Aruba Esso news
Full Citation
Permanent Link: http://ufdc.ufl.edu/CA03400001/00671
 Material Information
Title: Aruba Esso news
Physical Description: v. : ill. ; 30-44 cm.
Language: English
Creator: Lago Oil and Transport Company, Ltd
Publisher: Lago Oil and Transport Co., Ltd.
Place of Publication: Aruba Netherlands Antilles
Creation Date: May 7, 1965
Frequency: biweekly
Subjects / Keywords: Petroleum industry and trade -- Periodicals -- Aruba   ( lcsh )
Genre: periodical   ( marcgt )
serial   ( sobekcm )
Language: Text in English and papiamento.
Dates or Sequential Designation: v. 1- 1940-
General Note: Cover title.
 Record Information
Source Institution: Biblioteca Nacional Aruba
Holding Location: Biblioteca Nacional Aruba
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: aleph - 000307401
oclc - 06371498
notis - ABT4040
System ID: CA03400001:00671

Full Text



VOL. 26, No. 8





New Pension Plan

New Lago Contributory Plan Lago Su Plan Nobo Contributorio Ta Duna

Provides Six Major Benefits Seis Beneficio Principal Pa Empleadonan
fl UF f l I I

1 atS ff Do ninr Em in o
n Un plan di pension contributorio nobo a ser

A New contributory pension plan has been provided for staff
and regular employees of Lago Oil and Transport Company, Li-
The new plan is entirely voluntary. Each employee electing to
participate will contribute four per cent (45 ) of his salary.
Lago will pay the additional, necessary cost of the plan.
To insure that all employees have a thorough understanding
of the new benefits available, Lago has been conducting special
information sessions for all florin-paid employees.
As additional reference material and to answer employee

questions, this special issue of
The adoption of the new pen-
sion plan meets a commitment
made during last year's con-
tract negotiations. At that
time, it was decided that a joint
management-union committee
would study and develop means
of improving pension benefits
through a contributory plan.
To advise this committee, Lago
engaged the services of an ex-
pert consultant in the pension
and benefits field from the
United States.
Coverage under the new plan
is retroactive to Jan. 1, 1965.
Major improvements result-
ing from the joint contribution
include: (See Chart No. 1)
(Continued on page 2)

the Aruba Esso News has been

1. Past



Sdesaroyi pa empleadonan staff y regular di
Lago Oil & Transport Co., Ltd.
E plan nobo ta completamente voluntario.
Cada empleado cu ta desea di participa lo mes-
ter contribui 4%, di su salario. Lago lo paga e
costo adicional cu ta necesario pa e Plan.
Pa asegura cu tur empleadonan lo tin un
profundo comprendemento di e beneficionan
cu ta disponibel, Lago ta conduciendo reunion-
nan special informative pa tur empleadonan
paga na florin.
Como material di referencia adicional y pa
duna contest ariba preguntanan di empleado-

Major Benefits

Based on 1964 Pay

2. Future Service Increased from 11/2 to 2%
3. Medical Insurance Annuitant & Wife
4. Group Life Insurance
5. Six Years Guaranteed Pension
6. Temporary Allowance

Chart No. 1

nan, e edicion special aki di Aruba Esso News
a ser prepare.
Aceptacion di e plan di pension nobo ta cum-
pli cu un compromise haci durante e negocia-
cionnan di contract anja pasi. Na e tempo ey,
a ser decidi cu un comite conhunto di gerencia-
union lo studia y desaroya medionan pa meho-
ra beneficionan di pension mediante un plan
contributorio. Pa duna conseho na e comite,
Lago a busca e servicio di un consultant ex-
perto den terreno di pension y beneficionan
for di Estados Unidos.
E plan nobo ta cubri participantenan retro-
activo te Jan. 1, 1965.
Mehoracionnan principal cu ta result for di
contribucionnan conhunto ta inclui: (Mira
Chart No. 1)
1. Pasado Servicio Bas6 ariba Pago di
2. Servicio pa Futuro Aument6 for di 1 V2 %
pa 2%
3. Aseguro Medico Pa Pensionista y Esposa
4. Aseguro di Bida en Grupo
5. Seis Anja di Pension Garantiz6
6. Abono Temporario
Chart No. 1
Cualkier empleado permanent paga na flo-
rin ta eligibel pa participa den e plan di pen-
sion contributorio.
(Continua na pagina 2)

Edad 25: Pension Nobo? Mi ta Edad 35: Mi mester a join. Mi Edad 45: 20 aia a pasa y nada Edad 55: Cinco ana mas! Pa biba Edad 60: Plan Nobo lo a duna mi
pense mas despues. master drenta awor. ward pa mi pension. cu pension bieuw? FIs. 100 of mas pa luna.






(Pension Plan Continued)

Any permanent florin-paid employee
is eligible to participate in the new
contributory pension plan.
Employees will have until May 31,
1965 to sign up for the increased bene-
fits of the new plan.
In order to receive pension under the
new plan, it is necessary to attain an-
nuitant status.

To attain annuitant status, an em-
ployee must:
(a) Retire at normal age (60 years)
with fifteen (15) or more years of ser-
(b) Retire under special conditions at
the employee's own request. To be able
to do this, the employee must be at
least fifty-five (55) years old and
must have twenty-five (25) years of

Annuitant Status

1. Normal Retirement
Age 60 15 or More Years Service

2. Special Retirement Employee's Request
Age 55 25 or More Years Service

3. Special Retirement Company's Discretion
Age 50 15 or More Years Service

4. Disability Retirement
15 or More Years Service

Chart No. 2

(c) Retire under special conditions at
company request. In this case, the em-
ployee must be fifty (50) years old and
have fifteen (15) or more years of ser-
(d) Retire with a disability pension.
Any employee with fifteen years ser-
vice who is permanently disabled may
qualify for annuitant status regardless
of age. This employee receives a full,
undiscounted pension.
(e) In addition, retirement must be
in accord with the Lago retirement pol-
icy in effect when he leaves the com-
pany's service. (See Chart No. 2)
1-Pension credits for past service
have been increased for 1'-% of career
earnings to 1' % of 1964 earnings.
EXPLANATION : Previously, pen-
sion credits were calculated on the ba-
sis of 11 % of career earnings. For ser-
vice prior to Sept. 1, 1948, the salary
rates in effect on Aug. 31, 1948 were
used. For service after Sept. 1, 1948,
1'2% of actual earnings were used.
Under the new plan, all pension cre-
dits for service prior to Jan. 1, 1965
will be calculated on the basis of 11'5%
of 1964 earnings minus Fls. 1320 per
year of service. (See Chart No. 3)
2-Pension credits for all service af-
ter Jan. 1, 1965 have been increased
from 11 '% to 2%.
EXPLANATION: Under the new

