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Show When the leaders of the Steelworkers Union called half a million of its members out of the steel mills last week, they began a strike for more inflation. That is the issue . . . the real issue ... at stake in the steel strike. COMPANIES MAKE PROPOSALS The companies proposed that the present level of wages and benefits (including the current accumulation) be extended for an additional year beyond June 30, 1959. They remain convinced that this offered the best way for the Union and Companies to join with their 177,000,000 fellow Americans in the fight against inflation. But the Union leaders rejected this proposal out 17-ce- nt cost-of-livi- Inflation is an issue which aflects the future rity of every man, woman and child in America of steelworkers themselves as they compete for jobs d workers in steel abroad of the against the steel companies and of every other industry in the country. Inflation is an issue which may even affect the security and the credit of the American government itself. secu- low-pai- Inflation is an Notwithstanding these considerations, the Union continued to press for inflationary an issue! COMPANIES SOUGHT two-ye- PACTS During the bargaining the Companies sought labor agreements. They realize that no d one industry no one union can alone and inflation. stop But they also know that another wage increase in steel now would set off similar increases throughout industry, as other unions strive to catch up with the steelworkers. This would force higher prices for everything you buy, even if the price of tteel were held at present levels. For this reason the steel companies recognized that they and the steel union have a compelling responsibility not to add to the deadly inflation spiral. Rising prices have already eaten away half the buying power of your dollar in less than 20 years. The Union leaders recognized no such responsibility. They persisted to the very end in demands for inflationary increases in wages and benefits. Then, for the sixth time since World War II, they closed down the nation's steel mills. ry single-hande- NO ONE WILL BENEFIT No one will benefit from a steel strike. Many hardships will result But the greatest harm of all would cmne from another inflationary spiraL This would be the certain consequences of acceding to the Unions demands. Steelworkers themselves are aware that they gain little or nothing in the end from inflationary wage increases. Their views have been revealed by scores of surveys by leading, newspapers and magazines throughout the country. UNION CLOSES of hand. In a final effort to prevent a strike, the Companies then made this offer to the Union: We are willing to negotiate insurance and pension benefits during the first year of a agreement and a modest wage increase in the second year, if the Union will agree to contract provisions which would enable us to generate further economic progress in operations sufficient to offset the cost of such in- ITS EARS TO FACTS . t Throughout the negotiations the Union leaders have closed their ears to these salient facts: Steelworkers are now paid at the highest level of the worlds industrial workers their average earnings are nearly $25 a day plus benefits of an added $4.88 a day. This amounts to about $7 a day more than the average of all .manufacturing workers in ar creases. Further, the Companies assured the Union that there was no desire to limit the economic progress of n steelworkers. They pointed out the opportunities for each individual employee to improve his own income through advancement on the job, promotion and incentive compensation. wide-ope- COMPANIES ASK END OF WASTEFUL PRACTICES In order to make possible the improved benefits and wage increase which the Companies indicated, these changes were sought in the former agreements: clauses local First, that the in the labor agreements be clarified so that managements in cooperation with the Union could take reasonable actions to eliminate waste and improve efficiency and thereby effect savings for the benefit of all; and Second, that the agreements include stronger measures to discourage wildcat strikes which hurt thousands of innocent workers as well as the Companies. Despite the obvious fairness and soundness of these proposed measures, they were rejected by the Union. It insisted on an immediate and inflationary wage work-practi- so-call-ed ce increase. In addition, the Companies proposed that the autoclauses be discontinued, because matic shows that these, of themselves, tend to experience feed inflation. This, too, was turned down. cost-of-livi- ng PROGRESS MUST BE Steelworkers have made great economic progress. We want them to make further progress. But another round of inflationary wage increases for them now would only add to the already burdensome living costs of all Americans. We believe that, in standing firm against the forces of inflation in the great basic steel industry, we are best serving our country, our employees and our companies. We would appreciate your views and comments on our stand. Just write to the address below. America. 1 Steelworkers gains in recent years have outstripped those in any other industry. THE STEEL Another round of wage and benefit increases now tend further to price steelworkers out of markets it home and abroad, as they oompete with lower-pai- d irorksts. Allegheny will QOMPANIEI OOORDINATIN1 878 Lexlnoton Avenue ludlum Steel Corporation New York COMMITTEE 17, New York Armee Steel Corporation Sethlehem Steel Company The Colorado fuel 4 Iron Corporation Croat lakea Steel Corporation Jenee a Inland Steel Oompeny Kaleer Steel Corporation Leughlln Steel Corporation RepgSlle Steel |