Ottawa County news. (Port Clinton, Ohio) 1931-1956, 1954-03-12
STEVE j. NovAk. PRES.
LOCAL 497, ,uAW.clo

UlOuSHt dOouL tiC PlCoChI uoy
unemployment. Layoffs caused
from bad planning on the part of
management, gas and steel short
ages, layoffs because of decen-
tralization policies of many COM
panies whether their motives were
relocation or just plain running
away, layoffs due to product
changes, mergers and plant shut
downs major part of these
layoffs and their causes could be
corrected if management has the
incentive to do so.
The Guaranteed Annual Wage
would give employers this incen-
tive by shifting the burden of un-
employment to the employer
where it belongs. The primary
goal of a Guaranteed Annual
Wage Plan is to stimulate manage
ment to provide steady full-time
employment, week by week, the
year round. This would be big
step toward solving unemployment
problems.
Have you ever heard people re-
mark, Il just can't figure out how
that plant operates. One week
they are still hiring and bring
in new workers. The next they
have laid off all these new work
ers- and some of their older work
ers along with them" The answer
of course is over-production and
lack of steady flow of work The
Guaranteed Annual Wage can cor
rect this.
Here is how this would work.
We realize that the factories in
this community that supply parts
for the big automobile plants must
gear their production to that of
the big plants. The big concerns
set the pace when they let out
orders to our local factories. When
these big concerns such as Gen.
eral Motors, Chrysler and Ford
speed up their production, jam
ming 1t all into the first part of
the year, seasonal unemployment
is the result. A chain reaction
spreads to all the supplier plants
and they also make seasonal lay
offs.
On the other hand, when the
Guaranteed Annual Wage is in
effect at GIN and the other large
plants, management there will pro-
vide a steady, smooth-running pro-
duction line, If they are to pay
year round wage to their en-
ployees you can be sure they will
see to it that these employees
have year round work. Result
their orders will 60 out to the
supplier plants on a year round
basis These 'supplier plants such
as Standard Products can then
keep their employees working
steadily all through the year.
It will benefit everyone in the
community The employer will no
longer have the headache of speed
up to fill rush orders and then
the layoffs that result. Produc-
ton costs will decrease; greater
efficiency will result and person
mel relations will improve. Com
panys that already have the Guar
anteed Annual Wage such as Hor-
mel Packing Company, Proctor
and Gamble and the Nunn4Bush
Shoe Company testify to these
good results.
The worker will benefit by the
year round work and year round
pay. He can look ahead and bud
get his income, set aside money
for emergencies, save for special
purchases, plan to buy a home and
make plans for his children's
education.
Every merchant will enjoy the
resulting steady spending. Stores
will sell more of the larger items
on payment plans to these workers
who are able to budget and rely
on a steady income : through the
Guaranteed Annual Wage.
You can see how a good effect
i've program of this kind can bene-
fit our national economy.
But don't take our word for
there is what the men who have
put such program to work and
proved 1t successful have to say.
The head of the HORNED company
reports that the plan has cut un-
employment, saved the company
money and has enabled him to
pay wages that are well above the
average of the industry.
In the Nunn-Bush plant their
plan has guaranteed against lay
offs and provide So pay checks
year. Not one permanently en-
ployed worker in the Nunn-Bush
plant was laid off between 1885
and 1945.
Other guaranteed wage plans
have been established by plants
including The National Wall Pap
er Association, which provides IL
months of employment each year;
the Dennison Manufacturing Com