I move that the Bill be now read a Second Time.
The main purpose of this Bill is to amend the superannuation provisions which apply to members of the judiciary and to certain court officers so that, in return for a reduction in the amount of pension, a death gratuity after five years' service or a lump sum on retirement will be payable. The new arrangements will apply to persons appointed after the enactment of this Bill, and persons at present serving will, subject to certain conditions have the option of accepting the new arrangements or retaining their present superannuation rights.
The Bill also contains a provision which will enable both serving officeholders and future appointees to surrender at the time of retirement subject to certain conditions, portion of the pension payable in order to secure a pension for a wife or for one nominated dependant.
The present proposals have been formulated in response to representations from the persons concerned that some financial provision should be made for the dependants of a person who dies in office and also for a dependant of a person who dies while on pension. In the formulation of the proposals an essential consideration, so far as the Government was concerned, was that they should not actuarially increase the burden on the Exchequer. The arrangements contained in the Bill fulfil that requirement and are the most favourable to the persons concerned which can be put forward on that basis. In brief, the Bill reduces maximum pension by one-fourth, that is, from two-thirds of salary to one-half of salary, and in return for that reduction provides for the payment of a death gratuity of one year's salary after five years' service or a lump sum on retirement equivalent to one and a half times the reduced annual pension.
The proposals in the Bill relating to the allocation of part of pension on retirement provide that the pension payable to a wife or a dependant will be the actuarial equivalent of the amount of his own pension which an office-holder surrenders. Accordingly this feature of the Bill does not involve any additional charge on the Exchequer.
What I have said is, I think, sufficient to explain the general principles of the Bill so far as the present Stage is concerned. Any further explanation that may be needed in relation to the contents of the various sections of the Bill can be left over for the Committee Stage.
In recent years the provision of financial assistance to cover cases of premature death has tended to become a feature of superannuation schemes, and it is a source of gratification to me to be in a position to propose the provision of these arrangements for members of the judiciary, the Master of the High Court, Taxing Masters and County Registrars, without increasing the burden which the provision of pensions and other superannuation benefits imposes on State funds.
I recommend the Bill for acceptance by this House, and would ask that the various Stages be taken as soon as convenient, so that the benefits contained in the measure may be made available at the earliest possible date.