The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1910-08-17
RAILROAD NEWS.
Economies" Is New WatchwOrd
of the Railways.
Expenses of All Kinds Con-
stantly on Increase.
WAGES HAVE RAISED.
Public Opinion Is With De-
mands of Employees.
WAGES HAVE RAISED.
Other Items of General Interest
in Traffic World.

In discussing the operations of
railroad way it does not seem possible
for the fairminded man to apply any
other method of reasoning than is APP
Piled to commercial institutions in
e. neral: in fact where transactions
consist of the exchange of an article
or a product for an agreed price in
the coin of the realm, there is no es-
Eent.al difference in principle whether
1t be lilway disposing of its product
--transportation-or a shoe manufac-
turer disposing of shoes
According to F. A. Delano, president
of the Wabash, there must always be
a sufficient margin between the reve-
nue. side of the balance sheets ana
expense side to permit of some return
on the investment; and in this connec-
ton it is we'll known that manufac-
turers and other commercial concerns
are seldom content by the what for
railway is termed by the average man
a fair return on the investment.
1T is argued that railways are
quasi public institutions, owing a re-
sponsibility to the public to furnish
4cequate and safe transportation" he
said, but, granting that this is true,
is it not equally true that with this
increased responsibility they deserve
to be permitted to earn funds ample
to provide the facilities which will
standards?
What can be expected if the in
creased expense of railway operation
continues to augment and rates are
not allowed to be increased? What
will happen when the lines of revenue
and expense meet? Will not this coun-
try as a whole, which depends so
largely on the transportation furnish
ed it by the railways, be the one to
suffer? And how will conditions then
compare with what they might be IT
railways are allowed to make moder-
ate increases in their rates of freight
increases which, though they mean
much to the railways handling millions
of tons Of freight each year, will
scarcely be noticed by the average hui
man being. For not 10 per cent of the
price of the necessities of life is rep
resented by the railway transportation
charge.
Railway expenses of all kinds have
been constantly on the increase, while
rates of both freight and passenger
business have been on the decrease.
This has been possible by reason of the
greatly increased efficiency and econ
omy of operation, an economy I'M
known in any other country.
ssPublic authorities have said and
ere saying that the pay of labor must
not be reduced, but must be increased
to correspond with the increased cost
of railway supplies have demanded and
are still demanding higher prices for
their product, and federal and state
legislative bodies have passed laws
either limiting Or reducing revenues
(e. g., large recent reductions in mail
and passenger rates) or increasing the
expenditures of railways.
I'm other words railways, besides
absorbing the high cost of living of
their own employees and the employees
of manufacturers of railway supplies
are compelled to reduce their reVenu ss
and increase expenses.
Again, as regards the increase in
wages, public opinion has been with
the employee in every case; in fact.
in the last year those increases in
wages to the largest single class of
employees have been granted through
arbitration urged upon us by federal
officials, in many cases representative
of federal Or state governments sitting
with the board of arbitrators and
ing in the aggregate to millions of dol
lars.
Railways, besides being carriers of
freight, act as insurers. AS a practi-
cal matter they contract to deliver
goods in the same condition as re-
ceived, or pay for the loss or damage
that may occur; and in this respect
they now bear a greater responsibility
than was formerly assumed by any
costing the railways large amounts
yearly. We do not ask to be relieved
of this responsibility, but rather that
charges sufficient to meet all of the
expenditures necessary for the proper
conduct of the railway business be
permitted.
Il doubt whether the public has any