PRIVATE FUND PENSIONS

Greymouth Evening Star, 29 April 1938, Page 7

PRIVATE FUND PENSIONS

STATE SCHEME’S EFFECT APPEAL FOR EXEMPTION [per press association.] WELLINGTON, April 28. Giving evidence to-day before the Select Committee on National Health and Superannuation, Sir William Hunt, chairman of administrators of Wright, Stephenson and Company’s pensions and benevolent funds, said that the administrators thought it would be a definite hardship if the contributors were compelled to pay to the national scheme and then have the benefits from it largely cancelled out because or the benefits they obtained from their company’s scheme. An equitable basis for adjustment would be to exempt contributors to the company’s fund from the payment to the national scheme pf 1/- in the £ on their salaries and from participation in any rights to national pensions.

As taxpayers, they would be subscribing to the national scheme through contributions made to it from the Consolidated Fund. They would also be paying 1/- in the £ to the national fund on. their income other than from ,salary or wages.. >; That should be sufficient to entitle them to all benefits other than pensions. The Minister for Finance (Hon. W. Nash) said that if the administrators of the fund were asking for a proportionate exemption, that would seem to be legitimate, but. they were asking for exemption from other things. The increased pensions payment proposed would involve less than threepence from the 1/- in the £1 tax. Sir William: You could get an actuary to decide what the amount should be. Mr. Nash: It seems hopeless for a man of your standing to ask for exemption of the 1/- because they are losing little more than twopence. Sir William: They are losing a great deal more than twopence.

The chairman (Rev. A. H. Nordmeyer): Are you of the opinion that the business world generally would welcome a scheme similar to yours?— I think they should. Would you be behind the Government if the Government instituted such a scheme? —If it were a scheme on the lines of my company’s. NATIONAL PROVIDENT FUND. An exhaustive survey of the National Providend Fund was given in a statement submitted by Mr. R. Sinel, superintendent of the fund. The statement dealt with all the activities of the fund, and showed that at December 31, active members under the main fund and superannuation sections totalled 28,950. A long statement was submitted to the committee by Mr. C. S. Falconer, secretary of the St. John Ambulance Association, outlining the work and aims of the association throughout the Dominion, and including a covering letter in which the Commander in New Zealand of the Order offered to the Government its full co-operation in ambulance transport and district nursing services, also in any other, way the services of the 'St. John organisation might be utilised. DOUGLAS SOCIAL CREDIT Payments to all persons over 60, regardless of private resources, and freedom from taxation in money to provide the necessary benefits, were suggested by Mr. D. C. Davie, when giving evidence on behalf of the Doiiglas Social Credit Movement.

Mr. Davie contended that the Government’s superannuation proposals did not go far enough, either in the amount receivable or in scope. It was very important to “de-class” any benefits New Zealanders might receive as a result of State action, and the discrimination in payments, as proposed by the Government, was contrary to the wishes of a majority of electors.

“Associations of people in industry must result in any group creating an excess of production over consumption,” Mr. Davie continued. “It is perfectly sound procedure to monetise this excess of production on a purely arbitrary basis, and pay superannuation from the fund to be established as a result of this procedure.” In conclusion, Mr. Davie said: “I would like to impress on this committee, and on the Government, that, rightly or wrongly, there is a deeprooted conviction throughout New Zealand that taxation is already far too high, and that financial orthodoxy is largely, if not wholly, responsible for the incidence.” NURSING SERVICES . A review of the development of the New Zealand Registered Nurses’ Association, and an outline of its activities, was given by Misses C. McKenny (president), J. Bicknell (past president), and C. Clark (secretary), this afternoon. The witnesses drew attention to the domiciliary nursing service provided, and said the association would be prepared to extend this service to meet the requirements of the nursing service being considered in conjunction with the national hehlth insurance scheme.

The association requested that patients should be allowed the choice of a public or private hospital, a condition being that the fee paid to the owner of a private hospital should not exceed the public hospital charge. It was also requested that nurses should be engaged through the association’s bureaux, or bureaux not run for profit, and that a register be kept of fully qualified nurses. The witnesses set out the scale of fees covering a nurse’s services.

