SUPPORT BULLETIN FOR INFORMATION OF HEADQUARTERS AND FIELD PERSONNEL

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-04724A000100080002-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 27
• Document Creation Date: December 12, 2016
• Document Release Date: August 30, 2002
• Sequence Number: 2
• Publication Date: February 1, 1958
• Content Type: BULL

4pproved For Release 2002/09/03: CIA-,RDp78-04724A000100080
25XT
January- February 19'558
'SEC1
F J
SUPPORT BULLETIN
FOR INFORMATION OF HEADQUARTERS
AND FIELD PERSONNEL
SECRET
This document Is part of an Integrated
file. If separated from the file It must be
subjected to Individual systematic review.
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 Lpproved For Release 2002/09/03 : CIA---RDP78-04724A000100080002-5
SB.-8
LEGISLATION
The Congress reconvened on 7 January;
however, some Congressional committees were
hard at ,work prior to that time. Sputniks,
missiles, and the general status of scientific
developments will naturally be given priority
consideration. However, another subject will
also be given immediate treatment - Federal
pay raises. Some bills were introduced on the
first day of this session and, as indicated in
previous bulletins, other bills were introduced
in the first session.
Two separate articles are included in this
-issue of the bulletin on the subject of pay
raises - one devoted to civilian pay raises and
the other to military pay- raises. Although it
cannot be predicted what bills will succeed
or what the increases will be, it is generally
agreed that a pay increase for civilian and
military personnel will become law during this
session.
After weighing all of the factors, the Or-
ganization has decided not to submit any
career benefit legislation, particularly in,the
field of retirement, to this session of the Con-
gress.
CIVILIAN PAY RAISES
This article highlights the main provisions.
of the Administration's pay plan and compares
it with the one proposed by the Senate Civil
"Service Committee.
ADMINISTRATION PLAN
The Administration plan calls for:
a. An average increase of 6.4 percent
for Classified employees.
b. A new system of merit raises for out-
standing. Classified employees.
c. Elimination of the present legal limit
on so-called supergrade (GS-16 thru GS-
18),jobs in Government.
d. Elimination of the present limit on
a special group of scientists and engi-
I I 25X1
neers, hired outside the Classification Act,
at salaries ranging from 12,000 dollars to
19,000 dollars.
e. Higher starting salaries for college
graduates entering Government in the
professional and managerial fields.
f. A new ceiling of 19,500 dollars on
Classified pay-as a substitute for the
present. 16,000 dollars. (The 16,000 dol-
lars is now the single rate for the hand-
ful of employees in Grade GS-18. Un-
der the Administration's proposal, GS-18
would have four steps - 18,000 dollars,
18,500 dollars, 19,000 dollars and 19,500
dollars.)
One of the stated aims of the Administra-
tion's plan is to make Government careers
more attractive to employees in the upper and
middle brackets. Thus, it proposes a fiat 6
percent increase for Classified workers in
Grades GS-1 thru GS-10; 7.5 percent for those
in GS-11 thru GS-14; and 12.5 percent in
GS-15 thru GS-18.
Said one high Administration official:
"The proposal includes, as a primary
objective, more adequate compensation
for those whose present salaries are shown
to be substantially less than salaries for
non-Federal employment when compared
with positions of similar responsibility.
"The proposed realignment of the Clas-
sified Act pay schedule affects particu-
larly the middle and top bracket levels,
which include the thousands of employees
in the scientific, engineering, managerial,
and other professional categories. . . . .
"This realignment will establish great-
er intergrade differentials in the upper
grades, thus eliminating as much as pos-
sible the compression which has occurred
in those grades in recent years."
The new plan would make GS-7, instead of
the present GS-5, the starting salary for col-
lege graduates in scientific, professional, and
managerial jobs. The Civil Service Commis-
sion would determine which jobs started at
GS-7.
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W 1;W
Administration officials, however, told mem-
bers of Congress in a written statement ex-
plaining the new plan:
"This does not mean that the entry
level for one profession will be fixed at
GS-7 and the entry level for another at
GS-5. Nor does it mean that all GS-5
jobs now filled thru the Federal Service
Entrance Examination will be reclassi-
fied to and recruited at GS-7.
"Many of these GS-5 jobs are clerical,
subprofessional, and semimanagerial
rather than entry-level professional and
managerial jobs, and upward classifica-
tion of such jobs will not result. . . . ."
Present starting pay in GS-5 is 3,570 dollars
per year. Beginner scientists and engineers,
however, are hired at the top step of GS-5,
which is 4,480 dollars. After 6 months serv-
ice, they advance automatically to the top
step of GS-7, which is 5,335 dollars. Under
the new plan, beginners in the scientific, pro-
fessional, and managerial fields would be hired
at 4,800 dollars, which is the proposed new
bottom step of GS-7.
The Senate plan differs with the Adminis-
tration's plan in that it provides for:
a. A flat across-the-board increase of
7.5 percent for all employees.
b. A ceiling of 16,000 dollars on salaries
with certain specified exceptions.
c. A freeze on civilian employment dur-
ing the calendar quarter beginning 1
October 1957, with some exceptions.
d. Restrictions on appointments dur-
ing succeeding calendar quarters, i.e., ap-
pointments may not be made to- more
than one third of the vacancies occur-
ring during the preceding quarter, again
with certain exceptions.
One amendment to the Senate Bill would
make the increases retroactively effective to
1 October 1951. The chart on the opposite
page sets forth the comparison between the
present rates and the proposed changes in
pay rates for classified employees.
SB-$
TRAINING ENROLLMENT INCREASES
Organization employees are continuing to
undertake more and more internal training
in order to further their careers. In conse-
quence, the Office of Training is offering more
courses now than ever before.
Another indication of employees' desire for
knowledge is the ever-increasing number of
requests for external training. Out of 1200
requests received during 1957, 95 percent were
approved, and the trainees are now increasing
their qualifications for Organization work by
study in new fields or by improving their
efficiency in fields in which they had limited
knowledge.
These people are building the Organization
and will experience the great degree of satis-
faction that only personal accomplishment
can bring.
PROGRESS REPORT
The Language Development Program has
completed a year of solid progress. .
Results since 4 February 1957 can be sum-
marized simply : Participation in the program
ran high and still does; scores of people have
set aside their prework and postwork hours
for study and classwork; books, tapes, and lab-
oratory facilities have been in such demand
that additional facilities have had to be pro-
vided; some of the more unusual languages
have been introduced into the program; the
Language Qualifications Register, result of
the tremendous response to the Language
Data Record, is currently. up-to-date; lan-
guage proficiency tests for all languages on
the awardable list have been scheduled for
headquarters personnel whose eligibility for
awards occurs during the period of 4 February
to 30 June; and the first awards were granted
for achievement of awardable levels of profi-
ciency in specific languages.
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*901 O
Grade
Step
1
2
8
4
5
6
7
GS-1
Present rate -----------
$2,690
$2,775
$2,860
$2, 945
$3, 030
$3, 115
3,200
Administration plan---
2, 855
2,945
3,035
3, 125
3,215
3,305
3,395
8.734 ------------------
2,890
2,980
3,070
3, 160
3,250
3,340
3,430
Difference '------------
+35
+35
+35
+35
+35
+35
+35
GS-2
Present rate -----------
2,960
3,045
3,130
3, 215
3,300
3, 385
3,470
Administration plan--.
