Mr. KHEEL. I would like to submit for the record, Mr. Taber, if you would care to have it, a summary of what work is performed by the Administrative Management Division.

Mr. TABER. I shall be glad to have you do that. But if you can tell us in a few words it would perhaps be a little bit better.

(The statement requested is as follows:)

DIVISION OF ADMINISTRATIVE MANAGEMENT

The Division's tasks are manifold. The foremost is the assistance to the operating divisions in order to enable the latter to process their respective work loads under conditions of the greatest possible speed and efficiency. Specifically such assistance on the part of the Division of Administrative Management consists of the following:

(1) In cooperation with the operating divisions to prepare, analyze and present their plans and budgets, including their work-load data, the number and type of personnel needed to dispose of such work load, estimate of other-than-personnel needs, and allocation of funds and facilities to meet all the foregoing needs; (2) The selection, training, classification, and assignment of personnel; (3) The development and issuance of operating procedures;

(4) Record control of the several types of cases processed by the Board and its agencies;

(5) Devising and maintenance of statistical reporting systems, indicating the quantitative effectiveness of the Board and its agents in terms of case intake and disposition. The statistical data are further utilized to evaluate and to improve the activities of such of the Board's agents as may from time to time fall below the • productivity standards attained nationally by the Board;

(6) Maintenance of all required fiscal operations necessary to the operation of Federal agencies; and

(7) Procurement of all space, equipment, supplies, duplicating, and similar services required for the efficient operation of the national, regional, and territorial boards and the several industry commissions.

These functions are carried on by the departmental and regional divisions of administrative management under the direction of the National Director of Administrative Management.

Since November 1, 1944, the fiscal functions formerly performed by Central Administrative Services have been transferred to the constituent agencies. These responsibilities include the preparation, audit, and reports of pay rolls, travel and miscellaneous vouchers. It maintains allotment and distribution records and ledgers and liaison with other Government fiscal agencies on fiscal matters. In addition, the functions of procurement, distribution, and stenographic reporting, chauffeur, and first-aid services, formerly performed by Central Administrative Services, have been transferred to this agency.

A detailed description of the activities of the Division of Administrative Management, both in Washington and in the field, will be found on pages 36 to 44 and 65 to 66 in the justifications of our 1946 estimates.

Mr. KHEEL. Perhaps I might ask Mr. Little, who is the director of our Administrative Management Division, to describe to you in a few words what his Division performed.

Mr. LITTLE. For one thing, we received by transfer from C. A. S. as directed by Congress approximately 150 positions. That of course built up the total positions from the number approved in our 1945 appropriation. Then, in addition, the Division of Administrative Management, being responsible for all record control, has a great job in keeping the status location of all cases. As has been brought out here several times, our case load for this past year has increased. tremendously, and with that increase we have had to increase the number of positions. This involves a lesser grade. I do not know of any other agency other than the War Labor Board that has the same function of case control in the Division of Administrative Management. I think that does account for the greater number in Administrative Management as compared with some of the other

agencies. The Central Administrative Services, upon closing did turn over a good deal of fiscal, procurement, distribution, and other types of work, and that will account for the difference there. Mr. TABER. When did they disgorge?

Mr. LITTLE. November 1 is when we assumed the responsibility. Mr. TABER. As of that date how many people did you have on your roll?

Mr. LITTLE. We had as of that date-I could not tell you the exact number-be we received as of that date——

Mr. TABER. You are going to put that into the record?

Mr. LITTLE. Yes, sir. We surely will.

Mr. TABER. And you have how many right now?

Mr. LITTLE. We will give you the exact figure for the record. (The information is as follows:)

Number of employees on pay roll

Prior to assumption of Central Administrative Services activities Nov. 1. 2, 376 On pay roll Mar. 31...

2, 523

Mr. TABER. The base difference was 509, and when they disgorged you had 509, according to this basis? Mr. LITTLE. Yes, sir.

Mr. TABER. And you kind of "hunched" a little, about 25, and you got up to 675. You increased the 150 that they gave you up to 175. How about that?

Mr. LITTLE. There were additional functions that we took over which C. A. S. had performed and for which personnel was not provided. Some of those positions were turned over to Treasury and to the Public Buildings Administration. We had to provide personnel for distribution, procurement, duplicating, and first aid.

Mr. TABER. I think that is all I have to ask at the moment.

REDUCTION IN ESTIMATES FOR 1946

Mr. WIGGLESWORTH. As I understand it, your over-all request is $13,405,000. What is the comparable figure for 1945?

