SUPERANNUATION

New Zealand Times, Volume XXXIX, Issue 8776, 4 July 1914, Page 7

SUPERANNUATION

PUBLIC SERVICE COMMISSIONER’S SUGGESTIONS. Dealing with superannuation in Lis annual report, which was presented to the House of Representatives last evening, the Public Service Commissioner (Mr D. Robertson) says:— “ While I have nothing directly to do with superannuation, I venture to suggest that some change in the present scheme is desirable. Now that about 90 per cent, of officers join the service at fifteen or sixteen, years of age, and as such officers will, under present conditions, bo entitled to retire on lull pension at the age of fifty-five or fifty-six, it should be considered whether contributions should not cease at the latter ages. At present, it is found that officers ot the Post and Telegraph Department who are reaching forty years’ service and are entitled to a maximum pension, are retiring freely. It is somewhat obvious that if an officer is drawing a salary of £250 per annum, from which is deducted, say, £2O per annum for superannuation, and he is entitled to a pension of £166, he hesitates about remaining in the service if he is to continue to pay £2O per annum for no additional benefit. If the contributions ceased at the end of forty years, it would be equivalent in such a case to an 1 O'er oust'd -salary of £2O per annum, and would be a saving to the Superannuation Fund of £146 per annum so long as the officer remained in the service. Another method would be to regard 1 twenty years as the lowest age at which au officer could join the fund. In a country such as New Zealand, it is unsatisfactory that officers should re 7 tire at such an early age as fifty-five, often with the idea, no doubt, of competing in business with men outside the service who have not the advantage of the assured income the pensioner has.” ■