Evening star., 1944-11-26
Steel Pay Boost
Within Formula
Granted by WLB
Bourd Passes Issues
Of Base Pay, Annual
Wage to Roosevelt
BY the Associated Press.


Steelworkers last night won
wage adjustments from the War
Labor Board that are expected
to average about cents an hour,
but their main demands for a
base-pay raise and guaranteed
annual pay were passed on to the
White House.
On the guaranteed wage demand.
the WLB proposed creation of
study commission by the President
to consider the question nationally.
The WLB approved several other
changes in the compensation and
employment conditions of the CIO
United Steelworkers which could
add materially to the amount OF
cash the workers take home in a
year Figures were not Immediately
available, however, on just what
their effect might be.
Little Steel" Formula Stands.
Chairman William H. Davis of the
WLB said the order did not break
the Little Steel" formula-nor even
bend" it.
The formula limits basic raises,
in compensation for living cost,
increases to Is per cent of the
January /, 1941, rates 1t provides.
however, for increases to meet
"inequities" or "substandards." The
changes approved by WLB were all
under the "inequities" ovision.
The main demand. for II cents
an hour, was all outside the 1ittle
Steel" limit. a
The board on October II decided
it would not recommend that Presi-
dent Roosevelt ease the Little
Steel formula to allow an increase.
The formula is binding on the board
by presidential order.
Last nights WLB order left the
way open for the question of gen.
eral wage increase to be reinstated.
/ however, in case the Governments
basic-wage policy is changed.
/ The board is working on a report
on the question of revision of the
Little Steel formula which is to
be referred to the President. Indi-
cations are that the Administration
will try to hold the line on wages
at least until the defeat of Ger
many.
| The main increase ordered was a
premium of cents an hour for
the second or early night shift, and
6 cents for the third, or late night
tour.
Most Men Affected.
! Since the ma ajority of workers in
most steel mills rotate through the
shifts at intervals, that increase
would affect most of the men. The
union had asked for differentials OF
5 and 10 cents an hour :.
i A considerable amount of back
pay was involved in that increase.
and possibly in some of the other
revisions, through provision that
hourly pay changes b retroactive
to the expiration of old contracts.
That date varies slightly from plant
to plant, but WLB sources said
most contracts expired around De-
cember 26. 1943
In accordance with presidential
orders, the WLB ruling contains
a clause that the orders as to wages
shall become effective only on a
determination by the Office of Price
Administration that the adjust
ments will not require changes in
price ceilings, or on approval by the
Director of Economic Stabilizatlon.
Spokesman for the steel industry
sharply criticized the decision.
John A. Stephens, chairman of the
Steel Case Research Committee,
asserted in a statement that the
premiums ordered for second and
third shifts we're "a direct wage in
crease in disregard of the Little.
Steel formula" He said the pay
boosts were accomplished by Sub
terfuges" The committee is group
formed by steel producers to assist
in steel negotiations before the
WLB.
65 Per Cent Wage Rise Cited.
Il Mr. Stephens asserted that since
January, 1941, steel workers weekly
pay had risen around IS per cent.
Irving S. Olds, chairman of the
board of United States Steel Corp.
said the public would eventually
pay the bill" in higher prices for
steel. higher taxes, or fewer jobs
(See STEEL, Page A-6D