Evening star., 1955-08-13
Eyes Focused
On President
In Transit Row
Company and Union
Awuit Decision
On Franchise Bill
BY FRANCIS p. DOUGLAS


Breakdown Of efforts to settle
Washington's transit strike left
all concerned-including would
be bus and streetcar riders
with their eyes today on Presi-
dent Eisenhower.
The transit bill, ending the
Capital Transit Co.'S franchise
in a year, still awaits Presi-
dental action. White House
Press Secretary James C.
Hagerty described the President
as holding up action pending
further reports" on the measure.
He said he was quite sure the
President would not act on the
bill today.
The transit bill is one Of three
Of the many left by Congress
on which Mr.. Eisenhower had
not acted when he left for
Gettysburg yesterday. Mr.. Hag-
erty indicated the President
might take the transit bill with
him when he flies to Denver to-
morrow afternoon for a lengthy
vacation.
Pocket Veto Possible
The President has until mid
night Tuesday to sign or reject
the measure. If he does not
act then it would automatically
receive a pocket" veto and die.
Federal Mediator Gilbert S.
McCutcheon said negotiations
between company and union are
"hopelessly deadlocked at this
time" Facing a stone wall, he
said, he and his associate, James
A. Holden. are not planning to
meet with either side or to get
them together.
$50 far as we are concerned
at the moment" he said, there
are no plans for a meeting.
What may be the final break
down of the mediation service
efforts to bring an agreement
came last night.
Company Waiting.
Joseph F. Finnegan, director
of the Federal Mediation and
Cancellation Service, met with
company officials yesterday
afternoon. The company stuck
to its offer of 10 cents more
in pay, an additional $40 a month
in pensions and other minor
benefits. The union has re-
jected that.
E. Cleveland Giddings, COM
pany vice president. was asked
whether the company now is
merely waiting for presidential
action on the transit bill. He
replied only, We're waiting"
Mr.. McCutcheon and Mr..
Holden met last night with union
officials. 1t was after that meet
ing that they described the Sit
uation as "hopelessly dead
locked" adding cautiously the
phrase, "at this time"
The union position was de-
scribed as still standing on the
proposal for a 20 cents an hour
pay raise, a $50 increase in pen
sionS and other benefits, but a
Willingness to continue bar
gaining.
The union was also said to be
awaiting presidential action on
the bill and seeing no way out
of the deadlock until then.
If the President vetoes the bill
or permits it to die, the company
and the union will be back
where they were July l when the
strike began. But each will have
suffered from the strike, now
in its 44th day.
Possible Course
If the President signs the bill
then the District Commissioners
will wheel into action. The bill
empowers them to make a con-
tract with the company to run
the property and to approve a
labor contract between the COM
pany and the union.
They have already gone into
the subject Of company-unio
contract. The District Govern
ment would have to underwrite
the cost of such a contract as
1t would other costs above a
break-even point.
How involved proceedings be-
tween the Commissioners and
the company may become is an
open question-with an appeal
to the courts of one side or the
other a possibility in the back
ground.