3,140
3, 230
3, 320
3, 410
3,500
3,590
3,680
S.7-34 __________________
3,180
3, 270
3, 360,0
3, 450
3,540
3, 630
3, 720
Difference '------------
+40
+40
+40
+40
+40
+40
+40
GS-3
Present rate -----------
3,175
3, 260
3,345
3,430
3, 515
3, 600
3.685
Administration plan---
3, 370
3,460
3, 550
3, 640
3,730
3,820
3, 910
S.734 ----------- - -----
3,415
3, 505
3, 595
3, 685
3, 775
3,865
3,955
Difference '------------
+45
+45
+45
+45
+45
+45
+45
GS-4
Present rate ------------
3,415
3,500
3, 585
3, 670
3, 755
3,840
3,925
Administration plan---
3,625
3, 715
3,805
3, 895
3, 985
4,075
4, 165
9.734 ------------------
3,670
3,760
3, 850
3, 940
4, 030
4, 120
4, 210
Difference 1------------
+45
+45
+45
+45
+45
+45
+45
GS-5
Present rate -----------
3,670
3, 805
3,940
4,075
4, 210
4, 345
4, 480
Administration plan---
3,895
4,040
4,185
4,330
4,475
4, 620
4, 765
8.734 -------------------
3,945
4,090
4, 235
4, 380
4, 525
4, 670
4, 815
Difference 1------------
+50
+50
+50
+50
+50
+50
+50
05-6
Present rate -----------
4,080
4,215
4, 350
4,485
4,620
4, 755
4,890
Administration plan---
4,325
4, 470
4, 615
4,760
4,905
5,1050
5,195
8.734 ------------------
4,385
4,530
4, 675
4, 820
4, 905
5, 110
5,255
Difference 1............
+60
+60
+60
+60
+00
+60
+60
GS-7
Present rate -----------
4,525
4,660
4,795
4, 930
5, 005
5,200
5,335
Administration plan ---
4,800
4,940
5,090
5, 235
5, 380
5, 525
5,670
S.734 ------------------
4,865
5,010
5,155
5, 300
5, 445
5, 590
5,735
Difference 1-------------
+65
+65
+65
+65
+65
+65
+65
05-8
Present rate -----------
4,970
5,105
6,240
5, 375
5, 510
5,645
5,780
Administration plan--_
5, 270
5, 415
5,560
5, 7(i5
5, 850
5, 995
6,140
8.734 ------------------
5,345
5,490
5,635
5,780
5,925
6,070
6.215
Difference 1------------
+75
+75
+75
+75
+75
+75
+75
05-9
Present rate -----------
5,440
5,575
5, 710
5,845
5,980
6.115
6,250
Administration plan_-_
5,770
5, 915
6,060
6, 205
6, 350
6, 495
6,640
8.734 ------------------
5,850
5, 995
6,140
6, 285
6, 430
6, 575
6, 720
Difference'............
+80
+80
+80
+80
+80
+80
+80
GS-10
Present rate -----------
$5,915
$6.050
$6,185
$6,320
$6,455
$6, 590
$6, 725
Administration plan ---
6,270
6,415
6, 560
6, 705
6,850
6,995'
7, 140
S. 734. _________________
6,360
6,505
6, MO
6,795
6, 940
7, 085
7, 230
DifTerence 1------------
+90
+90
+90
+00
+90
+90
+90
GS-11
Present rate -----------
6,390
6, 605
6, 820
7,035
7,250
7,465
------
Administration plan---
6, 880
7,110
7, 340
7,570
7,800
8,030
------
S. 734 ------------------
6,870
7, 100
7, 330
7,560
7, 790
8,020
------
Difference 1------------
-10
-10
-10
-10
-10
-10
------
GS-12
Present rate -----------
7,570
7,785
8, 000
9,215
%430
8,645
------
Administration plan ---
8, 150
8, 380
8, 610
8,840
9,070
9,300
------
S.734 ------------------
8,140
8, 370
8,600
8, 830
9,060
9,290
------
Difference 1------------
-10
-10
-10
-10
-10
-10
------
GS-13
Present rate ------------
8,990
9,205
0,420
9, 635
9,850
10,065
------
Administration plan---
9,675
9,905
10, 135
10, 365
10, 595
10, 825
------
S. 734---------- -------
9,750
10, (810
10,250
10, 500
10, 750
11,000
------
Difference.' ------------
+75
+95
+115
+135
+155
+175
____--
GS-14
Present rate -----------
10,320
10, 535
10,750
10, 905
11,180
11,395
_---_-
Administration plan---
11,105
11, 335
11,1565
11,795
12, 025
12, 255
------
8.734 ------------------
11,250
11,500
11,750
12,000
12, 250
12, 500
_____-
Difference 1------------
+145
+105
+185
+205
+225
+245
------
GS-15
Present rate -----------
11,610
11, 880
12, 150
12,420
12,690
_______
------
Administration plan---
13,000
13, 425
13, 850
14, 275
14, 700
_______
------
S.734 ------------------
12,600
12, 900
13, 200
13,500
13, 800
-------
____._
Difference 1------------
-400
-525
-650
-775
-900
-------
------
GS-16
Present rate -----------
12,900
13,115
13, 330
13, 545
13, 760
_______
------
Administration plan---
14,500
15, 000
15, 500
16, 000
16, 500
_______
------
,9.734 ----------------__
14,000
14, 300
14, 600
14,900
15, 200
-------
------
D iff erence 1------------
-500
-700
-900
-1, 100
-11300
_______
------
(M-17
Present rate ------------
13,975
14,190
14,405
14,620
14,835
_______
______
Administration plan---
16, 000
16, 500
17, 000
17, 500
18,000
_______
------
S. 734------------------
15,500
15, 800
10, 100
16, 400
16,700
_______
------
Difference 1____________
-500
-700
-900
-1,100
-1,300
_______
------
GS-18
Present rate -----------
16,000
-------
-------
-------
-------
-------
------
Administration plan---
18, 000
18,500
19, 000
19,500
_______
_______
------
S. 734------------------
S. 734-
17.500
-------
-----
- --
---
- -
nee 1------------
.500
1-1,000
-1, 500
SECRET
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Taw S~I
58-8
SECRET
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 roved For Release 2002/09/03 CIA-E2DP78-04724A000100080002-5
SECRET
MILITARY PAY RAISES
The Administration has proposed a "funda-
mental" change in the military pay system
which would give a large majority of men in
uniform a mii imum 6 percent pay raise.
A detailed plan to revamp existing pay rates
of servicemen has been presented to Congress,
basing compensation on merit and skill rather
than length of service. Seven out of 10 mem-
bers of the active forces would benefit.
The plan couples the recommendations of
the salary study (made several months ago in
.the military), aimed at keeping skilled leaders
and technicians in service, with a 6 percent
cost-of-living rise for everyone with more than
two years' service.
Four-star generals and admirals would get
an additional 423 dollars and 60 cents a
month, making a yearly salary, including al-
lowances, of 24,093 dollars - more in line with
top executives in industry.
Many higher grade enlisted men would re-
ceive raises of more than 100 dollars a month.
An Air Force master sergeant, for example,
now drawing 261 dollars and 30 cents a month
in base. pay on 10 years' service, could earn up
to 440 dollars monthly plus allowances.
Officers and men serving their initial two
years'. obligated service generally would re-
ceive no increases, although a quirk of the bill
would give second lieutenants an additional
70 cents a month.
The plan follows the recommendations of
the aforementioned salary study in many re-
spects, but there are these differences:
. SB-8
It also creates two new supergrades for en-
listed-men, above master sergeant. The Army
and Marines are expected to call the new
ranks "sergeant major" and "sergeant, first
class" - existing ranks with pay equal to
master sergeant. Navy and Air Force titles
for the supergrades have not been settled.
The ranks of three- and four-star general
also would be two new supergrades. Now
such officers receive the base pay of a major
general plus a special money allowance.
The chart on the opposite page sets forth
the proposed changes in the basic pay scales.
