The Department will continue its 1976 activity levels in connection with the ILO. The major work on the ILO necessary to decide on withdrawal will have been accomplished by the end of the fiscal year. The ILO meeting schedule is expected to be slightly heavier in 1977. Better overall coordination of the various elements of the OECD and their activities is a major goal of 1977.

In the field of international technical cooperation, the Department will continue to expand direct working relationships with selected multilateral organizations with a view to strengthening governmental institutions responsible for labor and manpower activities in the developing countries, and to implement programs to strengthen democratic trade unions overseas. The Department also will convene a series of nine seminars and workshops, funded by USIA and labor subjects in Africa, Asia, Eastern Europe, and Latin America and provide through the Department of Labor International Technical Assistance Corps (DOLITAC) senior specialists to advise and train officials of labor ministries and related agencies in the developing countries.

Mandatory changes include increases of $16,000 for net additional cost of within-grade promotions effective part year in 1976; $18,000 for net additional cost of within-grade promotions becoming effective in 1977; $41,000 for net additional cost of pay increase effective October 12, 1975; $2,000 for increased cost of administrative and program support services; -$10,000 for one less day of pay in 1977; $2,000 for increased contributions to the Federal Employees' Compensation Fund; -$40,000 for reduction in Standard Level User Charges reimbursed to GSA; and $78,000 for annualization of new positions received.

Program changes include increases of three positions and $97,000 for support of Labor advisory committees; $75,000 to increase the level of quality of U.S.-ILO participation; and $20,000 for increased cost of travel allowances authorized by Public Law 94-22.

Providing Support for Labor Advisory Committees

Proposal: To provide for additional positions for increased support for the labor advisory committee program.

As the The Need: The work of the labor advisory committees will increase. trade negotiations accelerate, the number of formal labor advisory committee meetings will increase to a minimum of seven a month or 84 meetings annually in FY 1977. This compares with 29 meetings in FY 1976.

The Program: In FY 1977, responsibilities concerning the MTN will shift from the development of initial negotiating positions to evaluation and analysis of proposals emerging from the negotiations to assure that adequate reciprocity is achieved. As the bargaining on concessions and other issues intensifies, the The committees must be pace of advisory committee activity must also increase. informed on a continuing basis about the status of the negotiations in Geneva and their advice sought and considered in the decision-making process.

The December 1975 meeting of the Trade Negotiating Committee in Geneva established a calendar 1977 target date for the completion of the negotiations and agreed that Calendar Year 1976 would be a year of intense preparation to meet that target. The work program agreed to meet those objectives includes the following:

1.

2.

3.

4.

5.

6.

7.

8.

9.

An agreement on tropical products

Agreement on major elements of a tariff negotiating plan

A substantially agreed draft standards code

An agreed procedure for achieving a liberalization of quotas
An agreed basis for negotiations in the area of customs matters
Progress in sub-groups on cereals, meat and dairy products and on
other agricultural products

Agreement on the basis concepts that should be negotiated in the
area of safeguards

Substantial agreement on the role and use of the sector approach
Progress in achieving special and differential treatment for the
developing countries in the various areas of the negotiations.

The Labor Policy Advisory Committees (LPAC) and the six Labor Sector Advisory Committees (LSAC) will have to be informed on all of these subjects, issue papers and background material prepared and substantial staff support provided in the preparation of the advice and information received from the committees. It is anticipated that the LPAC and each of the six LSAC's will meet on the average of once a month. The 60 labor organizations represented on the committees have been sharply critical of the amount of staff support we have been able to make available, pointing out that the Commerce and Agriculture Departments provide considerably more staff support for the industry and agriculture advisory committees. They interpret this as an indication that there is less interest in the views of labor than in the views of other sectors of the economy. It is vital to the progress of the trade negotiations that organized labor participate as fully in the development of trade policy under the Trade Act of 1974 as other sectors of the economy. The President's Special Representative for Trade Negotiations is deeply concerned with this problem and wants to assure that all the advisory committees have the opportunity to be informed about the negotiations and provide the required advice to the negotiators.

