**Source:** Naugatuck
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NAUGATUCK — The chair- per cent for the first year, 2.2 maximum payment of $50 to 75 man and president of Uniroyal per cent the second and 2.2 per cent of average pay with no Inc. reported in a letter to per cent the third year. This offer maximums for all employees on stockholders this weekend that has also been rejected by the regular layoff, plus other provi- the impact of the 81-day strike union. sions. The company contribu- on earnings and income is se- tions to the supplemental unem- vere. Contract Proposals ployment fund would be in- George R. Vila, chairman and Specific proposals include the creased from five cents to six vice president, said that the “im- following: — in tire plants, an cents per hour. pact on earnings is severe be- increase of 16 cents per hour in The fund increased from $250 to $350 cause costs in the striking 1967, 11 cents in 1968 and 11 per employee. plants continue without the pro- cents in 1969. In non-tire A 60 per cent increase in reg- duction necessary to offset plants, an increase of 13 cents ular pensions from $3.25 to them. As a consequence, net followed by two yearly in- $5.25 per month per year of income for the second quarter creases of 5 cents. service was included. A 60 per will be sharply lower than the Skilled trades — 10 cent in- cent increase in disability pen- $1.06 a common share in 1966,” creases in addition to the above sions from $6.50 to $10.50 per Raymond Menegacci, execu- increases, in 1967; vacation pay month per year of service, and tive vice president of URW, said for two weeks pay for employes an increase of $1.50 per month today that the letter read and was with one year of seniority and for those who were retired af- not sur- three weeks vacation pay for ter July 1, 1950. prised at its content. five years. The present provi- Other increases included He said that the letter was sion of four weeks pay after 15 those affecting life insurance, almost the same as forwarded years and five weeks after 25 hospitalization, X-ray and ra- to the striking employes of the years would continue. diation therapy, visiting nurse, Footwear Division in May. He There would also be supple- surgical payments and sickness also said that it contained the mental unemployment benefits and accident benefits.original offer made by the com- increased from 65 per cent of pany to URW and to his know- average pay (plus up to $2 for Union Warns Strike May Spread ledge the offer has not been up to four dependents, with a AKRON, Ohio (UPI) — Nego- union policy committee “would changed since the day of the 60 per cent of average pay for tiations were to resume today initiate a new course of action” strikers are also share holders more dependents). in the 80-day old rubber indus- if no settlement was reached of Uniroyal under a co-opera- try strike with a warning from soon. tive stock plan. a union official here that the The 19 plants idle due to the walkout could spread. Work at Goodyear has con- strike represent about 50 per John Nardella, president of tinued on a day to day basis cent of the employes and over Local 2, United Rubber Work- since April 20 when the Good- 70 per cent of sales in the Unit- ers, said a “strong possibility” year Tire & Rubber Co., Uni- ed States, Vila said. existed a strike deadline would royal, and the B.F. Goodrich “When the strike was called, be called in negotiations with Co. were struck. General Tire & Rubber was the company had sizeable in- the Goodyear Tire & Rubber Co. struck June 21. ventories in many product lines Other union sources indicated A strike against Goodyear which helped to cushion the im- the deadline might be midnight would idle some 21,000 men at pact on sales,” he explained. Wednesday. 11 plants in addition to the 54,- Negotiations with the union Nardella said Goodyear nego- 000 men already on strike started March 21 with initial tiators had indicated the com- across the nation. union demands for wage in- pany was ready to make a creases and employee benefits move on its offer, but had not of more than $1.40 per hour for yet done so. a two-year period, exclusive of Nardella gave a detailed re- pensions and insurance. Vila port Sunday to the Local 2 told the stockholders. membership on progress in “Several days before the contract negotiations. He said strike deadline of April 20, the the company offered a proposal on wages and benefits which totaled 28 cents per hour for a two-year period,” he said. The company estimated that a new pension and insurance agreement to be negotiated in September would add between 20 and 25 cents per hour. The total increased cost would be about 50 cents per hour over a two- year period. The union rejected the offer prior to the deadline. The company proposed that the employes continue to work while negotiations proceeded. However, this was also rejected. The company offered on June 5 a three-year contract covering 12 principal points. It totals ap- proximately 72 cents per hour including pensions and insur- ance, the chairman said. “It involves increase of 10.5 per cent for the first year, 2.2 per cent for the second and 2.2 per cent the third year. This offer has also been rejected by the union. “Several days before the strike deadline of April 20, the company offered a proposal on wages and benefits which totaled 28 cents per hour for a two-year period,” he said. The company estimated that a new pension and insurance agreement to be negotiated in September would add between 20 and 25 cents per hour. The total increased cost would be about 50 cents per hour over a two- year period. The union rejected the offer prior to the deadline. The company proposed that the employes continue to work while negotiations proceeded. However, this was also rejected.