November 9, 1971

Sen, 76-2, approves Magnuson and Moss bill to establish Fed standards of fairness and clarity for warranties and to give FTC broad authority in consumer protection field; opponents of 2d provision, backed by Nixon Adm and organized business, try unsuccessfully to delete it; nay votes are by Sens Ervin and Hruska; outlook for favorable HR action on bill is uncertain because of opposition to 2d provision

THOUGHTFUL GIFT — for someone with limited vision. The New York Times Large Type Weekly. Call 536‐1143. Advt.

Chinese 6-man advance party under Kao Liang arrives, NYC, from Paris; met at airport by members of Albanian and Rumanian UN missions and by UN officials; in addition to Kao, are Chia Tzu-cheng, Tien Jung-tsien, Lin Chia-sen, Hsu Hsin-li and Liu Chen-piao; taken to Roosevelt Hotel; hold brief int; pay goodwill calls on Rumanian and Albanian missions; Kao illus at airport; Wang Hai-jung illus at Peking banquet

Pay Bd, overriding unanimous labor objections, votes 10-5 to set 5.5% standard for wage increases during Phase 2 of Nixon Adm's econ stabilization program; bd's guidelines for anti-inflation efforts rule out retroactive payment of most of raises that workers lost during wage-price freeze; wage increases scheduled under existing contracts to go into effect after freeze will be allowed unless they are challenged by 'party of interest' or by at least 5 bd members; when such challenge occurs, deferred raises will be revd to determine whether any increase is unreasonably inconsistent with criteria estab by bd; Meany charges that bd has 'abrogated our contracts'; bd chmn Boldt asserts he is confident that bd labor members will not walk out as result of vote

Chou stresses Communist China in UN will take cautious approach and will align itself with lesser developed nations, int with Japanese newspaper ed M Goto; says China is analyzing Assembly vote; discusses possible relations with such nations as Israel, Portugal, Japan