TECHNOLOGY

and

MANPOW ER

in the TEXTILE

•

INDUSTRY

of

the

1 9 7 0 ’s

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TECHNOLOGY and MANPOWER

in the

TEXTILE INDUSTRY

of the 1970’s

Bulletin No. 1578

AUGUST 19S8

UNITED STATES DEPARTMENT OF LABOR Willard Wirtz, Secretary

B U R EA U OF LABOR S T A T I S T I C S A r t h u r M. Ross, C o m m is s io n e r

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Preface

This bulletin describes changes in technology in the textile industry, one of the major

industries of the economy, projects their impact on productivity, employment, occupational

requirements, and discusses methods of adjustment. It is one of a series of reports designed to help meet the requirement of the Manpower Development and Training Act that

the Secretary of Labor “evaluate the impact of and benefits and problems created by

automation, technological progress and other changes in the structure of production and

demand on the use of the Nation’ s human resources; establish techniques and methods of

detecting in advance the potential impact of such developments;......*

The study was based on information obtained from Bureau and other government

sources, trade and technical publications, discussions with company, union, and government officials, and textile equipment manufacturers, and attendance at conferences and

exhibits. The Bureau of Labor Statistics is deeply grateful to many individuals who furnished valuable information and reviewed and commented on the draft of this report.

Special acknowledgement for photographs is due Saco-Lowell Shops, Draper Corporation,

M. Lowenstein &; Sons, Leesona Corporation, and the American Textile Machinery

Association.

The bulletin was prepared by Rose N. Zeisel in the Bureau’ s Office of Productivity,

Technology and Economic Growth, under the supervision of Edgar Weinberg, Deputy

Assistant Commissioner. The study is part of the Bureau’ s research program on productivity, technology, and economic growth under the general supervision of Jerome A.

Mark, Assistant Commissioner.

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CONTENTS

Page

Summary and Highlights................... . .......................... . ........................................................... 1

Chapter I. Introduction: The textile industry’ s place in the economy...................... 4

Definition of the industry.......................................................... ............................................... 4

Relationship to other industries.................................................................................. 6

Changing competitive position.................................................................................................... 6

Chapter II. Background of technological change...................... 8

Stages of development...................................................................................................................... 8

Barriers to technological change...................................................................... 

New directions......................................................................................................... 

Trend toward larger business u n its............................................................................. 10

Improved financial position............................................................................................. 10

Increasing expenditures for modernization. ................................................................... 12

Growth of interest in research and development.......................................................... 14

Chapter III. Technological prospects in the 1970’ s ............................................................. 17

Changes in broadwoven production............................................................................. . . . 17

Opening and blending'............................................................................................................... 19

Picking...................................................................................................................... 

Carding.......................................................................................................................................... 19

Drawing..................................................................................... 

Roving...................................................................................................................................... 21

Spinning......................................................................................................................................... 22

Winding and warping.............................................................................................................. 23

Weaving................................................................................... 

Finishing...................................................................................................................................... 25

Instrumentation................................................................................................... 

New methods of production......................................................................................................... 26

Chapter IV. Assessing the rate of technological change................................................... 29

Indicators of output per m an-h our.......................................................................................... 29

Interplant differences in efficiency.......................................................................................... 30

Output per man-hour in hypothetical model plants............................................. 31

Fixed capital and capital-output ratios................................................................... 33

Growth in electric energy consumption...................................................................... 35

Horsepower of power equipment................................................................................................ 36

Chapter V. Production trends and prospects........................................................................ 37

Trends in production..................................................................................................................... 37

Changing composition of fiber consumption........................................................................... 38

Outlook for manmade fiber consumption. .............................................................................. 40

Chapter VI. Employment trends and outlook........................................................................ 43

Employment trend s..................................................................................... 

Employment outlook........................................................................................................................ 44

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C ontents - - Continued

Trend in industry sectors . . . ............................................................................................... 45

Production worker employment................................................................................... 45

Trend in unemployment........................................................................................................... 46

Regional distribution of jo b s ..................................................... 48

Changing age composition................. 49

Employment outlook for women . . . . '................................................................................. 50

Employment of N egroes........................................................................................................... 52

Chapter VII. Occupational changes and prospects............................................................ 55

Job content and Training................... ..................................................... ................................ 55

Machine tenders or operatives................................. ................. ................. ... 55

Future job content............................................................................................................... 56

Effect on the worker . . ........................ ............................................................................. 57

Technical w o rk e rs.............................................................................................................. 58

Supervisory and management staff................................................................................. 58

Industry occupation projections............................................................................................. 59

Chapter VIII. Working conditions and adjustments to technological change .... 62

Working c o n d i t i o n s .............................................................................................................. 62

Earnings and compensation...................................................................................................... 63

Adjustments to technological change.................................................................................... 65

Advance notice....................................................................................................................... 66

Workload adjustments . ...................................................................................................... 67

Transfer rights and retraining . . ........................................................................ .. . . 67

Layoff and recall............................................................................. 68

Income maintenance.............................................................................................................. 69

Outlook ....................................................................................................................... 70

Appendix tables:

A -l. Corporate Internal Funds and Total Expenditures for Plant and

Equipment, 1947-66 ................................ 71

A -2. Age of Equipment of Large Companies, Manufacturing and Textile

Mill Products, 1962 and 1966 .............................................................................. 71

A-3. Employment in Textile Mill Products Industry, 1947-66................................. 72

A-4. Regional Distribution of Textile Employment, 1947, 1954,

and 1963.... ................................................................................... . . . . . . . . 72

Bibliography......................................................................................................................................... 73

Tables:

1. Textile Fiber End Use Consumption, 1949-52, 1957, and 1965 ..................... 6

2. Imports of Semimanufactured and Manufactured Products of Cotton,

Wool and Manmade Fibers Relative to Domestic Consumption,

Selected Years................................................................. 7

3. Corporate Sales and Profit Rates, Manufacturing and Textile Mill

Products, 1947 and 1957-66 .......................................................................... 9

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Contents - -Continued

Tables--Continued Page

4. Value of Shipments Accounted for by the Largest Textile

Companies, 1954 and 1963................................................................................... 11

5. Expenditures for Plant and Equipment, Manufacturing and Textile

Mill Products, 1947 and 1957-66 ........................................................................... 12

6. Percent Distribution of Establishments and Expenditures by

Type of Company, 1963 ............................................................................................. 13

7. Operating Rate and Capacity Expansion, Textile Mill

Products, 1958-66 ...................................................................................................... 13

8. Research and Development Funds, Textile and Apparel

Industries, 1957-66...................................................................................................... 15

9. Research and Development Funds, Textile and Apparel

Companies, by Employment Size, 1958 and 1961-65 ......................................... 15

10. Hosiery Industry, Output Per Man-Hour and Related Data,

Selected Years............................................................................................................... 30

11. The Ratios of “More Efficient” to “Less Efficient” Plants and

to Average Plants, 1958........................................................................................ 31

12. Output Per Man-Hour in Model Cotton Print Cloth Mills . ........................... 32

13. Changes in Unit Man-Hour Requirements, by Operation, in Model

Cotton Print Cloth Mills, Selected Years 33

14. Stock of Fixed Capital and Capacity, Textile Mill Products,

1948 and 1963 ............................................................................................................... 34

15. Cotton and Manmade Fiber Broadwoven Production, Looms and

Loom Hours, 1948 and 1965 .................................................................................... 35

16. Electric Energy Consumed, Textile Mill Products and Selected

Industries, 1947 and 1965.......................................................................................... 36

17. Horsepower of Power Equipment Per Production Worker,

Manufacturing and Textile Mill Products, 1939, 1954, and 1962............ 36

18. Indexes of Production for Manufacturing and Textile Mill

Products, Selected Years.......................................................................................... 37

19. Percent Distribution of Mill Fiber Consumption, Actual Pounds and

Cotton Equivalents, 1947, 1957, and 1966 ..................................................... 40

20. All Employees and Production Workers, Textile Mill Products,

Selected Years............................................................................................................... 44

21. All Employees and Production Workers in Textile Mill Products

Industry, 1959, 1963 and 1966 ................................................................................... 46

22. Production Workers as Percent of Total Employment.................................... 47

23. Unemployment Rates in Manufacturing and Textile Mill

Products, 1958-66 ...................................................................................................... 47

24. Employed Persons, by Sex and Age Group, Textile Mill

Products, 1940, 1950, and I960 ................................................................................ 50

25. Women Employees in Textile Mill Products Industry,

1959 and 1966 ............................................................................................................... 51

26. Negro Employment in Textile Mill Products Industry,

1940, 1 950j and I960 ................................................................................................... 52

27. Textile Mill Employment by Region, Color and Sex, 1950 and I960 .... 53

28. Total and Negro Employment in Textile Mills in South Carolina,

Selected Years............................................................................................................... 53

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29. - Employment Changes in Textile Industry of South Carolina, by

Sex and Color, 1940-65 ............................................. .................... ... . . . 54

30. Percent Distribution of Textile Employment by Occupational

Group, I960 and 1975 .............................. ................ ................................ .. 59

31. Hours and Earnings of Production Workers in Manufacturing and

Textile Mill Products, 1 947 and 1 957-66, . . . .......................................... .. 63

32. Hourly Earnings of Workers on Cotton Carded Yarn or Fabric,

Selected Occupations, New England and Southeast Regions,

1954 and 1965 ........................................................................................................... 63

33. Compensation of Employees in Manufacturing and Textile Mill Products

Industry, 1 947 and 1957-66...................................................................................... 64

34. Employer Expenditures for Selected Supplementary Practices for

Production and Related Workers in Manufacturing and Textile

Mill Industries, 1959 and 1962 .......................................................................... 65

Charts:

1. Corporate Internal Funds and Total Expenditures for Plant and

Equipment, 1 947-66 ............................................................................. ... 14

2. Age of Equipment of Large Textile Companies, 1962, 1966 14

3. Major Processes in an Integrated Cotton Broadwoven Mill........................ 18

4. Employment in Textile Mill Products Industry, 1 947-66 ........................... 43

5. Regional Distribution of Textile Employment, 1 947, 1954 and

1963.................................................................................................. 49

C ontent s - - C ontinued

Table s- -Continued Fbge

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Summary and Highlights

Technological and economic developments in the textile industry.have far-reaching

implications for the utilization and adjustment of manpower. This bulletin surveys these

changes, analyzes their impact on employment, manpower utilization, skill and occupational requirements in the 1970’ s, and discusses provisions for manpower adjustments.

Trend Toward Modernization

Interest in modernization of machinery, managment, and marketing is being stimulated by domestic and foreign competition and sustained by the relatively high profit rates

of the past few years and the emergence of large vertically-integrated companies. Substantial investment in new plant and equipment is reducing technical obsolescence, and this

trend is expected to continue. The leaders in these changes, however, are the larger,

financially-able companies; thousands of small companies are only moderately involved in

modernization. High cost mills will remain sensitive to increasing competition from more

efficient producers.

Technology in the 1970’ s

Technological changes in the next decade will include wide-scale adoption of important

modifications to conventional machinery, in some instances, the first advances in 50 years.

Basically these changes comprise faster, larger capacity and more automatic machinery,

and improvements in auxiliary equipment, such as automatic machine cleaning and

materials -handling equipment. More radical changes, such as the combination or elimination of certain operations, computer process control in finishing, and new types of fabric

formation will also affect textile production in the next decade, but their adoption is likely

to be more gradual and, in some instances, limited.

Shift to Manmades

Manmade fibers, the result of intensive research by the chemical industry, influence

every facet of the textile industry. Manmades, primarily synthetic noncellulosic fiber

(nylon, polyester, etc.), accounted for more than half of all mill fiber consumption in 1 966

(cotton equivalent basis). Advantages to the processor can include lower unit labor requirements and shorter processing time for some fibers, relatively stable prices, and less

waste. By 1975, manmade fibers may constitute two-thirds of mill fiber consumption (cotton

equivalent basis) in spite of stepped-up R&D for natural fibers.

Potential for Technological Advance

Quantitative indicators of various facets of technological change, such as output per

man-hour and electric power and horsepower per worker, suggest a relatively high rate

of advance in the postwar period. After World War II, wide-scale closing of marginal mills

tended to raise the average level of technology in the industry; in recent years industry

growth and high investment were major factors. Potential for a continued high rate of technological advance is sugge sted by the wide gap in “efficiency” between the “more efficient”

mill or model mill and the average mill.

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Production Prospects

Production increased slowly through most of the postwar period but moved up sharply

in the 1 960’ s, reflecting stronger demand for civilian and defense purposes. Wide variations

exist among sectors. Wool textile output declined substantially in the postwar period; manmade fabrics, knit goods and carpets had rapid growth. A high growth rate is expected

in the 1970*8, but below the 1961-66 rate.

Imports Increase

The volume of imports, a strategic and uncertain factor in the outlook, has been increasing. The ratio of imports of cotton, wool and manmade fiber products (semi manufactured and manufactured) to domestic fiber consumption (measured in pounds of fiber) rose

sharply in 1966, after several years of relative stability. The import ration in 1966 was

four times as large as in 1954. The multilateral Long Term Arrangement to provide for the

orderly growth of cotton textile imports, in effect from 1962 to 1967, has been extended

for a 3-year period. Wool and manmade textile imports are unregulated.

Employment and Unemployment Outlook

Although employment increased in the mid-1960*s, projections for 1975 forsee a

continuation of the long-term decline but at a much slower rate. Unemployment rates have

fallen substantially in recent years, but rates in some areas, particularly New England,

continue to be high. Some of the decline in employment may take place through the retirement of older workers and the transfer of worker s to other industries. But the work-force

will remain vulnerable to high unemployment rates as marginal plants with obsolete

equipment are shutdown during short-term periods of slackening demand.

Women in Textile Mills

Almost half of all textile workers are women, and the proportion has been increasing

slowly since 1940. Several technological innovations primarily affect women* s occupations

(in winding, drawing, and packaging), and will probably reduce job opportunities in these

operations. On the other hand, as mechanization continues, new jobs may open to women

which previously were considered physically too arduous for them. In general, women’ s

job opportunities are closely related to the available male labor supply; women’ s largest

employment gains occur during wartime or in periods of full employment.

Outlook for Negro Employment

Negro employment in the textile industry increased in the postwar period, in spite of

substantial decreases in overall textile employment. In some Southern textile centers,

however, the ratio of Negro employment remained fairly stable until the mid-1960*s, when

white male and female workers moved into generally higher paying jobs and Negroes were

hired to meet demand created by turnover and expansion. Greater opportunities in other

industries for white workers, the declining influence of isolated, socially-cohesive mill

towns which tend to restrict Negro employment, and expanded efforts of the Equal Employment Opportunity Commission may continue to increase Negro gains. On the other

hand, technological changes reducing unit labor requirements for unskilled workers may,

in the long run, adversely affect opportunities for Negro workers.

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More Patrolling and Monitoring

Further mechanization will continue to reduce the time allotted to traditional manual

functions of loading, unloading, repairing, and machine-cleaning and to materials-handling

functions of lifting, pushing andhauling. The textile operative of the 1970’ s will spend more

time patrolling and monitoring a greater number of machines. Greater responsibility which

is required for higher-speed and more fully integrated machinery may result in greater

stress on the workers, although this may be off set by transfer of certain manual functions

to the machine.

Occupational Trends Continue

Projections of the industry’ s occupational structure for 1975 expect that the bulk of

textile employment, the semiskilled operative group (weavers, spinners, knitters, etc.) will

continue to decline as a proportion of total employment. White-collar occupations will increase relative to the total by 1975, with professional and technical workers showing the

greatest gains0 Skilled worker requirements are also expected to increase relatively, while

the proportion of laborers probably will decline significantly.

Implications for Education and Training

Technological advances do not require, in general, a long period of training or retraining except for a few skilled worker s, such as loom fixers. Greater emphasis, however,

is being placed on more formal training rather than on traditional on-the-job learning, and

on slightly higher educational requirements for more skilled and supervisory jobs. Textile

skills are not easily transferable to other industries, and in the event of layoff, retraining

for new skills may be necessary.

Adjustments to Technological Change

Formal provisions for adjustment to technological change cover only a small proportion of the workers in the industry and are found primarily in plants with union agreements.

Only about a fourth of all textile workers are in mills covered by collective bargaining

agreements. Some contracts contain provisions which require advance notice, or union

consultation, or a trial period for a proposed technological change. Contract provisions to

financially assist the worker who is laid off are very limited. In the event of plant closings

in some localities or sectors of the industry, government institutions for unemployment

insurance, placement, and retraining can play an important role in assisting the textile

worker.

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Chapter I. Introduction: The Textile Industry's Place in the Economy

The textile mill products industry, one of America's oldest industries, employs

over 900,000 workers or about 1 out of 20 manufacturing employees. One of the first

to adopt power machinery, the industry has gone through various phases of rapid growth,

stability, decline, and revival. This report deals primarily with postwar changes in the

industry and the outlook for the 197D*s>

At the end of World War II, the industry faced critical readjustment problems that

brought about a severe contraction of employment lasting until 1963. Having been geared

to peak wartime output and large postwar markets, the industry found itself in the 1950's

with declining markets, excess capacity, obsolete equipment, and high unit costs. Many

hundreds of high-cost mills, unable to compete in the smaller postwar market, closed,

or merged with, or were acquired by financially stronger companies. Rising imports,

low levels of production, prices, profits, and investment in plant and equipment, and

sharply declining employment characterized the decade of the 19 5 0 ’ s.

In the 1960*s, the Federal government instituted several measures to assist the

industry, including the 1962 Long Term Arrangement with leading textile nations to

provide for the orderly growth of cotton textile imports over a 5-year period; more

liberal depreciation allowances to encourage investment; elimination of the two-price

cotton system \J which handicapped textile manufacturers; and an expanded program of

government sponsored research. These provisions and subsequent favorable economic

conditions of the 1960*3 created a climate for change in the industry which will be discussed in the following chapters.

This chapter briefly defines the industry, describes its relationship to other industries, and indicates its relative position in the domestic and international economy. It

provides the background for subsequent chapters on technological prospects and their

manpower implications.

Definition of the Industry

The industry comprises about 7,000 establishments engaged in the conversion of

raw materials such as cotton, wool, and manmade fibers into yarn, thread, broad and

narrow fabrics, knit goods, carpets and other miscellaneous products., Using the Standard

Industrial Classification system, nine industry groups are distinguished. Of these, five

relate to spinning and/or weaving m ills: Cotton broadwoven fabric mills (SIC 221); man-

_1j Under the government* s program (originated to lower CCC holdings), raw cotton

could be exported at 8-1/2 cents per pound below the domestic price. Foreign textile

manufacturers could buy raw cotton at the lower price and sell the finished cloth in the

United States.

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made fiber and silk broadwoven fabric mills (SIC 222); wool broadwoven fabric and finishing mills (SIC 223); mills making narrow fabrics and other smallwares (SIC 224); and

yarn and thread mills (SIC 228). These industries comprise about 2,200 establishments

and more than half of the employees. A sixth group (SIC 225) comprises knitting mills (including hosiery and knit underwear, outerwear and fabric), totaling more than 2,800 establishments and one-quarter of all textile employees. Other groups include mills for

dyeing and finishing textiles other than wool fabrics and knit goods (SIC 226); establishments producing woven or tufted floor coverings (SIC 227); and miscellaneous textile

goods (SIC 229), including such items as felt goods, tire cord and fabric, and nonwovens,

Relationship to Other Industries

The textile mill products industry is affected by and, in turn, influences changes in

industries from which it purchases materials and supplies, and to which it sells its output. The value of shipments in 1966 totalled $19.6 billion and total cost of materials

$11.7 billion. Because of the large amount of purchases, even small proportions of the

industry’ s total outlay can be significant to a supplier industry.

The bulk of the industry’ s purchases, about 45 percent in 1965 (latest data available),

came from other sectors of the textile industry, a result of the vertical fragmentation of

production. Purchases of raw cotton and wool made up about 11 percent of total purchases.

Synthetic fiber constituted about 18 percent of total purchases made by the yarn and broadwoven sector, and about 34 percent of the purchases made by the carpet and miscellaneous textile sector. Purchases of chemical products usedfor processing fiber and fabric

accounted for about 3 percent, and rubber and related products about 1 percent.

The increasing interdependence of the textile industry and the synthetic fiber indus -

try is one of the most important and far-reaching developments. Large outlays for R & D

and promotion have contributed to the rapid growth of synthetic fiber utilization. The textile industry purchases more than 35 percent of the output of the plastics and synthetics

industry.

As a producer, the industry is heavily dependent on sales to the apparel and other

consumer goods industries, and therefore, is affected by changes in disposable personal

income. Over 80 percent of all fiber used in textile pr oduction in 1965 went for consumer

uses (excluding tires): 41 percent for clothing; 29 percent for house furnishings; and 10

percent for other consumer type products, such as apparel linings. Industrial products,

such as tires, sewing thread, rope, twine, and cordage took 1 7 percent of all fiber consumed in mills in 1965, a considerable decline from 24 percent for the years 1949-52.

About 3 percent of fiber consumed in mills was exported in semi-fabricated or fabricated

form, compared with 6 percent for the years 1949-52. (See table 1.)

Changing Competitive Position

The textile industry’ s relative domestic and international economic position declined markedly during the postwar period. National income originating in the industry in

1965 constituted 3.5 percent of income originating in all manufacturing as compared with

7.9 percent in 1947. In terms of employment, textile mills employed 5.0 percent of all

manufacturing workers in 1966 compared with 8.4 percent in 1947.

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Table 1. Textile Fiber End Use Consumption, 1949-52, 1957, and 1965

Type of end use 1949-52 j 1957 1965

Millions of pounds

T otal------------------------------------------------- 5, 837 6,238 8,486

C lothing----------------------------------------------------- 2, 328 2,559 3, 484

Other consumer u se s------------------------------- 586 655 875

Home furnishings--------------------------------------- 1, 163 1,466 2, 433

Industrial uses--------------------------------------------- 1,405 1,210 1, 440

Exports--------------------------------------------------------- 355 348 254

Percent of total

T otal------------------------------------------------- 100.0 100.0 100.0

C lothing----------------------------------------------------- 39.9 41.0 41. 1

Other consumer u se s--------------------------------- 10.0 10.5 10.3

Home furnishings--------------------------------------- 19.9 23.5 28.7

Industrial uses--------------------------------------------- 24.1 19.4 17.0

Exports-------------------------------------------------- ----- 6. 1 5.6 3 .0

NOTE: Because of rounding, sums of individual items may not equal totals,,

SOURCE: Textile Economics Bureau.

Textiles have been confronted with increasing competition from paper and plastic

materials, particularly for industrial uses. For example, the automobile industry, the

largest industrial consumer for textiles, has been increasingly substituting plastic and

foam rubber in place of textile fibers, reducing fiber poundage for car upholstery and

slip covers about 20 percent from 1957 to 1965. Also, new types of paper are replacing

fabric for bags and bagging, and for institutional use.

Relative to world textile production, the U.S. share of production declined significantly in the postwar period as capacity in war-torn and developing countries expanded.

Recent studies indicate that the United States accounted for about 25 percent of total

world production of textiles in 1953 compared with about 21 percent in 1966 which reflects some recovery in recent years. In 1950, U. S, cotton mill consumption constituted

31 percent of world mill consumption, in 1953, 23 percent and by 1965, it had declined

to 19 percent. The growth of the synthetic fiber industry in other countries provides the

basis for expansion of textile production. From 1955 to 1966, the U.S. share of noncellulosic fiber output declined from 65 percent to 38 percent of world production.

The recovery in world production ushered in a period of rising textile imports. (See

table 2.) From 1954, when imports of semimanufactured and manufactured products constituted 2 percent of domestic consumption (cotton, wool and manmade fiber, measured in

pounds), the import ratio rose almost steadily to 6.7 percent in 1962. The cotton import

ratio was 1.2 percent in 1954, 7.2 percent in 1962; wool, 13.9 percent and 25.6 percent;

manmade, 0.4 percent and 1.3 percent, respectively. These overall ratios reflect substantial variation among smaller sectors of the industry. For several sectors including

ginghams, worsted fabrics, sweaters, gloves, velveteens and others, the import penetration

was substantially and significantly greater.

