anticipated that well over 5,000, 5,400 or more county workers who have been permanent employees will no doubt be laid off, in the county's attempt to balance the budget. The city will perhaps lay off over 2,500 to 2,600 permanent employees in their attempt to balance the budget.

That is just the tip of the iceberg, because in addition to those immediate layoffs-and we are talking about people who have been civil servants for quite a period of time, and I don't need to tell you that the majority of these individuals will be blacks, will be Hispanics, women, the people last in the door are always the first out of the door. This wreaks havoc upon affirmative action attempts by the Government.

Services will be drastically reduced. Health services, for example-it is anticipated that within the county the health services that are offered through the Martin Luther King Hospital, in the middle of south-central Los Angeles, will be curtailed in many significant areas. Clinics may be closed.

The saga goes on and on.

I would hope that your committee, in the face of this tragedy that we find ourselves facing, that your committee will still fight. I know, Congressman Dymally, you have always been a strong advocate for the kinds of programs and services that I have just addressed. It is very important that there remain some voices who will still advocate positively programs in the employment arena, in the education arena, and elsewhere.

The urban league has primarily concentrated its attention and efforts in the employment arena, historically. We have also been active in the educational arena.

In that regard, it seems that one of the important things that Government needs to do now, as your committee and the Congress takes a look at the cities and what is happening, is to make sure that an effective national manpower policy, a coherent policy, is formulated, one that is going to insure that resources, adequate resources are provided and that there be an effective training delivery system, as well as a job delivery system in place.

It is one thing to eliminate CETA. It is one thing for the President and for a majority of Congress to say that CETA did not do the job. But that is not going to eliminate the problem. It may solve one problem but frankly will create another.

Over the short haul what we are finding is an exacerbation of the problem. People now on payrolls are being taken off payrolls and put on welfare, unemployment situations. So I would hope that you would come forward with a new manpower policy, national manpower policy, that would insure that training be provided for the unskilled and unemployed worker.

I would emphasize the unskilled worker. One of the popular myths that we frequently find being bandied about is that people thumb through newspaper want ad sections and talk about the hundreds upon hundreds of jobs that go wanting with the suggestion that there are people just sitting around not interested in working, maybe because they are shiftless and lazy, and you know all of the myths that some people have in this regard.

I would submit that one of the very real problems is that a really creative national training program is not in place that is going to

make sure that skilled preparation, adequate skilled preparation, is provided for the unskilled worker, so that that worker can be matched up with the jobs.

All too often the people are being trained for yesterday's jobs. It is important that such a training program keep pace with the future job projection-10 years down the road, 20 years down the road, and what have you.

It is important that the partnership between business and the Government be strengthened. The urban league certainly agrees that the private sector has an important role to play in job creation, in job opportunity, and indeed in job training.

In this regard, it seems that Government can play an important role, and your committee can play a particular role in helping to shape and formulate policies and legislation that will provide encouragement to the private sector-tax incentives, and other means that have frequently been talked about, but not really effectively implemented, so as to encourage the private sector to want to remain in the inner city and return to south-central Los Angeles, in the cases of many who have run to suburbia.

But I would submit there have to be some strings. Frequently when we have the political exchange that takes place, sometimes in partisan terms and sometimes in ideological terms, one of the very real points that gets missed is that we need to have strings attached to any kind of support that is going to be granted, if the unemployed, if that person at the bottom of the barrel is going to have a fair chance.

Historically, the poor person, the black person, the minority person, without Federal intervention has found himself or herself in a very, very sad shape. I would worry if there were just an open policy that would provide incentives to the private sector without tying in and gearing in some specific requirement that they establish their plants and provide their job opportunities in the middle of the city where the majority of the people are.

Closely related to the private sector and this kind of policy concept, I think it is very important that education be addressed. It seems that on the national level the Government has a responsibility to make sure that local educational institutions do their job.

There are over 550,000 young people attending the schools of Los Angeles. At this particular point in time, blacks, Hispanics, and Asians represent a combined majority enrollment of those attending these schools.

They also represent to a large extent young people who come from families that are poverty stricken, families that cannot afford a private school education, young people who have no choice but to go through that public school system.

