Lethbridge Herald, The (Newspaper) - July 28, 1970, Lethbridge, Alberta
SCATTERED 'SHOWERS FORECAST HIGH WEDNESDAY 70 The Lcthlnidge Herald VOL. LXIH No. 191 LETHBRIDGE, ALBERTA, TUESDAY, JULY 28, 1970 PRICE NOT OVER 10 CENTS TWO SECTIONS 16 PAGES foung: Raging Inflation OTTAWA (CP) John Young, chairman of the prices and incomes commission, said today that, the raging inflation of the 1960s has been at least tempo- rarily checked and the job now is to prevent it from getting a new lease on life. He also said it is premature to dismiss as unwork- able the comirassion's call for an upper limit of six per cent on annual wage and salary increases. Addressing an Ottawa service club luncheon, Dr. Young said the rale of climb in consumer prices in Canada has been brought down to a slower rate than in other important industrial countries. This had teen done primarily by squeezing profit margins for business in a period of abnormally slow economic growth and high unemployment. None of the conditions can or should be regarded as permanent, he said. "As economic activity recovers and these condi- tions change, we will need to keep a sharp eye to our defences against a revival of the inflationary he added. The six-per-cent wage and salary guide declared by the commission and endorsed by the federal govern- ment was not intended to be "an inflexible rule equally applicable to all Dr. Young said. Could Be Higher Pay increases beyond six per cent might be justi- fied for workers now. on unusually low pay scales, to meet labor shortages, to compensate for special pro-, ductivity gams, to match promotions, or to meet other unusual problems. The six-per-cent figure was primarily intended to signal a significant moderation of recent annual pay increases, averaging seven to eight per cent in weekly wages and eight to nine per cent in collective bargain- ing agreements for base rates. Dr. Young said the country should be concerned about the size of labor cost increases being built into future costs of production by labor management con- tacts. "Wage and salary increases averaging more than eight per cent a year are much larger than the long- term average increase in output per person employed, which is about 2.5 to three per cent a year in the com- mercial non farm sector of the economy. "What this means is that in order to increase their annual production by 2.5 to three per cent, business' firms in Canada on the average are having to pay something like an additional eight per cent in annual payroll costs for their labor requirements. "The difference, of course, has to come from some- where, and if market demand were strong enough busi- ness firms would almost certainly pass their unit labor cost increases straight back to the final in all likelihood is himself a wage or salary in the form of higher prices." Kremlin Does Its Bit Onus On U.S. In Mideast By ROD CURRIE WASHINGTON (CP) In the political manoeuvr- ing that has convulsed the Middle East of late, the heavy hand of the Kremlin could be seen urging Egypt toward a more conciliatory stance. THs accomplished, Jordan soon fell into line, with King Hussein announcing acceptance of the new Uni- ted States peace plan Sunday night. Now, in the view cf most observers, the onus is on the U.S. to push Israel in the same direction. The fear in some quarters'here, however, is that too much pressure could split the Israeli cabinet. The disagreement between hawks and doves in tire Israeli cabinet and the unusual, bitter attack on Egypt's President Nasser by street crowds Monday, accusing Mm of cowardice, illustrates again the broad range of opposing opinion that criss-crosses the trou- bled area. The betting is that Israel, although she has de- ferred a decision on the June 19 U.S. proposal, will soon come around. However, there is no doubt she will seek to extract additional Arab commitments as the price for her concurrence. Jordan Adds Rider Jordan, meanwhile, made clear in pledging her own support of the U.S. plan that she could not be held responsible for the activities of Jordan-based Palestine guerrillas. It is just such riders as this that makes the plan difficult to sell to tire more militant members of the Israeli cabinet. The American scheme, framed up by State Sec- retary Williarc Rogers, called for a 95-day ceasefire and a resumption of mediation efforts led by Gun- nar Jarring, the United Nations' envoy. All this would fall under the conditions of the UN Security Council's resolution calling also for Israeli withdrawal from ter- ritories occupied in the June, 1967, war, Arab rec- ognition of Israel's sovereignty and freedom of naviga- tion in the Suez canal and Strait of Tiran. Nasser's acceptance, after a 19-day visit to Mos- cow, lias delighted U.S. officials and presumably is in line with the Kremlin's new attitude on the Middle East. Some sources suggest that some such Kremlin movement was in the cards for some time. They say it would be self-indulgent for