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![handle is hein.gao/gaobaaxir0001 and id is 1 raw text is:
DOCIUET RESONX
06024 - [91526556]
Department of Defense Pay Practices for Japanese Nationals
Should Be Changed. FPCD-7T-*7; B-179343. Bay 31, 1978. 1 pp. +
appendix (13 pp.).
Report to Sen. Warren Q. lagnuson, Chairman, Senate Committee on
Appropriations; by Bluer 5. Staats, Comptroller General.
Issue Area: Personnel management and Compensation (300); Federal
Personnel fmanagement and Compensatiin: Pal Principles and
Pay Determination Processes (306);Federal Personnel
Eanagement an4 Compensation: ketiremeut Policies and
Practices (307).
Contact, foderal Personnel aad Compensation Div.
budget Function: National Defense- Department of Defense -
ilitary (except procurement & contracts) (0511; Income
Security: Federal Employee Retirement and Disability (602).
Organization Concerned: Department of Defense; Department of the
Navy; Department of the Air Force; Department of the Army.
Congressional Relevance: House Coamittee on Post Office and
Civil Service; Senate Committee on Appropriatioas; Senate
Committee on Armed Services. Sen. Warren G. 3agnuon.
Authority: foreign Service Act, as amended.
As of January 1978* U.S. forces in Japan (0SPJ)
employed about 22,360 Japanese nationals; approximately 19,650
were paid from appropriated funds. Appropriated and
nonappropriated fund payroll costs totaled aout S243 million
and S27 million# respectively, in fiscal lear 1977. Coste per
employee have increased in recent years, and waVe costs can be
expected to increase further because of the comparatire decline
in the value of the dollar against the Japaree yen.
Findings/Conclusions: Because of Japanus reluctance to share
costs or allow revisions of benefits, Japanese employees are
paid well above prevailing local rates. Factors contributing to
high payroll costs are the continued use of 0S3J differentLal (a
special payment for Japanese employees), language allowances,
the computation fordula for premium pay, and wage schedules,
based on a 44-hour workweek Severance allowances are also more
generous than those in prevailing practice. Hiring Americans
locally could be less costly, but constraints to such hit'ng are
staffing ceilings, a pending decision on hiring of dependents,
and certain advantages of Japanese personnel. Increasing wages
and declining dollar value could lead to further reductions in
force and a raducei capability to meet U.S. and Japanese mutual
defense objectives. Recommendations: The Secretaries of State
and Defense should urge the Government of Japan to eliminate or
pay excess compensation costs. The Secretary of Defense should
explore ways of hiring more Americans in Japan. (HTU)](ViewImageLocal?handle=hein.gao/gaobaaxir0001&div=1&collection=&method=preview&ext=.png&size=3)