PROMOTIONAL PROGRAM

The estimate of funds required under our promotional program will provide a modest average per annum increase of only $104.83 per employee-that is, $194.36 per agent and $35.67 per clerk-during 1962. I think this is quite a conservative program.

All promotions are based on merit, and only the most outstanding and best qualified employees are selected for more responsible positions as vacancies occur.

Without exception, all officials and supervisory personnel have risen through the ranks. Their accumulated training and experience represent a priceless asset in the operation of the Bureau. Our employees are constantly being offered higher paying positions in business, industry, and government. I am of the firm belief that the FBI's promotional policies and standards are an absolute "must" if we are to continue the Bureau as a career organization staffed with experienced and dedicated employees.

I submit to the committee at this time an exhibit which provides further details regarding this program.

Mr. ROONEY. It might be well if we inserted the statement with regard to the promotional program at this point in the record. (The document referred to follows:)

BUREAU'S PROMOTIONAL PROGRAM

Clerical employees in the Federal Bureau of Investigation, other than typists and stenographers, are appointed in grade GS-2 at $3,500 per annum. Typists are appointed in grade GS-3, at $3,760 per annum. Stenographers are appointed in grade GS-4 at $4,040 per annum.

Fingerprint classifier vacancies in the FBI are filled from the staff of grade GS-2 ($3,500 per annum) clerical employees. Clerks are assigned to this duty who demonstrate fitness for training and advancement as technical fingerprint employees. After successfully qualifying in training and work performance for a period of 3 months they are eligible for consideration for promotion to grade GS-3 ($3,760 per annum). After 9 months' total service the employee is eligible for consideration for promotion to grade GS-4 ($4,040 per annum). After a total of 18 months of fingerprint work the employee is eligible for consideration for promotion to grade GS-5 ($4,345 per annum). Thereafter, after a total of 30 months of fingerprint work he is eligible for consideration for promotion to grade GS-6 at $4,830 per annum. Fingerprint positions are available only in Washington, D.C.

As all employees qualify for more responsible positions in the Bureau's service, they become eligible for promotion to higher grades as vacancies occur.

Our special agents enter on duty in grade GS-10 at $6,995 per annum. After performing duties in this grade for at least 2 years, they become eligible for consideration for promotion to grade GS-11 ($7,560 per annum). They normally remain in grade GS-11 for 3 years before they become eligible for consideration for promotion to grade GS-12 at $8,955 per annum. An agent on regular investigative assignment after completing at least 4 years of satisfactory service in grade GS-12 is eligible for consideration for promotion to grade GS-13 at $10,635 per annum.

By statute, within-grade Ramspeck promotions are obtained by employees in those grades through GS-10 on an annual basis. Those employees in grades GS-11 and above obtain the within-grade Ramspeck promotions each 18 months.

TENURE OF SERVICE

Mr. HOOVER. 5,131 employees, or 38 percent of our total personnel, have served in the Bureau 10 years or longer. These figures include 3,716 special agents, representing 63 percent of our entire investigative

staff, whose employment with the FBI has ranged from 10 to as high as 40 years.

This chart graphically illustrates the extensive tenure-of-service records of Bureau personnel.

PERSONNEL TURNOVER

Over the years, the rate of personnel turnover in the FBI has been traditionally low. The esprit de corps which exists throughout the service today is evidenced by the fact that the turnover for our special agent staff now averages only 0.4 percent and for the Bureau as a whole it is 1.6 percent. The latest available turnover rate for the Federal service as a whole has been reported to be 1.8 percent and in manufacturing industries 3.7 percent.

EMPLOYMENT OF VETERANS

Some 4,759 of our male employees, or 57 percent of those now on the rolls, have served in some branch of the armed services. All of our veterans are afforded the rights and privileges accorded them under the law.

SUGGESTIONS AND INCENTIVE AWARDS

Throughout the fiscal year 1960, FBI employees in all categories, agents and clerks, earned recognition because of suggestions submitted by them for the improvement of the service of the FBI, as well as for numerous instances of superior performances or accomplishments.

During this period, 1,870 suggestions were made under the FBI suggestion program, the largest number received in any single year to date. Of this number, 667 were adopted, resulting in an estimated total savings of $78,889. This represents an adoption rate throughout the FBI of 36 percent, and compares most favorably with the Government-wide adoption rate of 27 percent.

In addition, 2,562 personal letters of commendation were directed to our employees, and 586 cash incentive awards totaling $97,745 were presented to FBI personnel for outstanding accomplishments or suggestions. These resulted in improvements in the form of greater economy, efficiency, or generally improved operations.

Mr. HOOVER. I shall now discuss the specific increases and decreases affecting items under the other expense category as shown in the exhibit previously presented which reflects an overall increase totaling $168,342.

PERSONNEL BENEFITS

The item "Personnel benefits" shows an increase of $97,042 which is accounted for by two factors:

1. An increase of $33,144 is occasioned by added costs resulting from statutory contributions which must be made by the FBI for the additional 75 full-year employees, to the health benefits fund, to the life insurance fund, to the civil service retirement fund and for social security taxes.

2. The remaining $63,898 is attributable to the cost of additional

contributions which must be made to the civil service retirement fund and for social security taxes as a result of higher average salaries of our overall personnel staff.