25X1
a. Present retired personnel are ex-
cluded from the benefits of the new rates,
although past pay raises largely have in-
eluded them.
b. The new pay rates for enlisted men
would go into effect 2 July, but those
for officers - above the 6 percent cost-of-
living rise - would be spread over 4 boosts
within 3 years.
c. The raises for top-ranking officers,
while substantial, are lower than those
proposed by the salary study.
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Sao", N"01
SB-8
PROPOSED ENLISTED BASIC PAY SCALE
Years of Service in Grade
Dollars per Month
Pay Grade 0 to 2 2 to 4 4 to 6 6 to 8 Over 8
tE-9 Sergeant Major 400.00 410.00 420.00 430.00 440.00
j?E-8 1st Sergeant 350.00 360.00 370.00 380.00
E-7 Master. Sergeant 300.00 310.00 320.00 330.00
E-6 Sergeant 1st class 250.00 260.00 270.00 280.00
E-5 Sergeant 210.00 220.00 230.00
E-4 Corporal 140,00 180.00
E-3 Private 1st class 99.37 117.00
E-2 Private (over 4 mo.) 85.80
E-1 Private (under 4 mo.) 78.00
PROPOSED OFFICER BASIC PAY SCALE
Years of Service In Grade
Pay
Grade
$0-10 General
1:0- 9 Lt. General
*0- 8 Maj. General
0- 7 Brig. General
0- 6 Colonel
*0- 5 Lt. Colonel
0- 4 Major
0- 3 Captain
0- 2.: 1st Lieutenant
Entry
Pay
1700
1500
1350
1200
950
710
530
420
335
223
0- 1 2nd Lieutenant
1-2 2-3 3-4 4-5 5-6 Over 6
`1005 *1065
750 m 795 *840
560 595 630
432 445 458 471 485 500.
345 355 365 375
244 268
*Includes "active duty pay supplementals," paid only to active duty
officers and not to retired personnel or reservists in training for less than
30 days, amounting to: 0-5, 50; 0-6, 100; 0-7, 100; 0-8, 50.
tProposed new ranks.
$Proposed new pay grades.
(Military personnel on active duty receive rental, subsistence and other
allowances in addition to basic pay.)
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SB-8
It's a fact'! You can gain up to 30 percent
more filing space by following these tips :
? Use heavy-duty pressboard folders only if
lighter weight kraft ones would have to be
replaced during the active life of the files.
A heavy-duty folder requires over three
times as much space as a kraft folder ;and
costs 23 cents more.
? Use file fasteners mainly for case or project
files. Use loose filing whenever you can.
It requires less space and up to 50 percent
less time.
Fasteners and heavy-duty folders eat up
filing space. The chart below shows what
can happen in a typical file.
WHAT HAPPENS WHEN YOU USE
FASTENERS AND HEAVY-DUTY
PRESSBOARD FOLDERS
(Assuming each folder
holds about of material)
NO. OF
DRAWERS
REQUIRED
300 lighter weight
folders, no fasteners . . . . . .
4
300 lighter weight
folders, one fastener . . . . .
41/3
300 pressboard
folders, no fasteners . . . . .
43/4
300 pressboard
folders, one fastener . . . .
51'/1
300 pressboard
folders, two fasteners . . . . .
7
USE THE RIGHT TYPES OF CARD-FILING
EQUIPMENT
For instance, a 1,200-card visible-index safe
cabinet takes up about six sq. ft. of floor space
and costs about 440 dollars. In comparison,
the tray shown in the next column holds the
same number of cards, can be stored in a file
drawer., and costs only about 5 dollars. Build-
ing Supply Rooms have these trays for dif-
25A9rent card sizes.
This comparison does not imply that visible
card files should not be used. On the con-
trary,` visible-filing systems, with their many
advantages for posting, signaling, and rapid
reference, do have a definite place in today's
modern offices. The point is simply this - the
need for a visible system should be carefully
weighed against the additional costs for equip-
ment and space.
The demand for greater efficiency, and in-
creasing curbs on space, have brought forth
many improvements in card-filing equipment.
In particular, units are more compact to
bring more records within reach of the clerk
and to. reduce the outlay for space and equip-
ment. One of these units may be the answer
to your problem. See your Records Officer or
contact the Records Management Staff for
advice.
Future articles in this series will give you
more help in relieving today's space problems
and will provide standards for better space
utilization in the new building.
EMPLOYEE BENEFITS
Next month we will publish a special issue
of the Support Bulletin, devoted exclusively to
employee benefits, which will cover such
things as widows' benefits, retirement, medical
and insurance coverage, and welfare funds.
This Bulletin will be widely distributed and
should be retained for future reference.
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 4A pproved For Release 2002/09/03 : CIP78-04724A000100080002-5
Nagle
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SECRET
THE MILITARY RESERVE FORCES
All employee reservists in the Organization
have now been classified into mobilization
categories and this information furnished to
-the military services. The article "Military
Reserve Status Information" in the February
1957 issue of this bulletin describes these cat
egories. Employee reservists may now ascer-
tain their mobilization category from their
administrative or personnel officers in the Or-
ganization.
This classification program is tied in with
.current legislation applying to the reserves,
particularly the Reserve Forces Act of 1955.
This Act requires the Services to maintain a
constant screening of the Reserve Forces to
eliminate from the Ready Reserve all individ
uals who are not immediately available for
active duty in event of emergency. The Ready
Reserve is designed to meet the augmenta-
tion requirements of the Military Services in
a brush-fire type of emergency or during the
early phases of a war or general mobilization.
It, therefore, includes all of the organized
portion of the Reserve Forces and is to be kept.
in an advance state of readiness. The Stand-
by Reserve, on the other hand, is essentially
a non-organized pool from which the experi-
enced personnel needed for the secondary
phases of a war or general mobilization would
be obtained through a process of selective
service.
The Ready Reserve is liable to be ordered to
active duty in case of war or national emer-
gency when proclaimed by the President as
well as when declared. by the Congress. In the
case of an emergency proclaimed by the Pres-
ident, however, Congress has reserved the
right to determine the number to be called.
The statutory limit of the Ready Reserve is
now 2,900,000 including members who are
serving on extended active duty with the Reg-'
ular Forces. Members of the Ready Reserve
are expected to attend regularly scheduled
drills when possible in addition to annual
periods of active duty for training, and are
eligible to receive pay for this participation.
Reservists who no longer have a statutory
obligation to remain in the Ready Reserve are
10
SB-8
required by their service to sign an affidavit
agreeing to continue as a Ready Reservist for
a stated minimum period.
The Standby Reserve is subject to active
duty only in time of war or national emer-
gency declared by the Congress, and under
the.present concept none of its members, even
at such times, will be ordered to active duty
until the Selective Service System has deter-
mined whether the Standby Reservist is more
essential to the defense effort in the military
service or in his civilian pursuit. In other
words, although Standby Reservists remain
subject to military control under appropriate
conditions, Selective Service determines their
availability for military service. Members of
the Standby Reserve who perform Reserve
training or complete required correspondence
courses are entitled to the award of retire-
ment and promotion-point credits just as are
members of the Ready Reserve. They will not
be paid for such participation, however, nor
will they be eligible to receive pay for periods.
of active duty for training.
Organization reservists overseas who have
received a Selective Service Reserve Question-
naire should fill it out as fully as possible, sign
it and return through channels to headquar-
ters. When the individual receives notifica-
tion of his Selective Service System category,
he should advise his.administrative or person-
nel officer in order that this information may
be included in his Official Personnel Folder.
GIMMICK ATTACHED TO PAY PLAN
The Administration's new Federal employee
pay-raise plan includes a gimmick designed
to mare grade-to-grade promotions more at-
tractive to the Classified employees who win
them.