Increasing the Level of Quality of U.S.-ILO Participation

The Proposal: To provide additional funds to increase the level of quality of U.S.-ILO participation.

The Need: The U.S. filed in November 1975 a letter of intent to withdraw two years hence from the International Labor Organization (ILO). Both Secretaries of Labor and State called for an increased effort over the next two years to try to improve the practices in the ILO and the direction and quality of its work so that withdrawal will prove unecessary.

The Program: The amount of $75,000 is requested to increase the level of quality of U.S.-ILO participation. This would be used to hire experts and consultants on a temporary basis to evaluate ILO programs, to develop program proposals of direct benefit to the U.S., to conduct research, and to support the Cabinet-level Committee. This would also be used to permit travel for onsite inspection of and consultations about ILO operations both in Geneva and elsewhere in the world, and for consultations with other governments.

Additional Travel Payment Allowances Authorized by Public Law 94-22

Proposal:

To provide for additional travel costs due to increased rates for mileage and per diem allowances as authorized under Public Law 94-22, Travel Expense Amendments Act of 1975.

The Need: To maintain travel at the same level as in 1976, which will enable continuation of administration of worker adjustment assistance and participation in international trade negotiations; participation in the International Labor Organization and the Organization for Economic Cooperation and Development; participation in directing the U.S. Labor Attache program; and assisting the overseas information, cultural and technical assistance activities of the U.S. Government.

The Program:

Public Law 94-22 was enacted May 19, 1975, providing for increased allowances in mileage and per diem and established special rates for selected high cost cities. This request represents only an increase in the cost of travel; it does not increase the amount of travel.

Activity 4. Administration and Management

(1976, $13,193,000, Pos. 393; 1977, $14,480,000, Pos. 425)

Narrative Description of Program

The Assistant Secretary for Administration and Management is responsible for planning, managing, and evaluating administrative support operations and for providing centralized support services for all Departmental Agencies. The full range of administrative support services for Departmental activities include equal employment opportunity, personnel management, financial management, organization and management review, audit of Departmental program funds granted to States and local governments, administrative services, and data automation services.

In 1975, the Office of Equal Employment Opportunity (EEO) was instrumental in providing the guidance and management emphasis that resulted in the establishment of a full-time EEO officer in each region, to carry out the provisions of the Departmental-EEO program. These regional EEO officers prepare regional affirmative action plans and quarterly reviews, monitor the Federal Women's Program (FWP) through a regional FWP coordinator or chairperson, monitor the Spanish Speaking Program (SSP) through a regional SSP coordinator or chairperson and perform other related EEO functions. In addition, a full-time Departmental Spanish Speaking Program Coordinator was also appointed.

The Directorate of Personnel Management designed a personnel management evaluation system to assess the effectiveness of Departmental practices. This was designated a Secretarial Objective and a full-time manager was assigned. Manual personnel processing activities were studied and preliminary steps were taken to automate various functions. The Director conducted an evaluation of health services in the regions. A summer employment program was conducted for students and young people including the disadvantaged. There were 646 participants in this program in FY 1975 nationwide, including 382 disadvantaged.

The Comptroller participated in an Interdepartmental effort to develop government-wide requirements for grants including grants administration, reporting, reconciliation, and joint financial management of grants as provided in the Joint Funding Act of 1974. The Regional Accounting Project (RAP), to decentralize Departmental Accounting, was completed in three of ten Regions. The program review function was restructured to provide a stronger interface between program planning, budget formulation and execution. The Management by Objective (MBO) system tracked 51 objectives (9 Presidential, 16 Secretarial, and 26 Agency) during the year. Manpower Utilization Surveys were completed in most of the functions of the Office of the Assistant Secretary for Administration and Management. Major technical assistance and training in developing workload standards was provided to the Employment and Training Administration. Considerable progress was also made on the development of a Department-wide automated staffing document.

