OLD-AGE PENSIONS IN NEW ZEALAND.
[To TM EDITOR OF THE .SPECTATOR."] Sra,—In an article in the Spectator of September 22nd, 1906, on old-age pensions and their effect in discouraging thrift you:, quoted a statement from the Oddfellows' Magazine that in New Zealand the effect had been to influence men to refrain: from joining Friendly Societies and thus discouraging self- help. The New Zealand High Commissioner addressed you on this subject on November 10th. After first claiming it to be impossible to disprove a general statement of the kind, he proceeded to compare the increase on two six-year periods before and after the passing of the Old-Age Pensions Act in 1898. Now in a small community like New Zealand such effects are much influenced by the general state of depression. or prosperity.' In 1896 the Colony began to recover from a. long period of depression, and the inclusion by the Commis-, goner of the years 1894.96 perverts his comparisons. Under another cover I send you the Government Friendly Society Reports of 1903 and 1906, and I quote from them the working of the Society membership in this Colony up to the date of the latest Returns. They are :—
Year. Members. Increase. Year. Members. Increase. 1894 29,963 1903 40,257 2,055 1895... 30,905 942 1901 41,236 979
lees 91,925 920 MN 43,408 2,172
1897 32,670 845 15(29 45,255 1,847 35 501 2,831
1899 38,202 ...... 2,701 1904 47,302 2,047 As an effect of the plenitude of iamployment, dating from 1896, the increase of Society membership was rapidly rising on the passing of the Act, as shown for the years 1898-99. The Pensions Act was not operative until 1899, but its effect was soon noticeable, as is shown in the marked check of 1901; with the continued prosperity in the Colony, the full effect is probably not so prominent ; yet the ratio of increase has not been fully recovered, despite the increase of population, and it therefore certainly seems that your contention is strongly supported by these figures.—I am, Sir, &c.,
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