Evening star., 1952-05-22
Senate Fight Brewing
|0ver Committee Bill
Revising Wage Board
BY the Assoeioted Press


threat and CIO criticism of the
plan. ...- .-..-..--..
The Senate Banking Committee
formally recommended yesterday
that Congress scrap the present
board and replace it with an all
public panel stripped of authority
to recommend settlement ot
union management diSputes-as
the existing wage board did in the
steel case.
Organized labor. industry anc
the public are equally represented
on the present 18-member board
Some members of the commit.
tee announced plans to ask the
Senate either to preserve the pres.
ent board or modify it less dras-
tically. Those in favor of the plar
indorsed by a majority. of the
committee said they would fight
any effort to change the proposed
new formula.
Senate Action Scheduled.
The committee bill approved is
scheduled to come up for Senate
action soon. The measure keeps
intact earlier recommendations by
the committee that:
1. Wage-price controls be con-
tinued until next March /.
2. Rent controls and authority
to allocate scarce essential mate.
rials be extended through June 80
1858.
The present law on those emer.
gency controls expires this JUNE
80. President Truman asked fol
a two-year extension.
The House Banking Commit
tee still is holding hearings on it!
extension legislation.
The Senate Committee also
voted to revise the controversial
ICapehart provision Of the existing
law in a move to avert retail price
increases for food and other com.
moditieS.
Capehart Provision Cited.
The Capehart provision require.
the Government, in fixing pric.
ceilings, to take into account vir'
tually all cost increases incurred
by sellers between the start of th'
Korean war and last July 26.
The Emergency Court Of Ap'
Ipeals ruled last week that thu
provision applies to retail price
ceilings as we'll as manufacturers
maximum prices. The Office o1
Price Sterilization said this in.
Iterpretation would result ir
higher retail price ceilings fol
food and other items.
The Senate committee voted tc
make the Capehart provision ap.
ply only to manufacturers cell.
Iings. Members said that was what
Congress intended in the first
place.
The committees decision to re-
place the present industry-labor-
public WSB with an all-public
panel stems from widespread dis
satisfaction in Congress over tht
present units handling of thu
steel dispute.
Court Studying Seizure.
The board recommended q
wage increase of 26 cents an houl
for the CIO Steelworkers. plus q
union Shop-under which work
Iers are required to join the union
shortly after being hired. The
steel companies rejected the rec.
concentrations and the deadlock
which resulted led to Government
seizure of the mills. The Supreme
Court now is studying the legalit.
of the seizure.
! Before the committee actet
yesterday, the Executive Council
of the American Federation O
Labor announced the AFL woult
boycott the wage stabilizatiol
program if Congress sets up .
new all-public panel.
| And Joseph Childs, a CIO mem
ber of the present wage board
made it plain to the House Labo
Committee that the CIO is agains
an all-public panel. He said con
Itinuation of the present setup
absolutely necessary to success o
the wage stabilization program.
/ Subject to Confirmation.
The proposed new all-publi,
board would be named by tn,
President, subject to confirmation
by the Senate.
Chairman Maybank of the com
mittee told a reporter he callet
the groups attention to the AFI
boycott threat before it gave fina
approval to the controls bill.
''It- made no impression at all
Senator Maybank said in pre-
dieting the committee plan tt
overhaul the WSB will win Sen
ate approval.
Senator Ives, Republican. o
New York, another member o
the committee. said he will offe
an amendment in the Senate II
continue labor, industry and pub
Ilic representation on the WSE
but to give the public member
a majority vote.
II have never known a tri
lpartite board with equal repre-
sentation to work harmoniously,
Senator Ives said.
! A Ar..,, Aupen K;IIad