An Act to authorize the Postmaster General to readjust the compensation of holders of contracts for the performance of mail-messenger service
PL 83-763 (H.R.2263), enacted 09/01/1954

68 S T A T . ] 
PUBLIC LAW 763-SEPT. 1, 1954 
1105 
Public Law 763 
CHAPTER 1208 
AN ACT 
September 1, 1954 
To provide certain employment benefits for employees of the Federal Govern- 
[H. R. 2263] 
ment, and for other purposes. 
Be it enacted hy the Senate and House of Representatives 
of the fofo'^v^er^nm^int 
United' States of America in Congress assembled, 
employees. 
TITLE I—AMENDMENTS TO CLASSIFICATION ACT 
OF 1949 
NUMBER OF POSITIONS IN GRADES 16, 17, AND 18 OF THE GENERAL 
SCHEDULE 
SEC. 101. (a) Section 505 of the Classification Act of 1949, as 
amended, is amended to read as follows: 
"SEC. 505. (a) No position shall be placed in grade 16 or 17 of the 
General Schedule except by action of, or after prior approval by, the 
Commission. 
"(b) No position shall be placed in or removed from grade 18 of 
the General Schedule except by the President upon recommendation 
of the Commission. 
"(c) At any one time there shall not be more than four hundred posi-
tions in grade 16 of the General Schedule, not more than one hundred 
and fifteen positions in grade 17 of the General Schedule, and not more 
than thirty-five positions in grade 18 of the General Schedule. 
"(d) Positions that may be established under the proviso of section 
203 (b) (1) of the Act of August 2, 1946 (60 Stat. 836), may be in 
addition to those authorized by the foregoing provisions of this 
section." 
(b) The amendment made by subsection (a) shall not affect positions 
allocated to grades 16, 17, and 18 of the General Schedule of the 
Classification Act of 1949, as amended, pursuant to provisions of law 
(other than the Classification Act of 1949, as amended) and reorgan-
ization plans in effect prior to the effectiA^e date of this section. 
LONGEVITY STEP-INCREASES 
SEC. 102. (a) (1) Subsection (a) of section 703 of the Classification 
Act of 1949, as amended, is amended by striking out the words "change 
of grade or rate of basic compensation except such change as may be 
prescribed by any provision of law of general application" and insert-
ing in lieu thereof the words "increase in grade or rate of basic com-
pensation except such increase as may be prescribed by any provision 
of law of general application". 
(2) Subsection (b) (1) of section 703 of the Classification Act 
of 1949, as amended, is amended to read as follows: 
"(b) (1) No officer or employee shall be entitled to a longevity step-
increase while holding a position in any grade above grade 15 of the 
General Schedule." 
(b) The amendments made by subsection (a) shall become effective 
at the beginning of the first pay period following the date of enact-
ment of this Act. 
SEC. 103. (a) Section 704 of the Classification Act of 1949, as 
amended, is amended to read as f 
ollow^s : 
"SEC. 704. In the case of officers and employees in grades 11 to 15, 
inclusive, of the General Schedule who are receiving compensation 
at or above the maximum scheduled rates for their respective grades 
on the date immediately preceding the effective date of this amend-
atory section, not to exceed three years of service performed immedi-
63 Stat. 959. 
5 u s e 1105. 
Grades 16-18. 
Number of posi-
tionst 
2 use 166. 
5 u s e 1112. 
5 use 1123(a). 
Grades above 15. 
Effective date. 
5 use 1124. 
Grades 11-15. 
39777 O—55—pt. 1-
-72 
1106 
PUBLIC LAW 763~SEPT. 1, 1954 
[68 S T A T , 
Effective date. 
ately preceding such eflfective date shall be counted toward longevity 
step-increases under section 7()'3. 
Notwithstanding subsection (b) 
(4) of section 703, longevity step-increases for grade 15 of the 
General Schedule shall be $200." 
(b) The amendment made by subsection (a) shall become effective 
at the beginning of the first pay period following the date of enact-
ment of this Act. 
5 u s e 1132 note. 
5 u s e 1121. 
RECRUITMENT ABOVE THE MINIMUM RATE OF THE CLASS 
SEC. 104. Section 803 of the Classification Act of 1949, as amended, 
is amended to read as follows: 
"SEC. 803. (a) Whenever the Commission shall find (1) that a 
sufficient number of qualified eligibles for positions in a given class 
cannot be secured in one or more areas or locations at the existing 
minimum rate for such class, and (2) that there is a possibility that a 
sufficient number of such eligibles can be secured by increasing the 
minimum rate for such class in such areas or locations to one of the 
higher rates within the grade in which such class is placed, the Com-
mission may establish such higher rate as the minimum rate for that 
class in each area or location concerned. 
"(b) Minimum rates established under subsection (a) may be 
revised from time to time by the Commission. 
Such actions or 
revisions shall have the force and effect of law. 
"(c) Any increase in rate of basic compensation resulting from the 
establishment of minimum rates under this section shall not be 
regarded as an 'equivalent increase' in compensation within the mean-
ing of section 701 (a)." 
