Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1915-01-19
Former Counsel for Money
Trust Probe Thinks Laws
Governing Great Founda-
lions Should Be Revised,
ABSENTEE CONTROL is
ATTACKED BY WITNESSES
Federal Labor Exchange SIM
liar to Those Conducted by
Germany Before War Be-
gan Are Advocated,


New York, Jan. iS.--Samuel untcr
myer OF New York, who was counsc
for the Pujo congressional committe,
which investigated the so-callet
money trust, and Robert w. Babson
of Wellesley Hills, Mass. statistician
were the two witnesses who testified
today at the opening session OF tn,
investigation OF the federal industrial
relations committee into great philan.
thropic organizations. namely.
The Rockefeller Carnegie. Sage
Cleveland (Ohio) and Baron dt
Hirsch Foundations.
Mr.. Untermyer contended that
while the philantropic foundations
were ably managed ana administered
the laws governing them should be
revised. He advocated federal char
ters, n limitation as 10 size, represen-
tations by federal trustees when the
present trustees begin TO retire and
prohibition against the accumula-
tion OF income
Unfair TO Workers.
Both witnesses assailed the "ab-
sentee controlr' exercised over many
OF the countrys leading Industries as
being not only unfair to the workers
but usually contrary to good business
practice.
Mr. Untermyer also asserted that
in his opinion the "illicit gathering OF
money In certain quarters had been
the direct cause of much poverty and
that nearly all the railroads and 9th
er great corporations were under the
complete control OF the banking in
terests which had reorganlzed them
after they had become insolvent. The
situation had narrowed down i'm rail-
read matters, he asserted. until all
questions regarding labor conditions
in connection with their operation
could be decided in one office. The
concentration OF power and capital
was grossly unfair to labor, he said !:
The witness then proposed that
there should be established federal
labor exchanges similar to those
which existed In Germany before the
war, compulsory state regulated in
surance against unemployment, sick
ness and accident and the enactment
of a law doing away with the voting
of proxies upon stock and making II
necessary for the stockholders them
selves 10 vote either in person or by
mail.
Calls Labor Commodity.
Mr. Babson, who snid II was his
opinion that labor was commodity
IKE copper and that wages were gov
erncd by the law Of supply and de-
mand, advocated the establishment Of
profit-sharing plans among tho en-
ployesfof large corporations or com
panios. lie said he believed u large
percentage Of labor trouble and social
unrest was caused by the plants be-
ing governed not by persons upon the
ground but by a board OF directors sit.
ting in an office building I'm some
other city, usually New York. Usu-
ally these directors, he asserted, were
nearly always representatives OF
banking houses which had financed
the corporations. In this connection
he discussed the affairs OF the Ameri-
can Wooden company. Capitalists, he
said, have no grudge against labor.
They simply are indifferent to it.
witnesses expected to appear to-
morrow are Ida NJ. Tarben, John
Mitchell. former president Of the
United Mine Workers Of America and
Representative David J. Lewis, Of
Maryland