CONCERN FELT.

Auckland Star, Volume LXIX, Issue 99, 29 April 1938, Page 8

CONCERN FELT.

BANK EMPLOYEES.

STATE PENSIONS SCHEME. QUESTIONS BY MR. SAVAGE. (IVy Telegraph.—Press Association.) WELLINGTON, this tiny. Evidence tin behalf (if the New Zealaml Bank Officials' Industrial Union of Workers, the Now Zealand Hank Oflieers' Cuild aml the trading banks was presented to the Parliamentary Committee dii sii|ii<i'<imiuiit ion and national health t<. .lay. Mr. IT. 1 , . Maiirant a|>|)oare<l for the Bank Ollieers" (.'nild, while Mr. K. K. l-'.\;iiis. eoniiM'l for tin . Associated Hanks, |ire-i<nieil a statenicnt on behalf of th'j hanks <in<l oDicers contributing! to *itperannnation funds.

Mr. Maiirant said that he wished to make submissions on belutif of the N'ew Zealand Bank Officials' Industrial Union of Workers and the Xcw Zealand Bank Officers' Cuild. two bodies which represented practically the whole of the staff of the trading: banks in the Dominion, numbering some. 3100 officers. The proposals of the Government were of considerable concern to bank employees, bec.uise all six banking institutions lad sup ranniiation seiiemes. Representation's had been made tn the banks by their employees, and to avoid a duplication of evidence the banks would place a statement before the committee on the provident, and superannuation seiiemes which had been established in the interests of the employees.

"We wish to assure the committee that the bank officers are favourable to the general principle of the State providing the superannuation and health insurance for those who are in need," he added. "It is considered, however, that as far as superannuation is concerned the bank officers are adequately provided for, ami they are, therefore, adverse to becoming contributors to a scheme which in their case is not needed and from which they will derive no benefit.' .

The statement presented by Mr. Kvans on behalf of the six trading banks set out in detail the particulars of their individual provident and superannuation schemes. It was pointed out that in the case of each of the banks in New Zealand, membership of the provident and fidelity guarantee funds was compulsory upon the whole male staff. Appeal For Partial Exemption. A statement was also presented on behalf of a number of the staff of the Shell Oil Company of Xew Zealand, Limited, who were contributors to the company's provident fund, appealing for exemption from portion of the pioposed contribution under the State scheme. The statement also requested that should the appeal for exemption be declined that the means test should not be applied to the income they derived from their provident and pension funds and insurances effected through the company's fund.

At the conclusion of his statement Mr. livans was asked a number of questions. Mr. Savage: I suppose the bank officers will admit that they have a responsibility to their parents, who might get benefits under the Government's scheme. I don't suggest that the method of taxation proposed is the last word. It is a matter of hammering out the best metJvd, and we claim the right to impose taxation in any form on all sections of tlve community for a common purpose. We want to make it as equitable as we can.

"I don't suggest for a moment that 1/ in the pound is the most equitable form of taxation, but it i<s the one that is handiest for the time being. You don't suggest that public servants, and everybody else who has a scheme, should be exempt. If that were eo, the Government would be unable to help anybody. Do you think it would be right to accept that position?"

Mr. Evans: So far as other services are concerned we think taxation is the proper basis for it. If it is a question of taxation, then it would have to be considered what the amount of the taxation should be.

Mr. Savage said he did not think there was any private institution on earth that could provide the benefits that were provided for by the Government. He claimed that the, bank officers would get at least two-thirds of the benefits provided for in the Government's scheme.

Mr. Evans: That is a matter of analvsis.

The Minister of Finance, the Hon. Walter Nash: That is the only claim that the bank officials make—tliat they should be exempt so far as superannuation is concerned.

Mr. Evans: Speaking generalh', that is so.

In reply to a question by one of the witnesses, Mr. Nash said that under the proposals put forward by Mr. Savage, there was no means test for health benefits. There was no suggestion of a limit. The committee was discussing the matter with the doctors. Whnn the British Medical Association was before the committee witnesses had been asked if they would co-operate with the Government if a limit of £300, with £50 for each dependent, were imposed. That was the only suggestion of a limit that had been made.

Mr. S. G. Holland quoted a report of a statement made by Mr. Savage, in which he asserted that those already provided for would not be compelled to come into the national scheme.

Mr. Savage: I say that now

Mr. Mourant said he had understood that those provided for would have to contribute.

Mr. Savage: W T ould you still object if the money was to come out of the Consolidated Fund?

Mr. Mourant: On principle, yes. Mr. Savage: Then 30/ is too much for the old-age pensioner. Bar to Benefits? Mr. Holland went on to suggest that the bank officers might be deprived of all their benefits through the income bar, membership of a friendly society and other personal provisions.

Mr. Savage said it had never been suggested that membership of a friendly society would be a bar. "Mr. Holland is deliberately setting out to draw a red herring across the path. He is here to stop this scheme becoming law if he can."

Mr. Holland said he was entitled to ask questions, and added: "Ever since this inquiry opened, I have been interrupted by the Prime Minister. We have called for witnesses, and have only had one of them."

Mr. Holland went on to refer to a request he had made on the previous day. but was called to order by the chairman, the Rev A. H. Nordiiieyer. who said the request had beeu made iu camera, and could not be referred to in public.