A PUZZLE.

Waikato Times, Volume 111, Issue 18625, 3 May 1932, Page 9

A PUZZLE.

(To the Editor.) Sir, —A shilling in the pound is a large sum to have deducted from a man’s wages, and naturally he is anxious to know how the amount is being used and to what purpose. My education may not be of the best. Although the old proverb, “Figures do not lie,” is still used, I am beginning to believe that figures may not lie but are at times hard to understand. For instance, the first tax of 3d per pound was subsidised by the Government pound for pound, which made it equal to sixpence. The present tax is of one shilling in the pound, or a 100 per cent. rise. Naturally we believed the unemployed would benefit accordingly, or nearly so; but I fail to see a rise anywhere near the mark, as I will point out. The Government says the expenditure on unemployed from May 1 will be approximately £3,500,000. To arrive at these figures I have taken a wild shot, which as good as hits the mark, and if it works so near the figure in one Instance it must be close in the other. The unemployed have been classed into five groups, earning per month per group of five men from May 1 £3, £5, £6, £7 and £B—total, £29 a month, or £348 per year. For 50,000 workers o nthis basis the outlay is £3,480,000 per year. Taking the old rate of pay, we find the same five groups earning £1 10s, £5 12s 6d, £5 12s Gd, £5 12s Gd, £7 10s—total, £25 17s Gd per month, or £3lO 10s per year, and for 50,000 workers £3,100,000. Taking these figures as an indication, the increase is not even 25 per cent.., although the revenue from tax (allowing for £400,000 unemployment levy, which does not occur in the second sixpence) has risen at least 75 per cent.. The question arises, are the unemployed receiving the full benefit of the tax the working man has had deducted from his wages? —I am, etc., PROGRESS. Hamilton, May 2, 1932.