Here's the plan:
All Classified grades except GS-18 have
several within-grade pay steps thru which
employees advance on a seniority basis. And
all except GS-16, 17, and 18 have 3 longevity
grades for employees with extra-long service
in particular grades.
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The top steps of many grades overlap the
lower steps of the next higher grades.
Accordingly, under present law, when an
employee is promoted from one grade to an-
other, his new salary must be at least one
within-grade step greater than his old - pro-
vided this doesn't involve assigning him to a
longevity step.
Under the Administration's plan, his new
salary would have to be at least two steps
greater. If necessary to insure this, the em-
ployee could be assigned to a longevity step
of his new grade.
CREDIT UNION ANNUAL MEETING
The Credit Union held its 10th Annual Meet-
ing on 21 January 1958 to declare dividends
and elect officers and various committee mem-
bers.
The Board of Directors, conscious of the true
non-profit policy of Credit Unions in general,
recommended the highest possible dividend,
of 4.5 percent, conforming with sound Credit
Union management practices. This was read-
ily accepted by unanimous consent of the
members. The president of the Credit Union
reported that, although there have been many
policy and bylaw changes in the past years
consisting mostly of liberalized loan policies
and limits on share deposits, the year 1957
showed a healthy growth with no major
changes.
The Credit Union, which was organized in
December 1947, has had its growing pains.
Reaching its first million in assets in 1952, it
has now grown to a strong 4.5 million
dollars in assets. Among approximately 175
Credit Unions in the Metropolitan area, we
are one of the largest. The Board of Direc-
tors and the members of the various Credit
Union Committees deserve much credit for
their work in building up the Credit Union.
These Organization officials have accepted
SFCRF?
these responsibilities as extra-duty activities
and receive no remuneration for the many
hours devoted to the Credit Union.
THE NATIONAL DEFENSE
EXECUTIVE RESERVE.
An Executive Reserve, which will be avail-
able to supplement the top staff of our Or
ganization in the event of emergency,. is now
organized. This civilian program, which is
governmentwide, has progressed considerably
since it was first described in the September-
October issue of this bulletin.
Twenty-three individuals have been ap-
proved by the Director for service as Executive
Reservists. The Reserve Unit in the Organi-
zation at this time is made up of, although.
not limited to, consultants and former em-
ployees. It is composed of leaders from all
parts of the country. They are experienced
executives and professionals from industry
and private institutions who have agreed in
peacetime to give their time for participation
in periodic training and in the testing of mo-
bilization plans during emergency exercises
and in wartime for full-time employment.
It is of interest that fifteen Government
departments and agencies have established
Executive Reserve Units having a combined
membership of approximately 1,000 Executive
Reservists. These are outstanding executives
and administrators from all parts of the coun-
try; from large and small industries; from the
professions, labor, agriculture and public and
private institutions. It is anticipated that
there will be approximately 2,500 Reservists
designated by 1 July 1958.
The Secretary of, Commerce and the Direc-
tor, Office of Defense Mobilization sponsored
a two-day conference of National Defense
Executive Reservists which was attended by
1,300 persons. The President, the Vice Presi-
dent, the Secretary of State, the Secretary of
Defense and other high-ranking. officials spoke
to the group.
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INCOME TAX RETURNS
(Reporting of Travel and Reimbursable Ex-
penses)
There has been a good deal of interest in
the recent announcements by the Commis-
sioneir of Internal Revenue on reporting of
travel and reimbursable expenses on your U. S.
Individual Income Tax returns. The new
(1957) tax forms now provide a special line,
item 6 (a), on page 1 for these expenses. After
first indicating that compliance would be ex-
pected, the Commissioner later stated that the
taxpayer would not be expected to report line
6 (a) information for 1957. However, he made
it clear that the information would be ex-
pected and the requirement enforced for 1958.
You may want to know how this affects you
personally.
Actually, there is no change in the Tax Code
or the regulations. As an employee, you are
expected to add to your gross income any pay-
ments you receive for travel or per diem. You
should then itemize the actual expenses and
enter the total on line 6 (a) on page 1 of Form
1040. The difference between actual expense
and the amount you have received will thus
be reflected as either additional taxable in-
come or deduction from gross income in reach-
ing your adjusted gross income. Any deduc-
tion here would not affect your right to take
a standard deduction in lieu of itemizing your
personal deductions on page 2 of the return.
In the case of many Organization personnel,
security considerations have probably pre-
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vented itemized accounting. Coupled to this
has been the practical aspect that reimburse-
ment seldom if ever resulted in added taxable
compensation, and any excess ? available as a
deduction has generally been negligible. So
the result more often than not, we suspect,
was the omission of this information. And
seldom was this omission remarked by Inter-
nal Revenue. The picture has now changed.
While the crackdown is probably aimed
mainly at the high-expense-account employee
in private industry, there is no doubt that Gov-
ernment employees fall within the technical
requirements. Just how it will affect em-
ployees of this Organization is not yet clear.
So far, the people in the Internal Revenue
Service continue to understand our difficulties
in providing itemized travel and other opera-
tional expenses. At the same time, they are
not yet sure how much force they will be ex-
pected to exert. Congressional reaction may
influence the situation too.
For the moment, it would seem desirable
for everyone who can do so without undue
risk to security to keep a fairly specific tax
diary. Then if, at the end of the year, the
information is required and can be safely pro-
vided, it will be accurate. In the meantime,
every effort will be made to reach a firm
understanding with the Internal Revenue
Service on the application of this requirement
to the various classes of Organization person-
nel.
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21A
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/ On the job 8 hrs. A-Annual Leave S-Sick Leave W-LWOP C-Compensatory Time Off
M-Military Leave J-Jury Leave O-Overtime H-Holidays ^ Saturdays and Sundays
NOTE: Your Leave Year started on Jan. 12, 1958 and will end Jan. 10, 1959.
Employees desiring to keep an accurate record of their Annual and Sick Leave may find the above
chart useful.
The "H" is for holiday and the heavy black lines set off Saturdays and Sundays, nonwork days for
most employees.
You earn Annual Leave on the following schedule: 4 hours for each of the 26 pay periods, or 13 days a
year, during your first 3 years of service; 6 hours per pay period, or 20 days, if you have between 3 and 15
years of service (you'll get 10 hours for the last pay period, to round out your 20 days), and you'll get 8
hours, or 26 days, if you have 15 or more years of service.
Sick Leave is the same for everyone, 4 hours each pay period, or 13 days a year, and there is no limit
on the amount that can be accumulated. But there are legal limits on the amount of Annual Leave that
can be carried over from one year to another. ailed information on the accumulation and use
of Annual and Sick Leave please consult R anal I
Copies of the chart are available in the Printing Services Division and may be obtained through your
administrative channels. Requests must be submitted so as to reach the Printing Services Division by I
April 1958.
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SUPPORT BULLETIN
FOR INFORMATION OF HEADQUARTERS
AND FIELD PERSONNEL
This document is part of an integrated
Me. If separated from the file It must b.
subjected to Individual systematic revieA
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)WW
THE CALF-PATH
One day through the primeval wood
A calf walked home as good calves should;
But made a trail all bent askew,
A crooked trail as all calves do.
Since then three hundred years have
And I infer that calf is dead.
But still he left behind his trail,
And thereby hangs my moral tale.
The trail was taken up next day
By a lone dog that passed that way;
And then a wise bell-wether sheep
Pursued the trail o'er vale. and steep,
And drew the flock behind him, too,
As good bell-wethers always do.
fled,
And from that day, o'er hill and glade,
Through -those old woods a path was made.
And many men wound in and out,
And dodged and turned and bent about.
And uttered words of righteous wrath
Because 'twas such a crooked path;
But still they followed - do not laugh -
The first migrations of the calf,
And through this winding wood-way stalked
Because he wobbled when he walked.
