Public representatives-Continued Mr. John J. Corson, circulation manager, Washington Post, Washington, Mrs. Sadie OrrDunbar, past president, Federated Women's Clubs, Portland, Oreg. Dr. Merle E. Frampton, principal, New York Institute for the Education of the Blind, New York City. Mr. Fred K. Hoehler, executive director, Community Fund of Chicago, Inc., Chicago, Ill. Mrs. Henry A. Ingraham, former president, National Board, YWCA, Brooklyn, N. Y. Mr. Roscoe C. Martin, bureau of public administration, University of Mr. Ira D. Reed, professor, Haverford College, Haverford, Pa. Mrs. Anna Rosenberg, New York City. Dr. Sumner Slichter, professor of economics, Harvard University, Cambridge, Mass. Dr. Edward E. Whitte, department of economics, University of Wisconsin, Madison, Wis. Management representatives: Miss Bess Bloodworth, vice president, Namm Department Stores, Brooklyn, N. Y. Mr. Prentice A. Coonley, business consultant, Washington, D. C. Mr. John Lovett, president, Michigan Manufacturers Association, Detroit, Mich. Mr. George Mead, president of the Mead Corp., Dayton, Ohio. Mr. H. S. Vance, chairman of the board, Studebaker Corp., South Bend, Ind. Mr. Frank DeVyver, Duke University, Durham, N. C. Mr. Marion Folsom, treasurer, Eastman Kodak, Rochester, N. Y. Labor representatives: Mr. John Brophy, director of industrial union councils, Congress of Industrial Organizations, Washington, D. C. Mr. Harry Boyer, president, Pennsylvania State CIO council. Mr. Nelson H. Cruikshank, director of social insurance activities, American Federation of Labor, Washington, D. C. Mr. James McDevitt, president, Pennsylvania State Federation of Labor. Mr. H. L. Mitchell, president, National Farm Labor Union, AFL, Washington, D. С. Mr. Paul Sifton, national legislative representative, UAW-CIO, Washington, D. C. Mrs. Katherine Ellickson, assistant director of research, Congress of Industrial Organizations, Washington, D. C. James A. Brownlow, secretary-treasurer, Metal Trades Department, American Federation of Labor, Washington, D. C. Mr. Joseph M. Rourke, secretary-treasurer, Connecticut State Federation of Labor, Bridgeport, Conn. Veterans representatives: Mr. Robert S. Allen, author, member of American Veterans Committee. Mr. Lawrence J. Fenlon, chairman, national economics commission, American Legion. Mr. Omar B. Ketchum, director of national legislative services, Veterans of Foreign Wars. Mr. Millard W. Rice, executive secretary, Disabled American Veterans. Senator IVES. Two witnesses, Mr. Paul Sifton and Dr. George Nelson, who are not here, will go over and be heard at tomorrow morning's hearing, which will begin at 10 o'clock in the morning. (The following telegrams, letters, and statements will be printed. in the record.) Senator JAMES O. EASTLAND, JACKSON, Miss., July 21, 1949. Senate Office Building, Washington, D. C.: Mississippi employment security agency definitely feels that Presidential Reorganization Plan No. 2, insofar as employment service and unemployment compensation are concerned, should be defeated. Interest of program can best be furthered by remaining in Federal Security Agency, an independent agency as distinguished from Department of Labor. Urge and request if consistent with your views that you support this position in Senate committee departmental hearings on July 25. Regards. Hon. JOHN L. MCCLELLAN, Gov. FIELDING L. WRIGHT. LITTLE ROCK, ARK., July 23, 1949. Chairman, Committee on Expenditures in the Executive Departments, United States Senate, Washington, D. C.: I herewith respectfully transmit the following resolution: "Associated Industries of Arkansas, Inc., representing manufacturers of Arkansas, hereby declares its opposition to the President's Reorganization Plan No. 2, providing for transfer of the administration of unemployment compensation and the employment services from the Federal Security Agency to the Department of Labor. "Associated Industries of Arkansas, Inc., takes this position for the following reasons: "1. It appears probable that such a transfer, far from effecting economies in the expenditure of Government funds, would actually result in greater outlays because of resulting expansion of the Department of Labor. "2. Inasmuch as the unemployment-insurance funds are derived from a tax upon pay rolls, employers and the public generally have an important stake in the impartial administration of benefits and the fixing of qualifications therefor. It is believed that an independent, neutral Federal agency is best suited to deal with the several States in this regard. "3. The policy of Congress heretofore has been to look upon unemployment compensation as a part of the whole social-security program. This concept is regarded as logical and no pressing reason for taking the program away from the Federal Security Agency is apparent. "Accordingly, Associated Industries of Arkansas, Inc., expresses hope that the Congress of the United States will reject the President's Reorganization Plan No. 2 prior to its effective date." ASSOCIATED INDUSTRIES OF ARKANSAS, INC., By FRANK CANTRELL, Managing Director. Senator JOHN L. MCCLELLAN, MILWAUKEE, WIS., July 25, 1949. Chairman, Senate Committee on Expenditures in the Executive Departments, We strongly urge your committee favor rejection Reorganization Plan No. 2. Federal unemployment compensation activities and employment service functions should not be administered by Department of Labor a special group interest agency. Federal Security Agency representing broad public interest should