Evening star., 1911-06-05
PLEADS FOR LABOR
Judge Gary Argues Against
Reduction in Wages.
PRICES SHOULD BE STABLE
Speaker Tells Steel Directors They
Have No Right to Risk En-
forced Reduction.

NEW YORK. June 5-The argument
with which Judge Elbert H. Gary chair
man of the directors of the United States
Steel Corporation, addressed iron and
steel manufacturers. whom he had here
as guests at luncheon a week ago to
discuss the independent action of the
Republic Iron and Steel Company in re-
ducing prices, has just been made public
Judge Gary gave out the text Of his
speech and threw more light upon what
occurred behind the closed doors of the
dining room at the Metropolitan Hotel,
where the conference was held.
Judge Gary argued for continued CO.
operation among the steel makers. and
for stability in prices. but his apparent
wishes on the price question were over
ruled by general decision to meet the
cuts of the Republic company.
Cut Wages Only When Necessary.
II have urged you to remember" said
Judge Gary, land / again call attention
to the fact that when you make substan-
tiol reductions in your prices. If you re-
duce to a price that is unfair and un-
rea sonable, and you make SO small a
profit that 1t does not yield you fair
return on your investment and your risk.
you at least place for consideration be-
fore every one the possible necessity OIL
reducing the cost of production, including
prominently, If not principally, the wages
which you are paying. or may be allowed
to pay, to the man or the men In your
employ.
do not forget that the laboring men
the employees of the corporations
have more at risk when these ques-
tions are considered of reducing prices
below what is reasonable and fair than
the employer You have no right TO
run the risk Of being compelled TO put
their wages below what they ought to
be unless you are driven to It, and
hope, under the present circumstances,
gentlemen, that whatever may be done,
or whatever may happen as result
Of present conditions, you will not re-
duce the wages of your employees until
you feel it is an absolute necessity to
do So"
Referring to the bombshell which
the Republic Company threw into the
steel market by reducing prices. Judge
Gary said: 1T is not for me to critlclse
men nor to pass judgment on the mo-
tives of men Whether people who
have changed their minds suddenly are
actuated by motives Of cupidity or mo-
tives Of necessity is not for me to say.
Plea for Friendly Relations.
I'm my opinion, it is highly impor-
tant for the long future that we con-
tinue our relations of friendship and
open and frank expression with refer
ence to what we are doing.
While insisting upon the position from
which l have never varied, l would not
under any circumstances make any agree
ment, express or implied, direct or in
direct. to maintain certain prices, to keep
away from customers, to divide territory.
to restrict output, or to make any agree
ment of any sort with you or any of you.
because, as I understand the law, 1 have
no right to do 1t; yet, at the same time.
1 would do what l have always said l
would do, would tell you and each of
you at any time exactly what we were
doing; would give you the name of our
customer; l would tell you what prices
we were charging. l would give you any
information concerning our business, con-
cerning our mills concerning our clients.
concerning ourselves that you wanted to
have. SO long as you have the same dis
position toward me.
"On the Sther hand. if it is your opin-
ion that the time for cooperation has
gone by, or that it should be suspended.
then we ought to find that out, and we
will all go our way. parting as friends,
but at the same time separating entirely.
which means that we will simply go upon
our way, doing our own business in our
own way. when, how and where we
please"