The Directorate of Audit and Investigations (DAI) developed and issued guides and procedures for use in auditing Comprehensive Employment and Training Act (CETA) funds. It initiated an integrated audit effort, in cooperation with State and local agencies, to conduct coordinated audits of CETA funds. Audits of Employment and Training funds were substantially completed. DAI, in 1975, audited $3.9 billion in Federal funds, questioning $66 million in costs. Indirect cost rates totaling 450 were negotiated resulting in savings of $1.3 million in Departmental, and $2.2 million in U.S. Government funds.

The Directorate of Administrative Programs and Services coordinated the move of DOL units from 14 sites in the Metropolitan District of Columbia area to four including the new Department of Labor Building. Closed circuit TV cameras were installed for security surveillance in the new building.

In 1976, the new Departmental Upward Mobility Program guidelines are scheduled for issuance early in calendar year 1976. The Office of Equal Employment Opportunity (EEO) and the Directorate of Personnel Management will work closely with the Agencies and Regions in order to provide the necessary planning, programming and procedural guidance and technical assistance required. Monitoring of the EEO portion of the upward mobility program, including overall progress remains with the Departmental EEO Office. A separate EEO Investigative Unit has been established in the Office of the Assistant Secretary for Administration and Management to provide more timely and effective disposition of cases. This unit will employ full-time EEO investigators and will be activated in the third quarter, FY 1976.

In addition, the Department is presently considering various proposals aimed at further shortening the time required to handle EEO complaints.

The Directorate of Personnel Management, designed a Departmental Upward Mobility Program to provide specific career opportunities to lower grade employees. This program is scheduled for issuance about January of 1976. Career development emphasis will be placed on preparing administrative, clerical and technical (ACT) employees in grades GS-1 through GS-11 for competitive promotion. An affirmative action plan for the employment of disabled veterans has been designed and implemented in addition to the development of an employee performance evaluation plan. Health screening programs and surveys of regional health services were conducted within the Department in 1976. Also, guidelines were developed for implementing the Privacy Act, Fair Labor Standards Act, and leave restoration legislation. Some of the projects planned are expansion of the ACT Career Development Program, implementation of flexi-time pilot programs, and development of a wide range of training programs, seminars, and courses.

The Comptroller now has the responsibility for the Departmental implementation of new OMB, GSA, and Treasury procedures for grants administration, reporting and joint funding. Fifty-three program objectives were developed for inclusion in the MBO system in FY 1976 (5 Presidential, 24 Secretarial, and 24 Agency). Management Utilization studies are being conducted in the Comptroller's Office to complete the review of the functions of the Office of the Assistant Secretary for Administration and Management and will also be conducted in the Employment Standards Administration workers' compensation area during FY 1976. The Regional Accounting Project (RAP) will have been completely installed and will provide for decentralized accounting in all 10 regions by March of 1976.

The Office of Grants, Procurement and ADP Management Policy was established. Its initial efforts are being directed toward the publication of uniform Departmental policies in the grants, procurement and ADP areas, and toward an integrated plan to improve procurement and data processing systems.

In the Directorate of Audit and Investigation's audit program, progress continues toward full implementation of the Comprehensive Employment and Training Act (CETA) integrated audit effort. Audits of CETA prime sponsors, which were initiated in FY 1975, will be conducted more extensively in FY 1976. Internal special impact audits will be conducted in several areas. In the Cost Determination area, primary effort will be directed toward negotiating indirect cost rates with CETA prime sponsors and other Departmental contractors or grantees. The Office of Investigations will initiate reviews of agency employee integrity programs in 1976 and will require annual reviews of employee integrity programs established by agencies within the Department. The Directorate of Audit and Investigations includes the support activity of the ADP Evaluation Staff. One of the prime functions of this unit will be the review of ADP systems, facilities and performance within DOL and for Departmental contractors and grantees. The Directorate of Audit and Investigations will audit approximately 289 CETA prime sponsors, 17 State Employment Security Agencies and 20 State Occupational Safety and Health programs. The number of cost rate determination negotiations should be about the same as FY 1975 (450).