This Issue in Brief...

AMERICA'S TWO MAJOR labor federations met in conventions last November. ANNUAL CONVENTIONS OF THE AFL AND CIO (p. 1) indicates that they struck remarkably similar-sounding chords on several issues: continuing political action, eschewing of third parties, repeal of the TaftHartley Law, and support of ECA. Both evidenced contentment with the election results. On labor unity, they were less specific but their attitude toward each other, reflecting election campaign cooperation, reached a high plane of friendliness. The AFL convention program was crowded with reports and special addresses dealing with international affairs and the condition and aspirations of labor movements abroad. It took steps to augment its work with the free trade-union movements of the western democracies as a counter-measure to Communist efforts at domination. The CIO moved vigorously against several of its affiliated internationals which it claimed were not only Communist-dominated but delinquent in organizational success, singling out especially unions of government and office workers and retail and wholesale clerks. It revoked the charter of the Greater New York Industrial Union Council and empowered its executive board to take appropriate action against affiliates which had failed organizationally. The board promptly ordered the Farm Equipment Workers to merge with the Auto Workers.

Hardly had the conventions adjourned when the concern of labor over legislation regulating labor-management relations was transferred to and reflected in another convention. STANDARDS ADVOCATED BY CONFERENCE ON LABOR LEGISLATION (p. 15) reports the fifteenth meeting of this organization of State government labor officials and State federation and industrial union council leaders. In addition to advocating improved standards anent child labor, protection of women workers, improved workmen's compensation and unemployment insurance, and other related legislation, the conference urged a rewriting of Federal labor-management relations legislation and revision or repeal of "restrictive" State labor laws.

Frequently preparation for problems of the immediate future is facilitated by taking a searching and critical look at the immediate past. THE NWLB: NOTES ON LABOR REGULATION IN WARTIME (p. 20) is based on the first of three volumes comprising the recently published termination report of the National War Labor Board and enables the reader to examine, in summary, the practices which guided our industrial relations and wage policies over a period of nearly 4 years. The Board's tripartite character bespoke its "voluntarism." Its wage stabilization policies, including its approach to the problem of equal pay for women, incentive systems, fringe benefits, and the general problem of wage inequities are covered in detail by the report.

The previously mentioned preoccupation of the labor movement of America with foreign affairs, the ECA, and the rebuilding of a free trade-union movement in Europe brought important statements on LABOR'S ROLE IN INTERNATIONAL RELATIONS (p. 12) to the two conventions from high-ranking Government officials. Paul G. Hoffman, Administrator, and W. Averell Harriman, roving ambassador for ECA, addressed the AFL convention. William O. Douglas, Associate Justice of the United States Supreme Court, addressed the CIO. Significant excerpts from the address of each form the basis for this appendage to the convention reports.

American labor, Justice Douglas stated in a portion of his talk, is especially well equipped to bridge the gap between Europe and America. European labor and European society as a whole are strained by the "polarization of right and left." American labor has a missionary role, he felt, in ameliorating class antagonisms. In few places is European labor more rent by schisms, poverty, and political internecine warfare than in Italy. POSTWAR LABOR MOVEMENT IN ITALY (p. 49) outlines the structure and political grouping within the largest Italian labor confederations. The Communist-dominated CGIL is the largest center which competes for Italy's 15 million farm and city workers. The LCGIL is a relative newcomer to the field and was formed by the withdrawal of the Christian-Democratic leaders from the CGIL. There are also several other independent organizations, including two of substantial size embracing farmers and government workers.

The Labor Month in Review

THE YEAR 1948 ended at the general level of economic activity prevailing in recent months. Production and employment remained above the levels of a year ago, and December retail sales, after a disappointing early pre-Christmas start, were somewhat above 1947. It became apparent during December, however, that the seller's market for a great many consumer commodities was disappearing. The consumer's position was again bettered somewhat with declines in a number of retail prices. Prices in the primary markets were also lower and approaching levels of a year ago. In the field of industrial relations interest centered largely on proposals for new labor legislation.

