permitted to speak at the second reading stage. Mr. J. J. CAHILL: That is a reflection on the Chair. Mr. JACKETT: The Chairman made a reflection on me, and I am not prepared to take it. The CI-IAmniAN: I call the hon. member for Burwood to order for the second time. On the next occasion the standing order will be .applied. Mr. FowLES: One more "toot" and you are "oot !" · Mr. JACKETT: I am not concerned . whether there is another "toot" and I am "oot" or not.. The CHAIRMAN: Order! Serjeant, remove the hon. member for Burwood. [The hon. member for Burwood left the Chamber, accompanied by the Serjeant-atArms.] Mr. BRAIN (Willoughby) [9.38]: I support the amendment of the deputy · leader of the Opposition. Cl.ause 5 deals with the working account and in effect is the profit and loss account of the State brickworks. Clause 5 (2) provides: (a.) There shall be credited to the Working Account all revenue, earnings and moneys received from all sources in the course of the conduct of the State brick· works and such amounts as may from time to time be appropriated by Parliament for the purpose. (b) There shall be debited to the Working Account the following charges, in the crder set out hereunder:Firstly, all costs and expenses whatsoever of and incidental to the administration, management and conduct of the State brickworks and also the costs of repair and minor renewal of buildings, plant and equipment. Secondly, interest on the capital cost declared pursuant to section four of this Act for any year ending on the thirtyfirst day of March at a rate or rates t() be determined by the Colonial Treasurer, but not exceeding the average rate payable during such year by the Government for loan moneys, and exchange at a. rate or rates to be detel'mined by the Colonial Treasurer, the amount of which interest and exchange shall be credited to the Consolidated Revenue Fund. State Brickworks Bill. [6 MAR., 1946.] The Minister bas not told us that the Colonial Treasurer can fix the rate of interest according to whether the State Brickworks show a profit or a loss. lt is possible to reduce the rate of interest .to. a decimal point of 1 per cent., and that is not good business. The l.Gnis.ter brings forth the bill quite honestly .and has no intention of placing before the Committee something that will not measure up commercially and will not enable the State Brickworks to function as a successful undertaking. Surely J1e wishes to have a bill passed through the Chamber that cannot be tampered with by the present or a subsequent <Colonial Treasurer. · Mr. SHAJ.'\'NON: That is an extreme ·case! Mr. BRAIN: So is the bon. mem'ber for Phillip. Why not provide in the clause that the rate shall be the average rate payable by the Government. for loan money. One year might be a good year, in which there might be a handsome profit, and tlie <Colonial Treasurer might fix a high rate of interest. The next year might not be so good and he might reduce the rate, thus saving a large sum of money. Hon. members know that such things 'have been done in the past. So far as the .(iepreciation reserve account is con·cerned, there is no reference to what the 1·ate shall be. It might be one per cent. -or ten per cent., according to the state ·of the finances. That is not good enough in a bill of this nature. 'Where charges -can be fixed, they should be fixed. If the -opinion is held that the rate of depreci:ation should be 3 per cent., that rate should be fixed. The Minister bas offic·ers to advise him as to what is a reason:able rate of depreciation, and that rate :should be stated. Provision is also made for such contributions to be made to ·a sinking fund as the Colonial Treas·urer may direct. The more clay that is taken out of a clay pit, the less is its ·value. If a sinking fund is neces·sary, and I believe that it is, :and if it is desired to have a true ~omparison of the working of the State 'Brickwci!l'ks ±'rom year \to yeal.-, then i!urely the Auditor-General should deter'l.Y. State Br·ickwo1·ks Bill. mine the amount of contribution to the sinking fund. Every clause relating to the finances of the proposed undertaking bas been left so open that the Minister can do just as he likes. Probably tho :Minister's attention has not been drawn to the finan<::ial clauses of this bill as closely as it has been to the other cl.ause.o . Ur. J. J. CAI-nrA.: The bon. member is wry wrong in making that statement! Mr. BRAIN: Sub-clause (6) of clause 6 provides: If the Minister considers the amount at credit of the Working Account insufficient to meet the contribution referred to in subsection two of this section having regard to the charges referred to in subsection two of section five of this Act, such contribution or portion thereof may be allowed to remain a charge on the 'i'V or king Account. In other words, if the contributions cannot be met they will not be charged. How extraordinary ! Mr. J. J. CAHILL: I am sorry that I cannot follow the hon. member, and I do not think that any other bon. member can. The Committee is dealing with an amendment to clause 5, and the bon. member is speaking to clause 6! The TEMPORARY ·CHAIRMAN (Mr. Shannon) Order! The hon. member is getting away from the amendment. 