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Imports of Semimanufactured and Manufactured Products of Cotton, Wool, and

Manmade Fibers, Relative to Domestic Consumption, Selected Years

Table 2,

Year

All fibers 1 Cotton

Domestic

consumption 2 I Imports 2 Imports

as percent

of domestic

consumption

Domestic ]

consumption 2 j Imports3 Imports

as percent

of domestic

consumption Million of pounds Million of pounds

1940 - — .............— ............................... 4 ,7 2 6 ,9 64. 1 1.4 3 ,82 2 .6 43.2 1.1

1945 — 5, 668. 1 41.4 .7 4, 248.7 25.2 .6

1954 - ... ........ ................................. ............. 5, 742. 0 114.4 2.0 3, 885.6 48.5 1. 2

1962 7 ,2 0 6 .4 486.0 6.7 4, 277.5 309.8 7. 2

1964 — — — — — — — — — -------— 7 ,9 3 8 .0 491.4 6. 2 4, 331.4 300. 2 6. 9

1965 — — — — — — — — — — - 8 ,75 9 .2 595.7 6.8 4, 664.3 360.6 7.7

1966 — — — — — — — — — — 9 ,407.7 756.4 8 .0 4 ,9 3 8 .8 495.9 10.0

W ool4 Manmade

1940 .....— — — ............... — .......... 416. 9 20. 2 4 .8 487.4 0 .8 0 .2

1945 ----------- ----- ------- - 604.6 15. 5 2.6 ; 814.8 .7 . 1

1954 ................... ...........................................— 439. 5 61.0 13.9 1, 416.9 4 .9 .4

1962 — — — — — 570. 3 145.6 25. 6 2, 358.6 30. 6 1. 3

1964 — 490. 8 141. 1 28. 8 3, 115.8 50.0 1. 6

1965 — 527. 5 156, 1 29.6 3, 567.4 79.0 2.2

1966 — — — — — — — — — 500.5 142. 9 28.6 3, 968.4 117.6 3 .0

1 Cotton, wool, and manmade,

2 Domestic consumption equals mill consumption plus imports minus exports of semimanufactured and manufactured

products.

3 Raw fiber equivalent.

4 Apparel and carpet wool.

SOURCE; Department of Agriculture; Department of Commerce; and Textile Organon.

In 1962, following extensive congressional hearings on the industry’ s problems, the

Ixvag Term Arrangem ent (LTA) was negotiated with leading textile nations to regulate

cotton textile imports for five years. Imports of wool and manmade fiber textiles were not

regulated. After a relatively stable period from 1 962 to 1964, cotton imports rose sharply

in 1965 and 1966. Wool imports fluctuated only slightly in those years and in 1966 was at

the 1962 im port level. Manmade imports which account for about 16 percent of the total,

rose steadily from 1 962 to 1 966 and most sharply in 1965 and 1966.

In total, im ports of the three fibers remained fairly stable from 1962 to 1964 and

then rose sharply in 1965 and 1966. Since domestic consumption increased from 1962 to

1/64, the import ratio declined from 6.7 to 6.2 percent. In 1965 and 1966, however, imports

rose substantially more than domestic consumption and the import ratio increased to 6.8

and 8.0 percent respectively. The cotton import ratio stood at 10 percent, wool at 28.6

percent and manmade fiber at 3 percent in 1966.

The changing pattern of textile imports and exports has resulted in a negative

balance of trade in the three major fiber manufactures of about $600 million in 1966.

For the first time, imports of manmade fiber manufactures exceeded exports (dollar

value), and cotton imports were almost double our exports. The U.S. balance of trade for

manufactures of all fibers in 1966 was a deficit of approximately $900 million.

In addition to increasing competition from other materials and from imports, interfiber competition, which will be discussed later in this study, further complicated the industry’ s problems.

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Chapter II. Background of Technological Change

In order to understand technological and manpower developments in the industry, it

is necessary to review some historical factors affecting the industry’ s efforts to modernize and to analyze current changes in organization, finances, investment, and research

which will influence future trends.

Stages of Development

Technological innovation in the textile industry proceeded rapidly in the United

States in the first half of the 19th century, after having been restricted by British embargoes on the export of textile machinery and skilled labor. The first modern textile

factory in America incorporating all processes in one mill under one management was

opened in Waltham, Massachusetts, in 1814. One of the most important technical developments of this period was Thorp’ s ring spinning system in 1828 which reduced greatly

unit labor requirements for skilled labor. The textile industry was one of the major growth

industries of the expanding American economy during the early 19th century.

A second phase of significant technical innovation and economic change occurred at

the turn of the 20th century. Northrop* s loom, the fir st major change since the power loom of

1785, ejected the empty bobbin and inserted a fresh bobbin automatically, greatly increasing productivity. One weaver could supervise as many as 16 looms instead of 2 looms and

stops were reduced from 200 to 6 a day.

The Northrop loom appeared on the market when cotton textile mills were moving

from the North to the South, and the new mills of the South adopted the loom fairly readily which resulted in strengthening their long-run competitive position. The Northern

mills, however, did not modernize as rapidly. By 1914, over 40 percent of the Southern

looms were automatic compared with 26 percent in the North. By 1929, the proportions

had risen to 80 percent in the South but were only 59 percent in the North.

Innovations in the first half of the 20th century were limited, for the most part, to

evolutionary modifications of existing textile machinery. The impact of any one technical

change during those years tended to be small, although taken in the aggregate, they resulted in greater productivity. The changes in machinery, products and materials which

occurred in the late 1950*s and 1960*s will be discussed in the next chapter.

Barriers to Technological Change

Textile producers have generally been conservative about major technological

changes, tending to retain traditional methods of production. The pattern was to maintain machinery for the depreciation life of the machine, usually 30 years, although it

was often outmoded in considerably less time. Although this conservative attitude dominated the industry in the past, the economic and structural factors underlying it

appear to be changing.

One explanation of the industry’ s lack of innovation has been the high degree of vertical “fragmentation” of the business structure. Crucial steps in the industrial process

of making textile products are divided among companies which are independent of one

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another. Thus, most textile mills are single unit, highly specialized operations, such as

yarn mills, traditionally oriented to production of an intermediate product. Only about

40 percent of all cotton and synthetic broadwovenmills were integrated in 1958 (the latest

data available)--i.e., they purchased raw material and processed it through weaving.

Moreover, very few cotton and synthetic fiber broadwoven mills do their own finishing.

Goods may be marketed by commission houses or independent selling agents. Most of the

large mills are integrated, however. Although the independent mill manufacturing an intermediate product may have some advantages of flexibility, he may be handicapped by

his lack of direct contact with and knowledge of the market for finished goods. This

would tend to discourage change.

Relatively low profits of most mills in the postwar years have also been an important factor discouraging innovation. (See table 3.) Average textile corporate profits (after

taxes) per dollar of sales and per dollar of stockholders’ equity in the 1950’ s averaged

about 50 percent of the rate for all manufacturing corporations. Moreover, textile producers tended to limit capital spending, on average, to internal funds (undistributed profits

and depreciation allowances) which were not large enough in this period to permit expenditures much over the amount needed for maintenance of installed machinery and equipment.

Table 3. Corporate Sales and Profit Rates, Manufacturing’ and Textile Mill Products, 1947 and 1957-66

Year

Corporate

sales, textile

mill products

(millions)

Percent of profits after taxes

On sales1 On stockholders’ equity 1

Manufacturing

Textile

mills

products

Manufacturing

Textile

mills

products

1947 ---------- -------- - -------------------------------- $9,027 6.8 8.2 15.6 19. 5

1957 — — --------------------------------------------------- 13,056 4.8 1.9 11.0 4 .2

1958 - - — - — -------------------------------------------- 11, 970 4. 1 1.6 8 .6 3.5

1959----------------------------------------------------------- 13,762 4 .8 3 .0 10.4 7 .6

I9 6 0 ---------------------------------------------------------- 13, 254 4 .4 2 .5 9. 2 5.8

1961--------------------------------------------------------- 13,398 4.3 2. 1 8.8 5 .0

1 9 6 2 -- -------- - - - ------------ 14,449 4. 6 2.5 9.8 6.2

1963 ----------------------------------------------------------- 15,092 4.7 2.3 10. 2 6 .0

1964----------------------------------------------------------- 16,249 5.2 3. 1 11.6 8 .4

1965----------------------------------------------------------- 18,028 5 .6 3.8 13.0 10.8

1966----------------------------------------------------------- 19,513 5.6 3 .6 13.4 10.0

1 Annual rate, average of quarterly profit rates.

SOURCE: Federal Trade Commission and Securities and Exchange Commission.

Finally, until recently, little attention was paid to developing new products and markets, and little market research or advertising was carried on. This reliance on existing

managerial and entrepreneurial methods was reinforced in some companies by family

ownership and management which tended to be conservative in instituting major changes.

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New Directions

An improved financial position, competitive pressure to reduce unit costs, larger, 

more integrated units, and a favorable economic outlook set the stage in the 196Q’ s for

unprecedented interest in modernization. This is reflected in increased expenditures for

plant and equipment and for research.

Trend toward larger business units. One of the most significant developments in the industry is the trend toward larger business organizations. Between 1955 and 1966, about

365 textile companies, according to the Federal Trade Commission, were acquired by

other companies through mergers and acquisitions. Most of the acquiring companies

were also in the textile industry. In some cases, the objective was diversification, such

as one company’ s acquisition of hosiery and carpet mills; in others, the objective was

greater vertical integration through acquisition of spinning mills and retail clothing

outlets.

Mergers among textile companies also occurred in large numbers in the 1920’ s 

and 1930’ s, when small mills merged in an effort to offset the financial power and merchandising experience of the commission or selling house. In the 1 940’ s, wartime pressure to expand facilities, coupled with material and machine shortages, agai$ favored

integration. Between 1940 and 1946, half the industry’ s spindle facilities were sold in

vertical acquisitions.

The best available measure of the trend toward larger business organizations is

the increasing proportion of the textile industry’ s output accounted for by the largest

textile firms, although relative to many other industries, these ratios are still low. In

the cotton broadwoven sector, the value of shipments by the four largest companies rose

from 18 percent of this sector’ s total in 1954 to 30 percent in 1963. (See table 4.) In the

synthetic broadwoven sector, the four largest companies increased their share of expanding total shipments from 30 percent in 1954 to 39 percent in 1963, In the knit underwear sector, the ratio rose from 26 percent to 33 percent (Census data).

There is, however, wide variation in concentration among the various textile sectors.

Shipments of the four largest wool weaving firms accounted for over 50 percent of shipments in 1963; in the yarn sector, 17 percent; and in knit outerwear, only 11 percent.

Improved financial position. The industry’ s profit position improved in m id-1960 relative to the 1 950’ s, although it is still considerably below the levels for all-manufacturing

industries. In 1964-66, corporate profits (after taxes), as a percent of sales, averaged

3.5 percent compared with 2.6percent in the 1950-59 period, and 2.4 percent in the 1960-63

period. Stockholders’ equity as a percent of sales averaged 9*7 percent in 1 964-66 compared with 5.8 percent in 1960-63, Preliminary estimates for 1967, however, indicate some

cutback from recent high levels.

Profit ratios of the leading textile corporations have been, on the average, considerably higher than those of all corporate producers of textile mill products. In 1966, the

average profit-sales ratio of the 4 leading (publicly owned) corporations (based on data

from Textile Industries) was 39 percent higher, and of the 15 leading corporations was

about a quarter higher, than the average profit ratio of all textile corporations. The ratio

ranged widely for the 1 5 companies, from 2.1 percent to 7.2 percent.

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T able 4, Value of Shipments Accounted for by the Largest T extile Companies, 1954 and 1963

(Percent of total shipments)

Selected industry sectors,

and year 1

; 4 largest

\ ... ... ........

; 8 largest 20 largest

I— ‘— ------ ------“

1 50 largest

Weaving mills, cotton: |

1954 —---------------------- ------------ ------------- : 18 i 29 49 j (2 )

1963 - - - - - - — ---------- ----------- ______ 30 j 46 67 ! 87

Weaving mills, synthetics: i

1954 ------------------------------------------ - - - - 30 J 39 55 S (2 )

1963 ------------------------------------------- 39 \ 48 64 82

Weaving, finishing mills, wool: !

1963 - -------- ----------------------------- - - - 51 : 58 71 85

Narrow fabric mills:

1954 — ------ --------------------------------------- 13 21 37 ( 2)

1963 ------------------------------ - 20 30 47 68

Women's hosiery, except socks: I

i

1963 ------------------------------------- j 34 47 64 79

Hosiery, not elsewhere classified: 1

1963 — — — — — — — — — — I 18 25 38 58

Knit outerwear mills: 1

1954 — — — — — — — — — — 6 10 20 (2)

1963 — — — — — — — ! ii 16 27 43

Knit underwear: !

1954 — — -------- --------------------- ; 26 40 64 (2)

1963 ------------------- — — — — — — 33 52 73 93

Knit fabric ‘'mills:

1954 ------------------------------- ----------— — 17 29 51 (2)

1963 — -------- --------------— — — — 18 25 42 65

Finishing plants, cotton:

1963 — — — ------------— „ — — 45 •59 77 92

Finishing plants, synthetic:

1963 — — — — — — — ---------- 31 44 61 81

Woven carpets and rugs:

1963 ------ --------- -------— — — — — — 67 88 98 99

Tufted carpets and rugs:

1963 — ------------ -------- — — ----------- 25 41 65 87

Yarn mills, except wool:

1963 -------- — — — — — — ------------- 17 27 46 68

Thread mills:

1954 ---------- ----------------------------------------- 66 78 92 ( 2)

1963 --------------------------------------------------- 68 85 96 99

1 Comparable data for some years are not available due to significant changes in the Standard

Industrial C1 assification,

2 Not available.

SOURCE: Bureau of the Census.

The increased availability of internal funds for investment is of major significance in

the industry’ s efforts to modernize. Corporate internal funds, i.e ., undistributed corporate profits and capital consumption allowances (depreciation charges and accidental da-*

mage to fixed capital) rose from an annual average of $420 million in 1950-59, to $695

million in 1960-66, a 65 percent rise. As shown in Chart 1, the rise in expenditures for

new plant and equipment (corporate and noncorporate), in recent years, closely paralleled

the increase in corporate internal funds. In 1965 and 1966, expenditures for plant and

equipment exceeded the large internal funds, a reflection of the importance of modernization to the industry and the investors’ confidence in the future.

Federal measures have contributed to creation of conditions favorable to large scale

investment in new plant and equipment. The depreciation schedule of 1961 reduced the

average depreciable life of textile machinery from 15-40 years to 12-15 years. Also, the

textile industry, along with other industries, benefited from an investment tax credit on

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expenditures for new equipment which went into effect in 1962. After several months’

suspension in the fall of 1966, it was reinstated in the spring of 1967.

Increasing expenditures for modernization. A sharp increase in expenditures for new plant

and equipment in the past 5 years, following more than a decade of low investment, has

provided opportunities for introduction of new technology. Expenditures for plant and

equipment between 1962 and 1966 inclusive, totaled $ 4.1 billion, or an average of $ 820

million a year (OBE-SEC data) compared with an average annual of $430 million over

the 1957-61 period. In 1966, total expenditures on new plant and equipment amounted to

$ 1.13 billion (table 5).

Table 5. Expenditures for Plant and Equipment, Manufacturing and

Textile Mill Products, 1947 and 1957-66

(Billions of dollars)

I

I

Year i Manufacturing Textile mill products

1947 ----------------------------------- $8. 70 $0. 51

1957 ----------------------------------- 15. 96 .41

1958 ----------------------------------- 11.43 .2 9

1959 ----------------------------------- 12. 07 .41

I960 ----------------------------- — 14. 48 . 53

1 9 6 1 ------- ---------------------- 13.68 . 50

1962 ----------------------------------- 14. 68 .61

1963 ----------------------------------- 15. 69 .6 4

1964 ----------------------------------- 18.58 . 76

1965 -------------- -------------------- 22. 45 . 98

1966 ----------------------------------- 26. 99 1. 13

Average annual percent change

1947-57 ------------------------------ 6.3 -2. 2

1957-66 ----------------------------- 6.0 11. 9

SOURCE: Department of Commerce and Securities and Exchange

Commission.

It is important to recognize that the bulk of these expenditures were made by the

larger textile companies. Establishments inmultiplant companies, which constituted about

one-fourth of all establishments in the industry in 1 963, spent about three-fourths of total

capital expenditures, according to Census data. 2 / (See table 6.)

The bulk of capital expenditures was for modernization and replacement, but since

I960, an increasing proportion has been spent for plant expansion. A considerably larger

proportion is also being spent on “automated” machinery and equipment, 21 percent in

2 / The Census Bureau estimates of capital expenditures differ from the joint Office

of Business Economics-Securities and Exchange Commission data. In addition to sampling

variations, Census data relate only to manufacturing establishments while OBE-SEC

includes all establishments, manufacturing and nonmanufacturing of manufacturing

companies.

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Table 6. Percent Distribution of Establishments and Expenditures

by Type of Company, 1963

Item All Multi-unit

companies

Single unit

companies

Total number of establishments------------------ 100.0 25.7 74.3

Capital expenditures------------------------------------ 100.0 77.1 22.9

SOURCE: Bureau of the Census.

i966 (above the ratio for all manufacturing) compared with 14 percent in 1963. The

capitalization ratio (investment per job) for mills built in 1966 has been estimated at

approximately 20 percent greater than 5 years earlier and 40 percent greater than in

1956.

These expenditures increased capacity by 23 percent from 1962 to 1966 (see table 7)

and updated the industry’ s facilities. According to a McGraw-Hill survey, the proportion of

pre-1950 facilities declined from 49 percent in 1962 to 29 percent in 1966. The ratio of

new capacity to total showed improvement. (See chart 2.) Plant and equipment, 5 years old

or less, accounted for 38 percent of textile capacity in 1966 compared with 27 percent

in 1962. The proportion of textile facilities of that age, in 1966, was slightly larger than the

proportion of facilities of that age in all manufacturing.

Table 7. Operating Rate and Capacity Expansion,

Mill Productsr^£958-66

Textile

Year Actual operating rate,

December (percent)

Index of capacity

December 1950=100

1958 ------------------------------------ 87 116

1959 ----------------------------------- 92 121

I960 ----------------------------------- 82 122

1 9 6 1 ----------------------------------- 91 126

1962 ----------------------------------- 92 129

1963 ----------------------------------- 95 133

1964 ------------------------------------ 96 137

1965 ----------------------------------- 99 149

1966 ------------------------------------ 94 159

1 Represents primarily large companies.

SOURCE: McGraw-Hill Publications, Economics Department.

The industry’ s facilities, however, continue to be the second oldest among manufacturing industries, just as they had been in 1962. Moreover, this survey covers only larger

companies and the proportion of obsolete equipment still maintained by smaller companies

is probably considerably greater, although a substantial proportion of old machinery has

been rebuilt. Small and medium-sized companies may not have replaced their obsolete

equipment as much as did large companies because of lack of financial resources and

access to financial markets, or because of cost factors.

Expenditures for investment are expected to continue to be substantial in the next

several years, but reductions from the 1966 peak are anticipated. Estimates for 1967

are about $880 million. Several factors are responsible, including the sizable capacity

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growth, the recent cutback from peak levels of production, and lower profit rates. The

operating rate fell from 99 percent in December 1965 to 94 percent in 1966, as shown in

table 7.

Growth of interest in research and development. Another important aspect of the textile industry’ s modernization movement is the increasing interest, especially on the part

of large companies, in research and development of new products and processes. According to the National Science Foundation (table8),R & D funds for textile and apparel firms

totaled $38 million in 1965, about 0.5 percent of sales of companies engaged in R & D compared with $15 million in 1 957. Outlays in 1 966 are estimated at over $40 million. The paper and allied industry, by comparison, spent $76 million in 1965 which was about 0.7 percent of net sales of companies engaged in R & D. In all manufacturing, the percent of sales

of companies engaged in R & D in 1965 was 4.3 percent.

C h a r tl. C orp orate Internal Funds 

and To ta l Expenditures for Plant 

and Equipm ent 1947-66

1947 1950 1954 1958 1962 1966

1 /Undistributed corporate profits and corporate capital consumption allowances (depreciation charges and accidental damage to fixed capital). | 

2/ Corporate and noncorporate.

3/ Preliminary.

Note: See Appendix Table A -l for data.

C hart 2. A g e of Equipm ent of Large 

T e xtile C om panies 1962,1966

Percent of 

all equipment 

50

| | Spring 1962

December 1966

40 - ................ — — ................ — _

5 years old 6-10 11-16 Over 16

or less years old years old years old

Note: See Appendix Table A-2 for data.

The major proportion of R&D funds are expended by relatively few large companies.

Only l 7 companies with employment of 5,000 or over accounted for 68 percent of all textile ai.d apparel R&D funds in 1965. Thirty-four with 1,000-4,999 employees accounted

for 23 percent of textile R&D funds. Although no data are available on the number of small

companies (less than 1,000 employees) engaged in R&D, they accounted for only 9 percent

of total textile R&D funds (table 9)*

Viewed another way, the proportion of large companies doing R&D is greater than

that for smaller companies, as would be expected. In 1963, 42 percent of textile and

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Table 8. Research and Development Funds, Textile and

Apparel Industries, 1957-66

Year Total funds for

| RED (millions)

Percent of net sales

of companies performing RED

1957 ---------------------------- — !1 $15 (M

1958 ----------------------------------- | 26 0.3

1959 ----------------------------------- 30 . 5

I960 ---------- ------------------------ 38 .6

1961 — ------------------------------ 30 . 5

1962 ----------------------------------- j 28 . 5

1963 ---------- -------------------- | 30 . 5

1964 ------------------------------ - 32 . 5

1965 ----------------------------------- 38 . 5

1966 ----------------------------------- 42 (X)

* Not available.

SOURCE: National Science Foundation.

Table 9. Research and Development Funds, Textile and Apparel Companies,

by Employment Size, 1958 and 1961-65

SOURCE: National Science Foundation.

apparel companies with 5,000 or more employees had R&D programs, compared with

24 percent of companies with 1,000-5,000 employees. Only a very small proportion of

the many thousands of small companies, having less than 1,000 employees, spent

funds for R&D.

The textile industry, however, draws heavily on researchperformed by its suppliers.

The invention of nylon by a chemical firm in the 1930*3 exerted a profound influence on

the textile industry and on the continuing involvement of the chemical industry in textile

research. Outlays by the chemical industry for synthetic fiber research and development

were estimated at $135 million in 1965, almost four times total textile and apparel funds

for that year. Also, textile machinery manufacturers have been spending more heavily in

recentyears on basic and applied research. This has occurred in response to demand and

to counteract imports of foreign machinery.

The Federal Government also carries on extensive researchprograms primarily to

improve the marketability of natural fibers. However, relatively little Federal support is

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given to company R&D programs. Although Federal funds for R&D for the textile and apparel industry doubled from $1 million in 1957 to $2 million in 1964, they accounted for

only 6 percent of total textile and apparel funds in 1964, compared with 16 percent for industrial chemicals (including synthetic fibers).

The rate of spending for R&D may increase significantly in the next several years,

assuming the level of textile activity remains high. The growing number of large diversified corporations which have adequate financial resources to undertake long range research and development projects will continue to provide the major proportion of funds.

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Chapter III. Technological Prospects in the 1970's

Technological changes taking place in the textile industry fall into 3 general types.

One involves improvements of conventional machines (e.g. in speed, capacity, and automaticity), and installation of auxiliary equipment (e.g. for machine-cleaning and materialshandling) to increase productivity and improve product quality. Many of these have been

adopted by larger modernized mills and are rapidly being adopted by smaller mills.

Another line of development includes more radical changes, such as integration of two or

more processes, advanced instrumentation, use of computers for data processing and

finishing, and new methods of production which may require costly equipment, and in some

cases, the building of a new mill. The third development is the increasing use of manmade

fibers.

The changes discussed here are those now clearly seen as having significant impact

in the next decade. Machinery and processes which are still in the developmental stage

and may not have a substantial impact over the next ten years are mentioned, but are not

discussed in detail.

Changes in Broadwoven Production

The technological developments described in detail below cover the major steps in

cotton yarn and fabric manufacture. These operations are almost identical for manmade

spun yarn and fabric manufacture, and roughly comparable with the woolen and worsted

system of manufacture.

Production in a cotton cloth mill involves along series of many discrete mechanical

operations. Chart 3 indicates the flow of operations. Specialized machines at each stage

reduce raw cotton to thread or yarn for weaving or knitting. After several successive

operations, the yarn is woven into cloth. Finally the cloth is dyed and finished. These processes take place in specialized yarn, cloth, and finishing mills, or in fully integrated mills

which include all processes from bale to finished cloth.

One of the major recent changes is the layout and design of the plant itself. Many of

the 7,000 plants in the industry, built more than 25 years ago, are outdated multistory

mills, poorly adapted to modern continuous flow methods. In the typical older mill, the

work passes through several rooms located on different floors. Trucking and hauling

materials from one operation to the next may comprise 5-15 percent of production costs.

Lint-laden air is common in several rooms, and other plant conditions, such as lighting,

may be inadequate in these older mills.

