The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FEDERAL RESERVE BOARD WASHINGTON ADDRESS OFFICIAL CORRESPONDENCE TO T H E FEDERAL RESERVE BOARD X-6293 A p r i l 18, 1929. SUBJECT: C l a s s i f i c a t i o n of personnel a t Federal Reserve Banks. Dear S i r : With r e f e r e n c e to the Board's l e t t e r X-6267 of March 14, 1929, on the above s u b j e c t , I "beg to adv i s e t h a t the Committee on Personnel a t Federal Reserve Banks met i n Chicago on April 8, and submitted a r e p o r t to the Federal Reserve Board, under date of A p r i l 10, recommending t h a t a p l a n of job a n a l y s i s and c l a s s i f i c a t i o n of employees s i m i l a r i n scope and purpose to t h a t o u t l i n e d by the Board and explained i n i t s l e t t e r of October 9, 1928., be adopted by each Federal r e s e r v e bank. The Committee's r e p o r t , a copy of which i s enclosed h e r e w i t h , has been approved by the Federal Reserve Board. I f your d i r e c t o r s concur i n the Committee's r e p o r t i t w i l l be a p p r e c i a t e d i f you w i l l prepare an a n a l y s i s of each p o s i t i o n or job, except a p p r a i s e d p o s i t i o n s , i n your bank on "form A", a supply of which has been f u r n i s h e d you by the Chairman of the committee and forward i t to the Board a t your convenience. The app r a i s e d p o s i t i o n s , i . e . , p o s i t i o n s f o r which i t i s not p r a c t i c a b l e to e s t a b l i s h s a l a r y ranges, should be kept a t a minimum. The Board hopes t h a t the personnel r e p o r t s to be submitted f o r each bank and branch w i l l be prepared a s promptly a s convenient, i n order t h a t they may be r e viewed by the Board and, i f p r a c t i c a b l e , the p l a n p l a c e d i n a c t u a l o p e r a t i o n b e f o r e the end o-f the calendar y e a r . Your r e p o r t on form A should be accompanied by a %ist of employees i n your bank, showing the c l a s s i f i c a t i o n symbol of each employee as used in the second column of form A, the t i t l e of the job h e l d , the s a l a r y p a i d to the employee on the date of the r e p o r t , and except i n the case of a p p r a i s e d p o s i t i o n s , the maximum and minimum s a l a r y p r o v i d e d f o r the p o s i t i o n or j o b . Experience i n the p a s t has shown t h a t i n adopting a p l a n of the k i n d under c o n s i d e r a t i o n i t w i l l be found t h a t some employees a r e r e c e i v i n g more than the maximum provided f o r t h e i r grade. X-6293 -2— While i t i s not expected t h a t such employees w i l l be r e duced in s a l a r y a t the t i n e the p l a n i s adopted i t i s to be expected t h a t i n course of t i n e the s a l a r i e s of such employees w i l l he brought w i t h i n the s a l a r y ranges approved f o r the p o s i t i o n s occupied. While the Board r e a l i z e s t h a t some of the p o s i t i o n s i n the Federal reserve banks, such as t h a t of t e l l e r f o r i n s t a n c e , a r e not comparable with s i m i l a r l y designated p o s i t i o n s i n commercial banks, i t expects t h a t i n p r e p a r i n g . the s a l a r y ranges f o r the d i f f e r e n t * p o s i t i o n s i n the bank you w i l l take i n t o c o n s i d e r a t i o n the s a l a r i e s p a i d by l o c a l member banks f o r corresponding p o s i t i o n s , and t h a t your s a l a r y ranges w i l l be i n s u b s t a n t i a l accord with s a l a r i e s p a i d f o r s i m i l a r work by the l o c a l banks. Following t h i s p r i n c i p l e i t i s app a r e n t t h a t i n many cases the s a l a r y ranges f o r p o s i t i o n s i n a branch may be s u b s t a n t i a l l y d i f f e r e n t from those a t the head o f f i c e or a t another branch i n the sane, d i s t r i c t . As s t a t e d i n previous correspondence a f t e r the c l a s s i f i c a t i o n p l a n submitted by your bank, i n c l u d i n g s a l a r y ranges, has been approved by the Federal Reserve Board, you w i l l be a u t h o r i z e d to promote employees w i t h i n a given grade and from one grade to another without securing the Board*s