The Waterbury Democrat., 1938-03-11
Will Rubber Workers Be First
 to Accept Hourl ly Wage Cuts?
All Mass Production Industry Watching
 for the Answer
BY WILLIS THORNTON NEA Service Staff COrresnondent

Akron, O., March ll.-Ihe rubber workers organized the first of the big new unions in the mass produc- tion industries; they staged the first major sitdown strike; they signed up the first clear majority of the workers in their industry.
 And now these questions are being asked:
 Will they be the first of those big unions to agree to hourly wage reductions?
 If they do:
 What will be the effect on the steel, auto and other mass pro- duction industries?"
 If they don't:
 What happens to Akron, with it's 270,000 people, majority of whom depend directly or indi- rectly on the big tire plants for living?"
 Tremendous POtentialities
 It's a starkly realistic problem, which involves not only the possi- bility of further decentralization of the rubber industry, but also probable ramifications in labor re- lations throughout other gigantic industries in which organized labor has gained hard-won recog- milton in recent years.
 Here's the hub of the problem:
 Goodrich Tire & Rubber company officials insist they cainnot contiue to build tires in Akron with labor cocti,,r e1 1O and c11S nor boiIr- and sell them in competition with tires built in other cities where la bor costs are from 25 to 75 per cent less. So Goodrich asks the United Rubber Workers of America to agree to an hourly wage cut of about IT per cent, reducing pay, to 90 or 95 cents per hour. If the union re- fuses, Goodrich threatens to move more of its production out of Akron. The union, on the other hand, realizes that such a reduction at Goodrich would make it difficult to ward off similar concessions at other Akron plants. Fighting hard against cuts, the union points to the eX- celent financial condition of the company as failing to justify the cuts. A recent union effort to per- suade all four big tire companies to sign uniform wage agreement was unsuccessful.
 May Be a Compromise
 Several factors are bringing. pres sure to bear on the union which in- dicate that some sort fO a con- promise will probably be made in- volving some reduction in hourly rates.
 First of these is the fact that Goodrich flatly says it will with draw another third of itse tire-mak- ing from Akron if something is not done. One-third has already gone elsewhere. Neither of Goodrich's big gest competitors makes more than a third of it's tires in Akron.
 Another is the threat of even fur ther decentralization of the rubber and tire business, which began 20 years ago, speeded up since 1929, and reached feverish pace in the past two years, with Goodrich opening a new plant at Oaks, Pa. Firestone new one at Memphis, Tenn, and Goodyear at Jackson, Mich, during 1887.
 Further pressure on the union comes from it's own members, many of whom reason like this: Before the union came, wages were lower. but there was work; we made more money then. Now we have the union, and high hourly vases, but there is no work. can't see where it's gotten me anything"
 Union Membership Reduced There are rumors of re-establish- ment of an independent union at Goodyear on the foundations of the old dismantled company union" which was begun shortly after the World war, but had to be abandoned under present labor laws. An American Labor league local started late last year at Goodrich.
 The 75,000 members of the URWA proudly announced in midsummer, 1887, by President s. H. Dalrymple of the URWA, have been sadly re- duced by the business slump, the loss of 10000 jobs in Akron, and corre- spending loss of regular dues pay mentS.
 Akron views the present show down nervouSly, but almost with relief. It has been coming for so long.
 Gradually production has been slipping away from this high wage-rate city to others where the workers earned less. The union, which succeeded in raising hourly rates her to among the highest in the country, has generally failed to bring competing cities into line.
 Showdown Coming
 The companies have been quick to seize and hold the advantages of lower wages and absence of labor union pressure in such cities.
 The events of 1897 showed how big new industrial unions act while production and prices are constantly rising. The present con- ferences over the Goodrich system are being watched as a weather vane to see how they behave under the reverse conditions, curtailed production and falling price struc- ture.
 Nam