May 31, 1978

Waltz Me Around Again Willie

While a band of musicians serenaded construction workers in Cleveland last week to the strains of "Waltz Me Around Again Willie," President Carter and Congress embraced for a quick two-step back stage.

The happy occasion was an infusion of federally collected taxes into CETA - a melody of exotic projects too preposterous to make it alone in the work-a-day world.

For those of you who join us late, it should be explained that CETA stands for Comprehensive Employment and Training Act.  It is a law adopted by Congress in 1971 as a "temporary" measure to provide jobs and training for the hard core unemployed - then standing at 5.5 percent of the work force.  Estimated cost: $1 billion.

Unfortunately, this noble effort floundered around in City Hall politics, and the unemployment rate went up instead of down.  No matter.  The law is extended from year to year and the dollars shoveled out faster.  We are now up to $7 billion a year, going on $11 billion.  The unemployment rate has dropped one-tenth of one-percent from its 6.9 percent level.

One wonders how much longer we can take success.

Theoretically CETA was to help the poor, deprived and structurally unemployed by giving them work experience in public service jobs.  Funds for this purpose were ladled out to 34 cities with no strings attached - just in time to enable them to rehire government workers laid off to cope with a growing recession.

Since then, the program has grown to include a host of other fringe activities such as "Blue Collar Boogie" concerts in Cleveland, the National Gay Task Force in New York City, and Women Unlimited Newspaper of Gainesville, Florida.

Cleveland and New York schools may be bankrupt, but they will go down singing.

The past seven years have been unreal in the fairy land of CETA.  Even the politicos in Washington, D.C. have come to acknowledge the hopelessness of continuing as the program presently is set up.

The aim of CETA is laudable.  Black teenagers should be helped.  Every person who wants to work should work.

After 40 years of flinging dollars at problems with no discernable success, Congress perhaps is facing up to reality.  Government has not created a single job in 10,000 years of trying.  Only individual strivers produce wealth.  All others take, in accordance with clout they assume by force or regulation.

It is good news, therefore, that President Carter has asked that the next budget of CETA include a half-billion dollars to enlist private business and labor unions in its job hunting program.  This won't weed out the relatives of City Hall officials, faithful campaign workers or social freaks.  But it's a start.

Labor Secretary Ray Marshall says the new thrust is the "missing link" between public employment and private-sector jobs.  He estimates the 750,000 public service jobs funded by CETA will increase by 125,000 new jobs in productive businesses.

I'm dubious - there are too many "private industry councils" and "community action groups" involved - but we have to begin somewhere, somehow.

Again, the funds are to be funneled through the same governmental units as "prime sponsors."  Only this time, a small piece of the action is to go to employers who take on poor persons and give them training.

Employers may be reluctant to participate in the new level of bureaucracy now being organized to administer a reorganized CETA.  The reports and permissions required will be another layer of red tape with which to contend.

To reassure business, and the tax payers, Congress promises to take another look at the CETA regulations.

First, public service jobs would be limited to not more than 18 months in any three-year period for any one person.

Second, the $10,000 upper-limit for a CETA sponsored salary could be supplemented by not more than $5,000 of other monies.

The changes still look like a rather rich anti-poverty program.  Local governments undoubtedly will continue to use the bulk of CETA funds to bail out their budgets.  Very little restraint to spending is built into the program.

Already the National Conference of State Legislatures, and the various unions representing local public employees, are lobbying Congress to loosen up eligibility rules.

Congressional Quarterly estimates that one-fourth to one-third of city hall workers in major U.S. cities now are paid by CETA funds.  States don't want to be saddled with this financial burden, and union workers don't want the pipe-line to Washington shut off.

Everyone is pleased, no doubt, that underemployed union musicians in Cleveland are being paid to entertain highly paid construction workers on their lunch hour.  Poor blacks are welcome to dance on the sidewalks.

Now that employers with real jobs are to be enlisted, perhaps a few inner-city youth will find their way onto the scaffolding.

Author: Lindsey Williams