Bonus Army


The Bonus Army was a group of 43,000 demonstrators—17,000 veterans of U.S. involvement in World War I, their families, and affiliated groups—who gathered in Washington, D.C., in mid-1932 to demand early cash redemption of their service bonus certificates. Organizers called the demonstrators the Bonus Expeditionary Force, to echo the name of World War I's American Expeditionary Forces, while the media referred to them as the "Bonus Army" or "Bonus Marchers". The demonstrators were led by Walter W. Waters, a former sergeant. Many of the war veterans had been out of work during the beginning of the Great Depression. The World War Adjusted Compensation Act of 1924 had awarded all World War I veterans "bonuses" in the form of certificates they could not redeem until 1945. Each certificate, issued to a qualified veteran soldier, bore a face value equal to the soldier's promised payment with compound interest. The principal demand of the Bonus Army was the immediate cash payment of their certificates.
On July 28, 1932, U.S. Attorney General William D. Mitchell ordered the veterans removed from all government property. Washington police met with resistance, shot at the protestors, and two veterans were wounded and later died. President Herbert Hoover then ordered the U.S. Army to clear the marchers' campsite. Army Chief of Staff General Douglas MacArthur commanded a contingent of infantry and cavalry, supported by six tanks. The Bonus Army marchers with their wives and children were driven out, and their shelters and belongings burned.
A second, smaller Bonus March in 1933 at the start of the Roosevelt administration was defused in May with an offer of jobs with the Civilian Conservation Corps at Fort Hunt, Virginia, which most of the group accepted. Those who chose not to work for the CCC by the May 22 deadline were given transportation home. In 1936, Congress overrode President Roosevelt's veto and paid the veterans their bonus nine years early.

Origin of military bonuses

The practice of war-time military bonuses began in 1776, as payment for the difference between what a soldier earned and what he could have earned had he not enlisted. The practice derived from English legislation passed in the 1592–93 session of Parliament to provide medical care and maintenance for disabled veterans and bonuses for serving soldiers.
In August 1776, Congress adopted the first national pension law providing half pay for life for disabled veterans. Considerable pressure was applied to expand benefits to match the British system for serving soldiers and sailors but had little support from the colonial government until mass desertions at Valley Forge that threatened the existence of the Continental Army led George Washington to become a strong advocate.
In 1781, most of the Continental Army was demobilized. Two years later, hundreds of Pennsylvania war veterans marched on Philadelphia, then the nation's capital, surrounded the State House, where the U.S. Congress was in session, and demanded back pay. Congress fled to Princeton, New Jersey, and several weeks later, the U.S. Army expelled the war veterans from Philadelphia. Congress progressively passed legislation from 1788 covering pensions and bonuses, eventually extending eligibility to widows in 1836.
Before World War I, the soldiers' military service bonus was land and money; a Continental Army private received and $80.00 at war's end, while a major general received. In 1855, Congress increased the land-grant minimum to, and reduced the eligibility requirements to fourteen days of military service or one battle; moreover, the bonus also applied to veterans of any Indian war. The provision of land eventually became a major political issue, particularly in Tennessee where almost 40% of arable land had been given to veterans as part of their bonus. By 1860, had been issued and lack of available arable land led to the program's abandonment and replacement with a cash-only system. Breaking with tradition, the veterans of the Spanish–American War did not receive a bonus and after World War I, that became a political matter when they received only a $60 bonus. The American Legion, created in 1919, led a political movement for an additional bonus.
On May 15, 1924, President Calvin Coolidge vetoed a bill granting bonuses to veterans of World War I, saying: "patriotism... bought and paid for is not patriotism." However, the Bonus Bill was endorsed by Henry Cabot Lodge and Charles Curtis. Congress overrode Coolidge's veto of the Bonus Bill, enacting the World War Adjusted Compensation Act. Each veteran was to receive a dollar for each day of domestic service, up to a maximum of $500, and $1.25 for each day of overseas service, up to a maximum of $625. Deducted from this was $60, for the $60 they received upon discharge. Amounts of $50 or less were immediately paid. All other amounts were issued as Certificates of Service maturing in 20 years.
There were 3,662,374 Adjusted Service Certificates issued, with a combined face value of $3.64 billion. Congress established a trust fund to receive 20 annual payments of $112 million that, with interest, would finance the 1945 disbursement of the $3.638 billion for the veterans. Meanwhile, veterans could borrow up to 22.5% of the certificate's face value from the fund; but in 1931, because of the Great Depression, Congress increased the maximum value of such loans to 50% of the certificate's face value. Although there was congressional support for the immediate redemption of the military service certificates, Hoover and Republican congressmen opposed such action and reasoned that the government would have to increase taxes to cover the costs of the payout and so any potential economic recovery would be slowed.
The Veterans of Foreign Wars continued to press the federal government to allow the early redemption of military service certificates.
In January 1932, a march of 25,000 unemployed Pennsylvanians, dubbed "Cox's Army", had marched on Washington, D.C., the largest demonstration to date in the nation's capital, setting a precedent for future marches by the unemployed.

