1931-08-10 — Page 7

MONDAY, AUGUST 10, 1931.

FLOATING STAFF

·GUILD AND THE INDO-CHİNA S.N.O.

LESS WAGES

STATEMENT MADE PUBLIC.

We have received from the China Const Officers' Guild and. Marine Engineers' Guild of Ching the following statement of their } side of the recent negotiations between the General Managers of the Indo-China Steamu Naviga tion

Co., Ltd., and the two Guilds, the latter acting on be- half of the Flating Staff of the said Company, in the matter of a readjustment of salaries of the suid Floating Staff:— ·

THE

CHINA MAIL.

It should be noted that herons Company, who gave me the reason ble effort has been. made to reduce

It

the

A

The General Managers Shanghai were again instructed the doctaton of the General Man- for not accepting that it did not expenditure to an absolute mini- by cable and on March 28 the agers was to continue the present assist the Company to the extent wo! mum," Secretaries of the Guilds were basis for computation of salarleg villy necessary, It should be Did the Chairman ronlly mean asked to attend a meeting at the one half at 1/6 to the Dollar and particularly noted that the Guilds that, or should he not have added Office of Messrs. Jardine Mathe-one-half at current rate of exchange proposal was for a period of three at the expense of the Floating son and Co., Ltd.

until dupe 30, the Guilda' sugges- months only, after which date the Staff," for that is what it practical- At this meeting the Secretaries tion urged a saving by the Com- matter was to be reviewed, nad tak-ly amounts to, or is he merely re- were informed that the General pany as from April irrespective ing the current rate at 1/- the peating what has been sold on the Managers could not see their way of Ships Articles, also regardless average saving of approximately subject by previous Chairmen ever clear to tender the information of trading conditions at that date $25,000 would have been effected the Great War terminated? asked for and concerning the or three months hence. In other during that period,.

certainly seems to be a stock question of pay.

words, all ranks of the Company's The General Managers, however, phrase, and one to be completely "Complications had arisen service, unreservedly offered to as refused to economise even between forgotten as soon as the Meeting is regarding the ships Articles of ost the Company for the three April 1 and June 30, as they

over, then resurrected for Agreement that the General | mouths ending June 30, but such would not agres to the offer, and

next Annual Meeting. Managers had decided to con- İpractical assistance, which involved asked the Guilds to give the matter tinue paying salaries on the not inconsiderable saving was not further consideration,

It is hoped, however, that the existing basis until | desired. “ present

A final ballot on the subject was

Chairman looked up the meaning of June 30 next after which dute It will thus be seen that on taken and on June 22 the General; the word "economy" in the New Sterling would be paid as the March 23 the Company, had decided Munagers were advised inter alia Oxford dictionary (which is, in his basis of salary at 15 to the to continue paying, until June 30, that, notwithstanding the decision possession, as he had occasion to dollar and the Company's the rates in force at that time and of the Members by ballot which refer to it during the course of the Floating Staff would be asked it is, therefore, interesting to note showed a large majority against negotiations) and that he does now to agree to this basis of pay-what was happening. The date is accepting the announced Salary re-appreciate its significance in view 'ment."

cd for the reduction to take effect dustion, these Guilde, in a fur- of the fact that in 1925 in parti Company's Finance.

was April 1 yet on March 9, 14 ther earnest endeavour to arrive at Fear. the Guilds were informed It was pointed out to the Gen-days after the circular was issued, an amicable settlement of the disby the General Managers that a eral Managers at the meeting the Officers of the s.s. Sui Wo pute, were prepared to agree

to general scheme of drastic economy that on December 9, 1930, the were asked to sign on nt Shanghai Jalaries being pail at a fixed ex-

was engaging their serious financial position of the Indo-with a reduced rate clause in Ar- change of 1; 4 to the dollar as from tention. China Steam Navigation Co.,ticles and on April 4 the e.s. Mau- July 1 for six months subject to re- In the present dispute the Guilds tory that it could, on that date, the reduced rate in Dollars in spite perited, provided the Company can in salaries is part and parcel of Ltd., was presumably so satisfac-sang signed on at Hong Kong at view at the expiration of that were again informed that "the cut afford to renew an Agreement of the decision of the General Mancel their circular and continue to a great Economy Scheme." which provided for

Other quotations could be given an ap-agers that the old basis of payment pay salaries in a basis of half at proximate 6 per cent, salary in- would obtain until June 30.

