PARLIAMENT

Wanganui Chronicle, Volume 77, Issue 156, 4 July 1934, Page 8

PARLIAMENT

BUSINESS RESUMED SUPERANNUATION QUESTION PROPOSED LEGISLATION ADDRESS-IN-REPLY DEBATE: ( Pai Press Association. 1 WELLINGTON’, July 3. When the House of Representatives met at 2.30 p.m., Mr J. O Brien (Lab., Westland) asked the Minister in Charge of Pensions if the privilege extended to returned soldier superannuitants would be retained under the legislation affecting superannuation which wa:» being brought down. Hon. G. W. Forbes replied that the present practice of the department was io retire persons on attaining 65 years of age or the completion of 40 years’ service, if the contributor was compelled to retire on account of ill-health, he received a pension calculated at the rate of one-sixtieth for every year of service of the average salary computed over three years before retirement. To a further question by Mr O'Brien, Mr Forbes said that the question of superannuation legislation was under consideration by the Government at tho present time. The New Plymouth Borough Land Exchange and Empowering Bill (Mr S. G. Smith) was read a first time. Mr A. Harris (Government, Waitemata) moved the suspension of the Standing Orders to allow the Auckland Metropolitan Milk A.ct Repeal Bill to be introduced and proceed as a public Bill and not a local Bill. Mr P. Fraser said he would like to hear what the Auckland members had to say on the Bill which was passed at the last session, and on which much evidence had been taken. Personally, he had no opinion on the matter. Tho Bill might be very unsatisfactory to the people of Auckland, but he did not think it should be treated in that fashion. Other members thought it too early in the session for the suspension of the Standing Orders without some satisfactory explanation from the member in charge of the Bill, and Mr Harris said he did not wish to rush the Bill through the House, and he had no objection to it. going before tho Local Bills or any other committee. He believed the matter was urgent, as 200,000 people in Auckland were suffering. He assured the House that members would have an opportunity to make any representations they wished. Tho motion was carried. On the motion to introduce the Bill, Air Harris said that if the Act passed by the House proved in its working to be inimical to the welfare of the district and the pc .pie whom it was designed to serve, it should be repealed. He thought there would be no difference of opinion, and that the sooner the Act was repealed the better for all parties concerned. He believed that no one would bo found in Auckland to-da;.’ outside tho interested parties who did not demand its repeal at the earliest possible moment. He contended that although there were three representatives of the City Council and two local body representatives, against two representatives of the producers and two milk vendors on the Milk Council, ths citizens had no control over the price, as the council representatives voted with the producers and vendors. He contended that when the Bill was passed, the House was assured that the price would not be raised, but he ventured to sav that the one ami only reason for its introduction last year was to make it possible to raise the price of milk against the consuming public Air W P. Endean (Government, Parnell) said the p.'.opio ?f Auckland had five representative? against four on the council, and therefore could control the price. Me contended that if the Act were properly administered, it would be for the benefit of Auckland. It was a ease where Parliament could not bo blam. I, but tho people who administered it. Air AV. E. Parry (Labour, Auckland Central) said the board was inefficient, and was not administering the. Act as it was intended that it should be administered. Other members criticised the administration of the Act, and after Air Harris had replied, the Bill was road a first time. Other Bills introduced and read a first time were the National Credits and Currency (Air Alason), Meat Export Control Amendment (Mr Polson), Bluff Harbour Board and Bluff Borough Council Empowering Amendment (Mr de la Pcrelie), Town Boards Amendment (Mr AV. E. Barnard), Ohai Railway Board Amendment (Hon. A. Hamilton), Eioetoral Amendment (Mr C. H. Clinkard) and Air Savage’s Electoral Bill, the name of which, was amended to read Electoral Amendment, (date of General Election) Bill. Hon. C. E. Macmillan stated that the Government intended to introduce a measure which would incorporate the provisions of Mr Poison’s Bill. Ad dress-in-Reply. When the House resumed al 7.30, Air. H. G. Dickie (Government, Patea) moved the Address-in-Reply. Referring to the impending departure of the Governor-General, he thought he could safely say that no former Governor had been more fitted to hold the office of the King’s representative than Lord Bledisloe. He was a man of high culture and learned in the law, and had been an example for all to follow. The visit of the Duke of Gloucester was also mentioned. Mr. Dickie said he would probably receive the same enthusiastic welcome as other members of the Royal Family. Air. Dickie thought they would all applaud Miss Jean Batten’s exploit. He was pleased to see that the Government had given some tangible recognition to her. He knew that would meet with the approval of everyone in the House After nearly four years’ severe depression, Air. Dickie thought he could say that at last there were some signs of their emergence from it. Last year when the Estimates were prepared, the country had been faced with a deficit of £2,000,000. but on Alarch 31 it was found that the deficit amounted to £700,000, or only one-third of the estimated amount. Certainly that was not as satisfactory as a balanced Budget, but it was considerably better than was expected. The trade balance was probably

