Basic War Disability Pension “Losing Purchasing Power”

Press, Volume XCV, Issue 28231, 20 March 1957, Page 14

Basic War Disability Pension “Losing Purchasing Power”

“The basic war disability pension has been steadily losing its purchasing power. Because of the great debt of gratitude we owe to the original stalwarts for the fine foundations they laid for our organisation, it is regretted that we have been unsuccessful in getting the Government to honour its obligations to these First War amputees.”

These remarks were made by Mr G. O’Leary, of Wellington, in, his presidential address to the seventeenth annual conference of the New Zealand War Amputees’ Association which began in Christchurch yesterday morning. Mr O’Leary said that in 1922 a commission of inquiry found that there were some former servicemen who, because of their war injuries, were unable to obtain employment and who had no income other than their compensatory pension. A supplementary pension for these persons was recommended and granted. From then on. those pensioners who did not qualify for the supplementary pension, or as we know it, the economic pension, have seen the purchasing power of the basic or-compensatory pension steadily dwindle away,” he said. Rise in Cost of Living "That the true value of the basic pension has been drastically reduced is obvious when we realise that in 1919 it represented 54.54 per cent, of the Arbitration Court award rate for a skilled worker. In 1954 this percentage had been reduced to 36.36 per cent. Although the pension has been apparently increased to £4 per week, in actual fact its ability to purchase goods and services had decreased to the stage where it would purchase only the same quantities as £ 1 6s 8d in 1919. Increases in wages over the last few years have still further lowered the true value of the basic pension,” said Mr O'Leary. The War Amputees’ Association had asked the Government to declare and maintain the basic pension as 50 per cent, of the average weekly wage as compiled by the Department of Labour at six-monthly intervals, he said. “The association considers that this wage will be a reliable measure of the general standard of living and will accurately reflect any changes in the purchasing value of the money unft.” ‘ ‘Misrepresentations” Mr O’Leary referred during his address to the “persistent misrepresentations regarding the payment of pensions made by persons in authority.” The Minister of Defence (Mr T. L. Macdonald), replying to an article in the Wellington “Evening Post” last week, had said that the New Zealand war pensioner received a basic pension of 80s, a wife’s pension of 745. economic pension of 745, a total of 2285. “Of the 33.000 war pensioners in New Zealand, there can hardly be more than 2000 receiving the

amount the. Minister says. There are only about 4000 war pensioners in receipt of economic pensions, and of these half are on less than 100 per cent, disability pension and. therefore, could not receive the amount of 2285. Also, the wife’s pension is payable only where the pensioner is receiving an economic pension because of his inability to obtain or retain employment because of. his war injuries,” said Mr O’Leary. “Such misrepresentations should cease as they tend to induce a feeling of apathy towards war disability pensioners by creating the false impression that all are well catered for by generous pension payments, whereas we know that more than 29.000 pensioners receive only their individual percentage of the steadily diminishing basic pension.”

WAR AMPUTEES’ ASSOCIATION

Mayor Opens Conference

“As time rolls on the • new generations may have a tendency to forget the sacrifices made by their fellow-countrymen in war service overseas. Your organisation insures that the interests of those who suffer from physical handicaps as a result of war injury are protected, and it serves to remind New Zealanders of the sacrifices you have made.” said the Mayor (Mr R. M. Macfarlane. M.P.) opening the seventeenth annual conference of the New Zealand War Amputees’ Associa*tion yesterday. More than 20 delegates from all parts of New Zealand are attending the conference, which will conclude on Thursday afternoon.

This year marks the fourtieth anniversary of the establishment of the committee in Oatlands Park Hospital, Surrey. Britain, to assist in arranging the rehabilitation of New Zealand’s war amputees. The present membership of the association now stands at 705.

The following officers were elected (all are from Wellington unless otherwise stated):—

President. Mr G. O’Leary; vicepresident, Mr F. Thompson; executive committee, Mr W. V. Land. Auckland representative (temporary), Mr J. Dwyer, Wellington representative; Mr E. A. Roberson. Canterbury-Westland representative: Mr S. D. Sherwood, Otago-Southland representative; secretary, Mrs I. F. Lard; treasurer, Mr W. M. F. Williams; publicity officer, Mr W. V. Lapid; representative on headquarters of Disabled Servicemen's Re-estab-lishment League, Mr C. E. Butcher (Lower Hutt).