of the Railway Mail Service to perform service in excess of four hours on Saturdays they shall be allowed compensatory time for such service on one day within five working-days next succeeding the Saturday on which the excess service was performed. The CHAIRMAN. Is there anything to be said on this number? The CHAIRMAN. You may proceed. STATEMENT OF THOMAS F. FLAHERTY, SECRETARY-TREASURER NATIONAL FEDERATION OF POST OFFICE CLERKS, WASHINGTON, D. C.-Resumed Mr. FLAHERTY. I would first like to call the committee's attention to the fact that the Senate last week unanimously passed the Jones bill, substantially the same as this, but applying to laborers and mechanics and other Government employees outside of the Postal Service. We believe that the Senate, when advised of all of the conditions, will not want to discriminate against postal employees in that manner. The Jones bill would give a 44-hour week, or a Saturday half holiday throughout the year to thousands of Government employees outside of the Postal Service. We believe that in all fairness, in view of the character of the postal employment, the employees of the Postal Service should be similarly treated by the Congress of the United States, and that can be arrived at by the enactment of this La Follette bill. The bill is worded as it is in order to overcome a situtation existing in the Postal Service. We recognize the impossibility of closing down all work at noon on Saturday in the Postal Service, as is possible in some branches of the Government service. There must be mail activities on Saturday afternoon and Saturday night as well. That is recognized by all familiar with the service, and, consequently, we provide that when such service must be rendered, compensatory time be given on one of the five succeeding working-days. In substance, gentlemen of the committee, about all that is proposed to do is to apply to Saturday afternoon employment the same principle that is now applied to Sunday employment, namely, that when it is necessary to perform work on Saturday afternoon compensatory time be given on one of the following five working-days. We believe it is just and fair and equitable, and, as I stated a while ago in discussing another bill, we feel that the postal employees are entitled to share to some extent in the fruit of their increased productivity. The establishment of a 44-hour week in the Postal Service is by no means revolutionary. It is already established in many industries. Henry Ford, and he is looked upon as the outstanding industrial expert of this day and age, has established the 5-day working week in his establishment. This is a well-established principle. I do not believe it is far-fetched or unreasonable, and in view of the Senate action for a similar group of Government employees, I trust that favorable action may be taken upon this bill at this session. The CHAIRMAN. Would you think Mr. Flaherty, that this action on behalf of the postal employees would meet the charge of discrimination; would it not be a more consistent method to amend the Jones' Act? Mr. FLAHERTY. Yes; that might be the better method to arrive at it. It was not done in the Senate bill which went through without debate, excluding specifically postal employees and the employees of the Government Printing Office. We believe that is unfortunate, because we feel it will appear that the Congress of the United States has shut the door on a shorter working week under the circumstances. The CHAIRMAN. Are you making any attempt at the other end of the Capitol to have it done? Mr. FLAHERTY. That will be done if the opportunity presents itself. But at the moment we are asking that something be done here fearful that action at the other end may fail. Senator BROOKHART. I believe you had better not amend that bill. Then you will have a precedent established. Your argument is perfectly good. The CHAIRMAN. Is there anyone else who cares to be heard on this number? STATEMENT OF EDWARD J. GAINOR, PRESIDENT NATIONAL ASSOCIATION OF LETTER CARRIERS, WASHINGTON, D. C. Mr. GAINOR. I would like to add the indorsement of the National Association of Letter Carriers to this bill. It is a subject in which our membership are greatly interested. I think it is well that something be said about the progress along this line that has taken place in the last 5, 10, 15, 20, or more years. Time was when 12 hours was a day. When the eight hours was first suggested it was considered revolutionary in character. Ultimately the 8-hour day triumphed, and no one now challenges. But with the growth of productive machinery, thinking men began to realize that it was an economic necessity to shorten the hours of labor, and this tendency toward the shorter hours has continued until now the 5-day week is largely observed. Some six years ago the Post Office Department in some small way began to advocate the idea, and tests were taken throughout the United States to show the sentiment of the people toward it, and 99 per cent applauded this idea. Nothing would be more popular with the people. Now already legislation has been passed which gives some of the other Government employees a half holiday on Saturday. We know of no reason why the postal employees should be excluded from its benefits, and, therefore, we are very strongly in favor of this measure. The CHAIRMAN. Anything further? STATEMENT OF W. M. COLLINS, PRESIDENT RAILWAY MAIL