The San Francisco call., 1904-08-06

Dickie's great experience in ship build
ing gave his advice an authoritative
stamp and he was intently listened to
throughout. He confined his address
mainly to the difficulties that confront
American ship builders at the present
time, though in answer to questions
of members of the Congressional Com
mission he widened the scope OF his
statements to cover the free ships and
subsidy questions. In part he said:
There are three conditions that
combat the builders of ships in the
United States-design, labor and ma
terial. The great element to be con-
tended with by those that wish to COM
pete with foreign yards is the cost oil
labor. After giving the subject mucn
study 1 have determined that the cost
of labor is 55 per cent of the Vessel S
worth. In America the wages are 6f12
per cent higher than in England. Then
there is much piece work done at set
tied rates and, Notwithstanding great
efforts, we have never been able to ac-
complish anything in that direction
here. The claim that American work
ingmen are able to produce more than
1OISlSHGiS III d given OAAAS ~ N--
have found not to be so.
The difference in price of material
here is much greater than in England
though the disparity is not so great
as it is in the matter of labor. There
is only about 2S per cent difference In
the price of woodwork here and there,
but steel can be bought in the foreign
market from American manufacturers
many dollars a ton less than it can at
home. This should not be so, but it
is and all these elements go to make
the cost of American built vessels
from 35 to SO per cent more than
those turned out by foreign yards.
Whether or not we ever will be
able to compete with these conditions
am not prepared to say. The claim
that the difference in wages and cost
of material is largely balanced by our
better facilities is not the case. The
yards of England and Scotland are
fully as we'll equipped as our own and
as for the tools the foreign ones are
better in many instances than ours.
AS a matter of fact there are certain
kinds we import from. there for use
in our own yards.
ship there in course of construction
that is almost a duplicate of the
cruiser California, recently launched
at the Union Iron Works. Upon in
vestigation 1 learned that the steel
that was entering into the construc-
ton of that vessel was being pur-
chased from the Carnegie Steel Com
pany for a fraction over $35 a ton,
while that we used in the California,
purchased from the same firm, cost
us over $55 a ton. This is an aston
ishing condition brought about by a
tariff that permits of manipulation.
Regarding the question of free
ships, I do not believe the American
shipowner can prosper unless there is
prosperity in ship building. Unless
the ship yards are fostered they can
not exist and if they pass from ex-
istence the great amount of repairing
that is daily employing an army of
mechanics could not be done. Re-
pairing comes at uncertain times and
to do it properly there must always
be many men subject to immediate
call. These men will not be at hand
unless they are employed in con-
struction work. During the idle pc
riods they would drift away.
Il doubt also that many of the
yards would be able to continue if the
matter of naval construction was also
transferred to the Government yards.
In fact, the navy yards are RESPONSE
bic for many of the difficulties. that
confront us. The navy yards give
shorter hours, higher pay and the in
- 30
result is that when they need men
they come to our yards, and take away
our best employees. When the work
at the navy yards slackens these men
are turned out, only to again seek
employment of us. AS they are good
men we take them back, and it is the
fact that they know they can get back
that causes them to quit in the first
place. Activity again reaches the navy
yards and they quit again. Our work
is set back and disorganization fol-
lows, but this fails to affect the Gov
ernment officials.
'One instance I will recite. We had
some skilled mechanics working on
the gun ports of the battleship Ohio
The officials of the navy yard at that
time needed some good men and they
came over and took ours away from
the gun ports. We got other men af-
ter much difficulty and they were just
getting acquainted with their work
when the navy yard took them away
-Four times this occurred. We could
only protest, but our protest was
without avail. All of this time we
were being penalized for delay.
"On six Government ships building al
the iron works we figure we have lost
$1,2OO,0O0 through conditions we could
not control. The exactions of the Gov
ernment are frequently arbitrary, and
dispute regarding the ventilation OF
one of the vessels tied up the work or
1t for period Of months. In the end
the Government had its way, the ven
tilation cost us four times what we cal
0t1lafod l.. e.,