Before discussing these areas, I would like to say that the overall workload of the Office shows no sign of diminishing, and is increasing in many program areas, as appears from our justification material figures. These functions are being carried out with the present staff only because of the changes in operating procedures which were described last year.

We are constantly reviewing such procedures, for improvement comes as a result of a continuing process and not all at once. Changes are made when they appear desirable. For example, 6 months ago we decentralized to the regional offices the furnishing of legal opinions respecting reemployment rights of veterans under applicable Federal statutes. This has gone far toward reducing what was the largest remaining backlog in the Solicitor's Office and has resulted in the furnishing of opinions more quickly than before. The regional attorneys are given constant advice and assistance in the more complicated and novel cases to prevent inconsistencies and to reach the correct solution of new questions. Other additional responsibilities, when proper, will be delegated to the regional offices from time to time in the future.

The estimate as printed in the President's budget is $1,500,000 for fiscal 1956 as compared to the $1,450,000 appropriated for the current fiscal year. The increase of $50,000 would be devoted to four phases of our work, no additional funds being requested in other areas. Most of the increase represents additional

attorneys vitally needed in those areas.

Interpretations and legal advisory services comprise a broad legal field which is descri ed on page 7 of the justification material. In most respects, the work in this field has been adequately handled under present allotments, but changing conditions are now placing a heavy burden upon the functions of these services. To describe all of this change in detail is difficult, as it results from the Department's policy of utilizing the Solicitor's Office for increased legal consultation and assistance in connection with the acceleration of all types of programs by the Secretary. As you will appreciate, much of this service is of a nature not readily susceptile of being reduced to statistics, but it is a most necessary function of the Office and constitutes a heavy workload.

A more specific example is the heavier legal workload in matters involving the Walsh-Healey Public Contracts Act. Not only has the number of decisions written by the Solicitor's Office in cases involving alleged violations of the statute increased in each of the last 2 fiscal years, but as you know, the 1952 amendment to the Walsh-Healey Act provides for judicial review of prevailing minimum wage determinations made by the Secretary. Three suits have been instituted challenging the validity of such orders in the cotton textile and the woolen and worsted industries. A great amount of work has been performed by the staff of this Office in connection with the defense of these suits.

Turning now to particular areas where increases are requested, the enactment during the last session of Congress of the amendments to the Federal Unemployment Tax Act (Purlic Law 567) and the new title XV of the Social Security Act (Public Law 767, unemployment compensation for Federal civilian workers), will require a steady volume of legal opinions construing the new legislation and interpreting the rules and regulations thereunder. Considerable liaison with the States and the Federal agencies on legal problems will be necessary. An increase of $15,100 to provide for 2 new attorneys and 1 secretary is essential to meet this recently added functions.

One of the things upon which we have been placing special emphasis is our program of administering the Federal prevailing wage laws and the labor standards provisions prescribed in the Secretary's regulations, part 5. The figures set forth on page 13 of the justification material show the rapid growth of the enforcement program which is being conducted. That it is bearing fruit is apparent. Along with the accelerated program, however, come additional complaints of violations as the labor standards provisions are brought home to individual workmen.

Violations must be handled quickly. By the nature of the construction industry many workmen move frequently from job to job as contracts are cɔmpleted; often they cannot be located unless enforcement action is promptly taken. Thus they not only lose their chance to receive restitution but action against the violator is handicapped by loss of the witnesses. Great inequities would result if the backlog indicated by the increasing number of cases is allowed to accumulate, as it will unless the personnel needed is available to keep this work current. For such purposes $17,900, covering salaries of 2 additional attorneys and 2 more clerk-stenographers in grades GS-11 and GS-4, respectively, is urgently required.

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Also extremely important in this general field is our wage determination program, under the laws just referred to. Last year I described our success in overcoming the former backlog, but equally as important as the making of early predeterminations is the making of accurate predeterminations. This can only be done on the basis of complete information.

In some parts of the country and on the construction of certain projects such as dams and military and atomic energy facilities, the problem constantly arises as to what wages actually prevail. This is because under area practice different wage rates are paid for the same type of work on different types of construction projects. A carpenter who works on one project may be paid more or less than a carpenter who works on another project of a different character in the same area, even though both me do the same kind of work. We must know the wages paid on all construction projects in the particular area in order properly to determine the rates for the various crafts which actually prevail on projects similar in character to the proposed Federal work. This has been obtained by voluminous correspondence and in some instances by costly field investigations and public hearings; under present conditions adequate information is sometimes unobtairable without an investigation.

The F. W. Dodge reports, which we are now receiving for the State of Texas, contain the information which is necessary in order to canvass all construction jobs for wage-rate information. Their use in Texas predeterminations has proved so successful that the protests, formerly frequent, have been substantially reduced. We propose for fiscal year 1956 to receive Dodge reports for the southeastern and southwestern areas, which are the trouble spots for gathering wage material. The cost, $5,000, will be well justified because of the value of these reports in helping to eliminate the chance of setting inaccurate rates through lack of information, to lessen claims against the Government by contractors for reimbursement because of necessary upward readjustments of wage determinations made on incomplete data, and to reduce the number of field investigations.

