SOCIAL SECURITY

Poverty Bay Herald, Volume LXV, Issue 19667, 27 June 1938, Page 5

SOCIAL SECURITY

BILL THIS SESSION

EXTENSIONS PLANNED INCOME ALLOWABLE £312 I/- IN £ CONTRIBUTION OUTLINE BY MR, SAVAGE (Per Press Association.) WELLINGTON, this day. “There will be no delay in bringing before Parliament this session a bill giving effect to the Government's social security proposals,” said the Prime Minister, the Rt. Hon. M. J. Savage, in an interview on Saturday. The extensions of the original scheme, which had become desirable in the light of evidence brought before the special Parliamentary committee, were being finally shaped, die Prime Minister added,- and excellent progress was being made with the drafting of the actual legislation.

“I do not think it wise to discuss the details too much until the bill itself appears,” Mr. Savage said, “but I can definitely say that we are taking steps to improve the position as far as civil .servants and contributors to private superannuation schemes are concerned. As a result, the scope of the Government’s proposals will be even wider than when they were originally announced.

The first proposal was to pay to a man and his wife at the age of CO years 30s a week each, and to make no deductions on account of a joint additional income of £1 a week. This would have allowed a total income for a superannuated married couple of £2OB a year. Higher Allowable Increase “The necessity for widening the scope has arisen because of the fact that, under the original scheme, lower paid contributors to existing superannuation schemes would have been required to pay the social security contribution, but, owing to the income limitations, would not have received the full benefits,” said Mr. Savage. “Accordingly, we have decided to increase an allowable income on a sliding scale so that, in cases such as I have mentioned, there will be an annual income, including State superannuation, of £312.”

Mr. Savage said the full details of the rates of payment to superannuitants would be included in the bill to come before Parliament, and he, himself, was satisfied that the new proposals were an appreciable step nearer to the ultimate goal of universal superannuation. Flat Rate Contributions

There would be a graduation of the benefits above £2OB in certain cases, but the contributions would not be graduated. They would be made at a flat rate of Is in the £l.

“Attention is also being given to the health side of the proposals,” Mr. Savage added, “and the scheme is being shaped for the payment of sickness benefits in the event of short illnesses.

“I am more confident than ever that the whole scheme will represent a greater measure of social security for the people than New Zealand has previously known.”

The Prime Minister stated that, in all probability, a fair amount of authority would be given to commissioners 'or the departmental heads appointed under the legislation to deal with certain individual cases on their merits.