Army Chief of Staff Testifies
On Eisenhower's Defense Fund
(Continued from Pag 1)
President Eisenhower spoke
out at his news conference
as the Senate preparedness
subcommittee, headed by Sen
ate Democratic Leader Lyn
don B. Johnson, heard Gen.
Maxwell Taylor, Army chief
of staff, tell about his "reser
vations" on the President's
Ike Says Jobless
Pay Benefils
Up To States
Washington CPU- President
Eisenhower told his news con
ference today that further ex
tension of unemployment com
pensation benefits is now pri
marily the responsibility of in
dividual states.
He said he would be willing
to listen to arguments to the
contrary. But with most of the
state legislatures in session
this year, he thought they
should shoulder the principal
responsibility for extending
the length of jobless pay
where necessary.
Benefit Period Extended
During the recession last
year, hundreds of thousands
of unemployed found them
selves without money when
their normal 26 weeks of job
less pay ran out. The federal
government stepped in
through legislation and made
possible extension of the
benefit period. This temporary
plan expires at the end of this
month.
Eisenhower was asked to
day to define his position on
various proposals before Con
gress to extend again the fed
eral government's participa
tion in the unemployment
program.
He said the extended pro
gram was undertaken as an
emergency plan last year be
cause most of the state legis
latures were not in session.
Other news conference
' Items:
He reiterated his endorse
ment of statehood for Hawaii
without going into any detail.
He said he wanted no
"yes" men in his Cabinet.
This came up when a reporter
cited an opinion that the posi
tion of defense secretary had
gone down in prestige as far
as planning for the military
was concerned.
McElroy Not "Yes" Man
Eisenhower was ' asked on
this point whether Secretary
Neil H. McElroy took orders
from the White House and the
State Department or whether
he functioned as an adviser to
the President on modern strategy.
The President said quickly
that McElroy occupied the de
fense post because he respect
ed him and thought highly of
his judgment.
He said that if McElroy was
a "yes" man, he would not be
secretary of defense and, for
that matter, Eisenhower did
not want that kind of subordi
nate anywhere.
defense budget. In an opening j
statement, Johnson noted that
the subcommittee has been
studying the nation's pre-!
paredness for more than 15
months.
"Throughout these hearings
I have been unable to escape
the conclusion that we are
not doing enough, fast enough
or thoroughly enough," John
son said, restating a view
that he has expressed fre
quently.
Budget vs. Defense
"The problem of our pre
paredness effort has been
brought home to us sharply
and dramatically by the Ber
lin crisis. I believe we can all
agree that there are few ma
jor steps that we can take be
tween now and May to in
crease the strength of our mil
itary arm," said Johnson.
Johnson stressed that the
nation's defense problems
will not end with the Berlin
crisis. The objective of the
subcommittee's present in
quiry, he said, is whether the
defense program is based on
the considered judgment of
the Joint Chiefs of Staff as to
what the nation needs "or
whether it is based on other
considerations."
That is the Democratic
theme that budgetary consid
erations, not military needs,
have dictated the defense
budget.
Gen. Taylor was the first
member of the Joint Chiefs
of Staff to be called for
closed - door questioning by
the subcommittee.
The warmth and vehemence
with which Mr. Eisenhower
struck back at congressional
proponents of boosting the
size of the armed forces pro
duced some of the strongest
language he has employed to
date in his tug of war, large
ly with the Democrats on
Capitol Hill, over the proper
defense policies for his coun
try. .
Favors Fewer Troops
He saw no reason why the
scheduled reductions in the
Army and Marine Corps
should not go through by June
30. He said an hysterical ef
fort was being made to relate
the Berlin situation to the size
of our ground forces.
A reporter asked whether
he had the right to thwart the
will of Congress by not spend
ing all the money appropria
ted for defense. Eisenhower
said heatedly that, after all,
he was the commander in
chief and he had to use the
armed forces as given to him.
Then he added that while
he w"as not going to try delib
erately to thwart the will of
Congress, he thought Con
gress sometimes was mistaken
and sometimes in the past had
made some very serious mis
takes on defense matters.
In a growling, emotional
voice, he said that if additional
and in his opinion, under
ground forces were forced on
him, he would put them some
where nice and keep them out
of the way.
As to the merits of a balanc
ed budget versus national se
curity, he said quickly there
was no contest - defense
would come first.
The chief executive stood
firm on his defense budget of
S40,900,000,000 for fiscal 1960
after being asked whether he
saw anything on the interna
tional horizon to warrant hik
ing the budget or delaying the
Army and Marine manpower
cuts.
By June 30, the Army is
scheduled to drop 30,000 men
to a total power of 870,000
troops. Eisenhower said this
was no small Army in his esti
mation. The Marine Corps
also is scheduled to cut 25,
000 men down to a total of
175,000.
Unemployment
Totals 4,749,
Washington (UPD Unem
ployment increased by 25,000
to a total of 4,749,000 last
month. The government said
the change was so small that
it was insignificant.
Employment also rose 16,
000 to 62,706,000 in February.
A joint report by the Labor
and Commerce departments
said the stability marked the
usual . pause between heavy
winter cutbacks in jobs and
the normal spring pickup in
the economy.
Compared with February,
1958, in the depth of the re
cession, last month's jobless
total was down 724,000 while
the number of persons hold
ing jobs increased by 734,000.
