Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-04-19

They point to the military pension
list as a heavy drain on the govern
ment, and insist it would be all wrong
to provide for a civil pension list.
Many of them, too, take the view that
the government clerks and employees
as a whole are well paid, and that they
ought to lay up in their younger days
snug sums for relief in their old age.
Support for Both Plans
In the agitation Of the pension and
retirement system, there has been
strong support for a pension fund built
up by contributions of the employees
themselves, and strong support for a
straight government appropriation for
pension purposes. 1t is plain that con-
gress will never pass b straight pen
sion measure for the civil employees.
1t is equally PLAIN, If an effective sys-
tenn is to be ,tarted, that the govern.
ment must stand some expense to
get the system on its feet. This is
the view taken by Senator Cummins
in framing his bill. 1t is combina-
ton of contributory plan and plan
for a direct appropriation by the fed
eral Government.
Mr.. Cummins groups the civil SER
vice employs, except postmasters,
into two groups, one of which is re-
quired to retire at sixty.five and the
other at seventy years. In the group
retiring at sixty-five are the railway
mail clerks, city letter carriers, and
mechanics. All rural letter carriers,
and mechanics. All other employees
are in the group retirin" at the age
Of seventy.
As the employees who enter the SER
vice hereafter, they are to be required
to pay into a fund, or, rather, there
is to be deducted from their monthly
compensation an amount which, COM
puted at 4 per cent, compound inter-
est, will be sufficient to accumulate for
each employee, on arriving at retir-
ing age, $4,000. No deduction is to
be over 10 per cent.
Machinery for Handling Fund
The machinery for the handling OF
the fund is worked out in detail. AS
to employees already in the service,
it is provided that each one who re.
tires on account of age within year
after the act takes effect shall re-
ceive $4,000. This applies, of course,
to employees seventy years of age and
over; or, If in the group retiring at
sixty five. to those who are sixty-f1ve
and over. AS to employees now in
the service who retire in two years,
they are to receive $4,000, less $50,
direct from the Government; those
who retire in three years, $1,000 less
$500, and so on. the amount growing
less by $3.50 each year; so that, at the
end OF 20 years, no employe, either
now in the service or entering it later,
would receive any money for pension
purposes direct from the government.
As for employees under fifty years,
now in the service, they will get their
pension solely from contributions, Just
as In the case of employees entering
the service hereafter And employees
fifty years old or over, in addition to
getting certain sums direct from the
treasury, will be allowed to contribute
II they so elect, to retirement fund
and will get this in addition to the
amount the government pays them
out OF its own pocket when they re-
tire
The burden on the government of
setting this system in motion, it is
argued, will not be great. 1t will
amount roughly to $42,OO0,O0o in
twenty years, or little more than
$2,O0O,0O0 year. After that, it is
Insisted, it will cost the government
nothing because the pension would
come solely from the contributions
of the clerks and other employees.