Labor Looks At Steel

This week. C. I. O.'s President Philip Murray had ready at last a big labor effort: a "Survey of the Steel Industry." To the question whether steel's present capacity is adequate to defense needs, Mr. Murray humbly answered: "We do not know." But he did come out with a number of flat assertions certain to cause discussion. Chief of them: that the industry's output is 5,920,195 net tons short of real capacity. Other Murray claims:

Bessemer furnaces (now unused) could produce 1,965,800 net tons; extended use of the Bessemer flame-control process could produce another 1,000,000 net tons; idle open-hearth and finishing facilities could produce 2,454,395 net tons; idle facilities for making concrete reinforcement bars (mostly in small, independent plants) could be used, releasing 500,000 tons of open-hearth steel capacity.

Said Murray: "Much of this additional steel tonnage, however, will not be produced as long as the steel industry continues its present wasteful and inefficient operating practices. A practical plan is essential to the achievement of total steel production." Murray had a plan, claimed that it was eminently practical. His plan: an Industry Council made up of an equal number of representatives from management and S. W. O. C., chairmanned by a Government man. Among the Council's duties :

1) Boss the whole industry as though it were one huge plant.

2) Put present idle capacity into operation.

3) Distribute orders so that a few large companies (such as Bethlehem, where S. W. O. C. has tried unsuccessfully so far to get a contract) are not permitted to pile up backlogs while smaller mills lie idle.

4) Reallocate contracts to fit special capabilities of mills.

5) Determine whether the industry needs to be expanded.

Whatever flaws they may pick in the plan, however much they may dislike labor's brashness in offering to help them run their business, steelmen, with the calculating eye of the Administration upon them, are not likely to brush the plan aside. (Several steelmen cooperated with Mr. Murray in his survey.) In one respect steelmen can feel pleased: it is a notable change for the better that labor should show eagerness not only to make demands for itself but to face the industry's problems.

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