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V •£! Tht Barnwell People-Scutlnel. Barnwell. S. Thursday, July 4, 1935 THIS, WEEK Wealth Is Wage* Most Constant Market Wages and Prosperity - * . Long Wants Chunks The American Cotton Manufactur in' association, at Charlotte, N. C„ ' promises not to re duce wages or in crease hours, an ex cellent pledge, as Important to the employing, prosper ous class as to workers. This was well put by W. J. Cameron, speaking for Henry Ford, an nouncing restora tion of the six dol lars a day minimum wage, which will cost Henry Ford $2,000,000 a month I Artker Said Mr. Cameron: i, “The finest possible method of dis tributing the nation's goods Is through wages. They represent work done and useful wealth created; they never drain or tax the country—they add substance and strength. . . . “It is Impossible to exaggerate the dependence of the country upon wages earned and paid, or the happy effect of a return of wages after a period of (decline. . . . The expenditures of the rich cannot-support any basic business In this country; for In the first place we have very few people who can be called rich; and In the second place, neither their needs nor their buying power is sufficient to support even a medium-sized Industry of any sort. u Th9 largest, most varied and most constant market in the world is the wage- earning American people. They handle the hulk of the money; it is their needs and standards that keep the wheels turn ing. If they can’t buy it doesn’t matter who else can or does and their buying power is wages." H “ Events the World Over President Offers Higher Tax and Wealth Reduction Pro gram—Social Security and Wagner-Connery OENATOIt JAMES COUZENS of ^ Michigan has given to the federal government $550,000 to finance a 1,000-acre residence colony for part time Industrial workers In the Detroit area. A tract has been purchased nine miles south and west of Pontiac. The project win be controlled by a non profit corporation and Senator Couzens will have nothing to do with its man- agreement Labor Bills Passed^ V By EDWARD W. PICKARD r C We*t*rn Newspaper Union. Business men who think wealth can be taken out of the wages of working men, should read those words In italics, carefully, and they should be read by any workers that have listened to dema gogues telling them, “Take It away from the rich. That Is the way to be" happy.” There are not enough “rich" to go around, but with full production, lull consumption, good wages and rea sonable leisure, affording time to spend and enjoy the good wages, American prosperity for all that has grown stead ily In the past would continue to grow. Have wages and prosperity In creased? They have. First, a President of the United States once complained, publicly and without rebuke, that you could not hire a good worker (tn this country for jess than $100 a yr^r, about 80 cents a day. y Second, McMasters, the historian, tells you that Tn the early days only one American mechanic, a New Eng land carpenter, could earn as much as one dollar a day. F Third, In 1014, when the automobile Industry was young, Henry Ford’s minimum wage. was $2.34 a day. It was In January, 1914, that the new minimum was changed to $5 a day. l> The senate rejects Senator Long's proposition to spend five thousand million dollars a year benevolently, and raise the money by taking “chunks" out of large fortunes. This process, the senator’s “share- the-weatth* Idea, might last a little while, but after the large fortunes were all gone the “share-the-wealth" gentle men might begin taking “chunks” out of each other. Sen. Wagner t J. Pierpont Morgan of New York, who sold valuable pictures here, and sold them well, proving business abil ity, In London Is selling costly mini atures. Some ask why Mr. Morgan, who Is prosperous, sells works of art that cannot be replaced. The reply might properly be “That is my business.” Perhaps he sees ahead conditions In which “real money" will be better than miniatures. Telegram, dated Washington, from Congressman P. L. Gassaway. Try to be as cheerful as he is: “Just returned from trip through Kansas, Oklahoma and Texas. Crops are gddd out there. Prosperity Is cer tain. Couldn't get breakfast in rail road restaurant on account of crowd." Lloyd George says: “Signor Mus solini Is bent upon the conquest of Abyssinia. Lust Is in his eye and It makes his speech wild and Inco herent He resents all Interference from outside with furious anger." Mussolini’s speech may have been “wild and Incoherent," but there was common sense In It when he reminded the British that they didn't Invite or listen to criticism while they were building .up their empire. Jackie Haul, a New York boy, five years old, thought kidnaped, is found in the East river, drowned, by acci