Meany Demands Rollback
Wholesale Price Jump
Means More Bad News
At Checkout Counter
B\ Duane Emme
Press Associates, Inc.
The specter of an unprecedented wave of inflation
loomed on the horizon in the aftermath of the government's
finding that wholesale prices are shooting up at their high-
est rate in more than 20 years.
The Labor Department's report on the Wholesale Price
Index in March revealed that the huge spiral of wholesale
food and farm prices that began in late 1972 has now
spread throughout the index posing the threat of runa-
way prices in every sector of the economy.
AFL-CIO President George Mean\. charging the Nixon
Administration with "refusing to take concrete action to
protect workers and consumers," called upon Congress to
pass a bill approved by the House Banking and Currency
Committee that \would roll back all prices to January 10
Inflation Rate Growing
Meanwhile, there were other developments that indicat-
ed there is little hope of reaching Nixon's acclaimed goal
for 1973 carried over from 1972 of reducing the infla-
tion rate to 2.5 percent by the end of the year.
Senator Hubert Humphrey (D-Minn.), chairman of a
House-Senate Economic subcommittee, released a study
made by that panel which concluded that food prices are
likely to increase 10 percent during the year a rate con-
siderably higher than the Administration has looked for.
The overall Wholesale Price Index leaped bN 2.2 percent
seasonally adjusted, continuing a rate of increase that is the
highest since 1951. That meant the index rose at an annual
rate of 21.5 percent for the first three months of the year.
Wholesale prices of far products and processed foods
skyrocketed by 4.7 pierce in March to again lead the way
upward, as the\ have f months. The index in this sector
was increasing at an Mtounding annual rate of 53.1 per-
cent, actually a little I ss than the 56 percent rate of Febru-
Although farm products and processed foods are the
main culprit in the wholesale prices surge, there also is an
ominous sign in what is happening in wholesale industrial
commodities %which make up about three-fourths of the
This group increased by 1.2 percent seasonally adjusted
in March. also the greatest increase for a single month
since 1951. Industrial commodities are now increasing at
an abo'e 10 percent annual rate whereas they were on the
decline prior to February.
Prices of consumer finished goods, a selection of food
and non-food comodities closely comparable with products
on the Consumer Price Index, rose by 2.2 percent a rec-
ord monthly increase in this category. since the BLS began
keeping tabs on it in 1948.
Meany said wholesale figures "are proof positive that all
food prices must be controlled stringently and at once.
America's housewives, consumers and workers can't take
any more. They have been gouged enough for long
Pointing to the inadequacy of Nixon's proposed controls
on meats, Meany said they won't protect consumers from
an eight percent rise in fruits and vegetables, a 20.3 percent
increase in poultry or a 17.3 percent rise in eggs.
Accusing the Nixon Administration of holding "a club in
the closet" for labor while "winking at outrageous price
increases," Meany said, "Workers want equity and if the
Administration and Congress won't provide equity, then
workers will have to get it at the bargaining table."
The mid-April meeting which was planned to resolve
remaining questions about possible merger of our Int'l
Union with the Brotherhood of Teamsters ran into
unexpected snags due to prior commitments of key
personnel in both organizations. Because of that delay
it was impossible to call a special session of our Gener-
al Executive Board.
Instead, merger matters will be on the agenda of the
regularly scheduled session of the General Executive
Board to be held at International Headquarters during
the week of May 14.
All local unions and affiliates will be notified by
mail in ample time for compliance with local union by-
laws in event that a Special Convention is called in
accordance with the Int'l Constitution. Developments
will also be reported in The Brewery Worker.
r---ef Tl-- -t 0 ---------------------------
What Price Bread?
By KARL F. FELLER
THE HIGH COST of eating is headed for still higher at reduced rates to the Continental Grain Co. which
levels despite attempts by Nixon Administration handled most of the grain sale to Russia. Now check
apologists to blame crop failure and increased demand this, Clarance D. Palmby was Assistant Secretary of the
instead of their own mismanagement. Signalling higher U. S. Department of Agriculture and arranged the grain
food prices to come is the upward jump of the Wholesale sale in Moscow. On the eve of President Nixon's
Price Index in March by 2.2%, the steepest monthly announcement of the grain sale to Russia, Palmby
increase since January, 1951. resigned his government post to become an executive
Farm products and processed foods led the way with with the Continental Grain Co. in New York City.
the fourth straight large monthly increase. So called
convenience foods went up 4.6%, the biggest jump since THAT BIT OF footwork was investigated by both the
the Labor Department's Bureau of Statistics began Justice Department and General Accounting Office to
keeping records in 1947. determine if there was any illegal aspects of Palmby's
Behind the scandalous rise in food prices there is a resignation. Neither of the investigations pinned
root cause which has been given far less publicity than it anything illegal on Palmby but neither had any
deserves and places the blame squarely where it belongs comment on the conflict of interest in his performance.
on the doorstep of the Nixon Administration. The investigations were based on allegations that
If windfall profits had been reaped by Continental Grain
IT IS THE 1972 SALE of 18 million tons of grain to Co. by the company getting advance information and
the Soviet Union. Consider that grain is the basic food favored treatment to the exclusion of other grain
for human survival from which comes flour, livestock sup en the l si of hat i
feed for meat and milk, plus an almost endless range of appear that such charges were well founded.
grain by-products. Grain prices determine the base cost Meanwhile, Secretary of Agriculture Earl L. Butz
of agricultural products just as steel prices influence the tteet tegrinle al a t
s issued a statement on the grain sale in his usual arrogant
cost of most manufactured products. It is not a very style. Said Butz after the whitewash investigations the
complicated lesson in economics to see that when that style. Said Butz after the whitewash investigations the
amount of U. S. grain is exported a shortage is created grain sale was historic, a highly beneficial and successful I
amount ofU. S. grain is exported a shortage is created a
action." It has been recently announced that the Soviet
which pushes up the price of grain at home with the Union is again looking for more grain to buy from the
consequent price increase on all related food products. U. S., reportedly about half the tonnage sold in 1972.
The political tactic of the grain sale and President A copy-righted story released by the New York Times
Nixon's trip to Moscow are matters for speculation. Service pinpoints the real issue in this report: "If the
More important is what the grain sale cost the American Russian purchases of U. S. grain this fall are 10 million
taxpayer, and the resulting burdens on grocery shoppers. tons below last year's, it would put less pressure on
Rep. John Melcher (D-Mont.) charges the grain sale tons below last year's, it would put less pressure on
c o st the U. S. taxpayers about $0 million and gae American food prices that resulted from the big Soviet
I cost the U. S. taxpayers about $300 million and gave deal of 1972."
the Russians a bargain buy." He also pointed out that
the U. S. government upset world grain markets by
subsidizing the sale of grain to the Soviet Union despite WHILE FOOD PRICES skyrocket in the U. S. it
objections from the Canadian and Australian isn't much comfort to know that Ivan is eating cheaper
governments, bread because the Nixon Administration manipulated
Rep. Melcher cited the sale of 60 million bushels of the grain deal in a manner to insure higher food costs for
grain held in the U. S. Commodity Corp. (CCC) stocks all Americans.
The Brewery Worker
For Greater Strength
Merger Survey of Smaller Unions Started
An in-depth survey is being made to determine the
feasibility of effecting merger of local unions in a com-
patible area in order to provide full time Business
Agents or Representatives to render better service to
This action follows a thorough discussion of the need
to strengthen smaller local unions during the recent
session of the General Executive Board. The procedure
adopted will be that Regional Directors and Int'l Rep-
resentatives will survey the prospects for merger and
submit their findings in the form of recommendations
to the General Executive Board. These will be careful-
ly studied by Int'l Union Officers before any specific
instructions are issued.
Merger possibilities will center on an "area" as in-
terpreted by Int'l Union Officers and will mean where
two or more local unions are located in a metropolitan
area or adjacent towns or cities within a State or Prov-
ince of the U. S. and Canada.
