Evening star., 1908-01-25
AK FOR B. AND o. SALARIES.
Reduction Of 10 Per Cent Applies te
Higher officials.

BALTIMORE, January 25.-On February
there will be a reduction In the salarie!
q. all the employees of the Baltimore anc
Ohio system. including the Baltimore ant
Ohio Southwestern who receive more thar
$3.50 a month.
1t is announced that the general reduc-
ton is to be 10 per cent However. this
practically applies only to those who re-
ceive Sl66 a month or more. This Will
bring the rate of wage of the s166 en-
ploye down to $50. 1t is not intended to
go below this figure Therefore those now
receiving $155 or .$16O a month Will only
be brought down to $50. In such cases
the reduction is less than 10 per cent, Du'
under the order $50 viii be the maximum
rate for all who now receive 5000 year
The order effects all officials from the
president down to those in the 5000 class
Those who now receive higher salary
will only be cut 10 per cent. as lnol-
Gated in the order. ;. =
About 500 employees and officers, 1t Is
said, will be affected. Placing the average
pay at 81, 600 year, the annual SAVING ~ "
the company by the reduction Will De Wv,
900. $1,000 a month. This averase was
regarded by some as too conservative, as
most of the executive officers ana supern-
tendents in the different departments AZ AZ
fected receive salaries ranging from $o,oUo
to $2J 600 year. The majority Who WIZ
the class that receives from S2UOO 10 w.
900.
The cut does not affect the mechanics.
the trainmen or the track hanos.
strikes higher up, and Is SAID 10 ian upon
a class best able to stand it at TINS tlme.
Officials of the company say. however
that unless the business OF the ROAD I'M
proves the same policy may nave " oe
generally applied. This they nope TO
avoid. but If 1t is necessary in order 10
conserve the earnings for the main
tenance of the roadbed and equipment the
pruning knife of salary reductions may
be applied all along the line
The company. as is known. mas peeh
for some months laying on all It's en-
ployes not absolutely necessary Tor the
safe operation of the road. The average
pay roll in normal periods or business
activity contains about o3'UoO men. men
1t is said that at least S,OO nave
been furloughed within the last two or
three months. They have been taken
from all departments. from the laboring
force to the clerks in the general omces
and at the stations.
In the last monthly statement or .he
company there was shown falling on in
earnings of about $1,OOO,OOO. This means
nearly S35 COO day, a heavy drain on re-
sources. 1T is understood from omclai
sources that the statement Tor January
will not show up much better from ,r,,;e s,ie
incomplete statements now in hand. rms
being SO, 1t became necessity Tor the
company to economize In some direction
The reason assigned by the officials for
the falling of in earnings is the business
depression prevailing throughout the
. country.
The reduction in most instances places
salaries on the same basis as existed In
1905 Since then there have been ad-
vances in practically all departments. ex-
cepting as to higher officials. Wages OF
ali trainmen and other labor were also
raised during the prosperous period from
no to Is per Cent. AS recently as last No
vember the pay of many of the minor
clerks was advanced. They are not dis
turbed by the present action. as no one
receiving as much as $1,000 year bene-
nted by the advance then made