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VOLUME 3 NUMBER 2 MARCH, 1965
Soulé News
*The welfare of California business and industry has been challenged by the proposed repeal of the California "Buy American Act." This Act compels all public agencies in the State of California to purchase domestic products manufactured or produced in the United States.*
*Soulé strongly believes that retention of this Act is necessary for the well-being of every Californian, and is devoting a major portion of the NEWS this month to explain its importance.*
*California Industry and Labor:*
DEMAND FAIR FREE TRADE
Since 1935, the California "Buy American Act" has served the best interests of our State by requiring California government to buy domestic materials for all State work.
In the absence of a specifically enforced law, the California "Buy American Act" has provided limited, but important protection against the indiscriminate "dumping" of foreign products in our State.
In the United States Steel Corporation's 1964 Annual Report, "dumping" is defined as: "the practice of selling in export markets at prices below those prevailing in the exporting country, when accompanied by injury, or threat of injury, to the industry of the importing country." This practice is condemned by most nations.
Assembly Bill 1644 was recently introduced before the California State Legislature. It calls for repeal of the California "Buy American Act," and thus repeal of limited protection against indiscriminate "dumping."
If the California "Buy American Act" is repealed, the steel industry of this State would lose one of its best customers—California government. The injustice is that we would lose to unfair competition.
To repeal the California "Buy American Act" is to ask the steel industry of this State, to sell its products to government agencies at prices commensurate to foreign prices. This request is both intolerable and unjust because of basic dissimilarities between the "American Way of Business" and most foreign business systems. The concept of "Free Trade" is highly illusory in view of these differences:
The California steel industry is governed by the principles of private enterprise—most foreign steel industries are generally regulated by cartels, (a combination of independent commercial enterprises designed to limit competition). These cartels are directly or indirectly government subsidized, and are encouraged to sell their products at high, fixed prices in their own countries, and at low export prices.
We pay our steelworkers the highest wages in the world, three to four times as much as steelworker wages in most foreign countries.
Generally speaking, these foreign countries have a marked advantage in the area of shipping rates. Import shipping rates for most foreign nations to the West Coast are substantially lower than shipping rates from the West Coast to most foreign ports.
In addition, tariffs are also substantially higher. A publication by the Joint Economic Committee in 1961 indicates: "the U. S. tariff (weighted average) on iron and steel is 8 per cent, whereas, the Japanese tariff is 15 per cent, Canadian tariff is 22 per cent, the Italian tariff is 17 per cent, Austria tariff 24 per cent, and so on. It is quite clear that in every case the foreign tariff is higher than the U. S. tariff.
As we have clearly illustrated, large foreign cartels are regulated by monopolistic practices which encourage fixed prices, government subsidy, high tariffs, artificially low shipping rates, and indiscriminate dumping practices.
"Free Trade" is virtually impossible in consideration of these factors, in every case the U. S. is placed at a distinct disadvantage to foreign nations in the realm of international trade.
There are several alternatives which can be taken to bring about a situation of *Fair Free Trade*. First, we can reorganize the "American Way of Business," and fashion it after the monopolistic systems of most foreign nations. Naturally, action of this sort would be in direct defiance to the "American Way of Business," and therefore this alternative must be ruled out.
Secondly, we can demand a law, or system of laws, which will make "Free Trade" fair for both sides. This is the answer, but it will take time to materialize.
In the meantime, we must stick to our present defenses, the California "Buy American Act," which gives us limited protection against the opportunistic practices of most foreign nations.
*Photo: Where There is Unemployment, There is Hunger: men out of work and out of food find a moment of mild relief during the Great Depression. The California "Buy American Act" fights unemployment by supporting California industries.*
*Photo: The California "Buy American Act" keeps our products moving and our men working.*
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FOREIGN PRODUCTS SPELL UNEMPLOYMENT
For every two tons of steel imported into the United States, one American workman loses approximately 30 hours of work. In months when 10,000 tons of reinforcing steel are imported into Western ports, 200,000 man hours are lost by American workmen. In other words, 5,000 American workmen are unemployed one week out of every year because of imported steel products. Indirectly, this affects many times this number of people.
For over 30 years, California has had a law which combats a portion of the State's unemployment problem — the California "Buy American Act." Today, it is threatened to be repealed. If it is, the door would be opened wide to a whole flood of artificially low priced foreign products, and the State's economy would deflate like a punctured balloon.
