The Washington herald., 1907-02-11
LABOR AND PRICE OF GAS.
Committee of Central Labor Union
Probably MisIed.

Jackson II. Halston in Trades UniOnist
BY the daily papers / have noted with
some surprise that the committee of the
Central Labor Union has practically en-
dorsed the position Of the gas company
with relation to the reducing Of the price
of gas Permit me to express my very
great surprise and the fear that IN reach
ing this conclusion the committee may
have been misled by interested parties.
II was demonstrated thirteen years ago
that, accepting the figure presented by
the Washington Gaslight Company. the
cost of manufacturing gas and delivering
ia at the burners was 66I2 cents. Since
that time the cost Of production has I'M
.doubtedly diminished and the market has
SO far extended that this figure should
be very materially Iessened. Even at
the rate of 65l5 cents per 1000 for the cost
OF gas a the burner, We're a dividend Of
q per cent upon the capital stock 10 be
added, the company could ia 1893 have
sold gas at reasonable profit for 81
cents. At the present time this figure
as / have stated, must be materially les
sened A dividend would have then been
upon "a capitalization four times greater
than il has ever been pretended was rep
resented by actual cash invested by the
stockholders, and probably forty times
greater than they ever really invested
at that time 81 5go090 of its capitalization
being pure water. AT the present time
Iconfessedly. $4,000 Of this capitalization
l represents nothing but water. but th'
people of the District Of Columbia pay q
I dividend upon IL.
/ Some ten years ago the price Of ga'
/ was reduced 90 Sl25 per thousand, or )
/ for prompt payment. At that time th'
/ capitalization Of the Gaslight COmpani
was about 100000. divided into shares
/ Of go each. The stock however. wa!
/ selling on the exchange for approximately
/ 50 per share. showing tire rGlue OF ti'
plant with the franchise 60 have theI
! been S45do0G. At the present time th'
! capitalization, SG0Dlt OF water havin'
! been added, is S2.6eGJ, with an approx
mate Stock Exchange valuation Of s.
per share making "a value Tor The plan
and franchise of $500 GO. Notwithstaud
/ ing therefore, the reduction Of rates thel
/ had, the value of the plant franchise
/ has Increased 100 ten years S3.30.u00 upo.
all Of which the citizens of the Distric
OF Columbia are required 10 earn a dIvi
deId for the gas company. For this gif
of $4,000. conferred within ten year
upon the gas company. that company ha
given uO equivalent. and now protest.
against "a reduction i'm the price Of gas
/ When the citizens of the District hav
/ added ou an average Of 100000 per yea
20 the value Of q franchise 30 is sUreI.
time that some steps We're taken of
decided character in the public interest
either iu the shape OF reduction Of ga
rates or muniCipalizat!On OF the ga
plant.
According To the newspapers. tho ~
ports say that gas sells for lower pric
|iu Washington than iH a number Of Othe
places. This is quite immaterial. as ga
companies charge invariably what IN
traffic viii bear. irrespective of cost q
production or wages paid employees.
And referring 90 Use question OF wage
of employees / have only Co add tina
the gas company undoubtedly pay
market price and no more or less. TO
its ordinary labor although its hishes
officials may be- and doubtless are. OK
/ rlaVagautIy compensated. II the swolle
profits Of the Uas company are diminished
it viii not thereby be enabled 10 obtai
ordinary labor for one cent less than 10
price ruling in the community. and NOR
than this it assurcdly does not pay. No
need not, therefore. fear any reductio
In the compensation of labor because III
gas company is compelled 10 render bac
30 the community some part Of the SUI
it now takes from It without. as 1 hay
said. rendering any equivalent