Evening star. [volume] (Washington, D.C.) 1854-1972, 1947-04-21
Steel Pay Agreement
Raises Hope Of Peace
For Year in Industry
BY III. Assoeioted Press


BY the Assoeioted Press
PITTSBURGH, April 21.-
Agreement on wage increases of
81 a DAY for 100000 United States
Steel Corp. workers today
cheered the entire industry with
the prospect of a year OF strike
free production.
The pay increases-agreed on yes
terday by Philip Murray, president
of the CLIO and the United Steel
workers, and ]. A Stephens, Big
Steel" vice president - won quick
approval by the unions Executive
Board. The raises affect employees
of five major producing subsidiaries
and are expected to set the wage
increase pattern for other steel COM
panies as well as other industries.
The contract runs for two years,
but the wage increase agreement
may be reopened after one year.
The agreement comes before the
unions 175-man Wage and Policy
Committee today for final approval.
The union said signature of the pact
could be expected tomorrow.
Accord of new contract was
hailed by some executive board
members as "a great victory"
Fairiess Hopes to Hold Prices.
Benjamin F. Fairless. president of
United States Steel, issued state
ment in which he said he hoped the
cost of the increases could be taken
care Of in the present price struc-
tre. He asked employees eo-opera-
ton In absorbing the costs by I'm
proving efficiency. ':'
His statement said of the unions
demand for portal-to-portal pay
that: "the union has agreed that
the companies shall not be obligated
to pay for travel or walking time
or time spent in preparatory and
closing activities during the term
OF the new agreement"
I'VE must count heavily on the
acceptance by our employees of
their obligation to help absorb these
new costs by increased effort and
improved efficiency"
Mr.. Murray made no statement
beyond the announcement of accord
Cost Figured at IS Million.
United States Steel put the direct
cost of the wage increases at $751;
100000, including pay boosts for
fabricating companies expected to
sign similar pacts. The steelworkers'
announcement estimated the cost
at more than s42.00O,000, but ex-
planned that figure applied only to
the five subsidiaries involved In the
present agreement.
Here Is the pay increase arrange
ment which Mr.. Murray and Mr..
Stephens settled in three days of
highly private man-to-man con-
ferences:
An additional 81 a day (or 1871
cents an hour for all workers, plus
slightly more than "a cents, which
the union said would cover the cost
of additional benefits and bring
total raises to a little more than
IS cents.
S1.47 Average Hourly Rate.
Mr.. Fairless said the average
weekly pay would rise from $3.50 to
$3.50 under the new contract, which
will be retroactive to April l. He
put the average hourly wage rate
at $147.
The increases are in addition to
81 cent average hourly wage in
crease agreed on last February in a
joint union corporation plan to
eliminate wage inequities in various
plants.
The new contract, which will re-
place one which expired February
Is and was extended to April 80,
covers workers in these companies:
Carnegie-Illinois Steel Corp, Amer
lean Steel g. Wire Co., Columbia
Steel, National Tube Co. and the
Tennessee Coal, Iron & Railroad
Co.
Other contract provisions call for
severance pay up to eight weeks
wages for 10 years service. vacations
up to three weeks for Is years en-
ployment; establishment of an in
surance program and elimination
of Scent an hour wage differential
at the Birmingham (Ala) plant of
the Tennessee Coal. Iron g. Railroad
Co., and a 212 cent differential at
the Duluth fMinn.) plant of the
American Steel e. Wire Co.
Contract negotiations in other
steel companies, which have been
under way at length with no appar-
ent progress. now are expected to
take on new vigor. The steelwork-
ers. with more than 100000 men,
bers, hold 200 contracts with most
of the country's basic steel and fab
ricating plants