This forest path became a lane,
That bent and turned and turned again;
This crooked lane became a road,
Where many a poor horse with his load
Toiled on beneath the burning sun,
And traveled some three miles in one.
And thus a century and a half
They trod the footsteps of that calf.
The years passed on in swiftness fleet,
The road became a village street;
Published in Personnel Administration, May 1945
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And this, before men were aware,
A city's crowded thoroughfare.
And soon the central street was this
Of a renowned metropolis;
And men two centuries and a half
Trod in the footsteps of that calf.
Each day a hundred thousand rout
Followed this zigzag calf about
And o'er his crooked journey went
The traffic of a continent.
A hundred thousand men were led
By one calf near three centuries dead,
They followed still his crooked way
And lost one hundred years a day;
For thus such reverence is lent
To well-established precedent.
A moral lesson this might teach
Were I ordained and called to preach;
For men are prone to go it blind
Along the calf-paths of the mind
And work away from sun to sun
To do what other men have done.
They follow in the beaten track,
And out and in, and forth and back,
And still their devious course pursue,
To keep the path that others do.
They keep the path a sacred groove,
Along which all their lives they move;
But how the wise old wood-gods laugh,
Who saw the first primeval calf.
Ah, many things this tale might teach -
But I am not ordained to preach.
BY SAM WALTER Foss
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LEGISLATION
The Congress reconvened on 7. January;
however, some Congressional committees were
hard at work prior to that time. Sputniks,
missiles, and the general status of scientific
developments will naturally be given priority
consideration. However, another subject will
also be given immediate treatment - Federal
pay raises. Some bills were introduced on the
first day of this session and, as indicated in
previous bulletins, other bills were introduced
in the first session.
Twb separate articles are included, in this
issue of the bulletin on the subject of pay
raises - one devoted to civilian pay raises and
the other to military pay raises. Although it
cannot be predicted what bills will succeed
or what the increases will be, it is generally
agreed that a pay increase for civilian and
military personnel will become law during this
session.
After weighing all of the factors, the Or-
ganization has decided not to submit any
career benefit legislation, particularly in the
field of retirement, to this session of the Con-
.gress.
CIVILIAN PAY RAISES
This article highlights the main provisions
of the Administration's pay plan and compares
it with the one proposed by the Senate Civil
Service Committee.
...~ ADMINISTRATION PLAN
The Administration plan calls for :
a. An average increase of 6.4 percent
for Classified employees.
b. A new system of merit raises for out-
standing Classified employees.
c. Elimination of the present legal limit
on so-called supergrade (GS-16 thru GS-
18) jobs in Government.
d. Elimination of the present limit on
a special group of scientists and engi-
neers, hired outside the Classification Act,
at salaries ranging from 12,000 dollars to
19,000 dollars.
e. Higher starting salaries for college
graduates entering Government in the
professional and managerial fields.
f. A new ceiling of 19,500 dollars on.
Classified pay-as a substitute for the
present 16,000 dollars. (The 16,000 dol-
lars is now the single rate for the hand-
ful of employees in Grade GS-18. Un-
der the Administration's proposal, GS-18
V6ould have four steps - 18,000 dollars,
18,500 dollars, 19,000 dollars and 19,500
dollars.)
One of the stated aims of the Administra-
tion's plan is to make Government careers
more attractive to employees in the upper and
middle brackets. Thus, it proposes a flat 6
percent increase for Classified workers in
Grades GS-1 thru GS-10; 7.5 percent for those
in GS-11 thru GS-14; and 12.5 percent in
GS-15 thru GS-18.
Said one high Administration/Incial:
"The proposal includes, as a primary
objective, more adequate compensation
for those whose present salaries are shown
to be substantially less than salaries for
non-Federal employment when compared
with positions of similar responsibility.
"The proposed realignment of the Clas-
sified Act pay schedule affects particu-
larly the middle and top bracket levels,
which include the thousands of employees
in the scientific, engineering, managerial,
and other professional categories. . . .. .
"This realignment will establish great-
er intergrade differentials in the upper
grades, thus eliminating as much as pos-
sible the compression which has occurred
in those grades in recent years."
The new plan would make GS-7, instead of
the present GS-5, the starting salary for col-
lege graduates in scientific, professional, and
managerial jobs. The Civil Service Commis-
sion would determine which jobs started at
GS-7.
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Administration officials, however, told mem-
bers of Congress in a written statement ex-
plaining the new plan :
"This does not Mean that the entry
level for one profession will be fixed at
GS-7 and the entry level for another= at
GS-5. Nor does it mean that all GS-5
jobs now filled thru the Federal Service
Entrance Examination will be reclassi-
fied to and recruited at GS-7.
"Many of these GS-5 jobs are clerical,
subprofessional, and semimanagerial
rather than entry-level professional and
managerial jobs, and upward classifica-
tion of such jobs will not result. . . . ."
Present starting pay in GS-5 is 3,570. dollars
per year. Beginner scientists and engineers,
however, are hired at the top step of GS-5,
which is 4,480 dollars. After 6 months serv-
ice, they advance automatically to the top
step of GS-7, which is 5,335 dollars. Under
the new plan, beginners in the scientific, pro-
fessional, and managerial fields would be hired
at 4,800 dollars, which is the proposed new
bottom step of GS-7.
.,.~- ---~ SENATE PLAN
The Senate plan differs with the Adminis-
tration's plan in that it provides for:
a. A fiat across-the-board increase of
7.5 percent for all employees..
b. A ceiling of 16,000 dollars on salaries
with certain specified exceptions.
c. A freeze on civilian employment dur-
ing the calendar quarter beginning 1
October 1957, with some exceptions.
d. Restrictions on appointments dur-
ing succeeding calendar quarters, i.e., ap-
pointments may not be made to. more
than one third of the vacancies occur-
ring during the preceding quarter, again
with certain exceptions.
One amendment to the Senate Bill would
make the increases retroactively effective to
I October 1957. . The chart on the opposite
page sets forth the comparison between the
present rates and the proposed changes in
pay rates for classified employees.
TRAINING ENROLLMENT INCREASES
Organization employees are continuing to
undertake more and more internal training
in order to further their careers. In conse-
quence, the Office of Training is offering more
courses now than ever before.
Another indication of employees' desire for
knowledge is the ever-increasing number of
requests for external training. Out of 1200
requests received during 1957, 95 percent were
approved, and the trainees are now increasing
their qualifications for Organization work by
study in new fields or by improving their
efficiency in fields in which they had limited
knowledge.
These people are building the Organization
and will experience the great degree of satis-
faction that only personal accomplishment;
can bring.
PROGRESS REPORT
The Language Development Program has
completed a year of solid progress.
Results since 4 February 1957 can be sum-
marized simply : Participation in the program
ran high and still does; scores of people have
set aside their prework and postwork hours
for study and classwork; books, tapes, and lab-
oratory facilities have been in such demand
that additional facilities have had to be pro-
vided; some of the more unusual languages
have been introduced into the program? the
Language Qualifications Register, result of
the tremendous response to the Language
Data Record, is - currently up-to-date; lan-
guage proficiency tests for all languages on
the awardable list have been scheduled for
headquarters personnel whose eligibility for
awards occurs during the period of 4 February
to 30 June; and the first awards were granted
for achievement of awardable levels of profi-
ciency in specific languages.
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MILITARY PAY RAISES
The Administration has proposed a "funda-
mental," change in the military pay system
which would give a large majority of men in
uniform a' minimum 6 percent pay raise.
`A detailed plan to revamp existing pay rates
of servicemen has been presented to Congress,
basing compensation on merit and skill rather
than length of service. Seven out of 10 mem-
bers of the active forces would benefit.