plan, pension credits for service after
Jan. 1, 1965 will be calculated on the
basis of 2% of career earnings minus
Fls. 1320 per year of service, instead
of 1'5% as had been the case under
the old plan. (See Chart No. 4 on page
3-Group Life Insurance. This is in
addition to any group or personal in-
surance the employee has presently.
EXPLANATION: The new plan pro-
vides for life insurance coverage for
the active employee. Initially, the em-
ployee contribution made available for
purchasing insurance will buy Fls.
8,800, to be paid to a beneficiary. This
is in addition to Lago's present survi-
vor benefits and any other insurance
coverage the employee now has.
Any employee whose present salary
is more than Fls. 8,800 per year may
increase his insurance at the same
rate per thousand florins of insurance
- to equal one year's salary. (See
Chart No. 5 on page 3)
4-Annuitant insurance which in-
cludes medical expense benefits for an-
nuitant and his wife.
EXPLANATION: Employees retir-
ing under this new plan may also sub-
scribe to annuitant insurance. This in-
surance coverage is equivalent to
amount of insurance in force on the
last day of work. One year after nor-
mal retirement (age 60) the insurance
(Continued on page 3)

Empleadonan lo tin te Mei 31, 1965
pa firma pa e beneficionan aumenti di
e plan nobo.
Pa por recibi pension bao e plan no-
bo, ta necesario pa atene estado di
Pa atene estado di pensionista, un
empleado mester:
(a) Retira cu pension na edad normal
(60 anja) cu diezcinco (15) of mas anja
di servicio.
(b) Retira bao condicionnan especial
ariba peticion di e empleado mes. Pa
por haci esaki, e empleado mester tin
por lo menos cincuenta y cinco (55)
anja di edad y mester tin binti-cinco
(25) anja di servicio.
(c) Retira cu pension bao condicion-
nan special ariba peticion di compania.
Den e caso aki, e empleado mester tin
cincuenta (50) anja di edad y tin diez-
cinco (15) anja of mas di servicio.
(d) Retira cu pension pa Desabilidad.
Cualkier empleado cu tin diezcinco
(15) anja di servicio cu ta permanent
incapacity por cualifica pa estado di
pensionista, no obstante su edad. E
empleado aki ta recibi un pension com-
pleto, sin descuento.
(e) Ademas, su retire cu pension mes-
ter ta di acuerdo cu Lago su p6liza di
pension na vigor ora el ta laga servicio
di compania. (Mira Chart No. 2)

1. Edad Normal di Pension
Edad 60 y 15 of mas anja di
2. Pension Special Ariba Peti-
cion di Empleado
Edad 55 y 25 of mas anja di
3. Pension Special Ariba Huz-
gamento di Compania
Edad 50 y 15 of mas onja di ser-
4. Pension pa Motibo di Desabili-
15 of mas ania di servicio.
(Chart No. 2)

1. Credito di pension pa servicio
pasado a ser aumenti for di 1j% di
ganamento durante pasado servicio pa
1 -2% di ganamento di 1964.
SPLICACION: Anteriormente, credi-
to di pension tabata ser calculi ariba
base di 11'% di ganamento durante
servicio pasado. Pa servicio promer cu
Sept. 1, 1948, e tarifanan di salario na
vigor ariba Aug. 31, 1948 tabata ser
usi. Pa servicio despues di Sept. 1,
1948, 11,% di ganamento na vigor a
ser usa.
Bao e plan nobo, tur credit di pen-
sion pa servicio promer cu Jan. 1, 1965
lo ser calcula ariba base di 12% di
ganamento di 1964 menos Fls. 1320 pa
anja di servicio. (Mira Chart No. 3)

Retirement Income Past Service

(1964 Total Compensation Fls. 1320) x

11/2% x

Years of Service Before 1-1-1965

Chart No. 3

n AA rA

(Compensacion Total pa 1964 menos
FIs. 1320) x
1V2% x
anjanan di servicio promer cu
(Chart No. 3)

2. Credito di pension pa tur servicio
despues di Jan. 1, 1965 a ser aumentA
for di 1'1% te 2/%.
SPLICACION: Bao di e plan nobo,
credit di pension pa servicio despues
di Jan. 1, 1965 lo ser calculA ariba base
di 2% di ganamento durante servicio
menos Fls. 1320 pa anja envez di 1,%
manera tabata e caso bao e plan bieuw.
(Mira Chart No. 4)
3. Aseguro di bida en grupo. Esaki ta
en adicion na cualkier aseguro en gru-
po of personal cu e empleado tin ac-
SPLICACION: E plan nobo ta per-
cura pa e empleado den servicio active
ser cubri pa aseguro di bida. Inicial-

(Despues di 12 31/64)
Base Anual
(Ganamento Anual menos FIs.
1320) x 2%
Base Mensual
(Ganamento Mensual menos FIs.
110) x 2%
(Chart No. 4)

mente, e contribution di empleado po-
ni disponibel pa cumpra aseguro lo
cumpra Fls. 8800 na aseguro, cual lo
ser paga na un beneficiario. Esaki ta
en adicion na e beneficionan pa sobre-
viviente cu Lago tin actualmente y
cualkier otro aseguro pa cual e em-
pleado ta cubri awor.
Un empleado kende su salario ac-
tual ta mas cu Fls. 8800 pa anja, por
aumenta su aseguro na mes tarifa pa
Fls. 1000 di aseguro te na e suma
igual na un anja di salario. (Mira
Chart No. 5 na pagina 3)
(Continua na pagina 3)


(Continuacion Plan di Pension)

