Verhovayak Lapja, 1947 (30. évfolyam, 1-24. szám)
1947 / Verhovay Journal
October 29, 1947 Verhovay Journal ' . y/ PAGE 5 instructed to endeavour a democratic reorganization of the American Hun-garian Federation. The motion is carried by 107 votes. 142. ) Motion is made that the promotional plan prepared by the Board of Directors be discussed at this time. The motion is carried unanimously. 143. ) Motion is made that the organizers be granted the privilege of the floor during the discussion of the plan. The motion is carried. 144. ) Supreme Secretary Oploman Revesz presents the promotional plan of the officers, which was developed by a Committee, with the cooperation of the district managers and other experts. The plan calls for an entirely new promotional system. The Supreme Secretary explains in detail the provisions of the plan, pertaining to the compensation of managers computed on a percentage basis, the new districts’ division and the appointment of district managers and organizers. 145. ) District Manager Frank Cher, speaking upon the subject, explains why it has been necessary for the Association to employ organizers. According to the new plan, the fields to be assigned to the managers will enable them to make a better living. He appeals for closer cooperation between the district managers and branch-managers. 146. ) District Manager Michael Simo asserts that the plan has been developed in the most constructive manner. The promotional plan is adopted for detailed discussion by the convention. 147. ) Further information is furnished by actuary E. T. Knodel who explains the differences between the former and the new promotional system and the method of compensating the managers for the retaining and increasing of the membership. Various questions are asked from the floor which are answered by the actuary to the satisfaction of the assembly. 148. ) After the conclusion of the debate, motion is made to adopt the recommendations of the officers as to the promotional plan. The motion is carried by a great majority. 149. ) The following are the provisions of the promotional plan adoptAl by the convention: 1. ) The direction of our promotional activities belongs to the jurisdiction of the supreme president. It has been proven by past experience that the duties of the Supreme Organizer are duplicated in the By-laws by those assigned to the Supreme President. 2. ) The Committee entrusted with the developing of the plan of a new promotional system recommends that the present nine organizing districts be replaced by four large FIELDS. To each field an experienced FIELD SUPERVISOR shall be appointed, preferably from among those district managers who, by their past records, are known as efficient producers and experts in the problems of the Association. These Field Supervisors shall be appointed by contract, upon recommendation of the Supreme Officers, by the Board of Directors. THE DUTIES OF THE FIELD SUPERVISORS ARE: а. ) to personally supervise the promotional activities in the FIELDS, in accordance with the instructions of the Supreme President; b.) to select and train prospective managers and organizers, from among the ambitious, talented members of the Association; c.) to periodically supervise the records of the District Managers, Assistant District Managers and Branch- Managers. THE FIELD SUPERVISORS shall receive a fixed salary and their travelling expenses shall be compensated for on a mileage basis. 3. ) Each large branch shall constitute an ORGANIZING DISTRICT by itself. Similar individual ORGANIZING DISTRICTS may be formed from branches operating in one community, or in adjacent communities, if such action seems advisable, from the point of view7 of promotional progress, to the Retard of Directors. The managers serving such individual districts shall be known as DISTRICT MANAGERS. The full-time manager shall receive from the Home Office a certain percentage on the dues and all other monies collected and forwarded to the Home Office, instead of the annual allotment stipulated in the present provisions of the By-laws. He shall be assigned a quarterly production quota, for which he shall be entitled to a certain commission to be computed on a percentage basis. He shall be employed and appointed by the Supreme President with a contract, the terms of which are to be set by the Board of Directors. He is under the supervision of the Field Supervisor. 4. ) In branches not having sufficient members to warrant the setting up of an individual organizing district, but where conditions seem to indicate future progress, the Supreme President may appoint the part-time branchmanager ASSISTANT DISTRICT MANAGER. Such manager shall receive from the Home Office a certain percentage of the dues and all other monies collected and forwarded to the Home Office, instead of the annual allotment stipulated in the present provisions of the By-laws. The Assistant District Manager shall have a semi-annual production quota for which he shall be entitled to commissions on the same percentage basis as the District Managers. The Assistant District Manager, appointed by the Supreme President, shall be employed by contract the terms of which are to be set by the Board of Directors. The Assistant District Manager shall be supervised in accordance with the instructions of the Home Office, by the Field Supervisor. 5. ) It is the duty of the Field Supervisor to visit at regular intervals the managers of those branches which cannot be assigned to an Organizing District. However, only the Branch-Manager shall be entitled to commissions after new members secured jointly by the Field Supervisor and the Branch- Manager. The commission rates shall be fixed by the Board of Directors. The Committee entrusted with developing the plan of the new promotional system recommends that the branch-manager be paid a certain percentage of the dues and other monies collected, instead of the present annual allotment. б. ) The Committee found that most of the new members apply for endowment certificates. Most of the lapses are found to occur in the same category. These facts seem to warrant the following conclusion: since our managers and organizers are paid the same commission percentage on all new members, regardless of the class of insurance applied for, they favor the classes calling for higher rates of monthly dues, instead of properly selecting the applications suitable to the needs and financial circumstances of the applicants. As a remedy of this situation, the Committee recommends the variegation of commission percentages. It is recommended that increased commission percentages be applied to whole-life certificates and moderate percentages be used in computing the commissions for endowment certificates. These commission tables are to be computed in such manner that the average income from commissions may assure those engaged in organizing work of adequate compensation for their labors. 