1.1:r. BRAIN: I support the amend: ment, which, if carried, will bring tha State Brickworks into line with ordinary commercial undertakings. I take it that the Minister does not want the State Brickworks to have any unfair advantage over private concerns. This undertaking has all the advantages. It has annexed the best site. Mr. GORMAN: .Why should it not? It is the people's brickworks! Mr. BRAIN: If it is on Crown lands, it is,, but if it is not on Crown lands, it is not. The undertaking has an assured market for a number of years to ~orne because of the shortage of houses, more manpower is becoming available, and money can be obtained to carry out the work The amendmei1t provides that the undertaking shall not only pay interest but shall also provide for depreciation. ~rovision should alsq be made for (1 2546 [ASSEMBLY.] sinking fund, the payment of incon'lc· and land tax, local government rates, and any other charges that an ordin· ary company is caHed upon to meet. Mr. DARBY (l\fanly) [9.48] : The amendment is vital in that it illustrate~> that this· measure is not designed solely to provide bricks, but also to introduce a State enterprise as part of the socialistic programme. The ~iinister said in his speech that we should have some instrument to enabl-e bricks to be obtained in as rapid a fashion as pos• sible. If that is the sole objective of the bill, why cannot the undertaking be· placed On a busin~ss footing. :Mr. Lum: Wbat would the hon. member call a business footing? Mr. DARBY: A business footing takes into account normal charges and expenses. If the State Government is going to show the people of New South 'vVales that by its enterprise it can do better in quantity and price than can private enterprise, in producing bricks, it must at least start off with the same basis of financial computation. M1·. LA~IB: The hon. member is speak· ing of a privately-owned business! Mr. DARBY: The State enterprise has the advantage of expert advice, as well as the backing of ninety chosen people in Parliament. The State enterprise would be in a favourable position even if it took into consideration every charge made by a private concern in estimating its profit and loss account. ~b·. \VrLLIAMS: The hon. member wants to take in a fictitious amount! Mr. DARBY: Provision for income tax is not a fictitious factor in estimating profit and loss. The bon. member knows as well as I do that income tax is acceptable for the purpose of deciding profit and loss, and that if an enterprise is to be run on business lines tbe terms suggested in this amendment must be taken into consideration. Mr. WILLIAMS: That is, something that does not exist ! Mr. DARBY: 'Lhe computation i~ simple, and as such a computation i&. made by every other industry, it is something that does exist. Also, as the Minister did not say that what is proposed. in the amendment is not possible of achievement, it must be considered to. be capable of achievement. It may bethat, after all, the Government does not intend merely to re-establish the brickworks at Homebush Bay for the purpose: of makii}g bricks, but that its real intention is to give effect to its socialisticprogramme. If that is so, the amend-ment is a vital one. Mr. LAMB: The amendment is designed to add to the cost o£ production~Mr.- DARBY: No, it is designed to. give a clear picture of production, so. that a comparison can be made. That. is the whole purpose of it and the other amendments that are foreshadowed by the bon. member for Armidale and thebon. member for Willoughby, and which would have been moved by me had that been necessary. The intention is to ensure that the expenses to be charged against this enterprise shall be defined and specific and, as far as possible,. equivalent to the expenses incurred by an ordinary business undertaking. If,. after careful consideration, the amendment is still not acceptable to the Minister, he will lay himself open to thecontention that the State enterprise at Homebush Bay will compete most unfairly with