The plan couples the recommendations of
the salary study (made several months ago in
the military), aimed at keeping skilled leaders
and technicians in service, with a 6 percent
;cost-of-living rise for everyone with more than
two years' service.
Four-star generals and admirals would get
an additional 423 dollars and 60 cents a
month, making a yearly salary, including al-
lowances, of 24,093 dollars more in line with
top executives in industry.
Many higher grade enlisted men would re-
ceive raises of more than 100 dollars a month.
An Air Force master sergeant, for example,
now drawing 261 dollars and 30 cents a month
in base pay on 10 years' service, could earn up
to 44b dollars monthly plus allowances.
'Officers and men serving their initial two
:years' obligated service generally would re-
ceive no increases, although a quirk of the bill
would give second lieutenants an additional
70 cents a month.
The plan follows the recommendations ' of
the aforementioned salary study in many re-
spects, but there are these differences:
a. Present retired personnel are ex-
cluded from the benefits of the new rates,
although past pay raises largely have in-
cluded them,
b. The new pay rates for enlisted men
would go into effect 2 July, but those
for officers - above the 6 percent cost-of-
living rise - would be spread over 4 boosts
within 3 years.
c. The raises for top-ranking officers,
while substantial, are lower than those
proposed by the salary study.
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It also creates two new supergrades for en-
listed men, above master sergeant. The Army
and Marines are expected to call the new
ranks "sergeant major" and "sergeant, first
class" - existing ranks with pay equal to
master sergeant. Navy and Air Force titles
for the supergrad have not been settled.
The ranks of three- and four-star general
also would be two new supergrades. Now
such officers receive the base pay of a major-
general plus a special money allowance.
The chart on the opposite page sets forth
the proposed changes in .the basic pay scales..
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Proposed Enlisted Basic Pay Scale
Years of Service in Grade #--
Dollars per Month
Pay Grade
T E-9 Sergeant Major
fE-8 1st Sergeant
E-7 Master Sergeant
E-6 Sergeant 1st class
E-5 Sergeant
E-4 Corporal
E-3 Private 1st class
E-2 Private (over 4 mo.)
E-1 Private (under 4 mo.)
0 to 2 2 to 4 4 to 6 6 to 8 Over 8
/400.00
410.00
/420.00
350.00
360.00
370.00
300.00
310.00
320.00
250.00
260.00
270.00
210.00
220.00
230.00
140.00
180.00
99.37
117.00
85.80
78.00,
/430.00 /440.00
380.00
330.00
280.00
Proposed Officer Basic Pay Scale
Years of Service In Grade
62
Pay
Grade
Entry
Pay
1-2
2-3
3-1
4-5
5-6 Over 6
$0-10 General 1700
9 Lt. General
1500
8 Maj. General
1350
* 0-
7 Brig. General
1200
*0-
6 Colonel
950
*1005
1065
'
* 0-
5 Lt. Colonel
710
* 750
795
*840
0-
4 Major
530
560
595
630;
0-
3 Captain
420
432
445
458
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485 500
0-
2 1st Lieutenant
335
345
355
365
375
0-
1 2nd Lieutenant
223
244
268
*Includes "active duty pay supplementals," paid only to active duty
officers and not to retired personnel or reservists in training for less than
30 days, amounting to: 0=5 50; 0-6j 1000 0-~ 100, 0-,150.
(Proposed new ranks.
::Proposed new pay grades.
allowances' a addition to basic pay.)
(Military personnel on active duty receive rental, subsistence and other
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DEPUTY DIRECTOR PRAISES LANGUAGE
DEVELOPMENT PROGRAM
In addressing the personnel of the Office of
Training at its annual Christmas meeting,
the Deputy Director has this to say about the
,Language Development Program:
"One of the most rewarding results of
your efforts is seen in the language train-
ing program. The word has gotten out
.about the language incentive program.
I understand that over 450 employees
Are now enrolled in voluntary language
programs. This number is above and be-
yond the approximate 850 enrolled in the
regular language programs. The figure
is impressive. It still isn't large enough.
One of the jobs you have to do next year,
in this program, is to provide the guid-
ance to assure that those persons taking
language voluntarily are studying the lan-
guages which will be in greatest demand
by the Organization, both now and in the
long run. Guidance to these "volun-
teers" will have to come from supervisors
and from you here in the Office of Train-
ing. This guidance will have to be based
on a clear appreciation and knowledge
of long-range programs and trends. In
short, we have the program going. We
are developing our pool of linguistic tal-
,enit. Now, we want to orient it, as ap-
propriate, to fulfill the defined require-
ments of this Organization, both short
and long run. The management of the
training offered can spell success or fail-
ure in this effort."
REVISED FITNESS REPORT
A revised Fitness Report form has been ap-
proved by the Organization Career Council.
It is_ planned that copies of this new form will
be distributed to the field and headquarters
before 30 June of this. year.
The new form is contained in one page and
places emphasis on the evaluation of the em-
ployee's performance in his current position.
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It was the consensus of numerous operating
and administrative officials that the informa-
tion recorded in Part II Potential of the
present form has never really served to iden-
tify employees who are intellectually out-
standing or those individuals who have lead-
ership, force, and high potential for growth.
With the introduction of the Career Prefer-
ence Outline we have in being a more prac-
tical means of indicating, to the individual
concerned as well as to management, the
supervisor's judgment regarding the individ-
ual's capacity for future development. How-
ever, the supervisor who is preparing an eval-
uation of the employee on the new form may
record, when appropriate, an opinion of his.
potential in the narrative section.
Investigation and inquiries have indicated
that a narrative evaluation, when carefully
and properly prepared, is the best basis for
determining future personnel actions. Provi-
sion is made in the new form for a narrative,
section to be used by the supervisor to add
information which will help in describing the
individual. Our- new system also provides
that an evaluation in memorandum form may
be substituted for the Fitness Report form for
employees in grades GS-14 and above. Previ-
ously, only employees at the supergrade level
(GS-16, 17, 18) were evaluated in memoran-
dum reports.
Another innovation is the new system for
the submission of annual reports. The Coun-
cil has approved a fixed schedule, based on
grade levels, of due dates for annual reports.
This means that evaluations on all individuals
in the same grade level will be submitted at
the same time. This new cycling procedure
will save the considerable work now necessary
in notifying supervisors of the due date for
each report and will assist career boards and
panels in consideration of employees for pro-
motions on a competitive basis.
It is anticipated that the new Fitness Re-
port will better assist the supervisors in eval-
uating the employees under their jurisdictions
and better serve the interests of the individ-
uals concerned as well as the interests of the
Organization.
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SUGGESTION AWARDS PROGRAM
The Suggestion Awards Committee at its
December 1957 meeting considered 18 sugges-.
tions and voted to adopt 17 of these. Awards
totaling 910 dollars, ranging from 10 dollars
to 355 dollars, were granted. These 17 sug-
gestions represent tangible savings to the
Organization of over 12,495 dollars in the first
year of adoption, plus many intangible ben-
efits.
Of these 17 suggestion awards, 7 were from
one department. This fact reflects credit ' on
.the supervisors in that, department who im-
proved the quality of the suggestions by stim-
ulating and helping the employees to present
their ideas.
One suggester improvised a more accurate
way to measure developer solutions in fifty=
:gallon drums. He attached to large tanks of
developer a scale showing graduations in
quarts and gallons. He fastened a metallic
cable from a cover, floating on the solution,
to a marker, riding in a groove on the scale.
As the tank filled or emptied, the floating
cover changed position, thus changing the
:position of the marker to indicate the amount
of solution left in the tank.
Another suggestion proposed a convenient
way to arrest the rusting of printing equip-
ment by spraying the metal with liquid wax.
