The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
1349 A meeting of the Board of Governors of the Federal Reserve SYatera Was held in Washington on Wednesday, September 15, 1943, at 11:00 a.m. PRESENT: Mr. Mr. Mr. Mr. Mr. Mr. Eccles, Chairman Ransom, Vice Chairman Szymczak McKee Draper Evans Mr. Bethea, Assistant Secretary Mr. Carpenter, Assistant Secretary Mr. Clayton, Assistant to the Chairman The action stated with respect to each of the matters hereinatter referred to was taken by the Board: The minutes of the meeting of the Board of Governors of the Nies. "al Reserve System held on September 14, 1943, were approved unanikous13r. Memorandum dated September 13, 1943, from Mr. Nelson, Assist- kt, 8 ecretary, recommending that Robert B. Adams be appointed as a labo l'er in the Secretary's Office on a temporary basis for an indefiIlite period, with basic salary at the rate of 81,200 per annum, effective 48 of the date upon which he enters upon the performance of his tioh after having passed satisfactorily the usual physical examina. wIth the understanding that if anything derogatory should de- in the investigation of his references his services may be ter%ted immediately. Approved unanimously. 1350 15/43 Memorandum dated September 14, 1943, from Mr. Goldenweiser, laect°1 ' of the Division of Research and Statistics, submitting the l'esignation of Miss Elinor Palmieri as a clerk in that Division, to beco' 4 effective as of the close of business on September 15, 1943, ' -ecommending that the resignation be accepted as of that date. The resignation was accepted. Memorandum of this date from Mr. Nelson, Assistant Secretary, 1112tit • tIng the resignation of Edward L. Colvin as a cafeteria helper the Secretary's Office, to become effective as of the close of b1siri e88 on September 18, 1943, and recommending that the resignation be accepted as of that date. The resignation was accepted. Letter to Mr. Robert M. Barnett, Chairman of the Review Comkittee on Deferment of Government Employees, War Manpower Commission, g a follows: "In a letter dated Y.arch 16, we advised you of the r, • , 4p olntment of three members of the Board's staff as an AgencY Committee on Deferment of Government Employees. th "This is to advise you that E. L. Smead, Chief of z4 e Division of Bank Operations, and George B. Vest, Asn'stant General Attorney, have been appointed as alterbates to serve during the absence or incapacity of mem"8 of the Committee." Approved unanimously. Letter to Mr. Meyer, Assistant Cashier of the Federal Reserve Of Chicago, reading as follows: 1 351 9115/43 _ 2_ "The Board of Governors approves the change in the Personnel classification plan of the Federal Reserve Bank ?f Chicago involving an increase to fa,206.40 in the maxIraum annual salary for the position of Charwoman, as submitted with your letter of September 10, 1943." Approved unanimously. Letter to the Presidents of all the Federal Reserve Banks, readtrig as follows: "The National War Labor Board has advised that the 411ndamental change in wage stabilization policy embodied ;Lftl Executive Order 9328, the supplementary directive of ''e.Y 12 and the policy adopted by the National War Labor T3ard thereunder has required revision in the wage addalletment procedures of Governmental agencies to which uch board has designated wage stabilization responsibilities. the "9f particular importance to the Reserve Banks are •elimination of 'inequalities' as a basis for wage adand the substitution of the 'wage bracket' for e 'prevailing wage concept' in making wage determina41°ns. The details of the wage bracket procedure are 07,cessarily somewhat complicated but for the ready use the Reserve Banks, an attempt has been made in the lttached memorandum to summarize the procedure to be fol4°Iled and the information desired in connection with ad8tments of wages and salaries under the certification I'ocedure at the Federal Reserve Banks. ' haThe regional offices of the National War Labor Board ve established wage and salary brackets for a number of cleitions. In making salary determinations, the Reserve 1 anks should, wherever possible, use salary brackets which , been established by the regional offices of the War Labor Board for comparable positions. In this connection, !Presentatives of the War Labor Board have emphasized that __r!e comparison should be with comparable jobs regardless ti lull title, as frequently the same title may cover jobs with „.11Y varying characteristics and on the other hand, jobs 1„,c 1:;"n different titles may actually be the same. We have Leen advised that the local offices of the National War 8abor Board will be glad to cooperate uith the Reserve anks in furnishing pertinent information. j t 1352 —4-"If no bracket has been established by the National liar Labor Board for comparable jobs, the Reserve Bank ?houid establish brackets based on sound and tested rates the community (the attached memorandum