The Waterbury Democrat., 1944-12-11

ICCC1lU w LID ruling in the Big Steel case applies to all regional differences in wage rates.
 Furthermore, 1t sets precedent which may be applicable in the auto workers, packing house workers textile workers and other cases still pending before the WLB.
 If the precedent set in the steel workers case is carried through, it may eventually mean practically equal pay for equal work in every part of the country. That gives a gauge to importance of this part of the WLB's big steel decision.
 Although the VILE denied Spe- cific demand that geographical wage differentials be eliminated, the grant of rights to bargain for elim- ination of intra-plant inequalities drives in big wedge to achieve this very thing.
 5-CENT LIMIT FIXED
 In simple language, the decision calls for elimination of intra-plant pay inequalities by collective bar gaining, with any adjustments not to exceed an average of 5 cents an hour per man. It would work out something like this:
 Suppose that in 8 northern steel mill, the average wages are 78 cents an hour for unSkilled labor, $105 an hour for skilled. Then suppose that in a southern steel mill the average wages ar 60 cents an hour for unSkilled labor, and $1.05 an hour for skilled. In general, skilled labor in both north and south are now paid approximately the same rates, the differntialS being largely in the unskilled labor rates.
 Under the VILE decision, the steel workers union representatives would be empowered to bargain col lectvely to raise the 60-cent rate up to the 78-cent rate, provided that the average wage rate of all em- ployeS ill the southern mill, skilled and unskilled, was not increased more than 5 cents an hour.
 It will probably work out that the full increase can be given to the unskilled employees at the lower rate without going over the scent max imum, because in most steel mills today only about 10 per cent of the workers are unSkilled.
 In effect, therefore, the way has been prayed to eliminate the north south wage differential as it affects some 25,00O or 30,0O0 steel workers. PLANT COMPARISONS
 CAN BE MADE
 This VILE ruling goes even be- yond that. AS a hypothetical case, suppose that even in the north the Steel plants were slightly below the average in U. s. Steel. The unions are now given the green light to make comparisons on a company by company, plant by plant, of area-by-area basis and open negotiations to raies the Bethlehem rates up to the U. s. Steel level, provided only that the 5-cents-per-ho per worker over age adjustment is not exceeded.
 What all this means for the 86 basic steel companies is that they may be in for 8 long series of OSdS1l Wo6S AACSO9AoVAOAAo UC1ANAAlS VO ward reclassif1cation of all their employees and standardization of wage rates on a national basis.
 That is tremendously important as a national economic adjustment, but it is only beginning of what may follow. If this principle of elimination of inequalities in pay rates is applied to the automobile industry, it may mean major geo. graphic shifts in production areas.
 The prewar automobile industry was largely concentrated in the De- troit area, in which there were relatively high wage rate brackets. When the automobile companies expanded into war production, how ever, they located many new plants in the Chicago and Kansas City areas, and even farther west, where wage rates were lower than in Michigan. A major point in the auto workers case before the VILE is the plea for the elimination of these differentials.