The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1950-04-27
Committee Takes
Three Weeks On
Social Security

Washington (LPA)-After three
weeks of nearl daily sessions, the
Senate Finance committee has fin
ally made public its decisions about
the workers to be covered by the
1850 version of the social security
bill. Net effect was to include under
the old age and survivors insur-
ance system just about the same
number as would be covered by the
bill approved last year by the
House. The committee is still work
ing on benefits, tax rates, and pro-
posals for disability insurance and
public assistance programs.
However, about 100000 workers
who would have been classified as
employees under the House bill will
be classed as self-employed under
the Senate version. This means
they'll have to pay the whole pay
roll tax themselves, instead of
their employer paying half. Af-
fected by the proposed shift would
be, among others: laundry, beer,
bakery, and other agent-drivers;
Industrial home workers; band
leaders; all retail merchant; oper-
ators of service stations; contract.
loggers; mine lessees.
Other major change from the
Houses version is to refuse cover
age to about 2H million state and
local government employees now
under retirement systems. The
other 11a million state and local
employees who are not covered by
retirement systems can be covered
if their state so requests. Employees
of municipally-owned transit sys-
TENS could be covered on request
of the state. Under the House bill,
employees could vote to come under
the federal system by two-thirds
vote; this provision, rejected by|
the Senate committee, was approx
ed by the American Federation of
and the State County &
Employees, two major
unions affected.
The committee rejected propos-
ais to cover farm operators and
farm workers, and is still debat-
ing whether to cover "borderline"
farm workers-these packing and
processing farm commodities off
the farm, or maintaining irriga-
ton bitches, for instance.
All in all, about the same num-
ber-seven millionaire added to |
the 35 million now enjoying pro-
lection as were brought under in
.he House-approved bill. Of these
five million are under the self
category, and about one
million are domestic workers.
Knocked out in the Senate YER
sion are an estimated 100000 en-
,loyes of hospitals, organizations
md businesses "owned or controll-
ID" by a religious denomination. |
These, along with other employees
# non-profit organizations, had
been covered in the House version. |
Tips and gratuities are excluded
rom the amounts on which social |
security benefits are calculated, in
he Senate committees draft. The
House had included them.
While the method of collection
S not provided in the social secur-
ty law itself, spokesmen for Chair
nan Walter George Cd, Ga.) of the
Senate Finance committee indicat-
ID that the Treasury Dept be-
ieyes that self-employed can pay
heir tax once year, computing it
rom the profits from business"
schedule c Of their income tax form
md paying it when the, return is
lied. Domestic employees would
lave their tax computed and col
ected by the employer, since it is
Intended under the details of the
ill that only relatively permanent |
would be covered.