    [United States Department of Labor Sixty-First Annual Report, Fiscal Year 1973]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    ﻿United States Department of Labor_________
    Sixty-First Annual Report
    Fiscal Year 1973

    0
    United States Department of Labor_________
    Sixty-First Annual Report________
    Fiscal Year 1973
    Peter J. Brennan Secretary
    SAN DIEGO PUBLIC LIBRARY
    APR 19 I9M
    SCIENCE & INDUSTRY
    3 1336 05750 3543
    For sale by the Superintendent of Documents, U.S. Government Printing Office Washington, D.C. 20402 - Price $1.15 (Paper cover)
    United States
    Department of
    Labor
    Secretary of Labor__________________________Peter J. Brennan 1
    Executive Assistant to the Secretary______William J. Rodgers 2
    Counselor to the Secretary________________Donald F. Rodgers 3
    Special Assistant to the Secretary________Thomas J. Costigan 4
    Director of Public Affairs________________Vacant
    Director, Office of Information, Publications, and Reports_________________John W. Leslie
    Under Secretary_____________________________Richard F. Schubert5
    Executive Assistant to the
    Under Secretary______________________Thomas M. Phelan 6
    Chairman, Employees’ Compensation
    Appeals Board________________________Theodore M. Schwartz
    Chairman, Benefits Review Board___________Alfred G. Albert7
    Chief Administrative Law Judge____________H. Stephen Gordon
    Deputy Under Secretary for Legislative
    Affairs _______________________________Benjamin L. Brown 8
    Deputy Under Secretary for International Affairs ____________________________________Joel Segall 0
    Associate Deputy Under Secretary for International Affairs_____________________Edward	B. Persons
    Deputy Assistant Secretary for Trade and Adjustment	Policy________________Herbert	N. Blackman
    Solicitor___________________________________William	J. Kilberg 10
    Deputy Solicitor__________________________Alfred G. Albert
    Assistant Secretary for Policy, Evaluation, and Research________________________________Vacant
    Deputy Assistant	Secretary______________Saul	Hoch
    Assistant Secretary for Administration and
    Management ____________________________Fred	G. Clark 11
    Deputy Assistant	Secretary______________Tom	Kouzes
    Associate Assistant Secretary
    (Program Review & Audit)___________Edward J. McVeigh
    Associate Assistant Secretary (Financial Management)_________________Richard E. Miller
    Associate Assistant Secretary
    (Organization Management and
    Personnel) ________________________Leonard B. Pouliot
    Associate Assistant Secretary
    (Systems Development and
    Administrative Services)___________Walter C. Terry
    Librarian _____________________________Lillian A. Hamrick
    ’Appointed 2/2/73 to replace James D. Hodgson.
    2 Appointed 4/29/73 to replace E. Carl Uehlein.
    3 Appointed 4/14/73.
    ’Appointed 4/15/73.
    3 Appointed 5/25/73 to replace Laurence H. Silberman.
    8 Appointed 5/25/73 to replace Richard J. Wise.
    7 Acting, effective 1/8/73.
    8 Appointed 6/3/73.
    9 Appointed 7/9/72 to replace George H. Hildebrand.
    10 Appointed 4/10/73 to replace Richard F. Schubert.
    11 Appointed 4/1/73 to replace Frank G. Zarb.
    Assistant Secretary for Manpower_____________William H. Kolberg 12
    Deputy Assistant Secretary and
    Administrator, Manpower
    Administration _______________________Vacant
    Associate Manpower Administrator,
    Office of Management and
    Administrative Systems______________Katharine Many
    Associate Manpower Administrator,
    Office of Policy, Evaluation, and
    Research ___________________________William B. Hewitt
    Associate Manpower Administrator, Office of Public Service Employment _____________________________William Mirengoff
    Administrator, Bureau of Apprenticeship and Training_______________________Hugh C. Murphy
    Associate Manpower Administrator, U.S. Employment Service_________________Robert J. Brown
    Associate Manpower Administrator,
    Office of Employment Development Programs________________Merwin Hans 13
    Associate Manpower Administrator, Unemployment Insurance Service__________Robert 0. Goodwin
    Associate Manpower Administrator,
    Office of Financial and
    Management Information Systems—Alfred M. Zuck
    Director, Job Corps----------------------David O. Williams 14
    Assistant Secretary for Labor-Management
    Relations and Administrator, Labor-
    Management Services Administration-------Paul J. Fasser, Jr.15
    Deputy Assistant Secretary and Deputy
    Administrator ________________________Vacant
    Deputy Assistant Secretary for Planning and Evaluation____________________________Frank M. Kleiler
    Assistant Administrator for Field Operations -----------------------------Jack A. Warshaw
    Director, Office of Labor-Management and Welfare-Pension Reports_____________Leonard J. Lurie
    Director, Office of Veterans’ Reemployment Rights_____________________Ralph E. Hall
    Director, Office of Labor-Management Relations Services______________________Beatrice M. Burgoon
    Director, Office of Labor-Management Policy Development______________________Vacant
    Director, Office of Federal Labor-Management Relations____________________Louis S. Wallerstein
    Director, Office of Administration and Management__________________________Albert L. Moore, Jr.
    12 Appointed 4/10/73 to replace Malcolm R. Lovell, Jr.
    13 Acting, effective 5/7/72.
    14 Acting, effective 3/19/73 to replace John L. Blake.
    15 Appointed 4/10/73 to replace W. J. Usery, Jr.
    Assistant Secretary for Employment Standards _________________________________Bernard E. DeLury 1G
    Deputy Assistant Secretary and
    Administrator, Employment Standards
    Administration ______________________|_Vacant
    Deputy Assistant Secretary and Director, Office of Federal Contract Compliance Philip J. Davis
    Deputy Assistant Secretary and Director, Women’s Bureau___________________________Carmen R. Maymi17
    Commissioner of Labor Statistics____________Vacant
    Deputy Commissioner_______________________Ben Burdetsky
    Assistant Secretary for Occupational
    Safety and Health______________________John H. Stender18
    Deputy Assistant Secretary and
    Administrator, Occupational Safety and Health Administration_____________•_M. Chain Robbins
    Regional Directors
    Atlanta __________________________________Vacant
    Boston ___________________________________Gerald P. Reidy 19
    Chicago___________________________________Vacant
    Dallas____________________________________Paul W. Story 20
    Denver____________________________________Vacant
    Kansas City_______________________________Vacant
    New York__________________________________Stephen	D.	Blum 21
    Philadelphia _____________________________Vacant
    San Francisco_____________________________Vacant
    Seattle __________________________________James	T.	Hughes	22
    10 Appointed 5/16/73 to replace Richard J. Grunewald.
    17 Appointed 6/7/73 to replace Elizabeth D. Koontz.
    18 Appointed 4/10/73 to replace George C. Guenther.
    19 Appointed 5/27/73 to replace Carroll P. Sheehan.
    20 Appointed 6/1/73 to replace Truman Branscum.
    21 Appointed 5/27/73 to replace Clayton J. Cottrell.
    22 Appointed 5/13/73 to replace Maxine E. Daly.
    United States
    Department of
    Labor
    Annual
    Report 1973
    Contents
    Report of the Secretary of Labor_____________________1
    Department reports:
    Manpower Administration__________________________5
    Labor-Management Services Administration________21
    Employment Standards Administration_____________27
    Occupational Safety and Health Administration___33
    Policy, Evaluation, and Research________________39
    Bureau of Labor Statistics______________________41
    Office of the Solicitor_________________________51
    Office of the Assistant Secretary for Administration
    and Management________________________________65
    International Labor_____________________________67
    Employees’ Compensation Appeals Board___________69
    Benefits Review Board___________________________71
    Information Activities__________________________73
    Appendix tables_____________________________________75
    Report of the
    Secretary of
    Labor
    When I took office as Secretary of Labor in February 1973, it was with a feeling of pride that I accepted the challenge of our charter: “To foster, promote, and develop the welfare of the wage earners of the United States, to improve their working conditions, and to advance their opportunities for profitable employment.”
    As I said in my confirmation hearings, I was well aware that I would be representing all the people who work for a living in this country. I have thought about this often during these many months, resolving not only to do everything within my power to ensure the welfare of those who are actually employed, but also to do everything possible to promote the fullest possible utilization of all this nation’s human resources.
    During the last six months of fiscal 1973, we laid the foundations for various programs designed to improve the status of all American workers—young and old, male and female, black and white, skilled and unskilled, organized and unorganized.
    At the top of the list of the many challenges facing me has been making workplaces safer and more healthful for every American working man and woman.
    I have firsthand knowledge of the terrible cost of unsafe working conditions. For it has been my misfortune to have friends killed on the job, and I have had to break the news to tearful widows and children.
    So I derive a personal satisfaction in the prevention of even one job-related death or illness. And I am proud to report that the Department has, under my direction, moved forward on a number of fronts to help ensure a safe and healthful environment for America’s Working men and women.
    Our Occupational Safety and Health Administration stepped up the number of inspections and expanded training programs for safety personnel.
    Furthermore, in line with the President’s goal of delegating more authority to State and local communities, it approved a dozen State enforcement plans during the fiscal year. With that step, the States—not the Federal Government—assumed responsibility for the health and safety of more than one-third of the 60' million workers protected by the Occupational Safety and Health Act.
    We have also redirected the manpower effort to give states, cities, and counties responsibility for planning and providing manpower services tailored to their individual needs. I am convinced that no one has the right to sit at a desk in Washington and decide exactly what needs to be done to help those who need help in the mountain country of West Virginia or the ghetto of Watts.
    I am happy to report that at the end of the fiscal year, we were making important progress toward our goal of manpower revenue sharing.
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    High on the list of challenges was the location of job or job-training slots for Vietnam-era veterans. Due to the tireless efforts of the Jobs for Veterans Program, we were able to achieve a sizable drop in the unemployment rate among this group by the end of the fiscal year.
    Another of my chief concerns has been to help those at the bottom of the economic ladder. Through our Work Incentive Program, we have made considerable progress toward providing the opportunity for people to move from the welfare rolls into jobs that lead to self-sufficiency. I take pride in our achievement in injecting hope into the lives of those whose spirits had been deadened by despair.
    We also have made considerable progress toward strengthening our programs to help those temporarily without work. So that the unemployed may maintain a decent standard of living, we prepared a Presidential proposal to broaden coverage of the unemployment insurance system and to compensate unemployed workers more adequately.
    Further, to assist'those who need jobs, we have taken a number of steps to strengthen the operation of the Federal-State Employment Service System.
    To further advance the President’s program of decentralization of the Federal Government, we have strengthened our Labor Department’s regional director’s offices. Under the new arrangement, each of the ten regional directors serves as my personal representative, with the power to speak for me. Again, this is bringing government closer to the people.
    Throughout the year, I have tried to ensure that the great strides already made in obtaining equal employment opportunity for all be continued and expanded. Our society is composed of many races, many creeds, many ethnic groups. Each individual must be allowed to take his or her place in the world of work, with regard only to ability to do the job that needs to be done.
    In line with that, I have insisted that my Department focus its efforts on expanding opportunities for women in occupations not previously open to them.
    The Equal Pay Act has already had a major impact on removing the inequities that had long existed between the pay scales for men and women doing similar work in the same establishment. I’m proud to report that during the past year the Department’s enforcement of this law has resulted in sizeable payments to thousands of women workers victimized by discriminatory pay practices.
    It is my personal conviction that qualified women should be able to work when and where they want, at whatever job appeals to them. Every American has that basic right. Our task has been—and will continue to be—to turn rights into reality, and to eliminate barriers to non-traditional occupations for women in business, industry, and government at all levels.
    2
    .These are some of the highlights of the Labor Department’s goals and achievements in fiscal 1973. Only if we continue to dedicate ourselves to these goals, will we fulfill our responsibility to the American worker. It was with that in mind that we entered the new fiscal year with renewed vigor and determination to do whatever must be done for the good of all of America’s working men and women.
    3
    Manpower
    Administration
    Redirection of the manpower effort to give States, cities, and counties responsibility for planning and providing the manpower services their areas need was the overriding concern of the Manpower Administration during fiscal 1973. At the end of the year, the Presidential commitment to Manpower Revenue Sharing, under existing laws, was close to fulfillment.
    A 4-year strategy plan for fiscal years 1974 to 1977 was developed to provide the policy and budget framework for the revenue sharing system. It also sets the direction for the Work Incentive Program, the employment service, unemployment compensation, and program support.
    A number of actions were taken to ease the transition to the new system and decentralize responsibility for manpower services. Among them was the effort to sharpen the State and local focus of the comprehensive labor market information system in order to provide the facts local planners need to match available funds with the most urgent local needs. Another was the successful changeover to local support of three programs directed to seek funding through the Cooperative Area Manpower Planning System (CAMPS). The Opportunities Industrialization Centers, Operation SER (Service, Employment, and Redevelopment), and the National Urban League expected to receive local funding to continue their programs of training and other services for disadvantaged minority members in nearly all areas where they operate projects.
    Other areas of major emphasis were efforts to help veterans obtain jobs or training, the new Work Incentive (WIN II) Program to help welfare recipients move into suitable employment, and steps to strengthen the placement function of the employment service. In addition, a Presidential proposal to broaden coverage of the unemployment insurance system and compensate unemployed workers more adequately was before Congress at year’s end.
    The Manpower Administration played a key role in the President’s Veterans Program by placing nearly 400,000 Vietnam-era veterans in jobs and by training more than 18,000 veterans in a broad range of occupations. The impact of the program was reflected in the improved employment position of veterans achieved during the year. Their unemployment rate dropped from 7.1 percent at the end of June 1972 to 6.0 percent in June 1973.
    Significant progress was made in another area of Presidential concern: activities to help welfare recipients become self-sufficient. The WIN II Program—a redirected effort that stresses immediate jobs for welfare recipients—started operating at the beginning of fiscal 1973. In its first year, the program registered about 1.28 million welfare recipients, screened 525,000 to determine their job potential, and placed 142,000 in unsubsidized jobs. The new emphasis on placements, in on-
    5
    the-job training positions as well as regular jobs, is expected to save substantial sums in welfare costs as more recipients become self-supporting.
    As it marked the 40th anniversary of its establishment by the Wagner-Peyser Act of 1933, the employment service was engaged in an intensive effort to increase job placements. As part of this effort, a number of steps were taken to provide better service to employers. The result was a 26-percent increase over the previous fiscal year and a 36-percent gain over 1971 in nonfarm job placements.
    Major action to strengthen the unemployment insurance system was proposed by the President in April 1973. The proposed Job Security Assistance Act would extend coverage to most farmworkers and set a standard for Federal benefit amounts under which most eligible unemployed workers would be compensated for at least half of their wage loss.
    New directions were planned for two programs that prepare youth for skilled jobs. The Job Corps was looking toward expansion of training and placement programs conducted by labor unions. At the direction of the Secretary of Labor, the Bureau of Apprenticeship and Training was working with leaders of industry and labor on ways to expand and improve apprenticeship training.
    In its second and final year of regular operation, the Public Employment Program continued to subsidize jobs in State and local government for unemployed workers, including sizable proportions of veterans, the disadvantaged, and minorities. The program is being phased out with the expiration of the Emergency Employment Act of 1971.
    Comprehensive
    Manpower
    Reform
    The groundwork for major decentralization and reform of the manpower effort was worked out during the year. The conceptual and planning documents to serve as the basis for decentralizing and decategorizing manpower programs administratively, under existing laws, were developed and approved by the Office of Management and Budget. In consultation with various public interest groups, the Manpower Administration drafted manpower revenue sharing regulations. Major attention also was devoted to developing delivery systems for use in the decentralized manpower effort. As a guide to effective operation under local decisionmaking, nine pilot projects were developed during the year to demonstrate ways to plan and carry out comprehensive manpower programs for labor market areas and to test new grant, financial, and reporting systems.
    The original timetable for implementing manpower revenue sharing administratively during fiscal 1974 was delayed due to improved prospects for the enactment of acceptable new comprehensive manpower legislation. In the interim, Economic 6
    Opportunity Act and Manpower Development and Training Act funds for fiscal 1974 have been distributed based on the existing CAMPS structure as worked out by the relevant State and local councils which comprise this system and are responsible to the elected officials of their areas. A model 10-step planning procedure was developed to aid CAMPS Councils in deciding on the groups to be served and programs funded. Plans for the coming year were submitted by 215 State and local CAMPS agencies for incorporation in the fiscal 1974 operating plans of the Manpower Administration.