private enterprise. In othe:r words, it will not be possible to see what that enterprise is able to do as compared with private enterprise. The enterprise will gradually take over the whole of the brickwork industry in New South Wales. In other words, it is a socialistic enterprise. I must say that,. had mature consideration been given to the measure by the Government, it would' have conceived a much more effectiveway of producing bricks for the country without turning New South Wales intoa socialist State. J\fr. STOREY (Horn!5by) [9.53]: I was glad to listen to the reasons given by the ~iinister for his not supportingthe amendment. At the second-reading· stage I indicated to hon. members that State Brickworks BilZ. [6 :M!A'R:, 1946.] Brickworks Limited was "making· the paee,'' and that the Governmen·t would be justified in encering the business, if merely to create competition. I said tha-t it was not a question of Government versus private industry, but one of creating competition so as to obtain greater efiiciency. However, if we want comp.;tition in the interests of efficiency, both parties must be placed on the same footing. Those hon. members who have interjected against the proposal apparently have forgotten that the money is paid to the Coloni-al Treasurer, so that it becomes, in fact, nothing else but a charge against possible profit. One other point that I wish to make1 and this is my mai~ reason for rising, is that the wording of the amendment indicatea that the local government rates shall go to the. Colonial Treasurer. Sometimes, it seems to be forgotten by hon. members that the local government rates belong to the local councils; and that these bodies have responsibilities in respect of Government institutiom. The railways and many other public utilities that ought to be paying rates to municipal and shire councils are exempted from doing so. The most intereating feature of the amendment, to which I direct the attention of the hon. member for Woollahra, is that it is proposed that the rates shall be paid to the Colonial Treasurer, but it is not proposed that the rates so receiveol by the Colonial Treasurer shall, in turu, be paid to the local municipal council. Mr. J. J. CAIDLL: If this is an industrial undertaking it will automatically pay rates to the local council. J\fr. STOREY: I am pleased to have the Minister's assurance that this undertaking will pay rates. to the local council. The Railway Departm€nt does not pay rates, and I should have thought that this undertaking would be in the sam€ position; consequently, any error that I have made is excusable on that ground. I do not think that there is a great deal of logic in opposing this amendment, because the Government is confident that it can operate the industry successfully and obtain the same results as were obtained by this undertaking in the years 1911-1934 .. The tax on the profit will go 8tat13 B'ricfcworks Bill. back to the Colonial 'treasurer as a tax, instead of as part of the profit, so that it is really calling it by .another name. It gives an opportunity to all those who are anxious to do so to see what results can be obtained by a State um::J:ertaking as against a priv.ate undertaking. Unless very good reasons are. furnished far the bill as it stands, naturally I shall vote .in favour of the amendment, because my l'eason for supporting the bill is to see that there will be competition. I desire that the State shall pro~ duce under the same conditions as those under which the private brickyards produce, and I believe that it would be a very good thing if they were both placed on the same footing so that we could see whether a State enterprise could be efficiently managed, as compared with the management of a private enterprise. Question-That the words proposed to be inserted be so inserted-put. The Committee divided. Ayes, 19; noes, 41; majority, 22. AYES. Bate, Jeff Black, I. C. Brain, G. W. Chaffey, W. A. Dickson, S. D Drummond, D. H. Frith, W. Heal'llshaw, E. M. Howarth, W. A. H. Lawson, J. A. Richardson, A. Robson, Lt.