New Zealand—A socialist country?
The Socialist Party of Great Britain holds that Socialism involves a complete sweeping away of the prevailing system of society which is known as capitalism and the introduction of a system of society based upon the common ownership of the means of life. The introduction of reforms which occur in the normal evolution of capitalism and are necessary to its more effective working, do not constitute socialism though the reforms may be put through by politicians calling themselves Socialists as in New Zealand to-day.
New Zealand was opened up :by the New Zealand Company, and not by independent settlers as took place in America, hence its particular evolution. The dominant figure of the company and the man who defined its policy was Edward Gibbon Wakefleld. He looked at the American colonists’ progress in the early days, and from his capitalist’s outlook found it un¬ satisfactory, because each ‘settler was virtually independent, making their own clothes, candles, soap, etc., in addition to growing their own food. That was not Wakefield’s idea. Where all are independent, as were the early American colonists, there is little capital accumulated, as there are few, if any, labourers to exploit.
Wakefield saw that if many workers could be attracted to New Zealand they would require the products of manufacturing industries in order to support life, thus creating more employment with resultant profits to the capitalist class.
Primarily employment was to be in the form of work on the land and steps were to be taken by the company to see that the ownership of the land was concentrated in a few hands, thus preventing the workers from becoming smallholders and achieving a measure of independence.
England in 1840 was, for the labouring masses, a country best left behind. The history of 1830-1840 is of revolts by agricultural workers, miners and iron workers against their appalling conditions: revolts which were ruthlessly put down. The French revolution was too recent for clemency, which might he mistaken for weakness. With the industrial revolution accomplished, there was unemployed capital as well as labour; Wakefleld believed that both could be profitably employed in New Zealand.
Alas, his hopes were doomed to failure for many years. The New Zealand Company bought up land from the Maoris at less than the proverbial song and sold it in large lots to those who were to become capitalist farmers and would, it was hoped, employ and exploit the labourers which the New Zealand Company intended to persuade to emigrate.
In order to induce workers to go out to New Zealand the Company gave free steerage passages and undertook to give paid employment in the service of the company if the workers could not at once find masters. The company did not bargain with having to redeem this pledge; they made the fatal mistake of not ensuring that buyers of land went to the colony in order to employ labour to work it. With promises of employment, hundreds of working people emigrated from England. The rough sea journey was a smooth passage compared with their sufferings when they arrived and found none of the promised jobs, and were forced to take employment with the New Zealand Company at less than a subsistence wage.
Few landowners but many labourers continued to arrive, as having once been set in motion the recruitment did not cease. Agents in England continued to be paid at a fixed rate per emigrant, and news did not filter through to warn the prospective worker emigrants.
Finally, in 1844 matters had reached such a pass that the company ceased employment and payment altogether and distress was widespread. Here the lack of any elementary form of doles became evident. The destitute labourers in England had, meagre though it was, Parish relief or relief in the Poor House. In New Zealand, however, nothing of the kind existed and charity was most tardy.
As colonization continued the price of land increased still more and the land remained in the hands of the few. As the franchise had a property qualification the government represented the interests of these few. Legislation therefore, for the provision of hospitals, schools, and the relief of pauperism, was blocked in successive Parliaments. By 1853 only four hospitals had been built in the whole of New Zealand, and these left everything to be desired, but they became the beginning of relief, the Poor Law infirmary without the Poor House ! Another attempt to deal with pauperism was the setting up of Soup Kitchens in Auckland, and in 1865 a contributory form of health insurance was inaugurated among the road makers, on the basis that they paid the whole contribution.
The year 1865 also saw the passing of the repressive “Master and Apprentice Act,” which contained a clause stating that boys or girls refusing to serve their apprenticeship could be sent to jail for three month’s This related to children of twelve.
1868 saw the first attempt at unemployment insurance, which was a tax of 10s. a year on adult male^ to provide a fund for the destitute, the sick, orphans, etc.’
By 1898 it had become necessary to make some provision for the aged poor. These were the young labourers of the early immigration ; they had not grown rich or become landed proprietors, as some earlier colonists of other countries had done. In old age, after a life time of privation, they were awarded a pension of 6s. 11d. per week.
