The Oskaloosa herald. (Oskaloosa, Mahaska County, Iowa) 1885-1919, 1914-02-26

their differences by strike rather than
by arbitration. That is a tremendous
economic loss.
But that does not end the loss. The
factories and railroads cannot go with
out coal merely because the mines
close down. Therefore, they must
have storage facilities. The factories
and the railroads are called the
steam users of coal. They take
on the average, about sixty per
cent. of the total coal production.
They use about 300,000,0O tons of
coal per year. If they merely store
one months supply, they must have
storage facilities for 25,000,000 tons.
That, at a moderate cost for storage
space of $500 per ton, means an out
lay of $lO0,O0O,000. To say that the
storage facilities of steam users has
cost the country s10O,000000 is put
ting it mildly.
Under ordinary circumstances this
steam coal for storage sells at an aV-
lerage of fifty cents ton above the
contract figures. For 2j,00O,00O tons
the increased price would mean an
outlay per annum of $12,500,0O0. The
interest on any money invested in
storage plants at six per cent would
be S6,OO0,000. The additional labor
cost OF handling that coal would cas-
lily be $2,500,000. Therefore to per.
nit the miners to settle their differ
ences by strike rather than by arbi-
tration costs the steam users, on an
average, $20,000,000 at every strike
period.
Some one has estimated that to
suspend operation costs the miners
$2.000,000 a month in wages. To sus-
pend Tor a month, therefore, increases
the cost of the months suspension
by $2000,O00. 1nfs seems to make
the cost of the suspension all out of
proportion to any possible benefit
which might be derived from it.
But that does not tell, by any
means, the total cost of suspension.
/ he coal operators are divided in
to two groups. 1he first group is
made up of the merchant producer,
who tries to conduct his business
without resorting to any gambling
feature as basis of profit He tries
to sell every ton OF coal at small
profit and be content herewith. The
second group comprises that portion
Of the trade which remains in the
coal business merely to take advan-
tage of the inOrdinate rise OF price
during the prestrike periods. The
latter concerns ale responsible Tor
the wasteful methods of production
because at other than pre-strike per
iods they try to get their profit by
selling cheap and skinning the mine,
These tactics determine that the
whole coal trade must be operated
at tremendous economic waste. 1t
is impO :sible to measure the de5truc'
tive influence of these small oper'
ators in dollars and cents. 1t is
known that the cost to the nation eX'
ceeds by far the total cost OF strike
to the operators, the steam users
and the miners combined. These
things should dictate against the mine
suspension and in favor of even COM
pulsory arbitration.
THE benefit to the operators and
miners of avoiding suspension would
be tremendous. 1t would lessen the
operators capital outlay. II would
give a slightly smaller number OF
miners full time instead of two-thirds
time. To have no suspension would
obviate the necessity that steam us
ers create storage piles. That would
stop one waste. There would no pre-
strike periods of boom to invite spec
ulative operators in the field. That
would quickly result in a reorgani'
zation of the coal trade upon a sound
merchandising basis. Also the miner
would continue steadily to work, and
would not be surrendering part OF his
earnings to the miners in competitive
fields. To have no strike would,
therefore. benefit the users, the pro-
ducers, and the workers In coal. II
would injure no one"