Evening star., 1946-12-12
New Cycle Of Strikes
Forecast by Industry
lin Wage Demands !
By james Y. Newton

The old argument between
the CIO and industry over wage
and price relationships was re-
newed in full force today with
industry spokesmen warning
that labor's insistence that
wages can be boosted without
raising prices may lead to "an-
other series Of serious strikes" "
I The pattern OF the early skir-
mishes between the CIO and the
mass-production industries was very
similar to year ago when most OF
the Nations great manufacturing
firms were tied up by work stoppages.
The disputes delayed reconyerSion
for months and some industries,
notably automobiles. never have
attained full production.
Report Revives Dispute.
The dispute was touched Of this
time by release OF q report which
Robert r. Nathan, prominent eco
nomic consultant, prepared for the
|CIO. This undertook to show that
present profits are so large that
industry generally can afford to
raise wages up to Is per cent with
out boosting prices and still hold
profits at near peak levels.
Mr.. Nathan was prominent in
Washington's wartime Government.
His, last Federal job was that OF
deputy reconversion director under
both Fred M. Vinson and John w.
Snyder.
CIO President Philip Murray at
tached unusual Importance to the
Nathan report, saying it would serve
as "guidepost'' for the coming CIO
wage drive in the automobile, steel,
electrical appliance and other key
industries. The big unions now are
girding for their annual wage bat
ties which will come early next
year.
Truman Refuses Comment.
President Truman refused COM
ment on the Nathan report at his
news conference today. He like
wise had nothing to say when asked
about the recent contempt fines
levied against John L. Lewis and
his United Mine Workers because
Of the coal strike. He added he
would have something to say as
soon as the Supreme Court finished
with the Lewis case.
Meanwhile, the international As
ISOLATION of Machinists, an indepen-
dent union, made public letter to
Mr.. Truman in which the union
head Harvey w. Brown. called on
the Government to break through
the iron curtain hiding true labor
COSTS"
Mr.. Brown said business is hiding
behind this curtain and "strangling
and bleeding the consumer thus
forcing labor unions, out of sheer
economic necessity, to keep pressing
for wage hikes to meet the ever,
increasing living costs"
Publishing Data Urged.
He suggested that his plan for
publicizing actual labor costs from
Government data would check the
current "leapfrogging of industry
and labor"
Each time a group Of workers
gets a pay raise-the following price
rising in the selling cost Of the
product they make is greater in per-
centage than the initial labor cost
increase" Mr.. Brown said. THE re-
suit is the American public con-
tinues to be low man on our eco
nomic totem pole with another price
rise AIDED to the top"
Industry Opens Attack.
Industry wasted little time in at
tacking the Nathan report.
Walter B. Weisenburger, executive
vice president of the National As
sociation of Manufacturers, termed
1t IAN invitation for new round
of wage demands, possibly followed
by another series of serious strikes" !"
''The theory that wages can be
increased while prices are held at
present levels or lower is just as
false now as 1t was when first pro-
mulgated a year ago." he con-
tinued.
THE analysis prepared for the
CIO by Mr.. Nathan dwells on the
decline in real weekly earnings.
The facts are that since 1898 weekly
earnings of factory workers have