Evening star., 1947-09-19
Wage Increases
In Lower Levels
Urged by Taft
Senator Sets Figure
500 Over Thut of 49,,
But Warns of Spiral
(Tert on Page A-7.)
By Gould Lincoln
Sior Stoff Correspondent


SAN FRANCISCO, Sept. 19.-
Advocating an increase of "all
Subnormal wages and salaries"
by so to go per cent above pre-
war levels, Senator Taft of Ohio,
in the most important speech of
his present Western swing, to-
day outlined to the Common
wealth Club the Republican pro-
gram for dealing with high
prices.
At the same time, he sought to
place the responsibility for the pres
ent high cost of living and imitation
airy spiral upon the shoulders Of
President Truman and his New Deal
and CIO supporters.
Senator Taft, the recognized Re-
publican leader in Congress on do
mestic issues, advanced a proposal
that the present minimum wage
scale under the law should be in
creased from 40 cents to at least
so cents" an hour-a so per cent
increase.
A corollary to this proposal was
mis- recommendation that further
wage increases should be discour-
aged to the extent that they may
mean increases in prices" for other
catagories of workers.
Denies Democratic Charge.
The Republican leader denied
fatty the Democratic charge that
high prices must be laid at the
door of the Republicans in Congress.
THE Presidents attempt to blame
high prices on the Republicans be-
cause they tried to modify OPA or
to make it workable and get produc-
ton is ludicrous," Senator Taft
said.
The Republican program proposed
by Senator Taft, contained the fol-
lowing proposals.
l. Work toward a Stabilization OF
wages and prices at some new level.
perhaps so or go per cent over that
of 1899.
2. Work always for increased pro-
duction in free economy.
3. Voluntary reduction of prices
by corporations and others making
excessive profits.
4. Voluntary reduction of con-
sumption particularly Of foods by
the American people.
5. Discouragement Of further
wage increases "to the extent that
they mean increases in prices"
6. Reduce Federal taxes and Fed
eral expenditures.
7. Restriction of exports where
there is a distinct shortage In this
country-as in the case OF corn.
Opposed to Controls.
Senator Taft declared himself and
the Republican Party strongly OPP
posed to restoration of Government
price controls with the inevitable
black market.
While demanding retention OF
"free economy and free enterprise"
in this country, he said:
"Of course we recognize that free
dom has its own abuses. The Gov
ernment must write the rules OF
the road and see that they are
enforced. There is always danger
that the more powerful will drive
the less powerful out of business
unless the Government enforces
strictly the rules against monopoly.
I'm order that there may be
equality in dealing with labor, the
Government must require employ
ers to deal with the chosen repre-
sentatives of their employees Other
wise there is no real freedom in
labor relations"
Discussing a long-range economic
program for this country, Senator
Taft declared that "the great prob.
lem we have to face is the preven-
ton of depressions and particularly
major depressions of the 1882 Va
riety."
Points to Council Study.
This problem he pointed out Is
being studied by the Economic
Council for the President and by
Joint committee of Congress on the
economic report, both set up under
the Employment Act of 1916. He
said:
1--WE face the dilemma as to how
far the Government can plan and
interfere with a free economy and
still have it remain free. No doubt
a complete socialistic system can
(See TAFT, Page A-5D