Show THE TIlE DAILY WASHINGTON Fi Financial a nan c i all Wh Whirligig i r I igi g Written for Tho The By JAMES McMULLIN NEW V YORK YORK Watch Watch for the national labor boards board's ruling in the case of the Houde Engineering Engineering Engineering Engi Engi- company of Buffalo It will have a avital avital avital vital bearing on future labor capital-labor relations Heres Here's the background The regional labor board ordered an election by Houde to determine whether they wished representation representation tation by a federation union or a company union The federation won von but the company insisted on dealing with both groups The regional board stepped in and ordered the company com corn pany to recognize only the federation union The Houde people refused to comply and federation federation fed fed- officers appealed to the national labor board for a final decision New York insiders get et word that the board will uphold majority rule as against proportional proportion proportion- al representation and it has them worried The proportional idea whereby idea whereby any minority group of can name representatives for collective collective col col- bargaining is is their main hope of resisting resisting resist resist- ing federation gains This was the principle invoked in the motor strike settlement Industry liked it It strengthened strengthened strengthened strength strength- ened company unions by assuring workers of representation without having to par pay dues to a federation group The steel mediation on proposal proposal proposal pro pro- w was s based on the opposite idea that what what- whatever whatever whatever ever organization received a majority vote should represent all workers The steel companies com corn accepted it because they think they can lick the Amalgamated in an election Amalgamated Amal is staking its very existence on an all all- or-nothing or basis but basis but if it wins it wins every every- thin thing There are many lines of business not so confident confident con con- as the steel heads They feel that once organized labor gets the upper hand their company company com corn pany unions are sunk without the proportional safeguard to keep them alive Hence the Houde case means a lot in their battle to preserve the open shop Already open shop leaders are preparing to fight the expected adverse decision Their strategy will probably be to ignore this labor Jabor boards board's authority as they sometimes snubbed its predecessor and leave it up to the board to prove them wrong in court There Ought to Be a Law LawA A New Yorker with wide corpora corporate con con- on- on believes the government could best promote recovery by promulgating a law or regulation forbidding reduction of wages below present levels for or five years His point is that industry must be convinced that wages and raw materials of which wages are the chief cost in ingredient have reached bottom bottom bot hot tom torn before serious buying begins As long as theres there's a chance for further wage cuts cuts and and therefore lower prices they prices they have no incentive to go ahead By doing so they might give com corn competitors competitors who hold back a chance to score Conversely he argues that wage stability I would spur purchases I couldn't further further further fur fur- It would mean that prices drop ther and would probably rise rise making making it smart to buy now even if the goods bought weren't needed for use till later Advance purchases bred by the conviction among industrial leaders leaders leaders lead lead- ers that prices had touched their low limit marked the beginning of the real upturn from previous depressions This mans man's idea doesn't get much backing among his fellow New York conservatives Somehow they cant can't enthuse at the prospect of not being able to cut their major costs if they want to Unafraid Inform Informed d financial circles arent aren't in the least excited about the war var scare They admit a astray astray stray spark might ignite the powder keg at any time but are convinced th that t Hitler will backtrack even further than he lie has already already- perhaps to the point of or renouncing the luss luss-if luss if its it's necessary to keep Mussolini off his neck Von isn't out of the German picture because he was sent to Vienna Quite the con con- Hes He's simply out of the way of ot fresh I internazi squabbles now brewing and in a position to hop back to Berlin on a moments moment's notice as and when needed to participate in inthe inthe inthe the formation of a new g government Insiders understand that Von is now rated the chief white hope of the industrialists and industrialists and they will have a lot to say about Germanys Germany's future political leadership S S 0 Kurt von Rieth the Rieth-the the German envoy to Austria Austria Aus Aus- tria who was recalled for offering aid to the Austrian nazis nazis has has a sizable stake in the AmerS American Amer Amer- S jean ican oil His father was European director for the old Standard Oil company company company-be- be before fore it was trust busted and trust and pa passed ed his large stock interested on on to his hb son a a What looked like a Prial victory in retaining retaining retain retain- ing ins the borough presidents was partly overturned overturned over over- turned by a switch of two votes Its It's significant significant cant that both switchers came carne from Queens Queens- which is most under Farleys Farley's thumb of any borough Insiders remark the Smith Smith-Farley teamwork is 11 smooth N tr t |