Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1917-03-06

the railroads from providing such additions and
betterments in advance of traffic demands, and
An Illuminating feature Of tbe railreas stnst;on
appears in the Interstate Commerce Commission
report OF December lst 1916 showing that for prac-
ieay ell the railroads in the country the average
freight revenue per ton mile has fallen from SO
mills in 1891 to 73 mills in 1915 decrease Of over
"a per Hent, notwithstanding the greatly increased
costs and higher standards entering into the trans
portSton service Another important statement
IN that report showed the return the Investment
IN Rosd and Equipment for the year ending June
5oth. 1915, 70 be slightly in excess of per cent
mat return Is great improvement compared with
preceding years. but it was earned in year when
the country was enjoying the greatest prosperity IN
its history. and when SO many of the industries.
which are free to hx their prices to meet market
conditions, were earning many times six per cent
The latter is healthy condition. beneficial to the
country ct large, but it is also one in which the
railroads which must pay the greatly increased
puces. wages and taxes, should be allowed to
participate through higher rates upon the COM
modify they sell viE transportation. Under the
tonal industrial activity. there should be no delay
in placing the railroads in the strongest financial
and physical condition.
RETURN ON INVESTMENT IN ROAD AND EQUIPMENT
While your Net Income for the year. after
deducting the sinking and other reserve fund
outstanding Capital Stock the return earned on
the total Investment in Road and Equipment
the Pennsylvania Railroad and lines directly
9Persted, and but SIS per cent on the System
East ana west OF FlttSb0FEh our COMPANY
maintained its dividend and earned . substantial
surplus but if it had not heretofore consistently
pursued the policy of investing its surplus above
reasonable dividends in the bettsrment of your
railroads and equipment instead Of providing
therefor through the issue OF additional bonds and
stock, the present dividends could not be main
tanned under the existing trathc rates.
TRAFFIC
Improved efficiency characterized the operation
during the year. IN both freight and passenger
traffic; The number OF tons increased is per cent
and the tonnage mileage increased Is per cent,
but largely by hesvier car loading the additional
tonnage and mileage required increase Of only
per cent. in train mileage. 1t is interesting TO
point out that the average train load has been
increased in the last ten years from $50 tons TO
$40 tons, or 81 per cent. The average revenue
per freight train mile increased per cent. but
heavier expenses and taxes absorbed the increase
and caused . slight decrease in net revenue per
freight train mile The average ton mile revenue
rsIevsa nnIs S VI sasn. ny eS eS' % sSan n islS esns
so per cent. of the average freight rates paid on
either the German French Roads in normal
years. and they have the additional advantage Of
much lower wages. taxes, and other opersting
costs
: The number of passengers increased IS per cent.
passenger mileage is per cent. passengers per car
l3 per cent. while passenger train mileage increased
only per cent .
TEE EroHr HopR Law.
The employees in the train service on most Of the
rsilrosds in the United States submitted demands
through their labor organisations for eight hour
basic day st the existing rates Of pay, and time and
one-haH payments for all overtime in freight and
yard service. Although many OF the men in the
train service do not work eight hours per day. this
reduction IN the tlDs constituting o basic work
day meant in eject uniustihsble increase OF pay
for most of these employees Conferences extending
over several months were held between the repre-
sentatives of the railroads and the trainrnan's
organizations, with the hope that by arbitration
in which the public would have been represented,
reasonable solution could be reached. for the
railroads felt that, compared with other employ
ment in and out of the railroad service, these men
literally treated, il not, in some cases, over
paid. The trainmen would not consent 70 arbitra-
tion or other investigation. and orders for striks