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the Nation, the Convocation called for immediate and significant national action.
The Coalition represents a remarkable coming together of leadership from the various sectors of American life, On the Steering Committee are such businessmen as Henry Ford II and David Rockefeller, labor leaders such as George Meany and Walter Reuther, minority group leaders such as Whitney Young, Roy Wilkins and Bayard Rustin and mayors such as Richard Daley of Chicago and John Lindsay, of New York.
It is the purpose of The Urban Coalition to awaken the American people to their responsibilities in dealing with the urban crisis, to assist them in organizing to cope with that crisis, and to help them in the search for solutions. It is not an operating organization; it is not an organization that will build an empire of its own; it will always remain small and it will supplement rather than supplant other organizations concerned with the cities, our stance is one of total cooperation.
The Convocation held last August urged the Federal government to develop an emergency work program to provide jobs and new training opportunities for the unemployed and underemployed.
Representatives of the private sector in The Crban Coalition committed themselves to assist the deprived to achieve full participation in the economy as selfsupporting citizens. To that end, they pledged full-scale private endeavors through creative job training and employment, mauagerial assistance, and basic investment in all phases of urban development.
The Convocation called upon the nation to take bold and immediate action to provide “a decent home and a suitable living environment for every American family" with guarantees of equal access to all housing, new and existing.
The Convocation appealed for educational programs that will equip all young Americans for full and productive participation in our society to the full potential of their abilities.
Leaders of The Urban Coalition realized that these actions were not the responsibility of the national government alone but also required the participation of state and local governments and of local leaders representing all phases of community life. Therefore, since last August a nationwide effort has been made to organize local coalitions. Today there are 33 in existence. Others are organizing.
The formation of local coalitions is only part of a very large-scale effort which we will undertake with the aim of informing and educating the American people with respect to the urban crisis. The time has passed when American citizens can hide their heads in the sand. Our cities are in trouble. We intend to do everything possible to alert the people to the nature of the problems and the possibilities for constructive action.
As there must be local response to go along with national action, so also there must be private enterprise participation to complement governmental action. In the vitally important matter of employment opportunity, private enterprise must play a crucially important role, for about seven out of eight jobs in the l'nited States are in the private, profit-making sector. This commitment to a partnership approach by government and private enterprise is at the heart of The t'rban Coalition's program.
The Coalition was pleased, therefore, when the President established the National Alliance of Businessmen. As you know, the Alliance will work closely with the Departments of Commerce and Labor and with local businessmen in promoting the program called JOBS, which stands for Job Opportunities in the Business Sector. It is essentially an on-the-job training program, which develops the job skills the hard-core unemployed need so badly. The unemployed person will have a good chance of moving into regular employment, and the employer will be paid for training expenses and other costs during the transitional period when the trainee is not fully productive.
The national and local coalitions will support the National Alliance of Businessmen. It was particularly gratifying to The Urban Coalition that one of the key members of our Steering Committee, Henry Ford II, was appointed by the President to head the Alliance.
To complement this effort, The Urban Coalition will work with local coalltions to open other job opportunities for the disadvantaged. We know that there are hundreds of thousands of job vacancies today. While some of them require professional training and others are in very low-paying jobs, large numbers of these vacancies pay a living wage and could be filled by unemployed and under employed persons who live in congested urban ghettos. Many of them seem to be
blocked by artificial barriers, such as the requirement of a high school diploma or nearly absolute prohibition of hiring persons with a police record, regardless of the nature of the offense. Thus, many ghetto residents are rejected without regard to individual potential. This is the type of problem on which local coalitions might be very helpful.
The private sector can make significant contributions to the reduction of unemployment. Indeed, the role of private enterprise is indispensable. Nevertheless, unemployment in cities, and in rural areas from which many of the urban jobless come, cannot be solved fast enough by private employment alone. Only with a major program of public service employment can jobs in sufficient volume be produced with the speed which the urban crisis demands.
