The commercial. (Union City, Tenn.) 190?-193?, 1919-10-10

turns l1cSc pIOptltlcS OfCA " ehO SA--
ployees on a practically perpetual
lease under a scheme of control in
which they fix the return to them
selves through their power over wa
gcs. to the complete exclusion of the
public interest, and under this
lease they accept no risk
of the business whatever.
That is borne entirely by the
Government, or, stated more fairly,
by the public. There is no provi-
sion for securing a fair rental for
the property, no effective control OF
rates by public authority, and the
control over wages lies in the hands
of a board that the employees would
directly control by two-thirds ma
jority, and completely control by
reason of political influence.
What the consequence may be OF
this class control over transportation
is forshadowed by the already liber-
al increases which labor has secured
through the Government control OF
railroads, and the large additional
advances labor is now seeking.
Since 1915 railroad labor has aver
aged wage increase of more than 80
per cent; more than $1,OOO,O0O,-
600 has been added to the wage roll
under Government direction, and de-
mands now lie before the Govern
ment authorities for increases ag-
gregating $500, O00, 900 more.
From the broad standpoint of pub
lie interest it seems so obvious as to
be beyond argument that the control
of this great service of transporta-
ton should remain in the hands OF
the public, and not be delegated to
any selfish class. That mistakes
have been made under previous sys-
tens of control, or lack of control,
constitutes no proper argument for
attempting this radical departure
from the assured bounds of exper-
fence.
No Wall Street DOGGY Involved.
We can brush aside the cheap
buncombe about 'watered stock
and "Wall Street conspiracies," for
whatever financial mistakes may
have been made or could be made
under existing conditions, nothing
that capital ever contemplated in
it's own interest has been half so
far-reaching as this proposal of la
Dor. OF course any student of rail-
road economics knows that railroad
stocks, taken as whole, are not wa
tered and actual railroad values are
hundreds of millions of dollars above
their capitalization and, further
more that railroad rates and operat-
ing expenses bear no relations what
ever to capitalization and have been
left entirely out of consideration by
the Interstate Commerce Commission.
Furthermore, any unprejudiced stu
dent of the situation knows well that
the attempt to stir up political sup
port by invoking Wall Street DOGGY
in the present situation is entirely un-
warranted; first because there is no
such DOGGY, and second, because 1t
would not be allowed to function If
1t did exist. This is pure case OF
"dust in the eyes," which ought not
to deceive the most casual reader.
This whole question of involving
Government credit in such finan-
cial experiment also takes on new
please, in view of the great public in
terest in Government finance through
the bond holdings of twenty million
buyers of Liberty Loan issues, who,
aside from their interest as citizens
in efficient transportation, have a
large stake in the situation, as it is
absolutely sure that more large
Government issues will bring de-
creased values to those already OUT
standing, and would involve hazard
GUS experiments in the Government
finance in which Government credi-
tors must suffer.