Denver labor bulletin., 1918-12-28
PAVING THE WAY FOR PUBLIC
OWNERSHIP OF THE RAILWAYS
BY CARL D. THOMPSON
Secretary Public Ownership League of America.

chargeS- tine net earnings OF the
railroads for 1876 were 81 OBS, PAL
S04.)
Some of US who are supposed to
have more faith in Uncle Sam than
the facts will warrant are little bit
anxious as to whether, giant that he
is, he is going to be able to handle
this task successfully.
Consider what this government had
to do. Suddenly plunged into world
war, we simply had to have an eff
cient transportation system. The ex-
isting system for half a century the
prey of profiteers was so crippled as
to be utterly inadequate. The gov
eminent puts in s900,000,000. And
we have a transportation system.
Again, the railroads cannot operate
without labor, and private manage
ment had so treated its workers that
they were at the point of revolt. The
government steps in, raises wages,
$500, 100000 a year and the problem
is solved. Again, the present own
ers, more than ever eager and clam
erous for their benefits and dividends,
and knowing that a war time is the
time to make great fortunes, demand
their railroad earnings. Private own
ership cannot guarantee thenl-the
government steps in and, 10, they are
there-S1 ,029 100000 year and
more. Everybody should be happy.
Everybody but the people who in the
final accounting must pay all the bills.
People Must Pay.
How about the people who in in
creased freight rates and increased
passenger rates which will be passed
on to the consuming public in in
creased prices, must pay all the bills =?
The people must pay the $500 ,000, 900
the government has advanced to the
roads. The people must pay the $780,
000, 900 a year increased wages TO the
workers. The people must pay the
81 ,029 100000 interest and dividends
which the government has guaran-
teed to the private owners. 1t is a
prodigious task. Will Uncle Sam
make good VIII the people or the
corporations win in this struggle2
Whether the government makes
good with this railroad problem de-
pends upon just one thing-and that
is whether the government finally Sc
cures the actual and permanent pub
lie ownership of the roads or not If
it does, it will have the means for
meeting all the obligations it has as
sumed. If it does not, it will have
incurred enormous financial burdens,
which It cannot meet IN any way eX-
cept by increased rates, which will
greatly increase tn epeole's burdens
rather than lessen them.
The advocates of public ownership
have always insisted and still insist
that the public ownership of railways
will enable US to pay better wages,
I give better service and reduce rates.
But we nave never argued that pub
lie control of railroads would do
I these things. No advocate of public
ownership ever argued or even
dreamed that the United States gov
ernment could take control of the
railroads. raise wages, vastly increase
the equipment and service, and keep
on paying a tremendous burden of
/ interest charges (unearned income)
and still reduce rates.
Yet the intelligent advocates of pub
lie ownership do not object to or op-
pose public control" On the con-
trary, they favor and support it. They
do so because under the circumstances
it is necessary and inevitable. Nor
do they oppose or even criticize the
present administration of the rail-