reinstatement or hiring of employees, with or without backpay (payable by the employer, employment agency, or labor organization, as the case may be, responsible for the discrimination): Provided, That interim earnings or amounts earnable with reasonable diligence by the person or persons discriminated against shall operate to reduce the backpay otherwise allowable. Such order may further require such respondent to make reports from time to time showing the extent to which it has complied with the order. If the Commission shall find that the respondent has not engaged in any unlawful employment practice, the Commission shall state its findings of fact and shall issue and cause to be served on such respondent and other parties an order dismissing the complaint.

"(g) From the time a hearing is held before the Commission, or in the case of a hearing before a member or designated agent of the Commission, from the time of the transfer of the record thereof to the Commission, until a transcript of the record in a case shall have been filed in a court, as hereinafter provided, the case may at any time be ended by agreement between the parties, approved by the Commission, for the elimination of the alleged unlawful employment practice on mutually satisfactory terms, and the Commission may at any time, upon reasonable notice and in such manner as it shall deem proper, modify or set aside, in whole or in part, any finding or order made or issued by it.

"(h) (1) The proceedings held pursuant to the preceding subsections of this section shall be conducted in public sessions and in conformity with the standards and limitations of sections 5, 6, 7, 8, and 11 of the Administrative Procedure Act. "(2) In addition to the authority conferred upon the Commission by the other provisions of this title, the Commission is authorized, in carrying out its functions under this title, to

"(A) receive money and other property donated, bequeathed, or devised, without condition other than that it be used in furtherance of the conditions of this title; and to use, sell, or otherwise dispose of such property for the purpose of carrying out the provisions of this title; and

"(B) accept and utilize the services of voluntary and uncompensated personnel and reimbure them for travel expenses, including per diem, as authorized by law (5 U.S.C. 736-2) for persons in the Government service employed without compensation.

(3) For the purposes of the preceding subsections of this section the Commission is authorized to utilize the available services of the Department of Labor and the employees thereof, with the consent of the Secretary of Labor, in (A) conducting a preliminary investigation with respect to any charge filed with the Commission, (B) endeavoring to secure voluntary compliance with this title, (C) conducting a hearing resulting from the issuance of a complaint by the Commission, and (D) obtaining advice and pertinent information concerning any occupational training programs financed in whole or in part by the Federal Government. Within the limitation of funds appropriated to the Commission, it may make agreements, with the Secretary of Labor, establish such procedures, and make such payments, either in advance or by way of reimbursement, to the Department of Labor or the employees thereof, as the Commission deems necessary to carry out the provisions of this paragraph. For the purposes of this parargaph, the Secretary of Labor is authorized to cooperate with the Commission and to provide such services as the Commission may request. Nothing contained herein shall be construed to authorize the Commission to delegate any of its authority to make determinations with respect to charges filed with it, to issue complaints, or to make final orders and findings of fact.

(i) (1) Whenever the Commission makes a finding that any respondent has engaged in any unlawful employment practice and issues an order requiring such respondent to cease and desist from such unlawful employment practice or whenever the Commission has probable cause for belief that any respondent is not in compliance with the terms of any voluntary agreement for the elimination of an unlawful employment practice entered into pursuant to subsection (b), (e) or (g) of this section, the Commission shall have the power to petition any United States court of appeals, or if the court of appeals to which applications might be made is in vacation, any district court within any circuit or district, respectively, wherein the unlawful employment practice in question occurred, or wherein the respondent resides or transacts business, for the enforcement of such order or voluntary agreement and for appropriate temporary relief or restraining order and for the entry of an order directing the respondent to forfeit and pay to the United States a civil penalty of not more than $5,000 for any violation of such

order of the Commission, and shall certify and file in the court to which petition is made a transcript of the entire record in the proceeding, including the pleadings and testimony upon which such an order was entered and the findings and the order of the Commission or a true copy of such voluntary agreement. Upon such filing, the court shall conduct further proceedings in conformity with the standards, procedures, and limitations established by section 10 of the Administrative Procedure Act.

