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VOL. LX, No. 5 ANN ARBOR, MICHIGAN, FRIDAY, SEPTEMBER 30, 1949
PRICE FIVE CENTS
DETRIT-()-A unique new
contract permitting Ford em-
ployes to retire on $100 a month
set a goal yesterday for millions
of other workers.
The unprecedented 30-month
agreement was reached yesterday
morning by Ford Motor Co. and
the CIO United Auto Workers. It
ended a 118-day bargaining battle
and, at the last minute, headed off
a strike of 115,000 Ford workers.
UNDER THE terms, employes
with 30 years service can retire at
65 with full pensions. Ford will
pay the entire cost, adding enough
to Federal Social Security bene-
fits to bring the total to $100.
The new Ford contract calls
for no wage increase. It follows
broadly the recommendations of
President Truman's Fact-Find-
ng Committee in the steel dis-
Many other unions fighting for
economic security undoubtedly will
use the contract as a bargaining
IMMEDIATELY there was a
question whether Ford's grant of
benefits equal to 10 cents an hour
would boost the firm's prices.
Henry. Ford II, company president,
said frankly in New York he didn't
"We have no plan for change
in prices at this time," he said.
"In view of the pension plan,
which is an increase in the cost
of labor, no matter what you
call it, we'll have to look over
the situation carefully."
The pensions will cost Ford an
estimated $20,000,000 annually.
THE CONTRACT was a clear
victory for the UAW on one im-
portant point: That the company
should foot the entire pension bill.
Most of heavy industry had
been solidly refusing to grant
any pensions to which employes
did not contribute. Ford is the
first major crack in this wall of
UAW officers expected the
rank-and-file members to ratify
the contract quickly. The pension
plan is also the first in the car-
Negotiators fought for almost
35 straight hours Tuesday and
Wednesday over final contract de-
* tails. The UAW had set a bar-
gaining deadline at 12:01 a.m. yes-
terday but they went on for two
additional hours and reached
By AL BLUMROSEN
Ford Motor Company now has
an incentive to plug for higher
social security benefits which are
"the best way" to deal with old
age pensions Prof. William Haber
of the economics department said
Since the company plan is tied
r into the federal social security act,
it is to the company's advantage,
to have federal payments as high
as possible, Prof. Haber explained.
"When the benefits under the
federal act are increased, the com-
pany pension to the individual is
decreased," he said.
If other industries follow the
Ford-UAW plan, they too
would want higher social secur-
ity old age payments. "Such a
revision of the federal laws
would be to the advantage of all
insured workers, organized or
not," he added.
Prof. Haber was critical of the
industrial pension scheme as an
unsound way to deal with the
problem of old age security.
"Workers in strongly organized
industries would get higher and
more certain pensions than those
*in unorganized or poorly organ-
ized industries if the plan were
widely adopted," he said.
WORKERS IN marginal indus-
Tokyo Rose Convicted
GUILTY OF TREASON-An expressionless "Tokyo Rose," Mrs.
Iva Toguri D'Aquino, leaves federal court room at San Francisco,
Calif. The jury in her trial found her guilty on one count of
treason out of the eight with which she was charged.
* 4' * *
Toy Rose' Convicted
koOn One Treason Count
Measure To Cost
5 Billion Dollars
ate yesterday passed a $5,809,890,-
000 bill for foreign economic aid,
already approved by the House,
and sent it to the White House.
Senate approval of the huge aid
measure was by voice vote.
THE HOUSE had passed the
bill earlier in the day against lit-
tle more than token opposition.
Passage of the economic aid
measure came within 24 hours
after both chambers had ap-
proved a $1,314,010,000 military
aid bill to help friendly nations
Taken together, the $7,124,000,-
000 measures are designed to
strengthen the noncommunist
world in the cold war against Red
THE BILL represents a compro-
mise on separate measures already
approved by each chamber. It
gives Marshall Plan Administrator
Paul G. Hoffman about 10 per cent
less than he originally requested
for European Recovery Program
Here is the breakdown on where
the money will go:
Economic recovery in non-
Communist Europe - $3,778,
380,000 for 12 months. The
House originally voted $365,8,-
470,000 for 102 months, the
Senate $3,628,380,000 for 12
Marshall Plan expenditures dur-
ing the last three months of the
fiscal year ended June 30, 1949-
Greece and Turkey-$45,000,-
U.S. military government and
relief in Germany, Austria, Ja-
pan and the Ryukyu Islands -
For the Senate-House "Watch-
dog" Committee which checks. on
the ECA spending-$110,000.
