Montana labor news., 1945-01-25
VIA LIVESTOCK
CEILING EASES
MEAT CRISIS
BY BETTY GOLDsTEIN

NEW YORK. r. FP)-A meat crisis
which threatened to sabotage the entire
price control program in this area was
met head ON January 10 when Economic
Sterilization Director Fred NJ Vinson,
in answer to joint industry-labor-co
sumner pressure, finally placed a price
ceiling on livestock.
The action came in the nick of time.
A black market in meat was thriving
here to an extent that left OPA enforce
ment officials powerless and was incit-
ing a growing disregard Of price cell
ings in other industries open violation
Of price control like the old attitude TO-
ward prohibition-with disastrous infla-
ton has a result-was a far from remote
possibility
Here is the situation Early in De-
cember 10000 New York retail butchers
announced they would shut down their
shops starting Christmas day in a strike
against OPA price ceiling regulations.
Strict enforcement Of OPA ceiling prices
was forcing them either to sell at a loss
or violate the ceilings and face i'm
prisonment. they said
Behind their threat was a Just griev-
ance. Prices they were forced to pay
for meat made it impossible to sell at
OPA ceilings and make a profit. Butch
ers buy meat from wholesalers, whole
salers from the packer or slaughter
house, the packer from the livestock
commissioner or shipper and the shipper
from the farmer or rancher.
With the difficulty Of getting meat
anyway-due to the large amounts going
to the armed forces-the meat handlers
all down the line were able to demand
almost any price and get away with it.
At levels where a ceiling exists, they got
around it by tie-in sales, charging the
excess for buckets Of blood and CUTS
to the butcher. And there was
no ceiling on cattle-on-the-hoof The
angry butchers in New York decided the !
solution was to get rid Of ceilings at
the retail level
Organized labor, led by the Amalga-
mated Meat Cutters & Butcher Work
men (AFL) and the Greater New York
Industrial Union Council, Immediately
.ook steps to persuade the butchers to
.urn their strike against the OPA into
4 strike against the black market.
The butchers met with AFL, CIO, OPA
and consumer groups and a joint COM
nittee was launched to seek a $3.50 per
lundredweight ceiling price for livestock
and a subsidy for meat growers and other
to keep the ceiling from fore
ng increases on wholesale and retail
prices. The retail ceiling is based on
1880 a hundredweight The butchers
agreed to call off their strike and refuse
10 pay or sell at black market prices.
Program Of the labor industry con
er-government group also included
equal distribution of meat to different
regions, no increase in retail ceiling
prices and sufficient funds for OPA en-
iorcement. Pressure was put on the War
Food Administration in Washington for
immediate action on ceilings-on-the-
noof, subsidies and other demands to
relieve the butchers and the meat crisis.
But the farm bloc was also putting |
pressure on VITA. And a group of mid
west congressman, acting in the interests
of the Big -Four meat packers-Swift,
Armour, Cudahy and Wilson.-stayed in
Washington during the Christmas hol-
lays to lobby against these measures.
With no action from Washington and
title or no meat coming into the city,
he butchers did not keep their promise
o fight the black market. Because Of
he meat shortage there we're plenty of
customers demanding meat at any price.
Retailers handed black market meat to
heir customers over the counter in a
'aper bag, not even listing it, and ION
he side" deals between wholesalers and
etailers were rife. Several hundred
utchers announced they would have to
hut down permanently because of ina
ility to get meat, and the strike was ,
preading to New Jersey, Maryland and !
when Vinson finally issued !
he long-awaited order /
Wilson'S order setting a ceiling on live {
took at $18 per hundredweight is a q
efinite step in the right direction and a
ow to the pressure Of the coalition 6
roup, labor spokesmen said. But the 7
My way really to solve the problem is Q
action on President Roose- {
elt's subsidy program and more OPA 4
funds, they said. 4