Evening star., 1951-02-20
First Labor Test
OF WagePeace
MoveDue Today
Leaders Visit Johnston
To Seek Change in
Poy Control Formula
By jones Y. Newton


The first test of the admin
istration's program to make peace
with organized labor was due to-
day as top-flight union officials
called on Economic Stabilizer
Eric Johnston seeking change in
the proposed new wage-control
formula.
Labor has attacked the for
mula. which would hold future
wage increases to 10 per cent
above levels of a year ago. as a
means of dramatizing its general
dissatisfaction at the way the
defense mobilization effort is be-
ing run.
Public and industry members of
the Wage Sterilization Board ap-
proved the formula over labor's
objections. Then the three labor
members Of the board were Or
dered by the United Labor Policy
Committee to send their resigna-
tions to the White House. The
designations have not been acted
upon.
Situation Is Ticklish.
Mr.. Johnston has the authority
either to modify the formula or
to order it into effect. But it was
an admittedly ticklish situation.
II he changes the wage order,
there was the chance the public
and industry members would re-
sign. At least. some officials
pointed out, it would tend to
render meaningless any future de-
cisions of the wage board.
If Mr.. Johnston does not change
the formula. there was a good
chance the unions would have
nothing to do In the future with
the Governments wage control
program.
The visit to Mr.. Johnston, ar
ranged at the White House last
night. was to be made by four top
officials Of the policy COMMITTEES,
representing most of organized
labor-about Is million members
of the AFL. CIO and rail unions.
Wilson Will Be Visited Later.
1t was the first Of q series of
meetings with top defense officials
suggested by President Truman
as means of Strengthening out
differences over the entire mobi-
lization program. The labor Lead
ers later will call on Mobilization
Director Charles e. Wilson, the
official with whom the union
leaders say they have the most
differences.
Tension in the crisis, which has
brought the threat from labor to
withdraw entirely from Federal
defense agencies. apparently was
eased somewhat by the conference
with Mr.. Truman.
The four leaders who spent Is
minutes with the President were
AFL President William Green;
Vice President Emil Rieve of the
C1O; George Leighty, president of
the Railway Labor Executives
Association, and A. ]. Hayes, head
of the Machinists Union. The
same group was calling on Mr..
Johnston.
Entirely New Deal" Asked.
The labor leaders told the Presi-
dent they wanted an entirely new
deal" in the operation of the de-
tense program. Modification of
the proposed wage control formula
was just one Of the changes they
wanted made. Afterward, they
spent some time with Charles s.
Murphy, the Presidents counsel
outlining their protests in more
detail.
The union officials repeatedly
said they wanted an entirely new
wage board; effective price control,
with the President Immediately
asking Congress for changes in the
Defense Production Act designed
to bring food prices and rents un-
der tighter control.
They also demanded that al
labor official be given a top posi-
tion on the staff of Mobilizer Will
son; transfer Of policy control
of the defense manpower program
from Mr.. Wilson to Secretary of
(See WAGES, Page A-3.)