To the Congress of the United States:
Pursuant to the Labor-Management
Relations Act, 1947, as amended, I am reporting to the Congress about the
recent labor dispute in the maritime industry.
A strike took place at 12:01
AM, June 16, 1961. Although only the ships in port and the employees on
such ships were immediately affected, the dispute involved virtually all
American shipping companies, some 70,000 employees and about 900 ships
and affected the trade and commerce of every Atlantic, Pacific and Gulf
port in the United States.
On June 26th, by Executive Order
10949, I established a Board of Inquiry, consisting of the Honorable David
Cole, Chairman, Judge Samuel I. Rosenman and Professor James J. Healy,
to inquire into the issues involved in the dispute and report to me on
or before June 30th, in accordance with the provisions of Section 206 of
the Labor-Management Relations Act, 1947, as amended. I subsequently extended
the time for the submission of the initial report of the Board of Inquiry
to July 3rd.
That report concisely presented
the facts with respect to the dispute and the positions of the parties
as required by law.
On July 3rd, acting on my instruction,
the Attorney General filed a petition in the District Court for the Southern
District of New York seeking an injunction against the continuance of the
strike. A hearing was held on the Government's motion for a temporary restraining
order on July 3rd, and the Court, after finding that the strike affected
a substantial portion of the maritime industry, and that it would imperil
the national health and safety if permitted to continue, temporarily restrained
the strike activities until July 8th. A stay of that order sought immediately
by the unions was denied by Circuit Judge Clark. (United States v. National
Marine Engineers' Beneficial Association, et al., 292 F. 2d 190, CA
2, July 8, 1961.)
A hearing was held on the Government's
motion for a preliminary injunction on July 7th, and the temporary restraining
order was extended until July 12th. Two days before this order was to expire,
the Court found that it had been "abundantly and overwhelmingly established"
that the strike was affecting a substantial portion of the industry, and
if permitted to continue would imperil the national health and safety.
In addition, it rejected the contention of the National Maritime Engineers'
Beneficial Association and the International Organization of Masters, Mates
and Pilots that, because their membership consists of "supervisors," their
participation in the strike could not be enjoined. (United States v.
National Maritime Union of America, et al., 196 F. Supp. 374, S.D.N.Y.,
July 10, 1961.)
The unions appealed to the U.S.
Court of Appeals, Second Circuit, which, in an opinion issued August 22nd,
affirmed the lower court's decision. (United States v. National Marine
Engineers' Beneficial Association, et al., 294 F. 2d 385 CA 2.)
Pursuant to Section 209(b) of
the Labor-Management Relations Act of 1947, as amended, I reconvened the
Board of Inquiry. The Board held meetings with the parties and obtained
the information required for its further report of the current position
of the parties and the efforts which had been made for settlement, including
a statement by each party of its position and a statement of the employer's
last offer of settlement. This Final Report of the Board of Inquiry was
submitted to me September 1st.
On September 25th, the Attorney
General moved the District Court to discharge the injunction, which motion
the Court that day granted effective September 21st.
I am happy to report that settlements
were reached by all parties to the dispute.
JOHN F. KENNEDY