Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1894-04-06
LABOR THE VICTOR
In That Contention on the Union
Pacific Road.
JUDGE CALDWELL FAvoRs THE MEN

And Simply Leaves the Receivers Not u
Leg to Stand On-A Dccisi on That Knocks
the Jenkins and Dundy Flats Completely
Out of Sight and Gives Organized Labor
Triumph-TwO Passages That Are
Very Important and Cover Good Deal
Ground. ~
OMAHA, April 6.-Organized labor won
Its greatest victory when in the United
States circuit court Judge Henry c. Cald-
well handed down his decision in the Tn
ion Pacific wage schedule contest. In the
legal opinion this declaration of the court
stands out prominently: "A corporation IS
organized capital; it is capital consisting of
money and property. Organized labor is
organized labor; it is capital consisting of
brains and muscle. What it is Lawful! for
one to do it is lawful for the other to do.
II it is lawful for the stockholders and Of
ficers of n corporation to associate and con
Ter together for the purpose of reducing
the wages of its employees or devising
some other means of making their invest
ments profitable. it is equally lawful for
organized labor to associate. consult, and
confer with a view to maintain or increase
wages. Both act from the prompting OF
enlightened seliishness, and the action of
both is lawful when no Illegal or criminal
means are used or threatened"
Another Important Declaration.
\ mother declaration also will attract
the attention of men who hold stock in
corporations. Referring to the anxiety of
the receiv ers TO manage the property
economically Judge Caldwell said: The
court shares in their anxiety to have an
economical administration of this trust
to the end that those that own the prop
erty and have liens upon it may get out
of it what is fairly their due. But to ac-
complish this desirable result the wages
OF the men must not bc reduced below
reasonable and just. compensation for their
services. They must he paid fair wages,
though no dlvldends are paid on the stock
and no interest paid on the bonds. Ii l.
part of the public history OF the country,
of which the court will take judicial no.
tice, that for the first s3G. 600 GEO of stock
issued this company received less than ,
cents on the dollar and the profit of CON
struction represented by outstanding
bonds was si3.g29, 32S 81. There would
seem 10 be no equity in reducing the wages
of the employees below what il reasonable
and just in order to pay dividends on stock
and interest on bonds of this character"
Criticism by Attorney Thurston.
General Attorney Thurston, tor the re-
ceiVers, asked what he had TO say in re-
gard to the opinion of the court, replied:
The decision relieves the receivers and
managers of the road of great responsible
ity l think everybody concerned j. glad
to have the court take the responsibility.
as :; reduction in wages Is always neces-
sai'ily unpopular with the men and dis
agreeable to the managers. | had hoped
that if the court found the old schedules
were just and ordered their continuation
it would order a restoration OF the pay of
all the unorCaniZed employees who were
affected by the cut of Sept. l. II this ef-
fort to reduce the wages OF the organized
employees was not justified neither was
it in the case of unorganized labor, and
unless ali employees are To share in the
burdens Of the changed conditions it is
manifestly unjust to make any one class
do So;
synopsis OF the Opinion.
IN brief the opinion continues in force
the present rules and regulations govern
ing the road except where notifications
are made voluntarily. II mOdifies the or
Hers of Judges Dundy, Riuer and Hallett
| made on the wage cases-the former order
ing the receivers to put the new rules and
regulations in force, the latter restraining
the enforcement of the new schedules
pcndinga hearing between the receivers
and the men. II lays down stringent rules
as to intoXication on the part of the en-
pioyes, who are held to be servants of the
court And it lays down new principles
of arbitration between the contendiug
| forces of wage and capital. being in direct
opposition to the opinion of Judge Jenkins
| il the Northern Pacific wage matter
Black Eye for the Receivers.
The court room WAS thronged with rail
road men at the hour set for the rendering
| of the decision. There We're few prelifni-
naries before Judge Caldwell began the
reading. As the opinion proceeded the
faces OF the Union Pacific officials length
cncd, while those of the employees grew
roscate rs they saw the drift of the decision
and began to realize what a remarkable
victory WIS in store for them. At its con-
ciusion the silence became oppressive, and
| until Marshal White declared recess not
a movement was made on the part of the
spectators to break the spell.