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Administrative Law Keyed to Mawshaw
Amalgamated Meat Cutters v. Connally
Citation:
337 F. Supp. 737 (1971)Facts
In August 1970, Congress passed the Economic Stabilization Act, granting the President authority to stabilize prices, rents, wages, and salaries. The Act was initially set to expire in February 1971 but was extended multiple times. On August 15, 1971, President Nixon issued Executive Order 11615, implementing a 90-day freeze on prices, wages, rents, and salaries. The Amalgamated Meat Cutters and Butcher Workmen union had negotiated collective bargaining agreements with major meat packing companies in April 1970 that included a twenty-five cent per hour wage increase scheduled to take effect on September 6, 1971. When the companies refused to implement the wage increase due to the freeze, the union filed suit challenging the constitutionality of the Economic Stabilization Act as an excessive delegation of legislative power to the President. The union also argued that the Act improperly allowed the President to impair existing contracts and that the authority to stabilize “wages and salaries” did not include authority to control fringe benefits.
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