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Coal Strike
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4520465
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Coal Strike
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Philip W. Buchen Files
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The original documents are located in Box 6, folder "Coal Strike" of the Philip Buchen
Files at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
1
fack
00 Usery.
has decided
he doesn't
want to
issue a
until statement Monday
But if it
gets camed
they would want
to go writo this one
Digitized from Box 6 of the Philip Buchen Files at the Gerald R. Ford Presidential Library
THE WHITE HOUSE
WASHINGTON
August 6, 1976
MEMO FOR:
PHIL BUCHEN
FROM:
BOBBIE KILBERG
SUBJECT:
Coal Strike
Suggested response to Bill Seidman:
"I have no objection to the content of the
Presidential statement. However, would it
be more appropriate for the Secretary of Labor
to issue this statement than for the President
to do it? I defer to you on this question.
FORD i LIBRARY GERALD
Cabbei
THE WHITE HOUSE
WASHINGTON
August 6, 1976
MEMORANDUM FOR JIM CANNON
JOHN MARSH
PHILIP BUCHEN
FROM:
L. WILLIAM SEIDMAN TWS
SUBJECT:
Coal Strike
A memorandum to the President on the coal strike is
attached. I would appreciate very much your comments
and recommendations no later than 11:30 today. I
apologize for the necessarily rapid turnaround time.
Attachment
FORD is GERALD LIBRARY
THE WHITE HOUSE
WASHINGTON
August 6, 1976
MEMORANDUM FOR THE PRESIDENT
FROM:
L. WILLIAM SEIDMAN
SUBJECT:
Coal Strike
A wildcat strike in the coal industry which began as a
local dispute in mid-June has spread to seven states
idling roughly 88,000 members of the United Mine Workers.
This memorandum reviews the background to the strike and
seeks your decision on whether to issue a Presidential
statement on the strike today.
Background
Local 1759 of the United Mine Workers, which represents
miners at the Cedar Coal Company near Charleston,
West Virginia, demanded that the firm create the position
of "communications man." The incumbent would be positioned
at the mouth of the mine and would be in touch with the
miners underground. The company refused and the issue was
taken to arbitration, which ruled for the union. The
company then asked that the arbitrator clarify whether or
not the company could assign other duties to the communicator,
and the arbitrator said that this was permissible. The
union, demanding that the position be full-time, struck in
protest on June 22, by-passing the grievance procedures
established by the contract.
On July 13, Cedar Coal won a back-to-work injunction from
Judge Dennis Knapp of the Federal District Court in Charleston,
which was ignored despite the request of UMW President
Arnold Miller that the strikers return to work. Four days
later Judge Knapp imposed a $50,000 fine to be increased
by $25,000 for each day the strike continued. On July 28,
he ordered 213 members of the local into court to show cause
why they should not be held in criminal contempt for failure
to comply. In reaction, members of the local spread out
across seven states and set up pickets; this shut down a
large portion of the industry as miners traditionally WIDRO
GERALD
LIBRARY
-2-
not cross picket lines even if there is only one picket
and they are not directly involved in the dispute. Over
the weekend, Judge Knapp offered to rescind the fine if
the union returned to work, but so far this has had little
impact. The local voted Tuesday, 40-38, to remain on
strike. Arnold Miller, on August 4, sent telegrams to UMW
district presidents declaring that they were "hereby
instructed and directed that all members of the UMW engaged
in these work stoppages return to work." Earlier, he had
personally appeared before local 1759 and urged them to
return to work, but his request was ignored. On August 3,
the Bituminous Coal Operators Association, the bargaining
arm of the coal industry, turned down requests by Local 1759
to meet with the striking miners to discuss grievances saying
that this would undermine the procedures agreed to in the
contract.
Although large numbers of the rank and file are apparently
sympathetic with the aims of the strike, it appears that the
strike activity is being encouraged by a small group of 25-30
militants who have been active within the UMW for approximately
five years. The activities of this group are centered in
Appalachia, although they are apparently not natives of the
region. They are predominantly young and first gained wide
attention in the right-to-strike controversy last year.
