AUSTRALIAN FINANCE

Manawatu Standard, Volume LI, Issue 182, 4 July 1931, Page 7

AUSTRALIAN FINANCE

DEBT CONVERSION BILL PASSES. DRASTIC ECONOMIES. TWENTY PER CENT. WAGE CUT. (United Press Association —By Electric Telegraph.—Copyright.) CANBERRA, July 3. The Debt Conversion Bill has passed all stages in the House. Bondholders who do not desire to convert at the specified lower rate of interest must, within 21 days, give notice to that effect.

The Prime Minister, Sir J. H. Scullin, announced that the Government had agreed to a suggestion by the Limbless Soldiers’ Association whereby no cuts will be made in the pension* of disabled soldiers, war widows, orphan children, and dependants of dead soldiers; but, instead, that the cuts be made more drastic than was previously intended in the pensions of other parents, children, wives, brothers, sisters and those not wholly dependent on war pensions.

Thus, what is lost on the one hand will be made up on the other. In moving the second reading of the Financial Emergency Bill, the Treasurer, Mr E. G. Theodore, said that all bounties will be reduced by 20 per cent., and the gold bounty by 50 per cent. Ministerial salaries will be reduced by 22-) per cent., but those salaries which are below £IOOO will be reduced by 20 per cent.

The average reduction in the salaries and wages of the Commonwealth Government employees will be 20 per cent., but none will be reduced below the basic wage. There will also be slight reductions in the old age and other pensions, and the maternity bonus. It is expected to save nearly £6,000,000. The debate was adjourned. Condemning the soldier and old age pension cuts during a committee discussion of the Debt Conversion Bill in the House of Representatives, members of the Lang group invited the Opposition to vote with them to turn the Government out of office.