"(2) Upon such filing the court shall cause notice thereof to be served upon such respondent and thereupon shall have jurisdiction of the proceeding and of the question determined therein and shall have the power to grant such temporary relief or restraining order as it deems just and proper and to make and enter upon the pleadings, testimony, and proceedings set forth in such transcript a decree enforcing, modifying, and enforcing as so modified, or setting aside in whole or in part the order of the Commission or the voluntary agreement between the parties, or directing the respondent to forfeit and pay to the United States a civil penalty of not more than $5,000 for any violation of the order of the Commission, which penalty shall accrue to the United States. For the purposes of this subsection, each separate violation of such a final order shall be a separate of fense, except that in the case of a violation through continuing failure or neglect to obey a final order of the Commission each day of continuance of such failure or neglect shall be deemed a separate offense.

"(3) No objection that has not been urged before the Commission, its member, or agent, shall be considered by the court, unless the failure or neglect to urge such objection shall be excused because of extraordinary circumstances.

"(4) The findings of the Commission with respect to questions of fact if sup ported by substantial evidence on the record considered as a whole shall be conclusive.

"(5) If either party shall apply to the court for leave to adduce additional evidence and shall show to the satisfaction of the court that such additional evidence is material and that there were reasonable grounds for the failure to adduce such evidence in the hearing before the Commission, its member, or agent, the court may order such additional evidence to be taken before the Commission, its mem ber, or agent, and to be made a part of the transcript.

"(6) The Commission may modify its findings as to the facts, or make new findings, by reason of additional evidence so taken and filed, and it shall file such modified or new findings, which findings with respect to questions of fact if supported by substantial evidence on the record considered as a whole shall be conclusive, and its recommendations, if any, for the modification or setting aside of its original order.

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(7) The jurisdiction of the court shall be exclusive and its judgment and decree shall be final, except that the same shall be subject to review by the ap propriate United States court of appeals, if application was made to the district court or other United States court as hereinabove provided, and by the Supreme Court of the United States as provided in title 28, United States Code, section 1254.

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(j) Whenever a written charge has been filed pursuant to subsection (b) alleging that any respondent has engaged in any unlawful employment practice and, after preliminary investigation, the Commission has determined that probable cause exists for crediting such written charge, the Commission may petition any United States court of appeals or, if the court of appeals to which application might be made is in vacation, any district court within any circuit or district, respectively, wherein the unlawful employment practice in question is alleged to have occurred, or wherein the respondent resides or transacts business, for appropriate injunctive relief pending the final adjudication of the Commission, or the securing of a voluntary agreement between the parties under subsection (b), (e), or (g) of this section, with respect to the matter in question. Upon the filing of any such petition the court shall cause notice thereof to be served upon the respondent and thereupon shall have jurisdiction to grant such injunctive relief or temporary restraining order as it deems just and proper, Such respondent shall be given an opportunity to appear by counsel and present any relevant testimony. Notwithstanding any other provision of this subsection, a temporary restraining order may be issued without notice if a petition alleges that substantial and irreparable injury to the alleged aggrieved party will be unavoidable and any such temporary restraining order shall be effective for no longer than five days and will become void at the expiration of such period.

“'(k)(1) Any person or party aggrieved by a final order of the Commission may obtain a review of such order in any United States court of appeals of the judicial circuit wherein the unlawful employment practice in question was alleged to have been engaged in or wherein such person or party resides or transacts business or the Court of Appeals for the District of Columbia, by filing in such a court a written petition praying that the order of the Commission be modified or set aside. A copy of such petition shall be forthwith served upon the Commission and thereupon the aggrieved party shall file in the court a transcript of the entire record in the proceeding certified by the Commission, including the pleadings and testimony upon which the order complained of was entered and the findings and order of the Commission. Upon such filing, the court shall proceed in the same manner as in the case of an application by the Commission under subsection (i), and shall have the same exclusive jurisdiction to grant to the petitioners or to the Commission such temporary relief or restraining order as it deems just and proper, and in like manner to make and enter a decree enforcing, modifying, and enforcing as so modified or setting aside in whole or in part the order of the Commission.

