New-York tribune., 1876-10-27
RAILROAD sIRIKEs or TWO ENDS.
STARVATION WAGES FOR THE EMPLolEe-lNIAkHtp
DIVIDENDS Tor THE STOCKHOLDERS.

DIVIDENDS Tor THE STOCKHOLDERS.
To the Edtt0r Of me TrtbHnc
SIR: The daily journals very justly are giving
vent tc no little IND na;ion a the action ol The engineers
and freucn Of the Central OF Nevjrr-y, who,
on Monday midnight, abandoned lcr several trains.
loaded with passengers at such points as ttg
happened TO Doe 40 that hour. Tbs. j. aI very
proper. These men committed d coVarly and
unushalle act Wren they took their trains fIYm ar
point OF departure each one Of them entered into com
tract with each passenger tJ carry him or lor io tA,f
several destinations, and they had Legal or moral
right 10 Ilict punishment Oh the travelling public un-
cause OF any flici,d or grievance which they may
have had against tic company Bat while the conduct OF
these mon IS deserving Of severe punishment
Oan they are likely 20 rccC,e-tHoy have since been
rcinstated and therefore louoefotI Tie Gadrcr of
the road-tLorc il another class Of men WHO should rt-
ceive the attention OF journalistic thought refer 90 The
managers Of this and other corporations who have m
poverished their respective corporations by the dsTibu
ton Of uncarned dividends, and thus made necessary the
rigid economy which results in just sucL nets tins one
OF the emplOy6s OF the Central of NeH-JeT-cy.
IL now seems clear that tins company for years ha-
been paying dividends in part from the proceeds oi new
capital realized from the salcs Of bonds. In 1879 it d
vided 10 per cent among its stockholders but was con
strained admit, in Its annual report, that had earned
but g. while its sworn sta 10 the Legislature of
NewJersey showed that it had scarcely earned tho in
terest on its bonded debt II the payment OF these
uneaIncd dividends, and consequent increase Of the
annual interest charge which reduced the company 10
bankruptcy made necessary enpoyc should
work for starvation wages. So, too with the Central and
Hudson which steadily has been reducing tie waos Of
its employees unt they have reached point when au-
other turn of the viii De very likely 10 Doe pro
ductve of such result that just seen ON the Cen
tral Of New jersey Whether the Central ami Hudson
has earned per cent dividends, asserted by Ar
Vanderbilt, has partly paid them from capital
account as you seem 10 have clearly demonstrated,
is u1natcrla to the point dcsiye 20 make This com
pany has only paid per cent on i real capital but
also on nearly 81 100000 Of fictitious capital, on
mot than double the actual sum invested IN its stock
and 70 continue to be able to pay this Is per cent on it,
real fdc stock its mpoyes compelled 10 work
prices which scarcely enable them to live. Ia other
words, the who d. the work and earn The money NAV
reduced TO starvation bIt the capitalist must not
be deprived Of his right" Of drawing per cent quar-
tery on the sum which he has invested Here b. point
IN political economy worthy the attention Of some al
your clever writers. How does the fact that ths
OF wen, with families 10 support, are compelled o tcimp
aud squIIm 10 make both ends meet affect trade and
hence tie general prosperity OF the cOultryi Goils
Nelc- York, Oct. %, 1876. u. S.