The Waterbury Democrat., 1944-11-01

rom tkl6 NHVy pcCduS6 OA AAOa ~oo- ingly heavy fighting in warm Pacific climates, tine underwear industry today urgently appealed to OPA Ad- ministrator Chester Bowles for n1- mediate revision of economically unsound" ceiling prices, in order to safeguard military needs, particu- larly for lightweight underwear.
 In a letter to the administrator, Roy A. Cheney, president of the Underwear Institute and spokesman for the industry, also expressed grave apprehension over 8 possible widespread civilian shortage stem ming from regulations which he said virtually are forcing low-priced merchandise from the shelves.
 "The public is becoming more and more alarmed over dwindling civilian supplies of various types of underwear, notably for children's and infants wear" he added.
 MT. Cheney also warned that un- less relief is granted, the industry will not be in position to help re- turning servicemen by providing full employment after VIE Day.
 The threat to civilian supplies, MT. Cheney said, has ben accentuat- ed by a sharp rise in production costs, 8 major factor of which was an increase in yarn prices under the recent Bankhead amendment to the Stabilization Extension Act of June 30, 1914.
 On the most common used yarn counts for lightweight items, he re- vealed, this most recent price 1n- crease averaged as much as 10 per cent = a figure so large that in many instances 1t will completely eliminate mill margins.
 Pointing to the growing scarcity in low-priced underwear during the last two years, MT. Cheney predicted that this process will be accelerated unless remedial action is forthcom- ing without delay"
 Prevailing ceiling prices on all types of underwear jeapardize mili- tary and essential civilian supplies during the war, and full employ ment in the industry after VIE Day." the spokesman told MT. Bowles. 'They are economically un- sound, by the standards you have set.
 Tn tine name of the industry, the Underwear Institute request an im- mediate revision of these ceilings, both to allow for higher yarn costs and to effect other justified read- justments."
 MT. Cheney informed the admins trator that the industry stood ready to cooperate with the OPA in work ing out 8 reasonable solution.
 The spokesman recalld hat on at least two previous occasions OPA officials had failed to kep promises given members of the underwear industry. After the Bankhead amendment was passed, he said. the OPA promised to adjust ceilings for manufacturers of both light and heavyweight underwear. Yet the adjustment was granted only for the heavyweight product.
 'No basic change has been made in the underwear ceiling regula- tions," he added, although revision of Maximum Price Regulation (AfPR) 221 and the transfer of lightweight underwear ceilings from OMPR to a revised MPR 221 has been promised on several occa- SionS." ..
 MT. Cheney quoted statistics showing that yarn costs on standard items are now 20 per cent higher than on Oct. l, lS4l. Other factors involved 1n nlgner production costs include an increase of 38 per cent in average hourly earnings of em- ployes.
 Material costs traditiona1Iy &C., count for approximately 48 per cent" he added, "and productive labor costs for 9 per cent of total production costs in this industry.
 'The underwear industry feels strongly that revision of the ceil- ing price structure is called for, not only because production costs have increased sharply since the OMPR price freeze in May, 1942. and the issuance of MPR 221 in September, A021, Uut dASO uCCdllSc ulaIly O1 II1S original ceilings did not constitute fair and equitable prices in the meaning of the Emergency Price Control Act. The basic aim of such general ceiling revision would be the equalization of treatment of in- dividual manufacturers, for gross inequalities developed from the original price freeze.
 Continued discrimination against l manufacturers of lightweight un- derwear will discourage production of this product at a time when military demands turn more and i more to lightweight grades with | intensification of fighting in the Pacific.
 "A considerable deterioration in plant equipment has occurred dur ing the past two years, so that the underwear industry will be call- ed upon to make large outlays for machinery rehabilitation and re- placement once reconversion gets under way. The alternative would personal resistance. There have been some civilian snipings, but they are leaving the fighting to their men