J 0o--

L --


Friday, May 7

Frida), May 7 ARUBA ESSO NEWS 3

(Pension Plan Continued)

decreases by ten per cent (10%) per
year until it reaches fifty per cent
(50%). At age 65, the annuitant can
have insurance coverage equal to 50%
of the amount he had on his last day of
work. (See Chart No. 6 on page 6)
Twenty five per cent (25%) of the
annuitant insurance coverage may be
used by the annuitant and his wife to
cover medical expenses during his life-
time after retirement. An explanation
of the kinds of medical expense covered
and the amounts of reimbursement
will be issued in the future. The 25%
is based on the insurance in effect at

the time of retirement and is not af-
fected by the 10% reduction per year
after age 60. (See Chart No. 7 on page
5 Guaranteed pension for six
EXPLANATION: Under the new
plan, if an annuitant dies before having
collected six years of pension pay-
ments, referred to in items No. 1 and
No. 2, the remaining payments will be
paid to his survivors. The old plan does
not include this guarantee (See Chart
No. 8 on page 6)
6 Temporary allowance payable

Future Service (After 12-31-'64)

(Yearly Earnings Fls. 1320) x 2%

(Monthly Earnings Fls. 110) x 2%

Chart No. 4

for life from retirement until General
Old Age Insurance (GOAI) comes into
EXPLANATION: To further sup-
plement the annuitant's income, a tem-
porary allowance is added to his pen-
sion between retirement and age 65
(under present law). At age 65 this
temporary allowance stops. However,
the GOAI payments will begin. In most
cases, total retirement income will be
increased. (See chart No. 9 on page 4)

If you do not join the new plan, you
will still be covered under the old
(1948) plan. However you must re-
member that there will be no improve-
ments to the old plan. If you remain in
the old plan you will have:
1- No improvements in retirement
2- No new employee life insurance.
3- No annuitant life insurance.
4- No annuitant and wife medical
expense benefits.
5- No guaranteed pension pay-
REMEMBER: Plans are usually up-
dated every 10-15 years. It is possi-
ble that this new plan may be improved
before many present employees retire.

1- Those who do not elect to join
the new plan.

2- Those who join the new plan but
do not attain annuitant status.

You will contribute four per cent
(4%) of your pay. A part of this 4%
will be used to help improve your pen-
sion and the remainder will provide
other benefits (insurance, annuitant
medical care). Your contribution to-
ward pension improvements is deducti-
ble from your taxable income.

Once you join the plan you will not
be allowed to suspend payments for
any reason. No money under this plan
will be available to you until you retire
or leave the company's service.

The last day on which you can sign
up for the new plan is May 31, 1965.
If you join the new plan after this
date, you will lose because:
1- Your pension for past service
will not be based on your 1964 income.
Instead it will be based on your actual
earnings minus Fls. 1320 per year.
(See Chart No. 10 on page 4)
As you can see from the chart,
the amount of credit you will receive,
especially for service prior to Jan. 1,
1965, is considerably reduced if you
join after May 31, 1965.
2-You will receive no credits for
service from Jan. 1, 1965 until the date
you join.
(Continued on page 8)

(Continuacion Plan di Pension)

1. Costo ta FIs. 4.40 pa luna (50 c.
pa 1000)
2. Suma basico cu aseguro ta cu-
bri to FIs. 8800.
3. E Suma por ser aument6 te un
anja di pago.
4. Empleadonan soltero por au-
menta e suma di pension dentro
di 30 dia despues cu nan casa.
(Chart No. 5)

4. Aseguro pa pensionista, cual ta
inclui beneficionan pa gasto medico pa
pensionista y su esposa.
SPLICACION: Empleadonan cu re-
tira cu pension bao e plan nobo por
tambe registra pa e aseguro pa pen-
sionista. E suma di aseguro aki ta e-
quivalente na e suma di aseguro na
vigor ariba e ultimo dia di trabao. Un
anja despues di retire normal cu pen-
sion (edad 60), e aseguro ta rebaha cu
diez porciento (10%) pa anja te ora
el yega cincuenta porciento (50%). Na
edad di sesenta y cinco (65), e pen-
sionista lo tin aseguro igual na 50%
di e suma cu el tabatin ariba su ultimo
dia di trabao. (Mira Chart No. 6)
Binti-cinco (25%) porciento di ase-
guro pa pensionista por ser usA door
di e pensionista y su esposa pa cubri
gastonan medico durante su bida des-
pues di bai cu pension. Un splicacion
di e clase di gasto medico y e suma cu
ta ser paga back lo ser public. E 25%
ta basA ariba e aseguro na vigor na
tempo di retire cu pension y no ta ser
afecti door di e 10% di reduction pa


ler Anja di

2do Anja di

3er Anja di

4to Anja di

5to Anja di


6to Anja y anjanan

Normal -
8800 100%
Normal -
8000 90%
Normal -
7100 80%
Normal -
6200 70%
Normal -
5300 60%
despues -
4400 50%

(Calcul6 mas ariba te na FIs. 100
mas acerca)
Esaki no ta reemplaza e Plan di
Beneficio pa Sobreviviente ac-
(Chart No. 6)

(Ehempel: Aseguro na vigor ultima-
mente como empleado: FIs. 8800)
SUMA disponibel pa Beneficionan
Medico :
25% di FIs. 8800 = FIs. 2200
Calcul6 ariba te
FIs. 500 mas cerca = FIs. 2500
Esaki NO to un suma annual. Esaki
to e SUMA TOTAL disponibel duran-
(pa su mes y su esposa)?
(Chart No. 7)

anja despues di edad di 60 anja. (Mira
Chart No. 7)

Life Insurance

1. Cost Fls. 4.40 Per Month (50 c/1000)

2. Fls. 8800 Basic Coverage.

3. Can be Increased to One Year's Pay.

4. Single Employees can Increase Coverage

within 30 days of marriage.

Chart No. 5

5. Pension GarantizA pa Seis Anja.
SPLICACION: Bao e plan nobo, si
un pensionista muri promer di cobra
seis anja di pagonan di pension, referi
bao Puntonan 1 y 2, e resto di pagonan
lo ser pagi na su sobrevivientenan. E
plan bieuw no ta inclui e garantia aki.
(Mira Chart No. 8)
6. Abono temporario pagable pa hen-
ter bida for di tempo di retire cu pen-
sion te ora cu Aseguro General di Bie-
(Continua na pagina 6)

1. Pension Ta Garantiz6 pa 6 anja.
2. Proteccion To ser Dun6 na Sobre-
3. Pago ta ser hac na sobrevivien-
tenan of herencia, si bo muri
promer di cobra bo pension pa
6 anja.
(Chart No. 8)


Friday, May 7

Advantage of Joining Now

Example: Employed 1-1-51 Fls. 500/mo.