The rates of all these contributions are fixed by law and represent costs over which we have no control.

RENT, COMMUNICATIONS, AND UTILITIES

The item "Rent, communications and utilities" shows an increase of $125,750 as a result of two factors:

1. An increase of $9,750 is due to communications costs for the 50 additional special agents requested for 1962.

2. The remaining $116,000 of the overall increase results from a change in method of financing which was announced by the Bureau of the Budget on November 10, 1960, to cover the cost of new or additional general-purpose space needed for the fiscal year 1962. None of the $116,000 is attributable to the additional personnel being requested.

Mr. ROONEY. How was that figure arrived at, Mr. Director?

Mr. HOOVER. That was determined by the General Services Administration.

Mr. ROONEY. They just furnished you with a figure and you lumped it into this budget?

Mr. HOOVER. That is correct. Up to this time, the General Services Administration (GSA) requested a lump-sum appropriation to provide for all general-purpose space needs of all agencies. Under the new method of financing, beginning with the fiscal year 1962, the individual agencies are to include in their request for funds the initial fiscal year cost of all additional general-purpose space. As the new space is acquired by GSA, the funds are to be transferred to that agency. Thereafter, GSA will be responsible for providing the as well as securing the funds therefor.

space

The FBI had previously requested GSA to secure 15,327 square feet of needed space in the field for the next fiscal year. Of this, 9,300 square feet represented needed resident agency office space in 31 different localities throughout the country. In their day-to-day operations these agents need the space to conduct interviews, to maintain supplies and equipment and also for security purposes. The remaining 6,027 square feet of space previously requested from GSA for 1962 represented additional needed space in four of our field offices to alleviate badly crowded working conditions.

The General Services Administration approved our requests and estimated the cost of securing the overall 15,327 square feet of space at $87,800.

Also included in the added rental cost for the fiscal year 1962 is $28,700 for rental of space for a new field office which we recently opened at Las Vegas, Nev., to better serve that particular area. GSA had previously indicated that if we would reimburse them for this rental for the balance of 1961, they would take over the cost in 1962. But that has now been changed by their new method of financing and for that reason that item is included in this appropriation.

The total of these two items is $116,500. This has been rounded off to $116,000 for inclusion in our overall request for funds for 1962.

OTHER SERVICES

Mr. HOOVER. The item "Other services" reflects a net decrease of $115,525 and is accounted for as follows:

An increase of $2,475 due to the additional personnel requested for 1962, which in turn is offset by a decrease of $118,000 which was provided for in 1961 as a nonrecurring item to cover construction work at the FBI Academy at Quantico, which was for the new firearms storage building, and the replacement of heating and cooling systems in the Academy building. This work will be completed during the current fiscal year.

The increases shown for all of the remaining items in the "Other expense" category are due, in each instance, to the additional personnel requested for 1962.

AUTOMOBILE REPLACEMENTS

Under General Services Administration regulations we are authorized to maintain an operating fleet of 3,104 passenger-carrying vehicles. Funds requested for 1962 under the item "Equipment" will permit the purchase, for replacement purposes only, of 501 cars, the same number allowed by the committee last year.

Actually, we will have a maximum of 550 automobiles that will have met the minimum replacement standards as to age and mileage in 1962. This is 49 more than the number of replacements being requested.

I hand to the chairman an exhibit giving a breakdown of the age and mileage of our approved operating fleet.

Mr. ROONEY. We shall insert this itemization with regard to the automobile fleet at this point in the record.

(The document referred to follows:)

Itemization of FBI authorized fleet of 3,104 passenger-carrying vehicles by year models and estimated accumulated mileage groups for fiscal year 1962, with summary showing vehicles meeting replacement standards during 1962

Summary showing vehicles meeting replacement standards of either 6 years age or 60,000 miles of operation:

Number meeting replacement standards for which no funds are being requested....

49

REIMBURSEMENTS

Mr. HOOVER. I submit to the chairman for insertion in the record an itemization of the estimated reimbursements during 1962 for work to be performed for other Government agencies and from the sale of automobiles to be replaced. These funds total $1,344,832, and are not included in the pending direct appropriation request.

Mr. ROONEY. Mr. Director, we should like to insert at this point your itemization with regard to reimbursements.

(The document referred to follows:)

Itemization of estimated reimbursements, fiscal years 1961 and 1962

NOTE. The above reimbursable funds provide for the following full-year employees:

Mr. HOOVER. I shall now give a brief résumé of the results of our investigative activities. During the fiscal year 1960, the Bureau reached several new peaks of achievement:

CONVICTIONS

There were 11,914 convictions in cases investigated by the FBI, the largest number for any peacetime fiscal year. The chart which I present to the committee shows the upward trend in convictions during the past 3 years. These convictions represent 96.5 percent of the persons brought to trial, and 92.5 percent were based on pleas of guilty. I submit to the committee a graphic chart showing this particular accomplishment.

SENTENCES IMPOSED

Actual, suspended and probationary sentences imposed in these cases totaled 33,458 years, or 1,439 years in excess of those recorded for the similar period in 1959. An additional eight terms of life imprisonment resulted from these convictions.