THE DCI HISTORICAL SERIES CIA SUPPORT FUNCTIONS: ORGANIZATION AND ACCOMPLISHMENTS OF THE DDA--DDS GROUP, 1953-1956 VOLUME II (CHAPTER III-PART 1)

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP90-00708R000300090001-7
Release Decision: 
RIPPUB
Original Classification: 
S
Document Page Count: 
159
Document Creation Date: 
December 9, 2016
Document Release Date: 
January 5, 2001
Sequence Number: 
1
Case Number: 
Publication Date: 
July 1, 1960
Content Type: 
PAPER
File: 
AttachmentSize
PDF icon CIA-RDP90-00708R000300090001-7.pdf5.87 MB
Body: 
Approved For Release 2001/03/06 : CIA-RDP90-00708Seelnkt090001-7 CIA Internal Use Only Access Controlled by CIA Historical Staff CIA HISTORICAL STAFF The DCI Historical Series CIA Support Functions: Organization and Accomplishments of the DDA?DDS Group, 1953-1956 Volume II (Chapter III-Part 1) Secret HS-3, vol. II July 1960 Approved For Release 2001/03/06 : CIA-RDP90-00708Re808900101$ 3 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 WARNING This document contains information affecting the national defense of the United States, within the meaning of Title 18, sections 793 and 794, of the US Code, as amended. Its transmission or revelation of its contents to or re- ceipt by an unauthorized person is prohibited by law. GROUP I Excluded horn automatic downgrading and declassification Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/9MMIA-RDP90-00708R000300090001-7 CIA Internal Use Only Access Controlled by CIA Historical Staff THE DCI HISTORICAL SERIES HS 3 CIA SUPPORT FUNCTIONS: ORGANIZATION AND ACCOMPLISHMENTS OF THE DDA-DDS GROUP 1953-56 VOLUME II (CHAPTER III-PART 1) by 25X1A 1960 HISTORICAL STAFF CENTRAL INTELLIGENCE AGENCY Approved For Release 2001AtigtE?A-RDP90-00708R000300090001-7 Approved For Release 2001/03M :lik-FIF'90-00708R000300090001-7 CIA SUPPORT FUNCTIONS: ORGANIZATION AND ACCOMPLISHMENTS OF THE DDA/DDS GROUP, 25X1A I. Overall A. 1953-1956 by DCl/HS Table of Contents . 1 Management Matters Scope of Support Activities 1953-1956 .1 ? B. Management Advice and Inspection in Agency as a Whole 7 C. General Direction of Support Services . . . 14 Deputy Director 17 Special Administrative Support for DD/P . ? ? 26 Administrative Support for DD/I 35 Management Improvement Advisory Services in DD/S 37 Staffing and Career Service in Support Area .51b II. Financial Administration of CIA, Fiscal Years 1953=1956 52 A. Budgeting 52 General 52 Office of Comptroller 60 Budget Cycles for Fiscal Years 1953-1957. . 67 Summary . . . 85 iii SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET B. Accounting for Vouchered and Unvouchered Funds 91 Accounting Activities of the Comptroller 95 Audit Staff 102 Statistics of Vouchered and Unvouchered Funds 112 III. Manpower Management. ..... 119 A. CIA Personnel Strength and Other Personnel Trends, 1953-1956 119 T/0, Ceiling and On Duty Strength 119 Pay Policies, Supergrades 143 B. Career Service Program 1953-1956 151 Objectives 151 Career Services 155 Career Staff 160 Personnel Management Advice and Services . . 166 a.. Responsibilities . .....\ 166 b. Office of Personnel. . . ... 168 (1) Location of Office of Personnel. . . 170 (2) Organization of the Personnel Office . . . 174 (a) Planning Staff . . 176 (b) Personnel Records. . 179 (c) Staffing the Office of Personnel . . . . . 183 iv SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 NIB Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET CIA Recruitment Policies and Practices . . . . 186 a. Assessment Services 192 b. Recruitment of Junior Officer Trainees (JOT's) 197 c. Recruiting Clerical Employees 211 d. Contract Personnel 215 e. Military Personnel 219 f. Recruiting Women for Career Service. ? 223 g. Recruiting Non-Whites for CIA Career Services ....... ? ? ? ? 0 . 227 Personnel Utilization Policies and Practices . 233 a. Assignment, Rotation and Career Planning 234 b. Employee Rating 243 c. Promotion Policies and Practices . ? ? 246 Personnel Classification Policies and Practices ...... . ... . . . . . . ? 251 Termination Policies and Practices 258 \ Career Benefits 260 , . General Trends ........ ' . . ? ? . ? . . 266 C. Training for Career Service. ? . . .. . 269 General Considerations 269 a. Concept of Training 269 b. Problems of Training ... ... . . ? 273 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET Organization of Training 276 a. Location of Office of Training . . . 276 b. Internal Organization of Office of Training 279 Training Activities. . 00 0 0 0 0?0 0 0 s 291 a. Training Support Activities 292 b. Clandestine Services Training 294 c. Courses on Communist and Anti- Communist Operations 309 d. Intelligence Training. . . . 311 O000 e. Management and Administrative Training 316 f. Language and Area Training 323 g. Training Program for Junior Officer Trainees 329 Making Employees Available for Training. . ? ^ 336 Staffing the Training Function 341 D. Personnel Statistical Tables 347 IV. Logistics Management 364 Security Staff 378 Building Planning Staff 381 Planning Staff 385 Administrative Staff 393 Printing Services Division 398 Procurement 406 vi SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET V. Real Estate and Construction 411 Supply 415 Transportation Services 423 Security Controls 441 Mission and Organization of Office of Security . . 451 Personnel Security Activities. . . . . . . ^ 461 Physical Security Activities 475 Operational Security Support Activities. . . ^ 481 Staffing 486 VI. Communications Support Activities 489 CIA and Other Agencies in Communications Field . . 490 Activities of the Office of Communications 0 ? ? . 499 Communications Security Activities 502 Support for Clandestine Activities 505 Communications Support for Emergencies 510 Supplemental Programs 512 Communications Research and Development Adtivities 513 Organization and Management of Communications Activities 517 vii SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET CIA SUPPORT FUNCTIONS: ORGANIZATION AND ACCOMPLISHMENTS OF THE DDA/DDS GROUP, 1953-1956 by DCl/HS 1/ CHAPTER III. MANPOWER MANAGEMENT? A. CIA Personnel Strength and Other Personnel Trends, 1953-1956 T/0 Ceiling and On Duty Strength In its brief "History of the Personnel Management Function in the Central Intelligence Agency" prepared for the Clark Committee, the Office of Personnel in August 1954 described the general change in the Agency personnel policy that came during the transition from the Smith to the Dulles administrations as follows: "Stabilization of staffing requirements appeared during the Fiscal Year 1953 which, accompanied by changes in the concepts of internal Agency security requirements, made it possible to give increasing effort and atten- tion to the overall elements of personnel management within the agency."2/ 1/ This chapter was drafted byIIIIIIIIIIIII in November 1959. 2/ Office of Personnel, Survey Task Force Black Book, 12 August 1954, SECRET, in files of OP. 119 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 rat 25X9 25X9 Approved For Release 2001/03/06 : ClAntRDP90-00708R000300090001-7 SECRET During the Smith administration, the rapidly ex- panding scope of the Agency's intelligence and opera- tional activities and commitments dictated an accelera- tion of personnel operations to supply the increasingly expanded personnel requirements. This is illustrated by the increase in staff employees and staff agents on duty from in December 1950, to in December 1/ 1952.? These figures did not include foreign nationals, contract employees, contract agents, or employees of proprietary organizations who also increased in numbers.1/ In order to expand as rapidly as the Agency did, it was 1/ Staff employed and staff agents had to be U.S. nationals. A staff agent was a person who was a staff employee, but who, for cover purposes, re- signed as a staff employee. During the period a staff agent retained his rights as a staff employee. 2/ A contract agent was a U.S. or foreign national, en- gaged under a written contract, either by headquarters or in the field, to perform operational activities (as distinguished from administrative or staff-type support duties), outside the United States. A con- tract employee was any individual employed on either a full or part-time basis for the primary 25X1A purpose ncrformin staff-type support functions. See CIA dated 22 August 1956, Contract Personnel, , in Records Center and Office of Training Reference Manual No. 0-1, January 1957, SECRET, in OTR files. For a discussion of these non-staff employees, see below. 120 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 al al 25X1A 25X1A 25X1A Approved For Release 2001/0R6 CjAiRr90-00708R000300090001-7 necessary to set the personnel requirements even higher. The maximum number of positions in the tables of or- ganization of the Agency was reached in October 1952 1 when some positions were listed.? The listing of positions in tables of organization was one of the devices of personnel management used 2/ during the period 1953-1956.? As during the Smith Administration of CIA, the responsibility for timely submission of proposed T/O's or changes thereto rested with operating officials, the responsibility for the review of organizational and functional changes in T/O's including quantitative evaluations as to manpower and numbers and types of positions required rested with the Management Staff under its different names and organi- zational locations, and the responsibility for the review 1/ OP, Survey Task Force Black Book, 12 August 1954, SECRET, in OP files. 2/ CIA dated 27 May 1952, SECRET;CIA 5 August 1952, SECRET; CIA 16 April 1954 and revision of 15 May 1956, Tables of Organization, SECRET, and MEMMEMMOMMEMEM 111,1dated 29 November 1955, SECRET; all in 11s Center. 121 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X1A 25X1A 25X1A Approved For Release 2001s/02/0c6i9NRDP90-00708R000300090001-7 of position classification changes rested with the Office of Personnel. The Comptroller examined the proposed T/O's in the light of budgetary, fiscal and allied Office ters. matters. Where appropriate, the considered problems of space and The DD/A (subsequently DD/S) was Logistics related mat- authorized to approve those proposed T/O's which were concurred in by all officials concerned. Where there was non- concurrence, the proposal and all supporting papers were submitted to DCI for determination. During the period the T/0 was differentiated from the staff ceiling. The latter was a limiting figure which established the maximum number of per- sonnel who might occupy positions on Agency T/O's in duty status, at any given time, subject to availability of funds./ It did not indicate what positions on a T/0 should be occupied but merely how many. The ini- tiative in the case of a T/0 change was with the oper- ating official, who, if he was satisfied with his T/0, 1/ CIA dated 15 May 1956, Tables of Organization, SECRET, in Records Center. 122 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A or' Approved For Release 2ooyoR6 gArRDP90-00708R000300090001-7 did nothing until prodded. The Agency T/0 position total at any given time was merely the sum total of the office T/O's as obtained by a machine listing. There was a tendency for T/O's to become out of date since operating officials resisted losing positions on their T/O's, as these positions could be filled if the ceiling were lifted. A management survey of a given office usually resulted in a proposal for a 1/ new T/0.? Changes in the Tb O took place piecemeal and there was no requirement in the beginning of the Dulles administration for periodic revision of the T/0. On the other hand, the DCI on his own initiative or acting on instructions from the President or the Bureau of the Budget could set a single personnel ceiling figure for the entire Agency. In setting such a personnel ceiling figure, the DCI also fixed a personnel ceiling figure for each of the main components. 1/ An example is Report of the Management Survey, Office of Training, dated 14 January 1955, SECRET, in Management Staff files, which is Request for Approval of Table of Organization. 123 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 200 1/03106 :C9A-FliP90-00708R000300090001-7 Each Deputy Director was allowed to distribute this personnel ceiling among the offices under him.- 1/ The personnel ceiling was not static. The annual budget process usually brought personnel ceiling changes at the beginning of the new fiscal year on the 1st of July.' Releases from the reserve fund for new pro- jects involving additional staff personnel would bring increases in the personnel ceiling Liquidation of projects involving abolition of staff positions would bring reductions in the personnel ceiling. As in the case of T/0 changes, the DD/A (subsequently the DD/S) was authorized to approve personnel ceiling changes agreed to by all officials concerned and to refer dis- agreements to the DCI for determination.2/ At the beginning of the period the number of T/0 positions was much higher than the personnel ceiling. 1/ Memorandum for DCI from the Comptroller, 13 August 1956, Subject: Position Ceilings for use in Pre- paration of FY 1958 Budget, SECRET, in Records Center Job 59-419. 2/ See below, p. 127. 3/ CIA 16 April 1954 and revision 25X1A of 15 May 1956, Tables of Organization, SECRET, in Records Center. 124 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 rod Approved ForRelease2001/03/06 : CIA-RDp90-00708R000300090001-7 SECRET As of December 31, 1952 the number of T/O positions was and the personnel ceiling wasallin, including staff civilian and military personnel.1/ The difference between the two figures as of this date may be explained on the ground that, as planning documents, the T/O's had been set during the Korean war and other crises when it appeared that heavy demands would be placed on the Agency and the revision of the position requirements downward had been slow after the international sit- uation eased and there was an anticipated change in administration in Washington. During the period the trend in the total T/0 posi- tions was steadily downward with the biggest drop oc- curing in January 1954._21 In July 1954 the DCI re- quested the AD/P to prepare a directive which would state a goal of reducing T/O's to ceiling figures.3/ ? 1/ See Table 1. 2/ Office of Personnel, Survey Task Force Black Book, 12 August 1954, SECRET, in OP files and Table 1. yw 3/ Memorandum for C/P & A Staff/OP from EO/OP, 28 July 1954, Subject: Reduction in Agency Strength, SECRET, in Records Center Job 57-596. IMO ISM 125 SECRET Approved For Release 2001/03/06 : CIA-RDp90-00708R000300090001-7 25X9 25X9 Approved For Release 2001 930 :RC-FDP90-00708R000300090001-7 This continued to be the policy of the Agency for the rest of the period as shown by the following statement made by DD/CI on September 1956: "It will continue to be the policy to have Tables of Organizations and ceil- ings as nearly the same as is practical, bearing in mind that the ceilings are, in effect, a control of the on-duty strength rather than tions on the T/0.".1../ By the end jective substantially achieved. the number of post- of the period this ob- As of December 31, 1956 the T/0 position total was ...Eland the ceiling total 25X9 25X9 was During the second half of the period plans were being made to modify the procedures for establish- ing and changing T/O's in order to make them a more use- ful tool of personnel management./ 1/ Memorandum for DD/P from Acting DCI, 12 September 1956, Subject: Position Ceilings for FY 1957 and FY 1955 to be Used in the Preparation of FY 1958 Budget and for Control of Current FY 1957 Operations, SECRET, in Records Center. 2/ Office of Personnel, Staffing/Development Complement Concept for Manpower Control, Initial Installation, Office of Communications, 1955, SECRET, in OP files. This concept was later embodied in CIA 14 November 1958, Ceiling and Position Authorization, SECRET, in Records Center. See below, p. 130 for discussion of these changes. 126 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET -? The personnel ceiling was closely related to the budget process. Funds for personnel were always an important item in the Agency budget. The original per- sonnel requirements for Fiscal Years 1953 and 1954 were contained in budget estimates prepared by the Truman administration. The new Eisenhower administration be- gan at once to investigate the possibilities of trimming these estimates)-" On February 3, 1953, Mr. Dodge, the new Director of the Bureau of the Budget, sent to all agencies, including CIA, a letter calling for a review of personnel utilization and vacancies, going and pro- posed construction projects, and for the elimination of unnecessary programs and restriction of others to minimum leve1s.2/ As far as possible, agencies were to eliminate vacancies. 1/ In his message on the State of the Union, delivered February 2, 1953, President Eisenhower called for a balanced budget and elimination of the deficit. See President Eisenhower's Public Papers, 1953 ed. On April 30, 1953, President Eisenhower reported on his efforts to trim the Fiscal Year 1954 budget. New York Times, May 1, 1953. 2/ New York Herald Tribune, February 4, 1953, gives the directive. 127 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 *AM ION Approved For Release 2001/9/0c6 itCARDP90-00708R000300090001-7 The estimates for personal services in original re- quirements presented to Congress for Fiscal Year 1953 were based on existing tables of organization plus an- 1/ ticipated needs.? This method produced a requirement of around positions. In November 1952 General Smith made a statement: "It's a simple fact that while we have budgeted for a rather large personnel ceiling, we can't get qualified people to fill that personnel ceiling. They just simply don't exist. We've gone about the limit. . So, my intention is to keep our numbers down, to be selective instead of expansive, and 2/ look more and more to the juniors to fill senior posts.' Before Mr. Dodge's directive had been received by CIA, 1/ CIA 27 August 1951, Call for Budget Estimates, Fiscal Year 1953, CONFIDENTIAL, in Records Center. 2/ Comments of General Walter B. Smith and his Answers to Questions Submitted at the 8th Agency Orientation Course, 21 November 1952, in Office of Training Bulle- tin, 11 February 1953, SECRET, in HS files. General Smith, in these remarks, did not use the word "ceiling" in its technical sense. He probably meant budgeted positions or total positions in T/O's. 128 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X1A nod mai Approved For Release 2001g02/Q6 kCAAIRDP90-00708R000300090001-7 General Smith had reduced the original personnel re- quirements for Fiscal Year 1954 by 25 percent.- 1/ Following the receipt of the directive from Mr. Dodge, the DD/A of CIA recommended that each Deputy review the situation in his area and submit to the Comptroller, by February 20, 1953, his revised estimates for personnel and funds for the remainder of Fiscal Year 1953 and for Fiscal Year 1954. Mr. Dulles, who became Acting Director on February 9 and Director on 2/ February 26, supported this move.? As a result of the hearings before the subcommittee of the House Appropriations Committee held in the spring of 1953 in which Mr. Dulles participated it was agreed that the Agency would limit its civilian staff personnel to not more than 3/ In connection with the 1/ Staff Conference, Minutes of Meeting Held in Direc- tor's Conference Room, 9 February 1953, SECRET, SC- M-43, in HS files. 2/ Ibid. 3/ In draft of Opening Remarks of the Director to House Appropriations Committee, 16 March 1954, SECRET, 1955 Cong. Material, in Records Center Job 58-436, reference is made to position taken a year earlier. 129 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 mei Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET allocation of funds and personnel for Fiscal Year 1954 made in August 1953 this ceiling was put into effect. In essence it was based on the Dodge formula since it took the on-duty strength of civilian staff employees under ceiling as of June 30, 1953 plus some 500 addi- 1/ tional positions needed to carry out increased missions. According to Office of Personnel figures, the ceiling 25X2 for civilian staff employees dropped fro/11111111as of 25X2 June 1953 to as of August 1954./ In addition 25X2 there was a ceiling of for military personnel which remained unchanged for both of these dates. The new ceiling cut below on-duty strength plus the number 3/ of those in process.? During the Fiscal Year 1954 the 1/ Memorandum for DD/P from Acting DD/A, 5 August 1953, Subject: Allocation of Funds and Personnel for FY- 1954 and FY-1955, SECRET, in 1955 Bureau of Budget Submission Files, in Records Center Job 58-436. Similar memo's were sent to others. 2/ OP, Survey Task Force Black Book, 12 August 1954, SECRET, in OP files. 3/ Ibid. The ceiling for August 1953, including mil- .. 25X9 itary personnel, was the total military and civilian personnel on duty was and the 25X9 25X9 number in process was 1,879. The sum of the last ... two figures is which is 1,343 above the ceiling. 130 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001M/0c6 iCDP90-00708R000300090001-7 personnel ceiling rose slightly each month and the number of those in process dropped gradually until March 1954 when those on-duty plus the number in pro- cess equaled the ceiling. The more than 500 on-duty civilians who were exempt from ceiling gave the Agency 1/ some flexibility. The budgeted civilian positions in the estimates presented to Congress in March 1954 for the Fiscal Year 2/ 1955 were the same as for Fiscal Year 1954. The CIA position was that the Agency should not get too large and that it should plan to stay within this num- 3/ ber.? According to monthly figures compiled by the Office of Personnel, the ceiling did exceed this number 1/ Ibid. These were project personnel who were paid for out of funds for other contractual services. NW 2/ Office of Comptroller, Congressional Budget, Fiscal Year 1955, SECRET, in Records Center Job 58-436. 3/ Draft of Opening Remarks of the Director to the House Appropriations Committee, 16 March 1954, in Office of Comptroller, 1955 Congressional Material, SECRET, Records Center Job 58-436. 131 SECRET Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 mei Approved ForRelease2001/030:16_: cIA-RDP90-00708R000300090001-7 huRET 1/ during Fiscal Year 1955.? Increases in the budgeted positions were made during Fiscal Year 1955 in the 2/ Director's Office and in the offices under DD/P.? The additional requirements for personal services that a- rose during the year were related to releases from the reserve fund which were authorized by the Bureau of the Budget for a new sensitive signal intercept pro- ject and for additional cold war activities in the Far 3/ East, the Near East, and the Western Hemisphere. In preparing for Fiscal Year 1956, the Agency in- dicated to Congress in March 1954 that it wanted a 1/ OP, op. cit. As of December 1954 the civilian 25X9 ceiling figure given was which was 335 positions above the budgeted figure of As of 30 June 1955 the civilian ceiling figure (excluding project personnel) was Office of Comptroller, Operating Budget Fiscal Year 1956, SECRET, in Records Center Job 58-436. 2/ When the accounts came in for Fiscal Year 1955, they 25X9 showed civilian positions as compared with 25X9 positions in the original estimates submitted o Congress for Fiscal Year 1955. See Congressional Budget Fiscal Year 1957, SECRET, in Records Center Job 58-437. 3/ Ibid. Lists each release and also gives positions by organization unit. 132 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X9 Approved For Release 2001/0g/Op 6W9P90-00708R000300090001-7 1/ higher ceiling for civilian personnel in the budget. Congress was requested to grant, and granted, appropria- 2/ tion authority for civilian positions.? In an internal communication regarding the proposed budget, General Cabell, Deputy Director, said: "We now have a base infinitely better prepared to assimilate selected development and expansion than we possessed in 1952. Clearly our mission calls for expansion, limited only by our ability to plan and absorb it in an orderly and effective manner. Hence, we should, for example, de- vote maximum staff effort towards the earmarking and training of personnel assets for such future develop- ment even if it requires lifting personnel ceilings and dipping into 1956 reserve. .7t- 3/ 1/ Office of Comptroller, Draft of Opening Remarks of Director to the House Appropriations Committee, SECRET, March 1955, in 1956 Congressional Material file, in Records Center Job 58-436. 