SUPERANNUATION SCHEME

Press, Volume LXXIV, Issue 22389, 30 April 1938, Page 16

SUPERANNUATION SCHEME

Bank Officers Seek

. Exemption

PRIME MINISTER'S

QUESTIONS

(I-BESS ASSOCIATION TELEGRAM.)

WELLINGTON. April 29,

Evidence on behalf of the New Zealand Bank Officials' Industrial Union of Workers, the New Zealand Bank Officers' Guild, and the trading banks was presented before the Parliamentary Committee on Superannuation and National Health. Mr H. P. Maurant appeared for the Bank Officers' Guild, and Mr H. E Evans, counsel for the Associated Banks, presented a statement on behalf of the banks and officers contributing to superannuation funds. Mr Maurant said that he wished to make submissions on behalf of the New Zealand Bank Officials' Industrial Union of Workers and the New Zealand Bank Officers' Guild, 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, because all six banking institutions had superannuation schemes. Representations had been made to the banks by the employees, and. to avoid duplication of the evidence, the banks would place a statement before the committee on the provident and superannuation schemes which had been established in the interests of the employees.

Exemption Desired

"We wish to assure the committee that bank officers are favourable to the general principle of the providing superannuation and health insurance for those who are in need ne said "It is considered, however, that as far as superannuation is concerned bank officers are adequately provided for. and they are therefore averse to becoming contributors to a scheme, which, in their case, is not needed, and from which they will derive no benefit." M The statement presented by Mi Evans on behalf of the six trading banks set out in detail part.culars of their 'individual provident and superannuation schemes It pointed out that in the case of each of the banks in New Zealand, membership of piovident and fidelity guarantee funds was comoulsory upon the whole male staff.

Mr Savage's Statement At the conclusion of his statement Mr Evans was asked a number of Minister (Mr Savage): I suppose the bank officers will admit that they have a responsibility to their parents who might get benefits unJer rnunity for a common purpose. We want to make it as equitable as we can I don't suggest for a moment that Is in the £ is the most equitable Sin of taxation, but it is the one that is handiest for the time being. You don't suggest that public> and everybody else who h j« s at V er eTo help "anybody. Do you think* would be right to accept that position, Mr Evans: As far as the other services are concerned, we think texa tion is the Proper basis for it If it is a Question of taxation then it will nave to bl considered what the amount of taxation should be.

Question of Limit Mr Savage said he did not think thSe wa V s g any Private institution on earth that could Provide the benefUs that were provided for by tne uove™ mint He claimed that bank officers would get at least two-thirds of the benefits Provided for in the Governinent's scheme. mitt™- of Mr Evans: That is a matter oj for Finance "he Hon W. Nash): That is the only claim that the bank officials make—that they should be exempt so far as superannuation is concerned. Mr Evans: Speaking generally, that 1S In 'reply to a question by one of the witnesses, Mr Nash said that under the proposals put forward by Mr Savage Ihere was no means test for nealtn benefits. There was no suggestion of a limit. The committee was discussing the matter with the doctors. When the British Medical Association was before the committee witnesses had been asked if they would cooperate with the Government if a limit of £3OO with £SO for each dependant were imposed. That was the only suggestion of a limit that had been made. In Other Schemes Mr S. G. Holland, M.P.. quoted the report of a statement made by Mr ! Savage in which he asserted that those already provided for would not be compelled to come into a national scheme. Mr Savage: I say that now. Mr Mourant said he had understood that those provided for would have to contribute. Mr Savage: Would you still object if the money was to come out of the Consolidated Fund? Mr Mourant: On principle yes. Mr Savage: Then 30s is too much for an old age pensioner? Mr Holland went on to suggest that bank officers might be deprived of all 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," Mr Savage added. "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 the 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 the request he had made on the previous day but % was called to order by the chairman, who said the request had been made in camera and could not be referred to in public.

STOCK AND OIL FIRMS

STAFFS ASK TO BE EXCLUDED

FROM SCHEME

' WELLINGTON, April 29. A request for exemption from contribution to and from the benefits of the State scheme was made to the Parliamentary Committee on Superannuation and National Health in a statement presented on behalf of the permanent employees of stock and station, companies in the Wellington, Marlbor-

ough, Taranaki, Nelson, Otago, Southland, and Auckland districts. "It will press very heavily on some of our staff if, in addition to their contributions, they have to pay a further 5 per cent., as there is no possible chance of their obtaining anything out of the suggested national superannuation scheme," said Mr W. O. Gibb when appearing before the committee this afternoon on behalf of the executive council of the Insurance Institute of New Zealand (Incorporated). Mr Gibb added that the officers of the institute would apparently be entitled to free medical attention under the health portion of the scheme, but, taking the average clerk's salary at £350, it would mean that he would contribute £l7 10s a year, and it was certain that the yearly average a family for medical attendance was much less than that Already at least 90 per cent, of the 2450 salaried officers comprising the institute enjoyed the benefits of superannuation, most of the schemes being contributory, Mr Gibb gave examples of the working of superannuation schemes now in operation. A statement was also presented onbehalf of a number of the staff of the Shell Company of New Zealand, Ltd., who were contributors to the company's provident fund, appealing for exemption from a portion of the proposed contribution under the State scheme. The statement also requested, should an 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.