Evening star. [volume] (Washington, D.C.) 1854-1972, 1943-09-11
Social Security Bill
Hit by Association
OF Building Owners

The Executive Committee of the
National Association of Building
Owners and Managers today voiced
opposition to the pending Wagner
Murray Social Security bill which
would double present deductions and
cause an increase of 100000 in
the number of those subject to this
form of taxation, Rufus S. Lusk,
Washington representative of the
group stated. The bill proposes a
deduction of IL per cent, 6 per cent
from the employer and 6 per cent
from the employe.
Besides old age and unemploy-
ment compensation the measure
would provide health insurance CAL
culated to bring medical treatment
and disqualification under unwar-
ranted Federal control, the asso-
citation claimed.
A special committee appointed to
study the proposed legislation de-
scribed the proposal as "untlmely,
impractical, uneconomic and un-
sound" and pointed out that the
consequences to the general public
are of vital concern.
In addition to more fundamental
objections. such as the trend toward
State medicine which runs counter
to American democratic principles,
Frank M. Whitson, chairman of the
committee. declared the contem-
plated increase in payroll deduc-
tions. added to those now in effect
would be burdensome in the extreme.
Neither industry nor the indi-
vidual employe," he said, "can stand
this additional tax load. We can ex-
pect proponents will paint the bene-
fits in glowing colors: but there is
another side to the picture. 1t is a
proposal that great majority of
the voters would undoubtedly reject
If there we're any general under
standing of what this bill provides.
Conversion from war to peace
will demand all the financial re-
sources of both capital and labor.
It is imperative that taxes be light
ened at the earliest possible mo-
ment, certainly not needlessly in
creased. Instead of raising the So
cial security rate, the law should
be amended to permit reduction in
social security taxes where indi-
vidual employers develop their own
pension trust retirement plan. Such
plans make for industry soli-
darity and should be encouraged,
whereas the tendency of the present
law is to put them out of business.
Federal Capitalization Hit.
eff any extension of the social
security program is contemplated,
it should be through grants in aid
to funds administered by the States.
Capitalization of power in the Fed
eral Government has gone far
enough.
THE operation of such a plan
would provide reserves running into
untol billions of dollars. We are
of the opinion that our financial
house should be put in order before
any proposal of such proportions as
the Wagner-Murray bill contem-
plates is considered by Congress.
The annual deficit of the United
States must be wiped out before it
should offer itself as a trustee for
any such gigantic f1duciary fund.
In the absence of a sound Federal
fiscal system the proposed law
would be a fraud upon the people.
This bill is fantastic in scope,
idealistic in objective and extreme
ly expensive in its economic aspect,
a combination that will hardly en-
list the support Of the general pub
lie at this time"
Serving with Mr. Winston on the
special committee are E. A. Hart,
Herbert A. Fisher. George c. Brush,
Will r. Beck, L. D. Callahan, A. E.
Garrison, Claude B. Ricketts,, Philip
c. Hodill, George r. Simmons, S. M.
Buckingham, Alfred Trenkamp,
Paul Robertson, A. w. Hasselbach,
Charles M. Underhill and A. E.
Giere