The morning call., 1891-12-25
INVOLUNTARY SAVING.

When this Govern mert first instituted its
present close scrutiny into the quality of
the annual incoming tide OF emigration to
this land of promise, aud to insist upon the
return TO their own countries of the masses
of undesirable population that were being
shipped here wholesale by other Govern
ments. these latter found themselves forced
to cast about for means of otherwise pro-
viding for these returned undesira bles.
Since America refused longer to he made
common dumping ground for European
paupers some scheme will probably be de-
vised to check the alarming increase of this
class that for years has been a serious prob
lem Throughout Europe. In Germany one
outcome # this necessity has been the Ger
man State Insurance law, which has now
been in force since January list of this year.
and the operation of which was recently
made the subject of letter by fhe Berlin
correspondent of the New York Tribune.
The law is not really an insurance sys-
tenn, but an old-age annuity problem, the
object being to provide the German laborer
with an assured income when he shall have
become too old to toll. The annuity depart
ment .of the Grand Duchy of Baden has
published a report of the workings of the
system for the first six months Of the year,
HBtCu SNUNS LIE tDlti uuUlUpT UI persons
applying for annuities in the six months to
have been zoos out Of a population OF 2,00O,-
600. This, of course, is an unusual number.
This year annuities had to he granted to all
eligible applicants 20 years old or over, but
henceforth 1t will only be necessary to grant
them to applicants as fast MS they reach
that age. The State only pays 80 marks, or
$40 year, the balance of the pensions
comes from the pension fund. which is con-
tributed, one-half by the holders of the
policies and one-half by their employers.
The system divides the working people
into four classes. First all who earn less
than $50 marks a year each. These are re-
quired to pay into the pension fund z pfen-
mig week and receive, after their
SEVENTEEN year, an annuity of log marks
so pfeRnig each. Second, all earn
ing $50 to $50 marks year, who
pay 10 pfennig week, and receive an an
nuity of 135 marks. The earnings of the
third class range from $50 to $50 marks
They pay II pfennig week and receive,
after they are 70, 163 marks 20 pfennig
year. The fourth class includes all who
earn $50 to 1000 marks year. These pay
10 pfennig week and get an annuity Of
l91 marks 40 pfennig. Persons earning
more than 1000 marks year are deemed
aole TO save enough 10 provide Tor their own
old age and do not come under the law.
Each applicant must have contributed to
the fund for at least 80 years before lie re-
ceives his annuity. This of course does not
apply to those who are now 7Oyears old, and
all persons who were more than 40 when the
law wen! into effect may subtract from the
80 years as many years as their ages then
exceeded 40.
These anhuities are very small, ranging
from S26 to $40 year, but they are only in
tended to aid in providing the bare neces-
sites Of life. which are cheaper in Germany
than in this country. for instance, and it is
supposed that considerable proportion of
those receiving them may be still able to
earn something more. or will have children
OF other relatives able to contribute to their
support 1t prevents the pensioners from
becoming paupers. and is great saving to