HAZARDS OF MODERN LIFE

Hawera Star, Volume LIV, 18 January 1935, Page 7

HAZARDS OF MODERN LIFE

American Plan to Insure Against Poverty in Old Age

FIVE=POINT PROGRAMME

CONGRESS APPROVAL (United Pres* Association— By Electric TelegrapD Copyright). Received 11 a.m. to-day. WASHINGTON, Jan. 17. A five-point programme lias been designed for protection against what is termed the hazards of modern existence. President Roosevelt, in a special message to Congress, is asking for approval of old age pensions, a volunteer federal annuity, systems of compulsory unemployment insurance, compulsory insurance against poverty-stricken old age and large federal grants to the States to aid needy and ill mothers and the extension of the public health service.

The bill was introduced and'carried

An appropriation of 100,000.000 dollars is required to finance the programme for the fiscal year starting on June 1 next and authority is given for the spending of more than 200,000,000 dollars yearly thereafter. An American variant of the Douglas called the Townsend plan after its sponsor, Dr. Francis Townsend, a Californian physician, was introduced as a Bill into the House of Representatives. It calls for the payment of a pension to every American citizen over 60 years of age. A condition is that they must discontinue all gainful pursuits and spend the money within the United States’ jurisdiction not later than a month after receiving it. An initial Treasury grant of 2,000,000,000 dollars will be enough to pay the first month’s benefits and a two per cent, sales tax to keep it going is provided in the measure.