IMPROVING MANPOWER CONTROLS AND UTILIZATION IN THE EXECUTIVE BRANCH

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01676R000100110014-6
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 8
• Document Creation Date: December 15, 2016
• Document Release Date: October 22, 2002
• Sequence Number: 14
• Publication Date: October 11, 1962
• Content Type: MF

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EA:ecutive Registry
(CLASSIFICATION)
CENTRAL INTELLIGENCE AGENCY
EXECUTIVE MEMORANDUM
OFFICE OF THE DIRECTOR
DEPUTY DIRECTOR (PLANS)
DEPUTY DIRECTOR (INTELLIGENCE)
DEPUTY DIRECTOR (RESEARCH)
DEPUTY DIRECTOR (SUPPORT)
COMPTROLLER
INSPECTOR GENERAL
GENERAL COUNSEL
ASSISTANT DIRECTOR
FOR NATIONAL ESTIMATES
EXECUTIVE MEMORANDUM No. 4i
Distribution: All addressees Note on buck slip: This subject will be
1 - DCI; ER qi a~?oeoA .,+ ,-1.,. Td---3___
.1 22 Oct. , Executive
1 - ExDir Committee Meeting.
This memorandum contains information for the addressees. Ad-
dressees may give this memorandum additional circulation within
their components as required. All copies should be destroyed not
filed, upon completion of circulation. A master file will be kept in
the Executive Director's Office and will be available upon request.
CIA EN f.a_ s ONLY
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THE WHITE HOUSE
October 11, 1962
MEMORANDUM FOR THE HEADS OF
DEPARTMENTS AND AGENCIES
_J
SUBJECT: Improving Manpower Controls and Utilization in the Executive
Branch
On several occasions I have emphasized the importance of actions to
limit the number of Federal employees to the absolute minimum neces-
sary to get. the public business done. We can accomplish this objective
only if strong efforts are made by every department and agency head to
achieve increases in productivity and efficiency,. to use better tech-
niques of management, and to add staff only on toe basis of demonstrated
need to carry out essential activities.
Congress has now enacted legislation, along the lines of the proposal
made td the Congress last January, to provide pay scales more nearly
to the level of those prevailing in the private economy. I am confi-
dent that this will reduce turnover, attract more capable people into
the Federal Service, and improve employee morale. It will thus make
a direct and substantial contribution to increased productivity. An
added obligation is therefore placed on the executive branch to make
certain that essential programs are carried out with the minimum of
personnel.
It is most important to recognize that responsibility for manpower
control and utilization in the Federal Government rests squarely on
the top management of each agency. Without your continuing attention
and support, it will not be possible to hold new requests for personnel
to bedrock levels, to abolish marginal jobs, and to increase employee
productivity. Where rules, regulations, or laws restrict you in carry-
ing out this objective, I will expect you to make these facts. known
promptly and to suggest solutions.
Employment needs are decreased as productivity rises and as ongoing
programs can be reduced or terminated. At the same time it is rec-
ognized that new programs or expansion of existing programs will
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result in increased employment, to the extent that increased manpower
needs cannot be offset by greater productivity. It is essential that
employment plans be scrutinized at every level to make sure that every
opportunity for decreases is seized and increases, where necessary, are
held to an absolute minimum. This is vital not only because civilian
salaries account for a substantial part of the Federal budget, but equally
important especially in such fields as engineering, science, and
medicine -- because the Federal Government is competing for a scarce
supply of manpower. The best utilization of manpower is therefore im-
portant not only to keep budget costs down but to maximize our national
security and our economic growth.
I have recently completed a review of our present system for determining
manpower requirements and for holding the number of Federal employees
to a minimum. To strengthen the Government's manpower control pro-
gram, I have directed that the following actions be taken:
1. Detailed employment plans as well as expenditure plans will be
submitted by each Department and Agency in connection with the annual
budget review.
Z. Such plans will be expected to reflect increases in employee
productivity -- that is, it is to be expected that the same amount of
work will be performed by increasingly fewer people, and the number of
employees will not increase proportionately with increases in programs.
3. The Bureau of the Budget will give increased scrutiny to these
employment plans and keep me informed. ' In addition, the Bureau will
strengthen and update present instructions to the departments and agencies
concerning the establishment of adequate machinery and methods to
increase efficiency and hold down employment.