New mills usually have only one floor with few rooms, and machines are located

close to each other in a line operation so that handling is minimized. Powered and pneumatic conveyors, hoists, and monorails also reduce materials handling in modernized

mills, and lighten the workload of the mill operative. Air conditioning, cleaning and refrigeration, automatic machine-cleaning devices, and better lighting are becoming more

widespread. Automatic waste systems collect waste from several operations and transport

it to a central collection point which greatly reduces manual waste removal.

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Chart 3.

Major Processes in an Integrated Cotton Broaflwoven Mill

Conventional Mills Modernized Mills

OPENING-BLENDING

S ev era l bales are m anually plucked and fed into opening m ach in es 

w hich lo o se n and p a rtia lly clea n the fib e r . Then the fib e r m oves 

through blending m ach in es to a ssu re thorough m ixing.

F ib e r is mechanically fed into autom atic open in g-blen d in g 

m ach in es.

PICKING

P ick e r m ach in es rem ov e heavy im p u ritie s, p a ra lle liz e the fib e r , 

form it into sheets and r o ll the sheets into 60-90 pound p ack a ges 

ca lle d laps. The laps are m anually rem o v e d and tru ck ed to card in g.

Laps are au tom atica lly rem ov ed and p osition ed at ca rd in g . In a few 

autom atic sy ste m s; the pickin g op era tion is in tegrated with other 

p r o c e s s e s , elim in atin g p ick e r m ach in es and lap form a tion . The 

fib e r is ch u te-fed to card in g.

CARDING

C arding m ach in es rotate the lap ov er a su rfa ce of bent w ire s to 

clea n , straigh ten , and p a ra lle liz e the fib e r into thin, r o p e -lik e 

strands ca lle d ca rd s liv e r . The s liv e r is d ep osited into cans and 

m anually tru cked to draw ing. M achines are clea n ed m anually.

M achines operate at fou r tim es the speed of ten y e a rs ago, have 

autom atic clea n in g d e v ice s , m o re in stru m en ta tion , and grea tly 

redu ced m aintenance req u irem en ts. In autom atic sy ste m s, the 

sliv e r is m oved on a con v ey or belt to draw in g as part of a co n tin ­

uous system .

DRAWING

D rawing fra m e s com bin e 6 -8 fib e r stran ds, draw or draft the fib e r 

to in cre a se p a ra lle lis m and u n iform ity until the fib e r is red u ced 

to the size of a single strand in two p r o c e s s e s of draw ing. The s liv e r 

is dep osited in can s, and tru ck ed to rov in g . M achines are clea n ed 

and lu b rica ted m anually.

M achines operate at six tim es the speed o fte n y e a rs ago, have m o re 

instru m en tation, autom atic clea n in g d e v ice s and co n sid e ra b ly le s s 

m aintenance.

ROVING

R oving m ach in es red u ce the draw ing strands to m uch sm a lle r 

strands, in sert slight tw ist and wind the strands onto bobb in s. The 

rovin g bobbins are m anually rem ov ed (d offed ), and tru cked to 

spinning. M achines are clea n ed m anually.

M achines operate at co n sid e ra b ly higher sp eed s, include m ore in ­

strum entation and autom atic clea n in g. In one or two ex p erim en ta l 

m ills , full bobbins are a u tom a tica llly d offed into spinning c r e e ls 

and m oved to spinning fra m e s . In som e yarn m ills , the rovin g 

p r o c e s s is elim in ated , but this is not a new developm en t.

SPINNING

R oving bobbins are m anually loaded (cre e le d ) on spinning fra m e s 

■which draw out the strands of fib e r , tw ist them into yarn, and wind 

the yarn into sm all b obb in s. The bobbins a re m anually d offed and 

tru ck ed to next p r o c e s s . M achines are clea n ed and lu b rica ted 

m anually.

New spinning fra m e s a re fa s te r, m ake g rea ter use of in stru m en ta ­

tion and have autom atic m a ch in e -cle a n in g and m aintenance d e v ice s . 

In a few of the m ost advanced m ills , fu ll bobbins are d offed au tom a tica lly. In som e exp erim en ta l m ills , the spinning fra m e s are 

cre e le d au tom atica lly.

WINDING AND WARPING

Winding and w arping m ach in es tra n sfe r fillin g and w arp yarn fro m 

sm all spinning bobbins into la r g e r p ack a ges fo r use on lo o m s, 

knitting m a ch in es, etc. M achines are m anually loaded.

F illin g winding fo r use in shuttles is elim in ated as a separate 

p r o c e s s in som e m ills and in co rp o ra te d as an autom atic attachm ent 

to the lo o m . O ther winding m ach in es are m e ch a n ica lly loaded and 

include g rea ter u se of instru m en tation.

WEAVING

L oom s in te rla ce c r o s s w is e fillin g yarn (from bobbin in sh u ttle), and 

lengthw ise w arp yarn (from beam ) to fo rm cloth ca lled grey goods. 

A lm o st half of all m ill w ork e rs a re em p loyed in the w ea v eroom .

L oom sp e e d s_ a re 25-50 p ercen t fa ste r than new lo o m s of 1 5 years 

ago. C en tra lized lu b rica tion , autom atic clea n in g sy ste m s, and m o n itorin g d e v ice s w hich r e c o rd loom p e rfo rm a n ce are in co rp o ra te d in 

m odern w e a v e ro o m s. Suttleless lo o m s m aintained in som e m ills , 

operate at g rea ter sp eed s, allow fo r a higher d eg ree of au tom aticity, and m ay in volve few er p re p a ra to ry p r o c e s s e s .

FINISHING

F inishing in volves a long s e r ie s of d is c re te op eration s w hich m ay 

include singein g, d esizin g , b leach in g, m e r ce r iz in g , ten terin g, 

freq u en t dryin g, dyeing, printing, p resh rin k in g , ca len d erin g , and 

sp ecia l fin ish in g p r o c e s s e s .

Continuous sy stem s and cen tra l co n tro ls are utilize*d in the m ost 

m od ern m ills . At lea st one fin ish in g m ill has com p u ter co n tro l of 

.the dyeing p r o c e s s .

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Opening and blending. In older systems, still used in many mills, a laborer lifts the cotton

layer by layer from several bales, and feeds it into opening machines which loosen and

partially clean the fiber. Then the cotton moves through blending machines to assure

thorough mixing of the fibers.

Less than 5 percent of mill workers are employed in these operations. The work

involves heavy lifting and handling of dirty materials; the workforce is unskilled.

Changes in the opening operation include faster and larger opening and blending systems, and mechanized materials-handling equipment which can reduce labor requirements

per unit of output by about one-third. Heavy physical work is almost entirely eliminated

with the use of these machines and auxiliary equipment, and the quality of the yarn

improved through more efficient blending and cleaning.

Picking. Mechanical conveyors then move the cotton to picker machines which further

remove heavv impurities, parallelize the fibers, form them into sheets, and roll the sheets

into laps or large rolls. The picker machine operator (picker tender) removes (doffs) the

roll from the picker machine, weighs it, and places it on a hand truck. A trucker moves it

to the next machine. Men only are employed to operate the machines and to handle these

heavy laps.

Picker operations have undergone significant changes in recent years, which reduce

unit labor requirements. In many modernized mills, mechanized machine and floorcleaning devices, including auxiliary suction tubes and lint shields, free the operator from

time-consuming cleaning duties for more productive work. Also, the use of conveyors to

move the lap roll to the next process eliminates the job of the unskilled trucker. In some

mills, highly automatic conveyor systems pick up the roll, weigh it (reject it if it does not

meet production requirements), move it, and position it at carding which is the next

process. The machine operator intervenes only to start and stop the conveyors and to

monitor for problems.

The most advanced continuous yarn system, first installed in Japan, integrates the

picking process with the other prcesses, and eliminates conventional picker machines and

the formation of the lap roll. The fiber, after cleaning and blending in specialized, highly

automatic machines, is blown through pneumatic ducts directly to the carding machine for

the next process. So far these system s have been installed in only two or three m ills in the

United States and are still in the experimental stage. Widespread adoption will be limited

by the high cost; also, some of these machines cannot be easily integrated with generally

used equipment.

Carding. Following opening and picking, the tangled bulky roll of fiber is moved to the

carding operation where machines (cards) rotate it over a surface of bent wires to clean,

straighten and parallelize the fiber into a thin rope-like strand (card sliver). The strand

is precisely coiled into cans and manually trucked to the next operation.

A few semiskilled machine operators (card tenders) tend a long line of carding

machines. In the newer mills, one man may tend as many as 88 cards. The card tender

moves constantly from machine to machine, feeding heavy lap rolls of fiber, into the

machine, doffing (removing) the full cans of sliver, piecing broken ends of fiber, and cleaning lint and waste from the cards. In addition, skilled maintenance workers (card fixers

and card grinders) keep the mechanism in working order.

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In most yarn m ills, the fiber moves through opening, blending and

picking operations, is wound into lap rolls and trucked to carding.

In this modern mill, mechanical transfer of lap rolls and automatic feed to carding machines replace manual handling.

Then the fiber comes off each card into

tall cans which are subsequently moved

to the next process.

In this type of system, lap rolls may be

eliminated. The fiber may be fed automatically into carding machines which are

linked together and operate as a unit.

Although less versatile, this system eliminates several steps, and requires less

unit labor and less floor space.

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Recent carding innovations greatly reduce the number of card tenders required per

unit of output, and make obsolete the carding room of the 1950’ s. Modernized carding

machines operate at more than four times the speed of only 10 years ago. They are

equipped with stop-motion devices and larger doffing receptacles and can produce 40-50

pounds of fiber strand per hour compared with older card output of 10-15 pounds an hour.

In addition, automatic suction devices on the carding machine at the points of discharge

greatly reduce the tender s’ cleaning tasks. Many mills are installing these devices because

cards producing more thantwice the output per hour of previous cards create considerably

more lint and fly. In the newest mills, automatic overhead traveling vacuum cleaners are

utilized in the card room. One new mill estimated that the tender’ s cleaning duties occupy

10-15 percent of his time instead of the 65 percent spent in older mills.

Maintenance downtime, i.e. the time the machine is not operating, and maintenance

man-hours on carding machines are also being reduced significantly. Modernized carding

machines eliminate an 8-hour card grinding proces s. Sealed bearings reduce oiling and

card maintenance by the fixer. Also, automatic vacuum stripping (developed in 1957 but

only now being widely adopted) permits the card tender or card stripper to oversee 3-4

times as many cards as was previously possible.

Although long-range forecasts predict the ultimate displacement of the carding

operation by a radically new electro-static system, such developments are still in the

research stage. New carding machines and auxiliary equipment described above are only

beginning to gain industry acceptance, and will continue to be of major importance in mill

modernization in the next decade.

Drawing. The next step in the textile plant is the drawing operation, where the fibers are

further processed. Drawing frames combine 6 or 8 fiber strands, draw or draft the fibers

to increase parallelism and uniformity until the fibers are reduced to the size of a single

strand and are coiled into cans.

The drawing frame tender, a semiskilled operator, tends many rows of drawing

frames. He repairs broken ends of sliver, replaces fiber receptacles, cleans the machine,

and patrols the line of machines to detect malfunctioning. About one-fourth of all drawing

frame tenders are women.

Faster machine speeds, automatic stop motions, automatic cleaning and conveying

devices, and other drawing improvements can reduce unit man-hours by as much as 75

percent. The speed of new drawing frames, for example, is six times that of machines

installed 10 years ago, and considerably fewer machines are needed for the same output.

In the newest mills, only one drawing operator is required where 4-5 are necessary in

an average mill for the same output. In addition, fewer maintenance men are required on

modernized machines with antifriction bearings central lubrication. Roller bearings on

new drawing frames require oiling once every 3 years during overhaul, compared with

once a week on older models.

Roving. The roving machine reduces the drawing strand to a much smaller strand of fiber,

inserts a slight twist, and winds the strands (roving) onto a bobbin. Bobbins are manually

doffed and trucked to the next operation.

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The ratio of workers on this operation is about 5 percent of mill employment. The

semiskilled roving operator moves along the long line of roving machines, repairs or ties

ends, doffs the bobbins, and cleans the machines. Tending roving machines has become

primarily a man's job as larger and heavier packages of fiber must be loaded on and taken

off the machine. Only about 10 percent of the tenders are women.

The newest models of the roving machine, with auxiliary stop-motion devices and

cleaning systems, have significantly reduced downtime. Unit man-hours can be reduced by

more than 75 percent. Moreover, the most advanced system includes automatic doffing. The

roving bobbins are doffed into a spinning creel which is mechanically transferred to the

spinning frame.

In some systems of yarn manufacture, primarily for use with coarse yarn, the roving

process is omitted. This so-called sliver to yarn spinning is possibly the oldest solution to

process elimination, and may be perfected for greater use at some future time.

Spinning. Spinning machinery for the final proces s in the manufacture of yarn draws out the

strands of fiber, twists them into yarn, and winds the yarn onto small bobbins. When the

bobbins are full; the frames stop automatically, and the bobbins are manually doffed

(removed) and replaced by empty ones.

Workers in the average spinning room constitute about 20 percent of all mill operators. Spinners are semiskilled operators, almost exclusively women, who are responsible

for many rows of spinning frames containing thousands of spindles (as many as 5,500

spindles in the more efficient mill). The spinner's job consists of manually loading the

machines with roving bobbins, twisting the ends of roving yarn from the spent bobbin to

full bobbin, repairing breaks, cleaning the machines, and patrolling the long lines of

machines carefully watching for broken strands or nearly-exhausted bobbins. Another

operator (the doffer), almost always male, removes the full bobbins from the spindle and

replaces them with empty bobbins.

Spindle speeds have increased greatly over the last 15 years,advancing from 10,000

rpm in 1950 to 13,500 today, and 20,000 rpm are now feasible. Consequently, fewer new

machines are required in new or modernized spinning rooms for a given level of output

than with older equipment. Also, the use of instrumentation to improve quality and shorten

downtime is increasing. In addition, automatic maintenance and cleaning auxiliary equipment is now basic to spinning room modernization. Overall, fewer, faster machines and

auxiliary laborsaving equipment are reducing the number of operators required in the

modern spinning room by as much as a third.

The most radical innovation in the spinning room is the automatic doffing machine

which eliminates the task of manually removing full bobbins, one the most time-consuming

operations in the mill. The doffer-operator simply starts the doffing machine and patrols

the row of spindles to check for malfunctions. Commercially available only for the past

two years, the automatic doffing machine reduces unit requirements for doffers by twothirds. It may eliminate the job of doffer by transferring the duty of operating the doffer

machine to the spinner. Althoughthe doffing machine was initially feasible only in new mills

with wide space between rows of spindles, smaller units are expected to be commercially

available in 1968.

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A revolutionary technique, still in the developmental stage, is open-end spinning which

eliminates the ring, traveler and spindle. Some industry men believe that this innovation

will lead to significantly greater mill automation, because conventional ring spinning is a

relatively discontinuous operation. One model of an open-end machine is said to utilize

high-pressure forced air to combine into one simplified process the three conventional

functions of roving, spinning and winding, significantly reducing unit labor requirements.

Winding and warping. In the winding and warping operations, yarn is transferred from the

relatively small spinning frame bobbins into larger packages for use on the loom or for

other uses, such as knitting. Inspection of yarn to correct weak or torn parts is another

important function of the process.

Workers involved in winding and warping account for about 10 percent of total employment in the mill. Women make up the majority of workers, and most jobs are relatively

low skilled.

Winding, one of the most expensive processes in the textile mill, has become highly

automatic. On some of the newest machines, the bobbins are creeled by means of highly

mechanized bobbin-conveying systems, replacing manual creeling, and automatic knotting

devices operate at every spindle. One of the most important laborsaving aspects of the

newest winders is the automatic tying-in of the yarn ends on full bobbins. Such new

machine models require only two operators in place of five on conventional machines.

Probably the most important development in winding is an automatic winding attachment to the loom which replaces quilling (filling winding) as a separate process, thereby

eliminating many steps in conventional manufacture. This is another example of the combination or integration of processes. Savings in floor space provide room for more productive equipment, and unit man-hours on winding can be reduced by as much as 60 percent.

Such loom-winding attachments are being widely adopted by mills which can use this

innovation.

Weaving. Weaving consists of the interlacing of crosswise or filling threads with lengthwise or warp threads on a loom to form fabric, known as grey cloth. The weaving room,

containing hundreds or thousands of looms, is the largest and the noisiest work area in

the mill.

Almost half of all operatives in an integrated mill are employed in the weaving room,

Weavers (half of them are women) are among the highest paid workers in the mill. One

weaver may supervise as many as 200 looms in a new mill (depending on fabric construction), compared with one-rfifth less in the typical mill. Loom fixers, almost exclusively

men, do the maintenance and repair work and are usually the most skilled and highest

paid workers in the mill.

Loom speeds have been increased by 25-50 percent in the past 15 years (depending

on fabric construction). New looms operate at about twice the speed of most looms in the

average mill. Manual lubrication is being replaced in s ome of the most technically advanced

mills by centralized lubrication systems, which consist of a circuit of injectors that

deliver the proper quantity of oil to several points on each machine at 30-minute intervals.

This technique eliminates downtime required for machine maintenance.

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Advances in spinning, winding and weaving reduce unit labor costs.

The mechanical doffer moves along the

spinning frame, removes full bobbins and

places empty bobbins on the spindles.

Manual doffing is one of the most costly

operations in the mill.

In most mills, filling yarn (yarn woven

crosswise into the fabric) is wound or

quilled in a separate area. In this weaveroom, the yarn is wound directly on the

loom, eliminating several costly handling

operations.

Increased speed, reduced maintenance,

less noise, fewer preparatory processes

are some of the advantages of the shuttleless loom shown on the right.

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A major innovation in weaving is the shuttleless loom which operates without shuttle,

bobbin, or bobbin-feeding mechanism. Increased speed, reduced maintenance, a higher

degree of automaticity, less noise, and fewer preparatory processes are some of the

advantages of the shuttleles s loom over the conventional loom. However, until very recently,

shuttleless looms were capable of producing cloth with only one selvage edge (instead of

two), and buyer i resistence to this limited industry acceptance. Also the relatively high

cost of this loom and advances in conventional looms have been deterrents to greater

adoption. Although shuttleless looms account for only a small fraction of all looms, industry interest is widespread. Many mills have installed shuttleless looms, in addition to

conventional looms, to evaluate their performance.

The water-jet loom, made in Japan and Czechoslovakia, is the newest innovation in

weaving and several U.S. mills reportedly have pilot installations. These are said to have

advantages over conventional looms, but at present can be used only to weave continuous -

filament manmade fibers.

Finishing. Chemical and mechanical finishing techniques and cloth inspection complete the

processes of textile cloth manufacture in a fully integrated mill. Many discrete operations

such as singeing, desizing, bleaching, dyeing, printing, preshrinking, calendering, and

others may be included in finishing. New finishing treatments aim at improving “wash and

wear” properties of cloth and its resistance to creasing, staining, etc.

Manpower required in these operations are generally unskilled or semiskilled, except

for the cloth grader and the technical per sonnel. Men hold most of the jobs in the finishing

department, but women are usuallly employed as cloth inspectors.

Continuous finishing systems are replacing some of the older, discontinuous techniques, significantly reducing time and labor requirments and upgrading quality of output.

For example, a new continuous open bleaching system, which is found in only a few mills,

takes only 7 minutes compared with 9 hours required 10 years ago. Newly developed

bleaching agents and auxiliary chemicals make possible this combination of processes.

These systems usually include advanced instrumentation and central consoles.

Combinations of machinery for other than wet-processing are also reducing unit manhours in a few modernized mills. For example, one machine sews the cloth together,

scrapes, brushes, shears, and then rerolls it. This results in considerable laborsavings

per unit.

One of the most important advances in finishing, the use of the computer for process

control, is discussed below.

Instrumentation

At different stages of production, various types of auxiliary equipment for measurement and control are being introduced which reduce downtime and permit more efficient

quality control.

Stop-motion devices that cut off the machine’ s operation to prevent yarn damage, and

electronic devices that activate machine adjustments when required, are being increas25

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ingly installed on new equipment. For example, in the drawing process, yarn thickness is

controlled by a photoelectric cell which detects differences in light passing through the

yarn and adjusts the drawing frame automatically.

Mechanical and electronic recording instruments, which replace visual scanning and

other slower methods of inspection and recording, are being adopted increasingly. An

electronic monitoring system in the weaveroom, for example, provides a visual and printed

record of the performance of every loom on a central console. However, these systems

are being installed primarily in newer m ills, and their application may be limited because

of cost.

The use of radioisotopes in textile manufacture for measurement and control of

plastic and rubber coatings is an interesting example of the application of electronic

instrumentation for quality control. Radioisotopes give off radiation which pass through

solid material, the intensity of the radiation varying with the thickness and density of the

material. Measurements can be recorded continuously, and feedback controls permit

automatic adjustment of the coating. The results are greater product uniformity, reduced

downtime, and unit man-hour savings.

Instrumentation is most advanced in the wet finishing proces ses. In more modernized

mills, almost every detail of pressure, speed, temperature, and flow of several machines

is controlled from a central console which one man can monitor. Latest models of finishing

equipment are more extensively instrumented, and output per man-hour is higher.

Computers are used by some large companies for data processing and are being extended to control finishing processes. According to a 1965 McGraw-Hill survey of large

companies, 56 percent of the large textile companies responding reported computer installations. Major uses included accounting, inventory control, sales analyses and orders,

and long-range production planning. Although the application of computer technology is still

very limited, recent developments indicate potential growth. For example, several large

textile firms opened central electronic data-processing offices in the last few years, coordinating information from 40 mills or more. Several hundred management specialists,

computer technicians, and clerical workers willprocess, analyze, and store mill information, and then feed back appropriate reports to mill managers. Plans are being made for

advanced computer equipment which may make possible daily mill control.

Computer applications for process control are only in the beginning stages. The

first computer-directed control system was installed in a large finishing plant to control a

complex dyeing procedure. It operates valves automatically, sequencing the filling, heating,

cooling, pressurizing, emptying, and recording data on these procedures. This system is

said to result in greater productivity and in a consistently high-quality product. It is

expected, moreover, that computer control will be expanded to include other major finishing processes.

New Methods of Production

New methods of fiber and fabric manufacture are broadening textile markets. Nonwoven fabric (bonded web of fibers), needle-punched fabric, foam laminates, coated

fabrics and texturized and stretch yarns are some of the new products now being fabri--

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Cleaning and materials handling are greatly reduced in modernized

m ills.

In this mill, machines are cleaned automatically by overhead cleaner s and underfloor return-air tunnels.

Here, the heavy beam of fabric is moved

mechanically along overhead rails.

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cated. Most of these, such as the so-called nonwoven fabric, require fe we r% man-hours

per unit of output than conventional fabrics; others, such as stretch fabric, may require

additional machinery and labor.

The nonwoven fabrics are neither spun, woven, nor knitted and basically involve a

web-formation process in which modified textile or papermaking machinery is used. In

1965, about 128 million pounds of bonded fiber fabrics were produced, compared with

negligible quantities in the late 1950’ s. Nonwoven materials are used for interlining,

padding, and facing for apparel; they also are used for bagging and wrapping materials and

other industrial uses.

Tufting, one of the most successful textile manufacturing innovations, has revolutionized carpet manufacture in a little over a decade. Tufted carpet production is now 10 to 20

times faster than loom-woven production, and in 1966, changes in the process were introduced, which it is claimed, could further increase speed and cut costs. In 1965, tufted carpets and rugs accounted for about 80 percent of all soft floor covering mill shipments.

Before 1950, practically no tufted carpets were manufactured.

The needle-felting process, used in blanket manufacture, is replacing conventional

spinning and weaving processes. It produces 40 or 50 yards of cloth per hour compared

with 3-4 yards on conventional looms. This process is being utilized by at least one

manufacturer, and consumer acceptance among other factors will determine its diffusion

in the coming years.

One new type of cloth production which is gaining industry interest, is the Mali

process developed in East Germany. New fabric-forming machines are said to stitch

together fiber layers at 10 to 50 times the output of conventional looms with significant

unit labor savings. This process has only recently been made commercially available in

the United States.

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Chapter IV. Assessing the Rate of Technological Change

Several quantitative measurements are presented in this section covering different

facets of the industry’ s technological progress. These include indicators of output per

man-hour for selected sectors of the textile industry, for plants within one sector,

and for model plants; capital per unit of output; and horsepower and electric energy per

worker.

Indicators of Output Per Man-Hour

Relating output to man-hours (i.e. productivity) constitutes a useful although partial

indicator of the pace of technological change. The ratio reflects the impact on production

processes of changes in the quantity and quality of plant and equipment, in the layout and

flow of materials, in the simplification and standardization of products, and in many other

management measures for improving efficiency. It is also affected by changes in the skill,

training, education, morale, and health of the entire work force. Furthermore the relationship may reflect economic shifts within industries, such as the shift of production from

low productivity to high productivity plants.

