this section not been enacted. The term 'benefits' as used in this paragraph includes all annuities payable under this Act, lump sums payable under paragraph (1) of this subsection, and insurance benefits and lump-sum payments under section 202 of the Social Security Act, as amended, pursuant to subsection (k) of this section."

SEO. 3. The provisions of section 1 hereof shall apply to all annuities under section 2 of the Railroad Retirement Act of 1937, as amended, accruing during calendar months following the month of enactment hereof other than joint and survivor annuities heretofore awarded and survivor annuities deriving from joint and survivor annuities heretofore awarded; and the provisions of section 2 hereof shall be effective as of January 1, 1947. All annuities under the Railroad Retirement Act of 1935 and all joint and survivor annuities heretofore awarded and survivor annuities deriving from joint and survivor annuities heretofore awarded, accruing during the calendar months following the month of enactment hereof, and all pensions due in months following the first calendar month after the enactment hereof, shall be increased by 20 per centum. All recertifications required by reason of the provisions of this Act shall be made by the Railroad Retirement Board without application therefor.

SEO. 4. Subsection (a) of section 8 of the Railroad Unemployment Insurance Act, as amended, is amended by substituting the following for so much of said subsection as precedes the proviso:

"(a) Every employer shall pay a contribution, with respect to having employees in his service, equal to the percentage determined as set forth below of so much of the compensation as is not in excess of $300 for any calendar month paid by him to any employee for services rendered to him after June 30, 1939:".

SEC. 5. (a) Subsection (a) of section 8 of the Railroad Unemployment Insurance Act, as amended, is further amended by substituting a colon for the period at the end thereof and adding the following: "1. With respect to compensation paid prior to January 1, 1948, the rate shall be 3 per centum;

"2. With respect to compensation paid after December 31, 1947, the rate shall be as follows:

"If the balance to the credit of the railroad unemployment insurance account as of the close of business on September 30 of any year, as determined by the Board, is:

The rate with respect to compensation paid during the next succeeding calendar year shall

be:

1/2 percent.
1 percent.

11⁄2 percent.

2 percent.

2 percent.
8 percent.

"As soon as practicable following the enactment of this Act, the Board shall determine and proclaim the balance to the credit of the account as of the close of business on September 30, 1947, and on or before December 31 of 1948 and of each succeeding year, the Board shall determine and proclaim the balance to the credit of the account as of the close of business on September 30 of such year."

(b) Contributions paid under subsection (a) of section 8 of the Railroad Unemployment Insurance Act, as amended, prior to the

enactment of the foregoing amendment thereof which are in excess of those required by said subsection as so amended shall be subject to adjustment or refund in accordance with the provisions of subsections (d) and (e) of said section 8.

SEC. 6. Subsection (f) of section 8 of the Railroad Unemployment Insurance Act, as amended, is amended to read as follows:

"(f) The contributions required by this Act shall be collected by the Board and shall be deposited by it with the Secretary of the Treasury of the United States, such part thereof as equals 0.2 per centum of the total compensation on which such contributions are based to be deposited to the credit of the fund and the balance to be deposited to the credit of the account."

SEC. 7. Subsection (a) of section 10 of the Railroad Unemployment Insurance Act, as amended, is amended by substituting the following for subdivision (i) of the second sentence of said subsection: "(i) such part of all contributions collected pursuant to section 8 of this Act as is in excess of 0.2 per centum of the total compensation on which such contributions are based, together with all interest collected pursuant to section 8 (g) of this Act;".

SEC. 8. Subsection (a) of section 11 of the Railroad Unemployment Insurance Act, as amended, is amended by substituting the following for subdivision (i) of the second sentence of said subsection: "(i) such part of all contributions collected pursuant to section 8 of this Act as equals 0.2 per centum of the total compensation on which such contributions are based;".

Approved June 23, 1948.

(

Chapter 632 - 1st Session

H. R. 3669

AN ACT

To amend the Railroad Retirement Act and the Railroad Unemployment Insurance
Act, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 1 of the Railroad RetireRailroad Retirement Act of 1937, as amended, is amended by sub- ment Acts; Railstituting in the last sentence of subsection (f) thereof the phrase "one road Unemployhundred twenty-six" for the phrase "fifty-four" and by adding after ment Insurance subsection (p) thereof a new subsection as follows:

Act, amendments. 50 Stat. 307.

45 U.S.C. 2288.

"(q) The terms 'Social Security Act' and 'Social Security Act, as amended' shall mean the Social Security Act as amended in 1950." SEC. 2. Subsection (a) of section 2 of the Railroad Retirement Act of 1937, as amended, is amended by inserting in the first sentence thereof, 45 U.S.C. § 228b. after "enactment date," the following: "and shall have completed ten years of service," ; and by inserting in the first sentence of paragraph 5 of said subsection a period after the phrase "regular employment"

and striking out all of that sentence following that phrase.

