Evening star., 1952-04-23
Putnam Asked
To Fix Steel Paw
And Price Scale
Pottern for Industry
During U. S. Operation
Sought by Sawyer
By jones Y. Newton

l0SNoJ N@AASA OA4 GNOA4On1AC OGdU11- =
izer Roger L. Putnam to recon-
mend changes in wage rates and
prices which he believes should be
imposed during Government op-
Grafton of the seized steel in
duStry.
Mr.. Sawyer, Federal boss of the
steel mills, asked that the rec
concentrations be made in the
form of an order which he could
submit to President Truman for
approval.
The Commerce Secretary has
indicated he would impose most
Iof the new contract proposals
made by the Wage Sterilization
Board for settling the long dis
Ipute. These call for an immedi-
ate wage increase of 1912 cents
per hour. so-called fringe" bene-
fits valued at S cents an hour and
the union shop.
Delay in Action Seen.
However. it was indicated that
Mr.. Sawyer now may wait until
next week before taking action
which is sure to bring new court
challenges to the legality of Fed
eral operation of the steel mills.
MIR. Sawyer also asked Mr.. Put
nam, in a letter, to inform me
of the basis upon which the steel
firms now under my control may
apply for price increases to which
they are entitled"
This referred, presumably, only
to price adjustments due the in
dustry un der the Cape hart
amendment to price control law.
MIR. Putnam has estimated this
amount at about So a ton and
he said it is all of the price boost
the industry can get under exist
ing control regulations. Steel
producers claim the Governments S
wage proposals would cost $12 a
ton.
District Court Judge David A.
Pine tomorrow will hear motions
on the steel producers suits for
injunction against the Govern
ment seizure order. Ten firms now
have suits pending and these are
being consolidated.
Board Findings Released.
Meanwhile, the White House
made public the findings Ct the
National Advisory Board on Mo-
bilization Policy which had the
steel dispute under study for two
days.
The board, made up of 16 rep
resentatives of industry, labor,
agriculture and the public, held
that the settlement proposals of
the Wage Board are in accord
with stabilization regulations. The
board also held that attacks made
on public members of WSB are
unfair and unsubstantiated by
facts" The Wage Board has been
accused Of pro-labor bias.
The mobilization board held:
l. The board feels that its func-
ton, in circumstances such as
this, is not to reveiw the findings
of the Government agency legally
constituted to make such findings
but to satisfy itself, in the public
interest, that there has been no
special treatment accorded to any
segment Of the economy. This
decision was reached by unani-
nous vote.
2. The Wage Sterilization Board
recommendations on the steel
wage issue are within the estab-
lished policies and regulations of
the agency and do not provide any
basis for the suggestion that a new
pattern has been established or
different policies adopted. Twelve
of 13 members present were in
agreement here; the dissenter was
not identified.
Adjustments for Industry.
8. The steel industry is entitled
to such price adjustments as are
permissible under law and the
which govern all other
industries. This opinion was
4. It seems only fair than any
industry whose price structure
would substantially affect the Ma
tion's economy should be required
to justify publicly any request
for a change in pricing standards.
The vote on approval here was 8
to S, but again the dissenters
were unidentified.
S. The board believes the at
tacks on the integrity of the pub
lie members of the Wage Stabili-
cation Board to be unfair and un-
substantiated by facts. This opin-
ion was reached unanimously.