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"(2) Upon such filing by a person or party aggrieved the reviewing court shall conduct further proceedings in conformity with the standards, procedures, and limitations established by section 10 of the Administrative Procedure Act. "(1) The commencement of proceedings under this section shall not, unless specifically ordered by the court, operate as a stay of the Commission's order. "(m) When granting appropriate temporary relief or a restraining order, or making and entering a decrée enforcing, modifying, and enforcing as so modified, or setting aside in whole or in part an order of the Commission, as provided in this section, the jurisdiction of courts sitting in equity shall not be limited by the Act entitled "An Act to amend the Judicial Code and to define and limit the jurisdiction of courts sitting in equity, and for other purposes", approved March 23, 1932 (29 U.S.C. 101-115).

"(n) Petitions filed under this title shall be heard expeditiously.'

"SEC. 3. The second sentence of section 709 (b) of the Civil Rights Act of 1964 is amended by striking out 'and under which no person may bring a civil action under section 706 in any case or class of cases so specified,'.

"SEC. 4. Title VII of the Civil Rights Act of 1964 is amended by deleting section 710 and inserting in lieu thereof the following:

"'INVESTIGATORY POWERS

"SEC. 710. (a) For the purposes of any investigation provided for in this title. the provisions of sections 9 and 10 of the Federal Trade Commission Act of September 16, 1914, as amended (15 U.S.C. 49, 50), are hereby made applicable to the jurisdiction, powers, and duties of the Commission, except that the attendance of a witness may not be required outside of the State where he is found. resides, or transacts business, and the production of evidence may not be required outside the State where such evidence is kept.

"(b) The several departments and agencies of the Government, when directed by the President, shall furnish the Commission, upon its requests, all records, papers, and information in their possession relating to any matter before the Commission.'

"SEC. 5. Title VII of the Civil Rights Act of 1964 is amended by adding at the end thereof the following new section:

"'SURVEY BY COMMISSION OF APPRENTICESHIP OR OTHER TRAINING PROGRAMS

'SEC. 717. (a) The Commission shall conduct a continuing survey of the operation of apprenticeship or other training or retraining programs, including onthe-job training programs, to determine if the employers, labor organizations, or joint labor-management committees controlling such programs are engaged in unlawful employment practices with respect to the operation of such programs. "(b) Notwithstanding any provisions of section 709, in conducting such survey the Commission shall at all reasonable times have access to any records maintained by an employer, labor organization, or joint labor-management committee pursuant to (1) the regulations prescribed by the Commission under the second sentence of section 709 (c), or (2) any fair employment practice law of a State or political subdivision thereof.

"(c) The Commission shall make a full and complete quarterly report to the Congress, containing the results of such survey during the preceding three months, and such report shall be made available to the public upon request.'

"SEC. 6. The provisions of this Act shall not affect suits commenced prior to the date of enactment of this Act by an aggrieved person pursuant to section 706(e) of the Civil Rights Act of 1964, or by the Attorney General pursuant to section 707 of such Act, and all such suits shall be continued by such aggrieved person or the Attorney General, as the case may be, proceedings therein had, appeals therein taken, and judgments therein rendered, in the same manner and with the same effect as if this Act had not been passed."

Hon. LISTER HILL,

EQUAL EMPLOYMENT OPPORTUNITY COMMISSION,

Chairman, Committee on Labor and Public Welfare,
U.S. Senate, Washington, D.C.

Washington, D.C.

DEAR MR. CHAIRMAN: Thank you for your letter of March 20 asking the Equal Employment Opportunity Commission to submit a report on S. 1308, the equal employment opportunity legislation introduced by Senators Clark and Javits.

The Equal Employment Opportunity Commission strongly recommends the adoption of this legislation. We believe that passage of S. 1308 is necessary to make the Commission a more effective agent in ensuring true equal employment opportunity.

The major feature of this proposal is the provision to grant cease and desist order powers to the Equal Employment Opportunity Commission. In our judg ment, the availability of this power would do much not only to ensure minority employment rights under the law but also to enhance the conciliation process which is fundamental to the successful operation of the Commission.

