Evening star., 1919-03-09
RETURN OF ROADS
TO OWNERS URGED
Howard Elliott, Northern Pa
cific President, Contrasts
Federal and Private Control.
I'M FAVOR OF SUPERVISION

I, Cr3ICKGO March S-Earlv return Of
81. railroads 10 o71crdtion t% the con-
.pa ;cs which own them and the passa sc
20 constructive legislation to enable
sriva.a operation to be made successful
were advocate by Howard Elliott, pres
..G'ent OF The Northern Pacific Railway,
,a;l an address before the Commercial
,'S1uh of Chicago tonight,
e, Mr. Elliott presented some data Of
,s utrasts between tn" situation of the
7 ways under private and under gov
erumeut operation.
The Pennsylvania system" ne said
furnishes :. 10 per cent Of the total ton
= llease and 1fia per cent of the total
. ssenger mileage Of the steam roads OF
'nh.S country. on December 81. 19l7,
t'at system had 2a3, 500 employees and
80 December 81, 1918, it had 275.I0l
n nrloye=. Although the ton mileage
q andied in 1918 was less than in 1917
~ the railways being in The year 1917
iSnder private controD, nearly 10000
.n7ore employees were required y handie
lEhe smaller volume of business.
6, Effect of Federal Control.
~ These statements are roti made in
'n' iticism OF the railroad administration,
'rT of members a[ 1t. but sinlpIC to en-
.&hasize the Ioint that the system Of
igoVernmeGL operation is not productive
e: the best results. Witt the same
II TsliroadS a little cetter equipped, in 1918
Iitaan IN 1917, aIQ the same officers and
y en-. t'lt with CiIferegit sof ganizition and
" rec1ou, anG with the men working as
IN ri as human beings could work, and
" IN vast war power and freedom from
.SStftSltNr iaNS- government ,coRtrCl
sfdd hs effect Of reducing tfat tjreieSs-
Sflersy and individual initiative so I'M
snortart 10 the success of an enterprise.
pad the total output OF the railroads
iTas less than n-t9l7 ana was very
ID uch more costly TO TIE country.
q, l cannot believe that human nature
~ the art of government have de.
Ne!oped sufficiently to make govern
nent ownership and operation sue
cessful today. L do believe that en-
"afking on the. sea- of government
and operation involves a
RISK of shipwreck,s not only to the
{aiIroad system, Of the United States.
put TO some .sof the Fundamental
,iheories of American life and effott
@hlch have made us. a great nation.
/. la Opposes Regional Plan.
'DeheVe in the regional plan under
W hich all of the railroads in a given
.ferritory are to be merged into one
:: stem. the present great systems Of
lfaIlroads have been built up in the
ifst forty, fifty, even seventy years.
and they have developed along Ger
\, ll,al N lines and are now part, of the
W dustrial and financial structure of
ire nation
!, Small unsuccessful and weak
iines that are dependent upon their
nonrections with the great trunk
lines must gradually be absorbed and
Become a part Of the larger system
jTst as has been done in the mast
ItsSesulated competition, especially as
% .sefYtces should be continued be-
tween the great systems
W hat is called the labor question
ta- Of course. one of the most serious
asad difficult confronting the whole
World. the railroads in particular, and
mere must be a broad view of it and
* spirit of give and take BY all
masses of people All good citizens
desire to see wages and living coudi-
IONS improve, but there is a limit
. what commerce and industry can
nay and survive. 1t is surely better
- have reasonable wages and con-
Ftuous employment. rather than 10
1arce wages so high that Industry
AgUishes, for then the waee-ea y-T,e,...
themselves viii suffer most of all
Would Reduce Initiative.
have suggested that the govt
eSament guarantee fixed return
iron railroad property The railway
Executives believe that q guarautee
wonid tend TO reduce Initiative and
Tefarcr Efficient management. and they
DIG not ask for it Poorly located or
ItSwisely promoted or badly financed
+sads may have to reorganize or
merge with other roads.
Let the President continue the CEN
tsal orEaniaation in Washington un-
aSr a director general, who, with his
asaff, srr saupervise the whole situa
EoF, aJect policies and make those
s9qIs stnsepts with the railroads that
VII be REQUIRED after rovernmentsI
GoRtrol ceases. In other words saw
sa5he boards of directors and exect-
.te officers OF each company that
fEcTn and after a given date thew are
E5ake charge of their properties and
r-1nagei rf1aintain and operate them
EIF the account of the United States
ZIG as may be ordered BY the Presi
aen- through the central organiza-
sion"