U.S. diplomats to believe Hie Soviets moved because of President Nixon's recent expression of fears that the Middle East was the world's most dangerous situation ani! mms of a possible superpower clash there. Sunday Bylaw Clears Hurdle Third and final reading of a motion declaring Section Four of the Lord's Day Act to be in force in Lethbridge was given at Monday's meeting of city council. The way is now cleared for Sunday movies and sports, with the exception of horse and racing and boxing and wres- tling. A petition against the passage of the bylaw submitted by local church groups did not have enough names to block the by- law and force a plebiscite. In- cluding 41 names turned in after the deadline, it contained about names, short of the necessary Alderman C. W. Chichester noted that persons wishing to oppose the bylaw had been given their chance, including a two-week extension on the peti- tion deadline, and there was no reason to delay final reading. Last night marked the first time any members of council commented directly on the pos- sible effects of (lie hew regula- tions. Aid.. Vera Ferguson said she felt Sunday should be pre- served as a day of worship, but social condiitons had changed enough that it no longer was observed in this way by most people in the community. Coun- cil's move was a reflection of the social reality, she said. Mayor Andy Anderson said he felt it should be left up to the individual to decide what he wanted to do with his Sun- day. The bylaw legally can go into effect the first Sunday following final reading. LEGAL ANGLE There was some question as to the legitimacy of some of the names on the petition. John Gerla, city clerk, told council of 650 names checked, 167 were not on the voter's list. Lawyer Briant Stringam, who represents the groups submit- ting the petition, said today he thought all the names were in order. His understanding was that if a person were qualified to vote he was eligible to sign the petition. There was no stipulation, he said, that a person's name had to be on the voter's list. Under the syste'm used In Lethbridge a person could be legally qualified to vote but not be on the list because he had not registered. A GPLBERT COOK killed JERRY BRAAT killed Canada Sends Long Note OTTAWA (CP) Canada de- livered a long note to the Rus- sian embassy here today on dangers to Canadian fishermen by activities of Russian fishing vessels off Canada's coasts. External Affairs Minister Mitchell Sharp and Fisheries Minister Jack Davis presented the "aide memoire" to the So- viet ambassador to Canada, Boris P. Miroshnichenko, in a half-hour meeting, an external affairs department official re- ported. He described an "aide a French phrase meaning to refresh memory, as a less formal diplomatic step than a note of protest. The delivery of the note was sparked by the sideswiping Sat- urday of a British Columbia fishing.-boat by vessel operating off tlia wesfucoast of Vancouver IsIanS. The external ejficial said the note was five pijges taining about words. It set out recent incidents involving Soviet and Canadian craft, pointed out dangers to Canadian vessels that resulted from thefe, incidents and stressed the need- for international rules govern- ing operation of shipping to be observed. Mr. Sharp and Mr. Davis went to the embassy after the cabinet discussed Monday the latest West Coast incident. Mr. Davis said Monday the government would increase sur- veillance of fishing operations in the Pacific waters, possibly calling in armed forces vessels and planes for this job. Mr. Davis said it appeared the Soviet vessels involved in the incidents were setting course for Canadian fishing boats, despite the fact that the Soviet vessels are equipped with modern radar. "We won't stand for this bullying." he said. Canadian fishermen had a traditional right to work the areas off the West Coast. GOING TO SEE Mr. Davis said he plans to spend a night or two aboard a Canadian fishing vessel off Van- couver Island in the next week or so to get a firsthand look at Russian fishing operations. Tom Barnett, NDP member of Parliament for Comox-AI- berni and spokesman for his party on fisheries matters, said in a news' release today that government ships should patrol the anchoring areas for Cana- dian fishing vessels off the West Coast. Two City Railmen Killed In Carmangay Derailment Switch Left Open By STAN FRUET Herald Staff Writer Two Lethbridge men are dead and three injured as the result of a train derail- ment early Tuesday at Car- mangay, 35 miles north- west of Lethbridge. Dead are trainman Jerry A. Braat, 26, of 824 4th St. S., and engineer Gilbert Cook of 232 23rd St. S. The three injured men, Ernest G. Store and Joseph Toth, both of Lethbridge and Frank Svoboda, of Frank, Alta., are in hospital in Car- mangay. Their condition is de- scribed as not serious. They were part of a dead head crew on the way to pick up an- other train. SWITCH LEFT OPEN A spokesman for CP Rail in Calgary, Earl