The Washington times., 1921-04-20
CIVIL SERVICE
9ENS|ONS69OO.
TWo-thirds Of U. S. Employees on
Retired List Are Residents
Of Washington.

VI W0otus8svss
With the first fiscal year Of the
operation Of the Civil Service Re-
tirsment Act drawing to close, the
Government finds itself with net
surplus fund exceeding $8,000, 600
and retired list Of approximately
$500 persons.
REACH PREFAREs REPORT.
These ngurcs will be contained in
the annual report of John s. Beach.
chief OF the retirement division of
the Pension Bureau
Under the retirement act. which be-
came elective August 81. 1890. ever:
employe in the classified civil service
Of the Government pays q monthly
assessment Of IN 70 Of the base salary
into the retirement fund. An employe
leaving the service Of the Government
IS entitled to q refund of all moneys
paid into she fund.
Applications for refund now on hle
with theNdisbursing officer at the PEN
sion bureau> exceed $4,000 and range
While exact statisttcs are not avail
able. is;estimated by officials that the
total II approximately $4,000.
While complete statistics are lack
ing, It Is estimated that fully two
thirds OF tho Government employees
|. placed on the retired list reside in
Washington No segregation has
been made of retirement by states.
! Further, q large number-possibiy
several ,thousand-who have paused
the retirement age of seventy years
have been Certified for retention un-
der the provisions OF the law which
places this, power lin the hands Of
the Civil Service Commission, These
employees continue in active service
Of the Government and it is optional
With them to retire at any time.
MAY REACH IL MILLION.
The nrst fiscal year of the opera
tion of the retirement act ends June
30, 1921. and comprises only eleven
months. During this period govern
ment employees have paid into the
fund an amount in excess of S12.-
900 900, and II may reach $4,000, 900.
Fully two-thirds of this was paid by
employees residing In the District of
Columbia ,,..,, $50,
The problem Of refunds II per-
picking: one. according to Beach,. and
will demand q great deal of attsn.
tion. As the time of the operation
of the act lengthens. the amount
Of refun6s will increase.
To facilitate the handling Of re-
furds in q more direct fashion and to
/ give them prompt attention. Beach
advocates the enactment os further
legislation. Under the existing laws
the handling of refunds 10 q COM
plicated process. Aside from the re-
fund question the law Is functioning
perfectly, as shown by the fact that
the 6,9OO applications for retirement
during the first year-and 5000 Of
these were retired automatically
when the, act came into force-all but
400 haveSbeen acted upon.
NEW AMENDMENT LIKELY.
Further amendments to the retire.
ment act are looked for by Govern
ment employees. and several amend
ments are now in contemplation by
various members of Congress. Among
them Is one that will make the re-
tfrement age sixty-five years. at the
option of the employe. Another
amendment will increase the annuity.
The maximum annuity under the ex-
isting law Is &720 per year. the mini
mum, $780, The annuity Is gradu-
ated according to the average COM
pensation OF the employe and the
term OF service.
at must he remembered" said
Beach. in explaining the functioning
OF the act" that the immense sur
plus fund shown during the nrst
years operation is not permanent.
but really fictitious. The apparent
surplus will grow year by year until
IL reaches q peak in probably twelve
years. Then 1t will begin to dimin-
ish. q
''The peak in the retirement of
Government employees will come In
twenty-five or thirty years and by
that time the fund will be entirely
exhausted. Retirements will con-
stantly add to the drain on the fund
and the retirements will likewise
add more than are lost through
death"
Efforts TO Increase the maximum
annuity. 1t was learned today. will
meet opposition in Congress. Actu-
aries in the Government service have
pointed out that in reality the Gov
Srnment is shouldering 90 per cent
of the burden of the retirement fund.
Efforts to increase this load will meet
with marked opposition. IL is said,
unless the employees are willing to
increase their own assessments.
"Achter Cul." as Newark Bay, N. J.,
vas called by the Dutch, meant the
Rack Bay"