Salary Range Fls. 500-800


Salary FIs. 650/mo.



Annuity credits Past Service Fls. 1366.20/yr.

Join Late:

Annuity credits Past Service Fls. 1069.20/yr.

Difference Fls. 297/yr. at age 60


Fls. 24.75/mo. at age 60

Chart No. 10

Questions and Answers About Lago's New Annuity and Insurance Plan

(1) Q. Can an employee who resigns before reaching
the age of 49 leave the amount he has contri-
buted as an employee in the New Plan?
A. No, but he will receive the total amount of his
contributions plus interest, minus life insurance
premiums paid, because at age 49 or less, an
employee does not attain annuitant status as is
required by the New Plan. However, if he has
15 years or more of service he will receive
deferred pension under the 1948 Plan.
(2) Q. If an employee joins the New Plan on or before
May 31, 1965, does he have to make contribu-
tions retroactively to Jan. 1, 1965 ?
A. No, but it would be advisable for him to do so.
otherwise he will not receive credit for the
months between Jan. 1, 1965 and the date he
signs up.
(3) Q. If an employee is discharged before age 50.
will he receive his pension under the New Plan ?
A. No, an employee that is discharged before age
50 does not attain the status of annuitant and
therefore will not receive pension under the
New Plan. He will only get back his contribu-
tions plus interest, minus life insurance prem-
iums paid. However, if the employee has 15 or
more years of service, he will receive deferred
retirement income under the 1948 Plan.
(4) Q. Can an employee who has joined the New Plan
withdraw from it later while still employed?
A. No. If an employee had the option of with-
drawing from the New Plan after he has joined
it, his monthly contributions would NOT be tax
exempt which is the case now.
(5) Q. Will the amount of an annuitant's retirement
income increase at age 60, if he had retired
earlier and elected a discounted pension?
A. No, once an employee receives a discounted
pension the amount will never change.
(6) Q. If an employee dies before becoming an annui-
tant, will his survivors receive survivor benefits
and insurance?
A. Yes, his survivors will receive survivor benefits
under the present Survivor Benefit Plan and
insurance under the present Group Life In-
surance. If the deceased employee was a par-
ticipant in the New Plan, his survivors will
receive an amount of insurance of at least
Fls. 8,800.
(7) Q. Does the medical insurance cover hospitaliza-
A. Yes, it covers hospitalization and certain other
medical expense up to 25% of the annuitant

insurance rounded upward to the
Fls. 500.


(8) Q. If an annuitant nevel uses his medical benclit.
can he make a cash withdrawal from the med-
ical insurance fund?
A. No, it is intended as a medical expense and
death benefit.
(9) Q. Can an employee join the insurance plan with-
out participating in the pension plan?
A. No. It is a single contribution to the new plan.
(10) Q. Does the life insurance apply to an annuitant
who lives outside of Aruba?
A. Yes.
(11) Q. Will the medical expenses incurred by an an-
nuitant under the New Plan be refunded on a
reimbursement basis, or must the attending
physician submit a claim?
A. All medical expenses covered by the New Plan
will be refunded on a reimbursement basis ex-
clusively. Claims forms will be available.
(12) Q. What effect will the group life insurance under
the New Plan have on the existing group life
insurance for employees?
A. None. The life insurance under the New Plan is
additional life insurance for the employee.
113) Q. If an employee retires at age 58. is he entitled
to the pension as of age 60 ?
A. No, the retirement income of all employees
retiring before age 60 is discounted.
(14) Q. Can an employee who resigns after 15 years of
service but is less than 50 years of age, claim
pension when he reaches age 60?
A. Only under the 1948 Plan. He will receive no
pension under the New Plan because he will
not attain the status of annuitant as required
under the New Plan if he resigns before age 50.
(15) Q. I understand that of my plan contribution, 4';
of my pay in excess of 110 florins per month
goes toward the cost of my pension benefits.
Can this allocation ever change?
A. Yes, if the GOAI, presently Fls. 55 per month
for a single person, changes, the portion of your
plan contribution going for pension will change
It will always be based on your pay in excess
of twice the GOAI benefit for single persons.
The balance of the 4c; contribution will then
go toward purchase of life insurance.
(16) Q. Will the survivors of an employee who dies be-
fore reaching age 50 receive the employee's
contributions under the New Plan?

A. Yes. The survivors will receive the amount of
the employee's contributions, (except the
amount used for life insurance premiums), plus
interest, plus life insurance of at least Fls.8.800
(17) Q. If the employee retires at age 50, is his pension
guaranteed under the New Plan 'n case of
A. Yes, for a minimum of 6 years, discounted for
age 50.
(18) Q. Is the temporary allowance under the New Plan
payable to an employee who is retired at age
50 with annurtant status?
A. Yes, but the allowance will be discounted for
age 50.
(19 Q. Why is the amount Fls 110 "deducedd" from
an employee's monthly salary, before calculat-
ing his retirement income?
A. The amount of FIs. 110 is not deducted from
an employee's monthly salary, but is merely a
formula for recognizing in advance the Govein-
ment Old Age Insurance iGOAI), which is
FIs 55 per single person, commencing at age
65, under present law.
1201 Q. On what salary will the contributions be cal-
culated ?
A. On an employee's normal monthly earnings
(211 Q. Why is an employee penalized if he signs up
after May 31. 1965?
A. All pension and insurance plans are based on
large groups of employees joining immediately
and sharing the costs.
(22) Q. Can an employee borrow money from his Thrift
Plan for paying retroactive contributions undez
the New Plan?
A. No, retroactive contributions can only be made
through Payroll deductions
(23) Q. What benefits will an employee with 15 years
or more of service who has joined the New
Plan in January, 1965, receive if he is laid off
A. If the employee is laid off and retires with an-
nuitant status in accordance with the New Plan,
he will receive all benefits under this Plan.
However, if he does not acquire the status of
annuitant, he will be refunded all the contri-
butions he has made to the New Plan plus in-
terest, minus life insurance premiums paid, and
receive deferred retirement income under the
1948 Plan.