2/ Office of Comptroller, Congressional Budget Fiscal Year 1956, SECRET, in Records Center Job 58-436. 3/ Cited in Memorandum for DCI from DD/P, 10 August 1956, Subject: Personnel Ceilings, SECRET, in Operating Budget, Fiscal Year 1956 file, in Records Center Job 58-436. The date of General Cabell's note was not given. It was a note to the Scope and Pace Paper of 1 February 1955 which was approved by DCI on 21 February 1955. 133 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 N4ri 25X1A awl aml Approved For Release 2001/03/06 : C1A-RDP90-00708R000300090001-7 SECRET In preparing estimates for the operating budget for Fiscal Year 1956, the various components requested in July 1955 increases over civilian on-duty strength 1/ of approximately positions.? The DCI agreed that certain high priority projects had to have additional personnel but he was not convinced that such a large general increase was necessary and practical. He felt that the Agency should not expand appreciably without consulting the Bureau of the Budget and Congress. In a memorandum to the Deputies of August 5, 1955, he stated his position on personnel: It is my desire to keep the Agency as small as possible consistent with the successful accomplishment of our mis- sion. It behooves us all to find ways and means to do more without greatly expanding our numbers. We must resist any suggestions that we assume duties which are not clearly our function or which we have not been assigned as a service of common concern. We must al- so pay greater attention to the estab- lishment of priorities and through con- stant analysis and evaluation eliminate 1/ Office of Comptroller, Analysis of Position TbO Ceiling, On-Duty 1956 Operating Budget, and 1957 Preliminary Estimates, SECRET, 28 July 1951, in Operating Budget - Fiscal Year 1956 file, in Re- cords Center Job 58-436. 134 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET marginal projects and programs. We sid should explore thoroughly all possi- bilities of contracting for our work to avoid increasing our numbers where we can within the bounds of good security .1/ Of the increases in civilian positions requested for operating budget for Fiscal Year 1956, about one- half were allowed. Three-fourths of the additional positions allowed were used specifically for two sen- sitive intelligence operations and for the signal in- 2/ tercept program.? The new budgeted civilian position 3/ total wasIIIIIIII Of this total some 500 positions mew were not new. They were the positions for 500 project employees who had formerly been budgeted under "other contractual services." wir 1/ Memorandum for Deputy Directors from DCI, 5 August 1955, Subject: Personnel, SECRET, in 0/DCl/ER Personnel File 1955. 2/ Office of Comptroller, Draft of Statement of General Cabell at Bureau of the Budget Hearings, 13 October 1955, SECRET, in Congressional Budget Material- Fiscal Year 1957 file, in Records Center Job 58-437. oar 3/ CIA, Estimate of Requirements Fiscal Year 1957, Bureau of the Budget Submission, 30 September 1955, SECRET, in Records Center Job 58-437. rid 135 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/0A6 ClIAER,pP90-00708R000300090001-7 In preparing its estimates for personal services for Fiscal Year 1957, for submission to the Bureau of the Budget the Agency presented practically the same number of civilian positions as it used for the oper- ating budget for Fiscal Year 1956.1/? In other words, the big increases requested by the offices in their original estimates of required positions were not granted.' ? In a statement prepared for General Cabell's use in connection with the Bureau of the Budget hearings in October 1955, the view was expressed: "It is pro- bably a fact that in the application of our resolve to keep our ceiling down, we have penalized Intelligence results. This is particularly true in the overt area where the scope and depth of Intelligence analysis, and hence the Intelligence product, is a direct function of the numbers and quality of the personnel available to do the work. Of course there are other factors too, 1/ Ibid., The estimated number of positions requested for Fiscal Year 1957 was 2/ The increases were requested for the Operating Bud- get for Fiscal Year 1956 and for Fiscal Year 1957. Those granted for the Operating Budget for Fiscal Year 1956 were carried over to the Estimates for Fiscal Year 1957. 136 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001h01/0 iCIAIRDP90-00708R000300090001-7 1/ but not in the direct proportion.' The same number of civilian positions was requested in the Congressional 2 Budget for Fiscal Year 1957.? This budget was approved by Congress without change. In connection with the preparation of the Operating Budget for Fiscal Year 1957, the offices requested an dor 3/ over-all increase of 672 civilian positions.? The DCI decided against granting these increases and held each component to the number of positions requested in 4/ the Congressional Budget.? General Cabell, Acting 1/ Office of Comptroller, Draft of Statement of General Cabell at Bureau of the Budget Hearings, 13 October 1955, SECRET, in Congressional Budget Material Fiscal Year 1957 file, in Records Center Job 58-437. 2/ CIA, Congressional Budget Fiscal Year 1957, SECRET, in Records Center Job 58-437. 3/ Memorandum for DCI from Comptroller, 18 August 1956, Subject: Position Ceilings for use in Preparation of FY 1958 Budget, SECRET, in Records Center Job 59- 419. This memorandum covered the Operating Budget for Fiscal Year 1957. 4/ Memorandum for DD/I from Acting DCI, 12 September 1956, Subject: Position Ceilings for FY 1957 and FY 1958 to be Used in the Preparation of FY 1958 Budget and for Control of Current FY 1957 Opera- tions, SECRET, in Personnel Ceilings Used in FY 1958 Budget, in Records Center Job 59-419. Also Noi memorandums for DD/P and DD/S on same subject in same file. 137 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 al? mai Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET Director, informed each Deputy that newer developments would be given adequate support within the allowances by dropping activities of lesser priority. He indi- cated that he was particularly interested in the pro- per staffing of a new activity of DD/I and of the ac- tivities in the WH and NEA Divisions and the CI Staff 1/ of DD/P:- The number of staff employees on duty was a con- stantly changing figure which depended upon the balance between the number of new employees entering on duty (E0D's) and the number of separations. The Office of Personnel reported the Agency gains and losses on a monthly basis. The trend in the number of staff em- ployees on duty was steadily upward during the period except for Fiscal Year 1954 when there was a net loss of 12. The number of civilian staff employees and military personnel on duty as of December 31, 1952 was and the number on duty as of December 31, 2/ 1956 was The net gain for the second half 1/ Ibid. 2/ See Table 1. 138 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X9 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET of Fiscal Year 1953 was 358, the net gains for Fiscal Years 1955 and 1956 were respectively 579 and 605, and the net gain for the first half of Fiscal Year 1957 cent. This modest increase was in contrast to the large increase in personnel strength between October 1950 and February A marked trend for the period was the lessening of the gap between the T/0 and the on-duty strength and between the ceiling and the on-duty strength. Whereas the T/0 at the end of 1952 was over the on-duty strength, the T/o at the end of 1956 was only the on-duty strength. The differences between the ceiling and the on-duty strength were at the end 25X1A of 1952 and at the end of 1956. The small margin in 1956 did not give the Agency much leeway in re- cruitment. 1/ Personal Statistics given in CIA, Estimate of Re- quirements Fiscal Year 1958, Congressional Budget, SECRET, in Records Center Job 59-419. 2/ OP, Survey Task Force Black Book, 12 August 1954, SECRET, in files of OP. 139 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X9 25X1A 25X9 oil 25X9 Approved For Release 2001N4 :RC-,FDP90-00708R000300090001-7 In addition to the civilian staff employees and the military personnel, both of which groups were composed of U.S. nationals, the Agency employed temporary and part-time employees, consultants and foreign nationals. During Fiscal Year 1956, the average employment in man years was for temporary and part-time employees, 25X9 for consultants, and for natives of for- 25X9 1/ eign countries. Returning to staff employees, the figures for on- 25X9 25X1A 25X9 25X1A duty strength by department and field show varying rates of change during the period. Departmental strength rose from as of December 31, 1952 to as of Decem- ber 31, 1956 or per cent and strength rose fron or per cent. The addi- tional employees on duty in installations 25X9 25X1A 25X1A 25X1A were divided almost equally between special projects in the Director's Office The net foreign field on-duty strength declined from 1/ Congressional Budget for Fiscal Year 1958, loc. cit. Earlier budgets did not give these figures. 2/ The offices of DD/I showed a net reduc- tion of 36. 140 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 / 25X1A 25X1A _4. 25X9 25X1A 25X1A NMI awl VIM Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET or down 5.5 per cent. Reductions were heaviest in and the Far East where changed po- litical conditions made it difficult to maintain staffs as large as they had been in early 1953. The end of the brought a reduc- tion in number of positions in Agency installations in that country. The number of paramilitary and other po- sitions was reduced in the Far East. Special procedures were established to determine priorities as between different overseas field stations. As these priorities changed, the personnel strength of overseas stations changed, subject to lags caused by scarcity of qualified personnel, difficulties in establishing cover, delays in project planning, and other delays. On-duty strength of staff employees by main com- ponent show that the largest net increases came in DD/S and DCI areas. An increase of in the Office of the DCI was largely in special projects and the message center. The increases in descending order that contri- buted to the nearly increase in the DDS area were 141 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X9 ONO 25X9 25X9 25X1A Approved For Release 2001(0p/96 iC.AAIRDP90-00708R000300090001-7 furnished by the Office of Communications, the Office of Personnel, the Office of Training, the Office of Security, the Office of DD/S, the Office of the Comp- 1/ troller, and the Audit Staff.? An increase of in DD/P departmental strength was offset by a re- duction in its overseas installations, leaving a net increase of As indicated above the reductions in the on-duty strength in the foreign field stations came largely in and the Far East. Increases in DD/P departmental offices were made chiefly in FI, 2/ CI, TSS, and IO Divisions.? Despite the emphasis in the DD/P area on rotation between headquarters and overseas, there were fewer staff employees on duty overseas at the end of the period than at the beginning. In the DD/I area a =increase in the departmental strength was offset by a decrease strength, leaving a net increase of 25X9 25X9 25X1A 25X1A 25X9 1/ Table 1, OP, Survey Task Force Black Book, 12 August 1954, SECRET, in files of OP, and personal statistics in Congressional Budgets, SECRET, Fiscal Year 1955 through 1958, in Records Center Jobs 2/ Ibid. Some of the area divisions increased in strength, both at headquarters and in the field, i.e., NEA and WH. 25X1A 142 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X9 25X9 25X1A 25X9 awl Approved For Release 2001/%3/96d slViDP90-00708R000300090001-7 During the period the total number of military personnel detailed to the Agency declined during the calendar year 1953 then it rose gradually but it never reached the there were January 31, 1954, original level. As of December 31, 1952 military personnel on duty, as of and as of December 31, 1956, Declines in the military personnel assigned to the DD/P and DD/S departmental areas were offset to some extent by increases in military personnel assigned to 0/DCI and 0/DD/S in installations. Military strength in DD/P overseas installations remained at slightly over Pay Policies, Supergrades The average GS grade of CIA staff personnel was 8.0 as of December 31, 1952, and 8.9 as of December 31, 2/ 1956.? In terms of the distribution of GS grades, this increase in the average grade was the result of two factors. One was the increase in the proportion of 1/ Ibid. 2/ See Table 2. 143 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/0R/Ci6 glAERpP90-00708R000300090001-7 staff personnel holding grades GS-13-18 and the other am+ was the decrease in the proportion holding grades GS- 01-06. The proportion of those holding grades GS-07-12 remained constant during the period for the Agency as 1/ a whole. As compared with the average grade of all Federal employees, which rose from GS-5.6 to GS-6.0 during the period, the average grade of CIA employees was high. On the other hand, when the Foreign Service staffs of the United States Information Agency were converted to GS grades, the average of USIA was higher than that of 2/ CIA for the calendar year 1956.? For the calendar year 1953 the average grade of the Civil Aeronautics Agency was higher than that of CIA but after this year the average grade of CIA forged ahead. When the Department 1/ An analysis of the grade distribution of men and women shows that there were compensating trends. The proportion of men in GS-07-12 grades declined (from 63.5 per cent to 58.8 per cent) and the pro- portion of women these grades rose (from 32.6 per cent to 39.3 per cent.) When the two were combined the ratio of total employees in these grades re- mained the same for both dates. 2/ OP, Salary and Wage Division, Average Grade Trend in CIA, Federal Government and Selected Agencies, 1951-1957, furnished to HS 8 June 1959, SECRET. erg 144 -? SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mei sol Approved For Release 2001/0R/OE6 ?CrItAiRIF90-00708R000300090001-7 of State Foreign Service staffs were converted to GS grades, the Department of State average grade was higher in 1953 but lower in 1956 than CIA's average- grade. As compared with the average grade of Atomic Energy Commission and Federal Bureau of Investigation, the average CIA grade was higher and showed a sharper 1/ increase throughout the period. The Bureau of the Budget was concerned during the period with the increasing average grade of CIA em- 2/ ployees.? Toward the end of the period a general Budget Circular stated positively: "The estimates will not provide increases in appropriations or other funds 3/ to cover within-grade salary advances."? In connection with the hearings on the CIA Estimates for Fiscal Year 1957 held in October 1955, the Bureau of the Budget suggested a decrease in the average grade. The Office 1/ Ibid. 2/ Comptroller, 1955 Bureau of the Budget Submission Material, SECRET, in Records Center Job Question 7 in Hearings of 20 October 1953. 3/ Section 3-H, Budget Circular No. A-11 (in re. FY 1958), ca. 1956. 145 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A NNW MN. Approved For Release 2001/01/0p :cCifk-F13p90-00708R000300090001-7 of the Comptroller pointed out to the DD/S that it would be impractical to reduce the grades of employees in or- der to meet the proposed cuts. The increase in average 1/ grade was connected with high priority activities. The highest positions in the Agency, the supergrades which included GS-16, 17, and 18, were under special rules during the period. As of December 31, 1952, the DCI himself was the final approving authority for the 2/ establishment of positions at the supergrade level. In January 1954 the DCI issued a regulation which es- tablished a Supergrade Review Board to review and rec- ommend to him the disposition of all actions affecting individuals assigned to or recommended for assignment 3/ to positions in the supergrade category.? The Board 1/ Memorandum for DD/S from Acting Comptroller, 21 November 1955, Proposed Budgetary Allowance for FY 1957, SECRET, in Congressional Budget Material-FY 1957, in Records Center Job 58-437. CIA issued a notice on this subject later. See CIA 25X1A 1111111 26 February 1959, Career Service Average Grade, SECRET, in Records Center. 25X1A 2/ CIA 4 February 1952 and1====, 25X1A 27 May 1952, SECRET, in Records Center. 3/ CIAIIMIRIFMMMM18 January 1954 and 23 February , Supergrade Review Board, SECRET, in Records Center. 146 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A 4E111 Approved For Release 2001/93: clik-IpP90-00708R000300090001-7 was composed of DDCI, Chairman, DD/A, DD/I, DD/P, AD/P, AD/C, and DTR, members, and D/S, C/MedS, and IG, non- voting advisers. A year later the AD/C and DTR were 1/ left off of this Board. The Position Evaluation Division of the Office of Personnel assisted the Director of Personnel in preparing the requirements for supergrade positions to be recom- mended to the Supergrade Review Board, which reviewed these position descriptions and finally approved them. The supergrade system was periodically overhauled by the Director of Personnel working with the Deputy Directors who furnished facts regarding the organization, the tasks to be done, and the qualities of persons needed to fill the positions. During the period the supergrade position structure of CIA was revised several times. In the spring of 1954 the Supergrade Review Board recommended 1.40 per cent as a reasonable rate for CIA supergrade positions on the basis of comparisons made with the Department of State, 1/ CIA 7 March 1955, Super- grade Positions, SECRET, in Records Center. 147 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved For Release 2001/R3n :IFIf-gDP90-00708R000300090001-7 the Atomic Energy Commission and the Federal Civil 1/ Defense Administration.? A survey made in 1955 con- cluded that the composite supergrade ratio of the De- partment of State, Foreign Operations Administration, Atomic Energy Commission, and U.S. Information Agency provided a sound and defensible basis for establishing and periodically adjusting the CIA supergrade authori- 2/ zation.? For purposes of external Agency comparison, all full-time positions with authorized salary levels equivalent to or above the base of the GS-16 grade level were included, regradless of the type of author- ity for the rate. As of March 31, 1955 CIA had only 0.88 per cent of its employees in supergrade positions as compared with the Department of State which had nearly 2 per cent of its employees in such positions. The Director concurred with the recommendation that the 1/ Summary of Review Board's Recommendations on the Supergrade Position Structure of CIA, in 1955 Bu- reau of the Budget Submission Material, not dated but filed in May 1954 documents, SECRET, in Re- cords Center Job 58-436. 2/ Memorandum for DCI from DD/S, 12 May 1955, CIA Supergrade Structure, SECRET, in 0/DCl/ER, in DD/S 1955-1956 file. 148 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03Aq :plk-piP90-00708R000300090001-7 CIA supergrade ceiling should be established at 1/ positions.? The number of CIA employees holding supergrade p0- sitions increased from as of December 31, 1952 to 2/ as of December 31, 1956.? Whereas the number of all staff employees increased only 1. per cent during the period, the number of employees in supergrades increased 25X1A Illiper cent. The concepts which controlled the administration of supergrade positions were formulated at the beginning of the period. In the assignment or promotion of Agency officials who were compensated at supergrade levels, the results of position analysis and evaluation were advisory rather than controlling. This was corollary to the prin- ciple that supergrade rank was in the person, and that supergrade individuals were subject to assignment in any capacity where they were needed and for which they possessed the required qualifications. The policy was 1/ Ibid. The CIA Congressional Budget Fiscal Year 1958, 1 February 1957, SECRET, budgeted uper- 25X9 grade positions for Fiscal Year 1957 an for Fiscal Year 1958, Records Center Job 59-419. 25X9 25X9 25X9 25X1A 2/ See Table 4. 149 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mai Approved For Release 2oo1(opq6 itCSIRDP90-00708R000300090001-7 to choose individuals for supergrade positions who had the qualifications for exercising executive or special- ized responsibilities within the framework of the 1/ Agency's mission. 1/ Office of Personnel, Concepts Controlling Admini- stration of Supergrade Compensation in CIA, CON- FIDENTIAL, furnished 0/DCl/HS on 21 January 1960. 150 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET Aim CIA SUPPORT FUNCTIONS: ORGANIZATION AND ACCOMPLISHMENTS OF THE DDA/DDS GROUP, 1953-1956 by DCl/HS CHAPTER III. MANPOWER 25X1A 1/ B. CAREER SERVICE PROGRAM 1953-1956? .w 1. Objectives The development of a corps of well-qualified in- telligence personnel who sought to make a career of im Agency employment was officially expressed by General 2/ Smith early in 1951.? During the balance of his ad- 3/ ministration of CIA? and during the first four years of the Dulles administration, officials from all parts of the Agency participated in intensive efforts to de- velop a realistic program for selecting, developing and appropriately rewarding members of such a corps. 1/ This chapter was drafted by in Nov. 1959. 25X1A dig 2/ Director of Training, A Program for the Establish- ment of a Career Corps in the Central Intelligence Agency, 7 August 1951, SECRET, in Records Center gni Job 58-166. 3/ Memorandum for DCI from Chairman, Career Service Committee, Final Report of the Career Service Committee, 11 June 1952, SECRET, in Records Center Job 58-166. wig 151 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET The activities of the CIA Career Service Board, estab- lished in June 1952, and of component Career Service Boards stimulated the interest of Key officials in per- sonnel management and provided a means for ironing out 1/ personnel policy issues at the Agency level.? "'" On August 3, 1954, the CIA Career Conference, ".? called by the Career Council, successor on July 1, 1954, to the Career Service Board, was convened for the pur- pose of discussing the recommendations of the Board and its task forces. The Conference was attended by the Director and the Deputy Director of Central Intelligence, "" the CIA Career Council and over 600 supervisors of the Agency. The new regulations on the career staff, career development of junior personnel, fitness report, promo- tion, rotation, and career benefits were fully explained. At this Career Service Conference Mr. Dulles re- affirmed his strong belief in the desirability of a career service which would furnish assurances of con- tinuity, job satisfaction, and advancement. He also stressed the vital role of supervisors in making the 1/ Staff assistance to the various Career Service Boards and Panels was furnished by Planning Officers of the Office of Personnel. See below, p.177. wal 152 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/y/p6d gli-RIDP90-00708R000300090001-7 career service a success, especially their responsibil- ity for the proper selection, utilization, and promo- 1/ tion of personnel. At the Bureau of the Budget hearings on October 27, 1954, General Cabell made the following statement summarizing the features of the CIA Career Service Program: . . . The problem of a career service has been under study for about three years and it was officially started on August 3. Basically the employee states that he intends to make a car- eer of service with the Agency and agrees to serve anywhere and at any time for any kind of duty as determined by the Agency. The Agency commits itself to give full consideration to the employees particular capabilities, interests, and personal circumstances. Under the program the employee is assured a reassignment after his return from an overseas assignment provided his service has been satisfactory. Preferential consideration will be given career employees in special training and in filling vacancies by promotion. It is planned to develop junior personnel, through overseas rotation and special training, into a hard corps of highly competent employees who will assure competent direction of the Agency in the future. Studies are now being made of possible improvements in our career program which may require legislative authori- zation. These include special medical benefits, educational allowances, a more liberal retirement program, and certain home leave benefits for air 1/ CIA 3 September 1954, Summary of Information Presented at CIA Career Conference, 3 August 1954, SECRET, in Records Center. owl 153 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A rot allg Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET employees who have served long periods of time outside the continental limits of the United States . . . The development of a strong career service is considered essential to the long term objective of establishing a highly trained, competent, and dedicated staff which can most effectively carry out the Agency's mission with a minimum number of people.1/ In 1960, after some eight and a half years experi- ence with various career service plans, the Inspector General indicated that he regarded the chief purposes of a career service in CIA to be: (1) A means to ad- vance Intelligence as a profession, (2) a means to assure the selection of capable young people, and (3) a means to train and prepare the right individuals 2/ for top jobs for both the present and the future. During the first four years of the Dulles admin- istration of CIA progress toward the purposes mentioned above was made along several lines. The development of some two dozen Office Career Service Boards, the estab- lishment of the Career Staff for the Agency as a whole, improvements in the technical services and advice rendered air 1/ Statement of General Cabell at Bureau of the Budget Hearings October 27, 1954, SECRET, in Office of Comp- troller, 1956 Bureau of the Budget Hearings Material, in Records Center Job 58-436. 