The labor journal. [volume] (Everett, Wash.) 1909-1976, 1912-10-11

SHINGLE MEN
ON BIG STRIKE
CLOSE DOWN IN EFFECT A
STRIKE AGAINST DOMI-
NEERING MARKET CON
troll OF THE SHINGLE
BROKERS.

| Snlngle manufacturers nave been on
strike for two weeks-a strike against
oppressive market conditions. And we
are wiling to concede that they had a
real grievance for striking. Did you
ever hear a shngle manufacturer admit
that possibly a striking shingle weaver
had a real grievance?
A gentleman who claims to be wise
to the situation told us the following
story about the strike of the mill own.
ers:
The manufacture of shingles has for
many years been a poor mans game
That is, many mills were operated by
men who had nothing outside of the
weaver-maybe two or three would go
in together-woud save up few hun
lred dollars and 90 into business. Ma
chinery could be purchased on time, tim
Der bought the same way and both paid
for out of the earnings of the plant. But
the small manufacturer-an his name
was legion-was helpless when it came
to marketing his product. He had no
storage yards nor could he reach the
trade direct because he couldn't afford
delay. He had to have his money quick,
ly to make his payments regularly and
keep. his credit good. Enter, the broker
the middleman. He was a very ac
commodating gentleman. He took the
shingles, paying 90 per cent of the pur
chase price on the bill of lading and the
balance in 60 or 90 days. If the broker
had played square things would have
been different, but he didn't. The mid
dleman rarely does. He adopted the old
game of price cutting on the manufac-
turer whenever opportunity offered. He
didn't lose because he had yardage fa-
cilities for holding his shingles and the
trade paid his price in the end.
To meet the brokers' slash the manu-
facturer tried the closing down process
but it was never wholly effective. Many
of the little fellows couldn't shut down
as long as they broke even. Their ma
chinery had to be paid for or they would
for within specified time. The big
manufacturer could run on a lesser mar
gin of profit because of lesser cost
production, so he pounded away. After
a spasmodic shut down which was hard
ly ever general everybody started up
and slammed their shingles at the brok,
er. The inevitable happened. The price
soon broke again and there they were, as
bad off as ever. This hari kari policy
continued until finally some of the
manufacturers got together and said
Here, this thing has got to stop. We
have been at the little end of this sell
ing game long enough. The weavers
have got more sense than we have. They
organize and fix their wage price and we
pay it. The broker offers us whatever
he is minded to give and we take it,
Something's wrong
The outcome was the formation of a
manufacturers selling agency to deal di-
rect with the trade and financed by its
members 1t had hard shedding for a
time. Many mills refused to 90 into it,
remembering previous organizations that
had gone to pieces. 1t had the brokers
to fight right from the jump. The of
ficers hung on and the mill owners
gained more confidence in the sound
ness of the principle and ultimate sue
cess. Result: Increased membership
and increased financial strength
Shingles rose this summer to the high
est price level in years. The selling
agency increased in efficiency and made
money for the affiliated mill owners
Then the brokers played their trump
card. They quoted a low price to the
trade-a price that almost wiped out the
margin of profit to the manufacturer
Their motive was plain. They figured
on wiping out the selling agency at one
fell swoop. The trade wouldn't buy
from the agency when it could buy from
the brokers at big reduction. With
the agency out of business the manu-
facturers would be forced to come back
to the broker with his product, and at
his terms.
The reply of the manufacturer was
startling and decisive. He put on his
coat and walked out. He called a strike
on the broker. There was no parleying,
no offer to compromise-it was a walk
out. And it is claimed that those hither-
to outside the movement, Joined rapidly
until within ten days 90 per cent of the
straight shingle mills in Washington had
pulled the fires under their boilers. It
is claimed further that the great ma
iority of the combination mills are in
full sympathy with the movement and
are curtailing their output.
So it's war to the death and the knife
to the hit between the manufacturers
and the brokers. win the brokers win
as they have many times beforeY VIII
the manufacturers stick this time or
will some of them break the striker"
The manufacturers claim that if they
can eliminate the broker they can regu-
late production and set stable price
to the trade-a condition vastly better
for both mill man and weaver That's
probably true-if they can lick the brok-
ers.