production or in support of the national health, safety, or interest, or in an agricultural occupation or endeavor essential to the war effort, or (3) the date on which he violates a duty imposed on him by paragraph (2) of such section 5 (n), whichever of such dates occurs first, constituted the period of military service.

For the purposes of this section, the period during which the relief and benefits provided in section 106 are to be in effect shall in no event extend beyond thirty days from the date of making application for employment."

(Text of H. R. 1752 as ordered by the committee, February 22, 1945, to be reported to the Senate, follows:)

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) every individual is obligated to serve the Nation in that capacity for which he or she is best qualified, and to continue in such capacity so long as his or her services are required, to the end that the Nation may make the most effective use of its manpower resources in support of the war effort.

(b) The purposes of this Act are to provide the most practicable and effective means to accomplish the fulfillment of such obligation and to provide for making the most effective use of the manpower resources of the Nation by the following means, among others: (1) By providing for the accurate determination of manpower requirements and supply, and of the relative urgency of the needs of employers for workers; (2) by reducing wasteful labor turn-over and unnecessary labor migration; (3) by channeling available manpower to employments in which workers will contribute most to the war effort; (4) by making available, for work in essential activities, workers presently employed in activities of relative unimportance to the war effort; and (5) by proinoting the maximum utilization by employers of their available work force.

SEC. 2. (a) The Chairman of the War Manpower Commission, an agency of the Government created pursuant to Executive Order Numbered 9139, dated April 18, 1942, as amended and supplemented (hereinafter referred to as the "Chairman"), shall perform the functions vested in him by this Act under the direction and supervision of the Director of War Mobilization and Reconversion. (b) The Chairman shall provide for the establishment of a national management-labor policy committee, regional management-labor committees, and State or local management-labor committees consisting in each case of representatives of labor, industrial management, and, where appropriate, agriculture, the members of which shall be appointed without regard to the civil-service laws or the Classification Act of 1923. These committees shall be consulted on basic policy decisions made at their respective administrative levels in the course of the administration of the functions vested in the Chairman by this Act.

(c) To the maximum degree consistent with this Act and with its purposes, local initiative and cooperative efforts of management, labor, and agriculture shall be encouraged and utilized and use shall be made of existing hiring channels such as private employers, labor organizations, professional organizations, schools, colleges, technical institutions, and Government agencies.

SEC. 3. (a) The Director of War Mobilization and Reconversion shall, subject to the direction of the President, provide for coordinating the activities of all departments and agencies of the Government responsible for production, procurement, or manpower in such manner as to carry out most effectively the purposes declared in the first section of this Act. The Director shall provide, among other things, that manpower requirements and the availability of manpower shall be given due consideration in determining where production schedules shall be increased or decreased and where contracts shall be awarded, terminated, or permitted to expire, and that notice shall be given to the Chairman of the War Manpower Commission at the earliest practicable time of all changes or anticipated changes in war-production schedules, all awards or anticipated awards of war contracts, and all terminations or anticipated terminations of war contracts which are likely to result in any substantial increase or decrease of the manpower requirements of any employer or any area. All departments and agencies of the Government shall comply with orders and regulations issued by the Director under authority of this section.

(b) The Director of War Mobilization and Reconversion shall make or cause to be made in-plant surveys and other investigations of the use of manpower by the War Department and the Navy Department, to determine the extent to which such departments are making the most effective use, in activities relating

to production, procurement, or repairs, of individuals in their employ or subject to their jurisdiction as members of the armed forces, and shall take or cause to be taken, appropriate measures to eliminate labor wastage and labor hoarding, and otherwise to promote the full utilization by such departments of individuals in their employ or subject to their jurisdiction as members of the armed forces, and otherwise to carry out the purposes of this Act.

SEC. 4. (a) Except as to the cases covered by subsection (b) of section 3, the Chairman shall provide for such in-plant surveys and other investigations of activities and places of employment, as may be necessary to determine the extent to which such activities or places of employment are making the most effective use of individuals in their employ, to the end that appropriate measures may be taken to eliminate labor wastage and labor hoarding, to promote full utilization for purposes essential to the war effort, by employers of their available work force, and otherwise to promote the purposes of this Act.

