VOL. LVI 57 ANN ARBOR, MICHIGAN, TUESDAY, JANUARY 22, 1946
PRICE FIVE CENTS
Industrial Stri fe
Romney, Reuther, Heath, Haber Speak
At Pastors'Conference Here Yesterday
Highlight of the annual Pastors' Conference which opened here yester-
day was a symposium on industrial conflicts which turned into a spirited
argument between George Romney, secretary of the American Automobile
Manufacturers Association, and Walter Reuther, UAW-CIO vice-president.
- Contending that labor-management cooperation is the key to U. S. in-
dustrial prosperity, Romney declared "labor has blocked increased produc-
tivity," a factor upon which the auto industry's well-being depends.
"Our nation has an outdated labor policy," he asserted. "The Ameri-
can people should become alarmed at labor unions, exempt from the law,
causing labor and managerial centralization."
4 "Today, there is an imperative
President Asks Unchanged Taxes, Lower
Prices, Higher Pay in Message to Congress;
Industry Out To Cut Unions, Murray Says
Alive in Japan
"As though by a miracle the Christ-
ian church in Japan has survived
persecution, bombings and physical
depletion with retained confidence,
faith and hope," Dr. Lumen J. Shafer,
one of the four who formed the Fed-'
eral Council's delegation to the Jap-
anese Christians, reported to the pas-
tors assembled for the Seventh An-
nual Michigan Pastors' Conference.
Dr. Shafer told of the trip made
to Japan in October and November
of last year, with the approval of
General MacArthur and President
Truman. The allied military govern-
ment, he said, was extremely ap-
preciative of what they were trying
to do and of the importance of re-
ligion in the kind of Japan which is
The Japanese Christians, the del-
egates found, are glad that they have
been defeated. Otherwise the military
would have been left in power for
years. The people are only sorry that
they did not get rid of the militar-
ists years ago, he said. The Allied
army, they feel, is an army of libera-
tion, not of occupation.
Our job in Japan, Dr. Shafer said,
is to leave with the Japanese the idea
of freedom. No free people ever
chooses war-it is their leaders who
do. If we can get rid of the militarist
leaders we can have peace in the ar
East for the next 1,000 years, he as-
Nothing can happen in Japan in
the way of reconstruction unless the
Japanese themselves want it, he said.
Of Water Rates
The Ann Arbor Common Council
last night approved a recommendation
by Mayor William Brown that a study
be made of the possibility of raising
the water rates of large consumers.
After the meeting Mayor Brown
explained that he made this pro-
posal because he believed that the de-
clining rate for large consumers made
it possible for them to get water from
the city for less than the real cost
of the service.
Some Consumers Should Pay More
Mayor Brown also said that he
thinks some rate structure should be
arranged so that tax-exempt consum-
ers would pay more for water than
regular taxpayers. At present, consum-
ers outside the city limits pay double
the regular rates but the in-city tax-
exempt consumers pay according to
the regular water rate scale.
The University, which is tax-ex-
empt, uses far more than 25 per cent
of the water consumed ,in the city,
Mayor Brown said. Since local taxes
cover part of water service costs,
Mayor Brown said that it would seem
proper for the University to make up
for the costs it avoids because of tax
Disposal Rates Might Increase
If water rates for large consumers
increase, sewage disposal rates would
also go up, since they are determined
in. proportion to water charges. In-
creased sewage disposal facilities,
which are being considered because
of city and University expansion, will
be paid for by charges for their serv-
ices, the city engineer said.
After discussions with the state
aeronautics committee and Univer-
sity representatives, the Mayor also
recommended that the Council ap-
point a special board to administer
the Ann Arbor City Airport instead
of the park commission. The Mayor
said he expects the City Airport to
cnnn r~h~pNplnt'Y inftn ar C +I )'rLp 0 11
need for legislation to counteract the
terrible strike situation,"' he said, ''We
need to re-write the labor laws."
Romney listed three points in a
statutory revision plan: class labor
legislation must be discarded; the
Wagner Act must be re-written for
the good of the consuming public;
and union exemption from anti-trust
and other federal legislation should
not be allowed.
Union executive Walter Reuther
called for a federal home-construc-
tion program for veterans.
"We spent billions in federal
funds during the war to destroy
homes, but we are reluctant to
spend billions to build homes in the
peace-time world," he pointed out.
