ABC Evening News for Tuesday, Oct 12, 1971
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(Studio) Orgd. labor agrees to sit on pay board after White House pledges no fed. agency will veto board's decisions.
REPORTER: Harry Reasoner
(DC) Memo sent to AFL-CIO President George Meany from President [MEANY - cites memo giving control to board; says Cost of Living Council won't have veto power; notes labor to help make phase II work, will serve on pay board, set up own watchdog units to monitor prices and oppose President' tax measures in Congress] [NIXON - welcomes help of organized labor on pay board Cntry. won as result of labor-admin. dispute.] Labor Secretary George P. Shultz present. Labor insists wage increase in contracts be paid. [MEANY - says pay bd.'s action won't bind unions.] If inflationary % not cut, unions will feel free to strike.
REPORTER: Sam Donaldson
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