Press translations [Japan]. Economic Series 0225, 1946-01-29.

Full Translation:

In ISHIKAWA-Ken, the Prefectural Office announced that disputes concerning tenant rents, most of which were hitherto solved by the so-called Thought Police, to the disadvantage of tenant farmers, would be settled by both the official arbitrators in the Office and the Farm Land Committees in each locality. Now that the compulsory buying of farm lands, which belong either to the absentee landowners, or to those exceeding the land holding limit of five chobu per landowner and the rent-in-cash system, has been put into effect by the Farm Land Law. The same office has also warned landowners against the recent tendency among them to deprive tenant farmers of their farm lands, on the ground that they would cultivate them personally.

As a result of such activity on the part of landowners, more than l4 rent disputes have been reported to the Prefectural Office. Such being the case, the authorities in the Office have issued the following statement:

"Article nine of the Farm Land Reform Law provides that if there is a desire on the part of landowners to cultivate their lands themselves, they shall be able to recover their lands from tenant farmers. The truth is, however, that they will be authorized to get back their farm lands from tenant farmer and cultivate them by themselves only when there is a fair prospect of increasing the production of food by so doing. This, only after having taken into consideration the actual state of the tenant farmers.

Therefore, if such a dispute, does occur, we hope that tenant farmers will lose no time in asking the Farm Land Committees, in every locality, or, if necessary, the official arbitrators, for the solution of such problems. Besides, we must report the circumstances of disputed to Allied Headquarters."

Summary:

Recently strikes demanding wage increases have been appearing continuously. This may suggest to us, on the one hand, a strong growth of the labor union movement and, on the other hand, the necessity for increased wages of laborers in order to keep up their living in the present inflation. In this, their demands may be right. However, if such demands should tend to go beyond what is necessary and as such should tend to become prevalent among all labor unions, the result would be a catastrophic spinal between wage increase, purchase power, and inflation. The unpropertied citizens and laborers, who are said to be most severely affected by inflation, must check inflation with intelligence, before it gets out of hand. The following

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ITEM 2 (Continued)

statements, made by the financial authorities and a leader concerned in the labor conflict, are on the problems of inflation and wage increases.

The statement by the financial authorities: "It is not right to demand a one thousand per cent increase of wages simply because the price has risen to ten times the prewar price. We must realize that our economic situation has become worse. As a result, we cannot but admit the existence of a string reason for restricting the demand for wage increases within a rightful limit, so that our economy may be balanced. However, if the strikers should tend to go beyond such a limit, without regard for the effect of wage increases on inflation, we must sa[illegible]it is suicidal. They, themselves, promoted the inflation and induced an economic catastrophe.

"In order to restrain wages from an upward tendency, prices must be stabilized. If not, workers' lives must always be exposed to instability. Besides, having seen the confused situation brought about by the planless removal of control after the end of the war, we now come to understand that a new autonomous control is necessary in our present economic society. The Ministry of Finance is now very busy making a definite plan for price control in all spheres. We intend to manage politically the movement of prices within a frame of control which is to be made taking into consideration present price conditions. Then it will become possible to determine the standard of wages.

"The standard of wages now under consideration is of such an increased amount that it is considered doubtful whether or not it will pass at the Cabinet meeting. But, by all means, we want it to be realized because we think that it would discourage strikes. When a labor union has developed to the extent that it can fairly manage production by the laborers, the laborers will come, without fail, to have self-control. They will be conscientious enough to demand improved treatment. It is desired that leaders of the labor conflicts see the matter from a wider viewpoint."

The following statements were made by Mr. SUZUKI, Masaburo: "Wage increases may be unprofitable to the capitalists, but laborers may well demand. it. The welfare of the workers must be taken into consideration before the profits from the enterprise come into question. The Government seems to the forming a new system of prices. If wages were decided accordingly, the prices would advance again, adjusting themselves to the new wages. Therefore, it is necessary that wages should fluctuate with the rise and fall of the prices. At any rate, it is unreasonable to leave the workers with low wages, thus reducing them to states of mal-nutrition.

"As relief measures, I should like to propose the following:

• 1.The government should take immediate steps to distribute the necessities of life through a new medium. For instance, a co-operative society should be organized in each neighborhood or place of work. The Government should afford a financial facilities for such organizations.
• 2.The policy for the relief of bankers should be promptly stopped. Meanwhile, it should be possible to withdraw small deposits. It does not matter if bankruptcy should break out in several banks. After consideration has been paid to small deposits, industrial funds, and minimum living costs, the deposits of large accounts should be promptly blockaded. On the basis of these blockaded funds, a new policy should be established. In addition, in the renewal of banknotes, the exchange should take place promptly as soon as the notes are printed. Money not required for living expenses should be deposited.
  
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  ITEM 2 (Continued)
• 3.Let the workers have responsibility for an increase in production by granting their participation in the management. Then, they will become conscious of the contents of the enterprise and will not make impossible demands that would put the enterprise in distress.

Full Translation:

Reraising the price of coal has become en inevitable consequence of circumstances because the cost of production has been very much affected by the recent raising of miners' wages. The Ministry of Commerce and Industry has decided to raise coal prices after having investigated the present price system in coal. It is now studying the revised plan to be submitted to General Headquarters. Reraising the price will possibly come into effect next week at the latest. Together with food, coal forms the foundation of national life. Raising its price sometimes involves the danger of inflation. Therefore, the authorities are exercising extreme caution regarding this problem.

The present average selling price of 15 yen per ton (the government subsidy is 158 yen) was set on the basis of economic conditions in September, just after the end of the war. At that time, the miners' wages were six yen on an average. Since then the price has lost touch with actual conditions due to three to five times' wage increases and the rise in production costs. Therefore, it is intended to reraise the price on the basis of the cost of production, between 200 and 250 yen per ton, which was estimated by Dr. CORINTH, advisor in the Mining and Geological Section of the Natural Resources Division of Allied Headquarters.

Although, in some official quarters and among coal producers concerned, an opinion is being advanced that the Government should practice the raising of a single price without subsidy. The Government, however, disapproves. This time it will apply the subsidy system. In addition, its policy will be to set the subsidy at the present amount, or, rather, to decrease it and burden the consumers with the larger portion of the price increase.

Full Translation:

The Commerce and Industry Ministry, which has been studying the disposal of articles returned from the Allied Forces, has at last decided to re-distribute them speedily according to the following method:

• 1.Motors, transformers, generators, and chargers will be distributed through the Electric Machines Distribution Company (DENKI KIKAI HAIKYU KAISHA).
• 2.Radio receivers and bulbs will be distributed through the Radio Receiver Distribution Company (RAJIO SHUSHINKI HAIKYU KAISHA).
• 3.Transformers will be distributed through the Standard Transformer Co-operative Company (HYOJUN HENATSU-KI KYORYOKU KAI).
• 4.Mica will be handled through the Mica Plate Manufacture Control Union (UMBO HANSEI ZOSEI TOSEI KUMIAI).

DISTRIBUTION "X"

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