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themselves of sick leave, totaling 10,080,444 actual days of sick leave taken, or an average of 5.9 days for every Federal employee.

3. Federal employees, taking maximum leave available of 26 days annual leave, 15 days sick leave, 8 holidays, and 104 Saturdays and Sundays, work only 212 days a year, or 58 percent of the time.

4. Although practically all other records of the Federal Government are kept on a fiscal-year basis, sick and annual leave regulations, interpreting the law, require that these records with certain exceptions be kept on a calendar-year basis.

5. The entire executive branch has failed to keep annual over-all records on sick and annual leave statistics, requiring special surveys to be made when such information is required.

6. There is a lack of uniform sick and annual leave regulations in certain segments of the Government, notably the Post Office Department and between temporary and permanent employees.

7. The present method of compiling sick and annual leave statistics is not generally acceptable. Previous studies by competent authorities disclose that the present method of computation is both cumbersome and expensive and can be remedied with slight changes. The Post Office Department maintains its field records on a different basis from that of the Post Office's departmental service, as required by law. The fact that over 300,000 postal employees in the field service work under sick and annual leave regulations dissimilar from those of the departmental service as well as those of the rest of the Government seems a needless complication in the Federal structure deserving of further study.

8. There is a widespread philosophy in the Federal Government, encouraged by payments of unused annual leave upon separation, to accumulate annual leave rather than to use it properly as a vacation

INTRODUCTION

The necessity for a detailed study of sick and annual leave practices and benefits in the Federal Government was forcibly brought to the attention of the Senate Appropriations Committee during deficiency and regular hearings held on appropriations bills in the spring of 1947. These hearings disclosed that a number of agencies were unable to terminate the employment of excess personnel before the close of the current fiscal year without securing additional funds. The employees of these agencies had built up large-scale annual leave benefits, which, having accrued to their credit over the war years, amounted to sums in excess of their regular salaries for the balance of the fiscal year. No budgetary provisions have in the past been made for such a contingency. That is, no earmarking of funds has been established to meet the obligations arising from accrued leave. Thus, as an extreme example, one agency, faced with the necessity of separating a large group of employees, found that terminal leave pay cost 13 percent of its entire annual appropriation for personal services in that agency. Furthermore, it was discovered that in some agencies where separations were about to take place, resulting from reductions in force, large groups of employees immediately reported on sick leave, backed by medical certification, only returning to work when such sick leave credit had become exhausted. This highly questionable full use of sick leave, plus the annual leave accrual which such employees would then receive, involved large sums of money which the Congress was compelled to appropriate before such employees could be separated.

For these and other reasons it was deemed expedient that the Senate Appropriations Committee conduct a survey of the prevailing conditions in the use of the Federal sick and annual leave privileges.

The Appropriations Committee is aware that substantive legislation might be required to correct abuses of sick and annual leave benefits and regulations and that such legislation is within the province of the respective Civil Service Committees of the two Houses. Such portions of this report as may indicate the need of legislation are respectfully directed to the attention of those committees.

ANNUAL LEAVE

Summary.—The survey of annual leave was conducted by the Senate Appropriations Committee for the period between January 1 and September 30, 1947, for the entire executive branch of the Federal Government. When for statistical reasons it was apparent that a date between September 19 and September 29 would facilitate the work, this was allowed for computation in some cases.

Information requested included total days' annual leave accumulated by all employees on the pay roll as of September 30, 1947; total days' annual leave earned between January 1 and September 30, 1947; and total days' annual leave taken during that same period. From these figures the average amount of annual leave accumulated and the average amount of annual leave taken were computed. Table 3 in the appendix includes all these statistics, broken down by major subdivision of each department and agency.

For all employees subject to the civil-service leave regulations a total of 26 days per calendar year is available. Prior to July 24, 1947, this might accumulate to 90 days. Since that date annual

, leave may accumulate to 60 days, although previous accumulations in excess of that but not in excess of 90 days may be carried forward. Upon separation from Government employ, this leave is paid to the separated employec.

A total of 1,703,474 employees were subject to annual-leave regulations as of September 30, 1947. These employees, as of that date, had accumulated 44,561,076 days of such leave which must eventually be taken or paid for in dollars. This is an average of 26.1 days per employee, or, on the basis of a 5-day work week, over 5 weeks of accumulated leave. From a strictly monetary point of view, on the basis of average salaries as reported by the Bureau of Labor Statistics, this represents a total cost of approximately $500,000,000, or an average cost per employee of over $290.