    In another action to assist local planners, Assistant Regional Directors for Manpower were delegated authority to fund CAMPS planning grants to selected Indian organizations. These grants will give Indian leaders increased capacity to identify problems of their people and plan and recommend action on manpower programs to deal with them.
    Nine pilot Comprehensive Manpower Programs were developed in fiscal 1973. The projects in Albuquerque, Omaha, Miami/Dade County, Hartford, Luzerne County (Pa.), Utah, and New Hampshire were funded by year’s end, and early action was expected on those in Seattle and South Carolina. Each project is a unified manpower service delivery system serving a State or local labor market area, with a local government or combination of governments acting as the single prime sponsor for all manpower training activities. The sponsors are given maximum flexibility, within the constraints of present legislation, to decategorize traditional programs in order to provide the manpower services that best meet locally determined needs.
    Employment
    Service Activities
    The U.S. Employment Service, through its network of 2,400 State and local employment service offices, made more than 4.5 million nonagricultural job placements in fiscal year 1973, an increase of 26 percent over fiscal 1972 and 36 percent over 1971. Veterans accounted for one-fifth of all individuals placed; members of minority groups for 33 percent; and poor persons for 29 percent. In addition, approximately 2.2 million agricultural placements were made.
    At the same time these gains in placements were achieved, additional steps were taken to strengthen the placement function. Among them were pilot efforts to establish several smaller, placement-oriented local offices in growing suburban areas and to work in six cities on recommendations of the National Employers’ Committee report, which calls for greater emphasis on services to employers.
    Computer aid to employment service operation was further advanced during the year as 14 statewide job banks started operating, bringing the total to 34 State systems, serving nearly 1,900 local offices. Through these facilities, nearly 75 7
    percent of the Nation’s population now has access to daily updated printouts of job opportunities that employers list with employment service local offices.
    By year’s end, the Technology Mobilization and Reemployment Program, established in April 1971 to provide job-finding assistance to engineers, scientists, and technicians displaced by cutbacks in the aerospace industry, had largely served its purpose. Operating through State employment service agencies, the program had placed 11,859 of these professionals in jobs and assisted another 21,212 to find employment. In the process, 4,845 job search grants and 1,955 relocation grants were awarded and 4,418 persons enrolled in training. By June 1973, the national unemployment rate for engineers, scientists, and technicians was down to less than 1 percent.
    Apprenticeship Information Centers in 34 local offices placed approximately 10,000 persons, including more than 2,900 minority group applicants, in apprenticeship training. In addition, 1,120 minority members were referred to other types of training.
    Year-end enrollments reached 4,315 in the Comprehensive Migrant Manpower Program. Designed to assist farmworkers and their families to settle out of the migrant stream, the program offers training, education, job development, placement, relocation, and health services. Other demonstration programs in the rural sector, conducted with the help of volunteers and agricultural groups such as the Extension Service, made more than 28,000 job placements and arranged more than 29,000 referrals to training.
    Service to Veterans
    Continued strong efforts were devoted to helping veterans obtain suitable jobs or training. Spurred by the interagency President’s Veterans Program, the employment service placed approximately 395,000 Vietnam-era veterans in jobs during fiscal year 1973. Their unemployment rate, seasonally adjusted, dropped from 7.1 percent at the end of June 1972 to 6.0 percent in June 1973.
    The Vietnam Era Veterans Readjustment Assistance Act of 1972 provides the legislative mandate for Federal contractors to list their job openings with local employment service offices, with special emphasis placed on filling these jobs with Vietnam-era and disabled veterans. In addition, the law requires strengthening of public employment services to veterans by establishing a formula under which the Department of Labor is to appoint one assistant veterans employment representative for each 250,000 veterans in the population of each State.
    The employment service is taking a more active part in the selection, placement, and followup activities of the Transition Program for servicemen nearing release from the Armed Forces. This is due to an agreement with the Departments of Defense and Health, Education, and Welfare designed to 8
    increase the program’s effectiveness. The agreement, based on. evaluations of Transition projects, also provides for overseas stationing of more employment service staff and increased use of individual referrals to training.
    During the year, over 18,000 veterans were trained in a broad range of occupations, including welding, auto body repair, licensed practical nursing, machine operation, and clerical work. Additional efforts to assist veterans and servicemen included:
    •	Hiring about 60 severely disabled veterans by State employment security agencies to strengthen their capacity to give employment assistance to disabled veterans.
    •	Providing group counseling to 109,015 servicemen and individual counseling to another 25,445 regarding job and training opportunities and how to find jobs upon their release from active military service by counselors stationed overseas.
    •	Conducting special publicity efforts and job information activities through Jobs for Veterans, Inc., to make employers and the public aware of the special employment needs of veterans, particularly disabled and younger ones.

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    Training and Work-Experience Programs
    The Manpower Administration continued to emphasize services to welfare recipients, members of minority groups, exoffenders, and others with special problems in finding and holding jobs.
    Fiscal 1973 was a year of transition for the Work Incentive (WIN) Program. WIN II, a redirected program authorized by the 1971 amendments to the Social Security Act, started new operations at the beginning of the year. The new program stresses activities that help recipients of Aid to Families with Dependent Children (AFDC) move quickly into appropriate work. During the year, WIN II registered approximately 1,280,000 people for manpower services and employment, appraised 525,000 to determine their job potential, and placed 142,000 in unsubsidized employment. The new emphasis on placements, in on-the-job training positions as well as regular jobs, is expected to result in substantial savings in welfare costs as increased numbers of AFDC recipients become self-sufficient.
    Action to decentralize responsibility for manpower services resulted in the successful changeover of three programs from Federal to local support at year’s end. In February, the Manpower Administration directed the Opportunities Industrialization Centers, Operation SER, and the National Urban League to seek local funding through CAMPS. It now has authority to select those programs that States and localities feel will best serve the needs of their areas. All three expect to obtain local support to continue their programs of training and other services, primarily for disadvantaged minority members. In fiscal 1973, these organizations operated 170 projects with $48 million in Manpower Administration funds. Preliminary indications are that 160 of these projects will continue under local funding.
    Through improved management of the Concentrated Employment Program, costs were significantly reduced, even though more people completed the program. Of the estimated 70,000 enrollees served in fiscal 1973, 40,566 finished the program, an increase of approximately 1,300 over the previous year. Over the same period, costs were down 11 percent.
    Hispanic Americans were aided by the Veterans Outreach Program of the American G.l. Forum. Funded for $2,273,358 and 7,480 slots, the program operated in several Western States throughout the year. It was extended to several' Eastern States by allocation of $1,003,205 to the National Puerto Rican Forum to serve 9,030 veterans and $488,000 to the Puerto Rican Congress of New Jersey for another 4,125 veterans.
    Five special Indian programs were developed under the sponsorship of tribal councils, unions, a State employment service, and other groups. Training was provided in such fields as construction, silversmithing and lapidary work, aquaculture, 10
    clerical work, heavy equipment operation, and health work.
    More than 44,000 ex-offenders were served during the year. Activities to assist this group included extension of the State comprehensive offender manpower programs to an additional four States, bringing to eight the number of such projects, and refunding of all nine pretrial intervention projects. All inmate training programs were decentralized to the regions and States.
    Other manpower programs provided jobs and training in private industry, and work experience and training for residents of redevelopment areas and youth. These include:
    •	The Job Opportunities in the Business Sector (JOBS) Program, which hired 134,800 new enrollees under federally financed contracts for jobs with private employers, and the JOBS-Optional Program, in which 104,100 disadvantaged workers received on-the-job training.
    •	The JOBS New Hire Program (MA-7X), started in the Denver region, which is trying out a new contract design that offers employers more rapid service while providing a greater degree of fund control.
    •	MDTA training in a variety of occupations, including secretary, mechanic, and waste water treatment plant operator, which was provided to 3,600 residents of redevelopment areas.
    •	The Neighborhood Youth Corps, which encouraged youth to stay in or return to school by providing 740,222 jobs for youth during summer vacations. Experimental and demonstration youth projects were extended for a second year in Iowa and Minnesota. The projects provide senior high school students in selected isolated rural areas with education; skill training; career, world of work, and personal counseling; cultural enrichment; and job placement.
    Public Employment
    Program
    Authorized as a 2-year program by the Emergency Employment Act of 1971, the Public Employment Program (PEP) was established to provide transitional jobs and needed public services during an economic slowdown. During fiscal 1973, the program continued to subsidize jobs in State and local governments for unemployed workers. Among them were sizable proportions of veterans, the disadvantaged, and minorities. The program looked to easing their transition to regular employment as it started to wind down its operations.
    The law authorized $1.25 billion for the program in fiscal 1973. Of this sum, PEP distributed $800 million in regular allocations and $250 million in special funds for areas of high unemployment. The remaining money was used for Indian reservations, experimental and demonstration projects, other special programs, and administration. The regular money went to 673 units of government—which, in turn, distributed funds to
    11
    over 5,200 smaller governmental bodies—and to 22 Indian program agents. Special funds were given to 1,071 geographic units, including 221 Indian reservations. Local areas received $80 million for summer youth programs.
    Evaluations indicate that PEP has had an impact both in reducing unemployment and in expanding useful local public services. Through May 30, 1973, the program had provided jobs for 312,137 jobless or underemployed workers. The high point in PEP enrollment was 184,829 in July 1972. As PEP workers moved into regular jobs or other productive activities during the year, the total was down to 120,823 by May 1973.
    The law calls for providing opportunities for groups with special employment problems, and these groups are well represented in PEP jobs. Of the workers hired, 37 percent are minority members, 38 percent disadvantaged, and 28 percent Vietnam-era veterans. In addition, the typical participant had been unemployed longer than the average for all jobless workers. Since local governments tended to hire educated people of prime working age, participants are generally better educated than the average for the unemployed and are concentrated in the 22- to 44-year age group.
    Jobs created under PEP are in a wide range of public services. The major ones and their share of the total are:
    •	Public works and transportation—22 percent.
    •	Education—19 percent:
    •	Law enforcement—11 percent.
    •	Health and hospitals—9 percent.
    •	Parks and recreation—9 percent.
    •	Administrative and other—8 percent.
    •	Social services—6 percent.
    •	Environmental quality—4 percent.
    •	Fire protection—2 percent.
    The average wage, at $2.82 per hour, was slightly above the entry-level pay for public service jobs and somewhat higher .than participants earned in their previous jobs.
    In addition to its regular program, PEP conducted demonstration programs to measure (1) the effectiveness of public employment in moving people from welfare to se'lf-sufficiency and (2) the impact of public employment on local communities. Preliminary reports on the first group of projects, which created jobs specifically for welfare recipients, showed that they performed well in a variety of subprofessional, clerical, and service jobs, and readily abandoned welfare for work. The impact project, which expanded public employment in 12 selected areas, demonstrated that local areas could absorb more unemployed workers in productive jobs than they could hire under the regular program.
    One of PEP’s major purposes has been to provide a bridge to unsubsidized employment for its participants. Employer reports and followup surveys indicate that this goal has been substantially met. Approximately 73 percent of the workers who had left the program by April 1973 experienced positive outcomes: 53 percent obtained regular jobs in the public or private sector and 20 percent entered school, another man-12
    power program, or the Armed Forces. Most of the remaining 27 percent were reported to be out of the labor force immediately after leaving PEP.
    Fiscal 1974 will be a phase down period for PEP. Under a continuing resolution, State and local governments are permitted to spend funds already allocated to them. A primary objective will be to move participants into regular jobs.
    Job Corps
    Labor union programs of training and placement were identified as a highly effective cooperative effort in an analysis of program operations conducted by Job Corps in the last half of the fiscal year. Extensive plans were also worked out to continue emphasis on training youth in their home areas for jobs available locally, to relocate centers closer to areas with the greatest training needs, and to streamline the program’s overall delivery system.
    Major attention was devoted to improving the quality of Job Corps training. Vocational training standards were updated and approval of training projects decentralized to permit flexible instruction with uniform standards. In an effort to gear instruction more completely to the needs of each Job Corps enrollee, a voluntary tutor reading program was started and the mathematics program revised. In addition, the bilingual program begun in the previous fiscal year was strengthened. Steps to improve the quality of residential living were taken with the publication of a residential living manual, now being followed by all centers.
    Over the year an average of 21,617 youth were training at Job Corps centers; total enrollment for the year was 43,394. The placement rate for youth leaving the centers was 84.7 percent, with 57.7 percent entering jobs paying an average of $2.06 per hour. Twenty percent returned to school or went on to more advanced training, and 7 percent entered the Armed Forces.
    Apprenticeship
    Activities to strengthen the apprenticeship system and assure equal opportunity in its programs were given high priority by the Bureau of Apprenticeship and Training (BAT) during fiscal 1973. The Secretary of Labor has directed the Department to search out new ways to expand and improve apprenticeship training. At year’s end, BAT was working with leaders of industry, labor, and government on plans to broaden the system.
    In the continuing effort to bring minority members into apprenticeship, program sponsors were encouraged to examine their outreach and selection procedures and, where minorities were underrepresented, to adopt goals and timetables for 13
    their employment. While the number of new apprentices declined slightly during the year, the rate of minority participation continued to grow. At midyear, 14.4 percent of the apprentices in federally serviced programs were members of minorities, compared with 11.0 percent a year earlier.
    Overall, nearly 335,000 apprentices received training and more than 50,000 completed their apprenticeships in registered programs during the year, a record high. Seven new occupations were approved for registration and eight new national standards and policy statements registered. In addition, technical assistance on training was provided to employers conducting a total of 400 programs to improve the skills of 30,000 workers.
    Under the technical direction of the Office of Financial and Management Information Systems, a nationwide apprenticeship reporting system was installed at year’s end. The new system will make available, for the first time, uniform State and national data on new registrations, terminations, and completions and more comprehensive information on the ethnic and other characteristics of apprentices.
    Unemployment
    Insurance
    Major advances to strengthen the unemployment insurance system were proposed by the President in a special message to the Congress on April 12, 1973. The Administration’s proposed Job Security Assistance Act of 1973 would extend coverage to most farmworkers and establish a Federal benefit amount standard. Under this standard a majority of eligible unemployed workers would be compensated for at least half of their wage loss.
    The proposal on farm labor—covering work performed for employing units that have four or more farmworkers in each of 20 weeks of a calendar year or a quarterly farmwork payroll of $5,000 or more—reflects the findings of a Manpower Administration study of farm employers and their workers. The study, conducted in 18 States by 12 land grant universities and 3 State employment security agencies, showed that such coverage is feasible and would be within reasonable cost limitations.
    The proposed Federal benefit amount standard would require States to pay a weekly benefit of at least half an individual’s average weekly wage up to a maximum of at least two-thirds of the State’s average weekly wage. Another Federal standard would result in denying benefits to strikers engaged in a labor dispute but paying them to innocent bystanders unemployed because of such a dispute. The bill would also continue the Federal unemployment tax rate at 3.28 percent (instead of 3.2 percent) for 1974 and 1975 and provide a better apportionment between the Federal Government and the States of costs for benefits paid to ex-servicemen and to former Federal employ-14
    ees on the basis of both Federal and non-Federal employment.
    During the fiscal year, about 5.4 million individuals received almost $5 billion in unemployment insurance benefits. Nearly 248,000 were ex-servicemen assisted during their transition to civilian employment. The benefits total includes approximately $177 million in extended benefits paid during periods of high unemployment and about $176 million in temporary compensation. Through December 31, 1972, when payments to new beneficiaries were discontinued, over 1,258,000 workers filed claims and received $578 million in the 19 States that participated in the Temporary Compensation Program.
    Under the Trade Expansion Act, readjustment allowances amounting to over $16 million were paid in 27 States to nearly 7,300 workers affected by tariff concessions. Major disasters in 27 States resulted in the payment of over $20 million in disaster unemployment assistance to approximately 71,000 individuals. Proposed legislation regarding both of these programs was pending in Congress at year’s end.
    With a growing number of State and Federal courts considering the constitutionality of State laws holding a woman ineligible for benefits during an arbitrary period before and after childbirth, six States repealed provisions which specifically restricted the benefit rights of pregnant women. Six other States modified their laws to make them less severe or to apply to all disabled claimants.
    Efforts to improve benefit appeals processing, initiated since the Supreme Court’s 1971 Java ruling requiring that benefits be paid as soon as administratively feasible after an eligibility determination, were continued during the year. By April 1973, 34 States met the Secretary’s standard of minimum promptness, compared with only 13 in fiscal 1972.
