Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1914-02-28
GENERAL REMARKS.


The mileage of the lines directly op-
Grated was increased 1908 miles, due
chiefly to the construction of various
branch lines to obtain additional traf-
fc, and the changes in the mileage
owned and operated under lease or as
agent are due to the absorption of the
Cambria and Clearfield Railway.
The total revenues from rail opera
tions exceed those of any previous year
in the history of the Company, being
6.1S per cent. greater than the revenues
in 1912, but a downward tendency oc-
CURED In the last two months of the
year.
While the revenues increased els
per. cent. the total expenses of Rail
Operations show an increase of S.96
per cent. compared with the previous
year.
The operating results of the year
1913 like those of 1912 were affected
by legislature such as the Extra Crew.
Laws and other expensive measures,
and by wage increases granted as the
result of arbitration under the Erdman
Act The Extra Crew Laws alone in
volved an expenditure by the Pennsyl-
vania Railroad System East of Pitts
burgh and Erie of $S50.000 in round
figures. and this will convey some con-
ception of the extent of the needless
expenditures that have been placed
upon all of the railroads in this terri
tory. During 1913 the conductors and
trainmen on forty-one of the railroads
in Eastern territory comprising about
100000 men, submitted request to the
wages, in which your Company and
others could not acquiesce. The mat
ter was finally submitted to arbitra-
tion, being the first wage controversy
to be settled under the new Federal
Law known as the Neewlands Act, with
the result that working conditions were
further restricted, and an increase in
wages was granted approXimating for
all railroads concerned, about S6,0O0,0O0
per annum or z per cent. This award
was made November 10th, 1913, effec;;
1cf hut ha iY1n Cnd
wages have not yet been paid as fur
ther interpretations of the award are
now being made and settlement will
follow. The expenses for the year 1914
will be increased approximately $780,
600. as the result of this award
1t is evident therefore that the abil-
dftions. and other heavy operating eX-
penses has, as the result of Federal
and State Legislation, largely passed
from the control of your Management,
pany and other railroads, to charge rea-
sonable rates for the public transpor-
tation service rendered The gravity
of the situation is indicated in the fol-
lowing quotation from the recent award
of the Board of Arbitration in the mat
ter of conductors and trainmen's
wages.
This Board has no authority to de-
termine the passenger and freight rates
to be paid in the Eastern Territory;
mns wbebe Is n sncs aS to d E
tilted, as matter of fact, by all of the
circumstances. This Board, however,
believes that it must make it's finding
as to what is a proper rate of pay to
be awarded to the conductors and
trainmen as result of this arbitration,
without an reference to the dilemma in
which the railroads are evidently
placed by the laws which make it i'm
possible for them to increase passenger
and freight rates without the authority
of the Interstate Commerce Commission
~ NJ tho Railroad (tnn1rni nisef of ba
various States. To take any other view
of the question would be to decide that
no increase of pay while the laws remain
as they are, can. ever be made except
voluntarily by the railroads. Such
decision would render arbitration like
this. valueless; and 1t would be in effect
to hold that railroad service in the
Eastern Territory must continue to be
rendered at existing rates of pay, even
though this were to condemn the en-
ployes of the railroad to work for
rates of pay which have been deter
mined by the most careful inquiry to
be inadequate. At the. present time
Territory more than three miles for
the value of a two-cent postage stamp.
This is the cheapest railroad service to
the shipper to be found on the face of
the globe. In the face of such a fact
1t would be unjust to say that railroad
employees must continue to be satisfied
only with what can be paid from
freight rates as low as this. The Inter-
state Commerce Commission, and not
this Arbitration Board has the duty of
determining whether the railroads can
earn in addition to their other charges,
without an increase of freight rates.
the rates of pay that this Board be-
1ieves to be due at the present time to
the conductors and trainmen, which
rates are embodied in the Award fol-
lowing"
1t is difficult to escape the conclusion
that some way must be found whereby
the serious but divided responsibility of
Governmental regulation of rates wages
and other railway matters shall either.
bc concentrated under one administra-