Protect Atomic Risks - C&EN Global Enterprise (ACS Publications)

There is, despite all safety measures, a chance, however remote, of a catastrophic accident. The main ... View: PDF. Article Options. PDF (126 KB) · A...
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MANAGEMENT

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The Government should also provide insurance against atomic hazards

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report recommends, however, that die indemnity program cover government contractors as well as licensees. It also suggests that no limit be placed on die amount of indemnity.

Chemical Union Probe

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Protect Atomic Risks

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JL ο PROTECT the public and industry against losses which may be caused by atomic hazards, available private in­ surance is not enough. Government aid is also needed, according to results of a study conducted by the Legislative Drafting Fund of Columbia University. The report states that: "Appropriate use of both private and public resources would enable industry to participate in the development of atomic energy and at the same time give some assurance to the public that injuries suffered as a result of the development will be com­ pensated. . . ." The study was sponsored by the Atomic Industrial Forum and also b y manufacturers of nuclear reactors and components, electric utility companies, and private insurers. The basic problems behind financial protection against atomic hazards are: •Developing atomic energy, espe­ cially for power purposes, calls for large amounts of radioactive material. There is, despite all safety measures, a chance, however remote, of a catastrophic acci­ dent. • The main financial protection prob­ lem is the threat of huge liability to the public arising from an atomic accident. •Although private insurers give the atomic industry insurance coverage many times greater than that available in other industries, the coverage still does not cover the potential liability. • I n the AEC license program, the chance of unprecedented liability for a catastrophic accident is a big block to die broad private participation that has been a major objective of the Atomic Energy Act of 1954. To protect the public, the report rec­ ommends that the AEC require proof of financial responsibility as a must for licensing reactors or other atomic in­ stallations which use large amounts of radioactive materials. Above the amount of financial protection needed, a government indemnity should cover the possible liability to the public of the operator and any supplier. The report is in large agreement with a bill which was received favorably by the Joint Committee on Atomic Energy in the last session of Congress, but not acted on prior to adjournment. The

International president sus­ pends officials of New York local following reports of "racket" connections V v ALTER L . MITCHELL, president of

the International Chemical Workers Union, demonstrated a few days ago that he could dirow a bombshell all the way from Miami into the ranks of his powerful labor union in the New York area. Disturbed by reports of 'rack­ eteering" on part of minor officials, Mitchell suspended officers of Local 587, ICWU, New York, and ordered a full investigation of all amalgamated lo­ cals in the area wiui more than one con­ tract in the chemical industry. Local 587 itself has less than 50 members. At Newark, N. J. headquarters, Thomas E. Boyle, International's vice president, confirmed press reports that he had been appointed supervisor of Local 587 t o probe into the union's ac­ tivities. In this he will be assisted by John Banks, deputy supervisor. As diey were in the midst of an investiga­ tion, Boyle said, it would b e unwise to make any statement at this time and inquiries were referred to the ICWU president. Reached in Florida, Mitch­ ell asserted that his action did not mean diat the International Union was "pre­ judging" any of its affiliates, or that all were guilty of dubious practices or "shady associations." However, New York newspapers re­ ported that Mitchell had taken the sus­ pension action after discovery of al­ leged interlocking relationships be­ tween Local 587 and underworld influ­ ences. Boyle, at the Newark headquarters, said that the International Chemical Workers Union 'had about 15,000 mem­ bers in die area, represented for the most part at chemical plants in south­ ern N e w York State and nordiern N e w Jersey. The union is not represented in Delaware or Pennsylvania, he said.

Do Big Computers Pay Off? Fashion, unfounded promises and threats, and staff specialists are pres­ suring managers into acquiring expen­ sive electronic data processing ma­ chines, says Richard F. Neuschei o* McKinsey & Co. H e told the West