Evening star., 1938-01-07
EMPLOYERS HELD
FAvOR|NG A. FL.
Madden Gives Testimony
Before House Appropria-
tions Subgroup.
b the Associated Press.

b the Associated Press.
Congress has been informed by
Chairman Madden of the National
Labor Relations Board that some
employers who six months ago
would not tolerate any union now
select the American Federation OF
Labor as the lesser of two evils"
This was revealed in testimony
made public yesterday by House
Appropriations Subcommittee.
From testimony at other budget
hearings conducted by subcommittee
Congress was told of the following
developments:
/. That Stewart Mcdonald, Federal
housing administrator, believes it
would not be good business to per-
NIT persons to build homes after max
Ing down payments Of only 10 per
cent.
2. That the Tennessee Valley Au-
thority has developed method of
controlling malaria by fiuctuating the
level Of the water in its huge flood
control reservoirs.
3. That the Home Owners Loan
Corporations foreclosures for the cur
rent fiscal year would be less than
10 per cent of the value of total loans
outstanding.
Denies FavOritism Claim.
In his testimony N l.. R. B. Chair
man Madden denied that the board
favors either the A. F. of l.. or the
Committee for Industrial Organiza-
ton
I'VE take our cases as they come
to U.s." he said.
"As a matter of fact, the A. F. of
L., being the older and more con-
servative organization, there may be
a preference in consequence on the
part OF employers.
Our experience has been that in
few cases, a mere handful OF the
cases out OF the thousands we have
had. the employer has put pressure
on his employees to compel them to
go into the A. F. Of L. union when
they wanted to 90 into c. 1. o.
union"
He submitted statistics showing
that there were more strikes in the
first eight months of this year-3,3l4
than in any year since 1920. OF
the 1914 disputes 56 per cent in
volved union organization, 80 per
cent wages and hours and IL per cent
miscellaneous causes.
Mortgage Terms Liberal
A housing bill on which Senate
House committee IS trying to reach
compromise agreement provides for
mortgages insured by the Federal
Housing Administration up to 80 per
cent and down payments Of 10 per
cent on homes valued up to $4,000.
The administration backed the legis-
lation as a means of stimulating pri-
vately financed home construction and
expanding employment in the build
ing and allied industries.
When Administrator Mcdonald ap-
peared before House appropriations
subcommittee he was asked by Rep
resentative Houston, Democrat, of
Kansas:
do you think that that is good
busineSs-to have man build home
without any more equity than 10 per
cent?"
Il don't think it Is good business,
no." Mr.. Mcdonald replied.
do you think it will create a build
ing boom?" MIR. Houston questioned.
Il think 1t will create a building
BOOM" Mr.. Mcdonald replied.
Information regarding the malaria
control method developed by the Ten
nessee Valley Authority came from
Carl A. Book, assistant chief engi-
neer for the Authority, who said the
method was the most effective single
element OF malaria control that We
have found, and malaria causes more
sickness in that region than any other
disease"
He explained that by lowering the
level Of the water in the reservoirs
about foot for brief periods, pools
in which malaria mosquitoes lay their
eggs dry up and thus you can cut
down the number of malaria mosque
toes that hatch out to small frac-
ton OF what 1t would be otherwise"