Evening star., 1935-03-15
WAGNER TO OFFER
INSURANCE BILL
Will Revive Unemployment
Measure, but Change
Some of Its Terms.

District of Columbia were increased
today when Senator Wagner, Demo-
crat, OF New York, said he intends to
introduce such a bill in the Senate.
His measure, he said, will be a re-
vision of one he submitted in the
Seventy-third Congress and will be
introduced as soon as he has an op-
portunity to confer with House mem
bers who are sponsoring similar legls-
lation in the lower branch.
Il am convinced OF the need OF
national legislation OF this kind"
Senator Wagner said, land l have
been devoting most of my time TO
preparation of the national program.
II is the intention of this legislation,
however, to encourage enactment OF
local insurance and 1 think the Dis
trict should be glad to take the leader
ship. 1t is an ideal testing ground
for such program
Pool System is Seen.
Senator Wagner said he is sure of
one major change in the form OF his
previously introduced unemployment
insurance bill for the District. namely
that of substituting the pool system
for the entire program rather than al
lowing individual reserves to be Segre-
gated by employers who preferred to
fashion their own program. The pool
system, in which all contributions are
held in single fund and disbursed
to all eligible unemployed from this
fund, is called for in the Ellenbogen
bill! now before a House committee.
Il have come to believe that the
pool system is the better one in that
it makes for more uniform operation
of the program and gives more as
surance of adequate reserves for iqui-
dation," the Senator said. Except in
a few cases where small voluntary
systems are maintained under Gov
ernment supervision, all European
countries have adopted the pool
system.
"A most important provision of any
such law should be one authorizing a
study of Stabilization of employment.
There must be some reward offered
the employer who spreads his employ
ment over an entire year. some incen-
tive for him to attempt such stablllZa-
ton. If industry could do this. one
of the major unemployment problems
would be eliminated"
Thorough Study Uurged.
The Ellenbogen bill lin its present
form contains a provision pointed at
employment stabilization by which the
administrative board and its advisory
council are directed to study and ad-
wise as to means of accomplishing this
regularity of employment. Several
witnesses, among them Mark Lans-
burgh and James E. Colliflower, repre-
senting the National Retail Dry Goods
Association and the Merchants and
Manufacturers Association. respec-
lively. have urged upon the House
committee a thorough and prompt
study of means of crediting employers
in their contribution rate for effecting
such stabilization.
On the question of employe contri-
buttons, an issue which has been most
controversial during hearings on the
Ellenbogen bill Senator Wagner said
that he had not definitely decided as
far as his own District bill is con-
cerned.
Personally I do not think there is
great need for employe contributions,
but I recognize the fact that there is
strong sentiment in that direction.
The arguments that it will make the
employe more responsible or improve
his morale do not impress me greatly
Still, some of the leading experts on
social legislation feel this way and
they may be right. I would be willing
to hear both sides of that question"
Opinions Split in Hearing.
Opinions on this question we're di-
vided during hearings on the House
bill, although those favoring employe
contributions point with emphasis to
the fact that Dr. Abram Epstein, an
acknowledged authority on such legis-
lation. told the committee that he
believes in the theory of employe con-
tributionS.
The New York Senator, who for
years has been interested in social
legislation either in the New York
State Legislature or in the United
States Congress, said he has not de-
cided upon other details of his local
bill as it differs from the House
measure. In its original form the
Wagner District bill called for no con-
tribution from the District govern
ment, as does the Ellenbogen measure,
depending entirely upon employer
contributions. Also, his bill allowed
maximum of Is weeks benefits in a
single year, while the Ellenbogen bill
would allow 26 weeks.
Il think legislation agreeable to both
branches can be drawn" the Senator
predicted, land hope to see it passed.
I think we'll get some action on the
national program before long because
I know the President is interested. I'd
like to see the District have its local
law at the same time predict that
many States will follow suit very
soon."