-Colonel Stephens, S. T. Storey, S: A. D. Treatt, V. H. Vincent, R. S. Wingfield, C. G. Tellers, Darby, E. D. Turner, H. B. NOES. Arthur, Captain Baddeley, J. M. CaJ1ill,. F. J. Cahill, J. J. Cameron, R. Chanter, Major Cunningham, L. L. Davidson, M.A. Davies:, W. Buticknap, A. G. Fowler, Mrs. Fowles,.H. T. Freeman,. ,r. S. (!nr·HThtv .T. T, Gor~an·, R. D. Ci-1·nl1:Hl1.E.H. Greig, R. H~wkin•, F. Kell~'. C. A. H. Knight, H. Lamb, W.H. Landa, A. LaZJzarini, C. C. McGirr, James McGn1,th, J. F. :McKell, W. J. Martin; Majo·r Matthews, C. H .. Nott, R. B. O'Ha-mmtn, R. E. O'Sullivan, M. Quirk; Mrs. Hobertson, C. G. Seiffert, J. W. Shannon, 'f. J. St:inley, F. Tully, .T. M. vV~ir. G. Woodwnrd, H. P. J. Tellers, Rl'n•hnw ..T. R. Williams, A. J. L. 2548 State B1·iclcw01·lcs Bill. [ASSEMBLY.] PAIRS. Gollan, G. C. Hunter, D. Mair, A. Carlton, W. J. Golla.n, vV. M. Hamilton, R. G. Question so resolved. in the negative. Amendment negatived. DRU~iMG'ND Mr. [10.5] : I move: (.A.rmidale) 1'lwt in subclause (2) (b) after the word "interest," first occuning, the1·e be inserted the 'vords "on overdrafts at current commercial rates and interest." If the :Minister will agree to the amen.dment ·it will be necessary to move two coni;lequential amendments. If it is agreed to, the relevant part of the clause will then read: Secondly, intere-st on overdrafts at current commercial rates and interest on the capital cost declared pmsuant to section 4 of this Act. . . . I indicated the reasons for this amend-· ment at an earlier stage, and I therefore do not propose to deal with it at length. However, it involves the most important principle that where the Government enters into competition with private business it shall at least be subject to the same commercial charges as private business. In this instance the Government proposes to enter into the business of brick making, and hon. members agreed to its doing so at the second reading stage. I made it quite clear a little earlier, and I propose to emphasize what I said, that unless this enterprise can stand on its own feet and produce bricks on the saine terms and conditions as you and I would have to produce them if we entered into business, the Government will not be acting fairly and the Committee will be placing its seal on a very unsound procedure. · Question-That the words proposed to be inserted, be so inserted-put. The ·Committee divided: Ayes, 18; noes, 41; majority, 23. J3lack, I. C. Chaffey, W. A. Darby, E. D. Dickson, S.D. Drummond, D. H. AYEs. Frith W Hear~sh~w, E. :M. Howarth, vV.A. H. Lawson, J. A. Richardson, A.. State B1·ickw01·ks Bill. Robson, Lt.-Colonel Storey, S. A. D. Treatt, V. H. Turner, H. B. Vincent, R. S. Wingfield, C. G. Tellers, Bate, Jeff Brain, G. \V. '1 NOES. Baddeley, J. M. McGirr, James Cahill, F .. J. McGrath, J. F. Cahill, J. J. McKell, W. J. Came1·on, R. Martin, Major Chanter, Major Matthews, C. H. Cunningham, L. L. Nott, R. B. Davidson, M.A. O'Hallomn, R. E. Davies, W. O'Sullivan, M. Enticlmap, A. G. Quirk, Mrs. Fowler, Mrs. Henshaw, J. B. l!'owles, IT. T. Robertson, C. G. Freeman, J. S. Seiffert, J. W. ·Geraghty, J. L. Shannon, T. J. G01·man, R. D. Stanley, F. Graham, E. :ij. 'fully, .J. M. Greig, R. ' vVeir, G. Kelly, C. A. 'Williams, A. ,J. L. Knight, H. Woodward, H. P.J. Lamb, W.H. Tellers, Landa, A. Arthur, Captain Lazzarini, C. C. Hawkins, F. H. PAIRS. Gollan, G. Hunter, D. Mair, A. Carlton, W. Gollan, W. Hamilton, R. Question so resolved in the negative. Amendment negativ~d. Mr. DARBY (Manly) move: [10.9]: I That in subclause (2) (b) the wo1·d "exceeding" be struck out, and there be inserted in lieu thereof the words "not less than". I move this ~mendment,. because I desire to bring the provisions of this- bill into line with "sound business." This term, "sound business," I quote from speakers on the Government side during the. .second-reading debate. The effect of the amendment would be that whereas now the Minister could not mulct the enterprise by charging interest in excess of the average rate payable for loan money, ha would, instead, not have a.n opportunity of hiding losses due to. inefficiency and bad management by charging less than the proper interest. Mr. V·l. DAVIES: I rise to order. I maintain that the bon. member is dealing with something that was voted upon in the last· division! State Briclcw01·ks Bill. [6 MAR., 1946.] The CHAIRMAN: The hon. member is in order. His amendment strikes out the word "exceeding" and inserts the 'yords "less than,'! and I rule that it is in order. · Mr. DARBY: It gives the Minister an opportunity of making certain that neither he nor his successors would take advantage of this clause to hide lossea or to increase profits. Mr. SHANNON: What would the Auditor-General think~ Mr. DARBY: There is no provision for this rate to be determined by the Auditor-General. He might make a report if he feels that an interest rate of 1 per cent. is inequitable, but it is· well known to all hon. members that the Auditor-General's report is not taken much cognisa.nce of, and even his frantic appeals may not be noticed for some ;years. 