MANAGEMENT: G.M.'s New Pattern

General Motors, which set a new pattern for labor and management five years ago by tying wages to the cost of living, last week modernized the pattern. It agreed to a request by the C.I.O.'s United Auto Workers that the bulk of the cost-of-living increases be incorporated in base pay rates. Thus, of the 24¢ in cost-of-living increases granted since 1950, 19¢ will become a permanent pay increase.

Though the G.M.-U.A.W. contract (renewed in 1950) still has two years to run, and the union had no legal means of forcing its reopening, G.M. agreed to do so on the union's plea...

Want the full story?

Subscribe Now

Subscribe
Subscribe

Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!