Getting Together

When the U.S. economy drifts into uncertain waters, labor and management often discover that they share the same boat, find they have much in common. Increasing efficiency to enhance an industry's long-run competitive prospects emerges as a vital mutual interest. Last week representatives of labor and management in three major U.S. industries agreed on some significant innovations.

IN THE SHIPPING INDUSTRY, the Pacific Maritime Association of employers agreed to pay $25 million into union coffers over the next five years to set up a fund to help compensate some 17,500 longshoremen for any work lost through automation. If machines displace enough of them to cut the work week below 35 hours, the fund will make up the difference. The fund will also finance early retirement for longshoremen as the needed work force shrinks. In return, Harry Bridges' International Longshoremen's and Warehousemen's Union gave the employers a free hand to eliminate featherbedding and increase efficiency on the docks. The employers will now be able to determine for themselves how many longshore gangs are needed, the weight of slingloads of cargo, and the number of times cargo will be handled in loading and unloading. Explained Pacific Maritime President J. Paul St. Sure: "We are gambling $5,000,000 a year against the right this contract gives us to remove work restrictions in the belief we can save that much or more in our payrolls, gain faster turnaround of ships and give better service to shippers."

IN THE RAILROAD INDUSTRY, where labor and management negotiations have been at loggerheads for almost two years over work-rules disputes, both sides agreed last week to the appointment of a 15-man presidential commission to study the controversy. President Eisenhower will give equal representation on the commission to management, labor and the public, and the group will evaluate contract changes sought by both sides, make recommendations as a basis for a new try at the bargaining table.

IN THE GARMENT INDUSTRY, women's wear manufacturers and David Dubinsky's International Ladies' Garment Workers' Union agreed on the establishment of a $10 million fund to provide severance pay to garment workers whose employers go out of business. The plan, which will be paid for by the employers, will ensure 450,000 garment workers weekly payments of from $12.50 to $25 for as long as 48 weeks if they are unemployed as a result of business failures. Industry leaders hailed the step as a stabilizing influence: in the past, when an employer was forced to close one shop, the union would strike any other shop he owned, often force the employer out of business.

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