Evening star., 1934-01-24
TREASURY-POSTAL
BILL CUT G MILLION
Fund of $500, ,693,27O Asked
or Reduction of About so
Per Cent Under 1884.
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Continued From First PageO
of these studies and investigations lead
to sound conclusion, the position OF
standing on the present rate OF ex-
penditure is adopted. even though 1t
may be arbitrary in character
The committee allotted $4,000, 900
for domestic airmail. S1,000,000 less
than for this year; $37,5O00OO for for
eign air and ocean mail, or 100000
less than for the current period. OF
the latter, s7,OOO,O00 is for foreign air.
mail.
Ocean Subsidy Defended.
In explaining the continuation OF
the allotmentS for ocean mail, the COM
mittee said:
Ocean mail contracts under the
merchant marine act also are on def1nlte
subsidy basis, with compensation hxeo
by law for vessels OF various classes,
graded by speed and tonnage without
reference to the amount Of mail carried
THE definite purpose of this was the
announcement of the esta blishment OF
an adequate American merchant
marine. The contracts are for terms
of 10 years, and "A of them were en-
tered into prior to March 4, 1888. They
are fixed obligations OF the Govern
ment."
Under the Treasury. the Customs
Service was allotted Sl8,4 100000: Inter
nal Revenue Service, S67, $50 600; Coast
Guard, s18,249,00O, or S7,523,0O0 less
than for the current year, due. the re-
port said, to prohibition repeal; Bureau
Public Health, $9,130,000; Public works,
S18,l34,000.
Salary Funds Allotted.
Under the post office section. the
First Assistant Postmaster General was
allotted S398,0460 900, of which virtually
all is for salaries of postmasters, letter
carriers and other employees; S2l4,93I,,
600 went to the office OF the Secono
Assistant for subsidies to air, ocean
mail and railroad mail service, while
s31 1896 900 was for post Office oullolng
maintenance and repair under the
Fourth Assistant.
Regarding salaries provided py the
bill, Representative Arnold explained:
Tn accordance with the recommenda-
tion of the President in the budget,
which has been approved by the House
in the passage of the Independent ol-
fees appropriations BILL all salary items
in the bill reported today are on the
appropriation basis of 80 per cent OF
the full rate. The appropriation IN the
bill, therefore, provides for a restora.
ton on July / next Of S per cent OF
the present IS per cent pay cut. In the
case of the Treasury Department, tne
10 per cent cut amounts to S8o5o,Ooo'
and in the case of the Post Once De-
partment, $500O0,000.
With disgruntled postal employees
from all over the country gathering In
Washington today to protest against
the salary cut and the plight in which
substitutes under the Civil Service find
themselves receiving less than starva-
ton wages, Representative Arnold re-
ported to the House as follows regard
ing the postal personnel:
Salaries and wages constitute about
10 per cent of the gross total OF postal
expenditures. Eliminating the shipping
and aviation subsidies, the salaries and
wages constitute approximately IA per
cent of the total cost of other postal
operations"
Employees Brought in Line.
While postal revenues and business
has dropped sharply from the high
poirt of the fiscal year 1890 to the low
level of the fiscal year 1882, 1888 and
1884, the total number of postal en-
crease until the latter part of the fiscal
year 1888 and the early part OF the
fiscal year 1884. During the period of
June 80, 1933 to November so, 1888,
there was a total reduction in all classes
of regular postal employees from 242.671
to 235,573, a decrease of 1908. This
decrease has taken place entirely
through the non-flling of vacancies due
to deaths, designations and removals for
cause, and by retirement on annuities.
by the provisions of the independ-
ents Offices act of 1884, a retirement
annuity was provided for employees in
voluntarily separated from the service
after more than 80 years of service,
and the operation of this section has
aided greatly in mitigating the hard
ships incident to a reduction in force.
The hearings carry q table giving, by
classes of employees and in the aggre-
gate, the postal personnel as of June
80 Of each fiscal year beginning IN
1926 and including November 30, 1888.
From the latter date to June 80, 1884.
additional reduction will take place
through attrition and the surplus per-
sonnel will be practically eliminated.
Furlough Results Cited.
Administrative furlough in the
postal service under existing law mas
been in effect during the first three
months of the present fiscal year at the
rate of three days per month for each
employe, or a total of nine days for
the quarter year Since September 30
no administrative furlough has been
necessary, due to the retirement on
annuity and normal separation Of q
large portion of surplus employees. For
the next fiscal year no administrative