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Mr. BERGMAN. Yes, sir, and the Bureau of Supplies and Accounts member. The technical positions are passed upon by the members of the technical section of the Classification Board, from the technical bureaus of the Department.

Mr. UMSTEAD. It would appear to be reasonable that either yourself or the appointment clerk should be a member of all the boards and sit at all meetings, but perhaps the other members should be chosen from other bureaus or offices, with always the chief clerk or the senior technical employee, depending upon the nature of the case or the bureau or office directly interested in the case, on the board.

Mr. BERGMAN. That has been considered from time to time, but because of the great variety of positions we have in the Navy Department and its field service it is impossible to have a member for each particular group of employees without resulting in a cumbersome board. The board would be too cumbersome. There is also the question of the administration of the law, and many other matters to take into consideration. The board tries to be conscientious and play no favorites. Everybody looks alike to us. The Civil Service Commission has the final check on anything the board might recommend as regards Departmental personnel, and before they act they send an investigator over to look into the job.

Mr. UMSTEAD. Of course your statement is true, because the Civil Service Commission has jurisdiction over all civil-service positions in the final analysis, and they can check on your board or any other board, but the point I am raising is that on your statement you have three people to pass on all CAF positions.

Mr. BERGMAN. Three from the Secretary's office and one from the Bureau of Supplies and Accounts.

Mr. UMSTEAD. Three people from the Secretary's Office. I realize the difficulty incident to the situation just discussed by you in bringing in the chief clerk, or a person from the bureau affected, to sit every time the matter of personnel affecting that bureau is brought up, but at the same time, even though you cannot easily secure someone exactly in the same line of work familiar with the technical details direct from that bureau, could you not obtain some one or more persons to sit in with you who would be more familiar with the particular job at hand than the members of the board from the Secretary's Office?

Mr. BERGMAN. That might be true, sir, but at the same time the board has authority to call any witnesses before it in connection with the consideration of a case if it feels the need for additional information. The board can secure information in that way from the officer in charge or the section supervisor in charge or the chief clerk. Again, under the law, the Secretary of the Navy is vested with authority to make all appointments, reclassification of positions and promotions. All this is strictly within his bailiwick.

Mr. UMSTEAD. Of course that is a well-known fact, and the Secretary of the Navy is just as much the superior officer of any bureau and employee thereof as he is of the employees in the Office of the Secretary. I am making the point, without any reference to any individual involved, that it may develop into a bad system to have all three of the persons passing upon any classifications of employees coming from the same office, where they naturally associate with each other from day to day.

Mr. BERGMAN. Yes, sir.

Mr. UMSTEAD. And who would be more inclined to see alike and agree with each other than would individuals sitting on a board who were not constantly together and who were not from the same office and who would, perhaps, bring to the meeting of the board a different viewpoint. For whatever that may be worth, I am suggesting it to you and to those in authority charged with the administration of this matter.

Perhaps it should be brought to the attention of the Secretary for such consideration as the discussion of this subject as brought out here may merit. There may be perfectly good reasons, plenty of them, for the present set-up. It may work efficiently and fairly. At the same time, I think that it is capable of being, or, rather, I think it is capable of developing a situation that might not be for the best interests of all, under the explanation which has been given by you. I repeat that this statement is made without any reference to any personnel now in the Secretary's Office or who may hereafter be there, but I am directing my remarks solely at the question of safe procedure, as I see it.

Mr. BERGMAN. Judging from the mentality and character of the board members you have reference to, right here, I will state that I do not think either one could pull anyone of the others around by the nose. However, I will carry your thought to the Secretary of the

Navy.

NUMBER OF EMPLOYEES AND EXPENDITURES FOR SALARIES, 1937

For the fiscal year 1937, there was appropriated $3,985,509 for the pay of an estimated total of 1,845 employees. Due principally to the difficulty of filling certain positions in the Bureau of Aeronautics, and the inability of Ñ. I. R. A. employees to qualify through examination for permanent employment in the Bureau of Supplies and Accounts, an average of only 1,814 were actually employed. The total expenditures for 1937 were $3,888,750.

