SUPPORT BULLETIN FOR INFORMATION OF HEADQUARTERS AND FIELD PERSONNEL

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-04724A000500030001-7
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 22
• Document Creation Date: November 11, 2016
• Document Release Date: May 27, 1999
• Sequence Number: 1
• Publication Date: January 1, 1963
• Content Type: BULL

` ec For Release 1999/09120 CIA-RDP78-04 24A000500030001-7
S8-23
CONFIDENTIAL
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FOR INFORMATION OF HEADQUARTERS
AND FIELD PERSONNEL
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CONFIDENTIAL
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CONFIDENTIAL
The Support Bulletin, published periodically, is designed to keep head-
quarters and field personnel informed on administrative, personnel, and
support matters. The Support Bulletin is not directive in nature but
rather attempts to present items which, in general, are of interest to all
personnel and, in particular, of interest to those employees occupying
various support positions. Suggestions and constructive criticism from
both headquarters and field personnel are encouraged.
NOTE: This bulletin is for information only. It does not con-
stitute authority for action and is in no way a substitute
for regulatory material.
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TABLE OF CONTENTS
Page
Field Aperture Card System . . . . . . . . . . . . . . . . . . . 1
Safe Driver Award Ceremony . . . . . . . . . . . . . . . . . . 1
Pay Reform Legislation . . . . . . . . . . . . . . . . . . . . . 2
The Making of an Administrator . . . . . . . . . . . . . . . . 8
Transportation Allowance . . . . . . . . . . . . . . . . . . . 9
Foreign Address and Occupation Index . . . . . . . . . . . . . . 10
Service Awards . . . . . . . . . . . . . . . . . . . . . . . . 11
New Opportunities for Self-Instruction . . . . . . . . . . . . . 12
We Need You - as a Recruiter . . . . . . . . . . . . . . . . . 15
A Report to the Members of the Credit Union . . . . . . . . . . 17
The Suggestion System and Sound Management . . . . . . . . . 18
Early Retirement Legislation . . . . . . . . . . . . . . . . . . 19
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CONFIDENTIAL
FIELD APERTURE CARD SYSTEM
For several years headquarters has been
planning and working toward the develop-
ment of a highly mechanized system for the
storage and retrieval of information about
personalities of interest to the Organization.
For a great many reasons too complex to be
related here, the system has evolved around
the location and retrieval of documents. Be-
cause the system is conceptually new, an ex-
tensive research and development program
has been sponsored by the Organization for
the development of equipment to handle the
problem. Part of this equipment will be ready
for installation next spring and the rest is
expected to be delivered about two years later.
Meanwhile, a great deal of progress has been
and is being made toward preparing our rec-
ord system for conversion to the automated
system as each unit of equipment becomes
available.
For several years we have been microfilm-
ing indexed documents as they have been
called forth from the files and we are con-
tinuing this practice. In addition, since Jan-
uary 1962 all incoming indexed documents
have been microfilmed. By the time all of
the equipment is completely installed we ex-
pect to have reduced substantially the need to
consult hard copy document files, and eventu-
ally this need will be virtually eliminated.
Instead, a microfilm aperture card will be
used. The aperture card is an IBM punched
card containing a strip of film on which docu-
ment page images appear. It incorporates
coded (punched) data which permits machine
processing at headquarters, and also printed
data which allows manual search and han-
dling. The page images are viewed on desk
readers in approximately the original size.
Headquarters is already realizing substan-
tial savings in space and manpower through
unification of our largest record system and
through improving the system preparatory to
full mechanization. Proportionate savings
can be realized in field record collections
through adoption of the field aperture card
system. This system has been tested exten-
sively at headquarters and one field station,
and a number of other stations are rapidly
being prepared for its installation. Gradually
the program will be extended to most of our
field stations and bases. The aperture card is
expected to become a significant part of the
field record system and the principal means
by which field requests for documents will be
satisfied by headquarters.
Preparatory to the introduction of the sys-
tem at additional stations, headquarters will
furnish a complete description of it and pro-
vide instruction manuals for its implementa-
tion. The conceptual and operating simplic-
ity of the aperture card system is such that
it can be successfully installed entirely
through the normal correspondence and
pouch channels. TDY visits to stations will
not normally be necessary. All necessary in-
formation will be sent to stations in ample
time to permit their familiarization with the
scheme and resolution of questions before it is
actually installed as an integral part of the
field record system and of the correspondence
exchange between headquarters and the field.
SAFE DRIVER AWARD CEREMONY
At the first annual Safe Driver Award cere-
mony on 15 September 1962, the Director of
Logistics presented awards to 49 drivers. The
combined records of these drivers represented
a total of 408 years of safe driving.
The Transportation Division, Office of Lo-
gistics, with the cooperation of the National
Safety Council, developed the award program
to recognize the safe driving accomplishments
of drivers employed in the headquarters com-
plex. The drivers receive National Safety
Council awards and certificates for each year
of driving without a preventable accident.
These are recognized nationwide as evidence
of professional driver competence. Special
awards are also given for five, ten, and fifteen
year safe driving records. Sixteen of the 49
drivers received the special awards for safety
records extending ten or more years.
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CONFIDENTIAL
PAY REFORM LEGISLATION
"The new Federal pay reform measure is
one of the most far-reaching and enlightened
pieces of Federal personnel legislation enacted
since the Classification Act of 1923," John W.
Macy, Jr., Chairman of the Civil Service Com-
mission, said in a. press release on 11 October
1962.
"This is not just another pay raise," Mr.
Macy said. "It is a reform measure, long
overdue, which will have immediate and long-
lasting impact on Government administra-
tion and programs because it:
? establishes a system which can control
payroll expenditures with equity to both
the Federal employees and the taxpayers,
? provides the flexibility in salary needed
to motivate and reward initiative and
industry,
? is a first step in making Federal salaries
high enough to attract and retain the
best people, and
? gives a degree of executive discretion to
meet individual and special needs in the
salary area."
The reform measure is based on two prin-
ciples: comparability of Federal salaries with
those of private enterprise for the same level
of work, and internal alignment of salaries
to provide equal pay for equal work and
pay distinctions in keeping with distinctions
in job responsibility and performance. The
salary levels of the four major statutory pay
plans, the Classification Act, the Postal Field
Service Compensation Plan, the Foreign Serv-
ice Act, and the Medical-Dental-Nursing Sal-
ary System in the Veterans Administration,
are to be interrelated. They cover about
1,600,000 Federal employees.