    15
    A cost model program to examine State operations was completed in 10 States and was underway in 18 others at the close of the fiscal year. The data collected will enable the Department to identify more accurately budget needs, areas of high cost or substandard quality, and those requiring management improvement. In addition, an Unemployment Insurance Design Center was established in cooperation with the Louisiana Department of Employment Security to develop a complete computer systems design covering all facets of Ul processing for use by all State agencies.
    Research,
    Development, and
    Evaluation
    The search for ways to improve manpower services through research, development, and evaluation continued during the year. Major effort was devoted to planning for decentralization and decategorization of programs and seeking methods to help the employment service serve employers more effectively.
    A 4-year strategy plan for the Manpower Administration was prepared during the year. It provides the policy/budget framework for administering a manpower revenue sharing system, the Work Incentive Program, the employment service, unemployment compensation, and program support for fiscal years 1974-77.
    In line with the move to decentralize program planning and the delivery of manpower services, particular effort was devoted to increasing the availability and use of local labor market information. The six major undertakings started in this field are a long-term project to document local labor market information systems, four related projects to assist local manpower planners, and an interim effort to provide occupational employment information to States and local areas. These projects are designed to give manpower planners an integrated package of data analysis and planning tools.
    A major objective of research carried out during the year was to identify ways to improve the employer services of the Federal-State employment service system. Efforts in this area included:
    •	Conducting studies of the computerized job bank system which disclosed needs for modifications.
    •	Developing models for setting up employer advisory committees and reorganizing employment service activities in accordance with their suggestions. These are now being used by local ES offices to improve employer relationships.
    •	Developing and distributing materials to assist employers in hiring, training, and retaining disadvantaged workers.
    Major contracted evaluations concentrated on the Public Employment Program, the Concentrated Employment Program, MDTA training, and Job Corps; services to Hispanic groups, 16
    Indians, and veterans; job development; and an examination of manpower program operations in four cities. In addition, contracted projects provided a data system for the Public Employment Program, a data source handbook for manpower planners and evaluators, and some methodological advances in the use of social security data for manpower evaluation. Inhouse evaluations focused on relatively short-term studies of specific program areas on which early evaluation was needed to guide decisions on program improvement.
    A special review of Public Employment Programs was conducted in five cities. Numerous operational difficulties were found, and the resulting fund reimbursements from the responsible program agents will amount to several million dollars.
    Other highlights of the year included seminars on employment and manpower planning conducted by the International Manpower Institute and manpower policy recommendations for the Administration, formulated by the National Manpower Advisory Committee.
    Management
    Improvement
    Guidance to State employment security agencies in conducting self-appraisals of their operations and reorganization of the Unemployment Insurance Service and of the District of Columbia Manpower Administration were among the management improvement activities carried out during fiscal 1973. Also included was participation in a project to measure the productivity of Manpower Administration programs.
    State employment security agencies appraised their own management and program operations for the first time in accordance with Manpower Administration guidelines covering employment service, unemployment insurance, and administrative and management support functions. Before the process was started, training in the self-appraisal system was given to representatives of all State agencies. Use of the guidelines is expected to strengthen management of State grants programs without committing Federal staff to conducting on-site reviews. The new system also permits followup on planned corrective actions and systematically identifies needs for Federal technical assistance.
    The Manpower Administration participated with the Bureau of Labor Statistics in a project to measure the productivity of its programs. The project, conducted by the Office of Management and Budget, the General Accounting Office, and the Civil Service Commission, showed that the Manpower Administration’s average annual productivity rate increased 1.9 percent from 1967 to 1973—equal to the overall average for all Federal agencies participating in the study.
    The Unemployment Insurance Service was reorganized to group all program functions into four offices. The new organization incorporates expanded responsibilities resulting from
    17
    the Employment Security Amendments of 1970, the Supreme Court’s Java decision, and the Disaster Unemployment Assistance program. The reorganization is designed to better integrate program activities and improve their effectiveness.
    In another reorganization carried out during the year, the District of Columbia Manpower Administration was restructured so that the organization of its employment service activities is in line with that of most State employment security agencies. The new organization provides a better separation of employment services from manpower development and training activities and permits better comparisons of program performance. It will also facilitate the contemplated transfer of the D.C. Manpower Administration to the District of Columbia Government.
    The Manpower Administration’s computerized property management system, now controlling over $100 million worth of Federal property, resulted in savings of more than $21.8 million in Federal funds.
    The planning and management control of manpower programs was improved during the year. The Operational Planning and Control System, incorporating new technical improvements and a redesign that yields more needed information, was used extensively to plan field operations, allocate and control resources, review performance, and initiate corrective action. In addition, the Manpower Administration’s planning, information, and management control systems were better coordinated, and more sophisticated applications of data processing and analysis techniques were instituted to review and compare regional office performance.
    An automated system was developed to provide timely and useful summary reports on the financial status of Manpower Administration activities to top management. These reports have been used in decisions on resource utilization.
    Equal Employment Opportunity
    The Office of Equal Employment Opportunity continued its efforts to assure equal opportunity, without regard to race, color, national origin, sex, age, or religion, in all Manpower Administration activities. The Assistant Regional Directors for Manpower and their equal employment opportunity representatives, who administer the program in the field, worked to eliminate discrimination in manpower programs operated with Federal funds, including State employment security agencies. Besides conducting investigations and reviews, the regional offices provided training and technical assistance to State minority group representatives carrying out State equal employment programs.
    During fiscal 1973, the national and regional offices made 136 complaint investigations; and national, regional, and State staffs jointly conducted 93 special reviews. In addition, 18
    regional offices carried out 3,362 preaward reviews and made 2,922 monitoring visits.
    Special activities included issuance of the “Directory of Minority College Graduates 1971-72” and arranging for an equal employment opportunity training module. The directory is a useful reference for employers seeking minority members qualified for their positions. It lists approximately 60,000 minority college graduates and contains indexes that provide easy access to entries on graduates with education in a particular field. The module for trainees, based on an analysis of national equal employment opportunity activity, is being developed under contract for the Manpower Administration.
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    Labor-
    Management
    Services
    Administration
    Nineteen seventy-three was a busy year for the Labor Department on the labor-management front.
    It was a year in which the Labor-Management Services Administration (LMSA) carried out a U.S. District Court Order in connection with one of the largest elections of International union officers in the history of the Labor-Management Reporting and Disclosure Act (LMRDA)—the election of officers of the United Mine Workers of America (UMWA).
    During the first six months of the fiscal year, about 1,000 Department employees under the direction of the LMSA supervised the nomination and election procedures at 1300 UMWA locations throughout the United States. During the last six months of the fiscal year, considerable amounts of manpower were devoted to supervising UMWA District elections pursuant to’ Federal court orders related to trusteeship actions under Title III of LMRDA.
    LMSA also attended to its other responsibilities during the year. These included assistance in improving labor-management relations, and enforcing and securing voluntary compliance in connection with laws regulating veterans’ reemployment rights, union activities, employee welfare and pension plan disclosures. LMSA also participated in investigations supporting the President’s Program Against Organized Crime. In addition, LMSA administers key provisions of Executive Order 11491, as amended, dealing with labor-management relations in the Federal service.
    Compliance,
    Enforcement, and
    Disclosure
    As of June 30, 1973, there were 59,287 active labor organizations with reports on file under the Labor-Management Reporting and Disclosure Act. Approximately 3,400 investigations were completed during the year, including 121 involving union elections. The UMWA International and District elections under court-ordered DOL supervision required a tremendous manpower commitment.
    The Department instituted 27 civil actions under the Act in Federal district courts. Eighty-four individuals were charged with criminal violations of the LMRDA in indictments or criminal informations filed in Federal district courts, including 45 as a result of LMSA participation in the Organized Crime Strike Forces. These forces operate in 17 major cities. In addition, 21
    strike force activity led to the indictment of 89 persons. Forty-four persons, including some indicted in previous years, were convicted of LMRDA violations; 16 were acquitted. LMRDA violations against six others were dismissed.
    Annual financial reports required under the Standards of Conduct section 18 of Executive Order 11491 were received from 3,205 active Federal labor organizations. The drop from prior years was a result of the postal employees’ unions filing now under the LMRDA rather than the previous requirement of filing under the Order. A total of 600 investigations were completed during the year, including nine involving union elections. There were 582 cases involving delinquent and deficient reports.
    Approximately 178,670 active employee benefit plans were on file with the Department under the Welfare and Pension Plans Disclosure Act (WPPDA), including about 44,700 retirement plans. Approximately 2,400 investigations were completed, about 2,200 of which involved delinquent or deficient reports.
    The Department promulgated on February 15, 1973, Form D-1S which requires administrators of all retirement plans covered by WPPDA to furnish to plan participants information concerning provisions of their plans in easy to understand language. This form also requires the administrators to notify participants concerning the availability of reports.
    Federal
    Labor-Management
    Relations
    Under Executive Order 11491, as amended, the Assistant Secretary of Labor for Labor-Management Relations supervises representation elections in the Federal service and decides unit questions and cases involving alleged unfair labor practices and standards of conduct violations. He also decides eligibility questions on national consultation rights, as well as questions concerning handling of grievances and arbitration under existing contracts.
    22
    During the year, 840 cases involving representation petitions and unfair labor practice complaints were initiated in LMSA’s 24 area offices. During that time, 773 cases were closed. In the same period, 340 representation elections were supervised by LMSA field personnel. The Assistant Secretary issued 113 decisions based upon records of formal hearings conducted before hearing officers or hearing examiners. In addition, the Assistant Secretary made determinations on 84 requests for review of action taken by LMSA regional administrators and issued 4 reports on rulings setting forth administrative or policy decisions on other aspects of the program.
    Veterans'
    Reemployment
    Rights
    The Department continued to meet its responsibilities to veterans, reservists, National Guardsmen, and others having statutory reemployment rights under the Military Selective Service Act of 1967.
    The number of complaint cases filed dropped to 4,376 in fiscal year 1973 from 7,023 the previous year. This was a 38 percent decrease. This drop reflects the fact that total separations from military service fell some 33 percent to an estimated 604,000 from an estimated 900,000 during Fiscal Year 1972.
    It also appears that a slightly smaller percentage of the returning veterans sought to exercise reemployment rights with pre-service employers. This was because they did not leave jobs to enter military service or because they preferred and were able to take advantage of other employment or educational opportunities. Increased field staff expertise in the reemployment rights program, along with the drop in incoming complaint cases and a revised method of statistical reporting, led to a reduction in the backlog of pending complaint cases from 2,093 to 1,376 during Fiscal Year 1973.
    Some 59 percent of the new veterans participated in the referral procedure established in cooperation with the Department of Defense. Each participating veteran was sent basic information about reemployment rights assistance and other services available to veterans through the Department of Labor. About 46 percent of these veterans indicated that they had pre-service employers, and those employers were advised of the basic provisions of the reemployment rights law. As a result, many veterans were reinstated in their jobs and accorded their other reemployment rights without further actions by the Office of Veterans’ Reemployment Rights.
    As before, copies of the referral forms received by the Office of Veterans’ Reemployment Rights were made available to the Manpower Administration’s Veterans Employment Service (VES). The VES offers assistance to veterans in finding employment in cases where the veterans do not have reem-
    23
    ployment rights or do not choose to exercise their reemployment rights with their preservice employers.
    Labor-Management
    Relations
    During Fiscal Year 1973, there was increased stability in the relations between labor and management. The Federal Government continued its policy of encouraging resolution of labor-management disputes with a minimum of direct participation. This policy was followed with regard to negotiations in key industries including: railroad, offshore maritime, petroleum refining, rubber, electrical products, trucking, airline, shipbuilding, and West Coast longshore.
    Federal action was necessary in a few disputes when mediation failed to produce settlements. On two occasions Presidential Emergency Boards were appointed under the Railway-Labor Act. One Board investigated and reported on a dispute between the Long Island Rail Road and its non-operating employees represented by 12 labor organizations. The other did the same in connection with the dispute between the Port Authority Trans Hudson Corporation and the Brotherhood of Railway Carmen. In one dispute Congressional action was necessary to halt a work stoppage by the United Transportation Union on the Penn Central Railroad, the Nation’s largest rail carrier. The union had struck on February 8, 1973, when the carrier promulgated its proposed crew size reductions. That same day Congress passed, and on February 9 the President signed, PL 93-5 which extended the status quo period under Section 10 of the Railway Labor Act until May 9, 1973. Following the submission of separate reports to the Congress by the Secretaries of Transportation and Labor, the Penn Central first announced its intention to implement the crew reductions effective June 9, 1973, and then, on May 28, 1973, the carrier announced that it was indefinitely postponing any changes.
    During the fiscal year, “early warning” reports covering negotiations which could affect the national interest were provided to the Secretary and other key government officials. Staff assistance was provided to the Presidential Emergency Boards established under the Railway Labor Act, and to the standing committee established by the parties on the Penn Central Railroad-United Transportation Union case.
    In addition, the Department continued its program of assistance to State and local governments and public employee organizations in establishing their own procedures for resolving labor-management relations problems. Upon request, the Department provided technical assistance, information and data services, training, and conference activities to the participants in the non-Federal public sector. It conducted special training seminars for newly appointed Public Employee Relations Board members, for labor and management representa-24
    tives, and for third party neutrals. It also provided technical assistance to a number of State and local jurisdictions in drafting public employee rules and regulations, and in the conduct of representation elections.
    The Urban Mass Transportation Act of 1964 provides that the Secretary of Labor certify that arrangements are made to protect the interests of employees affected by urban mass transportation projects assisted by the Department of Transportation. During Fiscal Year 1973, the Department of Labor certified 142 applications for assistance under the Mass Transportation Act, involving total project values of more than $2.2 billion. In addition, assistance was provided to the standing committee established by the parties to resolve problems encountered under the Amtrak protective arrangements.
    Policy Development and Research
    Recommendations for labor-management relations policy, including proposals for executive and legislative actions, were formulated through a program of research and policy development.
    During the year, the research staff published “Union Election Cases Under the LMRDA: 1966-70’’ and completed studies on many other subjects. Much of the research related to pension plans. LMSA collaborated with the Treasury Department on a study of pension plan terminations.
    Through LMSA financing of research on a contract basis, BLS published “Municipal Collective Bargaining Agreements in Large Cities’’ and “Earnings and Demographic Characteristics of Union Members.”
    Contracts were awarded during the year for research on collective bargaining in the private and public sectors of the economy.
    25
    Employment Standards Administration
    Fiscal 1973 was a year in which the Employment Standards Administration (ESA) carried on its old responsibilities and acquired some new ones. ESA is responsible for a wide range of programs dealing with the wages and working conditions of the American worker. It is ESA’s responsibility to see that employees receive legal compensation for their work, to assure that workers on Government contracts are not discriminated against because of race, color, sex, religion or national origin, and to protect employees injured on the job and their families from loss of income. ESA is also charged with encouraging fuller utilization of women in the workforce, preventing exploitation of both young and older workers, and preventing illegal garnishment of employees’ wages.
    During the year, Congress passed three pieces of legislation which significantly expanded the scope of ESA operations. These were: (1) Service Contract Act amendments, which require application of wage determinations to all service contracts on which more than 25 employees are employed; (2) Longshoremen’s and Harbor Workers’ Compensation Act amendments, which, among other things, extend coverage of the Act and raise maximum benefits, and (3) the State and Local Fiscal Assistance Act, which requires Davis-Bacon predetermined wage rates for most construction projects funded by revenue sharing, and for which ESA assumed sole Davis-Bacon enforcement responsibility. In addition, ESA assumed responsibilities under the Farm Labor Contractor Registration Act. The Act requires that certain interstate contractors (crew leaders) obtain a certificate of registration and observe certain rules and regulations in dealing with workers and employers. In October 1972, enforcement of the Act as well as certification of farm labor contractors was transferred from the Manpower Administration to ESA. The Manpower Administration continues to register contractors.
    Improving and
    Protecting Wages
    A major concern of ESA is the enforcement of the Fair Labor Standards Act (FLSA), which provides direct benefits to the lowest paid segment of the workforce and protects millions of other workers. The Act provides for minimum wages, premium pay for overtime, restrictions on the employment of child labor, and equal pay for equal work regardless of sex.
    On the wage standards alone, excluding equal pay and age discrimination cases, approximately 70,000 compliance actions were taken in the 1973 fiscal year. These actions disclosed over $64 million in minimum wage and overtime payments ille-27
    gaily withheld from approximately 335,000 workers. Of this amount, $44 million was found due 266,000 workers in the low wage category (i.e., workers earning less than the Bureau of Labor Statistics lower family income for the area). The correction of the minimum wage violations alone added about $11 million annually to these workers’ incomes.
