It is rather interesting to figure that if financial support for the aged (65 and over) was supplied by direct taxation, each man and woman from 20 to 64 would pay $12 for each $100 provided for the aged person in 1940. By 1980 the tax would be $19. At the same time, we might take heed that in 1940, persons 50 and over (the group most interested in old-age income) comprised about 32 percent of the voting population, and in the projected population of 1980, this group rises to 42 percent.

When we bear in mind that someone must support those who are retired to idleness, the need for gainful employment of all persons willing and able to work becomes obvious. To use the age factor as such as a barrier to the employment of a qualified person is not only unfair, it is economically unsound.

JOINT CAMPAIGN

Recognizing that manufacturing industry-which is NAM's immediate interest is responsible for only some 25 percent of the available jobs in this country and that most job opportunities lie outside industry, last fall NAM joined forces with the Chamber of Commerce of the United States in a business, commerce, and industry program to deal with the problem of employment of the physically handicapped and older workers. It was felt that working together both organizations would reach the majority of employers in the country.

SUCCESSFUL EXPERIENCE WITH HANDICAPPED

The progress made with the employment of the physically handicapped during and since the war pointed out a rather practical approach to the older-worker situation.

The reports each year of the President's Committee for National Employ the Physically Handicapped Week bear eloquent testimony to the increasing e ceptance by employers of the physically handicapped as individuals who, when properly placed in jobs, are equal in every respect to their able-bodied associates. The social myth that the physically handicapped did not fit into modern industry

has been pretty well exploded and gradually the roadblocks that have stood in the way of the handicapped at the employment office are being removed. The discrimination and prejudice against the physically handicapped is being rapidly overcome by education. The dissemination of the facts concerning the physically handicapped as a worker is doing more than any other thing to gain for these individuals their rightful place in the work force.

The slogan of the President's campaign, "Hire the Physically Handicapped, It's Good Business," indicates pretty well the soundness of this approach. Repeatedly the NAM has called upon manufacturers throughout the land to review their job requirements in light of the physically handicapped and then place the physically handicapped in suitable occupations. Results confirmed the practicality of this plan because it put to more effective use the skills and abilities of this group and, at the same time, provided individuals with the satisfaction of doing their share. All this contributes to a higher standard of living for everyone.

JOB SURVEY FOR PHYSICALLY HANDICAPPED AND OLDER WORKERS

It was through such leadership and education by industry and individual employers that the long-standing prejudice against the handicapped gave way. And it is the same approach-education and leadership-that NAM is using to root out any prejudice that may still remain on the score of the overage worker. Getting under way with this combined program involving the physically handicapped and older workers, the NAM and the Chamber of Commerce of the United States undertook a spot check of their memberships during the last few months. The purpose of this survey was to get a quick cross section of management thinking and prevailing practices. The NAM covered the manufacturing industries, while the United States Chamber of Commerce confined its inquiries to merchants, banks, insurance companies, utilities, railroads, and service groups.

The questions were directed first at the company's practice with reference to hiring physically handicapped and overage workers and then at the experience of the employer with this group. The large percentage of replies (roughly 50 percent) and the attending remarks indicated the interest in this problem on the part of the American employer.

FINDINGS

The answers to the first question, "Does your company follow a practice of hiring physically handicapped and/or older workers (over 45 years of age)," indicated that an overwhelming majority of employers have no arbitrary age or physical restrictions on employment. Fitness to do the job is the test generally applied in filling job vacancies. Those companies answering "No" indicated that they had no established policy but did, on occasion, hire physically handicapped and older workers.

While one might expect conditions for the employment of physically handicapped and older workers to be more favorable in the nonmanufacturing groups than in industry, it is interesting to note that a slightly higher percentage of manufacturing employers accept the idea of employing physically handicapped and older workers than is the case in the service organizations. Here are some of the comments we received:

A life-insurance company said: "I believe we are fully alert to the contributions which physically handicapped and older workers can make to the productive effort of our company and the Nation, and we are endeavoring to translate this belief into action whenever the opportunity arises."

An electric-power company said: "It seems most important that every available source be utilized to enable our economy to stand the strain of more and more social-security and retirement benefits."

A utility company said: "The employment of physically impaired and older workers is, of course, of great importance to the individuals themselves and our experience has demonstrated that the contribution of those workers compares favorably with the contribution made by any other groups in the business."

As evidence of change in thinking, let us look to an air-line company: "Until some time in the recent past, we did have maximum age limits for some jobs, but we have, with rare exception, been able to eliminate age limits as we do not feel that, except on specialized jobs, we should adhere to some specific age

limit. We feel that many people at one age would be suitable for a job whereas others of the same age, or even younger, would not be suitable."

