Of the many problems in this area, those I shall first discuss are of
particular concern to the members of our great labor force, who with their
heads, hearts and hands produce so much of the wealth of our country.
Protection against the hazards of temporary unemployment should be extended
to some 6 1/2 millions of workers, including civilian Federal workers, who
now lack this safeguard. Moreover, the Secretary of Labor is making
available to the states studies and recommendations in the fields of weekly
benefits, periods of protection and extension of coverage. The Economic
Report will consider the related matter of minimum wages and their coverage.
The Labor Management Relations Act of 3947 is basically a sound law.
However, six years of experience have revealed that in some respects it can
be improved. On January 11, I shall forward to the Congress suggestions for
changes designed to reinforce the basic objectives of the Act.
Our basic social security program, the Old-Age and Survivors Insurance
system, to which individuals contribute during their productive years and
receive benefits based on previous earnings, is designed to shield them
from destitution. Last year I recommended extension of the social insurance
system to include more than 10,000,000 additional persons. I ask that this
extension soon be accomplished. This and other major improvements in the
insurance system will bring substantial benefit increases and broaden the
membership of the insurance system, thus diminishing the need for Federal
grants-in-aid for such purposes. A new formula will therefore be proposed,
permitting progressive reduction in such grants as the need for them
declines.
Federal grant-in-aid welfare programs, now based on widely varying
formulas, should be simplified. Concrete proposals on fourteen of them will
be suggested to the appropriate Committees.
The program for rehabilitation of the disabled especially needs
strengthening. Through special vocational training, this program presently
returns each year some 60,000 handicapped individuals to productive work.
Far more disabled people can be saved each year from idleness and
dependence if this program is gradually increased. My more detailed
recommendations on this and the other social insurance problems I have
mentioned will be sent to the Congress on January 14th.