The sun. [volume] (New York [N.Y.]) 1833-1916, 1894-11-04
THE PULLMAN BUSINESS.
Truth on a Subject Much Lied About.

From The Providence Journal
Perhaps the vast area of ind ustrial activity
which was affected and concerned by the strike
of last summer will find the recent report of
Pullman's Palace Car Company instructive.
Every person who felt the slightest pity for the
strikers, and all who were alarmed at the evolu-
ton of an insurrection from a strike. should OBJ
tain a clear knowledge Of the features of this
statement. As an official report OF the years
business OF the company, 1t enables the inquirer
to perceive the fundamental mistake Of the
labor people In taking up with the local
struggle, that is, the long-continued fight
originating in the city OF Pullman, and
making II a boycott OF the company's
cars. Another grave mistake is also marked
out by Mr.. special supplement call
ing attention TO the strike. He shows that the
company's officials took pains TO place their
books before a committee of the strikers, and
that the labor agitators therefore knew at first
hand, or could readily have learned. that the
company was not making money at its manufac-
tory in the city Of Pullman. These mistakes on
the part OF Debs and the other labor a~gitators
were fatal to their cause In the nature OF the
case, entirely aside from the inability Of the
leaders to carry out a successful boycott. The
fundamental error referred 10 was In acting on
the presumption that the company could afford
TO pay the rate of wages IL had been paying 10
workmcn. The second mistake was in not tax
ing the evidences OF the books as they were
shown to the strikers committee for conclusive
testimony regarding the financial condition of
Mr.. Pullman's supplementary report calls at
%tentloh 70 one fact IN relation TO the corpora
lion which has not been well understood In all
discussions OF the strike. This is the division OF
the business into two natural departments. First
anu foremost 10 the department w inch owns and
leases, palace, dining, and sleeping care. Con
nectcd with that is the mAnufact0ry and lis adj
lnnctsat Pullman, bob where Pullman and other
railway coaches are made. The former branch
OF the business mas been going on twcnty-seven
managers have evidently every right to keep
these accounts separate. Accordingly while
the earnings of cars last year amounted to al
most as much as they were for lSD3-O3, the sep
manufacturing profits fell OFF more than sixty
PtSsss e soapan sH"' d iihf usual was PORTION snrDs q
in one, d~epartment OF the business. hui
business in comparison with the account f1s
lS0:-3. was the difference between the item
ManufaGturing Rentals, Dividends, Interest"
&c. for that year, amounting 10 S9,l58,l sD.
and SS26, 7iU IN ls03-4. The aggregate suFnlus
above the dividends for the twelve months was
Than that for the years Immediately preceding.
tt4r lss3,4 Il Was S2,320,+l7, against S4,0OG.-
2!3 for lSOO-i. OF course The usual diyidss1D;j
was paid "a stockholders, and had been secured
source Of income the manufacturing branch Of
ne business would have deprived the corpora
Ton Hi any arspgetahir sun 81 profits, aud prac-
The several re!oIts, hearing ON the principal
nhhhClal statement DO not give che exact hs-
ures, for the los sustained BY the mAnufautuF-
lng department.. Hut the fact is indicated tLnt
there Was a loss. The rentals brought Ia S5is.
Ol+ OF the Sh26, 30 received. and there werp
also certain royalties Included in the total
The value ~ the manu- featured product Is nxrd
ct st,3+ I,3l1 against SlA.4l4.TOO In 1892 IN
IL I ; that item TO which attention Is espcciauV
called In connection with the strike al the car
shops, A, falling oil II ON or eight million dni.
lars IN the output OF & concern which Fu-
nuAlly manufactures uuly "a few moro
million dollars worth az cars altogether GeIOtr, 4
a tremendous shriukage Ia thr busiucss daae.
1T We are 10 believe Mr.. Pullman thir Mas MOI "A I
S'nEitlpn OF aHalrs which tho COMPANY could
hell, sigce competition and the dglHess 0f tIc I
demand Tor cars enabled the corporation o. So /
cure Dnlf three contracts during lhr ycar. Thi-
v as h"'f lie number CF'Ted Ter bids. am dies. {
Their " leh wee a;eu T presented but II 500 !
Ouu Mntih OF NSth. lAIess. therefore. tI-lhr,N.
were for large amounts. n + plain I
the cninpany could not have svrlled M
volume OF business up a. the standard. even
II hal succeeded in getting ali the
work held ont 10 Bidders. The Pullman
tumpany appear 20 have taken a fair hare al 3
ihe york offered ~ taem, Lat gwen thai dki moi Z
ihNoiNe work enough 10 Justify EuSl wage. "a,
hHd been pad az the shops daring the prcreding
yCar, ilecause there WAS not a Sufficient amount
o. work IN these contracts. ard hvCause, ina .
sense. ~ was incumbent on the mar
agemeht 70 neduce wages la order TO take tue
cHntLaets-the latter fast not having been dis /
pated even by the strikers-lh shops could not
pHes S9rkInen the facilities for earning a liyelL
hood which they had previously enjoyed.