As a first step in achieving comparability
between Federal and private-enterprise sala-
ries, the new law provides an average upward
salary adjustment of slightly more than 11
percent over present pay rates for postal em-
ployees and about 10 percent for persons
under the other three major pay systems.
The adjustment is provided in two steps, the
first of which went into effect in October 1962
and the second to be effective 1 January 1964.
Although the final annual cost of the salary
adjustment is $1,049,000,000, the cost for the
current fiscal year will be only $504,000,000.
The increases were phased over two fiscal
years in order to prevent undue budgetary
and economic impact in any one year. The
first raise is the largest in most grades.
Increased comparability of Federal Govern-
ment and private-enterprise salaries is ex-
pected to be achieved over a period of time
through use of the Bureau of Labor Statistics'
salary surveys. The annual survey assembles
the national average rates of pay for about
70 occupational classes on the basis of salaries
in about 80 metropolitan areas. The salary
survey of 1960-1961, upon. which the pay ad-
justments in the new law are based, showed
that Federal Government salary averages were
less than the nationalaverage rates in all but
a few occupations. In all but the lower grades
the salary adjustment in the new law still
does not make Federal salaries currently com-
parable with those in private enterprise.
Under the new law, the President will report
annually to Congress on the comparison of
Federal and private-enterprise salaries as re-
vealed by the BLS surveys.
The principle of internal alignment re-
quires that there be equal pay for equal work
and that salaries reflect distinctions in job
responsibilities and performance. The new
law revises the trend of the last 34 years,
during which the salary schedules of Federal
employees were compressed. For example, in
1928 the ratio of the highest Classification Act
salary to the lowest was 8.8 to 1. Just before
the passage of the new law it was 5.8 to 1.
The new measure will change the ratio to 6.1
to 1 in the first phase of the salary adjust-
ment. However, the Senate Committee on
Post Office and Civil Service has urged the
President to recommend for consideration at
the next session of Congress appropriate in-
creases in Federal executive salaries at all
levels, including further adjustments at the
upper grade levels.
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The new measure brings an orderly rela-
tionship among the four major pay systems
by equating certain key jobs in the pay sys-
tems on the general basis of duties and respon-
sibilities and qualifications required of per-
sons to fill the jobs. For example, under this
procedure, Classification Act grades of GS-5,
11, and 17 are considered equivalent to Postal
Service jobs at the PFS-4, 11, and 20 levels.
Since Classification Act positions can be com-
pared with private-enterprise salaries, this
equating of jobs in the other pay systems to
those in the GS schedule permits the principle
of comparability to be applied to Federal posi-
tions which have no private-enterprise coun-
terparts.
Other key reforms brought about by the
new measure:
? Provide broader authority to adjust mini-
mum rates of pay when special dispar-
ities between Federal schedules and pri-
vate-enterprise salaries handicap recruit-
ment or retention of well-qualified em-
ployees. These higher minimums can
be set for any group of positions under
any of the four salary systems on a na-
tionwide basis or in a particular geo-
graphic location. In addition, when the
minimum rate is advanced all step in-
creases in the grade may be advanced to
retain the distinction between levels with
the limitation that the minimum cannot
be set higher than the 7th step of the
grade and the maximum cannot exceed
$20,000.
? Improve the method of granting within-
grade increases for positions under the
Classification Act. Waiting periods for
within-grade increases in all grades are
now the same: one year in steps 1, 2,
and 3; two years in steps 4, 5, and 6;
and three years in each remaining step.
Thus the increases will be most frequent
when proficiency on the job normally in-
creases most rapidly. This will bring
employees in grades GS-1 through GS-10
to the top of their grades in 18 years,
grades GS-11 through GS-14 in 15 years,
grade GS-15 in 12 years, and grades
GS-16 and 17 in 5 years. GS-18 has
only one rate. Step increases can be
withheld by agencies from any employee
who is not operating at an acceptable
level of competence at the time he is
eligible for the increase. Conversely,
agencies can grant additional within-
grade increases to employees whose per-
formance is superior. The law allows
giving such increases not oftener than
once a year in order to reward and en-
courage high quality performance. The
Civil Service Commission will develop
regulations, in consultation with agen-
cies and employee organizations, for
guidance in this area. Agencies may
not grant quality increases until the
Commission's regulations are issued.
? Increase the number of GS-16, 17, and
18 grades available by exempting pro-
fessional research engineering positions
and professional positions in the physical
and natural sciences and medicine and
providing for an additional 411 positions
in these grades in other job areas.
? Provide more liberal minimum benefits
in promotions by authorizing a salary in-
crease at least equivalent to two within-
grade increases in the grade from which
the employee is promoted. For example,
an employee in the 9th step of GS-6,
whose salary is $6,395 and whose within-
grade increases are $170, would be pro-
moted to a step in GS-7 that is at least
$340 (twice the $170 within-grade in-
crease) more than his $6,395 salary. In
this case, the employee would be pro-
moted to the 8th step in GS-7, $6,835.
In response to questions already received on
the newly enacted Federal pay legislation,
and in anticipation of still further questions,
the Civil Service Commission has prepared
the following questions and answers for the
information and guidance of Federal em-
ployees.
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Q. Why is the new pay law called "salary
reform" instead of a "pay raise"?
A. Increasingly over the years, Federal sal-
ary systems have failed to meet the needs of
the Federal service. President Kennedy has
said that Federal employee salaries "should
be fixed under well-understood and objective
standards, high enough to attract and retain
competent personnel, sufficiently flexible to
motivate initiative and industry, and com-
parable with the salaries received by their
counterparts in rivate life. To pay more
than this is to be unfair to the taxpayers-to
pay less is to degrade the public service and
endanger our national security."
Q. How does the new pay law measure up
to the President's criteria?
A. To meet the President's criteria for a
Federal pay system, Public Law 87-793 is
based upon the two principles,
(1) comparability of Federal and private
enterprise salaries for the same levels
of work, and
(2) internal alignment that provides equal
pay for equal work and pay distinctions
in keeping with distinctions in work
and performance.
The law provides raises in varying size for
employees in the four statutory salary sys-
tems affected. Rather than being "just an-
other pay raise," however, revised salary
schedules go a long way toward making a
reality of the much-needed comparability be-
tween public and private salaries. Signifi-
cantly, the law also establishes a policy for
annual review of salaries to assure continued
comparability between public and private
salaries.
Q. How is comparability achieved for the
other statutory pay scales?
