The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-12-16
GRACE WOULD END
ALLBUILDNG HERE
TO FIGHT UNIONISM
Bethlehem Co. Steel Sold
Only to Erectors Hiring
Open Shop Labor.
PHILADELPHIA BAN TOO
PHILADELPHIA BAN TOO
Untermyer at Hearing
Rakes Concern of Which
He Is Largest Holder.
F. A. VANDERBILT QUERY UP
Retirement of Bank Head Is
Coupled With His Holdings
in George A. Fuller Co.

III oCOiSC IA Il ulltI W.
The Bethlehem Steel Corporation is
prepared to carry through to the finish
its fight for the principle of the open
shop in American industry, convinced
firmly that such policy holds the
greatest promise for both labor and
capital in the future. The position Of
the corporation was defined clearly
and fearlessly yesterday by Eugene
C. Grace, its president. on the witness
stand before the Lockwood Committee
on Housing.
Even If 1t meant stopping all build
ing IN New York, regardless of how
far reaching the immediate results
might be, Mr.. Grace declared he be-
lieved his company would maintain it's
position-that it's product should not
be sold to builders to be erected by
union labor.
He and his directors, who control
the output of more than 10000 work.
men. believe firmly that employees
should have representation in dealing
with employers. but not the right of
unionism and dictation, Mr.. Grace
said. On the other hand, he insisted
upon the right of the employer to ne
gotiate with other units in industry.
Grace GriIIed for Two Hurs.
Mr.. Grace was on the stand for al
most two hours under rigid cross-ex-
animation by Samuel Untermyer.
counsel for the committee. The law
yer is the largest individual holder
Of Bethlehem stock and the dramatic
situation presented by his clashes
with the president of the corporation
on questions OF policy was one of the
most stirring witnessed at the COM
| mittee's sessions.
No witness during the entire proceed
ing has undergone more rigid examina-
ton than has M. Grace. Alert and
aggressive, the youthful president of
the great corporation, said to be one
/ of the highest salaried men In the
world, held his own I'm the rapid
cross fire, and not once did he trip
over the double barrelee questions
popped at him by the cross-examiner
| The crowd was impressed with Mr..
Grace's evident force and energy. He
appeared to be having all he could do
| to hold himself In restraint. He in
/ sisted upon driving home his own point
and not standing merely on the yes o.
no demanded in the legal answer. Part
| OF the time he leaned forward eagerly;
1 then he was back In the hig chair, his
arms folded.
There was nothing defiant In his at
titude. but he defended his ground
doggey. Mr.. Untermyer sat on one
! leg on the edge Of the table as he as
sa led bitterly the policies of the cor
poration from which he derives big
! income.
The Bethlehem corporation acted
upon it's own Initiative in It's cam
paign for the open shop. and was not
influenced by the stand taken by the
National Steel Fabricators Association
in November, 1919 urging all members
so TO adjust business that steel con-
struction could be done by the open
shop method, the witness said. AL
| though his company is represented in
that association, Mr.. Grace denied
most emphatically there was conspiracy
In carrying out his policy.
Untermyer Ask. About Dictation.
''Do you think Il Is a proper thing
| for the manufactur to get together
! and dictate TO the builders in different
! cities whether they shall erect tho steel
on union or open shop principles that
the builders cannot have the produce
unless they use Il In the manner die
| tatod| Mr. Untermyer asked.
/ I'm nv Ouinipp 10 n oncd thing for
the country for the manufacturer TO
sustain the open shop principle" Mr..
| Grace said. 81 believe firmly that any
! character Of association that gets to-
! gethcr for the protection of the open
shop principle would be good thing
for the country"
other testimony during the day de-
veloped important facts on several
phases OF the investigation. Corre-
spondence which passed In 1916 between
Frank A. VanderlIp. then president of
the National City Bank: Walter Drew,
counsel for the National Erectors As
sociaticn. and others showed that Mr..
/ Vanderlip thon owned n controlling In
terest in the Fuller Construction Com
pany, one OF the largest concerns in
the country.
That had not been understood by
members OF the committee. II led TO
considerable speculation regarding the
| retirement a. Mr.. Vanderlip from the
presidency OF the National City Bank.
Tho Fulle~ company was not In gym
/ patty with the open shop policy OF the
/ steel corporation and was trying hard
TO get a footing against the Iron League
| az a steel orcctor. IL Is well known
that prominent steel men were inter-
ested in the National city Bank and
the clash q interests over this open
\ shop policy and all II meant was re-
gardcd as possibly having had an Inn
portant bearing on MIR. vanderlips re-
| trement.
Several witnesses testified they wero
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