Evening star., 1933-01-05
S30,000,0 900 Additional Net
Saving Estimated in Pro-
gram Drawn Up by Senate
Committee.
BR0ADENS PRESIDENTS
RE0RGANIZING POWERS
Bill Retains Furloughs in Limited
Form and Reduces Veteran Al
lowances-Appropriations Body
Favors Section of Proposal Deal
ing With Salaries.
BY J. A. OLEARY,

A new pay cut for Government
employees of 125 per cent on top
OF the existing 815 per cent fur
Tough and other economies, all of
which it is estimated will save
$50, 900 in addition to amounts
saved under the existing economy
law, were recommended to the
Senate Appropriations Committee
today by the Special Economy
Committee.
The committee also recon-
mended a broadening of the
PRESIDENTS power to reorganize
Federal agencies.
The additional pay slash, which
would make the total reduction
10 per cent, is accompanied by
restoration of authority to make
automatic increases by reason of
length OF service or promotion.
which Is prohibited in the exist
ing economy law.
Would Limit FurIoughs.
Other high lights in the list of
recommendations are:
That the Bureau of Efficiency
De abolished and its records turn
ed over to the Budget Bureau.
That the administrative fur
Tough" provision of existing law
be continued, but with a limita-
ton that no employe shall be
placed on this kind of furlough
for more than 80 days except after
full compliance with the civil
service laws that apply in the case
OF dlSmlssalS. The purpose of the
administrative furlough is to en-
aDle department heads to lay en-
ployes of for stated periods rather
than dismiss them outright when
FUNDS are inadequate to keep the
entlre force on full time through
out the year.
Fhe 1-3 per cent legislative fur
loEgh is general in its application. and
a recent report of the Civil Service
commission showed that, in addition to
tnS general furlough, approximately
zO,O0O employees in various branches of
tne service are subject to "aLministra-
i've 1urioughs" to keep within reduced
appropriations.
Estimate Made of Saving.
another important Recommendation
OF the Senate group is that enlisted
personnel Of the Army NAVY. Marine
Corps and Coast Guard be subjected to
Ine pay cut provision. The existing
law exempted these forces and the
House bill continued to exclude them.
oeiore taking the economy report be-
Iore tne Appropriations Committee this
morning, Senator Bingham of Connec-
.icu1, chairman, estimated the inclu-
SiUn s1n oO of 6neSe military groups would save
S1o,UOO.OOO, and that the new nav cut
OF 2-3 per cent for employees generalIv
would save the Government SI8 nm :.
OoO: This would be in addition IN the
savings already being effected bv the
Id per cent legislative furlouph
turning It's attention to veterans
paynleneS, the economy group recon-
Inenoed new section reducing hv IN
per cent the amount of any pension
aIioweo II 10 any person on the pension
ton tS OF tne veterans Administration and
tlte amount OF any compensation paid
70 any person receiving military or
rlsk insurance act, the World war vet
erans act, or under any special act Of
Congress. This cut would onIv an annIv W
Wnere the pension or. compensatory Is
at rate in excess of $1,000 a wear
and where the cut would not reduce the
pension below 81 900. This cut on com
penSatlon allowances would affect "a
570,932 ''e 30
S30,000,00O Net Saving
Senator Bingham estimated the res
toration of the power to department
heads to make automatic salary STEP
ups would cost the Government about
s4,Ooo.0oo a year. Allowing for this
offset against the new economies recon-
mended, Senator Bingham estimated
the economy bill as submitted today
would result in net saving of $3O,-
100000 during the next fiscal year over
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