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sure for more control at the national level, luctance to divulge the identity of pas hemisphere's deep political thinkers and Aaron, chairman of Mayor Daley's Human this incisive question-and-answer session moderate liberal movement in Latin America,

from the channels of misrepresentation and

the time Mr. Korth was Secretary of it let conditions deteriorate and ripen for fraud means more present and repeat busi the Navy.

anarchy, communism, chaos? A Latin Amerness for all of us who attempt to conduct our businesses as merchants, in every good I also requested this information by ican examines the issues.)

(By Bertram B. Johansson) sense of that good word. We are particularly telephone, but I have yet to receive even grateful, General Clark, for your consumer confirmation of receipt of my letter.

José (Pepe) Figueres often describes himFraud Bureau which by making all proper

It seems obvious now that the infor- self with pride as a ropemaker and a farmer. efforts to protect the consumer, also protects mation I have requested will not be forth. His pride in being an artisan-he also is an the reputation of the good merchant, and coming through normal channels even pletely modest about his accomplishments as

engineer of note-is his way of being commeans more sales for the honest retailer.

of

a former President of Costa Rica, a tough We are pleased, also, with your efforts to line-unless it might happen to be the leader in the fight against Communists in retain at the local and State level the re"party line.”

actual battles in the late 1940's in Costa Rica, sponsibility for fighting and defeating the

Mr. President, I fail to perceive any and now in the ideological battle throughout cancerous evils of fraud and deceit. Such

the hemisphere. local efforts inevitably must lead to less pres- valid reason for the administration's re

Dr. Figueres is recognized as one of the for further federalization of our lives and sengers aboard the Sequoia. It is not a

statesmen, and one who has had an influence our businesses. fighting ship—it is a Government pleas

on the gradual formation of democratic The most mischievous current example of ure boat, fueled and furnished by the thinking and morality in Latin America, far this effort for further Federal control un- American taxpayers.

beyond what many observers have yet doubtedly is the so-called but mislabeled I ask unanimous consent, Mr. Presi- acknowledged. “truth-in-lending bill” being sponsored by dent, that my letter to the Secretary of He has often been a consultant to Latin the junior Senator from Illinois. We appreciate, General Clark, that you

the Navy be printed at this point in the American chief executives and to American and the Senator are members of the same

CONGRESSIONAL RECORD with my remarks Presidents, including Presidents Eisenhower political party. But I hope you won't mind in the hope that its appearance on these followed, which isn't very often, it has pro

and Kennedy. When his advice has been our telling you that what you have done, printed pages will prove an inducement duced good results. and what you are doing, and what you to the release of the information I have

Dr. Figueres raises coffee and sisal, the plan to do to protect the consumer public requested.

latter for his own rope and burlap bag facof our great State is more practical and far

There being no objection, the letter tory over which he exercises a fond and more helpful to and protective of our people

was ordered to be printed in the RECORD, meticulous supervision, guiding the complithan any so-called truth-in-lending bill could ever hope to be. We, as merchants as follows:

cated weavings, turnings, and twistings nec

essary in the manufacture of rope so that it dedicated to serving our customers fairly

NOVEMBER 6, 1963.

will come out of the twisting machines and honestly, have a desire and a responsi THE SECRETARY OF THE NAVY,

twisted in such a way that it will lie straight. bility to clean our own house to the fullest The Pentagon,

WHO NEEDS CHESS? possible degree. And to the extent that gov Washington, D.C. ernmental help is necessary, we want that DEAR MR. SECRETARY. Recent events have I once asked Dr. Figueres whether he help at the local and State levels where made it necessary that I request from you a played chess, thinking that he might, with bureaucratic costs can be held to a mini list of the names of all persons who have such an inquisitive mentality able to cope mum and where the responsibility for pro been taken aboard the Secretary of the simultaneously with the current specific tecting the good and for developing the Navy's yacht, the Sequoia, during the time moves and the faroff grand plan. He replied: wholesome growth of this great industry is Mr. Korth was Secretary of the Navy.

"Why do I need to play chess when I have more keenly felt and can be more closely It is my understanding that by necessity my complicated ropemaking procedures and watched over.

the Navy keeps a list of the names of all the the snarls and intricacies of Latin American Finally, your efforts not to duplicate, but guests who have been entertained on the politics?" to augment the excellent work of our Better yacht. This is a simple request and should This fall semester, Dr. Figueres is a visiting Business Bureau and our crowded courts, is be complied with quickly. It is important professor on Latin American affairs at Harleading to better cooperation on all sides. that I have the complete list by Monday, vard University. Students often applaud his Our desire is to have Government and busi- November 11, 1963.

lectures, which is unusual at Harvard on ness and enforcement agencies working to

Sincerely yours,

any sustained basis. gether as a team to create a more whole

MILWARD L. SIMPSON,

His talent is such that while he can describe some, productive atmosphere for the build

U.S. Senator. the hemisphere as going up in flames at one ing of needed sales volume with the help

moment and prophesy Cassandra warnings of sound credit.

of doom if the hemisphere does not wake up Illinois and Chicago are the consumer

to the Communist threat, he still can forcecredit capitals of the world. We must pro