continue to administer. We desire the above statement placed in the record of your committee hearing. FRANK T. FREY, Chairman and Treasurer, Geuder Paeschke & Frey Co. RACINE, WIS., July 25, 1949. Senator JOHN L. MCCLELLAN, Believe it would be a serious mistake to approve President's Reorganization Plan No. 2 as I am firmly convinced present procedure will assure much more efficient results. Hope you will oppose this action. BELLE CITY MALLEABLE IRON CO., Senator JOHN L. MCCLELLAN, LANSING, MICH., July 25, 1949. Senate Office Building, Washington, D. C.: Endorse Hoover Commission recommendation plan No. 2 which places Bureau of Employment Security under Labor Department. G. MENNEN WILLIAMS, MILWAUKEE, WIS., July 26, 1949. Hon. JOHN L. MCCLELLAN, Chairman, Senate Committee on Expenditures in the Executive Departments, Senate Office Building, Washington, D. C.: Mr. Voyta Wrabetz, appearing before your committee did not appear for or in behalf of Wisconsin State Federation of Labor (AFL). His views opposing the Reorganization Plan No. 2 are not the sentiments of Wisconsin State Federation of Labor. The Wisconsin Industrial Commission of which Mr. Wrabetz is chairman is the Labor Department of Wisconsin. Unemployment compensation and other social agencies are under administration of said industrial commission and in accord with principles of this State Federation of Labor. The Honorable CHET HOLIFIELD, WISCONSIN STATE FEDERATION OF LABOR. AUGUST 2, 1949. Chairman, Subcommittee on Executive and Legislative Reorganization, House Office Building, Washington, D. C.: I have several long-established commitments in the West which prevent my appearance before the committee on the dates mentioned in your telegram. No doubt the committee will incorporate in its hearings the majority report upon the Labor Department made by the Commission on Organization of the Executive Branch o fthe Government. The Commission pointed out that the Labor Department has been steadily denuded of functions at one time established within it. It pointed out that good organization to prevent waste, overlap, and conflict require grouping of agencies as to their major purpose. It pointed out that the Department of Labor was originally created by the Congress for the exact purpose of bringing these agencies together. They are now diffused over many parts of the Government. The Commission pointed out that the overhead of the Department, in staff and expense, is equal to several other major departments of the Government, some of whom administer funds 100 times as great and have employees 100 times larger with the same overhead. With such overhead staff, the Department could better administer the various labor agencies than by diffusion over the Government. On pages 9 and 10 of that report, we enumerated the agencies which we believe should be placed in, or restored to, the Labor Department. We stated that these functions were more nearly related to the problems of labor than they were to those with which they were associaed in other agencies. The President's Reorganization Plan No. 2 does not transfer all of the agencies we recommended, but, so far as the plan goes, I can endorse it. I would like to suggest to the committee that it might call Mr. James Rowe, Jr., a member of the Commission, who is a resident of Washington and who is familiar with the studies of the Commission. Senator JOHN L. MCCLELLAN, Washington, D. C. HERBERT HOOVER. COPPES, INC., Nappanee, Ind., July 12, 1949. DEAR SENATOR MCCLELLAN: I wish to take this opportunity as a representative of a small industry to state our views on the proposed transfer of unemployment compensation and employment services to the United States Labor Department. We employers in Nappanee feel that the Department of Labor is too closely connected with organized labor to properly give impartial service regarding unemployment compensation and feel that these matters should be left in the hands of an impartial Federal agency. We cannot see that there would be any benefit derived from such a transfer and believe that there is a definite danger of destroying the present balance between labor and industry in the handling of employment services and unemployment compensation, especially in view of the fact that it appears these services will be enlarged in the future and are definitely a part of the economic policy of the Government. Your committee has the jurisdiction over any move to reject the transfer plan and we sincerely hope that you will exercise your authority and protect not only industry but labor by leaving these matters in the hands of an independent board. Yours sincerely, Hon. JOHN L. MCCLELLAN, COPPES, INC., C. H. COPPES, President. IOWA MANUFACTURERS ASSOCIATION, Chairman, Senate Committee on Expenditures in the Executive Department, Senate Office Building, Washington, D. C. MY DEAR SENATOR: It is my understanding that your committee is now giving consideration to the proposal to transfer the Bureau of Employment Security to the Labor Department. This letter is a sincere protest on behalf of all Iowa manufacturers to the attempt to place in the hands of the Labor Department control of employment security to which the employers only make contributions. It always has been true and undoubtedly will continue to be true in the future that the Secretary of Labor and his deputies are in effect chosen by the American Federation of Labor and the CIO. Under such circumstances, no matter how hard those executives may try to be fair, their previous