2/ Memorandum for DCI from IG, 29 January 1960, subject: Inspector General Survey-Office of Personnel; Career Service Program. 154 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/s0r6 :R9t-FDP90-00708R000300090001-7 by the Office of Personnel and other units of the Agency concerned with personnel functions, the con- tinued expansion of the Junior Officer Trainee Program administered by the Office of Training, and improve- ment in personnel management policies in the fields of recruitment and personnel utilization -- all of these developments contributed substantially to the advancement of the career service program. 2. Career Services At the beginning of 1953 the CIA Career Service Program was controlled by the CIA Career Service Board which consisted of the Deputy Director (Administration), chairman, the Deputy Director (Plans), the Deputy Director (Intelligence), the Assistant Director (Per- sonnel), the Director of Training and, on a rotating basis, two Assistant Directors. This Board was respon- sible for developing policy governing the Career Service Program and for supervising the functioning of (Office) Career Service Boards which were located in each of the major Offices and units of CIA and were responsible to their respective Assistant Directors or Office heads SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A 25X1A 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET 1/ for the operation of the Career Service Program. During the following four years there were changes in the composition of the CIA Career Service Board, the Board itself was replaced by CIA Career Council in 1954, and the Office Boards were changed to fit new organizational patterns. The Inspector General, Mr. Lyman B. Kirkpatrick, became the Chairman of the Board in place of Mr. Walter Reid Wolf, Deputy Director 2/ (Administration) on April 24, 1953.? Mr. Kirkpatrick served as chairman until the Board was replaced by the Council on June 25, 1954 at which time the Assistant Director for Personnel was made the Chairman of the 3/ new Council.? At the time that the council was 1/ CIA 19 June 1952, SECRET, in Records Center, indicated the approval by DCI of the Final Re- port of the Career Service Committee, 11 June 1952, SECRET. At that time the (Office) Career Service Boards were established in OSO, OPC, OC, 00, ORR, OCD, OCI, OSI, ONE OTR TSS PO MO GSO, I&SO, PSO, AND CO. CIA 25 May 1953, SECRET, in Records Center. 2/ CIA Records Center. 24 April 1953, SECRET, in 3/ CIA 25 June 1954, The CIA Career Council and the Career Services, SECRET, in Records Center, revised 25 June 1955 and 15 Decem- ber 1955. 156 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mai 25X1A Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 SECRET created there were established some sixteen Career 1/ Services,? but these were reduced in December 1955 to five Career Services four of which has subordinate 2/ Boards or Panels. In order to fix responsibility for the career plan- ning of Agency personnel, all career employees, defined as Staff Empll'es and Staff Agents, were given "career designations."? The initial career designation was predicated on the placement of career employees under the Office Career Service Board which corresponded to the type of work officially assigned. Any career em- ployee could request a change in his career designa- tion. Such a request had to be approved by the Career Service Board concerned. The Assistant Director 1/ Training, Communications, Personnel, Plans, Cleri- cal,(DD/P), Foreign Intelligence, Psychological and Paramilitary Operations, Technical Services, Intelligence Production, Collection and Dissemin- ation, Operations, Administration, Budget and Finance, Logistics, Medical, and Security. 2/ Clandestine Services, Intelligence Production, Op- erations, Collection and Dissemination, and Support. 15 December 1955, SECRET, in Records Center. 25X1A 3/ CIA 20 May 1953, Determination of Initial Career Designations, CONFIDENTIAL, in Records Center. 157 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 oil -s Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET (Personnel) was made responsible for assigning an ap- propriate career designation for each new staff employee entering on duty. A two year tour of duty with another component would not ordinarily affect a staff employee's career designation. Thus, a Clandestine Services op- erations officer with Foreign Intelligence as his career designation might serve with the Office of Training for two years without any change in his career designation. The career service mechanism started with the op- erating components and the Career Service Boards. Supervisors recommended a promotion, a transfer, a termination, a training assignment, an award and this action was reviewed by the career service system in order to insure that the decision took into consid- eration office-wide and Agency-wide considerations. In January 1954, the Inspector General told the DCI that the Office Career Service Boards had "func- tioned with varying degrees of effectiveness and auth- ority," that some were "purely advisory" and that others had more influence, that they concerned them- selves largely with matters of promotion, transfers, -di etc. -- personnel actions previously handled on a amt 158 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mi the new services - the Intelligence Career Service - would be limited to "the hard core of professional in- telligence officers." In defense of the system as it had existed, the DD/S said that the Career Service had by no means been a failure, and several important accomplishments should be at least partially attributed to this system. He thought that the program had done much to bring line 1/ OTR's History, 1950-1953, prepared in 1955 for HS, SECRET, p. 33, citing Memorandum to DCI from IG, 26 January 1954, Career Service Program. 2/ Memorandum for DCI from IG, 29 January 1960, Subject: Inspector General Survey-Office of Personnel; Career Service Program. Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET routine basis by executive action of the individual offices, and that they had continued office nationalism 1/ and done nothing to further making CIA a career. In a study of the Career Service Program made six years later, the IG was again critical of the Office 2/ Career Service Boards and Panels.? He recommended that the existing twenty-six services should be changed to five services which would be divided along occupa- tional lines (Administration, Clerical, Technician, Specialist, Intelligence, and possibly a Communications Service separate from the rest.) Membership in one of .0111 amolf 159 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET management to face up to its responsibilities in the 1/ field of personnel management. 3. Career Staff The creation of the Career Staff on July 1, 1954 introduced a new and basic concept 2/ personnel administration of CIA. been various personnel programs in in the long range Whereas there had the Agency before this, notable among which was the Career Service Pro- gram that had been in effect since July 13, 1952, there had never before been a service to which an individual could belong. The Career Staff was defined as a group of carefully selected and trained individuals who ac- cepted an obligation to devote themselves to the needs of the Agency, and who intended to make a career with the Agency. The idea of an elite corps was rejected, and every staff employee or staff agent, regardless of 1/ Memorandum for DCI from DD/S, 19 May 1960, Response to Inspector General's Survey on Career Service, CONFIDENTIAL. 2/ CIA 11111...... June 25, 1954, The Career Staff of the Central Intelligence Agency, SECRET, in Records Center, Change 1, dated 8 September 1955 and revision dated 6 December 1955, SECRET, in Records Center. Application for Membership in the Career Staff of the Central Intelligence Agency form was Attachment A of the Regulation. 160 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 411116 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET grade, could apply. Consideration for selection into the Career Staff was based upon voluntary application by personnel who had completed the provisional period of three years of satisfactory service with the Agency. The application form indicated that the applicant accepted the obligation to serve anywhere and at any time and for any kind of duty as determined by the needs of CIA and it assured him that, full consideration would be given to his particular capabilities, interests and personal circumstances, that just and equitable atten- tion would be given to his personal progress, and that reassignment compatible with his abilities and career interests would be offered to him on his satisfactory completion of any assignment. The system was based upon mutual assurances, on the part of the Agency as well as of the individual, of good faith, intent and purpose, rather than on specific and binding legalistic or contractual matters. The so- called "benefits," therefore, were largely intangible and demonstrable only over a period of time, rather than being guarrantees of any specific promotion, 161 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET 1/ advancement, assignment or development action.? An employee who failed to become a member of the Career Staff would lose out on certain opportunities. He would not be eligible for certain awards such as the language awards, he could not be selected for one of the major war colleges, and he would endanger his op- portunities for rotation and promotion. Since the system was based on the assumption that each staff employee who had been with the Agency for three years was a potentially suitable member of the Career Staff, the selection criteria were negative and were designed to seek out reasons why an individual should not be granted membership. Procedures were developed to review the record of each candidate in order to make sure that the assumption about his suit- ability was correct. The candidate's supervisor, the Head of his Career Service, the Career Board, the Ex- amining Panel, and finally the CIA Selection Board which consisted of nine top officials including the Assistant 1/ Office of Personnel, Selection Staff Report on Pro- _ grams and Program Plans, 1 July 1954-30 June 1955, SECRET, in OP files. 162 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001R/116 iCEIAIRDP90-00708R000300090001-7 Director for Personnel reviewed the candidates record. Members of the Panel of Examiners were appointed by the Director of Central Intelligence from among the members of ? the Career Staff, GS-14 and above, nominated by the Heads of Career Services and recommended by the CIA Selection mei Board. An examining panel consisted of three voting examiners selected by the Executive Director of the CIA 1/ Selection Board.? Information concerning the work per- formance, conduct or status of applicants was obtained from the following seven Offices of Record: Office of Personnel, Office of Security, Office of Training, Medical Staff, Office of the Comptroller, the Inspector General, ..N and Inspection and Review Staff. 25X9 During the first ten months that the Career Staff system was in effect overillillitaff employees and staff 25X9 agents applied for membership. As of April 27, 1955 some applications had been accepted and a ceremony was held on that date inaugurating the CIA Career Staff. At this ceremony the Director said that he could not think owl of any job that would give a man or woman a better opportunity to exercise all his talents, his abilities, 25X1A 1/ CIA 25 June 1954, loc. cit. 163 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET his ingenuity, than intelligence work. He added: I don't know any line of work where a Career Service is more needed than it is in intelligence. It is only through training, it is only through experience, it is only through trial and error--and we all make .0 mistakes--that one can build up qualities and capa- bilities to do good intelligence work, and it is needed all the way down the line. The person who is working in filing is just as important, in many ways, as the person who is reaching the top decisions. If you don't have your papers before you to make those decisions, you don't make the right decision, and if they don't get there quickly you miss opportunities. So I want to tell each one of you, no matter what your particular job may be, that it is vital to the entire teamwork of the Agency. That is why we have this Career Staff right across the board, and we are not sectionalizing it in different departments or sections of the Agency. It is one career, with various facets, whether one is in the estimating side of the work or whether one is in the intelligence gathering side of the work, analyzing side, administrative side--it is all one work, awl one career, and one great opportunity to do service for the Government.1/ Applications for membership in the Career Staff were ININd accepted, deferred, or denied by the CIA Selection Board. Those that were deferred were reconsidered every six months until a decision was reached. As of December 31, 1956, 25X9 some on duty personnel had become eligible to apply. Only 4.3 per cent had not returned their applications as 25X1A 1/ CIA June 10, 1955, The Career Staff of the Central Intelligence Agency Ceremony Inaugurating the Career Staff, SECRET, in Records Center. 164 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET of that date. All candidates were given 90 days to return their signed applications or to prepare a re- ply indicating why they were declining to apply. If neither a signed application nor a declination was re- ceived, an entry was made that the candidate had fail- ed to return his application. Of thell'Illapplica- eta tions which had been considered by the CIA Selection Board as of December 31, 1956, were accepted, 147 smi were deferred, 58 were denied, and 14 declinations were 1/ accepted.? In other words, only were de- mi ferred or denied. About 16 percent of those deferred or denied resigned from the Agency. In 69 percent of the deferred or denied cases, the Board used per- formance criteria, in 14 percent habitual indebtedness, in 11 percent intent, in 5 percent security conscious- ness, in 4 percent inter-personal relations, in 2 per- cent financial irresponsibility with Government funds, 2/ and it used other criteria applying to individual cases. 1/ Office of Personnel, Selection Staff, Statistical ..1 Report on Membership in CIA Career Staff as of 31 December 1956, SECRET, in OP files. sir awl 2/ Office of Personnel, Selection Staff, Analysis by Grade and Selection Criteria of All Deferred or Denied Cases as of 31 December 1956, SECRET in OP files. 165 SECRET Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 25X9 25X9 25X9 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET dig issued in 1960 indicated clearly that the idea of a The Inspector General's Survey on Career Service mol monl Career Staff had been disappointing. The Survey recom- mended that the Selection Board and the Examining Panels be discontinued and that the selection of individuals into the Career Staff become the responsibility of the Heads of Career Services. The DD/S concurred in this 1/ recommendation 4. Personnel Management Advice and Services a. Responsibilities During the period the Office of Personnel con- tinued to be responsible for professional and technical advice to the Director and to operating officials on personnel matters. It provided centralized personnel services, as appropriate, and monitored the Agency's 2/ personnel program on behalf of the Director.? Op- erating supervisors, on the other hand, were respon- sible for day-to-day personnel management activities 1/ Memorandum for DCI from DD/S, 19 May 1960, Response to Inspector General's Survey on Career Service, CONFIDENTIAL. 2/ CIA 3 June 1953, Personnel Policy, SECRET and Office of Personnel, Survey Task Black Book, 7 February 1955, SECRET in OP files. 166 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET in connection with the accomplishment of their missions. The philosophy of career service expressed by the DD/S placed heavy emphasis upon line management and the care- ful selection and training of supervisors and managers)" Outside the Office of Personnel, a number of offices continued to exercise responsibility for specific per- sonnel management functions. The Chief, Medical Staff provided professional medical and psychiatric services pertinent to determinations as to physical and emotional suitability of applicants for staff positions and staff personnel. The Director of Security on the basis of record checks, field investigations and polygraph tests made final reports of ent to gated. the security determinations and also included in security investigations information suitability of the individual being The Director of Training took over the pertin- investi- testing activities of the Office of Personnel, conducted all the Agency psychological testing programs and provided psychological evaluations exclusive of those contained 1/ Memorandum for DCI from DD/S,19 May 1960 Response to Inspector General's Survey on Career Service, CONFIDENTIAL. 167 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/83ft :plf-qDP90-00708R000300090001-7 1/ within the medical program.? It also conducted the imp Junior Officer Trainee Program including recruitment and placement. Budgetary manpower control functions were exercised by the Comptroller's Office. Position evaluation and review of tables of organization func- tions were performed by the Management Staff. The Inspector General heard complaints of employees on a confidential basis. All of the above officers charged with personnel management responsibilities, except the Inspector General, were after February 1955, under the ami supervision of the DD/S who endeavored to harmonize their activities.- 2/ b. Office of Personnel 411111i The Director of Personnel continued to be respon- sible for representing the Agency on personnel matters which involved the U.S. Civil Service Commission, the Selective Service System, the Department of State, the Department of Defense and other agencies. The Agency's .01 1/ Ibid. 2/ CIA 3 February 1955, Organization and Functions, Central Intelligence Agency, SECRET, in Records Center. 168 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved ForRelease2001/03/06 : CI6t7RDP90-00708R000300090001-7 sEcRET contacts with the Civil Service Commission were limited, being confined to such things as participation in the government-wide retirement system, observation of the requirements of the Veterans Preference Act in adverse actions against employees, the President's insurance program, and similar matters in which the Agency was not 1 specifically exempted from the laws and regulations.? The Office of Personnel conducted negotiations with the Department of State and the Department of Defense regarding the detail of personnel to CIA from those agencies. Continued stress was placed on the service aspects of the work of the Office of Personnel. In his ten- point program for improving CIA's personnel management, the IG recommended in 1955: Make "Service" the slogan of the Personnel Office, and see that every individual in that Office understands and acts accord- ingly. The Personnel Office should be advised that its mission is to do what CIA wants done in the Personnel field even though it does not coincide with Civil Service Practices.2/ 1// Memorandum for DCI from DP, 18 April 1955, Subject: Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DC1/ER, in Personnel 1955 file. 2/ Memorandum for DCI from IG, 25 February 1955, Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. 169 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 410111 Approved For Release 2001M/OC6 itCARDP90-00708R000300090001-7 In commenting on this recommendation, the Director of Personnel indicated to the DCI that he agreed with the principle and fact that the Office of Personnel existed solely to give service to the primary mission of the Agency. Staff members of the Office of Personnel had been informed repeatedly that they were in a fluid program rather than one rigidly controlled by statutes and that effectiveness depended on reaching common 1/ understanding with operating officials.? The DD/P commented that this point no longer seemed of over- whelming significance, and that in many respects, part- icularly in overseas processing, the Office of Personnel 2/ was demonstrating an outstanding sense of service. (1) Location of Office of Personnel During the period a year's experiment was made of changing the location of the Office of Personnel in the 1/ Memorandum for DCI from Director of Personnel, dated 18 April 1955, Subject: Ten Ways for Improving CIA's Per- sonnel Management; Reference: Memorandum for DCI from IG, 25 February 1955, same subject, SECRET, in 0/DCl/ER. 2/ Memorandum for DCI from DD/P, 5 April 1955, Subject: Memorandum from the IG, "Ten Ways for Improving CIA's Personnel Management," dated 25 February 1955, SECRET, in 0/DCl/ER. 170 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 god Approved For Release 2001p3L'?p :RCyk-,FDP90-00708R000300090001-7 general organization of the Agency. At the beginning of the period the Office was under the Deputy Director for Administration along with the Office of Security, the Comptroller's Office, and other offices concerned with management matters. In January 1954, it was placed in the Office of the Director where it remained for 1/ about a year.? Here it had a position which was parallel to the Office of Training which was also in 0/DCI. This shift of the Personnel Office to 0/DCI coincided with the appointment of Mr. Harrison G. Reynolds as Director of Personnel replacing Mr. George A. Meloon who had been Acting Director of Personnel. Mr. Reynolds was a busi- ness man who served in both World Wars and came into the Agency in 1947 The 25X1A Deputy Director, General Cabell, had urged the shift in the position of the Personnel Office since he hoped to 2/ give considerable personal attention to manpower problems: 1/ 18 January 1954, SECRET, 25X1A 18 January 1954, Organiza- tion and Functions, in Records Center. 2/ Memorandum for the Record, dated 8 October 1958, In- terview with Col. L. J. White, DD/S, 6 October 1958, Subject: History of DD/S, 1953-1956, SECRET, in 0/DCl/HS files. 171 SECRET Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 25X1A Approved For Release 2001/g3/26C: Ictll-FipP90-00708R000300090001-7 During 1954, the DCI and the DDCI found it diffi- cult to give the time to the Personnel Office that they had hoped to, so the DCI decided to shift the Office back to the Deputy Director for Administration and thus to concentrate responsibility for personnel matters in the Office that dealt with related matters. This was done by the same regulation which changed the name of DD/A to DD/S (Deputy Director for Support) and shifted the Office of Training and the Office of Communications 1/ as well from 0/DCI to DD/S.? The year's experiment had not worked out as expected. The three Assistant Directors, AD/P, AD/C, and DTR, had not been eligible to attend the Deputies meetings when they were located in 0/DCI. Under the new arrangement the DD/S kept them informed regarding what went on at the Deputies meetings. Another advantage was the ready access which DD/S had to DCI and DDCI. As far as the regular activities of the Office of Personnel were concerned, the shift to 0/DD/S 1/ CIA 3 February 1955, Organiza- tion and Functions, Central Intelligence Agency, SECRET, in Records Center. 