The Emergency Convocation of last August called for the creation of one million public jobs at the earliest possible moment. On March 11, 1968 the Executive Committee of The Urban Coalition reaffirmed this objective. The statement of the Executive Committee and a list of its members is appended to my statement.
What are the principles that should govern an emergency public service employment program?
First, the Federal Government must enlist the cooperation of government at all levels and of private industry to assure that meaningful, productive work is available to everyone willing and able to work. I have already outlined how the National Alliance of Businessmen and The Urban Coalition are working toward this objective. The various Federal manpower programs are carried out by structures which have heavy involvement of state and local government. In a similar manner, emergency jobs should utilize the strengths of our Federal system so that much of the responsibility for solving the national employment program will actually be given to local communities, where the unemployed reside and will work.
To create socially useful jobs, an emergency public service program should concentrate on the huge backlog of employment needs in parks, streets, slums, countryside, schools, colleges, libraries and hospitals. Two years ago the National Cominission on Technology, Automation and Economic Progress indicated that there is need for at least 5.3 million such jobs, and this finding has never been contradicted. I know personally from my experience with the Department of Health, Education and Welfare that one of the grave problems in these fields is the shortage of personnel, not merely professional workers but also personnel in the subprofessional ranks which could be filled by many who are now unemployed or underemployed.
To find out how many socially useful jobs could be made available imme diately, The Urban Coalition asked Dr. Harold Sheppard of the l'pjohn Institute to survey a sample of major cities. Based upon a preliminary analysis of this surrey, Dr. Sheppard has concluded that at least 141,000 persons could be employed almost overnight in the 130 cities with population over 100,000. These would be jobs in regular city departments where supervisors are already available and work tasks are clearly defined. If this sample were expanded to small cities, to county and state governments, and to jobs with private, nonprofit organizations, it is likely that enough jobs could be found to put 500,000 persons to work within six months. By further planning, the number might be expanded to a million or more within a year.
A public service employment program would not only enable unemployed to earn their own way, it would benefit the general public by the many necessary and useful tasks which would be performed.
It goes without saying that a public service employment program must proride meaningful jobs-not dead end, make-work projects. The employment experience should add to the capabilities and broaden the opportunities of the employees to become productive members of the permanent work force. To place hardcore unemployed in meaningless activities with no future would merely reaffirm their hopelessness and despair. What's more, there is little excuse for a resort to meaningless activities. There is a great deal of meaningful work to be done.
In Dr. Sheppard's survey the greatest number of jobs which could be filled immediately by unskilled and semi-skilled persons were in education, followed by police and fire protection, health and hospitals, social welfare, and parks and recreation. All of these fields of public service will have a continued demand for personnel, and all of them have the type of jobs which provide opportunity for advancement from entry level to higher-skill and higher-paying jobs.
Basic education, training, and counseling must, of course, be an integral part of any public service employment program.
Building training into a public service employment program is essential if persons so employed are to be given the opportunity to advance, either to higherskilled and better paying jobs with public agencies or to jobs in the private sector. Therefore, it is not enough to authorize only enough funds to pay wages. Instead, the cost of training and counseling should be included in the publie service program, especially since other training funds are already fully committed.
In many instances, it might be desirable to contract with private, profitmaking firms to carry out the training and education. The program should be so designed that this option is available.
A public service employment program should seek to qualify new employees to become part of the regular work force and to meet normal performance standards. This program could have the effect of creating a sizable manpower pool of persons who by actual performance are demonstrating their willingness to work and their capability to perform various work tasks. A man who is working as an auto mechanic for a public works department could move to a job in a private garage. The demand for landscapers is expanding, particularly in suburban areas, so that a person working for a beautification project could put his new skills to work for a private employer. Dozens of occupations are interchangeable between the public and private sector, such as typists, welders, truck drivers, cooks, draftsmen, painters, and many more. The so-called "new careers"-teachers aides, nurses aides, laboratory assistants, and others-offer the potential for entry at an elementary skill level with opportunity for advance ment. Given proper training, participants in public service employment programs could gain access to a wide variety of other job opportunities.
