Evening star., 1950-11-26
Rise einUnemp|oyment in
In Nation Laid Partly
To Material SHORTAGE

Loss Of jobs by workers covered
by State unemployment insurance
has been rising in recent weeks,
according to the report yesterday
of the Labor Departments Bureau
of Employment Security.
This trend is chiefly due to sea-
sonal factors. according to the bu-
reau, but the reports from the
States say some of the layoffs are
due to lack of materials.
Government officials are watch
ing the figures closely to determine
whether unemployment may be
caused by cutbacks in the civilian
use of scarce materials before
military production Is sufficient to
take up the slack.
Initial claims for unemployment
compensation rose to 221 900 in
the week ending November 18.
The average for the two preceding
weeks was 1876, 900. The claims hit
1850 low in September when the
weekly average was 1916
Material Shortages Cited.
For the November 1S week, Con-
necticut reported layoffs due to
copper shortages and Illinois re-
ported layoffs in the petroleum.
machinery and transportation
equipment industries due to lack
Of materials.
Reports of 1ayoffs In the con-
struction industry due to material
shortages come from Louisiana
Indiana reported increased lay
offs due to material shortages
particularly steel.
Robert c. Goodwin, director
of the Office of Defense Man
power. said seasonal trends ac-
counted for employment reduc-
tions in the construction, food
processing. apparel. textile. to-
bacco and numbering industries
1T is too early" he said, "to
evaluate fully the effect of credi,
restrictions. increased taxation
and programs for material allo-
cation and curtailment of civilian
production.
Copper Order Expected.
The National Production Au-
thority is expected to issue soon
its order cutting back the civilian
use of copper. The effect of the
projected order on employment
has been studied.
Also in process in NPA is tht
PRONUNCIATION Of an order affect.
ing zinc and the formation of 6
compliance division.
NPA officials will meet tomor-
row with representatives of the
enamelWare industry and a
Wednesday with leather industry
representatives. On Friday will
be a conference with people from
the rubber industry.
The rubber meeting will be fol
the purpose of drawing a program
for the first quarter of 1851. The
industry is now working under ar
order limiting the use of new
rubber (both synthetic and natu-
RAID to "a per cent of the amount
consumed in the year ending last
June 80. The order expires De.
cember 81.
Move to Increase Supply.
Jess Larson, General Services
administrator, announced yester.
day a second step to increase the
supply Of scarce aluminium. HI
said arrangements have beer
completed for the production O.
an additional 100000 tons o.
aluminium ingots a year by tn,
Reynolds Metal Co.
Reynolds will construct a nev
plant to be in operation In tn,
first half of 1852 to produce rs, ,O0l
tons year, and will increase b,
, 25.000 tons the capacity of it
Jones Mill (Ark.) plan.
This is on top of an additiona
! 10000 tons to come from the re
opening of two plants by tn
, aluminium Co. of America. MI
Larson is negotiating with othe
, aluminium companies also.
Present aluminium production i
. 750. 900 tons a year.