Advantages of such an internal merger program are
obvious. Combining the membership of smaller local
unions sharing the same daily problems adds strength
to the bargaining power of the merged unit. Cost of
Members Need Help
Dare Food Strike One
Year Old This Month
The adamant resistance of Dare Foods Company, Ltd.
closed the door on settlement efforts in April where the
strike of our Local 173 members against that firm in Wat-
erloo, Ontario, Canada will have stretched into a full year
on May 29. The company simply refuses to respond to all
efforts at mediation, compromise or public opinion.
Meanwhile, the boycott appeal to sister labor organiza-
tions in the U.S. instituted by our General Executive
Board brought a prompt pledge of support from Patrick E.
Gorman, Secretary-Treasurer of the Meat Cutters and
Butcher Workmen of North America, AFL-CIO. Each of
servicing is greatly reduced and improved when merger
provides the means to have a full time spokesman. The
stature of a merged unit establishes greater respect in
the community and with employers.
All of these advantages are in addition to the im-
provement of the financial structure of merged units,
reducing the hardship when smaller local unions find
themselves in continual financial crisis.
The entire policy of merging smaller local unions
was considered by the General Executive Board as a
practical forward step to enable our smaller local un-
ions to handle their affairs with a greater degree of
security and strength. It is also in keeping with the
trend of union mergers and consolidations.
Our smaller local unions that are surveyed for the
possibility of merger are urged to cooperate with Re-
gional Directors and Int'l Representatives who will
explore the advantages with them and base their rec-
ommendation on what will best serve the membership
When merger appears to offer definite advantages,
all local unions involved will be so notified by Int'l
their 550,000 members were asked to not buy Dare cookies
in an article published in their official publication The
Butcher Workman. Int'l President Feller sent a letter of
thanks for that support of our boycott.
In Canada the boycott also continues as labor groups in
Ontario and elsewhere have pledged support to our Dare
strikers. Another financial appeal to help Local 173 strik-
ers was issued by Int'l Secretary-Treasurer Gildea. Plead-
ing for generosity because of the severe hardships encoun-
tered during their long struggle, all local unions in the U.S.
and Canada were urged to send contributions to:
Albert Gill, President
Local Union 173
65 Lodge Street, Box 634
Waterloo, Ontario, Canada N2J 4B8
Don't Buy Dare Cookies
Offitol Dubl.callon Inltenaotonal Union of United Brewery, Flour.
The BREW ElRY Ce.eal Mal.l Yeast, Soft Dr.nk and D.shlierr Workers of Amer.ca.
e EOrgon.ed August 29. 1886 Affi.ated with AFL.CIO, CLC
Flour, Cereal, Molt, Yeast, Soft Drink
and Distillery W O RKER Karl F. Feller, International President
Arthur P. G E r Thomas M. Rusch, Director of Organization
Arthur P. Gildea, Editor
S .. ubI.hed mcn.hly S.cr,..on p... $2 .er ... Arthur P. Gildea, Secretary-Treasurer
LA BOR PRESS ub. d n h Sb,. n p, S r
A LA20 Second class po"age po-d of C nC.nnaf., Oh.o.
k% ~" Volume 88, No. 5, May, Headquarters: 2347-51 Vine Street, Cincinnati. Ohio 45219
aVolume 88, No.5, May, 1973
-- -- ----
Took Anti-Labor Road
Meany Raps Brennan Stance on Minimum Wage
AFL-CIO President George Meany charged that the
Nixon Administration's minimum wage proposals echo
"the threadbare arguments of the Chamber of Commerce"
and accused Labor Secretary Peter J. Brennan of abandon-
ing his trade union principles by advocating them.
Brennan testified before a House Labor subcommittee
on behalf of a bill that Meany termed worse than the ver-
sion the Administration supported last year.
It would allow employers to pay a subminimum wage to
young workers up to the age of 20, not just those under 18
as the Administration previously proposed. It would set the
first-step rise in the minimum wage for most workers at
$1.90 an hour less than the $2 figure the Administration
found acceptable a year ago.
And it rejects extension of the Fair Labor Standards Act
to millions of workers now excluded, including public em-
ployes and household domestics.
Pulled "Direct Reversal"
Meany noted that Brennan's testimony was "a direct
reversal" of the views he expressed less than three months
ago in response to questions asked during Senate hearings
on his confirmation. At that time, he saw no reason why the
minimum wage for young people should be any lower than
for older workers. And he specifically endorsed extension
of the wage-hour law to public employes.
"As trade unionists, we are shocked at Secretary Bren-
nan's performance," Meany said. "In his very first appear-
ance on legislation before a congressional committee, this
lifelong union man presented the discredited line of the
United States Chamber of Commerce."
Meany termed Brennan's contention that a subminimum
for young people would increase teenage employment "ut-
ter nonsense." If there were logic to the reasoning, he said,
the Administration would propose a lower rate for veterans
returning from Vietnam because their unemployment rate
is higher than average. And the same rationale would re-
quire a lower minimum wage for blacks.
A Labor Dept. study during the Nixon Administration,
Meany noted, failed to prove any direct relationship be-
tween minimum wages and employment of young workers.
Meany said the AFL-CIO is not surprised at the Admin-
istration's position on wage-hour legislation. He added:
"We are aghast, however, that Brennan had so completely
abandoned the trade union principles he espoused for all of
his life before coming to Washington."
Less than two hours after leaving the congressional wit-
ness table, Brennan sought to defend his position before a
trade union audience at a Meat Cutters' legislative confer-
ence. Putting aside his prepared speech, he told the group
that his Cabinet role requires him to be an advocate for "all
working people," not just union members. "Labor is not
always right," he contended.
Brennan said his personal feeling is that the minimum
wage should not be tied to age. But he argued that the pro-
posed youth differential would be "similar" to an appren-
ticeship pay formula. Compromises are often necessary, he
said, and "when you get on a team, you have to play with
the team." Before he quits over a disagreement. "it's going
to have to be a hell of a lot more important thing."
Rep. John H. Dent (D-Pa.), sponsor of the labor-backed
minimum wage bill and chairman of the subcommittee that
heard Brennan's testimony, was loudly applauded by the
delegates to the Meat Cutters' conference when he ex-
pressed incredulity at the Secretary of Labor's position.
"I'm as mad as I've ever been in my life," Dent said.
The new Administration proposals presented by Brennan
A four-step increase from the present $1.60 wage floor
for those whose jobs were covered by the Fair Labor Stand-
ards Act before the last expansion of coverage, in 1966.
Their wage floor would rise to $1.90 this year, $2.10 a year
later, $2.20 in 1975 and $2.30 in 1976.
Those brought under coverage in 1966, except for
farm workers, would go to $1.80 this year, $2 a year later
and then in 10-cent steps to the $2.30 level in mid-1977.
Workers on large farms, now held to a $1.30 an hour
floor, would go to $1.50 this year, $1.70 next year, $1.85 in
1975 and a final level of $2 in 1976.
There would be two types of sub-minimum youth wages
that could be paid during the first 13 weeks on the job:
For those under 18, the minimum wage would be 80 per-
cent of the regular minimum of $1.60 an hour, whichever is
higher, except in agriculture where the $1.30 figure would
substitute for the $1.60 level.
For youth of 18 and 19, the rate would be 85 percent of
the applicable minimum if it were higher than the $1.60 or
Acknowledging concern over the inducement to employ-
ers to fire older workers and hire lower-paid youth, Bren-
nan said the Administration bill would limit employers to
hiring no more than 12 percent of their workforce at the
subminimum wage or six employes, whichever is higher.
He also urged broadening the existing exemption for stu-
dents under 21 to work at any job for no more than 85 per-
cent of the minimum wage up to 20 hours a week and full-
time during vacations.