Campsite

Most of the Bonus Army camped in a form of a "Hooverville" on the Anacostia Flats, a swampy, muddy area away from the federal core of Washington. Other veterans lived much closer, in partially demolished buildings on Pennsylvania Avenue near the Third Street SW. Although occupation of Anacostia Flats was against federal law, D.C. police Superintendent
Pelham D. Glassford obtained permission off the record from his friend Major General Ulysses S. Grant III, Director of Public Buildings and Public Parks in the Capital, who promised to make no objection. The chosen site was located in the historically African American side of Anacostia; nearby were tennis courts and a baseball diamond, the latter of which was used by children of the camp. The War Department had refused a request by Senator James Hamilton Lewis to set up billets, so veterans, women and children lived in the shelters they built from materials dragged out of a junk pile nearby, which included old lumber, packing boxes, and scrap tin covered with roofs of thatched straw. The shack city was nicknamed Camp Marks, after the friendly Police Captain S. J. Marks.
Camp Marks was tightly controlled by the veterans, who laid out streets, built sanitation facilities, set up an internal police force and held daily parades. A vibrant community arose revolving around several key sections, including the religious tent, where marchers could be heard expressing forbearance, trust in God and gratitude for what they had compared to other victims of the Depression. Also popular was the Salvation Army lending library, where marchers wrote letters home in its makeshift post office. To live in the camps, veterans were required to register and to prove they had been honorably discharged or provided a bonus certificate, at which point a membership card would be issued. The Superintendent of the D.C. Police, Pelham D. Glassford, worked with camp leaders to supply the camp with food and supplies.
On June 15, 1932, the US House of Representatives passed the Wright Patman Bonus Bill to move forward the date for World War I veterans to receive their cash bonus. Over 6,000 bonus marchers massed at the U.S. Capitol on June 17 as the U.S. Senate voted on the Bonus Bill. The bill was defeated by a vote of 62–18.

Police shooting

On July 28, under prodding from President Herbert Hoover, the D.C. Commissioners ordered Pelham D. Glassford to clear their buildings, rather than letting the protesters drift away as he had previously recommended. When the veterans rioted, an officer drew his revolver and shot at the veterans, two of whom, William Hushka and Eric Carlson, died later.
During a previous riot, the Commissioners asked the White House for federal troops. Hoover passed the request to Secretary of War Patrick J. Hurley, who told MacArthur to take action to disperse the protesters. Towards the late afternoon, cavalry, infantry, tanks and machine guns pushed the "Bonusers" out of Washington.

Reports on communist elements

An Army intelligence report claimed that the BEF intended to occupy the Capitol permanently and instigate fighting, as a signal for communist uprisings in all major cities. It also conjectured that at least part of the Marine Corps garrison in Washington would side with the revolutionaries, hence Marine units eight blocks from the Capitol were never called upon. The report of July 5, 1932, by Conrad H. Lanza in upstate New York was not declassified until 1991.
The Department of Justice released an investigative report on the Bonus Army in September 1932, noting that communists had attempted to involve themselves with the Bonus Army from the start, and had been arrested for various offenses during protests:
As soon as the bonus march was initiated, and as early as May, 1932, the Communist party undertook an organized campaign to foment the movement, and induced radicals to join the marchers to Washington. As early as the edition of May 31, 1932, the Daily Worker, a publication which is the central organ of the Communist party in the United States, urged worker veteran delegations to go to Washington on June 8th.

In 1932, Hoover stated that the bulk of Bonus Army members behaved reasonably and a minority of what he described as communists and career criminals were responsible for most of the unrest associated with the events: "I wish to state emphatically that the extraordinary proportion of criminal, Communist, and nonveteran elements amongst the marchers as shown by this report, should not be taken to reflect upon the many thousands of honest, law-abiding men who came to Washington with full right of presentation of their views to the Congress. This better element and their leaders acted at all times to restrain crime and violence, but after the adjournment of Congress a large portion of them returned to their homes and gradually these better elements lost control." In his 1952 memoir, Hoover stated that at least 900 of the Bonus Army were "ex-convicts and Communists."
In his memoir The Whole of Their Lives Benjamin Gitlow of the Communist Party USA claimed that a number of communists had joined the Bonus Army during their trek across the nation, with the goal of recruiting people to the communist cause.
A 2009 Encyclopedia Britannica blog post asserted these would-be communist organizers were largely rejected by the Bonus Army marchers: "here were communists present in the camps, led by John T. Pace from Michigan. But if Pace believed that Bonus Army was a ready-made revolutionary cadre, he was mistaken. The marchers routinely expelled avowed communists from the camps. They destroyed communist leaflets and other literature. And among their other slogans the veterans adopted a motto directed at the communists, 'Eyes front—not left!'"