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Australia's Rash Example

19th April 1932, Page 39
19th April 1932
Page 39
Page 40
Page 39, 19th April 1932 — Australia's Rash Example
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Which of the following most accurately describes the problem?

MANY of the Australian states, and particularly New South Wales, have introduced legislation 'which is intended to crush mechanical transport by road, and it has in most instances practi cally achieved its object.

In Sydney, the capital of New South Wales, there is what may be termed a free area for a 20-mile radius, but beyond this limit all commercial vehicles have to pay a special tax at the rate of 3d. per gross ton-mile. Thus a vehicle weighing, with its load, 12 tons would have to pay, an additional tax of 3s. per mile.

The trouble originated with the taking over of the railways by the Government, as much capital was wasted in the building of vote-catching branch lines which cannot possibly be made to pay. What good has been accomplished by forcing freights on to the railways? The revenue has certainly been increased, but the margin of net profit has been lessened because the operating expenses have risen out of all proportion. Unions representing the railway and tramway workers have been ruthless in their demands ; so long as their workers were well looked after other workers have not mattered. The railway men now work a 44hour week for 48 hours' pay ; over-staffing and overmanning have resulted from the Government's fear of losing votes, and there is an immediate outcry from thia railways at the least suggestion for economy.

The accusation as to the losses caused by road transport was merely an excuse to account for the railways' losses, and the result has shown that road transport was not the biggest factor. Instead, the commercial motor beneflted the trader, for when there was competition, the railways were, to some extent, put on their mettle, goods were punctually de-,_ livered, and the regulations were not too strongly enforced—a 7-ton load in a 10-ton trifek was often allowed to pass at the 10ton rate. Now, however, the situation is quite different. The railways are autocratic, perishable goods are constantly being delayed, and the most petty regulations are enforced with the utmost severity. Despite this, the railway losses now amount to £10,500,000 per annum.

When the New South Wales Act came into operation, 3,000 bus workers lost their jobs in Sydney alone, hundreds of vehicles were laid up and are still idle. One bus owner with a fleet of 85 vehicles actually offered the whole fleet to the State, free of charge, if it would run them, and thus keep his men in employment.

Such an example as this should constitute a grave warning to the traders of this country. If the railways be permitted to force the hand of the Government into adopting similar tactics, efficiency will be reduced, thousands of workers will be thrown out of employment, and the progress of reconstituting the finance of the country will be delayed by many years, or even destroyed.

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Locations: Sydney

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