Evening star., 1933-09-02
Intervention by President or
Johnson in New Contro-
versy Is Secuted.
FORD-N. R. A. DEADLOCK
CONTINUES UNBR0KEN
Johnson-Cates Controversy Brings
Statements From Both on
Labor Attitude,
By the Associated Press

BY the Associated Press
Recovery Administration officials ex-
pressed themselves today as satisfied
that the latest hitch in the soft coal
code negotiations would be disposed of
without special pressure from President
Roosevelt or Hugh S. johnson, the ad-
ministrator.
However, they saw no prospect Of a
conclusive agreement before next Tues
day.
johnson, as he did yesterday, re-
mained away from his Office to complete
at home the draft Of his Chicago Labor
day speech.
There was no word about Henry
Ford's intentions toward the automobile
code, which he has not signed, and
johnson did not expect to hear until
september 5, when the code becomes
operative.
Merit Clause Secuted.
Discussing the coal situation, Edward
F. McGrady, assistant administrator of
the N. r. A. for labor, told newspaper
men he did not believe there was any
chance Of the operators prevailing in
their demand for inclusion of a So
called merit" clause in their code.
Inls Is an expression similar to that
written into the automobile industry
code, by which employers reserve the
right to hire and fire strictly on in
dividual merit regardless of union mem
bership.
Since its approval for the automobile
men, nearly 80 industrial groups have
moved for its inclusion in their own
codes. and organized labor has launched
q night upon this provision all along
the line, regarding it as an effort to
break down unionization.
Explains Miners Views
McGrady said there had been no in
tention on the part Of the miners to
write any "closed shop or strictly
union provision into the bituminous
coal code, although It Is to be accom-
panied by contracts recognizing the
United Mine Workers.
Likewise the miners feel, he said.
there should be no attempt by the op-
orators to defeat nionization by code
declaration.
Both the coal and Ford problems
recovery achievements:
The $4,000, 900 900 oil industry's code
today became effective.
The American Federation Of Labor
attributed to the recovery program a
5000, 100000 increase in purchasing
power-an amount sufficient to raise
retail sales II per cent.
N. r. A. Staff to Get Rest.
Today provided NJ r. AS first taste
Of its own fewer-work- hours doctrine.
johnson, who says his staff has worked
on "30-hour day." ordered all Offices
closed at l o'clock, not to reopen until
Tuesday morning. But everybody ex-
pected some exceptions to the rule, par
ticularly in view of the new coal
troubles.
The present tie-up clouded hopes of
putting written agreement in President
Roosevelt's hands Tuesday and revived
talk that code may be imposed upon
the soft coal industry.
The oil code started functioning Off
cially with the industry's Planning and
Co-ordinating Committee reporting as
favoring Federal price-fixing from the
well-mouth to the gasoline pump. This
recommendation has yet to reach Sec
retary 1ckes, oil administrator.
Just as the Labor Federation was re-
porting clear signs of real progress"
in the business world, johnson and his
former assistant, Dudley Gates, each
issued public statements regarding the
N. r. AS attitude toward union labor.
johnson said labor policies provided
only one of the differences causing
Gates resignation, adding that he was
in agreement with the belief that with
an industry organized vertically. the
logical labor organization is vertical
also"
Gates Sees Unions Obsolete.
But he stressed also that N. I. r. A.
guaranteed labor organizations of the
workers ''own choosing" while Gates
had termed trade unionism Obsolete"
and promised to stop it "at every turn"
Obviously that is an attitude in vio-
lation of the statute which we were
sworn to enforce" johnson said.
Gates replied, saying he believed the
collective bargaining provision should
be interpreted in the light of the N. r.
A. policy calling for united action Of
labor and management" He added:
Gen. Johnsons statement that he
Is carrying out a decided policy of the
Presidents closes the discussion so far
as am concerned. Had I known this
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