Work and Middle Age

Sun (Auckland), Volume III, Issue 813, 6 November 1929, Page 8

Work and Middle Age

Is Man Too Old at Sixty ? THE SUN'S Parliamentary Reporter PARLIAMENT BLDGS., Today. CRITICISM lias often been levelled at Government civil servants who, after retiring upon superannuation after long service with the State, have accepted highly remunerative -jobs in addition to their annuities. . . ... The experience of the Public Service Commissioner, Mr. P. Verschaffelt, however, is that officers of the Government should be retired after 40 years’ service on reaching bO years of age, though their period of usefulness as producing units in the community is not necessarily ended at that age.

The commissioner, in his statement to Parliament yesterday, discussed the working life of the average man, and the right of officers to retire from departmental service after 40 years of continuous service, no matter what their age might be.

“Except in a few isolated and special cases, the policy of retiring officers in conformity with the provisions of the Public Service Act on attaining 65 years of age has been continued,” he said. “Ilf a limited number of cases younger officers who have qualified by virtue of having 40 years’ service, and officers who have less service, but who are 60 years of age, have exercised their right to retire on superannuation. “The retirement of officers before 65 years of age has excited comment in some directions. On the one hand, it is considered that early retirements involve an undue strain on the superannuation funds, and in some cases a loss of valuable services to the State. “Experience shows that except in rare cases the advantage lies in the practice of retiring officers after 40 years’ service on reaching 60 years of age.” ENTHUSIASTIC YOUTH It is the belief of the commissioner that long service reduces enthusiasm, and that after 40 years service there is rarely that keenness of ambition with which the younger officer is imbued, and there exists a tendency for officers nearing the statutory retiring age to adopt a laissez fajre attitude in situations which are likely to become embarrassing or involved. “On the other hand,” he goes on, “in a few cases officers who are drawing superannuation are also filling fairly remunerative positions outside the service, allegedly on an unfair basis competitively, because of the fact that they are on superannuation. Such an attitude entirely overlooks that every unit of society is perfectly justified in remaining a producing unit so long as he is physically capable of so doing, and that in the long run it is an economic advantage for him to do so.

“Superannuation is an officer’s surplus of production; in other words, his accumulated excess of income over expenditure. The amount contributed by the State is in the nature of a

deferred payment for services rendered by him, while the major portion is bought by the officer himself as an annuity. The officer taking up private business is practically in no way dissimilar to the private citizen, who, from tile store of his savings, embarks upon a new venture toward the evening of his career. “It may be suggested that if the officer is physically fit to take up private work on retirement lie should not be retired, but it must be borne in mind that these are exceptional cases. . “The general experience is that it is an advantage to retire officers in conformity with the statute, both in the interests of the service and in the interests of the State. It would be impracticable and undesirable to institute any proposal that would involve differehtial treatment for these odd cases.” EXPANDING SERVICE.

It is a notable thing that the cost of the Public Service has increased by 65 per cent, in the past 15 years, the greatest portion of which was in extended social services, the cost of which rose from £2,123,515 in 1914 to £6,292,930 last year.

General administration costs have not increased in proportion to the expansion of the total burden, for in 1914 the expenditure under this head represented 15i per cent, of the total expenditure from the Consolidated Fund, whereas in 1929 general administration expenses amounted to only 71 per cent, of the total charges. These figures, it is held, bear evidence of the care and economy exercised in matters pertaining to general administration.

A comparative statement of the salaries and personnel of the Public Service shows that during the past 10 years the increase in permanent staff has been 1,428, while the increase in salaries has been £808,251. Considering the expansion of public business in recent years the growth in staff in the Public Service proper has been kept down to a much closer degree than is generally realised, the commissioner says.

The amount paid in salaries to officers, subject to the provisions of the Public Service Act, was £1,431,720 in 1919 and £2,239,971 for the year just ended.