New-York tribune., 1919-09-01
Plan of Action
Kept a Secret
Profit Sharing Hint
ed as Likely To
Be Suggested to In
crease Production
Neu York Tribune
Washington Bureau

ASHlNGTON, Aug. 31.-Convinced
of the necessity for fundamental
economic reform, if nationwide
labor crisis is to be aver5ed, President
Wilson tonight announced that he
would call at the earliest practicable
date a conference of representative,
of capital and labor TO discuss the aues-
ton of putting the whole question Of
wages upon another footing"
The date Of the conference has not
been decided upon, but it was said on
good authority that it would meet in
The White House at the end of Septem-
ber after the President returns from
his tour of the country on behalf Of
the league OF nations
The Presidents announcement was
made in Labor Day message to the
American people.
Idea Discussed With Gompers
The Presidents decision TO call a
conference of capital and labor was
reached after a full discussion f tho
entire labor situation with Samuel
Gompers, president OF the American
Federation of Labor. and representa-
tives Of the organized steel workers,
who are threatening a strike that would
tie up the steel industry
The President discussed with Mr.
Gompers the proposal to call a confer
ence of the representatives of the
workers and employers of labor. He
told the labor leader Of mis- suggestions
FOR remedying the present situation and
placing labor on new footing in Amer
lean life. Mr.. Gompers WAS cautioned.
however, against any discussion of the
Presidents plans prior to their delivery
before the conference he proposed to
call
Gompers Offers Warning
The President was informed by Mr..
Gompers that the workers were de-
manding a fundamental reform of the
entire economic system. He told the
President plainly leaders of organized
labor would be unable to hold their
men in check unless the government
moved to meet the situation with al!
the resources at its command. He
said the railroad shopmen, for instance,
"a h
all appeals from their leaders, unless
convinced that some move was to be
made by the government that would
make strike unnecessary.
The Presidents proposal, following
closely his talk with Mr. Gompers, that
the question of wages be put on a new
footing is considered highly significant.
What other footing the President
Will have to suggest was matter Of
the widest speculation in Washington
tonight. 1t was regarded as possible
that the President would propose some
method of adjusting the wages of labor
to the fluctuations in the cost of liv-
ing, but as more probable that he
would suggest some sort Of profit
sharing system TO be adopted by
American industry.
L. S. Tried Plan Successfully
careful reading Cf the Presidents
recent messages has left no doubt in
the minds OF many observers that he
is convinced the workers must BE-
given share in the management of
all industrial enterprises The schema
has been tried in several government
arsenais and manufacturing plants, and
the result, 1t is said, has been increased
production and more contented labor.
The first Administration proposal Of
a conference between capital and labor
was made by Secretary OF the Interior
Lane with the approval OF the Prcsi-
dent last week. Secretary Lanes pro-
posal was put out to test public
opinion.
81 believe the President should call
Immediately A conference of representa-
tives of the four great factors involved
in the present economic situation
labor. capital, business executives and
the public" said Mr.. Lane. Such a con.
ference would go far toward solving the
perplexing and dangerous problems tn.
nation to-day faces"
Mr.. Lane said the conference shonld
take up the questions of relations h.~
tween employer and employe, of labor'x
proportion of earning. and Of improv.
ing industrial conditions by calling In