The regrettable facts are that we have typically took many young people leaving Los Angeles schools with diplomas but without marketable skills. The urban league literally has thousands of such young people coming into our offices each year here in Los Angeles who are products of this school system.

It would appear that there needs to be an increased and better coordination between the educational community and the private sector, to make sure that marketable skills are developed, so that those young people who will not be going on to college will have an

opportunity to shop themselves around, to sell their skills to local employers.

We certainly in no way want to discourage academic preparation. I don't want anyone to misunderstand. We want to encourage as many young people to try to go on to college as possible, but the reality is not every young person is going to go to college.

You know that. I know that. Therefore, it seems to me more and more we need to take a critical look at what is happening in these isolated schools in Los Angeles, and throughout urban America, and not allow local school districts and school boards and administrations to abandon them and subject them to Siberia, or to a life of poor education, and callousness that they all too often face.

It would appear therefore on the Federal level your committee and the Congress would want to take a look at ways and means of interrelating training within the classroom, training within the manpower arena, for the out of school youth as well, and certainly encouraging and stipulating involvement of the business community.

One example of a pilot project that is scheduled to begin in September, that at least sounds good and appears to be in the right direction is the 95 Elementary School, Bret Harte Junior High School, Washington Senior High School. Congressman Dymally knows where they are. They are all located in south-central Los Angeles.

They are going to try something that at least will be different and innovative. What I describe to you may not sound terribly original or new at least in terms of what has been advocated so long.

The idea is, first of all, they are going to limit the number of young people who attend these schools. At the elementary level they are going to put a cap of 600 youngsters on, so that no more than that number can attend.

At Bret Harte Junior High School, they are going to put a maximum of 800 youngsters. They have not determined what happens in Washington High. Washington is going to be developed into a magnet. Bret Harte will be an intermediate school.

They are going to require that every youngster for that school apply for admission, along with their parents. Parents have to sign off along with the youngsters. The basic commitment they have to make is that they are motivated and interested in attending that school and learning.

They are not all going to be A students. There is no academic grade or requirement involved.

The principal is going to have increased flexibility in the selection of the staff, which is something a little bit new and different. As you well know, frequently due to various kinds of relationships involving those sometimes between the union as well as the administration and the board, principals don't always have this kind of control.

The principals have been handpicked. They are caring, sensitive, well-prepared educators. They are going to have teachers who know what they are doing and who are committed.

At least the theory is, the thought is, that this should produce a better quality academic experience for these youngsters because you are going to have the right ingredients.

You will have students who want to learn. You are going to have teachers who want to teach and are capable of teaching. They are going to be able to operate in an environment that will be conducive.

It would appear if such an approach does work, that you may want to take a look at offering some Federal support and encouragement to stimulating this kind of approach on a broader basis. One of the problems I would submit that we frequently find ourselves facing, whether it is in education or in jobs, or in other arenas, is that we cite the exception, we cite the pilot experience. What we need to do is reach the point that it becomes an everyday experience, whether it is in the classroom or elsewhere, that people are going to be able to have an opportunity to develop their potential and therefore broaden opportunities for more people.

In conclusion, the basic plea that I would make to this committee is, No. 1, that you take a very good, hard look at the establishment of a national system for manpower; a policy from the Federal level, and building in a delivery system.

Since CETA is going out the window, it is important that it be replaced with something that is going to be viable; something that is going to provide people with effective marketable skills, and with jobs at the end of the line.

That is absolutely essential. I think it will impact to some extent the general problems of youth and the gang activity which the previous witness alluded to. It is not going to be the sole answer to that problem, I would agree, because there are some offenders who have to be addressed in the manner the district attorney spoke about.

But I would also submit that some people may be driven to a life of crime, not necessarily violent crime, because they have been denied opportunity. I would cite just one example to make that point.

The urban league had a young person come to its youth employment training program, which is a CETA-funded program for youth that has been highly successful during the past several years. We are a subcontractor of the city of Los Angeles, and of course the funds, as you know, have come from the U.S. Department of Labor. This young man was from Chicago. He had been put in jail for robbery. He was on the run from the Chicago police and came to LA; he came under the attention of local probation officials.

