XN000022-1977-04-20 — Page 14

WEDNESDAY, APRIL 20, 1977

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+BUT I AM AFRAID I MUST HAVE A PROPERLY DOCUMENTED CASE AND NOT JUST AN ASSERTION THAT THE PROVISION IS INADEQUATE, HE SAID.

MR. HADDON-CAVE SAID IT WAS CORRECTLY POINTED OUT THAT THE TOTAL PROVISION FOR SOCIAL WELFARE IN 1977-78 WAS ONLY SLIGHTLY MORE THAN THE APPROVED ESTIMATE FOR 1976-77, MAINLY DUE TO A DECREASE IN THE ESTIMATE FOR PUBLIC ASSISTANCE.

BUT EXCLUDING PROVISION FOR SOCIAL SECURITY, HE EMPHASISED, THE PROVISION SOUGHT FOR ALL OTHER SOCIAL WELFARE SERVICES IN 1977-78 OF $134.7 MILLION WAS 26 PER CENT MORE THAN THE APPROVED ESTIMATE OF $106.8 MILLION IN 1976-77.

+AND WE MUST NOT FORGET THAT THE PROVISION FOR PAYMENTS UNDER OUR SOCIAL SECURITY SCHEMES IS NO MORE THAN A REALISTIC GUESS OF WHAT WILL BE REQUIRED ON THE BASIS OF INFORMATION AVAILABLE AT THE TIME THE DRAFT ESTIMATES WERE PREPARED.

+A SUBSTANTIAL INCREASE IN PAYMENTS ARISING FROM FACTORS OUTSIDE OUR CONTROL WILL INEVITABLY LEAD TO A NEED FOR SUPPLEMENTARY PROVISION,+ HE WARNED.

"י.

HE ADDED THAT THE EXPANSION OF THE PUBLIC ASSISTANCE SCHEME TO COVER UNEMPLOYED ADULTS REPRESENTED A VERY SIGNIFICANT POTENTIAL COMMITMENT ON PUBLIC FUNDS.

THE FINANCIAL SECRETARY SAID HE DETECTED FROM REMARKS MADE BY SEVERAL UNOFFICIAL MEMBERS A FEELING THAT THE GOVERNMENT DID NOT TAKE THE ROLE WHICH VOLUNTARY AGENCIES COULD PLAY IN THE DEVELOPMENT OF SOCIAL WELFARE SERVICES SERIOUSLY ENOUGH.

+1 WOULD NOT, AS FINANCIAL SECRETARY, BE AVERSE TO SEEING THE PRESENT ARRANGEMENTS FOR DETERMINING SOCIAL WELFARE SUBVENTIONS REVIEWED, PARTICULARLY AS THERE IS TO BE A REVIEW THIS YEAR OF OUR SOCIAL SECURITY SCHEMES,+ HE SAID.

+ IT MAY BE THAT CERTAIN SERVICES WHICH ARE REGARDED AS COMPLEMENTARY TO THE GOVERNMENT'S SOCIAL SECURITY SCHEMES, FOR EXAMPLE, HOMES FOR THE AGED, SHOULD BE SUBVENTED ON A UNIT COST BASIS, HE SUGGESTED.

+THUS THE ROLE OF AGENCIES PROVIDING SOME PARTICULAR SERVICES WOULD BE CLEARLY DEFINED AND THEIR FINANCIAL POSITION SECURED, LEAVING AGENCIES PROVIDING OTHER SERVICES TO RELY ON VOLUNTARY SUBSCRIPTIONS AUGMENTED BY DISCRETIONARY GRANTS, HE SAID.

REFERRING TO CALLS BY SOME UNOFFICIALS FOR PARITY OF SALARIES BETWEEN STAFF EMPLOYED BY SUBVENTED AGENCIES AND COMPARABLE CIVIL SERVANTS, MR. HADDON-CAVE SAID THE GOVERNMENT DID AT PRESENT MEET THE FINANCIAL CONSEQUENCES OF PARITY IN THE CASE OF AGENCIES SUBVENTED ON A DEFICIENCY GRANT BASIS.

IF THE PRACTICE OF UNDERPAYING VOLUNTARY AGENCY STAFF EXISTED, IT COULD ONLY EXIST IN AGENCIES SUBVENTED ON A DISCRETIONARY GRANT BASIS, HE SAID.

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