The Washington herald., 1919-11-27

"On the oath inst.~I announced
that the public must not be asked
to pay more than it IL now pay
ing for coal, unless 1t Is neces-
sary to do so in ordeN to provide
reasonable wages to the mine
workers and a reasonable profit
TO the operators. Careful inves-
tiEation forces me to the conclu-
sion that. In accordance with this
and the other principles set forth
on the 24th inst. the public ought
not to be required to pay any in
crease In coal prices at this time.
THE prices fixed by the gov
ernment on coal were calculated
to iucrease production for war
purposes Coal was basic and the
increase in reduction was impera-
tive. The operators are now in
receipt OF margins which
were necessary to effect that in
crease of production. but which
are larger than are required un-
der present conditions. 1t was
estimated that the production
needed for 1918 was 600. 10000 tons.
The estimate for 1919 Is 500. .OC0.0 900
tons.
Applying the principles set
forth in paragraph of the state
ment of November "a when the
average increases in wages since
1913 for the various classes of
mine workers are deducted from
the increase in the cost OF living
since that time. We arrive at the
amount OF additional increase In
l1
time.
- Per Cent Increase Justified.
II have taken the figures OF the
Bureau of \ Labor Statistics for
both cost Of living and for the
weighted average of wage IN
creases. According to these fie-
ures the cost of living has risen
79.S per cent since 1918 ana the
amount necessary to bring the
average wages of mine workers
up to this point at the present
time Is IA per cent.
"Readjustments heretofore made
since 1913 ware such as to give
certain classes OF mine workers
an average increase In excess OF
the increase in the cost of liy-
ing, and certain others an aver
age increase below the increase
in the cost of living. This form
of adjustment was made in or
der to establish or preserve GER
tain relative bases in the mining
industry. I do not think this
condition. however, ought to re-
suit in giving to mine workers
as a whole, and in consequence"
imposing upon the public a total
average increase in excess OF the
total average increase in the cost
Of living, because II this course
he adopted the result would be
that the total increased burden
placed upon the mining Industry
will be far in excess of the in-
crease in the cost OF living. III
this principle were applied in
Industries generally It is obvious
that the resulting cost would be
passed alsng to the general pub
lie, and the increased wages
would increase in rapid spiral
taking as minimum the per-
Centage of increase in the cost
of living. In the long run this
would add many new and serious
burdens to the cost of living of
the entire public and would fall
more injuriously upon the work
ing classes than upon any others
Seeks Average Increase.
1T seems to me that the rea-
sonable way to deal with this
situation is to give to the in
S dustry as a whole an average
increase commensurate with the
increase in the cost of living
and then let that amount of in
crease be apportioned lin &C.
cordance with the wage bases
that are acceptable to the en-
pIoyers and the employees.
Control of prices by the gov
ernment will be maintained for
the present.
The present negotiation stands
by itself, but 1t is far from dis
posing of the fundamental contro-
versy between operators and mine
workers. That controversy Is
bound to be q continuing one as
matters now stand. It involves
living conditions and conditions in
the mines, as well as wages and
profits, and the general relation
between operators and mine work
ers. Therefore, to aid in applying
the principles which have govern
ed us and which should govern In
reaching conclusions in the future
it Is urged that Il permanent con-
sultative body, with purely advis'
ory powers, be set up consisting
Of the Secretary Of the Interior
as chairman and of an equal num-
Der of representatives Of the op-
orators and Of the mine workers
chosen in such manner as they
may each determine from time to
time. In order that the data neces-
sary for the consideration of this
consultative body may at all times
be available. 1t is urged that the
Congress make provision for col.
lecting definite and Trustworthy
information concerning the Goa
and coke industry and for the tab
ulation of the same In quarterly
reports showing:
Dnta and Statistics Needed.
ID Production, distribution, stor
age and stocks Of coal and coke:
(2 The cost OF production ant
distribution and of maintaining
suitable stocks. and any other
data concerning the industry
deemed necessary.
CD The cost of living in the sew
eral coal fields.
"a The selling prices and profits
obtained by the operators, middle.
men. and retail dealers:
= (6 Export requirements and t.;
conditions limiting them.
THE settlement OF the present
controversy on the wage and
price basis above indicated must
be considered In the light Of the