Evening star., 1940-05-17
Accord Reviyes
D. {. Job|ess
Benefit Change
Capitol. and Labor
Compromises Indicate
Action This Session
BY DON S. WARREN.

BY DON s. WARREN.
Hope for amendment at this ses-
sion Of Congress Of the District
Unemployment Compensation Act,
providing for liberalization for both
the jobless aid recipient and the
taxpaying employer, was revived to-
day by an agreement between
>spokesmen for capital and labor on
changes In the law.
This was the result of an eleventh.
hour agreement between representa-
tives of the c. I. O., A. F. Of L., busi-
ness organizations and members Of
the House District Committee, &C.
cording to an announcement re-
leased by william Press Of the
Washington Board Of Trade last
night.
Whereas 1t had been understood
that the formerly adamant stand
taken BY spokesmen for capital and
labor had ended all chances of an
agreement at this session of Con-
gress. the unexpected agreement be-
tween these groups yesterday paved
the way for action by the House
District Committee Monday. It is
expected that the proposed legisla-
ton win be permitted to be brought
before the House, without regard to
any District day, before the end Of
this session.
New Bill Embodies Plan.
The terms Of the new agreement,
which provide greater Nberaltty for
the unemployed than an earlier
compromise" plan, were embodied
In new bill introduced late yes
terday by Chairman McGehee Of the
Judiciary Subcommittee, and it is
expected it will be favorably re-
ported Monday by the House Dis
trict Committee and be ready for
House action at the next District
day, May n.
The so-called final agreement
would represent q compromise on
the part Of both spokesmen for
capital and labor. In fact, it was
said, various members Of the House
District Committee have agreed to
support the new compromise plan
for amendment of the District act.
As explained by Mr.. Press of the
Board of Trade, the new compro-
mise agreements are IS follows:
The tax rate on employers will be
reduced from 8 per cent to a. per
cent and limited to the first 5000
Of salary. this to be retroactive to
January 4, 1910.
Benefits will be paid On the basis
of q ratio Of one-twenty-third Of
the earnings in the '1hith quarter" :"
This ise compromise between the
one-twenty-fifth supported by en-
ployers and the one-twentieth sup
ported by labor and agreed to by
the District Subcommittee.
Compromise Also ON Maximum.
The maximum amount of benefits
has been set at $18 q week. This,
again, is a compromise between the
$40 asked for by labor and the SIC
agreed to by the House District
Subcommittee last week.
The minimum benefit amount
would remain at S.. Provisions for
partial unemployment payments
would be frightened up somewhat be-
yond provisions in the compromise
bill recently considered by the House
Subcommittee. The new. agred
method provides that partial un-
employment benefits may not be
drawn until the employe earns less
than his weekly benefit amount un-
der the proposed new scale. When
he earns less than his weekly bene-
At amount, he will be permitted to
earn 40 per cent of his benefit
amount before deductions from his
benefit amount for earnings during
the week.
The matter of dependents allow
ances also has been compromised
and 1t was agreed that an unem-
ployed worker should be paid al
lowances for dependents amounting
to 81 per dependent up to maximum
Of 50, provided, however, that in no
case can the maximum benefit
amount drawn exceed $18 a week.
Instead of the two-week waiting
period, it has been agreed to change
the language in this connection to
mot more than two weeks"
.. Duration Issue Hurdled.
The most difficult point to settle
In the labor-employer conferences
was the matter of duration of bene-
fits, said the statement released by
Mr.. Press, which added that this
also proved to be the stumbling
block" in the House District Com
mittee. He said q compromise plan
had been developed which provided
for benefits equal to 10 times the
! weekly benefit amount, or so per
cent Of the wages earned during
the base period" whichever was
the lesser.
Coupled with this provision, Mr..
Press, said, was the sliding scale
for eligibility. Previously, the House
committee had agreed on a fiat
( eligibility requirement of $l25 In
earnings during the base period
The new bill, introduced late yester-
day by Chairman McGehee Of the
judiciary Subcommittee of the House
District Committee, provides that
IN individual, to be eligible for
benefits, must have earned either IS
dimes his weekly benefit amount or
42S0, whichever Is the lesser. In
other words, this provides for q
aiding scale Of eligibility between
$50 and $3.50.
War Veterans Not Citizens
Have Week Left 10 Act