Evening star., 1960-09-14

today released its version OF
wnat it called "An entirely sat-
isfactory" settlement of the
strike that shut down its oper-
ationS for IL days.
James M. Symes, Pennsyl-
vania board chairman, said the
agreement made could have
been obtained without a strike
The striking Transpor
Workers and System Fedora
ton Unions have claimed that
the settlement was a victory fol
them and had earlier released
their own version of the settle
ment.
Pennsy's Statement
Here is the. statement from
the Pennsylvania on details OF
the agreement:
"Twenty-three of the 27 is
sues were disposed of to the
satisfaction Of both sides prior
to the strike. The remaining
four issues and the disposition
made of them can be described
as follows:
81. Contracting out work
This was the issue most pub
licized by the Transport Work
ers Union as designed to pro-
vide job security. The original
proposal was to prohibit con-
tracing out work Of any
kind. 1t would have prevented
the railroad from purchasing
freight cars and locomotives
and other equipment from
manufacturers. 1t would have
prohibited the company from
selling a facility for which it
no longer had any use unless
the purchaser agreed in ad-
vance that future maintenance
work would be performed by
Pennsylvania Railroad shop
employees.
Right Recognized
"The final settlement recog-
nized the right of the railroad
to contract work to outsiders,
However, the railroad did agree
that 1t would not contract the
work of rebuilding or upgrading
locomotive units or equipment
parts where existing facilities
were adequate and there was a
sufficient number of qualified
employees available to do the
work, except that the railroad
could contract out such work
where it could be done by
outsiders at lower cost than
the railroad could do it itself
In order to determine what
would be considered lower cost
and thus avoid disputes, the
agreement provides a formula
which varies depending upon
the size Of the contract. Under
that formula, for example, a
contract involving 81 million
could be given to an outside
contractor if the cost Of per-
forming the work in the rail-
roads own shop would amount
to more than $29,500 above
the contractors bid.
Buying Not Barred
There is no prohibition on
the railroads buying new
equipment from outsiders.
"One feature of this general
demand involved company
power plants producing elec-
tricity for our own use. Some
employees working in such
plants have restricted seniority
which does not entitle them to
take jobs elsewhere on the
railroad. 1t was agreed that
where such power plants were
closed, and electricity is pur-
chased outside, employees with
five years or more of service
and less than IS years of age
who are displaced would be
given an allowance consisting
Of one weeks pay for each
years service with the rail-
road. It was agreed, however,
that employees taking other
railroad jobs would receive the
difference between that amount
and the wages of the new job
if any. This issue involves a
very small group Of employees
Disputes Claimed
1.-The Transport Workers Un-
ion has stated in the newspa-
perS that this is the first time
that severance pay has beer
provided in the railroad indus
try. The fact is that there are
numerous agreements providing
for severance pay in the rail-
road industry.
20. Coupling of air hose: The
Transport Workers Union orig.
inally demanded that the rail.
road agree that it would ne
longer use trainmen to couple
air and steam hose, and thai
all such work must be per.
formed by car inspectors rep
resented by that union.
THE agreement recognize!
the right of the railroad to con.
tinue to use both trainmen anc
car inspectors to perform such
work. However, the railroad
agreed that where car inspec.
tors work in particular loca-
ton was reduced to the point
where only. one car inspector
was left, the railroad would not
transfer the work of coupling
air and steam hose to train.
men for the purpose of elm.
mating that last job. This
however, does not prevent the
elimination of the last car in.
spector job if the volume o.
car inspector work other thar
hose coupling decreases to les,
than four hours on a trick.
Helper Issue
"3. Mechanics performing
helpers work: The TWU pro