172 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 all, 25X1A 41.0 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET caused no dislocations. The DD/S established a Special Support Assistant for Personnel to act as the link be- 1 tween OP and DD/P on personnel matters.? The new arrangement placed the question of the re- lationship between training and personnel management in the hands of DD/S. Early in 1956 the Inspector General in connection with a survey of the Junior Officer Train- ing Program recommended the consolidation of OTR and OP into one central Office of Personnel and Training headed by one director with functions. The DD/S took the position Program was only one small part of the of these two offices, and would not in the merger of a number of incompatible deputies for the two principal that the JOT total programs itself justify units and func- tions into one central office. He opposed the organ- izational change and recommended that steps be taken to ensure that closest possible collaboration on this 2/ Program took place between the two of CIA 16 February 1955, Office of Deputy Director for Support, SECRET, in Records Center. 2/ Memorandum for DCI from DD/S, 21 March 1956, Subject: Comments on Inspector General's Survey of the Junior Officer Training Program, CONFIDENTIAL, in 0/DCl/ER in DD/S 1955-1956 file. 173 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/Q6 : CIA-RDP90-00708R000300090001-7 SECRET (2) Organization of the Office of Personnel The main functions of the Office of Personnel re- mained unchanged during the years 1953 through 1956, but there were changes in the organization of the Office and in the names of the various sub-units. The princi- pal reorganization took place on September 1, 1953 and in comparison with the sweeping changes made on that 1/ date other reorganizations were minor.? In the begin- ning of 1953, the Office of Personnel provided support service to the Agency's operating offices in the areas of recruitment, placement, promotion, and termination through two divisions-the Personnel Division (Overt) and the Personnel Division (Covert). The former pro- vided assistance to the operating officers of the DD/I and the components of the DD/A and the assistant direc- tors for Training and Communications and the latter E.1 provided services to the DD/P. PDO and PDC assigned placement officers to each of the operating offices. For example, PDC placement officers dealt directly imd 1/ Personnel Director Memorandum No. 66-53, 20 August 1953, Personnel Office Reorganization and Move to New Location, SECRET, in OP. 174 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 dui Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET with their counterparts in the senior staffs and the 1 operating divisions of the Clandestine Services. There were also separate personnel relations branches and separate personnel records processing units for the overt and covert parts of the Agency. The reorganiza- tion of September 1953 put the Personnel Office on a functional basis and did away with the separation at divisional level between services rendered to the overt and covert portions of the Agency. PDO and PDC were abolished and most of their functions were transferred to the new Placement and Utilization Division. Under the new organization there were overt and covert branches for assignment activities as well as for procurement and position classification. In his immediate office, the Assistant Director for Personnel (renamed the Director of Personnel in 1955) had several key officers to assist him in personnel management planning and in the general direction of the office. Curiously enough, his chief assistant in 1/ Materials Furnished to Historical Staff by Office of Personnel, 30 January 1959, CONFIDENTIAL, in HS files. 175 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 IMO AIM mml Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 SECRET 1953 was called Personnel Director (PD). The name of the position was changed to Deputy Assistant Director for Personnel (DAD/P) in 1954 and to Deputy Director 1/ of Personnel (DD/Pers) in 1955.? As a carry over from the previous administration, Mr. George A. Meloon, pro- fessional personnel officer, held this position until September 1955, when he was replaced by 25X1A professional finance officer, who served through 25X1A 2/ the remainder of the period and beyond.? In 1954 the position of Executive Officer (EO) was established. (a) Planning Staff During the period, a planning staff, under various names, was responsible for planning and directing the development and coordination of recommendations con- cerning Agency personnel policy, Career Service program objectives, personnel standards and procedures, in- cluding the development of appropriate regulatory issu- ances. This staff was divided in the beginning of the period into a Research and Planning Staff and a Career Development Staff. The latter staff was concerned 1/ OP, Survey Task Force Black Book, 13 December 1954, SECRET, in OP and OP Memorandum No. 20-190-17, 15 June 1955, Assignments of Personnel, SECRET, in OP. 2/ Ibid. 176 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET primarily with giving staff support to the Career Ser- 1/ vice Board and its task forces.? The former staff con- ducted studies of personnel Office objectives, organ- ization, staffing, and operating procedures and prepared statistical reports on personnel developments. In order to bring similar functions together, these two staffs were combined into a single staff on August 1, 1953, which was first called the Research, Planning Development Staff and later called the Plans, 2/ and Development Staff. and career Research who had been Chief of the Career Development Staff was placed in charge of the combined staffs. In June 1954 he was replaced by and the name of the 3/ staff was changed to Planning and Analysis Staff.? In 25X1A 25X1A July 1954 the planning functions were again divided and 25X1A was placed in charge of the offshoot which was called the Career Service Staff whose chief function 1/ See above, p. 152. 2/ PD Memorandum No. 56-53, Personnel and Organizational Changes, 30 July 1953,- RESTRICTED, and PD Memorandum No. 66-53, Personnel Office Reorganization and Move to the New Location, 20 August 1953,- SECRET, in OP files. 3/ OP Memorandum No. 1-170-1, 10 June 1954, Functional Organization of the Office of Personnel, SECRET, in OP files. 177 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved For Release 2001ff0@ :144-VDP90-00708R000300090001-7 was to furnish staff support to the CIA Selection Board 1/ in the establishment of the Career Staff. By June 1955, the Career Staff activities had settled down and the planning staffs were once again combined and this time they were placed under as Deputy Director of Personnel for Planning and Development. Four Staff elements were put under his jurisdiction: Plans, Mobilization, Selection, and Development. Personnel mobilization planning was a new function which was concerned with assisting the Clandestine Services Planning Board in preparing personnel support 2/ annexes to cold war operations plans.? The Develop- ment Staff was also new and it was made responsible for monitoring career planning in the Agency and for 1/ OP, Survey Task Force Black Book, 13 December 1954, SECRET, in OP files. Establishment of this Staff was requested 9 July 1954, the need for it having become apparent in April 1954 when responsibilities for planning and activating the Career Staff for providing Secretariat support to the several Agency- wide Boards and organs concerned with career ser- vice were separated from the former Plans, Re- search and Development Staff and assigned to the Special Assistant for Career Service. 2/ Ibid. 178 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/0y6fi 9ArRDP90-00708R000300090001-7 administering the Junior and Senior Career Development 1/ programs.? The Selection Staff was a continuation of the Career Service Staff. Residual planning functions were performed by the Plans Staff. Continuity in staff support for career planning was furnished throughout the period by ho was connected in one 25X1A capacity or another with the various career planning bodies. (b) Personnel Records The reorganization of September 1, 1953 concen- trated in the new Processing and Records Division re- sponsibility for processing official personnel actions, for maintaining consolidated official records of Agency personnel activities including personnel actions, cor- respondence, applicant and employee files, and for op- erating a central processing service for personnel 2/ performing official travel. rag 1/ This involved the administering of 40 senior development positions which could be used for training purposes. These positions were transfered from OTR to OP in lag December 1954 and they were cancelled in fall of 1956. The Junior Career Development program was for promising young persons already on the staff on contrast to Junior Officer Trainees who were recruited from outside. 2/ See Office of Personnel Memorandum No. 1-170-1, 10 June 1954, Functional Organization of the Office of Personnel, SECRET, in OP. 179 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 red 40.0 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET Prior to this the processing and records activities had been carried on in three different components of OP. In June 1955, the name of the Division was changed to Records and Services Division and it acquired part of the employee services functions from the Former Employee 1/ Services Division. The workload of the Division was impressive dur- ing the period. The handling of the personnel records presented space, filing, and management problems. In 1957 the Official Personnel Folder File alone occupied some 823 cubic feet of file space (the equivalent of 2/ some 100 four-drawer filing cases.)? Every war the Division conducted about 30,000 briefings, processed 25X9 some personnel appointment actions, handled some 5,000 promotion actions, processed some 30,000 other personnel actions, filed some 150,000 pieces of 3/ material, and wrote and sent some 44,000 letters.- 1/ Office of Personnel Memorandum No. 20-190-17, 15 June 1955, Assignments of Personnel, SECRET, in OP files. 2/ Office of Personnel, Records Control Schedule No. 40-57, SECRET, in Records Center. 3/ Comptroller, Estimates for Fiscal Years 1956, 1957 and 1958, Bureau of the Budget Presentations, SECRET, in Records Center Jobs 58-436, 58-437, and 59-417. 180 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET The guarding of the use of personnel files was a matter of continuing concern during the period. In 1955 the Inspector General recommended: Place ironclad rules governing the use of personnel files. These should be avail- able to only a limited number of senior officials in the Agency; and allowed out of the Personnel Office for only a limited time (48 hours). Further, the Personnel Office should devote a major effort to developing one master personnel file on each employee in which all pertinent in- formation is placed. At present any em- ployee who wishes to tamper with his per- sonnel folder can do so with ease.1/ A number of steps ?were taken to carry out these recommendations during the next few years. The Direc- tor of Personnel first pointed out that "the 48-hour rule would not be susceptible to universal application without observing an inflexibility which they had long 2/ sought to remove wherever possible."? It was the con- sensus that five working days constituted a reasonable time for such files to be in the custody of designated individuals. The existing rule required that the Memorandum for DCI from IG, 25 February 1955, Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. 2/ Memorandum for DCI from DP, 18 April 1955, same subject: SECRET, in 0/DCl/ER. 181 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A MIL Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET individuals entitled to withdraw personnel files from the Office of Personnel be designated in writing by 1/ individual Agency components.? In 1955 the Office proposed that stricter rules be applied to access to official personnel files and together with the Manage- ment Staff it developed a pre-and-post-charge check system which helped determine as nearly as possible the 2/ person responsible for any tampering.? As for master personnel files, work continued on converting all per- sonnel files to a standard system, on placing papers in proper order and on searching out all papers which 3/ should be a matter of official record. During the period efforts were continued to im- prove the procedures for processing personnel actions. Joint study with the Management Staff resulted in a plan for making greater use of mechanical equipment in 1/ CIA Regulation No 2 March 1954, Personnel Records and Reports, SECRET, in Records Center. 2/ Memorandum for DCI from DP, 11 January 1956, Final Report on Ten Ways for Improving CIA's Personnel Management, SECRET, in OP files. 3/ Memorandum for DCI from DP, 18 April 1955, loc. cit. 182 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001101/06 itCIAIRDP90-00708R000300090001-7 this process. Programmatic Flexowriters were adopted to cut tapes for automatic reproduction of standard information on requests for personnel actions and noti- fications of personnel actions, with the use of a con- verter device, to provide for automatic punching of this information into standard IBM cards used for per- 1/ sonnel statistical purposes. (c) Staffing the Office of Personnel While the Office of Personnel was not bound by the Civil Service Commission in recruiting its own staff, in practice it tended to recruit personnel ex- perts who had had experience under Civil Service rules and who were prone to think in terms of those rules. One of the staffing problems of the Office of Personnel was to broaden the background of its own employees. The Inspector General recommended in 1955 that the principle of rotation be applied vigorously to the staff of the Office of Personnel: 1/ Comptroller, Estimate of Requirements Fiscal Year 1958, dated 30 September 1956, Bureau of the Budget Presentation , SECRET, in Records Center Job 59-417. 183 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mai Approved For Release 2oo13op :RCHRDP90-00708R000300090001-7 Get fresh blood into the Personnel Office in the form of experienced and respected officers from other parts of the Agency, particularly DD/P. To do this give DD/S and D/Personnel the right to select ten GS-13 to GS-15's from other offices and place them in key Office of Personnel jobs on a career rotation basis. Simultaneously, place the Office of Personnel people elsewhere in the Agency where they will obtain broadening experience.1/ The Director of Personnel agreed that cross- fertilization was a must in personnel management as well as in any comparable business. He stated that the Office of Personnel had added to its staff experienced people from DD/P headquarters and from overseas stations.V During the period slow but steady progress was made in implementing the policy for interchanging personnel be- tween the Office of Personnel and operating components.- 3/ One of the problems which the Office of Personnel faced in trying to rotate its key people was the lack of high- level personnel management positions overseas. 1/ Memorandum for DCI from IG, dated 25 February 1955, Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. 2/ Memorandum for DCI from DP, dated 18 April 1955, same subject, SECRET, in 0/DCl/ER. 3/ Office of Personnel, Materials Furnished HS 21 January 1960, CONFIDENTIAL, in 0/DCl/HS files. 184 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 MIN Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET In 1953, the Inspector General called attention to the size of the staff of the Personnel Office in re- lation to the total number of staff employees. He made the following comment: Using the figure of staff employees, this represented one person in the Personnel Office for every"' staff employees . . . This represents an extremely high proportion when the Independent Offices Appropriations Act in recent years has stipulated that there be one person in Personnel for every em- ployees.1/ The Director of Personnel pointed out that the Agency required personnel specialists to perform func- tions which were not required in all Federal agencies and which would be excluded by the Bureau of the Budget 2/ in computing ratios.? For example, contracting, special recruitment, testing and central processing functions and overseas personnel administration would not be required in most other agencies. The figure 1/ Memorandum for DCI from PD, 15 January 1954, Inspec- tor General's Report on the Personnel Office, SECRET, in Records Center Job 57-596, cites the IG's Survey of the Personnel Office, dated 30 November 1953. The 25X9 IG used the figure 'or the Personnel Office. This included civilian and military personnel on duty. The 25X9 size of the Personnel Office fluctuated during the period from As of 31 January 1957, there were on duty civilians and 47 military personnel. 25X9 25X9 25X9 25X9 25X9 2/ Ibid. 185 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/g3r& FIO-RDP90-00708R000300090001-7 did not include contract personnel, special projects personnel, military personnel, and employees of propri- etary organizations. Also, it was generally recognized that more personnel specialists were required in a new and growing organization in which basic personnel policy was being determined than would be needed in an estab- lished organization operating under the authority and guidance of the Civil Service Commission. In the re- port for Fiscal Year 1954, prepared according to instructions from the Bureau of the Budget, the Agency's 1/ ratio was 1 to or practically the standard ratio. 5. CIA Recruitment Policies and Practices At the beginning of the period the Agency had to change over from an expansion-geared recruitment program to one based almost exclusively on replacement of attrition. Because of high turnover rates, the re- cruitment of technical communications and clerical per- sonnel continued at critical level both as to volume and urgency. 1/ Ibid. 186 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X1A umi Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET CIA continued to assert that it had to do its own recruiting because of the security nature of its were responsible for referring qualified candidates for professional, administrative, clerical vacancies. The psychologists operated mostly in Headquarters but they made arrangements for field examinations. The security investigators included personnel security officers who searched and analyzed records in Head- 25:::.:::1 A Responsibility for recruitment activities con- tinued to be divided. The Personnel Procurement Division 1/ Office of Comptroller, Draft of Opening Remarks of the Director to the House Appropriations Committee, 15 February 1956, SECRET, in Con- gressional Budget Material Fiscal Year 1957, in Records Center Job 58-437. 187 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET of the Office of Personnel was responsible for providing a program of overt and covert personnel procurement which included the development of recruitment sources and the procurement of qualified personnel to meet the 1/ Agency's staffing requirements.? The Office of Train- ing was responsible for all testing programs, including tests for evaluation of professional, administrative, and clerical prospects. It also worked out a joint program with the Office of Personnel for recruiting Junior Officer Trainees. The Medical Staff was respon- sible for determining the physical and mental fitness of applicants. All applicants had to pass a rigid phy- sical examination. Psychiatric examinations were given only in special cases where preliminary screening de- vices had identified neurotic tendencies. The function of the Medical Staff was to screen out persons who would not adjust to Agency needs. The Office of Sec- urity conducted the polygraph interviews and the field investigations in order to determine the applicant's 1/ For a short time, about three months, the Personnel Division (Covert) had a few contract recruiters. 188 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET suitability for employment from the standpoint of 1/ security.? Finally, the operating offices throughout the Agency continued to engage in recruiting activities of their own. In many cases, the initiative for finding candidates with the needed qualifications was taken by the Official who had the vacancy to fill and in all cases the final decision whether to go ahead with the recruitment process in a given case lay with that 2/ official. In July 1953 the DD/A took the initiative in bring- ing together three of the support offices concerned with Agency recruitment. He directed the Personnel, the Chief of the Medical Staff and the Director of Security to form a panel which would pool and coordi- nate marginal administrative information which each might develop in processing the case of any applicant 1/ CIA 13 December 1954, Appoint- 25X1A ments, Section I, 3. Security and Medical Approval, CONFIDENTIAL. 2/ A critical problem, according to DD/P, was that each recruitment had to be tied to a specific job. T/O's were so out of date that it was sheer accident if the man recruited against a particular slot filled the need that was greatest. Memorandum for DCI from DD/P, 5 April 1955, Subject: Memorandum from the IG, "Ten Ways for Improving CIA's Personnel Management," SECRET, in 0/DCl/ER. 189 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 rail dal Approved For Release 2001/03/R6 $1AiREDT90-00708R000300090001-7 for employment which by itself would be insufficient to result in a rejection under the employment standards for which each office had specific responsibility. By marginal administrative information was meant that which would raise a question as to the applicant's harmonious assimilation into the daily working life of the Agency. Bits of information regarding unpleasing habits or handicaps might furnish insufficient grounds for one office to base a rejection, but the combined information from the three offices might furnish sufficient grounds for such action. A panel of officials designated by =IN the three offices met once a week to discuss as much information as possible regarding marginal cases as ..? each office could furnish consistently with profession- al medical and security operating standards. All in- formation furnished was weighed and recommendations rod were made to the Personnel Office to hire or reject the applicant. The Director of Personnel had the final win word in such cases, subject to an appeal which a re- MOO 1/ questing component might make to the DD/S or the IG. 1/ Office of Security, Office of Security History (1953- 1956), 16 March 1960, SECRET, in 0/DCl/HS files. During Fiscal Year 1954, there were 171 panel cases, 190 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/%3/p6d %1A-PIDP90-00708R000300090001-7 The recruitment task of the Agency was revealed by the figures on applicants interviewed, applicants tested, security investigations initiated, and new employees 1/ entering on duty.? The Office of Personnel interviewed 25X9 between applicants each year. Data on number of interviews of applicants conducted by op- erating supervisors of other organizational components were not furnished to the Office of Personnel. The num- ber of applicants tested each year dropped from 25X9 in 1953 to1111111in 1955 and then rose slightly in 1956. The number of security investigations initiat- 25X9 ed varied from in 1956 and the num- ber of new employees entering on duty fluctuated down- ward from the peak of in 1953. In 1954 the number of new employees entering on duty was only but in 1955 and 1956 the number was within two or three hundred of 1953 high. During the period the number of inter- views of applicants was from six to ten times the number entering on duty in a given year. during Fiscal Year 1955, 282 such cases, and during Fiscal Year 1956, 396 such cases. Rejection was recommended in slightly over one half of the cases. 