The labor world., 1920-10-09

LAS matter of fact the productionf
of railway service is matter of tech
nical skill, knowledge and ability.
These qualities are found only in men
Who have devoted their lives 90 actual
operation. or to a technical study of
the results Of past operations.
Experience of Labor.
THE two million men employc on
the railroads have devoted their lives
to this service. The twenty thousand
operating officials have proven their
ability by a lifetime Of experience, and
j. this group of men is found all the
technical knowledge, experience, abil-
ity and skill which the entire nation
possesses. 1t is to these men we have
entrusted the authority for dire citing
railway operations and responsibility
for exercising it.
"If the present condition of the
railroads is due to the experience and
ability Of the security owners to
whom we have heretofore entrusted
the management of the business,
surely we have received an object
lesson sufficiently convincing to war;
rant our reclaiming that trust and
through their lives have demonstrated
by their experience and ability that
they are worthy to be entrusted with
authority and responsibility for this
essential service to the public.
Afraid Of Labor.
"Mr. Harding charges that the prac-
tical effect of this plan would be that
the employees would fix their own
compensation. This is not a privileg ge
which we would care to exercise
We have, in our plan. left the fixing
of compensation to boards composed
equally of managers and employees,
giving to managing officials a double
interest in the savings so that there
could be no combination between Of
ficials and employees that would not
initiate against the self interest of
the officials
This is a detail of the plan and
not principle, and if in the provi-
Sons of this detail there is conferred
upon the employees a. privilege which
t: ey could exercise against he public
welfare, we will gladly accept any
nodificat ton which protects the public
against such Il privilege without con-
ferring upon the public like privi-
lege ct &*,ttrarily fixing the amount
Of compensated.
Incentive Stimulated.
senator Harding says: The new
management would have no special
incentive to make the roads efficie mt.
Yet, under the Plumb plan we give
to railway management a participa-
tion of their administration at twice
the rate Of dividend allowed to the
classified employees. The provision in
the Plumb plan Is every official en-
ploye receiving twice the rate Of divi-
dend that is given to the classified
employees
What incentive has management
today to promote the efficiency Of
the railways? Under the Cummins-
Esch law they cannot benefit per-
sonally through increased efficiency.
They are selected by a vote of the
stockholders, and t, the stockholders
go all the profits which their eff.
cheney produces in excess of the salary
paid them. Under lator's plan they
receive individually, year after year,
reward measured by their efficiency
as q special incentive to them to make
the roads efficient
Public Now Pays.
senator Harding says: The gov
ernment under the Plumb plan would.
call upon the public to pay the in
creased cost of operation In the form
of taxes. and to that extent would
j. Ct"ttnwed on page t,,o
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