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Show I MATTER A OF PRINCIPLE Key Utah Issue: Tough Scrap Over In January, during his State of the Unioo address, President Johnson slipped in a quick comment that he would like to see section 14 (b) of the ey law repealed In h prosaic speech filled with generalisations understood by virtually everyone, this sudden burst of technical talk left mlllioos baffled. The President wasnt being sly though . . anion leaders and business executives knew exactly what he pieant. . in Utah the two opposing forces were acutely aware Of what his statement held in store, the possible end of Utahs ten year old right -- to- KOCkt MH M ernor Calvin L AIN Taft-Hartl- ey HKUFU.May 27, 1963 IliAW1 003. M law on its books for Utah has had a This week President Johnson asked conten years gress to pass a measure which threatens to remove The sound and fury goes on in Washington that law but the effects will be felt here The Review presents views of business and labor leaders, as well as an estimate of what the practical effects of repeal might be in this article Right-To-Wo- fee -- si fib ooo ix cm How did it all starts When law was the passed in the late forties section 14 (b) allowed a union to represent all workers In a plant where that particular union was recognized as the bargaining agent. It said that states may pass more restrictive laws if they wanted to, meaning that states could pass laws forbiding contracts requiring all workers in a firm to belong to the unioo In the early fifties the possibilities this section interested Utah uslnessmen and it was in 1955 that the law was actually passed. Businessmen called it the "rlght-to-wolaw, a name which they feel describes its a so ey rk VP Will CORSAIR Head Packed With Features The Salt Lake Area ChapAssociation of Accountants elected Harold D Haight, Vice President of Bettllyons, as Presi- ter of the National Cm ta tyaaMln wfcs yw U try mmftt ag typwlwre Mm? UhltacUva tyf Uytos It man trwa. DOWN IASY TIKMS dent for the year 1965-19Mr. Haight resides at 3763 66 CO. TYPE-AJJN-E Typewriter Dealer Idt lavt 2nd fv. Your 7I Haven Way. Elected Vice Presidents Elected Vice Presidents were William Shea and S. Richard Keddingtoo. Keith Elmer was elected Treasurer and Lou G. Sundberg Secre-rar- y. perfectly, and requirements, leaders feel is a horrible misnomer For the last ten years in Utah any union that could organize the workers in a given company had the right to do so, under appropriate labor If the National Labor laws Relations Board conducted an election and 30 per cent of the workers decided they wanted that union, the union then became the official bargaining agent for all the workBut the union could ers not compel everybody in a Labor leaders plant to join yelled ' foul , because they said it weakened the unions and allowed those who did not wish to join the union, and pay dues, to receive the benefits of union bargaming worked and paid for by members They called the holdouts "free riders Over the years Utah's labor leaders have attempted several times to repeal the law, with little success in a Republican dominated legislature and a Republican adminThis year they istration thought they had a chance, but backet out when they took a nose count of the votes They felt that if the issue ever came to a test on the floor of the legislature, it's defeat might convince some, particularly Utah's Senator F rank Moss and its DemocratDavid S. ic representative that Utahn's really King, rk wanted the law and they better think twice before following the party line At present the for repeal. predictions are that Utahs two democrats in Washington will vote for, and the Republicans, Wallace S Bennett and Laurence Burton will vote against repeal. Chances for passage for repeal are very strong for three reasons; I) Democrats are in a heavy majority in both houses of congress, and were helped In their election by labor. 