    ESA in coordination with the Manpower Administration completed a 3-year study of a school-supervised experiment Work Experience and Career Exploration Program (WECEP) involving some 15,000 disadvantaged 14- and 15-year-old youths. The study showed that controlled work performed during school hours did not interfere with the education, health and well-being of the youngsters.
    Advances were made during the year in insuring qualitative labor standards for youths. The ESA staff worked with other Federal agencies and private organizations to promote a balance between job opportunity and employment protection. Such activities included participation in a National Chamb'er of Commerce conference and representation on the Interagency Panel for Research and Development on Adolescence.
    Geographical areas covered by ESA wage determinations for the construction industry continued to increase. Twentyeight percent of the nation’s counties were covered for building construction (excluding residential), and 78 percent for highway construction. Publication of the determinations in the Federal Register resulted in extensive reduction in needless paper exchange between the Department and Federal, State and local contracting agencies and greatly facilitated contract advertising and awarding. The 1972 amendments to the Service Contract Act of 1965 effectively doubled the number of wage determinations made for Federal service contracts. Interim regulations were published, and the remedial goals of the legislation were being fulfilled.
    There was renewed emphasis on vigorous enforcement of Government contract labor standards laws through direct action by the Department under statutes where it has the initial responsibility and through improved coordinating actions with the contracting agencies and where they have the primary enforcement function. More than 7,000 workers were entitled to over $1.5 million as a result of these actions. Special efforts were made to assist State and local communities in the application of prevailing wage rates to projects financed under the State and Local Fiscal Assistance Act of 1972.
    ESA assisted a number of States in their attempts to improve labor standards. Kansas and North Carolina were given technical assistance in the course of legislating wage payment and wage collection and maximum hours and overtime laws. Ohio was given extensive assistance with its law regulating private employment agencies.
    Interest in labor standards at the State level was reflected by the approximately 550 such laws passed by State legislatures in FY 1973. They covered higher minimum wages, improved safety standards, elimination of discrimination in employment, improvement of public sector collective bargain-28
    ing, regulation of private employment agencies, and modernization of child labor standards. Most significant was minimum wage legislation, with almost one-third of the States legislating or implementing increased minimums during the fiscal year.
    Equal Employment
    Opportunity
    ESA continued to make progress in its efforts to provide equal employment opportunities for all workers regardless of sex, color, race, age, religion or national origin.
    ESA’s Women’s Bureau used various approaches to advance the economic and legal status of women, to increase their employment opportunities, and to reduce sex discrimination. Special emphasis was placed on securing training and employment opportunities for women economically and socially isolated from the mainstream of American life: racial and ethnic minorities, offenders and ex-offenders, youths, older women, and women in low-skilled, low-paying occupations such as household employment.
    The Women’s Bureau sponsored consultations with women from minority groups to establish closer contact with them and to learn how it can respond more effectively to their needs. Technical assistance was given to information and referral centers where women can get information on job training, employment opportunities, and other job-related subjects.
    The Bureau increased its efforts to call attention to the need for improved rehabilitation of women offenders. It stressed vocational training programs to increase chances for successful employment and adjustment after release. A proposed design for training women offenders was submitted to the Department of Justice’s Bureau of Prisons.
    Specific programs were directed towards women of different age groups. Efforts were made to motivate young women to seriously consider career planning and to urge them to train for non-traditional jobs. In addition, older women were assisted with the problems they face as workers entering or re-entering the labor force. ESA continued to publicize the need for more day care facilities for children of working mothers.
    On the international scene, a response was prepared for the U.S. Government to the U.N. Commission on the Status of Women concerning sex discrimination. Materials concerning commissions on the status of women for use in developing countries also were prepared. Preliminary plans were made for International Women’s Year, which has been proclaimed for 1975 by the U.N. General Assembly.
    In acting as a clearinghouse for information for women workers, the Bureau received nearly 37,000 requests for publications. Materials were supplied for approximately 1,300 conferences, conventions, seminars and other meetings.
    ESA’s program to eliminate sex-based wage differentials, where men and women perform substantially equal work,
    29
    made progress through vigorous enforcement of the equal pay provisions of the Fair Labor Standards Act. Underpayments of over $18 million to 29,618 workers, nearly all of them women, were found. Not included in this figure is approximately $7,700,000 paid under the Equal Pay Act by the American Telephone and Telegraph Company to approximately 3,000 of its employees as part of a $15,000,000 total settlement negotiated by the Department of Labor and the Equal Employment Opportunity Commission. Public briefing conferences were held throughout the country to spread understanding of the extension of equal pay protection to some 15 million executive, administrative, professional and outside sales employees.
    ESA’s Office of Federal Contract Compliance ensures equal employment opportunity through administration of Executive Order 11246, as amended. This order prohibits discrimination in government contract work because of race, color, religion, sex or national origin.
    There were some notable achievements during the fiscal year. Approximately 102 cities now have been identified as targets for the development of hometown plans in the construction industry. The goal of these plans is to achieve equal employment opportunity through voluntary agreements among labor, management, and community groups. By the end of the year, there were 56 voluntary hometown plans; five Department of Labor-imposed plans, and one court-imposed plan. Some activity has occurred toward an agreed plan in almost all 102 target cities.
    Over 31,000 compliance reviews were made by Federal contract agencies to enforce the Executive Order. There were 22,000 reviews of supply and service firms and almost 9,000 reviews in the construction industry. This compared with some 22,000 compliance reviews in fiscal year 1972. Notices were issued to approximately 775 contractors, giving them 30 days to show cause why enforcement proceedings should not be instituted against them. In some cases, contract approvals or awards were deferred pending correction of deficiencies.
    Regulations governing the obligations of contractors and subcontractors were amended in January 1973 to include contracts with State and local governments within the purview of revised Order No. 4. This amendment requires State and local government educational and medical facilities to file annual compliance reports and to develop and maintain written affirmative action plans. Guidelines also were issued for the first time in promoting and ensuring equal employment opportunity for all persons without regard to religion or national origin.
    During the fiscal year, agreements which provided equal employment opportunities and back wages to thousands of minority and women workers working on Government contracts were reached with three major corporations: American Telephone and Telegraph Company, Bethlehem Steel Corporation and Delta Airlines. These should provide models for civil rights agreements for years to come. The agreements were brought about through coordinated efforts of various Federal agencies and demonstrate the effectiveness of such a com-30
    bined effort.
    ...... Under the Age Discrimination in Employment Act (ADEA), widespread voluntary compliance and the promotion of employment opportunities for older workers was secured through education, information, compliance contacts and conciliation. As a result of these activities, discriminatory policies and practices were eliminated, providing almost 40,000 job opportunities for older workers. In addition, damages of over $1,850,000 were found due to 1,031 individuals as a result of approximately 7,200 compliance actions taken to correct illegal age discrimination. In the largest settlement paid by a single firm under the Act to date, a major airline paid damages of $250,000 to 29 former employees who had been laid off, retired, or assigned to inactive status in violation of the statute. Continuing efforts to eliminate discriminatory advertising for employees met with success. This was especially heartening because such advertising is the gateway to employment for many.
    Workmen’s
    Compensation
    ESA is responsible for the administration of several Federal workmen’s compensation laws through (1) the Office of Federal Employees’ Compensation (OFEC), which administers the Federal Employees' Compensation Act plus certain other laws, and (2) the Office of Workmen’s Compensation Programs (OWCP), which administers the Longshoremen’s and Harbor Workers’ Compensation Act and its various extensions. OWCP is also responsible for carrying out the Department’s workmen’s compensation responsibilities in other areas within the private sector, including the development of workmen’s com-31
    pensation standards for use by the States. Over five million employees were covered by Federal workmen’s compensation laws in fiscal 1973.
    In addition, ESA was to become responsible July 1, 1973, for the processing and adjudication of pneumoconiosis (black lung) claims filed under provisions of the Federal Coal Mine Health and Safety Act of 1969, as amended by the Black Lung Benefits Act of 1972.
    With ESA providing technical assistance, many States upgraded their workmen’s compensation laws. Iowa, Montana, Minnesota, Arizona and Nevada instituted overall comprehensive changes based on recommendations made by the National Commission on State Workmen’s Compensation Laws. In addition, criteria for State assumption of the black lung program were published in the Federal Register and distributed to all State workmen’s compensation administrators.
    A total of 112,417 injuries were reported under the Federal Employees’ Compensation Act (FECA) during the year, up slightly from the 109,578 reported in fiscal year 1972. New claims for compensation rose to 28,231, up from 26,774 in fiscal year 1972. As of the end of the year, 29,114 cases were being compensated on the OFEC’s periodic payment rolls, up from 27,502 in fiscal year 1972. Benefits paid under the FECA amounted to $217,707,190 or 14.6 percent more than in the previous fiscal year.
    New injuries reported under the Longshoremen’s and Harbor Workers’ Compensation Act and its various extensions rose to 134,065, up from 101,329 in fiscal year 1972. Lost-time injuries increased from 24,258 to 30,390 during this same period. These increases reflect the changes brought about by the 1972 amendments to the Act which, among other things, made the following significant changes:
    •	Coverage was extended to maritime workers employed at land installations adjoining and used in connection with maritime activities.
    •	Maximum benefits were raised from $70 to $167 a week for the year following the amendments, with provision for annual increments until October 1975, when maximum benefits will be raised to 200 percent of the national average weekly wage at that time.
    •	Injured employees now have the freedom to choose their own physicians from those designated by the Secretary of Labor.
    •	Increased supervision of medical care is required, as well as increased rehabilitation services and legal assistance to employees.
    •	Suits for third party damages against ship owners are now limited to negligence actions.
    32
    Occupational
    Safety and
    Health
    Administration
    The Occupational Safety and Health Administration (OSHA), charged by the Congress to ensure safe and healthful working conditions for the more than 60 million working men and women protected by the Occupational Safety and Health Act of 1970, moved forward with its basic program in FY 1973. OSHA concentrated its efforts in its four main program areas. They are:
    •	Developing additional health standards.
    •	Reviewing and approving State plans.
    •	Increasing inspections.
    •	Expanding job safety and health training and education.
    Standards
    The development of new and/or improved health standards, the revision of existing standards, and the end of the 2-year period in which OSHA could adopt, without formal procedure, national consensus standards highlighted standards activity in the last fiscal year. Two emergency temporary standards—one on carcinogens and one on pesticides—were issued in April and May. Enforcement of the pesticide standard was voided by the courts on petition from grower organizations.
    The development of health standards, undertaken in earnest in FY 1973, should begin to show results next fiscal year. Important groundwork accomplished this year included:
    •	Establishment of closer working relations with the National Institute for Occupational Safety and Health (NIOSH).
    •	Improvement of review procedures for NIOSH criteria documents on toxic substances.
    •	Adoption of a tentative priority for health standards development.
    This groundwork, will enable orderly development of health standards to begin early in FY 1974.
    Revision of existing standards, begun in FY 1972, continued. More than 100 standards, many of them out of date or having no direct bearing on employee safety and health, were modified or revoked. In all, more than 3,000 unit changes were made.
    The 2-year period in which national consensus standards could be adopted without the formal procedures of Section 6 of the Act ended April 28—2 years from the date the Act became effective.
    33
    State Plans
    By the end of the fiscal year, 49 States and territories had submitted proposed job safety and health plans to OSHA for review and approval. The Act expressly provides for the development of State plans that are “at least as effective as” the Federal program. The Act also provides for funding development grants of up to 90 percent and operational grants of up to 50 percent of cost to help States and territories develop and operate approved plans.
    Of the 49 plans submitted, 12 were approved, 34 were pending, and three were withdrawn by the end of the fiscal year. Review of pending plans is expected to be completed in FY 1974.
    The 12 approved plans include those for the largest States —New York and California—and cover more than 21 million employees, or more than one-third of the 62 million working men and women protected by the Act. The 12 States received first-year operational grants totaling $13,815,134. Eight of the 12 States already have passed enabling legislation.
    State occupational safety and health programs that existed before OSHA no longer can be enforced. The Act provided that these programs would terminate 2 years after passage of the Act—i.e., December 29, 1972. OSHA attempted to extend the period 6 months, but was challenged in the courts by the AFL-CIO and withdrew the proposed extension.
    The end of the enforcement of previous State programs created a void in worker protection now being filled by the new plans as they are approved. Certain safeguards are built into the approval process.
    Before OSHA can grant initial approval, the State plan must demonstrate that it will be at least as effective as the Federal program.
    After receiving initial approval, the State program must undergo a trial period of at least 3 years, demonstrating its continuing effectiveness, before final approval can be given.
    After final approval is given, Federal enforcement is withdrawn in the State except for issues not covered in the State plan. OSHA, however, will continue to monitor the State program and, if evidence shows the State plan is not performing up to par, can withdraw final approval and resume Federal enforcement.
    Inspections
    Increasing the number of inspections was one of the priority goals for FY 1973. Inspections did rise, particularly during the final four months of the year.
    In FY 1973 there were 47,595 inspections, compared to 32,701 in FY 1972, an increase of almost 50 percent.
    The upward trend toward the end of the year was even more pronounced. In June, the average weekly inspection rate 34
    reached 1,659, equivalent to an annual inspection rate of 86,268. Steadily higher inspection rates in each of the final four months of the last fiscal year reflected both the agency’s increased emphasis on inspections and an increase in inspection personnel.
    The 47,595 inspections, broken down by type, show that 31,379 were first-time inspections. They covered 5,951,412 employees previously not inspected and brought to approximately 12 million the total number of employees whose workplaces have been inspected. There were 9,136 repeat inspections, and followup inspections (made to ensure that violations are corrected) accounted for the other 7,080.
    By industry, 21,769 inspections were in manufacturing establishments; 12,878 at construction sites; 7,287 at maritime workplaces; 1,543 in transportation; 1,392 in the retail trades; 1,144 in wholesaling, and 1,062 in service occupations. Agriculture, mining, finance, and miscellaneous industries accounted for 520 inspections.
    OSHA continued to add new area, field, and district offices, as needed, to strengthen regionalization. Inspection responsibility rests with the area offices, not in Washington. Inspection guidelines, however, are uniform for all regions.
    A new inspection priority schedule was published in June to go into effect in FY 1974. The priorities are:
    (1) investigation of imminent danger situations, (2) investigation of catastrophes and fatalities, (3) investigation of valid employee complaints, (4) inspections for special programs— Target Industry, Target Health Hazards, and Special Emphasis Short Duration Programs, and (5) general inspections.
    Two catastrophes investigated by OSHA were national tragedies. One, a gas tank explosion on Staten Island, killed 40 workers in February when a 10-million-cubic-foot liquefied natural gas tank, undergoing cleaning and repair, blew up. The other, the collapse of a high-rise construction project, claimed the lives of 14 workers in northern Virginia near Washington, D.C.
    35
    OSHA’s special programs figured significantly in its overall inspection effort.
    The Target Industry Program confined to emphasize inspections in five industries with high (more than double the national average) annual job-injury rates—longshoring, meat and meat products, roofing and sheet metal work, lumber and wood products, and miscellaneous transportation equipment.
    The Target Health Hazard Program focused industrial hygiene efforts against five major health hazards—asbestos, carbon monoxide, cotton dust, lead, and silica.
    OSHA’s special emphasis program on trenching and excavation cave-ins began in March. This program calls attention to the dangers of unshored construction trenching through inspections, informational material, and special training.
    Training and
    Education
    OSHA expanded job safety and health training and education in FY 1973 by increasing the number of courses taught at the OSHA Training Institute, by making other courses available to the public, and by signing contracts with the National Safety Council and the University of Wisconsin to expand existing training and develop new courses.
    During the year, the OSHA Training Institute at Rosemont, III. (a suburb of Chicago) added eight courses to its curriculum and enrolled 2,388 people in its courses. The enrollees consisted of 314 OSHA personnel, 457 State personnel, 43 other Federal personnel, and 1,574 persons from the private sector.
    Private sector training included a 1-week course, “A Guide to Voluntary Compliance,” and two 1-week construction safety courses. The construction courses are available to the public in either self-teaching or group instruction format. Two other courses—the ‘‘Guide to Voluntary Compliance” and an employer-employee orientation course—will be available in packaged form in FY 1974.
    The employer-employee orientation course is a 1-day course now being taught by area office personnel.
    The ‘‘Guide to Voluntary Compliance” course will also be available in approximately 50 cities, presented without charge by local chapters of the National Safety Council under terms of the contract signed.
    The University of Wisconsin project calls for its School for Workers to develop 13 one-week industrial job safety and health courses, one each for 13 separate unions. Once developed, the courses will be taught to 40 union representatives who, in turn, will teach the courses to union members.