Reviewing the General Motors-
UAW dispute, Reuther said, "GM, not
wanting to do the honest, just thing,
dragged a principle from the moth
balls to hide behind."
"We have the tools of abundance
which can aid us in developing our
spiritual and cultural life," he said,
"The question is-do we have the
courage to bring our war-time ideals
down to cope with real situations?"
Rev. Paul Heath, pastor of the First
Presbyterian Church of Kalamazoo
discussed concerns of the Church in
the midst of industrial tension and
listed the following points:
(1) The Church is vitally con-
cerned with every aspect of human
life, educational, political, eco-
ncmic, and cultural.
(2) The Church is deeply con-
cerned with the development of great
corporations and growing impersonal
(3) The Church desires maximum
(4) The Church is concerned
with industrial democracy-that is,
labor should take part in a larger
share of industrial processes.
(5) The Church cannot sanction
racial and religious discrimination in
labor and industry.
(6) The Church knows that we
must have economic world order be-
fore we can secure the peace.
Prof. William Haber of the Depart-
ment of Economics, fourth speaker on
the panel, said that labor-manage-
ment disputes are inevitable.
Meat Packing Works
May Be Taken Over
WASHINGTON, Jan. 21 - -(P) -
Seizure orders by which the Govern-
ment could take over the strike bound
meat packing industry were reported
in preparation tonight.
However, sources close to the meat
industry said they believed, the take
over was not imminent, and passibly
may have been averted by a last min-
ute change in the government's meat
price increase proposal.
For Wage Raise
Special Tax Rebates,
High Profits Assailed
By The Associated Press
PITTSBURGH, Jan. 21 - Philip
Murray, directing his CIO to a finish
fight in the shut-down steel industry,
tonight called the whole rash of post-
war strikes an industry plot to break
Murray said the 750,000 steelwork-
ers, who walked out early today in
more than 1,200 plants from coast to
coast, will remain idle until the steel
industry accepts the 18% cents an
hour wage increase recommended by
'Important to Every American'
"The struggle is now one which
runs far beyond the steelworkers and
the steel corporations," Murray said
in an address prepared for broadcast
(10:30 p.m., EST). "It is' of the ut-
most importance to every American
that this fact be clearly understood.
"American industry, fattened with
war profits, guaranteed a high level
of profits through special tax rebates
under lawsrwritten at their behest,
have deliberately set out to destroy
labor unions, to provoke strikes and
economic chaos and mulct the Ameri-
can people through uncontrolled pro-
fits and inflation."
Production at Lowest Point
As Murray spoke, the steel industry,
by the estimate of the Iron and Steel
Institute, saw production dwindle to
the lowest in the history of the metals
in this country. Pickets circled closed
mills and ore plants in 29 states.
Murraypresident of both the Steel-
workers' Union and its parent CIO
organization, said wage increases gen-
erally are needed to combat rising
living costs and make up for loss of
overtime paid during the war. In
Washington, President Truman had
recommended higher wages and few-
er working hours in his message to
Congress during the day.
GM To Ignore
By The Associated Press
DETROIT, Jan. 21-General Mo-
tors Corp. indicated today that it
would ignore a CIO-United Auto
Workers ultimatum that it settle the
two-month old strike for a govern-
ment-proposed 19% cent hourly wage
Company officials said they do not
anticipate any comment before mid-
night when a UAW-CIO deadline
expires. At that time, the union has
said its wage demands will revert
from 171/ to 30 per cent.
Meanwhile, the Chrysler Corp. an-
nounced today that 3,600 more em-
ployes are being laid off at two local
plants "because of the glass shortage
created before the glass strike was
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SHADED AREAS are those which will be affected by nation-wide steel strike. Figures are number of plants
in each state which Cto United Steelworkers of America say will be struck. Steel producing Minnesota will
not be affected immediately because of a 30-day waiting period enforced by state law.
ATOMIC BOMB CONTROL:
Chamberlin Advocates World
For Daily interview with Cham-
berlin, see page 4.
Labelling "an incredibly fatuous
thing" the idea of negotiating any
agreement with Russia about control
of the atomic bomb without first set-
tling other political differences and
inaugurating a program of world dis-
armament, William Henry Chamber-
lin, noted author and foreign cor-
respondent, last night advocated in a
lecture at Kellbgg Auditorium world-
wide abolition of military conscrip-
tion and outlawing of the manufac-
ture of the bomb.