5 use 1082. 
5 u s e 1084. 
Supra. 
5 use 1083. 
EXCLUSION FROM CLASSIFICATION ACT OF 194 9 OF CRAFrS, TRADES, AND LABOR 
POSITIONS AND APPLICATION OF PREVAILING WAGE POLICY TO SUCH 
POSITIONS 
SEC. 105. (a) Paragraph (7) of section 202 of the Classification Act 
of 1949, as amended, is amended to read as follows: 
"(7) employees in recognized trades or crafts, or other skilled 
mechanical crafts, or in unskilled, semiskilled, or skilled manual-
labor occupations, and other employees including foremen and 
supervisors in positions having trade, craft, or laboring experience 
and knowledge as the paramount requirement, and employees in 
the Bureau of Engraving and Printing the duties of whom are to 
perform or to direct manual or machine operations requiring 
special skill or experience, or to perform or direct the counting, 
examining, sorting, or other verification of the product of manual 
or machine operations: Provided, That the compensation of such 
employees shall be fixed and adjusted from time to time as nearly 
as is consistent with the public interest in accordance with pre-
vailing rates: Provided further, That whenever the Civil Service 
Commission concurs in the opinion of the employing agency that 
in any given area the number of such employees is so few as to 
make prevailing rate determinations impracticable, such employee 
or employees shall be subject to the provisions of this Act 
which are applicable to positions of equivalent difficulty or 
responsibility." 
(b) Section 204 (c) of the Classification Act of 1949, as amended, is 
amended to read as follows: 
"(c) Section 202 (except paragraph (7) thereof) and section 203 
shall not apply to the Office of the Architect of the Capitol." 
5 u s e 1111 ,Bt 
seq. 
68 S T A T . ] 
PUBLIC LAW 7 6 3 - S E P T . 1, 1954 
1107 
TRANSFER OF CERTAIN POSITIONS FROM T H E CRAFTS, PROTECTIVE, 
AND 
CUSTODIAL SCHEDULE TO T H E GENERAL SCHEDULE 
^ 
SEC. 106. (a) Not earlier than the first day of the second pay period 
which begins after the date of enactment of this Act, and not later than 
the first day of the first pay period which begins more than six months 
after the date of enactment of this Act, all positions in the Crafts, 
Protective, and Custodial Schedule of the Classification Act of 1949, 
as amended, not excluded from such Act bv section 202 (7) thereof. 
Ante, p. iioe. 
as amended by section 105 of this title, shall be placed in correspond-
ing grades of the General Schedule as set forth below: 
Grade of the Crafts, 
Corresponding 
new 
Protective, and Cus- 
grade of tlie Gen-
todial Scliedule 
era] Schedule 
1 
1 
2 
1 
.•••••r:-,^r. 
3 
1 
4 
2 
5 
3 
6 
4 
7 
5 
8 
6 
9 
7 
10 
8 
(b) The rates of basic compensation of officers and employees to ^.^^sic compenser 
whom this section applies shall be initially adjusted as follows: 
(1) If the employee is receiving a rate of basic compensation in 
the Crafts, Protective, and Custodial Schedule which is less than the 
minimum scheduled rate of that grade in the General Schedule in 
which his position is placed, his compensation shall be increased to 
such minimum rate; 
(2) If the employee is receiving a rate of basic compensation in the 
Crafts, Protective, and Custodial Schedule which is equal to one of 
the scheduled or longevity rates of that grade in the General Schedule 
in which his position is placed, he shall receive a rate of basic compen-
sation at such scheduled or longevity rate; 
(3) If the employe is receiving a rate of basic compensation in the 
Crafts, Protective, and Custodial Schedule at a rate between two 
scheduled or two longevity rates, or between a scheduled rate and a 
longevity rate, of that grade in the General Schedule in which his 
position is placed, he shall receive a rate of basic compensation at the 
' ao >.. 
higher of such two rates; 
(4) If the employee is receiviiig a rate of basic compensation in the 
Crafts, Protective, and Custodial Schedule in excess of the maximum 
longevity rate of that grade in the General Schedule in which his 
position is placed, he shall continue to receive basic compensation 
without change in rate until (A) he leaves such position, or (B) he is 
entitled to receive basic compensation at a higher rate by reason of 
the operation of the Classification Act of 1949, as amended; but when 
such position becomes vacant the rate of basic compensation of any 
subsequent appointee shall be fixed in accordance with such Act, as 
amended. 
(c) The conversion to grades of the General Schedule of positions 
covered by this section, and the initial adjustments in compensation as 
prescribed herein, shall not be construed to be transfers or promo-
tions within the meaning of section 802 (b) of the Classification Act 
^ use 1132. 
of 1949, as amended, and the regulations issued thereunder. 
1108 
PUBLIC LAW 763-SEPT. 1, 1954 
[68 S T A T . 
5 u s e 1111. 
5 u s e 1112. 
Repeal. 
5 u s e 1113. 