JOSE FIGUERES AT HARVARD

fully and logically affirm his strong belief in tect the good name of credit. We need to

Mr. HUMPHREY. Mr. President, democracy, and convince others of its fight, unsparingly, against those who would Harvard University

strength. misuse and abuse credit, against those who, States are indeed fortunate to have my Latin America, but a long-range optimist.

and the United

He is a short-range pessimist on affairs in viting impractical legislation which would good friend Dr. Jose Figueres, a former One of his worries is that there might be make the extension of credit unprofitable President of Costa Rica, devote several

some people in the U.S. Department of State for all of us who seek only to make this months of his valuable time and wide who don't believe democracy can work in service available to our customers on an experience to the teaching of Latin Latin America. honest and legitimate basis. American affairs in this country. As a

During the height of the Dominican ReThe Illinois Retail Merchants Association visiting professor at Harvard, Dr. Fi

public crisis of late September, when Presiinvited, as participants in this evidence of gueres has initiated a course which has

dent Bosch was overthrown by a military regard for General Clark's program, a num

coup, Dr. Figueres received phone calls from ber of agencies who cooperated both in been met with great enthusiasm by a

the Dominican Republic, from Presidents getting legislative acceptance of the fraud body of sophisticated and critical stu- Betancourt and Orlich of Venezuela and bureau statute and in continual efforts to dents.

Costa Rica, from Gov. Luis Múñoz Marín of protect the Chicagoland public against vic Dr. Figueres recently granted an in Puerto Rico, talked with members of Presitimization. The guests included top execu terview to Bertram B. Johansson of the dent Kennedy's official family in Washington, tives of Chicago's daily newspapers, Ely Christian Science Monitor. I ask that and was in touch with many figures in the Relations Commission, Judge Benjamin

pressing for the principle of not recognizing Schwartz, formerly associated with the at- be printed in the RECORD.

illegal and military governments, and suptorney general's office, and officers of the There being no objection, the inter- porting constitutional juridical principles. Chicago Better Business Bureau and the view was ordered to be printed in the Dr. Figueres, who usually reserves the last Credit Bureau of Cook County. RECORD, as follows:

10 minutes of his Harvard lecture periods for

a brisk question-and-answer period, willingly [From the Christian Science Monitor, Oct. 23, 1963)

submitted to an interview, a synthesis of

which follows: THE GOOD SHIP “SEQUOIA”

A VOICE FOR DEMOCRACY

Question. Dr. Figueres, how do you feel Mr. SIMPSON. Mr. President, on

(When a constitutional government in about the military coups in the Dominican November 6 I dispatched a letter to the supported to the hilt, is overthrown by a milLatin America, which the United States has Republic and Honduras and the overthrow of

President Bosch? Secretary of the Navy requesting a list itary government defying the constitutional Answer. This is a serious setback in the of the names of passengers aboard the situation, what should U.S. Policy be? march of democracy in Latin Americamone Navy's pleasure yacht Sequoia during Should it cut off foreign aid? Should more setback.

The first Dominican communique from the cially since the Cuban experience in 1959 Meany urged American business firms military said they had seized control be- with the advent of Fidel Castro. This is one to help strengthen democracy in Latin cause "incapacity was the order of the day of the reasons there seems to be an encour America by learning to recognize the and unemployment, too." This phrase is agement toward military dictatorship again,

А very significant in Latin American affairs. both by the conservatives of Latin America rights of the people and their unions. The military often finds that incapacity is the and of the United States,

private enterprise economy in which order of the day.

The second cause, which may possibly be only the rich get richer, is inviting a UNEMPLOYMENT CAUSES UNREST even more serious, is the Latin American Communist takeover, Meany stated.

Business apparently is seeing merit in And unemployment, unfortunately, is an depression, a depression of which you do not indication of the real causes of today's unrest read in this country in your newspapers be

the role labor is playing. David Rockein Latin America. Today's unrest is mainly cause it does not affect the United States or

feller suggested recently a privately Western Europe, but a depression which in economic. The political events, the social

financed business counterpart of the tensions are only consequences of a sick

some aspects is as bad as the depression of
the 1930's.

Peace Corps. economy.

It is entirely possible that in this vital The trend of the moment in Latin America,

STABLE PRICES CALLED NEED

battleground south of the border AmeriI am sorry to say, is toward more military Latin America, after a certain boom, or coup d'etats. I have been saying this in my relative boom of prosperity, caused partly by

can labor and American business will articles in the last few months. I am very the economy of the Korean war, went into a

forge a unity of purpose and action that sorry every time a democratic and civilian depression caused by the dropping of the will aid in freedom and economic adgovernment is overthrown, but I expect more prices of Latin American exports, particu vancement for the entire Western Hemto fall.

larly of coffee, which is its main export and isphere. This is a wave in a long movement of the the second export article in the world. It

These facts alone should be evidence currents of democracy within history. This comes after oil. is an unfavorable wave. We have to expect And this affects directly at least 14 Latin

that we are being pound foolish in our it. We musn't be too disappointed.

