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GTE Corp. said it would boost the price of local pay telephone calls in California to 35 cents, the first increase since 1984. The announcement follows last month’s decision by Pacific Bell to boost the cost of pay calls at its phones to 35 cents. . . . Northwest Airlines will limit passengers on all flights to one carry-on bag, a move precipitated by growing customer frustration with overstuffed bins and resulting delays. The Minneapolis-based airline said the policy, which prohibits a second piece of carry-on luggage but allows an extra purse, laptop computer or briefcase, takes effect next Friday. . . . Cherokee Inc. retained Libra Investments to act as financial advisor in connection with a possible sale or leveraged recapitalization of the Van Nuys-based apparel maker. . . . Hershey Foods Corp. said it was suing Mars Inc. over an M&M; candy wrapper that allegedly infringes the packaging design for Reese’s Peanut Butter Cups and Reese’s Pieces, two of Hershey’s biggest brands. The lawsuit, filed in U.S. District Court in Harrisburg, Pa., seeks unspecified damages for alleged violations of copyright laws involving the marketing of M&M; peanut butter candies. Hershey says the violations date back to 1995. A Mars spokeswoman had no comment on the suit. . . . The United Auto Workers union plans to create a new top-level organizing position as part of a more aggressive push for new members, especially at automotive suppliers, union officials said.

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