The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1919-08-26
President Postpones
Demands of Shopmen;
Adjustment Offered
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NJ III
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future in such way as to give to rail-
road employees an adequate compensa-
ton and liberal share in the returns
from railroad operation This is not
only justly due to the employees who
make possible the rendition of the serv-
ice, but it is obviously in the interest
of good service. 1t is true now and will
be true to a continually increasing ex-
tent in the future, that a state of con-
tentment on the part of the railroad
labor will be indispensable to efficient
railroad service and this contentment
cannot exist unless the evidence of fair
treatment is so clear that it will carry
conviction to the railroad employees
themselves"
In addition to the cents an hour
increase for most of the shopmen, the
director general ordered that all freight
car repairmen receive CT cents an hour,
instead of So cents. for steel car repair
ers, and IS cents for wooden car repair
ers, and that car inspectors should re-
ceive CT cents instead of So cents, with
the exception in both classes that the
increase for men employed at outlying
points, where the work Is not continue
Gus shall be cents an hour.
STATEMENT TO PUBLIC
The Presidents statement addressed to
the public follows:
MY fellow citizens: situation has
arisen in connection with the adminstra-
ton of the railroads which is of such
general significance that 1 think it my
duty to make a public statement con-
corning it, in order that the whole coun-
try may know what is involved.
THE railroad shopmen have demanded
a large increase in wages. They are now
receiving IS, 63 and 6S cents per hour,
They demand IS cents per hour This
demand has been given careful and Sc
rious consideration by the board which
was constituted by the railroad admin
istration to adjust questions of wages,
a board consisting of an equal number
of representatives of employees and of the
operating managers of the railroad com.
panies. This board has been unable to
come to an agreement, and it has there
fore devolved upon the director general
of railroads and myself to act upon the
merits of the case.
THE shopmen urge that they are en-
tiled to higher wages because of the
higher wages for the present received
by men doing similar work in ship yards.
navy yards and arsenals, as well as in
a number of private industries, but 1 con,
cur with the director general in think
ing that there is no real basis of com
parison between the settled employment
afforded mechanics by the railroads I'M
der living conditions as various as the
location and surroundings of the rail-
way shops themselves and the fluctuat-
ing employment afforded in industries
exceptionally and temporarily stimulated
by the war and located almost without
exception in industrial centers where the
cost of living is highest
PEAK Is REACHED
THE substantial argument which the
shopmen urge is the very serious in
crease in the cost of living. This is a
very potent argument, indeed But
the fact is that the cost of living has
certainly reached it's peak, and will
probably be lowered by the effects
which are now everywhere being con-
certed and carried out. 1t will GER
tainly be lowered as soon as there are
settled conditions of production and of
commerce; that is, as soon is the treaty
of peace is ratified and in operation,
and meIchants, manufacturers, farm
ers, miners all have a certain basis
of calculation as to what their business
will be and what the conditions will
be under which it must be conducted.
The demands of the shopmen, therefore,
and all similar demands. are in effect
this: That we make increase in
wages, which are likely to be perma-
nent, in order to meet temporary
situation which will last nobody can
certainly tell how long, but in all prob
ability only for limited time. Increase
in wages will, moreover, certainly re-
suit in still further increasing the
costs of production and, therefore, the
cost of living, and we should only have
to go through the same process again.
Any substantial increase of wages in
leading lines of industry at this time
would utterly crush the general cam
paign which the government is wag
ing. with energy, vigor and substantial
hope of success. to reduce the high
cost of living. And the increase in this
cost of transportation which would
necessarily result from increases in the
wages of railway employees would more
certainly and more imm ediately have
that effect than any other enhanced
wage costs. Only by keeping the cost
of production on it's present level, by
increasing production, and by rigid
economy and saving on the part of the
people can we hope for large de-
creases in the burdensome cost of
living which now weights US down.
PEOPLE MUST BEAR BURDEN
The director general of railroads
and 1 have felt that peculiar respon-
rests upon us because in de-
termining this question we are not
studying the balance sheets of corpora
lions, but in effect determining the
burden of taxation which must fall
upon the people of the country in gem
eral. We are acting, not for private
corporations. but in the name of the
government and the public, and must
assess our responsibility. for it is
neither wise nor feasible to take care
of increases in wages of the railroad
employees at this time by increase in
freight rates. 1t is impossible at this
time, until peace has come and normal
conditions are restored. to estimate what
the earning capacity of the railroads
will be when ordinary conditions re-
turn. There is no certain basis, there
fore, for calculating what the in
creases of freight rates should be and
it is necessary for the time being, at