Evening star., 1944-04-25
Patterson Opposes
Making Civilian Goods
with Labor Scarce
BY JAMES Y. NEWTON.

terson declared today that ci-
william production which is not
absolutely essential should not
be permitted, even in areas of
labor surpluses, until the man
power needs of war plants in
shortage areas have been fully
met. ,.
Mr.. Patterson told a subcommit-
tee Of the Senate Small Business
Committee that "as long as we have
a shortage of labor anywhere in this
country we should not place con-
tracts on q make-work basis for
goods that are not essential" He
added that workers should be trans
ferred to the war production centers
where they are needed.
The subcommittee, headed by
Senator Stewart, Democrat, of Ten
nessee, began hearings today to find
ways OF increasing the output Of
necessary civilian goods, especially
by small firms. The committee is
concerned particularly with a War
Production Board order, rescinded
yesterday, which froze production of
civilian goods In labor shortage
areas.
Favors Freezing Production.
II don't think we have any busi-
ness to prefer the likes of people in
the way of luxury goods to the
things the soldiers need on the bat
tie fronts" Mr.. Patterson said, add
ing that he had had nothing to do
with the WPB order freezing civilian
production, but he declared, From
what ! have read Of it. would have
favored it."
The tremendous war production
program this year, MIR. Patterson
said, will make impossible the re-
conversion of plants to civilian goods
manufacture on any sizable scale.
Mr.. Patterson produced figures
to show that nearly so cents of
each dollar the War Department
has spent for munitions has gone
to manufacturing firms employing
less than 500 persons.
He said approximately IL per
cent OF the Army's prime contracts
by dollar volume has been let to
small plants. The inclusion Of sub
contracts would increase the dollar
volume Of work going to small in
dustries to nearly SO per cent, he
added. ..
Most of the prime. contracts
which little business has received
were placed by the Quartermaster
Corps and the Medical Corps Of the
Army Service Forces.
Small Plants Still Needed.
II see no reason to predict at the
present time that the participation
Of small plants ins our program will
decline during the present year" Mr..
Patterson declared.
Undersecretary Of the Navy For
restal told the committee that from
10 to II per cent Of the Nays prime
contracts measured In dollar volume
have been let to firms employing less
than 500 workers. He added that
approximately 20 per cent OF the re-
manning dollar volume Of contracts
had eventually gone to little busi-
ness on q subcontract basis. =
Mr.. Forrestal. said that the Navy
was not in q position to discuss with
any degree Of accuracy plans for re-
conversion and termination Of con-
tracts since Its overall program
would not reach its peak until near
the end Of this year. He pointed out
that the Navy's production program
will increase some 20 per cent in
total dollar volume during 1884, !, :
Mr.. Forrestal said that his depart
ment was doing everything possible
TO place as much as 1t could with
small firms. He was asked by Sena-
tor Wherry, Republican, of Ne
braska whether he believed 1t would
help small business to give the
Smaller War Plants Corp. a status
Independent OF the WPB SO far as
procurement of contracts was con-
cerned. Mr.. Forrestal replied that
he did not think such q move would