Repeal. 
59 Stat. 304. 
5 u s e 944. 
Effective dates. 
ABOLISHMENT OF CRAFTS, PROTECTI^'E, AND CUSTODIAL SCHEDULE 
SEC. 107. Section 601 of the Classification Act of 1949, as amended, 
is amended to read as follows: 
" S E C 601. There is hereby established for positions to which this 
Act applies a basic compensation schedule, to be known as the 'Gen-
eral Schedule', the symbol for which shall be 'GS'." 
SEC. 108. (a) Section 602 of the Classification Act of 1949, as 
amended, is amended by striking out " ( a ) " after "SEC. 602.". 
(b) Subsection (b) of such section 602 is hereby repealed. 
SEC. 109. (a) Subsection (a) of section 603 of the Classification Act 
of 1949, as amended, is amended to read as follows: 
"(a) The rates of basic compensation with respect to officers, 
employees, and positions to which this Act applies shall be in accord-
ance with the compensation schedule contained in subsection (b)." 
(b) Subsection (c) of such section 603 is hereby repealed. 
(c) Subsection (d) of such section 603 is amended to read as 
follows: 
"(c) Whenever payment is made on the basis of a daily, hourly, 
weekly, biweekly, or monthly rate, such rate shall be computed from the 
appropriate annual rate specified in subsection (b) by the method 
prescribed in section 604 (d) of the Federal Employees Pay Act of 
1945, as amended." 
SEC. 110. (a) Section 105 of this title shall take effect on the date 
or dates specified by the head of a department, but not earlier than 
the first day of the second pay period which begins after the date of 
enactment of this Act, and not later than the first day of the first pay 
period which begins more than twelve months after the date of enact-
ment of this Act, with respect to each employee and position in sucn 
department within the purview of such section 105. 
(b) Sections 107, 108, and 109 of this title shall take effect, with 
respect to employees and positions in a department, upon the com-
pletion of the actions required by sections 105 and 106 of this title to 
be taken with respect to such employees and positions, but in no event 
later than the first day of the first pay period which begins more than 
twelve months after the date of enactment of this Act. 
MISCELLANEOUS PROVISIONS 
5 u s e 1114. 
5 U S e 
1 1 2 3 , 
1132. 
CSC regulations. 
Basic compensa-
tion, decrease. 
SEC. 111. Section 604 of the Classification Act of 1949, as amended, 
is amended to read as follows: 
"SEC. 604. Employees receiving basic compensation at a rate author-
ized by law, immediately prior to the effective date of this title, in 
excess of the appropriate new rate of the grade as determined under 
paragraphs (1) to (10), inclusive, of section 604 (b) of this Act, as 
in effect prior to the date of enactment of this amended section, may 
continue to receive such rate so long as they remain in the same posi-
tion and grade, but when any such position becomes vacant, the rate 
of basic compensation of any subsequent appointee shall be fixed in 
*
i ocoiTi fill 
O
P wii^ ii t^iiis X
V 
ct 
SEC. 112. Sections 703 (c) and 802 (b) of the Classification Act of 
1949, as amended, are amended by striking out "section 604 (b) (11)" 
and inserting in lieu thereof "section 604" 
SEC. 113. The Civil Service Commission is hereby authorized to 
issue such regulations as may be necessary for the administration of 
this title. 
SEC. 114. Nothing contained in this title shall be construed to 
decrease the existing rate of basic compensation of any present 
employee, but when his position becomes vacant any subsequent 
68 S T A T . ] 
PUBLIC LAW 763-SEPT. 1, 1954 
1109 
appointee to such position shall be compensated in accordance with 
the scale of pay applicable to such position. 
SEC. 115. The term "department" shall have the same meaning in 
this title as when used in the Classification Act of 1949, as amended. 
TITLE II—AMENDMENTS TO T H E FEDERAL EMPLOYEES 
PAY ACT OF 1945, AS AMENDED 
SEO. 201. This title may be cited as the "Federal Employees Pay Act 
Amendments of 1954". 
SEC. 202. (a) Subsection (a) of section 101 of the Federal Employees 
Pay Act of 1945, as amended, is amended by striking out "titles I I 
and I I I " and inserting in lieu thereof "titles II, III, and IV". 
(b) Subsection (b) of such section 101 is hereby repealed. 
5 u s e 1071 note. 
Short title. 
59 Stat. 295. 
5 u s e 901. 
Repeal. 
COMPENSATION FOR OVERTIME WORK 
SEC. 203. Section 201 of the Federal Employees Pay Act of 1945, 
as amended, is amended to read as follows: 
"SEC. 201. All hours of work officially ordered or approved in excess 
of forty hours in any administrative workweek performed by officers 
and employees to whom this title applies shall be considered to be 
overtime work and compensation for such overtime work, except as 
otherwise provided for in this Act, shall be at the following rates: 
"(1) For each officer and employee whose basic compensation is 
at a rate which does not exceed the minimum scheduled rate of basic 
compensation provided for grade GS-9 in the Classification Act 
of 1949, as amended, the overtime hourly rate of compensation 
shall be an amount equal to one and one-half times the hourly 
rate of basic compensation of such officer or employee, and all of 
such amount shall be considered premium compensation. 