During this same period, Federal employees earned 27,298,783 days of annual leave, costing an estimated $300,000,000 and took 21,430,499 days at an approximate cost of $240,000,000, an average leave earned of 16.0 days and an average leave taken of 12.5 days per employee.

Largest accumulations.-Each of 10 departments and agencies have an accumulated annual leave of over 1,000,000 working days. Following is a list of these, expressed in millions of working days: Department of the Army, 8.5; Department of the Navy, 7.2; Post Office Department, 6.01; Veterans Administration, 4.7; Department of the

Data for field employees of Post Office Department collected for period from July 1, 1946, through June 30, 1917.

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Air Force, 3.6; Treasury Department, 2.9; Agriculture Department, 2.2; Interior Department, 1.2; War Assets Administration, 1.1; and Commerce Department, 1.0.

Largest average accumulations.-None of the departments and agencies noted above, despite their high total accumulations, were included in the agencies which had the highest average annual leave accumulations. Those agencies with the highest average annual leave accumulations are as follows: Export-Import Bank, 61.9 days; Office of Defense Transportation, 59.4 days; Reconstruction Finance Corporation, 54.5 days; Panama Canal, 52.8 days; Housing and Home Finance Agency, 46.5 days; Federal Deposit Insurance Corporation, 46.3 days; Office of Scientific Research and Development, 45.8 days; Office of Government Reports, 45.6 days; Tax Court of the United States, 44.3 days; and Tennessee Valley Authority, 42.4 days.

Annual leave earned.-As noted above, annual leave earned during the 9-month period totaled 27,298,783 days. Six departments and agencies each had a total of a million days earned leave or more. These included the Navy Department with 5.4 million days, the Post Office Department with 5.1 million days, the Department of the Army with 4.1 million days, the Veterans' Administration with 3.6 million days, the Department of the Air Force with 1.7 million days, and the Treasury Department with 1.5 million days. In terms of money the total earned leave amounts to approximately $300,000,000.

Annual leave taken. During the same period there were 21,430,499 days annual leave taken by all employees. This represents 78.6 percent of the total annual leave earned during the same period. The same six departments and agencies listed above who had a million days or more of annual leave earned also had more than a million days each of annual leave taken. These include the Navy Department with 5 million days taken, or 93.7 percent of the leave earned; the Post Office Department 2 with 4.5 million days taken, or 88 percent of the leave earned; the Department of the Army with 2.7 million days taken, or 67 percent of the leave earned; the Veterans' Administration with 2.2 million days taken, or 61 percent of the leave earned; the Department of the Air Forces with 1.6 million days taken, or 92 percent of the leave earned; and the Treasury Department with 1.2 million days taken, or 82 percent of the leave earned.

Although the accumulated annual leave, as indicated above, represents large-scale obligations of the Federal agencies, no appropriation is made for this potential liability and the agencies, theoretically at least, allow themselves no reserve of funds to provide for separations of personnel. Thus, when separations of considerable number take place, the agency does not always find it possible to pay these employees their accumulated leave without impairing other functions.

One agency, the Reconstruction Finance Corporation, in June 1947, in recognition of this dilemma, began making accounting adjustments monthly of 1.2 percent of the pay roll, which will be adjusted to actual potential obligations for annual leave at the end of the fiscal year. This has already been done for the last fiscal year. In this way the Reconstruction Finance Corporation has protected itself against reductions in force by earmarking funds for this use.

* Data for field employees of the Post Office Department collected for period from July 1, 1946, through June 30, 1947.

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SICK LEAVE

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Summary.--The survey of the sick leave was conducted by the Senate Appropriations Committee for the period between January 1, 1947, and September 30, 1947, for the entire executive branch of the Federal Government.

Information requested included employment as of September 30, 1947; the number of these employees using sick leave between January 1, 1947, and September 30, 1947; the total number of days of sick leave accumulated for these employees as of September 30, 1947; the total number of days of sick leave earned for these employees between January 1, 1947, and September 30, 1947; and the total number of days of sick leave taken between January 1, 1947, and September 30, 1947.

