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Show HILL TOP TIMES n Friday, March 9, 1984 ed tona s Military retirement system may change Editor's note: The following Is part two on straight talk about the military retirement compensation system. , By Tidal W. McCoy Assistant Secretary of the Air Force Manpower, Reserve Affairs and Installations Just as it is important to talk straight about the im- portance of the military retirement system important to the management of our people and to their it is equally important to plans for their futures that the system may have to change. recognize . I make misstatement for three reasons. First, the system has already changed in a number of minor and ways. Prior to 1976, when retired pay was adjusted upward, an additional 1 percent was added to the adjustment to reflect the erosion of retired pay resulting from the time lag between increases in the and the actual adjustments to retired pay. In 1976, Congress ended that practice. In 1980, Congress changed the base for calculating retired pay from the final amount of active duty basic pay to an average of basic pay for the highest 36 month period of service. This change will reduce lifestream retirement pay by 8 to 12 percent but, for reasons of equity, it only affects persons entering the Air Force after Sept. 7, 1980. In 1981, Congress - not-so-min-or cost-of-livi- ng changed from semi-annuadjustments to annual adjustments, which means that such adjustments are even further behind the changes they are supposed to reflect. al cost-of-livi- ng Series of changes enacted In 1982, Congress enacted a series of changes. These included rounding total service to the nearest month rather than to the nearest year; temporarily-reducin- g the cost of living allowances by one half for retirees under 62; delaying payments of cost of living allowances one month each year for the next three fiscal years; offsetting federal civilian salaries for military retirees employed by civil service by the amount of retired pay adjustment; and treatment of retired pay as community property in divorce pro- ceedings in certain states. Clearly, the congressional tide is ninning against preservation of all aspects of the current retirement system. Second, the military retirement system has been the subject of much study; it has become a "high visibility" item. Legislative hearings have been initiated. The Grace Commission made a variety of recommendations about military pay. The Quadrennial Review of Military Compensation is preparing its final report. And articles about military retirement are routinely appearing in newspapers and magazines which do not normally cover military matters. The result of this attention may be to suggest changes. Third, and this is a most important factor, military retirement is a program with a limited constituency. Let me explain what I mean. Most federal programs develop clusters of constituents, usually in three places: among the persons the programs are designed to assist; among the staffers and members of congress who write and oversee the programs; and in the executive branch among those who administer the programs. The phenomenon is so it has been given a name by political scientists the "Iron Triangle,'' a name that is not always complimentary. Farm support programs, for example, are well-know- He or she is subject to limitations on the individual freedoms which Americans cherish, including freedom of speech and association, and various forms of political activities. And when the member retires, assuming that he or she is in the distinct minority -13 percent of military members who do retire . the member may be involuntarily recalled to active du: ty; he or she remains subject to the Uniform Code of Military Justice in some circumstances; and there may be limitations on the kinds of employment which the retired member can accept: Why would anyone voluntarily .: join such an organization? There are at least three reasons: the first is patriotism. Fortunately, the belief that we all have an obligation to our country is on the increase after years of neglect. Second, military service remains and adventure. an opportunity for The Army invites applicants to "Be all you can be." The Navy says "It's not just a job; it's an adventure." And we in the Air Force say "It's a great way of life." Rut nntrintism; and aHvpntiirp important as they are, are not sufficient. The military member must believe that he is being fairly compensated for his sacrifice and service. When that belief is lost, he may find himself unable to remain on active duty, even if he wishes to do so. We know this is true because in the 1970s it happened. During that period, numerous changes were made in military - mmnpnsntinn nrimarilv a scrips nf nav rana whirh destroyed comparability of military with civilian pay. By 1979, retention of combat-read- y pilots fell at an Air and Force The rate. alarming Navy alone lost about 4,000 experienced, pilots' in an interval during 1979-8Many cited lost God and the soldier we both adore. purchasing power and diminished benefits as prime When at the brink of ruin, not before. reasons for seeking other employment. Those 4,000 The danger over, both are alike requited. pilots represented a lost training investment cost of God is forgiven, and the soldier slighted. more than $8 billion. The cost of replacing experiencThe lines above attributed to a soldier in ed pilots with inexperienced ones equaled one-ha- lf Marlborough's times, are