Evening star. [volume] (Washington, D.C.) 1854-1972, 1928-01-09
;CHARCE INJUSTICE
|NRET|REMENT LAW
Federal Employees Inaugurate
Drive for Amendments to
Eliminate Inequalities.

Backed ny the National Federation
az Federal Employees and with the
tact; support Of the Civil Service com.
mission, a move is on foot IL iron cut
the claimed inequalities in the present
civil service retirement law which are
said TO discriminate in favor az the
lower.paid employees of the Govern
ment and against those whose salaries
are in the neishborhood of $4,000 and
IS 500 a year.
The Federal employees organization,
Luther Steward. its president. declared
today. has placed its hacking behind
O move to enable employees relatively
young in years. hut who continue III
the Federal employ after the 30 year
service mark has been passed. 10 draw
snnuitieS in excess of the statutory
81 600 maximum now permitted Under
the law. In case some such provision
Is no: written into the retirement law
Mr.. Steward said, employees may he III
the Federal service for 80 or so years,
be paying 81 per cent of their annual
income into the retirement funG for
that entire time, and Vet not get
higher annuity than the employee who
retireS az the end of 80 years service.
Cites Inequalities Under Law.
The inequalities which exist with re
gard 10 claimed excessively high pay
merits by employees in the higher
grades is also 10 he considered in re-
tirement legislation, which will come
before Congress at this session. Mr..
Steward said. The Civil Service Com
mission in its last annual report
pointed out the unsatisfactory situa-
tion which exists among the higher
paid employees with regard 10 their
maximum annuity allowable under the
law and in comparison with those in
the lower paid jobs. All pay the same
amount into the retirement fund-Si2
per cen;-.hut the higher paid en-
ploye has a minimum allowable an
nuity Of $1,000. the same as the lower
paid offceholder, even though be max
pay inward Of Sl40 a year into the
fund while the empoye in the lower
paid grade contributes considerably
less than one-third of this amount. In
80 far as the maximum annuity is con-
cerned. the two classes are equal. but
their contributions are decidedly I'M
equal, Mr.. Steward said.
Typical Case Outlined.
As an illustration Of the inequality
of the present maximum. he gave as
tvpical example the cases of two men.
one of whom entered the Government
service at IS years of age and. with 80
years continuous service behind him.
was eligible for retirement under the
law at the age of IS. Under the age
provision of the retirement act. how
ever he was. If judged competent.
eligible to continue in the Govern
n1ent employ until he became 20 years
OF age. In another case a man entered
the service at the age OF 40 years and
at 20 years was eligible for retirement.
Or retirement. the first man. aged 4S
years, and the second man. aged 20
years. would be eligible for the max
inum annuity Of 81 900.
But even If the first man continued
on in the service for 10 or 20 years
longer. all the while paying his 81. per
cent into the retirement fund every
year, his maximum annuity under the
law would still be 81 1000. even though
the amount he paid might he very
much more than that OF his fellow en-
ploye.
Thees inequalities should be ironed
out. Mr.. Steward said.