Some 40 percent of the cases in which the Commission has found probable cause to believe discrimination was practiced have not been successfully conciliated under the present law, with the result that a sizeable minority of persons whose rights to equal employment opportunity have been violated do not receive redress from the Commission. The availability of the cease and desist order powers would both improve the possibility of the complainant obtaining a legal remedy and serve to increase the respondent's willingness to cooperate in arriving at a satisfactory conciliation.

Procedures in the existing legislation make for a situation where a uniform standard of equal employment will evolve only through appeal of individual cases to the Supreme Court. With the passage of S. 1308, the Commission will be able to issue cease and desist orders which will make for such a uniform standard in the first instance. The burden on individual complainants and on individual district judges will also be reduced.

The Equal Employment Opportunity Commission is therefore eager to see this proposal enacted into law and hopeful that hearings will begin at your earliest convenience.

The Bureau of the Budget informs us that this legislation is in accord with the program of the President.

Yours sincerely,

STEPHEN N. SHULMAN, Chairman.

Senator CLARK. Senator Kennedy, do you have something to add? Senator KENNEDY of Massachusetts. Thank you, Mr. Chairman. I have a brief opening statement and I would ask if we could have my opening remarks follow the chairman's opening remarks.

Senator CLARK. Go right ahead, Senator Kennedy.

STATEMENT OF HON. EDWARD M. KENNEDY, A U.S. SENATOR FROM THE STATE OF MASSACHUSETTS

Senator KENNEDY of Massachusetts. Thank you, Mr. Chairman. I am most pleased that this subcommittee will have the opportunity to review the work of the Equal Employment Opportunity Commission

and to see what steps ought to be taken to strengthen that Commission and make more effective the important work it has been assigned.

Certainly, equal access to jobs is one of the most central elements in our struggle for total equality of opportunity. It is also vital to our efforts to combat poverty, and essential to our program for prevention of crime and rehabilitation of offenders.

If a man cannot get a job because of his race, his religion, or his national origin, it is not only a tragedy for the one individual, who cannot support himself or his family, who must endure the feeling of rejection and frustration at having been rebuffed by the society in which he lives, it is also a tragedy for society has lost the benefit of the contribution which that man was prepared to make, and society has turned away unsatisfied a person who wanted to have a stake in the society. And most simply, but most tellingly, society has demonstrated that prejudice and unreasoned reflex actions are still capable of outweighing fairness, rationality, and the principles of equality on which the foundations of our democracy were laid.

We, in Massachusetts, have a special interest in equal employment opportunity. Our State was the third in the Nation to pass a fair employment practices law more than 20 years ago. Enforcement of that law is now in the hands of the Massachusetts Commission Against Discrimination under the able leadership of Malcolm Webber, whom we will be hearing from tomorrow afternoon.

The Massachusetts commission covers not only employment, but also housing, public accommodations, and public facilities. It received 638 complaints of all kinds in 1965 and 706 complaints in 1966. Of these about one-fifth involved employment practices.

The Massachusetts commission has worked very closely with the Federal Equal Employment Opportunity Commission, practically from the day that title VII became law. The State legislature led the way in this regard when it moved quickly to make its law correspond to the Federal law by adding a prohibition against discrimination on account of sex.

Since then there has been frequent contact and continuing cooperation between the two commissions, culminating in a joint research project in 1965. Some of the findings and proposals which came out of that project have been the basis for a grant from the EEOC to the Massachusetts commission, which I am sure will be productive for both parties.

In connection with the bill before the committee, S. 1308, which is title III of the proposed Civil Rights Act of 1967, S. 1026, of which I am a cosponsor, I should mention that the Massachusetts commission has a cease-and-desist authority similar to that which the bill would grant to the EEOC.

I am told that this power to secure cease-and-desist orders, although it is rarely used in the Massachusetts commission, has enabled it to do a more effective job of conciliation. Of the more than 600 cases presented to the commission in 1965, in only one did the commission go through the hearing and cease-and-desist procedure.

I hope this subcommittee will have a chance tomorrow to explore with Mr. Webber the workings of this provision in Massachusetts, and to see what some of its benefits and some of its problems have been. I thank the Chair.