A. Salaries of the other statutory pay sys-
tems are linked. with those of the Classifica-
tion Act at certain key levels. This was done
in most cases on the basis of evaluations of
duties, responsibilities, and qualification re-
quirements. Also taken into consideration
were opportunities for advancement (or lack
of them), career patterns, and special require-
ments of the service concerned. These other
factors were particularly important in setting
the pay at the lower levels of the Postal Field
Service, where opportunities for advancement
are limited and many employees spend their
entire working lives in one grade.
Q. Will the yearly review be made in the
same way?
A. Yes. The basis will be a Bureau of Labor
Statistics survey, which will be made yearly.
The yearly review of statutory pay scales is
considered to be an important reform. First,
it places the review of salaries on a regular,
systematic basis. Also, u;p to now no ade-
quate national salary surveys have been avail-
able, and the revision of these pay scales has
had to be done with very little fact-finding.
Q. Will revisions of the proposed pay scales
take place automatically as a result of the
BLS findings?
A. No. The results of future annual sur-
veys will be reported to the President, who
(after obtaining views of employee organiza-
tions) will thereupon make recommendations
for any changes he considers necessary and
submit them to the Congress. Putting these
recommendations into effect will require leg-
islation.
Q. How much in the way of increases does
the new pay scale provide?
A. The percentage increases generally are
greater at the higher than at the lower levels,
ranging from 4.7 percent in grade GS-1 (in-
cluding the additional within-grade increases
granted on conversion) to 10.5 percent at
grade GS-17. This is because salaries of
higher grade positions have lagged the far-
thest behind national levels. For example, the
percentage increases since 1939 have been 152
percent in the statutory minimum salary of
GS-1, 117 percent in GS-5, and 155 percent
in the statutory minimum for clerk-carrier-
but only 98 percent in GS-11 and 71 percent
in GS-15. This has seriously compressed the
salary systems.
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Q. in converting a General Schedule em-
ployee to the new pay scale, how will it be
determined what step he will be in?
A. He will go in the corresponding step. For
instance, if he was in the fourth step of GS-5,
he will go in the fourth step of the new GS-5.
Q. What if he was in a longevity step?
A. The longevity steps, which followed the
regular seven steps in most grades, may be
numbered 8, 9, and 10 for convenience. A
person formerly in the first longevity step will
go to step 8, a person in the second will go to
step 9, etc.
Q. What is the size of the within-grade in-
creases?
A. They range from $105 per year in grades
GS-1 and 2 to $515 in grade GS-15 in 1964.
Q. The new law provides that an employee
will receive on promotion an increase equiva-
lent to at least two within-grade increases in
the grade from which he is promoted. What
size increase would an employee receive when
promoted from grade 3, where the within-
grade steps are not all equal?
A. To meet this special situation, employees
in grade 3 at the time of promotion receive
a minimum of two within-grade increases in
the following way : (1) employees in steps 1
through 4-$210; (2) employees in step 5-
$215; (3) employees in step 6-$235; (4) em-
ployees in step 7 or above-$250.
Q. Does the pay reform law continue to pro-
vide longevity steps?
A. In effect, yes, although they are not so
named. Instead of 7 steps to the top of the
grade in GS-1 through GS-10 and then 3
longevity steps, for example, the new law pro-
vides 10 regular steps. This eliminates the
requirement for 10 years in grade in order to
be entitled to the first longevity step, a provi-
sion that caused inequities to employees who,
on promotion, entered a grade at an inter-
mediate step.
Q. How about employees who had been in
the seventh step of the grade for a long time
but who were prevented from getting longev-
ity steps because they had been in the grade
for less than 10 years?
A. They will be converted to the correspond-
ing step, and then their time in the 7th step
will be applied toward the time requirement
for the next step. For example, a person who
had served 4 years in the top (seventh) step of
GS-5 will be put in the 7th step of the new
grade 5, then moved to the 8th because he had
served the 3-year service requirement for that
step. However, the extra year will not count
toward his 3 years for moving up to the 9th
step.
Q. How would the conversion affect em-
ployees in grades GS-12 to GS-17 who under
the former system served 18 months in order
to earn an increase?
A. They too will be put in the correspond-
ing rates. For example, a GS-12 employee
in the 2d step will be converted to the 2d step.
If he has already served at least a year at the
2d step, he will be moved automatically to the
3d step. However, if he has already served
less than a year, his conversion will be to the
2d step and, upon conversion, he will continue
serving his 1-year requirement for the 3d step.
Q. Employees in grades 1, 2, and 3 are en-
titled to an extra within-grade increase when
the law becomes effective. Employees in these
grades who are in the top longevity step are,
in effect, in the tenth step. On conversion,
how will they be given an extra within-grade
increase when there are only ten steps in the
new salary schedule?
A. The law recognizes this situation by pro-
viding that such employees be paid at the
highest rate of the grade plus an amount
equal to the value of the maximum within-
grade increase provided for that grade.
Q. There has been a lot of talk about with-
in-grade increases being more difficult to ob-
tain under the new law. Is this true?
A. They will no longer be automatic. With-
in-grade increases now will be granted, within
the time requirements, where work is of an
"acceptable level of competence," as deter-
mined by the head of the agency.
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Q. What is meant by "acceptable level of
competence" and who determines when work
is of an acceptable level of competence?
A. Where specific work standards have been
established for a position, the determination
as to whether an employee's work is of an ac-
ceptable level of competence would ordinarily
be made on the basis of whether the employee
meets these standards. Generally, work of
an acceptable level of competence denotes
work of a degree above that typified by the
marginal employee. To state it differently,
work is not of an acceptable level of com-
petence when quality or quantity of work is
such that the employee concerned barely
escapes removal from his position. Mere re-
tention in the job does not justify the con-
clusion that work is of an acceptable level of
competence. The actual determination of
what is an acceptable level of competence is a
responsibility of the employing agency.
Q. If an agency determines that an em-
ployee's performance does not meet an ac-
ceptable level of competence, what rights does
the employee have?
A. First, an employee may request a recon-
sideration of the agency's determination that
his work was not of an acceptable level of com-
petence. If the determination upon recon-
sideration is favorable to the employee, the
new determination replaces the earlier one
and is effective as of the date of the earlier
determination. Second, when an employee's
work is determined not to be of an acceptable
level of competence, the agency shall make
a new determination within one year. If the
new determination is favorable to the em-
ployee, the effective date for the within-grade
increase is the first day of the first pay period
beginning on or after the day the new deter-
mination is made.
Q. Does the new law contain a "saved pay"
provision for employees who are downgraded
for reasons beyond their control?
A. Yes. In fact, salary retention provisions
have been liberalized in two respects. First,
this protection has been extended to include
employees who are in positions in grades 16,
17, and 18. Second, the requirement for
eligibility for salary retention-that is, that
the employee served two continuous years
"in the same grade or the same and higher
grades"-has been changed to "in any grade
or grades higher than the grade to which
demoted."