What's wrong with letting the State buy foreign products that are inexpensive? On the outside, it seems economical, but in the long run it would cost Californians a great deal.
The biggest part of the expense would be shoved on the shoulders of California workmen. That's not hard to believe. If the State buys foreign products instead of domestic ones, California laborers will have that much less work to do.
President's Column
I would like to extend my sincere appreciation to all of our employees who signed the Employee Petition supporting the California "Buy American Act."
Every one of the signatures will contribute significantly in the fight to retain the act.
I urge everyone to continue their efforts to retain the California "Buy American Act" by writing letters to the assemblymen and senators in your districts.
Retain the California "Buy American Act," and safeguard the life of California businesses.
Again, my personal thanks for your response on a matter of great importance to all of us.
*Edmund J. Soule Jr.*
And if California products start to collect dust on the shelves, California workmen will find themselves out of jobs. Why produce more when you can't sell what you've already produced?
The repeal of the California "Buy American Act" will guarantee one thing, and that is that there will be more unemployment in our State.
The California "Buy American Act" provides State business for private industry and aides in creating a portion of the 200,000 new jobs needed each year in California to take care of the population growth alone.
Its direct effect on Soulé employees is clear if we consider that government purchases of reinforcing steel in California accounts for one-third of the total consumption in the Western States.
The loss of this large tonnage to imported steel would seriously damage the reinforcing steel industry, bringing about repercussions that would threaten the welfare of every Soulé employee.
Herman Nichols, president of Tubbs Cordage Company, California, accurately expressed his opinion on the "Buy American Act," when he said recently, "its repeal would be one more nail in the coffin."
FIELD JOB OF THE MONTH: PHOENIX COLISEUM
Want a versatile coliseum that seats 15,000 people, has a permanent ice rink on the ground floor, and provides parking facilities for 5,000 automobiles?
Phoenix did, so Soulé shipped 500 tons of rebar and 440,000 square feet of mesh to the Arizona State Fairgrounds where the new coliseum is going up.
We are installing rebar cages for 1,000 precast panels, each weighing 2,000 pounds. The cages and precast panels will deck the Phoenix Coliseum's stressed cable roof—only the third one of its kind in the world.
Under the direction of John Cundiff, Job Foreman, and with handy help from Bob Lee, Field Superintendent, Bob Reed, Assistant Superintendent, John Henderson and Morris Egan, Ironworkers, the coliseum is quickly taking shape.
As of this date, everyone on the job is gunning for October 15th as the deadline day, just in time for the 1965 Ice Follies.
*Photo: Placing Soulé rebar high atop the Phoenix Coliseum: a daring job for daring men.*
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NAMES AND FACES IN THE NEWS
Mike Mickel has been promoted to Director of Safety for the entire company. He was previously San Francisco Safety Manager, a title he will continue to hold. Mike will maintain headquarters at the Home Office.
Alan (Al) Case is advanced to Estimating Supervisor Central District for the Architectural Products Division. He was formerly a Senior Curtainwall Estimator in San Francisco.
The following changes have been made in the Steel Structures Division:
Charlie Weeks has been promoted to San Francisco District Sales Manager. He was formerly Coordinator of the Central District.
Robert Morris is transferred to Supervisor Sales Service.
John Bialik is transferred to Supervisor Southwest Sales Service. He was Regional Sales Estimator and Sales Coordinator in L. A. prior to his recent appointment.
Don Morgan, a new member of the Steel Structures Division's sales staff, recently organized a successful panel discussion ("Golden Gate Story" KGO TV, S.F.), on transportation problems in the Bay Area.
Jack Crimmins has been appointed Superintendent of Fabrication for the Reinforcing Division in San Francisco.
Richard Petersen has received a similar post at our Dominguez mill. He was formerly a Supervisor at the S. F. plant.
John McPhedran, Industrial Engineer, is a new Soulé employee at Dominguez. He has had extensive engineering experience with various companies in Los Angeles and Canada.
Byron Todd, is the new Time Study Engineer at the Los Angeles plant. He was a Production Supervisor with Virgo Manufacturing Co., before joining Soulé.
John Stockwell is appointed Salesman for the Special Products Division's Southwest Region.
Jim Bedford, General Manager of the Architectural Products Division, announces the following changes in assignment for:
Gary Assmussen, Operations Coordinator in the Southwest Region, reporting to Jim Guilmet, Regional Field Superintendent.
