The White Pine news. [volume] (Ely, Nev.) 1906-1910, 1908-01-31
RAIL WAYS UP
AGAINST A
WAGE CUT
Trying to Get Around a
General Reduction
Conferences Are Held.

NEW YORK. Jan. 30.--Whether
or not 1t will be possible to avoid
general reduction in wages has been
under discussion in several headquar-
tiers of big railroad systems this week
The question has become acute with
a continued decrease In earnings,
which became pronounced with the
beginning of the panic and assumed
yesterday a more serious phase with
the presentation of statistics showing
a remarkable increase in the number
of idle cars. Various railroad repre-
sentatiyes expressed the hope that
any general reduction would be avoid
ed. All admitted that it was per-
force under consideration. though few
expected any action to be taken be-
fore the first of the month.
The statistics of idle cars are the
results of an absolutely accurate COM
pilation from official sources. They
show that week ago 800, 900, or l A
per cent. of the 100000 freight cars
III service in this country were laid up
because Of lack of business. BY an
odd coincidence the number of idle
cars is almost exactly the numbers of
cars that have been added to the
equipment of all the roads In the last
two years. At an average price of
$1,000 apiece, the cars represent an
investment of $4,000, 900. To haul
them with average trainloads would
require $1,000 of the So, 900 lncomo-
tives in the country. SO that railroad
statisticians estimated tina, sk20.-
600 900 invested in locomotives was
idle also. The total of idle railroad
equipment they accordingly estimated
as representing an investment of
about $440.000,000.
Thousands upon thousands of men,
of course, are idle because the loco
motives and cars are idle. The fixed
charges on the investments and
multitude of other expenses ON ac-
count of the equipment remain. The
savings in wages accordingly do not
compensate for the loss in income.
The number of idle cars on the
date of the report was much greater
than on any previous day since the
beginning of the panic. On October
so there was a shortage of about ST.
900 cars, the demand then, exceeding
the supply. Since that time the de-
mand has steadily lessened. A year
ago there was the greatest difficulty
in securing cars at every. Important
trading point in the United States
Every railroad system in the country
has already reduced lis wage account.
but the reductions have not yet
brought the aggregate amount paid
for labor down 10 what was paid be-
fore the wage scales of 1907 went in
TO effect. Tn to the present the re-
ductions have been made almost en-
tirely by laying off men and by re-
ducing the hours of employment. The
New York Central, for instance, laid
off enough trains a week-nr. so ago
TO bring about a saving of $3.50, 900
in the course of a year. The Central
had previously laid off large num-
ber of employees. but the entire saw
ing does not equal the $4,000, 200 to
s9.000,000 which the Central paid
out last year in increases of wages
The case is the same with the Penn
syivania, which as a result of in
ereases of wages paid out s12,000,-
900 extra in 1907.
With most of their employees the
majority of the roads have contracts
providing for 80 days notice before
wage scale can be revised. Whether
or not this notice will be given is the
roint under consideration. and it
certain that if given it will he given
reluctantly. Indications of improve
ments in earnings might cause an
abandonment of the subject alto
gether.