Q. Will the new law correct the situation
that sometimes occurred when a supervisor
received no more or even less pay than some
of his subordinates paid under another pay
system?
A. Yes. The situation sometimes occurred
when a supervisor was paid under the Clas-
sification Act and his employees were paid at
wage-board rates. The new law authorizes
raising his pay to any rate of his grade neces-
sary to make his salary higher than the pay
of his employees.
. Q. Is any provision made for higher pay for
shortage-category positions?
A. Yes. A more flexible method is now em-
ployed for attracting candidates for hard-to-
fill positions. Instead of raising entrance pay
above the minimum and leaving the maxi-
mum of the grade at the same level, a method
of pay which reduced and sometimes elimi-
nated incentives, the new pay bill provides for
raising rates for the whole grade. For ex-
ample, $9,475 is the minimum and $11,995 the
maximum of GS-12, and if it is decided to
raise the entrance salary for a certain job to
$10,735 (5th rate), an increase of $1,260, each
succeeding rate would be raised by the same
amount for a total of the entire 9 rates, mak-
ing the maximum $13,255. In no case can
the entrance salary be raised above the
seventh rate of the grade.
Q. Under the new shortage-category salary
tables, a professional engineer qualified to be-
gin Federal employment at GS-11 will be paid
$8,575 per year, while a beginning medical
officer, GS-11, will be paid $9,105. Please
explain why these starting salaries differ.
A. In order to avoid having entrance rates
in shortage categories drop back below rates
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the Commission had approved under its
former authority, immediate action was taken
to preserve these rates by moving them to
the closest rate in the new schedule. The
engineer and medical officer starting rates
differ because, before the new pay reform act
was signed, an engineer hired at grade 11 was
entitled to the fourth rate of the grade, while
a medical officer hired at grade 11 was entitled
to the sixth rate of the grade. The difference
came about because of differences in recruit-
ing difficulty in the two professions; to enable
the Government to hire engineers for GS-11
jobs it was necessary to pay the fourth rate,
and, to hire medical officers, the sixth rate of
the old scale.
Q. Are any changes made in the limitation
on the number of positions in grades GS-16,
17, and 18?
A. Yes. Under the law, the number of
positions authorized in these grades has been
increased by 411, and professional engineer-
ing positions primarily concerned with re-
search and development, and professional
positions in the physical and natural sciences
and medicine, are removed from this control.
Q. What happens to Public Law 313 salaries
under the new law?
A. Positions, mostly scientific and profes-
sional, formerly paid under P.L. 313 and
similar statutes, now have their salary range
geared to the range of Classification Act
grades GS-16 through GS-18, rather than to
a specific dollar amount such as "not in excess
of $19,000."
Q. Why are salaries for positions in grades
GS-16, 17, and 18 unaffected by the second
phase?
A. The salaries in these three grades are
closely related to the total problem of execu-
tive salaries. The needed salary adjustments
for such positions are to be studied as a whole.
Q. What happened to the proposal regard-
ing establishment of new grades GS-19 and
GS-20?
A. The law does not provide for these two
new grades, not because Congress disagrees
with the proposal but, rather, because it be-
lieves that appropriate salary levels for the
relatively few career positions of this order
can be determined in a more appropriate
manner in conjunction with a reform of top-
level executive salaries. The Senate Post
Office and Civil Service Committee, in fact,
has urged the President to recommend in-
creases in Federal executive salaries at all
levels.
A look at other Government employee bills
enacted into law this year shows that it was
a very beneficial year for Federal workers.
Here are some of the bills passed by Con-
gress this year and approved by President
Kennedy:
HOUSE TRAILERS. Public Law 87-776,
approved 9 October 1962, removes the statu-
tory allowance ceiling of 20 cents per mile for
employees transporting trailers or mobile
dwellings when transferred from one official
duty station to another.
LIFE INSURANCE. Public Law 87-611, ap-
proved 28 August 1962, allows unclaimed life
insurance benefits to revert to the Federal
Employees' Group Life Insurance fund.
POLITICAL ACTIVITY. Public Law 87-
753, approved 5 October 1962, amends the
Hatch Act to permit the Civil Service Com-
mission, in case of violation, to assess a pen-
alty of no less than 30 days' suspension with-
out pay instead of the former 90 days.
RETIREMENT. Public Law 87-793, ap-
proved 11 October 1962, Part III "Adjustment
of Annuities," provides for initial and long-
range adjustment of annuities and for lib-
eralization in survivor benefits under the Civil
Service Retirement Act. The act provides 5
percent increases effective 1 January 1963, on
all annuities then payable. Initial increases
are applied on a descending percentage basis
to all annuities commencing in the four-year
period after 1 January 1963. The act removes
the annuity increase ceilings of $2,160 and
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$4,104 imposed by the 1952 and 1955 enact-
ments. It increases from $2,400 to $3,600
that part of the designated base for survivor
annuities to which the 21/2 percent reduction
applies. Automatic survivorship benefits to
spouse are provided unless the retiring em-
ployee elects annuity without spouse survivor
protection. The act establishes a long-range
plan to take effect in 1964, under which civil
service annuities will be increased automati-
cally on 1 April of any year after cost of living
has risen by 3 percent or more since 1962 or
the year preceding the most recent increase.
The act raises the maximum age for receipt
of child-survivor annuity from 18 to 21 years
in cases of children attending school.
TRAVEL. Public Law 87-566, approved 2
August 1962, amends the Government Em-
ployees' Training Act, to restore to Foreign
Service employees of the Department of State
and Presidential appointees travel authority
to attend meetings at Government expense.
CONFLICT OF INTEREST. Public Law 87-
849, approved 23 October 1962, strengthens,
revises, and simplifies existing Federal con-
flict-of-interest laws, and makes appropriate
general provision for consultants and tempo-
rary employees in the executive branch, the
independent agencies, and the District of
Columbia. It integrates the conflict-of-inter-
est laws with recodifled prohibitions on brib-
ery and graft.
CPYRGHT
THE MAKING OF AN ADMINISTRATOR
"Just what are the attributes that make a
good administrator?" asked Clarence B. Ran-
dall in the September 1962 issue of Dun's Re-
view. First of all, Randall says, he must be
endowed with a clear and analytical mind.
This does not mean that he should have a
photographic memory with the ability of total
recall which has caused many mediocre people
to be overrated. On the contrary, he must be
able to deal logically and systematically with
abstract ideas. He must be able to distin-
guish the relevant from the irrelevant and
to separate the significant from the trivial.
