The Washington herald., 1908-02-21
The President and the Railroads.

President Roosevelt's letter to the Inter-
state Commerce Commission focuses at
tention on the really serious labor situa-
ton that is developing throughout the
country as a result Of the dwindling reve-
nues Of the railroad companies. A num-
Der OF railway managers have endeavored
10 obtain the assent Of their employees to
a reduction OF wages, but without sue
cess, for the unions, following the idea
enunciated by President Gompers. Of the
Federation OF Labor. that economies
forced upon employers by industrial de-
preston should not be effected at the ex-
pense OF their employees. have in every
case refused the proposals made for wage
reductions II the railroads should insist
on reducing wages, or be actually forced
by financial stress 70 do so, the inevitable
consequence would be a series Of strikes.
with their attendant injury to business
and their possible menace TO public order.
Mr.. Roosevelt apparently hopes. by set
ting in motion such machinery OF investi-
cation and conciliation as is at hand. to
apply an anticipatory prophylactic to a
situation already fertile in elements Of in
HIS
letter sounds like warning to both sides
that It would be better to avoid trouble
than to seek Il. and that whatever action
is taken by either should be well fortified
by right and justice
The economic situation into which the
President has thrust Federal interven-
tion. so far as his authority permits him.
is one Of unusual character. We are in
the midst Of widespread industrial de-
preston. in which the wages OF large
bodies Of labor are controlled by COM
binations of employees and the prices Of
sundry products by combinations Of en-
ployers. Neither Of these combinations
is willing to make any concessions. and.
IN fact. both Of them have been in large
measure successful in resisting economic
laws which, under unrestrained compe-
tion, would have brought about falling
prices and declining wages The rail
roads. being extensive employers of la
Dor and heavy purchasers Of manufac
tured products, are profoundly affected
by both these combinations But In ad-
ditiOn TO the fixed conditions under
which they must obtain their SUNNY of
labor and material. the railroads arr m
der limitations imposed by regulative
legislation upon their charges for service
While they are required By mandatory
legislation to incur various expenditures
regardless OF their financial ability TO
meet them The picture here presented
Is that of an economic status somewhat
definitely and rigidly maintained. sue-
gesting the socialistic rather than the in
dividualistic order. However that may
be. it is a status obviously involving
problems Of a serious nature. which gov
ernment itself must undertake to solve
inasmuch as 1t has undertaken the regu-
iauon of combinations Of labor and
capital as well as the vital conditions Of
railway operation.
more difficult task FOR political or
ganizations made up as American govern
ments are could hardly be imagined. vet
can any one doubt that our democracy is
entering upon #? That the President
should concern himself with the prospec-
tive disputes Of railway companies with
their employees is only one sign of the
times. The economic order now being
constructed on the foundation OF COM
binations of labor and capital so vitality
affects the national life that the govern
ment can consistently lay hands upon