Montana labor news., 1938-04-14
PLEADS
FOR REASONABLE
LABOR STANDARDS

WASHINGTON. - (FP) - An ex-
banded works program to provide
jobs for the unemployed was advo-
Gated here by Harry Hopkins, WPA
administrator, testifying before the
Senate committee on unem-
relief.
Hopkins declared that unemployed
who r able to work should be en-
titled to a job as a matter of right
and that direct relief for the I'M
employed should be abolished. Ex-
pansion of the social security sys-
tenn and the works program will
temporarily take care of workers
unable to find private jobs, he said.
In picturing the present situation,
Hopkins told the committee that he
regarded four factors as the major
contributory causes of the depres-
They were % purchasing
power in the hands of the consumers
failed to keep pace with production,
~ tremendous increase in inven-
tories, 90 the failure of the promis-
ing building revival because of rising
costs and (4) unwarranted increases
in prices.
ITO attain more than a fleeting
prosperity" Hopkins said, Income
must be distributed among the mass
of people so that consumption can
parallel output. l do not mean re-
distribution, although we can stand
some of it, but rather seeing that
the greatest proportion of income in
creases will go to the people who
are most likely to spend.
''That is why l feel that some
standards of wages and hours and
a wide extension of unionization is
to be desired. 1 don't see why it
isn't possible to contemplate a stu
alton in which practically all indus
trial workers are able to bargain
collectively.
Il look on the labor troubles of
recent months as nothing more than
growing pains in a movement to-
wards almost complete unionization
and l feel that one of the real con-
tributions which industrial leaders
can make to recovery is a recogni-
ton that stability would be greatly
furthered by acceptance of unions"
Il am prepared to say" Hopkins
added, that if we had reasonable
labor standards in industry our job
at WPA in this critical period would
be considerably lessened. There r
hundreds of communities, yes, whole
industrial areas, in which wages r
far too low"
Submitted as a memorandum to
the committee was a study of price
levels prepared by WPA economists
which showed that commodities rep
resenting % per cent of the value of
all items in the bureau of labor sta
tistics index showed no net change
or actually increased during the
period from April, 1897, to February,
1888, while the general price level
dropped 9.3 per cent.
Items showing no change or an
increase were all produced by in
dustries in a monopolistic condition,
the memorandum showed. In order
for our price system to work effec-
lively" Hopkins noted, lit is highly
necessary that prices be flexible and
that they adjust themselves to de-
mand but the controlled prices have
held up nor rigidly than they did
after the war, or after 1929, while
other commodity prices, like those of
agricultural prices, have shown great
instability"
THE federal relief program now
in operation" Hopkins said, while
needing indignation and expansion in
some respects, does represent a sub
stantial beginning of a dignified and
adequate security program. . The
main structure of a security pro-
gram has been built"
Outlining the future program he
added, "Basically, this program must
be such that American citizens ac-
cept it as a matter of right-with no
feeling of social in~feriority. This
program is not yet complete. 1t will
never be complete. 1t must be ex-
banded, improved and in%tegrated as
we go along"