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Show New Type Of Labor Agreement A contract, described as something some-thing new in the relations between be-tween management and labor, comes from New Jersey, where the Continental Paper Company - and its employees have entered into an agreement by which the laborers are given a "share of production" pay plan. The plan, drafted by Allen W. Rucker, stipulates that 30.51 per cent of the company's "production "produc-tion values" is to be distributed to the workers in the plant. These values are determined by subtracting the cost of raw materials ma-terials and supplies from the company's sales receipts. While workers will continue to receive their weekly checks, representing regular straight time and over-time wages, there will be a check-up every four weeks to see if the 30.51 per cent of production values is more than the wages received. If it is, part of the surplus will be distributed dis-tributed among the employees in cash, part will be paid into a pension fund to provide retirement retire-ment income and the remaining twenty-five per cent will go into a reserve account to offset any dip in income in the future, Mr. Rucker, explaining the philosophy of the plan, says that what he seeks to do is "to take the ceilings off earnings and production." pro-duction." He explains that "earnings must come out of production, pro-duction, and it is the teamwork of men, management and machinery ma-chinery that makes production possible. This program will help labor and management make money with one another, and not out of one another." |