Evening star., 1949-01-16
JAW Will Emphasize
Health and Pension
Plans in '49 Demands
by the Associated Press


DETROIT, Jan. 15.-The million
member CIO United Auto Workers
disclosed today it will place major
emphasis" on pension and medical
care plans in it's fourth-round post
war bargaining.
But it also will demand wage
increase sufficient to restore buy
ing power to the level of June, 1916,
when price controls were abolished.
At present price levels. the union
estimates an increase of about Is
cents an hour would be necessary.
This figure will be revised upward
or downward, a spokesman eX-
planned, according to price levels
when the first negotiations start
next spring.
Reuther Sends Letter.
The JAWS economic demands
were drawn up earlier this week by
the international executive board.
They were outlined today in let
ter to all union locals from Presi-
dent Walter P. Reuther
To back the demands, the board
voted to slap a special 81 assessment
on each JAW member. 49,
Here is how the UAW Jared in
the first three postwar rounds of
bargaining with the automobile in
dustry: .5, .-.
Year Demand. Settlement.
i945-46 30 per cent
taboye 80
1e47 s'9's, SGT ). cents 1iisSss H. cents een'S
'plus. frinse lplus paid holi-
= 1e4s - cents Cplus y cents
gave II under
cost of = living
plan)
Mr.. Reuther noted in his letter
today that some contracts limit 1949
negotiations to wages. In such cases
he recommended that union locals
boost their wage demands high
enough to offset the cost OF health
and pension plans if management
refuses to discuss these issues.
1--WE are taking pension and social
security plans out of the category
of fringe demands and putting them
at the top of the agenda,' Mr..
Reuther asserted.
Wages Still Short of Needs.
Wage levels, he said. still fall
short of what the worker needs to
support his family in decency and
security" But he added:
While fighting to bring the pur-
chasing Sower of the workers wage
dollar to the level of June. 1916, we
are determined to place the major
emphasis of our negotiations on
pension plans and social security"
The UAW Boards resolution and
Mr.. Reuther's letter mentioned no
specific wage demand. In November,
however, Mr.. Reuther said it would
take a 15-cent-an-hour wage boost
to restore the auto workers pur-
chasing power to June, 1916, levels.
The Ford Motor Co. probably will
be the first major manufacturer to
get the JAWS fourth-round de-
mands. Although the Ford contract
runs to July Is, negotiations can
get under way go days before that.
Chrysler Corps contract with the
union, extending to August, 1850,
may be reopened for wage talks once
after June Is Union sources be-
lieve, however, that the Chrysler ne
gotiations will be delayed until Ford
settles.
Other Factors Considered.
General Motors Corp, other big
three" automotive concern, will be
freed from contract discussions this
year through a two-year automatic
cost-of-living pact signed last May.
That and pattern 13-cent raise
won from most other car firms last
year boosted average wages in the
industry to nearly Sl.65 an hour.
In adopting its demands, Mr..
Reuther said, the board "consid-
cred the political, economic and leg
islative climate in which our 1949
negotiations will be conducted"
"On the legislative front" he
added, I'VE can expect to win only
basic national minimums for all our
citizens. These minimums will not
be high enough to meet the needs
of our members. They will require
experimentation through collective
bargaining"
Mr.. Reuther said management
"can afford to meet these just de-
mands, which are long overdue, out
of profits without increasing prices"
However, he asserted, If manage
ment continues in its refusal to
meet the problems of the workers,
we shall be prepared to use all the
weapons possessed by free labor"