Evening star., 1942-10-16
President0rders
14U. 5. Paydays.
Monthly Here ! !.
Study Of Payment
To Lower Grades
In Cash Urged


rected Secretary of the Treasury
Morgenthau to increase from 4
to IA the number of semi-month-
ly paydays for Federal employees
in Metropolitan Washington, be-
ginning November l..
In letter to Mr.. Morgenthau.
the President also said lit would
be well to give consideration to the
possibilities of extending the prac-
tice of paying employees in the lower
grades in cash."
The extensive staggering of Cow
ernment paydays will be on sched-
ule being worked out by the Treas
ury Department and the Budget
Bureau.
More time, however, will be re-
quired to complete the plan before
announcement can be made as to
what department and agency will
be paid on what days. Treasury Of
flcials indicated the program was
being speeded and a formal an
nouncement will be made as soon as
possible. This may be tomorrow, or
it is possible it might not be until
next week. 81
Objective Outlined.
Objectives of the new plan were
outlined by the President as: a.,
!. To avoid congestion at check
cashing facilities by paying employees
of aoepcieS 1ooota5 ~, tho cor oroo
on different days. =,
2. by greatly reducing and equal
lzlng the number of employees paid
each day to spread more evenly the
flow of money into Washington COM
mercial establishments. -,
3. ITO alleviate shopping and
banking inconvenience for Govern
ment employees and the public gen.
orally. .r,
4. ITO spread the administrative
work load incident to the payment,
of Federal salaries" ~,
Text of Presidents Letter. -
The text of the Presidents letter
to Mr.. Morgenthau follows:
THE director of the Bureau of the
Budget has submitted to me a
proposal for the extensive stagge1-1
ing of the dates for payment of
salaries to Federal employees in,
Metropolitan Washington, which l.
am informed, has been worked out
Jointly by your staff and the staff
of the Bureau of the Budget and
has your approval. cr
1T is my understanding that the
objectives sought are to establish 4
staggered pay day plan which will
include practically all Government.
employees in Metropolitan Washing,
ton, to avoid congestion at check,
caShing facilities oy paying employees
OF agencies located in the same area
on different days, and by greatly,
reducing and equalizing the number
of employees paid each day to spread
more, evenly the flow of money into
Washington commercial establsh-g
ments, to alleviate shopping and
| banking Inconvenience for Govern-
ment employees and the Government
generally, and TO spread the ad-
mlnistrative work load incident to,
the payment of Federal salaries.
In order that the benefits inher-
ent in the proposal may be realized
you are requested to increase from
four to fourteen the number of semi
monthly pay periods and paydays for
Federal employees in Metropolitan
Washington paid by the Treasury
Department beginning November I.
1912, or as soon thereafter as pos.7
slble, and to arrange, in collabora-
tlon with the heads of the agencies
concerned, for the payment of these
employees in accordance with thee
schedule worked out by your STAFF
and the staff of the Bureau of thea
Budget. No change should be made
IN this schedule of agencies paid by
the Treasury Department unless the
Secretary of the Treasury feels that
change is necessary in the public
interest.
Adjustment Pay Checks. s.
II understand that an adjust.
ment pay check or a larger paw
check will be issued as promptly
as possible to each employe whose
pay days are changed for work
performed from the end of his
present pay period to the beginning
OF his new pay period. =
1T occurs to me that coincident,
with this plan for easing the con-
gestion at check -cashing facilities
it would be well to give considera...
ton to the possibilities of extending
the practice of paying employees In
the lower grades in cash. .
The plan to increase Governments,
pay days was welcomed by WASH.
ington banks as a benefit not onlv
to the institutions themselves but
to Government employees. I"
John A. Reilly, president of the
District Bankers Association said /:
THE change will be helpful ali
along the line because it will dis
tribute the load of cashing checks.a
Asked what changes if any wouM
be made in banking hours to meet
the development, Mr.. Reilly said.
this was a matter principally fofs
the Washington Clearing House,
and would be taken up immediately.
An announcement will be made
soon, he said. The Clearing House
Is separate from the Bankers Asso.
citation, although representing thes
same institutions. l9t
The bankers will study the sitlI,
uation as to how best to meet thai
needs OF the Government people"
ne continued. I'VE welcome the
AIS Il r.