New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-11-05
Labor Problem
Upsets Economic
Basis Of Trade
English Writer Tells Of lmpor-
tant Industrial Changes
Due to War


Shortage Of labor due TO the war is a
problem being widely discussed among
the economists of this country and
England. Man power 10 operate basic
industries is insufficient, and the COM
petition for labor is forcing wages
steadily higher, and, in turn. producing
unrest in various lines. One of the
graves. features Of the situation is
that the competition for labor In
creases costs without increasing pro-
duction. Payment of extraordinary
wages will attract labor to war indus
tries, but if it is drawn from the
mires, the railroads and the farms war
work in those fields is likely to suffer.
The problem may be solved by the con-
scription of labor for government work
and the elimination for the period OF
the war of non-essential industries.
In the United States the war labor
problem is still in its infancy, because
the country has not been in the. con-
fict long enough to feel the full effects
of the readjustment of labor and cap
ital to the changed conditions. From
the experiences II England, however,
it is possible TO draw many interest
ing and highly important differences as
to what may be expected to happen
here II the war continues for any
length of time.
Recently a labor writer In "The Lon
don Daily Telegraph discussed at
considerable length the labor problem
-
disquieting feature of the industrial
situation in England, he said, was the
suspension fer the duration OF the war
tinuing. he said:
shipbuilding, engineering as applied to
the manufacture of munitions are all
state-controlled. and directed and
supervised by a whole army of officials.
The system has it's advantages; indeed,
it would have been impossible to have
continued on the old lines. but it has
also grave disadvantages.
ain the early days of the war there
was serious disturbance of industrial
activity. The outlook was uncertain;
the ordinary current of international
trade had been rudely severed; there
was a good deal of temporary unem-
ployment, and for short time prices
dropped, in some cases heavily. &.
Prices Rise Rapidly
"Then came the enormous demand on
production for the purposes OF the war.
In analyzing the movement of wages
and prices under the stimulus of this
demand one must always keep steadily
in view that it is expenditure for the
purposes of destruction and not of con-
struction, and that from day TO day 1t is
piling up a burden of debt which can
only be carried in the future by inf
mite effort and sacrifice on the part Of
all the peoples involved in this titanic
struggle. Helped by the stimulus OF an
enormous demand, prices of those COM
modities required for the successful
prosecution of the war-shipping tran
sit, food. coal, clothing, munitions-be-
gan to rise rapidly in value.
"The customary results OF boom
followed. Owners Of ships, manufact-
urers Of munitions and clothing, deal
ers in foodstuffs pocketed their larger
profits with acrity, and with little or
no consideration for those others who
were rot in the same favored position.
The workers in those industries natu-
rally turned for compen alton against
high prices Of food in the shape of
higher wages. From that day onward
prices and wages have been moving in
o. vicious circle. Each rise in price OF
commodities has been followed by
demand for higher wages.
1.-THE policy OF the workers has been