SEC. 3. Subsection (c) of section 2 of the Railroad Retirement Act of 1937, as amended, is amended by substituting for the phrase "sixty

days", the phrase "six months".

SEC. 4. Section 4 of the Railroad Retirement Act of 1937, as 45 U.S.C.

amended, is amended by substituting for the phrase "sixty days" in 2280-1.

subsection (k) thereof the phrase "six months".

SEC. 5. Section 2 of the Railroad Retirement Act of 1937, as 45 U.S.C. § 228b. amended, is amended by adding after subsection (d) thereof the following new subsections:

"(e) SPOUSE'S ANNUITY.-The spouse of an individual, if—

"(i) such individual has been awarded an annuity under subsection (a) or a pension under section 6 and has attained the age of 65, and

45 U.S.C. 228e.

"(ii) such spouse has attained the age of 65 or in the case of a wife, has in her care (individually or jointly with her husband) a child who, if her husband were then to die, would be entitled to a child's annuity under subsection (c) of section 5 of this Act, shall be entitled to a spouse's annuity equal to one-half of such individual's annuity or pension, but not more than $40: Provided, however, That if the annuity of the individual is awarded under paragraph 3 of subsection (a), the spouse's annuity shall be computed or recomputed as though such individual had been awarded the annuity to which he would have been entitled under paragraph 1 of said subsec- 65 Stat. 683. tion: Provided further, That, if the annuity of the individual is 65 Stat. 684. awarded pursuant to a joint and survivor election, the spouse's annuity shall be computed or recomputed as though such individual had not made a joint and survivor election: And provided further, That any spouse's annuity shall be reduced by the amount of any annuity and the amount of any monthly insurance benefit, other than a wife's or husband's insurance benefit, to which such spouse is entitled, or on proper application would be entitled, under subsection (a) of this section or subsection (d) of section 5 of this Act or section 202 of the Social Security Act; except that if such spouse is disentitled to a 49 Stat. 623; wife's or husband's insurance benefit, or has had such benefit reduced, 64 Stat. 482. by reason of subsection (k) of section 202 of the Social Security Act, 42 U.S.C. § 402. the reduction pursuant to this third proviso shall be only in the amount by which such spouse's monthly insurance benefit under said Act exceeds the wife's or husband's insurance benefit to which such spouse would have been entitled under that Act but for said subsection (k).

36-627 - 79-9

“(f) For the purposes of this Act, the term 'spouse' shall mean the wife or husband of a retirement annuitant or pensioner who (i) was married to such annuitant or pensioner for a period of not less than three years immediately preceding the day on which the application for a spouse's annuity is filed, or is the parent of such annuitant's or pensioner's son or daughter, if, as of the day on which the application for a spouse's annuity is filed, such wife or husband and such annuitant or pensioner were members of the same household, or such wife or husband was receiving regular contributions from such annuitant or pensioner toward her or his support, or such annuitant or pensioner has been ordered by any court to contribute to the support of such wife or husband; and (ii) in the case of a husband, was receiving at least one-half of his support from his wife at the time his wife's retirement annuity or pension began.

"(g) The spouse's annuity provided in subsection (e) shall, with respect to any month, be subject to the same provisions of subsection (d) as the individual's annuity, and, in addition, the spouse's annuity shall not be payable for any month if the individual's annuity is not payable for such month (or, in the case of a pensioner, would not be payable if the pension were an annuity) by reason of the provisions of said subsection (d). Such spouse's annuity shall cease at the end of the month preceding the month in which (i) the spouse or the individual dies, (ii) the spouse and the individual are absolutely divorced, or (iii), in the case of a wife under age 65, she no longer has in her care a child who, if her husband were then to die, would be entitled to an annuity under subsection (c) of section 5 of this Act." SEC. 6. Subsection (a) of section 3 of the Railroad Retirement Act 45 U.S.C. y zzóc. of 1937, as amended, is amended by changing "2.40" to "2.76", "1.80" to "2.07", and "1.20" to "1.38".