Contlinll un Iipage Sl



Friday, May 7 ARUBA ESSO NEWS 5

Pregunta y

Contesta Ariba E Plan Nobo


y Aseguro

i1) P. Ta posibel pa tn empleado cu kita promer di
yega edad di 49 anja laga e suma cu el a con-
tribui como un empleado den e Plan Nobo?
C. No, pero el lo recibi e suma total di si contrn-
bucionnan plus intcres, menos premio pa ase-
guro di bida paga. pasobra na edad di 419 anja
of menos, un empleado no ta atene e estado di
pensionista maneta e Plan Nobo ta reqneri.
Sinembargo. si e tin 15 anja of mas di servicio.
el lo recibi pension aplaza boo e Plan di 1918.
(21 P. SI un empleado join e Plan Nobo ariba of pro-
mer cu Mei 31. 1965, lo el mester haci contri-
bucionnan retroactive te Januati 1, 1965?
C. No, pero lo ta consehabel pe haci esey, sino el
lo no recibi credit pa e lunanan entire 1 1'65
y c fecha cu el firma.
13) P. Si un empleado ser kita piomer cu edad 50. lo
e iecibi so pension bao e Plan Nobo?
C. No. un empleado cu haya su retiro promer cu
edad 50 no ta atene e estado di pensionista y
posey el lo no reclbi pension bao e Plan Nobo.
Solamente el lo haya back su contribucionnan
plus mteres, menos premlo pa aseguro di bida
paga Sinembargo, si e empleado tin 15 of mas
anja di servicio, el lo recibi pension plaza bao
e Plan di 1948.
(4) P Ta posibel pa un empleado cu a join e Plan No-
bo salt for di e Plan despues mientras ainda el
ta emplea?
C. No Si un empleado tabatin e opcion pa sali for
di e Plan Nobo despues cu el a join, su contri-
bucionnan mensual lo NO ta liber for di belas-
ting manera ta e caso awor.
(5) P. Lo e suma di e entrada di pension di e pen-
sionista aumenta na edad di 60 anja, si el a
retira promer y a eligi pa tuma un pension cu
C. No, una vez cu un empleado recibi un pension
desconta, e suma lo no cambia jamas.
G6i P. Si un empleado muri promer di bira un pen-
sionista, su subrevivientenan lo recibi beneficio-
nan di sobreviviente y aseguro?
C Si, su sobrevivientenan !o recibi beneficionan di
sobreviviente bao e Plan di Beneficio pa Sobre-
viviente actual y aseguro bao e present Ase-
guro di Bida en Grupo Si e empleado difunto
tabata un participate bao e Plan Nobo. su
sobrevivientenan lt recibi ademas un suma di
aseguro di por lo menos Fls. 8,800.
(7) P. E aseguro medico ta cubri hospitalization
tambe ?
C. Si, el ta cubri hospitalization y ciei to otro gas-
to medico te 25'; di e aseguro pa pensionista,
calcula te na e Fls 500 cu ta mas ariba y mas
(8) P. Si un pensionista nunca a usa su beneficio me-
dico, el por lamta placa for di e fondo di ase-
guro medico?
C. No. E ta intenciona como un beneficio pa gasto
medico y morto.
19) P. Ta posibel pa un empleado join e plan di ase-
guro sin participa den e Plan di Pension?
C. No. E ta un solo contribution na e plan nobo.
110) P. E aseguro di bida ta aplica pa un pensionista
kende ta biba pafor di Aruba?
C. Si.
(11) P. E gastonan medico haci door di un pensionista
bao e Plan Nobo lo ser paga back na e pen-
sionista of ta e dokter cu a trata e pensionista
mester manda su cobranza?
C. Tur gastonan medico cubri pa e Plan Nobo lo
ser paga back na e pensionista exclusivamente
a base di e comprobantes cu el ta present.
Formulario pa reclama pago back ta disponibel.
S12) P. Ki efecto e aseguro di bida en grupo bao e Plan
Nobo lo tin ariba e aseguro di bida en grupo
cu tin awor pa empleadonan?
C. Ningun efecto, pasobra e aseguro di bida bao e
Plan Nobo ta fuera y ademas di e aseguro di
bida en grupo actual pa empleadonan.
(13) P. Si un empleado retira na edad di 58 anja, lo el
tin derecho ariba e pension mescos cu na edad
di 60 anja?
C. No, e entrada di pension di tur empleado cu re-
tira cu pension promer cu edad di 60 anja ta
ser desconta.
(14) P. Ta posibel pa un empleado cu ta kita despues

Formula pa Calcula Entrada di Pension pa

Empleadonan Paga na Florin Bao e Plan Nobo di

Pension y Aseguro

(1) PA SERVICIO PASADO (Promer cu Jan. 1, 1965)

(Ganamento pa 1964 menos FIs. 1320) x 1 Vi % x anjanan di servicio credit
promer cu 1/1J65

(2) PA SERVICIO DEN FUTURO (Despues di Dec. 31, 1964)

Ganamentonan total despues di
cual el a haci contribucionnan) x


12/31 64 menos FIs. 1320 pa cada anja pa

: FIs. 40 pa luna entire edad 60 y 65,

bas6 ariba e ley actual.
Si un empleado a firma pa e Plan Nobo promer cu Mei 31, 1965, y luego ta bai cu pen-
sion como un pensionista, su entrada total di pension pa luna PROMER cu el a yega
edad di 65 anja lo ta: ((1) plus (2) part den 12) plus (3).
Ora el yega edad di 65 anja, e abono temporario bao No. (3) aki riba, lo ser desconti-
nua y su pension total pa luna lo ser calcula manera to sigui :

PENSIONISTA CASA : ((1) plus (2) part den 12) plus Pension di Aseguro

di Gobierno di FIs. 95/luna.