* * *
HOUSE AND SENATE approved
the arms measure yesterday and
sent it to the White House for
President Truman's signature.
The first shipments of arms -
surplus guns, tanks and other
weapons from U.S. military stores
-are expected to start moving
Final Peace Sessioi
PROJECTED HOSPITAL-This is the way the new Veterans Hospital in Ann Arbor will look when
finished, according to the architect's drawing of the project. Planned to accommodate 500 beds,
the hospital, when completed, will also treat local out-patients. Excavations for the main building
of the project begin today.
VA Hospital Excavations Begin Today
SAN FRANCISCO - (P) - Mrs.
Iva Toguri D'Aquino, Los Angeles-
born broadcaster on Radio Tokyo
during the war, was convicted yes-
terday of one of eight charges of
She will be sentenced Oct. 6.
An audible "Oh" of apparent
disappointment swept Judge Mi-
chael J. Roche's federal courtroom
when the verdict was announced
after four days of deliberation.
Most of the spectators had expect-
ed an acquittal.
Truman declared here last night
that the Democratic Party will
"win in 1950" and again "in 1952"
by campaigning on his "Fair
In a fighting party speech at a
testimonial dinner for Demo-
cratic National Chairman Wil-
liam M. (Bill) Boyle, Jr., the
President also :
1. Predicted enactment of his
program if it "takes all summer,
all next winter and all next sum-
2. Declared that this nation
can establish an income up-
wards of 300 billion dollars an-
nually and an income of $4,000
per family for one-fourth the
population who, he said, now
have less than a $2,000 income
3. Hinted at the approaching
marriage of Vice-President Bark-
ley, another speaker, with these
"I am glad to get the distin-
guished Vice-President to visit
some place in Missouri outside of
"He is a grand man. I am ex-
ceedingly glad that he is about
to become a citizen of Missouri."
Barkley's frequent dates with
Mrs. Carleton Hadley, St. Louis
widow, had stirred repeated re-
ports that a wedding might be in
NEARLY 9,000 persons packed
into Kansas City's spacious Mu-
nicipal Auditorium to hear the
President's speech which ap-
peared to keynote the Democratic
Congressional campaign of 1950.
Of this number nearly 3,000 paid
$15 a plate for a steak dinner.
Dr. Wilma Donahue, University
lecturer in psychology, last night
outlined the purpose and program
of the University Extension Serv-
ice lecture series, "Living in Later
Dr. Donahue, speaking in the
Bus Ad building, explained that
IVA, DUBBED "Tokyo Rose" by
American GI's who heard her pro-
grams on the "Zero Hour," sat
with head bowed when the verdict
was read. As stoical as she had
been during the 12-week trial, she
maintained her composure, al-
though earlier in the day she had
appeared near collapse.
The count upon which she was
convicted was that of making a
broadcast concerning the loss of
The six men and six women of
the jury declined to reveal how
the polling went during their de-
NEWSMEN TOLD jury foreman
John Mann that the press table
had voted 9 to 1 for acquittal, and
"Well, you're not so far off.
from us." He declined to ex-
Although dog-tired, the jurors
twice rejected the judge's offers
of a recess in order to drive toward
~ * * *
THE MINIMUM sentence Iva
could receive is a five-year prison
term plus a $10,000 fine. The Max-
imum sentence is death.
Defense Attorney Wayne Col-
lins said he would appeaL
Tom De Wolfe, chief prosecutor,
termed the verdict "A just one for
the United States."
"IT WAS ARRIVED at by an
intelligent jury after apparently
long, serious and persevering de-
Judge Roche also compli-
mented the jury for its patient,
The trial cost the government
well over a half million dollars.
While the defense argued that
Iva's Tokyo Rose broadcasts were
harmless entertainment-that she
even managed to slip in an occa-
sional piece of information valu-
able to the Allies-the prosecution
termed her an 'arch traitoress"
and a "female Benedict Arnold."
Meeting of CED
A meeting of the Committe to
End Discrimination will be held at
4 p.m. today in the Union.
All former members of the or-
ganization and other interested
individuals may attend.
Rifle Fire Hits
blasts and rifle fire hit the na-
tion's coal fields yesterday and a
mine official said it was "out and
out sabotage" on the part of John
L. Lewis' United Mine Workers,
Nearly 10,000 non-union miners
were on the job throughout the
country in defiance of UMW pick-
ets. Lewis' union quit work 11 days
ago in a walkout that has idled
480,000 coal miners.'
