1.—13 A.

Sele-Help Co-op. Ltd. —Percentages of Overhead. Per Cent. Wages .. .. •• •• 4-4 Rent .. • • • • • • ■ • • • 1 Advertising .. .. • • • • • • 0-3 Interest .. • • • • • • • • • • 1 Rates and insurance .. . • • • • • 0-1 Paper and bags .. .. • • • • • ■ 0-6 Sundry expenses (land-tax, shop - redecoration, motor expenses, delivery expenses, repairs, travelling-expenses, legal expenses, exchange, stationery, property expenses, lighting and heating, telephones, postages and telegrams, tickets, and paint).. .. • • • • 0-6 Depreciation — Per Cent. Buildings (approx.) .. .. •• 0-2 Cash registers .. .. •• 10'0 Fixtures and fittings .. ■ • ■ ■ 5-0 Plant .. . . • • • • • • 5' 0 Motors — Lorries .. .. •• 15-0 Cars .. •• •• 10-0 Office furniture .. .. •• •• 5-0 0-3 7-7 Mr. Harris.] Is the depreciation actuarially sound ? — Yes, that is absolutely sound and is what is allowed by the Income-tax Department. Mr. B. Sutherland : The next is " The Effects of the Bill." (1) Manufacturers at present have the right to fix a retail price if they so desire. Consequently, the aim of those behind the Bill must be to permit the coercion of combines to attack efficient business. (9) The aim is to fix the price of not only proprietary articles, but also lines such as flour, bread, sugar, by refusing supplies to those who do not agree to' make a large profit. Underlying this innocent-looking measure is a motive unparalleled in the history of this country to crucify efficient business methods at the expense of the worker. Ninety-five per cent, of the public have to live upon 50 per cent, of New Zealand's total income—the other 5 per cent. of the people receiving the other 50 per cent, of the income. (3) The tendency is for retailers and merchants to stock and push only those lines which carry a high rate of profit This will act like a snowball coming down a hill, and prices to the people will soar. Manufacturers will attempt to obtain the assistance of the retailer by fixing the price at such a figure as will give the retailer a greater margin of profit than on competing brands. Hence a competition as to who can fix the higher price and the greater p rioe _ fixation wiu not benefit t)le manufacturer. It merely places a strangle-hold on the efficient retailer and protects the inefficient. (5) The public throughout must pay the price—that is, workers will be called upon to pay more than necessary for the essentials of life without a corresponding increase in wages. (6) Price-fixation always increases the price dearer than necessary. Mr. B. Sutherland : The next is a list of the number of employees who belong to the Grocers' Union, and taken from a list in the Department t>f Labour. It goes from 1919 to 1933. The Department has not got the list since 1933 yet. That statement clearly shows that since 1922, when the chain stores really started, they had 350 employees belonging to the union, and since then the figures have increased every year. As the chain stores grew, so the number of employees grew. The number now belonging to the union is now 801, and as the law stands there must be a fully-paid man for every youth or boy —that is, you could not have a man drawing £4 a week and a boy drawing £2 a week in the one shop with three people in it. Do I make that clear ? Suppose there is a man drawing the minimum rate of £4 ss. 6d., you could not employ another drawing £4 and another one diawmg £3. You have to have a fully-paid man drawing at least the award rate. Mr. Harris.] All assistants are members of the union, of course ?—Yes.

Return showing Number of Members of Wellington Grocers' Assistants' Union.—Department of Labour, Wellington.

Note —Prior to the chain-stores being established in Wellington the number of assistants employed in the grocery trade never reached the 300 mark. Since the establishment of these shops the number of employees has trebled. These returns cover the following districts : Wellington City and suburbs, Petone, Hutt, Johnsonville, &e. Mr. B. Sutherland : Although we strongly oppose the amendments to the Bill in order that we may be able to continue our policy of selling groceries to the public at a low rate of profit, yet we have never done nor intend to do this at the expense of the staff, or of the many charitable institutions it has been our privilege to subscribe to. Benefits to Employees. (1) Bonuses —The firm distributes about £1,000 each year in bonuses to the staff for the most efficient work. 2) Sick-benefit Fund.—'The Self-Help Co-op. operates a sick-benefit fund for the employees, and subsidizes it to the extent of £500 per year. Employees contribute 1| per cent, of their wages to this fund.

29

Yearly Returns. Number of Members. Yearly lleturns. Number of Members. i — ! ,019 . 278 1927 .. .. •• 663 1920 " .. .. 345 1928 703 1922 • • • • 350 1929 .. . . .. 703 1noi .. .. .. 466 1931 •• 875 1924 . . . . .. . • 565 1932 .. .. • - 860 1925 _ _ _ _ . . 600 1933 .. •• •• 801 1926 . . . • ■ • • • 645