Evening star., 1934-11-01
Organized Employees of US.
Spurn Proposal for
Return July |.
BASIS OF WHITE HOUSE
FINDING IS CHALLENGED
National Federation Official Cites
Lack Of Survey as Re.
quired by Act.

While organized Federal employees
went ahead with plans to ask Con-
gress to lift the pay cut in It's en-
trety as of next January l. it was
indicated at the White House today
that President Roosevelt will neither
oppose nor assist such a move.
Mr. Roosevelt announced Yesterday
the remaining per cent reduction
in pay would be restored on July
next due to the upward trend in liv-
ing costs. However. he held that the
advance in living costs, which under
present law governs the pay base,
would not justify elimination of the
cut on January l, when the scale
must be fixed for the succeeding six
months.
While declining to comment on the
announced intention of leaders of the
Federal employees organizations to
seek full restoration in advance of
July l, associates of the President at
the White House indicated he would
stand pat on his announcement of
yesterday.
Declare Hands Are Tied.
These friends of the President also
point out that he has no discretion
In the matter, since his hands are
tied by the explicit provisions of the
economy act of 1888 which put into
effect the IS per cent slash.
At the same time the inference was
drawn that the Pl esident intends to
act only within tie law; that he prob
ably will not throw any great weight
in the way OF those who will seek
action just as soon as Congress con-
Venes in January.
1t also was pointed out that an
effort will be made most likely to seek
legislation which will make the
restoration retroactive from January /.
While the President personally NAV
favor restoration as soon as possible
IN advance of July !. it is known that
ne does not approve any retroactive
feature. He believes the retroactive
compensation feature an unwise move
because it involves serious administra-
tive dlf1culties, particularly in the
matter of paying Dack pay to indi-
viduals many of whom may no longer
be In the employment of the Govern.
ment.
Declaring the White House move is
entirely unsatisfactory" Miss Ger
trude McNally, secretary of
the National Federation of Federal
Employees, said today it is nothing to
get excited about
Questions Basis of Conclusion.
She questioned the basis on which
the President reached the conclusion
that living costs would not Justify
restoration in January, pointing out
that there has been no survey by the
Labor Department as required by the
economy act.
Several weeks ago." Miss McNalIy
said, the President expressed a de-
sire to see prices go higher and
wholesalers and retailers are meeting
his wishes But despite this fact,
Government employees are asked TO
wait eight more months for reStitu-
ton OF pay that never should have
been taken from them"
On behalf Of the American Feder-
alton of Government Employees, E.
Claude Babcock, its president, said:
Restoration as of July l is restor-
alton at too late a date. The reStora-
| tion should be made as of January l..
No one can say what living costs may
be by July l. They are and have
been for some months rising rapidly
! and there is no provision in the
economy legislation for increasing
salaries over the basic rates in the
event of abnormal rise in living costs.
The American Federation of Gov
ernment Employees is already prepar-
ing to meet further rises in the cost
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