Brennan testified that extension of coverage to all state
and local government employes "is too great an interfer-
ence with state perogatives." And he contended that estab-
lishing a minimum wage for household domestic workers
would be "difficult, if not impossible" to enforce, unduly
burdensome on housewives and would reduce job opportu-
nities in many low-wage areas of the country.
Meany noted later that the argument that a higher mini-
mum wage would cause unemployment for low-wage work-
ers has been heard since 1938 when the Chamber of Com-
merce and other employer groups opposed a 25 cent wage
The Brewery Worker
Mystery Elemant Seen
In Food Price Problem
By Marc Wyman
Co-operative Press Associates
If you eat and ten out of ten people do you're aware
that food prices have been rising more quickly in recent
months than prices in general.
In fact, the food price index was 10.2 per cent higher in
February than it was a year before. The average of all items
on the consumer price index had risen 5.8 per cent in the
A House of Commons committee is investigating the
spread between what the farmer gets much less of a cut
than he used to and what the consumer pays.
Who's the culprit? The distributor? The packager? The
advertiser? The retailer? There probably isn't one single vil-
lain, but many.
Yet one factor is something of a mystery. Nobody wants
to talk about it. It's the price charged by the big chain su-
permarkets to manufacturers to give selected products
For example, if a food manufacturer would like a big
display, and advertising, for a product, he'll pay Dominion
Stores almost $10,000 for its 147 Ontario outlets.
Manufacturers are frightened away from talking openly
about these package deals because the chains hold enor-
mous power. "If they get mad at you, they can make your
life a hell," said one big manufacturer, who refused to be
What the manufacturer gets for his $10,000 is the assur-
ance that his product will be prominently displayed at the
end of an aisle, that a card will draw the shopper's attention
to a special "value", and that the chain will advertise the
value in the local media.
Wacky World of 'Deals'
The chains defend all sorts of arrangements with food
distributors, including manufacturers' "allowances", re-
bates and discounts. Some special displays involved "co-
operative", or shared-cost, advertising.
The chains say they're lucky to break even on special
deals. They're often loss leaders, designed to lure customers
to their stores instead of the competition's.
Suppliers claim that the chains run their operations inef-
ficiently and hence are becoming "more creative" in their
One technique is getting rebates from suppliers based on
volume sales. The chains claim that the manufacturers
make higher profits and can afford to pay the price gim-
The retail food business is based on built-in operating
costs of about 17 per cent of sales. Markups are designed to
produce an after-tax profit of about 1 per cent.
In this battle of words between manufacturers and
chains, the truth is hard to discern.
Another possible cause of high food prices is advertising.
Continued on Next Page
Kick Secretary Butz
In the Butt Suggests
Meat Cutter's Officer
Charging that the "public antics" of Secretary of Agri-
culture Earl L. Butz are a "disgrace", Secretary-Treasurer
Patrick E. Gorman of the Amalgamated Meat Cutters has
called on President Nixon to remove him from public of-
Gorman charged that Butz' policies have been a failure
and that, in the face of soaring food prices, Butz has "em-
barked on a campaign of seeking scapegoats and creating
The union official charged in a letter to the President
that members of the White House staff admit "privately
but frequently" that Butz has "failed" and that he "misin-
formed you about the predictable increase in the unfavora-
ble balance between the supply of food and the demand for
Gorman accused Butz of "wanting to create scarcities
and to increase consumer prices"; . "he wanted a medi-
um-sized fire but got a huge conflagration."
Much of the union's criticism was leveled at what it
called Butz's "Little Lie daily" blaming labor for higher
food and meat prices.
For food generally and for meat particularly, total mid-
dleman costs have amounted to only 12 cents and 5 cents
respectively of each dollar in recent price increases and
wages represent "only a small fraction" of the middle-man
cost, Gorman said.
In addition, he said, the productivity of packinghouse
workers has increased so rapidly that packinghouse wage
costs per pound of meat have scarcely risen in recent years
- and are today only 3.6 cents per pound of meat.
Congress Fights to Fund Social Progress
By Alexander Uhl
Press Associates, Inc.
Congress and the Nixon Administration are now en-
gaged in an extraordinary slugging match to determine
where the nation is to go on at least two major fronts -
wage and price controls and the impoundment of funds to
cover needed social programs.
So far, the battle has produced one victory for the Presi-
dent, but the prospect of a much tougher price control pro-
gram than the President wants is now brighter and the im-
poundment struggle is far from over.
The President's first victory came in the failure of the
Senate to override his veto of a bill that would have com-
pelled him to use funds already voted for the Vocational
Rehabilitation Act. The vote was 60 to 36 in favor of mak-
ing the President use the money, but it was four short on
the vote needed to override the veto, so the President won.
Whether that victory will be repeated all along the line -
and there are half a dozen crucial votes on other impound-
ments still ahead is open to question. Now in the works
are a number of bills and amendments to current legislation
that are designed by the Democratic leadership to unfreeze
the Nixon freezes.
Senate Democrats have approved a plan that would
make it difficult to cancel entire federal programs as he is
now going on. They have even put a $268 billion ceiling on
federal spending for the coming year, an action designed to
keep Nixon from accusing Congress of wild spending.
House Democrats have pushed through a bill calling for
Rural Electrification loans to counter the Nixon killing of a
long established program of rural electrification last De-
cember. Meanwhile other bills are in the works that would
free funds for housing, manpower training, the fight on pol-
lution education and similar social programs which have
Mystery in Food Pricing
From Preceding Page
It's no news that retail prices in any business must include
the retailer's advertising costs.
Mrs. Maryon A. Brechin, president of the Consumers
Association of Canada, says that, if we must have advertis-
ing, let it be useful. "Advertising which asks only for a
product switch is not useful."
One form of "useful" advertising, says Mrs. Brechin, is
that which provides nutritional information. Another is the
ad which tells how the food being huckstered may be used
as a substitute for something else.
It is also true that food prices depend on seasonal factors
such as crop yield, drought, and diseases of animals and
There may be no easy answer.
One Toronto disc jockey, in a moment of bitter humour,
announced a fictional contest in which the first prize was a
sirloin steak, and the second prize a colour TV set.
been eliminated or trimmed sharply by the President.
Congress, too, is showing its deep unhappiness with
Phase III of the President's wage-price program, that is
controlling wages sharply, but has broken down in the fight
Largely in line with the demands of organized labor, the
House Banking and Currency Committee has rejected a
simple extension of the 1971 Economic Control Act and is
calling for a rollback on all prices and interest rates to their
level of January 10. Originally, the Committee wanted to
roll back prices to their May 1, 1972 level, but there was
fear that this would be too strong medicine for Congress
itself to accept.
January 10 is the date on which President Nixon an-
nounced the end of Phase II controls and the day before
Phase III took over. The House Committee bill would set
controls on rents, would clamp export controls on lumber
and would establish a consumer counselor whose job would
be to represent consumers in government wage-price deci-
Nixon's Secretary of the Treasury George P. Shultz is
fighting the House Committee action, declaring that "ceil-
ings won't work" and insisting that things are going alright
despite the continued rise in living costs, the stock market
slump and rising interest rates.
Labor Joins Fight
Meanwhile, organized labor is throwing its fullest re-
sources into efforts to get a real roll back on prices and to
include food at the farm itself under controls if inflation is
to be licked.
At the same time, the AFL-CIO is fighting for the resto-
ration of funds for social programs for which it has fought
over the years, including housing, manpower training, edu-
cation and wide spectrums of programs that have either
been killed or trimmed to the bone by the Nixon Adminis-
tration. Both AFL-CIO President George Meany and Leg-
islative Director Andrew J. Biemiller have appeared before
Congressional Committees seeking to get these programs
Manufacturing Profits in
Continuing Upward Spiral
Manufacturing corporations continue to show huge gains
in after-tax profits.
Latest report from the Federal Trade Commission shows
that after-tax profits for the fourth quarter of 1972 were
15.4 percent higher than during the third quarter and 27
percent higher than they were during the fourth quarter of
Profits after taxes totaled $10.1 billion in the fourth 1972
quarter as compared with $8.8 billion in the third quarter
and $8 billion in the fourth quarter of 1971.