A suggestion of limited application proposed
that hand trucks be equipped with an auto-
matic warning device in the form of a small
tumbling bell attached to the. wheels.
;Still another suggester recommended a
water-saver flexible nozzle with a built-in
valve, controlled by a spring, which cuts off
immediately when water pressure is on. This
device is used for filling photographic and
photostat tanks to eliminate the waste and
slopping of water.
The Committee voted a cash award to one
suggester who devised a more efficient way to
set type for a certain Table of Contents by
making and using a special one dot em matrix.
This doubled the speed, prevented running out
of the style of type now used, and cut down
errors and frustration of operators.
A cash award also was voted for a recom-
mendation that. when a linotypist sets the
boldface subheads for a certain publication,
he copy the Table of Contents, which is identi-
cal to the required subheads, instead of labori-
ously searching for subheads. A saving of 48
minutes, on each 400-page manuscript was
estimated.
Another suggester proposed that a slant-
back metal viewing `board be installed on each
layout table, and at the press inspection
tables, to hold original copy for comparison
viewing. Each board is to be equipped with
sufficient permanent magnets to hold copy to
this board in an upright- position. This idea
will not only prevent damage to copy, some of
which is borrowed and very valuable, but also
save labor time.
Other thoughtful award-winning 'sugges-
tions facilitated Organization operations.
One suggester proposed the establishment
of a uniform abbreviated system for cables to
cover headings, addresses, distributions, and
other constant indicators. His award was for
355 dollars, based on tangible savings of 11,000
dollars in the first year of adoption plus other
intangible benefits. Book Dispatch No. 414,
as amended by Book Dispatch No. 446, de-
scribed this new technique.
Two officers independently suggested
amendments to our transmittal dispatch pro-
cedures. One suggested -abolishing them in
certain instances; another proposed a system
of packet dispatches for certain situations.
For these suggestions, the Committee voted
to award 125 dollars to the first suggester and
175 dollars to the second, based on intangible
benefits. The product of these suggestions is
Form No. 1236 which is already in effective
use.
An award of 15 dollars, based on intangible
benefits, was paid for a training device which
has been adopted in a modified form. This
device makes related maps and charts visible
when color slides are being shown in darkened
rooms.
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MANAGEMENT TOOLS
RECORDS MANAGEMENT AND OUR SPACE
PROBLEM
Do you have a space, problem? More than
likely you do if your office is as overcrowded
as some.
Have you ever ler, that per-
haps you have em instead?
Here's, an Orga ere this was
SB-8
The remaining 26 cabinets were realigned
along the walls for quicker reference. A wider
aisle increased efficiency. Work space and
tables were provided for researchers.
You too can gain more space, perhaps re-
lieve a floor loading problem, or simply keep
your present volume of records in bounds.
Here are several ways to do this.
USE THE RIGHT TYPES OF FILE FOLDERS
AND GUIDES. IF V0Ti UL&j a+ YOUR FILES
Thirty-one cabinets were poorly arranged
because their weight had to be distributed
along main floor beams. The aisle was nar-
row and there was little work space for per-
sons using the files.
But see wh sible by elimi-
nating the ne inets.
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It's a fact! You can gain up to 30 percent
more filing space by following these tips:
? Use heavy-duty pressboard folders only if
lighter weight kraft ones would have to be
replaced during the active life of the files.
A heavy-duty folder requires over three
times as much space as a kraft folder and
.costs 23 cents more.
e Use file fasteners mainly for case or project
files. Use loose filing whenever you can.
It requires less space and up to 50 percent
less time.
Fasteners and heavy-duty folders eat up
filing space. The chart below shows what
can happen in a typical file.'
WHAT HAPPENS WHEN YOU USE
FASTENERS AND HEAVY-DUTY
PRESSBOARD FOLDERS
Assuming each folder
hol s about 1/3" of material)
300 lighter weight
folders, no fasteners
300 lighter weight
NO. OF
DRAWERS
REQUIRED
folders, one fastener . . . . 41/3
300 pressboard
folders, no fasteners . . . . 43/4
300 pressboard
folders, one fastener 5"/11
300 pressboard
folders, two fasteners . . . . . 7
USE THE RIGHT TYPES OF CARD-FILING
EQUIPMENT
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-. For instance, a 1,200-card visible-index safe
abinet takes up about six sq. ft. of floor space
and costs about 440 dollars. In comparison,
the tray shown in the next column holds the
same number of cards, can be stored in a file
drawer, and costs only about 5 dollars. Build-
ing Supply Rooms have these trays for dif-
ferent card sizes.
This'comparison does not imply that visible-
card files should not be used. On the con-
trary, visible-filing systems, with theii many
advantages for posting, signaling, and rapid
reference, do have a definite place in today's
modern offices. The point is simply this - the
need for a visible system should be carefully
weighed against the additional costs for equip-
ment and space.
The demand for greater efficiency, and in-
creasing curbs on space, have brought forth
many improvements in card-filing equipment.
In particular, units are more compact to
bring more records within reach of the clerk
and to reduce the outlay for space and equip-
ment. One of these units may be the answer
to your problem. See your Records Officer or
contact the Records Management Staff for
advice.
Future articles in this ' series will give you
more help in relieving today's space problems
and will provide standards for better space
utilization in the new building.
THE MILITARY RESERVE FORCES
All employee reservists in the Organization
have now been classified into mobilization
categories and this information furnished to
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i
he military services. The article "Military
Reserve Status Information" in the February
1957 issue of this bulletin describes these cat-
egories. Employee reservists may now ascer-
tain their mobilization category from their
administrative or personnel officers in the Or-
ganization.
This classification program is tied in with
.current legislation applying to the reserves,
particularly the Reserve Forces Act of 1955.
This Act requires 'the Services to maintain a
constant screening of the Reserve Forces to
eliminate from the Ready Reserve all individ-
uals who are not. immediately available for
active duty in event of emergency. The Ready
Reserve is designed to meet the augmenta-
tion requirements of the Military Services in
a brush-fire type of emergency or during the
early phases of a war or general mobilization.
It, therefore, includes all of the organized
portion of the Reserve Forces and is to be kept
in an advance state of readiness. The Stand-
by Reserve, on the other hand, is essentially
a non-organized pool from which the experi-
enced personnel needed for the secondary
phases of a war or general mobilization would
be obtained through a process of selective
service.
The Ready Reserve is liable to be ordered to
:active duty in case of war or national emer-
gency when proclaimed by the President as
well as when.declared by the Congress. In the
case of an emergency proclaimed by the Pres-
ident, however, Congress has reserved the
right to determine the number to be called.
The statutory limit of the Ready Reserve is
now 2,900,000 including members who are
serving on extended active duty with the Reg-
ular Forces. Members of the Ready Reserve
are expected to attend regularly scheduled
drills when possible in addition to annual
periods of active duty for training, and are
eligible to receive pay for this participation.
Reservists who no longer have a statutory
obligation to remain in the Ready Reserve are
required by their service to sign an affidavit
agreeing to continue as a Ready Reservist for
a stated minimum period.
SB-S
The Standby Reserve is subject to active
duty only in time of war or national emer-
gency declared by the Congress, and under
the present concept none of its members, even
at such times, will be ordered to active duty
until the Selective Service System has deter-
mined whether the Standby Reservist is more
essential to the defense effort in the military
service or in his civilian pursuit. In other
words, although Standby Reservists remain
subject to military control under appropriate
conditions, Selective Service determines their
availability for military service. Members of
the Standby Reserve who perform Reserve
training or complete required correspondence
courses are entitled to the award of retire-
ment and promotion-point credits just as are
members of the Ready Reserve. They will not
be paid for such participation, however, nor
will they be eligible to receive pay for periods
of active duty for training.
