N.Z. troops upset by cut in allowances

Press, Volume CXI, Issue 32783, 7 December 1971, Page 18

N.Z. troops upset by cut in allowances

By

DAVID BARBER.

N.Z.P.A. Staff Correspondent)

SAIGON, December 6. As the last New Zealand combat forces prepare to leave Vietnam, the Government has cut the location allowances of the few men remaining about 50 per cent.

The reductions have been ordered after the recent 45 per cent devaluation of the Vietnamese piastre. The cuts took effect from last Thursday. The day before the news reached V-force headquarters in Saigon. Details of the cuts have not been made public, because the Defence Department in Wellington has placed a security classification on the announcement. But soldiers in Saigon said that the re-

ductions ranged from $130.80 to $191.70 a month. Only 15 men —the V-Force headquarters staff in Saigon —are affected at present. This number will be reduced to nine in January, and to six by March. SOME MISSED At this stage, the cuts do not affect another 47 New Zealand servicemen who will remain in Vietnam after the present withdrawal programme is competed this month. They include the 25nan army training team based I at Chi Lang in the Mekong Delta, and a 17-man rear 1 party which will stay at Vung

Tau until all equipment and supplies have been withdrawn. Adjustments to their location allowances have been deferred pending a personal investigation of pay and conditions by the director of personnel services at defence headquarters (Mr A. Topp) who is due in Saigon on Thursday. The cuts have brought an angry reaction from V-Force headquarters staff, who say the piastre devaluation—from 275 to the United States dollar to 410—has littel bearing on their living costs. “LEAVE AFFECTED” They are paid in American military payment certificates, a scrip equal in value to the United States dollar. The men say that most of their spending is in scrip, piastre payments being limited to servants’ wages, entertainment, taxis, and occasional meals outside service establishments. Several of the troops today described the cuts as savage, and one man who is being withdrawn this month said: "If I were staying, I couldn’t afford to live.” Others said one main effect would be that they could no longer afford to take “rest and recreation” leaves outside Vietnam. After discussing the announcement among themselves, the troopd estimated that the cuts would save the Government only about $2600 this month. Because the residual force after the preChristmas withdrawal will be reduced, the saving would amount to about $llOO between then and March. PREVIOUS CUT

The Government ordered a similar cut in allowances of troops in Vietnam last May after the piastre had been devalued 43 per cent. The Minister of Defence (Mr Thomson) was visiting Vietnam at the time, and after protests from the troops the Cabinet reversed the decision.

The Chief of General Staff (Major-General L. A. Pearce) is now in Saigon, and V-foree officers have lodged , strong protests against the ’ new cuts. General Pearce said today: “I have asked for a full investigation to ensure that 'any adjustments to pay and allowances are fair and ; reasonable.” NOT OTHERS i Australian and American i servicemen said that their , allowances had not been ' affected by the piastre - devaluation; they did hot expect any reductions. i New Zealand Embassy ■ staff in Saigon, whose allow- ’ ances were reduced after the i last devaluation, are expecti ing more cuts, but no direcI five has been received yet.