Macon beacon. [volume] (Macon, Miss.) 1859-1995, 1890-10-04
STEEL RAILS.
Report OF Carroll ID. Wright. Commissioners
Of Labor-Labor Cost In Ton Of Steel
Rails-Comparativ Cost In This Country
and Europe Protection Not In the In
terest Of the Workmen-Some Profits.

Of Labor-Labor Cost In q Ton of Steel
Rails-Comparativ Cost In This Country
and Europe Protection Not In the In
terest Of the workmen-some Profits.
Under the existing law the tariff duty
on steel rails is S17 a ton. In the Nc
Kinley bill, as it passed the House, this
was reduced to S13 A a ton, and in that
bill, as reported from the Senate Finance
Committee it was still further reduced
to Sl1. 20 a ton. On the basis Of the inn
portations for the year 1889, these duties
amounted respectively to ~, 81 and Al
per cent These figures should be care
fully noted.
Now the men for whom Congress thus
kindly legislates should be able to give
some good reason why such favors
should be shown them. What have
they to say for themselves?
The whole story Of protection to steel
railmakers-as to every one else-is
that the cost of production is so much
higher in this country than it is in
European countries that our manu-
facturers can not successfully compete,
even in the home market with the
cheaper foreign goods, unless the Gov.
ernment helps them out If it were
not for the tariff, so 1t is ar
gued we should be flooded" with i'm.
portations of ''pauper made" stuff our
own manufacturers would be beaten out
of their home MARKET and they would
have to shut up shop and turn their
workmen adrift Therefore we must
maintain our industrial defenses."
That, it is believed, is perfectly fair
statement of the protectionist position.
Pushing the inquiry little further, it
is found that the chief reason why we
can not manufacture so cheaply as they
or abroad is that the rate of American
wages is 50 high. We have the best
machinery and the most economically
organized mills in the world; we have
an abundance of raw MATERIAL there is
no scarcity of fuel, and in Pittsburgh
natural gas is used; but the great
trouble is that labor costs so much. And
surely you would not, say these great
men, have US depress wages in order
that you may have cheaper rails. We
we feel that the American work.
man must be paid sufficient wages
to enable him to maintain his inde-
pendence and self.respect The tariff
makes it possible for us to do this 1t
puts us on an even footing with the for
eigner; it is meant so the phrase goes,
to 'equalize conditions" Thus it is
that we get back the excess that we
have to pay in wages over and above
what the Englishman pays.
So it comes to the question of labor
cost, and we have some very valuable
information upon that question in a re-
port prepared by Mr.. Carroll d. Wright
the Commissioner of Labor, on the cost
of production of pig iron, steel ingots,
steel rails, etc. 1t bears date July 1,
1890
On pages "a and 35 of this report the
facts are given about steel rails. Two
establishments are taken in the North
ern district in the United States, seven
in Continental Europe and two in Great
Britain. 1t appears from this table that
the cost of making one ton Of steel rails
ID the IlIsJ AIperlUan IurIr ttne csuInravv
is made on eleven days running time,
durpg which 4, 3s2 tons of rails were
produced) is S2479 and in the second
it was S276s. OF these sums ST. 81 and
81. 3S represent the labor cost That is,
the whole labor cost of making ton OF
steel rails in these two mills And it
does seem that duty of Sl7, or S13 "A,
or even S11. 20 is considerably more than
enough to cover the margin between
S154 (the labor cost here) and any less
amount abroad. If the foreign manu-
facturer gets his labor for nothing he
would only be 81. "a better off in the ton
than his American rival. And so duty
of 81. "a a ton would be ample to equal.
ized" la Dor cost.
But this foreigner doesn't get his la
Dor for nothing. In the seven Conti-
mental establishments the labor cost per
ton is as follows: 81 04; 50 81; S4. Ga;
S2.5S: S2.62; 81, 81; s2.01.
That is, in every instance, except the
first, labor costs more than it does with
us. So the margin, instead OF being
against US, is in our favor
In the two English mills the labor
cost per ton is 50 "a and S1.36
1t should be clear from these figures
that an exhorbitant steel duty is nos
necessary on account of great labor cost,
and it should also be clear that it is not
in the interest of the wage-worker.
One other fact in this connection: The
tab aaba hat fatal ~
making ton of steel rails is between
S25 and S2S; call it SEQ so. The price at
which they sell at the mills is now S32,
an advance of S. ton within year.
Here is profit of S. so ton. The two
American mills that figure in My.
Wright's tables have daily capacities Of
sos and 440 tons. That means that at
this fair price for their product, they
make from 50, lS9 to So, 420 day. And
when the price goes up to S37 and S3S,
as it did two or three years ago, then,
under the protection of SIT ton, which
is put on for the "benetit of the work.
ing men," the gentlemen realize fully,
as they do now partially, the blessed
ness of the American system.
The whole thing is fraud. The
employer gets all the projections; the
, employe gets none OF it. And it is paid
by the people who travel on the railroads
and the farmers who ship their products
to market. An Sl1 duty is better than
a ST. one, but it is just s11 too much. In
I deed, unless Mr.. Carroll d, Wright be
. very much mistaken, it is the foreigner
, with his high labor cost who needs pro-
tection against us.
Some Points About the Mckinley Bill.
U,l,a Jut,, ,.a1 bv Tho Mo II nlau hill