1/ Office of Personnel, Tables 8 and 5. 191 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 25X9 25X9 modal SIN 404 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET An analysis of the reasons for applicant cancella- tions is useful in trying to understand why so many applicants had to be screened in order to secure the number entering on duty each year. The most numerous of the reasons given each year for voluntary cancella- 1/ tions was "accepted another position."? Many of these applicants became impatient while waiting to hear from their security investigation by the Agency. The two reasons given most frequently for involuntary cancella- tion of applications were security disapproval and "office no longer interested." a. Assessment Services A tradition of long-standing, going back to the days of the Office of Strategic Services, supported the use of psychological tests and various evaluative techniques by CIA as aids to those responsible for personnel management, especially those responsible for 2/ recruiting.? To be sure assessment was used not only 1/ Office of Personnel, Table 9. 2/ OSS Assessment Staff, Assessment of Men: The Selec- tion of Personnel for the Office of Strategic Services, New York, Rinehart and Co., 1948. 192 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 owl WIN Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET to help supervisors and Career Service Boards in their recruitment but also in assignment, career planning, promotion, rotation, training, separation, and in other problems. While during the period the Office of Train- ing took over the testing programs from other parts of 1/ the Agency,? the collecting of administrative and per- sonality information and the conducting of polygraph interviews remained with the Office of Security, the conducting of psychiatric interviews remained with the Medical Staff, and the recruitment interview remained with the Office of Personnel. All of these services were supplemental to the work of the supervisor who had to decide whom he wanted to hire, and how he should fill out fitness reports. While the amount of infor- mation available on any single individual was consider- able, efforts to bring all of this information together in a form that would be most useful to those responsible for personnel actions were not successful during the 2/ period. 1/ OTR Notice No. 28-54, 1 December 1954, Reorganization of the Office of Training, SECRET, in OTR files, refers to Testing Services Branch of Assessment and Evaluation Staff, recently transferred from the Office of Personnel. 2/ Memorandum for DCI from IG, 20 April 1954, Survey of the Office of Training, SECRET, p. 25, in OTR files. 193 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 200143/96c: glik-RDP90-00708R000300090001-7 The purpose of the intensive assessment was to help determine the suitability of individuals for part- icular types of positions, especially those of a critical or sensitive nature. In 1953 intensive assessment in- volved two full days for the individual assessed, during which the individual took standard psychological written tests, projective tests, and situation tests, e.g., sem- inars and unrehearsed skits. During the Fiscal Year 1953 1/ some 400 of these intensive assessments were given.? DD/P and OTR were generally satisfied with the quality 2/ of the assessment product. During the next four years the Assessment and Eval- uation Staff of OTR developed a less time consuming assessment in addition to the intensive assessment. This was called the standard assessment and it involved the in- terpretation of test materials in the light of informa- tion furnished by supervisors. If the standard assess- ment did not answer all the questions, the supervisor 1/ OTR Survey of the Office of Training, August 1953, Activities, SECRET, in Records Center Job 56-403. 2/ Memorandum for DCI from IG, 20 April 1954, loc. cit., p. 21. 194 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET might then ask for an intensive assessment which followed the pattern described above. During the Fiscal Year 1956 the total number of individuals assessed by standard or 1/ by intensive methods was over 600.? The A & E Staff re- ceived referrals for assessments from all offices of the Agency. Intensive assessment was routine for Junior Officer Trainees. At the beginning of 1953, the testing of professional 2/ applicants was a rudimentary sort.? During the next four years the Assessment and Evaluation Staff developed a testing program aimed at producing information on a variety of intellectual skills, aptitudes, interests, and attitudes. At the end of the period, three professional testing batteries were in use: the Professional Appli- cant Test Battery, (PATB), the Professional Employee Test Battery, (PETB), and the Foreign Language Aptitude Test Battery, (FLATB.) A majority of professional applicants, including prospective Junior Officer Trainees, took the PATB which contained a rough measure of aptitude for 1/ CIA Estimate of Requirements Fiscal Year 1958, 30 Septem- ber 1956, Bureau of the Budget Presentation, SECRET, p. D-10-7, in Records Center Job 59-417. 2/ Memorandum for the Record, 21 November 1958, Interview with Chief, Assessment & Evalua- tion Staff, OTR, SECRET, in HS files. 195 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mud Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET learning a foreign language. The FLATB was given when a more precise measure was required by officials who were considering an individual for language training. The PETB was given to all professional employees. Those who were not tested as applicants (PATB) took the entire battery. Those who had received PATB within two years took only those tests which they had not taken previously. The PETB served as prerequisite for some OTR courses and it was also part of the assessment program. During the Fiscal Year 1953 some 800 individuals were given professional tests and during the Fiscal Year 1954 over twice that 1/ number During the period the methods of giving tests were improved The grading of tests was mechanized and the scores were put on IBM cards. This enabled the A & E Staff to standardize test results, to produce recrods quickly, and facilitated a program of evaluation of test- ing procedures. The A & E Staff continued research during the period on the validity of test results. It found that the PETB 1/ OTR Survey of the Office of Training, August 1953, Activities, SECRET, in Records Center Job 56-403, and CIA Estimate of Requirements Fiscal Year 1956, 15 September 1954, SECRET, in Records Center Job 58-436. 196 SECRET -? Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET had predictive value for performance in the Intelligence Orientation Course and that FLATB had predictive value on 1/ how well an individual would do in language training. The Staff tried to develop tests that could be used to predict performance in the operation course but it found validation much more difficult in this field since the ob- jectives of the operations courses were intangible and there were no standards to measure performance in the field. b. Recruitment of Junior Officer Trainees (JOT's) The origins of the Junior Officer Training Program (JOT) have been described in History of the Smith per- 2/ iod.? The program was initiated in 1950 by General Smith who recognized that the Agency needed a planned, systematic method to identify, select, and develop career intelligence officers of the highest calibre. He was convinced that a sound intelligence agency must be built 1/ Office of Training Bulletin, Number 44, November- December 1958, SECRET, pp. 10-11. 2/ Historical Staff, 0/DCI, Organizational History of Central Intelligence Agency, 1950-1953, 2 Chap. X, pp. 91-98, in HS files. 197 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET around key personnel who regarded intelligence as a career. Distinguished professors, outstanding military men, and leading experts would serve for brief periods but they soon went back to their fund- amental jobs. Part of this career management program was the effort to select exceptionally qualified, highly motivated young people some of whom might become the ones to hold the key positions later on. In 1956, looking back on the JOT Program, the Acting Director of Training stated the Program had three steps: (a) identification and selection of young people of high potential; (b) appropriate formal Agency training; and (c) "tailored" on-the-job training, calculated to de- velop their potential and interest in intelligence 1/ work. Of the three steps listed above the second clearly belonged to the Office of Training. The first and third steps required close cooperation between the Office of 1/ Memorandum for DDCI, from Acting D/TR, 19 March 1956, Subject; The Concept of the Junior Officer Training Program, CONFIDENTIAL in 0/DCl/ER "Training" file. 25X1A CIA 15 August 1956, SECRET, "Training, JOT Program," SECRET, in Records Center. 198 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET Training and the Office of Personnel. In his Survey of the Office of Training in 1954, the IG stated that there was certain questioning as to whether the JOT Program was properly placed in OTR rather than the Office of Per- 1/ sonnel.? The Director of Training had no doubts on this question. He contended that the administration of the Program belonged under OTR where all of the re- sources of this specialized Office could be brought to bear in the development of each individual's talents, that OTR should have full control of an responsibility for this training program since the JOT'S were hired to be trained and accepted employment with this understand- ing, and that there was no evidence that the product of the Program would be improved by a change in its admin- 2/ istrative control.? The Junior Officer Training Divi- sion was left in OTR during the period under discussion 3/ although the IG raised the question again in 1956.- 1/ Memorandum for DCI from Inspector General, Survey of the Office of Training, 20 April 1954, SECRET, in OTR files. 2/ Memorandum for DDCI from D/TR, 15 January 1954, Subject: Administration of the Junior Officer Training Division, SECRET, in HS files. 3/ Memorandum for DCI from DD/S, 21 March 1956, Subject: Comments on Inspector General's Survey of JOT Program, CONFIDENTIAL. 199 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 . 25X1A dri awl Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET acceptable. The Office of Personnel had no general re- quirement of this sort for all professional applicants. In any case, JOT candidates had to have college degrees. 2/ Over one-half of those selected had graduate degrees. In contrast to some other recruitment programs of the Agency, ?the candidates did not have to have professional or highly specialized degrees. They could not have for- eign relatives and since 1956 those with foreign-born 3/ parents were not eligible without a special waiver. They had to be medically approved for full duty and with- in the age limits of 21 and 35. This meant that they had to have eligibility for S. I. clearance and overseas employment. Additional qualities were also sought, such 1/ Robert D. Murphy, "Academic Training for the Foreign Service," Department of State Bulletin, Nov. 3 1958 XXXIX, pp. 690-'692. 2/ Women candidates were required to have M.A. degrees. ami 3/ See UP stories of 15 March and 20 March 1956 regard- 25X1A ing case of JOT dig 200 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 . mei rid gal Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET as: initial motivation for service, interest in and ability to get along with people, emotional stability as shown by psychiatric examination, personal and in- tellectual flexibility, qualities of leadership of one kind or another, objectivity, resiliency, ability to tolerate bureaucratic annoyances, vigor and drive, de- sire for hard work, the capacity to develop enthusiasm for this work and hence for career service, and other 1/ attributes of a first-rate individual.? It was recog- nized that no individual would have all qualities to a marked degree, but effort was made to determine highly developed or disqualifying characteristics of each can- didate. The recruiting of JOT's differed from that of FSO's in that the Agency could not advertise its recruiting program generally as did the Department of State. It was also felt that the Agency would meet its needs bet- ter by a program of spotting likely candidates than by 1/ CIA "Training," 15 August 1956, 25X1A SECRET, in Records Center, and Office of Training, Survey of the Office of Training, August 1953, Part II, Activities, Tab D, Junior Officer Training Program, SECRET, in Records Center, Job 56-403. 201 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mei mai 25X1A dri 01111 iall Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET a system which left the initiative to applicants. The identification of likely prospects was accomplished by professional recruiters of the Office of Personnel who by university consultants who were situated in some 43 key educational institutions, and by staff employees who had contacts with colleges and universities. The Agency university consultants, selected jointly by OTR and the Office of Personnel, had to be fully cleared 1/ and they operated under strict instructions.? A small number of persons walked into the Personnel Office and asked for applications. An examination of the colleges from which JOT's were selected shows that over 72 dif- ferent colleges from all parts of the United States were represented. 1/ See "A Brief Summation of the Factors and Events Leading to the Development of the Consultant Pro-, gram Generally Referred to as, 'University Consul- tant Contacts," in Memorandum to DDCI from D/TR, dig 15 January 1954, Subject: Administration of the Junior Officer Training Division, SECRET, in HS files. dis 2/ Office of Training, 5th Anniversary, SECRET. An examination of the map shows that some 27 percent came from Harvard, Princeton and Yale. There were more recruiters in the Northeast. An even higher proportion of the some two dozen women came from Vassar, Smith and Bryn Mawr. 202 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 wdmd ? sot rod rata arri ger mai amith did Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET In 1953 the selection procedure normally included some seven screenings which did not differ markedly from the recruitment procedures used for other professional personnel. The field recruiter made the first screening when he identified a subject for the program. An in- spection of the files by the Personnel Procurement Divi- sion of the Office of Personnel constituted the second screening. If the candidate passed this test, his files were next examined by an OTR Placement Officer. The fourth step was taken by the Chief, Junior Officer Train- ing Division, who decided whether or not the candidate would be interviewed and tested either in Washington or the field. The interview by the OTR Placement Officer and the psychological tests by the Assessment and Eval- uation Staff constituted the fifth screening which was more thorough than the corresponding testing of other applicants. A candidate whose test results and inter- view reports were favorable was then interviewed by the Chief, Junior Officer Training Division. If his decision was favorable, the Director of Training then made the 1/ final decision by signing off on the file.? 1/ Survey of Office of Training, August 1953, Part II, Activi- ties of Office of Training, SECRET, in Records Center Job 56-403. 203 SECRET Approved For Release 2001/03/06: CIA-R0P90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET During the first four years of the Dulles adminis- tration of the Agency the procedures for recruiting JOT's became more flexible and at the same time more refined. The psychological tests no longer had to wait for the fifth screening in Washington but arrangements were made to administer them at earlier steps in field locations convenient to candidates. This was done by setting uP a field Career Development Program which used the well 25X1A known commercial to adminis- 1/ ter tests which had been developed by A & E Staff. After the JOTP staff was expanded, additional screenings 2/ were made by the new Training Officers.? Promising candidates who passed the psychological tests were 1/ For two years the National Security Agency was used for this field testing but later the JOTP returned to the Federal Career Development Program. A can- didate could be tested within 2 weeks. 2/ In 1954 a JOTD Panel comprised of Chief/JOTD, Place- ment Officer/PUD, and Personnel Officer/OTR reviewed cases. See "Recruitment, Selection and Processing of junior Officer Trainee Candidates," Tab A, in Memorandum for DDCI from D/TR, 15 January 1954, Sub- ject: Administration of the Junior Officer Training Division, SECRET, in HS files. 204 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 &?111 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET brought to Washington for a pre-employment medical ex- amination, including a psychiatric examination to deter- mine emotional stability, and for further interviewing by the JOTP staff. At this time the Chief of JOTP ex- plained fully to the candidate what the Agency expected of him if he joined the Program. Another change which increased the flexibility of the Program was the initia- tion of security clearance before some of the other steps had been completed. If the screenings were favorable, the request for clearance would be confirmed. If unfav- orable, the request for clearance would be cancelled. In the fall of 1956 responsibility for all civilian personnel support for the JOTP was concentrated under one Personnel Officer working directly with the Program 1/ administrators.? The new position combined the Place- ment Officer function previously administered centrally in OP and the Personnel Officer function of OTR. In addition, several other responsibilities previously car- ried out by various Divisions in OP were taken over (Though administration of the tasks was not relocated in 1/ Information furnished to HS by OP, 30 January 1959, CONFIDENTIAL. 205 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 ash awl Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET all cases.) The JOTP Personnel Officer soon established contacts with the Medical Staff, the Office of Security, Cover Division, all elements of OP, and those elements of OTR providing a service function such as A & E Staff and OTR Processing Section. This new arrangement proved to be a much improved method for expediting the procedu- ral aspects of the Program. The JOT'S were broken down into two main groups: one which was not subject to the draft (veterans, 4-F's, and women), and the other which was draft-eligible. General Smith worked out an arrangement in 1951 with General Marshall, then Secretary of Defense, whereby the draft-eligible employees of the Agency would be taken into the various services, given basic training and OCS training and then returned to the Agency for training in intelligence as officers on detail for the 1/ remainder of their active duty commitment.? He be- lieved that the discipline and character necessary to 1/ Agreement signed 23 June 1951 and agreements by individual services at later dates. For procedures, see Survey of Office of Training, 1953, op. cit., and Memorandum for DCI from D/TR, 15 January 1954, Administration of JOTD, SECRET, in OTR files. 206 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 200 1/03 b9N,R9P90-00708R000300090001-7 make effective intelligence officers could not be de- rived from the normal academic background but could be developed only in military service. Originally candi- dates upon the successful completion of OCS were assign- ed directly to the Agency. The Director of Training felt that a tour of duty with troops was also essential so a minimum of six months of troop duty or one year of ship duty was incorporated into the program. In April 1954, the arrangement with the Navy was terminated 1/ because of differences over financial details. The Officer Candidate School Program arranged for draft-eligible JOT's presented some problems which were 2/ examined from time to time by the Inspector General. In 1953 the Program gained the reputation in some quar- ters for being a "cushy" substitute for the draft since a few recruiters had oversold it. This situation was 1/ The Navy wanted to be reimbursed for training ex- penses. This made the expense of the military train- ing too great. 2/ Memorandum for DCI from Inspector General, Survey of the Office of Training, 20 April 1954, SECRET, and Inspector General's Survey of thejunior Officer Training Program, 2 February 1956. 207 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET improved by the issuance of instructions to recruiters 1/ and by the requirement of longer military service. The attrition rate among the JOTts in the military pro- gram was higher than among male JOT's in the regular program. As of December 31, 1957, only 22 men out of the total of 201 in the regular program had left while connected with the program, while 51 out of 143 in the military program had left. In other words, the attri- tion rate was three times higher in the military pro- gram than in the regular program. Among the reasons given for this higher turn-over were that some candidates appeared to have misrepresented their intentions about career service either consciously or unconsciously and that some candidates were attracted by other opportun- ities during the eighteen months that they were away 2/ from the Agency.? On February 2, 1956, the IG recommended that the Agency sponsorship of military service of draft- 1/ Memorandum for IG via D/TR from C/JOTD/OTR, 20 Novem- ber 1953, on Discussion of the OCS/JOT Program, CON- FIDENTIAL, in Records Center. 2/ Ibid. 208 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET eligible JOT candidates be terminated but the DD/S did not concur in this recommendation and the DCI supported 1/ the DD/S position. The Program was designed to solve some of the re- cruitment problems of the Agency. More than one half of the professional employees recruited during the per- 2/ iod, however, were obtained outside the JOT Program. Supervisors did not want to give up the power they had to recruit their own employees and the JOT Program was not designed to select persons with advanced training in the sciences or with professional training in law, um. accounting, engineering, or medicine. Only occasionally mid was a JOT designated for the DD/S area. The Program did not avoid the problem of the Professional place of women in the intelligence program. The attrition rate of women JOT's, however, was twice that for regular 1/ Memorandum for DCI from DD/S, 21 March 1956, Sub- ject: Comments on Inspector General's Survey of the Junior Officer Training Program, CONFIDENTIAL, in 0/DCl/ER, "Training" file. 2/ Office of Personnel, Table 8, Agency Recruitment of Personnel to Fill Staff Positions, 1953-1956, SECRET, furnished 19 January 1959 to HS staff. 209 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2ooyori6 hCAAIRDP90-00708R000300090001-7 1/ male accessions.? The Program also did not shrink from the problem of the professional place of the non-Caucasian but it found considerable difficulty in locating eligible Negro JOT candidates.g/ During the four years under dis- cussion the net accessions made through the JOT Program were around one hundred and forty.' In spite of some 1/ As of December 31, 1957, 8 of the 46 women accessions to the Program had resigned. This was twice the rate for regular male accessions. Women JOT's married and gave up their professional careers. The attrition rate was probably not higher than for other women in ?Ni the Agency. See Office of Personnel, Table 6, Annual Separation Rates of Staff Personnel, 1953-1956, SECRET, furnished to HS 19 January 1959. 2/ In his 1956 Survey the IG recommended that D/TR place increased emphasis on the selection and re- cruitment of non-Caucasian trainees for inclusion in the Program. See Op. cit. It was not until after 1956 that qualified non-Caucasian candidates were found. C/JOTP indicated that problems were oar encountered in trying to locate eligible Negro can- didates. The Security Office found that many Negroes had signed Communist-front organization petitions in college, that the parents of some Negro college grad- uates were security risks, that Negro candidates did not stand up well in psychiatric examinations, and that some supervisors did not want to hire Negroes. 