Evening star. [volume] (Washington, D.C.) 1854-1972, 1918-09-25
PENSION MEASURE
IS LABELED $3.50"
Senator McKeIIars Bill Calls
for U. S. and Employees
Each to Give Half.

w. vs. W 0sb0 @sssHSySo
Each to Give Half.
HELP TO BOTH IS SEEN
The shalf-and-half plan" is the
designation given by the Senate civil
service committee to the system OF
pensioning superannuated employees
Of the government in the Mcclellan
bill, which has been favorably re-
ported to the Senate.
The report, presented by Senator
McKellar. chairman, said:
The system in this bill Is based
on the half-and-half plan, the govern
ment bearing one-half Of the expense
and the employees the other half. The
government Is safeguarded by the
fact that its expert representatives
have produced the figures relative to
the cost.
Puts Burden on Neither.
at is further safeguarded by the
provisions requiring all employees to
agree to it who work for the govern
ment in the classified service. 1t is
not burdenSome on the employees and
1t is not burdensome on the govern
ment. 1t makes the employees more
saving and virtually provides that they
shall lay by annuities for themselves.
At the same time, the government en-
courages them in this good work. On
the other hand, the government gets,
as we believe. the full value of it's
crease in efficiency in the civil
service.
There are now probably about 7.457
superannuated employees (4104 then
had sufficient service to retire. For the
most part they are drawing the high
est rates of pay, having been in the
service so long. They are doing for
the most part the least efficient serv-
ice because of their age.
I'm the event this bill passes their
places will be taken by young en-
ployes at lower rates of pay, another
J saving to the government, and In some
cases they do no work at all There
is now no way of the governments
discharging its Superannuated en-
ployes by law, and it is believed that
BY this retirement system the govern
ment will save in increased efficiency
| in service every dollar that it pays as
it's share of the annuities.
l. "a question has been raised about the
ACCESSIBILITY Of putting an additional
financial burden on the government dur
| ing the war. Your committee respect
fully reports that while virtually there
will be placed upon the government an
additional burden equal to fiat raise OF
| az Fer cent on all civil service en-
| putting an additional burden on the
government during the war is con-
cerned, the bill, il passed, will aid
! the government financially. in that
| the deductions from salaries will be
| largely in excess Of the annuities paid
out
Will Provide an Excess.
| For instance. the estimated receipts
from employees during the year 1920 Will
be So. 000, 600. The annuities paid out
there will be an excess the first year Of
| Sc, 900, 900 and for a number Of years the
receipts will exceed the amounts paid
out
For at least period Of ten years
there will be no additional burden upon
the amount that the government pays
will be gradually increased until the
time arrives when it will be paying its
full share Of the annuities."
After detailing the history OF tine
| proposed legislation. the report con-
| tinued:
'The employees agreed to pay the ~
| per cent of their salaries, the govern
ment to bear the expense Of the other
estimated 21s per cent. and the chair.
| man of the committee introduced the
| present bill on that basis.
Late in Getting in Line.
ssrhe proof has disclosed that every
! civilized nation. except the United
States and Turkey (if Turkey can be
called civilized) has established In
some way a retirement system. The
| first retirement system, crude though
| it was, was established by Great
! Britain in July. 1884. during the reigr
| of King William w, nearly ninety
| years ago. Amendments have beer
made to the English act from time tc
time ever since.
$50 far as we can ascertain. Massa.
chusstts is the only state that ha,
provided for non-contributory annui,
ties paid to superannuated employees
Several municipalities IN that state
also pay superannuated employees, and
| q number of municipalities IN othel
states. A large number Of corpora.
tons also have superannuated pay
systems. A few of them require con,
! tributions by employees. but the mos
of them pay the annuities themselves
president WILL SPEAK
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