1/6 to the dollar and half at eur-

from letters in 1925 and 1931 which crease as against the basis of

Complainants.

rent rate until June 30,

are identical in tenor, but the fore-. Shanghai, August 5, paying one half at 1/9 to the

This turn of

The foregoing proposal would going, will suffice, • . events naturally On the instructions of the dollar and one half at current

How far, then, has the policy in Members of these Guilds the fol- rate of exchange, yet only two caused complaints from the ranks have effected an average-saving of lowing outline of the negotia- months and sixteen days later. of the Floating Staff, who had been approximately $82,000 and it is diented in 1925 been adhered to

the financial position_of_the_Com-

told not only by the Guilds bat by hardly necessary to say that had the during the intervening 'years?

There is no intention at this tions regarding the drastic re- pany was so precarious that embere of the Office Staff -who-General Managers been disposed duction made in the salaries of the Company found

were acquainted with the decision to accept the offer made by the stage to go into figures, as it will be say that had of the General Managers, with the Guilds in the first instance a com- quite sufficient to' not the Floating Staff of the Indo- cessary

Daly

were bined

average saving pap there existed in 1926 a genuine re- result that representations Co.ferred to, but also an additional made to the General Managers at proximately $105,000 would have desire on the part of the General have 14 per cent. It would have been Shanghai when to the amazement been effected for the period April 1 Managers to economise in one item of expenditure alone, and as dis a sounder buginess policy for the of the Secretaries the position as to December 31, 1931.

stated WAS denled Company to have reverted to the previously

In a letter dated June 26 address-tinctly apart from other methods the secretaries one half at 19 to the Dollar anciand

were ined to the Guilds the General Man and one half pt current rate on formed that what was meant to be ugers canitely refused to agree to December 9 rather than continue conveyed was, "Provided the Com-the proposal and the. Guilds were pany's Floating Staff would agree again asked to reconsider the mat to the basis of all Salary at 1/6 ter to the Dollar from July 1 the Com- would continne paying pay salaries on the present existing basis until June 30."!

It is necessary for these Guilds pf the General Managers the Secreto state that at the interview held at the Annual General Meeting of turies, although they did not hold on March 28 there was absolutely The Company went out of his way any authority at that time to do. no mention of any proviso, as it to tell Shareholders that he hoped Company was clearly and distinctly stated a friendly conclusion of the matter suggested that the should consider the advisability of that, as complications had arisen in dispute would be reached, and as was absolutely impossible to paying salaries on a basis of one regarding the Articles of Agree it

cur ment the

General Managers had arrive at an agreement acceptable to half at 9 and one half at

the decided, for the sake of uniform both parties, the Guilds were reluc- rent rate as from April 1, as adoption of this basis by the Com-ity, to continue the present basis.tantly compelled to accept on be pany from the noted date would More Information.

effect a saving to the Company be On March 6 a letter in acknow. ledgment was forwarded to thetween April 1 and June 30, which continuation of the present baste General Managers at Shanghai would not; furthermore, reverting submitting certain points for con- sideration and requesting more information in order that the Guilds could be the better guided

China Steam Navigation Ltd., which the Members been compelled to accept, issuer.

is

On February 25 last a letter covering a copy of a circular which had been issued to Mem bers of the Company's Floating Staff was received by these Guilds. The circular announced, inter alia:-

"From April 1, 1921. or us articles expire, salaries will be. paid in Hong Kong Dollars at the rate of excliance 16 as shown on

the attached Schedule."

The reduction announced was exactly 20 per cent. in compari- son with the scale being paint based on one half at 16 to the Dollar, and one half at current rate of exchange.

the

it

to

take away 6

per cent.

ne-

on a basis of payment which the Company should have known it could afford, and thus minimise the necessity of making such a drastic salary reduction as had been announced.

As an alternative to the decision

to the suggested basis would possib

of payment of salaries until June 30 next, after which date Sterling would be paid but on a basis of all salary at 1/8 to the Dollar.

Delay in Replying.

