The Birmingham age-herald., 1910-10-25
HITCHCOCK SHOWS HOW ID SAVE MONEY Postal Deficit Has Been Gut Down Very Sharply SERVICE IS EXTENDED Departments Have Been Made to Keep Down Expenses in Every Branch
 of the Government Postal
 Service
SERVICE IS EXTENDED

Washington, October 24.-Figures, the compilation of which was completed at the postoffice department today, show that the exact reduction of the postal deficit in the fiscal year end ing June 30 last was s11,500,000. The deficit of the previous fiscal year was $17,600. .000, so that in one year the deficit was brought down to s6,100,O00. In commenting tonight upon the saw ing of $11, 100000 last year, Postmaster General Hitchcok said:
 This tremendous saving was made without the curtaflment of the postal facilities. In eliminating wasteful ex- penditures the department has been exceedingly careful not to hamper in any way the constant development of the. postal service required to meet the increasing business needs of the coun- try.
 Tn word, the departments policy is to extend the service as rapidly as is warranted by increasing population and to accomplish its savings, not by the curtallment of postal facilities but by handling in a more systematic and business manner the constantly ex- banding volume of the mails." The tables prepared indicate that lin the furtherance of the policy mora than 1500 new postoffices with the necessary officers, employees and equip ment were established during the last fiscal year.
 Great extensions were made in the rural delivery system, 515 new routes with total mileage of 12,245 miles being put into operation.
 There were appointed from the elig- ible list of the civil service commits sion more than 1900 postoffice clerks to enlarge the working forces of city postoffices and more than 1000 addi- tional letter carriers. The railway mail service was strengthened by the ap- pointment of about 750 new employees, all of whom were taken from the civil service eligible list. The aggregate salaries of the new employees appoint ed during the year from the civil ser vice lists exceed $2,000,000.
 The tables compiled also show not only that many new employees were placed on the rolls, but that the department made liberal increases under the terms of the law in the compensation of employees al- ready in the service. Salaries of post office clerks were advanced In the aggre- gate $1,750,000, while the aggregate sal aries of letter carriers was increased $1, ,226, 600. Railway mail clerks received increases of salary amounting to almost s25o,O00.
 MT. Hitchcock explained that all in- crease in compensation was based upon system of efficiency ratings which was adopted by the department little more than year ago. He says the system has had a highly beneficial effect on the service.
 .'I believe" he said, that the higher standard of efficiency secured by prop CT application of this policy is certain to justify the resulting increase in pen- ses In my judgment the action 6 the department in this regard last year was largely responsible for the effective CO., operation the department received from it's officers and men throughout the coun- try in cutting out wasteful expenditures and in making the postal service general ly more efficient.
 This hearty cooperation I expect to be continued through this and future years with the result that we shall have a self-sustaining postal service and 1-cent letter postage"