considered a practical alternative at this time. Perhaps the solution will ultimately prove to lie in such an extreme as com pulsory arbitration or a banning of union-wide bargaining, but for the present¦ one must agree with Henry Mayer when he says, "I do not believe that we have wrestled enough with the Devil - and I hasten to add that I do not necessarily mean John L. Lewis or any other labor leader or any employer, but the problem itself to accept anything as dangerously pat. as these measures. "61 than a formal gesture" (p. 159). While this may have been due to administrative laxity, the sus picion lingers that this instead was one more proof that "free enterprise" far outranks "free collective bargaining" in the public's regard. "Loc. cit. (n. 19). VIII-e. (Source: Bureau of Labor Statistics. In National Emergency Disputes under the Labor Management Relations (Taft-Hartley) Act, 1947-65 (Bull. No. 1482) 1966, pp. 23-37) 17. Basic Steel Industry Dispute, 1959-United Steelworkers of America (AFL-CIO) v. basic steel industry January-February March 1959. April 1 Indications of an impending dispute over new contract terms became evident early in 1959. Preliminary tactics were confined to general statements, tending to show how far apart industry and union were likely to be in their initial contacts. Company spokesmen expressed their opposition to "inflationary" wage boosts. Steel production rose as consumers built up inventories. Foreign competition, which was to be cited many times in the looming dispute, was introduced by producers as a factor to be considered in negotiations. President Eisenhower, in a February press conference, stated that "I have always urged that wage increases should be measured by increase of productivity, and I think there would be no inflationary effect if they were measured by that criterion. ' Kaiser Steel Corp., replacing Pittsburgh Steel Co., joined the "big twelve" companies who were to participate in negotiations scheduled to begin May 18. Individual company meetings with representatives of the United Steelworkers of America were scheduled for the week of May 18, after which talks would be recessed until June 1. At that time, negotiations were to be resumed, to be handled for the industry by representatives from three of the companies-United States Steel. Republic Steel, and Bethlehem Steel-instead of by the 12 major producers. Representatives from the same three top producers also handled the 1956 negotiations. See footnote at end of table. 78-505 0-67-pt. 2-7 759 17. Basic Steel Industry Dispute, 1959-United Steelworkers of America R. Conrad Cooper, of U. S. Steel, was to lead the industry's bargaining group, which also included R. Heath Larry, of U. S. Steel, H. C. Lumb. counsel for Republic Steel, and John H. Morse, counsel for Bethlehem Steel. David J. Mc Donald was to head the union negotiators, assisted by Howard R. Hague, union vice president, I. W. Abel, secretary, and Arthur J. Goldberg, general counsel. A 1-year extension of current wages and other benefits was proposed In a letter to the steel producers, the union head proposed: In reply to Mr. McDonald, industry spokesmen agreed to earlier bargaining sessions, but rejected or refused to discuss the other parts of the union proposal. Industry and union agreed to start contract talks in New York on May 5. United Steelworkers' wage policy committee drew up a "comprehensive bargaining program calling for "substantial" wage increases. cost-of-living adjustments, improved insurance and pensions, increased weekend pay, shorter workweeks, improved supplemental unemployment benefits, additional paid holidays and greater vacation benefits, revised grievance procedures, and improved contract terms covering many other issues. As negotiations got underway, industry reiterated its request for a 1-year contract extension which drew a second rejection from Mr. McDonald. In the course of a press conference, President Eisenhower called on both sides for a display of "good sense, wisdom, and business-labe? statesmanship," adding that the country could not, in the long "-" stand still and do nothing in the absence of such voluntary restraint However, he did emphasize his reluctance to have the Government take a direct hand in collective bargaining, and his opposition to leg ceilings on profits, prices, and wages. Industry spokesmen stated that two proposed moves were under cons.f- 17. Basic Steel Industry Dispute, 1959-United Steelworkers of America May 11, 1959 May 27, June 9..... June 10 June 11 June 19 Since negotiations between executives from the 12 steel companies and union representatives conducted during the previous week failed to produce any significant developments, 4-man committees from industry and labor began a second phase of contract talks. Leaders of the steel industry, gathered for the 67th annual meeting of the American Iron and Steel Institute, declared their opposition to any wage increases. It was disclosed that the union was being asked to allow revisions in "local practice clauses to allow management more control over employee placement. The elimination of restrictive