' But unemployment last
month was still 1,500,000
over the figure for February,
1957, before the business
downturn began.
Hours of work in manufac
turing industries were steady
at 39.8 a week last month.
Earnings of factory workers
were unchanged at an hourly
rate of $2.19.
Sieam Boiler Geis
Explosion Blame
Portland A steam boiler,
not an oil burner was the
cause of an explosion last
Sunday in Fair Lawn, N. J.,
which killed a three-year-old
boy and injured six persons,
oil heat industry sources said
today.
Leonard Gassner, executive
secretary of the Oil Heat In
stitute of Oregon, said the
wire service stories were in
correct. He was informed by
Fire Chief Danore of Fair
Lawn that a steam boiler was
the cause. Chief Danore told
Gassner by phone: "Oil or any
other fuel had nothing to do
with the explosion. It was
caused by a steam boiler, but
we do not know why at this
time. Perhaps it was due to
our hard water causing a de-
! posit in the tank. We are in
vestigating."
Gassner said the story has
caused great concern among
oil heat dealers all over Ore
gon, because some newspapers
displayed the story promi-
Break for Injured
Workers Sought
Salem-CPD-Rep. Keith Skel
ton (D.-Eugene) says that he
wants a better break for the
workman injured in Oregon.
Skelton is co-author of a
bill which would change the
workmen's compensation pro
gram. He told the House La
bor and Industry committee
Tuesday night that about two
per cent of injured workmen
in Oregon have received
per cent of the money paid
under workmen's compensation.
The bill would require em
ployers in hazardous indus
tries to protect workers from
financial loss due to injuries
and would extend coverage
to non-hazardous industry em
ployers with 10 or more em
ployees. The bill would abol
ish the employers' liability
law and eliminate jury trials
on appeals to the courts from
injury awards.
Mrs. Cecelia Galey, chair
man of the Unemployment
Compensation commi ssion,
said the proposed change
would result in higher admin
istrative costs and reduce
workmen's rights. Opponents
also contended .the measure
would increase the insurance
rates.
House Trailer Damaged in Mishap
Extensive damage occurred
to a house trailer after it
broke loose from the towing
truck yesterday, state police
said. No injuries were report
ed. The accident occurred at
the intersection of Highway
99 and Colver rd. near Talent,
state police said. Ralph Glenn
Lisson, 31, of 3761 South Pa
cific highway, was driving
the truck towing the trailer,
when it apparently became
detached from the truck.
Lisson tried to stop and
the trailer whipped to the
left side of the truck, flipped
over and slid on its side into
a roadside ditch. No one was
in the trailer at the time, of
ficers said.
Joint Committee
To Visit Hospitals
Salem -(UPD- Subcommittees
of the Joint Ways and Means
Committee plans to visit Pen
dleton and The Dalles Fri
day. They will visit the TB hos
pital in The Dalles and the
Eastern Oregon State hospit
al in Pendleton for inspections
in connection with 1959-61
budgets.
Holmes Honored at
'Going Away Party
Salem (UPD About 100
friends of ex-Gov. and Mrs.
Robert D. Holmes, many of
them members of the Legisla
ture, gathered at a Salem cafe
last night for an informal
"going away" party.
The Holmes are expected to
vacate their Salem home and
move to Portland this week
end. The former chief execu
tive has opened a public rela
tions office in Portland.
The oldest farm in the U. S.
is said to be near El Paso,
Texas. It has yielded crops
each year since 1540.
MAIL TRIBUNE, Medford, Oregon, Wednesday, March 11, 1959 3
Marshall Taken
To Walter Reed
Washington (CPD Gen.
George Marshall was flown
from Fort Bragg, N.C., to
Washington today so he could
be treated at Walter Reed
Army Medical Center for the
stroke he suffered earlier this
year.
The Army said the transfer
was "made possible because of
the improvement in Gen. Mar
shall's condition." It said that
at Walter Reed, the five star
general "will have available
the finest of specialized medi
cal care."
With three new parks in
1957, Alberta now has 35
provincial parks covering 96,
134 acres.
Repairing and Relining
Cleaning and Glazing
Restyling
Frances9 Furs
610 Valley View
SAME PHONE SP 2-6526
1
Bar Supports
Bill at Hearing
Salem (UPD A bill which
would create a fund to indem
nify persons who might lose
money through defalcation by
an attorney received support
of the Oregon State Bar at a
House Judiciary Committee
hearing Tuesday.
The bill would provide for
payment of $15 a year by at
torneys into a fund to be used
to purchase insurance.
Glenn R. Jack, Oregon
City, who suggested the in
demnity plan several years
ago, told the committee defal
cation "by a very small per
centage of lawyers" is a prob
lem. He said "if lawyers do
not take the initiative to cure
this evil we recognize, it will
be forced on us."
Robert H. Bennett, Portland
attorney, opposed the bill by
saying the provision for in
demnification of a .client
would remove the strongest
driving force for punishment
of the offender. He said plenty
of remedy exists at present for
improper action by attorneys.
Estacada Youth
Enters Innocent Plea
Oregon City flJPD D u a n e
Marvin Anders, 17, Estacada,
Tuesday entered a plea of in
nocent to a charge of first de
gree murder in connection
with the death of his father,
Hector Anders. Trial
scheduled for March 30.
was
nently. "They spotted the
story as being erroneous be
cause records of the National
Fire Protection ( association
show that oil is not explo
sive," he reported.
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