"(2) For each officer and employee whose basic compensation 
is at a rate which exceeds the minimum scheduled rate of basic 
compensation provided for grade GS-9 in the Classification Act 
of 1949, as amended, the overtime hourly rate of compensation 
shall be an amount equal to one and one-half times the hourly 
rate of such minimum scheduled rate of basic compensation, and 
all of such amount shall be considered premium compensation." 
SEC. 204. Section 202 (a) of the Federal Employees Pay Act of 
1945, as amended, is amended to read as follows: 
"SEC. 202. (a) The head of any department, independent establish-
ment, or agency, including Government-owned or controlled corpora-
tions, or of the municipal government of the District of Columbia, or 
the head of any legislative or judicial agency to which this title applies, 
(1) may, at the request of any officer or employee, grant such officer 
or employee compensatory time off from his scheduled tour of duty in 
lieu of payment for an equal amount of time spent in irregular or 
occasional overtime work, and (2) may, at his own discretion, provide 
that any officer or employee, whose rate of basic compensation is in 
excess of the maximum scheduled rate of basic compensation pro-
vided for grade GS-9 in the Classification Act of 1949, as amended, 
shall be compensated for irregular or occasional overtime work for 
which compensation would be due under this Act with an equal 
amount of compensatory time off from his scheduled tour of duty in 
lieu of such compensation." 
SEC. 205. (a) Section 203 of the Federal Employees Pay Act of 
1945, as amended, is redesignated as section 205, and wherever such 
section number appears in such Act or in any other provision of law 
it is amended to conform to the redesignation prescribed by this 
subsection. 
5 u s e 911. 
5 u s e 1113. 
5 u s e 912. 
Irregular 
time. 
5 u s e 913; post, 
p. 1110. 
1110 
V 
PUBLIC LAW 763-SEPT. 1, 1954 
[68 STAT. 
(b) The Federal Employees Pay Act of 1945, as amended, is 
amended by inserting after section 202 thereof the following new 
sections: 
^*->'\ . 
^ 
"CALL-BACK OVERTIME 
"SEC. 203. For the purposes of this Act, any unscheduled overtime 
work performed by any officer or employee on a day Avhen no work 
was scheduled for him, or for which he is required to return to his 
,«.nis ..I,', 
place of employment, shall be considered to be at least two hours in 
duration. 
( ( i 
a;; 
TIME I N TRAVEL STATUS 
"SEC. 204. For the purposes of this Act, time spent in a travel 
status away from the official-duty station of any officer or employee 
shall be considered as hours of employment only when (1) within 
the days and hours of such officer's or employee's regularly scheduled 
administrative workweek, including regularly scheduled overtime 
hours, or (2) when the travel involves the performance of work Avhile 
traveling or is carried out under arduous conditions." 
COMPENSATION FOR N I G H T AND HOLIDAY WORK 
5 use 921. 
SEC. 206. Section 301 of the Federal Employees Pay Act of 1915, 
as amended, is amended to read as follows: 
"SEC. 301. (a) Any regularly scheduled work between the hours of 
six o'clock postmeridian and six o'clock antemeridian (including 
periods of absence with pay during such hours due to holidays, and 
,.,, .,.,,j 
any such hours within periods of leave with pay if such periods total 
less than eight hours during any pay period) shall be considered night-
work, except as provided in subsection (b), and any officer or employee 
performing such work to whom this title applies shall be compen-
sated for such work at his rate of basic compensation plus premium 
compensation amounting to 10 per centum of such rate, unless other-
Post, P. 1111. 
wise provided in title IV of this Act. This section shall not operate 
to modify the provisions of the Act of July 1,1944 (Public Law Num-
31 use fso** 
bered 394, Seventy-eighth Congress), or any other law authorizing 
additional compensation for nightwork. 
"(b) The head of any department, independent establishment, or 
agency, including Government-owned or controlled corporations, may 
designate any time after six o'clock postmeridian and any time before 
six o'clock antemeridian as the beginning and end, respectively, of 
nightwork for the purpose of subsection (a) at any post outside the 
«--«.. 
several States and the District of Columbia where customary hours of 
business extend into the hours of nightwork provided by such sub-
section." 
5 use 922. 
SEC. 207. Section 302 of the Federal Employees Pay Act of 1945, 
as amended, is amended to read as follows: 
"SEC. 302. (a) All work not exceeding eight hours, which is not 
Ante, p. 1109. 
overtime work as defined in section 201 of this Act and which is per-
formed on a holiday designated by Federal statute or Executive oixler, 
shall be compensated at the rate of basic compensation of the officer 
or employee performing such work on a holiday plus premium com-
pensation at a rate equal to the rate of basic compensation of such 
officer or employee. 