    Other Activities
    The Office of Federal Agency Programs, responsible for coordinating Federal job safety and health, was directed to 36
    take a more aggressive approach in its efforts to ensure safe and healthful working conditions for U.S. Government employees. Guidelines for agencies to use in developing their own programs were being prepared at year’s end.
    The Bureau of Labor Statistics released its first figures on job safety and health fatality, injury, and illness rates based on the OSHA recordkeeping requirements. The statistics, drawn from a survey of the initial reporting period (July-December 1971), reflect a national average (excluding farm employees) of 12.1 disabling injuries per 100 employee-years worked. On an annual basis, this means approximately one out of eight working men and women suffers some disabling injury each year.
    37
    Policy, Evaluation, and Research
    During fiscal year 1973, the Office of Policy, Evaluation, and Research carried out a broad program' in fulfilling its responsibilities for planning and developing policy for the Department, participating in the development of legislative initiatives, and stimulating and coordinating evaluation and research.
    Activities of the Office of Policy Development were directed primarily toward developing legislative initiatives and providing policy advice to the Secretary’s Office on a broad range of subjects such as: manpower revenue sharing, welfare reform, minimum wage, unemployment insurance, private pension reform, workmen’s compensation laws, trade adjustment features of the Trade Bill, and collective bargaining rights for workers on farms and in nonprofit hospitals. The Office also provides staff assistance to the Secretary’s Office in connection with the Cost of Living Council, the Council for Economic Policy, the National Commission on Productivity, and the Nat-renal Commission on Industrial Peace.
    The Office of Program Analysis and Special Studies was responsible for coordinating the Department’s internal planning efforts. The Office helped provide necessary staff support to the Department’s Program and Budget Review Committee to assure an intensive and objective review of the several policy issues and budget proposals submitted for consideration by the Department’s program agencies. A new responsibility assigned to the Office is providing analytical staff support to the Secretary and Under Secretary in establishing major departmental management objectives.
    The Office of Research continued its role in planning and coordinating agency activities throughout the Department. In November 1972, the Research Policy Committee, largely inactive for a year, was reactivated to develop a Department-wide plan and a coordination mechanism for research on the quality of employment.
    An Office of Evaluation was created and charged with the responsibility of performing aggregate analyses of Departmental program effectiveness and coordinating evaluations done in the agencies. The Office is composed principally of economists who perform scientific analyses without substantial assistance from outside contractors. During FY 1973, the Office helped develop a method for using Social Security data to trace the pre-training and post-training earnings histories of MDTA trainees. Use of the Social Security data avoids the need for expensive follow-up surveys of trainees and provides accurate earnings data for trainees and selected non-trainees. These earnings comparisons provide a good indicator of program effectiveness.
    39
    Bureau of
    Labor Statistics
    Throughout the year, the Bureau of Labor Statistics (BLS) dispensed vital information to the various segments of the public it serves, despite some public controversy over its credibility in statistics reporting. To help clear the air, then Secretary Hodgson issued a policy statement that assured his support of the scientific integrity of the Bureau and set forth guidelines to help preserve it.
    Two committees—one in the House of Representatives and one representing members of the statistical profession—reviewed the credibility controversy. After reviewing BLS data, press releases, and procedures and interviewing BLS staff members, both groups concluded that the BLS standards for objectivity and accuracy had not been relaxed and that there was no evidence of politicization of the Bureau’s statistics.
    Aside from the production of its regularly recurring statistical series, other major Bureau activities in FY 1973 included the following:
    •	Revision of the Consumer Price Index: The peak data collection phase of this long-range program centered on the Consumer Expenditure Survey. This massive decennial survey to determine how consumers spend their money produces a wealth of information useful in developing consumption and savings patterns. In addition to revision uses, these data are widely used in marketing and academic research.
    •	New statistical series: Work continued on development of several new statistical series for publication later on in the 1970’s. They are the general wage index, the general price index, and measures of productivity change in the Federal Government.
    •	Expansion of relatively new series: Some statistical series developed in the past few years are still being expanded and perfected. One important program expanded in FY 1973 was that on measures of international price competitiveness, which included indexes of price change for imported and exported commodities.
    •	Quality improvements: In line with the Bureau’s continuing efforts to improve the quality of its output, attention centered on how to measure the non-sampling error in the Bureau’s statistical series. A proposal to request funds of Congress to continue these efforts more vigorously was spelled out and forwarded through the Department for approval.
    •	Statistical reorganization: The BLS assumed responsibility for three major statistical programs that were transferred from the Manpower Administration; work was begun to improve the technical aspects of the quality of the data and the timeliness of the data outputs to all users. The three programs were (1) the Quarterly Report of Insured Employment and Wages, (2) Characteristics of the 41
    Insured Unemployed, and (3) State and Area Workforce and Employment Estimates. In addition, the BLS Regional Offices assumed responsibility for working with the cooperating State employment agencies on these statistical programs, as well as the occupational projections program.
    •	Economic stabilization activities: The changes in the economic stabilization control mechanisms and the continuing pressure on prices in the latter half of FY 1973 were reflected in a continuing emphasis in the Bureau on in-depth analysis of its wage, price, and productivity indicators to pinpoint sources of change in critical areas.
    •	Survey of occupational injuries and illnesses: A new major survey of occupational injuries and illnesses covering calendar year 1972 was completed. This survey, which includes 200,000 respondents in a national sample plus 350,000 additional respondents in State surveys to compile State-wide estimates is designed to measure progress under the Occupational Safety and Health Act of 1970.
    Prices and
    Living Conditions
    In FY 1973, BLS published a new set of consumer price indexes measuring price changes in urban areas grouped by size of population. These indexes added a new dimension to analysis of price data by providing alternate measures for comparison with the U.S. city average and by permitting comparisons of price change among areas with different population sizes. These indexes will be published four times a year.
    Price indexes for the output of detailed industries (4-digit SIC codes) were increased in number by 33 percent; these indexes can now be used for comparison with average hourly earnings and productivity data available for the same industries. Export price indexes covering 15 percent of U.S. commodity exports and import price indexes covering approximately 3 percent of the value of U.S. imports are now available. Development of measures in the industrial price area in the fields of mobile homes and railroad transportation have been completed; development of measures in the fields of construction materials, motor freight transportation, life insurance, and retail trade are underway.
    Collection of the first phase of the Bureau’s nationwide Consumer Expenditure Survey, the data used for the decennial revision of the Consumer Price Index (CPI), was completed. Two data collection techniques are being used—(1) a quarterly survey of households where respondents are interviewed each quarter to obtain data for developing estimates of annual expenditures and (2) a diary-keeping survey where consumers keep diaries of expenditures over a two-week period to aid in developing detailed estimates for items like drugs, cosmetics, and individual food items, categories not covered in detail in 42
    the quarterly survey. The Bureau of the Census collects data for the BLS for these surveys.
    The decennial revision of the CPI represents a massive and complex program requiring large-scale surveys to develop expenditure, outlet and rent information; comprehensive item and outlet sample redesign; revision of data collection methods and techniques; redesign of the entire computer system; establishment of new procedures for editing and processing price data; and moderinzation and improvement of the entire conceptual and methodological framework of the Index.
    An analysis of price changes during Phase II of the Economic Stabilization Program was prepared and published in the Monthly Labor Review. The special analytical tools developed during Phase I continued to aid the Cost of Living Council, the Price Commission, government economists, and the general public.
    Current
    Employment
    Analysis
    The Bureau substantially expanded its program to analyze data on the job situation of American workers, as interest increased in BLS measures of employment, unemployment, and other indicators of economic performance.
    In order to provide a more comprehensive picture of the employment situation, new data on the jobseeking methods used by the unemployed were published in the Monthly Labor Review and in Employment and Earnings. In addition, special analyses were published on the geographic profile of employment and unemployment, trends in employment by industry from the household and establishments surveys, discouraged workers, and reasons for unemployment.
    In addition, the “Census Employment User’s Guide” was prepared to assist local officials and other interested parties in the use and interpretation of data derived from the Census Employment Survey. This survey was conducted by the Bureau of the Census as part of the overall 1970 Census in order to provide detailed social and economic data on persons residing in 68 low-income areas throughout the United States.
    During the past year, the Bureau assumed responsibility for three major statistical programs that were transferred from the Manpower Administration. The first of these, the Quarterly Report of Insured Employment and Wages, provides a total count of employment and payrolls of workers covered by State and Federal unemployment insurance laws. This report is compiled from data collected by State employment security agencies from information supplied by covered employers. These data are used to determine the level of employment by industry and in developing National and regional personal income estimates. The second program, Characteristics of the Insured Unemployed, is a sample-based survey that produces data on
    43
    the characteristics of the insured unemployed, such as age, sex, occupation, industry of last job, etc. These data are collected by State employment security agencies from persons filing for unemployment compensation benefits. This survey provides valuable insight into the characteristics of the insured unemployed at both the National and State level.
    With the third program, the BLS assumed responsibility for the technical adequacy of the State and area workforce and employment estimates. As a first step, a study was conducted to identify the technical problems associated with these estimates. Two major problems were identified: (1) lack of uniform concepts of measurement, and (2) irreconcilable differences between the estimates produced by State employment security agencies and those developed from the Current Population Survey (the official survey measuring unemployment in the United States). A comprehensive program for improving the estimates was developed to be phased into the estimating procedures over several years.
    The number of labor areas for which current payroll employment data are regularly published in our monthly report, Employment and Earnings, increased by five to 222. A study of labor mobility and the quit rate, “The Manufacturing Quit Rate: Trends, Cycles, and Interindustry Variations,” was published. Tabular material in the “Real Earnings” press release was introduced to show detailed changes in the composition of real weekly earnings and real spendable earnings. Seasonally adjusted data on job vacancies and job vacancy rates were also published for the first time, along with measures of variability.
    Manpower
    Structure and
    Trends
    The Bureau, in cooperation with the Manpower Administration and State employment security agencies, launched a new project in FY 1973 designed to provide each State and the District of Columbia with projections of manpower needs for States and sub-State areas to be used in the FY 1975 planning cycle. This interim project represents the first attempt to develop manpower requirement data on a comprehensive and consistent basis among States.
    A new supplement to the bulletin “Tomorrow’s Manpower Needs” was published. It presents an analysis of the reliability of State and local projections of occupational requirements developed through procedures set forth in the original bulletin.
    The Occupational Employment Statistics Survey Program, also a BLS-MA-State cooperative program, has been decentralized. Data are being collected for each cooperating State by the State agencies involved. Twenty-one States and the District of Columbia are presently collecting data from establishments in many nonmanufacturing industries. Beginning in 44
    early fiscal year 1974, at least 24 States and the District will be collecting data in the wholesale and retail trade industries.
    Work on the 1974-75 edition of the “Occupational Outlook Handbook”, providing information for use in the vocational guidance of young people, was completed. The book is expected to be available the latter half of fiscal 1974.
    The basic work required for projections of occupational requirements to 1985 was completed. This information, developed as part of the Bureau’s overall effort in developing long-range economic and manpower projections, will be published early in FY 1974.
    Projections were prepared of the U.S. labor force to 1990 by age and sex. The projections take into account the effects of changing age and composition of the population, increasing labor force participation of women, earlier retirement trends among men, and other factors. These projections provide the framework for other economic projections such as occupational and industry employment.
    An analysis of trends in the labor force participation of women was prepared for inclusion in the U.S. report to the Organization for Economic Cooperation and Development on the economic role of women.
    A report was prepared on the early labor market experience of college graduates of 1970-71. The study provides insights on the transition from school to work in a period when the demand in some professions, such as teaching, was slowing down.
    The quarterly press release on the employment situation of Vietnam-era veterans was expanded to provide additional information as guides to program needs.
    Wages and
    Industrial Relations
    During FY 1973, BLS provided numerous tabulations of wage and benefit changes for the Cost of Living Council and made several improvements in its regular wages and industrial relations program.
    Work continued on the development of a General Wage Index, which, when implemented, will provide an economywide measure of wage change unaffected by industry and occupational shifts. Detailed specifications were developed for that segment of the Index relating to wage rate changes for the private nonfarm sector of the economy. Development and testing of the data collection and processing systems for this segment is expected to be completed in FY 1974.
    Sanitation workers of city governments were added to the annual studies of wage trends which have included for a number of years firemen, policemen, teachers, and Federal white collar workers. Four wage chronologies were issued.
    Current Wage Developments, reporting on wage and benefit changes, was published monthly with considerable expansion 45
    in the number of regular features and significant reduction in publication time lag. Considerable work was completed on developing a computer system to permit a more timely and detailed publication of these data.
    An hourly earnings index for private nonfarm employees, adjusted for industry shifts and overtime in manufacturing, was issued monthly. Also issued was a comparison of wage change statistics published by BLS and the economic stabilization agencies.
    During FY 1973, BLS completed the development of improved measures of wage change for its annual studies of occupational earnings in approximately 90 areas. Also completed was a pilot study of the work clothing industry to determine the feasibility of collecting certain demographic data in conjunction with studies of occupational earnings.
    The construction industry and household appliance repair shops were added to the list of industries for which wage structure surveys are periodically conducted. The annual study of union wage rates in the building trades industry was expanded to include heavy construction. Other industries in the program are: printing trades, local transit, local trucking, and grocery stores.
    BLS cpoperated with GAO in that agency’s review of the annual “National Survey of Professional, Administrative, Technical, and Clerical Pay” which is used in the Federal pay comparability process. Preliminary results of the March 1973 survey were released slightly ahead of schedule.
    Reports on surveys of occupational earnings in municipal governments were issued for 20 cities during the year. Reports issued late in the year included improved coverage of city government pay structures and a standard format for publishing health, insurance, and pension plans, patterned after the Bureau’s digest of private industry plans.
    The Bureau published results of a study of private pension plans to determine the prevalence of provisions that may lead to mandatory retirement of employees.
    In addition to keeping up-to-date the “Pension Plan Digest”, BLS published the first edition of a similar digest of health and insurance plans.
    For ESA and the Secretary’s report to Congress (required by FLSA), BLS completed studies of hours and earnings in 12 low-wage industries. Two of these studies developed for the first time separate information for employees under age 20.
    Two new studies concerned with expanding public employee bargaining were issued: “Municipal Collective Bargaining Agreements in Large Cities” and “City Employee Representation and Bargaining Policies”. Also, for the first time, a report was published covering provisions on seniority administration in collective bargaining agreements. BLS used estimates of union membership obtained from the Census household survey to provide new information on the demographic characteristics of union members. “Handling of Rail Disputes under the Railway Labor Act, 1950-69” followed publication in the previous year of a similar study on airline disputes.
    46
    Productivity and Technology
    BLS strengthened and expanded significantly its productivity and technology research program. In response to the needs of the National Commission on Productivity, substantial progress was made in providing productivity measures for many additional industries. Some of these were in goods-producing areas, such as steel foundries and ready-mixed concrete, and others were in the service area. In addition, measures of output per man-hour for many industries were provided to the Cost of Living Council in connection with Economic Stabilization Program activities.
    A study of the labor and material requirements for multifamily housing was conducted, and work was undertaken on a study of sewer and water facilities.
    Additional studies of comparative statistics between the United States and other industrial countries were completed. Updated measures of comparative trends in manufacturing output per man-hour, unit labor costs, and hourly compensation in major countries were completed. In addition, a study of comparative levels of productivity and costs in the shoe industry for industrialized countries was completed and is being reviewed for release early in FY 1974.
    As part of the ongoing effort to assess the manpower implications of technological change, a comprehensive study of technology and manpower in the textile industry in the 1970s was completed, and other studies in the banking industry and lumber and wood products industry were conducted. A pilot study on the implications of revised workweek schedules was completed.
    In addition, the Bureau worked closely with the General Accounting Office, the Civil Service Commission, and the Office of Management and Budget on a project to extend measures of productivity for the Federal Government. It was agreed that BLS will develop the measures.
    Occupational Safety and Health Statistics
    Fiscal year 1973 was the second full year of the Bureau’s expanded Occupational Safety and Health Statistics program. Major activities included work on the Occupational Safety and Health Administration (OSHA) recordkeeping system, the annual survey and the related State grants program, and other special projects.
    Eighteen months of experience with the OSHA recordkeeping system indicated to the Bureau that several modifications might make the system more useful as an analytic tool to OSHA, employers, and employees. To investigate this possibil-
    47
    ity, the Bureau carefully reviewed all OSHA recordkeeping concepts, definitions, forms, and instructions. Aided by an advisory task force of nearly 150 members from industry, labor, government, and the public, the Bureau prepared several proposed revisions in the existing system for publication in the Federal Register in FY 1974.
