The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1941-04-10
WAGE CONTRACTS

0NE of our major longtime objectives in this
period of defense expansion is control OF
prices as prevention of over-infation. Too rapid
increases in prices would destroy balance between
income and costs. This is problem that troubles
employers and workers.
At the same time transition from peace to
4 wartime economy must be accomplished by eX-
pansion of war industries and by priorities which
restrict production for consumer needs. The re-
suit might easily be higher costs of production
materials and higher living costs.
Two methods of preventing runaway prices
are in use in warning countries-rationing and
price fixing
Our price policy will not only affect present
incomes but uncontrolled prices for war materials
will increase the war debts which we and success
sive generations must pay.
Undoubtedly prices of commodities must be
controlled and undoubtedly there will be an effort
to include wages under control of prices
Over and over again workers have to explain
the principle that the labor power of human
being is not commodity or article of commerce.
We as persons with trained ability, with ex-
perence, with work ability and judgment become
members of a production staff which carries on
an indispensable function in business.
We are the human beings necessary to oper-
ate the plant in accord with the directions given
by management.
We are the partners in work which is accepted
as the earliest known claim to establish property
rights.
We share in production and it's problems and
share in the returns realized on the sale of what
we help to produce
What our share shall be should be specified
in a contract which our representatives negotiate
with our employers.
Wages are paid out of the results of joint la
bor are limited by the ability of the company to
necessary to conserve human life. Costs of living
are not basis Tor fixing wages but only one Of
the standards to test the adequacy of wages.
Labor is paid for what it produces as well as
for those intangible personal contributions which
every partner in going concern must make.
The payroll is only one of the items included
in cost production In the following industries
wages constitute small proportion of total eX-
penses: chemicals, 11.3 per cent; blast furnaces,
81 per cent; petroleum refining, So per cent;
meat packing, 81 per cent. For IS defense and
related industries wages constitute only 15.7 per
cent of total out-pay. Increased wage rates entail
relatively small drains on the incomes of the ma
ority of industries but are essential to main
tanning the welfare of the majority Of our citizens.
In addition, practically all contracts covering de-
fense production make generous provision for
shifting the greater risks in defense production
from employers to the government.
1t is unthinkable that labors income should be
determined in any other way than by collective
bargaining. Free enterprise depends upon the en-
ployer's right to contract and free labor upon its
right to contract covering terms and conditions
of service. Wages must not be fixed for "stabil-
izing" or freezing purposes. War industries are
making profits and can afford to pay workers ade-
quately. If profits are excessive, they will be re-
duced by taxation. Likewise workers. wages are
subject to taxation, and the larger their incomes
the larger their tax payments.
The right to negotiate a contract specifying
terms and conditions of work is the right of every
free person employed to do work. The right of
contract is the keystone Of private enterprise for
both employers and workers and hence is the
heart of freedom. In maintaining our right to
union membership and collective bargaining, we
wage-eamers are defending the citadel of free
institutions.