New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-08-28
Labor to Make
Its Own Inquiry
Into Big Banks
Sompers Orders Probe to
Ascertain What Is Being
Done With Deposits, and
Leaders Indorse Move
Method Remains Secret
Statement Charges Funds
Are Invested With Foes
of Organized Labor

u
ATLANTIC CITY. y. j., Aug. 27.--
Organized labor decided to-day to make
is own investigation of the big banks
md insurance companies Of the coun
Try. ito ascertain what these institu
lions are doing with the millions in
funds intrusted to their care by wage
.arners."
The investigation was ordered by the
executive council Of the American
Federation of Labor in session here at
he Hotel Ambassador. after Presiden.
Samuel l.. Gompers and other presi-
tents Of international unions had pre-
:ented arguments that funds paid 20
bank and insurance companies by work
srs were being invested in industries
which were foremost in reducing
wages, causing widespread unemploy
ment and promoting legislation UNI
favorable to labor Corporations
charged with denying labor the right to
collective bargaining were declared TO
DC especially favored by financial insti-
tutions that flourish on the savings de-
poslts OF wage earners.
Who is to conduct the Investigation
for the American Federation Of Labor
and how data are to be obtained from
the banks and insurance companies
was not divulged. 1t was not said
whether the identity Of the investiga-
tors ever would be divulged.
Dictated by Gompers
Virtually, the order for an investiga-
lion of financial institutions, together
with an analysis Of all laws under
which corporations operate, was die
tated by Mr.. Gompers. The president
Of the largest labor organization in the
world occupies q luxurious suite on the
ninth floor of the Hotel Am bassador
Hordes Of bel-hops and waters stand
ready to satisfy his every whim as,
CARRIED in palm beach suit, he sits in
commodious armchair and gazes on
the ocean. All the hotel employees re-
member that Mr.. Gompers a few days
ago declared it was no longer proper to
be surprised if q workman demanded
ice-cream for lunch and an automobile
to ride home in.
Therefore, it was no surprise to his
secretaries to-day, when Mr., Gompers
gave an order debating that all the
banks and insurance companies Of the
country should be investigated at once
After he had issued this order it was
promptly approved by the other labor
leaders, who formed the council.
AT the outset Mr.. Gompers said he
wished TO affirm that he had no
prejudice against corporations
"The executive council does not view
the granting of corporate charters for
the advancement Of our financial, COM
merclal and industrial interests as
governmental policy that should be
discouraged said Mr.. Gompers.
ITO the contrary. it is our firm con-
viction that much good has come to
civilization BY the approval of the
cooperative principles fundamentally
underlying the encouragement of cor
pOrate enterprises. Collective enter
prise has and does enable gigantic and
marvellous undertakings which are in
conceivable of accomplishment by in
dividual effort and individual enter
prise"
Collective Action Denied
After this preamble Mr. Gompers
cited various instances of what he
called an abuse of corporate interests
toward labor THE executive coun-
Gil" he said, "vews the arrogant atti-
tude and various practice Of large cor
porate industries of denying the wage
earners their right to collective action
and collective agreements for the sale
OF their service as unwarranted and un-
justified under the corporate charters
granted 10 them by the state. To deny
the wage earncrs the right Of group
decision and to force them to deal as
individuals with organizations Of capt
tai of vast magnitude is a perversi on,
misuse and abuse Of corporate power
and never contemplated in the original
conception underlying the granting OF
corporate charters.
To this end the executive council
proposes TO give attention to the de
vising OF plans b. which the group
rights of wage earners may be fully
recognized and adequately safeguarded
and SO that corporate interests NAV
no longer use their organized power
to deny right to organizations and
collective power to the wage earners
1.-THE executive council further pro
poses to investigate the methods used
by the banking institutions and in
surance npanies in the handling Of
funds intrusted to their care for in
vestment and safekeeping By the wage
earne1s OF our country. 1t intends
that the savings Of the workers shall
no longer be used to deprive them O;
their constitutional and economic
rights and opportunities"
Stories circulating to-day that the
American Federation Of Labor intended
20 establish system of moving pic
ture shows and newspapers and to la,
The foundation for national political
party were denied by Mr.. Gompers.
Il nf & Tnxvo~%, IN Hf.li.