NOTES FOR CIA ACT AMENDMENT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-01826R000900090046-8
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 12, 2016
• Document Release Date: June 11, 2002
• Sequence Number: 46
• Publication Date: March 27, 1956
• Content Type: MISC

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3/27/56
NOTES FOR CIA ACT AMENDMENT
Sec. 9. For purposes of determining eligibility and computing annuities
under the Civil Service Retirement and Disability Act, (a) the basic life
annuity of each full-time employee of the Agency who is a United States citizen,
shall be increased by one-half percent of average salary for each full year
of civilian service in a foreign country, provided at least ten such years have
been served with the Agency; and (b) each such employee may retire at any age
after age 50 without annuity reduction for such early retirement provided
(1) he shall have completed at least 20 years of civilian service, at least
10 years of which shall have been served in foreign countries with the Agency,
and (2) the separation on which the retirement is based is involuntary separa-
tion, not for cause on charges of misconduct or delinquency, by action of the
head of the Agency.
This amendment would (a) provide a basic annuity increase equal to five
percent or more of average salary for those who serve at least 10 years in
foreign countries in the Agency, and this increment would be added to any
basic benefit, regardless of retirement age or length of service, provided the
employee is otherwise entitled to an annuity; and
(b) allow retirement after age 50 at full annuity, provided the employee
had at least 20 years' total civilian service subject to the Act of which at
least 10 years must have been in foreign countries for the Agency, and provided
the retirement is involuntary by action of the Agency Director? and not
optional on the part of the employee.
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The 10 year foreign service minimum would thus require a substantial
career commitment before the increment would be payable. Early retirement
would not be required to qualify -- thus placing the Agency in a competitive
position with the FSO and USIO on this point. The latter earn a two percent
unit for every year of service whether in this country or abroad, and an
increasing portion of their time is being spent in this country.
The Agency's need for early retirement is met by requiring the retirement
to be involuntary at any age after age 50, provided the employee has a total
of 20 years' service, 10 of them in foreign countries. This approximates the
age and service requirement in the FSQ, FBI and military, none of which are
actually subject to the special conditions underlying their early retirement
for much more than half the elapsed time of their careers. The requirement
of involuntary separation is not included in the FSO, FBI systems, but was
recommended by the Committee on Retirement Policy as a condition for early
retirement and for special benefits.
The Agency would thus retire 20 year employees on a 35 percent annuity,
after age 50, whereas the FSO, FSIO, FBI group would receive a 4+0 percent
annuity. At age 60 with 30 years' service, 10 years abroad, the annuity
would be 50 percent instead of FSO 60 percent and general civil service
45 percent.
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