The union times. (New Haven, Conn.) 1941-1948, 1944-02-12
Official Figures
On Cost of Living
Shown AS Too Low
Labor Member Of Presidential Committee Says Living
Costs Have Gone Up 1880, AS Against 23.4
Figure Reported By U.S. Labor Department

oNtO -~AAOA "a W ~ F
port organized labor's asser.
ton that wages have Jagged
far behind soaring costs OF
living have been given by the
labor members of the Presi'
dental Committee on the
Cost of Living.
The labor members have found
that living costs have increased
43.5 per cent since January l,
1o41, instead of the 23.4 per
cent reported by the U. S. Labor
Departments Bureau of Labor
Statistics.
Industry members of the COM
mittee opened fire on the labor re-
port, saying the committee had
taken no final action and casting
doubt ON the accuracy of the la
Dor figures. William Ell. Davis,
chairman of the War Labor Board,
to whom the report was submit
ted. commented that it was mot
i'm any sense a report of the COM
mittee.'' but said tht it would be
carefully studied before the COM
mittee makes its report to the
President.
George Meany, secretary-treasur-
er of the American Federation OF
Labor and R. J. Thomas, president
of the United Automobile Workers,
C.LO., made the labor report, which
was heavily documented, representing
thorough studies by the ALL. and
CLIO.
Declaring that the index of the
Bureau of Labor Statistics was
worthless as a gauge in adjusting
wages to the cost of living, the la
Dor report declared that there was
ssa discrepancy of 8.5 per cent be-
tween the rise i'm living costs and
the wage adjustments allowed un-
der the Little Steel formula"
Food costs, the report added, had
jumped 74.2 per cent instead of the
officially acknowledged 40.2 per cent !;
clothing, 72.2, instead of 33.7; rent,
IS, instead of II, and housefurnish-
ings, 81, instead of N.8.
Meany and Thomas asserted that
the, statistics of the Labor Depart
ment's bureau were inaccurate be-
cause their range of background
was too narrow and that the Office
of Economic Sterilization contri-
buted to distortion of the price
picture by combining price controls
generally to the items studied by
the bureau.
Broadened study of the basic items
studied by the bureau-food, cloth
ing, rent and observation-disclosures
the base of the labor. reports conclu-
sions.
The report pointed out that the
statistics bureau figures took no
account of quality deterioration ex-
cept as this entered into broad av-
erages, of the disappearance of
many cheaper lines of goods, of
the fact that far more persons eat
meals away from home than for
merIy or of other little things that
added up to big differences.
Giving an example of the little
things, the labor members quoted
from report of the Hotel and Res
taurant Employees international AL
lance, that whereas 7 or 8 pieces OF
meat formerly went into stew, the
number now was 5 and the pieces
were smaller.
The Government price control
and subsidy programs, the report
said. had been concentrated upon
those food items used in the Blu
reau of Labor Statistics index and
Gin consequence, according to spe-
ciaI surveys in a number of cities,
the prices of other foods, impOr-
tant component of workers bud
gets. have risen nearly twice as
fast as those priced by the bu-
reau."
"Thus," the report added, while
the food index has been artiflcially
held down by the differential admin
istration of the price control laws
and subsidy programs, the actual
cost as a whole has not been held
down. A similar result MS occurred
in connection with the rent COM
ponent index.
Notwithstanding this finding,
the committee wishes to commend
the OPA for its efforts to control
prices. We need more price con-
troll. not less"