Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1920-03-02
2, 1920
RAILWAY STATUS TODAY.

The railways of the country are
again in the hands of owners, but
in the delivery thereof the govern
ment was under the necessity of
upholding the hands of the COM
panies by some financial protec-
ton for awhile, since the lines were
turned back under conditions
which, had they existed under pri-
waite operation. would have caused
appointment Of receivers and
brought distress and inconven-
fence to business generally,
Government management of the
roads is a familiar story to the
people, who have had n long les
son in federal control. 1t is not
the purpose of this article to dis
cuss federal ownership, or to sup
port the contention of any faction
AS to what congress has done or
should have done. The fight be-
tween various railway interests and
organizations ana the political fea-
lures of controversies, have been
more or less confusing and mis-
leading
The measure that has come out
of the melting pot is compromise
there were eliminated certain
features opposed by labor, mainly
the attempt to prevent strikes.
Certain other provisions are far
short Of what organizations de-
sired and included are plans against
which protests were made.
1t is not at all what railway
owners desired They were not
unanimous in support of the Cum
minis bill or labor united on the
lGsch bill. The house and senate
bills were dissccted and parts of
each used after more or less trim
ming by conferecs and passed,
though satisfying neither the labor
organizations nor owners.
While labor bodies protested to
the president against signing, con-
ditions are such that immediate
resistance to the law by managers
or employees is not anticipated.
The bill does not interfere with
adjustments Of certain pending la
Dor claims, and the arbitration
plan to settle future trouble may
work out satisfactorily. Provi-
sions are made for any requisite
raises in rates and to prevent bank
ruptcy or any present compelling
reduction in wages.
From the explanation Of the
conference report on the railroad
lin given by Chairman Cummins
Of the senate committee, one is
enabled to gain clear conception
Of the changes from the house and
senate bills made by the conferees
a large part Of both measures had
n common purpose and differed
only in details which were COM
posed with little difficulty. They
related to the financial adjust
ments between the railroads and
the government, amendments to
the interstate commerce act such
as the car service section, the is
suance of securities, common use
of terminals, division of earnings
and joint rates, and so forth.
The first essential change was
the abandonment by the senate
conferees Of the transportation
board created in the senate bill.
In TIC compromise measure the
interstate commerce commission
viii continue to exercise all tho
authority for the regulation of the
roads. Its membership has been
increased TO eleven. and their sala-
ries raised to $4,000.
The senate representatives also
receded on the provision for the
federal Incorporation of existing
companies or original organization
under federal law.
The principle embodied in the
senate measure for the consolda-
ton of railroad companies into
comparatively small number Of
transportation systems has been re-
tained. The compulsory feature,
however, is omitted. The inter-
state commerce commission is to
formulate plans for such combina-
tons, to which voluntary consoli-
dations must conform. 1t is hoped
that the provision will go far to-
ward fairly sustaining all the roads
without giving any one of them an
excessive return upon it's value.
The senate provision for the di-
vision of excess earnings of some
roads among those less fortunate
has been retained, although the
language has been rewritten. The
period for which the commission
is to consider Y per cent as a
fair return is reduced from five
years in the senate bill to two
years in the conference report. or
earnings above 6 per cent, one-half
shall go TO the company and one
Dalf TO the government, instead Of
the divisions made in the senate
measure.
The drastic anti-strike feature of
the senate bill was abandoned by
the conferees in favor of providing
a means for hearing and impair
tally deciding disputes between
employers and employees A rail.
rsroad labor board is created, to be
composed of three members repre-
sentative of the employers, the en-
ployes. and the public, respectively.
Fhey are all to be appointed by tho
presiG2nt and confirmed by the
senate Disputes likely to inter-
rupt commerce are to be referred
1'--t.'