Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-10-09
\ MAGNATE'S VIEW
President Galloway Before the Indus
trial Commission.
els OPINION OF LABOR UNIONS
Doubts Efficacy Of Laws for Arbi-
no tration.
BENEFITS OF POOLING

BENEFITS OF POOLING
The industrial commission this morning
heard the testimony of Mr. Samuel R. Cal
| laway, president of the New York Central
and Hudson River railroad. Mr.. Galloway
has been president of that system a year
and half. and formerly had been presl-
dent at different times of the Lake Shore
and Michigan Southern, the New York.
Chicago and st. Louis, among other roads.
| He has been connected with railroads since
| 1868. and with lines from the Atlantic to
! the Pacific. Mr.. Galloway had prepared a
statement in reply to questions contained
in the commissions syllabus. The road of
which he is president is a part of the Van
derbilt system.
The witness said the New York Central
and Hudson River road had complied with
| the law regarding the use of automatic
couplers, within the first perio1 allowed.
The company is experimenting with electric
light to use 1T on it's trains, but 1t had
not thus far been very satisfactory. He
| explained the rules of the company in rela-
ton to Its employees. 1t had no objection
to the men joining the brotherhoods.
He did not see how voluntary arbitration
could be of much benefit, and he did not
see how arbitration could be compulsory.
He had no objection to arbitration between
the railroad officials and the employees, cx-
cept as to vital questions, which the com
pany would not consent to arb;trata. He
would not like to arbitrate question of
wages, as that should be decided by the
board Of directors. The pay roll of the New
York Central Is SIT, 100000 yea. and al
increase of 10 per cent in that amount
would prevent the road from earning any
dividends.
His View of Labor Organizations.
Speaking Of labor organizations generally.
he said that some years ago they were in
toxicated with their power. and they at
tempted to regulate even the running Of
trains. They were exceedingly arbitrary.
In later years they had confined their e.
forts largely to looking after their own
affairs and taking care of their owa people.
That, he thought was a good thin,, aud
he believed they had been pencrcial to
c"nsiderab BILE extent. He thought The rail-
roads would not object to limited liability
act, but he did not see why the railroad
should be picked out n such matters. He
didn't see why 1t should pay for damage
more than a farmer in the case IF Il man
| injured In handling scythe.
THE fact Is. he said in referring to dis
eliminating rates, the rates are low
that there is nothing to discriminate on"
The New York Central had been able to
keep pace with the low rates by the use of
the steel Fail and powerful locomotives,
which allow the running of very long and
heavy trains. He didn't know how roads
got along when they were not able to use
process Of EVOLUTION.
Ticket brokerage DemOraIizing
Ticket brokerage. he said, was democrat
izing practice which is prohibited in
most countries of the world
He thought the watering of stock was an
obsolete practice the roads having all they
could do in Keeping out of the hands Of re-
ceivers. He said the real estate of the
New York Central in New York city
is alone worth as much as the capital
stock of the company. They have to pay
II per cent of their net earnings in taxes
We haven't such an easy time some
of you gentlemen seem to think" he re-
| marked, laughing in reply to questions.
They now issue no passes except to en-
ployes. He thought even this system was
bad but it's effect on the revenues of the
road was very slight, the men who get
them would not travel otherwise
Il issue no other passes from my office"
said Mr.. Galloway. Il don't know what
Mr.. Depew does
The practice of beef and cattle companies
| in using their own cars he regarded as very
| Objectionable. and IL pooling by the rail-
roads were allowed this practice could be
driven out.
The Interstate Commerce Law,
Speaking Of the interstate commerce law,
! he said 1t had had just the opposite effect
| from that expected by it's friends 1t had
forced the railroads to consolidate.
Mr.. Galloway did not think 1t would be
possible for the railroads to make extor-
| tomato rates for freight if a pooling law
should go into effect. as the water rates
| control the rates on land. Other condi-
which a commodity could be sold, kept the
rates down. The old pools by the railroads.
| he said. never amounted to anything. AS
| far as his road was concerned they wanted
| to deal fairly with their shippers, and If
| they couldn't do 1t they would object to
| having some one else consider what was
| reasonable. He believed in discussion of
differences between shippers and railroads.
| as it always resulted in shaping up the
| difficulties of the railroads. He did not
| think the interstate commerce commission
| could be allowed to fix railroad rates, as
| the country was too large for that
Millers' Views Presented.
| At the afternoon session of the industrial
commission today Mr.. Frank Barry of Mil
| waukee. Wis, secretary Of the Millers' Ma
! tional Association of the United States, ap-
| peared and testified. He had been secre-
| tary of the association he represented for
| twelve years previous to which he was in
| the milling business. The Mllers' National
| Association was formed in 1872 for the pur-
| pose of handling test suits in patent cases,
| great deal of litigation over milling pat
| ents having arisen. In 1890 the scope of the
| association was enlarged. and it has in
| terested itself in pure food laws. They had
| never had anything 10 20 with prices.
| The adulteraticn of flour had been
| brought about by people attempting to re-
! duce the cost Adulteration of flour with
| glucose had gone ahead until it reached ii
| or Is per cent Following that came the
| adultera ton with white earth, which had
greatly injured the standing of the -four
| abroad The mixed -four law had put
| stop to such authorizations.
4 The milling interest is the largest indus
| try in the country. There 1,6OO flour
mills in this country. The output in all
| but 400 of them had a capacity of less than
| 500 barrels day.
| Mr.. Barry was on the stand when The
Stars report WAS closed.
I'M CEAp OF ANARCuY