Evening star., 1946-04-23
BuiIdersAttack
NewWageSca|e
As |nf|ationary'
Labor Department
Bourd Told Costs
Will Rise $40 Pct.
By Robert J. Lewis

District home builders, fighting a
new construction wage scale for the
District area approved two months
ago by the Labor Departments
Wage Adjustment Board, today at
tackled the higher pay level as in
f1ationary," discriminatory against
veterans and at odds with "estab-
llshed local custom"
At a hearing before the board. in
the Labor Department. called at the
request Of builders who seek re-
consideration of the order, James
Z. Wilkes, general counsel of the
Home Builders Association of Met
ropolltan Washington, said the new
rates are probably the top rate
ever paid" in the District area.
When you make these top rates
the floor it means that the new
nome is going to cost to 10 per
cent more Mr.. Wilkes said. 1T
throws established custom out of
gear and is inflationary beyond the
shadow of a doubt
Board Challenges Claim.
Board Chairman Arthur D. Hill,
lr., challenged Mr.. Wilkes state
ment that the new scale would in
crease home costs, declaring he had
information that, by and large,
nome builders have been paying sub
stantlally the same wages" embod-
led in the new scale
If this information is correct"
Mr.. Hill said, then it will be rather
difficult to substantiate the charges
that the new wages will increase
home costs How can you say that
the board has increased costs when
action of individual home builders
has pushed them up?"
Originally. home builders had re-
queSted the boards authority to pay
up to- the higher "A scale issued
for commercial builders in 1912. The
boards order of March 27, however.
denied home builders the right TO
pay any other rate than that en-
bodied in the new scale, which is
substantially the same as the COM
merclal construction rate.
IA Days to File Data.
At the close of the hearing, Chair
man Hill said that home builders
or unions would have IA DAYS within
which to file supplementary data On
the merits Of the reconsideration
request. and that board decision
could be expected within about
month.
During presentation Of the home
builders argument. Mr. Wilkes was
closely questioned by H r. Cole. all
industry member of the board. who
wanted TO know MI Wilkes "pllilos-
ophy' of stabilization.
Sterilization for employers or
employees" he asked.
Replying, Mr. Wilkes said he
wanted "stabilization for the good
OF the public which would lead to
higher continuity of employment,
and which would level off prices
Doubts Stability in Philosophy.
Mr.. Cole commented at this point
he considered Mr.. Wilkes to mean
that demand would determine the
wage scale and added:
Under your philosophy there
would be no stability. I can't under
stand how there would be any sta
blllty if demand were to be rer-
mtted to raise and lower wages.
Z. W, Dunn, another naustyy
member, ASKED Mr. Wilkes if he de-
MED the board chairman's earlier
statement that he understood home
builders had paid up to or above
the commercial scale.
In reply, Mr.. Wilkes said he pre-
Ielred not to get into a controversy
with the chairman, but that he knew
a large percentage of home build
ers were not paying the commercial
rate today"
Asks for Proficiency Scales.
AT this point. Mr. Wilkes asked
the board whether it would enter
tain a request by home builders for
SPECIFIC scales for workmen of yari-
Gus degrees of proficiency.
There was no direct answer 70
MS question but Mr.. Dunn COM
mented:
That poses a new question in nv
NINA as 10 whether your people
knew what they were asking when
they first made the request to psv
a higher scale
A labor member. l. c. Bernan,
referring TO admissions by home
builders that they had competed
lor labor during the war, asked:
What's going to stop one con-
tractor from bidding against
another for labor when we again
nave dearth of labor in case YOUR
request to pay up to the commercial
scale would be approved?"
Steady Jobs Held Factor,
Mr.. Wilkes replied he was certain
/ that some workers would want to
remain with employers even at a
lower wage in return for continuity
OF employment, and that this would
help keep home costs lower.
Clem F. Preller, president of the
washington Building Trades Coun-
Gil, said he would file a statement
with the board later. He said he
disagreed with the statement of Mr..
Wilkes that the veteran was dis
crlmlnated against in the order, and
pointed out that when a veteran can
qualify as a journeyman by taking
tests, a provision is made for him
to do so.
AT the outset Of the hearing Mr.
Hill said the board was in agree
ment that I'VE want to revise ap-
prentice schedules in the order so
that they will be more realistic"
IVA IN E,-o,.