"(b) Any officer or employee who is required to perform any work 
on such a holiday shall be compensated for at least two hours of such 
^ ,„ , 
work, and any such premium compensation due under the provisions 
•
"
^ * 
\ 
of this section shall be in addition to any premium compensation 
which may be due for the same work under the provisions of section 
Supra. 
301 of this Act providing premium compensation for nightwork. 
.ti^ D
w
^
^ 
68 S T A T . ] 
PUBLIC LAW 763-SEPT. 1, 1954 
1111 
"(c) Overtime work, as defined in section 201 of this Act, on Sun-
days and such holidays shall be compensated in accordance with the 
provisions of such section 201." 
SPECIAL FROVISIONS FOR CfiRTAlN TYPES OF WORK 
SEC. 208. (a) The Federal Employees Pay Act of 1945, as amended, 
is amended by inserting after title I I I thereof a new title to read as 
follows: 
"TITLE IV—SPECIAL PROVISIONS FOR CERTAIN TYPES 
OF WORK 
"SEC. 401. The head of any department, independent establishment, 
or agency, including Government-owned or controlled corporations, 
or of the municipal government of the District of Columbia may, 
with the approval of the Civil Service Commission, provide that— 
"(1) any officer or employee in a position requiring him regu-
larly to remain at, or within the confines of, his station during 
longer than ordinary periods of duty, a substantial part of which 
consists of remaining in a standby status rather than performing 
work, shall receive premium compensation for such duty on an 
annual basis in lieu of premium compensation provided by any 
other provisions of this Act. Premium compensation under this 
paragraph shall be determined as an appropriate percentage (not 
in excess of 25 per centum) of such part of the rate of basic 
compensation for any such position as does not exceed the mini-
mum scheduled rate of basic compensation provided for grade 
GS-9 in the Classification Act of 1949, as amended, by taking 
into consideration the number of hours of actual work required in 
such position, the number of hours required in a standby status 
at or within the confines of the station, the extent to which the 
duties of such position are made more onerous by night or holiday 
work, or by being extended over periods of more than forty 
hours a week, and any other relative factors; or 
"(2) any officer or employee in a position in which the hours of 
duty cannot be controlled administratively, and which requires 
substantial amounts of irregular, unscheduled, overtime duty and 
duty at night and on holidays with the officer or employee gener-
ally being responsible for recognizing, without supervision, cir-
cumstances which require him to remain on duty, shall receive 
premium compensation for such duty on an annual basis in lieu 
of premium compensation provided by any other provisions of this 
Act, except for regularly scheduled overtime duty. 
Premium 
compensation under this paragraph shall be determined as an 
appropriate percentage (not in excess of 15 per centum) of such 
part of the rate of basic compensation for any such position 
as does not exceed the minimum scheduled rate of basic compen-
sation provided for grade GS-9 in the Classification Act of 1949, 
as amended, by taking into consideration the frequency and dura-
tion of night, holiday, and unscheduled overtime duty required 
in such position." 
(b) Nothing contained in this section shall be construed to decrease 
the existing aggregate rate of compensation of any present employee, 
but when the position of such employee becomes vacant any subse-
quent appointee thereto shall receive premium compensation provided 
for such position in accordance with this section. 
Ante, p. 1109. 
5 use 901 note. 
Premium cotrt-
pensation. 
C o m p e n s ation 
1112 
PUBLIC LAW 763-SEPT. 1, 1954 
[68 S 
T A T . 
5 u s e 943. 
LIMITATION ON PREMIUM 
COMPENSATION 
SEC. 209. Section 603 of the Federal Employees Pay Act of 1945, as 
amended, and the heading immediately preceding such section are 
amended to read as follows: 
a 
5 u s e 1113. 
5 u s e 944. 
LIMITATION ON PREMIUM COMPENSATION 
"SEC. 603. (a) No premium compensation provided by this Act shall 
be paid to any officer or employee whose rate of basic-compensation 
equals or exceeds the maximum scheduled rate of basic compensation 
provided for grade GS-15 in the Classification Act of 1949, as amended. 
"(b) In the case of any officer or employee whoso rate of basic com-
pensation is less than the maximum scheduled rate of basic compensa-
tion provided for grade GS-15 in the Classification Act of 1949, as 
amended, such premium compensation may be paid only to the extent 
that such payment would not cause his aggregate rate of compensation 
to exceed such maximum scheduled rate with respect to any pay 
period." 
WORK SCHEDULES 
SEC. 210. (a) The heading immediately preceding section 604 of the 
Federal Employees Pay Act of 1945, as amended, is amended to read 
as follows: 
'ESTABLISHMENT OF BASIC WORKWEEK; WORK SCHEDULES; PAY 
5? 
Effective date. 
