The Washington times., 1911-01-28
REPRESENTATIVE GOULDEN
IN FAVOR OF STRAIGHT
PENSIONS.

O'"SCh thC COHlIlDutOfV pension
plan of Representative Gillett and the
straight civil pension plan of Repre-
sentative Goulden It seems to The
Times that the public service will in
the end be best served by the Gouldel
proposal. There can be no doubt that
the civil service workers favor the
Goulden measure, and certainly their
wishes ought to have weight
The Times today presents the speech
OF Mr.. Goulden in favor of the straight,
out pension. People who read the ad
dress of Representative JGillett in favor
OF the contributory rlan will find in
the GOulden speech an answer to the
GiIlett arguments.
Mr.. Goulden protests, as almost all
employees do, against taking something
month by month, from salaries already
inadequate, to build up a fund for pur-
chase of retirement annuitics. On that
point there can be little room for dis
agreement with him among people
who know the economies which are
enforced upon Government employees in
oIder that they may live on present
incomes.
But it does not seem that Mr..
GOulden makes the strongest point
against the contributory pension plan.
This plan proposes that an account
shall be kept in the name of every
pensionable cmploye. The deductions
from his salary are credited to his
annuity account, and are to draw in
terest. If he remains till retirement
age, he gets the annuity. If he retires
sooner, he is to be paid the amount
credited to him in his account.
How many people would remain till
the retirement age, or even until they
had attained their greatest usefulness
and efficiency: It seems probable that
under this plan the possibility of
drawing out accumolations at any time
would amount to an invitation to en-
ployes to take their money and leave
the service whenever they had enough
to their credit to look like respect
able nestegg. In ordinary experience
of life men who are saving money
have occasion, from time to time, to
use it. How many people would 60 on
accumulating a savings bank deposit
for thirty years or for ten, who would
not at some time be tempted to draw
it out and use it!
The contributory pension system
seems, then, to provide the clerk an
excuse and the means for betaking him
self out of the service. He would have
TO resign in order 10 get his money
back. Perhaps that move would be ill.,
advised; but certainly there would be
many such cases.
1t is not necessary to discuss
whether this would be good or bad for
the clerks who withdrew in order to
get their accumulated credits and try
Herewith to finance themselves in
some other business or occupation. The
question for present attention is
whether it would be good for the serv-
ice; whether it would not be the means
of taking out large proportion of the
most enterprising and energetic men.
For the good of the service, it seems
better to adopt a policy calculated to
keep that very class in their places.
To do this, two things are necessary:
/. To pay salaries sufficient to keep
people reasonably satisfied with their
work
2. To give these people assurance
that if they remained they would be
provided for, in their later years at
least, as well as great business cor
porations provide for their superan-
nuated employees.
The Times is convinced that no plan
Of recIsssifcation, salary increase, pen