Evening star., 1935-05-18
SENATE WILL GET
SOCIAL SECURITY
REPORT MONDAY
Finance Committee Head
to Present Program With
Approval.
VARIETY OF U. S. GRANTS
CONTAINED IN MEASURE
Inclusion Of La Toilette Amend.
ments Is Principal Change
Made in House Bill.
BY J. A. O'LEARY.

The Administrations broad social
security program, approved by the
Finance Committee yesterday, will be
reported to the Senate Monday by
Chairman Harrison. but several other
measures remain to be disposed of
before the social security debate
begins.
Although it is expected the social
security bill will take considerable
time in the Senate, Senator Harrison
predicted it would pass in substan-
tally its present form. The amend
mentS the Senate Committee made
to the House bill bring it nearer to
the program as first recommended by
the Presidents Advisory Committee
Continue Amendment Fight.
Senators George of Georgia and
Clark of Missouri, both Democrats.
probably will renew in the Senate
their amendments to allow industries
to retain their own retirement and
welfare systems, provided these sys-
TENS come up to standards to be fixed
by the Social Security Board
Senator Hastings, Republican, OF
Delaware, who was defeated in COM
mittee in a move to strike out the
sections setting up the permanent
contributory old-age pension and un-
employment insurance systems, indi-
Gated a minority report will be filed.
The motion to eliminate these Sec
tons was based on the theory that
these permanent plans for industry
should be taken up separately from
the other emergency welfare features
of the bill.
The Senate at present is working
on the Navy supply bill. Then will
come the quetSion Of diSpoSing Of
the expected veto of the Patmar
soldiers bonus. Leaders also indi-
Gated today the proposed changes in
the A. A. A. law would claim the Sen
ate's attention after that, with a pos
sibility that regulation of public utility
holding companies might also precede
debate on social security.
Programs Embraced.
One Of the most comprehensive well
fare measures ever put forward, the
social security bill embraces the fol-
lowing programs:
Direct Federal aid to the States fol
the immediate payment of old-age
pensions to those in need at the pres
ent time. The Federal Government
would pay SIS toward a $50 pension
with the State free to go above thai
limit out Of its own funds. This is
In the nature of an emergency pro.
gram and Is separate from the perma-
nent contributory old-age benefit sys-
TEN which would retire in future
years those now at work. For the yeal
beginning July the bill would appro.
pirate s49,750. 900 for the Federal aic
to the States in pensioning its present
day needy.
The permanent contributory pen
sion system would be established BY
building up reserve oyer an extended
period of years. obtained by a tax on
wage earners and employers.
The permanent unemployment in
surance plan also would involve a
payroll tax on employers. These
Federal payroll taxes are designed
to induce the States to enact old-age
pension and unemployment insurance
laws by providing for deductions
from the Federal tax for similar taxes
levied locally.
Variety Of U. s. Grants.
The remainder of the bill consists
of variety of Federal grants to the
States to aid them in providing for
home care of dependent children,
maternal welfare, public health work
and similar activities.
One of the principal changes the
Senate Committee made in the House
bill was. to include the La Toilette
amendments, allowing industries to
establish their own company reserve
for unemployment insurance, as dis
tinguished from Statewide pool
funds, wherever the State law per-
mits either method. This Is intended
(C0ntinIIad IN pooo . ro1,,y,,n %