Evening star., 1924-03-25
RETIREMENT BILL
IS REPORTED OUT
WITHOUT DISSENT
House Measure Increases
Workers Contribution to
Fund to 3 1-2 Per Cent.


unanimous vote of the House civil
ment bill, fathered by Representative
Fred r. Lehlbach of New Jersey, was
introduced in the House today.
The principal feature of the new
bill is an increase in the contribution
TO the retirement fund by every en-
ploye from 2l& per cent 10 31a per
cent. 1t is estimated by the commit
tee, and by the joint conference of
the House and Senate, that this in
increased cost to the government
through more liberal provisions in
the retirement law.
Exactly how much this new bill, If
enacted into law, will cost the United
States government. over and above
the cost of the present law has not
yet been determined. Chairman
Lehlbach of the House committee has
called upon the Secretary of the
Interior TO furnish Congress with an
estimate OF the increased cost, and
has been assured that this report
will be made as soon aS possible.
Opposition Is Seen.
act IL anticipated from some Of the
higher paid employees OF the govern
nert, because, while these employees
who may receive salaries, say, Of
$500 are called upon under the new
measure to contribute 3h per cent of
that salary. they cannot receive an
annuity of over $1,000. which is the
same that an s1,S00 clerk would re-
ceiYe.
we are not running an insurance
business said Chairman Lehlbach,
replying to such criticism. We are
endeavoring TO treat humanely worn
out government employees who have
given the best years in the federal
service"
The new bill provides for optional
retirement after thirty years of serv- :
ice at the age of sixty, for the gen
five for mechanics, laborers. city and
rural letter carriers, post office clerks
and railway postal clerks
The law as regards regular re-
tirement is left as it Is.
Allows Extensions.
1t carries a provision that when an
extension of service is allowed based
on ability u render efficient service,
if the records for two years show the
enploye has been efficient, then the
certificate of efficiency must be is
sued and the employees term of serv-
ice extended. This is designed to
overcome ruthless dismissals from the
service upon retirement age even
though the employe may be render
ing very efficient service.
The new Lehlback bill provides that
whenever an employe shall make ap-
the civil service, it shall be the duty
of the head of the department, branch
or independent Office in which he OF
she is employed to secure from the
immediate superior in the service of
such applicant, all efficiency ratings
and other informations on file re-
specting the character of the work
of such applicant and shall also OBJ
tain from such immediate superior
his opinion in writing with respect
TO the efficiency of the work per-
formed by such applicant.
Scope of Law Extended,
Among those included within the
scope of the retirement act, who were
ployes of the Panama canal and Pan
anna Railroad Company, or the 18TH
mus of Panama, who are citizens of
the United States and whose tenure
of employment is not Intermittent
or of, uncertain duration.
Also are included unclassified en-
ployes in all cities and in all estab-
lishments in which appointments are
made under labor regulations ap-
proved by the President, or from
subclerical or other registers for the
classified service and unclassified en-
ployes transferred from classified
positions, such as department bureau
chiefs.
The fourth-c1ass postmasters are
no longer barred from the retirement
annuities If they comply with other
provisions of the act.
method of computing the retirement
benefits. Under the new bill these
would be determined by multiplying
the average annual salary for the
last FIVE years of service by the num-
ber of years of service, and dividing
that by As.
Where a man is involuntarily sepa-
rated from the service after fifteen
years, and having reached the age of
ffty-five, the present law gives an i'm
mediate life annuity scaled down to
present value or deferred annuity
payable when he reaches the retire
ment age The new bill provides for
the issuance of certificates for defer
red annuities between the ages of
forty-five and fifty-fve, instead of
starting at fifty-fiye, as under the
present law.
The remainder of the new Lehlbach
bill contains recommendations to the
bureau of pensions, making for more
efficient service.