Evening star., 1935-06-23

in 1884. By 1881 there were 48 trade
union plans in operation. In addi-
ton there were in existence Is com-
pany plans where unemployment re-
| serves had been established and 16
joint agreement plans embracing CO.
operation between trade unions and
employers. Altogether, however, these
| individual systems covered only ap-
proximately 10000 workers, or about
one-half Of l per cent of the wage
earners of the country.
In 1916 came the first recognizable
attempt to make unemployment IN
surance governmental action in the
United States. In that year a reSo-
luton was introduced in the House
of Representatives calling for COM
mission to prepare and recommend a
plan for a national insurance fund
and for the mitigation of the evil of
unemployment" 1t was never report
ed out of committee.
In the same year an unemploy-
ment insurance bill was introduced in
the Massachusetts, Legislature. Al
though it also died in committee, it
leo TO the appointment of q Special
state Commission on Social Insur-
ance, two members of which recon-
mended adoption of State system.
Between that date and 1881 agita-
ton for unemployment insurance in
creased throughout America, although
no material headway was recorded,
Numerous State Legislatures received
and pigeonhol9d proposals for study or
establishment of systems, but some
allowed the machinery to be set in
motion. The first concrete result
came early in 1882, when the Governor
of Wisconsin signed the first unem-
ployment insurance law to be voted
by any State in the Union. Under its
terms employers were given until June
l, 1888, to establish voluntary systems
covering at least ITS, 900 employees. On
that date the plan was to become
compulsory with employers to create
individual reserves during the ensuing
IL months and benefit payments TO
begin on July /, 1884. Full operation
of the act, however, has been delayed
and benefits may await 1886.
Interstate Report Filed.
In February of 1892 an interstate
commission representing Connecticut,
New York, New Jersey. Massachusetts,,
Ohio and Pennsylvania completed q
report in favor of compulsory systems
of unemployment reserves.
Meanwhile, Congress found the
problem knocking on its door. A SEN
ate committee probing the extent of
unemployment In 1929 considered, in
passing, the possibilities of such in
surance. Then came Senator Robert
F. Wagner, New York, Democrat, who
for many years had championed the
cause of social security legislation back
in his home State. During the Winter
Of 1930-31 he introduced three meas
ures in the Senate aimed at eventual
establishment of an unemployment
insurance system. BY the terms OF
one of them a committee was named
to make study Of the proposition.
Headed by Senator Felix Hebert,
Rhode Island Republican, and includ-
ing Senator Wagner and Senator Otis
Glenn, Illinois Republican, the Senate
committee opened hearings in April OF
1881 and concluded them in December
Of the same year. The result was a
report signed by Senators Hebert and
Glenn declaring any Federal system
inadvisable, but suggesting the encour-
agement of individual employers re.
serve funds with tax allowances BY
the Government.
Wagner In Minority.
In opposition was a minority report
submitted by Senator Wagner, in
which he urged immediate creation Of
a State system with Federal co-opera-
ton. In closing, he said, sound busi-
ness and good conscience both demand
that, In dealing with unemployment,
we abandon the methods Of poor re-
lief, with its ballyhoo, its inadequacy
inequality and uncertainty, which are
drain on the sympathy of the givef
and strain on the character of the
taker."
Although congressional action thus
was delayed, the movement was gain
ing momentum. More bills filtered into
Congress and into State assemblies.
And in June of 1882 the Democratic
platform for the presidential campaign
declared the party in favor of unem.
ployment insurance and old-age PEN
sion systems to be administered by the
States with Federal cooperation.
In the Summer of 1884 President
Roosevelt appointed a Committee on
Social Security, its membership includ-
ing experts on the subject who had
made longtime studies of the problem
On January II, 1885, the administra.
ton bill, sponsored by Senator Wagner
and Representative David Lewis, Dem.
ocrat, of Maryland, was introduced and
a special message sent to Congress by
President Roosevelt urging that it be
made law.
Plan Is Experimental. ,-
In connection with its provisions
dealing with unemployment insur-
ance, the Presidents committee made
this admission in its report:
THE plan of unemployment COM
pensation we suggest is frankly ex-
per1menCal. we anClclpaJe LnaG II
may require numerous changes with
experience, and, we believe, is so set
up that these changes can be made
through subsequent legislation a.
deemed necessary. II we are to wait
until every one interested in the SUBJ
ject is in agreement as to what is q
perfect measure before enacting un-
employment legislation, there will be q
long and unwarranted postponement
Of action"
So drawn that it contains induce
mentS to individual States to enact
their own laws, the national legisla-
ton already has precipitated unem-
ployment insurance action by four
States during the past Winter. Utah,
New York, New Hampshire and the
State Of Washington have enacted
laws and are prepared to be credited
for their participation in q national
program. To comparable degree old
age pension legislation has been
adopted, Others undoubtedly will fol-