The annual rate of return on stockholders' equity during
the 1972 fourth quarter was 11.5 percent as compared with
9.8 percent during 1971.
The Brewery Worker
Unemployment Rate 5%
Despite More Working
Employment went up during March, but there were still
4,400,000 workers without jobs for a 5.0 percent rate "not
materially different from 5.1 percent in February."
Statistics published by the U. S. Department of Labor
reported that employment went up by 700,000 over the
month to 83,900,000 seasonally adjusted. Over the year, the
Department said, employment has gone up by 2,600,000.
The increase, however, was not enough to absorb all
workers who were actively looking for employment, much
less to produce jobs for some 4,200,000 men and women
who desire to work "now" but are not actually looking for
jobs for a number of reasons.
"Though the great majority of these people were not
seeking work because of school obligations, ill health or
home responsibilities, there were also about 620,000 per-
sons who were not looking for a job because they believed
they could not find one," said the Labor Department. "The
number of such 'discouraged' workers, which has been fluc-
tuating roughly in line with the underlying trend in unem-
ployment, was down from about 770,000 in the last quarter
While unemployment was down about 700,000 over the
year, the civilian labor force "rose much more than it
usually does in March," the Labor Department said. Teen-
agers accounted for almost half of the 700,000 additional
workers looking for employment.
More Jobs Only Key to
Civil Rights Progress
An economy that can't provide jobs and opportunity for
all Americans is "a fertile ground for sowing division
among workers based on race and sex," the AFL-CIO
An Executive Council statement expressed labor's con-
cern at the loss of momentum in the civil rights area. It cit-
ed slower progress in eliminating segregation and discrimi-
nation, coupled with indications that the still substantial
gap between the earnings of minority group workers and
the rest of the population may widen instead of narrowing.
To restore the momentum of the 1964-68 period of rapid
progress, the council said, the "basic necessities" are:
A full employment economy.
Elimination of all job discrimination.
A sound program to provide educational and training
opportunities for all who want employment in meaningful
and well paid jobs.
The council statement sharply criticized also the promo-
tion in recent years of "a series of unsound panaceas," in-
cluding "black capitalism," "community control," "the
Philadelphia plan," along with "other gimmicks based on
simplistic racial quotas."
It charged that "these have been poor substitutes for
effective policies and programs to bring about full and fair
employment and integrated education."
Failures of such unsound concepts, the statement noted,
'Everything's Coming Up Roses'
has led to divisions among once-united allies on civil rights.
There has been disagreement within the black community
itself on integration. But the great majority, the council
stressed, "has maintained its belief in the goal of an inte-
grated and democratic society."
The momentum and direction of the 1964-68 period must
be regained, the Executive Council urged. "If we do not, we
will not have merely failed to provide opportunity and jus-
tice for millions of those left out of the mainstreams of
American society, we will have an atmosphere in which the
country, the races and even the labor movement can be di-
During the 20-hour telethon conducted for the bene-
fit of the Easter Seal Society for Crippled Children
and Adults on April 7-8, over the American Broadcast-
ing Co. network, a $500 contribution was made on
behalf of the Int'l Union by President Feller which was
announced over the national network from Hollywood.
Actual presentation of the check was made by Sec-
retary-Treasurer Gildea on live coverage from
WKRC-Channel 12 in Cincinnati where the telethon
was broadcast for the Tri-State area. The contribution
had been authorized by the recent session of our Gen-
eral Executive Board.
For many years our organization has supported the
Easter Seal Campaign and was often called 'our favor-
ite charity' so the 1973 contribution via national televi-
sion was in keeping with traditional brewery worker's
generosity. Our members everywhere may share a jus-
tifiable pride in extending a helping hand to those who
need the benefits provided by Easter Seals.
Noted Economic Writer
Spells Out Advantages
Of Being Union Member
Nationally syndicated economic writer Sylvia Porter
believes that there are some mighty sound reasons for
joining unoins today.
She says there might be a few drawbacks like paying
dues but believes that "there seems to be no doubt that
the pros far outweigh the cons."
Here are some of the reasons for joining unions that she
Pay scales for union workers are far above those for
non-union workers as much as 40 to 50 percent above in
heavily unionized industries and trades. Along with job
training, joining a union is one of the surest and fastest
routes to higher pay in the U. S. marketplace today.
For instance, the average earnings of a full-time worker
who belongs to a union are $8,608, or 16 percent more than
the $7,452 which the average non-union worker now earns.
Union carpenters averaged $10,235 at last report against
$6,897 for non-union carpenters. Service workers belong-
ing to unions average 52 percent more than non-union
Union membership has become synonymous with
superior pension coverage and with the fatter fringe bene-
fits which now make up to 25 to 30 percent of the wage-
fringe cost to the union worker's employer.
Over the years, the list of fringe benefits, won largely by
unions, has steadily lengthened. Now it includes not only
overtime pay, sick leave, and ever-longer vacations and hol-
idays, but also more health and life insurance, maternity
leave, funeral leave, jury duty pay, voting time off, employ-
ee job transfer rights, severance pay, relocation compensa-
tion, supplementary unemployment benefits and disability
benefits. Many of these benefits are non-existent or sharply
restricted in the typical non-unionized company.
Job training programs tend to be more widely accessi-
ble to union members than non-union workers.
Grievance mechanisms are another key benefit to un-
ion members. If you are summarily fired, laid off or even
treated unfairly, your union contract provides for some
procedure you can use to appeal. The typical collective bar-
gaining agreement also provides for some form of impartial
arbitration if the problem can't be worked out using regular
grievance mechanisms. Non-union employers may not of-
fer these mechanisms.
Meany Hails Steelworkers on
Pioneering Labor Peace Pact
AFL-CIO President George Meany has characterized as
"labor-management statesmanship" an agreement reached
between United Steelworkers of America and the ten major
steel producers on a preliminary contract covering the next
In a message to Steelworkers President I. W. Abel,
"I have just studied the details of the new collective bar-
gaining arrangement between the United Steelworkers and
the steel producers, which includes voluntary arbitration.
Congratulations to you, your fellow officers and the wage
committeemen who approved it. It seems to me an excel-
lent example of sound collective bargaining and labor man-
agement statesmanship, which may well serve as a model
for other industries."
The Steelworkers agreement, which is designed to head
off any nationwide strike next year, calls for basic wage
increases, extension of cost-of-living allowances and other
improvements, but leaves the way open for further collec-
Under the agreement a nationwide strike would be
barred, but strikes over local differences would be permit-
"The new bargaining procedure will not only relieve both
sides of the pressure of a potential shut-down, but also of-
fers us a genuine opportunity to achieve results equal to
those obtainable when the threat of a strike exists."
iEs DAILY NOOSE (
NEW YORK'S PECULIAR NEWSPAPER
Vzt I N., .31
This was part of the front page of the
Daily Noose, which Public Employee
Press of AFSCME Council 37 in New
York published on April Fool's Day to
spoof the New York Daily News "fa-
mous for its uncivil handling of civil
servants" and to spoof the Nixon
NIXON'S PHASE 4:
FOOD IS OUT!
'Starve With Honor,' Prez Asks
The Brewery Worker i
N., 1 -. N 1 1l-1i .rld- to- I W'I
.u mr, Lm odftl udn 1. It.
Here is Way AFL-CIO
Wants No-Fault Auto
Insurance to Operate
The AFL-CIO has alerted its state central bodies to a
switch in tactics by opponents of no-fault auto insurance.
Legislative Director Andrew J. Biemiller said some of
the principal foes of no-fault insurance, including the
American Trial Lawyers Association and a segment of the
insurance industry, will be pushing this year for passage of
"the weakest possible" state laws.
