LETTER TO JOHN A. MCCONE FROM W. WILLARD WIRTZ

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01676R002900060002-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 13
• Document Creation Date: December 12, 2016
• Document Release Date: April 10, 2002
• Sequence Number: 2
• Publication Date: February 14, 1963
• Content Type: LETTER

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l). . ')EPARTMENT OF LABOR
Honorable John A. McCone
Director of Central Intelligence
Central Intelligence Agency
Washington 25, D. C.
On August 28, 1962,ifae forwarded for your comments a copy of our
tentative Rules for the Nomination of Arbitrators to make advisory
determinations or decisions in certain cases involving the exclusive
representation of Federal employees by employee organizations. As
you know, these nominations are made upon the request of an agency
or an employee organization which has been accorded or qualifies for
formal recognition subject to such rules as the Secretary may subscribe.
We are enclosing herewith a copy of the proposed rules as revised
to meet certain objections of agencies and employee organizations and
some of the problems already experienced under the tentative rules.
We have been advised by the Comptroller General that the services
of arbitrators under Section 11 are nonpersonal and that those services
should be procured by contracts specifying the rates of compensation
and other conditions under which their nonpersonal services will be en-
gaged. In the interest of uniformity we have provided in the rules that
the fees for arbitrators be $100 a day. We have also provided that per
diem and travel expenses be paid in accordance with maximums allowed
for Government employees. We enclose a recommended standard contract
for arbitration which your agency may wish to use in these matters.
Since there are already a number of pending cases under Section 11,
I would appreciate receiving any comments you may have concerning these
regulations by March 10, 1963.
Yours sincerely,
Secretary of Labor
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CONTRACT FOR ARBITRATION
Agency
FOR AGENCY USE ONLY
Contract No.
Appropriation Chargeable
Signature of Approving Official
Title
Bureau or Office
Date Approved
1. Agreement.
.In consideration of the promise of , hereinafter the
Contractor, to accomplish the object set forth in paragraph 2,
, hereinafter the Agency, agrees to pay, subject to the General
Provisions set forth on page 2, the contract sum set forth in paragraph 3.
2. Object.
The object of this contract is ((a), (b) or both (a) and (b)).
(a) An advisory decision as to the appropriateness of a unit for purposes
of exclusive recognition and the following related issues:
(b) An advisory determination either:through conducting or supervising an
election or otherwise of whether an employee organization represents the majority
of the employees in a unit.
The Contractor shall be solely responsible for the accomplishment of the
object and shall not be subject to any supervision.
3. Contract Sum.
The contract sum of this contract is $100.09 per day plus per diem of $16.00
per day and travel expenses in accordance with the Standardized Government Travel
Regulations. This sum shall be payable in a lump sum following completion of the
object unless otherwise specified in paragraph 5.
4. Arbitration Facilities.
The Contractor may use agency facilities in the accomplishment of the object
of this contract to the extent that such facilities are necessary and available.
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5. Special Provisions.
Contracting Officer
Date Mailing Address
GENERAL PROVISIONS
1. No member of or delegate to Congress, or resident commissioner, shall be
admitted to any share or part of this contract, or to any benefit that
may arise therefrom; but this provision shall not be construed to extend
to this contract if made with a corporation for its general benefit.
2. The Contractor warrants that no person or selling agency has been employed
or retained to solicit or secure this contract upon an agreement or under-
standing for a commission, percentage, brokerage, or contingent fee, excepting
bona fide employees or bona fide established commercial or selling agencies
maintained by the Contractor for the purpose of securing business. For breach
or violation of this warranty the Government shall have the right to annul this
contract without liability or in its discretion to deduct from the contract
price or consideration, or otherwise recover, the full ampunt of such commis-
sion, percentage, brokerage, or contingent fee.
3. The Contractor agrees that the Comptroller General of the United States or
any of his duly authorized representatives, and any duly authorized repre-
spntative of the U. S. Department of Labor, shall, until the expiration of
three years after final payment under this contract, have access to and the
right to examine any directly pertinent books, documents, papers, and records
of the Contractor irki7olving matters related to this contract.
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PROPOSED RULES FOR THE NOMINATION OF ARBITRATORS
2/13/63
Section 1. Purpose and Scgge. These procedures govern the
nomination of arbitrators by the Secretary to perform the advisory functions
specified under Section 11 of Executive Order 10988. Any arbitrators so
nominated will be available for either or both of the following purposes:
(a) to investigate the facts and issue an advisory decision with respect._
to the appropriateness of a unit of Federal employees for the purpose of
exclusive recognition and as to related issues submitted for consideration;
or (b) to determine and advise whether an employee organization represents
a majority of employees in an appropriate unit by conducting or supervising
ana election, wherein a majority of those voting, provided there is a
repres+tntative vote, cast their ballots for or against representation, or
by other appropriate means., A request for a nomination will be considered
as contemplating the performance of functions within the above.-categories
if it specifies as a purpose obtaining an advisory decision on one or more
questions involved in a unit determination or determination of majority
status, such as an advisory decision on the eligibility of voters, the
right to appear on the ballot, arising in connection with an election to
be held or on a question relating to the conduct of an election already held
which could not reasonably have been made the subject of a prior request.
