Evening star., 1945-11-01
common-S Sense Appeal
Seen in Trumun TuIk
Issues Between Industry, Labor
Met Squarely, Says Writer
By David Laurence

.
By David Laurence
President Truman's address will bear
reading and re-reading. 1t wasn't
sensational speech, but II was a con-
structiye contribution. Because II stated
simple truths which must be taken to
heart by labor and management, it
may have sounded trite. Yet precisely
this brand Of common -sense appeal is
needed in solving the Nations labor
problem, plus, of course, willingness
to trust the other fellow, too.
Today management thinks labor
chieftains are asking for the impos-
sible In wage demands. Labor chief
tains think management is out to break
up unions and let strikes come on.
Neither side is stating Its true position,
which Is that concessions are possible
and can be made provided there Is
sincerity on both sides.
One unfortunate thing about the plea
for collective bargaining" is that the
very phrase implies concealment of
true purpose, shrewd manipulation and
tactical maneuvering. 1t means that
each side often thinks the other side
Is blufang and will take much less and
that 1t is an error to make the first move
lest 1t be used as means of getting
further advantages. True collective bar
gaining can be conducted without
insincerity.
Issues Met Squarely.
The President had a dificuIt task
to perform but his address met the
issues squarely. Mr.. Truman did not
urge definite figure or a blanket in
crease in wages. He did not present q
formula. He did say that price ceilings
had to be maintained but he did allow
for exceptional circumstances where,
when it could be proved that wage in
creases did raise costs to danger point,
price increases would be allowed.
This was not promise to break all
ceilings but to note that exceptional
situations would be dealt with reason
ably. Mr.. Truman was wise In deciding
to hold the line against runaway infia-
tion. For labor has been privately press
ing for certain price increases as an
easy way out of the dilemma which
some of the leaders face, especially
those who don't want to see strikes
called, because they are costly, and yet
must get something of an increase for
their members if their own position
and prestige in the unions ranks Is to
be maintained.
The strategy in the Presidents speech
was to notify management that the
line on prices would have to be held.
This was but another way of notifying
labor that wage increases would have
to come out Of the expected profit
margin and that If the costs were
forced too high, labor would suffer and
SO would the Nation The President
said significantly:
Labor must not demand more
than an industry or a company can
pay under existing prices and condi-
tions. 1t has stern responsibility to
see that demands for wage increases
are reasonable. Excessive demands
would deny to industry reasonable
profits to which it is entitled, and which
are necessary to stimulate an expansion
of production. We must not kill the
goose which lays the golden egg"
Mr.. Truman then stressed the need
for greater efficiency and greater pro-
ductivity,' which is a hint that in
dustry must get from labor something
tangible in the way of increased out
put per man if 1t is to reduce hours
from 48 to 40 and still pay the same
total wages or anything approaching
half of that overtime payment. The
President emphasized the need for
good work for good wages earned"
Plea Carries Conviction.
Management will echo these thoughts,
for it has been saying the same thing.
But its pleas do not carry as much
conviction as do the words of a Presi-
dent of the United States
Labor, on the other hand, needs to
be sure that management isn't just
selhshly crying out against wage in
creases when it really can afford some
of them. So the President makes this
point:
Business is in very favorable profit
| position today with excellent prospects
for the period that lies ahead. Again,
that is not true of all companies. New
ertheless, throughout industry and in
every branch of industry, profits have
been and still are very good indeed"
What Mr.. Truman wants American
business to do is to share some of its
| profits and take chance on an in
| creasing volume of business. He points
out that Tabor Is the best customer
management has, and management Is
the source of labor's livelihood"
1t all comes down to a simple propo-
sition. Can labor and management get
together voluntarily in democracy or
do they both want to force coercive
measures in the settlement of labor
management disputes? The President
Is patient. His plea is earnest and
genuine. He says: "As a free people,
we must have the good sense to bar
gain peaceably and sincerely. We must
be determined to reach decisions based
upon our long-range interest"
This is a challenge to American in
dustry to have faith in the future and
in the coming Of an era of prosperity.
1t means that the President thinks in
dustry can in many instances agree to
wage increases provided labor will not
insist on the maximum but will accept
reasonable compromise.
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