Measurement of productivity in the textile industry is faced with the usual problems

of determining the best measure of output for individual products, allowing for quality and

product mix changes; calculating appropriate weights; and insuring reasonable comparability between input and output measures. These problems are all complicated by the fact

that textile establishments vary significantly in the degree of integration of their production facilities. Since an establishment only reports the value of its final products or shipments, changes in integration may lead to misleading estimates of production changes.

Although definitive measurements of productivity for the industry are not yet available, substantial overall improvement from 1947 to 1965 is suggested by the rise in

output-- indicators range from about 60 to 75 percent--and the sharp decline in man-hours

of 24 percent. From I960 to 1 965, rough measure s of textile output indicate an increase of

30-35 percent, while man-hours rose only 4 percent. The improvement in manpower

utilization in the overall industry reflects several different factors over the years.

Although expenditures for plant and equipment were very low in the 1950’ s, wide-scale

closing of marginal mills with obsolete equipment tended to raise the level of technology

and efficiency of the industry. In the 1 960’ s, industry growth and high investment were the

major factors. The changes for the textile industry as a whole reflect substantial variation among individual sectors of the industry. This variation can be illustrated by data

for the broadwoven sectors. Comparable data on output and man-hours for each of the

three fiber broadwoven sectors, reported by Census, suggest improvements in manpower

utilization. Although increasing utilization of blends and mixtures makes distinctions by

fiber less sharp, nevertheless, it is useful to examine trends in some of the individual

fiber sectors.

The improvements result from different movements in output and man-hours. In cotton broadwoven, for example, output (in square yards) rose 5.8 percent from 1947 to 1965,

while man-hours declined sharply, 33.8 percent. In woolen and worsted broadwovens, however, output declined to almost half (45.2 percent) over this period, but man-hours de29

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creased considerably more (67.1 percent). On the other hand, more efficient manpower

utilization in the synthetic fiber broadwoven sector resulted from more than a doubling

in output (118 percent) coupled with only a negligible decline in man-hours (0.5 percent).

The hosiery index of productivity is an official BLS series and was constructed with

appropriate weights and allowance for product mix changes. Employment in the hosiery

industry accounted for about 10% of total employment in 1966. Output per man-hour for

all employees in the hosiery industry rose at an average rate of 6.6 percent annually from

1957 to 1965, compared with a 2.9 percent annual increase from 1947 to 1957. From I960

to 1965, the rate of increase was 6.8 percent.

The sharp increase in productivity after 1957 is associated with the relatively more

rapid rise in output (see table 10) and a major change from full fashioned to seamless

hosiery. In 1957, less than a third of all women’ s hosiery was seamless; in 1965, 95

percent was seamless.

Table 10. Hosiery Industry, Output per Man-Hour and Related Data, Selected Years

(1957-59= 100)

Year Output

All employee

man-hours

Output per

all employee

man-hour

1947---------------------------------------------------------- 87.3 129.7 67.3

1957-------------------- ------------------------------------- 95.9 106.9 89.7

I9 6 0 ---------------------------------------------------------- 104.3 96.5 108. 1

1965---------------------------------------------------------- 136.0 90.6 150.1

Average annual percent change

1947-57----------------------------------------------------- 0 .9 -2 .0 2.9

1957-65----------------------------------------------------- 4. 5 -2 . 1 6 .6

1960-65----------------------------------------------------- 5 .5 -1 .3 6 .8

1947-65----------------------------------------------------- 2 .5 -2 .0 4 .6

SOURCE: Bureau of Labor Statistics.

The outlook over the next few years is for a continued high rate of productivity increase in the hosiery industry, assuming demand remains strong. Major cost-saving techniques may become more important, such as the one-process finishing technique which

combines scouring, dyeing, and finishing; automatic turning attachments, and toe closing

machinery.

Interplant Differences in Efficiency

Levels of output per man-hour differ widely among textile mills within an industry

sector because of differences in age of equipment, managerial and employee skill, type

of organization, size of mill, and many other factors related to efficiency. Table 11 presents comparative data for 1958 on value added per production worker--an approximate

measure of productivity--for the “more efficient,” “less efficient,” and average textile

mill in ten industry sectors. Scattered data for 1963 suggest that the 1958 differentials

have persisted.

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Table 11. The Ratios of "More Efficient" to "Less Efficient" Plants1 and to Average Plants, 1958

Industry sector

Value added per production

worker man-hour Capital expenditures per employee

"More efficient"

to "less efficient"

plants

"More efficient"

to average plants

"More efficient"

to "less efficient"

plants

"More efficient"

to average plants

Weaving mills, cotto n------------------------------- 2.4 1. 5 1.4 1. 1

Weaving mills, synthetics-------------- ----------- 2.9 1.7 1.5 1.1

Weaving, finishing mills, w ool------------------ 2.7 1.6 1. 5 1.3

Narrow fabric m ills ------------------------------------- 2. 2 1.4 1. 8 1.4

Hosiery mills------------------------------------------------- 3.0 1.6 2.6 1.4

Knit outerwear m ills ----------------------------------- 4 .4 2.4 1. 5 1.2

Knit fabric m ills ----------------------------------------- 3.4 1.8 2. 1 1.2

Finishing plants, cotton----------------------------- 2.4 1.7 3 .4 2.1

Tufted carpets and rugs---------- --------------------- 3. 1 1.8 1.3 1.3

Yarn mills, excluding w o o l------------------------ 2. 5 1.6 1. 1 1.3

1 Plants in each industry sector were ranked by the ratio of payrolls to value added. The plants in the lowest

quartile of this ranking were considered the "more efficient, " those in the highest quartile, the "less efficient. " Value

added is used as the measure of output or the net contribution of the manufacturing process in the industry. No adjustments are made for product mix, degree of integration, or other variations among plants.

SOURCE: Department of Commerce, Business and Defense Services Administration.

The “more efficient” mills are defined as those in the first quartile of establishments

ranked in ascending order of the ratio of payrolls to value added. According to this efficiency concept developed by the U.S. Commerce Department, the plant with the lowest

ratio of payrolls to value added would be the most efficient mill. The measurements are

approximate, and do not take differences in product mix into account, but they provide

some indication of the variance in efficiency among textile mills.

The difference in average value added per production worker man-hour between the

“more efficient” group of mills and the average group of mills ranged from about 40 percent in the narrow fabric industry to about 140 percent in the knit outerwear industry. In

the cotton and synthetic weaving m ills, value added per production worker man-hour in the

“more efficient” mills was approximately 50 and 70 percent greater, respectively, than

in the average mill. The differences between the “more efficient” and the “less efficient”

group were considerably greater, as would be expected. Value added per production worker

man-hour in the “more efficient” mills of the knit outerwear industry was four and a half

times as large as in the “less efficient” mills. That was the greatest difference, but the

smallest difference (in the narrow fabric industry) was still considerable; it was more than

double.

One of the factors closely tied to efficiency is the volume of capital expenditures. As

shown in table 11, capital expenditures per employee in 1958 were substantially larger in

the “more efficient” mills than in the “less efficient” mills of most textile sector s. For

example, the “more efficient” cotton finishing plants reported capital expenditures per employee that were three times as much as did the “less efficient” plants. Differentials in

weaving mills (more labor intensive than finishing) were not as great •

Output Per Man-hour in Hypothetical Model Plants

The rate of technological change may also be assessed on the basis of the trend of

output per man-hour in hypothetical plants designed by engineers with the best available

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technology of a given year. Compari sons of such model mills over time trace the progress

made by engineers in developing technological improvements without reference to the

extent of their actual application in industry. These studies provide a useful indicator of

the potential for productivity increase.

Engineering studies of model cotton print cloth mills producing identical products

are available for four periods over the past 56 years. Since cotton print cloth is arj; important broadwoven product (accounting for about a fourth of all broadwoven), for which

mill operations are generally similar to those for other broadwovens, the figures provide

a rough indicator of changes in the manpower utilization of this textile sector based on

the newest textile technology. These data do not, however, represent other sectors of

the industry or the industry as a whole.

A 1936 study by an engineering consultant for the Bureau of Labor Statistics presented estimates of unit labor requirements in 1910 and 1935 for cotton print cloth mills

(producing cloth, 80x80, 39 inches wide, 80 threads and 4 yards per pound) “containing the

most efficient equipment (in that year) which could be recommended by an engineer if he

were designing a mill to be built.” In 1956 and 1961, the Whitin Machine Works, a leading

manufacturer of textile machinery, published similar “engineering” da‘ta for those years

which were adjusted for comparability with the earlier study. Comparable data for 1966

were published by the American Textile Machinery Association.

According to these studies, output per man-hour in a model cotton print cloth mill of

1910 was 3.1 pounds; in 1935, 4.6 pounds. By 1956 it had risen to 10.5 pounds and by 1966

to 14.6 pounds an hour. (See table 12.) The average annual increase in output per manhour was 1.6 percent from 1910 to 1935, 4.1 percent from 1935 to 1956, and 3.4 percent

from 1956 to 1 966.

Table 12. Output per Man-Hour in Model Cotton Print Cloth Mills

Year Pounds per man-hour

1910--------------------------------------------------- 3. 1

1935--------------------------------------------------- 4 .6

1956--------------------------------------------------- 10. 5

1966------------------------------------------------- 14.6

Average annual increase

(percent)

1910-35--------------------------------------------- 1.6

1935-56-------------- ----------------------------- 4. 1

1956-66--------------------------------------------- 3 .4

SOURCE: Bureau of Labor Statistics; Whitin Machine Works; American Textile Machinery Association.

The annual rate of technological progress, (using this engineering concept) was

slightly greater in the 21-year span from 1935 to 1956 than in the 10-year period from

1956 to 1966. Technological change, however, varied greatly among different mill opera32

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tions in each of the three periods. As shown in table 13, the sharpest average annual reductions in unit labor requirements in the 1956-61 period (no detailed data are available for

1966) occurred in the opening through spinning operations which represent 30 percent of the

mill’ s man-hours. Spooling, warping and weaving departments also reduced unit man-hour

requirements; other operations in the mill during this period showed no significant change.

In the 1935-56 period, on the other hand, every mill department registered unit man-hour

declines, and the largest occurred in the opening through roving operations. From 1910 to

1935, average annual unit man-hour reductions for the plant as a whole were relatively

low, but in the spooling and warping operations, reductions were greater than in the other

two periods.

Table 13. Changes in Unit Man-Hour Requirements, by Operation,

in Model Cotton Print Cloth Mills, Selected Years

Operation

Man-hours

as percent

of total

1961

Average annual percent change

1910-35 1935-56 1956-61

Total----------------------------------------------- 100.0 -1 .7 -3 .8 -3 .4

Opening-roving----------------------------------------- 9 .4 -2 .6 -6 .1 -7 .2

Spinning -------------------------------------------------- 20.0 -1 .3 -4 .0 -7 .8

Spooling and warping----------------------------- 6 .5 -3 .8 -2 .9 -2 .3

Slashing and drawing-in-------------------------- 2.9 -2 .1 -4 .3 0

W eavin g--------------------------------------------------- 44.4 -1 .4 -2 .4 -1 .7

Cloth room ----------------------------------------------- 9. 1 - .6 -2 .8 0

Miscellaneous------------------------------------------- 7 .6 +. 4 -4 .7 0

NOTE: Because of rounding, sums of individual items may not equal totals.

SOURCE: Based on studies by the Bureau of Labor Statistics and Whitin Machine Works.

This study of model print cloth plants, using the best available technical methods, can

be used in estimating roughly the potential rate of growth in output per man-hour over the

next decade. Compared with the estimate of 14.6 pounds per man-hour for a model print

cloth mill shown above, the actual level in 1966 in such mills is estimated by industry experts to average about 10 pounds per man-hour (the level of the model plant of 1956). The

46 percent gap between the average and the model plant of 1966 may be taken to represent

the approximate potential growth in output per man-hour that might occur if all obsolete

machinery were replaced by the most modern plant and equipment.

More realistically, should it take the average mill 10 years to attain the level of the

model mill, the average annual rate of increase in the print cloth industry would be 4 percent from 1966 to 1976. Should the catching-up period be less than 10 years because of a

continuation of today’ s high investment or extensive closing of older mills, the rate would

exceed 4 percent a year.

Fixed Capital and Capital-Output Ratios

Declining capital requirements in the textile industry relative to capacity or output

is another partial indicator of technological advance, reflecting improvement in machinery

and more intensive utilization.

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Estimates of the stock of fixed capital provide an approximate indicator of the aggregate amount of physical equipment in place. Data covering postwar trends in the textile

industry, estimated by the National Industrial Conference Board, indicate that real fixed

capital has been steadily decreasing, reflecting the retirement of obsolete equipment and

the low rate of investment. In 1963, fixed capital (in constant prices) totalled $2.8 billion,

a decline of 39 percent or an average decline of 3.3 percent annually from 1948. Textile

mill capacity lj (in constant prices) increased 12.5 percent between 1948 and 1963. The

ratio of fixed capital to capacity, therefore, declined sharply over this period--by more

than 46 percent. (See table 14.) Or stated differently, the textile industry’ s capacity in

1963 was about 13 percent greater than in 1948 with only about 60 percent of the physical

equipment of 1948.

Table 14. Stock of Fixed Capital and Capacity,

Textile Mill products, 1948 and 1963

Year

Fixed capital

in 1954 prices

($ million)

Capacity 1

in 1954 prices

($ million)

Fixed capitalcapacity ratios

1948----------------------------------------------------------- 4, 698 15,076 .312

1963 ---------------------------------------------------------- 2, 849 16, 954 . 168

Percent change

1948-63 ----------------------------------------------------- -3 9 .4 12. 5 -4 6 .2

* Estimated by applying the minimum capital-output ratio (in constant prices) achieved

in a recent period, current or prior to the given year, to the stock of capital (in constant

prices) of the given year.

SOURCE: Based on data from the National Industrial Conference Board.

Data for selected types of machinery tend to confirm the declining trend of fixed

capital-capacity ratios, or increasing ratios of capacity per unit of capital. For example,

the number of looms in mills producing cotton and manmade fiber broadwoven fabrics

decreased 22 percent from 1948 to 1965. Production of these fabrics (in square yards),

however, was about 25 percent greater in 1965 than in 1948. Therefore, as shown in table

15, output per loom increased 6l percent over this period.

The increase in productivity of real fixed capital or decrease in real fixed capital

per unit of output since 1948 reflects, largely, improvements in the average quality of

textile machinery and more intensive machine utilization. As idle obsolete machinery

was scrapped and marginal plants closed, remaining machinery and subsequent modernized equipment operated at greater speeds, had greater capacity, and were generally

more productive than the machinery replaced. At the same time, mills went on three shifts

l / The National Industrial Conference Board estimates capacity by applying the

minimum capital-output ratio (in constant prices) achieved in a recent period, current or

prior to the given year, to the stock of capital (in constant prices) of the given year.

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a day. As shown in table 15, loom hours declined only 2 percent from 1948 to 1965,

although looms declined 22 percent over those years. Cotton and manmade fiber broadwoven production per loom hour increased 27 percent in those 17 years.

Also, rising productivity of real fixed capital may reflect the general reduction in the

number of production processes and the greater use of filament synthetics which require

cewer processes. For all these reasons, considerably fewer machines are required for

a given level of output than was necessary 10 to 15 years earlier, and less plant is required to house them.

Capital-output ratios will probably continue to decline through the 1960’ s, as new

plant and equipment replaces less productive equipment, and as management learns to

utilize new machinery more efficiently. Future trends in the capital-output ratio are

indicated by data for model print cloth mills described earlier. The 1966 mill was designed to produce slightly greater output than the 1956 mill with one-third fewer looms

and 15 percent fewer spindles. On a constant dollar basis, covering all machinery and

equipment (excluding refrigeration), the cost for this 1966 model mill was about 11 percent

less than for the 1956 mill.

Table 15. Cotton and Manmade Fiber Broadwoven Production,

Looms and Loom Hours, 1948 and 1965

Item Unit 1948 1965 Percent

change

Broadwoven production------------------ (Million square yards) 13, 371 16,688 24.8

Looms in place1 ----------------------------- (Thousands) 500 389 -22. 2

Loom hours1 ----------------------------------- (Millions) 2,613 2,549 -2 .4

Production per loom in place--------- (Thousand square yards) 26.7 42. 9 60.7

Production per loom hour-------------- (Square yards) 5. 1 6. 5 27.4

1 Looms in place and loom hours in cotton and manmade fiber broadwoven mills, December 31.

The data for cotton and manmade fiber looms and loom hours in woolen and worsted broadwoven mills

are not disclosed by the Bureau of the Census, but are negligible.

SOURCE: Based on data from the Bureau of the Census.

Growth in Electric Energy Consumption

The trend in the amount of electric energy consumed per unit of capital or per worker

represents another measure of technological advance. In spite of a large decline in capital

stock, electric energy used rose almost 80 percent from 1947 to 1965. Consumption of

electric energy per production worker increased two and one-half times from 1947 to 1965,

at the average annual rate of 5.3 percent.

Slightly larger increases in consumption per production worker occurred in the early

postwar period, 1947 to 1958, as employment declined sharply, and less electrified,

obsolete plants closed. In recent years, the increase in electric energy consumption per

production worker resulted from the installation of larger, faster machinery, electric

equipment, electronic controls, and new lighting and air conditioning equipment.

Although considerable variation exists among different sector s, electrification of the

textile industry, as a whole, remains relatively low. Electric energy consumption per production worker in textiles in 1965 was about two-thirds of the average for all manufacturing, a less favorable ratio than in 1947. Paper and allied products in 1965 consumed

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about four times as much electric energy per production worker as did textiles, a more

favorable ratio than in 1947. The apparel industry, however, is considerably less electrified (as shown in table 16), although the increase since 1947 in electric energy per

production worker in apparel was greater than in textiles.

Table 16. Electric Energy Consumed, Textile Mill Products and

Selected Industries, 1947 and 1965

(Kilowatt hours per production worker)

Industry 1947 1965 Percent

change

Manufacturing----------------------------------------- 11,827 35,019 196

Textile mill products ----------------------------- 8,760 22,295 154

Apparel and related products------------------ 874 2,617 199

Paper and allied products------------------------ 39, 279 89,441 128

SOURCE: Bureau of the Census.

Another indicator of changing textile technology is the shift in power generation from

the older method of on-site production to the purchase of energy from central generating

systems. As mills are modernized and older plants are shutdown, the relative importance

of self-generated electricity is reduced. Hence, less than 5 percent of electric power used

by textile mills in 1965 was generated by the mill, compared with 7 percent in 1958 and 18

percent in 1 947.

Electric energy consumed per production worker will probably continue at or above

the growth rate of the last few years, as modernization continues at a rapid pace. Installation of air conditioning will be a major factor in the growth of electric power use. A 1961

Textile World survey of 89 of the largest textile mills revealed that only 11 percent of

these mills had completely air conditioned their manufacturing areas and 44 percent only

parts of the manufacturing areas.

Horsepower of Power Equipment

Horsepower of power equipment per production worker also indicates the level of

mechanization because it is a measure of the mechanical power available in the industry.

This ratio for the textile industry almost doubled from 1939 to 1962, the latest data available. The annual rate of growth from 1954 to 1962 was 3.7 percent, more than 50 percent

above the 1939-54 rate.

Relative to all manufacturing, however, the textile industry remains considerably

less mechanized. Horsepower per production worker in textiles in 1962 was about 50 percent of the ratio for all manufacturing, almost unchanged from the 1939 or 1954 relative

level. (See table 17.) The outlook in the next decade is for increased horsepcwer of power

equipment as the industry continues to modernize.

Table 17. Horsepower of Power Equipment per Production Worker,

Manufacturing and Textile Mill Products, 1939, 1954, and 1962

Year Manufacturing Textile mill

products

Textiles as

percent of

manufacturing

1939---------------------------------------------------------- 6, 5 3.4 51.7

1954---------------------------------------------------------- 9 .6 4 .8 50.2

1962---------------------------------------------------------- 12.5 6 .4 51.5

SOURCE: Bureau of the Census.

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Chapter V. Production Trends and Prospects

To assess the impact of technological change on manpower, it is essential to review

and project the trend in the industry’ s output. This chapter covers postwar production

trends, changes in the composition of output, and the outlook for textile demand.

Trends in Production

Textile production has not kept pace with all manufacturing output in the postwar

period. Various measures of textile output indicate that it rose an average of about 2.7-3.2

percent annually from 1947 to 1 966, compared with the significantly higher rate of 4.7 percent for all manufacturing.

The recent textile growth rate has been much higher than in the earlier postwar 1947-

57 period, reflecting increased demand for both civilian and defense purposes. According to

the published Federal Reserve Board (FRB) index JL/ , textile output increased only 1.3

percent a year from 1947 to 1957, compared with 4.3 percent per year for total manufacturing. (See table 18.) Between 1 957 and 1961, the average rate of increase of textile output

doubled to 2.6 percent annually. The recent period, 1961-66, was one of sharp recovery

Table 18. Indexes of Production for Manufacturing and Textile Mill Products, Selected Years

Industry sector

Indexes of production (1957-59 = 100) Average annual percent change

1947 1957 1961 1966 1947-57 1957-61 1961-66 1947-66

Total manufacturing-------------------------------- 66.4 100.8 109.6 158.7 4 .3 2.1 7 .7 4 .7

D urable----------------------------------------------- 64.3 104.0 107.0 165.1 4 .9 .7 9. 1 5. 1

Nondurable----------------------------------------- 67.2 96.7 112.9 150.7 3.7 4 .0 5 .9 4.3

Textile mill products 1 --------------------------- 85.0 96.5 107. 1 142.3 1.3 2.6 5 .9 2.7

Yarns and fabrics------------------------------- 88. 1 97.5 104.7 141.2 1.0 1.8 6. 2 2.5

Cotton and man-made fa b ric s ----- 79. 2 96.9 105. 8 148.8 2.0 2.2 7. 1 3 .4

Cotton yarns and fabrics---------- 86.0 97.6 104.9 125.5 1.3 1.8 3.7 2.0

Man-made fabrics-------------------- 58.8 98.0 108.9 220.2 5. 2 2.7 15. 1 7 .2

Wool textiles--------------------------------- 145.7 100.9 98. 1 97.4 -2 .6 -.7 -. 1 -2 .1

Wool fabrics---------------------------- 145.8 101.5 97.7 93.7 -2. 6 - 1.0 -.8 -2 .3

Knit goods------------------------------------------- 7 5.0 93.6 116.9 156.0 2.2 5.7 5 .9 3 .9

Hosiery------------------------------------------- 94.8 97.4 111. 5 152.0 .3 3.4 6 .4 2.5

Knit garments-------------------------------- 61.4 91.0 120.6 158.9 4 .0 7 .3 5.7 5.1

* Includes floor covering mill products, although not presented separately. Does not include "Miscellaneous" textile

mill products included in SIC 22.

SOURCE: Federal Reserve Board.

JJ The FRB index of production is frequently used as a measure of the output of

the textile industry and its components, butthedata have certain limitations. The indexes

k)r recent years are being revised for consistency with benchmarks based on 1958 and

1963 Census of Manufactures. Preliminary unpublished estimates, for the textile industry

as a whole, show indexes of output of 3 and 7 percent, respectively, above the currently

published unadjusted figures.

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with an average annual growth rate of 5.9 percent, but this was still considerably below

the 7.7 percent rate for manufacturing. Although the textile growth rate lagged substantially

behind the rate for durable goods manufacturing, it was similar to the rate for nondurables

in this later period.

Substantial variation exists in the growth rates of individual industries in the textile

mill products industry group. The fastest growing sector was the manmade fabric industry

in which output increased at an average annual rate of 5.2 percent between 1947 and 1957,

only 2.7 percent annually between 1957 and 1961, and then rose to an average rate of 15

percent a year between 1961 and 1966. In contrast, cotton yarns and fabrics, the largest

sector of the industry, grew more slowly: 1.3 percent annually between 1947 and 1957,

1.8 percent annuallly between 1957 and 1961, and 3.7 percent annually from 1961 to 1966.

The knit goods sector has undergone substantial and sustained growth, resulting

from fashion changes favoring knit garments, and substantial military demand. Output of

knit garments, one of the major subdivisions, rose 4.0 percent annually from 1947 to 1957,

7.3 percent from 1957 to 1961, and 5.7 percent in the 1961-66 period. The hosiery sector

of knit goods was virtually at a standstill from 1947 to 1957, but maintained output growth

at an average of 3.4 percent annually from 1957 to 1961, and 6.4 percent in the 5 years

from 1961 to 1966.

Wool textile production has been in decline throughout the postwar period but in recent

years has been stabilizing. Between 1947 and 1957, output declined at the average rate of

2.6 percent a year. Between 1957 and 1 961, the industry decline slowed down to less than 1

percent annually. From 1961 to 1966, there was almost no change in output due partly to

greater demand for defense purposes.