practices was also mentioned. Mr. McDonald notified industry negotiators that the union wished Mr. Cooper indicated that the sessions were stalled on industry demands for revision of local practice clauses. Negotiations had reached a stalemate over what both groups termed the inflexible position of the opposite party. However, both Mr. Mc Donald and Mr. Cooper, in separate press conferences, agreed that the union had not put a specific dollars and cents tag on its demands. A shift in the industry's position was indicated in a letter from Mr. Cooper to the union president containing an eight-point program for broad contract changes which dealt with local working conditions; provisions against "wildcat" strikes, slowdowns, and picketing; management's right to develop incentives and standards; clarification of companies' right to change work schedules; vacation requirements; elimination of overlapping or duplication of benefits; simplification of procedures for establishing seniority units; and clarification of contract language. The companies stated that agreement by the union on language changes relating to this eight-point program was a prerequisite to agreement by them on a package composed of a "modest" wage increase and certain fringe benefit improvements. Also, the companies stated that they would continue to be represented by the four-man team. The union rejected the proposals. Negotiations reached a deadlock over the question of the form of negotiations, that is, whether bargaining should be conducted on an industrywide (four-man committee) or on a company-by-company basis (which the union demanded) or a combination of both. Mr. McDonald served notice that the full 435-member union negotiating committee would be on hand June 16. After 2 days of meetings between larger company-union committees, industry and union top-level teams resumed talks with the procedural dispute apparently settled. See footnote at end of table. 17. June 22, 1959 June 24-25 June 27. June 28. July 7... July 10 July 12. Basic Steel Industry Dispute, 1959-United Steelworkers of America Industry negotiators maintained that the union had yet to come up with a reasonable basis for a new contract. This was in response to an undisclosed union proposal offered on June 19 as a substitute for its original list of 250 individual items (submitted during the early stages of negotiations) on which it wished to bargain. Industry stated, in response to informal suggestions for a rise in pension B and welfare benefits, that such adjustments would be just as inflationary as higher wages. Mr. Cooper met in Washington with Joseph F. Finnegan, director of the Federal Mediation and Conciliation Service. Mr. McDonald had met with Mr. Finnegan during the previous week. Indefinite extension of contracts beyond the expiration date, cancelable on 10 days' notice, was proposed by the industry. The union's counterproposal offered contract extension until July 15. In addition, the union wage policy committee, while sanctioning the 15-day extension, stipulated that any settlement negotiated should be retroactive to July 1. This retroactivity, the companies replied, was unacceptable. President Eisenhower, in a letter to Mr. McDonald, urged both sides to "bargain without interruption of production until all terms and conditions of a new contract are agreed upon." This was in rep.y to a letter sent to the White House on June 25 by Mr. McDonald requesting the establishment of a factfinding board to examine issues such as wages, profits, and productivity in the steel industry. President rejected the suggestion, asserting that Congress had specifically limited the use of Presidential Boards of Inquiry to nationa. emergencies. The Agreement was reached on extending contracts for 2 weeks, without any commitment on retroactivity. Meeting with Vice President Richard M. Nixon in Pittsburgh, Mr. McDonald informed him that the union would not agree to another strike delay. On the following day, the steelworkers rejected a renewed plea by President Eisenhower for an indefinite extension of the 2-week truce. Mr. McDonald said he was sure the President does not intend that we negotiate forever." Industry's negotiators seconded the President's plea for an indefinite extension. Leaders on both sides exchanged ideas on revised contract clauses governing working rules and changes in operating practices. In a press release, the industry indicated its willingness to negotiate a 2-year contract with an increase in insurance and pension benefits during the first year and a modest wage raise during the second year, if the union would accept contractual changes proposed by the industry. (See June 10.) Talks broke down over company "local practice" demands and proposals to tighten provisions against wildcat strikes. The union agreed to continue discussing wage issues while referring the other points to a joint committee for study during the term of a new contract. Industry offered either a straight 1-year extension of current contracts an indefinite extension, cancelable on 5 day's notice, while talks continued. The union rejected both. or |