Profets Show an Upward Trend

Prices are already shooting up because of devaluation. The Government has told us that wages cannot go up to meet the increase in the cost of living because this would take away the benefits of devaluation. The hypocrisy of the Government's position is shown by their attitude towards profits. Callaghan, at the Labour Party conference, said that he was in favour of higher profits - he should be pleased! The recent upward trend in profits has continued. Industriel companies reporting in November showed a 3.2% rise in profits, compared with the | previous year, giving a net rise of 2.5% for companies reporting in October and November combined. ‘This follows rises in profits of 1.4% and 4.2% for companies reporting in October and September respectively, and compares with an overall rise of 0.3% for companies reporting in the third quarter of the year. Thus profits have shown a rise for three consecutive menths. Dividends of industrial companies reporting in November show an increase, compared with the previous year, of 1.6%, giving a net increase of 1.0% for companies reporting in October and November combined. These increazes, though small, are very important. They mark the reversal of a trend profits have been down because of the slackening of business during the freeze. Also some businesses tend to keep down dividends to make it appear that they are abiding by the incomes policy. let no wage claim be turned down on the grounds that firms cannot afford it! And these are the published profits - perusal of the books of companies - a demand which should be increasingly made in this period of "restraint" - would reveal even higher figures.