PENSIONS CUT

Evening Star, Issue 21092, 3 May 1932, Page 10

PENSIONS CUT

MINISTER AND DEPARTMENT AT VARIANCE i DOES ACT EXCEED INTENTION ? [From Ouk Parliamentary Reporter.] WELLINGTON, May 3. Notwithstanding the fact that the Government intends to see that the 10 per cent, reduction applies to the amount actually received by pensioners, and not the maximum amount of the pension payable, at the moment there appears to bo conflict between the Ministers and the department on the subject. . . Ministers, including the Prime Minister, interviewed yesterday, stated definitely that the cut should apply to the amount received, and not to the maximum amount payable. This view is not supported by the Commissioner of Pensions (Mr J. H. Boyes), who informed the ‘ Star’s ’ representative this afternoon that the reduction applied to the maximum amount of pension payable. In reply to a question, Mr Boyes admitted that it would be possible under such an application of the cut for a pensioner to receive nothing, although he pointed out that in such a case the applicant would have means. It was suggested to Mr Boyes that a pensioner who received an allowance of 7s 6d a month would actually be indebted to the department to the extent of Id. Admitting that that was so, he facetiously added that the department would waive its claim. “ I cannot understand it,” said Mr Forbes, when informed of the interpretation that tho commissioner had placed on tho legislation. “It was intended that tho reduction should apply in the same way as tho wages cut—on the amount received by the pensioner.. It was never intended that Is 7d a. w T eek should bo taken from 7s 6d pensions. It is a 10 per cent reduction on the amount received. I will make inquiries of the head of the department, and if that anomaly does exist, we will take steps by legislation to remove it.”