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MR. FUNG, continuing, says that since his assumption of office

as Commissioner of Agriculture and Labour, he has made

a careful study of the labour problem. He is sure that

the ordinary workman has no desire to give trouble to his employer, or to the Government, or again to foreign-

ers. The trouble in the past has been that a few out-

siders were able to exercise a pernicious influence over

him. The Canton Government intend to adapt their policy

in regard to labour to prevailing conditions. The con-

ditions in China are quite different from those in other

countries: China has no big capitalists in the real

sense of the word. He thinks that the best way to deal with labour would be to make a rule forbidding anyone

joining a guild, other than one of his fellow tradesmen; and also forbidding anyone without a trade to hold office in any guild. This will prevent unscrupulous adventurers

from making use of guilds for their own selfish ends.

The Government with may also require employers to share their

profits with their employees in the shape of a bonus. A percentage of such profit has to be stipulated in accord-

ance with the different kinds of business or trade. Em-

ployees who share such profits will not be allowed to join any guilds at all. By this means the labour diffi- culties may gradually disappear.

HIS EXCELLENCY says that the labour problem is a very important

one, The trouble exists not in China alone, but all

over the world. The aim of Labour is to dominate the

other sections of the community. Hong Kong in recent years has had serious troubles with labour. First there was the General Labour Union which was established for

neither economic nor social purposes, but was a political

organisation designed to impose its will on the Govern-

ment. Such an organisation was a distinct danger to the

Colony; and the Government, on the advice of not only

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