111:y amendment gives the Minister an opportunity to put the State Brickworks on a sound financial foot-· ing, and if he refuses to accept the amendment he does so at his peril. Question-That the word proposed to be struck out stand-put. The Committee divided: Ayes, 41; noes, 18; majority, 23. AYES. Arthur, Captain Baddeley, J. M. Cahill, l<~. J. Cahill, J. J. Cameron, R. Chanter, Major CunningJ1am, L. L. Davidson, M. A. Davies, vV. Enticknap, A. G. Fowler, Mrs. Fowles, H. T. Freeman, J. S. Geraghty, J. L. Gorman, R. D. Graham, E. H. Greig, R. Hawkins, F. H. Kelly, C. A. Knight, H. Lamb, W.H. Landa, A. JJazzarini, C. C. McGirr, J. McGrath, J. F. McKell, W. J. Martin, Major O'Halloran, R. E. O'Sulliv:m, M. Quirk, l\11-s. Renshaw, J. B. Robertson, C. G. Seiffert, J. W. Shannon, T. J. Stanley, F. Tully, J. M. Weir G \Villi~m·s, A. J. L. Woodward, H. P. J. Tellers. Matthews, C. H. Nott, R. B. NOES. Bate, Jeff Brain, G. W. Ohaffey, W. A. Darby, E. D. Dickson, S. D. Drummond, D. H. Frith, W. Hearnshaw, E. M. Adjournment: 2549 Vincent, E. S. \Vingfield, C. G. Howarth, W. A. H. Lawson, J. · Hiehardson, A. St01·cy, S. A. D. 'l'reatt, V. H. Turner, H. B. TelleTS. Black, I. C. Robson, Lt.·Colonel PAIRS. Carlton, W. Gollan, W. Hamilton, R. G. Gollan, G. Hunter, D. Mair, A. Question so resolved in the-affirmative. Amendment negatived. Clause agreed to. Bill reported report adopted. without amendment; ADJOURNMENT. FORMOSAN AND KOREAN REPATRIATES: CROWDING ON Y oizulci. OVER· 111:otion (by 1fr. J. J. Cahill) proposed: 'l'hat this House do now adjourn. llfr. TREATT (Woollahra) [10.26]: I should not have taken up the time of bon. members at this late hour were it not that I deem it essential to draw the attention of the House and the Government to something that has apparently taken place in Sydney Harbour. I do not know whether the attention of .the Government and the House has been drawn to the circumstances which attended the departure of the Japanese destro,yer Y oizulci from these waters today. It would appear that when the destroyer left the conditions on board were of such a· nature as to deserve the condemnation of all decent-thinking people. Having regard to the fact that this matter has occurred in Sydne,y, under our very noses, as it were, I am sure tl~at the Gove1:nment and the House will agree that the attention of the Federal authorities should be drawn to it immediately. I ·cannot,' of course, vouch for the authenticity of the pictures which appeared in the press relating to this matter, but it is perfectly certain that over ·200 women and children and some thousand Japanese have been sent <tway on a ship designed to carry no'rhere near that number. There are two 2550 Adioumme'XI,t . [ASSEl\iB.LY.] poi.nts that the authorities must considn in this case l;lnless we al'e to be charged, as it would appear offhand we may le, with committing something in the nature of the atrocities for which we condnnned Japanese. I am not overstating the case if the information contained in the pr-ess is correct. 'First of all, about 1C'O women and 112 children together with Japanese prisoners-of-war, have been sent away on this destroyer which, we are informed, is about the size of a Manly ferry-boat, and the ship is crowded to the very limit. Responsible officers have chimed that tbe conditions on the destroyer are so cramped and vile that it is certain death for some of the women and children to make the voyage. It might well be c~rtain death, and, having regard to what we have learned from painful experience in Australia, it might well be precn.ded by something termed "worse than death" in the case of the women. The second point is that it is extraordinary that a large number of the men who are being repn · triatecl are Formosans. l\fr. W. too! DA YIES: And of the women, Mr. TREATT: The Allies declared at Cairo that after the war Formosa was to be returned to China. That was reaffirmed at Potsdam, and there has been a formal handing back of Formosa to the Chinese. This matter g·oes very deeply indeed. We have loyal Chinese citizens in our midst to-day. These Formosans who, we have learned, and as we may well expect, have claimed Chinese nationality, are being sent back with people who have tyrannisecl over them for years. I am drawing this matter to the attention of the Government, not because the Government is unaware of it, but to bring to the notice of the Federal authorities most vehemently the fact that we, in New South WaJes, will not stand for it, if the facts are as they are claimed to be. We ask for the return of this ship if it is still in our territorial -Adiourrvment. waters. If those re~pon~ible .for the repatriation of these people cannot provide the necessary transp01•t at this stage1\ir. STANLEY: On .a point of order, T ask you, Mr. Speaker, whether this is a matter for the State Government. Mr. SPI,AI<EH: It is a matter of public importance, and the hon. member for W oollahra is in order in bringing it under the notice of the House. Mr. TREATT: In view of the implications and seriousness of this matter I think we are justified in taking some steps to make it clear that we will not st.and for these conditions. Mr. W. DAviES: \Ve are decent Australians! 