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Restoration of the full amount of the reduction is requested.

Personnel improvement program

The goal of the personnel improvement program recommended by the Secretary's Public Committee on Personnel and presently being implemented by the Department by direction of Secretary Dulles is to provide a stronger and more versatile Foreign Service by bringing into the Foreign Service Officer Corps approximately 2,000 civil service, Foreign Service staff, and Foreign Service Reserve personnel. Members of the integrated Foreign Service Officer Corps will be obligated to serve at home and abroad and will staff not only overseas posts but also the majority of officer positions in the Department. This expanded officer corps will require in fiscal year 1956 the appointment, from outside the Department on the basis of competitive examination, of approximately 350 junior officers of class 6. In order to assure that the United States will have a Foreign Service capable of representing our country in its role as leader of the free world in the field of foreign affairs, an adequate training program is essential. It is proposed to expand the present training program during fiscal year 1956 by establishing additional training centers abroad to provide full-time language and area training and part-time language training to employees at nearby posts. Languagetraining programs which have been inaugurated at many Foreign Service posts during the current fiscal year will be expanded to encompass all Foreign Service posts in fiscal year 1956. An increase is planned in the number cf officers to be given specialized language and area and economic training at American universities. In addition, the facilities of the Foreign Service Institute in Washington will be expanded and revitalized to provide specialized training to a greatly increased number of personnel. The reduction made by the House in the Department's estimate for the personnel improvement program will not permit the expansion of the training program as required.

Section 933 (a) of the Foreign Service Act of 1946, as amended, provides that the Secretary shall order to the continental United States on statutory leave every officer and American citizen employee of the Service upon completion of 2 years continuous service abroad or as soon as possible thereafter. Funds available to the Department in fiscal year 1955 have not permitted the granting of statutory leave after 2 years of service even though other agencies with responsibilities in the field of foreign affairs are following the 2-year statutory provision regarding home leave. Employees of these agencies are working at Foreign Service posts along side regular Foreign Service personnel, many of whom must serve 3 or more years abroad before being granted home leave. The unfavorable comparison of the respective home-leave programs has adversely affected the morale, particularly at the clerical level, and has resulted in numerous resignations. The estimate for fiscal year 1956 would permit the Department to return to the home-leave program indicated by section 933 (a) of the Foreign Service Act of 1946.

The House reduction of $1,100,000 for this purpose denies the Department the funds to carry out a home-leave program on a 2-year basis.

It is stated in the House Report that "no part of the increase allowed for the personnel improvement program is to be used for the hiring of 'public confidence' personnel which were requested for the alleged purpose of keeping the public informed of the activities of the Department." The Department's estimate for fiscal year 1956 includes 2 positions at $14,613 for the office of the Assistant Controller for Personnel. These additional positions will permit the Office of Personnel to undertake, in conjunction with the public affairs area of the Department, a program which will (1) improve the Department's communications with its employees on matters of personnel policy, and (2) better inform the public of the work performed by the Foreign Service. The workload of the Public Affairs area is such that two employees cannot be detailed from that area to the Office of Personnel to perform the public-confidence function.

Staff strengthening and operating expenses

The amount requested for general strengthening of domestic and overseas operations would provide for 68 additional positions in the Department and 155 Foreign Service positions. The largest individual increases in the departmental service would be in the Office of Security and the Office of Special Assistant for Intelligence. The increase in the Foreign Service would provide additional positions to supplement existing political, consular and administrative staffs and to implement certain of the recommendations made by the Eisenhower study group concerning strengthening of operations in Latin America.

The requested increase would permit the purchase of additional equipment needed throughout the Department and the Foreign Service and would restore

supply inventories to effective levels. It would also provide $46,233 for the operation and maintenance of an emergency relocation center for the Department. The $100,000 allowed by the House for staff strengthening and operating expenses will provide only 20 additional positions in the departmental service. This allowance will permit no strengthening of the Foreign Service. Economic and commercial activities

An amount of $1,600,000 was requested to strengthen the Foreign Service staff assigned to duties which are undertaken on behalf of American business. This amount consists of $1 million for improving economic reporting and $600,000 for apointment of trade commissioners.

The $1 million would provide for 81 American officer and clerical positions and 78 local employee positions at overseas posts for improving economic and commercial reporting services. The general economic improvement in foreign countries has placed our foreign markets in a highly competitive status where up to date economic and commercial intelligence is essential to United States business enterprise if it wishes to compete. The increased interest of American business in overseas trade and investment opportunities has generated a greatly increased number of requests for reliable commercial intelligence. A substantial number of these requests come from small businesses seeking, in some instances for the first time, to expand their activities to include overseas markets. Such businesses cannot afford to send representatives abroad, and consequently depend primarily on the United States Government to obtain current and reliable commercial data on which to base their decisions. Despite the $2,200,000 currently available for personal services for commercial attachés, the Department, which is the only channel available to serve these interests, is not able to provide on a worldwide basis the information desired and required by American business. The request for $1 million, while still not making it possible to handle all inquiries submitted by American business firms, would make it possible to provide a more adequate service to protect the interests of American business in potential foreign markets. As a further means of assisting American business through implementation of the Commerce Department's trade and investments program, $600,000 is requested for the appointment of 21 trade commissioners and supporting staffs of 15 Americans and 27 local employees. These employees would be assigned to important commercial centers of the world aggressively to develop opportunities for trade and investment of American businesses. They would be primarily responsible for rendering specialized service in connection with the export and import interests, foreign traders and investors of the United States. For the most part, they would be men who have had broad experience in business. They would supplement the regular commercial reporting activities of the State Department.

It is requested that the full amount of $1,600,000, which was disallowed by the House, be restored by the Senate.

Opening of new posts

The House Report states that $260,000 is provided for the opening of 8 new posts; 3 in Latin America and 5 in the Near East, South Asian, and African areas. The $284,800 requested for the opening of these new posts is a minimum estimate. If the $24,800 reduction made by the House in this item is not restored, the Department will not be able to staff each post with the required number of officers. A reduced officer-staffing pattern at these posts will not permit desired political and economic coverage and full performance of required consular services.

Salaries and expenses, 1956-Summary of increases requested and House

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Salaries and expenses, 1956-Summary of increases requested and House

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Salaries and expenses, 1956-Summary of increases requested and House
allowances-Continued

Appropriation, 1955 regular act..

1954 balance available pursuant to Public Law 471 from "Government in occupied areas". Transfer of agricultural attachés:

$62, 500,000 200, 000

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