Next, the administrator must be able to
make a decision and stick to it, and he must
have the sense of timing to know almost in-
tuitively when the time is ripe to do so. Vac-
illation between alternatives is as lethal as
is endless deferral for one more study or a
new committee action. Almost every prob-
lem has alternative solutions and the differ-
ences cannot always be sharply drawn. When
this occurs the important thing is for the de-
cision maker to make his choice and get on
with the job without prolonging the study and
debate. Yet there must be consistency and a
recognizable pattern in the evolution of pol-
icy from past to future.
The leader must be imaginative, gifted with
ingenuity, and forcefully persuasive enough
to make his dreams become realities through
the efforts of his colleagues and subordinates.
He must be an idea man, yet receptive to thec
ideas of others, which frequently he will have
inspired himself. Regardless of the source of
an idea, if it is good the administrator must
foster it fervently and courageously. His
courage, founded in humility and insight,
must support him in acting in spite of known
risks and recognizable pitfalls.
Ideas can only be meaningful and brought
successfully to fruition if they are clearly and
persuasively communicated to those who must
carry them out. Before they can be commu-
nicated, however, either orally or in writing,
ideas must be thoroughly understood.
Knowledge must not be obfuscated by a mo-
rass of superfluous detail. "The man who has
accumulated vast knowledge must learn to
distill his erudition into a concentrate that
can be assimilated readily by less sophisticated
minds," Randall says.
A good executive must be able to delegate
authority and exercise the self-discipline
needed to permit someone else to perform in-
eptly a task for which the manager himself
has a particular talent. The selection, train-
ing, and development of a team, one of whom
will someday be his successor, is his primary
PYRGHT
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SERVICE AWARDS
About a year ago the Director established
a program to accord recognition to those per-
sons who through their years of service have
demonstrated they are dedicated career em-
ployees. It is planned to present a certificate
of service after the tenth year of Organization
employment and after the completion of each
five additional years of service. The Organi-
zation seal on the certificate is colored blue
for ten years, green for fifteen, and will be
red for twenty, silver for twenty-five, and gold
for thirty years of service.
At the time this program started in the fall
of 1961, ceremonies were held in each of the
major components. At each of these cere-
monies the Director presented certificates to
forty individuals representing all persons
within the component who had completed ten
or more years of Organization service.
The second annual presentation took place
in the fall of 1962 to honor those persons who
had completed ten years of service during the
preceding year, and those who had completed
fifteen years of service. The Director of Per-
sonnel, as Chairman of the Honor Awards
Board, presided at the ceremony, which was
held in the new auditorium and happened to
be the first event held there. The Deputy
Director of the Organization delivered an
address and presented certificates to fifty-
one employees representing the total group
throughout the Organization who were eligi-
ble for ten-year awards. He also presented
certificates to sixty-four persons representing
those eligible for fifteen-year awards.
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NEW OPPORTUNITIES FOR
SELF-INSTRUCTION
Within the last thirty-five years the basis
for some potentially revolutionary changes in
training methods has been in the making in
our psychological laboratories. At such places
as Ohio State and Harvard University, behav-
ioral scientists have been quietly experiment-
ing with ways of speeding up the learning
process. Most of their work has been done
with rats, pigeons, and monkeys. But within
the last few years, especially since 1958, be-
havioral scientists have at last begun making
serious attempts to apply what they have
learned to the classroom. The result has
been the development of a whole new field of
applied science that has exciting possibilities
not only for greatly increasing the efficiency
with which we learn but also for providing us
with new opportunities for self-instruction.
This new field of applied science still
answers to a variety of names, such as auto-
instructional methods, teaching machines,
programed learning, and perhaps most com-
monly, programed instruction. Underlying
all of these terms are some surprisingly simple
ideas. One of the most important has to do
with the critical importance of determining,
in advance, exactly what the student is to be
able to do at the end of training. Is he to
read nontechnical German with the aid of a
dictionary? To load and unload a standard
camera in the dark? To have no more than
one main idea in a paragraph? The process
of programing requires that all training ob-
jectives be identified and clearly described in
terms of student behavior. Training special-
ists have known for decades how important it
is to identify course objectives in this way,
but it was not until the advent of programed
instruction that this critical point was given
more than lip service.
Another idea of importance to instructional
programing is breaking the subject matter
down into a great many small steps, or frames.
These frames are then arranged in such a
way that the student is led, one small step
at a time, from the level where he was at the
beginning of the course to the final behavior
which the program is designed to teach him.
Encouraged in this way, students have been
found to master with little difficulty subjects
which they had always thought they could
never understand.
There are at least two other important ideas
used by an instructional programer. He
forces his student to participate actively each
step of the way. Usually he does this by
asking a question which the student must
answer, or leaving a blank which the student
must fill in, before he is permitted to go on
to the next frame. In addition, he provides
his student with immediate knowledge of re-
sults. Not satisfied with more than a second
or two delay, the programer arranges his pro-
gram so that the student automatically dis-
covers, immediately after each step, whether
he is right or wrong.
Perhaps a short excerpt from the U.S. Army
Air Defense School's "Pocketschool Series" on
basic mathematics will help to clarify these
four basic ideas, or principles, of programed
instruction:
Frame # 1
A decimal is just a whole number and a frac-
tion written in decimal form. Thus, 21/2 is a
whole number and a fraction, while 2.5 is
a _
Note: The student writes his answer in the
blank. When he has done this, he
turns the page to see what the
answer should have been. In this
case, he finds the word "decimal."
He then goes on to Frame #2. Pro-
grams are tried out many times dur-
ing development and an effort is
made to avoid ambiguities, too large
steps, and so forth. So the chances
are about 19 in 20 that, if you
thought of the answer for Frame #1,
you came up with "decimal."
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Frame #2
Decimals are multiplied exactly like whole
numbers and then the decimal place is added.
The only difference between multiplying whole
numbers and decimals is that for decimals you
must find the place.
Note : As before, the student writes his
answer in the blank. Want to try it?
Then cover the page below this para-
graph with a piece of paper. When
you have decided on an answer, move
the paper down below the answer,
which you will find on the next line.
Answer to Frame #2: decimal
Now go on to Frame #3.
Frame #3
Decimals are multiplied exactly like (a)
After multiplying
a decimal, you must find the (b)
Frame #6
The number of decimal places in a decimal is
the number of digits (numbers) to the right
of the decimal point. Therefore, there are
2 decimal places in 1.41 and deci-
mal place (s) in 1.4.
