Crippling News Walkout Continues; Little Hope of Immediate Settlement

NEW YORK CITY, N.Y., Dec. 3--The crippling newspaper strike, which has shut down seven of New Yorks' journals with a reading audience of over 5 million people, threatened to move into its sixth day with little hope remaining for a quick settlement.

While Washington authorities hurriedly appointed a three-man madiation penel to bring an end to the strike which has silenced the City's journals just at the height of the Christman shopping season, the City's photoengravers still sought a weekly wage increase.

Early today Federal mediation service Director Whitley P. McCoy told publishers and strikers that he hoped renewed efforts on both sides "will serve to bring about an early settlement aned resumption of publication."

It appeared possible last night that the strikers had other considerations in mind beside the straight wage increase. It is know that the strike may effect the future pacts reached with the whole newspaper industry.

Still Deadlook

Renewed negotiations began with the American Federation of Labor photoengravers still deadlocked over wages and fringe benefits with teh six marooned papers, the Times, Mirror, Post, Jurnal American, News, and World-Telegram and Sun.

The only other major daily, the Herald Tribune, which has its own photoengraving plant, suspended its publicatio Monday in sympathy with the six papers, refusing to be used as a lever in the dispute.

Four hundred photoengravers originally struck for wage boosts, but over 20,000 other newspaper employees refused to cross the picketlines, thus completing the strike. the publishers have called this a violation of its existing contracts with the non-striking unions.

Any settlement with the photoengravers may set a pattern for six other newspaper craft unions whose contracts with the newspapers are still expiring.

The publishers offered all seven unions a $3.75 a week package covering wages, welfare benefits, extra holidays and reduced hours. Currently, photoengraver salaries run from $120 to $131 a week. Phblishers claim that some photoengravers get enough overtime pay to boost their salaries to close to $190 weekly.

Spurn Arbitration

The photoengravers originally demanded a $15 a week package. They refused a publishers' offer to arbitrate on the eve of the strike and yesterday they again spurned arbitration. They went into executive session last night, halving their demands to a figure of $7.50. The publishers rejected the demands however.

While the pressrooms of teh deailies remained silent, the radio stations were taking full advantage of the situation.

"The sales department is going frautie--turning money down," station WOR reported. All of the station's radio time is sold out.

The National Broadeasting Company had sent out walking news dispensers. Three little men carrying portable radios have been walking through Times Square, Rockefeller Center and Madison Ave. wearing sandwich signs which say: "Ask me the lastest news."