The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-05-08

average labor cost in excess OF thirty
i've cents. during the war almost forty
cents: freighters IN i've year period,
thirty-nine cents five mills; tanlzers in .
two year war period, forty cents: pas
senger and cargo ships in an eight year
period, thirty-six cents dve mills, and
naval vessels in a four year period. thir-
ty-flye cents.
In Railroad Field.
The backbone OF industry is. OF course,
transportation. The appeals Of the rail-
roads to the United States Railway
Labor Board have been SO recent that
the public hasn't had time 10 forget that
OF every dollar the railroads spent for
operating expenses, from So to 81 cents
went to labor Locomotive fuel consumed
10.4 cents. materials and supplies ate up
25.3 cents. tax accruals absorbed f.6
cents, and it came out that the railroads
found themselves in the possession OF
one-tenth of one cent out OF every dol
lar. And that was to be devoted to bet
terments, reserves and surpluses
Charles NJ. Schwab recently declared
that "the labor cost OF making ton OF
steel is to-day eighty-fiye cents out OF
each dollar OF total costs"
A minute of connected thinking VII
convince any one that there IS little hope
OF n return to normal living or business
conditions until there 10 a reduction In
that item. The steel reports show that
Europe is delivering shapes and castings
In America Tor a price lower than 1t
costs the American mills to turn out
steel and iron.
Labor, exclusive OF clerical workers.
receives seventy-hve cents Of every dol
lar expended in the mining Of bituminous
coal, according to Charles A. Owen. pres
fdent of the Imperial Coal Company.
Labor charges in tho overhead would
add another Ave cents. he believes. and
from the remaining twenty cents are
taken the administrative expenses. sales
costs, cost OF materials--leascs or al
lowances for depletion--and profits.
And to this statement the National
Coal Association adds that Productions
costs vary, or course, in different mines
in the Same fields. but that in every one
OF them the labor charges arc repre-
scented by at least seventy cents in each
dollar 1t costs to mine the fuel.
Automobile Manufacture.
1t is possible only to approximate the
labor cost OF an automobile. But from
the largest manufacturers 1t IS learned
that It costs about $72 to build q motor
car that you purchase from dealer for
$1,000. Tho better car that costs you
$4,000 represents about $500 in wages at
the factory. This means the artisan
labor and not the labor OF others than
the actual mechanic making and assem-
bling the parts II all labor be included.
according to one manufacturer, about
twenty-five or thirty cents out OF every
dollar 1t costs to make that automobile
went to wages.
Generally speaking and striking gen.
eral average of costs In number OF fac
tories labor receives thirty-three cents
out Of every dollar 1t costs to manufac-
ture a piece OF furniture. OF course, 1t
Is impossible 10 be specific where prod
uct is so varied in so many respects. but
Bert w. Williams. president or the Fur
niture Manufacturers Association OF
Grand Rapids, says that usually u Is
estimated that the cost of labor Is about
one-third that Of manufacturing furni-
ture.
II your shoes are union made 1t is
a fact that between 90 and 80 cents out
of every dollar they cost to make went
into the pockets OF the worknen con-
tributing the labor to their making. Cen
orally speaking the cheaper the shof the
greater relative percentage of it's man
ufacturing cost went TO the worker who
turned 1t out.
The better quality the shoe is, the
finer the work required to mako 1t and
the more time 1t took to finish 1t the
more labor received for handling 1t.
But the fluctuation In tho labor cost
of the shoe is attributable to other fac
tors. 1t depends. for instance, on
whether the so-called manufactures is
mere assembler or 100 per cent. manu-
facturer who tans his own leather and
converts raw hides into finished foot
wear.