on the job in each job category, Mr. Harris testified, they would be forced to hire non-union people and

...

tomorrow, the Post Office job would be shut down. That is a reality of life, and I am sure you know this.

Union representatives were asked what they would do if a Federal contractor hired outside the hiring hall in order to get minority workers. The answer was unanimous-the unions would enforce their contract.91

Raymond Dones, a Negro electrical contractor in the Bay Area, criticized Federal contract compliance efforts as ineffective. When asked whether he thought the new affirmative action program would be successful, he replied:

As I understand the new attempts, they are still asking
for voluntary compliance and there has been no show of
force on the part of the Federal Government, and without
this show of force that they will in fact enforce the letter
and the spirit of this Executive Order 11246, there will not
be any substantial compliance with it."

At the San Francisco hearing, the Office of Federal Contract Compliance was represented by Vincent Macaluso, Assistant Director in charge of Construction, and Robert Magnuson, Area Coordinator for San Francisco.

Mr. Macaluso was asked what, as a practical matter, a plumbing contractor in the Bay Area could do to comply with the Executive

order:

MR. MACALUSO: What we do [require] ... is actively
to seek and sponsor members of minority groups for pre-
apprenticeship training....

MR. GLICKSTEIN: Mr. Mazzola [of the Plumbers Union]
said he was opposed to pre-apprenticeship training....
MR. MACALUSO: [W]e deal with the contractors. Actually
our office deals with the Federal agencies and the
agencies deal with the contractor.98

It was difficult to tell from Mr. Macaluso's testimony what positive results would be achieved by the Bay Area affirmative action program, since he did not indicate how union opposition would be overcome. In response to Commissioner Griswold's question:

Have the efforts of your office brought about the employ-
ment of one minority plumber in the San Francisco Bay
Area?

Mr. Magnuson, replied: "Not to my knowledge." 94

Since Federal construction contracts create many job opportunities, termination or suspension of such contracts would have a substantial adverse effect on the employment prospects of union members. Nevertheless, Mr. Macaluso testified that to his knowledge, no Federal construction contract ever has been terminated for non-compliance.5 And the sanction of suspending the award of contracts has been used rarely.

96

Another way in which the Federal Government has attempted to combat union discrimination is through the work of the Bureau of Apprenticeship and Training (BAT).

BAT promotes and registers apprenticeship programs. Registration provides the legal basis for Federal support of the apprenticeship program. Such support, although not extensive, includes technical assistance and some financial benefits. To be registered a program must meet certain Federal standards which are incorporated into BAT regulations. These regulations require that the selection of apprentices to fill job openings must be based on "qualifications alone," using nondiscriminatory criteria.

The Commission heard testimony at its Cleveland hearing describing the testing and apprenticeship selection procedures of the Joint Apprenticeship Committee of Plumbers Local 55.100 This local's program is registered with the Ohio State Apprenticeship Council. Such registration automatically qualifies an apprenticeship program for Federal support where the State requirements for registration, as in Ohio, meet Federal requirements. 101 The program is serviced and compliance monitored by BAT's Cleveland office since the Ohio Council has no field staff. 102

As of April 1966, only one of the 163 apprentices in the program was Negro. 103 Martin Kilbane, Chairman of the Joint Apprenticeship Committee and a member of the union, testified that his committee gives preference to friends and relatives of union members:

MR. GLICKSTEIN: I notice that on the application form
this question appears: "Have you any relatives or friends
in the plumbing trade?" What is the purpose of this
question?

MR. KILBANE: Well, we sort of feel that all things being
equal, when we are placing apprentices and they are on
the qualified list, that if we have an application from let
us say, a son of a plumber, we will definitely try to place
him, all things being equal.104

Oscar Poole, BAT's representative responsible for reviewing the plumbers' apprenticeship program, testified that he never had made a field review of Local 55's procedures. 105 Mr. Poole was asked whether, on the basis of Mr. Kilbane's testimony, he thought that the plumbers apprenticeship program was in compliance with the requirement that apprentices be selected on the basis of "qualifications alone":

MR. POOLE: I would say that if the Committee made its
selection on the basis of its qualification and selection
procedure, that has been registered with the State Coun-
cil, using the evaluation, then they would be in
compliance.

MR. GLICKSTEIN: They are in compliance even though as
you heard Mr. Kilbane testify all things being equal,
preference will be given to sons or relatives of members?
MR. POOLE: That is not on the evaluation [form] of the
apprentice.

106

Mr. Poole maintained, in the face of Mr. Kilbane's testimony, that the program was in compliance and asserted that he did not propose to undertake a field review of the program unless the Ohio State Apprenticeship Council requested one:

MR. GLICKSTEIN: What do you propose to do as a result
of the testimony you heard here today?

