Evening star., 1951-05-31
Business Urges
Congress TO End
All Controls
U.S.. Chamber Official
Offers Alternate Plan
To Curb lnfIution
BY the Assoeioted Press

The United States Chamber Of
Commerce urged Congress today
to wipe out the Governments au-
thority to control wages and
prices and adopt in their stead an
indirect program to combat in
f1ation.
Herman w. Steinkraus OF
Bridgeport, Conn.,, president Of
the chambers Executive Commit
tee. said in statement prepared
for the House Banking Committee
that price controls can only ag-
gravate the imitation problem by
sitting production and that the
present Wage Sterilization Board
is encouraging wage boosts rather
than controlling them.
In advance of his appearance
before the House committee. Mr..
Steinkraus said in another state
ment "it was cheap trick on the
public" for James Carey Of the
CIO to accuse business of trying
to bribe organized labor to end
price and wage controls.
Mr.. Carey, the CLOS secretary
treasurer, told the Senate Bank
ing Committee yesterday that big
business in effect has urged
unions to join in the effort to
scuttle wage-price controls and
then share the loot" He named
the chamber and the National AS
sociation Of Manufacturers.
Statement Called "Insidious."
Mr.. Carey said specifically that
the Westinghouse Electrical Man.
ufacturing Corp. offered to give
its workers a 9-cent-an-h hour
wage boost if the unions involved
would help persuade the Govern
ment to let the wage increase be
reflected IN higher prices for
Westinghouse products.
Mr.. Steinkraus called Mr..
Carey's testimony "insidious" and
said there is absolutely no
ground" for saying the chamber
proposed any such deal with or.
Iganized labor or anybody else"
IMr. Steinkraus added: And Jim
Carey knows that to be fact"
He continued:
Business knows that wages do
not need to be controlled any
more than prices need to be con-
Etrolled. Union leaders like Jim
Carey are doing disservice ia
the American worker by adyocat.
. ing that he accept further regi.
Imentation from the Government.
The chamber official, in his tes.
] timony. urged that imitation b.
controlled by six steps: Cd Maxi.
mum production. CD reduced Gov.
|ernment spending, CD pay-as-we.
'Igo taxes consistent with main.
tanning incentives to work and
lproduce," "a fiscal policies to
neutralize the Federal debt as a
source of imitation, go credit
curbs and 60 stimulation of per-
lsonal savings.
Wage Board Curbs Urged.
Both the House and Senate
Banking Committees are consid-
ering an administration request
for extension and Tightening Of
the Defense Production Act. which
authorizes wage price controls. It
is due to expire June 30.
A drive to limit the Wage
Boards authority to money mat
tiers was started today with the
backing of Representative Nc
Connell of Pennsylvania, No.
Republican on the House Labor
Committee.
Under the present Setup, the
18-member board can enter into
disputes involving non-economic
matters, provided the President
decides the dispute endangers the
defense effort and both sides agree
to let the board try to find q
settlement of the question.
Mr.. Mcconnell said the fact
the board has power to go into
such non-wage disputes offers an
invitation to the disputants to by.
pass the National Labor Relations
Board and the Federal Mediation
and Cancellation Service. He said
he saw no reason why the boards
function could not be limited to
wages alone.
Economic Stabilizer Eric john
Iston was invited to testify today
Ion the question.