training and activities are such that they cannot give fair and just consideration to employers. All Iowa industry joins in opposition to such transfer. I trust that this letter will be incorporated in the record of your hearing. Sincerely, Hon. JOHN L. MCCLELLAN, EDW. A. KIMBALL, Executive Vice President. CUMBERLAND MILLS, MAINE, July 20, 1949. Chairman, Senate Committee on Expenditures of Executive Departments, DEAR SIR: We note that your committee is considering the transfer of the Bureau of Employment Security from the Federal Security Agency to the Labor Department. It does not appear to us that such a transfer would be to the best interests of social security administration and we wish to register with your committee our hope that such a transfer may not be effected. We would ask that you incorporate this letter into the record of your hearings. Yours very truly, S. D. WARREN CO., Hon. JOHN L. MCCLELLAN, Mill Manager. INDIANAPOLIS CHAMBER OF COMMERCE, Senate Office Building, Washington, D. C. DEAR SENATOR MCCLELLAN: We are writing you to urge, after much deliberation on our part, that you vote against the approval of the President's Reorganization Plan No. 2, if and when a resolution on this subject comes before Congress for action. Inasmuch as the Senate Committee on Executive Expenditures is to hold a hearing on this matter starting next Monday, we conclude that such action may be proposed. We are not unmindful of the fact that this particular proposal was recommended by the Hoover Commission. While we have recognized the great value of the studies and recommendations of this body for greater efficiency and economy in the Federal Government, and the dangers of attack by all who may feel they are detrimentally affected by some particular proposal, we are constrained, nevertheless, to urge that this particular proposal not be approved. In doing so we call your attention to the fact that this proposal was not one of those recommended by the investigating task force of experts which worked for the Commission. Rather it was seemingly somewhat of an afterthought of the Commission based on the fact that the President and others feel the Department of Labor has been deprived of some of its functions, and ought to have them restored. We, in common with many others who have taken a deep interest in our unemployment-compensation system since its beginning, now over 13 years ago, opposed these very changes when they were twice before urged by the President and resoundingly vetoed by the Congress, each time. We did so because we profoundly believe that both the unemployment-compensation system and the administration of the Employment Service have a much wider public interest than just the interest and concern of organized labor. There has been a continuing campaign of some labor organizations throughout the history of the unemployment-compensation system, for example, to destroy the principle of merit rating, to promote the use of unemployment compensation to pay strike benefits, and otherwise to alter the basic principles upon which our system is founded. It is our belief that the administration of these important services, so closely intertwined with State and local administrations, belong in an agency that represents the entire public interest, and not just union labor alone as does the United States Department of Labor. In these past several years, the 48 States of our country have built their own systems of unemployment compensation based, each one, on its peculiar conditions of commerce and industry, and none can successfully say that these systems have not been evolved and operated in the best interests of both the employees and the entire country. The efforts to federalize these services especially emphasize the efforts of some within the Federal Government to create a greater and still greater Federal Government, centralizing more and more administrative and regulative power there, all of which ultimately will destroy State and local government. We urge that such a policy is a contradiction of the principle of government that has perpetuated our individual freedom and made this the finest and greatest country in entire history. We respectfully, but with emphasis, urge your vote against approval of this Presidential plan. Sincerely yours, FRANK HOKE, President. P. S. We respectfully request that this letter be recorded on the record of your committee hearings relating to this matter.-F. H. WILLIAM LAVELLE, Assistant CIO Legislation Representative, NEW YORK, N. Y., July 26, 1949. 718 Jackson Place NW.: I have been given to understand that Mr. Robert Hatton, chairman of the Kentucky Unemployment Insurance Advisory Council testified today before a congressional committee that the Kentucky Advisory Council voted unanimously to oppose the proposed transfer of unemployment insurance and employment service from the Federal Security Agency to the Department of Labor. If this be true, Mr. Hatton is in grave and serious error because the labor or employee representatives of the Kentucky Unemployment Insurance Advisory Council of which I am one, were unanimous for the proposed transfer. I want you to please enter this wire and also a copy of the resolution which the Kentucky Advisory Council passed over the vigorous dissent of the labor representatives and which I am mailing to you tonight, into the record of the congressional hearings for me. AL WHITEHOUSE, President Kentucky CIO Council and Secretary Kentucky Unemployment Insurance Advisory Council. : |