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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - August 21, 1973, Lethbridge, Alberta GOVERNMENT AND RAILWAYS BOXED IN BY SUBSIDY PROBLEM By VICTOR MACKIE Herald Ottawa Burtau OTTAWA The Canadian government has painted its2lf and the two major railways into a corner with the only way out appearing to be increased federal subsidies for the com- panies if the strike is to be set- tled by Wednesday. Labor Minister John Munro declared Monday he would have the dispute ended by the start of the cabinet meeting Wednes- day. But when asked if Ottawa was prepared to provide in- creased subsidies to the rail- ways to bring about a settle- ment he dismissed the question as a at this stage. At the same time he ac- knoweldged that it was impera- tive the railways get back into full scale operation and that this will mean increased oper- ating costs for the companies. The Canadian taxpayer can be left holding the bag once again through a combination of economic pressures and collective bargaining. And the settlement is bound to speed up the inflation spiral. Under ro circumstances does the weak Liberal minority gov- ernment want to recall parlia- ment this month to settle the railway strike. It is only too un- comfortably aware that the New Democratic Party held a caucus this week to determine whether or not to withdraw the NDP support from the minority government. A recall of parlia- ment would be a suicidal move the government is convinced. Mr. Munro made It abundantly clear in an inter- view when his round-the-clock talks began Monday that _he wants the strike settled before Wednesday and that he has no intention of resorting to the usa of parliament to impose a set- tlement. He said all sides in the dispute wanted a settlement and did not want parliament re- called. But earlier this summer at the Western Economic Oppor- tunities Conference the federal through Transport Minister Jean as- sured the Prairie provinces that the freight rate question will be studied. Meantime freight rates have been frozen for the next eighteen months. That means that the railways which resort to increased freight charges to raise money to pay higher operating costs are barred by federal action from raising the rates. Tha raising the rates. The companies are told on the one hand they must reach a settle- ment with their unions this at the same time they have been told they cannot boost freight rates. The Isbir minister appears to be placed in an impossible posi- tion to bring about a settlement unless he is empowered to promise financial aid to the companies through subsidies. It has been estimated that to reach a settlement based on the conciliation board's report would cost the railways nearly million over the next two years. JOHN MUNRO JEAN MARCHAND The LetHbndae Herald VOL. LXVI No 212 AUGUST 1973 PRICE 10 CENTS THREE SECTIONS 44 PAGES By DOUG OTTAWA New Democrats drawn up mother shopping list of lemands for government tbieatening once igam to withdraw support rcm the minority Libei- ds if steps aren t taken to alleviate high living costs. Leader David Lewis was to announce at a lews conference late today that the party demands an mmsdiate recall of Par- lament to deal with escal- iting costs The party would make xmtmued support for the government ccntinsc.pt en legislation lowering inter- Kt rates for lioosmg to six providing the trices review hoard nth the pofl er to roll back pnce mplementing recently an- lounced 'ccst-of-livmg in- creases for people on fixed jicoma and other similar steps. The program likeh will lot widely from the party positions worked out earlier this summer in Vancouver. have no authority to reject the Vancouier pol- icy Mr. Lewis told reporters The in was waiting for the outcome of the latest round of discus- sions between the govern- railways and Assy- c'ated Non-Operating Rail- way Unions before making its other sources said. Should that dispute end without parliamentary In- there would be eight weeks before the scheduled resumption of Parliament Oct. 15 in v Inch the govern ment would have an opportunity to meet their demands. Mr Lew's said ti-e cau- cus discussed a number ol problems at the including the cost of liv- escalating food and tlie sectors of the eco- nomy most hurt by in- creased costs He said he had no doubt Camping holidays can be every bit as comfortable as living at especially when you have a house trailer similar to the one Walter and Edith Christehsen operate. Look in en- closed with today's Herald for a report on vacation a look at the Old- man River regional plan and other in- teresting articles. Classified 16-19 Comics 6 Comment 5 District 3 Family 13 Local News 12 Markets 20 Sports 9 Theatres......7 TV 7 Weather 2 'How about that increase in the Baby LOW TONIGHT HIGH WED. SUNNY. that all members of the caucus would support the party piogram when it was announced Max Saltsman entering the said he did not think there was a split be- tween the MPs on the question on continuing support for the govern- but that there was one between t' e elected members and other card- carrying New Democrats. Wiiile party people ap- peared ready to pull the rug cut from under the govern MPs con- tinued to support the idea of using t h e NDP s ance-of-power position in the minority House to VTest progressive legisla- tion from the ijUve-nment. Bui said coiistitunnto m Ms riding wanted the i party to keep the govern- 1 ment where it was and it for all its worth Lome from the nearby Saskatchewan riding of Yorkton Mel- saying the NDP was off to use our leverage to toughen up things like the food prices review And Arnold Peters. Tim- jskaming. addad that the party wou'd not likely de- cide to withdraw support from the eminent no matter Shirt-sleeve work session Members of the New Democratic Parliamentary caucus got down to work in shirtsleeves during the nighttime session of their meetings in Ottawa to discuss the party's continuing support of the minority Liberal government. Tackling that in light of rising food left to Alf Saskatoon national leader David Cyril Sault Ste. John Red Nickel and Randolph