Floor covering mill products, not listed separately in table 18, has been one of the

fastest growing sectors of the textile industry. According to Census data, the quantity of

shipments of woven, tufted and knitted floor covering products in 1966 was more than two

and a half times greater than in 1958, an average annual growth rate of almost 13 percent.

Tufted carpets and rugs, which accounted for about 90 percent of the total, increased at the

average annual rate of more than 17 percent in those eight years.

Long range estimates for the textile industry as a whole, by industry experts, indicate

a high rate of growth in the 1970*8, above the rate for the 1947-66 period, but below the

rate of 1961-66. A greater proportion of teenagers and members of new family formation

age groups--the major textile consumers--and increasing income are expected to sustain

high consumer demand. Textile products may also compete more successfully in industrial

markets as new products are developed. On the other hand, reduced defense expenditures

and increasing imports may dampen the growth rate.

Changing Composition of Fiber Consumption

Changes in the volume and composition of mill fiber consumption are indicators of

the changing markets and technology of the industry. In 1966, a total of 9.0 billion pounds

of fiber were consumed in mills, 45 percent more than in 1957 (or an average 4.2 percent

annual gain). From 1947 to 1957, fiber mill consumption had declined slightly.

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Today’ s textile industry is a multifiber industry, with machinery that facilitates production shifts from one fiber to another. Almost without exception, new mills are being

built today equipped with versatile machinery that could process cotton, practically all

known types of synthetics, and synthetic-cotton blends without changing the machinery

layout. Blends and mixtures have been taking an increasing share of production accounting for almost a fifth of all broadwoven yardage in 1965. Many factors including fashion,

technology, and price changes determine the relative use of the various fibers.

Cotton*s dominant position was seriously weakened after World War II by the advent

of noncellulosics. From 1947 to 1957, cotton mill consumption declined 13.0 percent (1.4

percent annually ), compared with a two-thirds increase (5.4 percent annually) in total manmades. Although cotton consumption increased after 1957, by 1966 it was approximately at

the 1947 level. Only in 1964, 1965 and 1966 did cotton use increase significantly, due to

lower cotton prices competitive with world market prices (“one-price” cotton 1_/), and

greater military demand. As pointed out earlier, the import penetration ratio of cotton

(imports of semi manufactured and manufactured products as a percent of domestic consumption, measured in pounds of fiber) rose almost steadily since the mid 1950*s, except

in 1962-64, and reached 10 percent in 1966. In 1966, cotton accounted for 42 percent

of total fiber consumed in the mill (cotton equivalent basis), 2 / considerably below the

1957 level of 58 percent. (See table 19.)

To meet the competition of manmade fibers, natural fiber processors have undertaken research programs and promotion campaigns, but on a relatively small scale. The

National Cotton Council estimates that in 1965 the cost of research for cotton, by private

and government agencies, totaled $26.5 million compared with $135 million for manmade

fibers. Promotional expenditures were also a small fraction of the amount reported by

their competitors.

The outlook is for a further decline in cotton*s share of the fiber market. On a cotton

equivalent basis, cotton may only constitute a third of all fiber consumed by 1975, compared

with 42 percent in 1966.

The successful development and marketing of a variety of manmade fibers is one of

the most significant trends of the postwar period. In 1947, rayon and nylon were the only

1 / Under the government* s new program dating from April 1 964, prices of raw cotton

sold domestically and for export were equalized. “One-price” cotton legislation has been

extended to August 1970.

2 / Comparison of fiber consumption is more meaningful in terms of cotton equivalent units rather than in terms of actual poundage consumed because the number of yards

of cloth produced from a pound of manmade fiber is greater than the amount produced

from a pound of cotton or wool fiber. Therefore, differences in processing losses and

differences in fabric weights (“covering power**) should be taken into account to determine

the quantity of material realized. The Textile Economics Bureau and the Department of

Agriculture have developed these data on fiber consumption on a comparable cotton

equivalent basis. As shown in table 19, manmades, in cotton equivalents, accounted for

57 percent of total fiber consumption in 1966, compared with 44 percent measured in

actual pounds consumed.

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Table 19. Percent Distribution of Mill Fiber Consumption, Actual Pounds and

Cotton Equivalents,* 1947, 1957, and 1966

Type of fiber

Actual pounds Cotton equivalent basis*

1947 1957 1966 1947 1957 1966

Total2 ------------ ---------------------------- 100.0 100.0 100.0 100.0 100.0 100.0

Manmade fiber--------------------------------------- 16.5 28.8 44.4 23. 1 39.2 56.6

Rayon and acetate------------ --------------- 15.7 19.3 18.0 21.8 24.2 19.6

Noncellulosic----------------------------------- .7 7 .9 22.9 1.2 12.7 32.2

Glass ------------------------------------------------- . 1 1.6 3 .5 . 1 2.3 4 .8

Cotton----------------------------------- ---------------- 72.6 65.2 51.5 71.0 57.9 41.6

W o o l------------------------------------------------------- 10.9 5 .9 4.1 5.8 2.9 1.8

* Converted by the Department of Agriculture to enable interfiber comparison on the basis of the quantity of

material realized. Adjustment was made for differences in the waste involved in manufacturing fabric from various

fibers and differences in the average weight of generally compariable end products produced from the different fibers.

2 Does not include silk.

NOTE: Because of rounding, sums of individual items may not equal 100.0.

SOURCE: Based on data from the Department of Agriculture.

manmade fibers. Today, about 20 generic forms of manmade fibers are produced. These

include three forms of cellulosics (rayon, acetate, and triacetate); four forms of fibers

from nonfibrous materials such as glass; and more than ten synthetic noncellulosic fibers,

including nylon, polyester, acrylic, spandex, olefin, and others.

The increase in manmade fiber consumption accounted for more than four-fifths of

total fiber growth over the 9 year period from 1957 to 1966. Manmade fiber use rose to a

high of 4.0 billion pounds in 1966, about two and a quarter times that of 1957 or at an

average rate of 9.3 percent annually. In 1 957, manmade fibers accounted for 39 percent of

total fiber consumption on a cotton equivalent basis; by 1966, the ratio had risen to 57 percent.

More than four-fifths of the increase in manmade consumption from 1957 to 1966 was

made up of noncellulosic s, including nylon, polyestef, acrylic, spandex, olefin, and others.

Noncellulosic s consumed in mills rose at an average annual rate of 1 9 percent from 1957 to

1966. The growth rate was particularly high in the 1960*3; 22 percent annually from 1961 to

1966. Consequently, these fibers increased their share of total manmade consumption from

32 percent in 1957 to 57 percent in 1966 (cotton equivalent basis).

Cellulosics (rayon and acetate), in contrast,have not held their share of the manmade

market. Although cellulosic fiber consumption increased at the annual rate of 3.4 percent

from 1957 to 1966, its relative share of total manmade fiber declined from 62 percent to

35 percent over those 9 years. Rayon’ s dominant position in tires, one of its major

markets, was reversed for the first time in 1963, culminating nylon’ s continuous inroads

over the past 10 years. On the other hand, increased use of rayon in home furnishings and

clothing has more than compensated for the industrial market loss.

Outlook for Manmade Fiber Consumption

Total manmade fiber consumption will continue to increase significantly in the next

decade, despite growing research, new product development, and promotional activities by

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natural fiber processors. By 1975, manmade fiber consumption may account for 65

percent--on a cotton equivalent basis--of allfibers consumed, compared with 57 percent in

1966.

Of the manmade fibers, noncellulosics will continue to be the major growth fiber

group in the next 5 to 10 years.lt is not generally expected, however, that it will increase

at the high annual rate of the 1960*3, i.e., at the average of 22 percent per year from 1961

to 1966. Industry experts estimate a rate closer to 10 percent annually over the 10 year

period.

Rayon's competitive position will depend largely on its ability to maintain its share

of the tire cord market, one of its major outlets. Despite the inroads of nylon, almost all

original equipment tires are made of rayon cord because of its lower price and because

nylon tires tend to become slightly flat after standing. Car manufacturer s' requirements

for higher tenacity cords, however, are expected to reduce rayon demand, particularly as

nylon properties are improved and other cord materials are developed. The recent growth

of polyester tire cord also threatens rayon’ s supremacy in the original tire market. Although research continues to improve rayon tensile and elongation properties, many

industry men believe that rayon’ s share of the market will be seriously reduced in the next

decade. Radial tire production which requires more cord strength and rigidity, may, in

part, be responsible for this cutback.

Intensive research programs and consumer promotion activities stimulate demand

for manmade fibers. Many fiber companies assist mills in adapting their equipment to use

of manmade fibers. They maintain finishing laboratories for dyeing research, and send

technical service groups to mills to help make up new fabric constructions. More than

4,000 manmade fiber items are now on the market, and research on modifications of

physical and chemical properties is being pursued to create new products.

Besides the attractiveness of easy care and long life to consumers, several advantages to the manufacturers account for the increased use of manmade fibers. Major

advantages in processing of many manmade fibers are lower unit labor requirements,

relatively stable prices, shorter processing time, and greater potential for integrated

processing. Filament yarn, for example, which accounts for more than half of all manmade yarn produced, is shipped to textile mills directly from chemical plants, ready for

preparatory weaving operations. All the conventional operations of an integrated mill

usually required to produce yarn from fiber, i.e., opening, blending, picking, carding,

roving and spinning are eliminated.

Many manmade fibers almost entirely eliminate waste, a serious time and labor

consuming problem in the use of natural fiber. The average processing loss (with no allowance for salable waste) has been estimated at 1 3 percent for cotton, 5 percent for wool, 4

percent for manmade staple, and 1.5 percent for manmade filament. In some cotton yarn

mills, cleaning lint and fly may constitute as much as 20 percent of total labor costs.

Moreover, a new technology in the apparel industry, durable press, is accelerating

the shift from all cotton to polyester blends. All-cotton fabric do not, at this time, have the

abrasion resistance required for durable press, a process which imparts a permanent

wrinkle-free appearance. According to one estimate, about 80 percent of all dress shirts,

traditionally made of all-cotton fabrics, will be made of polyester-cotton blends next year.

Durable press is also being adopted for various household textiles, such as sheets.

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In addition, the price differential between polyester and cotton has been narrowing,

strengthening the fiber shift. Polyester capacity expansion has been accompanied by sharp

price declines in the last decade. Although cotton prices also declined in this period, the

ratio of polyester to cotton prices fell from almost four in 1955 to less than three in 1966.

Cotton prices, moreover, are expected to rise since the more desirable qualities of cotton

are in short supply and cotton stocks generally are signficantly reduced.

Wool consumption declined fairly steadily after World War II. Although some

leveling-off took place in the early 1960*8, 1964 consumption hit a new low, and the 1966

consumption of 370 million pounds was at the 1957 level. As pointed out earlier, the import

penetration ratio (measured in fiber poundage) of wool increased sharply to almost 30 percent in the mid-60’ s. As a percent of total fiber used in mills (converted to cotton equivalents), wool accounted for only 1.8 percent of the total in 1966 compared with 2.9

percent in 1957 and 5.8 percent in 1947. The outlook is for a continued decline in wool’ s

share of the total fiber market.

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Chapter VI. Employment Trends and Outlook

This chapter reviews past trends and future prospects of the industry’ s employment

profile, including overall employment, regional distribution, unemployment, age of

workers and the employment of women and Negroes. Occupational trends and projections

are presented in chapter VII.

Employment Trends

Following its postwar peak of 1,332 thousand in 1948, textile employment began the

sharpest long term decline in its history. The trend was almost continually downward, with

the sharpest reductions in 1949, 1954, and 1958. (See chart 4.) Slowly leveling off in the

1960’ s, employment hit the postwar low of 885 thousand in 1963. From 1948 to 1963,

employment had fallen 33.5 percent, or an average of 2.7 percent annually. (See table 20.)

As pointed out earlier, multiple factors were responsible for this decline. Shrinking

domestic and foreign markets seriously reduced demand and many hundreds of mills closed

their doors. At the same time, mill modernization, more efficient managment and the shift

to synthetic fiber reduced unit labor requirements.

C h a rt 4. E m p lo y m e n t i n T e x tile M ill P ro d u c ts Industry!!/ 1 9 4 7 -6 6

1947 '48 '49 1950 '51 '52 '53 '54 1955 '56 '57 '58 '59 1960 '61 '62 '63 '64 1965 '66

1/ See appendix table 3 for data. !§§§

Source: Bureau of Labor Statistics.

!t 'h . H & ■ fill® A " * "■ %iU • ■' ■ • ’ / ■, -rn SMIII-' fHmiflBlMs >18 ft ’ ** tft, ' 1

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Table 20. All Employees and Production Workers, Textile

Mill Products, Selected Years

Year All employees Production workers

In thousands

1947 — _ -------------------- — 1 ,2 9 9 .0 1 ,2 2 0 .0

1948 (Peak) ----------------------- 1 ,33 2 .0 1 ,24 8 .0

1963 (Low)-------------------------- 885.4 793.4

1966 -------- --------------------— 961.5 857. 1

Average annual percent change

1948-63 — — --------------------- -2 . 7 -3 .0

1963-66 ----------------------------- 2. 8 2 .6

1947-66 ------------------------— -1 .6 -1 . 9

SOURCE: Bureau of Labor Statistics.

Although textile output had risen sharply after 1959, employment did not advance.

Additional man-hours required were provided to a great extent by lengthening the workweek, rather than by hiring new workers. However, as output continued its sharp rise

between 1963 and 1966, both employment and man-hours rose significantly. Employment

moved upward from 885.4 thousand to 961.5 thousand, at an average annual rate of 2.8 percent--the first increase since 1948 of more than 1-year* s duration. The improved employment situation since 1965 was due largely to greater defense expenditures for textile

products.

Overall, approximately 962 thousand employees were working in the textile industry

in 1 966, about 338 thousand fewer than in 1 947, a decline of 26 percent or an average annual

decline of 1.6 percent. Employment in all-manufacturing increased 23 percent in this

period.

Employment Outlook

The outlook is for a continuation of the long-term decline, but at a slower rate. Projections of textile employment to 1 975 range around 880 thousand, or about 5 percent below

the 1965 employment level. This represents an average annual decline of about 0.5 percent

over the decade, compared with the average rate of decline of 1.9 percent per year between

1947 and 1965.

This projection was prepared by the Bureau of Labor Statistics for the National Commission on Technology, Automation and Economic Progress and is discussed in detail in

Appendix Volume I to the Commission’ s report. A basic assumption underlying the projection is that the national unemployment rate in 1975 will be 3 percent. Moreover, the

projection assumes that the trend in textile imports and exports in the next decade will

continue at about the same average rate as in the 1947-65 period.

These projections must be considered as conditional statements, not firm predictions

about the future. While the as sumptions used are reasonable in the light of past experience,

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they and the projections basedupon them are subject to revision in the light of new developments. As in other economic projections, inadequate data and imperfect understanding of

the complex relationships among determinants of output and employment could result in

fairly wide margins of error.

Trend in Industry Sectors

Not only did employment in the textile industry decline in the post-World War II

period, but the structure of employment by industry sector changed significantly.

The broadwoven sectors (cotton, synthetic, and wool), the largest homogeneous

group, declined sharply between 1947 and 1966--over 40 percent (an average of 2.8 percent annually) compared with a decline of 26 percent (1.6 percent annually) for all textile

employment. This employment loss accounted for about four-fifths of the total postwar

decline in textiles. Although employment increased in the cotton and synthetic broadwoven

groups from 1963 to 1966, only synthetics rose above the 1959 level. Wool weaving and

finishing continued its downward trend during this period. (See table 21.) In 1947, broadwovens represented about 50 percent of all textile employment; by 1966 employment had

fallen to 380 thousand, or to less than 40 percent of the total.

Knitting, the second largest industry group comprising 234 thousand employees in

1966, declined only 3 percent from 1947. Employment declined sharply in the 1947-57 decade

but recovered in recent years. From 1963 to 1966, it rose an average of 3.2 percent

annually. By 1966, knitting accounted for almost a fourth (24.4 percent) of total textile

employment, compared with less than a fifth (18.7 percent) in 1947. Data for knitting

sectors (hosiery, knit outerwear and underwear) are available only for the years since

1959. As shown in table 21, employment in knit outerwear rose most rapidly from 1963 to

1966 (5.4 percent annually), and rose 2.9 percent annually from 1959 to 1966. Employment

in miscellaneous hosiery and socks declined substantially (3.4percent annually) from 1959.

In the other sectors of knitting, employment in 1966 was at about the 1959 level.

Employment in the third largest industry sector, yarn and thread, was 116 thousand

in 1966, a decline of 2.2 percent annually since 1947. Sharp increases in recent years (4.6

percent annually from 1963 to 1966),brought employment up about 7 percent above 1959.

Relative to total textile employment, yarn and thread employment remained fairly stable:

about 13 percent in 1947 and 12 percent in 1966.

Production Worker Employment

Production worker employment declined more sharply (average annual rate of 1.9

percent) than total employment (1.6percent annually) in the post-war period 1947-66.

(See table 20.) In almost all sectors of the industry, production workers showed a greater

decrease or a smaller increase than all employees.

Although the ratio of production workers to total textile employment has been

declining, it is still high relative to all manufacturing. In 1966, production workers ac45

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Table 21. All Employees and Production Workers in Textile Mill Products Industry, 1959, 1963, and 1966

Industry sector

All employees

1959 1963 1966

Average annual change

1959-66 1963-66

(In thousands) (Percent)

Manufacturing ------------------------------------------------------------------ 16, 675 16,995 19, 186 2 .0 4. 1

Textile mill products------------------------------------------------------ 945.7 885.4 961.5 . 2 2.8

Cotton broadwoven fabrics----------------------------------------- 259.4 228. 2 237.2 -1 .3 1.3

Silk and synthetic broadwoven fabrics------------------------ 81.0 85.9 97.0 2.6 4. 1

Weaving and finishing broadwoolens-------------------------- 60.4 49.6 45.4 -4 .0 -2 .9

Narrow fabrics and smallwares----------------------------------- 28.5 27. 5 31.4 1.4 4 .5

Knitting------------------------------------------------------------------------ 219.8 213.3 234.4 .9 3.2

Women's full and knee length hosiery------------------ 53.7 51.4 54.2 . 1 1.8

Miscellaneous hosiery and socks---------------------------- 53.9 44.3 42.3 -3 .4 -1 .6

Knit outerwear-------------------------------------------------------- 59.5 62. 2 72.9 2.9 5.4

Knit underwear------------------------------------------------------ 33.2 31.7 34.7 .6 3.1

Finishing textiles, except wool and knit ------------------ 77.3 75. 2 79.6 .6 1.9

Floor covering---------- ---------------------------- ----------------------- 37.6 37.6 43.5 2. 1 5.0

Yarn and thread---------------------------------------------------------- 108.3 101. 2 115.9 1.0 4 .6

Miscellaneous textile goods--------------------------------------- 73.5 66.9 7 7.2 .7 4 .9

Production workers

Manufacturing------------------------------------------------------------------ 12, 603 12,555 14, 273 1.8 4 .4

Textile mill products------------------------------------------------------ 857.4 793.4 857. 1 -. 1 2.6

Cotton broadwoven fabrics----------------------------------------- 243.5 211.3 218.0 -1 .6 1.0

Silk and synthetic broadwoven fabrics------------------------ 74. 2 77. 5 87.5 2.4 4.1

Weaving and finishing broadwoolens-------------------------- 53.9 43.7 39.6 -4. 3 -3 .2

Narrow fabrics and small w ares--------------------------------- 24.9 24. 1 27.9 1.6 5.0

Knitting------------------------------------------------------------------------ 199.7 192.0 209.8 .7 3.0

Women's full and knee length hosiery------------------ 49.3 47. 1 49.6 . 1 1.7

Miscellaneous hosiery and socks---------------------------- 50. 1 40.8 38.7 -3 .7 -1 .8

Knit outerwear-------------------------------------------------------- 53.3 54.7 63.7 2. 6 5.2

Knit underwear------------------------------------------------------- 29.8 28.6 31.2 .7 2.9

Finishing textiles, except wool and knit-------------------- 67.0 64. 2 67.3 . 1 1.6

Floor covering-------------------------------------------------------------- 31.9 31. 2 35.6 1.6 4 .5

Yarn and thread---------------------------------------------------------- 100.3 93. 1 107.7 1.0 5.0

Miscellaneous textile good s--------------------------------------- 62.0 56.2 63.8 .4 4 .3

SOURCE: Bureau of Labor Statistics.

counted for 89.1 percent of all textile employment compared with 93.9 percent in 1947. In

manufacturing, the ratio was 74.4 percent in 1966. (See table 22.)

Trends in Unemployment

The decline of textile employment was accompanied by a relatively high rate of unemployment among textile workers throughout the postwar period. The rate of textile unemployment exceeded that of manufacturing in every year from 1958 (the first year for which

data are available) through 1966, except in 1961 and 1962. Unemployed textile workers

constituted 9.5 percent of the textile labor force (i.e., those employed in the textile industry, and those unemployed whose last job was in the textile industry) in 1958 but declined

to 3.7 percent by 1966. As shown in table 23, only in 1965 and 1966 was the rate below

5 percent.

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Table 22. Production Workers as Percent of Total Employment

Year Manufacturing Textile mill products

1947 ---------- -------------- 83.6 93. 9

1957 ------------------------------ 76. 8 91.0

1966 ------------------------------ 74.4 89. 1

SOURCE: Bureau of Labor Statistics.

Table 23. Unemployment Rates in Manufacturing and Textile

Mill Products, 1 1958-66

Year

Unemployed as percent of civilian

labor force in category

Manufacturing Textile mill products

1958 --------------------------------- 9.2 9. 5

1959 --------------------------------- 6 .0 7.2

I960 --------------------------------- 6 .2 6.3

1 9 6 1 --------------------------------- 7 .7 6. 8

1962 ------------ -------- - - 5. 8 5. 2

1963 ------------------------ — 5. 7 6 .7

1964 --------------------------------- 4 .9 5. 7

1965 --------------------------------- 4 .0 4 .3

1966 --------------------------------- 3.2 3. 7

* The denominator of the unemployment rate includes the employed,

classified according to their current job, and the unemployed, classified according to their last civilian job, if any; the numerator includes the unemployed workers classified according to their last job.

SOURCE: Bureau of Labor Statistics.

Moreover, the unemployment rate may be under stated because it is based on the last

job held, not on the industry in which duration of employment was longest. For example,

workers who spent all their working lives in the textile industry and who may have taken

other types of employment after being unemployed for some time, would not be counted

as unemployed textile workers. Also, the extent of the unemployment problem is not fully

reflected in the unemployment rate because of the exit from the labor force of laid-off

workers who retire, or return to home or school.

Some textile areas, particularly in New England, continue to have substantial and

persistent unemployment, despite economic expansion nationally. In Fall River, Mass,

area, formerly a major textile center, the unemployment rate, according to the Bureau of

Employment Security, was 6.2 percent in 1966, having dropped from over 10 percent in

1963 and 1964. The Altoona, Pennsylvania area in the Appalachian region had an unemployment rate of 6.6 percent in 1 966. The lack of alternative job opportunities is a major problem. On the other hand, some textile centers such as Utica, New York have increased

employment opportunities as a result of diversification programs which brought in new

industries.

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Although large scale layoffs were most severe during the sharp decline of the 1950*8,

they continued to occur in the 1960*s. A study of layoffs of 100 or more workers based on

reports to the Department of Labor, covering the period July 1963 through June 1965 (a

period of brisk activity in the textile industry and in the economy generally), showed a

total of 33 textile establishments and 9.6 thousand workers affected by permanent layoffs

during this period. Most of these were in New England and the Middle Atlantic States. These

two areas accounted for 85 percent of the textile mills and 64 percent of the employees

affected.

Of the 33 textile mills affected, 13 listed competitive pressures, 9 reported relocation and 2 gave consolidations and mergers as the primary reason. These reasons

accounted for 74 percent of the employees laid off. (Primary reason for the other mills

were given as “other”.) None of the mills reported that technological change was the

primary reason for layoff. It may be presumed, however, that competition from more

technically advanced plants was an important factor underlying the other reasons given

For layoffs.

Laid-off textile workers as a group face special difficulties in finding reemployment.

Almost 60 percent of all textile employees are in mills located in non-metropolitan areas

which usually have few alternative opportunities within the area. Moreover, textile skills

are not easily transferred to other industries. Women, who comprise almost half the textile work force, usually have family ties which limit their mobility in the search for work.

An additional problem is the textile workers* relatively high average age.

Some of the expected decline in employment through 1 975 may take place through the

retirement of older workers, and the transfer of people to other industries. But the workforce will remain vulnerable to high unemployment rates as marginal plants with obsolete

equipment shutdown during periods of slackening demand.

