Evening star., 1933-09-10
LIVING COST index
READJUSTMENT IS
ASKEDFOR CAPITAL
Federal Bar to Submit For.
muIa "vitaI to All D. C..
and u. S. Workers."
WOULD RAISE SALARIES
WHEN PRICES INCREASE
Labor Department to Be Asked to
Adopt Substitute for Improper
and Unfair" Method.

Efforts to have the Department of
Labor adopt a new and more equitable
formula for determining the cost of liv-
ing index in Washington will be made
by the Federal Bar Association. it was
announced last night by William A.
Roberts. president.
Preparation of proposed readjusted
formula will be undertaken at a meet
ing Of the Bar Associations Executive
Committee Wednesday night, and as
soon as it is completed. Roberts will sub
NIT it to Secretary of Labor Perkins.
The index Is Of vital Importance to
all Federal and District employees, Rob-
erts pointed out, because Of the part it
will play January / in any readjust-
ment in the Federal salary scale. for
the remainder Of the current fiscal year.
Living Cost Figures.
The economy act gave to the Presi-
dent the authority to obtain from gov
ernmental agencies figures on the cost
of living, to adopt as a base period the
six months ending June 80 1928, and
beginning with the six months ending
December, 1882. to compare the cost OF
living in each six-months' period there
after with the base period On the re-
suits OF such comparison. the President
was authorized to reduce pay up to Is
per cent. Should the cost of living rise
10 a point less than Is per cent below
the base period. salaries would be ad-
Justed to conform to the rise
The present is per cent cut was or
dered last March on the basis Of the
cost Of living index figure for the six
month period ending December 81. 1882,
On December 81. this year. the cost of
living will again be computed and II 1t
has risen to a point that is less than
Is per cent below the base, salaries will
be automatically increased
Roberts contends that the formula
now used for computing the base index
figure Is improper and unfair. particu-
larly in Washington, and should be re-
adjusted. He declares that such impor-
tant factors as rent. insurance. educa
tional costs and other similar fixed
charges. which have not changed mate
rally since the period OF economic de-
preston. are not considered as factors
IN determining the base figure.
Low-Paid Employe Hit.
This situation" he said. works ir-
reparable injury on the low paid Gov
ernment employe."
Latest figures Of the Statistical Bu-
reau Of the Department of Labor show
definite upward trend in the cost of
living as a result of the N. r. A. pro-
gram. and Roberts believes II rents. in
surance and the other fixed charges of
the Government worker are taken into
consideration. the Federal employees can
look forward to restoration Of the Is
per cent cut, or . part Of 1t, after
January /.
The campaign Of the WASHINGTON
Chamber OF Commerce for abolition Of
the Government pay cut received some
What OF setback yesterday when the
United States Chamber refused to ioin
in the movement.
The Washington Chamber had lined
up in support Of the drive the Central
Labor Union and the Columbia Typo
graphical Union. but it met a polite
rebuff from the United States Chamber.
Representatives of the Washington
Chamber who appealed to the United
States organization to support the
movement were told that the national
group Is definitely committed to
policy Of reducing Federal expenditures,
1ncluolng the reduction OF salaries, and
could not support such . campaign
without reversing its position.
Reduction Plans Offered.
1t was pointed out that the Commit
tee on Expenditures Of the national
chamber. in a report In January, rec
commended that reductions in the ex-
penses of operating departments and
independent establishments Of the Gov
ernment be brought about by "a reduc-
ton In salaries spread over all units of
Government, resulting in a saving of
SIS 600 600 ="
Several other methods Of decreasing
operating costs were included in the
report.
LAS matter of fact" Secretary
Skinner declared. the is per cert cut
is not actually reduction in the in
come of Government employees. when the
reduced cost of living is taken into
consideration. believe that when the
cost of living reaches a point compare
BILE with more normal times, the Gov
ernment workers need have little fear
but that the administration will restore
the pay cut, at least in proportion to
the trends of increasing prices"