Steeling for the Showdown

Out from the nation's steel mills last week marched 30,000 wildcat strikers, defying the two-week truce in steel framed by President Eisenhower. Thus did the rank and file put pressure on management for a settlement. United Steelworkers' President David J. McDonald, who had just appealed for "some negotiating statesmanship." immediately ordered the wildcatters back to work. But the short walkouts at major mills such as U.S. Steel's Fairless works and Jones & Laughlin's plant at Aliquippa, Pa. cut holiday week output to about 80% capacity.

Steel users eagerly snapped up that production as a strike hedge. They had already expanded their inventories from 13 million tons in January to more than 21 million tons, equal to seven weeks' top-level output by the industry. The Big Three automakers have squirreled away sufficient steel to get a good start on production of 1960 models. Among makers of appliances, Westinghouse and General Electric have a 30-60 day supply.

Big industry was obviously in a strong position to weather a short strike. Realizing this, Big Labor was ready to trim its package-wage demands from a reported 15-c- to 20-c- an hour to about a dime. But there was little apparent progress in negotiations last week. Company bargainers held fast to their no-raise stand.

"Our objective is to conclude a contract that will involve no increase in the overall employment costs of the company," said Republic Steel's tough, plain-talking President Thomas Patton on TV's Meet the Press. Not only does the current contract provide high wages and benefits, contended Patton, but it also leaves plenty of room for further wage boosts through job promotions and incentive pay. Patton's proof: since contract negotiations opened just two months ago, average hourly wages have jumped from $3.03 to $3.10.

This file is automatically generated by a robot program, so reader's discretion is required.