Meanwhile, industry was going forward in New Zealand, and the introduction of refrigerating ships made export of food a paying proposition to the big farmers. The workers learned that organisation on the industrial field was essential if their standard of living was to be maintained. The United Federation of Labour was formed in the teeth of opposition from the employers, who victimised the members at ever, conceivable opportunity. The climax came in October 1913, when the employers cancelled their contract wit: the Wellington Watersiders and staged a lockout During the bitter weeks which followed the workers were completely defeated. The Labour Disputes Investigation Act was passed making sudden strikes illegal, and the Federation of Labour lost most of its power as the unions became more and more concerned with arbitration.
The Social Democratic Party originally declared Socialism to be its aim deteriorated into reformism. like the British Party, and in 1916, the present Labour Party emerged from it, its avowed object, being simply the nationalisation, that is the taking over by the state of the means of production.
It was this Labour Party that took office in December, 1935, on a programme which included state control of currency and credit, guaranteed farm prices, i national health service, and a recognition of the “right to work” !
Whatever else it may be, it, is clear that a programme of this kind bears no relation to Socialism. When Socialism is established there will be no currency, no credit, no guaranteed farm prices, nor any of the provisions that capitalism is forced to make to try to combat the effects of slumps and booms. State intervention in these problems of capitalism is not Socialism.
The set-up in New Zealand is accurately described by R. S. Parker, a New Zealand political writer, in ” The Australian Quarterly ” (March, 1941, page 30) :— ” The Labour Government has simply continued in the New Zealand tradition of state control and regulation, private ownership and operation. The central feature of the present set-up is the survival of the spirit and content of an essentially capitalistic economy, upon which the state has imposed a far reaching, but largely negative system of regulations, controls, prohibitions.
The Labour Party has been in office for over ten years, yet in many aspects conditions in New Zealand are worse than those of Britain.
The latest report of the Director-General of Health for the year 1944-1945 proves Public Health and Industrial Hygiene to be worse than in the “old country.” As comment on all points is impracticable for reasons of space, only the most significant will be given.
The general health of the Maoris, who were in 1840, a healthy race, is poor. Tuberculosis is rampant, and the infant mortality rate very high (102.26 per 1,000 live births). Much ill-health is due to the notoriously bad state of Maori housing and no great improvement in health is possible whilst they are living under such overcrowded and insanitary conditions.
The report on Industrial Hygiene is very enlightening. Many of the comments of its author, Dr. Davidson, would fit any industrialised country: —
“… many thousands are employed in work which is hot, dusty, laborious, dirty or merely monotonous and uninteresting, and they, too, may be exposed to environmental dangers, the effects of which although less immediately disabling are none the less real” (page 20).
Continuing, Dr. Davidson holds up British Factory Legislation a-s a shining example to New Zealand, and advises those capitalists who are reluctant to spend money on amenities for their workers to think again. Covering the bitter pill of expenditure on nurses and doctors in the jam of future profits, he shows what skilled treatment of accidents, etc., may save in absenteeism, accident compensation, etc.
Dr. Davidson recognises the reasons why necessary reforms in industry are not carried out when he points out: —
”It is partly a matter of finance; merely to, keep a factory clean costs money” . . .
“Good seating, too, is no mere philanthropy, its pays.”
To the ears of the capitalist class the words “it pays” are sweeter than the sweetest of music—perhaps they will be convinced!
We have seen how young children might be jailed for refusing to work, but Dr. Davidson was surprised to find them still working : —
“I have been surprised to find children under school leaving age working full time in various factories during school vacations and in isolated cases during school terms. Children of 13 and even 12 can be seen working whole time—and sometimes overtime—in factories which in many cases are very ill-kept and in some of which highly poisonous chemicals or dangerous machinery are in use ” (page 27).
After the above report was compiled the Statutes Amendment Act of 1944 prohibited the employment of children under 14 years. Such conditions had, however, prevailed for almost 10 years under the “Socialist” Government.
The workers of New Zealand have been taken in by the promises of their Labour Party as were the workers of Britain in 1945. Disillusionment must come when it is found that neither state control nor private ownership within the framework of capitalism will solve the ills thrown up by capitalism. Only when the workers of New Zealand, together with the workers of other lands, realise the reason for their exploitation and combine to overthrow it can Socialism be achieved.
W. P.