Evening star., 1933-02-08

| Probable reductlOn OF personnel IN
four departments-State. Post Office,
Commerce and Labor-ano IN the Navy
decommissioning of ships and slowing
down of the construction and moderni-
zation program was seen today as the
! Immediately apparent results of the new
| Senate economy program.
At the same time though, Il was said,
the program that would be followed by
the incoming administration would be
the real determining factor.
The passage last night by the Senate
of the Treasury Post Office supply bill,
embodying the policy to be followed in
other appropriation measures, had, in
general, given department heads insult
fcient time to forecast accurately just
what would be necessary if the House
falls in line.
Loath to Dismiss Men.
That there would be a decided dis
inclination to dismiss workers was evi-
dent, but those in authority were
sturrped by being confronted on one
hand with the Cost;gan amendment to
save per cent on all appropriations
and On the other by the Bratton amend
ment, which will not permit this by
reducing pay scales or resorting to fur
ther use of the furlough plan.
1t was pointed out between 10 and
80 Per cent of the average appropria-
ton goes for personal services and the
rest for the expense involved in the
activity itself This would make it
impractical to impose the whole saving
on this latter item.
For the second year in succession,
Gtotn Commerce IIcrico Labor aYo6
Interior will be hardest hit it was
pointed out as these five departments
suffered blanket 10 per cent reduc-
ton in the current year that was not
imposed on other departments and no
account was taken of this when the
budget for the next fiscal year was
made up.
Fears Dismissals.
partment to dismiss employees" Malcolm
Kerltn, administrative assistant to the
Secretary of Commerce, said. There
might be other activities on which to
make a saving, but it looks like the
major portion will have to be done by
reducing personnel"
A like opinion was held at the State,
Post Office and Labor Departments.
Two marked examples of the problem
that is faced are in Post ONCE and
Treasury.
At the former the appropriation is
divided, roughly, as follows: Salaries, ~
per cent; ocean and airmal subsidies,
per cent; rent, supplies and miscella-
neous expenses, 5 per cent, and trans
portation, 20 per cent
The airmail item has been killed in
, the Senate, but it is expected some por-
ton eventually will be restored. So far
as ocean mail Is concerned, there can
be reduction. but only by mutual
agreement between department and
contractor. The department also is
confronted with the contract problem in
renting of quarters and in some phases
of transportation costs. 1t would be
possible to make some saving In rail-
road mail pay, but at the expense OF
slowing up movement, using storage
cars for handling mail and leaving the
distribution for the point of destina-
ton instead of distributing it en- route.
Surplus Of Employees.
With the present volume of business,
the Post Office Department has sur
plus of employees, it has been declared
by officials.
The Treasury appropriation includes
such "untouchable' items, so far as
any reduction is concerned, as build
ing construction and internal revenue
refunds, with the net result. 1t was
said, that If the expenditure for per-
sonal services is not taken into conStd-
Grafton, saving of 100000 would
have to be effected out of total OF
about S34 100000.
At the Navy Department, the mod
ernization and construction program
involves. roughly, four cruisers, three
battleships, two submarines and half
dozen destroyers. This program would
have to be slowed up, and the Navy
also would have to discontinue enlist
ments, it was believed. There was no
figure given as to the probable number
of vessels that would have to be de-
commissioned.
The same statement was made at
the Navy Department as was made by
Assistant Secretary of War Payne that
appropriations already have been cut
to the bone.
"The cut can't be made any place
without doing damage" was the way 1t
was summed up by Mr.. Payne, who
study the matter.
At neither of these establishments
was it thought that reduction of civilian
personnel would be necessary.
Mitchell Report Cited.
At the Department Of Justice there
is uncertainty as to just what the out
come will be. 1t was recalled that
Attorney General Mitchell had said in
his annual report that the limit had
about been reached in savings, and that
a further cut would call for new
survey of the entire situation. The
hope was expressed that it would not
be necessary to dismiss any workers.
and the same expression came from the
Interior and Agriculture Departments.
1t was pointed out that, when the
current economy act was passed, de-
partment heads had conferred with the
director Of the budget to work out a
plan for uniform administration, which
later was incorporated in an executive
order, and that similar action could
be expected logically when the new ad-
ministration comes into power.
The executive departments and in
cent in expenditures provided for in the