dent, undoubtedly. Aftdr dreadful anxiety, to know the truth brings relief to the parents. The •ad death of this child shows how filth and a belief in the hereafter console human beings. Faith that their child la happy in another world, and has been happy and safe ever since they first missed him, makes their grief bearabln, 1 • Iradleau, lac « WNU SsrvlM, S PURRED on by the White House, the house, after a hot debate, passed the Wagner-Connery labor dis putes bill by acclamation, and Presi dent William Green of the American Federa tion of Labor hailed It as a “umgna charta of labor." As Is well known, the federation Is the chief beneficiary of the measure, and Green and other labor union leaders had worked unceasingly for its passage. Opponents of this hill, Including consti- tlonal authorities In both parties, have asserted repea ted ly_that It Is uncon stltutlonaL and It is most probable that It will be carried to the Supreme court for an early test Every attempt to give the employer an even break with labor was voted down, but the house did accept an amendment making the new labor board an independent agency instead of a part of the Department of Labor as Secretary Perkins had demanded. As passed by the house, the Wagner- Connery bill provides: 1. For the setting up of a permanent labor relations board of three mem bers, appointed by the President, as ah 'Independent agency. The board, or Its agencies or agents. Is authorized to supervise elections, conduct hearings, and Issue cease and desist orders for "unfair labor practices," which are en forceable by the courts. 2. That representative^ selected by a majority of a unit of employees for the purpose of collective bargaining shall have the exclusive right to nego tiate with the employer. The board may determine the appropriate unit for collective bargaining, whether by plant or craft, etc. 3. That It Is an unfair labor prac tice for employers to restrain, coerce, or Interfere with employees In^their organization for collective bargaining. 4. That It Is an unfair labor prac tice for employers to “dominate" or contribute financially to any labor or ganization. 5. That It Is an unfair labor prac^ tice to encourage or discourage mem bership In any labor organization for the purpose of making closed shop agreements. ^ “fine TTne bT tS.tWB dr prison for anyone a year In Interfering with agents of the board, such as refusing to permit, access to books and records. E VEN Huey Long cheered when Pres ident Roosevelt’s unexpected mes sage on redistribution of wealth and Increase of taxation for the rich was read to congress. The Chief Executive offered a program that he hopes will pay part of the vast expenses of the New Deal and at the same time break up some huge fortunes and check the growth of big corporations. He doesn’t expect congress to do the entire job at this session, and the administration leaders at once set about stopping the radicals who wanted Immediate enact ment The President’s taxation plan Is frankly ahnCHT' against the wealthy, especially the men with'mllllon-dollar Incomes. Of these there were 46 In 1933. The following legislation be recom mended for enactment during the pres ent session In order to obtain ample revenue without hampering enterprise and to distribute tag burdens equi tably: k l. High Inheritance and gift taxes on “all very large amounts received by any one legatee or beneficiary." Seg regation of this revenue for reduction of the national debt 2. Tax levies to restrict “very great Individual net incomes."' 3. Substitution of a graduated cor poration tax ranging from 10% to 16% per cent for the existing 13% per cent rate. For consideration at the next ses sion of congress the-* President pro posed : 1. Elimination “of unnecessary hold ing companies in all lines of business," by discriminatory taxation. 2. Discouragement of “unwieldy and unnecessary corporate surpluses." 3. An amendment of the Constitu tion to abolish tax exempt securities by authorizing the federal government to tax subsequently issued state and local obligations and state and local governments to tax federal securities. Treasury officials estimated that about one billion dollars could be ex pected ultimately from the tax plan submitted. Chairman boughton of the house ways and means committee promptly called that body together to consider the proposals.- - , 1 1 -J W ITH only six senators voting In the negative, the senate passed the tremendously Important social se curity bill that already had gone through the bouse. During the five days of debate a number of'members, Democrats and Republicans like, had argued earnestly that this measure never would stand up In the Supreme court, but when their names were cftUed nearly every one of them voted for it The only consistent ones were ed children. 