American countries and indirectly all of foreign aid program at a time when the The juridical system of democracy will them, and also affects all sectors of the econ struggle is intensifying—not abating. eventually flourish, but for the time being omy, even though they may not be directly I ask unanimous consent that this the weakness of the Latin American economy concerned with coffee.

speech by AFL-CIO President George is such that these things are bound to hap It is incredible how much economic harm

Meany before the Chicago Executives' pen. has been done to Latin America by allowing

Club on September 20, 1963, be inserted Question. How can you be so sure that the prices of primary commodities to drop.

into the RECORD. Also, to be printed in democracy eventually will flourish, and that And when I say "by allowing" I mean by the the problems are not insurmountable? lack of international means of stabilization

the RECORD two news stories relating to Answer. The problems are by no means at fair levels of prices.

Labor's activity in Latin America and a insurmountable. I have been dealing per Question. What do you think of the $10 transcript of a radio broadcast centering sonally with these problems of government billion Alliance for Progress aid program in on the Alliance for Progress. by democracy and totalitarianism for a life Latin America, which requires the coopera There being no objection, the speech, time. And I have come to the conclusion, tion of both continents in the hemisphere?

news stories, and transcript were ordered which is not wishful thinking, that democ Answer. I think that if the Alliance for racy is not only acceptable but desired by Progress—which is a good concept that I

to be printed in the RECORD, as follows: most people, or by all people.

support—that if the alliance had paid more TEXT OF AN ADDRESS BY AFL-CIO PRESIDENT I would say that freedom is a luxury all attention to raising prices of Latin American GEORGE MEANY TO THE CHICAGO EXECUTIVES human beings like to enjoy, that the cap- exports and raising wages within each coun

CLUB IN THE CONRAD-HILTON HOTEL ON ability of education is universal with the try, this would have been better than relying

SEPTEMBER 20, 1963 human being, that it is utterly pessimistic too much on long-range plans of develop I welcome this opportunity here today to and negative to assume that some people, ment and diversification. If prices of ex discuss the program of the labor movement some countries, cannot live in liberty, or do ports and if wages are not raised, we are in the field of international affairs, because not wish to live in liberty. You will hear going to have a decade of great economic I am convinced it is one of our most imthis said, many times, that some peoples do difficulty.

portant undertakings-possibly, in terms of not want, or do not deserve, or are incapable The recent world coffee agreement is a the future of the world, the most important of handling freedom.

good beginning. Unfortunately it came too of all. This is not true. There is a question of late, and started at too low a level of prices. Let me point out at the start that this is degree. The Anglo-Saxons may have a little

The most important step in social im not a new field for us. The proceedings of more ability for adjusting themselves to provement in poor countries is raising wages, order and freedom, but judging from what and the most important step toward inter

the second convention of the American Fed

eration of Labor, held in 1887, included a I have seen throughout the world, maybe national economic justice is raising export report by the resolutions committee-duly more than from what I have read, because prices.

adopted—that "friendly relations with EuroI want to use my personal experiences, these

Foreign financing of the capital deficit, pean trades unions ..; be continued and values are universal.

and long-range planning, should be the encouraged." Obviously those relations had HEMISPHERIC COMPLETENESS

complement of a basically sound relation already been established. Question. How would you describe the im- with the developed countries.

Originally, I suppose, this grew out of our portance of Latin America to the United

common heritage with Western Europe. States, and vice versa?

Many of the early union leaders in the Answer. The Western Hemisphere and I

United States had come from Great Britain mean Canada, the United States, and Latin LABOR URGES BUSINESS TO JOIN

or Germany, where Marxist trade unionism America—is destined to be a great factor in STRUGGLE IN LATIN AMERICA had its beginnings. Although our labor human history, and the sooner we are able to integrate in some manner, the sooner the wake of the keen disappointment I stance, all through this century, and back

Mr. HUMPHREY. Mr. President, in

movement developed along different lines,

the old ties have remained strong. For inmankind will be benefited. It is interesting to see, by means of a world felt when the House cut $150 million in

into the 19th century, we have exchanged map, the geographical as well as the his- Inter-American Alliance funds, it was

fraternal delegates with conventions of the torical importance of the Western Hemi- reassuring to learn that the American British Trades Union Congress. sphere. The Western Hemisphere is by far labor movement is maintaining its pro But there is another common bond among the most complete geographical area.

gram in Latin America and seeks to workers that is even stronger. The man who It is in the zones near the tropics that broaden its impact by urging American

works for wages has a great deal in common many of the products that are indispensable businessmen to do likewise.

with all other men who work for wages, to civilization are produced. And it is only

whether they are in France or Japan or in the Western Hemisphere as a whole that

Recently AFL-CIO President George East Africa. The wage levels, the conditions possesses both northern and Meany told the Chicago Executives' Club

of life, may differ from place to place, but the regions, or temperate zones, and a wide that organized labor, in a spirit of broth basic circumstances are very much the same. tropical zone rich in sugarcane, coffee, cocoa, erhood and enlightened self-interest, is If you work for wages you still need some rubber; and other articles indispensable to spending fully 25 percent of its entire kind of organization, some kind of common income in its international program.

effort, to protect and advance the common Question. After a decade of dictators falling in Latin America, what would you de

interests of all. This was the beginning of This includes operation of training

the American labor movement's interest in scribe as the reasons for this new wave of schools in Washington and elsewhere other countries as they

phrased it in the military governments in Latin America? for Latin trade unionists as well as their

last century-improving the lot of the workAnswer. This is due to two causes. support for a period of time after they ingman.

ingman. And that was what we concenMany people have been scared by the ad- return home to pass along their new trated on, here and in other countries, alvance of the Communist revolution, espe- knowledge.

most to the exclusion of everything else.

