Apex Hosiery Quits

For 53 years, one of the biggest firms in the hosiery business has been Philadelphia's Apex Hosiery Co. In its two plants in Philadelphia and nearby Spring City, Apex employed close to 900 workers, and grew to a net worth of more than $10 million. But last week Apex suddenly decided to close its doors and sell its plants. Reasons: Southern competition and the A.F.L. Hosiery Workers' refusal to take a pay cut.

For three years, Apex has been losing both money and orders to Southern textile firms with lower wages. To compete, Apex slashed workers' wages an average of 30%. Last Christmas the company asked its workers to take another cut, this time 15% on wages plus 3% on fringe benefits. The 900 workers reluctantly and narrowly voted to accept the cut, but the union's top officials turned it down, fearing that other companies would also ask for pay cuts. The stockholders then voted to discontinue operations, and asked the directors to work out a plan to liquidate.

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