Evening star., 1941-12-19
To|an Committee Calls
For Reorganization
OF Defense Setup
Would Put U. S. industrial
Capacity in Charge Of
One Civilian Bourd
BY THOMAS c. HARDMAN.


tion of production facilities and
manpower was recommended today
in report of the House Committee
Investigating National Defense Mi
grafton.
Charging that the Government
has failed to organize effectively"
to make full use of the Nations in
dustrial capacity. in the war effort,
the committee report, released by
Chairman Tolan, calls for:
A single civilian board of the
Government to be charged with full
responsibility for procurement and
for planning war production and
production of essential civilian
needs. This board would review all
requirements of the Army, Navy,
Maritime Commission and Lease
Lend administration.
A special technical division
manned by a staff of skilled engi-
neers to maintain an up-to-date in
ventory on industrial facilities. the
supply of critical materials and the
supply of labor.
Could Sublet Contracts.
Establishment of regional offices
under the board to execute its pol
icies and provide direct contact
with little business" which, accord
ing to Chairman Tolan, is faced
with certain failure under the
present program. The board would
have authority to sublet defense
contracts to small industries.
Full use and conversion of exist
ing industrial capacity in the pro-
duction of war materials.
Re-employment of the unemployed
and transfer of workers from non-
military to war work, to be an III
tegral part of production planning
Development of a national pro-
gram of training and transfer OF
workers to war production. with ex-
listing facilities of the Work Projects
Administration completely converted
to this purpose.
Immediate review of all defense
contracts totalling more than $500
600 to determine the extent to which
contracts can be expedited through
more extensive conversion OF exist
ing facilities, through subcontract-
ing to small business and through
an increase in work shifts.
Mr.. Tolan announced that hear
ings on the committee report will
begin at 9 80 am Monday, with Gov
Murray D. Van Wagner of Michi-
gan and representatives of the auto
mobile industry and labor unions
expected to testify. Mr.. Tolan has
invited Vice President Wallace,
chairman of the Supply Priorities
and Allocations Board, to appear on
Tuesday.
The report, based on an investi-
cation which took the f1ve-man
House committee into virtually every
large industrial area of the country,
pointed out that testimony before
the committee was almost universal
that production to date has been q
failure, measured against the avail
able facilities and the visible need!
for military purposes"
eff our full industrial power Is Il
be applied" the report continued
"the facilities of our greatest in.
dustries and especially of the auto.
mobile industry. because of it.
premier position as a mass producer
must be fully converted to military
production"
Although automobile manufac
turers have contended that only /!
per cent of the industry's productive
facilities are convertible to war use
the report said production engineer.
and union witnesses have testified
that from so to 80 per cent of the
facilities could be converted. This
controversy in itself signalizes the
failure to plan production, the re-
port added.
Would Not Replace S. P. A. B.
1t was explained that the Civilian
Board advocated by the committee
would not actually replace the S
P. A. B., but would supplement it.
functions and broaden its scope
The report pointed out that testi
mony before the committee of Exc
cutive Director Donald M. Nelson
of S. P. A. B. indicated the pro
posed reorganization would not re
quire congressional action and prob
ably could be accomplished merel
by an executive order.
"The prime objective of all-ou
war effort, namely, to enlist ever
worker and every machine, was an,
still is left to policy of indirection,
the report said. Instead of plannin
for and requiring orderly conversion
reliance is placed upon the tech
nioue of urging manufacturers int
war production by curtailing thei
facilities for civilian production. Thi
procedure is neither efficient no
fortnight"
Chairman Tolan pointed out tha
worker migration is directly de
pendent on planned production. H
referred to section in the repol
which contends: In the midst c
this national crisis, it becomes ap
parent that unnecessary and un
planned migrations are reflectio
of the failure of the Nation to OF
ganize effectively to put men to wor
on military or essential civilian pre-
duction.' The most critical area 6
present in this regard is that of tn
automobile industry, Mr.. Tolan salt
!, The report was adopted over til
dissent of Representatives Curt
Republican, of Nebraska and o.
mers, Republican, of New Jerse
Mr.. Osmers, who has just been ir
Quoted into the Army as privat
contended that the committees RET
concentrations do not 60 fl
enough"