Pierre weekly free press. (Pierre, S.D.) 1889-19??, 1916-04-20
A STATEMENT ISSUED
BY RAILROAD EMPLOYEES

CleVeland, O.-ApFll lo.--l Inc lOl-
lowing statement has been issued by
the four Transportation Brotherhoods:
Opponents of the eight hour day
movement for railway freight train
are attempting to make capital
of the statement that "35 per cent
of all railway stock pays no dividends
Sympathy is desired for the poor
stockholder who might suffer a decrease
in his dividends it better working con-
ditions are granted to the wage earners
of the railways. 1t is a fallacy of
course, to think that the granting of
better hours will result in decrease in
dividends. but that is the argument
that is being put up by the railroads.
AS far as dividends are concerned
railway stock is in much better shape
than it ever was, and when it is assert
ed that 80 per cen of all railway stock
pays no dividends, it should also be
shown that in 1897 only 30 per cent of
all railway stock paid dividends, and in
1914, which was the last available fig
ures. 81 per cent of all railway stock
paid dividends. There has been a gra-
dual increase IN the per cent of dividend
paying stock since 1897 and this in spite
of the fact that there has been a large
increase in the amount of stock issued.
much of which represented no capital
investment whatever but was issued to
pay bonuses, commissions, ETC., given
to such financial manipulators as operat-
ed the New Haven, Frisco and Rock
Island deals.
1t should be remembered that in the
total amount of railroad stock outstand-
ing there is considerable that is not eX-
pected to pay dividends, such as switch
ing lines, belt line transfers, etc, which
are constructed only to facilitate the
handling of traffic in and around ter
minals.
Interstate Commerce Commission
statistics show that there has been an
increase over the period from 1897 to
1914, regardless of any increase in the
total volume Of stock-that there has
been a very large increase in the pro-
portion that pays dividends. These
statistics assume the total amount Of
stock to have been 10 per cent each
year, from 1897 to 1914, inclusive, and
they show what proportion of this
total for each year was dividend pay
ing stock, thus indicating the rela-
ton of the stock that paid dividends
to the total stock outstanding for
each year.
Thus, a more detailed examination
the official statistics of the Interstate
Commerce commission, as regards
the dividend and dividend paying
stock of the railways of the United
States does not give the impression
that the opponents of the eight hour
day movement are so DESTROYS of instil-
ling into the public mind.
To say that ''35 per cent of the rail
way stock paid no dividend" in 1914
does not, in the slightest degree, indi-
cate hat the stakeholder of American
railways has not Jared we'll with his in
vestment. On the contrary, it has been
conclusively proven that the condition
of this stakeholder has considerably
improved yer the period of years.
AS conclusively shown in statements
previously issued by the Interstate
Commerce commission the typical
stakeholder in American railways is
the railroad corporation itself, and not
the widows and orphans which the rail
way officials would try to have US be-
lieve owns the stock OF the railroads of
this country.