Organization reservists overseas who have
received a Selective Service Reserve Question-
naire should fill it out as fully as possible, sign
it and return through channels to headquar-
ters. When the individual receives notifica-
tion of his Selective Service System category,
he should advise his administrative or person-
nel officer in order; that this information may
be included in his Official Personnel Folder.
EMPLOYEE BENEFITS
-we have-received-ji requests for arti-
cles on the various_benefits programs available
4o-em loyees. e a Ea ~nin~_. publ ski
----mow---
rlext mont a special issue of the Support
' Tiic -> e devoted exclusively to
Bulletin
f
~Fwill cover such things
Wji.
as widows' benefits, retirement, medical and
insurance coverage, and welfgr funds. - -
that its Bulletirf"`be -widely distrib-
uted and retained 'for uture reference.
tlae occur ,
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INCOME TAX RETURNS
(Reporting of Travel and Reimbursable Ex-
penses)
Theiie has been a good deal of interest in
the recent announcements by the Commis-
sioner of Internal Revenue on reporting of
travel and reimbursable expenses on your U. S.
Individual Income Tax returns. The new
(1957) tax forms now provide a special line,
item 6(a), on page 1 for these expenses. After
first indicating that compliance would be ex-
pected, the Commissioner later stated that the
taxpayer would not be expected to report line
6 (a) information for 1957. However, he made
it clear that the information would be ex-
pected and the requirement enforced for 1958.
You may want to know how this affects you
personally.
Actually, there is no change in the Tax Code
or the regulations. As an employee, you are
expected to add to your gross income any pay-
ments you receive for travel or per diem. You
should then itemize the actual expenses and
enter the total on line 6 (a) on page 1 of Form
1040. The difference between actual expense
and the, amount you have received will thus
be reflected as either additional taxable in-
come or deduction from gross income in reach-
ing your adjusted gross income. Any deduc-
tion here would not affect your right to take
a standard deduction in lieu of itemizing your
personal deductions on page 2 of the return.
In the case of many Organization personnel,
security considerations have probably pre__
vented itemized accounting. Coupled to this
has been the practical aspect that reimburse-
ment seldom if ever resulted in added taxable
compensation, and any excess available as a
deduction has generally been negligible. So
the result more often than not, we suspect,
was the omission of this 'information. And
seldom was this omission remarked by Inter-
nal Revenue. The picture has now changed.
While the crackdown is probably aimed
mainly at the high-expense-account employee
in private industry, there is no doubt that Gov-
ernment employees fall within the technical
requirements. Just how it will affect em-
ployees of this Organization is not yet clear.
So far, the people in the Internal Revenue
Service continue to understand our difficulties
in providing itemized travel and other opera-
tional expenses. At the same time, they are
not yet sure how much force they will be ex-
pected to exert. Congressional reaction may
influence the situation too.,
For the moment, it would seem desirable
for everyone who can do so without undue
risk to security to keep a fairly specific tax
diary. Then if, at the end of the year, the
information is required and can be safely pro-
vided, it will be accurate. In the meantime,
every effort will be made to reach a firm
understanding with the Internal Revenue
Service on the application of this requirement
to the various classes of Organization person-
nel.
GIMMICK ATTACHED TO PAY PLAN
The Administration's new Federal employee
pay-raise plan includes a gimmick designed
to make grade-to-grade promotions more at-
tractive to the Classified employees who win
.them.
Here's the plan :
All Classified grades except GS-18 have
several within-grade pay steps thru which
employees advance on a seniority basis. And
all except GS-16, 17; and 18 have 3 longevity
grades for employees with extra-long service
in particular grades.
The top steps of many grades overlap the
lower steps of the next higher grades.
Accordingly, under present law, when an
employee is promoted from one grade to an-
other, his new salary must be at least one
within-grade step greater than his old - pro-
vided this doesn't involve assigning him to a
longevity step.
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Under the Administration's plan, his new
salary would have to be at least two steps
greater. If necessary to insure this, the em-
ployee could be assigned to a longevity step
of his new grade.
CREDIT UNION ANNUAL MEETING
The Credit Union held its 10th Annual Meet-
ing on 21 January 1958 to declare dividends
and elect officers and various committee mem-
bers,
The Board of Directors, conscious of the true
non-profit policy of Credit Unions in general,
recommended the highest possible dividend,
of 4.5 percent, conforming with sound Credit
Union management practices. This was read-
ily accepted by unanimous consent of the
members. The president of the Credit Union
reported that, although there have been many
policy and bylaw changes in the past years
consisting mostly of liberalized loan policies
and limits on share deposits, the year 1957
showed a healthy growth with no major
changes.
The Credit Union, which was organized in
December 1947, has had its growing pains.
Reaching its first million in assets in 1952, it
has now grown to a strong 4.5-powon4 million
dollars in assets. Among approximately 175
Credit Unions in the Metropolitan area, we
are one of the largest. The Board of Direc-
tors and the members of the various Credit
Union Committees deserve much credit for
their work in building up the Credit Union.
These Organization officials have accepted
these responsibilities as extra-duty activities
and receive no remuneration for the many
hours devoted to the Credit Union.
12
S8-8
THE NATIONAL DEFENSE
EXECUTIVE RESERVE
An Executive Reserve, which will be avail-
able to supplement the top staff of our Or-
ganization in the event of emergency, is now
organized. This civilian program, which is
governmentwide, has progressed considerably
since it was first described in the September-
October issue of this bulletin.
Twenty-three individuals have been ap-
proved by the Director for service as Executive
Reservists. The Reserve Unit in the Organi-
zation at this time is made up of, although
not limited to, consultants and former em-
ployees. It is composed of leaders from all
parts of the country. They are experienced
executives and professionals from industry
and private institutions who have agreed in
peacetime to give their time for participation
in periodic training and in the testing of mo-
bilization plans during emergency exercises
and in wartime for full-time employment.
It is of interest that fifteen Government
departments and agencies have established
Executive Reserve Units having a combined
membership of approximately 1,000 Executive
Reservists. These are outstanding executives
and administrators from all parts of the coun-
try; from large and small industries; from the
professions, labor, agriculture and public and
private institutions. It is anticipated that
there will be approximately 2,500 Reservists
designated by 1 July 1958.
The Secretary of Commerce and the Direc-
tor, Office of Defense Mobilization sponsored
a two-day conference of National Defense
Executive Reservists which was attended by
1,300 persons. The President, the Vice Presi-
dent, the Secretary of State, the Secretary of
Defense and other high-ranking officials spoke
to the group.
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KEY
J On the job 8 hrs. A-Annual Leave S-Sick Leave W
M-Military Leave J-Jury Leave O-Overtime
NOTE. Your Leave Year started on Jan. 12, 1958 and will end Jan. 10, 1959.
Employees desiring to keep an accurate record of their Annual and Sick Leave may find the above
chart useful.
The "H" is for holiday and the heavy black lines set off Saturdays and Sundays, nonwork days for
most employees.
You earn Annual Leave on the following schedule: 4 hours for each of the 26 pay periods, or 13 days a
year, during your first 3 years of service; 6 hours per pay period, or 20 days, if you have between 3 and 15
years of service (you'll get 10 hours for the last pay period, to round out your 20 days), and you'll get 8
hours,' or 26 days, if you have 15 or more years of service.
Sick Leave is the same for everyone, 4 hours each pay period, or 13 days a year, and there is no limit
on the amount that can be accumulated. But there are legal limits on the amount of Annual Leave that
can be carried over from one year to another. For more ailed information on the accumulation and use
of Annual and Sick Leave please consult R
Copies of the chart are available in the Printing Services Division and may be obtained through your
administrative channels.. Requests must be submitted so as to reach the Printing Services Division by 1
April 1958.
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