SOCIAL SERVICE SCHEME

New Zealand Herald, Volume LXXV, Issue 23012, 13 April 1938, Page 19

SOCIAL SERVICE SCHEME

Sir, —If space permits 1 wish to outline a few points in relation to the above scheme. Firstly, 1 am 20 years of age and earn 90s per week, out of this I would pay 4s 6d per week tax for the next 40 years and when 60 1 would have paid £468. Had I been compelled to have taken out an insurance) policy, paying in the same amount per week for the 40 years, I would have at the age of 60 approximately £'lßoo. Further, had 1 contributed my 4s 6d per we<?k to a savings account at the age of 60. as near as I can work it out. 1 would have had £81.3. the interest rate freing 2:J per cent. 1 believe the average of life in New Zealand is 48 years. If this is correct then over half of the contributors will never see h penny in return for their hardearned hundreds taken off them. To penalise the thrifty is, as far as my mentality leads me, not British. The average person does make provision for old age, and for those less fortunate, by all means increase the pension and pay it out of general taxation. Regarding hospital and medical benefits, a voluntary scheme may be welcomed, but 1 think most people prefer their own choice of these necessities. Some excuse is offered that we are paying 8d tax now. This when put on was an emergency unemployment tax and the Labour Government vowe<J to do away with unemployment (and the tax) so why the tax at all? Although not supporting the Government who put the Is tax on 1 give them full credit in taking 4d off it in a short time when our exports were very many millions below to-day's buoyant figures. This scheme is one way for the Government to collect money to finance its policy of spend, spend, spend. H. T. Pkttit.

Sir, —Having readied my 7-lth year, and being a recipient of the old nge pension for the last six years, I am very interested in the debates regarding this : matter. 1 admire Mr. Savage and his i ideals very much, but I feel he has set. himself a difficult task to bring his ideals down to a working basis in so short a time. 1 can quite understand the young people and those who are not benefiting feeling as though they were being imposed on, and so 1 want to suggest that we pensioners ourselves shouid pay our shilling in the pound, the same as tlio others for a few years, until the system can be fairly established oil a ' sound working basis. Jloughly speaking, if each of tho 59,000 old age pensioners alone gave ono shilling per week, there would annually be the amount of £153,400 to the good. We should then feel that we ! were doing our bit to help. There will always be grumblers, but any old age J pensioners 1 have met are happy and contented with the £1 2s 6d per week I | L have been in New Zealand 59 years. and have had to work hard for my | daily bread up till six years ago, and, believe, rue, .1 feel better off now than I have ever done before, and 1 am very grateful, because there is something sure, and no worry. When the superannuation benefit becomes a reality, it seems only fair that everyone over a certain age who lias been in New Zealand for 20 years should benefit, whatever their income. Tlui more they have, the more they can spend, is one of Mr. Savage's sayings. In tho meantime a general superannuation fund could bo accumulating, so that in time the whole community would benefit. Instead of pensioning off ablebodied men of 60, surely the Government could start some secoudary industries or something to absorb the 25),000 men. i feel sure they would rather work for the Government for five years, and pay their shilling in the pound, than be put on the shelf; and then they would feel that they were entitled to the superannuation, or pension, or whatever they liked to call it. Sfijssteb Pensionm.