contains further comments regarding the establishment and use of wage a.nd salary brackets). If a job is peculiar to the Federal Reserve Bank and true comparison can not be made 18 -th jobs in other organizations, an adjustment can be 2 7de on the basis of careful job evaluation and accepted 'Job relationships within the organization. "The instructions and suggestions regarding certification procedure contained in the attached memorandum supersede the previous instructions and suggestions. "This note and the accompanying memorandum are based 1 11efly upon advices and information received from the 7 tational War Labor Board regarding procedures with respect wage and salary adjustments under its jurisdiction. We flaerstand that revised regulations of the Commissioner of -1-Zternal Revenue regarding stabilization of salaries under h a jurisdiction may be issued shortly. In the meantime, lever, we have been advised informally by representatives ; hie office that the general procedure suggested herein ould be appropriate with respect to adjustments of salaries which the Commissioner's regulations are applicable. of "For ready reference, the attachments include a copy the General Order No. 19, the accompanying press release, 'fld the press release and directive of May 12 regarding general policy." Z Approved unanimously. Letter to Mr. Young, President of the Federal Reserve Bank of Okiett go, reading as follows: to Mr. Diercks' letter of September "Reference is made and enclosures, submitting the request of 3Y 19432 ' the t Ecorse Savings Bank, Ecorse, Michigan, for permission o° act as trustee under agreement. The bank has only reltly been granted trust powers by the State authorities aer_, inu permission of the Board to act in a fiduciary capacity be requested pursuant to an applicable condition of memn tielrehiP which provides that except with such permissio powers corporate of e ere shall be no change in the scope Xercised by the bank. 1353 9/15/43 -5- "It is understood that the bank desires permission tc) act as trustee under agreement only in the case of aodern Collet & Machine Company, which company recently installed an employees' pension trust plan under the terms of Which a corporate trustee is required; that the duties of the bank under this trust agreement will be largely -nisterial and will not involve the exercise of discre10n in making investments; that this step is being taken as an accommodation to a valued customer and in order to retain all of its business; and that should the bank de;1-re to act as a fiduciary in any other instance it will ilrst consult with the State Banking Department and with the Federal Reserve Bank. "In view of the circumstances, and since the bank is reported in satisfactory asset condition and under ,c_apable management, the Board will not object to the °ank's acceptance of the one corporate trusteeship in question, with the understanding that it will not acquire aV other trust business without first obtaining the perof the Board." TI Approved unanimously. Letters to Honorable Leo T. Crowley, Chairman of the Federal 1)ePosi4 -Lnsurance Corporation, and Honorable Preston Delano, Comptroller Otths Currency, reading as follows: "The question which has been referred to the Board bY the Federal Reserve Bank of New York as to whether, Ibincler the new inscription, reports of examination should t? made available to the New Clearing House Associa01°n, has been discussed informally with representatives ' Your office on one or two occasions. Enclosed hereis a proposed reply to Vice President Gidney of the lekleral Reserve Bank of New York. Before sending the (letter out we would like to have confirmation of our unerstanding that your office concurs in the position taken , 'fld the benefit of your suggestions, if any." Approved unanimously. Memorandum dated September 11, 1943, from Mr. Goldenweiser, Dictor of the Division of Research and Statistics, recommending that 1354 9/15/43 —6— ar'rallgements be made with Mr. S. T. Yang, of the Economic Potential II:111810n in the Enemy Branch of the Office of Economic Warfare, to translate certain articles on Japanese money and banking in connection Ivit the Project on the Military Government Handbook, and that the 8°41'd authorize an expenditure of not to exceed t,200 for this purpose, Ilitth the understanding that the translation work would be done at the Ilte of q per hour. The memorandum stated that the work would be c°11cilleted under the close supervision of Frank Tamagna, who is assembling the material for the handbook on Japan, and that Mr. Knapp of the illt that 4" ational Section would keep in touch with the work to see value was received for the expenditure. Approved standing that budget of the tistics would unanimously, with the underthe appropriate item in the Division of Research and Stabe increased accordingly. Thereupon the meeting adjourned. Assistant Secretary. APPI-ove Chairman.
@FedFRASER