7. ) Commissions on new business! shall be computed on the basis of dues actually paid by the new members. If the applicant pays the reduced rate appliable to advance payments for three, six or twelve months, the manager shall be paid commissions on the reduced rate. On the other hand, if the member elects to pay monthly, the due percentage of the total amount of monthly dues shall be paid to the manager. 8. ) Applicants shall be required to indicate at the time application is made whether they wish to pay their dues in monthly, quarterly, semi-annual or annual installments. Any change in the payment plan shall be effected only upon approval by the Home Office. 150. ) The meeting is adjourned until the next morning by chairman Coloman Kolozsvary. (Signed by:) Coloman Kolozsvary, chairman; Charles Uray, recording secretary; attested by Jphn Szász and John Gyiraszin. CONTINUOUS MINUTES taken on the sixth day of the XXI. Convention of the Verhovay Fraternal Insurance Association in the English Room of the Fort Pitt Hotel in Pittsburgh, Pennsylvania. 151. ) The meeting is called to order at 8:30 A.M.. by chairman Coloman Kolozsvary. Roll call follows at which all delegates, excepting two, report present. 152. ) Chairman requests recording secretary Charles Uray to read the minutes of the previous sessions. The minutes are adopted with the following corrections: 153. ) Chairman requests Andrew Bandy, chairman of the Committee of Appeals, to submit his report on the business conducted by the committee during the last four years. The chairman of the Committee reports that no business has been brought before the committee. 154. ) The following correction is to be made in § 140: '‘The result of the vote taken in the matter of the American Hungarian Federation is duly acknowledged by the majority.” 155. ) Chairman announces that the magazine “Magyar Mozi”, published in South Bend, is represented also by Sarah Pataki. 156. ) Chairman announces that on Saturday the convention will adjourn at 1 P.M., and he requests the delegates who plan to leave the city, to report in case they should be unable to be present at the opening of the session on Monday morning. 157. ) Chairman Coloman Kolozsvary calls upon George Mészáros, chairman of the Disciplinary Committee, to render a /report to the convention. He reports that no business had come before the committee. 158. ) Several delegates request the chairman to reopen the discussion of the promotional plan. A vote is taken on the request which is rejected. The great majority of the delegates reaffirm the actions taken by the Convention on the previous day. 159. ) Chairman announces that the discussion of the Disability Fund is the next item before the convention. 160. ) The Supreme Secretary renders a detailed report on the condition of, and thfe proposed recommendations of the Board of Directors pertaining to the Disability Fund. He states that the Insurance Department, following an examination conducted in 1945, instructed the Home Office to strengthen the reserves of the disability fund by placing the fund on a sound actuarial basis. The Home Office, at that time, assured the Insurance Department that, at the next Convention, every effort will be made to comply with these instructions. The discussion is opened and several delegates speak upon the subject. 161. ) A recess of 15 minutes is ordered by the chairman at 10:45 A.M. 162. ) Following the recess, the meeting is called to ord|r by the chairman. 163. ) Continuing the discussion of the Disability Fund, the following recommendation is submitted to the convention by Supreme Secretary Coloman Revesz: “Proposed amendments to article 37 of the Sick Benefit by-laws: For any member who was admitted prior to January 1, 1944, and who passed his 65th birthday, nearest certificate anniversary, on or after January 1, 1948, the weekly benefit available shall be: $2.50 for Class 1, $5.00 for Class 2, $7.50 for class 3, and $10.00 for Class 4. However, the aggregate benefit the member may receive shall be $250 for Class 1, $500 for Class 2, $750 for Class 3, and $1,000 for Class 4. If a member, beginning from January 1st, 1926, shall have received either consecutively, or at various times, sick benefits for a total period of 62£ weeks, or its equivalent sum, or if he has attained the age of 65, he shall automatically cease to be a member of the Sick Benefit Department and shall never have any further claims against it. Payment of sick benefit dues shall cease at the same time.” After a prolonged debate the recommendation is rejected and the convention takes the following action: Resolved, that the Insurance Department be petitioned by the Board of Directors and Supreme Officers for an extension of the time allowed for the readjustment of the disability fund and the necessary adjustments to be made to place the fund on a sound actuarial basis. Resolved, further, that the Supreme Officers and the Actuary of the Association be authorized to develop a plan for the readjustment of the disability fund whereby the privileges of the aged members of the Association would not be jeopardized. In the event the plan thus to be developed will be granted the tentative approval of the Insurance Deparment, copies thereof shall be mailed to the delegates to the XXI. Convention for approval. In the event the plan submitted to the delegates will be agreed to by the majority, it shall take effect just as if it would have been discussed, voted upon and adopted on the floor of the Convention. 164. ) The Convention requests the Home Office to submit the resolution adopted by the assembly for approval to the Insurance Department. The above action was taken by a majority of 72 votes over 39 dissenting votes. 165. ) An emergency motion is presented and discussed by the assembly, as to whether or not the district managers and local organizers shall be invited to remain until the end of the convention. Motion is made to decide the issue by secret ballot. The motion is carried by 74 over 38 votes. 166. ) The question is submitted to a ballot, vote by the chairman. A tievote results with 73 ballots cast in favor of, and 73 opposed to the recom/