10. An annual appropriation of $1,- 938,000 to be apportioned among the states for vocational rehabilitation. 11. An annual appropriation of. $8. ' 000,096 to be apportioned among the states for public health services. 12: Grants In aid to states on an equal matching basis for assistance to the blind. An annual appropriation of $3,000,000 Is authorized. 13. A social security board of three members In the Department of-Labor, to be appointed by the President, each member receiving $10,000 a.year. G REAT BRITAIN’S realistic govern ment finds the best path toward general peace In Europe Is conciliation of Germany, so It has yielded to Hit-,. ler’s naval demands and concluded a bilateral pact with the relch, disre garding entirely the desires and fears of France. The agreement acknowl edges Germany’s right to build a fleet up to 35 per cent of the tonnage of the British empire, and, what la more important, permits Germany 45 ^jer cent; and in certain circumstances, parity with the empire In subma rine tonnage. Submarines were forbid den to Germany by the treaty of Ver sailles. E Moore of New Jersey, Democrat, and Hastings of Delaware, Hale of Maine, Metcalf of Rhode lsland, Austin of Ver mont and Townsend of Delaware, Re publicans. This social security meas ure will affect about 30,000,000 bene ficiaries In the Immediate future and by 1900, u la estimated, will cost the "federal government more than $3,000,- 000,000 a year. These are Its main features: 1. An appropriation -of $98,491,000 for the fiscal year 1936, Including $49,- 750.000 for grants In aid to states for old age assistance. In addition there are authorized annual appropriations for the old age reserve fund, graduat ed from $255,000,000 In 1937 to $2,180,- OOO.miO in 1980. 2. Income tax on employees and ex cise rax on employers, for old age benefits, beginning In each case at 1 per cent of the pay roll in 1937 and reaching the maximum of 3 per cent In 1949. In addition there Is a pay roll tax on employers for unemployment insurance, beginning at 1 per cent In 1936, Increasing to 2 per cent In 1937, and to 3 per cent, the maximum, in 1938. 3. Grants In aid to states on a match ing basis for assistance to persons six ty-five or older, the goveriynerTt’S con- trlbutlon not to exceed $15 per month. 4. Old age benefits after January 1, 1942, ranging from $10 to $85 per month, depending upon the total amount of wages earned after Decem ber 1, 1936. and before reaching sixty- five years of age. 5. A 90 per cent credit to employers for taxes paid Into state unemploy ment Insurance funds, the other^lO per cent to be apportioned among the states for administration of their un employment insurance laws. 6. Grants in aid to states for aid to dependent children, tlie federal gov ernment putting up $1 to the state’s $2. An appropriation of $24,750,000 Is authorized for the fiscal year 1936. 7. Grants In aid* to fetates on an equal matching basis for maternal and child health services. An annual ap propriation of $3,800,000 is authorized. 8. Grants In aid to states on an equal-matching basis for the care of crippled children. An annual appro priation of $2,850,000 is authorized. 9. ~ An annual appropriation of $1,- 500,000 through the children’s bureau for. aiding state public welfare ageh elos In the care of tHwneless fTORTY prisoners In the Kansas penl- ” tentiary at Lansing staged a spec tacular-revolt against what they said was poor food, and .refused to come out of the jnrlson'.coal mine until their demands were granted. They built fires to keep the guards away from the shaft, but the smoke from these was turned backward and the mutineer's tamely surrendered. Berry P OOR old NRA, now Just a thing of skin and bones, has a new set of managers. President Roosevelt issued an executive order extending the emaci ated affair until April 1 next. In accordance wlth v - the resolution adopted by congress. an<L then announced that James L O’Neill, vice president of the Guarantee Trust com pany of New York, would serve as admin istrator. Assisting the banker In the effort to persuade the public, business men and la bor to abide voluntarily by the codes no longer enforceable, and In the as sembling of statistics, are Leon C. Marshall, director of the division of review; Prentiss L. Coonley, director of the division of business co-opera tion, and George L. Berry, assistant to the administrator, representing" la bor. Mr. Berry, who has been serving Sk~a code administrator. Is president of the International Pressmen's union and was once a candidate for nomina tion for Vice President of the United States. O’Neill, Marshall and Coonley were made directly responsible to the Pres ident An advisory council of six members was named to help them. On this council are Charles Edison and