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Walsh was active in KC municipal improvement projects, and was a member of the Commercial Club in 1913 when he was nominated by President Woodrow Wilson to head the newly formed Commission on Industrial Relations.
By mid-1912, a number of prominent individuals — including social workers Jane Addams and Lillian Wald, industrialist Henry Morgenthau, Sr., journalist Paul Kellogg, jurist Louis Brandeis, economist Irving Fisher, and pacifist minister John Haynes Holmes — had asked President Taft to appoint a commission on industrial relations to ease economic tensions in the country.