Evening star., 1946-07-20
Bill 10 liberaIize
Teachers Retirement
Up Monday in House

up Monday IN House
A liberalized teachers retirement
bill to provide higher annuities and
encourage retirement at an earlier
age is scheduled to come up in the
House for action Monday.
The measure was approved unani-
mously yesterday by the House Dis
trict Committee, after an executive
hearing of a subcommittee earlier
in the day, when no opposition
appeared.
Chairman Healy of the House
District Committee expressed con-
fidence he could get the bill on the
floor Monday, which is District Day
and probably the last day to be set
aside for consideration OF local
measures before the expected ad-
journment of Congress next Satur-
day.
Corning Gratified.
DR.. Hobart NJ Corning, superin-
tendent of schools, who was one Of
four witnesses before the Education
Subcommittee of the District Com
mittee yesterday, expressed gratifi-
cation over approval by the House
body
"The present annuities," he said,
range from s48 to $130 a month.
Those on retirement can't live on
that under the present cost of
living" The bill provides higher
figures based ON formla.
Referring to the more liberal pro-
visions for voluntary retirement at
an earlier age, Dr. Corning said this
would be desirable not only for
the teachers themselves, but also
for the school system"
1T will be a benefit. especially to
pupils in the primary grades he
explained, for teachers not to stay
in service too long"
Strong arguments against the
present retirement law were laid be-
fore the subcommittee, headed by
Representative Feighan, Republican,
of Ohio. The present act, approved
in. 1920 and amended in 1926, he
said, has became DISCRIMINATORY"
because 1T does not extend to the
teachers the same retirement bene-
fits enjoyed by employees of the Dis
trict and Federal governments.
West Also Testifies.
| Witnesses at the hearing included
DR.. Corning, Corporation Counsel
Vernon West and Adelbert w. Helm
miller, budget officer for the public
schools.
Two different kinds of annuities
are provided in the bill. The first
is automatic, to be paid for by 5 per
cent deductions from teachers pay.
The second is optional. 1t allows
those who can afford It to buy higher
annuities at rates which may not
exceed 10 per cent of the teachers
I income.
| One clause, important to those
already retired, provides that the
higher retirement rates are retro
active to July l of this year, and
annuities of all teachers retired
prior to that date would be re-
computed
On this point, however, 1t is
provided that the average annual
salary during any five consecutive
years upon which the annuity is
based shall be within the last 10
years of allowable service in the
public schools. The increased amount
OF the annuity on a recomputed basis
would be on straight life basis
without any insurance or death
benefits of any kind"
Removes Ceiling.
The chief objection of the Board
OF Education to the present law was
that the ceiling salary above. which
teachers may not purchase annuities
is only $4,000. even though teach
erS' salaries are higher than this
amount" The Civil Service retire
ment law Is much more lenient. it
was pointed out, enabling Govern
ment workers ito receive much larg-
er annulties than can be paid to
teachers"
The new bill would meet this BY
TWO provisions. 1t would take off
the ceiling, enabling the highest
paid teachers to purchase annuities
by a check-off on their basic SAL
aries, and it permits them to buy
even higher annuities.
Annulties for retired teachers will
be calculated on the basis of l Der
cent OF average annual salary dur
ing any five consecutive years of
service within the last 10 allowable
years, plus an additional sum of 500
for each year of his whole term of
service, not exceeding 40. Annuities
Will be payable monthly.
Earlier optional retirement is pro-
vlded. At present retirement with
benefits is not permissible until
teachers become So.
Compulsory at 20.
Under the bill, teachers reaching
the age of so with 80 years of serv-
Ice, or those reaching 81 with at
least l5 years of service may volun-
, tarlly retire and receive benefits
, Ieachers reaching SIS with 80 years
OF service may voluntarily retire
and be paid an annunity equal to
/ the present worth of a deferred an
nuity at the age of Co."
, ANY teacher reaching So and who
is eligible for retirement may be re-
tired by the Board of Education on
written recommendation of the
superintendent of schools. Teachers
reaching 70 must retire unless the
superintendent and two-third, of
the members of the Board of Educa
ton agree to retain him for the
good of the service"
! Retirement for disability is pro-
vided after 10 years of service, but
the teacher m,lst renort for ,,l,,s;o,l