    To assist employers in properly maintaining the OSHA recordkeeping system, Bureau staff worked on producing three major recordkeeping aids for the public. Two of these aids, “The Accident Bug’’ animated film and “An Audio-Aid to OSHA Recordkeeping’’ cassette package, won awards in the annual Federal Editor’s Association contest.
    The OSHA recordkeeping system forms the basis for the OSHA reporting system and annual survey program. In FY 1973, work progressed on four surveys of occupational injuries and illnesses. To ensure the quality of data collected in the survey covering the last 6 months of calendar year 1971, the Bureau conducted a response analysis activity with selected respondents. Final estimates from that survey were released in June 1973.
    The survey covering calendar year 1972 was initiated in FY 1973. This survey involves 200,000 national respondents and an additional 350,000 to be collected by participating States to enable them to compile State-wide estimates. The response rate for both surveys was extremely high. Planning and initial steps took place for the survey covering calendar year 1973. Since any recordkeeping revision would entail corresponding changes in the surveys’ reporting systems for calendar year 1974, contingency plans were made for that survey to accommodate the proposed recordkeeping changes. The Bureau also worked with other Federal agencies with occupational safety and health recordkeeping systems to ensure collection of comparable data from those employers covered under Federal legislation other than the Occupational Safety and Health Act of 1970.
    .Federal-State cooperation is central to the survey program. Fiscal 1973 marked the first year of widespread State data collection, editing, and processing in the annual survey. Fifty-four statistical grants were awarded to States and other jurisdictions to enable them to participate in the calendar year 1972 survey and to develop State estimates. An additional 48 planning grants were awarded to assist States in survey planning and other statistical functions. These grants enabled States to conduct seminars on OSHA recordkeeping for employers, refine State agriculture samples, refine existing workmen’s compensation data, and develop a complete file for State and local government employment. This activity will assist the States in complying with the stipulations .by which they can gain acceptance of their State plans to assume duties under the Occupational Safety and Health Act. The Bureau also reviewed 35 State plans submitted to OSHA for satisfactory recordkeeping and statistical assurances.
    Finally, the Bureau conducted several other projects in the occupational safety and health field. The Bureau prepared a 48
    chapter for the interim report on the proposed Japan-U.S. joint study on occupational safety and health and sent a representative on the American team to Japan.
    Several contracts were let with selected States to tabulate existing workmen’s compensation data in machine-retrievable form in an effort to learn more about, the characteristics of occupational injuries and illnesses. The first of these studies, “Characteristics and Costs of Work Injuries in New York State,’’ was delivered to the Bureau late in the fiscal year. Reports from California, Florida, Maine, Nebraska, and Wisconsin are expected during fiscal 1974.
    Finally, the Bureau responded to numerous one-time requests for data and related information from OSHA and the National Institute for Occupational Safety and Health.
    Economic Trends and Labor
    Conditions
    The Bureau continued research on revising to 1980 and extending to 1985 its long-term projections covering estimates of GNP and its major components, output, and employment by industry. Work on the manpower impact of Federal programs continued and the manpower requirements of the following four Federal programs were being developed—Veterans Administration provision of medical care, institutional manpower training grants, National Institutes of Health, and National Aeronautics and Space Administration. As a part of the same research, a “Manpower Conversion Factbook” was undertaken which will provide guidance to agencies in developing manpower requirements estimates.
    Activities relating to new types of work schedules included an article, “New Patterns for Working Time: the Week, the Year, and the Worklife.” In addition, data were collected for the first time on the prevalence of both new and long-established types of work schedules from the national survey of *	households, the Current Population Survey.
    An article on absence from work provided the first national './i	data on absence by industry and occupation. The article
    reported on “unscheduled absence,” as distinguished from absences because of vacations, holidays, labor disputes, and weather.
    An article on the economic status of Spanish Americans, the Nation’s second largest minority group, was published in the Monthly Labor Review; a related chapter appeared in the 1973 Manpower Report of the President.
    A chapter comparing trends in employment and related characteristics of black and white Americans was published in the Census Bureau’s annual report on the black population in the U.S.
    49
    Other Activities
    The Bureau of Labor Statistics Regional Offices assumed responsibility for working with the cooperating State employment security agencies on four statistical programs yielding significant data related to manpower. These programs are (1) estimates of labor force, employment, and unemployment by local areas and States, (2) occupational projections, (3) quarterly report of employment, wages, and contributions, and (4) characteristics of insured unemployed.
    The Bureau of Labor Statistics co-sponsored with the Florida Department of Commerce the 31st North American Conference on Labor Statistics which had as a theme “Labor Statistics in an Era of Changing Federal/State Relations.” The 300 delegates included administrators, statisticians, and economists from 49 States, Provincial (Canadian), Federal (Canadian and U.S.), and Puerto Rican departments of labor, educational institutions, labor organizations, business firms, and community groups.
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    Office of the
    Solicitor
    During the year, the office of the Solicitor handled a wide range of legal work important to American workers and their families. The Solicitor is the legal advisor to the Secretary and all other Department officials. He is responsible for all the Department’s legal activities. This includes the coordination and preparation of the Department’s legislative proposals, reports, and testimony on proposed legislation and executive branch clearances. The Solicitor makes the final decision in all appeals taken by applicants from initial denial of their requests for disclosure of Department records under the Freedom of Information Act.
    The Solicitor oversees the Department’s litigation activities. He represents the Secretary in instituting and prosecuting all civil court actions involving the Fair Labor Standards Act, the Equal Pay Act, and the Age Discrimination in Employment Act, and in briefing and arguing appellate court cases under these laws. He represents the Secretary in proceedings before the Occupational Safety and Health Review Commission under the Occupational Safety and Health Act of 1970, and assists in the representation of the Secretary in civil litigation under this law. Litigation services are also provided in many other types of cases, including those under the Public Contracts Act, the Service Contract Act, the Contract Work Hours and Safety Standards Act, the Labor-Management Reporting and Disclosure Act, the Welfare and Pension Plans Disclosure Act, the Longshoremen’s and Harbor Workers’ Compensation Act and its several extensions, the Immigration and Nationality Act, Title III of the Consumer Credit Protection Act respecting restriction on garnishment, the Military Selective Service Act with respect to the reemployment rights of veterans, and the Civil Rights Act of 1964 and Executive Order No. 11246.
    The Solicitor’s staff comprises attorneys in Washington and in 11 regional offices throughout the United States and Puerto Rico. This staff is currently divided into eight divisions, each headed by an associate solicitor. Seven of the divisions perform all legal aspects of the Departmental programs within their responsibility. The eighth, the Division of Legislation and Legal Counsel, provides the highly specialized legislative services required by the Department as well as certain special assignments.
    Legislation and
    Legal Counsel
    The Division of Legislation and Legal Counsel performed numerous legal and drafting services regarding the Administration’s legislative proposals. The Division was responsible for assisting in the preparation of reports to the Congress and the 51
    Office of Management and Budget on a wide variety of legislation affecting labor. It also functioned as legal counsel to the Solicitor and to the Assistant Secretary for Policy, Evaluation, and Research.
    Major legislative proposals on which legal services were provided included trade legislation, amendments to the Fair Labor Standards Act, pension reform legislation, and amendments to the unemployment insurance laws. Special assistance was rendered in connection with the Northeast Railroad situation and the administrative implementation of Manpower Revenue Sharing.
    Extensive assistance and guidance was rendered to Labor Department officials in connection with their appearances before committees of the Congress.
    Occupational
    Safety and Health
    During fiscal 1973, the Division of Occupational Safety and Health assisted OSHA’s Office of Standards in extensive modification and improvement of safety and health standards, including a complete recodification of the standards previously published. A comprehensive new standard on power transmission and distribution lines and equipment was among the major projects. The division also provided legal services in the taking of two very significant and controversial actions by promulgating emergency temporary standards where it was found that employees were being exposed to grave danger from toxic substances, and that quick action was necessary to protect them from the danger without time for the normal rulemaking procedures. One such emergency standard regulates the exposure of farm workers to certain pesticides by providing that workers not reenter a sprayed field until such time as the pesticide has been dissipated or decomposed. The other regulates exposure of industrial workers to 14 substances found to produce cancer in humans or test animals.
    The Division provided assistance and guidance to the various regional offices of the Solicitor in the handling of adjudicatory proceedings. It prepared approximately 115 petitions for review and approximately 150 briefs for submission to the Occupational Safety and Health Review Commission. These petitions and briefs were concerned with a number of major issues which clarify powers and responsibilities and provide guidelines for future actions. Questions concerning employer responsibility, interpretation of standards, classification of violations, computation of penalties, and jurisdiction of the Review Commission are some of the issues which have been briefed. The attorneys of the Division also assisted in preparing draft revisions of the Occupational Safety and Health Administration’s “Compliance Operations Manual.’’ These revisions ranged from the computation of penalties to procedures for preparing citations.
    52
    Appellate litigation under the Occupational Safety and Health Act increased dramatically during the fiscal year. At the end of the fiscal year there were 28 cases pending before the United States Courts of Appeal. The issues raised by these cases ranged from large Constitutional challenges to the Act, Dale M. Madden Construction, Inc. v. Hodgson (C.A. 9, No. 72-1874), to specific cases involving procedural questions, Crading, Inc. v. Brennan (C.A. 5, No. 73-2248).
    There also have been court challenges brought by employers and representatives of employees concerning occupational safety and health standards promulgated by the Occupational Safety and Health Administration. Among these challenges are: Industrial Union Department, AFL-CIO et al. v. Hodgson (C.A. D.C., No. 72-1713) (asbestos standard); National Roofing Contractors Association et al. v. Brennan (C.A. 7, No. 73-1082) (roof catch platform standard); Communication Workers of America v. Brennan (C.A. D.C., No. 73-1651) (retiring room standard); and Associated Industries, Inc. v. Brennan (C.A. 2, No. 73-1978) (sanitation standard). In addition, there have been challenges to two of the Secretary’s temporary emergency standards, Dry Color Manufacturing Association, Inc. et al. v. Brennan (C.A. 3, No. 73-1361) and Oil Chemical and Atomic Workers International Union et al. v. Brennan (C.A. 3, No. 73-1383), which have been consolidated (emergency temporary carcinogen standard); and Florida Peach Growers Association, Inc. v. Brennan (C.A. 5, No. 73-1934) (emergency temporary pesticides standard).
    The Office of the Solicitor reviewed, both at the regional and national level, 49 State plans submitted for approval under Section 18 of the Occupational Safety and Health Act of 1970 under which States may assume responsibility for developing and enforcing Occupational Safety and Health Standards. As part of this process, informal hearings were held on the South Carolina, Oregon, and District of Columbia plans. Decisions of approval, with supporting legal reasons, were prepared for and published in the Federal Register for 13 state plans. Proposed regulations were prepared and published in the Federal Register for comment, containing procedures for handling changes in approved State plans and procedures to help resolve jurisdictional problems in areas regulated by other Federal agencies. This Division prepared briefs and presented oral argument in Federal District Court in defense of suits to enjoin the approval of the South Carolina plan.
    Fair Labor
    Standards
    The Fair Labor Standards Division is concerned with enforcement of the Fair Labor Standards Act (FLSA), the Equal Pay Act (EPA), and the Age Discrimination in Employment Act (ADEA). In fiscal 1973, there were 1,530 suits filed in the Federal courts alleging violations of one or the other of 53
    these statutes. Included in this total were 100 Equal Pay Act cases and 50 Age Discrimination in Employment Act cases. The Department received 44 decisions from the Courts of Appeals; 33 wdre favorable. The Department also won the one case it took to the Supreme Court.
    The most significant developments during the year concerned the Age Discrimination and Equal Pay Acts. In a landmark decision, the district court in Chicago ruled that the Greyhound Bus Company’s practice of refusing to hire as bus drivers any individual over 35 years of age is illegal. Two other courts considered the question whether jobs which are equal are excluded from the protection of the Equal Pay Act when performed on different shifts. The Second Circuit concluded that they are not and affirmed a restitution award of over $600,000. The Third Circuit disagreed, and it is expected that this conflict will have to be resolved by the Supreme Court.
    Several courts have also ruled on the equality of the work performed by women custodians (matrons) and men custodians (janitors), and one school district was ordered to pay more than $300,000 to its women employees in back wages due as a result' of the equal pay violations. And in the first appellate case on equal work in the retail field, the Fifth Circuit, in Brennan v. City Stores, Inc., upheld the Department’s contention that women selling women’s and children’s wearing
    54
    apparel perform work which is equal to that performed by men selling men’s wearing apparel and are thus entitled to equal pay. In another equal pay case, a court ordered the Square D Company to pay a total of $748,202 to more than 1,600 employees.
    The Department also settled a major equal pay case with AT&T and its operating subsidiaries, under which the company agreed to pay approximately $7.5 million for alleged equal pay violations (in addition to $7.5 million for other employment opportunity violations) and to change its pay system so that the wages of its employees are based on their years of service, and not on the wages they were being paid in their prior jobs. This will result in future wage increases estimated to approximate $24 million. This change resulted in weekly wage increases for the women in excess of $40 a week. The Department also settled its Equal Pay Act case with the New England Telephone Company. As part of this settlement, the Department obtained $436,000 in back wages for 454 women employees.
    The Supreme Court decided two important cases. In Brennan v. Arnheim & Neely, Inc., the Court, in an 8 to 1 decision, held that a real estate management company was required to pay its building maintenance employees in accordance with the Act’§ minimum wage and overtime provisions. The Court rejected the company’s contention that the Act should not apply to its activities at buildings which are too small to be covered by the Act. According to the Court, the company’s activities, which included managing eight office buildings and an apartment complex for eight different owners, were “tied together by the common business purpose of managing commercial properties for profit” and thus should be considered part of a single “enterprise,” within the meaning of Section 3(r) of the Fair Labor Standards Act. Since the company’s activities at all nine buildings exceeded the $250,000 test for enterprise coverage, all of its employees were entitled to the Act’s protection, even though many of them worked at buildings which grossed less than $250,000 in rental receipts.
    The other significant decision was Employees v. Missouri Public Health Department, holding that employees have no authority under Section 16(b) of the FLSA to bring suit against a State employer in Federal Court.
    There were also several important decisions involving farm workers. In a particularly significant development, two courts of appeals ruled that the “farmer” is an “employer” of field hands who are hired by crew leaders but who are subject to the farmer’s direction and control, and that this is so even if the field hands are also the employees of the crew leaders. Hodgson v. Griffin and Brand, 471 F.2d 235 (C.A. 5); Hodgson v. Okada Farms, 472 F.2d 965 (C.A. 10). Another “farm” case is Hodgson v. Odus Wittenburg, 464 F.2d 1219 (C.A. 5), holding that work performed in connection with livestock purchased from others and held for prompt resale is not “agriculture” within the meaning of the Act.
    55
    Labor Relations and Civil Rights
    Civil rights legal services centered on Executive Order No. 11246 Federal contract compliance program. Orders were issued for Federal equal employment bid conditions to be included in both Federal and federally-assisted construction contracts in hometown plans in numerous metropolitan and some State areas across the country.
    The Division participated in negotiating the joint Department of Labor/Equal Employment Opportunity Commission agreement with the American Telephone and Telegraph Company and its 24 operating companies. The agreement provided for the largest backpay settlement in history (which could result in about $15 million), and new nondiscriminatory promotion and pay policies for women and minorities (which could result in $24 million).
    In accordance with a memorandum issued by the President, the Division also prepared a Secretary’s memorandum warning that numerical EEO goals should not be applied as if they were inflexible quotas.
    Guidelines were prepared by the Division for the Office of Federal Contract Compliance to remedy discrimination because of religion and/or national origin. Regulations for disclosure were also drawn up for that Office to comply with the Freedom of Information Act. The Division advised the Manpower Administration Office of Equal Employment Opportunity to ensure that State employment services meet their obligations under Titles VI and VII of the Civil Rights Act of 1964, especially in testing. In addition, staff support was supplied to an EEO coordinating council in developing a Government-wide policy on testing and selection procedures.
    A consent decree negotiated by this Division for the Depart-ment'of Labor with the Department of Justice and Delta Airlines was signed, settling EEO violations in hiring and promotions. It involved a 5-year corrective action program for 7,500 employees of Delta and provided for backpay which could run up to $1 million for 1,000 employees. The Division was instrumental in implementing Secretary Hodgson’s findings in the Bethlehem Steel decision. A Revised Order No. 14 establishing uniform compliance review procedures for nonconstruction government contractors was drawn up for the EEO compliance agencies.
