The evening Caledonian. [volume] (St. Johnsbury, Vt.) 1918-1920, 1919-03-04
Labor Wants to Try It

!
1t is unique because it is unpreci-
dented in the history Of orderly in
dustry, and yet which may not prove
so erratic as it looks on the face of
it, considering that none Of us seem
to know what ought to be done with
our country's transportation systems.
This is bid by the railroad men
of the country to take over the roads
and operate them, themselves.
If nobody else wants the railroads
the present owners seeming to be
as reluctant to resume complete oper-
alton and control as the Railroad Adj
ministration is to advise government
ownership, at least. for some time to
come-then the men who run the
trains are willing to assume the bur-
den. The idea of handing the rail-
roads over to the men who do the
work on them is called "Utopian" by
the Brooklyn Eagle, and is classified
by the New York Evening Sun as
simply one more contribution to the
gaiety of nations" But other editors
take the suggestion a little more Sc
riously, and the New York Globe is
inclined to think that at this time cit
is distinct gain when any group ap-
pears as candidate for a lease" of
our $18,000,000,000 worth of railroad
property. The railroad Brotherhood
men believe it would be distinct
gain for every one concerned to put
into operation a plan which, to quote
summary of their arguments before
the Senate Interstate Commerce
Committee appearing in a Washing
ton dispatch, would provide cheap
er financing, give stability of income
to security promote efficiency
of operation through sharing Of pro-
fits, remove railroad operation
from partizan politics, compose con-
fiicts between Federal and state au-
thorities, keep rates at a minimum,
eliminate complications in rate
schedules, and provide a means of
making communities benefiting by ex-
tensions pay for them.''
This plan, which seems so full of
promise to its sponsors, was drawn
up by the four big railroad Brother
hoods-engineers, fremen, conduc-
tors, and brakemen-and has been in
dorsed by the ten railway laborunions
affiliated with the American Fedora
ton of Labor. The idea, we gather
from the Washington dispatches, is
that the Government buy the rail-
roads. If it paid for them at the
$18,00O,000,000 book valuation, the
annual interest charge at five per
cent would be s9O0,000,O00, approx
mately what is now being paid as
annual rental for the use of the lines.
If it paid only the $12,000,000,0O0
which the spokesman of the Brother
hood consider fairer figure, an OPP
Grating income of $685., 900, 000-the
1918 fgure-would mean consider
able profit with interest charges at
100000, 900. But with either ar
rangement these practical railroad
men think they could run the roads at
a profit. They would have half of the
profits go into the National Treasury
and the other half divided among Off
Gals and employees on a pro-rata ba-
sis; any deficit would be met by in
creasing rates, or would be made up
by the Government. They would
have the roads operated as one sys-
tenn by an operating corporation,
which would hold in trust a revolving
fund of 100000, 900 for working cap
ital, to be administered by Board of
Directors representing officials, en-
ployees, and the public.
The fundamental argument for this
plan is that the wages paid to rail-
road labor are now S2,600,000,000 a
year, whereas interest and dividends
paid to security owners are only
$700,000,O00. The railroad workers
assert, therefore, that since labor's
interest in the railroad budget is sew
eral times greater than capitals, labor
has more right to demand control.
1t seems to the New York Globe
that "the experiment of managing the
railroads an huge cooperative basis
by the skilled men who work them
would be we'll. worth trying The
Globe feels certain that competent
managers could be found in the work
ers' ranks, and concludes that eff OPP
Grafton and ownership were joined,
and the benefits of savings accrued to
the operators, many savings would be
made"
But the New York Times finds
what it considers a strong argument
against the plan in its being mot re-
sponsible." That is, sit is not accom-
panied with any engagement on the
part of labor that it would invest its
lifesand toll in the enterprise" that
it would .'stand by the railways
through stress and storm as capital
investment must and is doing" Unless
labor is. willing to do. this, the propos-
al that it should hefsallowed to oper-
ate the railroads must be taken, The
Times concludes, ".as an example of
psychopathic confiagration rather
than as business plan"
The. press of the country will nat
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