Lower Living Standard If Benefit Capitalised

Press, Volume CIII, Issue 30448, 23 May 1964, Page 19

Lower Living Standard If Benefit Capitalised

(From Our Own Reporter) WELLINGTON, May 22. The family benefit had come to be regarded as part of the wage structure for both Maoris and pakehas and its capitalisation could lead to a deterioration in living standards, said Mr J. R. McCreary, a lecturer in the department of social studies at Victoria University, speaking to a conference of Maori students yesterday.

Measures like the family benefit capitalisation should not be passed by Parliament without research into their likely effects, he said. “The family benefit is a sort of compulsive worry of mine. “I have seen houses where, after the family benefit has been capitalised, the family’s living standrad has been seriously affected. For though the family may no longer be paying rent, what it formerly paid in rent is going in repayments, and there is now no regular income from the family benefit. “And often a lot bf furniture is bought on the ’nevernever’ to fill the empty house.”

Mr McCreary was discussing “The Maoris and. the Welfare State.” He said it was often alleged that Maoris were “making a profit” out of the family benefit. Persons who made statements like these seemed to forget that there were only a limited number of children in a family that could qualify for family benefit “Overproduction”

"For a woman to have more than eight children under the age of 16 is rapid enough production, not to say overproduction,” he said. “The average number is

probably three or four; but if it were eight, the family benefit would still be only £6 a week, which is hardly a fortune to feed and clothe that number of children.

“How is it spent? There is nothing I would like to know more than how the family benefit is disposed of by either pakeha or Maori families,” he said. “It has been alleged that in a Maori household the wages are used for paying housing costs and meeting the husband’s expenses, while other household expenses are met from the family benefit. “This allegation implies that a Maori Woman with eight children would have her house paid, but would have to feed her children on the family benefit “Poorly Fed”

“This would probably mean she would have to work herself. It also would mean that she feeds her husband well, as a sort of investment to make sure he keeps earning. “So one member of the family might be well off in the sense of being well fed and cared for while another is poorly off and poorly fed. “You can imagine the effect then of family benefit capitalisation in this situation.” Mr McCreary also ques-

tioned the role of the Maori Affairs Department in the life of Maoris, saying that its decisions had a profound effect on the life of the Maori people. Had the Maori grown in strength or maturity as a result of the decisions of the department? asked Mr McCreary. “Frankly I do not know. Last week a team from Victoria University was investigating the housing of Pacific Islanders, who are also New Zealand citizens, in Auckland. No Assistance “They received no assistance for housing from their department. They do not receive the child benefit unless they have been in New Zealand two years, nor do they receive the age benefit unless they have resided for 20 years in New Zealand. “The structure of welfare available to other New Zealanders is not available to them. But we found that a surprisingly high proportion had bought their own houses, and three or four members of the family were working to pay the houses off. “They had a strong commitment in most cases to pay off the house as quickly as possible. The houses tended to be concentrated in the older parts of town. Independence

“These people are showing marked independence, but they are getting houses that are costly to maintain. They are acting independently, but are they better off materially?” he asked. The Maori Affairs Department had grown out of the old Native Department, whose prime responsibility had been land administration. Now 40 per cent of Maoris were living in urban areas.

“Has the department sufficient fluidity to adjust to changed circumstances? I think it has but it will change slowly. I am not gunning for the department, but institutions are generally slow to adjust to new circumstances.”