From these figures other statistical information was gleaned. This includes the percentage of employees using sick leave during this period; the average amount of sick leave taken, using total employment as a base; the average amount of sick leave taken, using the employees who were reported on sick leave as a base; the average amount of sick leave accumulated, and the relationship in percentage of sick leave taken to sick leave earned. Table 4 in the appendix includes all these statistics broken down by major subdivision of each department and agency.

For all employees subject to civil service leave regulations a maximum of 15 days sick leave is available in each calendar year. This may accumulate to a total of 90 days.

A total of 1,703,540 were subject to the sick-leave regulations as of September 30, 1947. Of these employees 1,254,096, or 73.6 percent, had availed themselves of the sick-leave privilege during the 9-month period. A total of 10,080,444 days sick leave were taken. This is an average of 5.9 days for all employees, or an average of 8 days for those reported ill. Total sick leave earned during the period amounted to 15,698,750 days, the amount of sick leave taken to sick leave earned being 64.2 percent. A total of 54,542,379 days sick leave were accumulated or an average accumulation of 32 days.

On the basis of average salaries as reported by the Bureau of Labor Statistics, the sick leave taken represents a total of approximately 110 million dollars, the sick leave earned represents a total of 155 million dollars and the sick leave accumulated represents a total of over 600 million dollars. It must be understood, of course, that unlike annual-leave accumulations, the accumulated sick leave represents a potential obligation of the Federal Government only to the extent of actual reported illness.

Largest accumulations.—Each of 10 departments and agencies accumulated a total of over a million days sick leave as of September 30, 1947. These include the Post Office Department with 16.9 million days !; the Department of the Navy with 9.5 million days; the Department of the Army with 6.8 million days; the Veterans' Administration with 3.8 million days; the Treasury Department with 3.1 million days; the Department of the Air Forces with 2.7 million days; the Department of Agriculture with 2.4 million days, the Interior Department with 1.3 million days; the Department of Commerce with 1.1 million days; and the Department of Justice with 1 million days.

Data for field employees of Post Office Department collected for period from July 1, 1946, through June

20. 1947.

Largest average accumulations.—Sick-leave accumulations averaged 32 days for the entire government but many agencies far exceeded this amount. Largest among these were the Export-Import Bank with 58 days; the Office of Government Reports with 53.4 days; the National Capital Park and Planning Commission with 50.3 days; the Interstate Commerce Commission with 49.7 days; and the Panama Canal (continental) with 49.2 days.

Sick leave earned.-As noted above, sick leave earned during the 9-month period totaled 15,698,750 days. Each of five departments and agencies had a total of more than a million days of sick leave earned. These include the Post Office Department with 3.4 million days 3; the Department of the Navy with 3 million days; the Department of the Army with 2.2 million days; the Veterans' Administration with 2 million days; and the Department of the Air Forces with 1 million days.

Sick leave taken.The total amount of sick leave taken during the period was 10,080,444 days. Four departments and agencies each had a total of more than a million days of sick leave taken. These include the Post Office Department with 2.4 million days 3; the Department of the Navy with 1.6 million days; the Department of the Army with 1.5 million days; and the Veterans' Administration with 1.2 million days.

The average amount of sick leave taken in the 9-month period by all employees was 5.9 days. Agencies with the highest average amount of sick leave taken include the Government Printing Office with 9.6 days; the General Accounting Office with 8.8 days; the Reconstruction Finance Corporation with 7.9 days; the Office of Scientific Research and Development with 7.7 days; and the Office of Defense Transportation with 7.6 days.

Of all employees in the Federal Government, 73.6 percent used the sick-leave privilege during the 9-month period. Many agencies had considerably higher percentages. Those in which over 90 percent used the sick-leave privilege are the Office of Scientific Research and Development, the National Archives, the General Accounting Office, the National Capital Park and Planning Commission, the Panama Canal, the Office of the Housing Expediter, the Reconstruction Fi. nance Corporation, and the Civil Service Commission.

ABUSE OF SICK LEAVE

The Senate Appropriations Committee requested the departments and agencies of the Government to supply the committee with a general statement concerning the abuse of the sick-leave privilege. Of the 55 departments and agencies of whom this information was requested, 26 stated that there was no abuse of the sick-leave privilege in their establishments, 16 indicated that there was no flagrant abuse, 9 indicated that there was abuse, 2 stated that they were suspicious of abuse but had no proof, and 2 had no record. 3 Data for field employees of Post Office Department collected for period from July 1, 1946 through June

30, 1947.

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