The Skyland post. [volume] (West Jefferson, N.C.) 193?-1988, 1936-11-26
Government Begins Big
Job Of Setting Up Social
Security System in US.
Blanks Sent Out to Local Firms;
$4,000 Post Offices Receive
Blanks to Hand Out
TAXES IN EFFECT ON JAN. 1

The most gigantic task of the kind
ever undertaken-the job of setting
up social security accounts for ap-
proximately 100000 workers
was begun last Monday by the Fed
eral government, operating through
$4,000 postoffices throughout the
country.
From these offices postmen took
out forms to be delivered to 100000
business establishments, for collec-
ton of the basic data for the old-age
pension system applying to workers
IN factories, mines, offices, stores and
other such establishments.
The local post office distributed
blanks to the business houses of the
city last week, asking that the cor
: rect information be given and the
blanks returned by Saturday, No
vember 81.
The old-age pension taxes will go
into effect January /, therefore the
time for building up the mountain
Gus files of information was short.
N. C. to Lose Money
The North Carolina treasury will
lose the 100000 that will be col
lected January 81, 1887, from en-
ployers for unemployment insur-
ance, so far as the Social Security
board is concerned, Chairman John
Winant revealed this week.
This tax is now accruing and by
January 81, 1887, each and every
employer in the State who has eight
or more persons on his pay roll must
pay the Government one per cent
for 1886. Under the Social Security
:act, States having enacted an unem
ployment Social Security act accept
able to the board by December 81,
of this year, will be credited with
funds, thus enabled to distribute the
money as part of the unemployment
insurance.
= No State Laws
Thus far, % States have failed to
pass such laws, among them being
North Carolina, and Governor ]. c.
b. -Ehringhaus has declined to call
the Legislature together to enact a
law to match the Government tax on
the grounds that the expense of an
extra session would be too great.
The tax starts at one cent on each
dollar of employees earnings up to
$1,000 year and one cent for each
dollar of the employers pay rolls.
From 1897 the taxes will increase
gradually, under the present law,
until 1919, when they will be three
per cent of wages and three per cent
of pay T0las.
The money collected is to be used
in paying pensions ranging from $40
to $35 a month, to which workers
will be entitled when they reach IS
years of age.
The dA-age pension provision is
one phase of the social security act
passed by Congress in August, 1885,
after studies by presidential COM
mittee and debates in the House and
Senate. It was the outgrowth of a
demand, born Of the depression, that
the government safeguard the aged,
the helpless and the unemployed
against such economic vicisSitudes
in the future.
Governors of seven States which
do not have unemployment insur-
:ance laws in compliance with the So
cial security act voiced vigorous OBJ
lection to the December 81 deadline
for passage of legislation to enable
them to benefit from payroll taxes
assessed for 1886. They attacked the
-sdeadline" as blackjack" to force
them to call special sessions of their
legislatures. The executives were
among those attending the annual
Governors conference In st. Louis.
With John G. Winant back at the
helm as chairman, the Social Secur-
ity board began several days ago a
national campaign to familiarize APP
proximately 100000 employees
with the old-age pension plan for
which they are scheduled to receive
application blanks next Tuesday.