Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-08-02
BILLION INCREASE
ASKED BY MEN
Crisis Brought to Nation by
Railroad Demands

Washington, Aug .. - The new
wage demands Of tn" railroad workers
involve a fresh labor crisis bearing not
only on the existing problem of federal
administration of TRANSFORMATION. but
unon tho entire fuan"inl structure Of
tho carriers and the ultimate issue Of
their return to their owners.
Experienced railroad executives.
looking upon the maze of now develop
mcnts in the railroad problem. were
unable to reach any other conc!u
Sion than III" above. and the elements
entering into their Wow a"o these:
Threat Of natin"- wihc strike on
/ January |. 1920. of 800 600 organized
rallr0nd emp owes to compel the preSi-
dent to keep the roads under govern
ment management.
A natiNn wide strike on October I
OF $50 600 trainmcn. led bv w. G..
Lee. of tho Brothcrhood of Trainmcn.
II the government docs not h"fnrc that
date make an increase of 500. 600 900
in tho trainmcn's wages. or compcl q
reduction in Che cost of living.
IN imm"dintc St"ike of $50 600 shop
men it thr government does not mako
n satisfactory ro0ly to the S21O 600 00N
wHEe demands Of these workers. Shoo-
men i'll the southeastern region began
their strike Yesterday,
Concerted effort of the more radical
, lenders I" 50 involve the national treas =
ury in railroad finances. through con %
tinuOus increases in wages, that it will
bc Impossible to restore the roads tn
private operation without brnring on
n financial napiC-thus parnllCling the
situation in Eng and, whore the govern E
ment has been compelled to retain con
troll of the lniIwayS to avert bankruptcy.
Dcmrnhs Include All Employees
| Demands from various groups of
railroad employees. that the government
must increase the general scale of
wages to enable them to meet the high
cost of living and that any increase to
one class of cmpIO"cS AUTOMATICALLY
opens n new cycle of wage Increase
that must extend to all cmp'Oycs. II
30 per cent is added to the shopmcn' >
wages then all employees will demand
20 per cent. This would mean another
E'lion dollars added to the payroll
which, iundcr government operation
has been increased from 81 - nNo '
t. &" "'n Non ONO. 1t is estimated that
a cent m hour increase in the wago
scale ie equal to so 600 O@N year.
/ a formal statement by Walker D.
the government wage board that it i.
IAN exceedingly grave question whether
! the government ought to enter unun q
course which will bring about large ad
! ditional increases in wages, and will in
! evltabiy bring about a very heavy in
crease in rates and without question sci
/ in motion new and dangerous cyr',
of increase in the cost of living. ant
which undoubtedly wi invo'vc in addi
ton tn" development of great addtionn
hostility toward the whole scheme o
government operation Of railroads. "
/ \ government railroad dc'irit for the
half year of more than S3O0. 600 .OOC
and an unotti ial statement of the di
rector general to the leaders of til,
/ b"othcrhoodS that the government ad
! mlnlstIation has no funds from which
TO meet further wage increases.
The railroad executives are deter
mind to obtain such rate advance. a.
are necessary to put the carriers on
''sclf supporting basis before the road;
are turned back to them for the very
obvious reason thHt it would bc rs fail
fo" the government to obtain such adj
Gitional revenues than i would for the
carriers t. get t'Iem from the Interstate
! Commerce. Commission. especially when
! rate advances of % per cent are held
| essential. on basis of current Oncrating
expenses, much less an additional bill
! lion dollars in wages to the brother
| hoods.
The new wage demands upon whirl
! hearings have been held by the rairoar
| administration reach total of 500.
| 600, 600, and other demands by othe
| classes of employees are likely to rrac!
| several hundred millions more. Til,
| pros pcrt that the aggregate will rCaCi
| 81 .OOO OO0. 600 thus dunlicating th