Their intent, Biemiller wrote the state labor federations,
That great old American favorite, the hamburger, may
cost you more before too long despite the so-called meat
That's because hamburgers often contain imported meat,
which does not fall under the ceiling.
Due to the recent devaluation of the dollar, meat import
costs generally have risen. Such costs may be passed along
to consumers on a cent-for-cent basis, Cost of Living Coun-
cil Director John T. Dunlop explained.
If this is done, however, the retailer must tell customers
the price is being raised to pass along increased import
Harold S. Geneen, ITT's board chairman, whose $813,-
311 compensation last year was believed to be the highest
of any corporate executive in the nation, must now take a
back seat to Henry Ford II.
Ford, chairman of the giant Ford Motor Co., earned a
total of $874,567 in 1972, according to the company's
proxy statement for its upcoming annual meeting. Ford's
compensation 27 percent higher than the $689,000 he
received the year before included a $264,567 salary and
$610,000 in bonuses.
Ford president Lee A. Iacocca also fared well, receiving
a total of $861,290, a 28 percent increase over his 1971 pay,
the statement noted.
Close Your Eyes
Management no doubt will do its best to avoid any eye-
ball-to-eyeball confrontations at the bargaining table with a
new local union affiliated with the Office & Professional
It is Hypnotists Local 469, a group of 25 professional
hypnotists, which was presented its OPEIU charter recent-
ly by President Paul A Stackhouse of the Allegheny Coun-
Edward Hays, organizer and president of the new local,
said that since hypnotism is a discipline not taught in ac-
credited schools, the organization proposes to set up pro-
fessional standards for members. It also hopes to promote
a better understanding of hypnotism in the eyes of the pub-
lic and bring about wider use of the practice in medicine
is to head off passage of both federal legislation and strong
state laws comparable to the labor-backed Hart-Magnuson
bill in Congress.
As a counter-measure, the AFL-CIO has sent to its state
federations a four-page list of guidelines for effective state
no-fault auto insurance legislation.
The key to reform, Biemiller stressed, is to separate
compensation for auto accident victims as much as possible
from the long and costly court procedure keyed to determi-
nation of fault in the accident.
Under the present fault system, legal expenses to both
sides add heavily to the cost of auto insurance, victims of
serious accidents often collect far less than the amount of
their economic loss and other persons with relatively minor
losses may collect excessive amounts in settlements.
Here's Labor Guidelines
Among the guidelines the AFL-CIO proposed were:
Mandatory no-fault coverage for all motor vehicles
registered in the state.
The insurance would cover losses sustained by the
driver and his family. Passengers and pedestrians would be
paid by their own insurance company if they are auto own-
ers and thus covered by the same type of insurance, or by
the insurance covering the automobile involved in the acci-
dent if they did not have a policy of their own.
Reimbursements for losses would cover all medical
and rehabilitation costs, and either all wages lost during
recuperation or wage losses up to $1,000 a month with
those earning above that amount able to purchase optional
coverage for the additional amount.
Death benefit coverage tied to the wage formula based
on years of earning potential remaining.
Compulsory liability insurance to protect drivers
against claims up to $5,000 for damage to property other
than another vehicle and a minimum $25,000 to protect the
driver against loss claims arising out of a collision with a
vehicle from a state without a no-fault system.
Optional insurance coverage which would provide no-
fault payment of collision and comprehensive coverage,
subject to the existing system of deductibles, pain and suf-
fering insurance, and liability beyond that required by state
Legal limitation on the right of an insurance company
to seek through court action or arbitration to collect from
other insurance companies. This restriction is intended to
keep down legal and administrative costs which add to the
high price of auto insurance.
Other Protections Proposed
Other portions of the AFL-CIO guidelines deal with
consumer protection provisions, such as safeguards against
arbitrary cancellation of policies and a requirement that
insurance firms pay accident losses within 30 days of sub-
mission of proof of loss.
The Senate Commerce Committee, meanwhile, has
summoned representatives of insurance firms to testify re-
garding a meeting held last December at the Camelback
Inn in Phoenix, Ariz.
Sen. Frank E. Moss (D-Utah), acting chairman for the
hearings, charged that the companies targeted 10 states for
a lobbying drive to enact minimum legislation and head off
a federal law.
New Canadian Labour
Board Has More Power
To Execute Policies
The new Canada Labour Relations Board is no carbon
copy of its predecessor. It is a full-time body with new faces
and more power than the old board and it could play a key
role in an era of negotiation over the effects of technologi-
The new public-member board, which became operative
on February 1 this year, replaces the old part-time, nine
member body. Representatives on the previous board were
drawn directly from labour and management with a neutral
chairman. The new board, headed by Marc Lapointe,
Montreal lawyer, is made up of representatives with labour
and management background, but they are not direct nom-
inees of such groups.
The new Canada Labour Relations Board will adminis-
ter the revamped Canada Labour Code governing 550,000
employees in industries under federal jurisdiction. The
code, which replaces the old Industrial Relations and Dis-
putes Investigation Act, was introduced in 1971 and the
legislation in amended form was adopted by Parliament in
1972. It became effective on March 1.
Better Enforcement Se'en
Under the code, the board will have substantial new re-
sponsibilities in such areas as unfair labour practices, indi-
vidual rights and the effects of technological change. Its
orders will be enforceable in the Federal Court.
The revamped code for the first time gives unions a voice
in negotiating the effects of technological change during the
life of a collective agreement. An employer planning major
technological changes is required to give the union con-
cerned 90-day notice of such changes when they affect a
significant number of employees. The union then can be
empowered by the labour board to negotiate provisions de-
signed to assist the affected employees and the union
would have the ultimate right to strike if no agreement
could be reached.
It will be up to the new labour board to determine wheth-
er a union gets approval to bargain in such cases. The board
will have to be satisfied that the changes in question are
likely to have substantial and adverse effects on conditions
or security of employment of a significant number of em-
If there are already contact provisions dealing adequate-
ly with the negotiation and settlement of problems arising
from technological change, the code sections on technologi-
cal change will not apply.
The impact of the code should be put to pressure on em-
ployers who have been reluctant to deal in contact terms
with the consequences of technological change.
The labour board's decisions in this area should also
serve as examples in provincial jurisdictions where legisla-
tion to date has been restricted to requiring advance notice
of plant shutdowns.
In the field of unfair labour practices, the new board will
adjudicate complaints instead of leaving them to the courts.
The board will be empowered to issue prohibitory and
compliance orders and to order reinstatement and payment
of compensation for lost pay. But the board will not be
empowered to award damages or to levy fines. Illegal
strikes and lockouts will remain a subject for prosecution
in the courts.
The board will rule on a broadened list of provisions de-
signed to bar employer interference with the organization
or administration of a union, and on sections giving individ-
ual union members protection against discrimination with-
in the union framework. But the code provides that a union
member must make use of appeal procedures open to him
within the union before the labour board will consider such
More People Served
The board will also administer a section extending collec-
tive bargaining rights to professional employees in indus-
tries under federal jurisdiction. The old act expressly barred
doctors, dentists, architects, engineers and lawyers from
bargaining rights and many provincial labour codes contin-
ue that prohibition.
The new code envisages that the Canada Labour Rela-
tions Board in most circumstances will certify separate
bargaining units for professional employees; but they could
be included as part of an over-all unit.
The concept of a new kind of federal labour board dates
back to the Pearson administration which introduced a bill
in 1967 to scrap the old board. But the proposed bill ap-
peared to open the door to carving of long-recognized na-
tional bargaining units and was strongly opposed by the
unions. The bill was eventually shelved.
In 1969 the Woods Task Force on Industrial Relations
recommended a public-interest board with sweeping pow-
ers to redefine bargaining units and replace the role of the
courts in many cases.
The legislation finally introduced in 1971 by the then
labour minister, Bryce Mackasey, did not go as far as the
Woods proposals in enlarging the role of the board.
The new board headed by Mr. Lapointe will include: Dr.