Kootenay West. for Socred quits EDMONTON Social Credit House Leader Jim Hen- derson has stepped down as Legislative leader but did not reveal his reason for the move. He will continue to sit as Social Credit MLA for Wetas- kiwin Leduc. In a letter to the 25 Social Credit disclosed Mr. Henderson said it was time for lot of soul-search- by members and reasons for his resignation would be disclosed at a future party caucus meeting. Such a meet- ing is scheduled Sept. 11. Werner S o c r ed Party leader had little com- ment to make. reasons will have to come from he said. I was very happy with his performance at the spring By NEIL GILBRIDE OTTAWA Climbing food prices soared even higher in eight Canadian cities in Statistics Canada report and a Progressive Conservative MP called for a special session of prices soared hi cities during Parliament to deal with the problem. The national report on living cosLs for issued said over-all consumer prices rose nm3 tenths of one per cent and food gro- ceries and restaurant rose 19 per cent. Monday s report said food prices rose more steeply in some with St. John's up 2 8 psr Halifax 23 per Saint 2 per Quebec City 25 per Hunted man eludes federal agents fired upon From Reuter-AP TAOS. N.M. A forme- New Orleans policeman wanted for threatening the life of Presi- dent Nixon escaped from a commune called Morning night after being stopped by a federal a city police spokesman said today. The spokesman said the agent found Edwin M. Gaudet on a commune caleld Morning about 14 miles from here. The spokesman said Gaudet flod while the agent was examining his identification. The spokesman said that al- though details were still un- it was believed Gaudet B.C. ierry strike Workers vote today VICTORIA A British Columbia Ferries spokesman ferry service would resume by morning If un- licensed workers accept the BC. government's contract of- fer. Norman business agent for the striking unli- censed members of the marine branch of the B.C. Government Employees was to annojnce the outcome of the vote about 10 a.m. PDT censed workers went on strike Friday. Union leaders have recom- mended acceptance of the which Trans- portation Minister Robert Slra- chan said Monday will cost tha government about million a year. Tentative agr rment was reached Monday night on a new contract for the 400 licensed ferry officers and engineers. shall said the union negotiating team is unanimously recom- mending acceptance of the con- tract. Contract details will not be released until Wednesday after the union's members have been informed. Few details of the unlicensed w o r k e r s' settlement were known. Asked Monday whether the average monthly wage in- crease for the ferry workers un- der the new pact will be Mr. Strachan said about opened fire on the federal agent while fleeing The agent appar- ently returned the fire but Gau- det escaped. The spokesman said city and state police were joining in an all-night search. is sought on a fed- eral wan-ant issued in New Or- leans_for making a threat on Nixon's life last week. In Jack a Secret Service confirmed there had been police activity in New Mexico m con- nection with a man believed to be Gaudet and that shots had been fired. Warner said there had been no injuries or arrests. He said Gaudet is wanted in connection with a threat against the but emphasized that it was not in connection with a possible conspiracy to assassinate Nixon that the Se- cret Service had announced ear- lier m the day. Tins Warner a separate from the al- Montreal 2 7 per Ot- tawa 18 per Thunder Bay 23 per cent and Winnipeg 2.3 per cent. The national report also sepa- rated grocery prices which ross 2 2 per and restaurant which rose fivs-tenths of one per cent. The report on the 12 regional cities does not sepa- rate grocery and restaurant prices. Four citiss had steeper hikes in over-all living cluding medical care and recreation. The four -Rere Quebec Montreal and Thunder Bay with 1.1 per and Ottawa with one psr cent. Three cities that matched the national rise were St. Halifax and Winnipeg. The in- dices measure movements in prices within the specified com- munity and cannot be used to compare price levels between cities. James McGrath John's called for the spe- cial session of Parliament. the food index for most cities in the Maritimes and central again ad- vances two per cent or more in one month with similar in- creases reflected in most west- ern then it is time for the government to he said He said the Liberal govern- ment's food price review headed by Beryl is of c rling with the food price hikes Parliament can deal with this national problem and it must be Mr. McGrath said. Statistics Canada gave these regional details on July living Saskaloon-Rcgina. Living costs were up six-tenths of one per cent and up 6 6 per cent over the year increase of 17 per cent in the food index higher prices for beef fresh sugar and margarine. Prices eased for pork dairy and baksry products Other increases included four- tenths of one per cent for cloth- 1.2 per cent for recreation and two-tenths for housing. Health and personal care dropped two-tenths. Living costs rose five-tenths of one per cent for the month and were 6 5 per cent above a year earlier. prices ros2 six-tenths in July with prices higher for pork fresh sugar and bakery and cereal products Besf and fresh and processed fruit prices edged Other increases were four- tenths of 013 per cent icr ho-s- 2 1 per cent for recreation and thi's-tenths of one per cent fcr transportation. Vancouver. Living costs rose six-tenths of one per cent and up 7.2 per cent ever the year. food index rose 16 psr cent in mainly in re- sponse to hgher qusolatiors for beef and pork fresh pro- dairy eggs and increased prices for restaurant food Prices were lower for processed frozen food and canned Housing costs rose four-tenths of one per clothing in- creased recreation was up 15 per cant and trans- portation rose two-tenths and heard About town TJAPPY gardener Sophie Kaninski displaying the biggest tomatoes in the neigh- borhocd Cameron Atwood draining the gas tank on his car after accidently filling it ;