Evening star., 1937-11-06
SECURITY COUNCIL
WEIGHS RESERVES
Old-Age Benefit Liberalizjng
Being Considered in
Light of Cost.

The Advisory Council on Social Sc
curity today embarked on a discussion
Of the controversial old-age benefit re-
serves.
A lengthy opening session yesterday.
which was not concluded until early
night, was devoted to the Education
OF the 81 representatives of capital.
labor and the public, comprising the
council, on several phases of the Social
Security act. according to J. Dougla-
HroWp, professor of economics Sc
eIlnceton University, Chairman OF the
conference, which is designed to fol-
mulate possible amendments. Murray
j. Latimer, chairman Of the Railroad
Retirement Board and former mem
Der OF the Social Security Board, and
several representatives OF the latter.
discussed the act, and an explanatory
statement on the reserve plan paved
the way for its consideration today.
The council was set up by the Sen
ate Finance Committee and the Social
Security Board to suggest changes in
the act that experience might show are
desirable, but whether any recommen-
dations would be made at this time
or would await further study was not
certain.
Liberalization Cost a Factor.
1t was indicated strongly that the
conferees were weighing carefully sug-
gested liberalizing features against the
possible cost of putting them into ef-
feet.
"These people," DIR. Brown said, re-
ferring to the council, "are responsible
people. They have the deepest sympa-
tiny Tor the aged, but they can't come
down here and give away the kitchen
stove"
Attention is centering principally
on the old-age benefits provision of the
act, as it was an attack by Senator
Vandenberg, Republican, Of Michigan
on the huge reserves being created for
these benefits that led to establishment
of the council.
Evan Clague of the Social Security
Board, in discussing a plan to extend
old-age benefits to several classes Of
workers now excluded, estimated that
the coverage by 1850 would be approx
imately 100000 persons, as COM
pared to approximately $4,000 900 now,
and that by 1860 it would be 50 900 900.
Worker Shifts CompIicate Problem.
difficulty in covering in agricul-
tural labor, he pointed out, lay in the
general lack of record keeping by
farmers. Shifting of employed per-
sons from one occupation to another
also would have to be considered both
IN regards to agricultural and de-
msstic labor. the speaker said.
Payment OF benefits prior 10 Japn-
sry /, 1872, and disability paymsnis
10 persons incapacitated befoIs reacn-
ing the age Of 65, when ordinary
benefits become payable, were other
matters discussed.
The confereeS are meeting behind
closed doors at the Labor Department
and extraordinary precautions are
being taken to protect their privacy.
A l50-foot corridor on which the
meeting room opens Is guarded by a
member of the park police, that all
those who use the corridor may be
kept moving.
Industrialists Amonx Conferees.
Two of the Nations leading indus
trialists, E. r. Stettinius, jr., newly
elected chairman of United State,
Steel, and Gerard Swope, head of
General Electric, and q group of labor
leaders, including Philip Murray, right
hand man in the c. 1. o. of John L.
Lewis, are among the council mem
bers, while the public representation
includes Henry Bruere, president of
the Bowery Savings Bank of New
York.
In opening the session yesterday.
Chairman Arthur ]. Altmeyer of the
Social Security Board said it WAS
expected the next Congress would be
asked for legislation permitting work.
ers over IS to continue to build up
old-age benefits credits, and also to
bring under the law employees of State
banks who now are barred because
these institutions come under the
Federal Reserve system.