The Employees' Compensation Appeals Board is serviced by my office in a very substantial way. My office renders legal assistance to the Board both by furnishing advice and by writing opinions. A year ago I invited your attention to the mounting backlog. Although it is estimated that by the end of this year substantial inroads will have been made into the backlog, it is obvious that with the increasing workload the trend toward reduction of the backlog will hardly be continued in the absence of additional personnel.

As you know the decisions of the Board frequently affect the payment of large sums of money. They involve difficult legal questions often involving extensive research, and it is important that the decisions made be of high quality. Moreover, these cases involve misfortune to fellow workers and their families and should be decided as soon as possible to prevent the heaping of additional financial troubles upon persons already injured. The requested increase of $12,000 for 2 attorneys will insure the continued legal assistance necessary to keep step with the expanding caseload of the Board.

I accordingly submit that our request for the additional positions in the areas just described, and for the Dodge reports, is well justified and that the increase will be repaid many fold by the improvements they will make possible in the operations of the Office. In all other areas of our work we will vigorously maintain current programs through the coming fiscal year with the present staff.

The importance of the labor standards laws to the people of this country needs no belaboring. It is and will always be my purpose to exert every effort in my power to see that the Solicitor's Office performs its duties under those laws fairly, efficiently, and properly. To do so, however, is directly dependent upon a staff of proper proportions. It is on that basis that the 1956 budget request is submitted.

HOUSE ACTION

Mr. ROTHMAN. The House allowed $17,900 out of a request of an additional $50,000 over the 1955 actual appropriation. This $17,900 was for additional amounts for coordination and enforcement of labor standards provisions in the statutes applicable to Federal construction. In the past the Department has been criticized at times. by contractors and unions for issuing wage determinations which were not accurate. This was particularly the case in some southern and southwestern areas of the country, where it is difficult to ascertain readily what the prevailing wage rates are.

SUBSCRIPTION TO DODGE REPORTS

A request for an additional $5,000 for subscription to certain of the F. W. Dodge reports was made, and the House disallowed this. But if this amount were restored it would be a major move to eliminate many of these criticisms. The Dodge reports furnish a record of every construction job in a particular area, and thus correspondence with contractors named in these reports, the type of project and the wages paid can be ascertained for practically all of the area construction. It would be most helpful if an additional $5,000 were allowed for coordination and enforcement of labor standards provisions.

The 1956 budget estimate included the amount of $15,100 requested for 2 additional attorneys to service the employment security activity. It would be very helpful, and I think necessary, that this amount be restored to our budget for the coming year.

The additional funds are needed in connection with the new legislation for unemployment compensation for Federal civilian workers. The House did allow a sum of money for the Bureau of Employment Security, but none for the Solicitor's Office. And a good part of the additional work for the new program of unemployment insurance for Federal civilian workers falls upon the Solicitor's Office.

EMPLOYEES COMPENSATION APPEALS BOARD

An additional item of $12,000 for 2 attorneys was requested for the purpose of furnishing legal assistance and services to keep abreast of the expanding caseload of the Employees Compensation Appeals Board. Cases coming before the Board frequently involve payment of large sums of money, in some individual cases exceeding more than $7,500.

Frequently, too, the cases even involve complex legal problems requiring considerable research.

It is essential that the opinions rendered be accurate and of a highcaliber, since no appeal lies from these decisions of the Appeals Board. Also, speed of determination is also necessary since the rights of insured employees are involved and it is necessary to give just and quick service on these claims. The restoration of these amounts would be very helpful to us. We have been operating with some 50 attorneys less than the Solicitor's Office had in 1953.

Senator HILL. Is it less today than you had in 1953?

Mr. ROTHMAN. That is correct. And I think a restoration of a small number of this amount will permit us to operate a bit more efficiently. I believe that we are performing our functions, in spite of that reduction, in a commendable manner, if I may say that. But the cut is just a little too deep and the restoration of a small portion would be most helpful.

TOTAL ATTORNEYS

Senator HILL. How many attorneys do you have altogether?
Mr. ROTHMAN. 124.

Senator HILL. At one time you did have 174?

Mr. ROTHMAN. That is correct.

Senator HILL. How many additional attorneys would this restoration give you altogether?

Mr. ROTHMAN. The restoration would give us an additional four.

AVERAGE SALARY FOR ATTORNEYS

Senator HILL. What is the average salary of attorneys in your Department?

Mr. ROTHMAN. Can you answer that, Mr. Dinneny?

Mr. DINNENY. The average runs about grade 11, which would be a base of about $5,940.

Senator HILL. What does that mean in actual salary?

Mr. DINNENY. That is the minimum salary. And then to that, every 18 months are added within-grade promotions. Senator THYE. The maximum would be what?

Mr. DINNENY. That would be $6,940, sir.

Senator THYE. That is not very good compensation for one who is qualified as an attorney. I think it is a low wage scale, so far as the salary itself is concerned.