In one sense this is still our basic goal. advanced by the realization that trade unions The AFL-CIO, of course, cooperated in This is still the basic objective of a trade can exist only in a free society. I think this 1949 in the formation of the International union. But in order to work toward that helps to explain why American labor is anti Confederation of Free Trade Unions, which objective, we have had to broaden out. We Communist, despite the Communist claim links democratic labor organizations in all have had to keep abreast of the tide of world from the very beginning that they had set the world's democracies. The ICFTU Solievents.

up a workers' state. American labor took darity Fund, to which the AFL-CIO is the When that resolution was passed in 1887, the very simple position that there could major contributor, helps to create and mainthe world was a much simpler place. At not be a workers state if workers themselves tain unions in the new underdeveloped naleast it looked that way. The old A.F. of L. are not free.

tions of Africa and Asia. Affiliated unions could concentrate on the condition of the There is another side to this, which the of the AFL-CIO are active in the internaworkingman, because the framework of a

entire business community ought to realize. tional trade secretariats, which bring tofree society was more or less taken for

Just as there are no free trade unions except gether unions in the same industries or granted.

in free, democratic nations, there is no such occupations throughout the world. Yes, there were some restrictions on the

thing as a free, democratic nation without a Twenty-five percent of the AFL-CIO's freedom of American workers; but it was free labor movement. Not today; not in national income-plus a great deal more generally felt that they could be corrected any country that has been transformed by from our various affiliates-goes into these in time, since there was freedom in the Nathe industrial revolution. So, if some peo

international activities. And the only tion as a whole. Yes, there was a czar in ple are tempted to wish that unions would reward we want, the only reward we seek, is Russia, a Kaiser in Germany, and a great disappear, they should pause for a second the advancement of democracy in these varimany kings and emperors in other countries. thought. If our freedom is destroyed, it is ous areas of the world. But only a few of them were absolute mon

inevitable that other segments of the com I have given this background in order to archs; most of them allowed some form of munity will disappear as well.

demonstrate that our interest in other naunion organization, and besides, for almost

Let me emphasize that the labor move

tions is of long standing, and is solidly built two centuries prior to that, democracy had

ment did more than merely observe while upon enlightened self-interest as well as our been cutting down the remaining citadels of

all this was going on. The AFL-CIO, which concern for workers everywhere. We take royalty. were then separate organizations, both gave

the position, under the democratic system in In short, it was possible to believe that if

generous help to refugees from Hitler's ter this country, the free trade union movement the labor movement just concentrated on ror-just as the AFL-CIO has done, in the

has been able to advance-advance to a improving the condition of the workers, it

last few years for the Cuban refugees. greater degree than has labor in any other could, in a reasonable time, correct most of

When the war in Europe ended, AFL-CIO

country on earth. This doesn't mean we the shortcomings in human society. Freerepresentatives and experts were among the

are satisfied. We are never satisfied. We dom was on the march; labor only needed to catch up and keep up with the advance.

first on the scene, seeking out the surviving keep on trying to improve. But, under this trade union leaders-most of them were in

system here in the United States, we have But then the tide began to turn. The concentration camps—and helping to re

made greater advances for American workers Bolshevik triumph in Russia led to a regime build democratic trade union movements.

than have the workers of any other land, that made the czar seem like Father ChristWith the exception of the Marshall plan and

and we want for that very selfish reason, if mas by comparison. Mussolini's Fascists the aid given by that plan, this was probably

you please, to preserve this system, to preturned Italy into a police state. Hitler took the most vital factor in saving Western

serve a system under which it is possible power in Germany. Spain fell to Franco. Europe from a complete Communist take

to have the instrumentalities of a free trade And in small countries, a whole assortment

union working on behalf of the workers. over. of local strong men did away with democ

In 1946, for instance, after liberation found

So, when we speak of working overseas, racy. the French trade union completely in the

we do so, not out of a spirit of charity but This was only the beginning. Through hands of the Communists, a new movement

out of a spirit of brotherhood and a spirit subversion and war, Hitler's Nazis crushed was started known as "Force Ouvriere," and

of enlightened self-interest, because if defree societies in virtually every nation in this movement and the financing of it was

mocracy is destroyed any place in the world, Europe. After the war, "liberation” had started by the American Federation of Labor.

that very fact represents a continued menace barely been celebrated when the Soviets, in their turn, imposed an iron dictatorship The appropriation was made to start the

to the preservation of democracy here in the

United States. on all of Eastern Europe from Latvia to

French movement as a break away from the
Communist-controlled labor movement, and