ASSOCIATION, WASHINGTON, D. C. Mr. COLLINS. Mr. Chairman, this bill would include the members of our service, as I understand it, for the Saturday half holiday. Now, we have two groups, of course; some that work upon the daily basis and some upon the average daily amount of service. It is understood that those that work upon the daily basis would have the actual half day off, either Saturday or some other day. Those employed upon our trains would naturally have to be provided as credit to the daily average. With that understanding I want to heartily indorse this measure, believing that it is entirely proper and just. The CHAIRMAN. Are there any others who wish to be heard on this bill? [After a pause.] The letter of the Postmaster General dealing with this bill reports adversely. He gives no figures of the additional cost entailed by the measure, except to say that in the opinion of the Railway Mail Service it would be approximately $3,700,000. This letter will be inserted in the record at this point. (The letter referred to is as follows:) Hon. GEORGE H. MOSES, OFFICE OF THE POSTMASTER GENERAL, Chairman Committee on Post Offices and Post Roads, United States Senate. MY DEAR SENATOR MOSES: With reference to the request of your committee of February 21, 1928, for a report on the bill S. 3281, to provide a shorter work day on Saturday for postal employees, it is noted that this bill applies to supervisory employees, special clerks, clerks, and laborers in first and second class post offices, employees of the motor vehicle service, carriers in the city delivery and village delivery services, and employees of the Railway Mail Service, and provides that service performed in excess of four hours on Saturday shall be compensated for in time off on one day within five working days next succeeding the Saturday on which the excess service was performed. Since the summer of 1924 it has been the policy of the department to give employees in post offices, under such equitable distribution as the postmaster might devise, the benefit of the slack work which may exist in a particular office on Saturday. There are many places where clerks, carriers, and others are not fully employed. While all employees are not benefited under this practice it gives the postmasters discretion to grant employees an interval off on Saturday, where it can be done without loss to the Government and to the service. In the very nature of things the movement of the mails must be continuous and employment in the Postal Service contemplates the arrangement of assignments and tours of duty with this end in view. It is not believed, therefore, that conditions warrant the granting of compensatory time for service performed on Saturday in excess of four hours. Furthermore, I am advised by the Director of the Bureau of the Budget that the proposed legislation is in conflict with the finnancial program of the President. There are no data available upon which to base an estimate of the cost of giving compensatory time to employees in first and second class post offices, the motor vehcile service and the city and village delivery services who are on duty more than four hours on Saturday, but a very considerable number of the 69,684 supervisors and clerks in first and second class post offices and the 50,941 carriers in the City Delivery Service, the 895 carriers in the village delivery service, the 1,517 laborers, and the 3,770 employees in the motor-vehicle service would be involved. In the Railway Mail Service it is estimated that if this bill is enacted into law the additional cost will be approximately $3,700,000. The greater part of the employees in this service are assigned to road duty and on many of the trains daily service is required. The law provides for railway-postal clerks to be paid on a basis of 306 days per annum and to apply the provisions of this bill would mean a change in the basis of payment. In organizing the different runs in the Railway Mail Service it has been found necessary to build into the organization the Sundays and holidays which are granted employees under the law, and it would also be necessary to build into the organization Saturday half holidays if employees are granted a shorter work day on Saturday. To provide for this the bill should be so written as to place railway-postal clerks on a 280-day basis instead of a 306-day basis. This would not mean an actual 4-hour day on Saturday but would simply increase the hours off duty and result in a shorter average day for railway-postal clerks. Very truly yours, HARRY S. NEW, Postmaster General. The CHAIRMAN. The next is Docket No. 70, a bill introduced by Senator La Follette to establish a system of longevity pay for postal employees. (The bill referred to is as follows:) [S. 3282, Seventieth Congress, first session] A BILL To establish a system of longevity pay for postal employees Be it enacted by the Senate and House of Repersenatives of the United States of America in Congress assembled, That hereafter supervisory employees, special clerks, clerks, and laborers in first and second class post offices, and employees of the motor-vehicle service, and letter carriers in the City Delivery Service and village delivery service, and employees of the Railway Mail Service, and rural letter carriers, as a reward for continuous service, shall be granted $100 per annum in addition to their base pay as now or hereafter fixed by law, upon the completion of ten years' service; and an additional $100 per annum upon the completion of every five-year period of service thereafter: Provided, That no credit shall be given for service after the thirtieth year of employment. The CHAIRMAN. Does anybody wish to be heard on that? STATEMENT OF THOMAS F. FLAHERTY, SECRETARY-TREASURER NATIONAL FEDERATION POST OFFICE CLERKS, WASHINGTON, D. C.