The Bessemer indicator., 1894-09-01
PULLMAN'S FAIR TALE
THE MAoNArE ON THE STAND.
He Details His Phiianthropic Motive. iu
Reducing WsE--.-The Company Max
Ing Money on Its Sleeping Car nasi-
meas, But Not GU the shops.-A Minis
ter Defends the COMPANY.

man was before the labor commission
for nearly three hours this afternoon
At the ouAet OF his testimony, Mr.
Pullman made careful preliminary
statement OF his position toward the
commission and defining the motives
which had moved the company to es-
tablish its manufacturing plant and
homes for workingmen as 1t had He
dwelt at length on the motive which
nctuated the company iu building
homes for the workingmen at Pull
man. declaring that the town had been
made SO that the best class of me-
chanlcs would prefer TO live there
rather than in any other place In re
ply to queries by Chairman Wright.
Mr.. Pullman told OF the contracts for
work undertaken by the company at
a loss in order that the men mi,,t b..
kept ut work He said.
Il found we We're being underbidden
by other companies, even when We
hai Inquired the work down 10 cost
undertook 10 make the Pullman
company's bids low. so as to secure tho
work Tor our men. My recollection is
tnat the hrst order of that kind was
Tor fortN-1vo ears uh the Long Island
rallroad. Under my Instructions the
cost of material and labor was figured
on the basis of a reduction In wages
ihen | had the matter under cunsId-
GRAFTON here and New York for about
TWO weeks, and finally put in n bid
Tor something between $500 and 500
4 car below actual cost made up
my mind that the company would con
tribute that much rather than have the
men IDLE. Up 10 the time of The strike
we mad lost more than S5O.Oo0 in pur-
SUNG this policy. / explained this per
sohally to the men when they We're
having their conference with Mr.
Wickes. MIR. Heathcotc said thpv
wanted th" wages OF 1886; ~aiL II
Would be most unfortunate thing for
all OF you If the wages of 1893 We're re-
stored, because there is not more than
SIX weeks work in the shop uow, and
we would lie unable 10 get more ON n
OASIS OF the wages of 1898"
Here Mr., Herman asked: Were the
DOCKS shown TO the mem"
No, they were not, because the men
did not apply to see them. and tho
strike came Friday"
ID, 'Ihere We're other grievances, were
there not?"
There Were. but Mr. Wickes and
MI. Brown had promised the men 10
take them up and remedy them wher-
ever there was just cause for com.
plaint.''
Turning the subject. Judge Worth
hston brought out the fact that the
eoihpahys original capital stock OF 81,
VWVV" In 1867 had increased TO S3G.-
WDoro; that the company had paid
dividends of Il per cent. during tho
hrst two years OF its organization. ~,
per cent. during the next Two wears
ana per cent annually since. and at
tie same time had accumulated a sur.
plus amounting TO S2j.ooOOOn
R"ieFrlng To the stock of THE com
pany. Mr. Pullman sulj IT represented
actual cash paid by the stock holders.
as the capital was needed. and III.
capital stock was Increased for Tia. 10
sltmate business Of the compauy
There was no water In it. and none of
II represented dividends.
Now, Mr., Pullman" said Commits.
sionef Northinston, taking the whole
year through. has the Pullman com.
pany mad" or lost m0Eryf'
Tt has made money was the an.
swer.
You have paid yom regular diyl.
dcnds?"
Yes. sir, $ per cent"
That is something like 50, 500, 600
you have paid out in dividends for the
year,
Yes. but that includes the latter
part of the Worlds fair season, which
was exceptional"
Let ma ask you. Mr.. Pullman.
whether you do NOT think "A company
that pays dividends OF 81. SOC. 600 coulI
not nHorh to share tie losses of Its
employees who have worried for II So
lOngT''
'Ihe manufacturing business is sep
Hratc from the business of the sIao,-
ing car company. see no reason why
! should take the profits of 400 stock
holders iu the Pullman Sleeping Car
company and pay men a higher rate of
wages thnu was paid In other parts of
the country for the same work. or
ilan was paid by other companies for
the same work"
Has the Pullman company during
the years Of its prosperity ever nd,
vanced the wages OF its EMPLOYEES vol
unfairly 2"
II do not know as 10 that. II has
always sought 10 pay fair wages"
What do y0u see that is obiectjona-
bic In submitting difference like this
10 arbitration"
There are some matters that are
proper subjects for arbitration. but
cannot arbltratr on question whcr.
! know the facts 10 he thus and so
The question as 10 whether our sbops
should continue 10 run at loss is n
thing that could not be arbitrated"
Why was It impossibef"
"Recause it violates the principle
thHi man has a right 10 manage his
own business"
Suppose the arbitrators were to saw
TO you, We see you're losing. but thcs.
men have been with You n iour wbiIn .
you can afford 10 share their losses. /.
we think you should at least pay living
wages, what would you say to that"
MY point N the time was to worI,
with The men and secure the disburse.
ment OF the large sums involved in the
contracts and lose money for the com
pany If tho men would agree to bear
their share in reduction of 20 to y,
per cent in their wages"
Judge Worthngton wanted to know
wherein II was wrong to take tb,
money Of the stockholders and nav
higher wages when the management
was ready TO take contracts at n loss
or take the stockholders money to keen
the pant gong. Mr.. Pullman saws tn"
execution of the contracts at n loss
was better for the plant than to lei IL
lie idle.
so. interrupted Mr. Herman. "you
had that in view as well as the emnlov-
mcnt Of the mon: You did not want to
stop the plant because you knew that
would be II loss to stockholders. and
you did NOT wani 10 scatter your men
because you knew It would be- difficult
to get force together again thnt
would do economical work."
yes"
Was your salnry rednced. Mr.. Pull.
man."
Thc witness replied II had not, been.
Nor the salaries of supcrintcndents
or foremenf"
no"
Why
Mr. Pullman sofI 40,