Howell Cheney for Industry ; William Green, president of the American Fed eration of Labor, and Philip Murray, vice president of the United Mine Workers, for labor, and Emily Newell Blair and Walton H. Hamilton for consumers^ A FTER three bloody riots In Oma ha’s street car strike. In which one man was killed and nearly two hundred were, injured. Gov. R. L. Cochran of Nebraska took charge of the situation State troops were called out ..to preserve the public peace and the governor, meeting with representatives of the traction com pany, the central labor union and the strikers, ordered that tl^e dispute be WING Y. MITCHELL, whom Pres ident Roosevelt ousted from the position of assistant secretary of com merce because he could not work In harmony with Secre tary Roper, retaliated with public charges that “special Inter ests”, dominate the Commerce department. He cited especially a government contract with the United States lines for the perma nent lay-up of the steamship Leviathan, E. V. Mitchell asserting that It was against the public in terest and that "those interested tn the company, including P. A. S. Frank lin, John M. Franklin, Vincent Astor and Kermit Roosevelt” stood to bene fit by It He also severely criticized the bureau of air commerce and the steatpship Inspection service. < No one in the administration seemed disturbed by Mr. Mitchell’s outbreak, but the senate committee on commerce at onch summoned him to explain and expand his charges. Mr. Mitchell turned out to be an excitable gentle man, prone to jump to conclusions and to voice his opinions rather than facts. He talked a lot about inefficiency, “sinks ,of corruption," "favoritism and graft" and such things, but he didn’t tell the committee much that It didn’t already know. He asserted the United States lines, a subsidiary of the Inter national Mercantile marine, had re ceived a “gift", of $1,721,000 throogh the retirement of the Leviathan. • \ imedlatet Illinois National Guardsmen were sent to Freeport when strikers at the Stover Manufacturing\ plant had fought with deputy sheriffs. Gov. Hen ry Horner Intervened and a basis was reached for settling the strike, which had been In force since May 7. The men were granted a wage increase at least until September 1 next President Roosevelt succeeded In averting the threatened strike of bl-% luminous coal miners. Both the oper ators aad tho United Mine Workers agreed-to a truce until June 30, b^ fore which time It is hoped a new wage scale can be formulated and accepted. Gen. Foulois S ecretary of war dern ex onerated Maj. Gen. Benjamin D. Foulois of blame for the army air-mail fiasco and merely directed that be be reprimanded for mak ing “inexact unfair and misleading" state ments to 'the house, military affairs com mittee. This didn’t suit certain members of the committee who Insist the general should be removed from his command of the army air corps Representatives Wil liam H. Rogers of New Hampshire and Lister Hill of Alabama said they would carry the matter to the floor of the house and there re view the evidence the committee took. In holding that Foulois- should re ceive more drastic punishment than a reprimand^ Representative Rogers' made public a letter from Secretary Dern to the committee. The letter followed an official War department statement clearing Foulois. whose friends Insisted he was being made a scapegoat for the administration air mail blunder. “It is affirmatively established," Dern’s letter read, “that General Foulois violated the ethics and stand ards of military service In making statements before your committee which not only were unfair and mis^ leading to the committee Itself but which also reflected upon the Integrity of his brother officers." P RESIDENT CARDENAS of Mexico appeared to have come victorious out of a crisis that was precipitated by Plutarco Elias Calles, who was’* op posing Cardenas' economic policies. The young president forced his entire cabinet to resign and formed another that would support him wholehearted- Ij- The Mexican City Catholics, who are pretty much suppressed, took advan tage of the presence tn the capital of thousands of Rotarlans attending their International convention, and held a monster parade with speeches calling for religious liberty. e 0 National Topics Interpreted by William Bruckart National Press Building Washlngton. D. C^ Washington. — President Roosevelt appears to be facing a considerable Trouble for Roosevelt amount of trouble as his plans move for ward for administra tion of the $5,000,- 000,000 works-relief fund. The diffi culties confronting the President are of two kinds, each likely to prove em barrassing. At this writing it is im possible to forecast what v tl»e end will be but the circumstances of the situa tion that has been brewing