result is I assume that some news show, maybe it is "60 Minutes" or one of these programs, is actually going to do a segment, a widely viewed show that will probably indicate, rightly or wrongly-I am sure that people disagree that these machines are not infallible. To the extent that a potential subject of a polygraph begins to believe that it is not infallible, then the reliability of those tests, of course, decreases substantially.

Dr. SAXE. I am concerned in the private sector, as well as in the government sector, about dishonest people. Whether the people are using drugs, or stealing, or passing information to unauthorized sources, I am concerned about their being missed by polygraph tests. I believe that what are called countermeasures can be used to defeat the test. The best one is just not believing in the efficacy of the machine, and that is going to result in a lot of guilty parties being exonerated by the polygraph.

The CHAIRMAN. Thank you, Senator Dodd.

Thank you both for being here.

Mr. TALLEY. Thank you, Mr. Chairman.

Dr. SAXE. Thank you, Mr. Chairman.

The CHAIRMAN. Our final panel today represents polygraph users, and we are very happy to have them here.

On the panel are: William Scheve, Jr., president of the American Polygraph Association; Herb Matthews, representing the American Trucking Association; Donald Zale, chairman of the board of Zale Corp., who will be representing several business organizations, and Robert Ostrovsky, representing the Gaming Industry and Nevada Resort Associations.

Mr. Scheve, we will begin with you and go from there. I have to limit each of you to 5 minutes or less, if you can. I would appreciate that, and we will put your complete statements in the record and we will pay a lot of heed to what you say.

Please go ahead.

STATEMENT OF WILLIAM SCHEVE, JR., PRESIDENT, AMERICAN POLYGRAPH ASSOCIATION, WASHINGTON, DC; HERBERT R. MATTHEWS, AMERICAN TRUCKING ASSOCIATIONS, KEY LARGO, FL; DONALD ZALE, CHAIRMAN OF THE BOARD, ZALE CORP., ON BEHALF OF JEWELERS OF AMERICA, AMERICAN RETAIL FEDERATION, AND NATIONAL RETAIL MERCHANTS ASSOCIATION, IRVING, TX; AND ROBERT A. OSTROVSKY, GAMING INDUSTRY ASSOCIATION OF NEVADA, INC., AND NEVADA RESORT ASSOCIATION, RENO, NV

Mr. SCHEVE. Thank you, Mr Chairman.

I appreciate the opportunity to testify before your committee today, to present the views of the American Polygraph Association on this legislation.

My name is William J. Scheve, Jr., and I am president of the American Polygraph Association. This is a nonprofit, technical, professional and educational organization, representing thousands of individual and corporate members.

The legislation being debated in the Congress has special urgency for the thousands of employers we serve, and for our members. The polygraph is increasingly respected as an important compo

nent of public and private sector investigations. The accuracy rate is in the range of 90 percent when used by a competent examiner. The polygraph examination has been shown to be a most valuable, effective, and credible investigative tool for employees and employers alike.

There are countless examples of polygraph examinations playing a key role in protecting the innocent employee, in reducing and in some cases even eliminating internal losses, and in helping to create a safe, secure workplace.

In my testimony today, I would like to address three issues: First, the APA's standards for the polygraph industry; second, the issue of States' rights, and third, the need for good legislation to untie the tangled knot that the House of Representatives has created regarding polygraph regulation.

The American Polygraph Association has strict moral, ethical and professional standards of conduct for our members. We consider our primary responsibility to be to the person who is taking the examination, and our pledge to protect the confidentiality of examination results. We are forbidden from allowing considerations of race, religion, politics, union activity, or economic status to play any part in our examinations.

The suggestion has been made that Government examination should be allowed because of the implication that Government examiners differ from examiners practicing in the private sector. This just is not the case. I am representative of any number of former Federal and State polygraph examiners who now work in the private sector. My qualifications, equipment and techniques are no different today than when I was conducting examinations for Federal and State Governments.

Nonetheless, we recognize that the potential for abuse exists in the polygraph profession, as it does in any profession, or by any professional who utilizes a diagnostic tool.

The American Polygraph Association would welcome action to ensure that all examiners follow the standards that the APA and the Federal Government set for examiners.

Thirty-one States already license and supervise polygraph examiners, just as they do other professions. If the Federal Government decides to regulate the administration of polygraph examinations, it should do so by establishing recommended standards and guidelines for the polygraph profession and by strongly encouraging all States to adopt them. States like Utah, Illinois, Texas, and California all have regulatory systems. They have proven that regulation can take care of abuse, while allowing businesses that need polygraph testing to continue to use it.

Last June, the House of Representatives passed an amendment indicating that the polygraph is a valuable investigative tool. This amendment required expanded use of the polygraph by the Department of Defense to protect our national security. H.R. 1524 and S. 1815, in contradiction to this, would forbid most companies from using the polygraph technique, but would exempt certain industries. These exemptions set up a pattern of arbitrary discrimination among businesses. The operators of nursing homes can use the polygraph to protect patients against the liability of potentially abusive employees. But the operators of apartment buildings with

elderly tenants, people just as vulnerable as nursing home residents, cannot use the polygraph to protect residents against crimes that employees might commit.

Those who work at banks cannot be asked to take a polygraph examination, but guards transporting funds in armored cars can. How is it possible to decide which companies matter to the health and safety of America and which companies do not?

To compound these flaws, the House bill leaves employees in the exempt industries exposed to the rare but still unfortunate possibility of polygraph abuse. These people would have no bill of rights, no assurances that the tests are given by competent examiners using high-quality equipment, no protections at all.

We want to work with this committee and the Senate to develop guidelines that will ensure that the highest standards for polygraph examiners and polygraph testing are instituted and maintained nationwide.

Thank you very much for inviting me to testify today. I would be happy to answer any questions that you might have.

The CHAIRMAN. Thank you, Mr. Scheve.

[The prepared statement of Mr. Scheve and responses to questions submitted by Senator Quayle follow:].

Testimony of William J. Scheve, Jr.

President, American Polygraph Association

Before the Labor and Human Resources Committee

United States Senate

April 23, 1986

Mr. Chairman, I appreciate the opportunity to testify before your Committee today to present the views of the American

Polygraph Association on this legislation.

My name is William J.

Scheve, Jr., and I am president of the American Polygraph

Association. This is a non-profit technical, professional, and educational organization representing thousands of individual and corporate members and tens of thousands of this nation's work force involved in the administration of the polygraph technique. The legislation being debated in the Congress has special

urgency for the thousands of employers we serve and for our members. It could virtually abolish our profession as a private sector industry.

For more than 50 years, the polygraph technique has demonstrated its value as an investigative tool. Our equipment and training have become more and more sophisticated over these decades. The polygraph is increasingly respected as an important component in public and private sector investigations. accuracy rate is in the range of 90% when a competent examiner using properly calibrated equipment is able to reach a conclusion based upon test readings.

The

In my testimony today, I would like to address three issues:

O First, the APA's standards for the polygraph industry;

O Second, the issue of states' rights; and

O Third, the need for good legislation to untie the tangled knot that the House of Representatives has created regarding polygraph regulation.