Evening star., 1934-02-04
No Intention to Imply All
Company Unions Are
Dominated.
WAGNER DENIES BIAS
ON PART OF BOARD
Early Reorganization Strongly
Indicated, However-Some Hear
ings With Only Labor Attendance.
BY the Associated Press.

BY the Associated Press.
In reply to vigorous criticism from
the steel industry, N. R. A. retracted
yesterday press statement implying
all company unions are dominated by
the employers. but stood fast on the
right of the National Labor Board to
call a worker election whenever 1t is
satisfied a Substantial" number of
employees in a plant wants it.
Further. a joint statement by Hugh
S. johnson and Donald R. Richberg,
N. R. A. general counsel. said the
rights of labor minorities to conduct
negotiations of their own with the
employer were not abridged by the
latest presidential executive order on
the Labor Board, despite its state
ment that representatives elected by
a ma jority of workers have been
thereby designated to represent all
the employees -"
This reference was inserted. it was
indicated unoficially. to prevent
either side from claiming the cleo
ton unrepresentative because its ad-
herents stayed away from the polls.
Furore in Industries.
The point had caused a furore in
industrial circles where fears were
entertained that the order would lead
to closed shop" unionization OF
plants wherever the unions might
show a bare majority in an election.
The N. r. A statement said elec-
ton of majority representatives does
not restrict the legal rights OF smaller
groups or individuals to deal sepa-
rately with the employer. but that
las a practical proposition neither
Labor Board nor plant management
could be expected to deal with an
indefinite number of employe repre-
sentatives expressing every possible
variety of opinions,
The presidential order at the bot
tom of the exchange was issued te
clear the way for the Labor Board te
act and obtain recognition for en-
ployes under the collective bargain
ing section Of the industrial law. par
tic,Ilarlv in cases like the Wetrtor
Steel Co. dispute. N. r. A. S an
nouucement Of it to the press said
The Presidents order is the direct
result OF the growing tendency on the
part of industrial management te
build up company unions in theil
plants. These unions are operated Dl
employees representatives chosen BY
the employer rather than by the EN-
ployes themselves"
Protests came Immediately and th'
next night the Steel Institute in New
York issued a statement calling thi!
a fragrant Misrepresentation OF fact
We regard it as violation OF public
trust = ="
Purpose Is Explained.
Yesterdays answer to that was:
In so far as the statement in the
press release might be read as saying
that employees representatives in al
company unions are chosen by EN-
ployers, it was not so intended, a:
there is no evidence that such is the
case. Nor is it true that employees, il
permitted to act in their own free
choice, may not select a company
union (meaning local plant union)
The principal purpose of the ordeI
was to insure that the choice be free
not to influence the choice between
any particular form of employe or
ganization."
Only a brief answer was made t
the Steel Institutes charge that the
National Labor Board is biased. anc
that came from Senator Wagner, the
board chairman:
The board heard all that argu.
ment last Autumn and went right On
sticking to its work and will continue
to do So"
However. there was strong evidence
pointing to early reorganization Of the
board to increase its effectiveness
Wagner's Senate duties have cut to
almost nothing the time he can give
the Labor Board, but even more Sc
rious has been the absence of other
members from its sessions. Frequently
industrial disputes have come ur
with no representative Of industry
present. Hearings have been con.
Quoted, with William Green, president
of the Federation of Labor, presiding
and with none but labor members or
the bench with him.
At other times when important de.
cisions were needed it was impossible
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