Evening star., 1949-09-13
Two Steel Firms
SET 10 Bargain
On Pensions
Prospects Now Bright
For Settlement Under
Boards Formula
BY the Assoeioted Press


PITTSBURGH, Sept. 13.-The
steel industry started lining up to-
day. behind the presidential boards
formula for peace in Americas
basic industry.
There won't be any steel strike
for the next II days-and maybe
none at all The wage dispute
that threatened to tie the Nation
in economic knots apparently is
headed for happy solution.
President Truman is highly
gratified" about the whole thing.
CIO United Steelworkers and
six major steel producers agreed
to extension of the strike truce
at the Presidents request. The
truce was to expire at midnight
tonight, and now it will continue
to September Is.
The steelworkers also accepted
recommendations Of the Presi-
dents fact-finding board, even
though it meant giving up
fourth-round wage increase.
Two Ready to Bargain.
1.-The President is naturally
highly gratified," said the White
House. He is very much pleased
with the way things have de-
veloped up to now"
Republic Steel Corp. Of Cleve-
land. the Nations No. producer,
was the first to announce willing
ness to bargain pensions as rec
commended by the presidential
board in a 10-cent hourly package
not including wages. Republic
said it was willing to bargain.
with a view of completing study
of the problem by March /. 1850.
Then the No. 4 producer-Jones
g. Laughlin Steel Corp. Of Pitts
burgh-followed suit, accepting
the peace plan "as basis for col
lective bargaining.
j. g. l.. said it is prepared to
undertake at once joint study
of pensions with the steelworkers
lin anticipation of bargaining on
this subject beginning March !
next"
See Cost as Slight.
with respect to social insur-
ance benefits the statement add
ed. I'VE will negotiate with the
union for the purpose of reach
ing a mutually acceptable agree
ment."
The Wall Street Journal at the
same time said only "a slight in
crease" in labor costs will result
if the recommended social insur-
ance program is put into effect.
The newspaper added that most
steel companies now have some
form of group life insurance but
less. than half have company
financed accident, sickness and
hospital and surgical benefits.
The men who make steel will
have to be satisfied with the
average $1.65 an hour they now
receive. The union won three
increases totaling 46 cents since
the end of World War II.
Secretary of Labor Tobin pre-
dicted the Steelworkers' accept
ance of the board findings will
result in National prosperity such
as this country has rarely known" J"
Mr.. Tobin made the predic-
ton at Kansas City. where he
spoke at a building dedication.
Refusal of the industry to grant
wages or talk pensions brought
about the labor crisis that threat
ened a strike last July 16. The
strike was averted at the last min
ute by appointment of the three
man fact-finding board.
The steel industry originally op-
posed creation of the board and
was particularly bitter about its
power to make recommendations.
The recommendations are not
binding.
Long Union Meetings.
The boards report. issued last
Saturday, suggested workers
forego a wage increase. 1t pro-
posed that both sides agree to a
lO-cent hourly increase package
covering insurance and pensions.
The union sought 30-cent pack
age which included 12h cents
more pay.
The steelworkers decisions fol-
lowed day-long meetings yester-
day of the unions Executive Board
(See STEEL. Page AID