In other words, if all Latin America were Bulgaria. this is fundamental in our philosophy, when

to go the way of Castro, moving right up to For 25 years democracy gave way on one the Communists get control of the move

our borders on the south, would that not, in front after another, in one country after ment, get control of its machinery, there is

a sense, be a menace to the preservation of another, to totalitarianism of every kindno such thing, then, as trying to fight from

American democracy and of the American communism, fascism and some tinpot miliwithin. You have to break it up.

system? tary dicatorships. The comfortable illusion

This is the reason we are active overseas,

Another contribution was made in 1947– of the past, that the triumph of democracy

1948, when our people were on the scene. In was inevitable and would take place of its

because we seek the preservation of democown accord, was shattered. It was now ob

fact, the Mayor of Chicago was the major racy throughout the world. We see it as vious that democracy would not even surrepresentative of American labor, and Joe

something that is meaningful to the preservive unless it was vigorously defended-not Keenan who is quite well known here and

vation of democracy here, just as we see just on the battlefield, but within the social is a vice president of the AFL-CIO, spent the

countries going behind the Iron Curtain repstructure of every country on earth. better part of 4 years in Germany seeing to

resenting a menace to the preservation of our it that the German trade unions recovered

free society. These lessons were not lost on the labor movement. Far from it. We watched what their property which has been taken from

Now, let me turn to a specific project, one them by Hitler, seeing to it that they devel

in which we take a great deal of pride and was going on, not only as trade unionists, oped their trade union movement along the

satisfaction, the American Institute for Free but as Americans, and this is what we saw. lines which we felt would be most effective

Labor Development. In every nation which fell to a dictator

And,

in fighting the Communist threat. whether Communist or Fascist the first

Stated in its simplest terms, the purpose whereas previously in Germany, as a historic

of this institute is to train young trade union objective of the dictator and his party was to destroy the nation's labor movement. fact, there had always been three divisions of

leaders from Latin America and the Caribthe trade union movement, the so-called

bean areas. Train them in the functions of Lenin did it; Stalin did it; Mussolini did it; Hitler did it. Christian movement, the Protestant move

a trade union, how to make it more effective; ment, and the so-called social-democratic

and train them, also, and this is most imAnd very recently, having stopped pre

movement, through the efforts of American portant, in the role that trade unions can tending to be a democratic reformer and labor, through the efforts of the people we

and must play in building a free, democratic, showing his true colors, Fidel Castro did sent to Germany—and we even reached into

and prosperous society. it in Cuba. the clergy in order to increase our in

This was our idea, but we are not carrying The very nature of a dictator requires that fluence-we created in Germany in 1949 the it out singlehandedly. The institute is a he must control the means of production in Western German Federation of Labor which

three-way operation. It is supported in alhis country. You can't dictate to any country, whether the dictatorship is of the

right the trade union movement.
embraces all of these various segments of

most equal shares by industry, labor, and

the Federal Government. or of the left, unless you control the means

This is very encouraging to us, this parof production and this means controlling

Actually, the same thing happened in

ticipation of business in this enterprise. labor, and it means the destruction of free Italy in 1948 and 1949 where we took two

You may wonder why, for example, a man trade unions, because you cannot control rival socialist groups and we were able to

like J. Peter Grace, president of the W. R. labor if it is free to join one with another and get them to join with the leading Christian

Grace Co., should serve as chairman of the create and use the trade union instrumental Democratic group to form the Italian Federa institute's board of trustees. Presumably, ity.

tion of Labor. Here was another case where stronger unions in Central America would Now, of course, American union members the Communists had infiltrated at the time mean tougher collective bargaining problems would be opposed to totalitarian govern

of liberation and had taken over the ma for the Grace Co.'s operations. ments in any case, simply because we are chinery of the traditional old Federation of But we have come a long way from the Americans. But their education has been Labor.

days of the banana republics, when Ameri

can companies, out of necessity sometimes from total Communist control after a the future. And we heard about the 5-year rather than of choice, made their deals with 9-month battle, in which they were attacked plan, and the second 5-year plan, and the local tyrants, without regard for the welfare in the Communist-controlled press and ra third 5-year plan and so on and so forth. We of the population. Mr. Grace and others dio—and had their very lives threatened. heard Khrushchev say he was going to get like him are well aware that the choice today Several months ago, the AFL-CIO inter- more food for the Russian people. They were is between democracy and Castroism in American representative went to Honduras going to have more butter and more vegeLatin America; and that, if democracy is to and suggested to one of the graduates that tables, and more meat than the American win, it must meet the needs and the desires he, being faced with the daily threat of vi- people. We have heard all of these things, of the people, starting with a higher stand olence, might want to be moved to another and this under the system which is supposed ard of living. job.

