What changes did Michael Joseph Savage’s Labour government make in New Zealand?

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The Labour government led by Michael Joseph Savage (1935–1940) implemented significant economic and social reforms that transformed New Zealand during the recovery from the Great Depression.

Key changes included:

  • Social Welfare: The landmark Social Security Act of 1938 established a comprehensive state medical service, provided free hospital and pharmaceutical care, and significantly extended the pension system and benefits.123
  • Economic Policy: The government introduced antidepression measures, including guaranteed prices for dairy farmers, which helped stabilize rural incomes.412
  • Labor Reforms: Workers benefited from increased wages and shorter working hours.12
  • Infrastructure and Housing: The administration launched an extensive public works and housing program, which successfully multiplied job opportunities.12
  • Education: The national education system was revitalized under the direction of Peter Fraser.412

These initiatives, supported by the finance minister Walter Nash, shifted the country toward a more robust welfare state and helped secure broad public support for the Labour government.412