The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-08-02
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rnerests accident would start turbu-
lcnee that might be fraught with grave
consequences for the entire country.
Palmer Q. Conference.
Attorney General Palmer was az the
White House for conference this
morning, and on leaving announced
the appointment Of the planning COM
nittee composed Of Director General
Hines. Commissioner Colver and As
sistant Secretary LeffngweH. Much
OF the work, IL n understood. has been
given to Mr.. Hines because Of the fact
that he raised the FIRST alarm on indus
trial conditions and offered the solu-
ton Of price reduction.
Later In the day after the Director
General had transmitted his recon-
the President had submitted them to
Congress Senator Cummins Uowa),
chairman Of the Senate Interstate
Commerce Committee. and Represen-
tative Each (Wis.), chairman Of the
HOUSE Intcrstate Commerce Commit
tee, held n lengthy conference. Upon
its conclusion II was announced that
immediate action would be taken In
regard to the recommendations on the
railroads. Tue committees Of both
houses are TO take up the recommen-
datfons at once and report the, legis-
iafion sought as quickly AZ possible.
The War and Post Once DEPART
mcnts are going ahead rapidly with
plans fou the distribution OF army food
at or near cost price. Postmaster
General Burieson conferred with the
President late to-day with respect to
the cost or living situation and the
railroad legislation urged He went
over with the President the legislative
phases involved.
Earlier Il was announced from the
White House that Julius o. Barnes.
Director OF the United States Wheat
Corporation. had been made member
OF the Cabinet conference on the cost
OF living, which met in the Attorney
Generals ONCE yesterday. Mr.. Barnes
VIII be in Washington Tuesday to at
tend the conference. which will pre-
cede the Cabinet meeting. At this
conference the Hines. Colver and Lef-
fngweii committee win submit It's in
ifisI report.
Many financial problems. international
as well a. domestic. are tied up In the
proposed wheat or bread subsidy. The
grain corporation has a billion dollars
90 make good the nations guarantee TO
the farmers Of n wheat price Of t2.2s
a busheI So far the price has been
sustained by heavy export shipments
keeping the American wheat surplus
down This wheat is being shipped to
Europe and Asiatic countries, some IL
not many Of which are unsettled Tne
United States 10 furnishing credits. II
- understood, TO finance the purchases
IL has been stated that these credits
~ best are long time ones and that
while the funds Of the grain corporation
have technically been kept intact through
sales and maintenance Of the wheat price
at par or above the guarantee that In
effect the United States Is putting out
this money. It 10 therefore proposed
in some quarters to stop heavy export
shipments and permit the law of supply
and demand to take It's course. the
Government making up to the farmer
the difference between the natural mar
ket price and the guaranteed price.
Seek toeCut Flear Price.
Advocates Of the plan say that as the
maintenance Of the wheat price IL cost
ing the Government money anyway. that
the money better had be used to lower
prices to the American people IN straight
subsidy.
Before The war the unlted States al
ways was a wheat exporting nation.
Normal exports were about 105.0o0. 900
bushels a year. Exports for the cur
rent year. II II said, win run $50. 600. 900
bushels, much of which 10 being forced
out through the use Of easy Government
credits to countries that otherwise cotfld
not pay for shipments. OF course under
such circumstances the countries getting
American wheat must pay the American
price and theoretically the grain corpo-
ration fund IL kept Intact because sales
are equal TO Or better than the guar
anteed price.
Dtrector-General Hines laid the entire
railroad wage situation before the
President to-day In his letter recon-
nlending a wage commission. He said /:
Several months ago the railroad shop
employees asked for an increase in
wages. The matter was considered by
the Railroad Administrators Board Of
Wages and Working Conditions, which
In composed OF three representatives Of
labor and three representatives Of the
railroad management. This board was
unable to agree, and therefore took no
action as n board. but on July Is I re-
ceived two reports from members OF the
board, one from the three labor members
Recommending a general increase in
wages. and another report
from the three management members
recommending against any general in
crease in wages. although recommending
certain readjustments Of the wages Of
some classes of the employees
Position of Labor Members.
The position Of the labor members Of
the board Is that the wages Of railroad
shopmen are substantially below the
wages paid similar classes Of employees
in the navy yards. arsenals and ship
yards and in many Industrial enterprises
in the principal cities of the country.
The position OF the management
members on the board Is that the
eSiy comparable with the wages Of nom
railroad employees cited by the employees
and their representatives And that
further wage increase at this time
would simply begin a new cycle in the
increased cost of living which would
not benefit the employees. They urge In
stead the adoption OF effective methods
OF reducing the cost Of living, but they
add that unless some action can be
taken within a reasonable time to an-
compllsh this result they see no alter
native but to continue the wage cycle
increases with corresponding increased
cycles OF living costs.
The earnest insistence that iTnmedi-
ate action be taken to equalize wages
with the rapid increase In the cost of
living Is not confined to the shop en-