again appropriate. Soldiers of the $16 billion fiscal 1983 outlay for current military have, in the past, been forgotten by the societies they retirees. served; we must be careful not to repeat the error. directly involved, difficult to understand and keep track of. Second, few if any, federal bureaucrats would lose their jobs if the military retirement systems were changed, so their level of commitment to the current program may not be high. Third, some members of the armed services committees, for a variety of historical and philosophical reasons, may not regard military retirement in the same way as the active duty and retired military members do. Because I am one of the people reviewing the current system, I think it is important that you know the basic standards I will be applying to all proposals. First is the matter of equity. Current members of the Air Force entered the service under a specific set of circumstances and assumptions. We said to them, in effect, "You keep your side of the bargain and we will keep ours." Simple equity requires that such members complete their service, to the maximum extent possible, under the system in which they ' ""' began. I am aware that there is no legal contract between the Air Force members and the Air Force no contract which corresponds to the type of agreement which covers most employment. I also understand, as do all Air Force members, that the needs of the Air Force must come first, and that will sometimes mean service under circumstances which are not the most desirable. : f The second standard that we must apply is related to force management. We simply cannot permit grade stagnation or intolerable service lengths to change the nature of military service from a young person's activity to something else. And the third standard which we must apply is to give full consideration to the nature of military service. V Military, civilian different Military service differs from civilian employment at almost every point. The military member is often separated from family; he or she receives no overtime pay or pay differential for 12 (or more) hour shifts; he or she often serves at a remote location. The work is dangerous, most clearly in a combat situation, but often there is great danger in even normal daily activities. As we have recently learned again, there can be danger in simply being America's representative overseas. The Air Force member's job is often physically demanding and performed in the rain, snow and heat of a hundred locations. When the member's spouse has met all the neighbors and the children have made new friends, the Air Force member may be reassigned to a new location. The elements of society which play such a great role in the quality of life church, synagogue, schools, civil and social organizations all these go by in a blur as the military member relocates to new assignments. - n, Military retirement is slightly different. First, military personnel may or may not be in the habit of writing their representatives in Congress in regard to their entitlements. The entitlements are, after all, very complex and, except for those military persons : times Published by MorMedia Sales, 1 1 52 West River-dal- e Road, Ogden, Utah 84405, telephone 5. mid-care- er 18-mon- 0. th ' Expected losses In Air Force Magazine, Vincent Thomas calculated some of the losses that might be expected if the proposals of the Grace Commission were enacted with regard to retirement. This included the loss of 1,800 pilots. That is more than all pilots in the United States Air Forces Europe, the major Air Force command in Europe. The projections included the loss of 450 d navigators, 3,650 officers, and 62,500 man-yeaenlisted members. The lost of experience would equal 375,000 for officers (equivalent to all the lieutenants and captains on active' duty with the Air Force') and 1 .880.000 for enlisted members E-- 6 and (equivalent to all the technical sergeants in above the inventory). Replacements for those people will have to be recruited, trained and assigned. The point is very clear: "savings" from military retirement "reform" can be very illusory. So we must have intelligent standards by which we must review any proposed change to the retirement system. Is it fair? How does it impact on force management? Does it recognize the special nature of military service? Rudyard Kipling's Tommy Atkins knew that it was non-rate- rs ' ' Like Marlborough's old soldier, Tommy knew that a society finds it hard to honor the military member when society believes he is no longer needed. He knew that his nation would ignore him at best and aisaain mm ai worsi. Ana ne musi nave tnougnt mat this was terribly unfair. , I share his view.T hope THIS society does not make the same mistake. Understanding entitlements 394-965- ' Sf1f-Hpvp1nn- Tommy this, and Tommy that and "Chuck 'im out, the brute" But it was "Savior of his country" When the guns began to shoot. strongly supported by farmers, by congressional personnel assigned to or employed by the agriculture committees, and by the Department of Agriculture which administers the programs. :nai.ic? self-developm- ent . ' Deadlines: Editorial, 4 p.m. Monday before publication date; Announcements for "Where the Action Is," 10 a.m. Monday before publication date; Classified ads, 5 p.m. Wednesday before publication date. Articles may be turned in at Room 1 1 8, Bldg. 1 1 02, between 8 a.m. and 4 p.m. Monday through Friday. ; . 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