REQUEST FOR GUIDANCE ON AGENCY RETIREMENT POLICY(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00693A000200010079-6
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 12
• Document Creation Date: December 22, 2016
• Document Release Date: May 25, 2011
• Sequence Number: 79
• Publication Date: November 12, 1969
• Content Type: MEMO

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25X1 j
M .3 U~ A.NDUA, 1 : OR : Director of Pcsearch and Development
Sil: 1FCT Request for Guidance, on A f--:ncy Retirement
Policy
retirement policy with regard to the acs matters was essential so that the
Career Service Panel/ORD and line management could properly carry
out their responsibilities.
1. Recently the Career Service Panel/ORD initiated a study to
obtain information for a response to questions. rased by O1-:D personnel
concerning the Agency's retirement policy. Some of these caucst$.oi?
have resulted from discrepancies that exist fn slate xn err#s of the Age ncy'
retirement policy made to personnel at the time of e ployrne;ni? and the
present policy as pronounced in
Clarification of the Agency
1 Z;3
2. The Career Service Panel/OR.D report (Attachment A) on
the Agency's Implementation of the Fed; ral Service IR.fetirei~,ent law de-
fined the basic aspects of the problem and posed a series of questions
that needed clarification. A subsequent staff study (Attachnicat L) de-
terrr. fried how many people currently employed in ORD would be forced
to terminate their Agency employment although they were still eligible
for continued government employment under Civil Service regulations.
3. The major problem identified is the enforccrnexit of a
policy requiring mandatory retirement at age 60, after having served
for at least 20 year.. The following basic observations are made:
a. The majority of ORD's staff was employed
prior to any statement of this policy being directly
expressed in the recruiting process. Civil Service
Procedures and Benefits were the stated policy in
employee matters except where matters of security
intervened. The issuance of (1) Certificates of
Membership in the United States Civil Service,
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Standard Form 105, revised September 1960;
(2) United States Civil Service Corranission.
Pamphlet 18, April 1959, and (3) Federal
Employee Facts No. 3, March 1959, typify
documents givers to new EQUs.
b. A significant number of employees trans-
ferred directly from Civil Service positions to the
Agency without knowledge of the restrictive re-
tirement policy.
c. NlYhen CIANDS was authorized, it carried
preferential annuity considerations not available
to non-eligible personnel.
4. A question of employees' rights is involved. Certainly any
action reversing a clear understanding given to an employee during re-
cruitment and at the time of his LED is a serious matter. The current
retirement policy can cost some employees well in excess of $100, 000
in lost earuizigs and an amount on the order of y.150 per xi-month in his
annuity. Loss of accrued sick leave can also represent many thousands
of dollars.
5. Da addition to direct financial considerations, there are
human aspects. Individuals vary in their career goals and personal
needs. The retirement program of the Agency is clearly different
from the governmental norm and from the national norm. B cap ee
many employees are not familiar with the policy set forth. In
its implementation has caused concern.
6. Typically, the career employee loses his job changing
capabilities at an ever increasing rate as he passes 40 years of age.
Many are now becoming awaxre of the severe effects noted in paragraph
4, and are faced with a question of continued employment with the
Agency or seeking, new employment. The older the individual, the more
difficult is the latter. Additionally, many of those affected believe that
they have much to contribute to the Agency and do not want to seek new
employment. Clearly, career development guidance is needed within
ORD.
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7. The subjects of the impact of tLi, policy on both recrixit-
r_>o nt of scientific personnel and the validity of supporting
the Agency policy when ;Fpplied to overt scieatific p,e-rsounel are be-
yond the iaxm n cdia.tc scope of this, n c-morandun - . These points ar e
neve1?thcless suggested as grounCZ3 for cer!otis consideration.
. - 8. It is requested that the Ynci.nber. hip of the Career Service
Panel/ORD be given clear and concise Information on the ~4gency re-
tirement policy, its ft-rnple-n eentation, and employee rights under the
program. This information will then be available for staff guidance.
It ramst be recognized that the information will provide a baseline for
staff employees to apply to their personal and collective situations.
Chairman
Career Service Panel
Distribution:
Original & 1 - Addressee
Q- Subject File
1 ORD Chrono
DD/S&T/ORD/RBGSLA.:jc 6 Nov. ' 69
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8 July 1969
MEMORANDUM FOR: Chairman, Career Service Panel/ORD
SUBJECT Submission of Report to CSP/ORD on the
Implementation of the Federal Civil
Service Retirement Law by the Central
Intelligence Agency
The committee appointed by the acting chairman at
the June CSP meeting submits the attached report for
consideration by theiCSP at the scheduled July 14 meeting.
C /FC7 ORTD
Attachment:
. Report
SECRET
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.,9-v111...1
8 July 1.9 69
Report to CSP/ORD.on the Implementation of the Federal Civil
Service Retirement Law by the Central Intelligence Agency
1. At the 2 June 1969 meeting of the ORD Career
Service Panel, questions were raised concerning the Agency's
implementation of the Retirement System of the Civil Service
Commission., i.e., the Federal Government's system. Inequities
were identified which have a significant implication to staff
employees of this Office and, most clearly, must be considered
in handling questions of career development. A committee
composed of the undersigned was appointed to explore the
matter. This report highlights items of interest. Paragraph
6 contains a recommendation for action by the CSP/ORD.
2. The following is quoted from
Employees generally will retire at age 60
or as soon thereafter as they are eligible
for optional retirement under the Civil
Service Retirement System, i.e., upon com-
pletion of 20 years of service at age 60
or after a minimum of 5 years service at
age 62.
This quote is the Agency's implementation of the Federal
Government's retirement policy established by the Civil
Service Commission. Attachment 1 shows a representative
action by the Office of Personnel in notifying an employee'
of his retirement status.
5 :~Jj-}:; ,;
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3. The following quote is from Federal Employee
System:
You must retire at age 70 after 15 or
more years of service. You may retire
at the following ages, and receive an
immediate annuity, if you have at least
.the amount of Federal service shown:
Earliest Age
62 _ 5
60
20
55 ~f . 30,
Facts No.
3, August 1968, on the Civil Service Retiremenc.-
Years of Service
4,. While individual
cases vary, typically the Agency
employee retired under the Civil Service system is required
to sacrifice five years salary, at presumably, his highest
level and to forego the significant benefits of five years
protection from earned, accrued sick leave. Unlike the
employee retired under the CIA Retirement and Disability
System (CIARDS), the employee's annuity is based on Civil
Service rates, not the significantly more favorable CIARDS
rates. In short-, the employee is severely penalized by
being subjected to a unique implementation of the Federal
Govenmentts retirement policy. (Attachment 2)
5. In order to discharge Career Development responsi-
bilities to the personnel of ORD/DD/S&T, it is essential
that members of the CSP/ORD clearly communicate the Agency's
implementation of the Civil Service System to staff employees.
Implications to individuals clearly relate to lifetime
earnings, to the desirability of a continuing Agency career
- 2`
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Gs; those employees ~'I110 c^