The Challis messenger. (Challis, Idaho) 1912-current, 1921-11-02
RATE OF RETURN EARNED BY RAIL
ROADS OF THE UNITED STATES
Oh THEIR PROPERTY IN.
VESImEMT

1910 J.1DIC |
1914 ................. Alto |
1915 .................... 1900 |
1916 (iscal yeal) 49,. 5000 |
i9lG (cllenddr Year) .......... Gigs |
1917 ................... $3.50 |
1918 Observation-Disclosures. 3.51Go |
1919 Observation-Disclosures. 1850 !
L9-o .................... U.3ZTo |
II will thus be noted that during the
years when other Industries were max
hg very large profits, when the prices
II farm products and the wages Of la
Jor We're soaring to unheard of heights,
he earnings upon railroad investment
II the United States were held within
,ery narrow limits and that they have
Turing the past four years progress
:ively declined.
Roads Handicapped More Than Other
Business
2. The railroads are respoi1aib to
he public for providing adequate
transportation. Their charges are fiE.-
ted By public authority, and they are
very large respects (notably for Ia
)or} compelled TO spend money Oh a
BASIS fixed by public authority. The
margin within which they are permit
ed to earn 4 return upon their invest
ment or to offer Inducements 70 attract
lev capital for extensions and better
nents is extremely limited. However
much the railroads might desire, there
fore, to reduce their charges in times
IF depressiJ IN, it will he perceived that
he limitations surrounding their action
10 not permit them 10 give effect TO
,road and elastic policies which might
rery properly govern other lines Of
business not thus restricted
1t has been urged upon the railroads
chat a reduction in rates will sti1Au-
late traffic and that increased traffic
will protect the carriers from the loss
Incident TO reduction in rates. The
railroad mana gements cannot disguise
from themselves that this suggestion
is merely conjectural and that an ad-
verse result of the experiment would
be disastrous not only to the railroads,
but TO the public, whose supreme need
| is adequate transportation.
Consequently the railroad manage
ments cannot feel justified in placing
these instrumentalities, so essential to
the public welfare, at the hazard of
such an experiment based solely upon
such a conjecture.
Farmers Especially Need Lower Rates
| 1t is evident, however. that existing
| transportation charges bear in many
cases q diSproportionate relationship
to the prices at which commodities can
he sold in the market and that existing
labor and other costs of transportation
! thus imposed upon industry and agri-
! culture generally are burden greater
than they should bear. This is especi-
ally true of agriculture. The railroad
managements are feeling sensitive to
and sympathetic with the distressing
situation and desire to do everything
to assist in relieving it that is compat-
ible with their duty to furnish the
/ transportation which She public must
have.
At the moment railroads in many
cases are paying 10 cents an hour for
| unsililled labor when similar labor is
working alongside the railroads and
can easily be obtained by them at 20
cents an hour. The railroads of the
| country paid in 1920 Il total of conSid-
erably over $780, 900, 900 to Unslilled
labor alone. However desirable it may
he to pay this or that schedule OF
wages. it is obvious that ii cannot be
paid ont of railroad earnings. unless
the industries which use the railroads
are capable of meeting such charges.
The railroads, and through them the
| people generally, are also hampered IN
their efforts 10 economize by 4 sched-
ule of working rules and conditions
now in force as Il heritage from the
period of federal control and upheld
by the re:lrnad labor hoard. These
conditions are expensive, uneconomic
and unneces airy from the point Of
view Of railroad operation and extreme
" hurdcnSo.ne mon tie public which
paws thu hi Tlif schedule Of wages
and Of working coma tons prevents lie
r.tlroal-r f~aa dealing equitably with
tnair labor Gusts in accordance vi p
rap'Gly e.a0~i in conditions and =
great variety ot local consideration
which ought TO control wages ia &
fy,cnt par.r Of ;'t2 country. Tho la...
r,g3S ate sgc,.'uc Ia have these ruiz
and working cord ems ahrogated.
The railroads r. Ii seek a reduction
in wages now proposed BY first re
auesting the sanction of the railroad
labor board. The railroads will pre-
coed with ali possible dispatch, and rs
soon as the railroad labor board shall
have given its assent to the reduction
of wages the general reduction in rates
Will be put into efteca.