IVteanwhile, hints of a major
break in the work stoppage came
from widely scattered points on
the black map of coal.
But at a White Sulphur Springs,
W. Va., conference between the
union and northern and western
operators, the UMW turned down
for a fourth time an offer by the
operators to extend the main pro-
visions of the old wage contract
until March 31, 1951.
In central Pennsylvania, hidden
riflemen let loose with a fusillade
of shots at a 15-truck coal convoy
descending Snow Shoe Mountain.
No one was hurt.
A 10 man construction crew will
begin breaking ground at the Ful-
ler Rd.-Glacier Way site today for
the main building of Ann Arbor's
new 500-bed Veterans Hospital,
according to Wayne T. Bell, con-
Surveyors mapped out all boun-
daries of the 17-acre triangular
site last week and workers are
now ripping off the top soil.
LAST WEEK the government
LONDON-01)-The House of
Commons gave Prime Minister
Attlee's Labor Government an
overwhelming vote of confidence
last night in,; a showdown on deval-
uation that might have forced
Britain into a new national elec-
The government's action cutting
the value of the pound sterling
from $4.03 to $2.80 as a means of
bettering Britain's economic po-
sition was approved 342 to five,
with members of the Conservative
* * *
A MOTION of no confidence
proposed by Winston Churchill,
stocky leader of the Conservatives,
was defeated a few minutes earlier
by a vote of 350 to 212.
The 212 votes in opposition
equals the highest vote ever
cast against the Labor Govern-
ment since it took office in
1945. The Government bill for
nationalization of the steel in-
dustry enco ntered the opposi-
tion of 212 members Nov. 17,
1948, but passed.
If the Government had failed
to win on the motion of confi-
dence, it would have been force,
to resign. This would have neces-
sitated a new Parliamentary elec-
tion at once.
THE VOTES wound up three
days of debate. The largely Con-
servative House of Lords, which
exercises little influence, voted 93
to 24 against the government's
economic policy Wednesday.
awarded low-bid contracts to the
J. C. Hedin Construction Co. of
Washington, at contract cost of
Nine stories high, the Veter-
ans Administration project is
designed to accommodate both
in and out-patients. Atop the
hospital will be a two-story
penthouse, housing machine
rooms and air-conditioning
A staff of ten nurses and the
same number of hospital atten-
dants will find comfortable living
quarters in a residential structure
planned behind the main building.
AND FOUR additional apart-
ment buildings will house a size-
able army of personnel, according
Questioned on a probable
completion date, Bell declined
to make a guess, saying any in-
w orld News
By The Associated Press
MOSCOW - Soviet Russia has
broken off her war-born mutual
aid treaty with Yugoslavia on
grounds that Premier Marshal
Tito's government is linked with
foreign imperialists in "hostile and
disruptive work against the U.S.
S.R." Theutreaty normally would
have run until 1965.
* * *
WASHINGTON - Blockading
Chinese Nationalist warships
nabbed three American mer-
c ant vessels yesterday, con-
fronting the United States with
a new issue in relations with
The ships were "detained" off
the Yangtze River entrance be-
low Communist-held Shanghai
and notified that Nationalist
naval officers were coming
aboard for an inspection.
* * 4'
WASHINGTON - The Senate
last night passed 52 to 14 a bill
to boost the pay of cabinet mem-
bers and other top level govern-
It goes to the House which has
approved a bill calling for gen-
erally larger salary increases for
some 240 key executives.
formation must come from gov-
ernment officials. But he said
he hoped to finish excavation
work in "possiblysix weeks."
The entire hospital area will be
served by a modern garage, boiler
house, incinerator building and
water reservoir, Bell added.
IRONING OUT of details for the
project has long been delayed by
a city ordnance prohibiting sewers
and water supply facilities in areas
outside Ann Arbor.
Since December, 1947, when
Mayor William Brown intro-
duced the proposal to the City
Council, negotiations between
VA and city officials have been
carried on. Not until last week,
however, was an amendment
passed voiding the sewer-water
ordnance and giving the build-
ers free rein.
Mayor Brown offered nothing
but praise for the ten-unit project.
In an earlier statement, the Mayor
predicted it would bring more peo-
ple into the city than any other
The unexpectedly large number
of men signing up for fraternity
rushing caused a last-minute
switch in the location of last
night's general rushing meeting
from Rm. 3KLM, Union, to the
Union ballroom, pleased IFC lead-
Approximately 700 students
signed up for rushing and attend-
ed last night's meeting. There,
fraternity and administration
leaders discussed various phases of
fraternity life for the rushees' in-
formation. The Lambda Chi Alpha
glee club, champions of last year's
IFC Sing, provided vocal enter-
steel company yesterday accepted
the CIO United Steelworkers'
terms but all other signs pointed
to a nationwide steel strike 0t
As other companies banked
their furnaces-and some workers
already were leaving their jobs-
Portsmouth, Ohio Steel Corpora-
tion signed a contract to break
the steel industry's united front.
