The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1917-08-22
NO FARE RAISE
NEEDED TO PAY
LIVING WAGES


That the traction company Ia
able 10 pay the Increased wages
demanded by its organized en-.
ployes without violating any OF
its franchise agreements was
clearly shown a, the all-day
hearing held at the Chamber OF
Commerce and Commercial
Club rooms by the public serv.
Ice commission, according 20
Cooperation Counsel Hugh Cald.
we'll. who ls fighting the at
tempt Of the company 10 do
away with the sale Of IS street
car tickets for 81. and c. a.
Reynolds, attorney for the
Amalaamated Street and Elee-
trio Railway Employees asso-
citation.
These facts were established
when Caldwell wrung from Chief
Counsel James II Howe. OF the trac-
ton company. the admission that
the company's gross receipts are on
the increase. due to the tremendous
Industrial growth OF the city.
Profits Increasing
W. II. McGrath. vice president. on
the witness stand admitted that the
company's earnings In June. 1917.
were $50, 900 greater than those In
June. 1916. and that this year the
fares collected were $500. 600 more
than In the similar period OF 1916.
Altho he will fight tooth and nail
before the board OF arbitration au.
thorixed IN the recent strike agree
ment 10 obtain living wage for the
company's 500 employees. Reynolds
Is convinced that the company II
able to pay the wage demanded
without raising fares.
Stock Wasered-Reynolds
The company Ia attempting TO
obtain return on millions OF dol.
lars OF fictitious values included in
its capitalization" declared Rcy-
nolds Wednesday.
III the company will produce the
books on which the valuation II
based. the commission viii SEQ for
itself that the abolition OF the %
tickets-for-si plan Is not necessary"
said Reynolds
The commission consented TO pro
duce its books for the commission.
but refused to show them TO the
city'A representatives Tuesday.
q. Reynolds declares that the true.
private books OF the corporation
were not meant when Attorney
Howe offered 10 present the com
mission with the valuation facts.
Refused Its Books
THE company refused 10 present
tie books in the fight before the
United States supreme court 10 have
the Alh line cars run to Pike 81. p"
said REYNOLDS. and II will not do Il
now. II n did. millions OF water
would be exposed"
Attempts made by Caldwell 10 pry
into the inner affairs OF the com.
pany we're met with strenuous OBJ
| lection at every turn. but despite
the evident unwillingness OF the Of
flcials TO testify as 10 tho methods
used in determining the liabilities
Of the company. Caldwell was able
to obtain several important admis-
sions.
Included Unpaid Sum
McGrath confessed that in com.
pillng the tax estimate OF the com.
pany. the per cent gross earnings
tax which the company has refused
TO pay the city. despite the iron-clad
franchise provision requiring Il. was
included I'm the tax estimate
I'm other words said Caldwell.
you figure the 2 per cent tax when
! II comes 10 boosting fares. but won't
concede II when 1t comes to paying
I TIT"
Howe tried to show that the com
pany was willing to pay the tax.
Yes" cut in Caldwell. you are
| willing to pay II the city will let
you out OF other franchise provis-
/ ions. and to pay II back II you are
able TO get n court decision releas-
/ ing you from payment"
( Howe admitted that the company
would not pay the $4,000 year
due until the court forced IL 10.
Hiding It's Figures
The real fight OF the session came
when the city attorney tried to get
the companys books into court.
! 1--WE will show certain figures to
( the commission, said Howe, "but
we will not show the city's represen-
tatives our books. The city is a
competitor OF ours"
You are willing to take the books
to the Judge in his chambers. but
! you won't come out into the open
I with your case?" sneered Caldwell.
Howe had nothing further to say.
Shortly after this Caldwell moved
that the testimony OF the witnesses.
so far as It was founded upon tho
evidence OF figures which the com
pany would not back up with proof.
be stricken.
The commission denied the mo-
ton, but gave the city tho right TO
submit brief al meeting Saturday
! Is show that the commission has no
Jurisdiction In the matter. and that
the facts do not warrant the In
! crease In rates.