The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1919-09-06
Plumb Plan Worse Than Socialism

to men here named in re Plumb plan
for railway organizations J. w. Nc
Donald, H. z. Wright, g. A. Stephen.
son, Patrick J. German. Fred Martin
(secretary) II. T. Hamilton, COMMITTEES
representing Stocking Valley Fedora
ton System No. 81, affiliated with rail-
way employees department of the
American Federation Of Labor, Column
bus, Ohio:
49, The Plumb plan has nothing
akin to 1t outside bolshevik Russia.
1t Is worse than socialism.
Socialism contemplates the public
ownership Of property to be controlled
and operated by the public for the
public The Plumb plan contemplates
the public ownership of the railroads
for a class. AS already stated, they
are to be taken over by purchase or
condemnation and paid for with the
cash or bonds Of the whole people, and
then turned over to the national rail-
way operating corporation, whose
board of directors shall consist of Is
men. 10 of whom shall be railroad
classified and official employees. AS
neither class of these employees will
have any stock, their interests will be
one and the some as against the pub
! lie. In other words $4,000, 600, 900
worth Of PROPERTY bought by money
belonging to 10000, 100000 people Is
to be turned over to 100000 railroad
men, representing, perhaps, including
their families, 100000.
| Does this seem to be for the benefit
of "the masses?"
! Mr. Plumb in his testimony before
the senate committee on interstate
commerce in February assumed that
| the capital invested amounted to S1S,.
666.000,000 approximately. In his tes-
! timony last week before the interstate
commerce committee of the house he
estimated that all the present owners
would get for their property is $4,000
100000. So, according to his own tes-
timony, Mr.. Plumb's plan, If enacted
into law. will substantially confiscate
$5,000,0 100000 worth Of property be
| longing to private owners.
And how Is he to pay for this prop
erty even at this reduced value?
| He tells the public that he will, by
his plan, save to the shippers of the
country large expense, in that these
bonds can be sold for 4 per cent.
The railroads earned during the
three years of government control
5.21 per cent. He does not say who
is to buy this perhaps $4,000. 600, 900
or s20,000,0 100000 worth of bonds. He
has not named the purchasers.
May l not remind You that during
the last Victory loan, by the best or.
ganized, nationwide campaign con-
Quoted by all the patriotic men,
women, and children of the county, we
sold less than seven billions Of bonds
at Az per cent. And if, when all the
patriotism of the country was back OF
! this campaign, it was SO difficult to
sell these bonds at par for AZ per
cent. will Mr. Plumb rise up and tell
us where he is going to sell $4,000,
100000 worth of bonds-probably the
real value of the roads-at per cent!
/ Ought you not to tell me how YOU
are going to sell these bonds when
you ask me to support this proposed
| Legislation?
Does 1t not occur to you, when not
only the whole nation but the whole
world is disturbed, industrially, econo
mically, and financially, that we had
better wait until normal conditions
are restored before beginning a
! scheme so revolutionary as that pro
posed in the Plumb plan, even il ii
were sound?
| And what would be the result If il
! fails?
( Invoking the principle of brotherhood
Ia name loye--do you not feel you
ought to be consistent, and while ask
| ing for this investment of the public
! finds for your benefit to likewise ask
/ for the benefit of a proportionally
equal amount of government funds for
every other business enterprise in the
| United States, and turn that over to
( the employees of those several enter
! prises?
| Does not the principle of fraternity
suggest this?
! And by the time we get through
with it there will be S240, 000,000,00 OF
government bonds issued and on the
market.
| My friends, this Plumb plan spells
/ ruin for beloved America.
! In the past few years good many
people have urged federal ownership
and control of the railroads, the tele
/ graphs, and the telephones. In view
| of recent experiences most of them
who have had no selfish purpose tc
serve have changed their views.
/ Government control of these utili
! ties has been so complete that il
does not differ materially from actua
government ownership, and there is
no such radical difference between
the present government control and
operation and that provided for in the
! Plumb plan as to warrant anyone in
saying that while the former has been
failure the latter will be success.
! From the standpoint Of operation
every user of the railroads, telegraphs
and telephones knows that the service
has been verse than during the pri
waite control, excepting only the con
dition of the railroads during the last
/ two months OF private control, which
was due to war conditions.
! And let me say word concerning
government control of railroads from
a financial standpoint.
You will remember that the in
creases in wages during the year 1915
were made retroactive. dating from
January /. 1913.