The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-08-02

wages II the cost Of living was not re-
duced I realized that the question was
assuming such wide and deep signin-
canoe TO the American public as well as
to the railroad employees that the dues-
ton ought not to be dealt with IN the
same way in which the railroad wares
had been Increased In connection with
the war emergency. / therefore advised
the board CT railroad wages and working
conditions on July that they could not
regard themselves as vested with turts-
diction TO formulate and recommend fur
Their general wage increases to be made
by me, but that in all cases thereafter
arising they should report the facts TO
me that / might decide In the light OF
the facts upon = fair and Just pro-
cedure. -.
II feel that the Developments have
now reached the point where the situa-
ton has taken sufficiently concrete
form to serve as the basis for a positive
recommendation.
Conversational Ala Asked.
81 therefore respectfully recommend
that Congress be asked promptly to
adopt legislation providing Troperly
constituted body on which the pubic
end labor will be adequately represented
srd ghich will be empowered to pass on
these and all railroad wage problems.
but not on rules and working conditions
Cbecause the latter cannot be satisfae-
torily separated from the current hand
ling Of railroad operations and there
fore should continue to be dealt WIN oy
the Railroad Administration such leg
islatior should also provide that X wage
increases shall be decided upon II shan
he mandatory upon the rate making
body to provide where necessary m
creased rates TO take care OF tine re-
quitting increases In the cost OF operating
the railroads
.s.I do not think that we can properly
asa, =..h thi. great problem without
fun recognition Of the fact that the cos,
OF living is rapidly rising and thar every
month that passes promises 10 impair
still further the purchasing power OF tAs
existing wages Of railroad employees IN
less the rise in the cost of Twins can De
.uccsssf,,lIy restrained (as earnestly
hone in the general public interest II
can speedily bel. therefore further
recommend that Congress be asked 10
proyide in any such legislation that any
increases in railroad wages which may
b made by the tribunal constituted Tor
that nurpose shall be made effective as
Of August 1, 1918, to such extent as that
tribunal may regard reasonable ana
proper in order TO give railroad en-
ployees from that date the beneft which
the tribunal may think they were then
entitled to.
.aThis way the delay necessarily in
ctasnt 70 the creation OF such tribunal
and its action will not be pretudicial TO
the fair. interests OF the railroad en-
ployees,"
mittee chairmen said
~ take the liberty of enclosing a copy
NJ a letter which I have Just received
from walker d. Hines. the Director
General of Railroads. and which l am
sure you viii agree with me In thinking
contains matter for very serious thought
and for action also.
May I not say that ! concur IN the
suaesstions which Mr.. Hines makes In
the two concluding paragraphs Of his
letter. hope that II win be possible
for your committee to consider and rec
ournend legislation which will provide
body Of the proper constitution author
lied to investigate and determine all
questions concerning the wages Of rail-
way employees and which will also make
the decisions Of that body mandatory
mon the ratemaking body and provide.
when necessary, Increased rates to cover
any recommended increases In wages
and therefore, in the cost OF operating
the railroads. In view also OF the IN
disputable facts with regard to the In
creased cost OF living ! concur In Mr..
Illness suggestion that the legislation
undertaken should authorize the body
thus set up to make its findings with
regard to wage increases retroactive TO
August 1, 1918. at any rate to the extent
that that tribunal may regard reason
able and proper, in order to give relief
to the employees concerned.
II need not. am sure. urge upon you
the Importance of this matter. which
seems vital from more than one point
OF view, and I hope that you will think
this form Of action the proper and nee
essary one"
! The extent OF the labor crisis facing
the Railroad Administration IL indicated
by the following developments OF the
last few days:
a.. whisperinEs Of a nationwide
strike on January 1, 1920. Of 1900. 900
organized railroad employees to compel
the President to keep the roads under
Government>managem
(2) nation wide strike on October
Of 400 tralnmen. led by w. @. Lee
Of the Brotherhood Of Trainmen. II the
Government does not before that date
make an increase OF 800 00O. 900 in
the trainmen's wages. or force a redlc-
ton in the cost OF living.
ca An early strike OF $4,000 shop
men II the Government does not make a
satisfactory reply to the $40. 600. 900
wage demands Of these workers
4. Evidences OF efforts by the more
radical leaders to so involve the national
treasury In railroad finances through
continuous increases In wages that II
will be impossible to restore the roads
to private operation without bringing on
a financial panic. thus paraIleling the
situation in England. where the Govern
ment has been compelled to retain con-
troll OF the railways TO avert bankruptcy.
S. Demands from various groups OF
railroad employees that the Government
must increase the general scale of wages
10 enable them TO meet the high cost of
living. and that any increase TO one clasl
OF employees automatically opens a new
circle OF wage increases that must ex-
tend to all employees II IS per cent. Is
added to the shipments wages then ali
employees will demand IS per cent. This
would mean another billion dollars added
70 the pay roll. which. under Government