2) states (there are 19 of them) represent small populations for the most part and their representation in both bouses is small. Even If all legiswhich labor right-to-wo- rk Right-to-wo- lators In right-to-wo- states rk vote against repeal (which they won't) they couldnt muster strength. enough P17 lever In the battle tween the states for new a dustry, Da9j Market Utter-M- U m Weekly Technical Utter INFORMATION: Weekly Comments ee Selected Issues I Special Company Reviews Weekly Investment Notes Municipal Bond Offerings (A far West laws realDo ly help states obtain industry' Both sides heap statistic upor statistic to prove both sides of this question, but both M) rk ing & Co. New York Slock Exchange, Pecific Stock Exchange 4 other leading exchangee M South Main Street Sett Lake City CLgin Please send me a copy of. Coest NXWt Name. Address. over-ridi- reason for ng Of PtPORT the AFLIO, Forbes marketing right-to-wo- Not Automatic There is a misunderstanding that repeal of 14 (b) would immediately bring the union shop into effect in every Utah This is not the industry case, and it would be at least a few months in most cases before any immediate effects would be felt Several companies in Utah have clauses in their union contracts calling for reopening of the union shop issue if the state or the federal government repeals the right But most of law these same contrac'. say that the unions can't go out on strike over this matter during the life of the contract. When these contracts are up for negotation virtually all unions will bargain hard for union shop6, that is, compulsory membership of all workers Under the present law com- panies and unions can't even bargain about this Issue, it wont automatically go into effect, so the real fury over the issue will fume at several hundred bargaining tables throughout the state over the next two or three years. How hard will management fight for the open shop? This is a sticky question to which few executives will committ And busithemselves now nessmen that are willing to stand up and be counted with their congressman might see things differently at the bargaining table The situation will vary depending upon the of union existing degree strength and control In plants where a large majority of workers belong to the unions, management probably will not feel that the union shop is worth a fight that might close down their plants during a In comprotracted strike panies where union power is relatively weak, and where compulsory 100 percent membership would mean changes In the firms cost of doing business, hassles and even strikes might be expected. repealed it, that this lure had a negligible effect in attracting Industry to that state James retary of director of the state D Cannon, now sec- and as s tourist and publicity council an old hand at luring Pro-Uta- h, says "Utah's economic development program will be hamplaw ered The has been helpful in promoting a better industrial climate Beverly Kumfer, head of Litton Industry's Guidance and Control Systems Division In Utah says "I feel repeal would make this state less attractive to outside business Bill Green, manager of Litton" s Data systems plant in right-to-wo- in terms of busithat the employer disastrous, ness lost, would decide that capitulation is better than suffering a loss In other cases, of business for example on construction jobs, unions might threaten organizational picketing, when the builder is under the pressure of a deadline Since the construction trades generally, and services that feed it are heavily unionized, the threat of organizational picketing could mean a slowdown on a job, often disastrous to the M r contractor Thorese feels that under the right law the unions despaired of their strength. W ith repeal he feels that unions, expecting full membership will be encouraged to greater organizing efforts k: Not so says lawyer ' The law has nothing to do with organizational picketing Not so, says C. E. Berger, President of the Utah State AFL- San-dac- right-to-wo- rk rk (Continued on page 27) ITHtiCHT X1N1 CMCiENI JCr 0( BOLXSON OlSriLLINC KVHISXV CO Why? Because interest on municipal bonds is presently exempt - from all federal income taxes and generally from state and local taxes in the state where issued thus providing the investor in these bonds with more spendable income. An individual in the 50 per cent income tax bracket who invests in municipal bonds with a yield .') would earn the equivacent of j per lent of taxable interest yield of 6.50 per cent. Serr iny the investors interest also are the salety, flexibility, and marketability features of these bonds. For further information on how municipal bonds can ncrce your investment in- 86 MIX HMKFWI, If tax-exem- pt terest BSTABUSMBS More Pickets? Will rk repeal of the law mean changes in CONSOLIDATED WITH J. A. HOGLI A CO. to cS fadtaafa mm4 O W SriadpaC liofcoo U.ilin Naa M right-to-wo- the amount of union organising activity' Most labor people contacted by the Review said no, that organizational activity has been present under the present law and would continue. Some people connected with management have other ideas One of the most informed people in Utah on labor relations is Ross E . . . & CO. GOODBODY