SUPERANNUATION FUNDS.

New Zealand Herald, Volume LXVI, Issue 20331, 12 August 1929, Page 10

SUPERANNUATION FUNDS.

COMMISSION TO INQUIRE. PRIME MINISTER'S ASSURANCE. A commission .to inquire into the working and stability, present and future, of all State superannuation schemes will be set up during tho Parliamentary recess, according to an assurance given by tho Primo Minister, Sir Joseph Ward, to a deputation from the Superannuated Public Servants' Association; The deputation included delegates from Wellington, Auckland and Christchurch. The Prime Minister said the present financial position was serious, reminding him very much of the total collapse of a State superannuation schemt in Australia nearly 20 years ago. He considered the New Zealand superannuation funds had been used in a way that was never intended. Sir Joseph declined tho request of the deputation to,grant a pension to tho widows of superannuated railway servants in the same manner as for other departments. He said there was orio way only to bring this about, and that was to raiso the rate of contribution from the employees. The "cost of living" bonus was the next matter put before the Primo Minister. This bonus has been specially voted by Parliament every six months, since and during the war period. It was first granted to widows getting £lB, and to those annuitants whoso pension was less than £IOO a year. The amount was £4O, but was later reduced to £26. By the Public Service Superannuation Act, 1927, widows' pensions were increased to £3l, and the allowance for each child was raised to ten shillings a week. What the deputation now asked was that the temporary grant of £26 for the very poorly paid annuitants should lie incorporated in any amendment of the Superannuation Act, making a permanent increase of £26 to those now getting less than £IOO a year. Sir Joseph Ward, in reply, expressed deep sympathy with tho lot of those who found it impossible to live on tho original pension. At the same time ho could hold out very little hopo of making tho £26 grant permanent. Tho deputation asked whether he would recommend the extra payment for tho ensuing six months. Sir Joseph replied that lie wished to examine tho question further. He hoped, however, that those pensioners affected would find themselves no worse off than last year.