better than ever in the history of the Dominion, but a large trade balance was not always to the benefit of the country. If the Dominion exported sufficient to pay for imports, plus the amount of her overseas debt services, then she would be doing her snare towards helping the world recovery. Taxation, direct and indirect had increased during the year by £15,000,000. The sales tax Had brought in £1,800,000, but income tax had decreased by £600,000. That decrease was largely accounted. for by the 20 per cent reduction in interest, rents and wages. The balance of exports over imports was £20.000,000 in New Zealand currency. One factor accounting for this was that in some cases three and four wool clips stored in New Zealand had been realised during the past season. Another factor was the atgii exchange, which curtailed importing business as it increased prices. The Dominion’s trade balance with Australia was much the same as in former years. He said there had been cases of money raised in Britain for undertakings, the steel lor which had been purchased in Australia. The usual way of transferring money from Britain to New Zealand was in goods, but the present surplus in London was to be dealt with through the Reserve Bank, which was to take up Treasury bills or notes. One effect of this would be to provide cheap money Alany British exporters had al lowed money to remain in New Zealand on fixed deposit, as the rates here were higher than in England. That also would contribute to the cheapening of money. Referring to the dairy industry, Air. Dickie said that with the quota on butter, the consumption of margarine would go up. He wondered if the margarine interests in Britain had not some influence with the Government, for he had been informed that the whole of the Unilever group favoured a quota on butter. This concern centre.led the whole of the margarine trade of Britain. When that combine was formed it was a bad day for the New Zealand dairy industry. The outlook for the New Zealand exporter was very bud. Motion Seconded The motion was seconded by Mr P. A. de la Eerreire (Government, Awarua) who said that at no time in the last three years had the economic position looked more hopeful than the present. The Opposition refused to give the Government •credit for that improvement, but. it could take it, because those who were not politically biased must agree that if the Government had not adopted a sound restoration policy, the position would have been worse. From his own experience in Australia recently, he would say that although Australia had been hit by the depression two years before New Zealand, New Zealand would be the first to recover. There were several contributing factors to the improved outlook, continued Mr. de. la Perrelle. The trade recovery in the United Kingdom, helped by strict economv in expenditure in the Dominion, had been an important factor, while the recovery in wool and meat prices had benefited everyone. The Government had been forced to rake a number of unpopular measures to ensure the soundness of the counrry’s position. Y>ut these had been undertaken without regard to political favour. Unfortunately, the dairy farmers had not. shared in the upward tendency, and their position presented a serious problem that would have to be solved. Action would have, to be taken as soon as the Dairy Commission’s report was received. It could not be said that the Government had not made, mistakes, because no Government was infallible, but thev could claim to have steered a prudent course. During the recess, Air de la Perrelle continued, Air Savage had toured Now Zealand advocating a policv of high prices, high wages, high salaries, and a. boom all round, which was all very excellent and desirable, but where was the monev to come from. Mr Savage appeared to rely on the power of the printing press to provide, a panacea. Raising of Exchange Rate. The raising of the. exchange rate had helped the community generally, as well as the man on the land, said Air. de la Perrelle, through the circulation of money received by the farmers. . He quoted figures to show that the raising of the exchange had given the producers an extra £5,700,000. Air. de la Perrelle supported land settlement, but condemned the small farm scheme. He said the Minister of Lands I was to be congratulated on the. work I accomplished. Land settlement had a dual benefit. It brought idle lands into production and gave unemployed men worth while work. The small farm scheme, which allowed a settler ten acres, was no good. At least 100 acres was required for a farm. During the last three years 2254 settlers had been placed on "the land. Of that number 1620 represented an increase in the number of individual producers. The development of unimproved or partially improved land made available 1058 sections with an aggregate area of 120,500 acres. In all £1,107,896 had been spent on land settlement in three years. Thus it would be seen that a progressive and sound policy bad been adopted. The importance of established secondary industries should not be overlooked, as both primary and secondary industries were essential to the welfare c-f New Zealand. About a. third of the population was dependent on manufacturing pursuits for a livelihood. The country must look to industry to absorb 11,000 beys who were leaving school each year. These boys could find employment, only through the expansion of industries or farming pursuits. The people c«f New Zealand could assist by buying local goods. Air. de la Perrelle hoped that the improved financial position would be followed by a reduction in taxation m the present year. He was in favour of an early reduction in unemployment taxation, because everyone would receive the benefit. The House adjourned at 8.50 p.m