Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-07-10

unions to submit their dispute
to binding arbitration.
Another possibility is legis-
lation authorizing Federal
seizure of the railroads to keep
them running, perhaps with a
requirement for arbitration
during the period OF seizure.
Rail management repeatedly
has offered to arbitrate the
dispute, and top negotiators
repeatedly decided at a meet
ing yesterday afternoon to ac-
cept the Presidents proposal
to use the services of Justice
Goldberg as arbitrator.
Union negotiators conferred
among themselves at the Dodge
House Hotel, and some of them
also talked over their dilemma
with two other rail labor lead
erS-George M. Harrison, head
of the Brotherhood of Railway
Clerks, ana G. E. Leighty, head
of the Railway Labor Execu-
tiveS Association.
1t was presumed Mr.. Harri-
son and Mr.. Leighty advised
the operating unions to accept |
the peace plan.
But the five union leaders
decided unanimously to reject
the proposal and formulated
their reply to the President at
about 6 pm yesterday.
They stuck to their decision |
last night through a series of
conferences with administra-
ton officials and members of |
Congress, including Democratic
Senators Mansfield of Mon
tana, Humphrey of Minnesota |
and Morse Of Oregon.
Rules Called Obsolete
Key issues in the four-year
dispute are the railroads de-
mandS for rules permitting
dismissal of the $1,000 firemen
on freight and yard diesel en-
gines, and authorizing manage
ment to reduce the size of
train and yard crews.
The railroads contend OBJ
Solete work rules encourage
Observation-Disclosures
of unneeded workers-which
they claim costs 5000 million
a year.
Mr.. Kennedy made his pro-
posal for submission Of the
dispute to Justice Goldberg for
binding arbitration at a White
House meeting yesterday. Under
the plan, Justice Goldberg,
former Secretary of Labor,
would make his decisions before |
the Supreme Court convened
for its new term in September.
Labor Secretary Writ had
suggested the plan to the Pres
ident last week end, and the
President liked the idea. Mr.. |
Wirtz discussed the proposal
with Justice Goldberg, vaca-
tioning in the Virgin Islands. A |
phone call from the White |
House Monday night settled the
details.
Extraordinary Situation"
The President, in a statement
read to the negotiators yester-
day, noted that the use of q !
member of the high court for
additional duties has been and
should be reserved for extraor-
binary SituationS-such as the |
Nuremberg trials and the Pearl
Harbor inquiry" |
The rail crisis, he said, is
extraordinary, in terms of its
impact on collective bargaining,
its relationship to the whole
problem of chronological unem-
ployment and the potential
effects Of a Nationwide rail
strike on our economy, our de-
Tense effort and our citizenry."
1t is understood that Chief
Justice Earl Warren was con-
suited about the plan to use
Justice Goldberg's services.
Government officials said
the plan was proposed largely
because uncertainty about legis-
lation made it necessary to try
anything that might lead to a
voluntary settlement. It was
felt that Justice Goldberg was
better qualified than anyone |
else to win the confidence of |
both sides in the dispute and |
to formulate a good settlement.
Disqualified From Cases
Justice Goldberg previously |
had disqualified himself from |
considering Supreme Court |
cases involving the rail dispute.
After reading his statement,
the President discussed the sit
uation informally at yester-
days meeting He then talked |
individually with several of the
union leaders.
In his statement, Mr.. Ken
nedy said negotiated agree
ments are infinitely superior
to arbitration" But, he added,
where private parties cannot
negotiate successfully, arbitra-
ton is infinitely superior to
a shutdown over a period of
a vital segment of the Nations |
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