Pushing for larger pension contributions and greater retirement incentives, the members of the Faculty of Arts and Sciences (FAS) tackled the ever-sensitive issue of retirement benefits at yesterday's monthly meeting.

The discussion was prompted by the release of the first annual report of the University Benefits Committee (UBC) and an FAS status report on tenured faculty retirement.

The UBC's retirement subcommittee recommended an increase in pension contributions for faculty under age 40 and cost-of-living adjustments for older faculty retirees.

The first change restores the level of Harvard's annual pension contributions for faculty members under age 40 to 5 percent for the salary portion under the Social Security wage base and 10 percent for the remainder. In 1994, the University reduced its contribution to all faculty pension plans by 1 percent.

But Mallinckrodt Professor of Applied Physics William Paul said he believes younger faculty members should be given the same pension benefits that faculty over 40 receive.

"It seems anomalous to me that we regard it as a gain to recoup a 5 percent contribution [for younger faculty]...when members of [the Harvard Union of Clerical and Technical Workers] receive a minimum 6.5 percent," Paul said.

The FAS status report discusses the changes in retirement patterns following the University's 1994 abolition of mandatory retirement for faculty members at age 70.

The report notes that while patterns of retirement in the Faculty since the change are not clear, the average age of retirement appears likely to rise.

Warburg Professor of Economics Zvi Griliches said he believes the increase in the number of older faculty will create a fiscal strain on the ability of departments to recruit new junior faculty.

"I think the lack of junior appointments is going to be a real problem," Griliches said. "The cost won't be to the University but to the departments."

Dean of the Faculty Jeremy R. Knowles acknowledged that the increasing ratio of tenured to non-tenured faculty will likely cause some shifting of resources from junior to senior faculty, but also said he hopes to continue to bring in new faculty.

"If that begins to affect the recruitment of younger and more vibrant colleagues to the Faculty, I should be unhappy," Knowles said.

Knowles also endorsed recommendations of the Resources Committee in the FAS report which called for funding a computer and network connection at home for emeritus faculty who prefer to give up office space and extending retirement and financial planning services to faculty below age 60.

Half-Time Status

Paul also asked Knowles to consider establishing half-time status at half salary as "normal procedure" during the adjustment period for retiring faculty.