Evening star., 1926-03-05
RETIREMENT BILL j
REPORT DUE SOON
Prospect of Action Monday
Is Seen-HudSOn Insist
ent for Measure.

the subcommittee tnat urdlteu tie
bill. appealed to the House late yes
terday to pass this relief measure.
House Leader Tilson said yester-
day that he is sympathetic to allow
ing opportunity for consideration of
the new retirement legislation I'M
mediately following the passage of
the big annual appropriation bills.
All of the appropria ton bills, with
the exception of another deficiency
measure. will he reported TO the
House next week.
"'rhe average annuity now being
paid to superannuated employees OF
the Government Is entirely too low,
Mr.. hudson empha sized. and he
pointed out that the employees them
selves are paying by far the larger
portion of this. lie quoted Govern
ment actuary figures 10 show that
retirement Is an actual saving to the
Federal Treasury.
Success After Long Fight.
After more than two decades of
a citation and experience Congress
yielded to the pleas for humane deal
inss on the part of the Government
with its employees and enacted IN
Nav, 1920, the Federal retirement
This Is an age OF specialized en-
ployment. he continued. 1T is a
machine age. the jack of all trades OF
the old day has no place In our sys-
tenn Of industry. Hence every great
industrial organization has recognized
this principle and placed In operation
plans for their employees
ranging in a retirement age from 90 to
65 years after periods ranging from
10 to 80 wears OF service.
The Federal employe, as rule, II
he continued his service with the Gov
ernment. acquires a degree Of skill
and knowledge of great value to the
but which in ordinary
business has no counterpart and for
which there is little market.
This fact makes it all the more in
cumbent on the Government to aid
the employees in establishing an an
nuity for retirement. The Civil Serv-
ice provisions of Government employ
ment make continuance in service
dependent upon efficiency and charac-
ter. Now if we can make our retire.
ment provisions above starvation
amounts we can secure a class of en-
ployes who can give all their energies
to a career of the highest public use
fulness and service.
Present Annuity Too low.
'The present law provides entirely
too low an annuity, with the result
that great groups of employees are
kept from retiring because 1t would
mean starvation to themselves and
dependents.
The average annuity amounts to
S45.3S per month, a pitiable sum for
an annuitant to feed and clOthe and
house himself and an aged com.
pa MON on.
1.-THE retirement law has been in
operation for six years. There are now
about II. 500 persons on the annuity
roll. while about 3.341 have been
dropped on account OF dea th-more
than 900 within the past year. The
average amount being paid to those
on the retired list is about $3.50 per
annum.
No Cost to Government.
THE expenditures from the retire
ment fund are being met entirely by
the deductions from the salaries of the
employees Of the Government, plus the
interest and profits on the surplus
available for investment. The Gov
has not been called upon for
any appropriation whatever to meet
any Of the expenditures from the re-
tirement fund. and there is no good
reason to anticipate that any appro-
priation for the purpose will be re.
quired within the next 20 years
I'm estima ting the cost to the Gov
of retiring it's employees in
capa citated by age, or physical or
mental disability. little attention has
been given to the incidental sa wing to
the Government.
1T Is evident that for the fiscal
year 1924 the Government. had It
paid directly from the Treasury the
entire cost Of all the annuities, would
actually have saved some $3.50, 900 in
cash. Add to this the cash value of
the increased efficiency and improved
morale of the service due to the nu-
merous promotions and Introduction
of new blood and we may count a
gain to the Government of not only
$3.50 900, but of manw times the total
amount of annuities paid for that
year.
Defects Of Law Seen.
Five years experience reveals the
incomplete success in achieving the
purpose of the lava better grade of
employees, a reduction of costs and
justice to the workers.
ITO remedy the situation the pres
ent law must be liberalized.
THE first need is to provide for a
more adequate annuity.
This annuity at least should be
81 200 as a maximum. There should
be added a provision for optional re-
tirement after 80 years of service at
any age comparable to the class of
service rendered, and that the bene-
fits of this liberalized law shall be ap-
plicable to those already on the roll
of annuitants.
1.-The increases for the retirement
are expedient, modest and equita BILE.
They are fair to the younger workers
and to the loyal workers 1t will en-
able the higher executive to provide
automatic retirement without being
urged to heed requests for further ex.
tensions beyond retirement age.
1T will make possible the elimina.
ton of the inefficient veteran with an
honorable and adequate retirement. Ii
will improve the morale of the entire
Government force and reduce to the
minimum the turnover.
Better Service Promised.
"A better quality, an improved
quality, of service must result, which
in turn, will result in saving OF
thousands. yes, millions, of dollars In
the aggregate to the taxpayer.
Thirty years of service being a
condition for optional retirement at
certain ages is again a great incen.
tive to a better morale. 1t recognizes
that superannuation is a condition
that comes at different times to differ
ent men rather than at an infiexible,
definite age. 1t presents q direct com
prehensible challenge to q young en-
ploye.
''It Is to be hoped that this meritorf.
Gus legislation so earnestly asked for
and justly expected will receive the
support of this body on
both sides OF the aisle. There ought to
be no partisan division on the Ques-
ton. 1t will bring a new hope and a