25X1A Memorandum for the Record, 14 January 1959, Conver- sation with SECRET, in HS files. 3/ Office of Personnel, Table 10, JOT Recruitment, Accessions, and Separations, 1953-1956, SECRET, furnished HS 19 January 1959 and Memorandum for the Record Interview of 26 January 1959 with 25X1A 25X1A SECRET, in HS files do not agree completely. The total accessions for the period were around 200. OP had 72 and JOTP 62 separations. 210 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mid Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET some criticisms of the military side of the program, the plan as a whole was deemed a successful recruiting 25X9 arrangement. The IG recommended in 1956 that the ceiling be increased from IMIllpositions and the DD/P re- quested that the number of JOT's assigned to his area be trebled. These increases were not made but in 1956 the DD/S instructed the D/TR and D/P to recruit JOT's with- 1/ out regard to ceiling. c. Recruiting Clerical Employees Because of security considerations, CIA claimed that it had to do its own recruiting of clerical workers. This meant that the Agency had to compete with the Civil Service Commission which had general government-wide responsibilities in this field. The Office of Personnel had a special Clerical Recruitment Branch which was responsible for recruiting personnel to meet the Agency 2/ clerical needs.? This Branch faced the general con- dition of continued scarcity of fully-qualified clerical 1/ Memorandum for DCI from DD/S, 21 March 1956, loc. cit. 2/ Office of Personnel Memorandum No. 1-170-1, 10 June 1954, Functional Organization of the Office of Per- sonnel, SECRET, in OP files. 211 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET candidates who were interested in employment in the Washington area. In addition, it faced problems which were peculiar to the Agency. Unlike other agencies, CIA could not hire and place candidates immediately who had demonstrated their clerical skills. Security clearance took at least three months and the practice was to hire candidates and place them during the wait- ing period in the Interim Assignment Branch where they could brush up their clerical skills and work on such unclassified assignments as were available. This meant that it took time before new clerical workers could be integrated into the work of the Agency. Among prospects, the Interim Assignment Branch did not acquire a good 1/ reputation.? The Clerical Recruitment Branch was some- times so pressed to get candidates that it had to lower its standards for clerical skills required. The clerical recruitment problem in the Agency con- tinued to be a chronic one because of the high turnover 1/ Report of the Panel on Career Service for Women to the CIA Career Service Board, Career Employment of Women in the Central Intelligence Agency, November 1953, SECRET, stated in Tab E: "Misconceptions, wild rumors and a feeling of being a nameless cipher de- velop in the Interim Assignment Branch, despite the best efforts of those in charge . . . " 212 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Ala 25X9 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET among this class of employees. The annual separation rate for the lower grades, GS-01-06, which were mostly filled by women clerical employees, was 27.0 for 1953 1/ and 21.3 for 1956.? In each case the rate was from two to three times higher than the rate for the upper grade groups. In a general survey which he made of the Office of Personnel in 1953, the Inspector General expressed a concern about the high separation rate of clerical em- ployees. He made the following suggestion regarding this situation: It is advanced that there would be a lower rate of turnover of clerical employees if the acquiring office was permitted to interview the employee in advance and explain the types of work, working conditions, promotion possi- bilities, etc.2/ In reply to this suggestion, the Personnel Direc- tor pointed out that a placement officer interviewed 1/ Table 6. The number of separations for the group was in 1956, and Table 2. Of the 25X9 staff employees as of 31 December 1952, in Grades GS-01- 06, some staff em- 25X9 ployees in these grades as of 31 December 1956, some 78.0 percent were women. 2/ Memorandum for DCI from PD, 15 January 1954, Inspector General's Report on the Personnel Office. SECRET, in Records Center Job 57-596, cites the IG's Survey of the Personnel Office, dated 30 November 1953. 213 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 1=1 air Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET an employee in advance of his assignment to provide such information. He questioned that an additional interview would be justified in view of the expense involved. He further stated that it was essential that the Personnel Office have final authority over the assignment of cleri- cal personnel since it was responsible for the field re- cruitment of such personnel. The higher separation rate for clerical employees in 1953 was partially explained on the following grounds.2/ Dissatisfaction among clerical employees seemed to stem from lack of career planning for them, misunderstandings about the jobs, non-use of college background, non-use of clerical skills, dead-end aspect of jobs, and inade- quate supervision. In 1952 and 1953 Agency recruiters made intensive efforts to recruit college girls for clerical positions, indicating to them the possibility 1/ Memorandum for the DCI from Personnel Director, dated 15 January 1954, Subject: Inspector General's Report on the Personnel Office, SECRET, in Records Center Job 57-596. 2/ This subject was investigated by the Committee on Clerical Employees in the Overt and Covert Offices of CIA of the Panel on Career Service for Women, see Report, November 1953, Table E, in Office of Personnel files. 214 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 all ani mod - Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET of overseas duty. When overseas assignment was not made immediately, many of the girls so recruited re- signed. Later in the period, the Office of Personnel attempted to correct this situation by asking college girls to sign a statement to the effect that they did not expect to go overseas until after they had worked for the Agency for sixteen months. This new procedure improved the situation although the separation rate for college women recruited for clerical positions was still higher than that for high school graduates recruited for such positions. d. Contract Personnel For a variety of reasons, CIA hired many employees on a contract basis. In some cases, contract personnel were hired on a temporary basis to meet short-range op- erational or support needs which could not be met through the use of available staff employees. Foreign nationals residing abroad were not eligible for staff employment and had therefore to be hired as contract agents. As indicated above, the DD/P area divisions had over 1/ such employees in 1956.- 1/ See above, p.140. 215 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET When an individual's primary employer or employment interest was not CIA, the additional work he did for CIA was put on a contract basis. Many Office of Train- ing language instructors fell in this category. A con- tract relationship was also used when the nature of the mission for which the individual was hired precluded his being subject to administrative control or working 1/ specifically defined hours. In 1953 the Special Contracting, Allowances and Processing Staff of the Office of Personnel was respon- sible for recommending policy standards regarding Agency contracts for personnel services and certain other spec- ial contracts required in support of covert operations; for preparing and executing such contracts; for the re- view of all field contracts submitted to headquarters; for the processing of all staff agents; and for re- 2/ viewing and granting special allowances.? In 1955 1/ CIA 15 May 1957, Contract Personnel, SECRET, in Records Center. 2/ Office of Personnel Memorandum No. 1-170-1, 10 June 1954, Functional Organization of the Office of Personnel, SECRET, in OP files. 216 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET this Staff was changed into a division and its name 1/ became the Contract Personnel Division. The workload of the Staff and the Division concerned with contract personnel did not change greatly during the period. Every year there were prepared around new contracts, contract 2/ 25X9 amendments, anallilliktaff agent personnel actions. 25X9 In 1955 the Inspector General expressed an interest in the improvement of procedures concerning contract personnel: Strengthen the procedures governing the handling of contract personnel by requiring that Personnel, General Counsel and the area division participate in all hiring and firing (or contract lapse) actions. This will eliminate many misunderstandings currently arising because contract agents have not been properly informed about their agreement with the Agency. 3/ In commenting on this recommendation, the Director of Personnel stated that his Office upon request had 1/ Office of Personnel Memorandum No, 20-190-17, 15 June 1955, Assignments of Personnel, SECRET, in OP files. m? 2/ Comptroller, Estimate for Fiscal Years 1955, 1956, 1957, and 1958, Bureau of the Budget Presentations, SECRET, in Records Center Jobs 58-436, 58-437, 59-417. 3/ Memorandum for DCI from IG, 25 February 1955, Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. nog 217 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET always assisted the operating divisions in signing up agents and explaining their obligations under contracts. He pointed out that his Office was prevented from being of greater service in drawing up contracts because of the plea that security factors precluded his staff from 1/ meeting large numbers of clandestine personnel. During the period a number of improvement were maN 25X1A made in procedures for handling contract personnel. Regulations were issued which formalized in both headquarters and field standard procedures for the 2/ handling of contract personnel.? Regulations applying to overseas service were also issued on education allowances, home service transfer allowances, standardized allowances, and special allowances. 3/ The Division participated in development of administrative plans for Agency projects in order to insure standard handling of contract personnel. It established a 25X1A 1/ Memorandum for DCI from DP, 18 April 1955, same subject, SECRET, in 0/DCl/ER, 2/ CIA 15 May 1957, loc. cit, and ty 1957, Contract Personnel SECRET, in Records Center. 25X1A 3/ 9 February 1956, Allowances, SECRET, in Records Center. 218 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2oo1Joni6 CAilDP90-00708R000300090001-7 tax unit for more secure handling of tax problems of contract types. While increased use was made of the standard format type contracts developed by the Division, increased requests were also received for unusual and varied contractual formats based upon a growing awareness by the utilizing components of the 1/ psychological effect of contracts upon individuals. e. Military Personnel The large role played in intelligence by military intelligence, the close connection between paramilitary and military operations, and the intimate relationship between covert propaganda and psychological warfare made it inevitable that the Central Intelligence Agency would seek the services of military personnel on special details. The Agency was limited by law to fifteen retired military officers as regular employees, so, as indicated above, it used military personnel on detail of whom there were on the average close to during the period. Of the five Directors of 1/ Office of Personnel, Materials Furnished Historical Staff, 30 January 1959, CONFIDENTIAL, in HS files. 219 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 woma - Approved For Release 200140e16 itCAAIRDP90-00708R000300090001-7 Central Intelligence since its beginning in 1947, four 1/ were military men. The Central Intelligence Act required the Director or the Deputy Director to be a civilian. Of the military personnel on detail with the Agency in 1956 about two-thirds were in the DD/P group, one- fourth in the DD/S, and most of the remainder in the Office of DCI. The EE and FE Divisions had the largest contingents of the area divisions and in the DD/S group, the Training, Personnel, Communications, and Logistics Offices had the largest number of military personnel. The Office of Personnel had throughout the period a Military Personnel Division which was responsible for providing service in the procurement, assignment, rod administration and disposition of military personnel detailed to the Agency from the Department of Defense. It participated in the development of personnel policies that affected military personnel, it conducted liaison ??? 1/ Rear Admiral Sidney W. Souers, USN, from 22 January mid 1946 until 10 June 1946; Lieutenant General Hoyt S. Vandenberg, USA, from 10 June 1946 to 1 May 1947; Rear Admiral Roscoe H. Hillenkoetter, USN, from 1 May 1947 to 7 October 1950; Lieutenant General Walter Bedell Smith, from 7 October 1950 to 9 February 1953; and Mr, Allen Welsh Dulles, from 26 February 1953 220 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X9 Approved For Release 2001/03/06 : CIA=RDP90-00708R000300090001-7 SECRET with appropriate components of the Department of Defense, and it maintained the necessary records 1/ pertaining to military personnel. In 1954 the Director of Personnel conducted a survey of the morale of military personnel detailed to the Agency which he submitted to General Cabell, 2/ Deputy Director to Central Intelligence.? The purpose of this survey was to obtain information regarding the reported unfavorable attitude of service personnel concerning their assignments with CIA, to determine the conditions which might cause such an attitude, and to recommend corrective action in the case of unfavorable conditions noted. The Division air reviewed some exit interviews of service personnel and found that approximately 30 percent felt that their military specialties were not fully utilized and were critical of the Agency in some degree. Among the reasons why officers did not like aml NMI morl 1/ CIA 29 January 1954, Detailed Military Personnel, and Office of Personnel Memorandum No, 1-170-1, 10 June 1954, Functional Organization of the Office of Personnel, SECRET, in OP files. 2/ Memorandum for DDCI from ADP, 15 September 1954, Morale of Military Personnel, SECRET, in 0/DCl/ER, 1954 Personnel File. 221 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A art MIMI awl Approved ForRelease2001/03/06 CJAADP90-00708R000300090001-7 sEcitET duty with the Agency were dissatisfaction with Agency efficiency rating methods, isolation from their service, difficulty in obtaining reimbursement for loss of service benefits or additional expenses occasioned by Agency security requirements, lack of proper orientation, and failure within the various echelons of the Agency to practice those fundamental principles of leadership requisite to the development of esprit de corps, pride of accomplishment, and loyalty in a degree which subordinates personal interests to achieve the common goal, The Military Personnel Division took steps to arrange for preliminary pre-assignment interviews, to compile a list of officers interested in Agency type of work, to inform officers that their fears regarding letter efficiency reports were unfounded, to the distribution of the Armed Forces Information Digest, to improve orientation of military personnel, to have the Finance Office refer claims which they turned down to DD/S for possible settlement, and to have the Office of Training include in courses for supervisors instruction in 222 SECRET Approved For Release 2001/03/06 : CIA-RDp90-00708R000300090001-7 MEI Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET those fundamentals of leadership which were taught in the services and in civilian personnel, industrial 1/ management, and foreman training courses. f. Recruiting Women for CIA Career Services The Career Service Board appointed a panel in 1953 to investigate the subject, "Career Employment of Women in the Central Intelligence Agency." This panel was re- ferred to internally as the "Petticoat" Panel as it was composed entirely of women. The Panel found that as compared with other Government agencies, CIA had offered at least equivalent opportunities to career women. It had not, in common with other Government agencies, taken full advantage of the womanpower resources available to it. In its report of November 1953, this Panel made the following recommendations: 1. That the DCI issue a policy statement to encourage maximum utilization of women in the Agency. 2. That the DD/A establish a procedure for: 1/ CIA Change 1, 10 June 1955, Item 8 Efficiency Reports, 23 July 1954, SECRET, and 19 August 1955, Change 1, Pay and Allowances, in Records Center. SECRET, 223 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A wr?ii - ada mai Atli oni mml IMO Approved For Release 2001R/CW :RAIRDP90-00708R000300090001-7 a. The review of all formal and informal recruitment requests which state that male applicants are desired, and b. Corrective action when the preference is not justified. 3. That the Agency officials be encouraged to consider more women for positions in administra- tive support, analysis, liaison, training, legal work, operations and translation. 4. That more opportunity be given to qualified women to advance into positions of executive responsibility at all grade levels. 5. That a full-time counsellor be assigned to the Interim Assignment Branch in the Personnel Office. 6. That special attention be given to clerical personnel by the appointment of a qualified per- son in each major component to deal with problems of clerical personnel. 7. That supervisors provide continuous orientation to employees at the section or unit level, part- icularly for the clerical personnel. 8. That career opportunities for clerical per- sonnel be explored and publicized and that a member of each career service board be designated to give special attention to career planning for clerical personnel. 9. That supervisory training be required for all supervisors towards improvement of management and morale in the Agency. 224 ..? SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET From the grade distribution comparison of male and old female staff personnel at the beginning and end of the 1/ period, mixed trends emerge. In the upper grade group, GS-13-18, women increased their proportion of total from 2.6 to 3.3 percent. While there were still no women in the supergrades and only two rose to GS-15, the absolute number of women in grades, GS-13-15, rose from 34 to 84. In the middle grades, GS-07--12, women rose from 24.6 to 31.2 percent of the total and in the lower grades, GS-01-06, they rose from 72.5 to 78.0 percent of the total. The concentration of women in the lower grade group was in part the result of more 2/ women seeking employment at a younger age than men. The net changes indicated that more men were in the 25X9 top grades andmore women, while in the lower grades there were 182 fewer men and 320 more women. In the middle grades the net gains were larger for women than for men, 736 as compared with 357, but it must be remem- bered that many more men had moved into the upper grades. MI! 25X9 ?11111 NNW 1/ Office of Personnel, Table 2. 2/ As of December 31, 1954, women constituted 99.4 percent of employees under 20 and 78.9 percent of employees 20-24. Office of Personnel, Black Book, Tab T as, loc.cit. 225 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET The net change in average grade status for men was .9 increase and for women .6 increase. In his 1955 Memorandum, "Ten Ways for Improving CIA's Personnel Management," the IG included the follow- ing recommendation on women employees: Place a woman in a senior position (even possibly as high as a second Deputy Assistant Director) in the Personnel Office and charge her with aggressive furthering the careers of women in the Agency. This woman should not only see that women are considered for top- level positions, where there is no requirement that the position be held by a man, but should also insure that women returning from overseas are properly placed.1/ In commenting on this suggestion, the Director of Personnel said that he considered that he was already charged with the responsibility, along with similar responsibilities for all persons, regardless of sex He felt that he should police this problem rather than have an individual policing him. He asserted that the Office of Personnel was continuously on the alert to see that the best qualified individuals available re- gardless of sex were hired for or assigned to positions that were vacant. Personnel officers could only inquire 1/ Memorandum for DCI from IG, 25 February 1955, SECRET. 226 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET into the reasons for job requiring a man rather than a m. woman, evaluate these reasons, and where the requirement was not realistic, point this out to the operating of- "NA 1/ ficial and endeavor to change his mind on the matter.- aMTI wri There were certain positions in the Agency for which women were not considered. Paramilitary positions were in this class. In the DD/P area there were also a reluctance on the part of area divisions to appoint 2/ women as case officers in the field.? There were women reports analysts and administrative officers in the field stations, but a lack of other field profes- sional positions available to women made it difficult for women professionals to rotate to the field. If women did not get field experience then they could not be considered for certain supervisory positions. g. Recruiting Non-white Employees for CIA Career Services During the years 1953-1956 high officials of the 1/ Memorandum for DCI from DP, 18 April 1955, Subject: Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER file on Personnel. 2/ The subcommittee of the Panel on Career Employment of Women in CIA Covert Offices found only 7 percent of the operations officers were women. See Report, op. cit. 227 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 -4 SECRET IMP mai OBI 25X1A Agency from time to time noted the small proportion of 1/ non-Caucasians employed by the Agency.? There was no Negro intelligence analyst in CIA who attained the eminence achieved by in OSS during the war. The number of Negroes employed by the Agency rose 25X2 from 447 of all staff employees) as of Sep- 25X2 tember 30, 1953 to 727 (almost of all staff 2/ employees) as of December 31, 1957.? In 1953 there were only 14 Negroes who had reached grades as high as GS-07 (the highest was GS-08) and in 1958 there were only 54 Negroes in grades GS-07-12 (one in GS-12). Most of the Negroes employed by the Agency were in grades GS-06 and below or in the non-GS wage categories. In general, the most common jobs held by Negroes were at the laborer, guard or messenger level. Some Negroes held clerical positions and a few held professional positions. 1/ Inspector General's Survey of the Junior Officer Training Program, 2 February 1956. 2/ Office of Personnel, Table 3 and Table entitled, "Sex and Race of Agency Staff Personnel as of 31 December 1957, SECRET. 