NUMBER OF EMPLOYEES AND AMOUNT APPROPRIATED FOR SALARIES, 1938

For the fiscal year 1938 there was appropriated $4,049,699 for the pay of an estimated total of 1,881 employees. There are now actually 1,887 employed.

ADDITIONAL PERSONNEL REQUESTED FOR 1939

For the fiscal year 1939, the Bureau of the Budget has submitted an estimate of $4,101,129 which will provide for the pay of 1,903 employees, an increase of 16 over the 1,887 now actually employed. This increase is made up as follows:

Office of the Secretary of the Navy (transfers from bureaus).
Naval examining and retiring boards..

Office of Chief of Naval Operations..

Office of Naval Intelligence__

Bureau of Navigation--

Naval Observatory.

3

1

Bureau of Ordnance (1 transferred to Secretary's office and 1 additional requested).

Bureau of Supplies and Accounts (2 transferred to Secretary's office and 6

dropped).

-8

Bureau of Medicine and Surgery

Bureau of Yards and Docks (transfer to Secretary's office)
Bureau of Aeronautics_.

Total...

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ADMINISTRATIVE PROMOTIONS, 1937 AND 1938

The estimates for 1939 contain no money for any administrative increases in salaries.

Mr. UMSTEAD. Were you able to make any administrative promotions during 1937?

Mr. BERGMAN. There were 280 administrative promotions during the fiscal year 1937.

Mr. UMSTEAD. What are the prospects for the current year?

Mr. BERGMAN. To date there have been 92 administrative promotions. Further promotions depend entirely on savings which may be effected by turn-over in the force. That is the only way in the world. we can obtain money for promotions.

Mr. UMSTEAD. You stated that your 1939 estimates contain no money for administrative promotions?

Mr. BERGMAN. Yes, sir.

SECRETARY'S OFFICE

The 1938 estimates presented to Congress included funds for the retention of 13 employees paid from N. I. R. A. appropriations. In submitting the justifications to Congress, the statement was made that, aside from the construction of a larger Navy, there was and would continue to be a large increase in the volume of work in all divisions of the Secretary's office incident to the administration of the larger Navy after the construction has been completed and that the services of all 13 N. I. R. A. employees were necessary if the work in the Secretary's office were to be kept up. However, Congress provided money sufficient for the retention of only 10 of these 13 employees, necessitating the discharge of 3 of them on June 30, 1937, leaving the present force at 82 employees for the fiscal year 1938. The loss of these three employees is being seriously felt.

An increase in annual leave from 15 to 26 days is resulting in the loss of 11 days' work per annum in the case of each employee, a total of 902 days for the Secretary's office, or what amounts to the services of three employees. Furthermore, this office receives no benefit from the services of two employees who have been on detail at the White House for several years.

Mr. UMSTEAD. Mr. Bergman, is it not possible so to regulate the leave time of the employees just referred to by you as to handle the work without serious inconvenience?

Mr. BERGMAN. Under present conditions the work load is pretty heavy the year round. There is no let-up in it, and it embarrasses various offices in the Department in carrying on and letting the employees go on leave. As a rule, in order to save as much embarrassment as possible in the conduct of the work of the Department, it is the practice to make up leave schedules in order to apportion the leave equally between the summertime and the wintertime, so as not

to have too many employees out at one time. The 1939 estimate for the Secretary's office is made up as follows:

Required for present force of 82 employees

Transfer of 4 employees from Shore Establishments Division..

Total...

Less estimated lapses.

1939 estimate.

$191, 420

7,640

199.060

2,290

196, 770

Or, using the 1938 appropriation as a base, the 1939 estimate is made up as follows:

1938 appropriation...

Transfer of 4 employees from Shore Establishments Division...