Funds for public service employment should be made available to local and state governments, nonprofit institutions, and Federal agencies able to demonstrate their ability to use labor productively. This must be done without reducing existing levels of employment or undercutting existing labor standards or wages which prevail for comparable work or services in the area. Consistent with this principle, a state or local government should be able to contract with a private firm hiring the hardcore unemployed to perform public services. This, after all, is a common pattern for public works activities.
We often hear recommendations that the Federal Government should be "the employer of last resort." With our existing tax structure, Federal funds should be the major source of financial support for public service employment, but the actual employer should be state and local governments, nonprofit organizations, and private firms under contract.
The establishment of a minimum wage is important so that persons working in public service employment will be able to support their families.
The operation of the program should be keyed to specific, localized unemployment problems and focused initially on those areas where the need is most apparent. This means that the program should have considerable flexibility, encouraging local initiative and easy adaptability to varied communities. In a city with a tight labor market and many unfilled industrial jobs, a public service em ployment program might concentrate upon those occupations where workers could gain the experience which would rapidly qualify them for those existing jobs. In a locale with higher rates of unemployment, public service employment might have to be longer term. Another city might want to give particular attention to improving the bad housing and wretched environmental conditions which plague the poor. There should be no single, made-in-Washington pattern.
As our name implies, we are concerned especially with the needs of urban areas. It is plain to all thinking Americans that the urban crisis comes to focus particularly in the ghettos. This has been made all the more clear to us by the recent, excellent report of the President's Advisory Commission on Civil Disorders. The Executive Committee of the Urban Coalition has strongly endorsed this report and has commended it to the nation's citizens and leaders for study and action. Since you are all familiar with the report, I will quote only one passage:
“What white Americans have never fully understood—but what the Negro can never forget-is that white society is deeply implicated in the ghetto. White institutions created it, white institutions maintain it, and white society condones it.”
It is now urgent that the Government of all the people of the United States do something about it. As the Advisory Commission recommended, employment should be at the top of the agenda.
That is not to say that a public service employment program would be for Negroes alone. Many persons with Spanish surnames suffer unemployment. And in all national statistics the majority of the unemployed are white.
Nor should a public service employment program be only for urban areas. Although the greatest concentration of unemployment and the most explosive sitnations are found in urban ghettos, the highest proportion of unemployment among residents of a community are found in rural areas. If persons cannot find work in South Carolina, they move to Washington, Philadelphia, or New York. Those unemployed in Eastern Kentucky head for Pittsburgh, Cleveland, and Detroit. Those without jobs in the Mississippi Delta migrate to Chicago. The jobless in the Rio Grande Valley move to Texas or California cities. Indeed, the cities and the rural areas alike will benefit if a public service employment program is both urban and rural.
As I have studied S. 3063, the proposed Emergency Employment and Training Act of 1968, I find that the bill is in basic accord with the principles I have described. The main shortcomings seems to be the speed with which the objective of one million public service jobs is achieved. In the bill, this level would not be attained until the third year. It seems to me that this pace should be accelerated so that 500,000 jobs are made available the first year and a total of one million the second year. We are in a period of great urgency and should stretch both our fiscal and administrative capacity to the utmost.
In conclusion, I reiterate the plea of the Emergency Convocation held last August which called upon “all Americans to apply the same determination to these programs that they have to past emergencies. We are confident that, given this commitment, our society has the ingenuity to allocate its resources and devise techniques necessary to rebuild cities and still meet our other national obligations without impairing our financial integrity. Out of past emergencies, we have drawn strength and progress. Out of the present urban crisis we can build cities that are places, not of disorder and despair, but of hope and opportunity. The task we set for ourselves will not be easy, but the needs are massive and urgent, and the hour is late. We pledge ourselves to this goal for as long as it takes to accomplish it. We ask the help of the Congress and the Nation."
PREPARED STATEMENT OF THE EXECUTIVE COMMITTEE OF THE URBAN COALITION ON
PUBLIC SERVICE EMPLOYMENT The Urban Coalition Executive Committee calls upon the Congress to enact urgently needed emergency legislation to provide at least one million jobs through public service employment.
