The President's Board, in its report recommended that railways withdraw and cancel their wage cut notices.
Five main reasons were listed for ihe recommendation, 1. Railway labour wages are not high compared with other comparable industries.
2. A horizontal reduction on a national scale would not meet the railway's financial emergency since the savings would not be distributed merely to the needy roads.
3. A reduction would run counter to the trend of wage rates in industry generally.
4. Financial distress of the railways since October, 1937, when the last wage cut was granted, is as yet only a short-term situation, as a result of which there is no ground for a reduction.
5. In the light of these finding, the Board concludes that the proposal for a wage reduction should not be pressed.
President Roosevelt made no comment on the report when it was released. The White House, however, immediately announced that the President would confer with employer and employee representatives on Monday.—United Press.
Three-Month Battle for
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