The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1951-03-01
|AFL CALLS FOR
REvAMPING OF
CONTROLS LAW

Washington (LPA)-The Ameri.
can worker is carrying an unfail
share of the burden in the mobil-
ization effort, AFL President Will
lam Green charged Feb. IA. In a
letter to Sen. Joseph C. O'Mahoney
Cd, Wyo.), chairman of the Joint
Committee on the Economic Report
Green declared:
Il cannot emphasize too strong
ly how seriously the American Fed
Grafton of Labor regards the cur
rent situation. After a realistic
appraisal of current economic de-
velopments, | can only conclude
that the American worker is ex-
pected to carry disproportionate
share of the fight against initiation.
eve find, for example, that
under the Defense Production Act
the government has unlimited and
effective powers over the workers
income. On the other hand, under
the same Act, the governments
powers over the prices of goods
and services the worker has to buy
are limited and substantially less
effective. Food prices, in particu-
lar, cannot be subject to effective
price control. Control over rents
at the present time is only partial
ly effective.
con top of this burden, the work
er is expected to pay substantially
higher taxes while, at the same
time, loopholes in our present tax
structure are likely to remain open
for use by higher income families
and corporations.
'It is my earnest hope that your
committee will render a most Wig
orous and fortnight report COW
ering this entire situation"
The AFL chief submitted de-
tailed memorandum on the organ
ization's views, citing executive
council decisions and convention
resolutions since the outbreak of
the Korean war.
Ever since its inception" he
said, "the American Federation of
Labor has strongly opposed the use
Of government controls over our
economic life, but under the cir
arising after the Kor-
can invasion, the AFL reluctantly
decided that some type of direct
controls would be necessary to con-
troll initiation and carry through the
defense effort.
1t is important to recognize,
however, that the success or failure
of direct controls largely depends
on the development of well-round-
ed and comprehensive anti-infla-
tion program. An equitable and eff
fective system of taxation, a saw
ngs program, control of bank
credit, and other anti-inflation
are indispensable for any
affective system. of direct controls. ~
'''The ,AFL is particularly con
;erned about the wage and price
freeze, Green said, because the
governments powers over wages
are limited and only partly effec-
i've"
First step to correct the situa-
ion should be enactment of "new
and workable price control law
which will permit effective stabil-
zation of the cost of living" the
AFL council has recommended.
The impact of credit controls on
consumer buying is grossly in
equitable" the council said, "sincel
heir effect is to deprive families
With little accumulated savings ofl
my opportunity to purchase need |
ID consumer durable goods.p
" Declaring that is particularly
rue of housing, the Council pre-
'ented statistics to show shift to-
ward higher price homes since
Regulation X was issued, cutting
IF slow and middle income fam
lies from the opportunity to pur-
hase new homes"