Evening star., 1955-06-27

CG1l1 pay ldAoCs AAO AAoAAAAc'IAAo -
The Budget Bureau is Wol
agency. according to its size an
fill a certain proportion OF job
vacancies that occur each year
through normal turnover.
It's estimated that in this
way about Is per cent of the cost
of the rs per cent pay raise
about 1.9 per cent-can be abb
sorbed. The remaining cost is
expected to be appropriated by
Congress next year. Meanwhile,
the agencies would have author
ity to pay the new rs per cent
increase.
A top administration official
said: "It is the policy of this ad-
ministration to absorb as much
of the pay raise cost as is pos
sible without hurting present
employees. But it is also our
policy to see to it that no pres
ent employe on the payroll who
is doing a necessary job is dis
missed as a result of the pay
raise. That would not be fair
to Federal employees"
Administration officials say
that with the 10 to IS per cent
turnover in Government each
year, attrition can easily absorb
the pay raise costs in most agen-
cies. This would particularly be
true in the large agencies which
have more leeway in absorbing
costs than do the small ones.
However, in the case of the
smaller agencies, the Budget
Bureau plans to examine the
situation in each one and make
special allowances in cases
where any sizable cost absorb
ton would mean the dismissal OF
employees. In these cases, it was
said the agencies would be al
lowed sufficient funds to retain
present personnel.
Partial ABSORPTION by agencies
of pay raise costs is nothing new.
The last few Federal pay raises
saw agencies absorb some of the
cost. In some cases, this meant
the dismissal of employees. This
time, however, the Budget Bu-
reau is working on plans to
achieve the cost absorption en-
tirely by attrition and not by
firing any employees.
= \
PAY SIGNING-President Eli
senhower will sign the rs per
cent classified pay raise into law
either tomorrow or Wednesday.
INSURANCE INCREASED
Many Government workers will
automatically have their Federal
life insurance policies increased
by $1,000 in value as a result OF
the new pay raise. II the amount
of the increase places then In
the next thousand dollar bracket,
their insurance policies will auto
matically go up. The employees
premium in this case will go up
rs cents per payday.
x X
LEGISLATIVE EMPLOYEES
AS a result of the new classified
pay raise approved by Congress,
legislative employees will be max
ing a top OF about $l3,5D0a year.
And there is a move in the House
Administration Committee to ap-
prove another bill this year to
permit top legislative employees
to draw the same $14,800 annual
salary made by top classified en-
ployes.
4 Il y 4
RETIREES - Unless Congress
acts very soon, it appears that
retired Government workers will
be the only major group ignored
on Capitol Hill this year on in
creased benefits.
Congress has voted its mem
bers a sizeable pay raise as well
as pay boosts for classified and
postal workers and military per-
sonnel. Retired employe leaders
say that retirees also are in vital
need of a pension boost. But
Congress shows no inclination to
act this year, preferring to take
up the entire question of civil
service retirement next year.
4 y
PROTECTION - The House
Civil Service Committee has
completed hearings on legisla-
ton to protect the private in
surance policies Of present and
former Federal employees in en-
ploye welfare associations which
are going out of business. The
Senate Civil Service Committee