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September 10, 1964 - Image 3

Resource type:
The Michigan Daily, 1964-09-10

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Chrysler, UAW


On Contract; Reuther
Praises Pension Plan

UNITED AUTO WORKERS President Walter Reuther (above)
announced yesterday a final hour settlement with Chrysler
Corp. after a 23-hour marathon bargaining session. Reuther
phoned President Lyndon B. Johnson immediately after the
accord was reached.
New York Schools Face
Boy0cot0 y ht Pupils
NEW YORK (9)-New York City's public schools, plagued by two
Negro boycotts last winter, now are facing a similar move by white
The school integration controversy has embroiled all major re-
ligious groups and both Republican Sen. Kenneth B. Keating and
Democrat Robert F. Kennedy, candidates in the state's spirited cam-
paign for the United States Senate. "Some say that we have gone too


By The Associated Press
crats decided yesterday to ask their
Bobby Baker investigators to look
into Republican charges of a $35,-
000 political payoff.
Sen. John J. Williams (R-Del),
who made the payoff charge,
countered that this would only
lead to -"another batch of white-
BONDUEL, Wis.,-Two Nation-
al Farmers 'Organization pickets
were crushed to death yesterday
beneath the wheels of a cattle
truck that lurched forward as hun-
dreds of angry demonstrators at-
tempted to prevent the vehicle
from entering astockyard.
The deaths were the first in the
nation in the NFO's attempt to
withhold stock from market so
that prices would be driven up-
William E. Miller, the Republican
vice-presidential candidate, sae
yesterday he sometimes wonderE
whether or not President Lyndon
B. Johnson wanted an honest elec-
tion this year.
He said the majority of Ameri-
can people wanted clean and hon-
est government "even if Lyndon
Johnson doesn't." Miller did not
elaborate on either reference to
the President.

far, said school board president
James B. Donovan. "Others that
we have not gone far enough."
Negro Move
The Negro parents kept their
children home because they felt
efforts to improve classroom
balance weren't moving fast
So the board came up with a
new plan for the opening of school
next Monday.
The White groups insist that
although they aren't opposed to
integration, the school busing and
pairing features of the program
are too drastic.
They are urging all students to
remain home from school next
Monday and Tuesday and those
affected by the plan to remain
away indefinitely.
Eight elementary schools in ad-
joining neighborhoods in Queens
and Brooklyn will be paired under
the new program. Four are pre-
dominantly Negro, four predom-
inantly white. Students in the
paired schools will attend one for
certain grades and the other for
the remaining.
It will result in 3,100 pupils be-
ing transferred out of neighbor-
hood schools, requiring 383 to take
buses to class. But the school
board says about half would ride
school buses even without the
Chief contention of the white
groups is that the neighborhood
school concept should be pre-
served, regardless of races.
' Under questioning, both Keat-
ing and Kennedy have taken
stands against long-distance bus-
ing of pupils.
Kennedy, however, declared he
thought the subject inappropriate
for campaign discussion.

Pact Pushes
Before 65
Accord Also Boosts
Factory Conditions
DETROIT (!f)-The United Auto
Workers Union won its major ob-
jectives of higher pensions-up to
$400 a month-and improved
working conditions at Chrysler
Corp. yesterday and set out to
get the same at General Motors
and Ford.
An exuberant UAW President
Walter Reuther, tired after a 23-
hour marathon bargaining session,
telephoned President Lyndon B.
Johnson and gave him a fill-in on
the final-hour settlement that
averted a national walkout by
74,000 Chrysler workers.
Both Reuther and Chrysler
Vice-President John Leary termed
the precedent-setting settlement
non-inflationary. Reuther said the
President was "very well satis-
fied with developments" at Chrys-
Price Hike?
Leary expressed satisfaction with
the new three-year pact, but said
no determination had been made
yet on what effect, if any, it
would have on the prices of
Chrysler's 1964 cars.
The UAW now will use the
Chrysler settlement as a pattern
not only with Ford and General
Motors but also American Motors,
smaller automotive firms and a
host of supplier firms with UAW
Reuther won smashing victories
on his twin goals of more favor-
able pensions to induce earlier re-
tirement and by the same token
creation of more opportunities for
younger workers...
Pension Plan
Douglas Fraser, director of the
UAW's Chrysler Department, said
the worker 60 years of age and
with 30 years seniority could re-
tire on a pension of $4.25 per
month for each year worked to
give him $127.50.
in addition, a supplemental
benefits fund made up of com-
pany and worker money in unde-
termined ratio would give him
enough to raise the pension to
$400 a month-exclusive of social
security-until he reached the age
of 65.
Then he would receive only the
$127.50 plus what was due him
under Social Security, leaving him
with a pension cut.
Fraser said the program was
deliberately designed to encour-
age workers to leave the plant at
age 60 by making the years be-
tween 60 and 65 more attractive
to the workers as far as the over-
all pension plan was concerned.
54 Cents
Reuther estimated that Chrys-
ler workers would gain about 54
cents an hour over the life of the
new three-year contract. When
the Big Three made their original
contract offers Reuther estimated
that package at about 39 cents
an hour. Yesterday's agreement
with Chrysler was worth about 15
cents an hour more than that.
The UAW made some of its
most notable gains in the pension
area. The normal pension in ad-
dition to social security benefits
at age 65 after 10 years service at
Chrysler was $2.80 a month under
the old contract.
It also achieved sizable advances
in the health and insurance field.
Chrysler will now pay the full.
health and hospitalization in-
surance program for retirees and
provide them with far more lib-
eral hospital-surgical care. The
retirees had paid a share up to
this contract.





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