Subject to compliance with those pLocedures, the Secretary will nominate
an arbitrator whenever he is so requested by an agency or by an employee
organization which is seeking recognition as the exclusive representative
of Federal employees in a prima facie appropriate unit and which has either
been accorded formal recognition or meets all the prerequisites for such
recognition.
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Section 2. Definitions, When used in these procedures,
(a) "Order" means Executive Order No. 10988;
(b) "Agency," "employee organizations" and "employee" have the same
meaning as in the Order;
(c) "Recognition" means recognition which is or may be accorded to
.an employee organization pursuant to the provisions of the Order;
.(d) "Secretary" means the Secretary of Labor.
Section 3. Re uestsfor Nominations of Arbitrators-. Filing,
Disputes, Parties Time.
(a) Requests for nominations should be filed only where there
exists a dispute or problem which cannot more appropriately be resolved
through_,regular agency procedures. Parties are, therefore, expected to
eliminate from their requests matters not necessary to the resolution of
such dispute or problem and to use their best efforts to secure agreement.
.on as many issues as possible before making the request,
(b) Requests for nominations may be filed either by an agency, or
by an.employee organization as described in section 1, or jointly by an
agency and one or more employee organizations. Joint requests are en-
couragede
(c) Subject to the provisions of subsection (a) of this section,
a request for nomination may be filed by an employee organization, after an
appropriate determination by the agency, or responsible officials thereof, of
.the matter or matters in dispute.
The Secretary will entertain on its merits a request by an employee
organization for nomination of an arbitrator which is made within 30 days
after an agency's final unit determination, or within 10 daya after the parties'
failure to reach agreement with respect to majority representation, whichever
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is.later.,..except that a request by an employee organization for the nomina-
tion.of.an arbitrator will be entertained after the above periods provided no
.o.ther empl.oyee..organization has qualified for and received exclusive recogni-
..tian.after Adequate notice to any interested .employee organization whose
-.representation interest has been disclosed to the agency.
(d) No request contemplating an advisory determination as to
whether an employee organization should become. or continue to be recognized
as the exclusive representative of employees in any unit will be enter-
tained if the request is filed within 12 months after a prior determination
of exclusive status has been made pursuant to the Order with respect to
.such unit unless the agency has withdrawn exclusive recognition from an.
employee organization by reason of its failure to maintain its compliance
with sections 2 and 3(c) of the Order or the Standards of Conduct for
-.Employee Organizations and Code of Fair Labor Practices and the agency
..advises the Secretary that it has no objection to a new determination of
.exclusive representation being made within the 12-month period.
Section 4. Contents of Requests; Service on Other Parties Answer;
Intervention.
(a) Requests for nominations shall be in triplicate and contain
the following informations
(1) Trg name of the agency and the name and address of any
office or branch of the agency below the national level that may be involved;
(2) A description of the unit appropriate for exclusive
representation or claimed to be appropriate for such representation.
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(3). The number of employees in the appropriate. unit -or any
alleged appropriate unit;
(4) If the request is by an employee organization, the name,
..affiliation, if any, and address of the organization and the names, if.
known, of all other employee organizations claiming exclusive recognition,
or seeking or having attained formal or informal recognition with respect
to any of the employees in the unit involved;
(5) If the request is by an agency, the names, affiliation, if
..any.,,and addresses of the employee organization or organizations claiming
... exclusive...re.cognition and, if known, of any employee organization seeking
or having attained formal or informal recognition with respect to any of
the.empl.oyees in the unit involved;
(6) A brief statement indicating specifically the matter or.
matters.. with respect to which an advisory derisiom or determination is.
sought;
(7) A brief statement of procedures followed by and before
the agency prior to the request, three copies of any appropriate.agancy.
determination and three copies of all correspondence relating to the
...dispute or problem;
(8) If the request is made by an employee organization, an indica-
tion of the interest of such organization, including, in the case of an
organization making an initial request not connected with a prior agency
or employee organization request, information or data such as membership
lists, employee petitions or dues records showing prima facie that the
organization has sufficient membership to qualify for formal recognition,
and that it represents no less than 30 percent of the employees, in the
appropriate unit or alleged appropriate unit; and
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(9) Any other relevant facts.
(h).. A party making a request shall furnish copies to all other
parties...or.organizations listed in the request in compliance with sub-
section. (a); except that membership lists, employee petitions or dues
records need-not be furnished by the requesting employee organization to.
the. other parties or organizations.
.(c) Any employee organization claiming to have an interest in
.the matter or matters to be considered by an arbitrator as to the appro-
priateness of a unit or majority representation must have satisfied all
.of the requirements of section 5 of the Order and section 4(a)(8) of these..
rules; except that, any employee organization which has satisfied all of
the requirements of section 5 of the Order except for the 10 percent member-
... ,ship.requ.irement shall be entitled to receive notice of the proceeding
.,and..to.participate fully therein if it represents at least one member and/or
.is.,de.signated by at least one employee as his representative in the unit
...,alleged to be appropriate by the employee organization seeking exclusive
_. .rec.ognition or the unit alleged to be appropriate by the agency, provided,
however, that such intervening employee organization may not contend for
.a unit different than that sought by the employee organization seeking
..exclusive recognition or the unit claimed to be appropriate by the agency.
