Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-01-18
ARGUE PENSION PLAN
Contributory System Favored
by Speakers.
COMMITTEE HAS HEARING
Gillett and Austin Measures Are
Fully Discussed.
DIFFER AS TO SALARY RAISES
Customs House Employe Says Gov
ernment Service Is Worse Handi-
cap Than Prison Record.

| Todays hearing before the House COM
| mittee on reform in the civil service was
| devoted to arguments on the bills intro
duced by Representative Gillett of Mas
sachusetts. Representative Austin of Ten
nessee and others, proposing a contrfbu-
tory pension system for the retirement of
| aged and superannuated government
clerks. The Austin bill differs from the
| Gillett measure in that it proposes, in
connection with the contributory pension
| system, a fiat horizontal Increase of 15
per cent in the salaries of employees in
| the classified service
The speakers who addressed the com
mittee today indorsed the contributory
| feature, but were divided in opinion as
| to the desirability of the horizontal in
crease proposed in the Austin measure
Some said the best results would not
| be obtained from increasing salaries in
| this way and suggested that all salaries
should be reclassified and readjusted
| in the near future. A big crowd of
interested persons heard the argu-
ments
Among those who addressed the COM
tary Of the Civil Service Reform Associa-
tion of New York; DR.. Llewellyn Jordan.
secretary of the United States Civil Serv-
ice Retirement Associations: William E.
Russell, an employe of the customs serv
ice in New York; Oscar F. Nelson, presi-
| dent Of the National Federation of Post
Office Clerks: Alexander H. Schultz, an
employe of the postal service in New
York; George L. Cain of the Boston navy
yard. who represented the National League
of Government Employees. and Mrs. Jen-
ME L. Monroe, an emI.loye of the Interior
Department.
Favors Better Salaries.
1.-The proposition is.'' said Mr. Good
win, that the government should pay
its employees adequate salaries. II this
contributory pension system goes into ef-
feet. and il an employe claims that he
cannot stand an average reduction of g.
per cent As his contribution, then that is
evidence that the salary being paid is not
sufficient. Too large reductions under the
plan will mean that the clerk will leave
the service and new, men will refuse to-
enter It." asssssss
Representative Talcott asked Mr.. Good
win If he thought a reclassification of
q mr. rnd
pension legislation.
1t certainly should be taken into ac-
count. although reclassification is a big.
separate question:" Mr.. Goodwin replied.
We cannot indorse the Austin bill.
which proposes fiat horizontal raise of
10 per cent in connection with a contribu
tory pension system. We want salaries
adjusted to agree with the service per-
formed
There are many salary inequalities
instance. the entrance salaries are low.
On the other hand. there are employees
receiving good salaries and performing
practically no duties
Asked to Mention Cases. +,
Chairman Goodwin asked Mr. Goodwin
If he could mention to the committee
any concrete cases.
They have been referred to in
general way" said Mr.. Goodwin, land
| believe there will be no trouble in
finding such examples"
Representative Giliett remarked that
one inequality existed through the fact
that clerks doing identically the same
work received varying salaries.
Mr.. Gillett asked Mr.. Goodwin if he
thought the government should act as a
guardian for employees who were not
thrifty enough to lay something aside for
rainy day:
only to the extent of bringing about
efficiency in the service" Mr.. Goodwin
replied. THE old men stand in the way
under present conditions"
"Why?" Mr.. Young asked.
Perhaps he should not stand in the
way. but he does. just the same" Mr..
Goodwin answered.
DIR. Llewellyn Jordan told the committee
he favored a contributory system. and
q y1yil1 n fho fnI
crease of Is per cent proposed in the Aus
tin bill.
Indorses Austin Bill.
''Our association" said DR.. Jordan.
has publicly indorsed the Austin bill. be-
cause in launching any contributory
pension system, salaries must be adjusted
to meet the reductions proposed under
the terms Of the Gillette ana Austin
measures.
Chairman Goodwin referred to the fact
that MIR. Goodwin opposed the Austin bill,
while DIR. Jordan favored it.
Mr.. Goodwin" DIR. Jordan explained.
was opposed to a fiat. horizontal in
crease. He wants a reclassifcation
Every one realizes that such q reclassifi-
cation is badly needed. but in the mean
time the 10 per cent general Increase
proposed in the Austin bill would help
a great deal.
Salaries, y'hen reclassified. should be
readjusted in strict accordance with the
work performed. Tney are now all out
of joint with the times. There has been
no reefs ssification since 1855, when the
lowest government salary was $1,000 You
are now appropriatng sor salaries as low
as $12O. The average annual salary paid
to government employees Is about 5000
DIR. Jordan was asked to give instances
where the duty performed was not COM
mensurate with the salary paid.
Il could furnish such instances. but
would be anticipating information
which I understand is to be furnished
to you by the President himself and
which will give official instances of this
character. 1 want to say that am
opposed to a straight civil pension. be
cause the government is not ready t6
embark on an old-age pension system.
| 1t should pay living wage to it's en-
ployes under cOntrfbutOry pension
system which will compel these en-
ployes to lay aside a portion of the
money they receive under the guardian
] ship of the government. this money to
| be returned upon retirement.
"A straight pension has numbing ef-
feet 1t does not encourage thrift and
makes 1t more difficult to get rid Of the
inefficient The whole problem is based
on increased efficiency and you should