The labor journal. [volume] (Everett, Wash.) 1909-1976, 1921-02-18
r. R. WAGE CUT
TURNED DOWN

Chicago, ILL.,, Feb. 10.-Declaring
/ that they were holding the pass"
| against a concreted assault upon the
wage rights of two millions of their
fellow railroad workers, the two
thousand employees of the Atlanta,
Birmingham & Atlantic Railroad to-
| day presented their case before the
United States Railroad Labor Board.
The employees of this small, obscure
southern road were the shock alb
sorbers, it was stated, in the i'm
pending gigantic clash between the
arrangements of the country's rail-
roads as a whole and the workers,
and the wage reduction asked by
this road was denounced as a smoke
screen behind which railroad and
financial interests sought to con-
ceal their attack on railroad labor
organizations in an open shop cam
paign which was nothing more nor
less than an anti-union campaign.
Neither increased wages nor the
present business depression was re-
sponsible for the inability of the
Atlanta, Birmingham & Atlantic to
pay the wage rates fixed by the
Railroad Labor Board last July, it
was declared, but the financial con-
dition of the road was brought
about by years of gross mismanage-
ment and inefficiency, and there
has been no reduction in living costs
to justify any reduction whatever
in wages
w. S. Carter, president of the
Brotherhood of Locomotive Fire
men and E. P Curtis, for the Broth
erhood of Railroad Trainmen, pre-
scented the case for the employees.
Numerous exhibits prepared under
the supervision of w. Jet Lauck,
Of Washington, consulting economist
for the railroad labor organization,
were laid before the Board. Mr..
Lauck testified as to the data on
finances, l.. S. Trigg, of Washing
ton, presented the exhibits on pro-
ductive efficiency and labor costs,
and Arthur Sturgis, of Boston, was
the expert called on the cost of
living.
CAS- a final point in this contro-
versy,' said Mr.. Carter, in his state
ment to the Board, "it should be
borne in mind that even if the
wages of employees of the Atlanta,
Birmingham & Atlantic should be
reduced as proposed, the ultimate
financial condition of the property
will not be improved 1t is adj
mtted by the President, Mr. Pugg,
that the wage reduction which he
seeks will simply enable the road to
carry on operations in the hope that
with a revival of business prosperity
conditions will so improve that the
railroad may eventually retire some
Of it's outstanding obligations. The
present condition of the finances of
the road has been brought about
through years of inefficiency and
mismanagement, and it is presump-
tious to ask the employees to suf-
fer a wage reduction, not justified
by reduced living costs or changes
in other conditions upon which the
rates were based, in order that the
management may ultimately retire
bonds issued during the days of the
company's financial profligacy.
ut is unthinkable that the en-
ployees should be made to suffer be-
cause of the obvious financial jug
Cling and mismanagement, which is
proved conclusively by the data pre-
scented to this Board.
"The real causes of the present
deplOrable financial condition of the
road are not to be found in the in
creased wages of the employees,
nor even in the present temporary
business depression, which, it is
claimed, has curtailed the roads
earning power in spite of increased
rates. The insolvency of the At
lanta, Birmingham & Atlantic is an
inheritance from the days when the
building and the equipping of the
road were financially manipulated
between favored individuals and ia
vored corporations, such as the At
lantic & Birmingham Construction
Company; it is an inheritance from
the days of mismanagement by
friendly receivers; it is the mere
continuation of financial condition
that has existed since the inception
of the road To force upon the
workers the burden of maintaining
this bankrupt property's worthless
securities; to reduce the wages of
the employees merely for the pur-
pose Of giving the Old Colony Trust
Company, of Boston, another oppor-
tunity to 'reorganize' the road along
the same lines as prevailed during
the questionable receivership of
1909, would mean the infliction of
hardship and injustice too great
to bear"
The United States Railroad Labor
Board refused to reduce the wages