St. Tammany farmer. [volume] (Covington, La.) 1874-current, 1920-10-23
A Letter of General Public Interest
and the Reply
The following correspondence is of vital interest to
telephone user, present and prospective:
OnanaIa.
Mr. sBsownF dt
prices "
uJ,
Atlanta, Ca. October Is. 1920.

Atlanta. Ca, October 16, 1920.
Mr..
New Orleans. La
Dear Sir
Your letter of October 18th asks a very nat
ural question, and one which demands full
and frank reply, which am glad to make.
While the prices Of great many things have,
apparently, been reduced, these reductions in
prices do not apply to articles used by the tele-
phone company affect the expenditures neceS-
sary in the construction, maintenance and opera
ton of the telephone plant
The following classes OF expenses constitute
than ninety-dve per cent Of the cost OF
furnishing telephone service:
More than hfty-dve per cent of the total ex-
pendttures OF the Company In rendering service
for wages and salaries; less than ons-teDth of
eral salaries
one per cent of this being for executive and gen.
The wages paid to our employees cannot, and
should not, be reduced. On the contrary they
must We increased in many cases, to bring our
wage scale on a level with wages paid by un-
regulated businesses, that we may retain our
skilled employees necessary to give you efficient
service
Material and Apparatus
Many items of material and apparatus are
involved in the current maintenance of the prop
erty, entirely apart from the enormous quanti-
ties involved in the construction of new prop
erty, and this representa- large item of ex-
pense There has been no reduction, nor any
Indication Of reduction, in the price of these
essential articles in practically all of which the
labor, freight and hauling cost Is by far the
largest proportion of the total cost.
We know that the manufacturers Of telephone
equipment and material have orders booked for
two years in advance, with constantly increas-
ing demand, and which in turn makes reduction
N price in the enar future most improbable. s,s
49, Frdight and Il Passenger ossatsr.s sAs s
of freight and passengers Is more than one mil
lion dollars. No one expects the Railroads to
reduce their charges undefsthe level ofsoests in
rendering their service leAsa!7F ;171- -
Rent 49,.
Except in the larger centers our central offices
and stocks of material housed in rented
buildings, and Gwen in the larger >centers rent
varying amounts OF properties.
Like every one else, our rents have been great
ly increased, with no prospect Of any reduction.
Even in pre-war days all leases for property oc-
cupied by ia were renewed only at higher charges
than for the previous rental period.
The board and lodging bill for our men. who
must travel In connection with the operation
and maintenance of the. property, costs many
thousands OF dollars every year, and we can
no prospect of the hotels lowering their charges.
Until they do we must pay the present high
charges. 20 Cas ezzzafs.s fgs 1t1.fgzn#-
Electric Power and Light Street CARY Fare.
We spend many thousands of dollars every
year for these services rendered I'd employees en-
gagged in the maintenance of the property Prac-
tically every year the rates charged by these
companies have been substantially increased, and
there is no thought OF any reduction. Thine Tele-
phone Company, like all others, must pay these
increased rates.
Paper, Printing and Stationery
We consume tons of paper for bookkeeping,
correspondence and directory purposes, and pay
many thousands Of dollars for printing annually.
This item OF expense has increased in percentage
more than the others, and no one has suggested
that any reduction in these costs is probable.
Coal Bill "a
The Telephone Company purchases coal IN
large quantities to heat the buildings occupied
by its employees in rendering the service.
We, of course must pay whatever price is
necessary to secure the coal for this purpose.
Insurance
Even where the actual rate per one thousand
dollars has not been increased, we compelled
to carry larger amount OF insurance than in
pre-war days in order to protect Ourselves in
the reproduction OF any of the property which
may be destroyed by fire, and this is reflected in \
a very large increase in the total insurance BILL