(d) Within fifteen (15) days following the receipt of.a copy of
any request for a nomination filed with the Secretary, the agency or any
employee organization may file a response thereto with the Secretary,
raising any matter which is relevant to the request including the adequacy
of the showing of interest and the appropriateness of the unit under terms
of the order or these procedures o A copy of any response shall be furnished
to other parties and organizations listed in the request, in the manner pr
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vided in subsection (b).
Section 5. Action to be taken by the Secretary Nomination and
Selection.
(a) Upon receipt of a request and the responses, if any, the
Secretary shall make such further inquiries as may be necessary to deter-
,mine his. authority under the Order and these procedures; whether a timely
requast...,far, nomination has been made; whether a valid, question concerning
representation exists in a prima facie appropriate unit; or for the purpose
of obtaining -a further specification of the issues or matters to be submitted
..,for.an advisory decision or determination, or assisting or advising. the
parsons nominated or considered for nomination or otherwise facilitating.
-submission of the matter to such person or persons in a manner that will
.,permit an expeditious decision or determination.
(b) The Secretary will determine the adequacy of the showing of
interest administratively, and such determination shall not be subject to
coLlateralattack at a hearing before an arbitrator.
(c) The Secretary shall nominate not less than three arbitrators.
Within 5 days the parties may indicate their order of preference from
among those nominated. The Secretary will thereafter select from
among the nominees listed an arbitrator, or a panel of arbitrators, if
he determines that a panel would be more appropriate.
Additional Time after Service by Mail
(a) In computing any period of time prescribed or allowed by
these rules, the date of the act, event, or default after which the
designated period
f time begins to run, is not to be included. The
last day of the period so computed is to be included, unless it is a
Saturday, Sunday or a Federal legal holiday, in which event the period
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runs until the end of the next day, which is neither a Saturday, Sunday
nor..a..F:ederal legal holiday. When the period of time prescribed, or
_allowed, .is leis than 7 days, intermediate Saturdays, Sundays and
,holidays shall be excluded from the computations. Whenever a party
_has the..right or is required to do some act or take some other proceedings.
within a prescribed period after service of a notice or other paper upon
the-Secretary or a party and the notice is served upon him by mail, 3
days shall be added to the prescribed periods Provided, however, that
3 days shall not be added if any extension of such time may have been
granted.
(b) When these rules require the filing of any paper, such
document must be received by the Secretary or a party before the
close of business of the last day of the time limit, if any, for such
filing or extension of time that may have been granted.
Section 70 Fees9 (+?ostsn Expenses9 decisions
Arbitrator's fees, per diem and travel expenses, and
election expenses for notices, ballots, postage, rentals, etc., shall
he borne entirely by the agency.
The standard fee for the services of an arbitrator should be
$100 per day. In the event a panel of arbitrators is employed, the
standard fee should be multiplied by the number of persons serving
on the panel, `ravel and per diem should be paid in accordance with
maximums allowed by law and the Standardized government Travel
Regulations for employees of the Federal tovernment
o agency should provide the arbitrator with a copy of the
transcript of testimony taken at the hearing, such transcript to be
returned to the agency upon the issuance of the arbitzator's advisory decision.
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. Costs.involvimg assistance rendered by the Secre.tary's Office
in. c.onecttoa. with advisory decisions or determinations under Section. .11
._,.of,.the Order-. shall. be limited to per diem,, travel expenses. and services on a
time-worked basis.
Upon request, the Secretary will make available copies of
..advisory. decisions of arbitrators.
Section 8. Construction of Rules.
The rules shall be liberally construed lP effectuate the purposes
and ,provisions of the Order,
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 Rem Mr. Wirtz, dated
tter from
l
e
1 - 2: With the attached
file of previous
14 February 1963, 1 am forwarding the
related correspondence. This suggests that there
may be no :necessity for action. The Director of
Personnel can give you further information if you
wish it concerning the Agency's exemption from
Executive Order 10988.
FORM NO. 'L237 Use previous editions
2-61
 STAT
STAT
STAT
ILLEGIB
SIFICATION TOP AND BOTTOM
676 D06
-UNCLASSFIEti
CENTRAL INTELLIGENCE AGENCY
OFFICIAL ROUTING SLIP
APPROVAL
COMMENT
CONCURRENCE
DIRECT REPLY PREPARE REPLY
DISPATCH RECOMMENDATION
FILE RETURN
INFORMATION SIGNATURE
Remarks :
For your information and for preparation
of an appropriate reply for General Carter's
signature as Acting Director.
SUSPENSE: 11 September 1962
FOLD HERE TO RETURN TO SENDER
FROM: NAME, ADDRESS AND PHONE NO.
Use previous editions
FORM NO. 237
2-61