Where employers are experiencing difficulty in fitting physically handicapped and older workers into the work force, the major obstacle is the inability of the applicant to meet the requirements of the job. This indicates a real need to clear up the confusion in distinguishing between age and lack of qualifications as job barriers. Even so, the fact that the majority are experiencing no difficulty in placing the physically handicapped and older workers in productive occupa tions indicates what can be done in this field.

A railroad company said: "You realize, of course, that the physical and mental qualifications of our employees directly responsible for public safety, must be rigid."

A national bank said: "Approximately 25 percent of our employees are over 50 years of age and we found during the late war that they were the backbone of our organization."

In asking about the effect of physically handicapped and older workers on workmen's compensation costs, we were told (by a ratio of more than 10 to 1) that their presence had no serious adverse effect.

One of the objections frequently voiced to hiring the physically handicapped or older workers was the effect it had on workmen-compensation costs. The experience of the majority of these employers indicate that this objection is of questionable validity.

The figures indicate that the employment of the physically handicapped and older workers is not inconsistent with operating pension plans. While some companies seem to feel that it is necessary to limit hiring age in order that all employees meet retirement with a full pension, there is an overwhelming tendency to make the necessary adjustments to hire the older worker.

A public service corporation said: "We do not let old age interfere with our pension plan. So long as anyone is able to continue to work, we permit him to do so. In some instances, however, this brings criticism from younger people seeking employment."

An insurance company said: "If the potential employee is of such an age that he will not be insurable under our pension plan, he is hired on a temporary basis. We have a number of fine older employees who have been hired since 1940."

With few exceptions, the presence of physically handicapped and older workers has virtually no effect on prevailing employer practice and benefit programs For example, in the case of group insurance, the increased cost of the older worker is small when combined with that of a balanced work force.

Collective-bargaining agreements presented no serious difficulties according to the survey. This was even more pronounced in the nonmanufacturing group where only 5 of 131 answers indicated any difficulty from this source.

GENERAL COMMENTS

There was every indication from the answers that there now exists a new and general awareness on the part of employers of the need for utilizing the skil's experience, and judgment of the physically handicapped and older workers Employers generally recognize their responsibility to do everything in their power to remove whatever roadblocks have traditionally stood in the way of qualified people getting jobs. For instance, a large steel company says: "Further more, we are presently engaged in studies looking toward broader employmert policies involving handicapped individuals generally. Our experience with veterans indicates that many such individuals may be employed without sacrifice to productive efficiency and with a high degree of satisfaction to the individing: involved."

A machine-tool company says: “We have a very high percentage of employers over 45 years of age. Our products must have a high degree of accuracy and o older employees are the ones we depend upon for this."

Certain advantages found generally with physically handicapped and oder workers were emphasized in the replies:

1. Reliability.-Less absenteeism and steadier work were indicated for both the physically handicapped and older workers.

2. Better work habits.-A manufacturing company in New Jersey stated. "Generally our handicapped and older workers are more loyal and have better work habits than younger, able-bodied men with less scn'ority."

3. Less turn-over.—Both physically handicapped and older workers tended to remain on the job and have a stabilizing influence on the younge wo he's A

railroad company said: "We have noticed in employing physically handicapped or older workers that these individuals are extremely appreciative of the opportunity given them. They have a greater desire to please and labor turn-over among these workers is lower than among other workers."

4. Good quality and output.-The older worker was particularly singled out for mature judgment resulting from experience which tends to keep operations on a satisfactory level. A chemical company reported: "As we continue to improve physical labor-saving devices, steadiness, maturity, care, and experience become more important than physical strength in an industrial organization."

The success found by employers in placing physically handicapped and older workers in gainful employment is based, we were told, on proper job-placement methods.

A steel company said: "In order to derive the full benefits of the superior work attitude of older and handicapped workers, it is necessary to properly place them on jobs which will not aggravate their disabilities."

A chemical company said: "Any successful program must have as its premise the fact that the job assignment must be made on a sound economic basis both from the standpoint of output to the company and the monetary return to the individual. Therefore, in the job to which he is assigned, the disabled person should be able to produce as much as able-bodied persons performing the same job after an adequate learning period. This means matching the requirements of the job and the physical abilities of the individual. When a handicapped person is able to perform the duties of a job, he is no longer handicapped so far as that job is concerned."

Companies which indicated a reluctance to hire physically handicapped and older workers gave as the major reason their policy of promotion from within the organization. This involved, first of all, taking care of employees who became disabled while employed in the company as well as transferring older employees who for one reason or another find themselves unable to do their usual work.

