Evening star., 1942-03-21
President0rders
Strike.Bound
Railroad Seized
Eastman Is Told
To Operate Carrier
In Interest of War
BY the Associated Press.

| By the Associated Press.
President Roosevelt today or
dered seizure of the Toledo
Peoria g. Western Railroad and
its operation by the Government
in the interests of the success
full prosecution of the war"
The President acted after a long
series of unsuccessful Government
efforts to get George P. McNear, jr.
president of the 239-mile road, to
arbitrate strike Of 1O4 workers.
Mr.. Roosevelt issued an Executive
order authorizing Joseph B. East
man, director of the Office Of De-
fenSe Transportation, to take imme-
diate possession of the property and
to operate or arrange for the opera
ton of such railroad in such a man.
ner as he deems necessary for the
successful prosecution of the war
Mr.. Eastman later appointed j
w. Barriger, associate director OF
the o. D. T. railroad transport
division. as Federal manager" He
was ordered to leave Immediately
for Peoria and had instructions to
reinstate. with certain exceptions,
all strikers.
Conferred With Davis.
Prior to the issuance of his order
the Chief Executive conferred with
Chairman William H. Davis Of the
War Labor Board, the fourth Gov
ernment agency which had at
tempted to persuade Mr.. McNear tt
arbitrate the nearly three month
old dispute.
At one point in the exchanges Mr.
McNear asked that the Government
either protect the line and its en-
ployes from violence or operate the
| road itself.
The Presidents action was taken
under his constitutional authority
and his powers as commander in
chief Of the Army and Navy.
The latest reply from Mr. Nc
Near to the Presidents demand for
arbitration came in the form of q
| 17-page telegram which the White
House said was sent collect.
1t was added, however, that Mr..
Davis, pressing Mr.. McNear at the
Presidents behest for a quick an
swer, had asked the railroad presi-
dent to telegraph a copy of his air.
mail letter addressed to the White
House Thursday.
Arbitration Refused.
Stephen Early, White House press
secretary, said Mr. McNear was
making public his reply after re-
ceiving telephone information from
the White House that it would be
proper for him to release it.
The Presidents order declared
that representatives of labor anc
industry had agreed that there shall
be no strikes or lockoutS during tht
war and that all labor disputes shall
be settled by peaceful means. II
added that the company had "re-
| fused and continues to refuse" tl
submit dispute with its employe:
to arbitration.
The order directed Mr.. Eastman
to manage the road under such
terms and conditions of employ.
ment as he deems advisable ano
proper, pending such termination
of the existing labor dispute a.
may be approved by the Nationa
J War Labor Board.
! Davis Issues Statement.
Mr.. Davis, on leaving the White
House, issued this statement:
This action has been taken after
a delay of many days awaiting 9
reply from Mr.. McNear.
His answer, when finally received
raised the question of the authority
of the Federal Government to settle
the dispute, and brought up agair
many issues which had been decided
by the National Labor Board. 1t also
discussed the merits Of the contro-
verSy which the Railway Mediation
i Board, the director of transporta
ton, conciliation services and, final
~, wal hdOOl oouAds iAdo ACNoAAA.
mended should be referred to arbi-
tration.
The War Labor Board proposed
that any further review Of the merits
should be before an arbitration
board This was accepted by the
employees; it was rejected by Mr.
McNear on behalf of the railroad.
I'm view of the refusal of Mr.
McNear to arbitrate, there seemed
no other possible answer except tt
take over the operation of the rail.
road"
Strike Began December 70.
Since the strike began, December
20, four Federal agencies had failec
to make progress toward q settle
ment.
Mr. Roosevelt wrote Mr.. McNeal
on March IA requesting compliance
with the w. P. B. order to arbitrate
Last night, Mr.. McNear said ir
Peoria, Mr.. Davis telephoned thai
Mr.. Roosevelt wanted Yes" OF
no" answer within an hour"
An hour later, Mr.. McNear said
he advised Mr.. Davis his reply to
the President, which he had air.
mailed Thursday, was II pages long
and contained information previ.
ously undisclosed. He telegraphed
the reply at Mr.. Davis request.
Last night normal night schedules
were resumed by the railroad after
(See RAILROAD, Page 2-X0