According to UMW leadership, the militants are utilizing more
effective tactics in this situation by maintaining a lower
profile and seeking to persuade other members of affected
locals to continue and extend the strike.
A Presidential statement calling upon the miners to return to
work and to rely on the negotiated procedures for settling
grievances is attached at Tab A. It reaffirms your belief in
the free collective bargaining process, and notes that the
duly elected union leadership has called for an end to the strike,
which is in violation of the collective bargaining agreement
ratified by the miners themselves.
Both the coal companies and the UMW leadership favor issuance
of a Presidential statement along these lines today. They
believe that such a statement would reinforce efforts to settle
the strike over the weekend.
GERALD
LIBRARY
- 3 -
Recommendation:
The Departments of Labor, Commerce, Justice, the CEA and
the FEA unanimously recommend that you issue the statement
today.
Approve
Disapprove
Attachment
&
1000
GERALD
LIBRARY
PRESIDENTIAL STATEMENT
A wildcat strike in the coal industry, which began as a
local dispute in mid-June, has spread to seven states involving
over 80,000 members of the United Mine Workers. To date, the
work stoppage has cost over $40 million in lost wages, and
$14 million in pension contributions, with growing effects on
other businesses, the communities involved and the economy of
the nation as a whole. This is particularly troublesome at a
time when the United States is trying to increase coal produc-
tion to reduce dependence on foreign oil. Despite a court order
requiring the strikers to return to work and an order by
President Arnold Miller of the UMW that the strike end, the
walk-out continues.
This strike undermines free collective bargaining and
responsibile labor management relations in this critical sector of
the economy. The contract between the UMW and the mine operators
provides a procedure for resolving grievances without outside
interference, but this process was side-stepped by the strike. I
strongly urge the striking members of the UMW to return to work
and settle their differences through the procedures agreed to in
the contract by management and the union and ratified by coal
miners themselves.
200
FORD
ERNED
THE WHITE HOUSE
ACTION MEMORANDUM
WASHINGTON
LOG NO.:
Date: August 5, 1976
Time:
FOR ACTION: (SEE BELOW)
CC (for information):
Phil Buchen
Jim Lynn
Jim Cannon
Jack Marsh
Bill Seidman
Dave Gergen
FROM THE STAFF SECRETARY
DUE: Date:
Time:
SUBJECT:
W. J. Usery's memo 8/4/76 re:
Coal Strike
ACTION REQUESTED:
FOR INFORMATION NOW WHEN SECRETARY USERY'S
RECOMMENDATION RECEIVED WILL BE SENT YOU
For Necessary Action
For Your Recommendations FOR
COMMENTS
Prepare Agenda and Brief
Draft Reply
AND
RECOMMENDATION
For Your Comments
Draft Remarks
REMARKS:
FORD a GERALD LIBRARY
PLEASE ATTACH THIS COPY TO MATERIAL SUBMITTED.
If you have any questions or if you anticipate a
Jim Connor
delay in submitting the required material, please
telephone the Staff Secretary immediately.
For the President
U.S. DEPARTMENT OF LABOR
OFFICE OF THE SECRETARY
WASHINGTON
AUG 4 1976
MEMORANDUM FOR THE PRESIDENT
FROM:
W. J. USERY, JR.
wfu.
SUBJECT:
Coal Strike
A wildcat strike in the coal industry which began as a local
dispute in mid-June has spread to seven states idling roughly
75,000 members of the United Mine Workers. This memorandum
reviews the background to the strike and presents several
alternative approaches open to the Administration.
Background
Local 1759 of the United Mine Workers, which represents
miners at the Cedar Coal Company near Charleston, West
Virginia, demanded that the firm create the position of
"communications man. " The incumbent would be positioned
at the mouth of the mine and be in touch with the under-
ground. The company refused and the issue was taken to
arbitration, which ruled for the union. The company then
asked that the arbitrator clarify whether or not the company
could assign other duties to the communicator, and the arbi-
trator said that this was permissible. The union, demanding
limited
that the position be full-time, struck in protest on June 22,
by-passing the grievance procedures established by the
contract.