COMPUTATION METHODS 
(b) Section 604 (a) of the Federal Employees Pay Act of 1945, as 
amended, is amended by inserting "(1)" after " ( a ) " and by adding at 
the end thereof a new paragraph as follows: 
"(2) Except where the head of each such department, establishment, 
or agency and of the municipal government of the District of Columbia 
determines that his organization would be seriously handicapped in 
carrying out its functions or that costs would be substantially increased, 
he shall provide, with respect to all officers and employees in his 
organization, (A) that assignments to tours of duty shall be scheduled 
in advance over periods of not less than one week, (B) that the basic 
forty-hour workweek shall be scheduled on five days, which shall be 
Monday through Friday wherever possible, and the two days outside 
the basic workweek shall be consecutive, (C) that the working hours 
in each day in the basic workweek shall be the same, (D) that the 
basic nonovertime workday shall not exceed eight hours, (E) that the 
occurrence of holidays shall not affect the designation of the basic 
workweek, and (F) that breaks in working hours of more than one 
hour shall not be scheduled in any basic workday." 
SEC. 211. This title shall become effective at the beginning of the first 
pay period which begins more than sixty days after the date of enact-
ment of this Act. 
TITLE III—GOVERNMENT EMPLOYEES' INCENTIVE 
AWARDS 
Short title. 
e s c r e p o r t to 
President. 
SEC. 301. This title may be cited as the "Government Employees' 
Incentive Awards Act". 
SEC. 302. The departmental awards program set forth in this title 
shall be carried out under such regulations and instructions as may be 
issued by the United States Civil Service Commission which shall 
annually report the results of the program, with related recommenda-
tions, to the President for transmittal to the Congress. 
68 
S T A T . ] 
PUBLIC LAW 763-SEPT. 1, 1954 
1113 
D e p a r t m e ntal 
awards. 
P r e s i d e n t i a l 
awards. 
SEC. 303. As used in this title, the term "department" means an 
"Department.* 
executive department or independent agency in the executive branch 
of the Government, including a Government-owned or controlled cor-
poration (but not including the Tennessee Valley Authority), and also 
includes (a) the Administrative Office of the United States Courts, 
(b) the Library of Congress, (c) the Botanic Garden, (d) the Govern-
ment Printing Office, (e) the Office of the Architect ot the Capitol, 
and (f) the municipal government of the District of Columbia. 
SEC. 304. (a) The head of each department is authorized to pay cash 
awards to, and to incur necessary expenses for the honorary recogni-
tion of, civilian officers and employees of the Government who by their 
suggestions, inventions, superior accomplishments, or other personal 
efforts contribute to the efficiency, economy, or other improvement of 
Government operations or who perform special acts or services in the 
public interest in connection with or related to their official employ-
ment. 
(b) In instances determined by the President to warrant such ac-
tion, he is authorized to pay cash awards to, and to incur necessary 
expenses for the honorary recognition of, civilian officers and em-
ployees of the Government who by their suggestions, inventions, supe-
rior accomplishments, or other personal efforts contribute to the 
efficiency, economy, or other improvement of Government operations, 
or who perform exceptionally meritorious special acts or services in 
the public interest in connection with or related to their official em-
ployment, and any such Presidential awards may be in addition to 
the departmental awards authorized in subsection (a) of this section. 
(c) Awards under this section may be paid notwithstanding the 
death or separation from the service of the officer or employee con-
cerned : Provided, That the suggestions, inventions, superior accom-
plishments, other personal efforts, or special acts or services in the 
public interest forming the basis for the awards are made or rendered 
while the officer or employee is in the employ of the Government. 
(d) A cash award under this section shall be in addition to the 
regular compensation of the recipient and the acceptance of such cash 
award shall constitute an agreement that the use by the Government 
of the United States or the municipal government of the District of 
Columbia of any idea, method or device for which the award is made 
shall not form the basis of a further claim of any nature upon the 
Government of the United States or the municipal government of the 
District of Columbia by the employee, his heirs, or assigns. 
(e) Awards to employees and expenses for the honorary recognition 
of employees may be paid from the funds or appropriations available 
to the activity primarily benefiting or may be paid from the several 
funds or appropriations of the various activities benefiting as may be 
determined by the President for awards under subsection (b) of this 
section, and by the head of the department concerned for awards under 
subsection (a) of this section. 
(f) An award under this title shall be given due weight in qualifying 
and selecting employees for promotion. 
(g) A monetary award granted under this title shall not exceed 
$5,000, except that an award in excess of such amount but not in 
excess of $25,000 may be granted, with the approval of the Commis-
sion, in special cases in which the head of a department certifies to the 
Commission that the suggestion, invention, superior accomplishment, 
or other meritorious effort for which such award is proposed to be 
made is highly exceptional and unusually outstanding. 
SEC. 305. The following laws and parts of laws are hereby repealed: 
Repeals, 
(a) Sections 702, 1002, and 1003 of the Classification Act of 1949 
(63 Stat. 954; 5 U. S. C. 1122, 1152, 1153). 
Honorary recog-
nition. 
Promotion. 
Maximum 
tary award. 
1114 
PUBLIC LAW 763-SEPT. 1, 1954 
[68 S T A T . 
Effective date. 
" (b) Section 14 of the Act entitled "An Act to authorize certain 
administrative expenses in the Government service, and for other 
purposes", approved August 2, 1946 (60 Stat. 809; 5 U. S. C. 116a). 
