RETIRED BEFORE SIXTY.

Auckland Star, Volume LV, Issue 235, 3 October 1924, Page 11

RETIRED BEFORE SIXTY.

• RAILWAY SUPERAN-nJATION. THE GOVERNMENT'S POLICY. (By Telegraph.—Parliamentary Tieporter.) WELLINGTON, Thursday. . Some interesting points were brought out in a. discussion on superannuation which took place in the House to-day, when the Minister of Railways brought 'own the report of tho Superannuation -'und of the Railway Department. Mr. W. A. Veitch asked the Minister what effect the recent change of policy had had upon the fund. Civil servants had now to retire at 60 years of ago or after 40 years' service. The retirement of men after 40 years' service meant retirement in many cases before sixty, and would, cause serious depletion of the fund. Men who retired early paid less in, but took more out of the fund. Mr. H. E. Holland drew attention to the fact that some men were drawing superannuation running into four figures, while others drew from £500 to £1000. arfd others had not sufficient superannuation to live upon. He thought the whole -scheme required revision. Mr. L. _L Isitt: Does Mr. Holland suggest more repudiation? Mr. Holland: I had no idea of giving you an opportunity of making comments. Mt. Isitt: Are we to understand the suggestion is that the whole situation ' should be reviewed in the recess and reduction made in superannuation to which Civil servants were entitled? Mr. Holland: I never suggested repudiation of any contract made. Mr. W. J. Jordan said that a civil servant, who was a specialist and who I had retired on superannuation, had | taken a position with a firm in competition with a Government Department where he formerly worked. Mr. W. J. Glenn protested that' Mr. I Jordan had no business yvith the moveBsents of any retired civil servant. Mr. S. Smith agreed that the superannuation scheme required revision. The Minister of Railways said that since 1009 the maximum amount of superannuation was £3000, but prior to that date it was based on the salary paid. That was the reasoii several highly-paid officers were retiring on larger sums. A total of £150,186 was paid into the railway superannuation fund this year, yvhich was about £44,509 short of the actual payments. Tho Government's contribution should bo paid out of railway earnings in future. He thought it was better to retire men after forty years' service or at sixty, but a man could remain on till sixtyfive. Mr. Veil.-h: The Department is retiring them at sixty. Tim Minister: That is a matter of Government policy for the time being, but it is not -ii.l down in the Act that they, must go at (10. Speaking generally it is a wis- policy to retiro men after 40 years' service. Younger men had promotion before them us an incentive to good work, and thoy helped to maintain the high level of tho Department.