(b) To the extent necessary to carry out the purposes and means declared in the first section of this Act and also for the purpose of keeping activities and places of employment essential to the war effort in productive operation, the Chairman is authorized and directed, by regulation (1) to prescribe employment ceilings in designated areas, activities, or places of employment fixing the maximum number of workers, by age, sex, or occupational qualifications, who may be there employed and prohibiting the employment of workers beyond such maximum number, and (2) to prohibit or regulate the hiring, rehiring, solicitation, or recruitment of new workers by employers. No employer shall hire or retain in his employ any individual in voilation of such regulations.

(c) In the case of any individual who, in response to the request of the Chairman, agrees to accept employment outside the locality where he is then residing, the Chairman, in accordance with such regulations as he may prescribe, may furnish transportation to the location of such employment, and, if such individual complies thereafter with the requests and requirements made under this Act with respect to his accepting and continuing in any employment or employments in the same locality until the Chairman determines that he is no longer needed in such locality for work essential to t! e war effort, may furnish tra sportation back to the locality from which transportation was originally furnished for such individual under this subsection, or to any other locality selected by the individual which is not farther distant. The cost of such transportation shall not exceed the amounts allowable for individual civilian employees in the executive branch of the Government and shall not include any per diem allowance. The Chairman shall exercise the authority conferred by this subsection only to the extent that he deems the exercise thereof necessary to aid in relieving manpower shortages which substantially impede the war effort.

SEC. 5. The Chairman shall by regulation provide an opportunity for a hearing before an impartial administrative tribunal to any person who claims that any action taken with respect to him under this Act, or any regulation or order thereunder, is unreasonable as applied to him or is inconsistent with such Act, regulation, or order. Subject to such further administrative review as may be provided in regulations under this section, the determination made after such hearing shall be final. To the extent practicable and appropriate, such regulations shall provide for such hearings to be accorded in local areas and for such hearing tribunals to be so constituted as to permit the ascertainment of the views of persons selected as representatives of management, labor, and agricultural interests in the locality. SEC. 6. (a) The Chairman shall provide for the issuance of a certificate to any person with respect to whom he finds that such person (1) has been released by his employer from a position (other than a temporary position) pursuant to a request or requirement made under this Act and (2) has complied thereafter with the requests and requirements made under this Act with respect to his accepting and continuing in any employment or employments until section 4 (b) ceases to be in effect or the Chairman determines that he is no longer needed in work essential to the war effort, whichever first occurs. Any person to whom such a certificate is issued under this subsection shall be entitled to the benefits of section 8 (b) (except the last paragraph thereof and except that in lieu of the ninety-day period therein specified, the time within which application for reen ployment in his former position must be made shall be thirty days), 8 (e), and 8 (e) of the Selective Training and Service Act of 1940, as amended, to the same extent as if he had left such position in order to be and had been inducted into the land or naval forces for training and service, had been relieved therefrom on the day on which such certificate is issued to him, and had been given the certificate referred to in section 8 (a) of such Act: Provided, That this section shall not be construed

to confer greater employment rights than the individual would have had if he had remained employed in such position during the period of the employment or employments accepted by him upon the request of the Chairman of the War Manpower Commission.

(b) Section 8 (b) of the Selective Training and Service Act of 1940, as amended, is amended by inserting at the end thereof the following new paragraph: "If such person, within ninety days after having been relieved from such training and service or from such hospitalization, has become employed in an employment accepted by him at the request of the Chairman of the War Manpower Commission under the War Manpower Act of 1945, any period (before Section 4 (b) of such Act ceases to be in effect) while he is employed in an employment so accepted by him (and any period, not exceeding fifteen days, between leaving one such employment and entering upon another such employment) shall be disregarded in computing the ninety-day period within which application for reemployment in his former position must be made and shall be counted as training and service in the land or naval forces for the purposes of subsection (c).”

