The Waipa Post. PUBLISHED EVERY TUESDAY AND FRIDAY TUESDAY, JULY 23, 1912. NATIONAL PROVIDENT FUND.

Waipa Post, Volume III, Issue 130, 23 July 1912, Page 2

The Waipa Post. PUBLISHED EVERY TUESDAY AND FRIDAY TUESDAY, JULY 23, 1912. NATIONAL PROVIDENT FUND.

THE first annual report of the National Provident Board for the period ended 31st December of last year shows—when it is considered that the scheme had then been in force for only nine months, and that its humanitarian principles were not generally understood—that the Government’s efforts in this direction

have been most successful. Jt is shown that 564 contributors to the fund have been registered, the annual amount of the contributions reaching £3271 13s 4d. The report reads: —“To those

who are aware of the inherent slowness of people coming forward voluntarily to make provision of this kind for their future, a fact established in all countries, and which has led to the wrecking of previous schemes embracing deferred annuities both in New Zealand and elsewhere, it must be very gratifying

that so many joined the fund quite spontaneously. It augurs well for its future, and shows that the special features of this scheme have the power of attracting contributors. As was to be expected, however, the returns

from this mode began to show a falling off; and in order to meet the clear necessity for direct and personal methods, the Board in November despatched an official

lecturer to visit the various centres and personally explain the benefits of the fund to the workers. As a result of the lectures, combined, with an improved plan of enrolling contributors by postal officials, there was a cji> siderable increase in the application rate. Befoe the end of March over one thousand applications had been recorded, although the lecturer had so far been able to work only in Canterbury and Hawke’s Bay, and to a

lesser extent in Otago. By the time the whole country has been covered on these lines it is reasonable to expect that the membership of the fund will be well

established. The expenses of management for the first year come out at 55 per cent of the contribution income, and this compares favourably with the rate of initiatory expenses of insurance businesses in general, and much more than favourably with that of offices transacting business on weekly premiums, as is the case with the fund. It is,

of course, a unique feature of the scheme that the expenses are payable out of the Consolidated Fund and not out of the pockets of the contributors. This is one of the several characteristics which distinguish the fund from an ordinary insurance concern.

The fund was established to satisfy a social need not covered by the operations of friendly societies and other provident

organisations, and in this respect, though as yet only in its infancy,

there are indications that it is fulfilling its purpose.” The lecturer referred to in the report will

shortly visit Te Awamutu, and it is hoped that the opportunity offered by his visit will be fully availed of in order that full particulars of this commendable scheme may be explained to all.