Evening star., 1926-04-15
The Annuity Maximum.


as the maximum annuity for retired
Government employees is a difference
splitting compromise between the pres
ent limit OF $720 and the $1,000 sug'
gested in the Senate. 1t does not ap'
peal to the sense of justice OF those
who are aware of the present condl'
ton of annuitants or the prospective
condition Of those who will shortly
take their places on the retired list.
The present average of the annuities
is slightly less than $545. Under the
plan proposed by Secretary Work the
average would be about $725, or q lit
tie more than the present maximum.
That is not enough for the main
tenance of these veteran Government
workers who have been forced into re-
tirement.
It must always be borne in mind in
the consideration OF this matter that
while these annuitants We're getting a
great deal more money in active serv-
ice than they were allotted upon re-
tirement, the annuities We're fixed
upon Il very low scale of pay. In
many cases the Semi-monthly amounts
which they received while on active
duty were barely adequate to meet
their needs. They had been unable in
a majority Of cases to make any saw
ings. They had practically nothing OF
their own on which to sustain them
selves when they were required to
step aside as annuitantS. Thus they
were suddenly cut down from their
small pay to g. pitifully small fraction
Of that pay.
Not even the $1,000 maximum that
has been proposed by subcommittee
Of the Senate engaged in drafting the
retirement revision will bring affiu-
ence to any annuitant. The average
will still be less than $1,000 q year,
which in these days of high living
costs by no means permits any luxu
rfes and allows but few comforts.
Those who have been and those who
will shortly be retired from active
service should be regarded from a diff
ferent point of view than those in the
Government ranks who have two or
three decades to serve. The retire
ment act was passed partly for the
purpose of clearing out a number Of
superannuated workers who had, in
fact or in theory, passed the point Of
efficiency. 1t was Furthermore de.
E.ic~ a1 fr Ae,f1 fC1a
rent of promotion by Systematically
dropping the elder workers, taxing all
on active duty a fraction of their
monthly salaries in order to create q
fund for the payment Of annuities.
It is true that those who are imme-
diately retired paid nothing and those
who shortly afterward were relieved
from active duty paid but little. But
they had served for many years faith
fully and efficiently; in a great many
cases they did not wish to leave the
active ranks; to them retirement was
a grievous hardship. OF course, q diff
not in justice be established, but their
sufferings should be reckoned with in
any modification or amendment that
may be effected in the retirement act.
The younger members of the Gov.
ernment service may upon resignation
withdraw all their contributions to the
retirement fund. If the rate of annui.
ties is fixed SO low that penury is in
prospect upon retirement inducement
is furnished for designations before
the passage Of years has robbed these
younger workers of their chances Of
profitable employment elsewhere. Thus
the establishment of low standard
of retirement pay tends to defeat one
Of the most important objects of the
retirement act, namely, the stabiliza-
ton of the Government service.