High Point Enterprise Newspaper Archives Jul 4 1976, Page 107

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High Point Enterprise, The (Newspaper) - July 4, 1976, High Point, North Carolina12b High Point enter Price sunday july 4, 197c country dining clubs facing member loss by Isabelle Shelton Washington Nana the . Labor dept. Will soon Issue a ruling that could have a devastating Impact on Many private segregated clubs such As this area s burning tree country club. Thousands of country and dining clubs across the country discriminate against women or other groups As burning tree does although that club has gotten More publicity about it because presidents supreme court justices and other famous people play Golf there. The new regulation to be issued by labor s office of Federal contract compliance will declare that a firm doing business with the Federal government is in violation of its Federal contract if it pays the dues of its male employees to clubs that exclude women or Blacks jews or members of other minorities. While the new rules would apply equally to All those groups labor dept. Officials say they expect women to be the ones chiefly affected because they Are the group most often excluded from such clubs. One knowledgeable washingtonian estimates that business firms pay the dues of at least 20 per cent of the members of the All male burning tree and it is not Likely to be too different in other Large communities. The proposed ruling could result in a wholesale panic withdrawal of members from Many private clubs which could Lead to an average club membership loss of 10 per cent and to a year in Revenue this year according to an alarmed memorandum the National club Assn. Has sent the labor dept. The group claims to speak for Many of the nation s approximately private clubs Large enough to have full time managers. An estimated 10 per cent of private clubs might have to close the inca predicts gloomily and this combined with layoffs in clubs where membership declined could Lead to a loss of up to 000 jobs. Labor dept. Officials believe those figures Are grossly but agree there might be some loss of members in clubs that refuse to change their exclusionary policies. Companies found not in compliance face penalties ranging from a citation through a cutoff from program payments cancellation of contract and disbarment from future contracts. The proposed regulations will say that exclusion from private clubs attended by her male colleagues can seriously limit a woman s ability to Advance up the executive ladder in her firm. The National club Assn. Calls it Broad and and says it is based on highly speculative if any. The inca also is predicting great difficulty in carrying out the regulation. Federal contractors of every Type and size and the majority of private clubs fraternal and service organizations in this country would find themselves embroiled in an endless morass of Complex fact and policy it declares. Dues in service clubs such As kiwanis and rotary would be covered by the order too but labor dept. Officials say they do not believe the Impact on those organizations will be substantial because their dues Are relatively minimal com pared to a year for some dining clubs and up to for some Golf clubs. An employee could assume the payment himself with Little hardship it is believed. Dues paid by an employee himself Are not affected by the regulation even if the club discriminates. But the government would take a dim and suspicious View if it discovered a pattern of raises to employees taking Over payment of their own dues one government official said. Ofic estimates the Federal government has contracts with about firms employing 30 million the great majority of them companies doing business with the defense dept. The american Bankers Assn., which also is fighting the proposed regulation estimates that about half of the nation s federally chartered Banks would come under it. Wolf Haber asst. General counsel of the Treasury dept., places that figure at closer to to e is in a c a m a 7 i i g 3 i i g ii it Iii it -11 of 1 t Cut Ahti til i in j t to j lib a by i f if riic1 Al

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