New-York tribune., 1919-08-08
Plumb Says Labor
Must Share Profit
Declares Workers Who
Hold Liberty Bonds Are
Entitled to Higher Rafe

WASHINGTON, Aug. 7-Before dis
cussing the principles underlying the
Sims bill Glenn f. Plumb spoke on be-
half Of labor as holders of Liberty
bonds before the Joint Committee on
Interstate Commerce o-day.
Twenty-Five million citizens ont of
patriotism contributed" he said. mot
only from past savings gsNbutefrequentlv
by mortgaging their future earnings.
twenty billion dollars to aid in the
prosecution Of the war
"On this contribution they are as
sured return of only 312 to i % per
cent. If they now see the government
OF that country which they love guaran-
tcelng SIX per cent returns on $40. .0OO.-
00O.00O Of railroad securities, of which
at least half IS fictitious if the Inter
state Commerce Commissions figures
on five small roads arc to be taken as
characteristic of the entire industry,
representing no service TO the public,
thereby depreciating their securities,
for which they paid par value, bv so
per cent, can YOU expect them to main
IAN that patriotic belief in their coun-
try which moved them to such sacrifice
in time Of it's need?
THESE wage earners, as bond hold
ers, together with the other individuals
m the community who have subscribed
to the Liberty loans, are closely scru-
tlnlzlng the course of events in Con-
gress on railroad matters with an intel
llgence equal to that of the banking
interests. We are deluged with in
qulres IN regard to this matter
Demands Fair Return
"Put yourself in the place of man
owning $4,000 worth of war bonds
which he purchased at par He notes
That there are pending before Congress-
many propositions whereby the public
is asked to guarantee, either in rates
per cent upon $4,000, goo, 900 of out
standing railway securities which now
have market value not exceeding
$l5,Qo0,00O, 1000. He hears it claimed
by those urging this guarantee that a
return OF not less than per cent will
place these securities at par and pro
VIDE a market where many seeking in
vestments can be induced to serve the
public IN return for the further issu-
ance OF such securities. Such a guaran-
tee viii mean an advance in value Of
lIom 0o000o,O00. their present
value, TO $4,000, ,O0O 900, their par
"Wo Would You not ask yourself what
effect this would have upon the bonds
which You held, on which The sam.
government had guaranteed only 2,s
to az per cent? Would you not be-
llove that such action merely trans
ferred from the market yaue of war
bonds TO tha market value of railroad
secuMtlcs SIX or seven billion dollars :?
would yoA not believe that your gov
ernmeNt bonds, II the desire of the
railroads and the financieYs was full
hiled. would be quoted at tho average
OF present railway securities while the
railway securities would be quoted at
the present market value OF govern
meNt bonds?
" rs committee nay suggest q sat
istactory answer to the question Of
these Liberty bond holders, but it
must be an answer that will be salts
factory to millions of widows and or
phans. to every life Insurance companv.
savings bank and trust company. and TO
every holder of these bonds who has
paid for them at par and who will not
witness their fallen values with any
sense o. satisfaction, or with any feel
ing that his sacrifices have been entirely
JUSTIFIED Tor the preservation Of the
government that could work such in
,4"t'S' LIS sehoc OF INJURY VA! also
be deepened, when he realizes that the
securities to which his value has been
transferred do not N every case-in
tact admittedly in many cases-repre-
sent an equivalent sacrifice by the one
TO whom they were initially issued.
lhe representatives OF railway Sc
curltles, the railway security holders
and the United States Chamber Of
commerce appearing before you have
ascertained that they speak for half
of the citizens Of the United States as
being interested in the value main
tanning the credit of railway securities.
BY what basis they reach this conclu-
sion l cannot tell But they assert
that savings banks, trust companies
and life insurance companieShave large