Social Security Advisory Councils
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+ocial Security Advisory Councils* by JAMES E. MARQUIS* A THIRTEEN-MEMBER advisory council, of the Eaton Manufacturing Company, Cleveland, Ohio. representing employers, employees, self-employed Leonard Woodcock, vice president of the United Auto- persons, and the public, was convened on June 10, mobile, Aircraft and Agricultural Implement Workers 1963, to begin a comprehensive review of the of America, Detroit, Mich. Nation’s old-age, survivors, and disability sys- tem. This is the second in a series of councils The study being undertaken by the 1963 ,4d- provided for under the 1956 amendments to the visory Council points up the continuing impor- Social Security A&; in 1966 and every fifth year tance tllat is attached to examination of the old- thereafter an advisory council will be appointed age, survivors, and disability insurance program to study and report on the financing of the by independent citizen groups. In the relatively program. brief history of the program, advisory councils The law gives the current council a special have contributed immensely to the planning and mission in addition to its function of considering development of old-age, survivors, and disability the financing of the program: It is directed to insurance protection. There is a long tradition study coverage, adequacy of benefits, and all dating back to 1934, before the passage of the other aspects of the program. A4 report of its Social Security Act, of seeking from representa- findings and recommendations must be submitted tive groups advice and guidance on the social to the Board of Trustees of the old-age and sur- securit,y program. vivors insurance and the disability insurance trust funds before January 1965. In accordance with the law, the current, council ADVISORY COUNCIL TO THE COMMITTEE onsists of the Commissioner of Social Security, ON ECONOMIC SECURITY s chairman, and 12 other persons who represent 3 In November 193~-, President. Roosevelt named employers and employees (in equal numbers), a 2%member advisory council, representing labor, the self-employed, and the public. Its members industry, and the general public, to advise the are : Committee on Economic Security. The Com- Robert M. Ball, Commissioner of Social Security mittee, which was established to study various J. Douglas Brown, dean of the faculty, Princeton Uni- proposals and develop recommendations for a versity, Princeton, N. J. social security program, had five members-the Dr. Kenneth W. Clement, president-elect of the Ka- tional Medical Association, Cleveland, Ohio. Secretary of Labor, the Secretary of the Treasury, Nelson H. Cruikshank, director of the Department of the &torney General, the Secretary of Agricul- Social Security, AFL-CIO, Washington, D.C. ture, and the Federal Emergency Relief Admin- James P. Dixon, president of Antioch College, Yellow Springs, Ohio. istrator. Loula F. Dunn, director of the American Public Wel- The members of the advisory council were dis- fare Association, Chicago, Ill. t inguishetl citizens outside the Federal Govern- Marion B. Folsom, director and management adviser of the Eastman Kodak Company, Rochester, N.Y. nient service. The group, ill1 of whom hacl impor- Gordon M. Freeman, president of the International tant privat-e and public responsibilities, included Brotherhood of Electrical Workers, Washington, D.C. among others Marion 1~. Folsom, assistant treas- Reinhard A. Hohaus, executive rice president of the Metropolitan Life Insurance Company, Xew York, urer of the Eastman Kodak Company; William N.Y. Green, president of the American Federation of Arthur Larson, professor of law and director of the Labor; Gerard Swope, president of the General World Rule of Law Center, Duke University, Durham, N.C. Electric Company ; Walter C. Teagle, president Herman M. Somers. chairman of the department of of the Standard Oil Company of New Jersey; political science, Haverford College, Haverford, Pa. and ,John G. Winant, Governor of New Hamp- John C. Virden, chairman of the board and president shire. As was inevitable in view of its large * Division of Program Evaluation and Planning. membership, this first advisory council advanced z LLIXPM, SEPTEMBER 1963 9 diverse advice and suggestions. In general, how- age security to present their views. In its final ever, it. recommended st.rong Government action report, submitted on December 10,1938, the Cou in fighting economic insecurity.l cil made a large number of recommendations, a including proposals for improving the structure and scope of benefits, expanding the system to ADVISORY COUNCIL TO THE SENATE SPECIAL cover a larger proportion of the population, and COMMITTEE ON SOCIAL SECURITY improving the method of financing.2 In 1937, shortly after the old-age insurance pro- gram established by the Social Security Act ADVISORY COUNCIL, 1947-48 began operating-in fact, before any monthly benefit payments were made-the Chairman of the Because of the Nation’s preoccupation with the Senate Committee on Finance appointed a sub- problems