Mr. KHEEL. The comparable figure would be $14,029,895. That includes C. A. S., but it excludes overtime which is not included in our current request.

Mr. WIGGLESWORTH. You have at page 1 a total for your 1946 base of $14,970,000, and included in that is overtime of $1,259,000. If you take that out, according to my figures it gives you $13,711,000. Mr. KHEEL. That is right.

Mr. WIGGLESWORTH. That would be the comparable figure, would it not?

Mr. KHEEL. And $261,800 from C. A. S.

Mr. WIGGLESWORTH. You are asking $306,000 less than your 1946 base, according to my figuring. Is that correct?

Mr. KHEEL. Your figuring is correct, but it does not include an estimated saving of $290,988 which, if added to it, would give a figure of

Mr. WIGGLESWORTH. Where does that appear?

Mr. JOFFE. At the top of the sheet, "Estimated savings."

Mr. WIGGLESWORTH. Let me ask you this off the record. (Informal discussion off the record.)

72467-45- 3

Mr. WIGGLESWORTH. Your position is that the reduction is $306,000 plus $290,000, roughly, or $600,000 or thereabouts?

Mr. LITTLE. That is right.

Mr. KHEEL. It is $624,895.

Mr. WIGGLESWORTH. Almost all of that reduction is reflected in your special projects. Almost all of your items outside your special projects reflect some increases?

Mr. KHEEL. That is correct. Except for the Legal Division the increases are minor.

STUDIES MADE BY BUREAU OF LABOR STATISTICS FOR NATIONAL WAR LABOR BOARD

Mr. WIGGLESWORTH. What can you say about the value of that first special project, the Bureau of Labor Statistics? I see you plan to cut it substantially, but how necessary is it to you now that you have it under way?

Mr. KHEEL. What remains is what we figure to be the minimum requirements. I should explain first the collection of wage data to enable us to set up what we call wage brackets.

Mr. WIGGLESWORTH. That is all done, is it not?

Mr. KHEEL. That is practically concluded. There are some industries in some areas which have not yet been completed or which may have to be revised. That is part of the current estimate. There are also special cases that come up which require a survey by the Bureau of Labor Statistics.

Mr. WIGGLESWORTH. What is this $427,000 going to cover?

Mr. KHEEL. It will cover the completion of this wage bracket program of those industries and areas which we have not yet completed. It will cover special projects in connection with individual cases where we require a survey of rates or what the night shift bonuses are, and so forth. It also includes an item for mechanical tabulation of figures which they perform for us.

Dr. TAYLOR. I would like to say, if I may, that it is quite correct that the major job of getting these data together to use as a measuring rod has been completed in bulk, but it goes on rather continuously as new industries come before the Board for the first time, and the Board has for the first time what amounts to a new case, so that it would have to make a new wage survey to determine the question. Also there are new plants opening up in new areas, and our job is beginning to take on this characteristic, that a plant will be turned over from the manufacture of airplane parts to the manufacture of some civilian items, and it becomes necessary to go into how it affects wages that have been stabilized and to make a determination on its submission for a new line of products. This new aspect of the work is going to require not anywhere near like the surveys we formerly had, but it is going to require a reanalysis.

SERVICES PERFORMED BY WAGE AND HOUR DIVISION FOR N. W. L. B.

Mr. WIGGLESWORTH. Do you need all that money in the Wage and Hour Division-$2,609,000?

Mr. KHEEL. Yes, sir. It represents a decrease over what we received last year.

Mr. WIGGLESWORTH. It is chiefly enforcement, is it not? Mr. KHEEL. That is a large part of it, but not all of it. We were able to get the service of the Wage and Hour Division to act as the door through which cases have come to the War Labor Board, voluntary cases. They had offices throughout the country, and in this way it was not necessary for us to open up a series of field offices throughout the country. They received these applications, helped employers fill them out, and transmit them to us. They also advised people by giving a formal and official ruling as to whether or not they had to secure the approval of the War Labor Board. There are certain types of wage adjustments that can be made without our approval, and the Wage and Hour Division performs that function by advising the applicants.

Mr. WIGGLESWORTH. With this willingness to comply with your decisions that you have told us about, why do you need $2,600,000 for the Wage and Hour Division and an increase of $338,000 in your attorneys' division for enforcement work?

