Compo. scheme in peril — M.P.

Press, 25 September 1980, Page 20

Compo. scheme in peril — M.P.

PA Wellington The accident compensation scheme is in grave peril under the present Government, according to the Labour member of Parliament for Papatoetoe (Mr E. E. Isbey). He has said in Parliament that the recently announced changes to the scheme were simply the “first gambit” of the Associate Finance Minister (Mr Quigley). Mr Isbey said that Mr Quigley, who chaired the Government caucus committee which recommended changes to the scheme, was a “leading apostle of private enterprise” and determined to lessen Government expenditure on social policy. Speaking during the Estimates debate, Mr Isbey also attacked the Government for failing to make public the caucus committee report on the compensation scheme. When announcing its revamping of the scheme recently, the Government indicated that it proposed to reduce payments and eligibility and to switch the emphasis from minor to serious injury — changes

expected to save between $2O million and $4O million.

Mr E. S. Holland (Nat., Fendalton) said the changes were designed to bring the scheme back to the principle contained in the Woodhouse Report upon which. it was established. The scheme had been in use for several years and it was time for a refinement of its work, he said. Mr Quigley said that a bill incorporating the changes would be put before Parliament and public opinion would be heard by a select committee.