Arizona republican., 1909-12-08

tive governmental necessity. The re- suit has been as | am advised by the secretary of the treasury. that the es- inmates of the expenses of the gov ernment for the fiscal year ending June 20. lg1l-that is for the next fiscal Year-are less by $55, ,6G. 900 than the total of appropriations for the current fiscal year. and less by S94 .OO0. 900 than the estimates for that year.
 So far as the secretary of the treas ury is able to form q judgment as to future income and compare it with the expenditures for the next fiscal year. ending June 30. 1911. inlcuding the payments on account of the Pan anna canal and the public debt. there June 30. 1911, but a small surplus of $7I2.O0
 In the present estimates the needs for the departments and of the gov ernment have been cut tO the quick. so tO speak. and any assumption on the part of the congress so often made in times past. that the estimates have been prepared with the expecta- tion that they may be reduced will re- suit in seriously hampering the proper administration.
 Governmental Expenses.
 The secretary Of the treasury points out what should be carefully noted in respect to this reduction in govern mental expenses for the next fiscal year, that the economies are of two kinds-first. there is a saving in the permanent administration of the de- partments. bureaus and offices of the government; and. second. there is present reduction in expenses by postpOnement of projects and i'm provements that have to be carried out but which are now delayed with the hope that additional revenue in the future will permit their execution without producing d deficit.
 It has been impossible in the prep aratiOn of estimates greatly to reduce the cost of permanent administration. This cannot be done without a thor Ough reorganization of bureaus, of fees and departments. For the pur- pose of securing information which may enable the executive and the leg islatiOn branches to unite in d plan for the permanent reduction of the cost of governmental administration. the treasury department has instituted an investigation by one of the most skilled expert accountants in the Unit ed States. The result of his work in two or three bureaus, which if eX- tended to the entire government must occupy two or more years. has been to
 
 for substantial reductions in the costs. and for the increased eff ficiency of administration. The object of the investigation is to devise means to increase the average efficiency of each emplOye There is great room for i'm provement toward these ends, not only by the reorganization of bureaus and the avoidance of duplication but also in the treatment of the individual em- ploye.
 A Bureau Reform.
 Under the present system it con stantly happens that two employees re ceive the same salary when the work of one is far more difficult and i'm portant and eXacting than that of the other.
 super TUT dbllllN iS lipl ltN dluf pA As the classification is now entirely by salary, an employe often rises to the highest class while doing the easiest work for which alone he may be fitted. The investigation ordered by my predecessor resulted in the recommendation that the civil service be reclassified according to the kind of work SD that the work requir- ing most application and knowledge and ability shall receive most com pensation. | believe such q change would be fairer to the whole force and would permanently improve the per sonnel of the service.
 More than this. every reform direct ad toward the improvement in the ef ficiency of government employees must depend on the ability of the executive to eliminate from the government ser vice those who are inefficient from any cause and as the degree of eff riency in all the departments is much essened by the retention of old em- Dloyes who have outlived their energy and business fitness it is indispensable to any proper system of economy that provision be made so that their sepa- 'ation from the service shall be easy and inevitable. It is impossible tO make such provision unless there is adopted a plan of civil pensions.
 Most of the great industrial cOrpor- tions and many of the well conducted of the country are coming to he conclusion that a system of pen ions for old employees and the sub titution therefor of younger and more nergetic servants promotes both econ my and efficiency of administration
 Civil Pensions.
 I am aware that there is a strong ceiling in both houses of congress and possibly in the country against the es- of civil pensions and that his has mainly grown out of the heavy ,urden of military pensions which it las always been the policy of our government to assume but l am trongly convinced that no other prac- ical solution of the difficulties pre- ented by the superannuation of civil