Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1916-08-15
Publishers Up Against It

Possibly there is no manufacturing
business in the United States so thor
oughly unionized and operated by union
men as the printing and publishing in
dustry. 1t is seldom, however. that
there Is any serious trouble between
employers and employees.
1t is the business of the publishers
to keep well posted on the general con-
dition of the country and the cost of
living. Printers or workmen in print
ing and publishing offices are of an in
telligent class and come into pretty
close contact with their employers. The
union demands of the printers and
allied trades have heretofore not been
out of proportion to the cost of living
and the general tendency to shorten
the hours of labor. The publishers, by
installing typesetting machines. auto
matte casting machines, fast-runnins
presses, etc, have been able to absorb
the increased cost of labor, which is
to-day just 100 per cent more than
1t was twenty six years ago, and those
who could increase their circulation
have been able to live. Few, however
haye grown rich. Three out of every
four have failed, but the proportion OF
failures among publishers is no greater
than in other lines.
The item of greatest expense in the
publishing business is the paper, which
is made mostly from spruce pine. Now
as a result OF combinations and the
conditions of the export trade, the pub
fishers of the country are called upon
to pay an advance of so per cent in
the price of their paper. over the past
year. No other commodity in the
United States or Canada has had a rise
of more than 10 or Is per cent, with
the exception of war materials The
cost nf nrn6nrinu bac oa5
vanced over per cent. during the past
two years.
How are the publishers going to alb
sorb this increase of so per cent. in the
cost OF their print paper? The cost OF
paper is usually 40 per cent. OF the
total cost of operating a newspaper
plant. Fifty per cent. of 40 per cent
is equal to a gross increase, in the
cost OF the whole business, of 20 per
cent. Heretofore few successful pub
fishers have made more than 3, or Z
per cent on the capital used. A 20
per cent. increase IN cost simply puts
them out of business. Only the old
strong papers will be able to live
through the next year
A Congressional investigation is now
on foot, but, like all these investiga
tions, IL will amount to nothing. There
is no relief in sight until six months
dllei liS war Closes Wnen foreign
pulp and paper will supply the foreign
market and the United States and
Canada will again have a shortage in
tonnage. In the meantime deaths" in
the publishing business will add to that
shortage and il will be mighty strong
combination or "gentlemen's agree
ment" that will hold when it will be
necessary for one-thIrd of the mills
in the United States and Canada to shut
down and for the others to make a
market price for paper lower than the
price when the war began.
The present profit on the manufac-
ture OF paper will pay the full cost OF
building and equipping any mill in the
United States during the next twelve
months. In fact, I know OF two paper
manufacturers who have cleaned ur
in the last six months a profit greater
than the amounts for which they were
willing to sell their whole property al
the start of the year
The general tendency among daily
newspaper publishers is to raise the
price per copy or subscription rates
1t is not likely that there will be any
change in the subscription price OF
weeklies.