"Oh, the FBI will get to them in time." She said, "We do not have to hire a veteran. That is up to the agency."

You will find it thought among people, especially the United Public Office Workers Union, which is subversive to my mind, will do anything to get rid of a veteran, so do not put that satisfactory and unsatisfactory rating through. Let it stand as it is even though the ratings are now phony besides because if you are a boss-and I have been a boss-if 10 'men of mine are marked "excellent." I will mark them excellent. I will give them that rating.

I would not let Carl Gray say, "I will only give two that rating." which they do. In one instance the supervisor said to me, "We will have to make it even. I will give one to one in the union and one who is not in the union. That will keep them satisfied." Is that fair to the employees who are working hard?

I found out that some men, I would say about 20 percent are no good, and about 10 percent of those are supervisors who live in threats by this union of smear and smudge. They would stoop to even forging or tricking the mails.

Here is a letter put through by my wife through channels. It was supposed to go to New York. It never reached there. It was intercepted here in Washington by a gangster. It was supposed to go to New York but it never reached there. It was intercepted here in Washington. As you see, there is no stamp on it of any kind that the postal inspector says must be on it.

There are many thousands of them writing silly books. Here is one. You people should stop it as being illegal, writing silly articles like that.

They transferred them to other jobs. They did not fire them. That was run at Government expense, that magazine. People as high as grade 12 were drawing pictures and writing articles.

On this photostat, handwriting experts say there is the man who wrote it. There is the man's true signature. The man is not with the Veterans' Administration any more. He bought a $35,000 orchard grove in Florida. They have got some around there who are just as bad, I think. That is a personal opinion after being a special agent for 20 years. Those are the people who are not deserving of a raise. When I went to New York City on a point of law, with Congressman McDowell, I interviewed some of my own employees there who were with me and still are. They do not get more than $35 a week no matter what those men said this morning, from insurance companies and banks. They get a little extra bonus because of the high cost of living.

The office stenographer, the average map clerk gets $35 a week and some of these girls in the Government who were recruited from Macy's and Gimbels who got $15 a week and jumped to $32 so they could pay dues to the United Public Office Workers, are not worthy of that raise, but 80 percent are, and the average raise that I think Senator Long is going to give them is $156.

I have a wife in Government service. You are going to make that permanent.

In agencies I have seen loafing. I have seen the Veterans' Administration deliberately stall, and the United Public Office Workers say, "What do you want to do? Get fired? Do you want to get the work cleaned up too fast?" You know that and your committee knows it. I think to my mind that the Veterans' Administration could be cut

right in half. I would like to see any one of these committee members walk into the VA and pick a card out of the file and ask a supervisor if he can read it as to how the veteran stands on his insurance. I will give $200 to charity if he can read how that guy's record stands. It cannot be done.

They are in the service. They pay their premium. They are in the Philippines where they became prisoners of war, and it is given to them. Then after they are prisoners of war and they come back on duty, they have to pay again. See if that is not so balled up around there that none of them can read it. The average clerk that you put on cannot do it.

They will post anything like they did in Boston, posting up their friends for life and that was never made public. There is nothing to stop a clerk from taking a remittance, but you do that as an insurance company does and pass it along, then if the guy marries and reaches Texas, that will reach him, but right now that veteran is in New York, he marries a girl in Texas and it costs the Government $25 to send out something on a teletype to the 13 branch offices to find out where he is, and they all answer, which costs money. There is your waste in Government.

I have spoken to John O'Donnell. I have spoken to him of this and they say, "Veterans? It is rotten from the ground up. It is a waste of millions to the taxpayer."

not being cut the loan and "Forty clerks

Mr. Gray said 15 percent is being cut off. They are off. My wife came home last night. She said that something else department must be getting slack now. landed on us. They are not cutting them down." Senator Byrd is

correct.

Mr. BRAWLEY. Well, it has been interesting testimony. It is something that we have had rumors of before.

Mr. STODDART. There is an article written in Counterattack magazine. You know they fired me while I was foreman of that grand jury in New York. There is no history like it in the courts. In the middle of my term I was fired as an instructor here and I was a foreman of the grand jury in New York.

As civil service is now constituted, it is definitely left wing and that man who writes their opinions is definitely left wing, Mr. Alfred Klein. Did you ever hear of a man being fired while he was on the grand jury? I bet you did not. No judge has either, but this Klein wrote an opinion that he could do it, and Donald Dawson backed him up.

Wait till I show you the letter. I was also told by a man in a high Government office that when I went to New York I had my brother put me on that jury, which is a definite insult.

Mr. BRAWLEY. Well, I think you have made your position clear. You are against big increases. You have endorsed about $100.

Mr. STODDART. $156 and for the deserving. Only about 80 percent should get it.

Mr. BRAWLEY. What do you suggest be done with those other 20 percent?