PENSIONISTA SOLTERO : ((1) plus (2) part den 12) plus Pension di

Aseguro di Gobierno di FIs. 55/1una.
(Bas6 ariba Pension di Biehez di Gobierno complete segun e ley actual)

Ademas di loke ta menciona aki riba, e plan nobo tin e siguiente ventahanan :

(1) Aseguro di Bida en Grupo pa Empleado cu FIs. 8,800 como minimo.
(2) Aseguro di bida y medico pa e pensionista y su esposa.
(3) Seis anja di pension garantiza.

di 15 anja di servicio, pero cu tin menos cu 50
anja, reclama derecho di pension ora el yega
edad di 60 anja?
C. Solamente bao e Plan di 1948. El lo recibi nin-
gun pension bao e Plan Nobo, pasobra el no ta
atene e estado di pensionista manera ta re-
queri bao e Plan Nobo, si e kita promer cu
yega edad di 50 anja.
115) P. Mi ta comprende cu for di mi contribution na
e plan, 4'; di mi Pago cu ta sur pasa Fls. 110
pa luna ta bai pa paga costo di mi beneficionan
di pension. Ta possible cu e asegnacion aki por
cambia un dia?
C. Si. Si, E Pension di Biehez di Gobierno, cu al
present ta Fls. 55 pa luna pa un persona sol-
tero, cambia, e parte di bo contribution na e
plan cu ta bai pa pension lo cambia. Semper e lo
ta basa ariba tal parte di bo pago, cual ta sur
pasa dos bez e Pension di Biehez di Gobierno
pa un persona soltero. E rest di e 41' di con-
tribucion luego lo bai pa cumpra aseguro di
(16) P. E sobrevivientenan di un empleado cu muri
promer di yega edad di 50 anja lo haya back e
contribucionnan di empleado bao e Plan Nobo?
C. Si. E sobrevivientenan lo recibi e suma di e
contribucionnan di e empleado, plus interest,
plus aseguro di bida di por Io menos FIs. 8,800,
menos premio paga pa aseguro di bida.
(17) P. Si e empleado retira cu pension na edad di 50
anja, su pension ta garantiza bao e Plan Nobo
en caso di morto?
C. Si, pa un minimo di 6 anja, cu descuente cu ta
aplica pa edad di 50 anja.
(18) P. E abono temporario di e Plan Nobo lo ser paga
na un empleado kende ta bai cu pension na edad
di 50 anja como un pensionista?

C. Si, pero e abono lo ser desconta pa

edad di. 50

(19) P. Pakiko e suma di Fls. 110 ta ser "kita" for di
salario mensual di empleado promer di calcula
su entrada di pension?
C. E suma di Fls. 110 no ta ser kita for di un em-
pleado su salario mensual, pero ta solamente
un formula pa reconoce di antemano e Aseguro
di Pension di Biehez di Gobierno, cual ta Fls. 55
pa un persona soltero cuminzando na edad di
65 anja, bao e ley actual.
120) P. Ariba ki salario e contribueionnan lo ser cal-
cula ?
C. Ariba e ganamento normal pa luna di un em-
(21) P. Pakiko un empleado ta ser penaliza si e firm
despues di Mei 31, 1965?
C. Tur plannan di pension y aseguro ta basa ariba
participation di gruponan grand di empleado-
nan inmediatamente pa nan comparti e cost.
122) P. Ta posibel pa un empleado presta placa for di
Thrift Plan pa paga contribucionnan retroac-
tivo bao e Plan Nobo?
C. No, contribucionnan retroactive por ser haci
solamente via deduccion for di pago.
(23) P. Ki beneficionan un empleado cu tin 15 anja of
mas di servicio kende a join e Plan Nobo na
January 1965 lo recibi si e haya layoff?
C. Si e empleado haya layoff y ta bai cu pension
como un pensionista di acuerdo cu e Plan Nobo,
el lo recibi tur e beneficionan bao e Plan. Si-
nembargo, si e no atene estado di pensionista,
el lo ser paga back tur e contribucionnan cu el
a haci na e Plan Nobo, plus interest, menos pre-

(Continut na pagina 7)



(Continuacion Plan di Pension)

hez di Gobierno ta drenta na vigor.
SPLICACION: Pa suplementa e en-
trada di e pensionista mas, un abono
temporario ta ser agrega na su pension
entire edad di retire cu pension y edad
di 65 anja bao e ley actual. Na edad
di 65 anja, e abono temporario aki ta
stop. Sinembargo, e pago di Aseguro
di Biehez di Gobierno lo cuminza bao
e ley actual. Den mayoria caso, e total
di entrada di pension lo ser aumentd.
(Mira Chart No. 9)

FIs. 40 pa luna na edad di 60 anja.
Descuento pa Pension Avanz6.
Pension no to ser reduce na Edad di
FIs. 110 luna (FIs. 1320/anja) no
to ser usa pa calcul6 entrada di
(Chart No. 9)

Si bo no participa den e plan nobo,
ainda lo bo ta cubri bao e plan bieuw
(di 1948). Sinembargo, bo mester cor-
da cu lo no tin ningun mehoracion na
e plan di 1948. Si bo keda den e plan
bieuw, lo bo tin:
1 Ningun mehoracion den entrada
di pension.
2 Ningun aseguro di bida nobo pa
3 Ningun aseguro di bida pa pen-
4 Ningun beneficionan pa gasto
medico pa pensionista y esposa.
5 Ningun pagonan di pension ga-
CORDA: Plannan generalmente ta
ser mehorh cada 10 te 15 anja. Ta po-
sible cu e plan nobo aki por ser meho-
ri promer cu hopi empleadonan actual
lo retira cu pension.

PLAN DI 1948?
1.- Esnan cu no ta desea di participa
den e plan nobo.
2.- Esnan cu drenta e plan nobo, pero

cu no ta atene estado di pensionis-

Abo lo contribui cuatro porciento
(4%) di bo pago. Un parti di e 4%
aki lo ser usa pa yuda mehora bo pen-
sion y e resto lo percura pa otro bene-
ficionan (aseguro, cuido medico pa
pensionista). Bo contribution pa me-
horacion di pension por ser kita for di
bo entrada ariba cual inkomstenbelas-
ting ta ser cobrA.

Una bez cu bo participa den e plan,
lo bo no ser permit pa suspended pago-
nan pa ningun motibo. Ningun placa
bao e plan aki lo ta disponibel pa bo,
sino te ora bo retira cu pension of laga
servicio di compania.