lttl 7nticnf$lgc SAIT o CITY, 132 S. MAJN ST, DA irby offlcBi in Provo, Ogdon, Pocotodo, Idaho Fads n omen tmsouomovt thb nation 8 YEAR OLD LAKE KENTUCKY BOURBON You can bank on Zions First National anagement r xJc& The other day a customer includ- then rk com- Thoresen, who runs an association put together by businessmen mostly to help them with their labor relations, called the Industrial Relations Mr Thoresen exCouncil pects "a return of a great deal of organizational picketThere are many ways ing" that a union can work its way into a plant The most common is by convincing the workers they need that particular union, and urging them to petition for an NLRB election, but other ways are possible In a situation where a company's dealings are primarily wity the public a union might start organizational picketing, by law, where permitted pickets will march up and down m front of a location showing the public at large that the establishment is nonIf the firm deals with union the public, the effect on public relations, especially m an area where union people live in large numbers, might be so cites a research study of September 1960 which concludes that in Indiana, which had rk ing to Utah, whether its absence would have kept them out is probably an impossible question to answer arguments are equally inconA. Wally Sandeck, clusive a Salt Lake lawyer who rep- resents several unions Member rk While he could not comment on the law's removal as a factor in the company's further expansion here, he did say that Utah has several plus facte rs for Litton, and this would take away one of them It is difficult to find a company that will say that was the principal and In- by They Come For your copy of one of these reports fill out coupon below Schwabacher be- In the mostly right-to-wo- Studies rk deep The heavily populated eastern states, losing industry to newer expanding areas, will be Inclined to favor elimination of any weapons available in this battle Financial Services Summaries (WssMy) Monthly Investment Report 3) Right-to-wo- laws have been used as South and the FOR YOUR INVESTMENT right-to-wo- right-to-wo- Misnomer? SMITH-CORON- A 3SS-13- rk sible exception of one important segment of the economy; large retail stores For most businessmen and labor leaders alike the repeal is more a matter of principal, philosophy and a vague thing called "business piimate than it is a mattef of concrete events Considering the weight of philosophy over reality it is surprising the firepower the big guns both sides roll out to fight the battle Also of interest is the absolute prerogative both sides claim for fundamental human rights Taft-Hartl- b (hv strongly supUtah's law It's fair, just and demoMr Green explains cratic that the law was one of the factors contributing to Litton' s decision to locate here ports Doomed After Ten Years? Ramptonvoic-e- d a similar approach, again without considerable gusto In Utah the Governor's statement had little effect on the legisIn the nations capilature tal during the next few weeks lots will happen The difference is the political climate in the two legislative bodies II this controversial section law is reof the pealed, as now appears likely, few Utah ns will feel any immediate effect, with the pos- - Business Review lilUVl1 .Utah says he work law Last week in his labor message, the President reiterated his policy, some feel without enthusiasm In January Gov- Taft-Hartl- Right-To-Wor- k asked to have the contents of a old coin bank deposited to his 67-ye- savings account Sure enough, Zions Bank still had the key and That's how mothers describe their Long was able to comply w ith his request During my 59 years as an em- Distance visits with ployee of Zions First National I have found that people think of this bank as extra sound, reliable, permanent, stable. If youre looking for service can bank on for a lifetime you for checking, savings, when you need a loan, or for any bank service its been my experience that you will do best at Zions First National Bank " their children. Pure joy. If you'd like a sample, pick up your phone and go visiting soon. Mountain States Telephone Jaap6 Baud latwaU tmplayaa a Z hnt Hmhmnml 16 HOKSIPOWIK IS OUR ZIONS FIRST NATIONAL BANK BUSINESS GAIL E BYWATER AUIOMOIlvr DIAGNOSIS CtNTCR (dynamometer tuning HULL AL IGN'UvG BRAKE AUTOMATIC transmissions AIP CONDITIONING 125 Eoif 4rh So DA2-354- 7 MM PVNK- - Till t A"l 1 M- -l lilt -- ot III I1MI -- m -- 7 -- .(i t ! MlHl i.wUIH - I h VAfT C a r. HY HHK.IUM MVIN OTTONWOOD . VIII (, -- 1 7H MAIN k 1 MtNs Mill 1M 1 A V SUVA I mv I |