Evening star. [volume] (Washington, D.C.) 1854-1972, 1900-08-08
INDUSTRIAL COMBINATIONS
BULLETIN ISSUED BY THE DEPART-
MENT OF LABOR.
Effect Upon Wages and Price of
Commodities From the Data
Obtained.

and from testimony taken before the indus
| trial commission by Mr.. jeremiah W.
jerks. 1t was upon request of the indus
trial commission that the department of
labor made its investigation into the SUBJ
ject Of trusts The chief things shown by
the bulletin are the effects of Industrial
combinations on wages and on commodities.
The bulletin is based on data regarding
forty-one Industrial combinations. twenty
four of which were formed in 1s9S and 1899.
five being organized in 1891 and
early as 1865. The capital stock authorized
by these corporations, was 81. SIS, $50 600 the
total amount of stock and bonds issued by
them being Sl,395, $50. 325. The stock of the
larger part OF these concerns Is widely scat
tered.
great deal Of data in statistical form
Is furnished in the bulletin to show the eff
feet of industrial combinations on wages
and on prices of commodities The great
demand for certain classes of goods, 1t Is
believed. has unsettled prices In the last
year to such an extent that it Is difficult
to Judge whether the higher prices of
manufactured commodities and the higher
wages of working people are the result of
combination or merely the natural result
OF an excessive demand. Prices OF COM
modities and wages before and after the
formation of Industrial combinations are
compared.
Skilled and Uaskilled Laborers.
ut will be noted" the bulletin states in
summing uD the data on wages, that
among skilled laborers the increase in the
numbers of different classes comes chiefly
In those receiving from $S5 to $40 and $45
to $50 week, so far as the higher-priced
ones are concerned. A notable increase is
also shown or those receiving from So to
w and SD to $25 week There was, on
the other hand. a tendency to lessen tie
| number of the more poorly paid men.
Among unSkflfed labOrers both the num-
Der and per cent of those receiving less
than So a week were increased. There was
then decided decrease until the class re-
ceiving from s. to 50 was reached: There
was very noteworthy increase in both the
number and per cent of employees receiving
| from SS to 50 per week, In the higher class
receiving from 50 to SO per week. and in
| the still higher one receiving from $40 to
| $l5. Among clerks the rates of wages were
considerably more stable than In the case
Of the two preceding classes. The per cent
| OF clerks employed in each class varied but
little except in the classes receiving from
| 50 to SO and from SIS to $40 per week In
| the case of the employees unclassitied, but
excluding superintendent, foremen and
travelling statesmen there was something of
an increase In the per cent employed in the
| case of the lower-paid wage earners well
| as in the case of those more highly paid.
| but throughout those of medium grade
| there was, generally speaking. a decrease.
| On the whole. taking the summary of all
| the employees. but excluding superinten-
dents. foremen and travelling statesmen.
| there was under combinat ton a slight in
crease of wage earners of the lowest class,
and thereafter in the classes whose wages
ran from IS to SO per week decided in
crease in both the number and per cent of
men employed, although there was also a
considerable increase in some of the class
es receiving the higher wages. In those
| cases however, the number of persons in
volved was small that the general eff
feet upon the wage-earning class a
whole could he but slight, even assuming
that the figures for these combinations
would hold good for industrial combina-
tions in general.
1T would, of course. be too much to say
that these results show the general effect
OF comhina tons on wages The returns are
not numerous enough. Besides that, many
OF the combinations were formed at the
beginning of period of general Industrial
prosperity. so that an increase in wages
was perhaps to be expected. The tables do
show. SO far the figures go, that these
combinations have not decreased was; :
among these classes of wage earners. La ter
tables show further points. Like tenderness
appear also in the tables regarding large
private companies.
The Fixing of Prices.
Out Of twenty-eight combinations answer
I ing the question to whether the organiza-
ton fixed the prices at which dealers shall
sell to the consumers two only answered
in the affirmative.
They state the report says. that the
penalty for making any variation from the
price fixed was the cutting of of the sup
ply. Twentyfour of the combinations an
swered the question directly in the mega
tive and two reported that they did not sell
to dealers, while thirteen made no answer
1t is not unlikely that effort more or
less determined is made by these silent
combinations to fix prices, although one
could not make that assumption regarding
them all. One combination stated that
while not attempting to fix prices. 1t did
give an additional discount to those GUS
toners who dealt exclusively with 1t, and
in several cases the larger buyers receive
special discounts beyond those given to the
smaller ones.
ITO the questions to whether they re-
quire that persons. firms. or corporations
dealing with them shall agree not to buy
from or sell to others than the combina-
ton itself only two replied in the affirma-
tive. twenty-sevcn replied in the negative
while twelve made answer.
None OF the combinations reported that
they require any Of the persons. firms or
corporations dealing with them to buy all of
their goods from them or sell all their goods
to them Twenty-six distinctly asserted that
no such agreements were made whereas
fifteen left the question unanswered.
AS was stated earlier, practically all of
these combinations sell goods in all sections
of the United States while very many OF
them carry on also an exporting business.
Generally speaking. the prices fixed by the
combinations are the same throughout the
United States. with proper allowances made
IOF the Inference III the COST OF
tation. Three organiZa lions. however
stated that the prices are not fixed on the
same basis: one stated that they are approx
mateIy the same. Five of the combinations
allow their agents. however. to cut their
regular rates to meet competitors. while one
other reported that the central office makes
prices at times to meet competition and
secure sales" Twenty-three. however
stated distinctly that their agents are not
allowed under any circumstances to cut
prices.
I'm the case of export prices the situation
is somewhat different. Sixteen stated that
their export prices are the same the
prices within the boundaries of the United
States. due allowance being made for
transportation; three more said that they
are approximately SO. while ten stated that
the prices differ; eight of the ten giving
lower prices to foreign buyers. in order to
secure their market, one reporting higher
or lower prices to meet European competi-
ton, and one reporting higher prices in for
eign countries"
What Caused the Increase.
While very large increases were shown in
the prices of iron and steel goods and in
many other lines of goods in the last year
or two, the questions to just what
caused the increase remained a problem