"In an age which encompasses
the atomic bomb," Chamberlin as-
serted, "an unlimited armaments
race would be disastrous. I don't
know if Russia would agree, but it
is up to the United States to take a
bold lead. The policing of Ger-
many and Japan can easily be:ac-
complished by a relatively small in-
The two main obstacles to install-
ing Russia as a fully cooperating
member of the new United Nations
organization, Chamberlin stated, are
the Soviet government's "habitual
disregard" of its own pledged word
and the fact that Russia generates
distrust abroad through the operation
of Communist party organizations,
the most powerful and far flung fifth
column in history.
"It is the great moral tragedy of
this war," Chamberlin said, "that
Approximately $100 of the $7,500
goal has already been collected in the
Philippine fund drive which began
last Wednesday and will continue un-
Sponsored by the World Student
Service Fund and the Student Or-
ganization for International Cooper-
ation, the drive is being conducted
through representatives in league
houses, dormitories, sorority and fra-
ternity houses and other campus resi-
The University of the Philippines
was the institution chosen in the
campus election last month to re-
ceive Michigan students' support in
rehabilitation. According to WSSF
investigations, students in the Far
East are suffering from tuberculosis,
malaria and other diseases. This,
added to the fact that most of the
books, equipment and buildings have
been destroyed, renders return to
educational activity very difficult,
and outside help almost imperative.
Russia has ignored the pledge to
foster free elections and democratic
institutions in Poland and the lib-
erated Balkan countries." Key
posts in the Polish regime, he
pointed out, are held by indoctri-
nated Communists while essentially
the same conditions prevail in Bul-
garia, Yugoslavia and Roumania.
"Russia," Chamberlin pointed out,
"is the strongest land power in Eu-
rope and we need to understand her.
Free and uninhibited reporting in
Soviet dominated areas is a prime
requisite, as is speedy withdrawal of
foreign troops from occupied areas.
"Fundamentally," he asserted,
Russia is as interested in preserving
peace as we are."
On Class .Party
Tomorrow is the last day for Feb-
ruary graduates from all schools to
indicate whether or not they would
go for a special class party on Fri-
day, Feb. 1.
A blank is printed below on which
prospective graduates may indicate
their opinions. According to Pat Bar-
rett, president of the L. S. & A. sen-
ior class, and Howard Yerges, presi-
dent of the engineering senior class,
this party would be a way for Feb-
ruary graduates to get acquainted
with each other. If a sufficient num-
ber of blanks are received at the Dean
of Students Office by tomorrow, the
party will be arranged.
Pat Barrett and Howard Yerges
Rm. 2, University Hall
Ann Arbor, Mich.
Sure, I'd go for a big class party
Friday night, February 1.
I would [, would not [~ like to
bring a date.
Coeds, Boxes, Union
Dance Aid Polio Fight
Approximately $770.11 was collected
in street sales yesterday of the special
Dime Daily issued to commemorate
the thirteenth anniversary of the Na-
tional Foundation for Infantile Paral-
Alice Miller, who was in charge of
assigning selling posts, stated yester-
day that she wanted to thank all co-
eds who did such a fine job in filling
their posts in the cold weather.
Dime boxes which have been dis-
tributed throughout the campus in
dormitories, league and sorority
houses should be turned in today
at the League, at the presidents'
meetings and Fan-hel meeting. All
boxes in the stores of local mer-
chants will be collected tomorrow
under the direction of George
Spaulding, chairman of the men's
committee working on the drive.
At the Union dance held Saturday
night, the junior class was the largest
contributor in the $17.50 collected to
augment the University donation to
the Washtenaw drive.
Half of the money collected will
remain in the county to fight poHo
on the home front, the other half
will be sent to the National Foun-
dation where it will be used for re-
search and for distribution to lo-
cal chapters in case of emergency.
Miss Virginia Schumacher, head of
the Washtenaw county drive, said,
"The Washtenaw County Chapter of
the National Foundation for Infantile
Paralysis is arming now, against the
possibility of an outbreak in the sum-
mer ahead. They must have the nec-
essary funds to help our health of-
ficials, physicians and hospitals pro-
vide the finest available care and
treatment for infantile paralysis vic-
tims. When a polio outbreak occurs,
no one knows how much special e-
quipment and appliances, or how
many physical therapists and nurses,
may be needed.
