Injunction Proceedings Speeded in Strike at Lockhee
Railroads, Unions May Resume Legal
Battle Over Featherbedding Rule Ban
Chicago -WPD- More legal
baltles between the natlon'
railroads and five big unions
loomed today following a
court ruling that the carrier!
may institute "anti feather
bedding" work rule changes.
The U.S. Circuit Court of
Appeals said Wednesday the
railroads have the right to Im
pose the sweeping changes-
which eventually would elim
inate up to 80,000 jobs-with-out
the consent of the unions.
The ruling upheld a decision
by federal District Court
Judge Sam Perry.
J. E. Wolfe, chief railroad
negotiator, said the carriers
would "move promptly" to
make the changes as soon as
the appeals court dissolves a
temporary Injunction against
such action.
The five brotherhoods, rep
resenting 212,000 on-traln em
ployees, have threatened a na
tionwide rail strike should the
rules be put Into effect uni
laterally. But union attorneys said
they would file for a rehear
ing in the appeals court, which
would keep the injunction in
force until a second ruling.
Thus an immediate showdown
on the issue would be fore
stalled. The three judges Wednes
day upheld the injunction
blocking the carriers from
putting the rules into effect
while the appeals court con
sidered the case.
The appeals court probably
will not dissolve the injunc
tion until it rules on the union
request for a rehearing, and
even then the unions could ask
the U.S. Supreme or Appellate
court for an extension of the
restraining order.
Wolfe, said, however, "the
issue on which the appeals
court ruled . . . was so clear
cut I believe there is a serious
question as to whether either
court would continue the in
junction." "As soon as the lower
court's injunction is dissolved,
the carriers will move prompt
ly to make effective these
rules . . ." he said.
"The moment a threat of a
strike occurs it will be in the
President's hands," he added.
President Kennedy could
postpone a walkout for at
least 60 days by appointing an
emergency board to investi
gate the three-year dispute
over work rules and make
non-binding recommendations
for settlement.
The 19S railroads involved
have estimated the rules
changes could save them near
ly $600 million a year
Stock Prices Narrowly Mixed;
Chrysler, U.S. Steel Decline
' . , eel aE 4 on, 4fl Sun Mlnpa
New York - (UPH - Stocks
were narrowly mixed today.
Losses of about 1 each ap
peared in Chrysler and Proc
ter & Gamble. U.S. Steel,
Youngstown Sheet and Armco
dropped fractions to nearly a
point in the steels.
Drugs weje irregularly
higher with Carter Products
and Richardson Merrcll up
around 2 each and Cunning
ham down roughly 3. Elec
tronics moved lower with
Beckman, Litton and" IBM
down fractions to a point.
DOW JONES AVERAGES
Ntw YorkXUPU-Dow Jonas
final stock avaragas: 30 in-
Foreign Briefs
CHURCHILL CABLES CONDOLENCES
Th Hagu-4iro-Sir Winston Churchill, who will b 88
Friday, cabled condoUncas Wednesday to Qutan Juliana on
lh death of ex-Queen Wilhalmina, a court spokesman an
nounced today.
GREEK EMBASSY OFFICIAL TO LEAVE MOSCOW
Moscow-ll)Pll-A Greak embassy official ordered expelled
on charges of espionage will lair Moscow Friday, according
to an announcement here.
The Greek embassy denied the allegations against Second
Secretary Petros Molyviatis.
ANGELS, SHEPHERDS ON CARDS FOUND LACKING
Blackburn, England-iIPI-Dr. C. Claxton, Anglican Bishop
of Blackburn, said today he had to hunt all over town to
find Christmas cards with angels and shepherds on them,
"Robins and stagecoaches on cards are pretty," the bishop
said, "But we celebrate Christ's birth, not that of the robin,"
TOY BALLOON TRAVELS 89 MILES
Valence, France-U)r-A gas-filled toy balloon launched by
a 7-year-old Marie-France Grimaud has reached Nacragol,
Sweden, after a flight of 89 miles, it was announced today.
The flight won a $200 prise for Marie-France in a nation
wide balloon contest.
duslrials 651.95, up 3.80; 20
railroads 136.58, up 0.44; 15
utilities 125.59. up 0.56; and
65 slocks 226.37. up 1.12.