approval, with the understanding, of course, t h a t a l l employees w i l l be engaged upon the work c a l l e d f o r by the c l a s s i f i c a t i o n plan, and t h a t they w i l l not be p a i d s a l a r i e s i n excess of the maximum s a l a r y provided i n the p l a n without the Board's approval. A f t e r t h i s new p l a n i s i n o p e r a t i o n i t w i l l s t i l l be necessary f o r you to submit r e p o r t s t o the Board f o r approval, annually or perhaps o f t e n e r , showing a c t u a l s a l a r i e s p a i d to employees and changes during the r e p o r t p e r i o d . You w i l l be advised of the d e t a i l s to covered i n these r e p o r t s a t a l a t e r d a t e . By o r | e r of the Federal Reserve Board. Very t r u l y yours, E. M. McClelland, Assistant Secretary. * Enclosure. TO GOVERNORS AND CHAIRMEN OF ALL FEDERAL RESERVE BANKS. 362 COPY X~6293r«a A o r i l 10, 1929. I Q< 1 REPORT OF COMMITTEE ON CLASSIFICATION 01 PERSONNEL AT FEDERAL RESERVE BANKS Federal Reserve Board, Washington, D. C. Gentlemen: Pursuant to the Board's l e t t e r of March 14, 1929, (X-6267), the Committee on C l a s s i f i c a t i o n of Personnel a t Federal Reserve Banks h e l d a meeting a t the Federal Reserve Bank of Chicago on Monday, April 8, 1929. The meeting was c a l l e d to order a t 10:00 A.M., with Mr. ft. J . Fleming a c t ing a s temporary Chairman. Upon motions, Mr. M. J . Fleming was e l e c t e d Chairman of the meeting and Mr. J . S. Walden, J r . , was e l e c t e d S e c r e t a r y , The f u l l committee c o n s i s t i n g of the following r e p r e s e n t a t i v e s of the v a r i o u s r e s e r v e "banks, was present: Boston New York Philadelphia Cleveland Richmond Atlanta Chicago S t . Louis Minneapolis Kansas City Dallas San Francisco W. w. L. R. W. H. M. J . J . S. Creed J . H. 0 . M. B. V. C. A. R. B. C. E. Paddock Rounds Hutt Fleming Walden, J r . Taylor Dillard Attebery Moore Worthington Coleman Sarhart Mr. E. L. Smead of the Federal Reserve Board, and Mr. S. F. Gilmore of the Federal Reserve Bank of S t . Louis were a l s o . p r e s e n t a t the meeting. The Chairman c a l l e d upon Mr. Smead to o u t l i n e the p o s i t i o n <Sf the Federal Reserve Board with respect to the approval "by the Board of s a l a r i e s proposed "by the v a r i o u s Federal Reserve Banks f o r t h e i r employes and the purposes which the Board had i n mind when i t asked t h a t the Comm i t t e e he a p p o i n t e d . He s t a t e d t h a t i n order t h a t the Board might be i n a p o s i t i o n to more adequately and i n t e l l i g e n t l y discharge i t s r e s p o n s i b i l i t y of p a s s i n g upon the s a l a r i e s of employes a t the Federal Reserve Banks, and a l s o to f a c i l i t a t e the work of the banks i n making t h e i r p r o p o s a l s f o r s a l a r y a d j u s t m e n t s , i t would seem d e s i r a b l e to analyze each job i n the banks and wherever p r a c t i c a b l e , provide a s a l a r y range f o r each j o b . Mr. Fleming, Chairman of the Sub-Commit t e e , reviewed b r i e f l y the work of the Sub-Committee and s t a t e d what had been accomplished by the Sub-Oommittee, l e a d i n g to the n e c e s s i t y f o r c a l l i n g a meeting of the f u l l Committee. 364 X-6293-a I t was suggested t h a t the members of the Committee r e p r e s e n t ing those hanks which have a d e f i n i t e plan of job a n a l y s i s and c l a s s i f i c a t i o n of employes in operation a t the p r e s e n t time, give a "brief o u t l i n e of t h e p l a n s under which they a r e o p e r a t i n g f o r the b e n e f i t of r e p r e s e n t a t i v e s of banks which a r e n o t o p e r a t i n g under any such p l a n . Mr. Rounds o u t l i n e d the p l a n in o p e r a t i o n a t the Federal Reserve Bank of New York, Mr. Fleming the p l a n proposed by t h e Cleveland reserve bank, and Mr. D i l l a r d the p l a n of t h e Chicago r e s e r v e bank. Each member of the Committee was then c a l l e d upon to give a b r i e f account of the system employed in h i s bank of a d j u s t i n g t h e s a l a r i e s of employes. The system