PENSIONS BY RIGHT.

Taranaki Daily News, 9 December 1915, Page 3

PENSIONS BY RIGHT.

THE CLAIM OF THE WIPE. WHAT THE GOVERNMENT Wl'U. DO. IMPORTANT STATEMENT BY THE PRIME MINISTER. ('From Our Own Correspondent.) Wellington, Dec. 7. The agitation for the amendment of the War Pensions Act has been concerned very largely with the ease of the wife and children 'of a soldier who falls at the front. The man who comes back disabled, partially .or wholly, get his war pension by right, the only question raised being the extent of his disablement. But if a man is killed the application or his wife and children for a pension goes before the Pensions Board and consideration of the case is governed by the following clause of the Act: '•ln determining the rate of pension payable to any dependent of a member, the Board shall take into consideration the property or income from

all sources of the dependent." The Pensions Board, in other wprds, has power to refuse a pension to the widow and orphans if they have private means, and to reduce the amount of a pension if these private means are too slender to provide full maintenance. A widow may be refused the full pension of 25s weekly on the ground that her husband left her some small amount of life insurance or a home. She may be refused the full pension, too, if slie is earning a Utile money by her own efforts. It has been stated on behalf of the Pensions Board that a little "nest egg" or small personal earnings do not debar a widow from receiving the full pension, but the power to refuse or reduce a pension is in the hands of the Board.

This point was mentioned to the Prime Minister yesterday by a New Zealand Times reporter. Mr.'Massey said that ho had referred to it -when replying to the War League's deputation on the previous day. He had said then that he was in favor of the exemption of life insurance up to a reasonable sum, and of personal earnings when the application of a dependent for a pension was being considered. He had added that he believed the. Government would be able to bring down legislation to that effee't when Parliament met.

"When the Pensions Act was being passed," continued the Prime Minister, "Parliament had in mind the case of the wealthy widow, and it made provision that in the consideration of a claim for a pension by a dependent the property and income of the applicant should bo taken into consideration. The Government and Parliament did not have in mind the case of the widow with a little insurance money or some small personal earnings. If it is necessary to make this point clear the Government will be prepared to ask Parliament to make mandatory the exemption of insurance and personal earnings up to a reasonable amount in the case of dependents. This will ensure that a widow shall not be penalised because her husband left an insurance policy, or because she is able to earn a few pounds." Mr. Massey added that he thought insurance money should be exempted up to, say, £ooo. '