    On the Labor Relations side, the Division represented the Department in arbitrations, grievances, adverse actions, settlement negotiations, and litigation with employees of the Department, both in Washington, D.C. and the field. In addition, the Division assisted in the preparation of new rules under Executive Order No. 11491, as amended, and advised the Department on the administration of its internal EEO program.
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    Manpower
    The Division of Manpower performed numerous services relating to regulatory matters during fiscal year 1973. Assistance was rendered in the preparation of regulations for the Bureau of Apprenticeship and Training. The regulations, when adopted, will be the first codification of the registration procedures for apprenticeship and training programs. Regulations were prepared for the Work Incentive Program administrative hearings and appeals procedures; for the implementation of the Veterans’ Employment and Readjustment Act of 1972, providing for the mandatory listing of government contractors’ jobs with the employment services; for revision of the Public Employment Program regulations to facilitate use of the funds for a summer program, to increase benefits to veterans, and other purposes; and to update the Extended Unemployment Compensation regulations.
    Several significant cases were decided during fiscal year 1973. Metro-Denver Urban Coalition et al. v. Brennan was dismissed upon an agreement under which the Department of Labor will conduct a survey and evaluation of the organization, management, and operations of the Colorado State Employment Security Agency and will make recommendations for any changes found to be required. This was a class action against the Department of Labor and the Colorado Employment Service based on the claim that the State agency had failed to serve the disadvantaged properly and that the Department of Labor had failed to require it to provide services. In a case arising under the Public Employment Program, the Court of Appeals for the Sixth Circuit held that the phrase “contract for services” in the maintenance effort clause of the Emergency Employment Act does not preserve seniority or other provisions of the collective bargaining agreement. Rather, it assures individuals who are employed by private contractors working for the government that they will not be supplanted by Public Employment Program employees.
    In the field of unemployment insurance, two cases are reported. In the first, the Federal Court in California deter-
    57
    mined that the instruction to State agencies in unemployment compensation for federal employees cases which prohibited them from making a determination denying benefits on the basis of an initial federal finding when the claimant had appealed his discharge deprived such claimants of their right to a fair hearing. In a New York case, the court decided that certain statutory provisions of Title 5 of the United States Code did not, as applied to probationary employees, violate the due process clause of the Constitution. The matter is on appeal to the Supreme Court and the Manpower Division is assisting the Office of the Solicitor General in its brief. A case which was recently filed is NAACP, Western Region, et al. v. Brennan, et al. (D.D.C., C.A.), which concerns alleged violations by the Rural Manpower Service of the Fifth Amendment, Title VI of the Civil Rights Act of 1964, the Wagner-Peyser Act, and the Immigration and Nationality Act.
    On July 19, 1972, a new permanent Department of Labor Board of Contract Appeals was established. Twenty-two appeals were filed by contractors from determinations by contracting officers. The Board made final determinations in 11 cases which included cases previously filed.
    In accordance with the Federal unemployment legislation adopted in 1970, the Manpower Division completed a review of all state laws to determine their conformity with the federal requirements. The 1970 amendments extended the temporary unemployment compensation program and raised the Federal unemployment tax for 1973.
    As the result of a court decision, the Manpower Division prepared, in collaboration with the Unemployment Insurance Service, an Appeals Promptness Standard applicable to all states. The Secretary adopted the standard which has been published in the Title 20, Part 650 of the Code of Federal Regulations.
    The Manpower Division participated in the drafting of the proposed “Job Security Assistance Act of 1973,” which would provide additional unemployment insurance benefits for workers, including workers in agriculture. In addition, the Division participated in drafting the readjustment assistance and worker certification provision of the proposed “Trade Reform Act of 1973.” Under this bill, increased imports rather than trade concessions would be the criterion for certification; worker certification would be the responsibility of the Secretary of Labor without a finding by the Tariff Commission; and the Federal Government would supplement State unemployment insurance.
    Labor-Management
    Laws
    The Department supervised the election of United Mine Workers International Union officers held December 1-8, 1972. The entire “Miners for Democracy” slate, headed by Arnold 58
    Miller, was elected. Judge Bryant certified the results of the election on December 22, 1972, and the new officers were installed. The trusteeships maintained by the Department over United Mine Workers Districts 4, 6, 17, 23, 25, 30, and 31 were terminated in February. Election of officers in these seven districts and of International Executive Board members were conducted under the Secretary’s supervision, and the results were certified to the court. In another United Mine Workers (UMW) case, the court found that UMW District 5 had failed to provide adequate safeguards, and that the lack of such safeguards may have affected the 1970 election. The court found that there was an inherent conflict of interest in the District constitution which charged officers with carrying out the election procedures when such officers became candidates in the election. In UMW District 6, the court found that a rule that vested in a union official exclusive control for sending local nominations to the District office was unreasonable on its face since the transmittal of nominations was entirely out of the control of local union members.
    Angelo Cefalo, et al. v. Elwood Moffatt, et al. On August 9, 1972, the U.S. District Court for the District of Columbia entered an order approving the results of the referendum vote on the merger of District 50 and the Steelworkers as reported by the Secretary of Labor in his certification and supporting documents; dissolved the preliminary injunction entered by the court on August 23, 1971, enjoining District 50 from presenting or voting upon or effectuating any merger with the Steelworkers, and authorized District 50 to proceed with the merger with the Steelworkers. An appeal to the Circuit Court was pending at the end of the year.
    Shultz v. Local 1291, International Longshoremen’s Association. On July 20, 1972, the Third Circuit affirmed the lower court’s decision holding that a labor organization may not limit eligibility for office on the basis of race. A petition for writ of certiorari was filed November 14, 1972, and was denied on January 22, 1973.
    Brennan v. Local 3911, United Steelworkers of America, AFL-CIO. In this case, the Secretary had challenged the June 2, 1970, election of officers by the defendant, alleging that the defendant had failed to elect its officers by secret ballot and had failed to provide adequate safeguards to insure a fair election, and these violations were conceded by the union prior to trial. The Secretary also challenged the reasonableness of the union’s requirement that a member had to attend 50 percent of the regular local meetings held during the 36 months prior to an election in order to be eligible to hold union office. After trial on this issue, the court found that the complaining member failed to exhaust his internal union remedies concerning the reasonableness of the rule. However, the court found that the requirement rendered 94.7 percent of the membership ineligible to run for office and, therefore, it was an unreasonable requirement for eligibility. On motion of the Secretary of Labor, the court filed an order on April 27, 1973, prohibiting the union from enforcing the meeting attendance 59
    rule in the supervised election. This ruling is significant in that it upheld the Secretary’s right to establish rules and regulations governing the conduct of a supervised election, and also reinforced the Department’s position that under its equity powers in an election suit, the court has broad powers to enjoin union activity in a supervised election it determines to be violative of the LMRDA.
    Hodgson v. Local 1, Independent Guard Association of Nevada (Ind.). In a Memorandum Decision entered on March 1, 1973, the court declared defendant’s November 3, 1971, election for the office of President to be void and held that the union erred in failing to count write-in votes in the contested election. In previous elections, it. had been the practice to count write-ins, and the union’s decision not to do so in the contested election had not been adequately communicated to the membership. Of significance in the' court’s decision is the finding that the one calendar month period for filing a complaint with the Secretary under Section 402(a) was tolled while the union entertained the complainant’s internal protest, notwithstanding the silence of defendant’s constitution and bylaws with respect to election protests.
    Hodgson v. Chain Service Restaurant, Luncheonette and Soda Fountain Employees Union, LocaT 11, Hotel and Restaurant Employees and Bartenders International Union, AFL-CIO. In an opinion and order dated March 6, 1973, the court granted the Secretary’s motion for an order declaring those persons certified to be the elected officers of Local 11 with the exception of Elmer Hauck, a candidate for president.
    The court agreed with the Secretary that Hauck’s conviction for violating Section 302 of the Taft-Hartley Act constituted “bribery” within the meaning of Section 504(a) of the LMRDA. Further, the court held that under Section 402 the Secretary has not only the authority but also the duty to refuse to certify an ineligible candidate. Also, Section 402 imposes a judicial obligation that the court’s decree with respect to the enforcement of .the Secretary’s certification conform to the legal standards of the LMRDA and the Taft-Hartley Act.
    Brennan v. Local 639, Teamsters. In an order dated May 11, 1973, the court granted the Secretary’s motion for an injunction to restore Daniel George, the complainant in the case and the leader of the opposition group, to membership and to prevent reprisals against any member for his political activities. Mr. George had been required to take a withdrawal card on the grounds that he was not within the jurisdiction of Local 639. Even though he was in the process of appealing his discharge from employment to the NLRB, and even though he had received a previous letter from the International President saying he was working at the trade while he exhausted his remedies with the NLRB, George was removed from membership, hampering the internal union opposition.
    Brennan v. Local Lodge No. 685, International Association of Machinists and Aerospace Workers, AFL-CIO. In an opinion filed on March 28, 1973, the court held that the action taken by the Machinists’ International Union barring two local union 60
    members from holding any elective office in Local 685 for a period of 5 years for publishing or allowing to be published editorials in the local’s newspaper that “maligned the character and impugned the veracity’’ of officers of District 50 violated the LMRDA.
    General Legal
    Services
    The Division of General Legal Services’ activities in the area of administrative procedures included assistance to the Solicitor in his duties as a member of the Administrative Conference and to the Department of Justice in connection with litigation against the Secretary under the Freedom of Information Act. Of particular note under the Freedom of Information Act was the completion of a 1973 Supplemental Memorandum reporting recent judicial decisions with explanatory material of the import of such decisions on the administration of the Act. Copies of the Memorandum and Supplement were provided the Department of Justice at its request for possible distribution throughout the Government.
    Extensive legal services were provided under several statutes—the wage garnishment provision, Title III of the Consumer Credit Protection Act, the Service Contract Act, the Davis-Bacon Act, the Military Selective Service Act, and, until a separate organization was established, the black lung provisions (Title IV) of the Federal Coal Mine Health and Safety Act and the Longshoremen’s and Harbor Workers’ Compensation Act.
    Under Title III of the Consumer Credit Protection Act, Restriction on Garnishment, the Division issued numerous interpretations and provided necessary legal services in connection with the enforcement of the title’s provisions. Several cases involving unique questions were filed in the District Courts or were on appeal in the Courts of Appeal at year’s end.
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    Congress passed and, on October 9, 1972, the President signed Public Law 92-473, 866 Stat. 789, which amended the Service Contract Act of 1965. The primary thrust of these amendments direct the Secretary as to how to make wage determinations to be included in all service contracts covered under Section 2(c) and the extent to which relief may be granted from the ineligible list sanction provided for in Section 5(a) of the Act. Pursuant to Section 4 of the Act, as amended, 29 CFR Part 4 was revised to conform the provisions of Part 4 to the provisions of the Act as amended by Public Law 92-473 and the regulations were published in the Federal Register on November 30, 1972. The first hearing under the new provisions of Section 4(c) and the implementing regulations was held in Colorado Springs, Colorado on March 26, 1973. The issue presented was whether a wage determination for moving and storage services should be based on collectively bargained wages and fringe benefits applicable to service employees employed under a predecessor contract or whether these wages and fringe benefits should not be controlling because of a substantial variance from those prevailing for like services in the locality. The Administrative Law Judge held that the wage rates provided for in the collective bargaining agreement were not substantially at variance with those which prevail for services of a “character similar’’ in the locality. There was also a significant decision rendered under the Act in United States v. Deluxe Cleaners and Laundry, Inc., which was the first judicial affirmation of the Department’s position that concessionaire contracts are covered by the Act and that Section 2(b)(1) has general application to every contractor who has a service contract with the government.
    Work was completed on the Veterans’ Reemployment Rights Legal Guide and Case Digest Supplement. The supplement adds case notes and interpretations of judicial decisions rendered subsequent to the publication of the 1964 guide and digest, supplies new text on the 1968 amendment to the Military Selective Service Act. It also contains revised text expressing the Department’s present position on the nature of reemployment claims, on laches and statutes of limitation, on pension, vacation, and supplemental unemployment benefit claims, on statutory leave clauses, and on periodic pay increases. The Division made considerable strides on behalf of veterans in several cases establishing the right of a returning veteran to receive fringe benefits in his year of return to employment. In particular, the court held in Ewert v. Wrought Washer Mfg. Co., 477 F.2d 128 (C.A. 7, 1973), that returning veterans are entitled to full vacations in the year of their return. In Hoffman v. Bethlehem Steel Corp., 477 F.2d 860 (C.A. 3, 1973), it was held that a returning veteran who is laid off after returning to employment is entitled to supplemental unemployment benefits to the same extent as other employees who did not leave for military service.
    The Division acted in areas related to the administration and enforcement of the Davis-Bacon Act. Legal assistance was given to officials in the Department and in other agencies con-62
    cerning the administration and enforcement provisions of 29 CFR Part 5a relating to labor standards for ratios of apprentices and trainees to journeymen on Federal and federally-assisted construction. The new regulations are designed to effectuate the Administration’s policy of providing increased training opportunities on such construction. The Division also worked with officials of the Treasury Department and the Employment Standards Administration to formulate procedures for coordinating, with the 38,000 local units of government, the labor standards applicable to covered construction projects under the Revenue Sharing Act of 1972. Legal assistance was provided Treasury’s General Counsel in drafting regulations to implement the labor standards provisions of this Act.
    A recent case decided by the District Court for the Eastern District of Pennsylvania, Framlau Corp. v. Paul G. Dembling, et al., upheld the Department by granting its motion to dismiss the complaint. This case represents the first instance in which the courts have had an occasion to examine the Department’s review procedures available to contractors who contest findings by the Secretary of underpayments, etc., arising out of the enforcement of the Davis-Bacon Act. One of the major allegations made in the complaint was that these procedures denied complainants a due process hearing.
    Major legal services were provided by the Division in the drafting of regulations, interpretations, and opinions under the Longshoremen’s and Harbor Workers’ Compensation Act and Title IV of the Federal Coal Mine Health and Safety Act as related to “black lung.” The Longshoremen’s and Harbor Workers’ Act was amended by Public Law 92-576, effective November 26, 1972, providing additional benefits and rights to injured persons covered by the Act. Complete revision of the regulations in Title 20, Code of Federal Regulations, was prepared to conform to the new amendments. In addition, regulations were promulgated for the administration of the “black lung” program under the Federal Coal Mine Health and Safety Act, as the Department is to be responsible for the processing and adjudicating of claims after December 31, 1973. Members of the Division’s staff were assigned to a special task force to promulgate regulations, draft opinion letters and interpretative bulletins. The Division also performed legal work in connection with the establishment of the Benefits Review Board. This Board, established by the amendments to the Longshoremen’s statute, hears and determines compensation or benefit appeals under the Act and its extensions, including black lung benefit claims.
    This Division’s activities in the international affairs and tariffs and foreign trade areas included the following:
    •	Preparation of draft executive branch position letters in connection with the submission to the Congress of a number of Conventions and Recommendations previously adopted by the International Labor Organization (ILO) Conference.
    •	Preparation of additional material in connection with certain ILO law and practice reports required to be submitted
    63
    to the ILO by member countries of the ILO.
    •	Participation with other members of the Solicitor’s Office in inter-agency legal-drafting sessions, within the executive branch, on provisions of new trade agreements legislation.
    •	Continued review of proposed certifications of eligibility of groups of workers to apply for adjustment assistance under the Trade Expansion Act of 1962, Title III, Chapter 3, because of unemployment or underemployment arising from increased imports of products like or directly competitive with those produced by the workers’ firm. Also provided related legal advice and services to the Bureau of International Labor Affairs.
    •	Attendance at the 58th Session of the International Labor Conference as part of the U.S. Delegation.
    There was a significant increase in the savings to the Government accruing from the third party program under the Federal Employees’ Compensation Act in fiscal year 1973. While the gross recoveries amounted to $9.6 million, approximately the same as the previous year, the amount of refund made to the Compensation Fund and other savings increased substantially. The ultimate saving to the Government was $3,823,366.59, an increase of $761,388.38 over last year.
    Employee Benefits
    Late in the fiscal year a new Division was created in the Office of the Solicitor. This Division was found to be necessary because of the substantial revisions in coverage and procedure made by the amendments to the Longshoremen’s and Harbor Workers’ Compensation Act. It also was necessary because the “black lung” program will be solely under the responsibility of the Department as of December 31, 1973.
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    Office of the
    Assistant
    Secretary for
    Administration
    and
    Management
    The Office of the Assistant Secretary for Administration and Management directs and coordinates the administrative functions of the Department to insure the most effective use of Departmental resources including money, people, and facilities. To achieve this objective, a full range of staff support services was provided in fiscal 1973 to the expanding areas of the Department in national and regional offices.