Mr. STODDART. I suggest the restoration of the Form 57, with the sworn statement on it, and you will see how many fade from false college certificates, false references, and everything else. You people cannot get a hold of the 57's now, so order new ones.

This first speaker this morning for the A. F. of L. agrees with me. Restore the Form 57 with a sworn statement. As it stands now there are only misstatements and nothing can happen to them. If they swear to it, it is perjury.

In the first place that sworn statement should never have been taken out. An opinion was written which the Congress swallowed in late November 1944, so a lot of riff-raff could be taken on in New York, the OPA, and Veterans' Administration.

A person will hesitate when he has to swear to a statement about putting down false references. There are many persons who are on that roll who never saw the inside of a college, but in those days it was very easy to go to Marcantonio's district and get a birth certificate written or a college certificate issued, a photostat. You know that was done for the draft, false birth certificates, false college certificates for a Federal rating.

When I was first interviewed there, this left-wing woman said, "Because you are a veteran of the first war does not necessarily mean you have to go into the Veterans' Administration." I said, "But I was sent here by McNutt's office on Madison Avenue," so I wrote and filled out some papers and got out on the street. I was still in the Navy. I said, "I only know about insurance." They had a huddle about it. I got in all right. When I was in there about 3 days I saw a letter that disgusted me from a man named Weisberger to the "Commie" union to talk about raising their clerks. They were not working then either. They were standing in the toilets all day talking about how to disturb, with things passing in front of the building on Broadway there, and they are still in the service, a good many of them.

Mr. BRAWLEY. Thank you very much for coming by and giving us this testimony.

I have several documents here which will be placed in the record at this point.

(The documents referred to are as follows:)

STATEMENT BY SENATOR HERBERT R. O'CONOR OF MARYLAND, ENDORSING S. 558, TO THE CHAIRMAN AND MEMBERS OF THE SUBCOMMITTEE OF THE SENATE COMMITTEE ON POST OFFICE AND CIVIL SERVICE

Mr. Chairman and members of the subcommittee, I wish to go on record in connection with your consideration of legislation to provide for salary increases for Federal employees, including those in the field service of the Post Office Department.

Convinced as I have been that pay adjustments are due the efficient workers in the Government service I joined in the introduction of S. 558. I commend its favorable consideration to you and would emphasize the fact that by its enactment employees in the Federal service will be encouraged to make a career of their employment as a result of which the efficiency of departmental functioning will be increased.

As one of the authors of S. 498, to provide deserved increases for top officials of the Government, now on the Senate Calendar, I consider it only a simple matter of justice that a general reclassification bill be approved as a companion measure, to afford all categories of Federal workers deserved increases in keeping with the responsibilities of their position, and the increased living costs with which their pay has not kept pace.

As to the postal workers, I believe there is no more loyal and hardworking group of employees in the whole Federal structure. By and large no group in government is compelled to work under grtater stress than are the post-office employees. Yet, because the cost of operation of the Department can be scrutinized so definitely in comparison with postal receipts, many benefits accorded to other

Federal personnel have been denied them, because of the continuing deficit as shown by the Department.

No one is more anxious than I to see the Post Office Department show a balanced budget each year. This does not alter the fact that it is unfair to refuse to its employees benefits equal to those of their governmental functions which do not face the "stigma" of a deficit each year.

While a member of the Post Office and Civil Service Committee, I made a thorough study of postal pay structures and regulations as to annual leave, sick leave, longevity, and other important points affecting the employees welfare. As a result I am convinced that new legislation favorably affecting the postal workers' interest is necessary if these loyal governmental servants are to be placed on the same plane as other Federal employees.

It is my sincere conviction that there should be an increase granted both in the salary schedules, and in annual and sick leave, to mention but a few points in which inequities now exist.

In the light of the above and for other reasons which I will be pleased to develop in person before your subcommittee if desired I bespeak your favorable consideration of this legislation.

STATEMENT OF WARREN G. MAGNUSON, SENATOR, STATE OF WASHINGTON

Mr. Chairman and members of the subcommittee on Classification and Compensation: During the past several months, I have received hundreds of letters and talked with many Federal and postal employees and the most important subject on the minds of these employees is: When will Congress adjust the salaries of all Federal and postal employees in keeping with the cost of living and with the American standard of living?

Mr. Chairman, I desire to be recorded in favor of S. 558 and S. 559, to grant an across-the-board salary increase of $650 per annum for all Federal and postal employees. According to the Bureau of Labor statistics, and all the other information that I have been able to obtain, I believe that the Federal and Postal employees are entitled to this salary increase.

Over the years, Federal and postal employee salary adjustments have always lagged behind when living costs advanced, but too many times, when living costs begin to decline, Government and postal employees salaries are the first to be cut by the Congress.

