Evening star., 1933-08-18
AUTO CODE DRAWS
IMMEDIATE FIRE
Open Shop, Pay Rates and
Ford's Absence Figure
in COIOrfuI Start.
Continued From First Page.)


country and will be reason of having
80 acted be entitled to the blue eagle
on every car and every product of
every company who has joined the
great march of American industry
throughout the whole country.
To Make No Exceptions.
1T is a matter of regret to me that
the industry as here represented does
not include 100 per cent of automobile
manufacturers hope that that condi-
ton will not be long continued because
certain it is that in the administration
OF this law and in the placing of the
insignia of cooperation on the prod
ucts and the merchandise of every
manufacturer no exception can be
made in favor of a manufacturer.
whether he is large or whether he is
small. We are going to execute this law
as We find it. We are going to execute
1t without exception and without fear
and without favor
1t is highly proper that the auto
mobile industry should come in at this
time and that it should come forward
with fervor of cooperation, because
whatever else may be said. the economic
fact is that the first and most i'm
portant beneficiary of recovery in this
country will be the automobile industry
The p2nt up demand of the Nation
which has placed itself on wheels. and
which. on account of an unprecedented
depreciation has allowed that equip
ment to pass INTO such a state of
dilapldation and obsolescence so that
it is a matter of national necessity that
great buying of the products of this
industry must come in the immediate
future 1t ought not TO come until the
industry has aligned Itself with the in
dustries of this country. but We are on
the eve of that consummation, and
wish you WELL
Richberg Asks Deletion.
In urging the elimination of the open
shop" reference from the code, Reich
berg told the automobile group it may
be easily construed as the declaration of
a policy of refusing to comply with the
law"
He said that explanation given by the
manufacturers gave assurance that such
was not the case but he felt it might
not be so interpreted generally. He
said Johnson thought it quite proper"
for the manufacturers to assert policy
of retaining and advancing employees
on a basis of individual merit regard
less of union affiliation, but that the
open SQOD ClduSe SHOULD 90 out.
He explained that the national re-
covery law stipulates that all codes
must contain provision for collective
bargaining without interference by the
employer and said that no power is
given to approve code with anv at
tempted modification of the law"
Macauley, as president of the Ma
tional Automobile Chamber of Com
merce. had presented the code with a
brief explanation of its principal fea-
lures.
The code covering the industry in
the form of its original submission
he said has been assented to by COM
panies representing more than 81 per
cent of the production and 95 per cent
of the number of important motor
vehicle manufacturers in the United
States. Other companies not members
of the chamber were invited to attend
the meetings during which the code
was formulated
Macauley reviewed the effects of the
depression upon the industry and its
present condition. He said that since
April l, the Al members of the chamber
which, he added. Goes not include the
Ford company, have increased the num-
ber of workers employed by over $4,000,
or approximately 40 per cent. Wages. he
added, have been increased by members
OF the chamber as much, in SINE cases,
as 20 per cent.
Sees Workers Increased.
Under the code. he said chamber
members estimate they would increase
employment by from 41000 to $4,000,
depending upon the total production.
In the code submitted, the industry
has agreed to the lowest number OF
I, ,oI inoh
as to the allowable peak and the weekly
hours on an average basis" he said
1T will have to be demonstrated from
future practice whether the stipulated
limits can be complied wi h without
unreasonable sacrifice of economic and
employment considerations"
Il again emphasize the importance OF
keeping the requirements of the code
within reason and such that the manu-
facturers of motor vehicles can operate
efficiently and without excessive in
creaseS in costs and prices Any sub
stantial increase in prices is bound to
affect adversely the volume Of sales,
and will reduce employment in the in
dustry unless offset by a greater volume
of business than is now in prospect
Sales Hand to Forecast.
Brown. chairman of the Automobile
Code Committee, said the necessity for
f1exibility in weekly hours of employ
ment was due principally to the in
ability of manufacturers to make accu-
rate forecasts of total sales for more
than a few months in advance, and to
fluctuations in production because of
the introduction of new models.
Prior to the coal session, Gen. john
son explained that the N. R. A. would
attempt to have the Nations bituminous
operators get together on an agreement
of their own, but Deputy Administrator
Kenneth M. Simpson continued work Oh
an administration code. He refused to
disclose its provisions The industry
has submitted % different codes.
Four Disagreements Noted
The chief disagreements among the
operators have been on the open shop.
maximum hours. minimum wages and
wage differentials.
The President told one group Of pro-
ducers yesterday that an open shop
clause in the code was out of the ques-
ton. He also was understood to have
suggested maximum hours as snort as
possible as a means of returning more
idle miners to their jobs.
After working mCst Of last night on
the substitute code, Deputy Admins
IIdJOI IOOdy lIOlhiOo eliC
operators it was not yet completed. and
postponed a meeting called for 10 a m,
until 2:30 pm.
Still underlying the situation with
respect to steel was the feeling caused
by leaders of that industry in refusing
to confer with President Green of
the American Federation of Labor,
and Green's Interpretation that this
was representative of steel's inherent
opposition to organization of its
workers.
Yesterday a new code providing a
limitation upon production and estab-
fishing a 4O-hour work week was pre-
sented to the administration by the
copper industry, and temporary ef-
ectiveness for wage and hours scales in
the telegranh industry pending hear