Olson, said a switch was left open at Car- mangay and a northbound freight train with 58 cars en- tered the siding and collided head-on with 40 parked box cars. Two diesel units on the freight tram, three cars of hogs, one car of fresh beef, one flat car and three gondola cars were derailed. Some of the hogs were killed, but the majority were rounded up and penned up in a nearby lumber yard. Three cars on the siding were derailed and one was heavily damaged. Mr. Olson said a complete investigation into the accident is under way. Overall Picture of Carmangay Wreckage Taken by The Herald's Walter Kerber Inquisitive Soviet Ship Foils U.S. Missile Launch Medicine Hat Man Crushed To Death MEDICINE HAT (CP) A 63-year-old assistant foreman was killed Monday in an in- dustrial accident at a chemi- cal plant. William Galenzoski of Medi- cine Hat was crushed by two tons of bagged fertilizer which fell on him in a storage area of the Northwest Nitro Chemi- cal plant. Officials said he was work- ing with two other men when a 10-foot high stack of bags fell on him. The other men es- caped injury. Mr. iiad worked me firm for 14 years- and was two years from retire- ment. CAPE KENNEDY, Fla. (AP) The United States navy's first try at a submerged launch- ing of the Poseidon missile was foiled by an inquisitive Soviet trawler Monday and the test was rescheduled for next week. The milestone shot of the mul- ti-warhead Poseidon had been scheduled Monday from the nu- clear submarine James Madi- son. But it was postponed because a Soviet fishing vessel with elec- tronic gear moved to within 200 yards of the sub during a trial run last Friday, a reliable in- formant said. The navy announced Saturday the firing had been "deterred" Invites Hickel OTTAWA (CP) Northern Affairs Minister Jean Chretien has invited U.S. Interior Secre- tary Walter Hickel to tour the Canadian Arctic Aug. 14-18, it was announced today. A northern affairs department spokesman said Mr. Chretien would accompany Mr. Hickel on the tour. that "additional pre-fh'ght tests will be conducted and the test re-scheduled, probably next month." The informant, who was aboard a nearby surface sup- port ship, said: "It came close, to within 200 yards. Someone in lie Pentagon became a little apprehensive." Sources said another attempt would be made to fire the mis- 'Walter! There's a bomb in my sile next week even if the Soviet trawler is still in the area about 30 miles east of Cape Kennedy. NOT UNCOMMON The Rusian ship was well outside territorial limits, and such trawlers are a common sight Cape Kennedy when- even an important missile or mar.ncd space shot is con- ducted. The trawlers have shadowed Polaris nuclear subs hi the past, but never come as close as last Friday, sources said. It was speculated the trawler was testing sonar equipment on the submerged Madison and gathering information on the na- ture of the exhaust from the sub's nuclear power plant. Such data could help in developing detection systems. The Poseidon launch is to be the first from a submarine for this advanced weapon which is to replace the Polaris rocket starting early next year. Tiie Madison is the first of 31 Polaris subs refitted for the Po- seidon, which packs a re-entry vehicle capable cf delivering up to 10 nuclear warheads on sepa- rate targets. Seen and Heard ABOUT TOWN YEAR-OLD visitor Mark Whirling- ham, noting McKillop Uni- ted Church's distinctively- shaped collection plates, say- ing "At our church we pass a plate, not a hat" Card- ston Municipal Hospital nurse's aide Anne Lottos, running out of the residence to turn off (the sprinkler wlu'ch was drenching her room, only to find a hedge in a sheet of flames. Money Removed From Baiik MANSEAU, Que. (CP) This town's only bank will be closed and emptied of money before a threeday rock festival starts Friday, bank officials say. The Banque Canadienne Nationale has decided the money will be safer elsewhere during the three-day festival which organ- izers claim will attract up to personj, Dayan May Quit JERUSALEM (AP) Indica- tions are mounting that the Is- raeli government will agree re- luctantly and with conditions to the SO-day ceasefire proposed by the United States to get Middle East peace talks under way again. But press reports here said Defence Minister Mcshe Dayan is considering resigning if tire cabinet accepts the U.S. proposal. The reports said Dayan ex- pressed misgivings because the U.S. plan speaks cf Israeli with- drawal from the Arab lands captured in the 1967 war. Dayan believes that Israel's security depends on its retaining the Gaza Strip, the Golan Heights taken from Syria, and a coastal strip along the Sinai desert to the Strait of Tiran. the key to Israel's southern water route to East Africa and Asia. Falls In Porridge HONG KONG (Reuters) A prisoner in Hong Kong's Stan- ley prison died after falling into a val of hot porridge in the prison kitchen and suffer- ing severe burns, a govern- ment spokesman said here.