August 7, 1971

Sen approves pub service jobs bill

China seen wanting accord on certain key issues before establishing ties with US; seen determined to continue to reject any plan to reconvene Geneva conf as a way of ending war; maintains war should be ended on basis of 7-pt plan presented by Vietcong in Paris on July 1 and that Nixon should have the courage to withdraw quickly and honorably

Blyth illus

Mgt and Budget Office Dir Shultz announces that Nixon has ordered Cabinet depts to limit promotions among Govt's 1.2-million white-collar workers to cut costs and set standard for private indus; says Pres wants to get control of wages in Fed Govt; says Pres was disturbed to learn that avg rank of workers in the 18-level Fed pay scale rose from 7.4 in '68 to 7.9 in '70 with prospect of 8.1 in '71; says each 1/10 increase in avg grade represents $175-million in pay and benefits; this totals $1.2-billion for job upgrading since Nixon took office; Shultz issues bulletin ordering depts and agencies to reduce avg grade by at least 1/10 by June 30 '72 and 2/10 a yr later, this to be accomplished by eliminating some unfilled jobs, cutting grade level of others when being refilled and curtailing promotions; confirms that Nixon gave initial approval to pay rise for several sr officials, including Shultz, from $43,500 to $60,000, but Shultz and Fed Reserve Bd Chmn Burns, also scheduled for rise, thought it inappropriate at time when Pres tries to hold down Govt salaries; Nixon has postponed these increases

Ruskin says he will shortly disclose names of landlords he charges have defrauded city of substantial funds and will submit list to Dist Atty Hogan for possible indictment and prosecution; declines comment on amt of funds involved; some types of fraud city investigators are reptdly looking into discussed