IT AGREED TO foot the pen-
sion and insurance bill for its
1,000 employes. Previously all steel
companies had insisted that if
their workers wanted a social se-
curity program they would have
to help pay for it.
There was no indication that
the Portsmouth agreement would
set the pattern for the steel in-
Everywhere the picture looked
CONTRACT TALKS between
the CIO United Steelworkers and
the steel industry seemingly were
getting nowhere but they melt
again last night. In two important
instances, with Bethlehem and
Republic, they collapsed complete-
Since it takes from 24 to d4
hours to halt steel operins4
the banking of furnaces had be
Steelworkers walkouts actually
got under way near Pittsburgh, 36
hours before the strike deadline.
Crucible Steel Company said
picket lines formed outside its
Midland plant and forced the mill
to shut down, idling 7,000. Crucible
called it "a full-fledged strike."
* * *
SHOULD THE worker help pay
for his pension and insurance pro-
U.S. Steel, the nation's biggest
producer, said yes. So did the
No. 2 and 3 producers, Bethle-
hem Steel Company and Re-
public Steel Corporation.
President Philip Murray of the
CIO and the steelworkers said no.
He said that the companies should
foot the bill. And he pointed to a .
report by President Truman's fact
finding board which recommended
that the cost should be borne by
the steel industry.
More than 150 students crowded
ipto the Student Publications
building yesterday to sign up for
the staffs of The Daily, 'Ensiah
Anyone not able to attend yes-
terday's meetings .may still try
MARK STABILIZED TOO:
German Social. Conditions Normal, Student Pair Say
* * * out for student publications by
PRINTING difficulties caused ,leaving his name and address in
a temporary delay in the issuance The Daily senior editorial office.
of rushing pamphlets, but the * * *
booklets have since been mailed to THE DAILY still has openings
all rushees. Any rushee who does for students interested in general
not receive a pamphlet in today's newspaper work, drama and music
mail may obtain one between 9 criticism, photography, advertising
and 12 a.m. tomorrow at the IFC and circulation,
EDITOR'S NOTE: This is the third in a series of articles by two Daily
staff members who spent the summer in Europe as leaders of an NSA
By BARNEY and DOLORES LASCHEVER
Germany, though politically in a state of flux, appears to have
achieved some degree of social normalcy..
German currency, which G.L's during the early days of the
occupation used "to paper the walls," is now reasonably stable.
* * * *
THE LEGAL RATE of exchange is three German marks for an
American dollar, and the blackmarket will bring only from five to
seven. Previously the dollar was worth 10 times its official value.
Shops have sprung up among the ruins and sell every-
thinz from confectionarie to shoes anoA tnear hinz.
The castle contains the largest wine flask in the world-broad
enough for a small dance floor to be built on top.
* * * *
BEFORE WE LEFT Frankfurt we drove to Mainz in the French
Zone to attend the Wine Festival, where the wine barrels sealed two
years ago were tapped for the first time.
An annual celebration before the war, this is the second
event of its kind since the Occupation began.
The week-long festivities were held among the ruins of the Coli-
seum on the banks of the Rhine. Wine merchants from all over
the world came to test the wines as they came from the kegs.
Offices, located in Rm 3C, Union.
Any men who wish to sign up
for rushing, and who have not
yet done so, may still sign up
from 3 to 5 p.m. today, between
9 and 12 a.m. tomorrow, or be-
tween 3 and 5 p.m. Monday
through Thursday of next week,
in Rm. 3C, Union.
A supplementary rushing list'
containing the names of these
rushees will be available to every
rushing chairman from 3 to 5
p.m. Friday in thefIFC offices.
* * *
THESE LATE signers have been
.... .a-1 - T , t '7._ . ,. . . - _ t
Any second semester fresh-
man, sophomore, junior or sen-
ior eligible for extracurricular
activities' may work on student
Valuable experience in all
phases of journalism may be
gained through work on campus
NEXT tryout meeting for The
Daily business and editorial staffs
will be held at 4 p. m., Thursday,
First tryout session of the 'En-
ian editorial staff will be held at
4 p. m. Tuesday in the Student
--*.. *, a.1