Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-03-10
RETIREMENT OF EMPLOYEES
BILL INTRODUCED By SENATOR
PERKINS TODAY.
Based Upon Bill Recommended by
Keep Commission, But Different in
Regard to Investments.

Senator Perkins of California, chairman
of the committee on civil service and re-
trenchment. today introduced a bill to
provide for retirement Of employees In the
CLASSIFIED civil service O. the government.
The bill Is in many respects different
from that introduced last year as a re-
suit of the deliberations of the Keep COM
mission and which was Endorsed by the
President. The present measure, however,
Is based upon this former bill, the chief
difference being with regard to the safe
guards thrown around the investment OF
money deducted from the salaries Of en-
ployes.
The bill provides that beginning with
July 1, first following the passage Of the
act. there shall be deducted from the
monthly salary Of every official or en-
ploye to whom the act APPLIES an amount
that will be sufficient, with interest there
on at per cent per annum. compounded
annually, to purchase from the United
States under the provisions of the act an
annuity for every such employe on ar
irving at the age OF retirement as pro-
vided In the act, equal to one and one
half per cent of his annual salary. for
every four years Of service. or major
fraction thereof between the date Of the
passage Of the act and the arrival Of the
employe at the age Of retirement.
rected to invest the money thus secured
in government bonds, state or municipal
bonds or railroad securities answering
0ortain definite requirements as to inter-
deficiency In the fund thus created to
carry out the provisions OF the act Is to
be paid out Of the treasury.
Savings Can Be Withdrawn.
On the retirementsof an employee the
49, N~ka
may be drawn out of the treasury in one
sum or as a quarterly annuity through
lie or as a quarterly annuity with the
balance at death to go to the estate or
as a quarterly annuity for certain linn
tied term Of years. An enlploye who
leaves the service Is entitled to withdraw
his saving with interest.
Tho retirement ago Is sixty years for
employees In group 1. sixty-fve years in
group 2 and seventy years in group =.
and the President Is empowered to des.
ignate the branches OF the service to be
included In each group.
In addition to the amount already pro-
vided from his own contributions. the re-
tired ernploye 10 given in the bill for the
remainder OF his life an annuity equal to
i per cent for group !. ~ per cent for
group 2. and II per cent for group Of
his average salary during tho last ten
years Of service for every year he shall
have been in the service prior to the
passage of the act. In cases where the
salary OF an employe is more than So, 500
a year the annuity Is to be calculated on
a basis Of So 500.
The sum Of $4,000 IL carried in the bill
to pay the expense Of carrying into effect
the act for the fiscal year Of 1909 The
Secretary OF the Treasury Is empowered
to keep all necessary tables. records, COM
pute the various annuities and amounts
to be deducted from salaries and to other
wise carry out the provisions Of the act
The act Is made to apply to all executive
civil service employees. except persons ap-
pointed by the President and confirmed
by the Senate and unskilled laborers.
The bill was referred to the committee
on civil service and retrenchments.