OLD AGE PENSIONS.

Auckland Star, Volume XXXIX, Issue 236, 2 October 1908, Page 4

OLD AGE PENSIONS.

IMPORTANT AMENDMENTS.

(By Telegraph.—Parliamentary Reporter/

WELLINGTON", Thursday. The Old Age Pensions Act Amendment Bill, the objects of which have already been made public, was brought down for its second reading in the House cf Representatives this afternoon. The Prime Minister outlined the general provisions of the bill. One of the most important provisions, he said, was that providing for the granting of pen-ions to those at present debarred from the advantages of the Act. Hitherto, those owning property valued at £300 were unable to reap a full benefit; now the limit was extended to £650. and oy transferring their property to the Public Trustee, a husband and wife would, upon transfer, be entitled to a pension amounting to £50 per year. Clause 10 gave magistrates power to increase pension allowances under certain circir-istances. Important amendments wer:- those affecting the punishment of pensioners, and the cancelling of their certificates in cases of drunkenness, a:id the powers vested in magistrates tn grant suspensions and renevral under the present Act. There was a doubt as * j the position applying to the Asiatic-.; it was now made quite clear that aM Asiatics were ineligible. (Hear, hoar.) Touching, upon the question of cost, the Prime Minister said that, evpn tsi:.-.->n upon a 40 per cent, basis of the population eligible, the country could well afford any increase involved. The estimated number of pensioners in each year, on a 32 per cent, basis, and the tot;:l cost at £26 pen head, would work out, as follows: — .Year 1900, total pensioners, 1.3.51"; total cost, £351,442; year 1910, total pensioners, 13.481, total expenditure. £350.506: year 1011, total pensioners. 14.027, total expenditure. £364,702; year lf!12. total pensioners, 14.161, total expenditure, .£365,156: year 1910. total pensioners, 14.400, total expenditure. £374,400. The provisions of the bill would, he was sure, brighten the endinjr days of the old residents of the Dominion. Mr Massey said that h" was willing to admit that the Prime ?.lin:ster had faithfully carried out his duties in the administration of the Old Age Pension Department. He was glad to give him credit for it, but lie was disappointed in the bill now before the House, since it was evident that there was no provision specially applicable to old couples living in cottages. As the provision of the Act at present applied, it was a penalty for thrift. He knew of numerous cases where old couples had saved sufficient money to gain homes of their own. and who, because they possessed a cottage to live in, were debarred from drawing a. pension. He was sorry there was no remedy in the bill for such cases as these. Referring to the punishment for drunkenness, he said that while he did not think it right that a man's pension should be taken away for five years for a departure from the paths of sobriety, he nevertheless agreed that there was need for careful administration in this respect. Drunkenness should be puni?hed, and it was wrong that money should be wasted in drink. The amendments generally speaking were, he thought, an improvement upon the existing Act. Messrs. Tanner and Jennings both spoke against an anomaly in the existing Act, which prevented those who had been 40 years in the. Dominion, but had broken that time -with a 12 months' absence abroad, from receiving the benefits of the Act. Mr. Gray that born New Zealanders, who had *ved their whole i lives in the country, should have a spei cial concession made them by being allowed to draw the pension at the age of 1 60. Mr. Hogg commented oii th° change in the attitudeol the Opposition towards the pensions scheme. The original bill liad been opposed tooth ancli nail from the Opposition benches, but now Mr. ifassey and his followers wished to extend the system in every possible direction. After further debate the Prime Minister said that some members had urged various extensions of the system, but they should remember that the Government had always to watch the financial aspect of the position. The present law ha<j been widened) in various ways since the passing of the original Act, but a universal pension would meanincreaiing the annual charge at once to over one million pounds annually. An expenditure of that magnitude was beyond the means of the country at the present time. The suggestion had been made that brokea periods o"f years should count for the pension. The inevitable result of that would be that people who Uarl at one time been in New Zealand would return in their old ».ge to secure a pension. Serious difficulties would result from the change proposed. The pensions scheme had been an enormous success, "but the Government had to be careful not to overweight it. The bill was read a second time on the voices.

IMPORTANT NEW CLAUSE.

(By Telegraph.—Parliamentary Reporter.)

Wellington, this day. An important clause was added to the Old Age Pensions Amendment Bill by the Prime Minister early this morning. ' Tim clause provides that'a. pensioner who has been able to earn up to £2 a wpek during one income year, but whose earnings have for some reason ceased, shall not bn penalised by having his pension reduced or cancelled during the suoceediug income year. A magistrate is given power in assessing a pension to deduct income up to £2 a week from the return for the previous year if it is sliown that the earnings are not 'wntinuing.