Sales Wednesday were
about 5.99 million shares
compared with 5.5 million
shares Tuesday.
Wednesday's prices on selected
i toe Kit:
Allied Chemical
Alum Co. Am
American Air Lines ...
American Can
American Motors
AT St T
American Tobacco . .
Anaconda Copper xd)
Armco
Bendlx Corp
Bethlehem Steel
Bneing Air
Caterpillar Corp
Chrysler Corp
Coca Cola ....
CBS
Continental Can
Crucible Steel
Dow Chemical
Du Pont .
Eastman Kodak
Firestone ....
Ford
General Electric
General Foods
General Motors
Georgia Pacific .
Greyhound .
Gulf OH
Hornettake
Idaho Power
IBM
lnt Paper .
Johns Manvllle (xdl .
Kennecott Copper ....
Lockheed Aircraft ....
Martin (xd)
Merck
Montana Power
Montgomery Ward ....
National Biscuit
New York Central
Northern Pacific
Pac Gas Elec
Penn RR
Perma Cement
Phlll.pt ....
Procter At Gamble ....
Radio Corporation ..
Richfield Oil
Safeway
Santa Ft
Sears
Shell Oil
Socony Mobil Oil
Southern Co
Southern Pacific
Sperry Rand ....
Standard California ...
Standard Indiana
Standard N.J.
Slokely Van Camp ..
... 3'.i
... .18
... lB'a
...
... 16
...114'.
... 301,
... 43'.
... M'i
,.. 5.Vi
... 32',
.. 3B,
.. 38'.
.. TO 1 4
... 821,
.. 42
.. 42.
.. 93 4
.. nor,
.2.-11 '.
..inn
.. 33 'i
.. 43 'i
.. 74i
.. 7.1 'i
.. 5.1 ,
.. 43
.. 30
.. 3S
.. 4bTg
.. 24 ''4
...307 ' i
.. 28 '.a
.. 46 V.
... US
11 .
... 22
... 78
... 33 ',
... 34'.
... 30',
.. 1;1',
... 37'.
... 20
... 13
... 13
... 48
... S2' j
... 37
... 40
... 43
... 24
... 73
... 32
... 54
... 40
.8
Sun Mlnea
Texas Co
Texas Gulf Sulfur
Texaa Pacific Land Trust .
Thlokol
Trans America
Trana World Air
Trl Continental
Union Carbide
Union Pacific
United Airlines
U.S. Plywood
U.S. Rubber
U.S. Steel ...
West Bank Corp
Westinghouse
Youngstown
.. 8
.. S
.. 13
.. 17
.. 28
.. 42
.. 11
.. 41
..103
.. 33
.. 32
.. 47
.. 41',
.. 40',
.. 30
. 33
.. 6d
Losses Faced
In Hanna Deal
Washington -IUPU- The Gen
eral Services administration
reported today that the gov
ernment faces a loss of at
least $6,317,000 on its nickel
stockpiling contracts with the
Hanna Mining Co., once head
ed by former Treasury George
M. Humphrey,
GSA Administrator Bern
ard L. Boutin said the govern
ment presently had $62,244,
000 invested in the Hanna
nickel deal.
He said in a letter to the
Senate stockpiling subcommit
tee th -t at present market
prices the nickel sold to the
government by Hanna would
bring only $5,927,000.
Boutin said he doubted the
government could even get
this much money back be
cause if it started to dump the
nickel the market would drop.
The Boutin letter represent
ed the latest round in an ac
countants' argument between
the government and Hanna
over the controversial nickel
deal.
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It's the only coffee maker that
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Fact-Finders
To Study Issues
At JFK's Request
Burbank, Calif. - (UPC - Ma
chinists union pickets contin
ued to parade in front of the
struck Lockheed Aircraft
Corp. today as federal authori
ties speeded injuction proceed
ings following President Ken
n e d y ' i activation of Taft
Hartley Law machinery.
Three fact -finders named
by the President were expect
ed to meet here Friday in an
effort to determine what is
sues are involved in the dis
pute. Union and company repre
sentatives were in disagree
ment over Kennedy's action
in invoking the Taft-Hartley
Law in the aerospace strike.