(c) The Act entitled "An Act authorizing payments of rewards to 
postal employees for inventions", approved December 3, 1945 (59 
Stat. 591; 39 U. S. C. 813). 
(d) The Act entitled "An Act authorizing the Secretary of War 
to pay a cash award for suggestions submitted by employees of cer-
tain establishments of the Ordnance Department for improvement or 
economy in manufacturing process or plant", approved July 17, 1912 
(37 Stat. 193; 50 U. S. C. 58). 
(e) The Act entitled "An Act to provide equitable compensation for 
useful suggestions or inventions by personnel of the Department of 
the Interior", approved June 26, 1944 (58 Stat. 360; 5 U. S. C. 500). 
(f) Subsections (a) and (b) of section 35 of the Act entitled "An 
Act to enact certain provisions now included in the Naval Appro-
priation Act, 1946, and for other purposes", approved August 2, 1946 
(60 Stat. 857; 5 U. S. C. 416). 
(g) The joint resolution entitled "Joint Kesolution to provide cash 
awards to personnel of the Maritime Commission and the War Ship-
ping Administration for useful suggestions to improve administration 
of their activities", approved March 13,1944 (58 Stat. 115; 46 U. S. C. 
1111b). 
(h) All other laws or parts of laws inconsistent with this Act are 
hereby repealed to the extent of such inconsistency. 
SEC. 306. The enactment of this title shall not affect the right of 
any employee to an award granted him under any provision of law 
repealed by this title. 
SEC. 307. This title shall take effect on the ninetieth day after the 
date of its enactment. 
TITLE IV—UNIFORM ALLOWANCES 
Short tide. 
Appropriation* 
,aj jr's'.;-5.yi 
SEC. 401. This title may be cited as the "Federal Employees Uni-
form Allowance Act". 
SEC. 402. There is hereby authorized to be appropriated annually 
to each agency of the (Tovernment of the United States or of the Dis-
trict of Columbia (including Government-owned corporations), upon 
a showing of the necessity or desirability thereof, an amount not to 
exceed $100 multiplied by the number of the employees of such agen(*y 
who are required by regulation existing on the date of enactment of 
this Act or by law to wear a prescribed uniform in the performance of 
his or her official duties and who are not being furnished with such 
uniform. 
The head of any agency to which any such appropriation 
is made shall, out of funds made available by such appropriation, 
(1) furnish to each such employee such uniform at a cost not to exceed 
$100 per annum, or (2) pay to each such employee an allowance for 
defraying the expenses of acquisition of such uniform at such times 
and in such amounts, not to exceed $100 per annum, as may be pre-
scribed in accordance with rules and regulations promulgated pur-
suant to section 404. Where the furnishing of a uniform or the 
payment of a uniform allowance is authorized under any other pro-
vision of law or regulation existing on the date of enactment of this 
Act, the head of the agency may in his discretion continue the fur-
nishing of such uniform or the payment of such allowance under 
such law or regulation, but where a uniform is furnished or allowance 
paid under any such law or regulation no uniform shall be furnished 
or allowance paid under this section. 
68 
S T A T . ] 
PUBLIC LAW 763-SEPT. 1, 1954 
1115 
SEC. 403. Allowances paid under this title shall not be considered 
as pay, salary, or compensation within the meaning of the Civil Service 
Ketirement Act of May 29, 1930, as amended, or as wages within the 
meaning of section 209 of the Social Security Act, as amended, or 
chapters 21 and 24 of the Internal Revenue Code of 1954. 
SEC. 404. The Director of the Bureau of the Budget is authorized 
and directed to promulgate such rules and regulations as may be neces-
sary to provide for the uniform administration of this title. 
46 Stat. 468; 64 
Stat. 492. 
5 u s e 691 note; 
42 u s e 409. 
6 8 A Stat. 4 15, 
455. 
TITLE V—ANNUAL LEAVE 
SEC. 501. Clause(6) of section 2 of the Act of August 3, 1950, as 
amended by section 5 of the Act of July 2, 1953, is amended to read 
as follows: "(6) payment for all accumulated and current accrued 
annual or vacation leave equal to the compensation the decedent would 
have received had he remained in the service until the expiration of 
the period of such annual or vacation leave; except that such lump-
sum payment shall not include compensation for any period of 
accumulated leave in excess of thirty days, plus current accrued leave, 
or in excess of the number of days of accumulated leave to which he 
is entitled on the date of separation (excluding accumulated leave 
earned in the 1954 leave year and thereafter), plus current accrued 
leave, whichever is the greater." 
SEC. 502. Section 6 of the Act of July 2, 1953 (Public Law 102, 
Eighty-third Congress), is hereby repealed. 
SEC. 503. Section 501 of this title shall take effect as of September 
1, 1953. 
TITLE VI—MISCELLANEOUS PROVISIONS 
67 Stat. 138. 
5 u s e 61g. 
5 u s e 2062b. 
Effective date. 