i n e f f e c t a t h i s bank was o u t l i n e d by each member of t h e Committee, and each member was c a l l e d upon t o give an expression of h i s views and opinion of the proposal f o r a job a n a l y s i s and c l a s s i f i c a t i o n of employes according to j o b s . While a few of t h e members, p a r t i c u l a r l y t h o s e r e p r e s e n t i n g the smaller banks, f e l t t h a t adequate supervision was being given to t h e c o n s i d e r a t i o n of s a l a r i e s in t h e i r banks, i t was agreed by each member t h a t a plan of job a n a l y s i s and c l a s s i f i c a t i o n of employes o f f e r e d no a d m i n i s t r a t i v e d i f f i c u l t i e s , and a l l members expressed themselves as being f a v o r a b l e to t h e adoption of a p l a n . I t was f e l t t h a t experience might prove t h a t each bank, r e g a r d l e s s of i t s s i z e , might be m a t e r i a l l y b e n e f i t t e d in i t s work of s a l a r y a d m i n i s t r a t i o n by u s i n g such a p l a n , and t h e r e f o r e each bank should h e a r t i l y co-operate in i t s a d o p t i o n , looking to probable b e n e f i t s to be derived, as explained by r e p r e s e n t a t i v e s of those banks which a r e now o p e r a t i n g under a job a n a l y s i s p l a n . Upon motions duly seconded and c a r r i e d , i t was voted unanimously(1) That a plan of job a n a l y s i s and c l a s s i f i c a t i o n of employes s i m i l a r in scope and purpose to t h a t o u t l i n e d by t h e Boafd and explained in t h e l e t t e r dated October 9, 1928, addressed to each Federal Reserve Bank by the Chairman of t h e Sub-Committee, should be adopted by each Federal Reserve Bank. (2) That i t i s impracticable to devise a uniform plan f o r u s e by a l l Reserve Banks and Branches, and t h e r e f o r e each bank should analyze the jobs and c l a s s i f y the personnel a s they e x i s t in t h e i n d i v i d u a l bank or branches and submit i t s own plan to the Federal Reserve Board f o r approval. (3) That in a d d i t i o n to t h e d u t i e s of each job, the q u a l i f i c a t i o n s r e q u i r e d f o r each job should be included i n the p l a n . (4) That a minimum and maximum s a l a r y f o r each job (other than a p p r a i s e d j o b s ) under each group c l a s s i f i c a t i o n should be e s t a b l i s h e d . (5) That a l l jobs as f a r as p o s s i b l e should be c l a s s i f i e d under t h e general scheme of group and grade c l a s s i f i c a t i o n s and a p p r a i s e d j o b s , t h a t i s , jobs considered to come under the appraised group, should be kept to a minimum. « * i -3- 365 X-6293-a (6) That each tank i n submitting i t s a n a l y s i s of jobs, as the jobs e x i s t i n the i n d i v i d u a l "bank or branch should use the form adopted by the sub-conr^ittee as r e v i s e d , i n r e q u e s t i n g information from each bank* This f b r n i s designated as "Form A", and inasmuch as i t vras p r i n t e d a t the p r i n t i n g p l a n t of the Federal Reserve Bank of Cleveland, and the type i s s t i l l standing, Mr. Fleming agreed to the suggestion t h a t the Cleveland bank f u r n i s h each o t h e r bank with an a p p r o p r i a t e supply of the form f o r the p u r pose of submitting i t s p l a n . (7) That any p l a n adopted by any bank should, f o r the p r e s e n t time a t l e a s t , p r o v i d e a maximum s a l a r y . f o r each job based on the d u t i e s of the p a r t i c u l a r job, and no p r o v i s i o n should be made t o pay s a l a r i e s above the maximum i n r e c o g n i t i o n of the l e n g t h of service of any p a r t i c u l a r em-? p l o y e e . I t was f e l t t h a t inasmuch as the r e s e r v e banks a r e comparatively young i n s t i t u t i o n s and the n e c e s s i t y f o r the r e c o g n i t i o n of length of s e r v i c e has not been p r e s s i n g up to t h i s time, t h i s f e a t u r e of any p l a n might be considered and taken up with the Board a t a l a t e r time. R e s p e c t f u l l y submitted: (S) (S) J . S. Walden, J r Secretary. M. J . Fleming Chad rman.
@FedFRASER