CIVIL SERVICE SUPERANNUATION.

Otago Witness, Issue 2692, 18 October 1905, Page 13

CIVIL SERVICE SUPERANNUATION.

THE GOVERNMENT PROPOSALS. (Fboh Our Own Cobrespondent.) WELLINGTON, October 10. The Government's proposals in respect to a superannuation scheme for the civil service were laid before Parliament to-day, when the Civil Service Superannuation Bill was reintroduced. The bill proposes to establish a fund to consist of contributions from members, all moneys already accrued fro.m fines imposed for breaches of any regulations made under the act relating to the service, and all fines and penalties hereafter imposed for breaches of the regulations, moneys at any time paid into the fund by way of Government guarantee, and interest from time to time accruing from the investment of the fund. Any person employed in any capacity in the service, and who has been continuously employed in any department for a period of five years or upwards, may at any time Within six months after the commencement" of the act elect to become a contributor to the fund. If he so eleots "he is to be entitled to all the benefits of the fund, subject to the . provisions of the act, and no further deductions are 10 be made from his salary under "The Civil Service Reform Act, 1886," "The Post and Telegraph Classification and Regulation Act, 1890," and "The Civil Service Insurance Act, 1893."' If he does not so elect he is not at any future time to become a contributor to the fund or participate in its benefits, but lie is to continue to be entitled to any rights to which, but for the passing of the act, he would have been entitled. Every person who does not elect to become a contributor, and who has hitherto had a deduction made from his salary under the acts mentioned, is to continue to pay the deductions as before. After the commencement of the act contribution to the fund is to be a condition of employment. Contributions to be deducted from pay are to be based — As to persons who are members employed at the commencement of the act, if his age is not more than 40 years at the time when the first contribution becomes payable, 5 per cent. ; 40 years, but does not exceed 45 years, 6 per cent. ; 45 years, but does not exceed 50 years, 7 per cent. ; if his age then exceeds 50 years. 10 per oent. ; persons who are after the commencement of the act, 5 per cent.

Every person who has effected a policy on his life under the Civil Service Insurance Act, and who elects to become a contributor, is to be entitled, at his option, either to keep the policy alive independently of this act, or have the surrender value of the policy paid 1 to the Public Trustee to his oredit, to be invested independently of this fund for his benefit, or receive a paid-up policy of an amount according to scale fixed by regulation, but subject to the same terms and conditions as the- original policy. - The fund is to be -administered by a board consisting of nine members — namely, a Minister of the Crown, the Solicitorgeneral, secretary of the Post and Telegraph Department, Under-secretary of the! Colonial Seoretar3 r 's Department, two members to be elected by the Post a nd Telegraph Department, and three by the other departments of the service.

Every male contributor whose length of service is not less than 40 years, or whose age is not less than 60 years, may retire from the service ai throe months' notice, and his retiring allowance is to be computed as follows : — For every year of service he is to. receive one-sixtieth part of his annual rate of pay, but in no case is the retiring allowance to exceed two-thirds of the annual rate of pay. The board may extend these provisions to any case where the contributor's service is not less than 35 years, but does not amount to 4-0 years. Every female contributor whose length of service is not less than 30 years, or whose ag© ia not less than 50 years, may, in like manner, retire. For every year of service she is to receive one-sixtieth part of her annual rate of pay, but in no case is the retiring allowance to exceed two-thirds of the annual salary. In every case where any retiring allowance granted to a member is computed on the basis of his pay, the pay is to be deemed to be the rate of pay he is receiving at the time of his retirement, unless within the previous five years he has served in^any grade lower than that held by him at the time of retirement, in which case the pay is to be deemed to be the average rate of pay received by him during the seven years next preceding his retirement. In no case is any retiring allowance to be in any way assigned, transferred, or be capable of being alienated from the grantee either by his own action or by operation of law. The Government guarantees a-ny deficiency in the fund. The provisions of the act are not to apply to persons entitled to superannuation under " The Civil Service Act, 1886." Special provisions are made to enable the Police Force to come under the act. A majority of votes at a ballot shall decide the point. If a maiority favour the scheme tha Police Provident Fund shall be abolished, and the amount then standing to its credit shall be paid by the Public Trustee into the fund established under the act. All contributors to the Police Provident Fund shall be deemed to be contributors to the fund established under this act, and shall thereafter contribute thereto at the rate prescribed by this act for the age of each such contributor at the date when his first contribution became payable under "The Police Provident Fund Act, 1899." All retiring and other allowances then payable under the last-mentioned act shall, from time to time, be payable out of the Civil Service Superannuation Fund. All persons thereafter appointed to the Police Force ■shall become contributors to the Civil Service Superannuation Fund. The Commissioner of Police for the time being and one person (to be ejected by the members of the Police Force from among their number) shall be added to the Civil Service Superannuation Board. There are also special provisions in the bill to enable the employees of the Wellington and Manawatu Railway Company to join the fund.