Daily News from New York, New York • 5

1 DAILY NEWS, WEDNESDAY, MARCH 15, 1978 5 ORESKES grant city workers a pay raise and that the increases cannot be paid for productivity improvements. Concedes on Pay Hikes and Some Benefits By MICHAEL Mayor Koch is prepared to agrees with his chief labor advisers totally out of "give-backs" and That new position is an important development in the city's intertwined labor and fiscal negotiations and means that the administration will have to find as much as several hundred million dollars more than the $457 million now being pieced together to bridge a budget gap. A top Koch administration official made that disclosure to The News while the city publicly made its first conciliatory gesture to the unions by withdrawing 19 of its 60 demands for sharp slashes in benefits. What's Up? SSTs Over Manhattan By RICHARD EDMONDS Gleaming white against the slate gray overcast sky, two supersonic Concordes thundered over Manhattan's skyline for the first time vesterday morning on an infrequently used arrival route to Kennedy Airport that carried the jetliners at altitudes of 1,000 feet or less over part of Brooklyn and Queens. High-rise office workers saw the rare sight shortly after 10 a.m.