1\ir. TREATT: I agree with that interjection. I .ask the Government to make clear to those responsible the attitude of this House on this matter. Mr. DRUMMOND (Armidale) [10.32] : I personally feel that the matter raised by the deputy leader of the Opposition transcends every party consideration, because it affects the good name of Australia and the good name of every citizen of Australia. It is not a question of reflecting upon or attacking a Government; it is a question whether we are going to be associated or permit ourselves to be associated with a blunder that is cert~:~inly worse than .any crime, that is, enforcing the travel of 100 women and 112> children in a ship that is crowded to the limit with Japanese prisoners of war. It would not matter whether they were Japanese or any other nationality. I suggest that there is not one man in this House who has a spark of decency in his composition-and all of us have natural feelings, jrrespective of party policies-who would not shudder at the very thought of the conditions of these people on board this vessel. We have seen the pictures in the press, and I do not know any more than does the deputy-leader of the Opposition whether they are authentic. I do know that in the Sydney Morning Herald it was stated that 100 women were to be placed on board and that the Japanese capt.ain laughed for fully a minute when he was told of this fact. [6 ]'.L\n., ].946.] ·l'her:e :are some .thi:o.gs upon which .we should not preserve silence. vVe have ..condemned i:u the strongest terms the :horrible ~.trocities committed against prisoners of war at Belsen .and elsewhere. ..Are we to remain silent in Australia, i11 .the olde:;t :ParHaroent of Australia, if .these things are really true? If there is .a shadow of truth in them this Parlia.ment should to-night carry a motion -Willing u.pon whate\'er authority is re· ,sponsible at once to remove these wome,""l :and chilchen from the ship, and if tlw vessel has left our shores that authority -should send a fast vessel after the. Y oizulci to bring those women an.J <Children l?acl- to Australia until such time as it is possible to give them reasonable and decent tra11sport. So far as the men are concerned, we know that in time of war our own .men were jammed to the limit in :ships. Against that I have nothing to say; but against the present conditions I certainly have so]Tiething to say. The good name of Australia is at stake if we do not ensure that these people are ;returned to their country under decent ..and proper conditions. I do not know whether these women a11d children arc J apanesc, but if they are that is no reason why we should compel them to travel under frightful conditions and thus ;place ourselves upon a par with those who put unfortunate Poles and Jews in the concentration camps of Belsen and elsewhere in order to destroy them. If these people are Chinese, as seems more than probable, then indeed our disgrace will become deeper if we do not rectify the error that may have been made without thought by some official. If it is that an official is responsible, he 'Should be called to order, because he is "TLOt fit to be in a responsible position. Any man who understands human nature, who could think it possible or tol~ €rable for one moment that these women -and children-children like our own, '(:lifferent perhaps in features, but young children after all-should be placed on a ship on whic11 there are something like 1,000 men who have been segr~gated for something like two, three '?J" :four !)18!\rs, .!>:nows-exactly what their Adjoumment. 2551 will be. The Sydney JJ[ o1·ning Herald states that the c.aptain of the fate ship said he would give the best part of it .to the women, yet it was said that the only place that would be aYailable for .certain of the people on that ship would be amongst the crew. I rise to-night not because I wish to attack any Government, but because I want to say here as an Australian, that I feel in the depths of my nature that if what is actually stated in the press is Sl.