If it had been otherwise

ed by a 20 per centroutary reduction

of retrenchment pertaining to the working and Management of the Fleet, the Company could have sav for four years, for what is pa sible in 1381 was surely squally Aa it was abundantly evident possible in 19261 that evident that no genuine desire

It should be mentioned that the on the part of the General Man-calculations regarding the forego- nger existed to come to an amicable ing are based on certain informa- settlement, although the Chairman tion supplied by the Company.

Is it any wonder then that the Floating Staff are thoroughly dis satisfied, and bitterly complain that the reduction now

90 arbitrarily imposed on them is unreasonably drastic in view, of the fact that the General Managers have not made the slightest attempt to enforce the policy of retrenchment se glibly in- dicated by Chairmen at Annual Meetings year after year.

there need for the at the

half of the Company's Floating Staff the reduction in salary as rounced by the Company subject to review at the end of six months, but the Members only did so by entering the most emphatic protest ly mean that the Company would would have been no

unreasonably drastic not require, on June 30 next, to Guilds to submit the alternative reduction made, having, regard put into force the greatly reduced suggestion in order to effect a añy-

that the Gen- in the matter of the Company's scale which it had announced as being, which continuation of the deeral Managers, have made no at circular advice for beyond a curing effective subsequent to the cision of the General Managers 1926, to enforce in othe directions témpt whatever, particularly since sory reference to "trading con-

would not effect,_in_fact_the_Guilds dition" no information had been

the policy of retrenchment indicat suggestion would have been the very tendered,

ed by them. * reverse of a saving.

date,

.

to the inct

Suggestion Confirmed. The suggestion made by the Se

It was then pointed out to the So much for the friendly (?) retaries was confirmed by letter

which the Chairman on April 7 after the sanction of the General Managers that no misun-conclusión

Now a Members of the Floating Staff had derstanding, would ever have ari-hoped would be reached. 'been obtained at Combined Meet sen had they confirmed what had word about "rigid economy."

The Chairman stated at The ings held at Shanghai and long heen said at the last interview..

were also advised that the meeting that:- Kong, although in the meantime, They

That there are numerous other methods of retrenchment hitherto unexplored is well known, but no good purpose will be served by stat- ing them here. The General Man- agers, however, can rest assured that the Floating Staff are closely watching events in order to deter dicated will be adhered to. It la mine whether the policy now in-

noted already that the Managers have certainly not made a very good start when the Chair- man, announces the policy of re- trenchment on the one hand, and in practically the same breath ad- voentes, although he Infers it is not important, an increase in the

(Continued on Page 8.)

No reply was received to this letter, although it was known by these Guilds that the General Managers at Shanghai had been instructed to reply on March 12.

As to reply was available on March 26, 1981, the Secretary at

on March 31 to be exact. a fetter Guilds' letter of March 5 was not "Striet attention has been paid Auditors' fees on the other. Hong Kong was instructed to pro.

the Gen-answered until 23 days later, when to rigid economy and every possi-i test against the prolonged and had been received from unreasonable delay by the Com-cral Managers at Shanghai to the the decision of the Company was effect that they could not enter only made known verbally. There pany in affording these Guilds a

tein our suggestions.

was st no written reply, and the reply.

Guilds were still waiting for a reply to their letter of April 7, to which the General Managers re- plied that the Guilds could only blame their Hong Kong Office, as they were the people who were dealing with the matter.

Prebident Hoover, the most talked of man to-day, cele brates his 57th birthday, having been born on August 10, 1874.

It was then urged that the Gen- eral Managers put in writing the actual proposal of the Company in order to avoid any further malsun- derstanding taking place, and on April 18 the Guilds received a letter stating that the General Managers were prepared to Canced the cir- cular dated February 25 lust and continue to pay the staff on a basis of half at 1/6 and half at current rate until June 30 next on the fol- lowing conditioną;—

(1) The Staff agree to accept their pay at a fixed exchange of 1/6 per dollar for 12 months as from July 1, 1931 (Pay would be entered in Ar- ticles In, Sterling)..

(2) The Guilds will give aslur-

ance in writing that

10 ac-

tion will be taken under 'Ar- ilcle 139 of the Merchant Shipping Act.

otherwise the terms as per circular of February 26 must remain in force.

On April 27 the Guilds again sub- mitted the offer that payment of salaries: be made on a basis of the 'half at 1/9 and one half at current rate of exchange from April 1 for three months, subject to review at the expiration of that period.

This offer was refused

the

General

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