Montana labor news., 1934-05-17
Rail Pension Bill
Six-Hour Day
Before Congress

WASHINGTON (FP)- Railroad
labor matters have been pushed TO the
iron. in this congress, both as concerns
working hours and retirement pen
sions. Shortly after the favorable re-
port of the senate interstate commerce
committee on a new pension measure,
Representative Withrow (R., Wis
was able to May II, that las
signatures, the necessary quota, had
been obtained for his petition to force
the Crosser 6-hour day bill before the
house. The latter measure is nov on
the calendar for May %.
The approval by the Senate COM
mittee OF a national pension plan for
railroad workers comes after a long
controversy between labor groups as
to what kind Of a bill should be pushed
The new bill, Federated Press was as
sured by senators and labor represen-
tatives alike, combine features of pre-
viously introduced bills and represents
a compromise between the legislation
favored officially by the railroad
brotherhoods and that sought by the
Railroad Employees Retirement Pen
sion Association.
The new joint bill was worked out by
a subcommittee of the Interstate
Commerce committee under the chair
manship of Senator Fred II. Brown,
3D., N. H.. Both brotherhood Off
cials and pension association represent
tatives participated in the delibera-
tons, and the resulting bill is said to
be satisfactory to both sides, ending a
deadlock which has long delayed pen
sion action.
The pension proposed in this bill
would be 2 per cent of the workers
basic wage, multiplied by the number
of years of service, but not to exceed
90 per cent of the basic wage for
service rendered prior to the effec-
tive date, and not to exceed rs per
cent OF the average wage for service
rendered after the effective date.
A railroad worker would become eli
gible for a pension at 65, or upon
completion Of 30 years of service, with
compulsory retirement at 65. This is
qualified, however, by the provision
that by mutual agreement between
employe and company, employment
may be extended from year to year
but not beyond 20. No pension would
be paid below the age of 81, and GER
tain reductions in amount are pro
vided when pensions are begun after
30 years OF service but before the age
of 65.
Railroad employees would contribute
2 per cent OF their wages to the PEN
sion fund, under the bill, and the car
rier twice as much. The government
would make no contribution but
would act as custodian of the fund
which would be administered by a
board OF three, appointed by the pres
ident.
In its report accompanying the bill
the Senate committee points out that
the retirement of any considerable
number of the older employees will
make possible greater employment
opportunities, and will tend to pro-
mote efficiency and safety in interstate
transportation
Referring to existing pension plans
said to cover 90 per cent of the
United States railroad mileage, the
committee states that such plans ARE
not by any means satisfactory to the
railroads or the railroad employees.
In most part, the pensions provided are
inadequate and the cost 10 the rail
road is mounting year by year"
The Crosser 6-hour day bill, which
is a companion bill to the Connery
30-hour bill for other industries, would
amend the Adamson act to make 6 in
stead of 8 hours the basic railroad day,
without reduction OF wages. Dues
toned May II on his attitude to the
Crosser bill, President Roosevelt would
make no comment, saying he had not
heard Of the latest action. But the
bill is considered as little likely to re-
ceive administration support as the
present 30-hour bill.