228 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 aril mei Approved For Release 2001kOpp RA-FDP90-00708R000300090001-7 STATSPEC Of the major components, the highest proportion of Negroes as of December 31, 1957 was found in DD/S (7.5 percent) and DD/I (7.0 percent) and the lowest in DD/P (1.6 percent). DD/I had the largest number of Negro clerical employees, established a pool of Negro typists who worked on the daily bulletins. High standards of typing performance were necessary to be assigned to this pool but the positions in the pool offered little opportunity for promotion. There were a number of factors which kept the number of Negroes hired by the Agency from growing more rapidly than it did considering the rate of growth of the Negro population in Washington, D.C. Negroes normally gained entrance into the Federal Service during the period through Civil Service examinations. CIA did not use Civil Service registers for its recruitment. Negroes tended to gravitate to large offices such as the Census Bureau which had acquired a reputation for hiring large 229 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 MINI Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET numbers of Negroes. CIA had no such reputation and it did not have the need to hire as many clerical employees as the Census Bureau did. The proportion of Negroes with the education and skills needed for intelligence work was small. There were relatively few Negro area specialists, language specialists, economists, scien- tific researchers, social science analysts, and psycholo- gists--to mention a few of the specialists in demand in intelligence operations. As indicated above in the discussion of recruitment of Junior Officer Trainees, it was extraordinarily difficult to find Negro college graduates who could meet the qualifications established 1/ for the program. In accordance with relevant executive orders, CIA had throughout the period an officer charged with en- forcing in CIA the policy of the United States Govern- ment that equal opportunity be afforded all qualified persons, consistent with the law, for employment in the 2/ Federal Government.? Prior to January 18, 1955, this 1/ See above, p. 210. 2/ Executive Order No. 10590, 18 January 1955. 230 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 wool 25X1A 25X1A 25X1A )1k 1A Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET officer was called CIA Fair Employment Officer and 1/ after that date CIA Employment Policy Officer.? Dur- ing the period these officers were appointed from the 2/ staff of the Inspector General.? The Federal policy prohibited discrimination against any Agency employee or applicant for Agency employment because of race, color, religion, or national origin. The CIA Officer was under the immediate supervision of the Director for all matters pertaining to Agency employment policy, in- cluding any investigation and recommendation regarding instances of alleged discrimination. In performing his duties, the Agency Regulation directed this officer 1/ CIA 20 August 1955, revised 4 March 1958, Employment Policy and Procedures Under Executive Order 10590, SECRET. 2/ CIA 25 November 1953-1 1/2 years before E.O. (see p. 61 n.), SECRET, desig- nating CIA Fair Employment Of- ficer; 18 March 1955, des- ignating CIA Employment Policy Officer, SECRET; and 19 December 1955, designating as CIA Employment Policy Officer vie all designees being on the staff of the Inspector General. 231 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A MINI dill Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET to give due consideration to the fact that the National Security Act of 1947 and the Central Intelligence Act of 1949 provided that the DCI was responsible for pro- tecting intelligence sources and methods from unauthor- ized disclosure. To this end the Director of Security was charged with assisting and guiding the CIA Employ- ment Policy Officer on all cases and with coordinating with the Chief, CI Staff, DD/P in all security aspects of cases involving DD/P personnel. There were just two or three charges of discrimin- ation which were brought to the CIA Employment Policy Officer during the period. The Office of Personnel did not know of any applicants who complained of discrimin- ation.1/ 1/ Memorandum for the Record Conversation with Mr. 25X1A Office of Personnel, re History of Office of Personnel, 1 est June 1959, SECRET, in HS files. MOO 232 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 nog tor Approved For Release 20810/OR :ECITA-RDP90-00708R000300090001-7 6. Personnel Utilization Policies and Practices During the period operating officials continued to have primary responsibility for personal utilization including assignment, rotation, evaluation, promotion, and termination. With the advent of the Career Service structure, each Head of a given Career Service assumed a decentralized responsibility for personnel management within internal confines of his Career Service. The Office of Personnel retained centralized responsibility for advice on personnel utilization activities and for negotiation of rotation or reassignment of personnel between Career Service jurisdictions. Placement officers from the Office of Personnel worked with Career Management officers of Career Boards and were in most instances assigned to permanent attendance at board meetings for purposes of providing technical advice and assistance. At the beginning of the period the personnel utilization activities of the Office of Personnel were divided between the Personnel Division (Overt) and the Personnel Division (Covert). The reorganization of September 1953 combined these two divisions into the Personnel Utilization Division (PUD). This move 233 SECRET Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 NINO Approved ForRelease2001/03/06 ? CJA:RDP90-00708R000300090001-7 sECRET brought all personnel placement officers under one division chief and permitted an increased exchange of information and experience between personnel officers representing the various operating offices. There was, however, a senior placement officer for each of the main 1/ areas of the Agency; DD/A, DD/I, and DD/P. The establishment of PUD came about the time that the Agency was scaling down its personnel requirements and placing more emphasis upon rotation. The Director of Central Intelligence had established personnel ceilings for all offices which were considerably below 2/ T/0 figures.? The main work load in PUD shifted from advice on initial placement to advice on internal reassignment problems. a Assignment, Rotation and Career Planning Program Improvement in assignment practices was one of the primary concerns of Agency officials developing the 1/ The name of this unit was changed to Personnel Assignment Division on 7 March 1955. Three branches were continued to furnish personnel support to the Career Boards and Panels of DD/I, DD/P, and DD/S. Office of Personnel Memorandum No. 20-190-16, 24 May 1955, SECRET, in OP files. 2/ See above, p. 124. 234 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 and MIN EMI Approved For Release 2001/0A/%6 Rp P 9 0 - 0 0 7 0 8 R 0 0 0 3 0 0 0 9 0 0 0 1 - 7 Career Service program. There was a steady increase in the consideration of the long-range implications of assignment actions and a general trend toward more central review and control of assignment practices through the Career Service system. Regular rotation between headquarters and the field was one of the essentials of a Career Service, particularly in DD/P. At the beginning of the period the assignment of individuals to posts in headquarters and overseas was left to individual components, area division, senior staffs, and offices. An individual had to be acceptable to an area division or a staff headquarters office in order to be placed. This system of highly developed autonomy upon the part of components made it difficult in some cases for an individual outside a given area division to move from headquarters to the field or for a person in one area to move to another. During 1953 the FI and PP Career Service Boards were responsible for reassignment practices and gave primary consideration to those affecting overseas returnees. Gradually, more and more information about returnees was made available to these Boards by the area divisions concerned. The Boards were principally 235 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 111 MIN onll oft Approved For Release 2001/93T6c: plf-pP90-00708R000300090001-7 concerned with effecting proper assignments for individuals who could not be properly assigned through 1/ the efforts of the operating components. The Inspector General in his memorandum: "Ten Ways for Improving CIA's Personnel Management" recognized in early 1955 the need for strengthening the assignment 2/ procedures of the Agency. Place overseas returnees in positions before they return. This is not solely a problem for the Office of Personnel, but is one that can be solved by Personnel, DD/S and DD/P. It has been one of our sorest spots in personnel management, but one to my mind susceptible to easy solution by good administration and strong central control of personnel by DD/P. I would set a deadline of 30 June 1955 by which time every returnee will have a job waiting. Eliminate placement by file shopping. If an employee is misplaced, he or she should be relocated by a system of interviews, and a placement officer should handcarry the file to interested supervisors. Imbue in all employees in the Personnel Office and all supervisors that people are our most valuable asset--the good ones should be encouraged and assisted, the poor 1/ Office of Personnel, Materials Furnished the Historical Staff, 21 January 1960, SECRET, in HS files. 2/ Memorandum for DCI from IG, 25 February 1955, CONFIDENTIAL, in 0/DCl/ER in 1955 file marked "Personnel." 236 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 am? .gro esti MIS 25X1A 25X1A 25X1A 25X1C 25X1A 25X1A Approved For Release 2001/31p6c: gltRIPP90-00708R000300090001-7 ones eliminated. But regardless of whether good or poor, they should be handled as human beings not as files, numbers or inanimate objects. I believe that the attitude, typified by referring to personnel as "surplus" like war goods or wheat, has been at the root of some of our management. The above three points were aimed specifically at the confusion which resulted from the drastic reduction During the period of Allied occupation of the Agency had built up a large staff in With the end of occupational status 0411111111111111111 these slots were no longer available and it was necessary to reduce the size of the station. Returnees from in some cases had troubles in finding new positions and during the time that they were unassigned they were classified as 1/ "surplus." ? During this crisis the Office of Personnel worked out an emergency placement program. All recruitment requests submitted in the DD/P were held in the Office of Personnel pending a full review against two sources: 1/ Memorandum for DCI from DP, 18 April 1955, Comments on Ten Ways for Improving Personnel Management, SECRET, in 0/DCl/ER. 237 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/g3pk: 914-1,CP90-00708R000300090001-7 (1) the reassignment roster, and (2) machine runs against coded qualifications requested in the recruitment request. The special reassignment rosters were prepared in collaboration with the personal officers of the operating units to develop accurate lists of returnees from overseas for whom no reassignment had been determined. The roster was indexed by number. Each number corresponded to the name of the employee maintained on a separate master list, Full biographic information relative to experience and qualifications of employees was listed by number on the reassignment roster. Placement officers reviewed the experience and qualifications of employees for whom reassignment was necessary. The information was forwarded to the appropriate operating component which had issued vacancy notices requiring the same or similar qualifications with requests for a review of all biographic information and personal interviews of the nominee. In many cases, this information was forwarded to appropriate components, even though vacancy notices had not been published, with a view toward meeting attrition 1/ requirements.? / Office of Personnel, Materials Furnished to Historical Staff, 30 January 1959, CONFIDENTIAL, in HS files. 238 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/0ZA :plik-RP90-00708R000300090001-7 With the large number of persons appearing in 1953 and 1954 on the reassignment roster, this procedure broke down, As a result, many of these employees were forced to seek employment on their own, utilizing personal relations with various key operating officers By late 1954, after the greater portion of the 25X1A returnees from the reduced had been suitably placed, this process was replaced by current reviews of all recruitment requests and EOD requests at the DD/P level in terms of authorized ceiling. Applicants were entered on duty only with the approval of DD/P. This latter practice continued through 1956 with the continued stringency of ceiling allocation. In 1956, the DD/I instituted procedures that were designed to provide maximum opportunities for DD/I Career Designees to advance to higher-graded vacant positions. When any DD/I component had a vacant position to be filled, the vacancy was published in ant terms of all pertinent information throughout all DD/I Career Services. Any DD/I employee was eligible to apply for consideration for the vacant job. Such applications were forwarded through the appropriate DD/I Career Service for review. Upon the approval of 239 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 ??? Approved For Release 2001/y/R6e yAepP90-00708R000300090001-7 that Career Service, the application was sent to the Career Service having jurisdiction over the operating component in which the vacancy existed. The Career Service interested in filling the vacancy was expected to interview a maximum of three qualified nominees in the event that the total applications exceeded that number. In the event applications were less than three in number, all applicants were to be personally interviewed If on the basis of the total applications received, the Career Service with the vacancy felt that there were no qualified individuals within the DD/I to fill the job, external recruitment requests were forwarded to the Personnel Assignment Division for review and subsequent forwarding to Personnel Procurement 1/ Division for the issuance of recruitment requisition. The DD/P was also moving in the direction of more 2/ orderly reassignment of returnees. Among the obstacles had been the reluctance of the individual to agree to a definite next assignment before he returned 1/ Ibid. 2/ Memorandum for DCI from DD/P, 5 April 1955, Subject: Memorandum from the IG, Ten Ways for Improving CIA's Personnel Management, dated 25 February 1955, SECRET, in 0/DCl/ER. 240 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 200r1 I0gig66 ceepP90-00708R000300090001-7 and the suspicion which returnees viewed efforts to place them. DD/P was confident that the Clandestine Services career management officers were becoming steadily more effective as negotiators and educators in the assignment field, He held orderly reassignment was complicated by the inflexibility of slots, which prevented them from changing their staffing pattern to meet rapidly changing requirements, and by the length of time it took to adjudicate conflicting demands for personnel among so many branches, divisions, and staffs, all understaffed so far as really first-class personnel was concerned. The Director of Personnel agreed that it had become a generally accepted principle that an individual who satisfactorily completed a field assignment would 1/ be appropriately reassigned.? The effective implementation of this policy required that the reassignment of field personnel should be carefully planned and finally determined, if possible, before the expiration of their tours of duty in the field. 1/ Memorandum for DCI from DP, dated 18 April 1955, Subject: Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. 241 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 INN mml .01 25X1A 25X1A %MI Approved For Release 2001/00? :c4N-FEIP90-00708R000300090001-7 It was with this end in view that the Field Reassignment Questionnaire had been designed by task forces of senior FI and PP officers appointed to study the Clandestine 1/ Services Career Program. This questionnaire,? due eight months in advance of the expiration of overseas tours, contained information about the major duties of individuals in the field, their preferences for next assignments, and their need for headquarters training. It became a priority action paper in the Career Service elements where Career Service Boards, Career Management Officers, Placement Officers, supervisors, and returnees were working together properly on reassignment problems. In order to facilitate the advance determination of assignments by providing long-range guidance to supervisory and Career Service elements, work was initiated in 1955 on a Career Preference Outline which became the basis for the Agency Regulation on Career 2/ Planning for Individuals.? This outline was a documented description of the individual's career 1/ CIA 16 December 1954, Overseas Tours of Duty, SECRET, in Records Center. 2/ CIA '1 13 November 1956, SECRET, in Records Center. 242 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 - mai mai awl dowi uni MIN -0.10 Approved ForRelease2001/03/06 . _?CIA-RDP90-00708R000300090001-7 SECRET interests and proposed career activities for an appropriate specified time, to which were appended the comments of his supervisor and his Career Service, The proposals expressed by the individual might include suggested retention in present position, reassignment, or training. Either the individual or his supervisor, with the concurrence of the Head of his Career Service, could initiate the preparation of an outline. This program had the advantage of encouraging deliberate consideration of the long-range utilization of individuals in the interest of the Clandestine Services as a whole. b. Employee Rating Considerable attention was paid during the period 1953-1956 to improving the system used by supervisors for rating or evaluating their subordinates. The initial evaluation system in the Career Service program was based on the Personnel Evaluation Report (PER) introduced in 1952. It was superseded by the first Fitness Report, introduced on an experimental basis in November 1954, which was designed to provide a 243 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 mod was mei YIN sad 4Amil 4?111, 25X1A 25X1A Approved For Release 2001/OR/CIS C.IIAER,pP90-00708R000300090001-7 1/ report more suitable for selection purposes,? At the same time a study was started to find out what supervisors at all levels wanted in a fitness report. This approach recognized the controversial nature of fitness reporting, there being almost as many opinions about it as there were people. The study included an analysis of the replies of supervisors to the questionnaire circulated about the November 1954 Fitness Report,, an analysis of the content of completed Fitness Reports and statistical studies pertaining thereto, interviews with operating officials, administrative officers, supervisors, and personnel officers, and development of a proposed Fitness Report based on majority opinion which, in turn- was submitted to further criticism and revision. Out of this emerged a revised Fitness Report which the 3/ Career Council adopted. 1/ CIA21 September 1954, Fitn11111111!!!!!!!!""AL, in Records Center. 2/ CIA 21 January 1956, Guide fornpe-oinNo,45: Fitness Report, CONFIDENTIAL, in Records Center. 2/ 25X1A 3/ CIA21 January 1956, Fitness Report, SECRET, in Records Center. 244 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 .10 4MP OMNI almW Approved For Release 2oo1golio itCLAIRDP90-00708R000300090001-7 The Fitness Report was designed so that both the interests of the employees and of management would be considered. This was done by differentiating between the evaluation of job performance -- the subject held to be of particular concern to the employee and his immediate supervisors, and the evaluation of potential -- the subject held to be of particular interest to secondary levels of supervision and to career service elements. The performance part was designed to elicit the supervisor's opinion concerning the on-the-job performance of the individual. It was concerned with the productivity and quality of performance of the employee on the job he was performing. Except under unusual circumstances, the employee had the right to see this part after completion by the supervisor. The supervisor might elect not to show the report to the employee when unusual operational conditions so warranted, when, for medical or psychological reasons, it would be ill- advised to show the individual the report, and when security considerations precluded showing the report. The potential part was designed to provide operating officials and personnel officers with an opinion concerning the potential of the employee. Such 245 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/R3p6c: Elf-IFP90-00708R000300090001-7 information was needed for consideration of the employee's assignment, promotion, selection for membership in the Career Staff and other actions Aar mri .810 0E11 25X1A ..mad affecting his status. It was decided that this part 1/ would not be shown to the individual being rated,? c. Promotion Policies and Practices In order to attract and to hold able employees CIA had to have a liberal promotion policy. The burden and inconvenience of the security regulations, the limitations on outside activities, the risi of certain overseas assignments, and the moral questions raised by some of the clandestine activities called for a high degree of patriotism that the top officials thought should be rewarded by a generous promotion policy. The annual promotion rates of staff personnel, as calculated from the monthly average on duty and the cumulative number of promotions each year, showed a fairly high level for the period as a whole. There was a decline toward the end of the period but this was the result of the personnel freeze rather than the 1/ 21 January 1956, loc cit. 246 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Asmi mai ANN Approved ForRelease2001/S03/06 : CJA,RDP90-00708R000300090001-7 EcRET result of a change in promotion policy. During the calendar year 1953 there was 45.4 promotions for every hundred employees on duty during an average month. During the calendar year 1956, the promotion rate was 34.0. The highest promotion rate was for the Office of the Director and the rates for other offices placed them in the following descending rank order: DD/S, 1/ DD/P, and DD/I.? During the period the Agency commonly followed the practice of underslotting, i.e., assigning employees to positions graded higher than the employee's grade. As the employee acquired experience and demonstrated his ability he would be slotted into the higher grade. This practice meant that there was headroom for promotions. As indicated below, this practice was contrary to the Civil Service classification system which required that a position of a given grade could be filled only by a person who already had the 2/ qualifications for that grade.? The practice began 1/ Office of Personnel, Table 12. 2/ See below, p. 251. 247 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A Approved For Release 200140a,/0 itCLAIRDP90-00708R000300090001-7 before 1953 when the Agency was rapidly expanding and could not always find candidates with the exact qualifications for the positions to be filled. It was formalized in 1954 by an Agency Regulation which 1/ was popularly known as the "Black Duck" Regulation. This Regulation provided that an employee might be assigned to a position classified at a higher grade or a lower grade than his present grade. The declining promotion rate would seem to indicate that the practice was less common at the end of the period than it was at the beginning. With the slowing down of recruitment, with the low turnover rate in the higher grades, the opportunities for promotion were less at the end of the period than at the beginning. The system of competitive promotion, started in the fall of 1956, provided for a periodic (not less than once per year) competitive consideration for promotion of all employees who had met time-in-grade requirements 1/ CIA 9 October 1954, Assignment, Temporary Assignment Without Change in Grade, SECRET. See also Memorandum for the Record, 8 June 1959, Conversation with Chief, Position Evaluation Divisirl!!!!!!!!!!!!!!1, Office of Personnel, 1953-1956, SECRET, in HS files. 248 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 meg EMI awl .1?111 Approved For Release 2001A0re ?RCiAriRDP90-00708R000300090001-7 1/ for promotion. Employees of a given Career Service competed for promotions with all others of the same grade level and in the same general occupational field. Thus, within the Support Career Service, every employee with personnel as his occupational career designation would compete with every other employee of that designation and the same GS grade, For grade levels GS-7 through GS-14, Competitive Evaluation Panels were established by the head of the Career Service to rank all employees at each grade level who were in competition for promotion. Criteria considered in the ranking included performance as shown by productivity, quality, and level of job performed, qualifications as shown education, experience, training and personal characteristics, value of employee to the Agency as shown by present usefulness and future potential, and acceptance of Career Staff obligations. Information on these factors was obtained by review of employee performance as shown by Biographic Profile, a summary of biographic, service and performance information prepared by the Office of Personnel from the personnel by 1/ CIA 29 November 1956, SECRET, 25X1A Competitive Promotion, in Records Center. 