New-York tribune., 1919-08-02
Doubts Presidents Right

f COQlU OOn be maze lHlEttNiNtt4N NttC-
tive.
Doubts Presidents Right
"Whle you may find it expodient to
use the temporary rate making power
which was conferred upon you as war
emergency during Federal control, to
/ prevent the continuance Of the deflclt
/ row being incurred, which grows OUT
/ of increases in wares and prices due to
the war, YOU would rot, in my opinion,
J be justified in regarding that rate max
! inr power as q sufficient warrant ior
making still additional increases in
rates for the purpose Of paying stll
! additional increases IN wages to be
/ established under existing peace condi-
/ sions and to be controlling as the wage
basis in the future.
"The question presented for an ad-
ditional increase in wages. whether the
/ total amount he %8Q0,000,O00 or any
proportion CT that sum, is peace time
/ question between the entire American
public on The ono hand and the 1000 0O0
/ railroad employees and the members OF
! their families on the other hand. 1t
is 2 question which I do not believe the
Executive ought TO undertake to decide
unless specific authority is conferred
upon HIM for the express purpose OF
deciding it,
made and arc so urgently pressed en-
phasizes the great necessity of having
for their decision legislation which
VIII rrovidc adequate machinery for
representing both the public and the
employees. Obviously any such ma
chinery should include a method where
by revenues VIII be provided to the
extent required to pay the increased
wages awardcd.
War Power Not Effective
"While the general powers implied
in the Federal control act werc sufii-
cient 20 admit OF taking as war meas
ures the necessary steps to deal with
the wage problems that arose during
the war they are not sufficient to salts
IS the requirement arising in csnnec-
ton with any present proposals for
general wage increases.
"Under the existing machinery the
ultimate public interest is exclusively
represented By the Railroad Admins
t1ation i'll the making Of wages but by
the Interstate Commerce Commission
in the final decision upon rates. Moro
over, the Railroad administration,
while thus charged with the final de-
c'sion IS to what wages are proper
as between the American public and
railroad labor, is also charged with the
responsibilities incident to the day to
day operation Of the railroads.
"On the one hand dccisiun by the
railroad administration against an in
crease in wages viii be regarded by
the employees as decision dictated
more by the immediate difficulties of
railroad management than by the broad
Interests Of the public as Il whole. On
the other hand a decision by the rail
road administration in favor of an in
crease in WAGES will not necessarily be
t.r, IL
Commission, which is now the final rep
resentative of the public as to trans
portation rates.
'To deal with these problems under
peacetime conditions there OUGHT te
be final and authoritative represon-
tation Of the public, whose decision
when in favor of q wage increase
would carry with it the obligation on
the part Of the final rate making power
TO prescribe rates which would furnish
the necessary funds with which to paw
the increased wages. 1t is obvious that
no wage increases could be put into
effect at the moment oxcept on the
theory that for several months they
would be paid By an appropriation of
: Congress, because even under the cx-
> isting machinery rate increases could
not actually be put into effect for q
: substantial period Undoubtedly any
j Srtt AiiSltetSNS VI = general CDOG0ClGI
ought at the present time to be con
sidered by the Interstate Commerce
Commission before they shall be put
into effect.
Conclusion Forced
The conclusion to which have
come has been forced upon me by
the recent developments above referred
to.
, "When announced last March the
increases IN wages for the employees
:, in train and engine service | stated
: that they completed the war cycle OF
, wage increases.
'When it developed in May and
| June that the continued pressure OF
the increase in the cost of living was
causing railroad employees generally t.
urge that they be given substantial
protection through further important
/ increases in wages if the cost OF living
S was not reduced, l realized that ths
, question was assuming such wide and
deep significance to the American pub
= lie as we'll as to railroad empolyes
5 that the question ought not to be dealt
with in the same way in which the rail
road wages had been increased in CON
nection with the war emergency.
/ therefore advised the Board of Rail.
a read Wages and. Working Conditions
on July that they could not regard
: themselves IS vested with jurisdiction
to formulate and recommend further
: general wage increases to be made by
$ me, but that in all cases thereafter
arising they should report the facts tc
. lne that might decide in the light OF
the facts upcn a fair and just pro
, cedure.
"Iho receipt Of the observations oi
the members Of the board with refer
ence to the shop employees, the hear
t ings now in progress before the board
with reference to the brotherhood OF
T Railroad Trainmen, the conferences
have had in the last three days with
the representatives of the shop en-
ployes and the conferences which my
! associates and ! have been having re-