-Resumed Mr. FLAHERTY. Gentlemen of the committee, the prime purpose behind this measure is to establish in the Postal Service a system that has long prevailed in the Army and the Navy whereby, a system of longevity pay, under which the employee would not feel that he has reached the end of the trail, so to speak; that he still has something ahead of him. A principle of this kind, as you know, reduces labor turnover and holds men in their occupations, and to that extent it is highly desirable from an employment standpoint. We have this situation existing now in certain groups in the Postal Service: The system of automatic promotion upward affecting clerks and carriers, under which the employee now entering at $1,700 is promoted successively at the end of a year's satisfactory service to the $2,100 grade. Above that there are grades known as special clerk. But that fact remains that the overwhelming majority of employees can not, by the very nature of the industry, get beyond the top clerk, or top carrier salary grade, as the case may be, with the result that as the years go on there is an inevitable letting down; more or less psychologically, it is true, resulting in a loss of interest in the job. An employee feels that he has reached his ultimate goal, and he does not take the keen interest in his work, perhaps, that he would take if stimulated by a system of longevity pay. The measure provides that at the end of 10 years of service the employe would receive an annual increase of $100. That is over and above the basic pay, of course. And at the end of five years thereafter he would receive an additional $100, and so on at the end of each five-year period; provided that no such additional credit be given after 30 years of service. The qualification being, of course, for the purpose of not encouraging employes to remain too long and we have fixed 30 years as the limit of his longevity pay. This principle, I repeat, is recognized in many industries, and it is recognized by the Army and the Navy. It is recognized by en 100168-28- 4 lightened employers as reducing the labor turnover and giving an incentive to the employes that they might otherwise lack. I trust that the committee will give it at least a thorough investigation to see if you can not, if not in this session, at least very soon have established by the Congress of the United States the principle of longevity pay, because it is not only desirable and exceedingly beneficial to the postal employees, but to the service as a whole, and we believe to the people generally. The CHAIRMAN. Does anybody else desire to be heard on this number? STATEMENT OF M. T. FINNAN, REPRESENTING THE NATIONAL ASSOCIATION OF LETTER CARRIERS, WASHINGTON, D. C. Mr. FINNAN. Mr. Chairman, the National Association of Letter Carriers want to add their indorsement to this bill. This bill recognizes the principle of longevity. It is well understood in all walks of life that when a man works a long while in an industry he is generally rewarded with a higher rate of pay. This bill provides that after 10 years of service he shall have $100 per annum added to his base pay; and each five years thereafter he shall have an additional $100, until 30 years have been served. Surely the principle is sound. Surely we ought to reward our old faithful employees. I hope the committee will give serious consideration to the measure and recommend this bill for passage. The CHAIRMAN. Is there anyone else to be heard? STATEMENT OF W. M. COLLINS, PRESIDENT RAILWAY MAIL ASSOCIATION, WASHINGTON. D. C. Mr. COLLINS. Mr. Chairman, just an indorsement of the bill, without going into the merits of it. I want to heartily indorse what Mr. Flaherty has presented to you in this matter and say that the Railway Postal Clerks heartily indorse the principle of longevity pay. The CHAIRMAN. The Postmaster General writes a long letter with reference to this measure, in which he criticizes the form of the legislation and estimates that the cost on account of supervisors, clerks, and laborers in first and second class post offices and carriers in City Delivery Service will be $17,791,800; and that if all carriers who have had 10 years of service were promoted $100 the cost to the Rural Delivery Service would be $3,000,000 in addition. He says there are no data available in the Railway Mail Service on which to base an estimate of the additional cost for that service. The letter will be inserted in the record at this point. (The letter is as follows:) Hon. GEORGE H. MOSES, OFFICE OF THE POSTMASTER General, Chairman Committee on Post Offices and Post Roads, United States Senate. MY DEAR SENATOR MOSES: With reference to your letter of February 21, 1928, relative to the bill S. 3282, to establish a system of longevity pay for postal employees and which provides that as a reward for continuous service employees of the Postal Service should be granted $100 per annum in addition to their pay as now or hereafter fixed by law, upon the completion of 10 years' service and an |