The Waterbury Democrat., 1941-05-16

1SiiSl pl NOgOlo lJltSiIGllVI Nlldl lCS E. Wilson accepted the boards pro- posal a few hours before today's ' Q. m. strike deadline.
 A company spokesman estimated that the corporations payroll in 89 plants would be increased $50,000 900 a year by the contract, the first 1t ever signed for a definite period. In all, 250,000 employees will get raises. The settlement averted in- terruption Of work on $750, 900 ,000 in defense contracts.
 United Automobile Workers tCIO) officials. whose acceptance of the settlement is subject to membership ratification q formality, immedi- ately began notifying workers in 6l plants not to strike.
 The peace formula is:
 l. A flat increase of 10 cents an hour for all hourly employees retro active to April 28 and embodied in 8 contract for one year.
 2. No closed or union shop or maintenance of membership clause,
 g. Establishment of an impartial referee who will make final decis- ions in imposing penalties for viola tion of shop rules or the union con- tract.
 4. Tn advancement Of employees to higher paid tobs their ability, training and capacity being equal preference is to be given employees with the longest seniority.
 5. The company will not lock out its employees during the contract, The union will not call strike until the strike grievance machinery is exhausted.
 The mediation board advanced the settlement terms early yesterday after 0 deadlock had been reached in 12 days of negotiations. The union accepted immediately and postponed It's strike deadline set for yesterday morning - until to- day to give the company time to reach Q decision.
 Company Accepts
 The deadline for a company re- ply was 4:l0 a. m. today. At 1927 q. m. William II. Davis, vice. chairman of the board, announced that the company had accepted.
 Walter P. Reuther, chief of the General Motors Division of the Union, Immediately put staff of assistants to work telephoning union locals of the agreement and formally cancell- Ing the strike call
 He summoned district union leaders to meet in Detroit Sunday to discuss contract details. Voting on ratification will begin Monday Ratification will be by majority vote of the entire General Motors membership.
 Wilson, in a letter to Davis. said the company gave consideration to the national defense program and to all the other problems that con front us and decided 1t was the best thing 10 do in the interests of all concerned"
 Union officials acclaimed the Set- tlement as n victory that we'll carry with Us a weapon in bringing (Henry) Ford to terms" They pre- dicted an overwhelming victory" in . labor board bargaining election among 85,000 Ford Motor Company workers May 2i.
 The union had demanded q 10 cents an hour Increase and the company had offered increases Of five cents for production and un- skilled workers and five to 10 cents increases for skilled workers.
 Wilson revealed In his letter ad- dressed to Davis that acceptance of the boards recommendations was with the understanding that the contract will cover all wage adjust ments for a period of one year from April 28. l04l, and also that no other changes are to be requested in the terms Of the agreement for 6 like period"
 Flint Plants Closed
 Flint, Mich, May 10. -- (UP) - Five General Motors plants hit by wildcat strikes remained closed to- day despite agreement between the corporation and the United Automo-