Regional Distribution of Jobs

Greater concentration of jobs in the South continues the long term regional pattern.

Continuing liquidation of older, high-cost, marginal plants in New England and in the

Middle Atlantic States, rather than any marked expansion in southern employment accounted

for the distributional shift. Employment in the South Atlantic States increased only about

2 percent from 1958 to 1963, but employment in New England and Middle Atlantic States

declined sharply (18 and 1 3 percent respectively) over this period. New England’ s share of

textile jobs contracted from 23 percent in 1947 to 14 percent in 1958 and to 12 percent in

1963. By 1963, 57 percent of all textile worker s were employed in South Atlantic States, as

shown in chart 5.

In leading textile states, the industry’ s relative importance as a source of employment has been declining. In North Carolina, for example, textile mill products is still the

major industry, but in 1963 it provided only 41 percent of all manufacturing jobs in the

state compared with 55 percent in 1947. In Massachusetts, the leading New England

textile state, jobs in textile mills constituted 18 percent of all manufacturing jobs in 1947,

and 6 percent in 1963.

Although the movement of cotton manufacturing mills to the South started at the turn

of the century and gained momentum after World War I, the woolen and worsted industry did

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wmMsmmmmmmmmm

C h a rt 5. R egio n a l D istrib u tio n of T e x tile Em ploym ent 1 

1947,1954 and 1963 

(P e rce n t o f total)

not gain importance in the South until after World War II. An improved spinning system,

developed in the South for woolen manufacture, was a major contribution to wool manufacturing technology and resulted in important cost savings. Unlike the movement in earlier

periods, plants in the South are being fully equipped with the newest machinery, without the

transfer of large amounts of equipment from northern mills. In addition, the establishment

of southern wool processing plants enables mills to buy processed wool locally, whereas

previously southern mills had to buy processed wool from the North.

In cotton manufacture, many of the historic causes for the shift southward continue

to exist. These include lower power costs, lower wages and supplementary benefits, and

various tax advantages. In addition, location closer to Southern synthetic mills is a new

factor because of the use of multiple fibers by cotton cloth manufacturers.

The outlook is for an increase in the proportion of textile jobs in the South Atlantic

States.

Changing Age Composition

As employment in the textile industry declined, the average age of the workforce rose

fairly rapidly. The average (median) age of employed textile workers increased from 32.4

in 1940 to 40.7 in I960, a considerably sharper rise than in all manufacturing. This was

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due in some measure to the movement of young adults to higher paying, expanding

industrie s.

The proportion of older male employees, 45 and over, rose to about 40 percent of all

male employees in I960 compared with 26 percent in 1940. The proportion of females of

45 and over almost tripled: from 14 percent in 1940 to 37 percent in I960. (See table 24.)

Table 24. Employed Persons, by Sex and Age Group, Textile Mill Products

1940, 1950, and 1960

(Percent of total)

Sex and age group 1940 1950 1960

Male:

Total --------------------------------------------- 100.0 100.0 100.0

Under 2 5 --------------------------------------------------- 21.9 16.0 14.6

2 5 -3 4 -------------------------------------------------------- 31.9 25. 1 21.4

3 5 -4 4 --------------------------------------------------------- 20.7 25.0 23.8

45-54 --------------------------------------------------------- 15.0 17.6 23.5

5 5 -6 4 ---------- ---------------------------------------------- 7 .9 12.0 13.7

65 and over----------------------------------------------- 2.7 4 .2 2.8

Female:

Total --------------------------------------------- 100.0 100.0 100.0

Under 2 5 - ------------------------------------------------- 29.6 19.1 13.2

2 5 -3 4 --------------------------------------------------------- 36. 2 27.4 21.4

3 5 -4 4 --------------------------------------------------------- 20.7 28.1 28.2

4 5 -5 4 --------------------------------------------------------- 10.0 16.8 24.8

55-64 --------------------------------------------------------- 3 .0 7. 2 10.8

65 and over----------------------------------------------- .6 1.3 1.6

NOTE: Because of rounding, sums may not add to 100.0.

SOURCE: Bureau of the Census.

The outlook is for a further rise in the median age level over the next decade, as

expanding, higher paying industries continue to attract younger textile workers. At the

same time, many workers will reach retirement age, but whether they will be retained

on their jobs will depend on the demand for textile labor.

Employment Outlook for Women

The textile industry has been a source of abundant job opportunities for women since

its inception. More than 426 thousand women were employed in textile mills in 1966, and

they constituted about 44 percent of all employees. This was considerably higher than the

ratio for all manufacturing--27 percent. Although the percent of women to total employees

has been slowly increasing since 1940, their relative position has diminished substantially

over the long term. In 1870, women constituted about 60 percent of cotton mill workers

compared with about 40 percent today.

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The relative importance of women in employmentvaries widely depending largely on

the nature of the work. Finishing, primarily a chemical process involving relatively

har'-’ dous working conditions, employs relatively few women--24 percent in 1966. In

kniUxng, which requires considerable dexterity, women constitute about 68 percent of the

w o/' force. (See table 25.)

Significant increases in female textile employment usually occur at times of male

labor shortages. For example, from 1940 to 1945, the increase in female labor in South

Carolina textile mills accounted for over 90 percent of the State’ s total increase in textile

employment. SinGe women can take the place of men in almost all textile operations, either

directly or by breaking down the jobs into several operations, expansion of the female labor

force requires little or no adjustment by the mill.

Job opportunities for women are also affected by technological change. Weaving, for

example, was originally considered a man’ s occupation requiring physical strength. When

power looms were introduced, however, women were considered capable of filling the job.

As mechanization continues, more employment opportunities maybe open to women in occupations previously considered too dangerous or too difficult physically for them. In the

carding room, for example, where the proportion of women is relatively small, mechanization of lap removal and suction cleaning may increase card tending jobs for women. On

the other hand, some of the new developments in winding, drawing and packaging may reduce unit labor demand for women. For example, as industry adopts automatic attachments

for winding on the loom, battery hands and winders, which are primarily women’ s occupations, will be reduced. In new and remodeled mills which have made this change, women’ s

jobs related to these operations have been practically eliminated.

Women’ s relative position has been strengthened by the fact that, in recent years,

men’ s jobs have been more affected by technological change than women’ s jobs. For

Table 25. Women Employees in Textile Mill Products Industry, 1959 and 1966

Industry sector

Number

(in thousands)

As per

all em

cent of

ployees

1959 1966 1959 1966

Manufacturing------------------------------------------- 4, 359.0 5, 206. 0 26. 1 27.1

Textile mill products-------------------------------- 414.5 426.8 43.8 4 4.4

Cotton broadwoven fabrics------------------ 101.4 91.8 39.1 38.7

Silk and synthetic broadwoven

fabrics------------------------------------------------- 28.5 34.0 3 5.2 35.1

Weaving and finishing broadwoolens - - 20.7 16. 1 34.3 35.5

Narrow fabrics and smallwares------------ 15.3 17.8 53.7 56.7

Knitting------------------------------------------------- 152.3 160.4 69.3 68.4

Women’s full and knee length

hosiery------------------------------------------- 35.8 41.2 66.7 76.0

Miscellaneous hosiery and socks----- 38.7 30.6 71.8 72.3

Knit outerwear-------- ------------------------- 44.1 53.0 74.1 72.7

Knit underwear---------------------------------- 24.6 24.2 74.1 69.7

Finishing textiles, except wool and

k n it --------------------------------------- ------------ 16.4 19.3 21.2 24.2

Floor covering--------------------------------------- 11.8 13.7 31.4 31.5

Yarn and thread----------------------------------- 47.6 52.3 44.0 45.1

Miscellaneous textile good s---------------- 20.5 21.5 27.9 27.8

SOURCE: Bureau of Labor Statistics.

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example, advances in materials handling and cleaning affect primarily men’ s jobs and have

reduced labor requirements for men in these unskilled tasks. The proportion of women in

the industry is thereby favorably affected.

Employment of Negroes

Negroes have made some employment gains in the textile industry. A total of about

44,000 Negroes were employed in the textile industry in I960, compared with 25,000, 20

years earlier. (See table 26.) Negro employment advanced from 2.1 percent of total textile

employment in 1940 to 4.6 percent in I960. This ratio, however, was still lower than that

for all manufacturing in I960 (6.6 percent).

The bulk of the advance occurred between 1940 and 1950 when war and postwar

production was at its highest level. Negro textile employment increased 73 percent in those

10 years. Between 1950 and I960, the number of Negro workers in textiles increased 2.7

percent, as total textile employment fell by almost a quarter.

The South accounted for slightly more than half of the Negro increase from 1940 to

1950. Between 1950 and I960, however, Negro employment declined in the South, and the

ratio of Negro employment to total employment remained about the same, compared with

the ratios in other regions which showed substantial increase. (See table 27.)

Annual data for South Carolina, one of the leading textile states, show a substantial

increase in the Negroes’ share of textile employment but only since the m id-1 960’ s. The

proportion of Negroes in textile mills was less than 5 percent for more than 30 years,

except for 1945-49 when the ratio ranged from 5.1 to 5.5 percent. In 1965, the ratio was

slightly over 6 percent, still below the 1925 ratio (see table 28), but in 1966, the ratio

jumped to 10 percent. These data cover nonsalaried employees only.

Although a combination of long-term social and economic factors underlies the low

ratio of Negroes in southern textile mills, there is evidence that some of these conditions

are changing.

Table 26. Negro Employment in Textile Mill Products Industry, 1940, 1950, and 1960

Color and sex

Employment

(in thousands)

j Percent change

1940 1950 j 1960 1940-50 1950-60

Total employees*------------------------------------- 1,170.0 1241.4 954.0 6. 1 -23. 1

N egro--------------------------------------------------- 24.8 42.9 4 4.0 73. 1 2.7

Negro as percent of total-------------------- 2. 1 3.5 4 .6 - -

Male employees1 --------------------------- --------- 692.4 712.8 535.9 3 .0 -2 4 .8

Negro m a le s ---------------- ----------------------- 21.3 33.4 33.7 56.8 .9

Negro as percent of total m ales--------- 3. 1 4.7 6.3 - -

Female employees1 --------------------------------- 477.7 528.6 418.1 10.7 -2 0 .9

Negro fem ales------------------------------------- 3 .5 9 .5 10.4 173. 1 9.3

Negro as percent of total females------- .7 1.8 2.5 - -

1 Totals include nonwhites other than Negroes.

2 Percentages based on unrounded data.

SOURCE: Bureau of the Census.

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Table 27. Textile Mill Employment by Region, Color and Sex, 1950 and 1960

( In thousands)

1950 1960 Percent change

Region

Total

Negro

Total

Negro

1950-60

Number

Percent

of total Number

Percent

of total White Negro

Total:

Northeast------------------------------------------- 554.0 8.3 1.5 303. 5 11.0 3 .6 -4 6 .4 31.7

North Central-------------------------------------- 55.8 2.9 5.3 38.9 3. 1 7 .9 -32. 2 4 .2

South--------------------------------------------------- 617. 1 31.0 5 .0 598.0 29.3 4 .9 -3 .0 -5 .8

W e s t --------------------------------------------------- 14.6 .6 3 .8 13.6 .8 5 .6 6.3 36.2

Male:

Northeast------------------------------------------- 328.4 5.3 1.6 171.2 5.8 3 .4 -4 8 .9 10.9

North Central-------------------------------------- 27.8 1.7 6. 1 19.6 1.6 8.3 -3 1 .2 -3 .5

South--------------------------------------------------- 349.9 26.0 7 .4 338.4 25.8 7 .6 -3 .5 -1 .1

W e s t --------------------------------------------------- 6.7 .4 5.7 6 .7 .4 6 .6 - .4 15.4

Female:

Northeast------------------------------------------- 225.5 3.1 1.4 132.3 5. 1 3.9 -4 2 .9 67.3

North Central------------------------------------- 28.0 1.2 4 .4 19.3 1.4 7 .4 -3 3 .2 14.6

South--------------------------------------------------- 267.2 5 .0 1.9 259.6 3. 5 1.3 -2 .3 -3 0 .2

W e s t --------------------------------------------------- 7 .9 .2 2. 2 6 .9 .3 4 .6 13. 8 81.7

SOURCE: Bureau of the Census.

Table 28. Total and Negro Employment in T extile M ills1

in South Carolina, Selected Years

(Employment in thousands)

Year

Total

employment

Negro employment

Number Percent

1925 ---------------------------------------------------------- 70. 1 4 .6 6 .6

1930 ---------------------------------------------------------- 67.0 3 .9 5.8

1935 ------------------------------------------------- --------- 83.6 3 .8 4 .6

1940 -------------- ------------------------------------------- 92.7 3.7 4 .0

1945 -------— — .................................................... 109.5 5 .6 5. 1

1950 ...........................- ......................................... 124.6 6 .0 4 .8

1955 ----------------------------------------------------------- 127. 2 5.9 4.7

1960 ------------ ---------------------------------------------- 122.9 5.7 4.7

1965 ------------ --------------------------------------------- 133.3 8 .2 6 .2

1966 --------------------------------------- --------- --------- 138.2 13.8 10.0

1 Nonsalaried.

SOURCE: Department of Labor of South Carolina.

First, the social milieu which influences the attitude of textile workers toward

Negroes is undergoing change. The closely knit society of textile mill towns, the rural

background of the population and their isolation fromurban centers have been factors that

tended to restrict Negro employment, except at the lowest levels. Greater communication

and mobility may be changing these community-work relationships. Opportunities for

Negroes may also be expanded by the efforts of the Equal Employment Opportunities

Commis sion.

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Second, the traditional sources of labor supply for the textile industry in the South

are diminishing as new, higher-paying industries are expanding, and attracting white labor.

As long as wages have been higher in textiles than in many other local industries, textile

mills usually have been assured of an adequate supply of white male workers. When white

male workers were in short supply, white women were hired because women generally

can perform almost all operations in the mill. For example, when white male workers were

not available in South Carolina textile mills during World War II, white women were hired

comprising about 90 percent of the increase in total employment from 1940 to 1945. Negro

employment increased less than 2 thousand in this period, compared with an increase of

almost 16 thousand white women. (See table 29.)

In the tight job market of the 1 960* s, however, the textile industry has had to compete

with higher-paying industries not only for white male workers but also for white women

who are finding employment in other industries. Of the net increase in women employment

in South Carolina industries between 1940 and 1945, almost 80 percent went into textile

mills; in the 1960-65 period, only 25 percent went into textile mills. The gap in traditional

sources of labor accounted, in large part, for the gain in Negro employment from I960 to

1965, as shown in table 29. In 1966, as white women workers declined in South Carolina

textile mills, Negro employment rose from about 6 percent to 10 percent of total nonsalaried textile employment.

These favorable factors in the outlook for Negro employment may be offset by more

widespread mechanization which tends to reduce the demand for unskilled workers. It has

been estimated that about a third of all Negro workers in the textile industry of North

Carolina and South Carolina in 1966 were unskilled laborers compared with about 10 percent of all white workers.

Table 29. Employment Changes in Textile Industry of South Carolina,

by Sex and Color, 1940-65 1

(In thousands)

Period Total

Male

white

Female

white Negroes

1940 4 5 ----------------------------------------------------- 16.8 -0 .8 15.7 1.8

1945-50----------------------------------------------------- 15.0 15. 2 - .6 .5

1950-55----------------------------------------------------- 2.6 1.9 .9 -. 1

1955-60 --------------------------------------------------- -4 .3 .6 -4. 8 - .2

1960-65----------------------------------------------------- 10.4 3 .6 4 .4 2 .5

* Not fully comparable; nonsalaried employment.

SOURCE: Department of Labor of South Carolina.

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Chapter VII. Occupational Changes and Prospects

This chapter deals with occupational changes in the textile industry expected over the

next decade resulting primarily from technological developments. Two approaches are

adopted: first, potential change s in the content of key jobs are presented; second, industrywide occupational changes are projected.

Job Content and Training

Changes in job content and skill requirements differ among the three major occupational categories: machine tenders, technical workers and supervisory personnel. Each,

therefore, will be discussed separately. Major emphasis will be on the effect of latest machine technologies on the worker. Although the discussion is confined to the cotton textile

industry, workers in the cotton, synthetic, and woolen and worsted industry have substantially identical duties and operate similar types of machines.

Machine tenders or operatives. Although cotton is processed through several different

machines, the work performed and the skills involved are quite similar at many operations. The content of machine tender or operative jobs can be summarized in terms of

seven basic work duties:

1. Creeling is the operation of loading the machine with the supply stock and removing the empty package-container. On carding machines, for example, it involves positioning the laps; on spinning frames, placement of full bobbins of roving; on looms, hanging

beams and positioning bobbins of filling.

2. Doffing is the removal of full packages of processed material and replacing them

with empty package cores. This involves removal of laps on pickers; full cans of sliver

from cards or drawing frames; full bobbins of yarn from spinning frames; and cloth rolls

from looms. This may be done by the machine operator, as in the picker operation or by

an auxiliary worker, a doffer, as in spinning.

3. Repairing or piecing-up involves the operation of tying together broken fiber, yarn

orthread, or attaching ends of newpackages for proces sing. Drawing frame tenders pick up

broken ends of sliver and mat and roll them together between thumb and fingers; spinners

locate the ends of broken strands, thread them through guides, twist two ends together, and

replace the bobbin.

4. Operating manual controls involves stopping and starting machines, and regulating

machine speeds or other variables. On the warper and slasher, tenders regulate machine

speeds. In finishing, operatives control valves regulating dye or solution.

5. Cleaning machines to remove accumulation of lint, dirt, sizing,and oil may be done

in whole or part by machine operators, or by specialized cleaners, such as roll pickers,

in spinning.

6. Materials handling duties comprise moving materials and stock from one operation to another. This may be done by machine operators or by workers whose major duty

is materials handling, or by both.

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7. Patrolling involves walking around many rows of machines and watching their

operation closely. In spinning, tenders walk past several thousand spindles to detect

broken strands and to note when bobbins are running out.

Generally, an operative’ s job is a combination of two or more of these duties. The

card tender, for example, does all the following: creels or positions the roll of lap, doffs

or removes the full cans, cleans machines, and patrols for malfunctions. The drawing

frame tender’ s major duties include repairing fiber breaks, controlling machine speeds,

creeling, doffing, cleaning, and patrolling. Some workers, however, perform only one

major job, such as the spinning frame doffer who primarily doffs the full bobbins.

Future job content. Advancing technology is altering the content of machine operatives’ jobs

by changing the mix of their duties--i.e., the relative time allotted to each duty. In addition, machine trends in many new mills indicate that one or more of the operative’ s traditional duties are being entirely eliminated by transfer to the machine. These changes

increase the time allotted for patrolling a greater number of machines.

Comparison of the approximate distribution of a spinner’ s time in a modernized mill

of the 1950’ s and 1960’ s, and projected distribution for the 1970’ s as estimated by experts

in the industry, reveals the following shifts:

Duties

Total

Repairs broken yarn, etc.

Creels or loads ........................

Cleans . ........................................

Patrols..........................................

Miscellaneous...........................

Number of spindles patrolled

1 950’ s 1960’ s 1970’ s

(Percent of time)

100 100 100

50 49 48

10 12 0

23 10 5

14 27 45

4 2 2

2,350 3,200 5,500

The spinner’ s cleaning, creeling, and repairing time will be reduced from more than

4/5 of his total time in the 1950’ sto about half in the 1970’ s, despite the fact that the number of machines tended will more than double. Consequently, the time available for patrolling will more than triple.

When the increase in spindle assignments is taken into account, the effect of advancing technology on traditional duties is evident. The spinner’ s time allotted to repair, per

spindle, will decrease 60 percent from the 1950’ s to the 1970’ s. Part of the reduction in

cleaning and creeling time .may result from the use of unskilled auxiliary labor, such as

roll pickers and creelers, which permits the spinner to tend more machines.

Similarly, the newest winding equipment also illustrates the shift in duties. The

operative s duties on a nonautomatic winder or spooler involve placing the bobbins or

cones of yarn on the machine, threading the yarn through the guides, piecing up the broken

ends by twisting them together, and removing full winding bobbins. The operative on the

newest automatic machines has none of these duties; the machine performs these tasks

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automatically. The operative’ s duties consist primarily of patrolling a much larger number

of machines to detect malfunctioning.

Effect on the worker. It is difficult to generalize about the effect on the worker of increased mechanization. The gradual transferral of traditional skills to the machine alters

the physical and psychological demands on the worker, but its impact varies depending

on the degree of machine automaticity. Moreover, the relative effect of varying degrees of

boredom or stress, for example, is difficult to ascertain.

Less physical labor. Mechanization of materials* handling, and one-story plants with

straight line layouts reduce the physically arduous jobs of pulling, pushing and hauling. In

modernized m ills, for example, operatives no longer handle 60 pound laps manually or push

heavy cans of sliver. Physical labor involved in cleaning has also been greatly reduced.

Increased patrolling of machines, however, may require greater physical stamina,

particularly for women workers. Many operatives must walk considerably longer distances

to tend a larger number of machines than were required 10 years ago. For some operations, this may result in an increase in physical labor; in other jobs, in a replacement of

equally difficult physical jobs of handling or cleaning.

Less manual dexterity. Dexterity will continue to be required on many machines for

piecing-up or repairing broken sliver or yarn, threading yarn through guides, and other

operative duties. Such skill is particularly important for specialized operatives such as

tying-in hands who attach warp threads from full loom beams to the threads of nearlyexhausted beams. As shown earlier, however, the trend is toward a reduction in the time

allotted for many repetitive, manipulative jobs, and even their elimination, as automatic

machines assume knotting jobs, etc.

Greater responsibility. As capital investment per employee increases, downtime is

more costly and the operative has a greater responsibility to monitor the machines closely. In 1966, investment per job in a model print cloth cotton mill was estimated at over

$40,000, about 40 percent more than 10 years earlier. More highly integrated machinery

of the newest mills requires a greater sense of responsibility because an error or oversight can result in the shut-down of an entire line of machines. Even in older modernized

mills, the increase in the number of machines the operative now patrols may intensify

time pressure and anxiety. Some automatic devices, on the other hand, may lessen certain

time stresses, but may require the worker to be more alert to malfunctions.

Improved physical environment. Poor lighting, excessive noise, and poorly controlled

heat and humidity which result in strain on the workers are being greatly reduced, New

and modernized mills are installing fluorescent lighting, air conditioning, air cleaning

systems, and when possible, reducing noise and vibration.

More formal training. Industry training or retraining generally involves the traditional method of learning on the job by assisting an experienced employee. However,

some mills now apply a more scientific and formal approach to training which, is believed

to be more efficient. In these mills, a separate area is set aside where trainees are

taught on actual machines or ‘dummies* to perform their jobs before being assigned to

the production floor. Trainees may be assigned to an instructor--loom fixer instructor

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or head weaver instructor--whose sole job is to develop qualified operatives. Work

manuals, classroom lessons and progress reports may be part of the formal procedure.

Machine manufacturers are also involved in training programs, particularly in the

installation of radically new equipment. In mills where shuttleless looms are installed,

for example, loom fixers and supervisors may spend 4 weeks at the manufacturer’ s training center.

The bulk of operative jobs, however, do not require a longer period of training than

was required with less mechanized equipment. Some highly automatic machines may require less training. Only a few skilled production workers, such as loom fixers, require

additional technical training to diagnose and repair more complex and varied machinery.

In the opinion of some managers, educational requirements for textile jobs may be

raised slightly over the next decade, toobtaina more responsible workforce with greater

potential for adaptability to new machinery. The median school years completed by textile

workers in I960 was 9 compared with 11 in all-manufacturing, due in part to the relatively small proportion of professional and technical workers. Operatives in the textile industry had an average educational attainment of 8.5 years compared with 9.4 in manufacturing.

Technical Workers. Duties of technical personnel consist of planning maintenance programs, diagnosing machine failures, determining correct action, and supervising repairs

by skilled repairmen.

More technical knowledge and greater experience will be required for the wider range

of machines and more rapid acceptance of machine innovations. Technicians must have the

ability to diagnose not only the mechanical and electrical problems but pneumatic, hydraulic, and electronic as well. As in the case of the operative, greater responsibility rests

with the technical worker because of the high cost of downtime, particularly in mills with

highly integrated machinery. Good judgment and the ability to make decisions rapidly are,

therefore, of great importance.

Formal training programs for technical personnel on machine principles are often

made available by machine manufacturers, usually with the installation of new machinery.’

Textile colleges provide courses in mathematics and engineering designed primarily for

technical personnel in cooperation with the industry.

Supervisory and Management Staff. Traditionally, the overseer or foreman rose through

the ranks and had little formal or technical education. Judgement and decision-making

were primarily based on experience and a thorough knowledge of the mill. Today, in the

most modern mills, production planning and decicion-making are more precise and exactng and must be, at least in part, based on judgement derived from data analysis. For

example, the weaveroom foreman in some new plants must make use of an electronic

monitoring system which records the performance of every loom, visually and in printed reports. Analysis of these data enables him to plan or change production schedules

and machine and crew assignments rapidly and efficiently.

