The Birmingham age-herald., 1921-01-13
LABOR'S ANSWER TO RECENT SETBACK
 MAY BE FIGHT CAPITAL WITH CAPITAL IN HOPE OF ENFORCING DEMANDS
Discussing Wide Employment of Norfolk Idea, Which Con- sists of Buying Up Out standing Obligations of Cor porations, Thus Gaining Control
px Associated Press

Washington January F. .-I-abors an swer 10 recent legal and legislative set backs may be to fight capital with cap tal itself
 An experiment now called "The Nor folk Idea conducted by the Interna- tional Association of Machinists. is be- ing much discussed and 1t is said, is about to be repeated on the Pacific coast. In brief the Norfolk idea is :he use of capital assets and credit of or sanized labor in the fight to force em- poyers to meet it's demands.
 As explained by |; c. Davison, secre- tary of the machinists, there was q strike in the Crescent Iron Works at Norfolk Va late in 1920. The labor union strategy was simple. The out standing obligations of the Crescent Iron Works were bought up and control thus having been gained. support was furnished through extension of credit and active co-operation of affiliated branches of organized labor.
 Mir Davison, who was one of the orig inators of the idea, estimated today that cash in that contest while the savings to it's members was probably double that amount.
 Instead of long struggle in which our members each drew $S per week in strike benefits" he said, "we succeeded in keeping them all employed at top wages The industry in Norfolk was saved an expensive period of inactivity and the city was saved the loss in trade, which would have resulted"
 FORCED SALE OF MORTGAGE
 When tn. Iron Masters association de- clared for an open shop in the summer of 1920, investigations disclosed that there was an outstanding mortgage of s40.c0o on the Crescent works, a few days over l rf- <.ttw F<x~ tl.z x.r. attempted to buy up the mortgage but the bank holding it refused to sell. Further inquiry disclosing that many of the banks depositors were members of unions. steps were taken which resulted in a sudden decrease of the institution s deposits on hand. The offer to purchase the mortgage being then renewed, the bank consented to the sale MT. Davison explained.
 "A show down with the management of the Crescent Iron Works followed i'm mediately. Mir. Davidson said, the out come being the reopenng Of that plant as a strictly union shop.
 ''The Crescent shop had employed 40 inachinists." MT Davidson said. but these were working overtime. We ob- tained the adoption of q schedule which permitted the employment of force of @ men on an eight-hour basis, and later to the nse of three shifts day By changing the personnel so as to allow each enpioye to get in three days a week we soon had this one plant giving work to more than SO men. all but 40 of whom would have been idle under .ne old system.''
 Soon however. according to Mr. paN- ison, Norfolk bankers refused to ad- vance credit for current transactions to the Crescent works and jobbers, he said refused to sell 1t equipment The machinists' union at once deposited with a Norfolk bank sufficient cash to cover immediate needs and met the re- maining problem by arranging with out of town firms for the articles need-l ed to complete the work at hand
 When We had explained these plans tc local merchants.' Secretary Davison explained today. they readily consent ed to reopening their accounts with the Crescent"
 INFLUENCE UTILIZED
 Influence of the union also was util- ized fo obtain orders for the plant, which it now controlled. This was ac- complished largely through co-opera- ton with members of the Norfolk Pilots association and through the friendship of the closely pnionized crews of most foreign ships which put into Norfolk for repairs. Mir. Davison said
 The union then extended its opera t.ons by moving to the assistance of two small shops which were in fnan-
 scoatinuea n rase Twol