E ultimo dia ariba cual bo por firma
pa e plan nobo ta Mei 31, 1965. Si bo
drenta den e plan nobo despues di e fe-
cha aki, lo bo perde, pasobra:
1- Bo pension pa servicio pasado
lo no ser basA ariba bo entrada di 1964.
Envez di esey, e lo ta basa ariba bo
ganamentonan na vigor menos Fls.
1320 pa anja. (Mira Chart 10)

Manera bo por mira for di e chart
aki riba, e suma di credit cu bo lo re-
cibi, especialmente pa servicio promer
cu Jan. 1, 1965, ta ser reduci consider-
ablemente si bo join despues di Mei
31, 1965.
2- Lo bo no recibi ningun credit
pa servicio for di Jan. 1, 1965 te e fe-
Pha cu bo join.
3- Si awor bo ta mas bieuw cu 30
anja y no join promer cu Mei 31, 1965,
lo bo no ta eligibel pa aseguro di bida
pa pensionista ni aseguro pa gastonan

Si bo no a autoriza Depto. di Comp-
troller's pa kita bo contribucionnan
efectivo Jan. 1, 1965, of si bo a autori-
za nan y desde e tempo a cancel bo
contribucionnan, ainda bo por ser cu-

Six Years Guaranteed Pension

1. Pension Guaranteed for 6 Years.

2. Provides Protection for Survivors.

3. Paid to Survivors or Estate if you die

Before Collecting Your Pension

For 6 years.

Chart No. 8

Emple6 1-1-54 na FIs. 500 'luna
Salario to varia entire FIs. 500 y
FIs. 800
Salario Promedio FIs. 650 luna.
SI DRENTA AWOR: to recibi:
Credito di Pension pa Pasado Ser-
vicio menos FIs. 1366.20 anja
SI DRENTA LAAT: to recibi:
Credito di Pension pa Pasado Ser-
vicio menos FIs. 1069.20 anja
Diferencia FIs. 297 anja na e-
dad di 60 anja
FIs. 24.75 luna na edad di 60
(Chart No. 10)

bri door di e Plan Nobo, cuminzando
Jan. 1, 1965. Pa haci esaki, lo bo mes-
ter paga contribucionnan retroactive.
Esaki ta nifica, cu si bo join e Plan
promer cu Mei 31, 1965, bo por haci
arreglo pa laga bo contribucionnan ser

kita na cuota for di bo pago entire e
tempo cu bo firma y e fin di 1965.

(Mira Chart No. 11)

PLAN DI 1948
1 /2 % di Ganamento durante Ser-
Ningun Pension Garantiza.
1. Servicio Pasado ta aumenta
for di 11/2 % di ganamento pa
servicio pas6 na 1 /2 % di Ga-
namento di 1964.
2. Future Servicio to aumenta
for di 1 /V2 % te 2%.
3. Aseguro Medico Pa Pension-
ista y Esposa.
4. Aseguro di Bida
Minimo FIs. 8800
Maximo Un Anja di Pago.
5. Seis Anja di Pension Garantiz6.
6. Abono Temporario.
(Chart No. 11)

Annuitant Insurance

1st Year Normal Retirement Fls. 8800

2nd ,, 8000

3rd ,, 7100

4th ,, ,, 6200

5th .- 5300

6th and subsequent years -


- 100%

- 90%

- 80%

- 70%

- 60%

- 50%

(Adjusted Upwards to the Nearest Fls. 100)

* Does not replace Survivor Benefit Plan

Chart No. 6

Friday, May 7


Friday. ~lay 7 ARUBA ESS() NEWS

Questions and Answers


(24) Q. What is the minimum years of service and age
an employee must have in order to qualify for
benefits under the New Plan?
A. An employee, to be eligible under the New
Plan, must have at least 15 years of service
and must be at least 50 years old.

(25) Q. Does the medical insurance under the New
Plan cover medical expenses incurred by the
annuitant in Aruba only?
A. No, the medical insurance also applies to med-
ical expenses incurred by an annuitant outside
of Aruba.

126) Q. Will an employee who has contributed to the
New Plan for only two years receive the same
benefits as an employee who has contributed
for 20 years?
A. If both attain the status of annuitant as pres-
cribed by the New Plan they will both rece:ve
the same types of benefits. However, the em-
ployee who has contributed for only two years
will receive a smaller retirement income be-
cause this income will be based on 11,I of his
1964 earnings in recognition for service prior
to 1/1/65 and on 2', of earnings received b--
tween this date and the effective date of hiN
retirement on 1/1/67. (He has contributed onl'
2 years since the New Plan became effective
The employee who has contributed for 20 years
will receive a bigger retirement income since
this income will be based on 2'; of his actual
earnings between 1/1/65 and 1/1/85.

(27) Q. Who can serve as witness when an employee
signs up for the New Plan?
A. The employee's supervisor or any supervisor in
the P.R./I.R. Department.

(28) Q. If Lago decides to cease operation, who will
pay the annuitant?
A. In such an unlikely event, Lago would most
probably engage the services of a local bank
or accounting firm or insurance company to
administer these payments.

(29) Q. Is it advisable for an employee with 15 years
or more of service and at least 50 years old
who has received a layoff notice for August
1965 to join the New Plan?
A. Yes, otherwise he will not receive the benefits
of the New Plan which are more generous than
those under the 1948 Plan.

(30) Q. What are the discount factors that apply to
retirement income commencing at ages below
A. Presently these are the discount factors in ef-
fect. They are subject to change based on ac-
tuarial experience
Age Discount Factors
60 1.0000
59 .9170
58 .8430
57 .7760
56 .7160
55 .6610
54 .6120
53 .5670
52 .5270
51 .4890
50 .4550
(31) Q. Can an employee who now has an annual in-
come of more than Fls. 8,800 increase his life
insurance to one year's income after May 31,
1965, although he signs up for the New Plan
before this date?
A. No. A married employee has a one-time option
during the enrollment period prior to May 31,
1965, to increase the amount of his life insur-
ance up to one year's income. However, if the
employee is a bachelor, he will also have the
option after May 31, 1965, to increase his life
insurance up to one year's earnings within 30
days after registration of his marriage.

Continuacion di Pr

mionan paga pa aseguro di bida, y el lo recibi
pension aplaza bao e Plan di 1948.
(24) P. Cual ta e minimo anjanan di servicio y edad cu
un empleado mester tin pa e por cualifica pa
beneficionan bao e Plan Nobo?
C. Un empleado, pa ser eligibel bao e Plan Nobo,
mester tin por lo menos 15 anja di servicio y
mester tin edad di por Io menos 50 anja.
(25) P. E aseguro medico bao e Plan Nobo lo cubri
gastonan medico cu ta ser haci door di c pen-
sionista na Aruba sol ?
C. No, e aseguro medico tambe ta aplica pa gasto-
nan medico haci door di un pensionista pafor
di Aruba.