J. W. Willard, retiring as federal deputy minister of wel-
fare; Cleve Kidd of Toronto, labour mediator and former
research director of the United Steelworkers of America
and executive officer of the Canadian Airline Pilots Asso-
ciation; Gerald W. Brown, mediator in the Ottawa office of
the Ontario labour department; E. R. Complin of Don
Mills, Ont., member of the old board; and Gerald Picard,
former officer of the Confederation of National Trade
Unions and member of the old CLRB.
CLC Membership Up
With the addition of the members of two recently-
admitted unions, the membership of unions affiliated
to the Canadian Labour Congress has risen to 1.8 mil-
These figures were produced by CLC headquarters
in Ottawa. The record also shows that the Congress
comprises 100 international, national and provincial
The Brewery Worker
Unless Congress Helps
High Postal Rates May Kill Labor Press
Unless Congress steps in and bars the Postal Service
from imposing virtually confiscatory mailing costs on sec-
ond class mail, much of the American labor press is threat-
ened with "extinction," the AFL-CIO has told the Senate
Post Office Committee.
The Federation hit especially hard at a proposed "super-
minimum in the form of a surcharge" which, by 1981, will
reach 1.7 cents a copy, a surcharge that would be "cata-
strophic" for small labor newspapers.
"The result will be silent minority voices unless they are
rich," AFL-CIO Legislative Representative Kenneth Pe-
terson told the Committee. "Not only are trade union pub-
lications bearing the brunt of this. Equally affected are
church bulletins, the college alumni news-letters and the
conservation people and, yes, even the Chambers of
Commerce. All of these and many more are part of the
chorus of democracy. And all but the wealthy ones will be
throttled by the postal rates presently scheduled."
Peterson, who was accompanied by John Barry, manag-
ing editor of the AFL-CIO News and Secretary-Treasurer
of the International Labor Press Association, pointed out
that already a 100 percent increase in postal rates is in ef-
fect with the next step in a ten-year series of increases
scheduled for early July.
"Time is of the essence," he said, if Congress is to pre-
vent the Postal Service from imposing its proposed second-
class mailing rates on hundreds of labor publications.
"Unfortunately," Peterson said, "the managers of the
Postal Service appear to regard small, poor periodicals as
nuisances to be eliminated. It imposed on them by far the
heaviest proportionate rise for any type or category of
Besides a 750 percent increase in the minimum second-
class mailing rate for publications of non-profit publica-
Auto Workers Seek Prepaid
Legal Plan in New Contract
The UAW is urging Congress to permit workers and
their families to include prepaid legal services plans in their
UAW's General Counsel Stephen I. Schlossberg testified
before a House Labor subcommittee in support of a bill
which would amend the National Labor Relations Act to
permit employer payments to joint labor-management
trust funds to finance such legal services for union mem-
The plans would be established through collective bar-
gaining, as have existing programs in many union contracts
to meet health, pension, job training and other needs, the
UAW counsel pointed out.
UAW members and their families have many unmet
needs for legal services because quality legal services at rea-
sonable costs are not available to average people in this
country, Schlossberg said.
tions, Peterson pointed out, increases in pound rates will
bring about increases of more than 800 percent for some
"The basis for this sensational increase is a per-piece
surcharge, over and above any other postage rate paid by
publications in the non-profit second-class category. The
surcharge is a capitation tax, one that means very little to
large taxpayers but is catastrophic to small ones."
Among legal services they need, he added, are help with
wills and bankruptcy as well as day-to-day workmen's
compensation, commercial, probate and domestic prob-
Preventive law is needed, too, to aid people before they
encounter problems, the UAW general counsel pointed out.
More of 'More'
When Samuel Gompers said that labor's goal is
"more", it is not motivated by greed. Albert K. Her-
ling, public relations director of the Bakery Workers,
points this out in offering the full Gompers quote on
"We want more schoolhouses and fewer jails, more
books and fewer arsenals, more constant work and less
crime, more leisure and less greed, more justice and
less revenge in fact, more of the opportunities to
cultivate our better natures, to make manhood more
noble, womanhood more beautiful and childhood more
happy and bright."
Nixon Trade Bill Rejected
AFL-CIO Steps Up Support Of Burke-Hartke
AFL-CIO President George Mean% rejected President
Nixon's bid for unprecedented new powers over foreign
trade matters and reaffirmed the Federation's support for
the Burke-Hartke bill.
The President April 10 asked Congress to grant him
almost unlimited authority to raise or lower U. S. tariffs
and other trade barriers which he claims he would use to
win trade concessions from other countries.
Mean) also said in separate statements that the AFL-
CIO would oppose bills sent by the administration to Con-
gress in relation to the trade proposals which the President
said would establish federal standards for the improvement
of private pension s stems and the present system of unem-
In a short statement. Meanv said the administration
proposals "do not meet the gra\e problems of trade which
we have detailed time and again. "They do not deal at all
with such important causes as the export of American tech-
nology and capital."
"The proposal on taxation of profits of foreign subsidiar-
ies while finally recognizing this as a problem, does %ituall%
nothing to close lucrative tax loopholes for American-
based multinational companies.
Creates New Hazards
"The proposals would open the door to further deteriora-
tion of America's position in the world economy and to the
future export of American jobs."
Mean} said the AFL-CIO "understood wh) the Presi-
dent wants flexibility when he goes to the bargaining table"
with other nations on trade matters. But he added that "in
a democracy no President can have unlimited, unaccounta-
ble power to regulate the lives of the people. And the
Burke-Hartke bill %would provide responsible, albeit some-
what limited, flexibility for the President."
"Therefore, we reaffirm our support for the Burke-
Floodina U.S. Markets
The Federation President said the AFL-CIO will contin-
ue its examination "of these numerous, complex and con-
fusing proposals, and will present our detailed comments"
in testimony\ on the bill before the House Ways and Means
Committee May 14. The committee has announced it plans
to start hearings on the administration's Trade Reform Act
of 1973 on May 7.
Rep. James Burke iD., Mass.), co-author of the Burke-
Hartke bill, characterized the administration's proposals as
"dealing with trade problems by throwing marshmallows at
Sen. Vance Hartke ID.. Ind.) denounced the President's
proposals as "worse than no trade bill at all."
Paul Jennings. President of the International Union of
Electrical Workers, said in a statement that the administra-
tion's trade program "does not go far enough and is mark-
edly inferior to the Burke-Hartke bill."
Survey Shows Public
Favors Import Curbs
A recent nationwide poll reveals strong public support
for a new U. S. trade police which would curb the flow of
foreign imports and repair the damage done to the Amer-
ican economy and American jobs in the name of "free
By a 51 to 30 percent majority, those polled by the Lou
Harris organization said they generally favored abandon-
ing the nation's traditional police) of free trade and would
like to see more restrictions, on foreign imports.
The mid-March Harris sure\ of a national cross section
of 1472 households discovered high margins of approval for
almost e\erv aspect of trade limitations. It fou id "a dis-
tinct sense among the American public to rall3 in support
of our own economy\ here at home. B" a margin of 61 to 17
percent, there was agreement that the failure to do so could
put the American economy in real trouble."
By an elen larger margin 69 to 20 percent those
polled agreed with the statement that "if we don't restrict
products coming in from Japan, Germany and other coun-
tries. many U. S. workers will be thrown out of work."
Among union members, this margin of agreement soared
to 75 to 17 percent.
Also by a large margin, the poll found strong support for
changing the traditional) liberal trade policy ot the U. S.
in response to restrictions placed on American goods by
foreign nations. A majority of 65 to 16 percent agreed that
"we have been made suckers of b\ other countries which
restrict U. S. goods, but whose goods are free to come into
A maiorit\ also approved the idea of restrictions on the
operations of multinational concerns, agreeing 52 to 24
percent that "we have given away so much of our know-
how abroad we have given up the advantages in trade we
had 10 years ago."