On July 13, Cedar Coal won a back-to-work injunction
from Judge Dennis Knapp of the Federal District Court in
Charleston, which was ignored despite the request of UMW
President Arnold Miller that the strikers return to work.
Four days later Judge Knapp imposed a $50,000 fine to be
increased by $25,000 for each day the strike continued. On
July 28, he ordered 213 members of the local into court to
show cause why they should not be held in criminal contempt
for failure to comply. In reaction, members of the local
spread out across seven states and set up pickets; this shut
down a large portion of the industry as miners traditionally
will not cross picket lines even if there is only one picket
GERALD s. FORD
- 2 -
and they are not directly involved in the dispute. Over
the weekend, Judge Knapp offered to recind the fine if the
union returned to work, but so far this has had little
impact. The local voted yesterday, 40-38, to stay out. It
is thought that the strike will end if Local 1759 returns to
work. President Miller, on August 4, sent telegrams to UMW
district presidents declaring that they were "hereby instructed
and directed that all members of the UMW engaged in these
work stoppages return to work." Earlier, he had personally
appeared before local 1759 and urged them to return to work,
but his request was ignored. On August 3, the Bituminous
Coal Operators Association, the bargaining arm of the coal
industry, turned down requests by Local 1759 to meet with
the striking miners to discuss grievances saying that this
would undermine the procedures agreed to in the contract.
Although large numbers of the rank and file are apparently
sympathetic with the aims of the strike, it appears that the
strike activity is being encouraged by a small group of
40-50 militants who have been active within the UMW for
approximately five years. The activities of this group are
centered in Appalachia, although they are apparently not
natives of the region. They are predominantly young and
first gained wide attention in the right-to-strike contro-
versy last year. According to UMW leadership, the militants
are utilizing more effective tactics in this situation by
maintaining a lower profile and seeking to persuade other
members of affected locals to continue and extend the
strike.
FORD
is
GENALD
LIBRARY
- 3 -
OPTIONS
1. Do nothing.
Pro: 1. A grievance procedure exists, but it has
not been effectively utilized by union members
or employers. The Federal Mediation and
Concilliation Service has been working over
the last year to educate local union members
and mine operators on how to use the procedure,
and some progress has been made. Thus,
constructive action already is being taken to
alleviate the underlying cause of this wildcat
strike.
2. Outside intervention by the courts has only
exacerbated the conflict; it was a local
strike until Judge Knapp imposed the fine.
Further government intervention may produce no
better results than the current FMCS activities
while increasing tensions.
Con: 1. Lack of action could lead to criticism.
2. Much coal production is being lost, which has
already had a serious effect on the railroads
that transport the coal and will soon impact
on the steel industry. However, this lost
production may be easy to recoup.
2. Instruct the Secretary of Labor to appoint a high level
panel to study the problem and make recommendations.
Pro: 1. There is precedent for using a voluntary
panel; in the past, appointment of such
a panel has been used by responsible union
leadership as an argument to get the rank
and file to go back to work.
2. This would demonstrate the Administration's
concern, while keeping Presidential distance.
3. Could help develop long-term solutions FLOGI
the problems behind the dispute. Its would
beyond the limited activites of the BERRAL FMCS.
LIBRARY
- 4 -
Con: 1. Governmental intervention may simply increase
tensions without improving on the current FMCS
activities.
2. Strike may solve itself by the time the Panel
was recruited.
3. Appoint a Blue Ribbon Panel Yourself.
Pro: 1. Would demonstrate positive action by the
President.
2. May create long-term solution.
Con: 1. May increase tensions.
2. The Panel's concerns would relate to long-term
problems and if the short-term strike activity
continued Presidential action might appear
ineffective.
3. Strike may solve itself before the Panel
can be appointed.
Recommendation
I have been working with management and labor organizations
in trying to bring about a solution. Meetings are being
held this afternoon and this evening and there is some
indication that a break in the impasse may be near. I will
make a recommendation to you tomorrow based on the progress
made in these meetings.
FORD is LIBRARY 07V839