Evening star. [volume] (Washington, D.C.) 1854-1972, 1951-08-05

mOuSIy CnaC cost OF living wage In
creases be allowed for all workers.
The boards policy up until then had
been to allow them for workers who
are under union contracts having
"eScalator" clauses. The new policy
would open the door to raises for mil
lions, and these costs undoubtedly are
ultimately going to reach the con-
sumner.
The Wage Sterilization Boards
action was only in line with President
Humans statement in signing the
controls bill. He said then:
ITO the extent that this act per-
mits prices and the cost of living to
rise, it will be necessary to allow rea-
sonable adjustments in wages. We
cannot ask the working people of
this country to reduce their standard
OF living just to pay for higher profits
this act provides for business. :"
The President also attacked the
measure for its failure to allow roll
backs on the price of beef and Con-
greSs' refusal to give OPS authority
to establish livestock slaughtering
quotas-both badly wanted by the
administration.
The OPS had instituted one 10
per cent beef price rollback and con-
templated two others. In drawing
the bill, both the Senate and House
refused to allow the two proposed
price cutbacks. In writing the provi-
sion on farm prices, the conferees
stipulated also that except for live
stock, prices could be rolled back to
80 per cent of the May 10, 1851,
level, or to parity, whichever is
higher. Since parity is a system to
allow the farmer to receive for his
produce an amount on a level with
what he pays for manufactured
goods, there is little chance for cut
backs there.
The administrations economic
aides were anxious to have the live
stock slaughtering quota restrictions
contained in the new bill because
they claimed this would help them in
controlling meat black markets. They
almost got their wish, but a techni-
callty cost them their victory. Neither
the House nor the Senate put this
provision in the original draft of
the measure.
There is some hope among admin
istration supporters that quotas even
tually will be restored. Several sep
arate actions to provide quotas were
introduced in Congress last week.
Roof Over the Heed
AS far as rents are concerned, there
Is provision for increases. The bill
permits increases up to 20 per cent
over levels OF June, 1947, in areas
now controlled. Increases granted
since then would have to be sub
tracted from the 20 per cent.
The bill permits rollbackS to levels
which prevailed just before Korea in
the case of newly designated critical
defense areas. The Secretary of
Defense and the mobilization direc-
tor are authorized to designate these
critical areas,
The old law provided for continu-
ance Of Federal rent controls in areas
desiring them. The new law retains
this local option provision. Federal
controls could not be imposed in any
State or local community which has
its own rent law unless rents In the
State or community rose more rapidly
than the national average.
The President called the rent
provisions relatively adequate"
although he said they do not meet
all Of the Nations needs.
Automobile retailers have COM
planned bitterly about the consumer
credit controls administered by the
Federal Reserve Board through regu-
lation "W" which generally limited
installment buying terms. Under the
old provision one third down was
required to buy a new or used car
and the buyer had to pay up the
balance within IS months. They got
some relief in that the pay-up time
was extended to 18 months but the
purchaser still has to put up one
third of the price as down payment.