Senator HILL. Are there any questions, gentlemen?

Senator STENNIS. I have one question. Where are those attorneys? Are they here in Washington?

LOCATION OF ATTORNEYS

Mr. ROTHMAN. No, sir. Seventy-three are in Washington and the remainder are located in 10 regional offices and Puerto Rico.

Senator THYE. Those regional offices are located where?

Mr. ROTHMAN. Boston, New York, Philadelphia, Birmingham, Chicago, Cleveland, Dallas, Kansas City, San Francisco, Nashville, and Puerto Rico.

Senator THYE. So they are accessible to various areas.

Senator HILL. If there are no further questions from the committee, we are much obliged to you gentlemen for your appearance here today. Mr. ROTHMAN. Thank you, Mr. Chairman.

PRESIDENT'S COMMITTEE ON NATIONAL EMPLOY THE PHYSICALLY HANDICAPPED WEEK

STATEMENTS OF MAJ. GEN. MELVIN J. MAAS, USMCR, RETIRED, CHAIRMAN, PRESIDENT'S COMMITTEE; WILLIAM P. McCAHILL, EXECUTIVE SECRETARY, PRESIDENT'S COMMITTEE; AND JAMES E. DODSON, ADMINISTRATIVE ASSISTANT, AND V. S. HUDSON, ASSISTANT ADMINISTRATIVE ASSISTANT SECRETARY, DEPARTMENT OF LABOR

GENERAL STATEMENT

Senator HILL. Next we have the President's Committee on National Employ the Physically Handicapped Week, represented by Maj. Gen. Melvin J. Maas, chairman of that committee, and Mr. William P. McCahill, executive secretary.

We are very pleased to have you with us this morning, indeed, General, and you may proceed with your presentation in whichever way you wish.

General MAAS. We have before you a request for $130,000, which I assure you is down to mere essentials. All the things that were desirable but not absolutely essential to carry out the obligation

which you imposed on the committee in Public Law 565 have been taken out; only the essentials to do that job are left. I would like to request that amount and also that you continue the same language that you had in the last appropriation, which would protect the appropriation against cuts by transferring to other departments, because this is not a departmental budget.

It is true we are housed in the Labor Department. Physically, we are now in the Office of the Secretary in the Department of Labor. In addition to this job I am also adviser to the Secretary of Defense on another manpower matter, the Reserves.

Senator THYE. General, you have done a remarkable job and you have a wonderful opportunity in front of you. I believe that anything that we, as an Appropriations Committee, can do to further assist you in performing your duties will be rendering a great service. That is my feeling.

PREPARED STATEMENT

General MAAS. Thank you, sir. I have filed a formal statement, Mr. Chairman. I will not take up your time now.

Senator HILL. Your statement will go into the record in full at this point.

(The statement referred to follows:)

STATEMENT OF MAJ. GEN. MELVIN J. MAAS, USMCR, RETIRED, CHAIRMAN OF THE PRESIDENT'S COMMITTEE ON NATIONAL EMPLOY THE PHYSICALLY HANDICAPPED WEEK

The amount requested for the work of the President's Committee on National Employ the Physically Handicapped Week is $130,000. It is further requested that the Congress use identical language inserted in the 1955 Appropriations Act so that whatever amount you appropriate is for the sole use of the Committee and cannot be transferred by any department or official other than the President. As the Congress was advised last year, the President's Committee is now located in the Office of the Secretary of Labor with the executive secretary reporting administratively to the Under Secretary of Labor. I, of course, report as Chairman directly to the President, keeping the Secretary of Labor advised on all matters of major importance.

This budget request before you is predicated upon additional opportunities and responsibilities placed upon this voluntary citizen's committee by the Congress last year in the passage of the Vocational Rehabilitation Amendments of 1954, now know as Public Law 565. Section 8 of this legislation instructed me as Chairman to meet with the Secretaries of Labor and of Health, Education, and Welfare and to work out mutually agreed-upon plans for opening up more job opportunities for the additional thousands expected to be rehabilitated under this program.

I am happy to report to the Congress that such a meeting has been held following considerable staff-level work and we have agreed upon a program of action. We have designated responsible officials to take action on the plans and we will meet periodically to take stock of our progress in increasing the effectiveness of respective national, regional, and State services to the handicapped. This calls for greatly stepped-up work by the governors' committees in the States and Territories and by the local committees on employment of the handicapped.

I wish to pay personal tribute to Secretary Mitchell and to Secretary Hobby for their deep personal interest in employment of the handicapped and to the dedicated people in the employment and rehabilitation services who are rising to the challenge placed before them by the Congress in its passage of Public Law 565. I would add one word of caution, namely, that you not neglect to increase appropriations for the Bureau of Employment Security's program of services to the handicapped while continuing to support the President's fine rehabilitation appropriations request. The Congress has wisely made this new program one calling for teamwork, increased rehabilitation, increased placement, and increased stimulation and motivation of employers. The placement function with all of its