The machinists called the
walkout after Lockheed re
fused to accept union demands
for a vote on the union ship
issue. The company said such
a vote could force 14,000
workers into the union
against their will,
"We don't fear an election
on the union shop issue,"
Lockheed Vice President John
Canaday said, "but if we sac
rifice a principle we no long
er have a basis on which to
stand."
A spokesman for the Inter
national Association of Ma
chinists (IAM) said Wednes
day following the announce
ment that the President
would invoke the Taft-Hartley
law, "we would have
much preferred to slug it out
with the company without the
government's interference."
Tom McNctt, president of
IAM District 727, said, "if
there had to be government
interference, we would have
much preferred seizure."
However, Court landt S.
Gross, chairman of the board
of Lockheed, said, "we feel
the President has acted in the
best interests of all concerned.
We hope this means we can
arrive at an agreement."
President Kennedy acted to
invoke the Taft-Hartley Act
Wednesday the first day of
the strike - saying continu
ance of the waikout "would
Imperil the national health
and safety."
White House Press Secre
tary Pierre Salinger said the
President acted under a find
ing that the strike "affects a
substantial part of the ballis
tic missile, space vehicle and ;
military aircraft Industry."
Names Special Board I
The President named a spe
cial board to study the strike.
Under Taft-Hartley law
provisions, the President is i
empowered to halt the strike i
for an 80-day cooling off !
period if the board of inquiry j
ruled that such action was
warranted.
Labor Secretary W. Willard
Wirtz expressed hope Wednes
day the IAM would refrain i
from picketing at Cape Cana
veral and Vandcnburg Air
Force base while the board
studies the dispute. j
Wirtz said he had "no pres
ent plans for taking part in
the proceedings," but added, ;
"I hope very much that union
picketing at Vandcnburg and
Canaveral can be called off
while the board of inquiry is
holding its hearings."
Some Workers Report
IAM officials estimated that
the walkout had caused a "94
per cent shutdown of produc
tion." Company spokes men
said it was still too early to
tell the full effects, but that
10 to 48 per cent of its 24.000
workers in its California di
vision were showing up for
work, and 77 per cent of the
34.000 employes in the missile
and space division were re
porting. Lockheed public relations
Director Jon Riffcl said, "pro
duction has been curtailed,
but not to a significant de
gree. We're going to meet our
production schedules."
Lockheed is one of the
country's biggest defense con
tractors. Among other things,
it builds the Polaris missile
and several types of military
aircraft. It also handled sev
eral projects crucial to the
nations space program, in
cluding the Agena upper stage
for the Ranger moon probe.
The company hs refused to
accept the union's demand for
compulsory union member
ship and has declined to grant
an employe vote on the issue.
Company spokesman said the
union ship could force 14.000
workers to either join the
IAM or lose their jobs.
American Vessels Expected
To Meet Foreign Ship Rates
Washington tUPU A spokes
man for the U.S. Tramp Ship
owners association expressed
belief Tuesday that American
flag vessels would meet rates
offered by foreign shipowners
for carrying lumber from the
Pacific Northwest to Puerto
Rico.
Richard W. Kurrus, associ
ation attorney, appeared be
fore a Federal Maritime Hear
ing concerning an application
by the Georgia-Pacific Corp.
to use foreign vessels.
But Kurrus, who joined
spokesmen for other U.S. ship
owners in opposing the Geor
gia Pacific application, de
clined to state any specific
cargo rate.
William S. Schlauch, man
ager of the Georgia-Pacific
export department in Port
land, Ore., said he was confi
dent that foreign ships would
carry the lumber at $40, or
less, per 1,000 board feet-com
pared with U.S. rates estimat
ed to range from about $51 to
$57.
The company seeks to use
the low-cost foreign cargo
vessels to ship lumber from
ports on the Columbia river,
Puget Sound, Coos Bay, Ore.,
and Grays Harbor, Wash.
SHIP IT LASME
to or from Oakland. San Franr
cisco. Los Angeles end other
California points.
Call
Jack
Fitzgeraldl
773-7761 essi
Regional Edition
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Tribune
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