Dr. TAYLOR. The enforcement work or the wage and hour work do not have to do with compliance with the Board's orders in dispute cases. The Wage and Hour operates in this sort of situation where, for instance, an employer puts in a new item. He determines that $1 an hour is about right. There is a question in his mind. Does he have to come to the War Labor Board? He can file a form with the Wage and Hour Division, who says, "No; you go ahead and put this in. It is not necessary for you to go through the routine." He is then certain that no question will be raised about it, and he is in the clear.

A great deal of the work of the Wage and Hour Division is really in advising employers that it is perfectly all right to make certain adjustments; they are not going to get into any difficulties as the result of the wage adjustments they want to make.

Mr. WIGGLESWORTH. Do they run around making investigations to see whether or not there is compliance?

Dr. TAYLOR. They make inspections, too.

Mr. WIGGLESWORTH. How much of this amount would that be? Fifty percent, seventy-five percent, or what?

Dr. TAYLOR. They are not special investigations, as you know. Most of them are incident to their regular examinations under the Fair Labor Standards Act.

Mr. KHEEL. I would say about 50 percent, I should judge, of the appropriation would be in connection with enforcement work.

I think I might explain the manner in which we use the terms "enforcement" and "compliance." We use the word "compliance” to refer to those cases where we issue an order in a dispute case and there is a refusal to obey it. We use the word "enforcement" to refer to those cases where an employer has given a wage increase without getting the approval of the War Labor Board. The Wage and Hour Division has nothing to do with the first type of case. They have to do only with the second type.

Mr. WIGGLESWORTH. When were your estimates ready, Dr. Taylor? When did you have your hearings before the Budget Bureau? Dr. TAYLOR. Will you answer that, Mr. Kheel?

Mr. KHEEL. I believe our estimates were submitted to them in the latter part of January, and the hearings were in the middle of March.

Mr. WIGGLESWORTH. That is pursuant to the program that they prescribed?

Mr. KHEEL. Yes, sir.

Mr. WIGGLESWORTH. From your standpoint is there any reason they could not have been ready in December or January?

Mr. KHEEL. Well, we were ready in the latter part of January. They gave us a dead line of January 25 and we met the dead line.

Mr. WIGGLESWORTH. You furnished, I believe, a statement showing the number of employees receiving $3,000 a year and up? Mr. KHEEL. That is right.

Mr. WIGGLESWORTH. And who received promotions during the current fiscal year?

Dr. TAYLOR. Yes, sir.

PENALTY MAIL

Mr. WIGGLESWORTH. I wish you would furnish for the record a statement of the amount involved for penalty mail in each of the fiscal years during the Board's operation and the amount involved in this estimate also. Do you happen to know what that is?

Mr. BERNARD. It is $50,000 in 1946, and $44,400 in 1945.

PUBLICITY AND PUBLIC RELATIONS WORK

Mr. WIGGLESWORTH. Will you also furnish a similar statement in reference to publicity and public relations work, giving the number of people, the dollars and cents, and the type of work done?

Mr. KHEEL. I believe we sent a letter to Mr. Taber in response to an inquiry from him on that subject, wherein we explained our public information personnel.

Mr. WIGGLESWORTH. Do you have something on that, Mr. Taber? Mr. TABER. I think so.

Mr. KHEEL. We can have that inserted in the record.

Mr. WIGGLESWORTH. All right.

(The letter referred to is as follows:)

Hon. JOHN TABER,

House of Representatives, Washington, D. C.

MARCH 26, 1945.

MY DEAR MR. TABER: In your letter of March 20, you requested by April 10 "a statement showing the names, positions, and salaries of those persons upon your pay roll engaged in publicity or public relations, part time or full time.

We have no one on our pay roll, part time or full time, engaged in "publicity or public-relations" work. We do, of course, have an Information Division engaged in making public the decisions of the Board and explaining Board policies and procedures to businessmen and employees. In this way, the Information Division assists in preventing strikes and guiding employers and unions in making proper applications for wage adjustments.

Many employers, manufacturers' associations, chambers of commerce, lawyers, industrial-relations advisers, and unions request copies of all important decisions of the War Labor Board issued by the Information Division. These decisions, including formal opinions by Board members explaining the actions, provide companies and unions with guides to use in settling their own contract disputes without bringing the case to the Board.

The Board's work load undoubtedly would be much heavier if these guides were not available to assist the disputing parties, and, of course, the Board prefers to have companies settle their own labor problems without adding to the Board's already overburdened docket.

The Information Division also prepares with the assistance of the Legal, Wage Stabilization, and Disputes Divisions, a limited number of publications containing