The probation officials established contact with one of our staff people running this program. They brought him in and enrolled him as a participant. He went through a 7-week period of preemployment training and preparation, where he was able to work on some of his social skills, get into the habit of understanding what it is like to accept this kind of responsibility. Then he went into a work experience situation for 4 months. From there he went on to full-time unsubsidized employment.

He is now working very successfully. He is not on the streets stealing from anybody, he is making a livelihood for himself, and

he and his family can enjoy not only the fruits of their economic labor, but also human dignity and opportunity.

I believe that as long as there is a Federal involvement-and there must be an increased Federal involvement-then we may have an opportunity to make sure that everyone within the city of Los Angeles and the cities throughout America will be able to participate fully and freely to the extent of their individual potential and ability.

[The prepared statement of Mr. Mack follows:]

PREPARED Statement oF JOHN W. MACK

Chairman Dellums, Congressman Dymally and other committee members. I am John W. Mack, President, Los Angeles Urban League; and am honored to have been invited to testify before your committee concerning the urban problems confronting Los Angeles. I will focus my presentation primarily upon the Black citizens, since they constitute the Los Angeles Urban League's major constituency.

Some of them are no doubt acquainted with the general goals and programs of the Urban League, either nationally or in other parts of the Nation. However, I would like to briefly acquaint you with the Los Angeles Urban League-which is one of 117 affiliates of the National Urban League. The Los Angeles Urban League has been serving this community for 60 years. The League is private, non-profit, nonpartisan and its policies are set by a 44 member Board of Directors-comprised of unpaid volunteers representing various racial, religious and sexual backgrounds. They come from business, industry, labor, professional, community and other areas of endeavor. A staff of very dedicated and extremely competent individuals implement the organizations' policies and programs on a daily basis.

In 1980, the Los Angeles Urban League served over 90,000 Blacks and other needy citizens through 19 different programs and various community activities. We operated a Headstart project which served over 600 pre-school children.

The League has 9 offices, strategically located throughout South Central Los Angeles, Pasadena, Monrovia and Pomona. Through our various public and privately funded manpower programs, 1,643 previously unemployed and underemployed individuals were placed in jobs. These 1,634 persons earned combined annual salaries which totalled over Sixteen Million, Nine Hundred Seventy Two Thousand Dollars ($16,972,014.00). They paid a combined total of over Three Million, Three Hundred Ninety Four Thousand Dollars ($3,394,402.80) in taxes-based upon a calculation in the 20 percent tax bracket. Their jobs ranged from the entry level to skilled, technical, professional and middle managerial levels.

In 1980, the Los Angeles Urban League's income from Government contracts totalled Four Million, Three Hundred Thousand, Eight Hundred Forty Four Dollars ($4,300,844,00). Our total income from all sources amounted to Four Million, Nine Hundred Fifty Eight Thousand Five Hundred Forty One Dollars ($4,958,541.00). Therefore, as you can see, the people whom the Los Angeles Urban League placed in jobs paid back in taxes close to 79 percent of the governmental dollars we received; and 68 percent of our total budget from all sources. That should explode the myth, which some perpetuate that governmentally funded CETA and other similar programs are giveaways that do not benefit the untrained and the unemployed.

Despite those accomplishments, of which we are very proud, thousands of local citizens remain out of work, poorly educated-and are without help or hope. For every individual we help, there are thousands more in need of similar assistance. Unemployment among South Central Los Angeles Black adult heads of households is 33 percent; and growing with additional layoffs resulting from the budget cutting that is taking place in Washington and Los Angeles.

Your Committee Hearings are being held at a time when ill winds are blowing out of Washington-especially for minorities and the poor. Greatly needed government funding for essential services is being wiped out at the expense of the poor. Despite claims by President Reagan and many members of Congress to the contrary; the cuts are not even-handed, and they are grossly unfair to the people in greatest need.

You are conducting these hearings at a time when budget cutting is in style. The only increases in vogue are those-beefing up defense and the military on the federal level-and the police and sheriff departments on the local level. The Urban League and I support strong military and efficient local law enforcement agencies able to cope with our serious crime problems.