Evening star., 1933-09-08
TAe Paw Cut Should Be Restored.

The Presidents authority 10 reduce
tfse salaries Of Federal employees BY
~ much 20 fifteen per cent extends
only to the end Of the current fscal
rear Of 1884. The Budget Bureau Is now
oosnpfling the estimates on which TO
base the Federal budget for the FISCAL
year 1885. It has, therefore, ordered
department. heads to make up their
figures on the basis Of full salaries.
And Of course it is sincerely to be
hoped that, as far as the salary scales
90, the departmental estimates will
prevail and the fifteen per cent cut in
nay will be restored starting July l
next, the beginning Of the fiscal year.
It would be unfortunate, however,
10 attach too much significance to the
Budget Bureaus instructions to de-
partment heads. The Budget Bureal
Is merely following the law. It wnl
be up to Congress to change the policy
which was represented In trying to
effect governmental economies by sal-
ary cutting.
It will be recalled that the economy
oct gave to the President the authority
10 obtain, from governmental agencies,
figures on the cost Of living; to adopt
as base period the six months ending
June 80, 1925, and beginning with the
six months period ending December,
1882. to compare the cost Of living in
each six months period thereafter with
the base period. On the results Of such
comparison, the President was author
lied to reduce pay up to fifteen per
cent. But should the cost Of living rise
TO q point less than fifteen per cent
below the base period, salaries would
be adjusted to conform to the rise.
Last March the President announced
the basic cost Of living figure as Ill.
FOR the six months period ending
December 81, 1892. the figure had
dropped to 1889. or alt per cent. He
therefore announced the fifteen per
cent reduction In pay from April l,
1898, to June 30, 1888. On July last
the President announced the cost Of
living figure for the past dx months to
be 1902, or q reduction below the base
figure Of 2s.9 per cent. The fifteen
per cent cut WIS therefore conaanued
IN effect to December 81, 1888. On thst
date the cost Of living figure wnl again
be computed. II n has Yisen 70 . point
that is less than fifteen pei cent
below the bsse, salaries wia bs Guto-
matically increased. II not. the prospect
Is that the fifteen PET cent reduction
will contini,e III eject unsH the end d
the current fscsi yeaf, June 80, 1884.
In the meantime, however. several
elements have entered the psctufe
which should influence Congress TO
change its policy of psy-euttins and
restore the bsse pay. One Of these y
the N. r. A. poficy Of seeking 70 ,sise
nay and employment IN industry. 11le
Government cannot consistently refuse
to raise the ply Of fts own employees.
and at the same time demand ply m
c.eases for industry. The second ele-
ment Is tbat wiffe tie Government
ssayed" about Sl3s, ,e0o, 900 ~ psy
cutting, it has &Ifeady spent moro tlian
a billion dollars on pubiic works slime
and is seeking to spend al 6f tie S.
SOC, 900 900 sflotted fer pubic works. 10
that the savings made BY feducihs
Government psy-aheady low TO begin
vith-becoine feistively unimpcrtaiat
ln budget balancing. But II y extfenle-
ly important In emphastztng an tacon-
eistency ON the part of the Federal
Government which should 81 removed.