Labor Legislation

Proposals for changes in Federal labor legislation, given special emphasis by the National election, took more definite form by the end of the year. The American Federation of Labor and the Congress of Industrial Organizations were reported to have agreed on a three-step procedure(1) repeal of the Taft-Hartley Act, (2) reinstatement of the Wagner Act, and (3) amendment of the Wagner Act.

The only program of specific amendments to the Wagner Act made by a labor organization was announced by the executive board of the International Ladies' Garment Workers' Union (AFL), meeting in December. These included the following points:

(1) Adjustment of disputes in public utilities and other vital industries through a "cooling off" and fact-finding procedure modeled after those in the Railway Labor Act.

(2) Establishment of a Federal board to settle jurisdictional disputes, with the board's membership to be drawn from a panel nominated by the Department of Labor after consultation with representatives of organized labor.

cotts, those used to promote jurisdictional claims or to compel employers to violate the labor law.

(4) Extension of the non-Communist affidavit requirement to make it applicable to employers as well as union leaders. The affidavit would be broadened to include a forswearing of "communism, fascism, and all forms of totalitarianism."

(5) Granting employers the right to petition for elections among their employees where a "bona fide question" exists as to which union is entitled to bargaining rights.

The Taft-Hartley law was given further judicial interpretation in January. The Supreme Court ruled that State laws which prohibit the closed shop or other union membership requirements for employment were constitutional. Under the

present law, the NLRB will not hold union shop elections in States where such restrictions apply, even though interstate commerce is affected. Organized labor has indicated that it will plan a drive to repeal these restrictive State laws.

The drive against Communists within the Congress of Industrial Organizations, enunciated by Philip Murray, CIO president, at the annual convention, took shape during December. The Amalgamated Clothing Workers began the assignment of organizing department store workers, leaving the faction-ridden Retail, Wholesale and Department Store Union to operate in a smaller area. All the left-wing members of the Transport Workers' Union's international executive board were defeated for reelection at the union's annual convention. The Farm Equipment Workers, ordered by Mr. Murray to merge with the Auto Workers, stated that they would await action by their convention in the spring.

Strike Activity at Low Level

After the settlement of the maritime disputes on both the east and west coasts, few strikes of national importance occurred during December. Work stoppages in December declined to the low point of the year, which is usual for the month. Total man-days lost by work stoppages in 1948 were about the same as in 1947.

One of the most important wage developments during the month was the report of a Presidential fact-finding board, headed by William M. Leiserson, in the dispute between the railroads and their nonoperating employees. The board recommended that the railroads increase the pay

of their clerks, trackmen, shop workers, and other crafts by 7 cents an hour, retroactive to October 1. In addition, the board proposed that the 40-hour week replace the present 48-hour week without loss of pay for the workers. The latter recommendation would become effective next September. Neither side has as yet accepted the board's recommendations.

As in the previous month, relatively few wage increases were granted in manufacturing industries during December. Among the more significant were the wage settlements made in the millinery and in the Philadelphia dress industries. Preliminary statistics for November, for manufacturing as a whole, show little change in hours and earnings from the preceding month. Average gross weekly earnings for all manufacturing workers were about the same in November as in October, $54.49. Some decline in hours in the durable-goods division, reflecting holiday shutdowns in a number of industries, reduced weekly earnings by more than 50 cents to an average of $58.58. Slight increases in both hourly earnings and hours worked raised weekly earnings in the nondurable-goods industries almost 50 cents to

$50.14.

