Monday, Oct. 04, 1943

Flicker of Hope

When Shipbuilder Henry J. Kaiser took over management of bogged-down Brewster Aeronautical Corp. last March (TIME, March 29), many a U.S. businessman, weary of the Kaiser legend, could hardly wait for him to fall on his face. Last week they smirked with anticipation. Evidence piled up that Brewster, which has knocked out four managements in two years, was softening the miracle man for the kill.

> Said the Philadelphia Inquirer: "The company has not delivered a single plane to the Navy under its $15,000,000 contract since the recent strike ended there Aug. 26. Production of dive-bombers and Corsair fighters is 'virtually at a standstill.' "

> Senator Harry S. Truman warned Kaiser that if plant management was not reorganized immediately the Truman Committee would expose "extremely bad" conditions arising from "poor management of personnel and inadequate direction generally."

Kaiser appointed Henry Morton, his labor troubleshooter, to study the problem. But, in a dark week, the only bright spot for Kaiser was furnished by the War Labor Board. It acted to eliminate two of the chief reasons for the production slump: 1) the squabble between management and U.A.W.-C.I.O over a new contract; 2) the jurisdictional tussle between the union and the Navy over plant guards who are both union members and Coast Guardsmen. WLB ordered a contract signed on points already agreed upon and removed the guards, whose status caused the August strike, from union jurisdiction. Faintly encouraged, the corporation issued a meek statement hoping that "After a reasonable amount of patience . . . production will meet expectations."

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