SEC. 7. Paragraphs (3), (4), (5), (6), (7), and (8) of subsection (a) of section 2 of the Act of June 28, 1940 (54 Stat. 676), as amended by title III of the Second War Powers Act, 1942, shall be applicable with respect to this Act to the same extent as such paragraphs are applicable with respect to such subsection (a), except that, for the purposes of this Act, the word "President", wherever it occurs in such paragraphs, shall be deemed to refer to the Chairman of the War Manpower Commission.

SEC. 8. No wage or other compensation paid for services rendered in any employment commenced or continued in violation of this Act, or of any regulation or order of the Chairman thereunder, shall be allowed or allowable as a deduction from income, or as a cost or expense, for the purpose of computing the tax payable under any Act of Congress or for the purpose of determining the amount to be paid to or recovered from any person with respect to the performance of any contract with the United States. The provisions of this section shall not be applicable with respect to any case of a violation of a regulation or order by any person unless such regulation or order has been published in the Federal Register, has been published in a newspaper of general circulation in the community for three consecutive days, or has been served upon such person by personal service or by registered mail. The Chairman shall transmit to the Commissioner of Internal Revenue and other agencies of the Government responsible for the administration of any functions under this section copies of such regulations and orders issued under this Act, and such additional information, as the Chairman deems will be useful to the Commissioner and such other agencies in administering their functions under this section.

SEC. 9. The Chairman of the War Manpower Commission shall submit reports to the President, the Senate, and the House of Representatives on the 1st days of January, April, July, and October, on the activities undertaken or contemplated by him under this Act. Such reports shall summarize and appraise manpower mobilization activities and problems.

SEC. 10. (a) As used in this Act, the terms "employment", "work", "hire", "rehire", "employ", or words of similar import shall include any contract, arrangement, undertaking, or relationship whereby or under which an individual undertakes to perform a service or services for another, irrespective of the resulting legal relationship between the parties.

(b) The provisions of this Act shall not be applicable with respect to the employment of persons by any State or any political subdivision thereof, without its

consent.

SEC. 11. Section 5 (k) of the Selective Training and Service Act of 1940, as amended, is amended by adding at the end thereof the following new paragraph: "In carrying out the provisions of this subsection (except the proviso of the foregoing paragraph) the selective-service local board in classifying the registrant shall base its findings solely and exclusively on whether the registrant is necessary to and regularly engaged in an agricultural occupation or endeavor essential to the war effort and whether a satisfactory replacement can be obtained, without reference to the relative essentiality of the registrant to an agricultural occupation or endeavor as compared with any other occupation, service, or endeavor; and the foregoing provision of this sentence shall apply upon any appeal or review of a decision made thereunder by a selective-service local board. It shall be the duty of any registrant who is now or hereafter deferred under this subsection, and who has been found to be unacceptable to the land or naval forces for training and service, not to voluntarily leave or discontinue such agricultural occupation or

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endeavor unless his selective-service local board (subject to appeal in the same manner as is provided in section 10 (a) (2)) has determined that it is no longer necessary in the interest of the war effort for him to remain in such agricultural occupation or endeavor or that he has a justifiable reason for discontinuing such agricultural occupation or endeavor; and violations of this provision shall be considered an evasion of service in the land or naval forces."

SEC. 12. If any provision of this Act, or the application of such provision to any person or circumstance, is held invalid, the remainder of this Act and the application of such provision to persons or circumstances, other than those as to which it is held invalid, shall not be affected thereby.

SEC. 13. The provisions of section 2 (b) and section 4 (a) and (b) of this Act, and all regulations, orders, or requirements thereunder, shall cease to be effective upon termination of hostilities in the present war, as declared by the President of by concurrent resolution of the two Houses of Congress, or upon December 31, 1946, whichever is the earlier.

SEC. 14. This Act may be cited as the "War Manpower Act of 1945".

Amend the title so as to read: "An Act to provide for the most effective utilization of the manpower resources of the Nation in support of the war effort, and for other purposes."

The CHAIRMAN. We have with us today the Secretary of War, the Under Secretary of War, the Secretary of the Navy, and the Under Secretary of the Navy.