some weeks seem to warrant a recital of the facts. It will be remembered that during the v long drawn out congressional fight preceding passage of the $5,000,000,000 appropriation there were numerous open accusations and many more mum blings underneath that the fund would be used by the administration to some extent at least for political purposes. Most observers thought at that time that the accusations were simply rep resentative of a boiling political pot. It was felt also that opponents of the President were fomenting discontent and defections In his ranks in order to establish a record for later political campaigning. Now, however, a different aspect ap pears. The patronage question has bohbed up. It is coupled with com plaints in many states against federal encroachment upon states' rights. So, it Is "made to appear that Mr. Roosevelt Is faced with a determined element which is battling against his policies not so much because he Is a New Dealer as because they believe federal power has been extended to a new boundary and this breeds a fear of fur ther subordination and subjugation of state authorities. The recent meeting of the governbrs’ conference at Biloxi, Miss., constitutes ample proof, if fur ther evidence be needed, of the up rising out in the states against en croachment on state affairs by the Washington administration. ' History records numerous instances where here tofore the Washington government has sought to extend the scope of its power In one way or another, usually In minor matters. In ‘every instance this move has been met by'a solid phalanx of state officials and state leaders who have promptly put the federal government back in Its con stitutional place. As far as recearch discloses, however, the Biloxi govern ors’ conference Is the first Instance In which the chief executives of states have come out so openly with their declarations that the federal govern- direct the spending, and his promises are regarded as having saved the day. Whence new set-up was announced, however, Mr. Ickes was found to be a part of It. It is true that theoretically his position Is of less consequence than that oLRelief Administrator Hopkins and that he is also subordinate In s way to Frank C. Walker, who was brought in as a new co-ordinating ele ment. As the progranx develops Mr. Hopkins appears more and more to be the big shot. His influence pre dominates. It must be added, how ever. that his policies and those enu merated by Mr. Ickes are not In ac cord. The divergence of views between Mr. Hopkins and Mr. Ickes was shownVln illuminating fashion the other day when these two officials held press conferences on the same day. Mr. Ickes, who believes the admin istration never has made a real try “pump priming" by use of. its public works program, argued the impossi bility of conducting real public works on any 'substantial scale under the present Roosevelt program of spend ing. Mr. Hopkins, on the other hand, discoursed at length y on his favorite theme, the necessity of planning projects from the standpoint of poten tials In providing employment • The Hopkins policy takes no account of the question of permanence of the projects. It contemplates only the factors In volved In getting Immediate work. Mr. Ickes takes the position that recovery cannot be gained unless public works projects serve not only to give Jobs but to Induce other lines of businesses to commence operation. Mr. Hopkins points to previous experiences in the present administration with these attempts at priming the pump and causing related Jobs to prosper, while Mr. Ickes Infer- entially, at least, holds that it is bet ter to continue trying to prime the pijnap- than to-glve up the job or use- tfie money in the Hopkins fashion. While this little difference of opinion between the-two high ranking officials may not seem important, the consensus Is that It has had the effect of slowing up the work of spending the vast sum of money. Most folks believe It will take much longer than a year In which to spend the $5,000,000,000 anyway so that any additional delay puts further back the ultimate consummation of the works relief program. ' There Is another element of this situation deserving of consideration. It U Mr. Hopkins who is picking V ffieht had gone too far.’ The Biloxi i> res jdent’s representatives In the varl- Political Phase pronouncements take on added sig nificance as well through the fact that leaders who were the most critical of President RooseveTt In that meeting were governors of traditionally Demo cratic states. • • • The other phase of the. difficulties faced by Mr. Roosevelt links possibly more directly w+tir the politics In the situation than does that which I hare just discussed. While the states’ rights question and the potentialities of a further subordination of state au thorities to the will of the federal gov ernment ties Jn directly with the President's expressed desire for con stitutional revision,' the second factor carries possibilities pt Important po litical defections In the ranks of the Democratic party. * - Again, the governors’ conference gives a clue. State officials must main tain their own political organisations. Unless they do so they sink quickly Into oblivion. During the last fifteen years the office of governor In a good many states has been looked upon as a stepping stone to the senate or to the Presidency. Consequently, unless the governor who has political ambi tions holds his own Hues fast his chances are gone. Since the federal government has so much money to spend In each one of the states it be comes obvious that the governors look with longing eyes at the cash. If they control the expenditure they wield an enormous power. The trouble is un der Mr. Roosevelt’s policies the gov- ernors in most states are not being "allowed a voice In this expenditure. Aubrey Williams, assistant emer gency relief administrator here, let the cat out of the bag In his speech to the governors at Biloxi. Few plain er words could have been chosen than were used by Mr. Williams in Impart ing to the governors’ conference the Information that Relief Administrator Hopkins and Works. Administrator Ickes were going to pick their own men in most, if not -all, states. Nat urally. the governors began to wonder what was left for them. When they discovered they were holding an empty bag containing no checks which they can sign, their wrath knew no bounds. • * * And there are further complications In the works relief spending program. It will 'be recalled Other that a good many Difficulties «enators and repre sentatives did „ not conceal their antagonism for Secretary Ickes while the $5,000,000,000 bill was before them. Indeed, some of them laid down an Irrevocable position demand ing that Mr. Ickes, public works ad ministrator under the old order, should have nothing to do with the new fund, whereupon the President-soothed their hfirts by saying that he himself would ous states where the federal govern ment has taken over the management of relief expenditures. Mr. Hopkins is not a politician, has neve/ had ex perience in that- field and gives every appearance of being wholly uncon cerned about political advices. The re sult naturally is that Mr. Roosevelt Is being “placed on the spot" in a num-" ber of Instances through Mr. Hopkins’ appointments: .Political observers are watching these developments closely because- they see In them the germs of bitter political enmity that may not serve Mrr Roosevelt so well In the next elec- tlom ' ~ ■ ‘ • a a —- The sleepy Republicans show signs of arousing. The administration has . been trying to ig- Republicans nore the Springfield Aw akin* conference of “Grass Roots" Republicans and has succeeded except for Spokes man Farley. Mr. Farley, as head of the Democratic national committee and postmaster general and political patron-- age dispenser, had to shoot back In his characteristic fashion. Other than his outburst, silent treatment has been the medicine prescribed respecting the Republican uprising. If Roosevelt kept his radio fumed on while the Springfield meeting of Republicans was In session, he must liave harkened back,to a similar circumstance Involving his - predecessor, Herbert Hoover. Political writers In Washington and a good many of the franker politicians could not resist drawing a parallel on the Springfield meeting and'the strafing which the Democrats gave Mr. Hoover. Of course, every one knew then that Mr. Hoover was too thin-skinned politically to stand up under such machine gun fire. Few of us expected that Mr. - Roosevelt had the same characteristic because he had been under political gun fire much more than Mr. Hoover. Notwithstanding White House silence on the Springfield meeting, however, the word leaks out that the President has been much irked. If not disgusted, by the attack on fundamentals ef the' New Deal. It will be remembered that for the first time the Republican oppo sition singled out what the v opponents believe to be eighteen vulnerable spots In the New Deal program. Here* in Washington observers are watching closely to discover how tha President Intends to offset the Repub lican criticism. If and when he .fights back, It Is believed his general tactics) plan for 1936 will be disclosed. Re publicans also are watching. There are to be more of these so-called “Grass Roots" conferences and 4f by any chance the President tips his hand before these other meetings are held, Insiders among the Republicans insist they are prepared to take full advan tage of the disclosures. • WeaUra Newspaper UilMk >