UNIVERSAL PENSIONS

Te Awamutu Courier, Volume 53, Issue 3812, 23 September 1936, Page 5

UNIVERSAL PENSIONS

GOVERNMENT’S SUPERANNUATION SCHEME. PROBABLE INTRODUCTION NEXT YEAR. For the past year or more the Parliamentary Labour Party has been investigating the practicability of introducing a system of superannuation tor .everybody, and recently the Labour Government has developed the idea to what is believed to be a workable basis, though it is likely that some time; must elapse before any details of the scheme are definitely announced. It will, we understand, be along the lines of national health insurance and superannuation. The Prime Minister and the Minister of Health regard the project as of major importance, and are pursuing the inquiries with a view to making public the conclusions arrived at as soon as possible. A suggestion that the scheme would cost £14,0'00,000 —half to be provided by the contributors and half from the Consolidated Fund was denied by the Prime Minister. “We have not started to get down to details ait all yet,” said Mr Savage. “There have been preliminary investigations but the question is one of magnitude, and there are numerous factors which must receive careful consideration. However, as soon as Parliament rises the preparation of a comprehensive national scheme will become the major consideration of the Government. “I would be prepared personally to work on it night and day to ensure that we can have a satisfactory scheme in operation before the end of next year. In my view a national scheme of superannuation and health insurance would be perhaps the. finest contribution the Government could make to the country.” Mr Savage added that the Government would be only too willing to accept advice when it was preparing its plans. Actuaries, insurance companies, friendly societies, doctors and other organisations would be invited to make suggestions and the Government would endeavour to make the scheme as wide as possible. One of the difficulties that had to be examined was the future: existence of private, provident and superannuation schemes. They might continue in their present form or in some association with the Government’s proposals. MR SAVAGE’S ASSURANCE. The question of the Government superannuation funds would also have to be considered to decide whether or not they should be included in the national scheme. In view of these and many other factors any discussion of annual costs or contributory levies was obviously premature. “I can give an assurance here and now that the scheme will definitely be introduced next year,” Mr Savage said. “Legislation giving effect *to it will be the most important feature of the next session of Parliament. It might be possible to reduce to some extent the age qualification applied to pensions, but we want to have the benefits of the scheme available as a right of citizenship without any suggestion of a means test.” Mr Fraser said the statements regarding cost and levies we're quite incorrect. Those aspects of the problem had not yet been considered.. Much valuable work of preliminary nature had been carried out and before long arrangements would be completed for a full consideration of details.