Mr. Secretary, I do not think it is the intent of the committee to lead you into vain repetitions of things which have already been put in the bill, but we want to talk to you both informally and as a committee in executive session, and we have asked, as I have already explained to you, only those persons who are needed to come and therefore those who are not needed not to come. I think it is all right to

have that statement in the record.

Senator O'MAHONEY. Mr. Chairman, may I suggest Judge Patterson be invited to take a seat at the table?

Under Secretary PATTERSON. I thought seats would be scarce. will vacate it whenever the proper person appears.

The CHAIRMAN. All right, Mr. Secretary.

Secretary STIMSON. Are you ready for me to start?

I

The CHAIRMAN. Yes, sir. The committee, in its attempt to expedite things, has the right to put a limit of 30 minutes on each witness. Whether the members of the committee will restrain themselves for 30 minutes remain to be seen.

Senator HILL. Off the record.

(Discussion was had outside the record.)

Secretary STIMSON. This is an executive meeting, and I understand we can talk with informality?

The CHAIRMAN. Yes, sir. The record will be taken, but anything you do not want to appear in the record, Mr. Secretary, please announce whether it is off the record. Off the record.

(Discussion was had outside the record.)

STATEMENT OF HON. HENRY L. STIMSON, SECRETARY OF WAR

Secretary STIMSON. Well, sir, you did me the honor to invite me in. You invited me at a very late moment. I have talked over our respective shares in this hearing with Judge Patterson, and I am going to try to confine what I have to say to a few brief remarks on the need for and what the effect of such a bill will be from the standpoint of the manpower of the Army.

Judge Patterson will take up, with respect to the bill, particularly his share of the work in our Department, which has control of production, which, of course, is the main end of the bill; rather, it is the direct end and not the main end.

I appeared once before this committee on the same general subject, a national service law. That was in January of last year, and I then took the position-I prophesied, in fact, which is always a dangerous thing that we should need a general service act and that we should need it both for its psychological effect on our soldiers and for the needs of sufficient manpower and equipment also. That was when we were approaching the crisis of the war, although we had not yet reached it. We are now in that very crisis, and I am in the rather unfortunate position of Cassandra in the old fable, of having prophesied the evil and seeing it coming true.

I am going to try to just give you a sketch of what I pointed out and what is now coming true. I then pointed out that only one-half of our Nation was organized for war, whereas all of our enemies were organized throughout for war. I pointed out in the first place that that was a discrimination which was even at that time beginning to affect the morale of our men and that it would continue to do so. I pointed out further that, outside of the sphere of morale, in the changes and experiences and the hurly-burly and pressure of battle when we really were joined in the battle, there would be shortages and changes in spite of all of the best plans in the world; that there would be changes in manpower and changes in weapons, in the classes of fighting men and in the classes of the weapons they fight with. I said, in order to meet such shifting changes at that time, when it came, we must be organized completely so that the changes could be put into effect as quickly and with as little loss of time as possible.

Now, as I say, I am in the unhappy position of feeling the need of the machinery that I then spoke for.

Senator O'MAHONEY. Mr. Chairman, may I interrupt the Secretary just a moment? The machinery for which you spoke then was an all-inclusive national service act?

Secretary STIMSON. I spoke, it is true, for such an all-inclusive bill that was then pending before this committee, but the bill which is now pending before it is aimed at serving the same purposes so far as the needs that I am now discussing are concerned, and although the bill is a less complete bill, in its purposes it is on the same line and on the same track as that bill, and therefore I am speaking of it, whatever its name may be, as the service bill.

Senator O'MAHONEY. May I say to you without offense, I feel my obligation as a member of this committee is to find out what this bill will do, and therefore when the opportunity is presented to me I shall take the liberty of questioning you about this bill.

Secretary STIMSON. Yes; and I will do my best to answer such questions as you want, Senator, but I will tell you in the beginning that the details of this bill are in that phase of the work of the War Department which I have just pointed out as being under the direct control of Judge Patterson, and I think you would save time for us both if you would ask him the questions.

Senator O'MAHONEY. I should be very glad to do that.

Secretary STIMSON. Now, to return to what I was saying and to get the picture of the steps of the war, so as to make clear what I mean