PRESIDENT ACTS

Otago Daily Times, Issue 26769, 12 May 1948, Page 5

PRESIDENT ACTS

AMERICAN RAILWAYS SEIZED MEASURE AGAINST STRIKE THREAT N.Z.P.A.—Copyright WASHINGTON, May 10. President Truman to-day seized the United States railways to avert a “ nation-wide tragedy with world-wide repercussions," which he said would result from the threatened strike. President Truman's order placed all railwaymen under the orders of himself or the Secretary of the Army, Mr Kenneth Royall. The President called on every railway worker to co-oper-ate. with the Government by remaining on duty. , , The seizure action was taken in tne hope that the unions would not strike against the Government. There is no early indication whether the unions will respond to the President’s appeal or strike to-morrow morning as ihreatThe decision to seize the railroads was reached after almost continuous conferences since Friday failed to break the deadlock between the unions and the companies over wages and operating rules. The President’s order stipulated that existing wages and conditions shall be continued at present. _ The Presidential Fact-finding Board has recommended a 15J cents an hour increase as a settlement of the wages part of the dispute. The railway companies and 18 railway unions accepted the recommendation, but engineers, shunters and firemen, who are holding out for a 30-cent increase an hour, refused it. , The Government seizure would make the railway workers Federal employees, and the Government could then seek a court order to stop the 190,000 engineers, firemen, and switchmen w.alking out. The Federal Court has already upheld the. Government's right to obtain an injunction when Federal employees strike or threaten to strike.