The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1915-03-02
In the West D eclares Grand
Chief Enginee Of Broth
hood FFof Engineers.
t1y1AaTocIArEafrks4&I II
CACiO Mar. 9 Warren

4aa CHICAGO, Mar. Warren R 81
Stone, grand chief engine sof the.
or locomotive Engineers
today submitted to the board OF arbi-i
itration which is hearing the western
railroad wage case, statement in rel
fhuttal Ito the testfmonygsof the rail-
road managers lin I'M hich he charged;
that the issuance OF fictitious securi-.
ties had absorbed past, present and
future revenue gains of the western.
railroads, and that there is no hops
fer the railroad employees to secure an
equitable participation in the fruits
OF their labor SO long as the present.
financial control and administration
OF the railroads is unregulated.'
Mr.. Stone pointed out. that the en-;
sployes' Organizations found economic
justice for their demand for increased
wages in the productive efficiency Of
their work. but that the constant con-
tention OF the railroads in reply to-
this argument was thattrevenue gains
arising from increased productive
efficiency were absorbed by increased.
operating costs and by the payment Of
interest charges on additional capital
Investments. which have been incurred
in the attempt to develop greater
efficiency in operation. and because OF
public demand as to safety and quail
ity%of service 9
H39 cit is now our purpose to disclose
that any decline in operating or net
income has not been due to the causes
set forth by the railroads. said Mr.
Stone. Statistics already read into.
the testimony by the employees had
shown. he said. the remarkable gains
in railroad revenue and the amount
available for the increased compen-
sation Of labor. "a
I've shall show he continues,
that the constant tendency mas been
for those in financial control of the
railroads to absorb revenue gains
arising from increased productive
efficiency by the issuance Of fictitious
securities; that the productive effic-s
iency Of the men working today, the
operating officials as well as the enl-t
ployes, had already been hypothecated
and capitalized before we were born;
that measures have already been
taken by. the issuance of fictitious cap
ita1ization to absorb the increased
work and productive efficiency of our
children and our children children;
and that there is on hope for the en-
sineer and fireman and other classes
of railroad employees to secure. an
equitable participa ton in the fruits
of their work SO long as the present
financial control and administration.
of the railroads is unregulated In
other words. that any advances which
the employees have been able to obtain
in wages OF earnings have been Of no
financial significance as compared
with the indefensible absorption OF
operating gains by the Ilancial n1an-
iagement OF western railroads.
Finally, we shall show that II
gains from past productive efficiency
had been properly conserved and ad>
ministered. enormous advances could
be granted to all classes OF railroad
employees. both organized and unor-
ganized, without prejudice to the in
terests Of the owners OF the property,
and the financial status OF western
railroads today from the investors
standpoint would be all that could be.
desired. is$
1.-THE points we shall submit in this
connection are:
First, That the proceeds from the.
munifcient grants Of land made by
the federal and state governments to
assist in the building Of western rail-.