A food-products-manufacturing company said: "At present we have about 6,500 in that group (over 45), which is approximately 22 percent of our entire personnel. Most of these people have long service records, and we feel morally obligated to keep them on the active pay roll to normal retirement age, if possible. With such a large group, this requires a considerable amount of adjustment in the way of job changes, etc. It is, therefore, our intent to hire at age 45 or over only those persons who we can absorb in our organization without prejudicing the future of our own ‘older workers.'

An electric-power company said: "The policy of this company is to employ on a career basis, usually starting employees in the early twenties. Thirty-five percent of our regular employees are 45 years of age or over. Our most valuable employees are within the age group of 45 years or over."

Success with the campaign to place physically handicapped workers in employment since the war stems almost entirely from the fact that they were fitted into existing situations and matched to existing jobs instead of attempting any segregation by creating special jobs for them. The survey indicates the wisdom of a similar approach with respect to older workers. They also must be fitted into existing jobs, exept in unusual circumstances.

NAM PILOT CLINICS

The NAM has been holding pilot clinics in New York, where groups of manufacturers consider ways and means of implementing this campaign for the employment of the over-age worker. This clinic approach to industrial-relations problems as been most effective in such fields as employment stabilization, employer-employee communications, management teamwork, and other aspects of personnel administration.

Through this technique it has been possible to explore a problem in all its ramifications and to find some practical solutions. To exercise industrial leadership and point the way to constructive action, we have gathered together manufacturers in small groups, first in New York and then in clinics or small roundtable discussion groups sponsored by local or State employer associations affiliated with the National Industrial Council. Here employers come to grips with the problem and in frank discussion exchange their experiences. Interestingly enough, it is quickly apparent, regardless of the subject under discussion, that there is no one single or simple answer to the problem at hand. Conditions vary between sections of the country between different industries and frequently

between plants of the same company making the same products to such an extent that no one formula or solution can be applied universally.

Best results are secured where the individual employer examines his own situation and develops his own program. His intimate knowledge of the facts at hand puts him in the best position to apply the sound corrective.

These clinic discussions give employers an opportunity to learn what other employers are doing. They are encouraged by the successful experiences in other plants and stimulated to go back to their plants and do something about the problem. This is the next step in the NAM leadership and education campaign to open up additional opportunities for older workers.

SIGNIFICANT DEVELOPMENTS

In each instance we found a genuine interest in the subject and a willingness to inquire into its implications.

It was generally agreed

1. That age or physical handicap of itself should not be a factor in employment.

2. That job applicants should be judged solely on their qualifications in light of the job to be filled.

3. That companies require employment interviewers to recognize that industry needs and must utilize the reservoir of skill, experiene, and knowledge of the physically handicapped and older workers.

4. That employment policies should be reviewed and where necessary revised with a view to giving the physically handicapped and over-age workers suitable job opportunities.

There is virtually no problem where employees have grown old or have been handicapped in service. Employers make such adjustments and transfers as may be found neecssary in these cases. The problem seems to be with the physically handicapped or overage person who is seeking employment. It was generally agreed by employers represented at these clinics that a specific skill is the applicant's greatest asset. Where a high order of skill is required in the plant, we found ready acceptance of physically handicapped and older applicants. An official of one of the large rubber companies mentioned that their tendency to venerate the quarter century group made the older applicant more acceptable to their supervisory force. He held that ability to do the job should be the basis of selection. In this company a retired worker with short service is given a separation allowance in lieu of a pension.

A number of companies with compulsory retirement plans have found some of their workers separated from employment but with pensions which are inadequate because of inflation. In some cases, the retired worker secured employment elsewhere or became a dependent. Realizing this loss to the company and the economy in general in the case of a retired worker who is willing and able to work, some companies question the advisability of compulsory retirement because of age.

The president of one industry in the East stated: "We choose and select when we hire and I see no reason why we can't do the same thing when we retire workers."

And he went on to say that the most important thing from his point of view was to treat people as individuals whether they were young or old. He pointed out that the task in this problem seems to be that of breaking down prejudice and encouraging employers to treat physically handicapped and older applicants as individuals with varying skills and aptitudes rather than as members of a superannuated group.

The growing longevity of our people raises the serious problem of how our economy can handle the overwhelming cost involved in supporting a constantly increasing aged segment of the population. To take care of some in this group the employer must be encouraged to study his job requirements and find out which positions in his plant or shop or office can be filled by those in the bizeg age bracket. However, this is not intended to limit opportunity of the pixx cally handicapped or older applicant to certain types of jobs. What he neis from an employer is consideration of what he has to offer and the chance tu show what he can do.

Fortunately, the performance of so-called overage workers during the war as gone a long way toward reducing the reluctance of employers to select worke