Answer to Frame #6: 1
Frame #7
The number of decimal places in a decimal
is the number of digits to the
of the decimal point.
Answer to Frame #7: right
Frame #8
The number of decimal places in a decimal
is the number of digits
Answer to Frame #8: to right of
decimal point
Answer to Frame #3: (a) whole
numbers (b) decimal place
Frame #4
The only difference between multiplying whole
numbers and decimals is finding the
Answer to Frame #4: decimal place
Frame #5
For example, you would multiply 25x25 in this
way : 25
x25
125
50
and 2.5x2.5 in this way : 2.5
x2.5
125
50
6.25
The only difference is the place.
Answer to Frame #5: decimal
Frame #9
How many decimal places in 14.213?
Answer to Frame #9: 3
Frame #10
How many decimal places in 0.41?
Answer to Frame # 10: 2
Although many of the principles used by
programers emerged from the scientific lab-
oratory, most of them had already been intu-
itively used by good tutors. In fact, Dr. B. F.
Skinner of Harvard University, who is out-
standing among the scientists in the program-
ing field, points out the many similarities
which he has found between the learning
principles underlying programing and those
instinctively used by the really effective tutor.
When you realize that good programs present
material in much the way a good tutor does,
you begin to understand why programed ma-
terials have the advantage over such standard
self-study materials as the textbook.
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There is a large and quite convincing body
of evidence that programed materials, when
properly prepared, will teach not only faster
but more effectively than even the best of
textbooks. For example, the President of the
Center for Programed Instruction in New
York City, Mr. P. Kenneth Komoski, has re-
ported that 74 of his students completed in
two weeks a programed algebra course that,
when taught by conventional classroom tech-
niques (lecture, discussion, homework) re-
quired more than two months. As another
example, at Hamilton College, programed in-
struction has cut a three-hour-a-week logic
course to two hours while at the same time
increasing the amount of material covered.
Average grades have gone up from 63 to 86
percent and failure, normally the experience
of 10 percent of the class, has been eliminated.
These examples have been chosen more or less
at random. There are dozens more.
Of particular interest to people in the field
is the fact that many of the programs that
have thus far been developed are being pub-
lished much like regular textbooks, and are
available for purchase on the open market.
Over 100 programs are now for sale, in such
subjects as stenospeed, high school English,
principles of debate, South American Spanish,
statistics, geometry, algebra, trigonometry,
calculus, music, and human physiology.
Some of these are lengthy programs that have
been thoroughly tested and have been shown
to do a very effective job of teaching. Others
are shorter and not so carefully prepared.
Dozens of companies are now busily produc-
ing hundreds of additional programs in a wide
variety of subjects, for students ranging from
first grade through graduate school, and
many of these materials should become avail-
able within the next year or two. Some of
these programs can be expected to be of ex-
cellent quality and, therefore, of particular
help to someone who must undertake the
study of a subject on his own, without the
help of an instructor.
It would take far too much space here to
list and describe the many programs that are
now on the market. Fortunately, however,
a catalog of all the programs in the educa-
tional field that were to be available by Sep-
tember 1962 can be purchased from the Su-
perintendent of Documents, U.S. Government
Printing Office, Washington 25, D. C., for
$1.50. ("Programs, '62," Publication No. OE
34015)
You may be wondering what teaching ma-
chines have to do with programed instruction.
A teaching machine is merely a device for pre-
senting a program and, as in the case of the
example you have just seen, may not be
needed at all. There is still a difference of
opinion among professionals on the value of
the machine, but several studies have failed
to show any advantages of the machine over
the "programed textbook." As a result, many
companies are making programs available as
programed texts, or are giving the purchaser
a choice of buying either a machine-version or
a textbook-version of the program. Some
programs, however, are only available on ma-
chines, which may cost as much as several
hundred. dollars, and other programs require
special equipment, such as a phonograph.
For the forty-hour "Introductory Spanish"
course being sold by Encyclopaedia Britannica
Films, the student needs not only programed
texts, but also several magnetic tapes,. a tape
recorder, and a foot pedal..
Perhaps the main difficulty today with pro-
gramed materials is the limited number of
programs on the market. Another serious
objection is their cost. Although some pro-
gramed textbooks, such as "English 2600,"
cost only three or four dollars, many are as
high as ten or twelve dollars. Because of the
large markets for programed teaching ma-
terials, however, especially for school subjects,
it is quite likely that both. these disadvantages
will be largely overcome within the next few
years.
In the meantime, our Organization has not
been sitting on its hands. As far back as
1958, specialists in the Office of Training be-
gan looking seriously into possible applica-
tions of programed instruction to Organiza-
tion training problems. By early 1959, an
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OTR psychologist had begun devoting full
time to programing the basic terminology and
procedures in a field in which there were two
hard-to-solve training problems: the need for
near-perfection in performance, coupled with
a sharply limited supply of qualified instruc-
tors. Later that same year, in response to
growing need for speeded language training,
OTR arranged under contract to develop a
teaching machine capable of presenting the
spoken sounds as well as the written words of
a foreign language. As a natural sequence to
this, OTR arranged for the preparation of a
foreign language program for use in the ma-
chine.
In the fall of 1960, about the time when
OTR appointed a full-time Specialist in Pro-
gramed Instruction, the Office of Communi-
cations began experimenting with an instruc-
tional program bought on the open market.
The results were so encouraging that OC has
been using the program as a regular part of
its curriculum for the last year and a half.
No instructor is necessary, but the more than
200 students who have used the program have
mastered the subject matter in about half
the usual time.
In March 1961, OTR obtained under con-
tract a, top-flight team of experienced pro-
gramers to train two of the OTR staff in in-
structional programing. After about ten
weeks of full-time effort, one trainee-pro-
gramer had produced enough material of
basic importance to our analysts to keep the
average student busy about three or four
hours. The other trainee chose as his subject
the observation and physical description of
people. Over a period of several months, he
developed, tested, and revised enough pro-
gramed materials to keep his students at work
an average of eleven hours. This program is
now being evaluated by the OTR staff.
Last June, we signed a three-year contract
with a leading programing organization,
which has already begun several limited, fea-
sibility studies. One of these projects, funded
by OTR, is aimed at improving the sentence
structure, paragraph organization, coherence,
and similar qualities, of Organization writers.
One is intended to help speed the training of
ballistic missile analysts, and another is to
help teach document analysts to make proper
use of a subject code. If the results of these
projects are sufficiently encouraging, efforts
will probably be made to program more ma-
terial on each of these subjects.