4. Each Department and Agency will be required to submit to the
Bureau of the Budget for review at an early date its over-all program
for manpower control and manpower utilization. I expect each depart-
ment and agency head to give personal attention to this matter.
5. All agencies are requested to undertake increased efforts to
search out and apply the most modern and effective means used in either
Government or private industry to increase efficiency and output. There
are many cases where such productivity has increased rapidly in recent
years -- the Internal Revenue Service, the Customs Bureau, the Census
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Bureau, the Passport Office, and many other parts of Government can
be cited as good illustrations. I should like these efforts broadened and
expanded. Central research to assist in this effort will be conducted by
the Bureau of the Budget and the Civil Service Commission. As an
illustration, the Bureau has unc?ertaken, in cooperation with several
agencies, a research and demonstration project in five different units
of Government to develop methods for measuring over-all agency pro-
ductivity and for using such measures for improved manpower control.
6, The Bureau of the Budget, the Civil Service Commission, and
the departments and agencies will undertake a systematic program of
manpower inspections and reviews. The priority and scheduling of these
inspections will be worked out under the leadership of the Bureau of the
Budget, and will be carried out by staff of the Bureau, the Commission,
and the agency concerned. The special inquiries into manpower utiliza-
tion practices currently made by the Civil Service Commission will become
a part of this new program. The inspections will be made on a selective
basis which will give priority attention to areas where the most signifi-
cant problems and potential savings exist. While every agency cannot be
reviewed each year, it may be desirable to review certain agencies
annually or more frequently. The inspections will be designed to test
the effectiveness of agency systems for manpower analysis and control,
and to assist the departments and agencies in discovering opportunities
for better use of the manpower resources that are available. The re-
sults of these reviews will be reported to the head of each agency promptly,
for immediate attention and such action as is necessary. I have asked to
be kept informed of the findings and recommendations that are made, and
the action taken.
7. The Congress, in enacting the Postal Service and Federal Employee
Salary Act of 1962, included a provision that "the departments, agencies,
establishments, and corporations in the executive branch shall absorb the
cost of the increases in basic compensation provided by this Act to the .
fullest extent possible without seriously affecting the immediate execution
of essential functions. " It further provides that "the heads of the executive
branch activities concerned are directed-to review with meticulous care
each vacancy-resulting from voluntary resignations, retirement, or death,
and to determine whether the duties of the position can be reassigned to
other employees or whether the position can be abolished without seriously
affecting the execution of essential functions. " I am in full agreement with
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this statement of policy and will look to the Director of the Bureau
of the Budget to advise me with respect to the observance of this
policy in connection with any 'supplemental appropriations required
to carry out that Act,
I regard the program outlined in this memorandum as of the highest
importance to good management in the executive branch. If we carry
it out firmly, I am confident that productivity in the Federal Govern-
ment can continue to keep pace with the growth of productivity in the
private sector of the economy, Such an accomplishment would trans-
late into tens of thousands of Federal jobs that either could be elimi-
nated or would not have to be added to the present numbers.
I am sure that these measures and objectives will have your strong
personal support.
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tip
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EXECUTIVE MEMORANDUM NO 59-=cancelled
(Doris says that the number 59 in the Ex, Memo
series was cancelled and never used)
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UNCLASSIFIED CO'IDENTIAL SECRET
CENTRAL INTELLIGENCE AGENCY
OFFICIAL ROUTING SLIP
TO
NAME AND ADDRESS
DATE
INITIALS
DCI
2
ER
3
4
5
6
ACTION
DIRECT REPLY
PREPARE REPLY
APPROVAL
DISPATCH
RECOMMENDATION
COMMENT
FILE
RETURN
CONCURRENCE
_
INFORMATION
SIGNATURE
Remarks :
The attached sent to all members of
the Executive Committee advising that subject
would be discussed at the Monday, 22 October,
Executive Committee Meeting.
FOLD HERE TO RETURN TO SENDER
FROM: NAME, ADDRESS AND PHONE NO.
DATE
ExDir
19 Oct
UNCLASSIFIED CONFIDENTIAL
SECRET
FORM 6NO. 237 Use previous editions (40)
U.S. GOVERNMENT PRINTING OFFICE: 1961 0-587282
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