United Automobile Worker

WPB Finds GM Misused Scarce Steel

The War Production Board on April 29th found General Motors Corporation guilty of using critical war materials to make replacement parts, in violation of WPB regulations.

The action came on charges filed two months ago by Victor G. Reuther, as assistant coordinator of the defense employment division of the UAW-CIO.

The WPB declared that the Ternstedt Manufacturing Division of General Motors used considerable quantities of scarce chrome steel and aluminum in the manufacture of "bright work," decorative moldings, radiator grills and other body hardware for automobiles, in direct violation of regulations.

A suspension order issued by WPB from manufacturing any replacement parts for passenger cars, trucks, trailers or buses for a period of three months, except functional replacement parts necessary to keep vehicles on the road.

The order declared that Ternstedt used 10,259 pounds of chrome steel—a hard metal highly important to armament production—in the production of decorative moldings between Jan. 7 and March 9 of this year.

The company used 9,239 pounds of primary aluminum and 11,492 pounds of secondary aluminum between Jan. 24 and March 13 in production of the radiator grills and hardware, WPB found.

While the WPB decision was approved by the union, Reuther pointed out that was "a slap on the wrist" and one that would punish the worker, who would be laid off, as well as the corporation.

In resentment against the UAW-CIO, GMC subsequently announced that it was "confused" by the WPB order that it would therefore cease making service parts of any kind. As a result several thousand workers were laid off.

This step was denounced by Walter P. Reuther, as director of the union's GM department, a punitive step taken to punish workers who exposed the corporation's misuse of critical materials.