of World War II, the provisions of the committee designated as the Senate Special Com- social security law as they had been amended mittee on Social Security. The Special Committee in 1939 were not substantially changed for several was directed to cooperate with the Social Security years. The uext, advisory council was not ap- Board in studying the advisability of amending pointed until September 1’7, 1947, this time by the the Social Security Act in a number of respects. Senate Committee on Finance. The areas to be studied included earlier-than- This ,idvisory Council on Social Security, like scheduled payment of monthly benefits, extension the earlier councils, included citizens from vari- of the program’s coverage, higher benefit levels, ous walks of life. Edward R. Stettinius, Jr., then payment of survivor benefits, and deferment of rector of the rnirersity of Virginia, \vas named the tax increase scheduled for 1940. chairman. The other members were Frank Bane, To assist in the study an advisory council was executive director of the Council of State Govern- appointed by the Special Committee on Social ments; ,J. Douglas Brown ; Malcolm Bryan, of the Security and the Social Security Board. Again, Trust (‘ompany of Georgia ; Nelson Cruikshank, the members were distinguished private citizens. director of social insurance activities of the They included *J. Douglas Brown, of Princeton American Federation of Labor; Mary H. Don10 University ; Paul H. Douglas, of the University chairman of the Kew York State Workmen 9 of Chicago Marion B. Folsom; William Haber, Compensation Board ; Adrien J. Falk, president of the University of Michigan; Sidney Hillman, of S & IT Fine Foods, Incorporated ; Marion B. president of the ~4malgamated Clothing Workers Folsom ; M. Albert Linton ; John Miller, assistant of 14nlerica; hf. Albert Linton, president of the director of the Xational Planning Association; Provident Mutual Life Insurance Company: William I. Myers, dean of the New York State Philip Murray, vice president of the United Mine College of Agriculture; Emil Rieve, vice presi- Workers of America; E. R. Stettinius, Jr., chair- dent of the Congress of Industrial Organizations; mall of the board of the IInited States Steel Cor- Florence Sabin, scientist ; Sumner H. Slichter, poration; Gerard Swope; and Edwin E. Witte, of Lamont University Professor, Harvard Univer- the University of Wisconsin. sity; S. ,4bbot Smith, president of the Thomas For more than a year the Council concentrated Strahan Company; Delos Walker, vice president on the old-age insurance program and the means of R. H. Macy and Company ; and Ernest C. by which the program might be extended or im- Young, dean of the graduate school of Purdue proved. It studied proposals advanced by a large University. number of bodies representing industry ; labor ; The Council was directed to “study, assist, con- and professional, social welfare, and other groups. sult, with, and advise the Committee on Finance,” The Council also asked a number of outstanding which in turn was authorized “to make a full and experts on various aspects of the problem of old- complete investigation of old-age and survivors insurance and all other aspects of the existing 1 Report of the Advisory Council to the Committee on social security program, particularly in respect Economic Security, December 18, 1934 and Supplemental Statements to the Report . , printed in Hearings Be- 2 Final Report of the Adcisory Council on Social Secu- fore the Committee on Finance, U.S. Senate (74th Cong., rity (S. Doe. 4, 76th Cong., 1st sess.), 1938. For a brief 1st sess.), on S. 1150, January 2 to February 20, 1935, summary of the report, see the Bulletin, January 1939, pages 226-237, 324-327, and 331-332. pages 2-3. 10 SOCIAL SECURI# to coverage, benefits, and taxes related thereto.” versity ; Robert P. Burroughs, president-treasurer, he st,aff director was Robert M. Ball, now Com- R. P. Burroughs Company (consultants on pen- v missioner of Social Securit,y. sion and profit-sharing phs) ; Leonard J. The Council macle four reports” to the Finance ~~:LllLoun, attorney-at-law ; Nelson H. Cruikshnnk; Committee, presenting recommendations on vari- Wallis B. Dunckel, vice president of the Bankers ous aspects of the Nation’s program for social Trust Colnl~“ny ; Loula I)uiiii, director of the security. One report covered the Council’s recom- American Public Welfare Association; Katherine mendations on old-age and survivors insurance; Ellickson, secretary of the Social Security Com- these consisted of proposals designed to close the mittee of the Congress of Industrial Organiza- gaps in the protection then offered under the pro- t ions ; Hugh F. Hall, of the American Farm gram. A second, separate document reported rec- Bureau Federation; Lloyd C. Halvorson, of the ommendations for benefits for permanently and Sat ional Grange ; am1 A. D. Marshall, manager totally disablecl workers through the extension of of employee benefits for the General Electric the old-age and survivors insurance system to Colnpally. cover the risk of clisabi1it.y.