\bstantially correct, unless this wrong is righted at the earliest possible mo!Tient, there will remain in the memory of every Australian, and on Australi:;~ itself, an indelible blot that can never be erased. :Mr. :McKELL (Redfern) Premier and Colonial Treasurer [10.37] : I read the report in the press to which reference has been made by the hon .. n1ember for \Voollahra and the hon. member for Armidale. To that extent I was in the same position as they were. The press report was all I had to guide me, but I think all of us should be appreciative of the fact that it is not always desirable to form judgments on what appears in the press. Very often we have made the mistake of doing so, and found that our judgments were formed on statements that were not correct. I think the first duty of hon. members is to ascertain whether the facts are as reported in the press. If they are, it ~would indicate a very bad state of ·affairs. On the ~ther hand, the facts may not be as reported in the press, and I would not be surprised if they differed. This matter, of course, has been raised purely as a matter of public interest, and it is not suggested by any hon. member that this administration is in any way responsible, or that the remedy for any wrongful thing that may have been done rests with it. So that from that standpoint we can consider this matter impartially. Immediately I read this evening's press, I determined to find out what I could of the facts; I felt that it was my duty to do so. In the first place, it would .give me the opportunity of explaining the matter to 2552 Adjournment. [ASSEMBLY.] the press and the House. I felt also that if the facts were as stated it may be that there was something that we as a Government could do to mitigate the circumstances as suggested in the press. This evening I got in touch with the military authorities, but I do not suggest for one moment that I am speaki.ng in an official way. I am merely mforming the House of the matters on which I received information. The military authorities informed me very definitely that the facts were not as stated in the press. this evening. They informed me that the procedure in these matters is that the Allied War Control in Japan allocated vessels to the different countries, and in this allocation they determined the 1mmber of persons who are to be repatriated on these vesseh The vessel that is under discussion is a demilitarised Japanese destroyer. It was allocated by the Allied War Control in Tokio to proceed to Australia and to pick up a certain number of persons of particular nationality. The persons who were to be placed on that ship and who I am informed were put on the vessel, were not Japanese at all. They were Formosans and Koreans. The number of persons to be placed on the ship was determined by the Allied War Control in Japan. The people who were here in Australia and who have been placed on the ship were persons who had come from the Netherlands East Indies. I w:1s informed that the military authorities here were acting as agents, as it were, for their safety and control, and were merely acting under the directions of the Allied War Control in Japan, bot.h in respect of the number and nationality of persons who were to be placed on the ship. I am also informed that the Formosans and Koreans cannot speak English, and they were under the impression that the ship on which they were to be placed "as to take them to Japan. The Chinese Consul addressed them. It seems that these people are now Chinese citizens !'lnd the Chinese Consul told them that U1ey were not going to Japan, but that the ship was going to Formosa, and they Mr. McKell.] Adjournment. were being repatriated to their own cou!ltry. They were told that the arrangement for this ship to come to Australia to take them back had been made l;>y the authorities in Chungking with the authorities in Tokio, and that what had been done had been done for their repatriation. :M:y information is that after the Chinese Consul had addressed them they took their places on the snip. I understand that the Chinese Consul also told them that if they found that the conditions under which they were travelling were such that the number was too great, consideration would be given to a number of them being taken off at another point. From the facts that have been stated to me the position is that our authorities here have acted merely as the agents of the Allied War Control in Japan and have carried out the instructions that were issued. It would also appear that those instructions were given by those in control in Japan whose responsibility it is to see to this work of repatriation and to determine