Price Downtrend Continues

A growing feeling that the seller's market for most consumer goods was over appeared to be crystallized by the end of the year. Dollar volume of department store sales in November fell below a year ago; but December sales, mainly because of active pre-Christmas sales promotions, were somewhat above last year's. The decline in consumers' prices, beginning first in foods some months ago, now appears to be extending to apparel and housefurnishings, both being fractionally lower in November. The Bureau of Labor Statistics consumers' price index declined again in November, dropping 0.8 percent to 172.2 percent of the 1935-39 average; the index was still 4.4 percent above a year ago and 74.6 percent above the August 1939 level. Early reports indicate that the December index may also show a decline, with continued reductions in food, apparel, and housefurnishings.

Average prices in the primary markets have also been declining for several months. The Bureau's index of wholesale prices dropped about 1 percent during December. For the first time in the post

war period, the wholesale price index in December was below the corresponding month of the year before. Prices continued to advance, however, in metals and metal products and in fuel and lighting materials. Spot market prices for basic commodities at the year-end were back to the levels of May 1947.

Food

The impression that recent price declines are quite general and are the beginning of a trend downward which may have broad economic consequences, was frequently given in the year-end reviews. These reviews indicate that while inflationary pressures are easing in a number of segments of the economy, a general severe deflationary movement is not expected in the immediate future. Many farm products have declined to their support levels and will not fall much further. prices, particularly meats, may drop somewhat more, but the total decline is limited by the floor set by farm product price supports. Both private and Government programs of capital expansion for which commitments have been made and large expenditures of the Government for military preparation and foreign aid appear to insure a high level of total income and expenditure for many months to come, although there may be weakness in production and employment at a number of points.

Employment Changes

Total employment declined by about 450 thousand in December, but was still more than 1.5 million above a year ago, according to the Monthly Report on the Labor Force. Nonagricultural employment, at somewhat more than 52 million, was slightly above November. While the increase in nonagricultural employment was not as great as a year ago, the number of such jobs was approximately a million above that of last year.

Recent publicity given scattered lay-offs in a number of industries, particularly in the New England area, centers interest on unemployment changes. Unemployment increased nationally by about 300,000 between October and December this year as against little if any change in the same period a year ago. The December estimate of 1.9 million is still below a considerable part of the postwar period, although about 300,000 above a year ago.

1948 Meetings Characterized by

As IS CUSTOMARY in presidential election years, both the American Federation of Labor and the Congress of Industrial Organizations deferred their annual conventions from early October to mid-November. The 1948 meetings of these two large labor federations-representing in the aggregate over 13,000,000 American workerswere characterized by greater agreement on basic domestic, economic, political, and social issues than at any time since the formal establishment of the Congress of Industrial Organizations a decade ago.

Both the AFL and CIO were in accord as regards the repeal of the Taft-Hartley Act (the Labor-Management Relations Act of 1947). Each was equally convinced that in the field of political activity organized labor's future role lies within the country's traditional two-party system rather than through support of a "third party." To implement this decision, steps were taken to expand their specially designated organizations devoted to political education and activity.

At home, both the AFL and CIO spoke out against the menace of inflation, the need of greater social security, adoption of a well-rounded civil rights program, and adequate housing for Ameri

Of the Bureau's Division of Industrial Relations.

can wage earners. Abroad, strong support was voiced for the European Recovery Program while the tactics of Soviet Russia and its activity in the labor movements of satellite countries were roundly condemned.

President Truman, in separate messages to the respective conventions, voiced confidence that the organized labor movement would continue to work for improvement in the American way of life and reject the fallacies of Communism and reaction. Secretary of Labor Maurice Tobin, in his speeches, recommended the revision of Federal labor laws coupled with a greater emphasis upon free collective bargaining and increased participation of organized labor in public affairs. Both conventions, in turn, adopted resolutions calling for the strengthening of the United States Department of Labor.

The perennial question of possible "unity" within labor's ranks remained unsolved. The mood of both conventions, however, was more conciliatory than in preceding years. Widespread cooperation, particularly at "grass-roots" levels in the 1948 election campaign, combined with joint endeavors in various international undertakings, appeared to have mellowed many of the antagonisms expressed in earlier conventions.

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