ABANDONED

Waikato Times, Volume 124, Issue 20742, 28 February 1939, Page 7

ABANDONED

NATIONAL INSURANCE DECISION IN AUSTRALIA PARTY NOT UNANIMOUS Lulled Tress Assn. Elec. Tel. Copyright SYDNEY, Feb. 27 The Federal Cabinet has deflnitely decided to abandon the national insurance scheme, against the strong advice of the Attorney-General. Mr R. G. Menzies. Tiie main reasons for the Government's action are the impossibility of securing Parliament's acceptance of the mass of regulations under the Act, the Country Party's hostility, and the general lukewarmness of the Labour Party and the general public. It is estimated the abandonment of the scheme will cost the country in the vicinity of £1,000,000. Legislation will be introduced to repeal- the National Insurance 7Act. It is understood that the decision was not unanimous, but that Ministers who opposed the repeal agreed to abide by the will of the majority. The National Insurance Act was passed by the Federal Parliament last June, and it was proposed that everybody who was paid less than £365 a year should participate. The benefits were to be as follows: Medical Benefits.—Free medical treatment and free medicines as ordered by the insurance doctor. Sickness BenelTt.—2os a week for men; 15s for women; and 5s for juveniles. Disablement benefits: 15» for men; 12s 6d for women. Pensions.—Widows’ pension, 12s 6d a week for life or until remarriage if the husband had paid at least 104 contributions, including 78 in the last three years of his life. Orphans’ Pensions.—-7s 6d a week until the age of 15 years, with qualifying conditions similar to those applied in the case of widows’ pensions.

Old-age Pensions.—2os for a man from the age of 65, and 15s for a woman from 60 years. Rates of contribution were to be Is 6d for men and Is for women, with a contribution of an equal amount for employers.

Altogether, 1,800,000 people were to come within the scheme.