249 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 awn. 25X1A Approved For Release 2001g0M6 RCAAIRDP90-00708R000300090001-7 folder, Fitness Reports, qualification records, and through employee and supervisor interviews. Final rankings were computed as a composite of individual rankings with equal weight being given to each panel 1/ member's judgment. Upon completion of Panel Evaivation, the Head of the Career Service used the rank order list as a guide in recommending promotion actions to the Director of Personnel. Competitive promotions were made on the basis of merit, not on the basis of availability of positions of a higher grade. Persons promoted under competitive evaluation procedures might occupy a position lower in grade than their grade after promotion when it was necessary in the best interests of the Agency that they were retained in such a position in a personal rank assignment status. It was also possible that they might occupy positions higher in grade than their grade after promotion, when necessary. On the other hand, personnel promoted had to meet established qualification requirements and had to be assigned to a position of appropriate grade either upon promotion or 1/ CIA 1111111111111111.11, 29 November 1956, Guide for Competitive rom Panels, SECRET, in Records Center. 250 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 200119/0 itCeriRDP90-00708R000300090001-7 404 as soon as they could be released from the job they held. As a control mechanism, each Career Service and competitive area within a Career Service had to keep the grades of personnel in line with the grades of the positions which the Career Service was responsible for 1/ staffing. The competitive promotion system was actually in mio effect in 1956 for personnel in grades GS-13 and GS 14 in the Clandestine Services Career Service. Various other systems involving varying degrees of competitive .01 selection for promotion were in effect in other Career Services. The Agency-wide system was set up at the close of 1956. moi wig) 7. Personnel Classification Policies and Practices Because of security requirements, CIA was exempted 2/ from the Classification Act of 1949.? Civil Service Commission classification experts could not come to the Agency and demand a full description of the positions in the Clandestine Services. On the other 1/ Ibid. 2/ Section 202 of the Classification Act of 1949, ? 63 Stat. 954. 251 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2oo1io3JOp :pek-FIF90-00708R000300090001-7 hand, 11, was Agency policy to adhere to the provisions of this Act insofar as possible and to follow the basic classification principles and compensation schedules in order to assure that employees would receive equality 1/ of compensation for work performance. In his paper on the Philosophy of Career Service, the DD/S placed great emphasis upon the need that each mill manager have a clear definition of requirements for each job under his jurisdiction. The organization of CIA had to be fluid in order to respond to constantly varying demands made upon it. In some jobs absolute conformity was needed and in others maximum creativity was desired. Both of these needs put a special 41111 .40 amit obligation on all supervisors and managers to evaluate subordinate positions frequently and to be able to define clearly at all times not only the obvious basic requirements for the immediate jobs under them but also 2/ the subtler requirements of attitudes and understandings. 1/ CIA 1.11=1111111 5 November 1951, Personnel Polf71777?CONYIDENTIAL. 2/ Memorandum for DCI from DD/S, 19 May 1960, Response to Inspector General's Survey on Career Service, CONFIDENTIAL, in DD/S files. 252 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A MEW awl mai Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET The Personnel Evaluation Divison (known in 1953 and 1954 as the Classification and Wage Division) was charged with making individual job analyses and organizational surveys in cooperation with supervisors in order to present job information in a form of maximum usefulness for recruitment, placement, management of 1/ personnel, training and career development.? It established the various classes of positions, the grade levels within each class, and also reviewed the way in which the classification plan was being carried out throughout the Agency. It and positions descriptions and in industry with those proposed changes in Tables made comparisons of jobs in the Department of State in CIA. It also reviewed of Organization. The Division was organized into a Covert Branch, an Overt Branch, and a Surveys and Standards Staff. Special operating conditions in the Agency made it difficult to follow in all cases the established classification practices. Rapidly changing operational 1/ Office of Personnel Memorandum No. 1-170-1, 10 June 1954, Functional Organization of the Office of Personnel, SECRET, in OP files. 253 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 awl 41111 mei 110?11 Approved For Release 2001A0a/0 ?RCLA7RDP90-00708R000300090001-7 situations dictated classification review and decisions frequently without benefit of detailed information from operating units on organizational functions, programs, relationships, or the duties of individual positions. This was contrary to classification principles. In addition, the highly classified and sensitive nature of some programs, operations and responsibilities of individual positions required special classification 1/ methods and techniques. In his survey of the Office of Personnel in 1953, the Inspector General expressed an interest in the peculiar classification problems of the Agency: There is no question that a classification system is required. It is also agreed that the Civil Service wage scale is acceptable. What is required is perhaps a classification system tailored exclusively to the requirements of CIA. 2/ The Acting Assistant Director for Personnel in commenting on this observation stated that the Agency's 1/ In 1955 the DD/P expressed his concern for the need for more flexible procedures in personnel classification. See Memorandum for DCI from DD/P, 5 April 1955, Ten Ways for Improving CIA's Personnel Management, SECRET, in 0/DCl/ER. 2/ Memorandum for DCI from PD, 15 January 1954, Inspector General's Report on the Personnel Office, SECRET, in Records Center Job 57-596, cites the IG's Survey of the Personnel Office, dated 30 November 1953. 254 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 reel awl 25X1A 400 Approved For Release 200140R/CL6 kCLI,AIRDP90-00708R000300090001-7 problem with respect to classification was due to a lack of understanding among operating components concerning the purposes of classification and their reluctance to accept the application of any classification system. He contended that the experience of Government and industry alike had demonstrated the need for systematic classification of positions. This was a highly technical process which involved consideration of occupational and qualifications information as well as pay. He pointed out that the Atomic Energy Commission, also exempt from the Classification Act of 1949, found itself in serious difficulty with Congress when it failed to administer its classification plan in accordance with the basic 1/ principles stated in that Act. During 1953 the Classification and Wage Division prepared regulations which spelled out the requirements for the preparation of position descriptions and contained an explanation of allocation factors for 2/ Agency positions. The Division likewise developed an 1/ Memorandum for DCI from Personnel Director, dated 15 January 1954, Inspector General's Report on the Personnel Office, SECRET, in Records Center Job 57-596. 2/ CIA 31 March 1954, Position Analysis, SECRET, in Records Center. 255 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 ANA 25X1A Approved For Release 2001/R0 :IpItA-,FDP90-00708R000300090001-7 Agency Positions Standards Handbook containing definitions of occupational groups and series and a listing of all classification titles and occupational 1/ codes. The publication of new information regarding position standards continued during the balance of the period. In 1954 these publications were used in resolving differences with operating offices on proposed grade structures of reorganized Tables of Organization. In 1955, analytical studies were undertaken by the Divison to increase the flexibility of the position classification system in order to conform to the concepts of the Career Service program. The Personnel Evaluation Diviaon played an active role in the development of the manpower control system which was tried out on an experimental basis in the Office of Communications in 1956 and later extended to 2/ the entire Agency.? One of the purposes of the new 25X1A 1/ CIA, Estimate of Requirements Fiscal Year 1956, Bureau of the Budget Submission, 15 September 1954, SECRET, in Records Center Job Position Standards, SECRET, in Records Center. 2/ Office of Personnel, Staffing/Development Complement Concept for Manpower Control, Initial Installation, Office of Communications, 1955, SECRET, in OP files and 14 November 1958, Ceiling and Position Authorization, SECRET, in Records Center. 256 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved ForRelease2001/03/06 : CIA-RDP90-00708R000300090001-7 SECRET system was to provide flexibility in position structure (types, levels, organizational location of positions) to enable responsible supervisors to shift personnel to meet changed workload requirements. The system first made the distinction between a "staffing complement" and a "development complement." Employees actually assigned to and engaged in productive work were placed on the "staffing complement." Employees in a temporary status of travel, training, or other interim assignment were put on the "development complement." Positions on the staffing complement were subdivided into "limited positions" and "flexible positions." "Limited positions" were those for which a maximum number of occupants was indicated. This maximum had to be adhered to except for authorized overlap for job orientation. Thus there could only be one division chief except for the temporary overlap when a division chief was being replaced. "Flexible positions" were those proposed for multiple occupancy as needs dictated. This system made possible the movement of personnel into flexible positions without requiring the revision of personnel planning papers or the reclassification of positions. One of the purposes 257 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Ala mai ost art 25X1A 25X1A Approved For Release 200101/4 :RCkAIRDP90-00708R000300090001-7 of the system was to place more emphasis upon the annual planning of personnel needs rather than upon the minute review of the classification of new positions and the reclassification of existing positions. 8. Termination Policies and Practices The Director's plenary authority to terminate the employment of any officer or employee of the Agency under Section 102(c) of the National Security Act of 1947 continued to be a central feature of the Agency 1/ personnel system. It was a power which remained in the background but every effort was made to insure that full information and pertinent recommendations were available for the Director's consideration when he decided to take such action. An Employment Review Board was established in 1954 to consider separation 2/ cases of a highly sensitive nature. 1/ Public Law 253, 80th Congress, 37 Stat. 555. 2/ Memorandum for Chairman, CIA Career Service Board, from Chairman of the Legislative Task Force, 13 August 1953, Preliminary Report of the Legislative Task Force, Tab 0, SECRET, recommended the establishment of such a board which was done by CIA 1 November 1954, Separations, SECRET. 258 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A 25X1A Approved For Release 2oolgoaio :RCLAIRDP90-00708R000300090001-7 The Office of Personnel continued to furnish operating officials with technical advice and guidance on termination cases. Separations were conducted for the most part under procedures which conformed to the provisions of Civil Service Regulations. Problems of adequate documentation, legal conformance to the Veterans Preference Act, adequately designed trial periods, and suitable notification to the employee concerned in the form of warning letters and letter of charges were of concern to the Office of Personnel in 1/ disciplinary terminations. Every effort was made to avoid appeals to the Civil Service Commission since the review process might expose intelligence sources or 2/ methods.? In a few cases, those involving security considerations, the Director's plenary authority to terminate was recommended by the Director of Personnel. 1/ Office of Personnel, Material Furnished to Historical CONFIDENTIAL, in HS. CIA 10 December 1953, revised 23 ii 1955 Separation Actions, CONFIDENTIAL, and CIA 1 November 1954, Employment in Records Center. Review Board, SECRET, 2/ Memorandum for DD/CI, from DD/S, 7 May 1956, Subject: Termination of Agency Employees, SECRET, in 0/DCl/ER. During the period, actions were occasionally appealed and, in at least two instances, Agency decisions were reversed by the Commission. 259 SECRET Approved For Release 2001/03/06: CIA-RDP90-00708R000300090001-7 air Approved For Release 2oo1goaio i1CLAIRDP90-00708R000300090001-7 Toward the end of the period, the DCI apparently concluded that the termination of mediocre employees was advisable in the interest of the United States and 1/ could be effected under this same statutory provision. The details of the selection out program were worked out after the period under discussion. 9. Career Benefits The reports of some of the Task Forces made in 1953 and 1954 indicate that certain Agency officials thought at that time that membership in the Career Staff would carry certain benefits and rights which .rof would set the Staff apart from the Civil Service and gave it a position midway between the Foreign Service MEI ailli and the main body of Civil Servants. The Agency had broadened earlier the interpretation of its own authority to provide for medical care for overseas employees that was not directly connected with their 2/ employment.? Beyond this and the insurance and 1/ Memorandum for DD/CI from IG, 24 February 1956, Subject: Termination of Agency Employees, SECRET, in 0/DCl/ER. 2/ CIA 9 December 1958, Employees' Compensation and Overseas Medical Benefits, SECRET, in Records Center. 260 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 25X1A Approved For Release 2001/0R/1_,6 C,IINRpP90-00708R000300090001-7 incentive awards plans, membership in the Career Staff did not bring immediate benefits which were substantially different from those enjoyed by Civil Service employees. Continuous consideration was given during the period to ways in which career service in CIA could be made more attractive. A Legislative Task Force reported in August 1953 on suggestions related to legislation that might be required for the establishment of a career 1/ serviceT It proposed a statutory basis for a CIA career service similar to that of the Foreign Service. Its proposals included additional medical benefits, educational allowances, a more liberal retirement system, and certain home leave benefits for employees who had served long periods of time overseas. Amendments of Central Intelligence Act of 1949 which dealt with home leave, travel, storage, transportation, and medical care of dependents were proposed to Congress in 1956. The DCI pointed out in a letter accompanying the bill that the Agency was not requesting benefits or privileges over and beyond those enjoyed or being requested by 1/ Memorandum for Chairman, CIA Career Service Board from Chairman of the Legislative Task Force, 13 August 1953, Preliminary Report of the Legislative Task Force, SECRET, in Records Center Job 58-166. 261 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/03/g6i q,111-.11M0-00708R000300090001-7 aw other agencies with important responsibilities in the 1/ foreign field.? The bill was not passed by this ri? awl MEI row old anmi Congress. As the period ended, the Agency was planning to redraft and resubmit the amendments at the next 2/ Congress. One of the employee benefits systems that was improved during the period was the insurance and claims program for Agency personnel which was run by the Employee Services Staff in the beginning of 1953, by the Insurance and Claims Branch of the Employee Services Division after the reorganization of September 1953, and by Insurance and Casualty Division after the reorganization of June 1955. This activity included Agency-sponsored insurance programs, the Federal Employees Group Life Insurance program, and casualty benefits under the Federal Employees Compensation Act and under the Central Intelligence Agency Act. Included in these programs were life, health and accident, 3/ hospitalization, and air travel insurance. 1/ Congressional Record, 15 May 1956. 2/ Comptroller, Bureau of the Budget Hearings on FY 1958 Budget, 26 October 1956, SECRET, in Records Center Job 59-417. 3/ Office of Personnel Memorandum No. 20-190-17, 15 June 1955, Assignments of Personnel, SECRET, in OP. 262 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 alit aml MIS Approved For Release 2001/0IOp ?cCitALR9P90-00708R000300090001-7 The staff engaged in these activities issued insurance policies, collected premiums, adjusted claims, and maintained liaison with underwriters. The mandates of Agency security required an unusual type of handling in administering the insurance, benefit and casualty functions. These programs were maintained in a secure manner by retaining all individual insurance records 1/ within the Agency.? With the adoption of new insurance plans, there was a considerable increase in the number 2/ of new applications for coverage. In discussing a recommendation of the Inspector General regarding pushing claims under Federal Employees Compensation Act, the Director of Personnel pointed out that the Department of Labor Bureau in charge had expressed the view in 1954 that claims submitted by CIA were as thoroughly investigated and as well documented as any they received. A comparison of .a 1/ Comptroller, Bureau of the Budget Hearings on FY 1958 Budget, SECRET, in Records Center Job 59-417. 2/ CIA, Estimate of Requirements, FY 1957, SECRET, ? 20 September 1955, in Records Center Job 58-437. .1?11 263 ass SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2oolinop :cChN-LRIF90-00708R000300090001-7 the percentage of CIA claims approved compared favorably with the average percentage of claims approved in the Government as a whole. Through experience in the actual processing of cases, the Bureau of Employee's Compensation became increasingly familiar with the requirements of the 1/ -unusual cases peculiar to CIA. The incentive awards system was continued and expanded during the period. This system provided for the granting of Honor and Suggestion Awards to persons who significantly contributed to the intelligence effort of the United States or who contributed to the efficiency of operations, security, morale, or working conditions of CIA. The Incentive Awards Committee (later called the Incentive Awards Board and still later the Suggestion Awards Committee) and the Honor 2/ Awards Board were continued as separate bodies. Until August 26, 1955 responsibility for the administration mw of these two programs was in the Office of Personnel but on that date the Incentive Awards Program was transferred 411111 1/ Memorandum for DCI from PD, 15 January 1954, IG's Report on Personnel Office, SECRET, in Records Center Job 57-596. 25X1A 2/ CIA 21 April 1953, Incentive Awards Program,, in Records Center and CIA 25X1A20 February 1953, Honor Awards, SECRET, in Records 25X1A Center. 264 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2oo1io3Jop :ccift-p;r90-00708R000300090001-7 1/ to the Management Staff.? The Honor Awards Program mr for personal deeds of valor and for singularly meritorious performance remained under the supervision of the Office of Personnel. In 1953 the Agency secured Presidential 2/ approval for the National Security Medal.? With the 01110 adt passage of the Government Employees' Incentive Awards Act of 1954 the top amount of an incentive award that could be granted by the Agency was increased from $1,000 t $5,000 but system of salary increases for superior 3/ accomplishment was eliminated.? Under liberalized rules, intangible benefits to the Agency as well as tangible benefits were considered in making Suggestion 4/ Awards. On his comments on Career Service after eight years experience with the system, the DD/S said that there was 25X1A 25X1A 25X1A 25X1A 1/ 2/ 3/ 4/ 26 August 1955, Incentive Awards Board, SECRET, in Records Center. 21 May 1953, Honor Awards, , in Records Center. 13 January 1955, Incentive 7TWTPUT-P777MIT-gRatt, in Records Center. 23 July 1956, Honor and Awards, SECRET, in Records Center. 265 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 err *IV .111411 Approved For Release 2001/03/96E: ptlIDIF'90-00708R000300090001-7 more good to be gained from striving for intangible benefits brought about by good personnel administration and good management than from emphasizing tangible benefits. He nevertheless thought that tangible benefits were important for the appropriate people under the right circumstances. In the beginning too much emphasis had been placed on tangible benefits. This was a false lure and an unfortunately false goal for the members of the Career Service. Realistic and reasonable benefits would evolve naturally as a result of improved and seasoned personnel practices and when conferred in the proper context - i.e., recognized accomplishment in reference 1/ to stipulated Agency needs - would be accepted by all. 10. General Trends During the period CIA scaled down its ambitious plans for recruiting new personnel. While there was increased emphasis upon rotation between headquarters and the field, there was a decrease in overseas staff positions. 1/ Memorandum for DCI from DD/S, 17 May 1960, Response to Inspector General's Survey on Career Service, CONFIDENTIAL. 266 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Approved For Release 2001/0?/C16 bCAAER9P90-00708R000300090001-7 Increased attention was given to long-range career planning, to the re-examination after three years of the question of suitability, and to office-wide and Agency-wide personnel needs. CIA moved in the direction of a personnel system which gave the operating components a greater degree of flexibility to utilize their assets to meet work requirements than would have been possible had the Agency adhered rigidly to the Civil Service classification system which required that a position of a given grade had to be ffEed by a person who had the qualifications for that grade. The new CIA system provided for an over-all grade authorization. As long as a component stayed within its ceiling and grade control system, it could shift people around and promote them competitively, without coming back to the Management Staff, the Office of Personnel, and the DD/S for reclassification. The new system gave top management an opportunity to plan salary and wage scale and manpower needs for an entire year. The Agency system did not emphasize the man as did the Foreign Service of the Department of State under which a Foreign Service Officer was given a grade and it was up 267 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 - mot Approved For Release 2001 3IO@ :RCLAaRDP90-00708R000300090001-7 to the Personnel Office to find him a position. The CIA system was in between the Civil Service system and the Foreign Service system. It established a framework of jobs on the basis of reasonable cost and at the same time permitted persons to be promoted on a competitive basis. 268 SECRET Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 Secret -Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7 CIA Internal Use Only Access Controlled by CIA Historical Staff Secret Approved For Release 2001/03/06 : CIA-RDP90-00708R000300090001-7