1939 estimate___

$189. 130 7.640

196, 770

The Assistant Secretary of the Navy has directed, in the interest of better administration and personnel management, that four employees heretofore carried on various Bureaus' rolls and assigned to the Shore Establishments Division be estimated for by the Secretary's office for the fiscal year 1939 and dropped in the estimates of the bureaus where now carried. These four positions are as follows:

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Mr. UMSTEAD. How long have these four positions been assigned to the Shore Establishments Division?

Mr. BERGMAN. These particular positions have been assigned there almost since its establishment in 1921.

Mr. UMSTEAD. It is merely a bookkeeping change?

Mr. BERGMAN. Yes, sir. It does not cost a cent.

Mr. UMSTEAD. To charge the cost of the employees to the bureau for which they do the work?

Mr. BERGMAN. That is what it has been heretofore, but we now desire to have these employees on the Secretary's roll for better administration. The estimates contain no money for promotions. There are 50 employees in this office who are now below the average of their grade. The morale of the force is not improved by the knowledge that there are no funds for promoting employees whose efficient and valuable services should be substantially recognized. The estimates as presented to the Bureau of the Budget by the Secretary of the Navy provided for three additional clerks to take the place of the three clerks formerly employed under N. I. R. A. and whose services are badly needed in connection with the constantly increasing work load of this office. The estimates, however, as approved by the Bureau of the Budget do not contain money for these three positions.

NAVAL EXAMINING AND RETIRING BOARDS

The estimate for 1939 does not provide for any change in rates of compensation of the present clerical force. An increase of $1,650 s requested for employment of one additional assistant clerk-stenographer which is necessary if the work of these boards is to be brought up to and maintained at the required standard. This clerk has been badly needed for the past 2 years and has been included in the boards' estimates as submitted to the Bureau of the Budget, but disallowed by that Bureau until this year.

This clerical force is the sole clerical force assigned to the Naval Examining Board (line), the Naval Retiring Board, the Naval Examining Board (for medical officers), and the Board of Medical Examiners (for physical examinations). These boards have a total membership of 11 senior officers of the Navy. The Naval Examining Board is headed by a rear admiral of the line and the Naval Retiring Board by a rear admiral of the Medical Corps.

The work of these combined boards has increased to such an extent that it is absolutely essential to provide additional clerical assistance to carry on the work in an efficient and expedititous manner. In addition to the regular allowance of officer personnel, it has been necessary, due to the increase in the work of the Examining Board (line), from time to time, to detail additional officers for temporary duty, this naturally being accompanied by a corresponding increase in the clerical work; however, the permanent clerical force has not been increased since 1922. At that time, there were approximately, 1,200 examinations conducted annually. During 1936 there were more than 2,400 examinations conducted by these boards, a 100 percent increase. This represents the minimum number that may be expected during the next fiscal year. Any change will undoubtedly be an increase.

During the fiscal year 1937 this office was fortunate in obtaining the services of borrowed employees, representing over 5 months' time for one employee. Except for the personal efforts of the Secretary, this borrowed help would not have materialized, and, in view of the increased volume of work in practically all bureaus and offices of the Department and the shortage of clerical assistance in most of them, certainly cannot be counted upon or even considered satisfactory if it were available. It does not take the place of adequate permanent personnel.

Unless the clerical personnel is brought up to sufficient strength to keep the work moving at an even flow, it is bound to react unfavorably upon the morale of the Naval Service when officers who have spent months in preparing for their professional examinations and from 1 to 2 weeks in taking them are compelled to wait several months before learning the outcome and receiving their commissions. It is therefore not only highly desirable that the estimate for the additional clerk be allowed, but essential if those unsatisfactory conditions are to be avoided.

Mr. UMSTEAD. How many clerks, stenographers, and typists, or other employees are now engaged in the business of serving the various examining and retiring boards?

Mr. BERGMAN. Five.

Mr. UMSTEAD. You are asking for one additional?
Mr. BERGMAN. Yes, sir.

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