The functions of mill managers and supervisors may be modified in the future by

computerization in central offices. So far, computer applications are generally limited

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to market analysis and long-range planning, but some large textile firms plan to install

input and processing equipment which will permit daily production analysis by the central

office and possibly greater centralization of control. Opportunities for systems analysts

and computer programers will be opened up in central offices of large textile companies.

Modern managers will probably need more formal education to effectively operate

these mills. Many textile companies now regularly recruit college graduates, particularly

from textile colleges, to as sume management positions. This trend is expected to continue

as textile companies move away from family-ownership toward more professionally

oriented management in a corporate structure.

Industry Occupation Projections

Projections of the textile industry’ s occupational structure for 1975, based on data

from the decennial Census of Population, wer^ made by the BLS Division of Occupational

Employment Statistics. Although changes in the industry’ s occupational structure reflect

primarily technological developments, they are also affected by shifts in the relative importance of subindustries, changes in management organization, and the growth of larger

corporations. Moreover, these projections reflect labor requirements and may not be

consistent with actual occupational distribution in 1975 due to labor market conditions.

For example, when operatives are in short supply (e. g. spinners), rationalization of jobs

maypermit transferring some of their duties to laborers, thereby increasing that occupational group.

The projected structure does not differ radically from I960 and continues trends of

the past 25 years. The bulk of 1975 employment will remain in the semiskilled operative

group in spite of some decline from I960. (See table 30.) A larger proportion of employees

will be required in white collar occupations, and fewer in the blue collar group. Skilled

worker requirements, however, will increase relative to the total.

Table 30. Percent Distribution of Textile Employment

by Occupational Group, 1960 and 1975

Occupational group I9 6 0 1 1975

Total --------------------------------------------- 100.0 100.0

White collar--------------------------------------------- 14.0 17.9

Professional, technical, and

kindred --------------------------------------------- 1. 5 2 .5

Managers, officials, and proprietors--------------------------------------------- 3. 5 4 .2

Clerical and sa le s------------------------------ 9 .0 11.2

Blue collar------ ----------------------------------------- 85.9 82. 1

Craftsmen, foremen, and kindred----- 11.4 13. 1

Operatives and kindred---------------------- 67.5 63.3

Laborers---------------------------------------------- 4. 9 3 .7

Service workers--------------------------------- 2. 1 2 .0

1 Based on Census data.

NOTE: Because of rounding, sums of individual items may not equal total.

SOURCE: Bureau of Labor Statistics.

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Professional, technical and kindred workers, including engineers, technicians, chemist, and accountants are the fastest growing occupational group. Employment increased

from 1950 to I960, despite a decline in total textile employment. This upward trend is expected to accelerate over the next decade. By 1975, professional, technical and kindred

workers may constitute 2.5 percent of total textile employment, compared to 1.5 percent

in I960.

Many new occupations are being created in this group. An air conditioning system in

a large mill, for example, may require 7 to 8 technical employees for maintenance and

operation. The larger mills now employ instrument technicians so that immediate servicing can be available. More quality control, waste control, and instrument engineers and

technicians will be required.

Demand requirements will also increase for R&D scientists and engineers. According

to the National Science Foundation, this (still relatively small) professional group increased more than 60 percent from 1958 to 1966 in the textile and apparel industry,

Managers, officials and proprietors declined from 1950 to I960 due largely to the

decline in the number of establishments but increased as a proportion of total employment.

Assuming greater industry stability and the growth of corporate organizations, a moderate

rise in numbers is projected. The proportion of managers, officials, and proprietors by

1975 is expected to increase to 4.2 percent of total employment, compared with 3.5 percent in I960.

Clerical, sales and kindred workers declined slightly from 1950 to I960 partly reflecting the reduction in the number of textile establishments. However, this group increased as a proportion of total industry employment. In the next decade, sales and associated personnel will play a more prominent role in the industry. The group is expected

to rise to 11.2 percent in 1975 compared with 9.0 percent in I960.

Craftsmen, foremen and kindred workers declined by about 10 percent between 1950

and I960, but also increased in relative importance. Foremen, loom fixers, mechanics and

repairmen are the three major occupations in this group. Employment in this occupational

group is expected to increase over the next decade, reflecting the increasing importance of

some of these occupations. By 1 975, craftsmen, foremen and kindred workers may constitute 13.1 percent of total textile employment, compared with 11.4 percent in I960.

Operatives and kindred workers, the largest textile occupational group, will continue

to be adversely affected by technological advance. From 1950 to I960, this occupational

group declined more than a fourth, and its proportion to total employment was reduced.

Weavers and spinners in yarn, thread and fabric m ills, and stitchers, knitters, loopers and

topperc in knitting mills are the major occupations in this group. BBS projections show a

continuing decline of operatives as a proportion of textile employment. By 1975, this group

will constitute about 63 percent of the total, compared with 68 percent in I960.

Laborers declined sharply from 1950 to I960, both in number and proportionately,

because of greater mechanization and the shut-down of older mills, This trend i<= expected to continue as more mills mechanize materials handling and cleaning operations. Some

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modernized mills have reported reductions of 25 percent in unskilled jobs. In some new

mills, not a single per son i s employed to haul material. It is estimated that by 1975, laborers will constitute 3.7 percent of textile employment, compared with 4.9 percent in I960.

Service workers, which include janitors', guards, etc., are also expected to continue

to decline slightly, both in number and as a proportion of total employment. In I960, service workers constituted 2.1 percent of the total; by 1975, they may be down to 2.0 percent.

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Chapter VIII, Working- Conditions and Adjustments

to Technological Change

Technological changes have a pervasive effect on labor—management relations and

working conditions. This chapter deals with labor-management relations, working conditions and earnings, and employee adjustments to technological change.

Working Conditions

Working conditions in the textile industry are largely a matter of management discretion, particularly in southern mills. Only about 27 percent of all textile workers were

in mills covered by bargaining agreements in 1965, compared to over 60 percent in all

manufacturing industries. The major unions are the Textile Workers Union of America,

the United Textile Workers of America, and the International Ladies* Garment Workers*

Union (knitting establishments), all affiliated with the AFL-CIO. The Amalgamated Lace

Operatives of America is an independent union.

Contraction of the Northern textile industry, where union organization is strongest,

seriously depleted union ranks. Attempts to organize Southern mills have been relatively

unsuccessful. Nearly seven-eighths of New England cotton workers, but only one-eighth of

those in the Southeast were employed in mills having collective bargaining agreements in

September 1965. Although relatively few Southern cotton mills were covered by union

agreements, the number of workers involved was substantially greater than in the North.

Five times as many workers were covered in the Southeast as in New England. In synthetic textile mills, coverage was lower--about three-fifths in New England, two-fifths in

Middle Atlantic States, and only 1 percent in the Southeast. In actual numbers, less than a

thousand synthetic mill worker s were employed in covered mills in the Southeast, compared

to 9-10 times.as many in each of the other areas.

Efforts to secure wage rate increases and greater fringe benefits are major issues in

collective bargaining. With few exceptions, negotiations are on a single-employer basis. In

some sectors of the industry, particularly in New England and Middle Atlantic states,

settlements with a leading mill or employer-association set the pattern for other mills.

Pattern setting, however, was more prevalent in the 1940’ s. In the final analysis, wage

patterns in Northern mills are greatly influenced by leading non-union southern mills.

Southern union mills attempt to achieve the wage rates and benefits obtained in Northern

contracts, but the non-union pattern usually predominates.

Average weekly hours for textile production workers reached a postwar high of 41.9

in 1966 reflecting near-peak capacity utilization. (See table 31.) Except for 1964 and 1965,

this was more than an hour longer than any year since 1947. Overtime increased to 4.4

hours, in 1966, compared with 2.2 in 1957. Compared with the workweek in manufacturing,

the textile workweek was longer in every year since 1961, in contrast to the 1947-60

pattern.

Three shifts have become fairly common in the postwar period. Nearly all broadwoven mills have provisions for three shift operations in most production departments.

Third shift operations accounted for about a fourth of the workers in the Southeast and a

fifth or a sixth in the other regions in 1965. Except for northern wool mills, second shift

operators usually do not receive differential pay, but third shift operators received 7 cents

an hour above day rate s in New England and 5 cents in the South in 1965 in cotton, synthetic

and wool mills.

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Table 31. Hours and Earnings of Production Workers in Manufacturing and T extile M ill Products, 1947 and 1957-66

(Annual averages)

Year

Average weekly hours Average hourly earnings f Average weekly earnings

Manufacturing

T extile

mill

products

Manufacturing

Textile

mill

products

Manufacturing

Textile

mill

products

1947 - ~ - ------ ------------ - - - - - - - — 40. 4 39. 6 $1. 22 $1.04 $49. 17 $40.99

1957 - - - — — — ------ — -------- 39. 8 38.9 2. 05 1,49 81. 59 57.96

1958---------------------------------------- --------------- 39. 2 38. 6 2. 11 1.49 82.71 57.51

1959 ------ - - -------------------------------------- 40.3 40.4 2. 19 1.56 88. 26 63.02

I960 - - - - - - - - - - - - - - - - - - - - - - - - - - - — 39.7 39.5 2. 26 1.61 89,72 63.60

1961 ------------- --------------- ~-------------- 39. 8 39.9 2. 32 1.63 92. 34 65.04

1 9 6 2 -- — ----------------- ~---------------- ------------ 40.4 40.6 2. 39 1.68 96. 56 68.21

1963 ------------------------ --------------- — ----------- 40. 5 40. 6 2. 46 1.71 99. 63 69.43

1964 --------------------------------- -------- — 40.7 41.0 2. 53 1.79 102. 97 73.79

1965 - - - - - - - - - ----------------------------------------- - 41. 2 41.8 2.61 1.87 107.53 78, 17

1966 - --------------- ------------- - - - - - - 41.4 41.9 2.71 1.96 112, 19 8 2 , 12

SOURCE: Bureau of Labor Statistics.

Earnings and Compensation

Two-thirds of cotton broadwoven production workers and three-fourths of the synthetic fabric workers in 1965 were paid on the basis of time rates, i»e., a set amount

earned each hour which is not related to production. Usually this provides a single rate

for a given occupation. The remaining third of the cotton workers and a fourth of the

synthetic workers were paid on the incentive or individual piece rate system.

Average hourly earnings in textiles are still among the lowest in manufacturing.

In 1 966, textile earnings were $1.96 compared with $2.71 for all manufacturing. (Table 31.)

Textile hourly earnings were up 88 percent over 1947; overall manufacturing earnings

more than doubled. Since 1957, however, the percent increase in textile earnings was almost as high as that for all manufacturing. Regional wage differentials still exist, but they

are narrowing for most occupations. Table 32 shows the change over an eleven year period

in wage rates for selected key jobs.

Table 32. Hourly Earnings of Workers on Cotton Carded Yarn or Fabric, Selected Occupations,

New England and Southeast Regions, 1954 and 1965

Occupation

1954 1965

New ; Southeast

England i

New

England

Southeast

Men:

Doffer ---- ---------------------------------- $1.36 j $1.24 $1.89 $1.87

Loo m fix er 1 - - - -------------— - - - - - - - - - 1.68 1 1. 52 2.28 2. 26

Weaver, plain loom ------ -— 1.46 \

l

1.33 1.98 1.97

Women:

Spinner, ring fra m e ---------- --------------

l

1.27 | 1.14 1.76 1.71

Winder2 ------------------------------- 1.30 | 1.16 1,90 1.67

1 Plain and dobby looms.

2 Automatic spooler.

SOURCE: Bureau of Labor Statistics.

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The rise in hourly earnings and the longer workweek raised average weekly earnings

for production workers in textile mills to $82.12 in 1966 compared with $57.96 in 1957.

Compared with the all-manufacturing average, however, textile earnings are still relatively

low. In 1966, average weekly manufacturing earnins were 37 percent above textile earnings; in 1957, they were 40 percent greater. In the early postwar years, the relative

differential was considerably less-about 20 percent.

Fringe benefits are also increasing, but are still relatively low compared to payments in manufacturing. According to Department of Commerce estimates, supplements

to wages and salaries (including employer contributions for social insurance, private

pension and welfare funds, medical compensation, military reservist pay) more than

doubled between 1957 and 1966. The ratio of supplements to total compensation (wages

and salaries and supplements) rose from 6.2 percent in 1957 to 9.0 percent in 1966, about

two and a half times the 1947 ratio. In all manufacturing, supplements constituted 12.0

percent of total compensation in 1966. (See table 33.)

Another way of measuring the changes in the structure of compensation is in terms

of payroll expenditures for supplementary employer practices. In 1962, 8.3 percent of the

gross payroll for production workers in the textile industry was paid out for: leave time

(3.7 percent), premium pay for overtime, weekend, holiday, and shift work (4.0 percent)

and Christmas and related bonuses (0.6 percent). The all-manufacturing group spent 10.9

percent of its gross payroll on these practices, the difference resulting largely from

substantially higher ratio of paid leave than in textiles. In addition, private welfare plans

in textiles cost 2.9 percent of the industry’ s gross payroll in 1962, compared with 5.4 percent for all manufacturing. The textile industry paid out 6.0 percent of its gross payroll

for Social Security, Unemployment Compensation, and related legally required programs,

Table 33. Compensation of Employees in Manufacturing and Textile Mill Products Industry, 1947 and 1957-66

(In millions of dollars)

Year

Total compensation Wages and salaries i

1

_______________________ i

Supplements 1 to

wages and salaries

Supplements as a

percent of total

compensation

Manufacturing T extiles Manu- ;

facturing | Textiles Manufacturing T extiles Manufacturing T extiles

1947 - ------------------------------------------------------ $44,537 $3,219 $42, 500 $3,103 $2,037 $116 4 .6 3 .6

1957----------------------------------------------------------- 90,089 3,497 82, 482 3, 280 7,607 217 8.4 6 .2

1958 ---------------------------------------------------------- 86, 242 3, 318 78,682 3, 116 7,560 202 8.8 6. 1

1959----------------------------------------------------------- 95,776 3,722 86, 895 3,464 8,881 258 9.3 6 .9

I9 6 0 ---------------------------------------------------------- 99,424 3,708 89,712 3,445 9,712 263 9.8 7. 1

1961----------------------------------------------------------- 99,718 3, 663 89, 823 3, 396 9,895 267 9.9 7 .3

1 9 6 2 -------------------------------------------------------- 108,158 3,906 96, 662 3,607 11,496 299 10.6 7 .7

1963 ---------------------------------------------------------- 112, 888 3,950 100,606 3, 635 12,282 315 10. 9 8 .0

1964 ----------------------------- -------------------------- 120,463 4, 212 107,166 3, 879 13,297 333 11.0 7 .9

1965---------------------------------------------------------- 130, 312 4, 616 115, 570 4, 239 14,742 377 11.3 8. 2

1966------------ -------------------------------------------- 145,495 5, 084 128,052 4, 625 17,443 459 12.0 9 .0

1 Represent compensation not commonly regarded as wages and salaries. Consist of employer contributions for social

insurance, employer contributions to private pension and welfare funds, compensation for injuries, directors' fees, pay of the

military reserve, and other minor items of labor income.

SOURCE: Department of Commerce.

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compared with 5.8 percent for all manufacturing. (Table 34.) The textile industry had a

higher ratio of expenditures to payrolls for the legally required insurance programs, in

part because the Social Security scale of rates was applicable only to earnings up to $4,800

with no higher rates above that level.

Table 34. Employer Expenditures for Selected Supplementary Practices for Production and Related Workers

in Manufacturing and Textile Mill Industries, 1959 and 1962

Selected supplementary

remuneration practices

Manufacturing Textile mill products

Percent of

gross payroll

Cents per

plant man-hour

Percent of

gross payroll

Cents per

plant man-hour

1959 1962 1959 1962 1959 1962 1959 1962

T otal----------------------------------------------- 48. 2 56.7 . 25.9 31.0

Paid leave------------------ ------------------------------ 6 .0 6 .0 14.3 15.4 3. 6 3.7 5. 9 6 .6

Premium p a y ------------------------------------------- 4 .3 4 .2 10.3 10.8 4. 1 4 .0 6.8 7 .2

Legally required payments---------------------- 4 .5 5.8 10.7 14.8 4 .9 6.0 8. 2 10.8

Private welfare plans - - -------- ----- ------------- 5.4 5.4 12.9 13.9 3 .0 2.9 5 .0 5.3

Bonuses-------- -------------------------------------------- C1) .7 ( M 1.8 ( M .6 C1) 1.1

1 Private welfare plans include bonuses in 1959. Bonuses primarily made under profit-sharing plans were excluded

in 1959; included in 1962.

SOURCE: Bureau of Labor Statistics

The proportion of textile workers receiving supplementary benefits vary widely by

region and are more extensive in Northern union-affiliated mills. Medical insurance, for

example, covered about two-fiths of the cottonbroadwovenworkers in the Southeast, compared with nearly all workers in New England in 1965. Nearly all cotton textile workers in

New England received six paid holidays annually, whereas less than half of the workers in

the Southeast were paid for holidays, most commonly 2 days a year. Plans providing lumpsum payments at retirement applied to nearly all cotton workers in New England but were

virtually nonexistant in the South. On the other hand, pension plans providing regular payments for the remainder of the retiree’ s life applied to over half of the workers in the

Southeast (a large proportion were covered by profit sharing plans) but were rarely

reported in New England.

Adjustments to Technological Change

Formal programs to assist workers to adjust to technological change are found primarily in plants with union agreements and even these are few in number . Such provisions

are found more frequently in contracts covering Northern mills than in Southern mills.

Contract provisions regarding internal labor adjustments, such ac workload changes, are

fairly prevalent, but provisions for regulating or easing layoffs are very limited.

Unions in the textile industry believe that changing technology is inevitable and, in the

long run, beneficial to the industry’ s growth, but that such changes can be made in an

orderly way to protect the job security and working conditions of employees. Bargaining agreements recognize management’ s prerogative to institute tec\mological change, but

in many cases, attach various qualifications. A general statement of the intent of one major

contract, relative to technological change, provides that management may

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..change or introduce machines, processes

and methods of manufacture for the purpose of

insuring efficient operation and utilizing the

employees* working time most productively and

without adversely affecting the workers* physical

and mental condition or causing undue fatigue/**

Procedures established by provisions for adjustment to technological change in

contracts covering 1,000 employees or more are described below. However, the extent

to which these provisions are operable or successful is difficult to assess. Labormanagement relations differ from mill to mill. Moreover, custom and common sense

often dictate adjustments not formally provided for in the contract.

Advance notice. Many contracts require some type of advance notice by the company to

its employees and uni on of changes in job procedures and assignments. One major contract,

for example, reads:

“it is the responsibility of the Company, when

making changes in job procedures and assignments, to inform the employee s affected in

advance of such changes so that they will have

a full under standing of the work to be performed

and the methods to be used at least two weeks

prior to the new or changed work procedures.**

Later, in the same contract, there is a provision for advance notice to the union, more

specifically tied to technological changes. It also provides for discussion by union and

management on the proposed change, a provision less frequently included in textile bargaining agreements.

“Management shall first inform the Union of the

fact that a change is to be made, of the approximate date of its installation, the nature thereof,

proposed dutie s and job assignment... The partie s

shall meet and discuss the proposal at least two

weeks before the day fixed for the institutions of

such change. The mill will furnish all information which is necessary to a complete understanding of the proposed change.**

A fairly large proportion of bar gaining agreements reviewed, covering 1,000 textile

employees or more, provide for a trial period for the proposed change, and procedures

for negotiations regarding permanent installation. One major contract contains the followng provision:

“The mill may install the proposed change for a

trial period of four weeks which may be extended

by mutual agreement... Within fifteen days of the

expiration of the trial period, the Union, if dissatisfied, may pre sent a written statement of its

grievances, and if the same shall not be satisfactorily adjusted by negotiations between the

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parties within five days thereafter, the matter

may be submitted by the Union to arbitration

for final and binding decision,”

orkload Adjustments. In unionized mills, technological changes which affect the pace of

work - - “speedup” (i.e,, installing faster machines or speeding up old machines) and

“stretchout” (i.e., increasing the number of machines as signed to the worker)- -are often a

major topic of labor-management discussion. Labor’ s objection to speedup and stretchout

are traditional, predating union involvement, and stem from workers’ fear of loss of jobs,

since each worker’ s output increase s with the increase in the number or speed of machine s

tended.

In some contracts, workload assignments are subject to review by the union and may

be submitted to arbitration. A sample of this type of provision follows:

“Existing workloads or work assignments shall

not be changed except by mutual agreement of

the employer and the local union,.,. Work assignments shall not be interpreted to mean

production quotas or machine speed....During

this thirty day period (of advance notice) the

Employer and the Union shall confer for the

purpose of determining the manpower complement and work assignments.”

If no agreement can be reached, this may be submitted to arbitration. In some contracts,

however, no formal provisions are made for grievance procedure regarding change in

work assignments. One such contract states:

“in expanding and contracting the number of

looms, sides, machines, etc. to which an employee is as signed, it will be done in such manner as in the discretion of the company will

re suit in the most efficient operation of the

mill. Such changes will be discussed with the

union,”

Tramisfer Rights and Retraining. Bargaining agreements in the textile industry do not

generally make provision for transfer rights to another department or another mill in the

event of displacement due to technological changes. In actual practice, however, an effort

is often made to avoid layoff through transfer, if possible. However, since seniority is

usually on a department basis, transfer to another department is pos sible only if there are

no outstanding laid-off workers from the department awaiting recall. Transfer from one

department to another usually results in a loss of seniority in the old department after a

trial period.

Training or retraining provisions are included in only a few textile agreements. One

contract, for example, requires that “whenever management makes a change in job as signments involving any change of technique or departure from current practice s, management

will provide instruction for the employees involved....” Another contract sets up a 4-year

apprentice job program with the objective of “training younger people of proven ability

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for further promotion to skilled and supervisory jobs.” Probably the most extensive

training provisions are included in a contract between the Knitted Outerwear Manufacturers Association and the International Ladies* Garment Workers’ Union which establishes a trust fund financed by employers, one aspect of which is the development of

training programs.

Under the Manpower Development and Training Act and the Area Redevelopment

Act, the Federal government has financed institutional and on-the-job training programs

for underemployed and unemployed workers for existing job vacancies in textile mills in

several localities. These programs include former textile workers but are not limited

to them, and no data are available on the proportion of trainees who were previously in

the textile industry. Between August 1962, when the MDTA program began, and December

1966 about 4,200 workers were trained for many textile occupations. Occupations for

training are determined on the basis of cur rent local requirements. The number of trainees

and the duration of training in occupations with over 100 trainees are presented in the

following table:

Occupation No. of trainees Duration of training

(weeks)

Weaver.......................... . . .

Loom fix e r ............................

Spinner ....................................

Knitting machine operator

D o ffe r ....................................

Laborer .................................

Thrower .................................

Yarn winder...........................

Other .......................................

1,157 5-39

476 9-52

440 4-30

336 4-26

282 5-20

276 4

266 4-52

106 4-20

745 4-50

Labor shortages for particular occupations in some plants and localities continue to

require training programs in spite of the prospect of declining employment for those occupations in the industry as a whole. This applies particularly to laborers.

Layoff and Recall. Collective bargaining agreements usually provide for the principle

of seniority as a measure of protection for the employee displaced by technological

developments or other causes for which he is not responsible. In contracts in which occupational seniority by department governs layoffs and recalls, a typical provision states:

“in cases of lay-offs, the last one in shall be

the first one out, and in cases of recall, the last

one out shall be the first one in.”

In such contracts, seniority lists may be subject to grievance by the union. One major

contract requires:

“Any grievance with respect to any (seniority)

list shall be submitted to the Company within

thirty days after the list shall have been furnished to the Union.”

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If it ic not settled, it maybe submitted to arbitration in accordance with relevant contract

provisions.

However, various limitations on seniority rights regarding layoff and recall are

included in many contracts. One contract states that an employee who has completed his

“probationary period” need not

“be considered a permanent or steady employee..

where technological changes within a department have created an excess of manpower... or

reduced the need for manpower.”

Another example of a seniority clause states:

“in cases of layoff or reemployment, when ability is equal, seniority shall govern.”

In one contract, the principle of last in-fir st out applies in all cases of layoff except in the

following:

“incentive workers with less than 5 years

seniority who during the 90 day period of

normal operations preceding layoff, have

earned, on an average, less than their base rate,

shall be laid off....before all other employees

in their occupational group.”

Income Maintenance. Severance pay and supplemental unemployment benefit plans which

alleviate the economic hardships of layoff are very limited in textile bargaining agreements, particularly in southern mill?.