MR. POOLE: Whenever there is a complaint or a request
from the State Council to review and discuss this with the
Plumbers Committee, that will be my function if I am
designated to do it.

...

107

The Flight of Jobs. Those confined to the ghettos of the central city today are faced with another serious obstacle to employment-the movement of industry from the city. Jobs-both private and publicincreasingly are being dispersed from large urban centers to smaller cities and suburban areas.

108

San Francisco Mayor John F. Shelley testified that small industry in San Francisco was "bit by bit moving out":

Why are they moving out? Because we are only about 45,
46 square miles in our geographic area, the city and
county of San Francisco, and these small industries were
operating in two and three and four story loft buildings.
Their handling expenses, their overhead were going up,
and yet the property upon which that building was lo-

cated kept increasing in value and they were on high cost
property.... As a result, a lot of these small industries
have moved down the Peninsula, across to Alameda
County, Contra Costa County. 109

This exodus, Mayor Shelley stated, reduced the availability in San
Francisco of blue collar work.

The impact on minority workers, especially minority youths, was sharp. Orville Luster testified:

[I]n a city like San Francisco where you have been losing

a lot of your factories, and this type of thing, since 1950,
we are more of a financial center, it makes it very difficult

to find the beginners' jobs.

...

...

110

Lyle Schaller, a city planner in Cleveland-a heavily industrial citytold the Commission:

Most of the employment opportunities opening up are in
the suburban communities, many of them in the southern
and western part of the counties are quite some distance
from where the Negro population lives.

... It raises a problem in terms of simply knowing about
the jobs being advertised, of getting there before the job
is filled, and this kind of thing, plus the problem of trans-
portation which is a serious problem for many Negro
families.111

The city of Oakland-in Alameda County-has a population of 385,700. About 120,000 are nonwhite. The unemployment rate for the Negro population was 13 percent; another 10 percent of the male working force was neither working nor looking for work; the unemployment rate for teenagers was 41 percent. Yet, in the suburban portions of Alameda County-where there are approximately 185,000 jobs at all skill levels only a small fraction, roughly 3,700, are held by Negroes. 112

Few Negroes live in suburban Alameda County. Public transportation from central city to suburban areas is limited and expensive and the cost of commuting by car, which includes automobile insurance, license fees, and substantial expenditures for gasoline and maintenance, is more than most slum residents can afford. 113 Employers, moreover, prefer to hire persons living close to work in order to reduce absenteeism and to build a labor pool which can be recalled easily after layoffs. The suburban Fremont plant of Trailmobile Division of Pullman, Inc., at one time hired employees who lived in Oakland, 25 miles away. This policy changed in 1961, according to the testimony of Leo F. Smith, personnel manager, when nine employees in the company's critical metal department were injured seriously in a chain collision of vehicles on the approach to the San Francisco-Oakland Bay Bridge. The company then decided to restrict its hiring to persons living "closer to the plant to try and eliminate the problem of absenteeism due to freeway accidents." 114 The result of this change in policy was to restrict employment possibilities for Negroes.

Housing

Asked at an open meeting what she would do if she had a better income, Mrs. Charlotte Gordon, a resident of a Gary slum, replied: "The first thing I would do myself is to move out of the neighborhood." 115

Another resident of the same area, Mrs. Friels, in reply to the identical question, said she would like to move to "someplace where we could have a lawn, you know, and just breathe free air for a change." 116

To many slum residents, just as to other Americans, moving to a better neighborhood may mean more than obtaining better housing. For one thing, it may give their children the opportunity to grow up in a healthier atmosphere. Mrs. Gordon explained why she wanted

to move:

I feel this is a slum, and if your children grow up in this
kind of thing, never seeing anything else, what are they to
know about it? You tell them about it, but how can
you tell them about it? 117

The opportunity to move outside the ghetto also may mean the opportunity to send children to better schools. And it may bring one closer to job opportunities; the flight of jobs from central cities would not present a barrier to employment opportunity for Negroes if they were able to live in the areas where the jobs were being relocated.

Negroes who live in slum ghettos, however, have been unable to move to suburban communities and other exclusively white areas. In part, this inability stems from a refusal by suburbs and other communities to accept low-income housing. 118 Even Negroes who can afford the housing available in these areas, however, have been excluded by the racially discriminatory practices not only of property owners themselves, but also of real estate brokers, builders and the home finance industry.119 An important factor contributing to exclusion of Negroes from such areas, moreover, has been the policies and practices of agencies of government at all levels.