Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-07-02
communicated. ]
THE LABOR DIFFICULTY
At the Homestead Mills Discussed by a
Local Trade eJournal-The Facts and the
Figures Given TO the Public


Local Trade Journal-The Facts and the
Figures Given to the Public.
Under the caption, "The Homestead
Labor Difficulty the American Manufac-
turer and Iron World in its issue of July
editorislly says:
1t is with unmeasured regret that we hear
that all hope of peaceful settlement of the
labor differences at Homestead has been
abandoned and that q strike seems inevita-
bic. This means. ii all the workmen follow
the lead of the Amalgamated Association,
and most of them must Tor q while at least,
the works cannot be kept in operation
while the places OF the Amalgamated work
idle at Homestead before this paper finds its
4 readers tomorrow, and that the 500 900 that
are. monthly distributed will be unearned
Tor time at least.
1t is possible that the controversy at
Homestead would have been settled had it
not been that just at this time the general
rolling mill scales are also under discussion
and that 1t was feared by the Amalgama ted
Association that any concessions at Home
stead might weaken them in their contest
with the iron mills. The practice of having
all wages settlements at one time in June
has much In its favor from the workmen's
standpoint. but there are elements OF no lit
tie weakness in this rule and possibilities OF
contests that would not arise if scales as d.
verse as those of the iron mills and mills
similar to Homestead were settled at differ
ent times as are the scales at the Edgar
Thomson Works.
As we understand the situation at Home
stead three questions are involved:
t1rst-A reduction in the minimum of the
blllets.
Second-A change in the date of the expi-
ration of the scale from June 20 to Decem-
Der 81
Third-A reduction in tonnage rates at
those furnaces and mills where important
Improvements have been made and new
machinery has been added that has greatly
increased their output and consequently the
earnings of the worSmen. Where no such
improvements or additions have been made
no reduction in tonnage rates are asked
As to the first question. 1t may be well to
point out TO those who do not understand
the methods of payment that skilled labor
about the mills and furnaces are paid on
sliding scale based on the selling price of
steel billets, which are one of the products
of the Homestead mill. As the price of
billets advance tonnage wages or the wages
paid per ton advance without limit As the
price falls wages fall down to a certain
point called the minimum. Any decline in
selling price below this minimum brings no
reduction in wages. This minimum has
been SIS 90. 1t is proposed by the company
to make it S2S 90. The claim is that if wages
are based on selling price that the work
men must be willing to follow that
price down at least to a reasonable
minimum and that in view of selling
prices S2S co is now a fair minimum. 1t
may be stated that the contract nov in force
provides that the weekly quotations in the
market columns of the American Manufact-
urer shall be accepted as the selling prices OF
blllets. There certainly is force in the claim
OF the manufacturers that if the men de-
mand that they be paid on a sliding scale
that the wages shall follow the selling price
down as well as up, that they must take the |
bad with the good: that if the rule applies
TO nigh selling prices when the manufact- |
ufer can afford to pay high wages much |
more should it apply in times OF low selling |
prices where he is less able to pay.
As to the second point, the change of dates |
OF the expiration of the scale. There is AZ |
gument on both sides. 1t is well that q |
manufacturer should know, especially one |
making the forms OF steel made at Home |
stead, what wages he must pay during the |
year so that he can make his contracts for |
the year accordingly; but on the other hand |
If a contest must come it is better for the |
workmen that it should be in summer than |
IN winter.
But after all the important question at |
issue is the third. The reduction in tonnage |
rates.
There is decided misunderstanding in |
the public mind as to what is covered by /
this proposed reduction, how many are al |
1ected and what the effect of the proposed |
reduction will be Oh earnings
The proposed reduction in tonnage rates |
applies only to three departments in the |
works, viz:
32" slabbing mill. |
JIG" plate mill. |
Open hearth furnaces
OF the $500 employed at the works only |
some $50 men are affected by these tonnage |
reductions, and the total number of en- |
psuves-g no are affected both by the reduc- |
tion in tonnage rates and in the scale mini |
mum including the 2S0 is less than 1926 not 10 |
per cent of the employees. There is, as is |
stated above, no reduction proposed at any |
mill or furnace at which the output has not i
been very greatly increased since the lSS9-92 /
scale went into effect and further at the |
proposed reduction in tonnage rates the /
earnings will in almost every case be greater 1
than the earnings at the time the 1889 scale |
went into effect, and even on the S23 minimum |
of the new scale the earnings will in many |
cases be higher than at the S26 80 rate in |
force, when the 1889 scale took effect.
For the first five months of the Home
stead Steel Works wages scale, which eX-
pires June 80, lS92 that is to saw from Au- |
gust to December, inclusive, 1889, the aver |
age monthly products of the departments |
for which new scale, from july /, 1892 was |
presented by the The Carnegie Steel Com |
pany, Limited, to the Amalga mated Associ- |
alton, were as follows: |
S2-inch slabbing mill............5 .6sl tons.
llS-inch plate mill d, ass tons.
Open-hearth furnaces 20 tons per turn.
While the tonnages for May, 1892, we're:
32-inch slabbing mill. ............9. 265 tons. |
llS-lnch plate mlll................5.2 26S tons.
Open-hearth furnaces. 233 tons per turn.
showing tonnage increase Ill
$2-inch slabbing mill lof...........2O6p per cent.
open-hearlh furnaces sof.-...-......E.5 per cent.
comparison of the wages paid in repre- |
sentative positions at the beginning of the |
1883 90 scale with those which would be |
earned under the proposed 1928 scale, |
shows as follows:
1892 SCALE Proposed 1898 Scale |
S26. 80 Basis. $3.50 Basis.
Rate Daily Rate Daily Min-m |
u hours. 100 loo earn S23
- IL