Total gross cost Income taxes on in reduced to annual basis for comparison. 1 GWU increases are annual throughout in number and amount; present increases are annual in number through new grade 6 and for part of grade 7, but dollar amounts are America as of July 1, 1948. 2 Figures represent present service and grade distribution of 806,786 employees in positions subject to the Classification Act of 1923 as amended, in continental United States of Represents CM employees with hourly rates. Due to difference in increments in CPC-9 from other merged classifications, under 1939 rates. 10 Same as footnote 8. 11 Same as footnote 1. 12 Same as footnote 9. 11 See p. 5. APPENDIX II DEPARTMENT OF LABOR, Mr. HARRY LEET, Government Workers Union, Washington, D. C. DEAR MR. LEET: In response to your telephoned request of Mrs. Ursell, we have prepared a table listing the following: 1. The average annual gross salary rates (including overtime payments) of Classification Act workers of the Federal Government, for selected periods from August 1939 to August 1948, inclusive. 2. The amount of the retirement deductions. 3. The amount of Federal income tax for a single worker. 4. The amount of income tax for a family of four with only one member working. 5. The consumer price index for "all items" for moderate-income families in large cities, based on August 1939 as 100. 6. The net spendable earnings in current dollars and in terms of the August 1939 dollar for a single worker and for a family of four. The average annual salaries were computed by using the number of July 31, 1947, Classification Act employees in each pay group as weights. The income tax for each period was computed from the "short-form" incometax table for each year except 1939 and 1940, when such tables were not provided. For these 2 years the computations were made as directed on the forms, after deducting 6 percent from gross income to allow for contributions and other allowable deductions. We used 6 percent because the "short-form" tax table for 1942 stated 6 percent had been used for allowable deductions. Net spendable earnings in current dollars were obtained by subtracting the retirement deduction and income tax from the average gross annual salary. A more detailed explanation of the methods used in preparing the Bureau's hour and earnings series appears in the monthly Hours and Earnings publication, a copy of which is attached. Very truly yours, EWAN CLAGUE, Commissioner of Labor Statistics. NOTE. At the request of Government Workers Union, the Bureau of Labor Statistics brought the table up to date to include the union's proposal. See the last line of the table. Computation of average annual net spendable earnings of Classification Act employees of the Federal Government 1 |