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such agreements after the effective date of the equal pay amendments. Plans are being developed to conduct studies in 1967 in selected industries which will indicate the extent to which adjustments in wage rates between men and women were necessary and changes in employment composition of jobs in which both men and women were employed.

During 1967 data will be assembled from secondary sources and a field survey will be conducted to determine the nature, extent, and value of fringe benefits as they pertain to matters related to the Fair Labor Standards Act and the Service Contract Act.

Work will be started in 1966, and completed in 1967, on a nationwide study of earnings and hours of work in the retail trade which will indicate the effects which a minimum wage of $1.25 an hour and a 40-hour workweek standard has had when applied to an industry which had not been covered by the Fair Labor Standards Act prior to 1961 and in which the smaller enterprises still remain uncovered.

A nationwide study of the motion picture theater industry is planned for 1967. The survey will cover the weekly earnings and hours as well as hourly rates for low-wage nonsupervisory employees such as ushers, cashiers, and attendants at refreshment stands.

Procedures will be developed in 1967 for utilizing automatic data processing equipment in developing estimates as to the number of employees covered by the Fair Labor Standards Act. Automatic data processing will permit estimates to be updated periodically and will provide detail not previously possible concerning the characteristics of covered, noncovered, and exempt workers as, for example, by industry, region, State, sex, and race. Timely coverage estimates in the detail described above will be useful in identifying workload in connection with program planning and for legislative proposals.

Plans are being developed for conducting surveys to identify the size of the labor force which may be affected by any change in the minimum wage or hours standards and identify both on an area and industry basis the extent of impact anticipated. Comparisons will be made of the estimated impact of a proposed change in minimum wage and hours standards with those which actually occurred after prior changes in the standards.

Research projects are undertaken to obtain economic data and information for use by the Office of the Solicitor in some 12 to 16 litigation cases a year. These involve questions of coverage and questions which arise under various exemptions provided by the act.

Other research is undertaken to assist in the solution of administrative problems arising in the course of investigations and for the purpose of reviewing interpretations and regulations. Approximately five to seven such studies are made each year.

WHPC is conducting studies of the effects of wage determinations issued under the Walsh-Healey Public Contracts Act to obtain data on wages and bidding practices in the industries studied and on the extent to which changes in wage structures and bidding practices are related to prevailing minimum wage determinations. Studies initiated in the office machines and manifold business forms industries will be completed in the latter part of fiscal year 1966 or early in 1967.

Mandatory changes--

Financing changes--.

Changes for 1967

Management improvement reductions (positions, none)-.
Program changes: Funds requested to provide for full-year costs for
one position to provide technical assistance in the development and
operation of the data collection program under the Service Contract
Act amount to-----

$27,000

1966. 1967

12,500

ACTIVITY 4. ADMINISTRATION AND MANAGEMENT SERVICES

$694, 400 722, 600

NARRATIVE DESCRIPTION OF PROGRAM

This activity provides for planning, program evaluation, policy determination, administration direction, and necessary management services.

Mandatory changes--.

Financing changes---.

Changes for 1967

$17, 700

Management improvement reductions (positions, none)

Program changes: Funds for the full-year costs of the one position provided for additional management and fiscal responsibilities under the Service Contract Act, including activities related to funds recovered for payment to underpaid employees, amount to---

INFORMATIONAL TABLE-SERVICE CONTRACT ACTIVITIES

10, 500

The following table reflects the funds and positions included in the estimates for 1966 and 1967 to carry out the duties and responsibilities imposed by the McNamara-O'Hara Service Contract Act of 1965 (Public Law 89-286). These functions have been justified in the foregoing budget within the activities and objects specified.

ESTIMATE OF OBLIGATIONS INCLUDED FOR ADMINISTRATION OF THE SERVICE
CONTRACT ACT OF 1965
Obligations by activity

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FRIDAY, FEBRUARY 4, 1966.

BUREAU OF LABOR STANDARDS

WITNESSES

NELSON M. BORTZ, DIRECTOR

GEORGE T. BROWN, DEPUTY DIRECTOR

ROBERT D. GIDEL, ASSISTANT DIRECTOR FOR SAFETY

MILTON BROOKE, CHIEF, DIVISION OF STATE SERVICES AND

STANDARDS

ROBERT P. VAN ZANT, ADMINISTRATIVE OFFICER

V. S. HUDSON, DEPUTY ASSISTANT SECRETARY FOR ADMINISTRATION

RICHARD E. MILLER, DIRECTOR, OFFICE OF BUDGET ADMINISTRATION

THE PRESIDENT'S COMMITTEE FOR THE HANDICAPPED

WITNESSES

WILLIAM P. McCAHILL, EXECUTIVE SECRETARY

BERNARD POSNER, DEPUTY EXECUTIVE SECRETARY

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1 Selected resources as of June 30 are as follows: Unpaid undelivered orders 1964, $15,000; 1965, $121,000; 1966, $121,000; 1967, $121,000.

Mr. FOGARTY. We will now take up the Bureau of Labor Standards. Mr. Bortz, are you ready?

Mr. BORTZ. Yes, sir.

I have submitted for the record a statement, and if I might make just about five overall observations I think it would be helpful.

PREPARED STATEMENT

Mr. FOGARTY. Insert Mr. Bortz's complete statement at this point.

STATEMENT BY NELSON M. BORTZ, DIRECTOR, BUREAU OF LABOR STANDARDS APPROPRIATIONS COMMITTEE

SALARIES AND EXPENSES

Mr. Chairman and members of the committee, the Bureau of Labor Standards anticipates an adjusted appropriation of $3,270,500 for the current fiscal year. The request for 1967 is for $3,349,000 an increase of $78,500. These amounts include $391,900 and $411,400, respectively, for the President's Committee for the Handicapped.

Broadly described, the Bureau's activities proceed along two lines:

Improvement in labor legislation-State and Federal-through developmental, promotional, and technical services.

Improvement, on both the National and State level, of work safety on a programing and engineering basis, and statutory responsibility for the enforcement of regulations (standards) and reduction of injuries to workers employed in certain maritime industries and in the Federal service. Safety in the Federal service-geared to carrying out the purposes of the President's Mission Safety 70 program-is the only program for which we are requesting an increase in 1967-$46,700 and three positions.

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