SEC. 601. (a) Section 2 (b) of the Performance Rating Act of 1950 
(5 U. S. C, sec. 2001) is amended by striking out the period at the 
end thereof and inserting in lieu thereof a semicolon and the 
following: 
"(12) The Central Intelligence Agency." 
(b) Section 9 of the Central Intelligence Agency Act of 1949, as 
amended (50 U. S. C, sec. 403i), is hereby repealed. 
SEC. 602. (a) Subsection (a) of section 1310 of the Supplemental 
Appropriation Act, 1952 (Public Law 253, Eighty-second Congress), 
as amended, is amended to read as follows: 
"(a) The Civil Service Commission and the heads of the executive 
departments, agencies, and corporations shall make full use of their 
authority to require that initial appointments to positions in and 
outside the competitive civil service shall be made on other than a 
permanent basis in order to prevent increases in the number of per-
manent personnel of the Federal Government in excess of 10 per 
centum above the total number of permanent employees on September 
1,1950: Provided^ That any position vacated by a permanent employee 
called to military service or transferred to a national defense agency 
shall not be filled except on a temporary or indefinite basis. 
All 
appointments, reinstatements, transfers, and promotions to positions 
subject to the Classification Act of 1949 shall be made with the condi-
tion and notice to each individual appointed, reinstated, transferred, 
or promoted that the classification grade of the position is subject to 
post-audit and correction by the appropriate departmental or agency 
personnel office or the Civil Service Commission." 
(b) Such section 1310 is further amended by adding at the end 
thereof the following new subsection: 
64 Stat. 1098. 
Repeal. 
65 Stat. 757. 
5 u s e 43 note. 
63 Stat. 954. 
5 u s e 1071 note. 
1116 
PUBLIC LAW 764-SEPT. 1, 1954 
[68 S 
T A T . 
58 Stat. 387. 
5 u s e 851 note. 
Ante, p. 736. 
24 Stat. 492. 
"(e) This section does not and shall not be construed to amend or 
modify the Veterans' Preference Act of 1944 (Public Law 369, 
Seventy-eighth Congress), as amended." 
SEC. 603. The Official Reporters of the proceedings and debates of 
the Senate and their employees shall be considered to be officers or 
employees in or under the legislative branch of the Government 
within the meaning of the provisions of section 2 (a) of the Federal 
Employees' Group Life Insurance Act of 1954. 
SEC. 604. The Act entitled "An Act authorizing the employment of 
mail messengers in the postal service", approved March 3, 1887 (39 
U. S. C, sec. 578), is amended by adding at the end thereof the fol-
lowing new paragraph: 
"The Postmaster General may, in his discretion and under such 
regulations as he may prescribe, readjust the compensation of the 
liolder of any contract for the performance of mail-messenger service 
on account of increased or decreased costs occasioned by changed con-
ditions which could not reasonably have been anticipated at the time 
such contract was made." 
Approved September 1, 1954. 
September 1, 1954 
[H. R. 6287] 
Public Law 764 
CHAPTER 1209 
AN ACT 
To extend and amend the Renegotiation Act of 1951. 
R e n e go t iation 
A c t of 1951, ex-
tension, etc. 
65 Stat. 7. 
5 0 u s e 
a p p . 
1212. 
A 
g g r e g a t e 
amounts. 
5 0 u s e 
a p p . 
1215. 
Exemptions. 
5 0 u s e 
a 
1216. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That subsection (a) 
of section 102 of the Eenegotiation Act of 1951 is hereby amended by 
striking out "December 31, 1953" and inserting in lieu thereof "De-
cember 31, 1954." 
SEC. 2. (a) Section 105 (f) (1) of such Act is amended by strik-
ing out "$250,000" wherever it appears therein and inserting in lieu 
thereof the following: "$250,000, in the case of a fiscal year ending 
before June 30, 1953, or $500,000, in the case of a fiscal year ending on 
or after June 30, 1953". 
(b) Section 105 (f) (3) of such Act is amended by inserting, in 
the second sentence thereof, after "the $250,000 amount" the following: 
", the $500,000 amount,". 
SEC. 3. (a) Paragraph (6) of section 106 (a) of such Act is hereby 
amended by inserting immediately following the second period therein 
the following: "In designating those classes and types of contracts 
which shall be exempt and in exempting any individual contract under 
this paragraph, the Board shall consider as not having a direct or 
immediate connection with national defense any contract for the fur-
nishing of materials or services to be used by the United States, a De-
partment or agency thereof, in the manufacture and sale of synthetic 
rubbers to a private person or to private persons which are to be used 
for nondefense purposes. If the use by such private person or per-
sons shall be partly for defense and partly for nondefense purposes, 
the Board shall consider as not having a direct or immediate connec-
tion with national defense that portion of the contract which is de-
termined not to have been used for national defense purposes. 
The 
method used in making such determination shall be subject to approval 
by the Board." 
(b) The amendment made by subsection (a) shall be effective as 
if it were a part of such Renegotiation Act of 1951 on the date of its 
enactment.