I have also read and analyzed S. 1772 and S. 1790. These bills seek to amend the Reclassification Acts of 1923 and 1945. I am heartily in accord with the principles as outlined in S. 1772 and S. 1790. I desire to be recorded in favor of this legislation and assure you, Mr. Chairman, that when your committee has approved and reported to the Senate, legislation along the lines outlined in this report, I will actively support it.

Mr. Chairman, and members of the subcommittee, I appreciate this opportunity of supporting salary increases and improved working conditions for all Federal and postal employees.

STATEMENT OF SENATOR WAYNE MORSE, of Oregon

I wish to thank this committee for granting me time to urge the enactment of an across-the-board wage increase for Federal employees.

Federal wages have not nearly kept pace with the increase in the cost of living the last few years. The gap has been ever widening and since the war, Federal employees have been cashing their War Saving bonds and using their liquid assets to make up the difference between their income and the cost of living. A large percentage of Government employees have been forced to obtain part-time employment or their wives to seek employment to augment the family income. Last year the classified Federal employees received an increase of $330 while the Post Office Department employees received an increase of $450, neither of which increases, closed the gap between the increased cost of living and the earnings of Government employees. The Administration bill, S. 1762, provides substantial increases for the higher bracket people and raises the present ceiling of $10,330, by the addition of four grades, to $16,000. This bill woefully neglects the lower paid people. A CAF-3 is raised from $2,498.28 to $2,500, the magnificent sum of $1.72 per year, or 141⁄2 cents per month. A CAF-2 is raised from $2,284 to $2,300, an increase of $16 per year, or $1.33% per month.

Certainly a laborer is worthy of his hire and while I believe in economy and efficiency in Government service, I believe also that we should pay reasonable and decent wages to our civil servants. I urge this committee to add a substantial across-the-board increase to Senate bill 1762, that will grant them relief from the increased living costs which their wages have failed to meet. The same conditions apply to postal workers and I would ask that they also be granted a substantial across-the-board increase. The manner of these increases should, in my opinion, be that proposed in Senate bills 558 and 559.

STATEMENT OF CONGRESSMAN JAMES G. FULTON OF PENNSYLVANIA

I am pleased to enter my testimony on Senate bill 558, the bill to provide for salary increases for employees of the field service of the Post Office Department. The provisions of S. 558 for an increase of $650 to postal employees is necessary to keep these employees on an economic level with employees in private industry. It has been my position that a full days' work deserves a full days' pay. Our postal employees have lagged far behind the other workers in our economy in the past year and this inequity must be made up in order to obtain the highest efficiency in the Department. We should look ahead to the real benefits which will arise through making the postal service a career service. We should once and for all dispose of the idea that working for any department of the Government, and particularly such a responsible Department, requires any sacrifice on the part of the employee to his family.

In addition to the bills relating to the increases in salary, I wish to add my support to the reclassification acts affecting Federal employees and employees in the field service of the Post Office Department. Particularly may I mention my support of S. 1772, which was introduced by Senators Langer, Humphrey, McKellar, Ecton, Hendrickson, Frear and Baldwin. This bill would equalize sick and annual leave for postal and Federal employees. It would eliminate the present four lowest salary grades which have placed a terrific burden on the newer employees, mostly veterans. It would provide credit for past service in promotion to the so-called meritorious service grades, which would benefit older employees who would otherwise retire before becoming eligible for such grades. S. 1772 would also take into consideration compensatory time, which is time granted for service performed on Saturdays, Sundays and holidays, on a basis of 90 minutes for each hour of service in common with practices in private industry, and would also provide salary increases for both substitute and regular employees. I hope that prompt action will be taken not only for the assistance to these deserving employees but also for the good of the postal system and to promote efficient service to the public.

STATEMENT OF HON. CARL ELLIOTT, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF ALABAMA

We are all aware of the fact that postal salaries have lagged behind those in private industry for many years and presently do not provide, in many cases, a reasonable standard of living for the personnel of one of the few career services of the United States Government.

Statements have been made repeatedly regarding the decline in the cost of living, however, according to the latest available statistics prices have only dropped about 5 percent from the all-time high of last August. The saturation point has been reached as far as postal employees are concerned. Many are going into debt and find it necessary to borrow money while others find it necessary for their wives to work and help with the household expenses.

Postal employees have never been unreasonable in their requests for legislation to improve their economic welfare and during one period they had to wait nearly 20 years for a wage increase. Something I would like to stress is the fact that postal receipts have increased much faster than the personnel which shows that the per capita unit output is higher. This has been the yardstick used by private industry in granting increases for many years. Surely, the Members of Congress should consider this fact when a bill is enacted, and due credit given for this increased efficiency.

I, personally feel S. 558 should be enacted to provide postal employees with a salary commensurate with their ability, efficiency, and their family responsibility. However, I feel that from the bills presently before the committee that you gentlemen will find a solution satisfactory to all those concerned.