Bob Gross, Costing and Standards, S. F., reporting to Division Estimating Manager, Bruce Tuck.
Herb Lange, Superintendent of Standards, Home Office, reporting to Ian Miller, Director of Design.
Bob Rackerby, Operations Cost Control, San Francisco, reporting to Peter Molinari, Division Operations Manager.
Don Whitaker, Shop Scheduling, reporting to Al Schurner, San Francisco Plant Manager.
*Photo: Mike Mickel*
*Photo: Charlie Weeks*
*Photo: Richard Petersen*
*Photo: John McPhedran*
*Photo: Byron Todd*
*Photo: John Stockwell*
Steel Structures News
The Steel Structures Division has three new dealers to announce this month:
A-Dee Construction Company, Inc., Reno, Nevada; Bitter Root Builders, Inc., Hamilton, Montana; and Denny and Gianoli Contractors, Ukiah, California.
Bill Coppedge, Soulé Steel Structures Sales Engineer from 1957-61, is the new president of Modern Steel Structures, Modesto, California. Modern Steel is one of the Division's oldest dealer-erectors. Congratulations, Bill.
LETTER WRITING
The company is starting a letter writing campaign in defense of the California "Buy American Act," and urges all Soulé employees to participate.
Information regarding the names and addresses of your district assemblymen and senators will soon be available through your division and department managers.
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Ironworker - Author - Hunter
Dave Hiehnis, Ironworker at Phoenix, travels to Alaska during the summer months in search of adventure and experience. That's exactly what he finds.
Dave enjoys roaming the rugged Alaskan countryside in chase of wild game—a pastime that would take the spunk out of many a sportsman.
Most of Alaska is a wild frontier land—cold, rough, and virtually undiscovered by civilization as we know it, but its big forests hold plenty of big game, and Dave knows a hunter's paradise when he sees one.
When he is not hunting, Dave is recording his Alaskan adventures with paper and pen.
Obviously, he is as good a writer as he is a hunter. Several of Dave's articles, along with photos of his adventures, have been published in Wild Life Magazine.
*Photo: Hiehnis — adventures in a rugged country and the professional writer.*
Car Batteries
*by Mike Mickel*
Putting a flame or spark near a car battery may cause it to explode. A man in Wyoming couldn't see in the dark to check the water level of his car battery, so he struck a match. The battery exploded, throwing acid in his eyes.
Another man in Pennsylvania, to test whether his battery was charging, ran a file across the two terminals. The resultant spark caused the battery to blow up. He suffered acid burns.
A battery while charging generates hydrogen gas that can build up near the opening at the top of the battery. The least spark, supplied by flame or electricity, can create an explosion.
Smoking, making an arc, or striking a flame near a battery is dangerous.
The next time you lift the hood of your car, remember these points. A moment of caution on your part may prevent a serious accident.
S. F. SAFETY COURSE
As part of our company's safety program, a Safety Training Course is being given for all production foremen and supervisors at San Francisco.
The course covers such subjects as: Supervisory Responsibility for Safety, Safeguarding Machines—Material Handling, Fire Protection and Prevention, and Accident Reports—Investigation.
San Francisco plant foremen and supervisors attending the first meeting were:
Noah Bennight, Paul Blickle, George Borg, Jack Crimmins, Curly Dinse, Augie Dimicelli, Ed Eschenauer, Andy Fabbri, Roy Fisher, William Fought, Del Garner, Edd Kapp, Frank Lawrence, Gene Maier, Pink Masters, Don Mattade, Frank Menges, Hans Muhleman, George Neubrand, Russ Normile, Val Normile, James Pomposo, Al Schurner, Val Stepesnick, Nick Theodos, Charles Thompson, and Carlos Velez.
Soulé News
Published monthly by the Soulé Steel Co.
Robert F. Horn, Editor-in-Chief David Brancoli, Editor Jean Boreta, Staff Assistant
Associate Editors Mike Mickel, San Francisco
Andree George — Salt Lake Esther Longnecker — San Diego Dee Henderson — Seattle Frank Kleman — Dominguez
Jo Davis — Fresno Don Garner — Los Angeles Rod Newton — Phoenix Dolores Bedgood — Portland
*Photo: Mike Mickel, and Jim Butler, Senior Safety Engineer for Liberty Mutual Insurance Company, direct San Francisco Supervisor Safety Training Course.*