BANK OFFICERS CONCERNED WELLINGTON, April 29. Evidence on behalf of the New Zealand Bank Officials’ Industrial Union of Workers, the New Bank Officers’ Guild, and the trading banks, was presented, before the Parliamentary Committee Superannuation National Health. Mr. H. P. Maurant appeared for the Bank Officers’ Guild. Mr. H. E. Evans, counsel for the Associated Bank, presented a statement on behalf of the banks and officers, contributing to superannuation funds. Mr. Maurant said he wished to make submissions on behalf of the New land Bank Officials’ Industrial Union of Workers, and the New Zealand* Bank Officers’ Guild, the two bodies which represented practically the

whole of the staff of grading banks in ■ the Dominion® numbering some 3100 officers. The proposals of the Government were of considerable'concern to .'bank employe.es, because all six banking institutions had superannuation ■ schemes. Representations had been made to the banks by the employees, and to avoid duplication of evidence, the Banks would place a statement before the committee on the provident and superannuation schemes which had been established in the interests of the employees. “Wo wish to assure the committee that bank officers are favourable to general principle of the State providing superannuation and health insurance for those who are in need. It is considered however, that as far as superannuation is concerned, bank officers are adequately provided for and they are therefore adverse to becoming contributors to a scheme which, in their case, is not needed, and from which they will derive no benefit.” A statement presented by Mr. Evans, behalf of the six trading banks, set out in detail particulars of their individual provident and superannuation schemes. It was pointed out that in the case of each of the banks in New

Zealand, membership of the Provident and fidelity guarantee funds was compulsory upon the whole male staff. A statement was also presented on behalf of a number of the staff of the Shell Company of New Zealand, Ltd., who were contributors to the Company’s provident fund, appealing for exemption from a portion of the proposed contribution under the State scheme statement. They also requested that should the appeal for exemption be declined, that a means test should not be applied to the income they derived from their provident and pension funds and insurances effected through the company’s fund. MR. SAVAGE’S COMMENT.

At the conclusion of his statement, Mr. Evans was asked a number of questions.

Mr. Savage: I suppose the bank officers will not admit that they have a responsibility to their parents, who might get benefits under the Government scheme? I don’t suggest that the method of taxation proposed is the last word. It is a matter of hammering out the best method. We claim the right to impose taxation in any form on all sections of the community, for a common purpose. We want to make it as equitable as we can. I don’t suggest for a moment that one shilling in the pound is the most equitable form of taxation, but it is the one that is handiest for the time being. You don’t suggest that public servants and everybody else who has a scheme should be exempt? If that were so the Government would be unable to help anybody. Do you think it would be right to accept that postion?

Mr. Evans: So far as the other services are concerned, we think that taxation is the proper basis for it. If it is a question of taxation, then it would have to be considered what amount of taxation there should be. Mr. Savage said he did not think there was any private institution on earth that could provide the benefits that were provided for by the Government. He claimed that bank officers would get at least two-thirds of the benefits provided for in the Government’s scheme. Mr. Evans: That is a matter for analysis. Mr. Nash: That is the only claim that the bank officials make—that they should be exempt so far as superannuation is concerned? Mr. Evans: Speaking generally, that is so.

In reply to a question by one of the witnesses, Mr. Nash said that, under the proposals put forward by Mr. Savage, there was no means test for health benefits. There was no suggestion of a limit. The committee was discussing the matter with doctors. When the British Medical Association was before the committee, witnesses had been asked if they would co-op-erate, if a limit of £3OO, -with £5O for each dependent, were imposed. That was the only suggestion of a limit that had been made. (Proceeding.) HOMELAND DOCTORS’ PROPOSALS (Recd. April 29, 1.30 p.m.) LONDON, April 28The British Medical Association’s plan for a national co-ordinated health policy suggests the extension of the medical service under the National Health Insurance to an additional 18 to 20 millions, by the inclusion of every member of every family, with an income under £250 yearly; also the extension of the present system to include every type of specialist, full dental and opthalmic services, the establishment of a complete maternity service system, and also to supply recipients of public assistance.