Carolina watchman. [volume] (Salisbury, N.C.) 1871-1937, 1936-06-05

IAIIQ INV al 10 \lSd1 odllll1S lO1
either of them.
The outlook now is that the tax
measure as it finally gets prto the
statute books will amount to a net
increase in corporation taxes OF
from 7 to 10 per cent. Not many
members of either house will UNDER
stand clearly just what the affect
lof the new law will be, and con-
siderable doubt will be expressed
as to whether it will be raised the
necessary additional revenue. How
ever, it will be a stop-gap which
may reduce the amount which the
the Government will have to Dor
row to carry over the next fiscal
year.
RELIEF AND HOW
The relief appropriation has been
complicated by the desire Of many
Influential leaders in both Houses
to prescribe how future relief mo-
ney shall be spent and by whom.
Secretary Ickes would like to have
the spending of it, and Mr.. Ickes
has worked himself into a very
powerful political position.
Inside the Administration, how
ever, there is forming ar ant;-Ickes
'bloc," and unless Congress pre-
scribes differently, a situation may
develop in which neither Mr.. Ickes
nor his chief rival, Harry Hopkins,
Federal Relief Administrator, will
have the final say. The talk is thar
Jesse Jones, Chairman of the Re-
construction Finance Corporation,
has been picked by the President
to be the boss of both Nh. lckes
and Mr.. Hopkins in all future pub
lie works, relief and other emer
gency spendings.
The cancellation by the Supreme
Court of the Gufey Bituminous
Goal Act has naturally revived dis
cussion of the question of a con-
st%itutional amendment to give the
Federal Government powers which
&Et ~
it now does NOT have tolregulate
business and industry inside pf state
lines. While constitutional revision
sentiment is running high, public
expression in favor of it is being
softpedaled. The President and his
supporters in and out of Congress-
don't want to complicate the Pre-
sidentential campaign by bringing
the Constitution Issue to the tore.
LABOR RELATIONS ACT
The strongest demand for giving
the Federal Government more pow
er now seems to be centered in the
ranks ,of organized labor. Labor
leader feel that the Labor Relations
Act will declare unconstitutional
when it reaches the SeuPreme
Court, and the same Apprehension
seems likely to result in the abon-
donment bv CONGRESS of the 80.
hour week bill, the Ellenbogen bill
for regulation of wages and hours
in the textile industry and the
wash-Healey bill which would give
Washington complete control of
hours and wages Of all concerns
having Government contracts.
That a constitutional amendmen'
may rIot be necessary to extend ted
eral powers in case Mr.. Roosevelt
was reelected is being pointed out
bv some observers. An alternative
that is now h~ng seriously Discus
sed is the suggestion that Congress
could really enact laws extending
the rights of trade and industrial
associations to cooperate v%ountarl-
ly for the mutual regulation of such
questions as hours and wages Of la
Dor, apportionment Of production,
etc.
An example has been provided
in the recent artion of the railroads
in getting together and reashing an
agreement with their employees, in
anticipation of the consolidation OF
all the railroads of the nation into
few national systems. This con-
solidation has been the dream Of
far-seeing railroad men for year,,
and has been the particular hobby
of Joseph C. Eastman, Federal CO.
ordinator of railroads.
RAILROAD PROBLEM
The principal obsticle in the way
of the acceptance of Mr.. Eastman's
plan of railroad consolidation has
been the problem of how to take
care of the railroad employees
would be dropped from the pay