to bring the millennium to humanity. Oh, I don't mean that the whole business - He said, "Don't worry about me. The And what are the results? After 40 years community with interests in Latin America Communists wouldn't dare kill me I am too of Communist rule, what do we see back of should become converted to trade unionism. well known now. If they killed me they the Iron Curtain? Anyone who thinks that For that matter, the whole labor movement would just be making a martyr of me." there is some real mature benefits under the is not yet converted to the idea of engaging And he went back to work and won his Communist system that are not present unin a joint endeavor with business. Short fight by giving this union a free democratic der our American democratic system, let sightedness is not confined to any one seg leadership.

them go back of the Iron Curtain. They will ment of our soicety, or to any particular Six Institute graduates also played an im need nothing more. Let them go just calling or profession.

portant part in bringing about a popular through the wall of East Berlin or through However, as I have indicated, the wide victory in British Guiana against the Cuba the gate, and they will see the difference. spread acceptance of the institute idea has oriented Government of Cheddi Jagan. You will see the reason why the American been very gratifying. And so have been the Only 10 days ago we received a letter from labor movement has long recognized that results.

a graduate who was evacuated and was re the so-called dictatorship of the proletariat Let me expand on that brief description turned to British Guiana in late August, was nothing but plain, simple bunk. of the institute I offered a moment ago. after completing our most recent course in However, in working with these other

The operation is centered around a school Washington. Let me quote from that letter. countries, I think we must realize and recogin Washington, which, since it opened in “The trouble we are facing here you are nize that this country cannot build other June 1962, has trained 150 young labor lead well aware of. Already members of the Par nations exactly in the image of the United ers from 19 different countries. These liament in the British Guiana Government States. Their circumstances are undoubtedyoung men and women have come in groups are attacking me at public meetings. How- ly different, their resources are different, and of about 35 each for a 3-month program ever, I want to assure you that their threats, their problems are different, and their heritcovering such subjects as the U.S. Govern abuses and attacks will only propel me faster age, although it differs from ours, is just as ment and democratic institutions; labor in the fight against any form of totalitarian important to them as ours is to us. history; labor education techniques; collec ism or dictatorship in the trade union move In one country, the most popular aptive bargaining; threats to unionism and ment.”

proach may be for a government to own democracy, such as communism and cor The American Institute for Free Labor De- public utilities. After all, plenty of local, ruption, labor economics and the economic velopment gives men like these a conception county, State governments own public utiliproblems of industry and agriculture; spe of the role they can play in obtaining the ties in this country, or even the transportacial Latin American issues, such as the Al benefits due to them as workers, and in tion system, or even, as in the case of India, liance for Progress and probably the most carrying their unions forward into full par- it may be necessary for the government to important of all, the role of unions as an ticipation in the economic life of their coun own a steel mill to get their production up integral part of a modern democracy. tries, toward a free and better future. to where it might be meaningful. This is

But even more significant is the school's Just a few days ago, David Rockefeller, something that people in each country have multiplier effect. Resident training centers president of the Chase National Bank, ap to decide for themselves, on the basis of the or seminar programs in Ecuador, Venezuela, peared before the International Manage- best possible advice, for their own best inPeru, Colombia, Brazil, Bolivia, Chile, ment Congress in New York and advocated terests. Uruguay, and the Dominican Republic have what he calls a businessmen's peace corps. We in the AFL-CIO do not even try to inalready trained some 1,300 fighters for de This sounds like a good idea to me, and I fluence the structure of the labor movements mocracy. Additional programs are sched hope he follows through and I hope it be in other nations. We teach the fundauled for the Argentine, Central America, comes a reality. As I interpret his remarks, mentals of union operation, but how the Mexico, Jamaica. Much of the teaching is his main idea is to export American busi pieces are put together is up to the people done by institute graduates who are sup ness know-how, in order to promote the involved. ported by the institute for another 9 months, American way of life. This means, in a sense, Our interest-and I repeat, we believe it after graduation, if this is necessary, after he is trying to export democracy. This is should be the interest of all Americans-is their return home.

what we are trying to do in our role and in promoting free, democratic societies. If Meanwhile, another institute operation, we certainly welcome an expansion of this the people of a nation freely choose certain its social projects department is rounding effort on the part of American business. political and economic forms, and remain out the picture by aiding unions in building This is the point at which a discussion of free to change them, we should not be conhousing projects for their members, estab international programs-whether they are cerned about the forms themselves. For lishing credit banks and consumer coopera Government or private-runs into the ques they have the essential quality of democtives and other community institutions. tion of free enterprise.

racy-self-determination. That, of course, This department is currently working on We think our position is very simple and rules out the antidemocratic totalitarian some 80 projects submitted by some 50 Latin very logical. We assert without reservation systems. American and Caribbean unions that repre that the private enterprise system has served Now, I happen to believe that any country sent some 15 million workers.

this country very, very well. We suport it; is likely to be better off with a large measure The first housing project under the Social we are a part of it. It is true that we are of private enterprise-and that applies to the Progress Division was in La Lima, Honduras, sometimes accused of being socialists be workers as much as anyone else. There may and was dedicated on August 24. New homes cause we favor programs like hospital care be instances where a greater mixture of govin this workers' project can be purchased for for the aged under social security, or better ernment enterprises is desirable, but in gena little over $2,000.