the conditions under which people shall be repatriated and the standards of the ships transporting them. As far as I can understand, the Chinese Consul is the man to whom these persons would look .as Chinese citizens. Apparently his attitude '"as that they should take their places on the ship and apparently after he ~a~ addressed them that is what they d1d. I understand that an o:ffi.ci.al statement is to be made. :Mr. HEKSHAW: It is a disgrace to the press of this country if these are the facts! l\£r. McKELL: I am not forming any judgment with respect to the matter at this stag-e and I counsel the members of this H~use to reserve judgment until they know the whole of the facts. Mr. TnEATT: \Vhen is the official statement to be made? :M:r. :M:cKELL: I do not know. I do not want it to be thought that I am makinO' an official statement, nor do I take a;y responsibility for the statements made to me. I have only mentioned the matter because it has been raised, Adjournment. [6 MAR., 1946.] and I felt that I had an obligation to let the House know the information I haci received. I do not speak for the military authorities; they are quite competent to speak for themselves, and I assume they will do so. I am simply giving the House the information that has been given to me, and it would seem, in. view of that information, th.at it would be wise for hon. members and the public' to reserve judgment until the whole of the facts are known. The questions in regard to shipping repatriated persons, the allocation of nationalities,. and the number that should travel on available ships .are matters over which the Australian militar,r authorities have no control. :M:r. DRUMMOND: We cannot divest ourselves of responsibility for what hap· pens on our own shores! llfr. McKELL: The hon. member knows that that is an exaggerated statement. He knows, as do other hon. members, that we in this House are not in sole and absolute control of everything that might be associated-with matters connected with the war and the aftermath of war. Mr. DIUJ~BIOND: I am not suggesting that it is the responsibility of the Premier, but it is the responsibility of Australia as a whole! llfr. McKEI,L: Ron. members know that the various countries are represented by thzir Ministers and consulates, who· look to the interests and the protection of their nationals. The information I have is that the person representing the country to which these persons belong, went down to the ship and addressed the repatriates. App.arently he took no objection to the arrangements that had been made for their repatriation. On the other hand, I am informed that the repr:esentative advised the repatriates to. accept the arrangements that had been made and if my information is correct, those arrangements had been made by the Government at Chungking with the allied authorities in Japan. I can add nothing further and ·make the statement only because the raising of the matter Question and Answer. 2553 in the House thrust the obligation upon me to give the House the information I have received in connection with the matter. Question resolved in the affirmative. House adjourned at 10.52 p.m. i.Gegi£ilattbe .2\a.aembly. Thu1·sday, 7 ]}[arch, 191;6. Question without Notice--Formosan and I\orealll Hcpatriatcs: Overcrowding on Yoizuki (Motiqn of Urgency). Mr. SPEAKER took the chair. The opening Prayer was read. QUESTION WITHOUT NOTICE. UNIVERSITY APPOtNTMENT: MR. CLIVE TEECE, K.C. Mr. LANDA: I ask the Minister for Education whether it is a fact that a Mr. Clive Teece has been selected by the. Faculty of Law of the University of Sydney to act as Dean, and that this llfr. Teece is a part-time lecturer giving a few lectures on legal ethics? Is it a fact, also, that many of the members of the Faculty are part-tirp.e lecturers who gained their positions because of the patronage of the exDean, and that the members of the Bar were not given a chance to compete for the position? If these are facts, will th ~ Minister call for a report and ask the Senate to inquire into this extraordinary election with a view to ascertaining (1) whether it is in the interests of the Law: School that a part-time lecturer and a full-time practitioner should act as Dean of the Faculty of Law; (2) whether it is in the interests of law students that tb.e Eenior member of the Faculty should be ignored? llfr. HEFFRON: As every bon. member is aware, the University Senate is responsible for the conduct and management of that institution, and perhaps it might resent being asked for reports on the matters mentioned by the hon. mcrob.er. However, as the Government gives