Republican farmer., 1920-02-20
W dr Pay
 IIl Effect
 I'OSept. ]
To Stabilize Workers Wages Six Months Af- ter Return of Roads. OUTSTANDING
 POINTS OF BILL

Washington, Feb. 18-Wages established by the railroad ad- ministration during the war would continue in effect until September 1 under the rail- road reorganization bill, the conference report on which was presented today in the House and Senate.
 | Under the wage provision, the re- drafting of which created more sur prise in Congress than any other ] change made in compromising the Esch bill of the House and the Cum mins bill of the Senate, pay of rail- road workers would be stabilized at ter the rail properties are returned to l private control and operation. The 1 bill as reported today al seeks to stabilize rates for the same time, pro- viding that prior to September no rates may be reduced unelss approval of the I. c. c. is obtained.
 The restrictions on wage increases was looked upon with special interest by members of Congress, railroad of ficials and union leaders in view of the recent demands of the more than 1 two million railroad workers for an advance in pay.
 | Despite the expected opposition to the new wage section, Republican i leaders of both the House and Sen ate expressed belief that the con ference report would be adopted and 1 the bill sent to the president with little change.
 The outstanding points of the
 measure as finally agreed upon are: 1 Compulsory submission of labor dis | putes to a permanent federal board l appointed by the president and com posed of nine members equally divid-
 ed between the employees, employers | and the public. No provision is
 made for enforcing the boards decis- | ion.
 Adjustment of rates by the I. c. C.,
 so as to yield to carriers a return of 1-2 per cent. upon the aggregate l value of their property with another | half of one per cent. for improve l ments.
 Distribution of half of the net rail- way or erating income in excess of six per cent. of the property value, equal ly between the carriers reserve fund and the Federal railroad fund, which will be administered by the commis
 sion for the assistance of weaker roads.
 Government guarantee to railroads against a deficit during the first six
 months after the roads are turned
 back.
 Permissive consolidation of rail-
 roads in accordance with 8 general
 consolidation plan to be prepared by the I. c. c.
 Appropriation of $500, 900, 900 to be 1 $oI7 to make loans to carriers and pay claims growing out of Federal con l tro1. Unexpended funds now in the railroad administrations hand are also reappropriated for that purpose , and a appropriation of S50,000 for the
 Federal Labor Board is provided.
 As finally agreed upon, the labor
 section provides that ''It shall be the
 duty of all carriers and their officers,
 employees and agents to exert every
 reasonable effort and adopt every
 available means to avoid any inter
 ruption to the operation of any car
 Tier growing out of any dispute be-
 tween the carrier and the employees or
 subordinate officials"
 Such dispute, the bill provides,
 should, if possible, be decided by
 railway boards of labor adjustmen; established by agreement between l : pIoyes. No provision is provided } however, for their organization. } The bill directs the railroad board of labor appeals, which would be ap- , pointed by the President with the Senate's approval, and which would } have central offices in Chicago, to consider and decide cases either certi- fled to it by the lower boards or cases
 which the latter failed to hear. In Ia r-I Ir<1 11-1 9 the appeal boards own motion, if ii l is of the opinion that the dispute is ) likely substantially to interrupt com = merce.'' investigate conditions sur y rounding the dispute and make de- = cision. Such decision, however, under y the bill must be concurred in by al n least five members, one of whom must r be of the public group.
 t The rate making section of the bill
 stipulates that the interstate com . merce commission in establishing 0 rates which shall yield a return e equal to 1-2 per cent. of the aggre- y gate value of the carriers property = 'shalI give due consideration, among 1, other things, to the transportation e needs of the country and the neces- = sity, (under honest, efficient art = economical management of existing f transportation facilities), of en1arging - such facilities in order to provide the 1t people of the United States with ade' quate transportation
 1t The section further provides ''tha
 during the two years beginning
 March 1, 1920, the commission shal
 take as such fair return a sum equa
 to 1-2 per centum of such aggre
 gate value, but may, in it's discre J tion, add thereto a sum not exceeding | one-haIf of one per centum of sucl
 aggregate value to make provision e in whole or in part for improve e ments betterments or equipmen 1T which, according to ,, the f,a aoeountinl IS sion, are chargeable to capital ac s. count
 n, value of the property of the carrier ss for rate-making purposes is left tc the Commission with the provision
 that it shall give the property in n vestment account of the carriers. onl. d that consideration which it is entitled r to under the laws in establishing al values for rate making purposes
 receives for or7,