minimum wages, or a 35-hour week. But eral, private enterprise has proved to be the We are devoting this particular atten these programs are not socialism; they are most effective road to progress. tion to our southern neighbors because they social welfare programs, and this of course But we cannot just say "private enterare so clearly vital to this country's security. is quite a different thing.

prise" and let it go at that. The system has In that respect, Castro and Khrushchev may The American trade union movement is not to work for the benefit of the people as a have done the United States a favor, and interested in Government ownership of the whole. In Latin America, as elsewhere, this Latin America, too by bringing this infiltra means of production-which is what Marxist means that the owners of business and intion of communism to the Western Hemi socialism means. We want to improve the dustry have to learn to recognize unions, to sphere. Assistance to these people in the American economic system, but we don't bargain collectively and to accept the right of Caribbean and in Central and South Amer want to replace it with a different system; workers to strike. A private enterprise econica, can no longer be shrugged aside.

we want a better life for people who work for omy in which only the rich get richer is inActually, the bare facts about the phys wages but we don't want to destroy the viting a Communist takeover. ical operations of the institute cannot do it organization that pays those wages.

If Mr. Rockefeller's business peace corps justice. These young people are not engaged We like this system, and we are going to can teach that kind of know-how, as well as in mere academic exercises. They are on the continue to like it until some better system industrial techniques, it will strike a telling firing line

sometimes literally-in the strug is devised; and, up until now, all the efforts blow for freedom. gle to turn back a well-organized Communist made over the centuries on the question of However, I am not minimizing the tradiattempt to seize the labor movements in government, there is no system that has been tional role of the business community, fortheir own countries.

produced that shapes up to the American eign investment. I would like to see more Let me give you just a few incidents. system.

foreign investment in the underdeveloped Two of our graduates in Honduras have We heard, a few years ago, about the wave countries, such as those where our Institute taken the Standard Fruit Co. union away of the future; communism was the wave of graduates are striving to build a better life

for their people. Dollar for dollar, private ing them develop their own welfare proj Latin America occupies more than half money has a way of producing more results

the Western Hemisphere. The southern tip than government money in such under The movement, which uses both funds and of Texas barely dips below the 26th northern takings.

technical assistance, operates through the parallel; from there to the equator, and the Moreover, although I spoke a few moments American Institute for Free Labor Develop- whole stretch from the equator to land's end ago about the probable need for more gov- ment. It also works closely with the office at Tierra del Fuego, is Latin territory. ernment ownership in underdeveloped na of the U.S. Coordinator for the Alliance for Latin America is not only vast in size but, tions, I have no sympathy for the expropria- Progress.

because of its location, if for no other reation of such investments once they are made. The institute was created in 1960, but its son, obviously of vast importance to the If a government decides it needs to own a social projects department has been fully United States. Yet, until comparatively refacility built with American capital, it should operative for only a year. It is administra cent years, our country made no real effort pay a fair price for it—or be cut off from any tively financed in equal parts by the AFL to make friends of our southern neighbors on further American aid of any kind. On this, CIO, the U.S. Government and the business a basis of equality and mutual respect. I do not believe there can be any kind of community. George Meany, head of the AFL It would take the space of many columns compromise.

CIO, is president and J. Peter Grace, presi to review that unhappy story. Rather than At the same time, American companies in dent of W. R. Grace & Co., is chairman of do that or even to recite the better record vesting in these nations should be free from the board.

of the labor movement-let us look at the the spirit of "dollar imperialism.” They The social projects department reported more promising present. have every right to expect a reasonable re that in the year ended last month the Amer

Through the Alliance for Progress proturn; but they have no right to expect any- ican labor movement committed about $13 gram the United States is at last making thing more than that, such as special protec million in direct loans for workers' housing a comprehensive effort to create the ecotion against legitimate union organization. in Mexico, Peru and El Salvador.

nomic, social, and political conditions that What is needed are the kind of business

The loans, coming from AFL-CIO welfare

will make stable, democratic societies posmen who have joined with us and with the funds, carry a 100 percent guarantee from

sible in Latin America. The program is far Government in the American Institute for the Administration for International Devel- from faultless, but it deserves the interest Free Labor Development-men who see that opment.

and support of us all. progress must be shared by all if it is to

In Mexico the labor movement has obli

There is another Latin American program deserve the name. And, because they see gated $9,569,000 for a housing cooperative underway as well—one that is in some ways this, they recognize the importance of a

for the Graphic Arts Workers Union in Mex- more dramatic. It is being conducted by free, democratic, and effective labor moveico City. The Government has guaranteed

the American Institute for Free Labor Dement in every free nation.

full repayment in dollars. The Mexican Gov- velopment, now slightly more than a year Since this is a wholly nonpolitical occasion, ernment has also donated land for the 3,104

old. perhaps I may use a nonpolitical quotation dwelling project in the Balbuena district of

This institution was conceived by the AFLfrom a man who is, among other things, a Mexico City.

