FRIENDLY SOCIETIES

New Zealand Times, Volume XLIV, Issue 10291, 28 May 1919, Page 7

FRIENDLY SOCIETIES

STRAIN ON FUNDS FURTHER GOVERNMENT HELP PROMISED. Asked by a “Times” representative yesterday if Cabinet bad dealt with the jnatters recently brought before Sir James Allen and other Ministers of the Grown by the .deputation from friendly societies, the Hon. J. A. Hanan, Min-ister-in-Oharge of Friendly Societies, said that the representations had been considered. INCREASED MATERNITY ALLOWANCE. In connection with the request made by the deputation relating to the maternity allowance, he was _ pleased to say that the recommendation made by his colleague, the Hon. A. M. Myers. Mtnister-in-Chaxgo of the National Provident Pond, had been approved, with the result that the necessary legislation would bo prepared to raise the allowance to members of friendly societies from £4 to £6 and to increase the wages limitation for this allowance for all persons in the fund and in friendly societies to £250. These concessions would be greatly appreciated as they would have the effect of enabling the allowance ,to he paid to a larger section of the people, and would remove the disabilities that had been created during the last few years in regard to the qualification for this allowance. WAR MORTALITY FUND. Mr Hanan said that throughout the war he had given the, question of friendly society finance anxious consideration. The decision to protect the funds against the war mortality of friendly societies' members, which resulted in the establishment by his department in 1916 of a special fund for the purpose, had been successfully carried out/ Without this help a loss of about £70,000 would have fallen upon th© friendly societies’ benefit funds; but this deficiency had now been reduced to' a minimum by means of the cooperative action adopted in this schema. SOLDIER MEMBERS’ CONTRIBUTIONS.

The Government tad further recognised that friendly societies were de-. serving of consideration on account of their soldier members, whose contributions, being unpaid while they were serving with the forces, entailed an estimated loss of £29,000. A scheme had, therefore, been provided to reestablish the pre-war position in the benefit funds of the societies on this account. In connection with these two subsidies, the Minister said he was glad to be , able to announce that Cabinet had agreed that. a sum of £4OOO (being a Government over-credit to societies in respect of these two accounts) should be devoted towards fur l ther reducing any losses the societies will incur in connection with the war mortality fund. ' . .

‘ ‘ AFTEE-WSOH AUGE’ ’ SICKNESS. .Referring to what he considered the most difficult problem to deal with, namely, “after-discharge” sickness of soldier, members .of., friendly- societies, Mr Hanan said that it was very desirable to initiate a system that would enable this matter 'to bo handled on sound lines. In some quarters it was expected that this sickness would constitute a serious drain on the friendly societies’ benefit funds, which were built up on contributions and conditions quite foreign to the recent war experience. The Government had considered and agreed to the scheme submitted by him under': which friendly societies shall separate all the sickness of discharged soldiers from that of their other members, and establish separate funds for the purpose of assessing and valuing the future experience of these members separately, the Government will subsidise the excess sickness disclosed in these funds to the extent of one-half. The Minister said he hoped and believed friendly societies would co-operate with his department' in the - establishment of these separate sickness funds, in order that tbte difficult problem may be placed on a good administrative basis as early as possible. He had arranged for the registrar of friendly societies (Mr B. E. Hayes) to confer with the societies in connection.with the establishment of the system.