Severance pay is generally intended to provide financial assistance to tide workers

over a period of unemployment. It usually involves complete severance of the employment

relationship including loss of seniority. Of 28 major (1,000 employees or more) textile

agreements reviewed in 1963, 11 (covering 36.2 thousand workers) contained some provision for a severance pay or layoff benefit plan, about the same ratio of contracts as in

all manufacturing. However, minimum service requirements are considerably more

stringent in textiles. Half of the textile contracts having severance plans required more

than 5 years service. This length of service was stipulated in about 2 percent of all

manufacturing contracts providing severance payments. In the textile contracts, 25

percent required only one year or less, whereas half of all manufacturing contracts

had these low minimum service requirements.

Of the eleven textile contracts with severance pay plans, several provide that retirement is the only condition under which severance pay is granted. This was often the

only benefit available upon retirement. Such a provision is very infrequent in other

industries. One textile contract states:

“The employer will pay retirement separation

pay to each of its employees who, having attained

the age of 62, voluntarily retires from active

employment in the m ill....”

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Only a few contracts specify technological displacem ent as the condition for s e v e r ­

ance pay:

“ Any employee permanently displaced because 

of technological reasons, i .e ., change in plant 

or equipment or changes in process operations, 

either of which causes the particular job to be 

permanently abolished shall receive severance pay,„,, ”

One type of contract pays severance benefits upon business termination. A fund 

established by the International Ladies* Garment Workers* Union (ILGWU) and employer 

associations in the knitting industry provides for a lum p-sum payment to be made to 

workers who are laid off because of plant closings* If the terminated w orker has been in 

continuous employment with the em ployer for at least 9 years and if he is continuously 

unemployed for 1 year, he then becom es eligible for a second lum p-sum payment equal to 

his original termination payment.

Supplemental unemployment benefit (SUB) plans, another type of income maintenance, usually provide weekly allowances to workers, who were temporarily laid off, to 

supplement their unemployment compensation benefits. The only SUB plan in m ajor textile 

agreements is provided in the ILGWU contract referred to above. In addition to 

the separation payment, this agreem ent provides a weekly supplemental unemployment 

award. Unlike SUB provisions in other industries, payments are only available in the 

event that an employer permanently terminates his business.

Outlook, Com pared with other industries, the textile industry has relatively few form al 

institutions to handle problems of worker displacement because of technological change. 

The outlook is for relatively little improvement in this situation. Because of the con ­

tinued possibility of plant closings in some localities and sectors of the industry, government institutions for unemployment compensation, placement services, training and 

retraining, e tc., may play an inc.reasingly important role.

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Appendix Tables

Table A -l. Corporate Internal Funds and Total Expenditures

for plant and Equipment 1947-66

(Million of dollars)

Year Internal funds *

1

\ Expenditures for plant

and equipment2

i

1947 ----------------------------------- $833 $510

1948 ----------------------------------- 805 620

1949 ----------------------------------- 356 470

1950 ------------------------------------ 646 450

1 9 5 1 ----------------------------------- ' 436 530

1952 ----------------------------------- 268 430

1953 -------------------------- - - - 299 380

1954 ------------------------------- — 235 330

1955 ----------------------------------- 436 370

1956 ----------------------------------- 461 460

1957 ----------------------------------- 426 410

1958 ----------------------------------- 406 290

1959 ----------------------------------- 589 410

I960 ----------------------------------- 516 530

1 9 6 1 ----------------------------------- 525 500

1962 ----------------------------------- 617 610

1963 - - - ---------------------- 634 640

1964 ----------------------------------- 759 760

1965 ----------------------------------- 893 980

1966 ----------------------------------- 3 923 1, 130

1 Undistributed corporate profits and corporate capital consumption

allowances ( depreciation charges and accidental damage to fixed capital).

2 Corporate and noncorporate.

3 Preliminary.

SOURCE: Department of Commerce and Securities and Exchange

Commission.

Table A -2 . Age of Equipment of Large Companies, Manufacturing and

Textile Mill Products, 1962 and 1966

(Percent installed)

Year

More than

16 years

11 to 16

years

6 to 10

years

5 years old

cr less

Spring 1962:

Manufacturing------------------------------------- 24 16 27 33

Textile mill products-------------------------- 32 17 24 27

December 1966:

Manufacturing------------------------------------- 24 19 21 36

Textile mill products-------------------------- 29 18 15 38

SOURCE: McGraw-Hill Publications, Department of Economics.

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Table A - 3, Employment in T extile M ill Products Industry, 1947-66

(In thousands)

Year All employees Production workers

1947 ------------------------------------ 1 ,29 9 .0 1 ,2 2 0 .0

1948 -------------- ----------------------- 1 ,33 2 .0 1 ,2 4 8 .0

1949 — ----------------------- ■ - 1, 187.0 1, 103.0

1950 — -------- -----------------— - 1 ,25 6 .0 1, 169.0

1951 — --------------------------— - 1,237. 7 1,146.2

1952 — -------------- ------------------ 1, 163.4 1,073.2

1953 ------------------------------------ 1 ,15 4 .8 1,063.9

1954 ------------ - — -------------~ 1,042.3 953. 2

1955 -------- ----------------------— 1 ,050.2 961.6

1956 — - — ------------------- 1 ,03 2 .0 944. 3

1957 ------------------------------------- 981. 1 893.3

1958 -------------- --------------— — 918. 8 832. 5

1959 ---------------- ----------- --------- 945. 7 857.4

I960 — -------- ---------------------- 924.4 835. 1

1961 ---------— — ----------------- 893.4 805.0

1962 ----------------- -------- - 902.3 812. 1

1963 -------- --------------------— — 885.4 793.4

1964 — ------ ------------------- 892.0 798. 2

1965 ~------ ---------- ~ -------- - 921.3 823. 1

1966 ------------------ ------------------- 961. 5 848,0

SOURCE: Bureau of Labor Statistics,

Table A -4. Regional Distribution of Textile Employment,

1947, 1954, and 1963

(Percent of total)

Region 1947 1954 1963

Total em ploym ent------•------------------ 100.0 100,0 100.0

New England —----------------------------- — - 22.9 16.3 11.7

Middle A tlantic--------------------------------------- 23.7 20.0 17.0

South A tla n tic -------- -------------------------------- 39.3 48.8 56.5

Other------------------— ----------------------------------- 14. 1 15.0 14.7

NOTE: Because of rounding, sums may not add to 100.0.

SOURCE: Bureau of the Census*

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Selected Bibliography

I. Federal Government Publications

A. U.S. Department of Labor

America*s Industrial and Occupational Manpower Requirements, 1964-75, Bureau

of Labor Statistics (BLS) January 1966 .

Coarse Cotton Gray Goods, Case Study Data on Productivity and Factory Performance, BLS, March 1953.

Employer Expenditures for Selected Supplementary Compensation Practices for

Production and Related Workers, Manufacturing Industries, 1962, BLS,

April 1 965.

Employment and Earnings Statistics for the United States, 1909-66 (BLS Bulletin

131 3-4, October 1966).

Indexes of Output per Man-hour: Hosiery Industry, 1 947-64 (BLS Report No. 307,

June 1966); Man-made Fibers Industry, 1957-63 BLS, October 1965.

Indexes of Output per Man-hour, 1939 and 1947-66, Selected Industries (BLS

Bulletin 1572, 1967).

Industry Wage Survey: Cotton Textiles, September 1965 (BLS Bulletin 1506,

July 1966); Hosiery, September-October 1964 (BLS Bulletin 1456, September

1965) ; Synthetic Textiles, September 1965 (BLS Bulletin 1509, June 1966);

Textile Dyeing and Finishing, Winter 1965-66 (BLS Bulletin 1 527, September

1966) ; Wool Textiles, June 1962 (BLS Bulletin 1372, July 1963).

Major Collective Bargaining Agreements: Management Rights and Union-Management Cooperation (BLS Bulletin 1425-5, April 1966); Severance Pay and

Layoff Benefit Plans (BLS Bulletin 1425-2, March 1965); Supplemental Unemployment Benefit Plans and Wage -Employment Guarantees (BLS Bulletin

1425-3, June 1965).

Projections 1970, Interindustry Relationships, Potential Demand and Employment

(BLS' Bulletin 1 536, December 1966).

Stern, Boris, “Mechanical Changes in the Cotton Textile Industry, 1910 to 1936,”

Monthly Labor Review, August 1937, pp. 316-341.

......— .- ....——, “Mechanical Changes in the Woolen and Worsted Industries, 1910

to 1936,” Monthly Labor Review, January 1938, pp, 58-93.

“The Textile Industries.” Chapter in A Guide to Labor Management Relations in

the United States, BLS, 1958, p. 306.

“The Textile Mill Products Industry.” Section in Technological Trends in Major

American Industries (BLS Bulletin 1474, 1966). Pp. 148-1 54.

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B, The Congress of the United States

Problems of the Domestic Textile Industry. Special Senate Subcommittee to Study

Textiles of the Committee on Interstate and Foreign Commerce. Hearings

Part 1-3, (85th Congress, Second Session) July, September 1958; Hearings

(86th Congress, First Session) February 1959; Hearings (87th Congress,

First Session) February 1 961; Supplementary Reports (87th Congress, Second

Session) January 1962; Hearings (88th Congress, First Session)May 1963.

Role and Effect of Technology in the Nation’ s Economy, Hearings, Pt. 5. Senate

Subcommittee on Small Business. (88th Congress, First Session) May, June,

and December 1963.

C. Other Federal Government Publications

Census of Manufactures, 1947, 1954, 1958, and 1963, Department of Commerce,

Bureau of the Census.

Comparative Fabric Production Costs in the United States and Four Other

Countries. Department of Commerce, Business and Defense Services

Administration, 1961.

Concentration Ratios in Manufacturing, 1963. Department of Commerce, Bureau

of the Census, 1966.

Current Industrial Reports, (Series M22T. Department of Commerce, Bureau

of the Census, Quarterly).

Davis, Thomas J., Cycles and Trends in Textiles, Department of Commerce,

Business and Defense Services Administration, 1958.

Donald, James R., Frank Lowenstein and Martin S. Simon, The Demand for

Textile Fibers in the United States, (Bulletin 1301, Department of Agriculture, November 1963).

Economic Effect of Textile Mill Closings, Selected Communities in Middle

Atlantic States. Department of Commerce, 1963.

Enterprise Statistics: 1963. Department of Commerce, Bureau of the Census.

Fitzpatrick, Mary Blanche, Response to Unemployment, Manchester, NewHampshire, 1950-1959, Federal Reserve Bank of Boston, Research Report No. 33,

Boston, 1965.

Howell, L. D., The American Textile Industry (Economic Research Report No.

58, Department of Agriculture, November 1964).

Little, Arthur D., "The Textile Industry,’* Chapter in Patterns and Problems of

Technical Innovation in American Industry, National Science Foundation,

September 1963.

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Long, Richard, The Textile and Apparel Industries: A View Through the Interindustry Tables, Federal Reserve Bank of Atlanta, May 1966.

“Manufacturing Cotton Textile Products,” Article in Marketing and Transporta -

tion Situation, Department of Agriculture, February 1967, pp. 12-33.

Reviews of Data on Science Resources, National Science Foundation, January

1967.

Statistical Series, Securities and Exchange Commission, Quarterly.

Statistics on Cotton and Related Data, Supplement for 1966. Department of

Agriculture, Economic Research Service, 1967.

The Outlook for Technological Change and Employment, Appendix Volume 1,

Technology and the American Economy, The Report of the Commission.

National Commission on Technology, Automation and Economic Progress,

F ebruary 1966.

U.S. Industrial Outlook, 1967. Department of Commerce, Business and Defense

Services Administration, 1967.

Wallace, Phyllis, A. and Maria P. Beckles, 1 966 Employment Survey in the Textile

Industry of the Carolinas. Equal Employment Opportunity Commission,

December 1966.

II. State Publications

Annual Report of the Department of Labor of the State of South Carolina. 1940-

1966, Columbia, South Carolina.

Department of Industrial Relations of the State of California. Collective Bargaining Adjustments to Technological Change. San Francisco, Commission on

Manpower, Automation and Technology, November 1965.

Harris, Seymour E. and Others, New England Textiles and the New England

Economy. New England Governors* Textile Committee, Cambridge, March

1958.

Toward an Economy of the Optimum. Second Annual Economic Report to the

Governor. The Commonwealth of Massachusetts, Boston, April 1966.

III. International Publications

Barkin, Solomon, “Labour Relations in the United States Textile Industry,” International Labour Review, May 1957, pp. 391-411.

---------------, “Effect of Increased Productivity on the Labour Force and Its Deployment in the United States Cotton Textile Industry,” Productivity Measurement Review, November 1964, pp. 39-57.

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International Federation of Cotton and Allied Textile Industrie s. Proceedings of

Annual Meeting, Zurich, 1966.

International Labour Organization, Textiles Committee, Fourth Session. Problems

of Womens Employment in the Textile Industry, Geneva, 1 953.

"■ - Fifth Session. Problems of Productivity in the Textile Industry, Geneva,

1955.

... — i , Sixth Session. Effects of Technological Developments on Wages and on

Conditions and Level of Employment in the Textile Industry, Geneva, 1958.

, Seventh Session. Conditions of Employment and Related Problems in

the Textile Industry in Countries in the Course of Industrialzation, Geneva,

1963.

-------------- , Seventh Session. General Report, Geneva, 1963.

« — — ■ —, Seventh Session. Problems of Apprenticeship, Vocational Training and

Retraining in the Textile Industry, Geneva, 1 963.

Smith, A.D., Redundancy Practices in Four Industries. Organization for Economic Cooperation and Development, Paris, 1 966.

“Trade, Wages and Employment in Textiles,” International Labour Review,

January 1963.

United Nations. Report of the United Nations Interregional Workshop on Textile

Industries in Developing Countries, September 1965, Lodz, Poland, 1966.

IV. Books and Reports

Alderfer, E.B., and Michl, H.F. , “The Textile Industries,” Chapter in Economics

of American Industry, New York, McGraw-Hill & Company, 1 957.

Allen, Edward L ., “The Cotton Textile Industry, ” Chapter in Economics of American Manufacturing, New York, Henry Holt, 1 952.

Andrews, M.B., Profit Life of Textile Machinery, American Textile Machinery

Association, Washington, 1958.

Armstrong, Arthur A. Jr., and Henry A. Rutherford, Applications of Radioisotopes and Activation Analysis to Textile Materials and Processes, North

Carolina State College, School of Textiles, January 1 962.

Barkin, Solomon, “international Trade in Textiles and Garments: A Challenge for

New Policies,” Public Policy, Harvard University Graduate School of Public

Administration, Cambridge, 1961.

-------------- , “The Regional Significance of the Integration Movement in the Southern

Textile Industry,” Southern Economic Journal, April 1949, pp. 395-411.

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Blauner, Robert, “The Textile Worker/’ Chapter in Alienation and Freedom, The

Factory Worker and His Industry, Chicago, University of Chicago Press, 1 964.

Bright, James R., “The Relationship of Increasing Automation and Skill Requirements,” Chapter in the Employment Impact of Technological Change, Appendix Volume II. Study prepared for the National Commission on Technology,

Automation and Economic Progress, Washington, D.C., February 1966.

Creamer, Daniel, Capital Expansion and Capacity in Postwar Manufacturing,

No. 72, 1961* Recent Changes in Manufacturing Capacity, Studies in Business

Economics, No. 79^ 1 962, New York, National Industrial Conference Board.

Creamer, Daniel, Sergei P. Dobnovolsky and Israel Sorenstein, Capital in Manufacturing and Mining, National Bureau of Economic Research, Princeton,

Princeton University Press, I960.

Davis, Lance E. and H. L. Stettler, III, “The New England Textile Industry

1825-60,” Output, Employment and Productivity in the United States after

1800, Studies in Income and Wealth, New York, National Bureau of Economic

Research, 1966.

Enrick, Norbert Lloyd, Editor, Industrial Engineering Manual for the Textile

Industry, New York, John Wiley and Sons, 1962.

Gilman, Glenn, Human Relations in the Industrial Southeast, A Study of the Textile

Industry, Chapel Hill, University of North Carolina Press, 1 956.

Grosse, Anne P ., “The Technological Structure of the Cotton Textile Industry,”

Chapter 10 in Studies in the Structure of the American Economy, Leontieff

and others, New York, Oxford University Press, 1 953.

Herrin, Harriet L ., Pas sing of the Mill Village, Chapel Hill, University of North

Carolina Press, 1 949.

How Modern is American Industry, McGraw-Hill Publications, November 1966.

Landsberg, Hans H., Leonard L. Fischman and Joseph L. Fisher, “Clothing and

Textiles,” Chapter and Appendix in Re sources in America* s Future, Baltimore , Johns Hopkins Press, 1963.

Miernyk, William H., Inter-Industry Labor Mobility, The Case of the Displaced

Textile Worker, Bureau of Business and Economic Research, Northeastern

University, Boston, 1955.

National Industrial Conference Board, “Textile Products,” Chapter in Radioisotopes in Industry, New York, 1959.

National Planning Association, Committee of the South. “Negro Employment in

Seventy Textile Mills, October 1950-August 1951,” Selected Studies of Negro

Employment in the South, Washington, 1 955.

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Shen, Tsung Yuen, “Technological Change and Efficiency in the Textile Industry,”

Report on Research for 1956-1957, Harvard Economic Research Project

on the Structure of the American Economy, Cambridge, Harvard University

Press, December 1957.

Smith, Robert F., “The Impact of Mass Layoffs, July 1963-June 1965,” Proceedings of the Eighteenth Annual Winter Meeting, Industrial Relations Research

Association, December 1965, New York, 1966.

Strassman, W. Paul , “Textiles,” Chapter in Risk and Technological Innovation,

Ithaca, Cornell University Press, 1959.

Tarnya, Ram S., Profit Sharing and Technological Change, Center for Productivity Motivation, Madison, University of Wisconsin, 1964.

Textile Workers Union of America. Proceedings, F ourteenth Biennial Convention,

June 20-24, 1966.

United Textile Workers of America. Proceedings, Sixteenth Regular Convention,

September 21-24, 1964.

Weiss, Leonard W., “Competitive Manufacturing-Textiles,” Chapter in Economic s

and American Industry, New York, John Wiley and Sons, 1961.

Wolfbein, Seymour, The Decline of a Cotton Textile City, New York, Columbia

University Press, 1944.

V. Periodicals

“Automation: Yarn Preparatory Systems,” Modern Textiles Magazine, January

1967, pp. 22-25.

Barkin, Solomon, “The Personality Profile of Southern Textile Workers,” Labor

Law Journal, June I960, pp. 457-472.

“Burlington’ s New Cowan Plant Features Automatic Doffing and Latest Controls,”

Textile World, December 1966, pp. 58-61.

“A Computer-Directed Control System,” Modern Textiles Magazine, April 1967,

pp. 37-40.

“Dan River’ s Highly Automated Benton Plant-- Tomorrow’ s Mill Today,” Textile

World, October 1966, pp. 70-82.

“Finishing Mill for Tomorrow,” Textile Industries, March 1966.

“Greenville ’ 66,” Modern Textiles, October 1966, pp. 21-31.

Hamilton, R. E., “Tufting Technology,” Paper delivered before the American

Association for Textile Technology, March 1967, Modern Textiles Magazine,

May 1967, pp. 101-103.

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Kurt Salmon Associates, “Managing Technological Change,” Textile Industries,

August 1967, pp. 81-94.

“Lowenstein’ s New Wamsutta, ” Textile World, June 1967, pp. 56-66.

“The Modern Print Cloth Mill, A Survey,” The Whitin Review, June 1957;

December 1961, Whitin Machine Works Company, Massachusetts.

“An Old Industry with a New Image,” Business Week, November 28, 1964,

pp. 116-126.

“Shuttleless Looms,” Textile World, August 1966, pp. 49-63.

“Ten New Plants--A Complete Look,” Textile World, May 1967, pp. 48-76.

The Textile Challenger, United Textile Workers of America, Bimonthly.

Textile Labor, Textile Workers Union of America, Monthly.

Textile Organon, Textile Economics Bureau, Monthly.

“Textile Research Achievements in 1966,” Textile Industries Magazine, February

1967, pp. 125-135.

“Update Through Textile Research Can Be Industry’ s Winning Slogan,” America’ s

Textile Reporter, June 15, 1967, pp. 19-43.

'“Weaving: Emphasis on Change,” Textile Industries, January 1966, pp. 64-69, 97.

“What’ s Ahead for Hosiery Manufacturing?” Hosiery and Underwear Review,

May 1967, pp. 57-92.

“Yarns and Fabrics for Industrial Purposes,” Modern Textiles Magazine, June

1967, pp. 42-46.

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OTHER BLS PUBLICATIONS ON AUTOMATION AND PRODUCTIVITY

Manpower Planning for Technological Change: Case Studies of Telephone Operators

(Bulletin 1574, 1968), 34pp., 30 cents.

Policies and experiences of four offices in adjusting to technological change.

Indexes of Output Per Man-Hour, Selected Industries, 1939 and 1947-66 (Bulletin 1572,

1967), 99 pp., 55 cents.

Annual data on output per man-hour, output, and man-hours for 27 manufacturing and

nonmanufacturing industries.

Job Redesign for Older Workers: Ten Case Studies (Bulletin 1523, 1966), 63 pp., 40 cents.

Examples of redesign of jobs to retain older workers in employment.

Technological Trends in Major American Industries (Bulletin 1474, 1966), 269 pp., $ 1.50.

Appraises technological developments in 40 industries and the effects on output, productivity, and employment.

Impact of Office Automation in the Insurance Industry (Bulletin 1468, 1965), 71 pp., 45

cents.

Survey of extent and future directions of EDP, manpower impact, and implications.

Manpower Planning to Adapt to New Technology at an Electric and Gas Utility (Report

293, 1965), 25 pp. Out of print, available in libraries.

Describes personnel procedures and practices used to minimize hardships on employees.

Outlook for Numerical Control of Machine Tools (Bulletin 1437, 1965), 63 pp., 40 cents.

Outlook for this key technological innovation in the metalworking industry and implications for productivity, occupational requirements, training programs, employment,

and industrial relations.

Case Studies of Displaced Workers (Bulletin 1408, 1964), 94 pp. Out of print, available in

libraries.

Case studies of the post layoff experiences of nearly 3,000 workers formerly employed in the petroleum refining, automotive equipment, glass jar, floor covering, and

iron foundry industries.

Implications of Automation and Other Technological Developments: A Selected Annotated

Bibliography (Bulletin 1319-1, 1963), 90 pp. Out of print, available in libraries.

Describes over 300 books, articles, reports, speeches, conference proceedings,

and other readily available materials.

Industrial Retraining Programs for Technological Change (Bulletin 1368, 1963), 34 pp.

Out of print, available in libraries.

A study of the performance of older workers based on four case studies of industrial

plants.

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Federal Reserve Bank of St. Louis
Impact of Office Automation in the Internal Revenue Service (Bulletin 1364, 1963), 74 pp.

Out of print, available in libraries.

A case study highlighting manpower planning and employment impacts during a major

conversion.

Impact of Technological Change and Automation in the Pulp and Paper Industry (Bulletin

1347, 1962), 92 pp. Out of print, available in libraries.

General industry survey and three case studies highlighting implications of technological change.

Technological Change and Productivity in the Bituminous Coal Industry, 1920-60 (Bulletin

1305, 1961), 136 pp., 65 cents.

Trends in technology and productivity and implications for employment, unemployment, and wages.

Adjustments to the Introduction of Office Automation (Bulletin 1276, I960), 86 pp.

Out of print, available in libraries.

A study of some implications of the installation of electronic data processing

in 20 offices in private industry, with special reference to older workers.

Sales publications may be purchased from the Superintendent of Documents.

Washington, D.C. 20402, or from regional offices of the Bureau of Labor Statistics at the addresses shown below. Free publications are available as long as the

supply lasts, from the Bureau of Labor Statistics, U.S. Department of Labor, Washington, D.C. 20212

Regional Offices

Region I

Federal Building

Room 1603-A

Government Center

Boston, Mass. 02203

Region II

341 Ninth Avenue

New York, N. Y. 10001

Region III

Philadelphia, Pa.

Region IV

1371 Peachtree Street, NE

Suite 540

Atlanta, Ga. 30309

Region V

219 South Dearborn Street

Chicago, 111. 60603

Region VI

911 Walnut Street

10th Floor

Kansas City, Mo. 64106

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Mayflower Building

411 North Akard Street

Dallas, Texas 75201

Region VIII

450 Golden Gate Avenue

Box 36017

San Francisco, Calif. 94102

☆ U.S. GOVERNMENT PRINTING OFFICE : 1968 O - 310-732

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Federal Reserve Bank of St. Louis