SOCIAL SECURITY

Greymouth Evening Star, 12 August 1935, Page 5

SOCIAL SECURITY

U.S.A.’s BIG SCHEME.

[BY CABLE —PRESS ASSN. —COPYRIGHT.]

WASHINGTON, August. 9.

The Congress has granted the Roosevelt Administration the authority to embark on the most extensive social experiment- in the history of the United States that is intended to safeguard millions in their old age and times of stress. The Social Security Bill received its final Congressional approval in the Senate without a recorded vote, thus ending seven months of turbulent debate and backstage negotiations. This Bill imposes the greatest tax burden that has ever been approved by Congress. It provides both old age and unemployed benefits for an estimated total of 25,000,000 workers, and it also appropriates millions of dollars for the aiding of handicapped mothers and children.

Many members of Congress have forecast that part, or all, of the Bill would be invalidated by the Supreme Court. The section that is most frequently challenged, on constitutional grounds, is one which authorises the creation of a nation-wide old age pension fund, by the levying of a three per cent, tax on the employers and employees or against the salaries of workers up to 3000 dollars per year. This fund, it is estimated, will by the year 1980 reach a total of fifty thousand million dollars, It is expected to provide pensions for retired workers of 65 years of age and over, up to a sum of S 5 dollars a month.

Supplementing this relief, the Federal Government would offer grants of 15 dollars each month, this to be matched by the States, for all of the needy aged who are not taken care of under the contributory system. Similar grants will be also made for the blind, regardless of their age. The Government is also making a levy of three per cent, of the payroll tax against the employers of eight or more persons, out of which deductions can be made —up to 90 per cent, for payments to State unemployment insurance schemes. These two payroll taxes are estimated to yeld three thousand million dollars annually by the year 1950.

SPREADING THE NET.

WASHINGTON. August 10

The Senate Committee completed the revision pf Mr. Roosevelt’s tax programme, bordering the bas of the House measure, so as to Include increased levies on the citizens with small - means. Under the proposed schedule, a relief worker who is earning 94 dollars monthly will be liable for a tax of 13 dollars. The measure is now so vastly different from that, recommended by Mr. Roosevelt that it is generally predicted that it will never become law.

LONG’S LATEST CHARGE.

WASHINGTON, August 9

Senator Huey Long read into the Senate records to-day what purported to be a transcript of a dictaphone recording of a meeting of his political enemies, in which one allegedly proposed he (Long) should be “shot down” on the Senate floor, "because," he said. "I do not have the slightest doubt that President Roosevelt would pardon anyone doing so." Senator Long said he was not able to identify the voices, but was certain that Congressman Sandlin, of Louisana. Democrat, was among those present. Senator Sandlin commented that Senator Long was merely ranting. RELIEF WORKERS STRIKE. NEW YORK. August 10. Long-smouldering dissatisfaction with with the Government's administration of relief manifested itself to-day, when the Central Labour Council ordered 15.000 union men employed on Federal relief enterprises to strike us a protest against the wage scale. While this strike, which was sanctioned by the American Federation of

Labour, is at present confined to New York, there are indications I hat the movement is likely to spread to relief workers in key cities throughout the country.