SEC. 7. Subsection (b) of section 3 of the Railroad Retirement Act of 1937, as amended, is amended by striking out all of paragraph (4) and inserting in lieu thereof the following paragraph:

"The retirement annuity or pension of an individual, and the annuity of his spouse, if any, shall be reduced, beginning with the month in which such individual is, or on proper application would be, entitled to an old age insurance benefit under the Social Security Act, as 42 U.S.C. § 1305. follows: (i) in the case of the individual's retirement annuity, by that

49 Stat. 620.

65 Stat. 684. 65 Stat. 685.

portion of such annuity which is based on his years of service and compensation before 1937, or by the amount of such old age insurance benefit, whichever is less, (ii) in the case of the individual's pension, by the amount of such old age insurance benefit, and (iii) in the case of the spouse's annuity, to one-half the individual's retirement annuity or pension as reduced pursuant to clause (i) or clause (ii) of this paragraph: Provided, however, That, in the case of any individual receiving or entitled to receive an annuity or pension on the day prior to the date of enactment of this paragraph, the reductions required by this paragraph shall not operate to reduce the sum of (A) the retirement annuity or pension of the individual, (B) the spouse's annuity, if any, and (C) the benefits under the Social Security Act which the individual and his family receive or are entitled to receive on the basis of his wages, to an amount less than such sum was before the enactment of this paragraph."

SEC. 8. Subsection (e) of section 3 of the Railroad Retirement Act 45 U.S.C. 2280. of 1937, as amended, is amended by striking out the phrase "and not less than five years of service"; by changing the phrase "subsection 2 (a) (3)" to "section 2 (a) 3 or the last paragraph of section 3 (b)"; by changing "$3.60" to "1.14", and "$60" to "$69"; and by changing the period at the end of the subsection to a colon and inserting after the colon the following: "Provided, however, That if for any entire

month in which an annuity accrues and is payable under this Act the annuity to which an employee is entitled under this Act (or would have been entitled except for a reduction pursuant to section 2 (a) 3 or a joint and survivor election), together with his or her spouse's annuity, if any, or the total of survivor annuities under this Act deriving from the same employee, is less than the amount, or the additional amount, which would have been payable to all persons for such month under the Social Security Act (deeming completely and partially insured indi- 49 Stat. 620. viduals to be fully and currently insured, respectively, and disregard- 42 U.S.c. § 1305. ing any possible deductions under subsections (f) and (g) (2) of section 203 thereof) if such employee's service as an employee after December 31, 1936, were included in the term 'employment' as defined in that Act and quarters of coverage were determined in accordance with section 5 (1) (4) of this Act, such annuity or annuities, shall be increased proportionately to a total of such amount or such additional amount."

SEC. 9. Section 3 of the Railroad Retirement Act of 1937, as 45 U.S.C. 2280. amended, is amended by striking out subsection (h) thereof.

SEC. 10. Subsection (i) of section 3 of the Railroad Retirement Act of 1937, as amended, is amended by redesignating it as subsection (h). SEC. 11. Subsection (a) of section 5 of the Railroad Retirement

Act of 1937, as amended, is amended by inserting "and Widower's" 45 U.S.c. § 228e. after "Widow's"; by inserting "or widower" after "widow"; by inserting "or his" after "her", by inserting "or he" after "she"; by striking out the phrase "three-fourths of"; and by changing the period at the end thereof to a colon, and by inserting after the colon the following: "Provided, however, That if in the month preceding the employee's death the spouse of such employee was entitled to a spouse's annuity under subsection (e) of section 2 in an amount greater than the widow's or widower's insurance annuity, the widow's or widower's insurance annuity shall be increased to such greater amount.”

SEC. 12. Subsection (b) of section 5 of the Railroad Retirement Act of 1937, as amended, is amended by striking out the phrase "threefourths of"; and by changing the period at the end thereof to a colon and inserting after the colon the following: "Provided, however, That if in the month preceding the employee's death the spouse of such employee was entitled to a spouse's annuity under subsection (e) of section 2 in an amount greater than the widow's current insurance annuity, the widow's current insurance annuity shall be increased to such greater amount."

SEC. 13. Subsection (c) of section 5 of the Railroad Retirement Act of 1937, as amended, is amended by substituting for the phrase "one-half" the phrase "two-thirds".

66

65 Stat. 685.

SEC. 14. Subsection (d) of section 5 of the Railroad Retirement 65 Stat. 686. Act of 1937, as amended, is amended by inserting, no widower," after "widow"; and by substituting for the phrase "one-half" the phrase "two-thirds".

SEC. 15. Subsection (e) of section 5 of the Railroad Retirement Act of 1937, as amended, is amended by substituting for the phrase "one-half" the phrase "two-thirds".

SEC. 16. Subsection (f) (1) of section 5 of the Railroad Retirement Act of 1937, as amended, is amended by inserting "widower," after the phrase "widow," where this phrase first appears in the first sentence, and after the phrase "widow," wherever this phrase appears in the fourth sentence; and by substituting in the first sentence for the word "eight" the word "ten".

SEC. 17. Subsection (f) (2) of section 5 of the Railroad Retirement Act of 1937, as amended, is amended by inserting ", widower," after the word "widow" wherever this word appears; by inserting "or her"