The Brewery Worker
Tricks May be Cause
Of Dollar Devaluation
The Wall Street Journal, of all publications, is casting a
jaundiced eye on the international financial shenanigans of
banks and multinational corporations in the recent mone-
tary crisis. In an April 3 editorial, the Journal noted that
"the foreign exchange operations of major New York
banks came through the international currency crisis un-
scathed and even picked up a nice piece of change." Simi-
larly, the Journal says, "the financial officers of the U. S.
multinational corporations apparently protected them-
selves nicely during the crisis by getting out of dollars and
into stronger currencies." Both the banks and the multina-
tionals, it was noted, also enjoyed a surge in the dollar val-
ue of their capital employed in foreign branches, subsidiar-
ies, and affiliates.
"Was all this proper?" asks the Journal. It quotes one
authority as commenting that the banks could only have
made money by "betting dollars against dollars .. thereby
causing a loss to the international value as well as domestic
purchasing power of their customer's dollars."
The Journal concedes that some of these maneuverings
could be legitimate hedging practices. But it remarks that
"a question of propriety is genuinely raised." And the edi-
torial declares: "obviously . the situation has not been a
healthy one. The dollar has lost international value and
purchasing power, partly as a direct result of this form of
cash management by U. S. multinationals. And while U. S.
banks and multinationals regularly declaim against govern-
ment controls on capital movements, this kind of private
cash management may produce economic distortions just
"It is then with more than academic interest that we
await the findings of a small arms of Federal Reserve
Board examiners tracking down the dollar flows that pre-
cipitated the latest monetary turmoil. If they find that the
multinational banks and corporations did in fact contribute
heavily to the turmoil by chasing a fast buck, not just
hedging, the news will do little to further the cause of liberal
national policies toward capital movements. Over the long
pull, that nice piece of change could end up in the debit col-
It's nice to see others expressing concern about the dan-
gers that can and do result from the unregulated operations
of multinational corporations. Andrew J. Biemiller, Legis-
lative Director of the AFL-CIO. called attention to just
these sorts of dangers in testimony before the International
Finance Subcommittee of the Senate Finance Committee
on March 7. Biemiller urged approval of the Burke-Hartke
bill "to curb the devastating impact these activities have on
the American society and the American economy," includ-
ing "the export of capital to build an industrial base abroad
at the expense of U. S. industry, the profits of which are
often used to speculate against the U. S. dollar .. There is
a direct relationship to the growth of U. S. multinational
firms abroad and the monetary crisis. American corpora-
tions and multinational banks have huge and increasing
investments in foreign countries and they keep their Amer-
The two major elements
in the crisis:
Barriers to U.S. exports
Abuses by multinationals
ican dollars there to expand their foreign holdings and of-
ten to avoid paying U. S. taxes on their foreign-earned dol-
lars. There are now about S60 million American dollars in
Europe and about $20 billion dollars in Japan. Only a frac-
tion of these billions, moved with ease, beyond the reach of
central banks of governments. can cause serious monetary
problems. By these currency actions, U. S. corporations
and banks put profits ahead of patriotism, selling their
country's currency in order to make swift profits for them-
Perhaps the Federal Reserve Board's examination will
help explain how and why our two currency devaluations
cost American consumers some $3 billion. We think it's
time someone blew the whistle on this sort of operation;
we're glad to see The Wall Street Journal thinks so too.
Free Booklets Offered Which
Explain Labor Trade Policy
The AFL-CIO Union Label and Service Trades Depart-
ment has a fine feature on "Wh\ the Foreign Trade Crisis
Hits Ever) American Worker." Free copies are available
from the AFL-CIO Union Label and Service Trades De-
partment, 815 16th Street. N. W., Washington. D. C.
The AFL-CIO Task Force on Burke-Hartke has issued a
pamphlet entitled "The MNlth About Retaliation" which
refutes those enemies of Burke-Hartke who claim that pas-
sage of the bill will start an international trade war. The
pamphlet points out that Burke-Hartke will protect U. S.
industry. and jobs but won't end the role of the U. S. in
world trade. America will continue to be the world's best
customer because "we have more money and we spend it
for both goods and ser ices," the pamphlet points out. Free
copies are available from the AFL-CIO Legislature Depart-
ment, 815 16th Street. N. W., Washington, D.C. 20006.
Hong Kong: Not a Depressed Area
** '"- ', ,-' "' "
Cleveland Labor Agency
Helping Union Members
A new United Labor Agency has been formed to provide
free humanitarian services to labor union members and
their families throughout the Greater Cleveland, Ohio area.
The new organization made its public bow at a Public
Square press conference last March 8.
An array of wheelchairs, crutches, hospital beds and kid-
ney dialysis machines were spread out before the statue of
former Cleveland Mayor Tom L. Johnson.
All this life saving and life sustaining equipment is avail-
able without charge to union families who need them.
Behind the array of equipment was a new pick-up truck
purchased by the United Labor Agency to deliver its equip-
ment to the homes of members.
The service is available for the 130,000 members of the
Cleveland AFL-CIO Federation of Labor, the 80,000
Cleveland area members of the Teamsters Union, and the
50,000 Cuyahoga County card holders in the United Auto
The following members have been issued
Lifetime Membership Stamps, signifying
their retirement from active membership due
to advanced age, disability of illness.
8 Boston, Mass. Arthur Young.
9 Milwaukee, Wis. George Pakulski,
James Grasso, Helen C. Kwasny, Anders H.
Hermanson, Frank Matayk, Edward G.
Noll, Arthur A. Wanta, Frank Wege, John
12 Cincinnati, Ohio Leonard Strub.
17 Cleveland, Ohio Frank Stancavich.
20 Louisville, Ky. P. R. Porter, Joseph E.
38 Detroit, Mich. Joseph P. Cramer, Leon-
42 Peekskill, N. Y. Mildred Warren.
47 Columbus, Ohio Willis Hemmerly, Alex
81 LaCrosse, Wis. Leo Nack, Howard Bouf-
110 San Antonio, Texas Antonio Cordova, E.
E. Achterberg, Jimmy Davis, Jr., Walter
Reiland, Robert Scholwinski, E. Wm.
111 Houston, Texas Antoine Mouton, D. F.
121 Chicago, Ill. Joseph Zaleski.
144 Pittsburgh, Pa. Joseph Vincze.
150 Indianapolis, Ind. Wm. L. Unnewehr.
158 New Orleans, La. Alma A. Smith.
161 New Orleans, La. Wm. Rohrbacker.
181 Detroit, Mich. Harry Parker, Christian
183 Philadelphia, Pa. H. Bradin, W. L. Cog-
man, Charles Phillips.
187 St. Louis, Mo. John S. Boor, Harry
Brooks, Sam Chicene, Marco Milich, Eu-
Charles Saranita, secretary of the Brewery Workers
Union and treasurer of the Cleveland AFL-CIO, explained
the aims of the United Labor Agency to news media report-
ers. Saranita is president of the Kidney Dialysis Center,
which is the nucleus of the new ULA.
The kidney center now has five dialysis machines at work
in the homes of union families. In each case, doctors say,
the machine makes the difference between life and death.
Demonstrating the need for the new services, the United
Labor Agency has been averaging 20 phone calls a day
since its existence was announced.
199 Cincinnati, Ohio Patrick Denier, Joseph
235 Cleveland, Ohio Ralph A. Eland.
263 Philadelphia, Pa. Floyd Alexander, Har-
ry Anthony, John Brenson, E. DeStefano,
Harry Dewees, Anna Dumond, Edward
Emery, Samuel Graham, Wm. Haring, Paul
Knowlton, Louis Kanefsky, C. H. Seipler,
Rose Steinberg, Mary N. Stottlemeyer,
286 SaultSte. Marie, Ont.,Can.-T.Pagnucco.
301 Montreal, Que., Can. Leopold Alary,
Lucien Amyot, R. Applin, C. Bedard, S.
