The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1918-03-27
SALARIES PAID TO
RAILROAD MEN
By HOLLAND

we" 1ork, March 26.-(Spec1aL Sup
piementing the report which has come
from Washington intimating that sthe di-
rector general of the federalized railroad
system, Mr.. McAdoo, will place each
member of his new staff upon a salary
roll that calls for $4,000 year payment
for each come further hints that Mr..
McAdoo will, in due time and as speedily
as he can get to the matter, undertake
greatly to reduce salaries now paid the
railroad officers and, if it be possible, to
eliminated some of the Offices The sus-
picion has been strong that in some
cases favoritism, family prestige or pull,
have been utilized to place at desk
in railroad office at an excellent sal
airy someone who is really nothing more
than parasite! This is not true of the
operating departments of the railroads
of the United States. Possibly it may
be to some extent true of some of the
other departments For in these days
of intense railroad activity it has been
found vital to employ in the operating
departments men who have the ability.
energy and ambition thoroughly well to
meet the responsibility that is placed
upon them
The report comes from Washington that
no one of the new staff created by Mr.,
McAdoo was receiving while in the en-
ployment of the railroads from which he
came to Mr.. McAdoo less than $4,000 a
year and one, it is believed, was paid at
the rate of 100000 a year. Each of these
men was highly competent railroad op-
orator. Each of them was believed fully
to earn the salary paid to him and IL
they are to be. for time in the sery-
ice of the government at $4,000 year
each, they are relinquishing for patriotic
purposes emolumcnts of nearly twice that
amount and in one case more than double
that amount.
The great railroad leaders since Com
modore Vanderbilt's day have always
acted upon the principle that the la
borer is fully worthy OF his hire The
Commodore himself paid large salaries
for the time, but expected that the re-
cipients of them would, by their service,
earn for the company much more than
their salaries At one time the Commo-
dore discovered a station agent upon the
line Of the Erie railroad who had at
tracted attention to himself by his en-
ergy as well as skill in handling freight
traffic. The Commodore believed that
tie man was worth much more than he
was then getting. He therefore called
him into the service of the New York
Central, fixing the salary at $4,000 a
year. few weeks after this man had
been installed in the office of traffic
manager he ventured to step into the
Conrlodore's office and say to him that
there was a certain traffic problem
which had suddenly developed and that
he was in doubt about the best way to
solve it.
Clearly he wanted advice from the
Commodore. Instead of giving any adj
vice the Commodore said to him: What
is the New York Central paying you $780,
900 year for?" and the manager re-
piled that it was for service as general
direo tor of the freight movements. There
upon the Commodore said to him: You
don't suppose that I am going to earn
your salary for you, do your and the
young man went away not making any
answer, but he solved the problem HIM
self correctly and not again did he seek
the Commodore's advice or that of any,
one else in the management of his de-
partment. few years later his services
were SO valuable that promotion followed
until he became President James Butler
and he received a salary said to have
been $4,000 a year and he earned every
penny of it.
WORTH ANY SALARY
William H. Vanderbilt was greatly inn
pressed by the operating capacity of Mr..
Bliss, the executive head of the Boston
and Albany railroad. Vanderbilt spoke
with admiration of Mr.. Bliss achieve
ment In building a belt line around Bos-
ton and also of the model manner in
which Mr.. Bliss operated the line between
Albany and Boston, securing for 1t
great and profitable business. Therefore
Mr. Vanderbilt decided that 1t would not
be question of salary but of WILLINGNESS
on Mr.. Bliss part If the New York Gen.
trail could secure him as one of the chief
operating heads. He would gladly have
paid Mr.. Bliss $4,000. But no salary
would have tempted Mr.. Bliss to give up
the Boston and Albany because that was
sort of pet with him.
Jay Gould firmly believed that the la
bcrer was worthy of his hire. He was
generous, even munificent, in the pay
ment of salaries, looking only to results
If the recipient more than earned his
salary Mr. Gould was content. On the
other hand if the salary was not earned
Mr. Gould knew how to part company
with the employe. So also e. H. Harri-
man never stinted salaries but he ex-
pected that services rendered would be
a fair return for the salary paid and
that the investment of a large salary in
pa yInent for highly adequate services was
an excellent investment FOR the Union
Pacific. James J. Hill followed the same
rule. 1t is not a question of whether
SO, 900 or $4,000 is or is not an excessive |
salary for any man to earn but the is |
sue is simply this: Can a railway officer |
earn for his government sufficient gains |
to justify the payment to him of largo |
salary?
THE OTHER WAY
Sometimes it has happened that a di- |
position to ecohomize takes possession
" those who control large railroad sys-
Lems. There has been in recent years |
/ conspicuous case Of that kind The |
operating executives OF one Of the large /
systems Of the United States were highly