(26) P. Lo un empleado cu a contribui na
pa solamente dos anja recibi e mes
cu un empleado cu a contribui pa

e Plan Nobo
20 anja?

C. Si ambos a atene e estado como pensionista
manera stipula door di e Plan Nobo nan tur
dos lo recibi e mes clasenan di beneficionan.
Sinembargo, e empleado cu a contribui pa so-
lamente dos anja, lo recibi un entrada di pen-
sion mas chikito pasobra e entrada aki lo ta
basa ariba 1-12% di su ganamento di 1964 pa
servicio promer cu 1/1/65 y ariba 2% di gana-
mentonan recibi entire e fecha ey y e fecha cu
su pension ta drenta na vigor ariba 1/1/67. (El
a contribui pa solamente 2 anja, desde cu e
Plan Nobo a bira efectivo 1/1/65).
E empleado kende a contribui pa 20 anja, lo
recibi un entrada di pension mas halto como cu
e entrada di pension lo ta basa ariba 2% di su
ganamentonan actual entire 1/1/65 y 1/1/85.
(27) P. Kende por sirbi como testigo ora un empleado
ta firma pa e Plan Nobo?
C. E hefe di e empleado of cualkier hefe den PR/
IR Department.
(28) P. Si Lago dicidi pa stop operacionnan, kende lo
paga e pensionista?




(Prior to 1/1 65

(After 12131/64)

(Total earnings after 12/31164 less FIs. 1,320 per year upon which he made
contribution x 2%

(3) TEMPORARY ALLOWANCE FIs. 40 per month between ages 60

and 65 (based on present law)

Thus, if an employee has signed up for the New Plan prior to May 31, 1965, and sub-
sequently retires with annuitant status, his total monthly retirement income PRIOR to
reaching age 65 will be: ((1) + (2) divided by 12) + (3).

Upon reaching 65, the temporary allowance under (3) above, will be discontinued and
his total monthly retirement income will be calculated as follows :

MARRIED: ((1) + (2) divided by 12) + GOAI of FIs. 95 mo.


(based on full GOAl payment under present law)

In addition to the above, the new plan has the following advantages :
(1) Employee Group Life Insurance of minimum FIs. 8,800.
(2) Life and Medical insurance for the annuitant and his wife.
(3) Six years guaranteed pension.

y Contest

C. Den tal caso cu ta improbable, Lago muy pro-
bable lo busca servicio di un banco local of un
firma di accountant of un compania di aseguro
pa administra tal pagonan.
(31) P. Ta consehabel pa un empleado cu tin 15 anja
of mas di servicio y por lo menos 50 anja di
edad y kende a recibi aviso di layoff pa Augus-
tus 1965 join e Plan Nobo?
C. Si, sino el lo no recibi e beneficionan di e Plan
Nobo, cual ta mas generoso cu esnan bao di e
Plan di 1948.
(30) P. Cual ta e factornan di descuento cu ta aplica pa
entrada di pension pa edadnan bao 60 anja?
C. Actualmente esakinan ta e factornan di des-
cuenta na vigor. Nan ta someti na cambio, basa
ariba experiencia actuario.
Edad Factornan di Descuento
60 1.0000
59 .9170
58 .8430
57 .7760
56 .7160
55 .6610
54 .6120
53 .5670
52 .5270
51 .4890
50 .4550
(31) P. Ta posibel pa un empleado cu awor tin un en-
trada annual di mas cu Fls. 8,800 aumenta su
aseguro di bids te na su entrada annual despues
di Mei 31, 1965, aunque el a firma pa e Plan
Nobo promer cu e fecha ey?
C. No. Un empleado casa tin un opcion un solo bez
durante e period di inscripcion promer cu Mei
31, 1965 pa aumenta e suma di su aseguro di
bida te na su entrada annual. Sinembargo, si e
empleado ta soltero, el lo tin opcion tambe des-
pues di Mei 31, 1965, pa aumenta su aseguro di
bida te na un anja di ganamento dentro di 30
dia despues di registration di su matrimonio.

Formula for Calculating a Florin-Paid Employee's

Retirement Income Under the New Annuity and

Insurance Plan

(1964 earnings less FIs. 1,320) x 1 V % x years of credited service prior to
1/1 65

((1) + (2) divided by 12) + GOAl of FIs. 55 mo.


Friday, May 7


Fabian Francis, left, is one of the PR/IR De-
partment staff members who is conducting
the information sessions on the New Logo
Pension Plan. Other persons participating are
Oscar Antonette, Elias Fingal and Carlos De
Cuba. When the sessions are completed,
every Logo employee will have had the op-
portunity to participate.

Friday, May 7

Printed by the Aruba DrukkerJ N.V.. Neth. Ant.
E. Villanueva, Editor J. E. Thode, Publications Asst.
J. De Cuba, Photographer A. Kock, Photo Asst

Fabian Francis, robez, to uno di e miembro-
nan di staf di departamento PR IR, cu ta
conduct e reunionnan informative ariba e
Plan di Pension Nobo di Logo. Otro persona-
nan cu ta dirigi e reunionnan ta Oscar An-
tonette, Elias Fingal y Carlos De Cuba. Ora
e reunionnan terminal, tur empleado di Lago
lo a atende nan.

Pension Plan Continued
3- If you are now older than 30 and
do not join before May 31, 1965, you
will not be eligible for annuitant life
and medical expense insurance.
If you did not authorize comptrol-
ler's to deduct your contributions ef-
fective Jan. 1, 1965, or if you did au-
torize them and have since withdrawn
your contributions, you can still be
covered by the New Plan starting Jan.
1, 1965. To do this, you will have to pay
retroactive contributions. This means
that if you join the Plan, before May
31, 1965, you can arrange to have your
contributions deducted in installments
from your pay between the time you
sign and the end of 1965.

(See Chart No. 11)

1948 PLAN
1 1/2% Career


No Guaranteed Return


1. Past Service From 11/2% Career
Earnings to 11/2% of 1964 Earnings

2. Future Service from 11/2 to 2%

3. Medical Insurance Annuitant & Wife

4. Life Insurance Min. Fls. 8800 Max.
One Year's Pay.


5. Six Years Guaranteed Pension

6. Temporary Allowance

Chart No. 11

Pa SEGURIDAD di Majan Join E Plan di Pension Nobo AWE

For A SECURE Tomorrow Join The New Plan TODAY


MAY 31

Comparison of Benefits