In New Budget
Just Peace, Welfare of
People Is U. S. Goal
By The Associated Press
WASHINGTON, Jan. 21 - Presi-
dent Truman submitted to Congress
today a program calling for higher
pay, lower prices and unchanged
taxes, backed by a budget forecasting
the first cut in the national debt since
The President informed Congress
in a message that within the next 18
months $7,000,000,000 will be sliced
from the $278,000,000,000 debt, even
though the budget won't be balanced.
Business Outlook Good
The outlook for business is good, he
said. But he warned of "pitfalls"
He asked Congress to help sidestep
them, to avert "national disaster" by
continuing price controls.
Mr. Truman voiced "concern" over
inflationary pressures, and over major
strikes which he said might apply a
"heavy brake" to reconversion.
Warns Against Disunity
He cautioned that deaf ears must
be turned toward "voices of disun-
ity," stilled in wartime, but now "be-
ginning to cry aloud again."
"They seek only to do us mischief,"
he said. "They must not prevail."
For his administration, Mr. Tru-
man set two fundamental goals.
"Our basic objective - toward
which all others lead-is to improve
USES To Stay Under
Federal Control A Year
WASHINGTON, Jan. 21-(')-
President Truman won a round to-
day in his first veto skirmish with
By a 13 to 3 vote, the House La-
bor Committee approved a bill em-
bracing the President's proposal
that transfer of the United States
Employment Service from federal
to state control be held up until
July 1, 1947.
the welfare of the American people."
In foreign affairs:
"The great and dominant objective
of United States foreign policy is to
build and preserve a just peace."
It will be this country's continuing
policy, the President declared, to
place all its influence behind the
United Nations Organization in pre-
venting international war.
Longest Presidential Message
"If peace is to endure," he said, "it
must rest upon justice no less than
The Chief Executive listed his ob-
jectives in the longest Presidential
message ever sent to Congress-25,-
000 words. For the first time, it com-
bined a report on "the state of the
union" with a budget of government
Committee To Devise
Atomic Energy Plan
LONDON, Jan. 21 - (JP) - Russia
asked the United Nations Security
Council tonight to consider the troub-
led situation in Greece, and the
Soviet Ukraine requested that the In-
donesian situation also be placed be-
fore the council.
Thus two fresh international dis-
putes, in addition to the complaint
lodged earlier by Iran against Russia,
confronted the Security Council-set
up only last week as the United Na-
tions organ empowered to keep the
world's peace by force, if necessary.
Earlier, the Political and Security
Committee of the United Nations As-
sembly approved establishment of a
special commission to devise controls
Prof. Dickinson Gives Analysis
Of Price, Wmage Controversy
In response to a request by The
Daily for an analysis of the current
price and wage controversy, Prof. Z.
Clark Dickinson of the economics de-
partment has stated his view of the
situation. The text of Prof. Dickin-
son's statement follows:
"Among the more urgent prob-
lems now before Congress and the
Administration, inflation and labor
affairs are surely of outstanding
gravity. These are interlocking puz-
zles, since labor suffers from infla-
tion along with nearly everyone else
and since labor disputes and uncer-
tainities as to labor costs are contrib-
uting toward inflation.
"Various bills directly relevant to
these matters are being urged by
has well said, 'As we approach the
date set for expiration of price con-
trol, compliance will be more difficult
to obtain and inventory scrambles,
competitive bidding and withholding
of goods will increase' - further
symptoms of the inflation disease,
for which conditions are now more
favorable than they were at the close
of World War I.
"With a firm expectation of con-
tinuation of price controls through
1946, moreover, there is a better
basis of appeal to labor for modera-
tion in strikes for wage increases,
and of establishing legal minimum
wages that will offer real protec-
tion to employers and employees in
"IX7 - ,-"I"n inhm, n nr nlii
Winners of Speech Preliminary
Contest To Compete Tomorrow
Of the 13 contestants competing in
the Speech 31 preliminary contest,
six have been selected for the finals
to be held at 4 p.m. tomorrow in
on "Union for Peace"; Adam Mc-
Cully, '47BAd., "Infantile Paralysis";
Tpomas D. Powers, '47BAd., "Where
Tn a~pp ru mp Prnm?" n snl-