LETTER TO THE HONORABLE PERCIVAL BRUNDAGE FROM ALLEN W. DULLES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80R01731R000700410029-3
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 14, 2016
• Document Release Date: June 6, 2003
• Sequence Number: 29
• Publication Date: August 9, 1956
• Content Type: LETTER

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g~oaflve Regjs{~
August 9, 1956
The Honorable Percival Brundage
Director, Bureau of the Budget
s ington 25, D. C.
Dear Percy:
I enclose herewith a copy of a letter which I have just
dispatched to the President, relating to the pay scale in this Agency.
I have discussed this matter with Governor Sherman Adams, and he
understands that I am sending a copy of this letter to you.
The proposal made in this letter is of the greatest importance
to this Agency and, in nay opinion, is quite essential if we are to carry
out our assigned mission and be in a position to recruit and retain the
personnel necessary for the difficult tasks which have been assigned
to us by statute and NSC action.
Fsfthfully your a,
Allen W. Dulles
Director
AWD:at
Distribution:
Orig - Addressee (by hand of Robert Macy)
1 cc - Mr. Paul
1 cc - DD/S
l c c- E R (---- --
No CHANGE IN CLASS
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August 8, 1956
The President
The White House
Dear Mr. Presidents
The Central Intelligence Agency, since its creation, has been
;,d tat salaries of its employees by its own administrative action. The
only salaries fixed by statute are those of the Director and the Deputy
Director of Central Intelligence. In the Executive Pay Act of 19%,
these are set t $210000 and $20,500, respectively. For reasons of
security this Act did not cover any other of our senior personnel, whereas
the Act provided for the senior executives of many other departments and
agencies.
Tip to the present, all salaries other than those of the Director
and Deputy have been based on the General Schedule established by Congress
for the Classified Civil Service. In practice, therefore, the highest
salary paid to employees of this Agency has been that of GS-18, namely
$14,800,. until raised by the new Act to $16,000 per annum.
At existing salary levels it has been increasingly difficult
to obtain and retain the highly expert and technically trained indi-
viduals needed for the principal executive and operational positions in
this Agency. As you know for security and other reasons, we cannot
offer the reward of public recognition for faithful goverment service,,
which is part of the compensation of such service in responsible posts
in other government agencies as, for example, an Ambassadorship, General
Officer and Flag rank of the military services, or other titled offices.
Peet the senior officials of this Agency must in fact perform
duties of a nature which in the Executive Departments of the Government
would be the responsibility of the above statutory positions as well as
those of assistant secretaries, bureau headslt,#, and similar offices.
Because the duties of our senior officials are concerned with the moat
confidential and sometimes hazardous aspects of our work, their positions
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must not be publicized? but their responsibilities and standing in the
intelligence hierarchy should be recognized by appropriate gradation
within the Agency and compensation equivalent to that of similar positions
elsewhere in Government. I have legal authority to do this by adm#.nis-
trative action. The Executive Pay Act by creating a gap between the
salaries of myself and my Deputy and that of a GS-18 provides a logical
occasion for taking such action which seemed inappropriate until that Act
was passed.
propose therefore to establish three categories of offices
above the GS 18 level for the top officials of this Agency, I consider
that the three Agency Deputies who are responsible Immediately to me have
equivalent responsibilities to those of Assistant Secretaries of Executive
Departments and should be compensated accordingly at 20,000 per annum.
Certain other key individuals in the Agency would be divided into two
categories to be compensated at $18,000 to 19,000 per annum and $17,000#
respectively. The total number of positions to be so graded would be
approximately 25 in Headquarters and ten in the foreign field. The
increased cost of this action would be only approximately $75#000 per
annum, which we can absorb in our existing budget. The morale effect
on present employees and the increased ability to recruit qualified
personnel would be enormous.
During the discussion of our 1957 Budget, I informally raised
this problem with certain members of the corimittees of the Congress which
have innediste concern with the affairs of this Agency, and I have recently
discussed the matter with Dr. Killian, Chairman of the President's Board
of Consultants, They seemed to appreciate the justification for the action
proposed, although I have not sought any formal approval from either.
A copy of this letter is being sent to the Director of the
Bureau of the Budget.
Respectfully yours,
Allen W. Dulles
Director
cc,. Director, Bureau of the Budget
AWD:at
Orig - Addressee
1 cc - Gen. Counsel .. 2 M C
l cc - DD/S 0
1 cc - E~~. P
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