Evening star., 1949-03-31
The Political Mill
U.S.. Jobs Seen Exported
Under Reciprocal Trade
Peril Point Believed Disregarded by
Rising Foreign Competition
By Gould Lincoln


By Gould Lincoln
Are jobs Of American workers being lex.
ported to other countries" as charged BY
Representative Lane Democrat Of Massa.
chusetts. and If 50, what's going to be done
about It?
Mr.. Lane specifically has criticized the
reciprocal trade agreements, engineered
through the State Department, with putting
too many woolen- -worsted workers in New
England out Of jobs they never will get
back"
He has come up with new idea-that the
Government indemnify these workers for the
loss of their jobs. If the Government de-
prives them Of their employment, by reduc.
ing the tariff duties through reciprocal trade
agreements 1t should do something for them.
by compensation for time or assisting in
the development Of replacement industries
In depressed areas.
I'VE are helping the veterans by paying
them a readjustment allowance" Mr.. Lane
commented. I'VE protect the farmers
against loss Of income by price-support leg
islation." And ne asks why the Government
should not step in and help the textile
workers.
Watchmakers Also Hit.
The textile workers are not the only work.
ers who are hit by the trade agreements.
There has been plethora Of testimony be.
fore the House Ways and Means Committee,
showing that the watchmakers Of America
have suffered from Swiss competition, and
that the American producers need further
protection from the more cheaply produced
foreign watch movements.
Only three large Matchmaking American
concerns remain, and one Of these-the
Waltham Watch Co. In Massachusetts,
in bankruptcy and seeking a large loan from
the Reconstruction Finance Corp. to start
up again and give its 1900 former employees
their jobs back The Elgin and Hamilton
Companies are the other two. Swiss watch
making firms, 1t Is testified, now have 81
per cent Of the American market-and they
moved in in big way during the war when
the Americans were producing. not watches.
but precision instruments.
The Reciprocal Trade Agreements Act ex-
pires in June and must be extended by new
legislation. The system has apparently come
to stay. The administrators bill. to take
the place of the act passed by the Repub-
lican 80th Congress. has already passed the
House by big vote-319 to SO. An earlier
vote on motion to recommit showed 241
members standing for the bill to ISL who
wished to send 1t back to committee.
The bill has been reported favorably to tho
senate from the senate FINANCE COmmltCeo
by a strict party vote. Republicans in the
Senate are planning fight to substitute for
1t the present Republican law but prospects
for victory are not bright.
peril Point" Disregarded.
With mounting unemployment in the
country-now between $500, 900 and 4,000,-
900 unemployed-the fight over the trade
agreements bill assumes greater Importance.
Under the Republican act, now still in effect.
the United States Tariff Commission is called
to certify to the President the peril point"
at which American industry is threatened
with extinction, when new agreements are
made. The President Is not compelled to
act on the Tariff Commissions reports in
such cases, but the Republicans maintain
that 1t is still a valuable contribution and
should prove effective. The administration
bill removes this provision.
The State Department, for diplomatic
reasons. is charged with having disregarded
the peril point, which results in the charge
that American jobs are being exported" to
foreigners.
Senator Taft. Republican Of Ohio. IN his
argument before the Senate in support Of
his proposal to cut by 10 per cent the ap-
preparations made for continuance Of the
European Recovery Program. warned, too.
that American industry might suffer If our
billions were used to build up too fast tho
industries Of foreign nations