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Biggest question posed by the ukase was: how will it affect the fight on inflation? Economic Stabilizer James F. Byrnes stoutly maintained it was not inflationary although it means a 30% increase in wages for all now on a 40-hour week. But Jimmy unquestionably had his tongue in his cheek.
Plain fact was that institution of the new work week was the first move in Jimmy Byrnes's fight to stem the whole inflation tide. Same day the order was announced, WLB turned down the request of 180,000 meat packers for a wage increase. It was clear that the Administration has now definitely decided to stick by the Little Steel formula, come hell or high water. The new work week, with its overtime pay, was an effort to make all future wage demands appear unpatriotically selfish.
But it was a sop to labor, nevertheless, and would force the Administration to yield on other fronts in the inflation battle. Already the farm bloc, waiting to capitalize on any gain for labor, was girding for new demands to crack farm price ceilings. That will be the next problem for Jimmy Byrnes, who apparently has chosen to fight the battle against inflation with political compromises. It will be a tough one, perhaps tougher than labor's demands. Jimmy Byrnes had decided to fight the clamor for higher farm prices with farm subsidies; this week a House subcommittee turned that plan down. In the light of this, the 48-hour-week was just the last stopgap compromise before the next one.
