Evening star., 1946-10-23
Labor Chiefs Gambling
With Nations S Future

!
With Nations S Future
Election Outcome May Head
Of Drift Toward Depression
By David Laurence
The pattern OF things to come in the
economic situation is leading to Oft
repeated predictions about 4 depression
in the ondng. s.,
Such q depression-whether 1t be Of
the milder type of 1921 or the more
severe convulsion such as began In 1929
is considered inevitable by many econ
omists but the reasons for this expecta-
ton are based on variety Of different
circumstances.
The recent decline in the stock mar
ket is a reflection of what has happened
rather than a prediction Of things to
come. But unless the economic Ills
which dislocated the American business
situation in 1916 are remedied, then the
stock market break may be said to be
a forecast of the future as we'll For
| until America comes to grips with the
serious situation in which American
business and industry finds itself today,
the plight of the people will tend to
grow worse instead of better.
The severity of the coming depres-
sion-and, in fact, whether 1t can be
avoided altogether-depends on how
soon a vast majority Of the American
people wake up to what is happening
| to them or how long they wait to find
out the facts of present-day economic
| life.
| Gambling With Future.
These facts are that businesses can
not indefinitely continue to pay out
more than they take in and that those
union leaders who are forcing up the
costs of operation are gambling with
the economic future of America even
more than did the speculative bankers
Of the 1929 era.
Labor union leaders who are reckless
with their policies of strikes and threats
| of strikes, in order to force up the wage
scales in the larger businesses and In
dustries, are sounding the death knen
| of many smaller businesses. When
these smaller businesses 60 to the wall,
vast amount of unemployment will
arise. Wage scales that are based on
the capacity to pay of the larger units
| of business cannot be paid by the
| smaller units, and yet if wages were
not uniform in an industry, labor would
flow entirely toward the larger COM
panies, to the disadvantage Of smaller
competitors, especially in period OF
labor shortage.
| Big unionism is the menace Of the
American economic system today. 1t
is a factor that is completely overs
looked by those so-called liberals who
do lip service to the principle of free
competition and antimonopoly. Every
body who observes the passing scene
knows that If the costly automobile
strikes are to be resumed and If coal
and steel strikes are to be repeated.
there can be no economic stability in
| America.
At the moment the Truman admins
tration is so weak that it is being pushed
around by the chief of the mine workers
union. The administration has been SO
anxious to retain the support Of the
/ left-wing unions that nothing construc-
tive has been done to solve the labor
| problems The record shows that Presi-
dent Truman never followed up his anti.
! strike legislation and vetoed the Case
| Bill with the amazing comment that
he didn't believe it was choice between
that measure and no legislation. The
result has been that nothing has been
added or subtracted from the statute
books on the labor problem and strikes
are worse than ever.
Real Root of Trouble.
1t is frequently argued that there is
no remedy in legislation. But this is
fallacious, for the real root Of the
trouble is in legislation already on the
statute books which needs rewriting.
/ The Democratic administration has done
nothing to bring about square deal as
between labor and management.
| The American people cannot vote Mr..
Truman out of Office today, as the Brit
ish or Canadian people can with respect
to a Prime Minister who has failed to
retain their confidence. Hence the only
thing the American people can do Is to
express their approval or disapproval
| of the party of the President, and that's
why the congressional elections on
November will be so important.
| If the Democrats retain control Of
| the House, it will mean that there is
to be no relief from the intolerable
situation into which labor monopolies
| and big unionism have forced American
business and industry during critical
period or reconversion. If the Repub-
| licans win, it will not mean repeal Of
labor's rights either, but will it mean a
rewriting of existing legislation on the
basis of fair deal for all? The, chance
| to avert q depression may be in the
hands of the Republican Party in the
next Congress.
Certainly, because most businessmen
| are Republicans, they will have more
confidence in the future II the Repub-
licans win than if the Democrats con-
tinue in control. Hence on the outcome
OF the elections depends whether there
is to be a psychological stimulus given
to- the whole American economic system
| or whether the drift toward depression
! is to continue until the facts themselves
eventually cause reversal of the dam
gerous tides of unrest and confusion
| uyhtcb tha r,resent adrairistrotioy, hos