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POST OFFICE AND CIVIL SERVICE.
UNITED STATES SENATE

EIGHTY-FOURTH CONGRESS

SECOND SESSION

ON

S. 2875

A BILL TO REVISE THE CIVIL SERVICE RETIREMENT

ACT OF MAY 29, 1930, AS AMENDED

FEBRUARY 1, 8, 9, AND MARCH 14, 1956

Printed for the use of the Committee on Post Office and Civil Service

56-61007

75735

UNITED STATES
GOVERNMENT PRINTING OFFICE

WASHINGTON: 1956

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R.V. S. 14 My 56

JK 7.75

1986

A54

CONTENTS

Ballew, Hulon L., representing Columbia Typographical Union,

No. 101.

Bartlett, Hon. E. L., Delegate of Alaska...

Beiter, Alfred F., legislative representative of the National Associa-
tion of Retired Civil Employees, and president of the National
Customs Service Association__

Bledsoe, Warren B., president, National Association of Rural Letter
Carriers; accompanied by John W. Emeigh, national secretary,
National Association of Rural Letter Carriers___

Brooks, Capt. Charles B., Jr., secretary to the Academic Board, United
States Naval Academy, Annapolis, Md----

Campbell, James A., president of the American Federation of Govern-

ment Employees---

176

193

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Lovelady, Rufus M., national vice president, American Federation of
Government Employees in Charge of the Canal Zone District__.

McAvoy, Harold, national president, National Association of Post

Office and Postal Transportation Service Mail Handlers, Watch-

men, and Messengers___

113

McDermott, Mrs. Elmerdeen, Washington, D. C---

177

Puskar, Charles E., executive secretary, National Association of Post-
masters; accompanied by Edward J. Quigley, postmaster at Brook-
lyn, N. Y___

165

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CIVIL SERVICE RETIREMENT

WEDNESDAY, FEBRUARY 1, 1956

UNITED STATES SENATE,

COMMITTEE ON THE POST OFFICE AND CIVIL SERVICE,

CIVIL SERVICE SUBCOMMITTEE,

Washington, D. C.

Met, pursuant to notice, at 10 a. m., Hon W. Kerr Scott (chairman of the subcommittee) presiding.

Present: Senators Scott (presiding), Langer and Case.

Staff members present: H. W. Brawley, executive director, and J. Don Kerlin, assistant staff director.

Senator SCOTT. The meeting will please come to order.

We are opening the hearings this morning on S. 2875, a bill introduced on January 9, by Senator Olin D. Johnston, to revise the Civil Service Retirement Act.

The civil service retirement and disability program was established in 1920 to furnish retirement, death, and disability benefits to employees of the Federal Government. Since that time the act has been amended many times until today it is one of the most complex measures on the statute books. The present law is difficult to administer, numerous inequities have developed and grown over the years, and full understanding of the law escapes all except the few who work with it on a full-time basis.

In recognition of these facts, the 82d Congress enacted Public Law 555-approved July 16, 1952-authorizing the establishment in the Executive Branch of a Committee on Retirement Policy for Federal Personnel to conduct an exhaustive study of this matter that is of such grave importance to well over 2 million Federal employees, and report thereon to the Congress. The report of that committee was submitted during the first session of the 84th Congress. Since that time the report and a multitude of related material has been the subject of long and careful study.

Senator Johnston has introduced S. 2875 to accomplish a complete overhaul of the Civil Service Retirement Act. The bill will:

1. Provide a more favorable factor for the computation of retirement benefits for employees generally.

2. Permit optional retirement after 30 years of service regardless of age.

3. Reduce the penalty-or reduction-in annuities in the case of employees who are under the age of 60 at the time of retirement.

4. Extend and increase survivorship benefits to more closely parallel those that accrue to employees of private industry under the socialsecurity program, and, finally,

5. Remove numerous inequities now existing in a number of areas.

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