The men will submit to arbitration on the question of
the legality of the masters' action, but will not allow the other matters to be submitted. The masters will admit arbitration only if the whole dispute is put before the arbitrators. The men, it is now said, might agree to arbitration on wages if hours were kept outside the terms of reference. Thus, if the employers would abandon the reduction of hours claim there is little doubt that a settlement could be reached. Unfortunately, negotiations broke down on Wednesday evening. The last concession of the Unions was that they would arbitrate at once on the legality issue and submit the question of arbitration on hours and wages to their members. The masters remained firm in their stand that any arbitration must be on the whole dispute and refused to admit that their action in posting notices could be contrary to their agreement. There is now but the week-end in which to reach agreement.