Belanger, A. Brosseau, H. Clement, L. Dai-
gle, E. Doiron, R. Dupras, D. M. Egan, F.
Garnier, L. Grenier, F. Guay, R. Hainault,
A. Jarocki, Alex R. Howden, J. E. Lafer-
riere, L. Lalande, W. Lawler, R. Lamou-
reux, G. Landry, G. Langlais, F. Lefrancois,
J. Legault, L. Legault, L. Leonard, J. Mar-
coux, D. McArdle, B. Menard, G. Mon-
geau, Medaric Morin, P. Moroney, G.
Pauze, N. Plouffe, A. Poirier, L. Quimet,
Daniel Wall, D. Yelle.
Former Officer of
Local 243 Honored
Fellow members of Local 243, at
Pottsville, Pa., gathered at a farewell
party to honor Albert J. Grouge who
retired after 40 years of work at the Mt.
Carbon Brewery. A handsome watch
was presented to Brother Grouge as a
token of appreciation for his long serv-
ice to Local 243.
He served as president for 18 years,
and also as steward, trustee and record-
ing secretary. Brother Grouge also
served as president of the Anthracite
Take stock in America.
Buy U.S. Savings Bonds.
It is our sorrowful duty to record the pass-
ing of the following members. To their be-
reaved families and their friends goes the
deepest sympathy of the entire International
9 Milwaukee, Wis. Harold J. Birkenmeyer,
Herman Klimpel, Earl F. Keegan, Sr., Salo-
maja G. Bunzel, Paul Behnke, Richard
Herz, Elmer A. Wilkowski.
12 Cincinnati, Ohio George Schreiber.
17 Cleveland, Ohio John W. Hanson.
20 Louisville, Ky. Wm. E. Britt.
38 Detroit, Mich. Anthony Konopski.
110 San Antonio, Texas Louis Granata.
131 New Braunfels, Texas A. Espinoza.
Il1 Houston, Texas Ira L. Hartman, G. S.
Hayes, V. Twardowski, James Doyle.
144 Pittsburgh, Pa. Edward W. Joseph.
187 St. Louis, Mo. A. B. Duckett, Iren L.
235 Cleveland, Ohio Roland Harris.
263 Philadelphia, Pa. Linwood Leech, M. J.
Sands, Theodore Skora, Wm. Kiefer, Oscar
264 Allentown, Pa. Michael Pardo.
272 Prince Albert, Sask., Can. Dudley Apps.
300 Vancouver, B.C., Can. L. A. Stevens.
340 Regina, Sask., Can. -John Loos.
343 St. Paul, Minn. Bernard E. Narow.
The Brewery Worker
Try This Easy to Build
Outdoor Storage Control
By Steve Ellingson
Spring's here . time to be puttering around the back-
yard (when not putting on the golf course!). And here's all
the storage you need for all those lawn care products, gar-
dening tools, barbecue supplies and what-not. This is ac-
tually a four-unit, demountable storage center (approxi-
mately 8 /2' tall and 8' wide), and attractive any way you
look at it. Versatile, too, with a counter-height potting
bench, deep storage cabinets, shelves and two storage clos-
ets so large you can also use them as poolside dressing
rooms (if you have a pool).
The unit with the fold-down potting bench is ideal for
storing garden tools and supplies. Use the cabinets to store
seeds, bulbs and plant hormones. For barbecues, convert
the unit to a work center or serving area. A lawn mower
and sweeper can be set in the 2nd unit with the spacious
open area at ground level. Doors on the upper part conceal
a roomy two-shelf cabinet for small tools. In the other two
units with their full-height double doors, you can store
rakes and shovels along with a wheelbarrow, bags of peat,
fertilizer, and more tools.
A complete materials list and step-by-step instructions
make this a relatively easy project. To order the Outdoor
Storage Center Pattern #513, send $1.00 (add 25c extra for
airmail delivery) by currency, check or money order to:
The Brewery Worker Pattern Dept.
P. O. Box 2383
Van Nuys, Calif. 91409
NEW MAIN ENTRANCE to the ex-
panded AFL-CIO headquarters building
unifies original structure with addition.
Construction work on the addition,
which will almost double the existing
building area, is expected to be complet-
ed about May 15.
On 'Don't Buy' List
FARAH slacks made by Farah Mfg. Co. and sold na-
tionwide. Support the boycott of Amalgamated Clothing
Workers until Farah recognizes that employees want a un-
ion and decent wages.
SHELL oil and gas products until Shell management
grants the same contract terms which other major oil com-
panies have agreed upon with the Oil, Chemical and Atom-
ONEITA knitted underwear usually sold under store
brand names at Sears, K Mart, Grants and J. C. Penney
until sub-standard wages paid at their South Carolina plant
are corrected by the Textile Workers Union.
' 1AI b -I
Merchants of Death
That Bootleg Booze
Takes Lives and Jobs
Vigorous law enforcement and broader public informa-
tion programs have contributed greatly to the decline of il-
legal distilling operations in this country.
Production of illicit, and often poisonous moonshine,
however, continues on a substantial scale, according to the
23rd annual national survey made public today by the re-
search and public information organization of the distilled
Tax Loss Costs Jobs
In 1971 (latest year for which complete statistics are
available). lawmen seized 6,650 stills which accounted for
production of an estimated 12.139,000 gallons of the non-
taxpaid product. The fraud on public treasuries amounted
to $169.9 million, including $127 4 million in Federal reve-
nue losses and $42.4 million denied state and local tax
treasuries. This illegal moonshine industry is also responsi-
ble for the los. ofjobs of union members in the legal bever-
The survey, reported in a 24-page illustrated booklet ti-
tled "Moonshine: Misery for Sale," shows that still sei-
zures declined 29.5% and moonshine production decreased
48.9% from the previous survey figures.
While the statistics denote a dramatic reduction in sei-
zures and total output, it is possible that they may not fully
reflect the scope of the moonshine problem.
It was noted, for example, that enforcement officers are
generally agreed that for every still seized, at least one -
and perhaps more continues to operate.
The survey reports that two-thirds of the rotgut is clan-
destinely transported from the major producing areas of
the southeast the Moonshine Belt to other counties
and states; to underworld syndicates in various urban cen-
ters, including the East and mid-West.
The study cites the praiseworthy efforts of the moonshine
fighters, pointedly noting that despite severely limited
budgets, shortage of personnel and increased duties, law-
men have achieved remarkable results.
Particularly effective have been the Operation Dry-Up
campaigns vigorously waged by the U. S. Treasury Depart-
ment's Bureau of Alcohol, Tobacco and Firearms, in coop-
eration with local,county and state lawmen.
The encouraging decline in moonshining is also ascribed
to modification of archaic, unrealistic restrictions on sale of
legal spirits, as increasingly reflected in local option elec-
tions throughout the U. S.
Serious Health Hazards
The need for greater public awareness of.moonshine's
health hazards is evidenced by the toll of blindness, paraly-
sis and death among consumers of the poisonous moon-
shine. Lethal lead salts contaminate the illicit liquor when it
is condensed in discarded auto radiators, the standard dis-
tilling equipment of moonshiners.
The incredible filthy conditions under which moonshine
is produced, and medical records attest to its numerous
health hazards. Cited are suspected links to brain damage,
heart malfunctions, cancer of the esophagus, and potential
harm to offspring of women who are chronic drinkers of
The enormous taxes on legal spirits (totaling $14 per gal-
lon in Federal. state and local levies) provide a powerful
motive for the illegal producer. Since 1950, illicit operators
have defrauded Federal, state and local treasuries of more
than $15 billion.
On the positive side, it is shown that prosecutors are tak-
ing a more vigorous attitude toward violators, and courts
are imposing heavier fines and penalties.
A moonshiner transporting some 200
gallons of illicit liquor in plastic jugs in
the trunk of his car was seized by iigi-
lant state troopers near Yanceyville,
N.C. The lawbreaker's car bore Vir-
ginia license plates.
The Brewery Worker