If you wish further information about this
rapidly developing field, direct your inquiry
to the Director of Training, Attention: Spe-
cialist in Programed Instruction.
WE NEED YOU -
AS A RECRUITER
The Organization's personnel require-
ments, as projected through fiscal year 1964,
have necessitated several additions to the re-
cruiting staff and a greatly intensified recruit-
ment effort.
Twenty-seven additional recruiters are
being brought into the program, seventeen to
concentrate on candidates in professional cat-
egories and ten to specialize in the subprofes-
sional or technical and clerical fields.
Recruitment territories are being realigned
for nationwide coverage of colleges and uni-
versities as well as technical and secretarial
schools, industrial, and commercial sources.
The new program also envisions a wider use
of newspaper and radio publicity and adver-
tising and a well-organized campaign of on-
campus interviews by officials of the Organ-
ization working in tandem with the recruiter
to meet timely schedules arranged through
the placement officials of the schools con-
cerned.
A much faster and more decisive headquar-
ters screening and selection procedure and
shorter clearance time have been identified as
imperative changes to be made in our overall
recruitment technique if we are to compete
effectively with private industry in the pres-
ent manpower market, or, for that matter, if
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we are to hold our own in direct competition
with several other Federal agencies whose per-
sonnel needs are as acute as our own.
The Organization is determined in no way
to lower its sights or standards in stepping up
its search for new personnel. If anything, we
are placing even greater emphasis upon at-
tracting young, career-minded candidates,
and the employment odds are weighted heav-
ily in favor of the younger applicant aspiring
to positions of significant responsibility
earlier in his career than other employers can
promise. This emphasis is entirely in keep-
ing with the Organization's management con-
cept of promotion from within and a policy
of thrusting greater responsibility and author-
ity upon the young careerist in every area of
our activity. Accordingly, the older, more ex-
perienced applicant, however highly qualified
and well-recommended he may be, must, in
addition, possess qualifications or special
skills that are in critically short supply.
In this personnel deficit situation, which is
certain to be confronting the Organization for
many months to come, it behooves all of us
to turn recruiter, within the limits of individ-
ual cover security, of course. Your candi-
dates, rest assured, will receive the most ex-
peditious and careful consideration possible.
Your referral, from within the Organization,
not only would suggest special insight as to
where the individual's talents might be used,
but would indicate that you had examined
both sides of the career coin before registering
your conviction that both the individual and
the Organization would have something to
gain as the result of employment.
As a minimum screening level, it is request-
ed that your candidate's qualifications be sub-
mitted to your branch chief for his endorse-
ment before forwarding through channels to
the Chief, Personnel Recruitment Division.
Senior officers are asked not to apply too
severely their own criteria in rejecting sug-
gested candidates who, by more liberal stand-
ards, might qualify for employment. It is
one of the more interesting peculiarities of our
business that certain attributes which mili-
tate against an applicant's selection by one
activity may favorably influence his selection
by another.
One of the recruitment program's greatest
needs in today's competition is for truly defini-
tive statements of qualification requirements
from components which need personnel. The
process of defining precisely, and continually
refining, meaningful details of qualifications
desired in a prospective employee for a par-
ticular assignment or activity is an endless
process indeed. Job specifications must
change with functional progress itself, and
our personnel requirements must keep pace,
not stabilize. Much of our recruitment, how-
ever, has been too wide of the mark and given
over to the "shotgun" approach. We must
bring requirements and recruitment eye-to-
eye on the target, and, if you will, rely more
and more upon the rifleman technique.
Nevertheless, until our sights are calibrated,
we must continue to scan. a wide spectrum of
applicants.
In enlisting your services as a volunteer re-
cruiter, we regret that we cannot give you
more definitive guidance at this time on what
to look for in a likely candidate for Organiza-
tion employment. From time to time, we
shall post on headquarters bulletin boards cer-
tain recruitment flyers being used in our cam-
pus and community campaigns. Keep in
mind, also, that other components of the Or-
ganization may be interested in a given ap-
plicant's qualifications for a different purpose
than that advertised in the recruitment flyer.
Please understand that your recommenda-
tion need not be in detailed biographic depth,
but, rather, should simply relate the pertinent
age, education, and experience (including mil-
itary) data that would alert Personnel Re-
cruitment Division (PRD) to the possibility of
Organization interest in your candidate.
Followup forms, interviews, etc., necessarily
will depend upon advice from PRD that an
Organization element has evidenced sufficient
interest to warrant an official application.
Your personal interest in bringing new per-
sonnel into the Organization will be welcomed.
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One of our best sources of recruitment always
has been our own employees, hence this spe-
cial invitation at this time when, more than
ever before, we need recommendations and
leads that will produce tangible results : well-
qualified personnel pursuing interesting and
rewarding careers.
A REPORT TO THE MEMBERS
OF THE CREDIT UNION
The Credit Union continues to grow and
expand. its services. The financial report for
1962 will not be completed, of course, until
February or March of 1963. Meanwhile, the
most recent report for which complete figures
are available is published here for the infor-
mation of interested members.
The year 1961 proved to be another out-
standing year for your Credit Union. A re-
view of financial position at the year's end
showed that some significant developments
occurred during that period. Total assets in-
creased $965,000 to a new high of $8,300,000.
This places our Credit Union among the lead-
ers in the United States. According to 1960
reports, there were a total of 9,905 Federal
Credit Unions of which only 31 had assets of
$5,000,000 or more.
Share deposits increased by $828,000 to a
total of $7,556,764. This increase in the
Credit 'Union's capital funds provides a firm
base for financial assistance to our members
in the future. The total of loans to members
outstanding at the end of the year also in-
creased from $5,000,000 in 1960 to $5,623,000
in 1961.
Funds in excess of current requirements
were kept fully invested throughout the year
in deposits with Federally insured savings
and loan associations and in loans to other
Credit Unions. Total investments increased
by $300,000 from $1,930,000 to $2,230,000.
Earnings also continued to rise in 1961.
Gross operating income increased by $60,256
to a total of $532,000. Net earnings rose from
$370,000 to $414,000 for a gain of $44,000.
Operating expenses amounted to $118,000 for
an increase of $16,000. These expenses con-
sumed 22.1 percent of the income dollar in
1961 as compared to 21.6 percent in 1960. The
national average operating cost ratio for
credit unions with assets of $5,000,000 is 37.2
percent. Pursuant to the requirements of the
Federal Credit Union Act, 20 percent of net
earnings (approximately $83,000) has been
added to our reserve account to further pro-
tect the holdings of our members. The re-
serve fund now stands at $380,000.