In support of this objective, The Urban Coalition's Statement of Principles, Goals, and commitments, endorsed in August 1967 by 1,000 representatives of business, labor, religion, civil rights, and local government, calls for action consistent with the following principles :
The federal government must enlist the cooperation of government at all levels and of private industry to assure that meaningful, productive work is available to everyone willing and able to work.
To create socially useful jobs, the emergency work program should concentrate on the huge backlog of employment needs in parks, streets, slums, countryside, schools, colleges, libraries, and hospitals. To this end, an emergency work program should be initiated and should have as its first goal putting at least one million of the presently unemployed into productive work at the earliest possible moment.
The program must provide meaningful jobs—not dead-end, make work projects so that the employment experience gained adds to the capabilities and broadens the opportunities of the employees to become productive members of the permanent work force of our nation.
Basic education, training, and counseling must be an integral part of the program to assure extended opportunities for upward job mobility and to improve employee productivity. Funds for training, education, and counseling should be made available to private industry as well as to public and private nonprofit agencies.
Funds for employment should be made available to local and state governments, nonprofit institutions, and federal agencies able to demonstrate their ability to use labor productively without reducing existing levels of employment or undercutting existing labor standards or wages which prevail for comparable work or services in the area but are not less than the federal minimum wage.
Such a program should seek to qualify new employees to become part of the regular work force and to meet normal performance standards.
The operation of the program should be keyed to specific, localized unemployment problems and focused initially on those areas where the need is
most apparent. The Clark-Javits Emergency Employment Act proposed in the last session of Congress was responsive to these principles and was endorsed by The Urban Coalition. It is now even more urgent for the Congress to respond to the conditions of unemployment despair revealed in hearings held by the Senate Sub-Committee on Unemployment. The principles endorsed by The Urban Coalition are consistent with the findings and recommendations of the National Committee on Technology Automation and Economic Progress (Feb. 1966), the White House Conference to Fulfill These Rights (June, 1966), and The National Advisory Commission on Food and Fiber (July, 1967). The Report of the President's Commission on Civil Disorders leaves no doubt as to the nation's responsibilities. STATEMENT OF HON. JOHN W. GARDNER, CHAIRMAN OF THE
NATIONAL URBAN COALITION, FORMER SECRETARY OF THE DEPARTMENT OF HEALTH, EDUCATION, AND WELFARE, ACCOMPANIED BY RON LINTON, CONSULTANT TO NATIONAL URBAN COALITION; AND DR. HAROLD L. SHEPPARD, W. E. UPJOHN INSTITUTE FOR EMPLOYMENT RESEARCH
Mr. Gardner. I think, Mr. Chairman, under those circumstances, perhaps if I read it, it will provide the basis for questions on your part.
Senator CLARK. Yes. You do not mind if we interrupt since the statement will be printed in the hearing record in its entirety.
Perhaps you would like to introduce your colleagues.
Mr. GARDNER. Yes, sir. Ron Linton, consultant to the Urban Coalition, played a very important role in the early days of the coalition. You know him well.
I also have Harold Sheppard, who prepared the study of public service employment which we will be referring to in the course of the testimony. He is associated with the Upjohn Institute and the study which he has prepared is the only data of the sort available on public service employment,
Senator CLARK. Mr. Sheppard was also on the subcommittee staff as one of our most valuable consultants. He may have a conflict of interest in appearing here this morning. Please go ahead,
Mr. GARDNER. I am John W. Gardner, chairman of the Urban Coalition, an organization representing business and the professions, organized labor, religion, civil rights groups, and local government.
Members of this committee have heard me testify on a good many occasions in connection with measures relating to health, education, and welfare. They will understand that 30 days on a new job has not turned me into an authority on questions of employment. But a good many members of the coalition are very well qualified to arrive at judgements on that subject, and I am speaking on their behalf.
The Urban Coalition came into existence on July 31, 1967, as the Nation was exercising its third straight summer of widespread civil