H—9

REPORT

SECTION I—ACTIVITIES OF DEPARTMENT The principal legislation administered by the Department consists of Tart II of the Social Security Act, 1938, and amendments, under which social security cash benefits are paid, &nd the War Pensions Act, 1943, and amendments, under which war pensions and allowances, medical treatment for ex-servicemen, and other related matters are administered. Reports on Part 111 and Part IV of the Social Security Act, dealing with health benefits and contributions, are submitted by the Health Department and the Land and Income Tax Department respectively. SECTION lI—SOCIAL SECURITY CASH BENEFITS NEW LEGISLATION SOCIAL SECURITY AMENDMENT ACT, 1949 This amendment, which came into force from Ist June, 1949 (1) Increased the rates of benefits by ss. a week from Ist June, 1949. {2) Postponed the reassessment of widows' benefits on the same basis as age-benefits for widows without children from the sixtieth birthday to the first renewal date thereafter. ■(3) Authorized payment of benefit where a wife or widow was in receipt of a war pension in respect of her own disablement. (4) Extended the period for which instalments of benefit are available at paying offices. (5) Gave the Social Security Commission statutory authority to recover benefit where ex gratia payments are made in lieu of compensation or damages. {6) G-ave authority for age, widows', invalids', and miners' benefits to be paid to the end of the month, and sickness and unemployment benefits to the end of the week in which a beneficiary dies. (7) Extended war servicemen's dependants' allowances to include, under certain circumstances, beneficiaries who were parents of members of His Majesties Forces other than the New Zealand Forces or Mercantile Marine of the British Commonwealth other than New Zealand. INCREASED INCOME EXEMPTIONS The allowable other income for age, widows', invalids', sickness, unemployment, and related emergency benefits was increased to £7B a year from Ist January, 1950. Legislation to validate this increase will be introduced this session. QUARTERLY BENEFITS SUPERANNUATION BENEFITS Superannuation benefits, payable at the age of sixty-five years, came into operation from Ist April, 1940, at the rate of £lO a year. This rate is increased by £2 10s. each year, and for the year ended 31st March, 1950, was £32 10s. a year. The maximum rate of £l3O a year will J)e reached in 1988.

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