A 5 percent dividend was declared for 1961
by the Board of Directors and the members
participated in a distribution of approxi-
mately $331,000.
Although record highs were reached during
the year, there are strong indications that
Credit Union growth is leveling off. At the
year's end the total number of accounts
showed an increase of only 107 over the pre-
vious year. This. rate of growth is less than
'/a of the average for the preceding three
years. The rate of increase in loans also
dropped off sharply. The dollar amount of
loans made to members during 1961 was only
4.7 percent greater than in 1960, compared to
the 1958-60 average increase of 22 percent an-
nually. Thus, it would appear that a plateau
has been reached and that future growth will
be at a much slower pace.
Much time was devoted during the year by
the Board members and staff to a review of
operating policies, procedures, and systems.
A new machine accounting system is to be in-
stalled which will speed up the handling of
transactions and reduce waiting time at the
tellers windows. The Credit Union is to be
remodeled to provide more lobby space and
eliminate the congestion, particularly on days
of peak activity. For the benefit of our over-
seas members, a handbook is being prepared
which will supply detailed information on
the handling of financial transactions while
away from headquarters.
We are planning to do everything possible
to promote efficiency and economy in the
operation of the Credit Union. Your sugges-
tions for further improvements or additional
services are invited.
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THE SUGGESTION SYSTEM
AND SOUND MANAGEMENT
Excerpts from an Address to the National
Capital Chapter, National Association of Sug-
gestion Systems by William D. Carey, Execu-
tive Assistant Director, Bureau of the Budget
The President has made it clear to his Cabi-
net that he expects a high standard of man-
agement-consciousness-in this administration.
These are not empty words. He means
what he says.
We are already at a very high level of peace-
time budget expenditures. This year the ad-
ministrative budget of the Government will
be in the range of $89 billion. Next year we
will be over the $90 billion mark. If we stay
on our present course and hold Government
spending to its present ratio of about 16 per-
cent of the Gross National Product, simple
arithmetic tells us that by 1970 we may see
Federal spending as high as $120 billion a
year, based on a rising GNP.
What the President is saying is that he
wants every additional dollar to yield full
value. There will never be enough slack in
our tax resources to take care of everything
that it might be desirable for Government to
do. We are facing an increasing need to call
the shots accurately and in terms of priorities.
And by the same token we have a duty to
eliminate what isn't absolutely necessary for
growth, stability, and security-and to find
better ways of putting our money and our
skills to work.
The President means business when he
speaks of the need for creativity and ingenu-
ity in a lively career service. He has given
Administrators a vote of confidence to get the
job done without arbitrary personnel ceilings
and budget reductions. We know this job can
be done.
A climate has been created in which in-
novation and initiative are being put to the
test. There is no single source of good ideas.
There is no one panacea for guaranteeing
progress. The essential thing is that there
be a climate, or environment, in which man-
agement at every level takes seriously its re-
sponsibility to increase efficiency and pro-
ductivity, and to listen to ideas which are put
forward, whether they come from without or
within the Federal service. Last year 189,000
Federal employees came forward with work-
able suggestions for reducing costs or doing
the Government's work more effectively. One
wonders whether there were not just as many
ideas that never saw the light of day, and one
wonders why.
It could be that some government employees
went at it quietly and talked with their super-
visors about better ways of doings things, and
sold them on the idea. In other words, per-
haps the statistics don't tell the whole story.
There are individuals who shy away from a
suggestion system approach which requires
them to submit an idea very formally and
have it run a skeptical gauntlet with the
eventual humiliation of having it turned
down. Let's be frank in recognizing that we
can put too much drama and ritual into the
suggestion system approach, and it can ac-
tually scare people off rather than bring them
to the well.
There are supervisors who are still skeptical
about the suggestion system method of in-
novation. They look at the bare figures which
show that only a fraction of the total number
of suggestions are found to be deserving of
recognition and awards. Their typical reac-
tion is to say "My door's always open" (even
though in fact it usually is closed and guarded
by a dedicated secretary who bars the way to
all but the elite). I give these executives
credit for good intentions, but the plain truth
is that they will never have the time to circu-
late among the employees and talk shop as
they dream of doing. And so I say that the
suggestion system, conducted in a dignified
way and on an adult level, is a tested and
proven way of fighting stagnation and pro-
moting alert and restless and inventive pub-
lic service. But at the same time, I agree
that there should be alternative procedures
for those who would prefer to use them.
I think there is no doubt whatever the
President's goals for efficiency, economy, and
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SB-23 CONFIDENTIAL
better utilization of manpower provide an
exceptional opportunity for the incentive
awards program to demonstrate the creativity
and imagination of the career service. That
should be the objective. We aren't out to
prove by a mass of statistics that the sug-
gestion system technique is perfect, but rather
that the men and women who give their lives
and talents to their country deserve the re-
spect and confidence and thanks of their
countrymen. So, let us couple the incentive
awards program to the President's mandate,
for mutual strength in a mutual cause. To
all of you here who have done so very much
to create this opportunity, and who have ac-
complished so much from sheer effort and
conviction, I express thanks on behalf of all
of us in the Executive Office of the President.
EARLY RETIREMENT LEGISLATION
For a number of years, this Organizaion
has studied carefully the Civil Service Retire-
ment Program as it applies to our personnel
needs. It was determined that the retirement
program for certain employees should be im-
proved. Aside from the additional special re-
quirements applicable to Organization em-
ployment, employees who serve overseas are
subject to essentially the same conditions of
service which were the basis for the develop-
ment of the Foreign Service Retirement Sys-
tem. Our study led to the conclusion that
the adoption of a system similar to that of the
Foreign Service would more nearly meet our
own personnel requirements. Among other
things, the Foreign Service Act has more ade-
quate provisions for early retirement than the
Civil Service Retirement Program.
A specific legislative proposal was prepared
which would provide certain Organization
employees with retirement benefits similar to
those under the Foreign Service System. The
proposal also included authorization for the
Director to adopt and apply to certain of our
employees other provisions of law which are
presently applicable to Foreign Service per-
sonnel. A draft bill was cleared by the Bureau
of the Budget, the Civil Service Commission,
and other elements of the executive branch,
and introduced in the House of Representa-
tives by Representative Carl Vinson, Chair-
man of the Armed Services Committee. Hear-
ings were held on the proposal by that com-
mittee, which was sympathetic to our objec-
tives and offered some suggestions for changes
in format and wording. However, the inevi-
table press on the Congress in the closing days
of this session made it impossible for the com-
mittee to consider the bill further. We are
working carefully on the proposal and it will
be introduced again in the 88th Congress.
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