CIO and is supported by funds from labor, political figure—the President of the United In Peru, where the institute has assisted business, and government. As its own stateStates. He said in a message to the students in the creation of a workers Democratic ment of purposes declares, it is “dedicated to at our most recent Institute class:

Alliance for Cooperative Housing, the AFL- the strengthening of a free society through "The destruction of the free trade union CIO has committed $3 million. The U.S.

the development of free and democratic trade movement has been a prime target of the Government is supplying $6 million in ad

unions in the Americas.” Communist movement. Once the free trade dition through the Alliance for Progress.

In the narrow sense the Institute is a union movement is controlled by a totalitari In El Salvador the labor movement is con

school. The students are young, freedoman state, permitted only to endorse the tributing $400,000 toward a $1 million work

loving Latin American trade unionists, carepurposes of the state, the trade union move ers' housing project directed by the Alliance

fully chosen by their own labor organizations ment is destroyed, and so is democracy.” for Progress.

in consultation with the Inter-American This is what we believe; this is what we

William C. Doherty Jr., director of the

representatives of the AFL-CIO. They are are determined to prevent, through the In

social projects department, said today that brought to Washington, 35 or 40 at a time, stitute and all our other international pro the labor movement was prepared to lend

for a 3-month course that embraces both grams. And in this we invite the active help an additional total of $15 million for work

union techniques and the successful pracand cooperation of American business.

ers' housing in Argentina, Chile, Colombia, tice of democracy. Those who graduate are For after all, while unions and manage- Uruguay and Ecuador under the U.S. Gov

then supported for 9 additional months, back ment may quarrel over the terms of a con ernment guarantee.

in their own countries, to assure them of a tract; while the AFL-CIO and business

In some instances, laboris matching

chance to begin putting what they have spokesmen may be deeply divided on a wide U.S. and local funds. In others, it will

learned to good use. range of domestic issues, from fiscal policy cooperate with the Inter-American Develop

This is not a brainwashing operation, to Federal housing, they should stand to ment Bank.

intended to dictate a course of action. Each gether in the great struggle of our times,

The AFL-CIO is also seeking to develop applicant for admission must first have the struggle that will determine the future savings and loan cooperatives among the

devised a project he hopes to carry out. and perhaps the survival of mankind.

Thus the Institute's role is to assist these workers in Latin America. The institute inThere are times when management and sists that a benefiting worker put into sav

young Latin Americans to do more effectively labor may differ on the details of freedom- ings at least 5 percent of the total value of

what they had already decided should be when each of us feels the other is taking his home; that the land represent only 25

done. some of his freedom away. But our devotion percent of the value of the home and its

Three classes have been graduated thus to freedom itself, and to its finest expres- improvements, and that the worker pay a

far, and a fourth is now underway. But the sion, the democratic way of life, is identical.

real story is not what goes on in Washington. maximum of 25 percent of his regular famTherefore, what we in the AFL-CIO are ily income toward the home.

The real story is what your touring columdoing, in Latin America and around the

nist, Victor Riesel, will discover on the Latin

The institute is also assisting unions in world, is in the best interest of American

American scene, both on the mainland and Latin America with the development of housbusiness as well as that of American labor; ing blueprints and the preparation of loan

in the Caribbean islands. so we are doing it not for ourselves alone, applications to the aid agency in Washing- three classes graduated by the Institute,

He will find some 120 young men, the first but for the cause of human freedom all ton. over the world.

creating and strengthening free, democratic Mr. Doherty said workers in several unions

unions where they had never before existed. had deposed Communist leadership after the

He will find them locked in battle against institute had advised them that no assist

the Communist infiltrators trained

in [From the New York Times, Sept. 17, 1963] ance would be forthcoming so long as they Castro's Cuba. ROLE OF U.S. LABOR GROWS IN LATIN-AID PRO were led by nondemocratic elements.

He will find them, preaching and teachGRAM-13 MILLION IN LOANS APPROVED BY

ing the democratic way of life, holding AFL-CIO TO HOUSE WORKERS IN THREE

classes where their countrymen can learn COUNTRIES [From the New York Mirror, July 3, 1963)

how a union works, what democracy means, (By Tad Szulc) How U.S. LABOR AIDS ALLIANCE FOR PROGRESS

how to spot and smother Communist tactics, WASHINGTON, September 16—The U.S. labor (Before Victor Riesel left on a news-gather how to guard against dictators and demmovement is playing an increasingly im- ing tour of South America, he asked AFL agogs from the right or the left. portant role in assisting the Alliance for CIO President George Meany what he be He will find trade union training schools, Progress in Latin America through direct co

lieved to be the most exciting development schools for democracy, in Venezuela, in Peru, operation with local trade unions.

in Latin America. Here is Mr. Meany's an in Panama, and half a dozen other nations. The effort is still little known in this swer.)

He will learn that the “multiplier effect” of country. According to its sponsors, the

(By George Meany)

Institute graduates, 35 or 40 of them every American Federation of Labor and Congress WASHINGTON, July 2.—The one most per 4 months, is likely to alter the whole course of Industria! Organizations, it is making a suasive reason why I agreed to be a guest of history in Latin America. noticeable impact, turning Latin workers columnist for Victor Riesel this year is the Nor is this a static operation. The day is away from Communist leadership and help- area he is visiting on his annual oversea trip. in sight when all the primary training will

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