    In order to provide more direct audit support of the Department’s activities, new regional audit offices were established in Denver and Seattle. This action enabled the Office of Program Review and Audit’s field activities to become consistent with the Department’s 10-region concept.
    An Office of Cost Determination was established during the year. This office is responsible for negotiating and approving cost allocation plans and indirect cost rates for grants to State and local governments, and other organizations receiving grants or contracts from the Department.
    During the year, computer terminals were installed in each of the 10 regional offices of the Department. These terminals, called the Remote Terminal Network (RTN), provide a rapid means of transmitting computerized data between the regional offices and Washington, D.C. Thus, the regional offices can now work more closely with the national offices to insure that the relevant data of the Department are accurate and available when and where needed.
    Software was made available to allow interactive conversations between the Department’s computer and its users. This software, called Time Sharing Option (TSO), provides immediate access to data stored at the computer site and to the data processing power of the computer itself. This facility makes the computer available without the delays and “middlemen” traditionally associated with data processing support.
    A departmentwide ADP resource utilization study was completed during the year. The study provided many recommendations for improvement of ADP management and valuable data for the first DOL Four-Year ADP Master Plan that was developed in coordination with DOL agencies. The plan will be used for analyzing ADP equipment requirements and advanced technology needs in connection with DOL program support activities.
    Planning began for the Department’s move to its new building at 200 Constitution Avenue in the winter of 1974-75. When completed, the new structure will allow the Department to house its national offices in three closely located buildings,
    65
    rather than in the present 20 widely scattered facilities.
    The Comptroller General approved the 10th and final segment of the Department’s revised and modernized accounting system. The completion of this segment enables the Department to be in the first group of government agencies to have all of its accounting systems approved.
    An Executive Development Program was implemented in September, providing discovery workshops, management seminars, graduate-level university in residence seminars, and extra-departmental developmental opportunities both in the national office and the regions. Over 1,000 employees participated.
    The Education and Career Development Program was expanded and pilot programs were conducted both regionally and nationally. This program, along with the executive development effort, is now handled under one manager.
    A comprehensive departmentwide program of manpower utilization studies was initiated during the year. Studies were completed in several agencies and provided the basis for appropriate reorganization and improved utilization of personnel and resources.
    The Department’s 1973 Affirmative Action Plan for Equal Employment Opportunity was one of three approved by the Civil Service Commission and used as a model by Federal agencies throughout the Government. A quarterly evaluation system was developed to monitor the progress of the plan.
    Technical assistance for the Federal Women’s Program was provided to the 10 regional program coordinators. Surveys and workshops for the Federal Women’s Program were conducted and up-to-date statistics on women were provided to the Civil Service Commission and Federally Employed Women.
    EEO officers, counselors, coordinators, investigators and staff participated in workshops, conferences, university and college courses in an effort to enhance their performance in all aspects of equal employment opportunity. A cooperative working relationship was developed with other Federal agencies and selected private organizations, such as the Urban League, Gl Forum, NAACP, and League of United Latin-American Citizens.
    66
    Internationa!
    Labor
    The Department of Labor continued a wide range of activities in the international labor field in the 1973 fiscal year.
    In the area of foreign economic policy, as a statutory member of the Council on International Economic Policy, the Department contributed to the development of the proposed Trade Reform Act of 1973 and to the formulation of international economic, trade, and monetary policy. Planning was initiated for the forthcoming multilateral trade negotiations.
    The Department participated in meetings under the auspices of the General Agreement on Tariffs and Trade which are expected to result in a multilateral multifiber textile arrangement. Bilateral textile negotiations led to the signing of three new agreements, the extension of three others, and the termination of one.
    Workers claiming to be adversely affected by competitive imports were helped in preparing petitions for trade adjustment assistance. More than 14,000 workers were certified eligible for such assistance by the Bureau of International Labor Affairs.
    The Department established a new research and analysis capability to better understand and deal with the impact of foreign economic developments upon employment of U.S. workers.
    Training and cultural exchange programs in the labor and manpower fields were arranged for 1,035 foreign visitors to the United States under the sponsorship of the Agency for International Development, the State Department, the United Nations (U.N.) and other organizations. Visitors included the Ministers of Labor of Israel, Luxembourg, Italy, Bahrein, and Cyprus.
    The Department organized programs for trade union leaders from 28 countries who visited the U.S. to observe state and national election campaigns. Their visit included a meeting with the President.
    Through the Department of Labor International Technical Assistance Corps (DOLITAC), technical aid projects were initiated in 28 countries in Africa, Asia, Latin and Central America, the Caribbean, and the Near East.
    A series of traveling seminars and exhibits was conducted by the Labor Department for the U.S. Information Agency in Eastern Europe, Latin America, and the Caribbean in conjunction with the Special International Exhibitions Program. These exhibits and seminars were held in 13 cities in five countries for selected target audiences.
    The Department participated in the Fourth Inter-American Labor Ministers’ Conference in Buenos Aires. The Secretary of Labor was a principal speaker at the meeting.
    During the year, the Department was active in developing and participating in the new Foreign Service employee-management relations system.
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    The Department co-sponsored a conference in Berlin for labor attaches and economic officers stationed in Europe.
    The Department continued its participation in the International Labor Organization (ILO) and other U.N. agencies, as well as in the Manpower and Social Affairs Committee of the Organization for Economic Cooperation and Development (OECD).
    During the year, a total of 109,015 U.S. servicemen were given employment and training guidance by Department of Labor counselors at individual and group briefings held at military bases in Europe and Asia as a part of the President’s Veterans Program.
    68
    Employees7 Compensation Appeals Board
    The Employees’ Compensation Appeals Board (ECAB) continued its decision-making activities by closing 162 cases during the year. The Board has the authority to make final decisions on appeals from decisions of the Office of Federal Employees’ Compensation on cases arising under the Federal Employees’ Compensation Act involving work-connected injuries and diseases.
    The Board began the 1973 fiscal year with 53 cases pending. During the year, 150 new appeals were docketed and 162 cases were closed, leaving 41 pending cases at the end of the year. Of these 41 cases, only four were ready for Board decision. The remainder were awaiting preliminary proceedings or pleadings, such as the filing of a memorandum by the Office of Federal Employees’ Compensation to justify its determination or for a reply by appellant pursuant to the Board’s rules of procedure.
    The average time for deciding an appeal was 3.5 months in fiscal 1973, compared with 3.2 months in fiscal 1972.
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    Benefits
    Review Board
    The Benefits Review Board, in its first months of operation, received a total of 19 appeals cases and issued decisions in 5 of them.
    The Board hears and determines appeals from decisions with respect to claims for compensation under the Longshoremen’s and Harbor Workers’ Compensation Act and its extensions,- and a section of the Federal Coal Mine Health and Safety Act which provides benefits for total disability or death due to pneumoconiosis.
    An interim Board was appointed by the Secretary on January 8, 1973, and rules of practice and procedure were issued on March 1, 1973.
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    Information
    Activities
    The Department’s public information activities in fiscal 1973 were characterized by continued efforts to reach and inform special constituencies, coupled with adjustments made to help carry out the policy of decentralization.
    A news service, Women & Work, was added to the regular news packets dispatched to newspapers and radio and TV stations serving blacks, Hispanic Americans, small-town and rural residents, and labor union members. Copies of the new service are sent to the media and the many organizations and groups interested in helping women.
    The continuing process of decentralization was given recognition in fiscal 1973 by changes in field information offices. Regional information directors are now assistant regional directors for information, with closer ties to the Department’s regional directors.
    Realizing decentralization would create new and greater obligations for the regional information offices, a new division of field services was created in the central information office in Washington to provide coordination, guidance, and material support.
    To help improve the skills of employees in all the information offices throughout the Department, training courses tailored to the needs of the staff were developed with the cooperation of the University of Maryland.
    Decentralization carries with it a need for greater communication and a necessity for dispensing information with clarity and simplicity. With that consideration in mind, the Department has begun a pioneer effort to create a unified graphics design system to improve and better utilize our tools of communication.
    For state and local agencies which work in liaison with DOL, a public information workshop was conducted in Atlanta, Intercom ’73, the second of such regional workshops. More workshops will be held in other regions.
    As the Department moved forward in its major assignment of administering the Williams-Steiger Occupational Safety and Health Act of 1970, information officers in Washington and the field devoted more time and effort to telling the public about job safety and health problems and regulations and new developments under the law.
    A steady flow of news releases directed at the general public complemented the special news services. Exhibits of Department programs and activities were displayed at national meetings, conventions, and trade fairs.
    Executives of the Department at all levels appeared before a wide variety of groups—labor, business, academic, professional—explaining and describing the activities of the Department.
    The 60th anniversary of the Department was celebrated with the annual awards ceremony.
    73
    Important in-depth coverage of Department activities was distributed to key segments of the public by several periodicals, including: Job Safety & Health, Manpower, Monthly Labor Review, and Occupational Outlook Quarterly.
    The Department responded to hundreds of thousands of requests for information and publications. These requests came by phone, in person, or by mail.
    During the year, the Department took important steps to assure the public access to all information to which it is entitled under the Freedom of Information Act. A pamphlet, “Information, Please,” was issued, describing ways to get information from the Department and how to appeal when it is withheld. In addition, procedures were initiated for handling of information requests through joint cooperation by the Information Office and the Office of the Solicitor.
    74
    Appendix Tables
    Selected employment service activities, U.S. totals for
    1960-73 and by State for fiscal year 1973______________76
    Enrollment opportunities authorized and funds obligated for work and training programs administered by the
    Department of Labor, by fiscal year, 1963-73___________78
    Number of persons enrolled at end of month in selected manpower programs, fiscal years 1972 and 1973 _________80
    Registered apprentices, 1941-73__________________________81
    Benefit data under State unemployment insurance programs, U.S. totals for 1961-73 and by State for fiscal year 1973______________________________________________82
    Unemployment compensation for ex-servicemen, U.S.
    totals for 1961-73 and by State for fiscal year 1973--- 84
    Unemployment compensation for federal employees, U.S.
    totals for 1961-73 and by State for fiscal year 1973--- 86
    Appropriations and other authorizations, fiscal year 1973— 88
    Number of employees on Labor Department rolls, June 30, 1973 ___________________________1__________________89
    75
    SELECTED EMPLOYMENT SERVICE ACTIVITIES, U.S. TOTALS FOR 1960-73 AND BY STATE FOR FISCAL YEAR 1973
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    80
    REGISTERED APPRENTICES, 1941-73
    [Adjusted to account for reporting revisions]
    Year	In training on Jan. 1	New registrations1	Completions	Cancellations2	In training on Dec. 31
    1941 . . . .	18,300	14,177	1,289	5,051	26,137
    1942 . . . .	26,137	20,701	2,011	4,683	40,144
    1943 . . . .	40,144	11,661	1,715	6,975	43,115
    1944 . . . .	43,115	7,775	2,122	8,197	40,571
    1945 . . . .	40,571	23,040	1,568	5,078	56,965
    1946 . . . .	56,965	84,730	2,042	8,436	131,217
    1947 . . . .	131,217	94,238	7,311	25,190	192,954
    1948 . . . .	192,954	85,918	13,375	35,117	230,380
    1949 . . . .	230,380	66,745	25,045	41,257	230,823
    1950 . . . .	230,823	60,186	38,533	49,747	202,729
    1951 . . . .	202,729	63,881	38,754	56,845	171,011
    19523 . . . .	172,477	62,842	33,098	43,689	158,532
    1953 . . . .	158,532	73,620	28,561	43,333	160,258
    1954 . . . .	160,258	58,939	27,383	33,139	158,675
    1955 . . . .	158,675	67,265	24,795	26,423	174,722
    1956 . . . .	174,722	74,062	27,231	33,416	188,137
    19573 . . . .	189,684	59,638	30,356	33,275	185,691
    1958 . . . .	185,691	49,569	30,647	26,918	177,695
    1959 . . . .	177,695	66,230	37,375	40,545	166,005
    I9603 . . . .	172,161	54,100	31,727	33,406	161,128
    1961 . . . .	161,128	49,482	28,547	26,414	155,649
    1962 . . . .	155,649	55,590	25,918	26,434	158,887
    1963 . . . .	158,887	57,204	26,029	26,744	163,318
    1964 . . . .	163,318	59,960	25,744	27,001	170,533
    1965 . . . .	170,533	68,507	24,917	30,168	183,955
    1966 . . . .	183,955	85,031	26,511	34,964	207,511
    1967 . . . .	207,511	97,896	37,299	47,957	220,151
    19683 . . . .	207,517	111,012	37,287	43,246	237,996
    1969 . . . .	237,996	123,163	39,646	47,561	273,952
    19704 . . . .	269,626	108,779	45,102	53,610	279,693
    19714 . . . .	.	5 278,451	78,535	42,071	43,104	274,024
    19724 . . . .	.	5 270,404	103,527	53,059	56,750	264,122
    1973 . . . .	264,122
    1 Includes reinstatements.
    1 Cancellations are not synonymous with “dropouts," since they include layoffs, discharges, out-of-State transfers, upgrading within certain trades, and suspensions for military service, as well as voluntary “quits.”
    3 Major revisions in reporting systems.
    4 Revision of yearend figures reported by most States.
    5 Complete data are not available for several States.
    81
    BENEFIT DATA UNDER STATE UNEMPLOYMENT INSURANCE PROGRAMS, U.S. TOTALS FOR 1961-73 AND BY STATE FOR FISCAL YEAR 1973
    Louisiana....	192,447	25,476	3.1	82,338	22,487	142.35	52.94	35.3	24.1	14.2	22.1	26,691	34.8
    83
    Idaho..................... 2,540	352	382	1,564	1,297,931	62.36	12.7
    Illinois................. 16,068	2,259	2,301	9,155	6,341,157	52.82	13.1
    Indiana .................. 7,515	940	773	3,327	1,861,861	46.06	12.1
    Iowa ..................... 5,697	864	802	3,827	2,837,414	64.82	10.9
    UNEMPLOYMENT COMPENSATION FOR EX-SERVICEMEN,1 U.S. TOTALS FOR 1961-73 AND BY STATE FOR FISCAL YEAR 1973
    84
    ’Except for total benefits paid, data shown exclude claims and payments	^Includes payments for partial unemployment,
    made jointly with other unemployment Insurance programs. All columns relate	Preliminary,
    to persons claiming benefits solely on the basis of military service.
    Kansas.................... 3,937	696	608	2,627	1,931,814	60.99	12.0
    Kentucky.................. 5,834	1,196	1,186	4,166	3,877,529	62.47	14.8
    Louisiana................. 7,236	1,806	1,793	5,389	5,880,390	62.14	17.3
    Maine .................... 2,900	504	529	1,906	1,819,922	60.38	14.4
    85
    UNEMPLOYMENT COMPENSATION FOR FEDERAL EMPLOYEES,1 U.S. TOTALS FOR 1961-73 AND BY STATE FOR FISCAL
    YEAR 1973
    employees) claims.
    87
    APPROPRIATIONS AND OTHER AUTHORIZATIONS, FISCAL YEAR 1973
    Function	Positions	Amount
    Training under Manpower Training Services 		. - -	$1,549,000,000
    Federal benefit payments to unemployed Federal workers, ex-servicemen, and persons displaced under Trade Adjustment Act				475,000,000
    Emergency Employment Assistance 		565	1,250,000,000
    Administration of unemployment compensation and employment service administration		...	905,856,500
    Advances to Extended Unemployment Compensation Account				...	120,000,000
    Administration of other manpower programs	_	4,085	90,266,500
    Total manpower programs		4,650	4,390,123,000
    Benefit payments to injured Federal employees		...	108,292,000
    Labor Management Services Administration		1,156	25,677,700
    Employment Standards Administration 		2,727	50,749,500
    Occupational Safety and Health Administration		1,693 1,501	69,874,800
    Bureau of Labor Statistics			44,784,000
    Departmental management		1,085	25,093,000
    Total other programs		8,162	324,471,000
    Total Department of Labor appropriations	12,812	4,714,594,000
    Funds appropriated to other agencies' programs administered by Department of Labor: Department of Health, Education, and Welfare (Work Incentive Funds)		255	249,133,000
    Agency for International Development		66	2,186,000
    Federal Employees’ Compensation Act claims.. .	...	86,314,000
    Grand Total		13,133	5,052,227,000
    88
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    U. S. GOVERNMENT PRINTING OFFICE : 1974 O - 534-208
    89