PAY INCREASE

Waikato Times, Volume 127, Issue 21219, 16 September 1940, Page 9

PAY INCREASE

PUBLIC SERVICE LOWER PAID EMPLOYEES 5/- A WEEK ALLOWANCE (By Telegraph.—Press Association) WELLINGTON, Sunday The decision of the Government to grant a cost of living allowance to the lower paid State employees was announced tonight by the Minister of Finance, the Hon. W. Nash. The allowance will be retrospective to August 12, the date of the operation of the general order of the Arbitration Court increasing the wages of workers under awards and industrial agreements. No deduction will be made for superannuation, but the allowance will be subject to taxation in the usual way. Mr Nash said that following the recent Arbitration Court pronouncement the Government had considered representations made by various staff organisations representative of State employees for a cost of living allowance. Salaries Up To £335 “The Government has reached the conclusion that in equity some allowance should be granted to the lower paid State employees,” said Mr Nash. “The allowance is being given to offset the rise in the costs of living, and these costs press most heavily upon those in receipt of the lowest rates of salary or wages. “It has, therefore, been decided, in lieu of granting a straight-out 5 per cent increase in pay, to distribute a similar amount of money in the form of a flat allowance of five shillings a week, or £l3 a year, to all State employees 18 years of age and over in receipt of salaries not exceeding £335 yearly or its equivalent in weekly wages or hourly rates. Juniors under 18, if living away from home, will receive an allowance of £6 10s yearly, and if living at home £3 5s yearly. Slightly Above 5 Per Cent “In the case of officers whose salaries or wages amount to slightly more than £335, the allowance will abate by £1 for every £3 or part of £3 of salary in excess of £335. “The cost of this allowance in the aggregate will be slightly in excess of the cost of granting a straight 5 per cent on the salaries and wages concerned. This decision will apply to all employees of the General Public Service.” Mr Nash said investigations were proceeding to enable the Government to determine the procedure necessary to adjust anomalies which might arise in connection with the allowances. RAILWAY OFFICERS MEASURE OF INCREASE (By Telegraph.—special to Times) AUCKLAND, Monday Speaking at the annual reunion of the Auckland branch of the Railway Officers’ Institute on Saturday night, the chairman, Mr J. W. Shepherd, stated he had received a telegram from the Dominion secretary advising tljat an increase of £3 5s per annum had been authorised for officers under 18 who were employed near their homes. Those in the same class living away from home would receive an increase of £6 10s. Officers over 18 in receipt of up to £335 were to receive an additional £l3, and an increase of £7 a year was to be granted to those with salaries of £355. All increases were to take effect from August 12. “This is a crumb from the table,” remarked the chairman. He said the institute would continue to make representations for improved conditions. Several speakers urged that the case of junior cadets be the subject of further representations.