The New York herald., 1921-09-06
SALARY And WAGE
CUTS HIT MILLIONS
High Officials as Well as
Employees of Large In
dustries Are Affected.
HARDEST ON WORKERS
Third Reduction Is Made in
Pay of Street LabOrers
in One Year.
EXECUTIVES LOSE JOBS
HARDEST ON WORKERS
EXECUTIVES LOSE JOBS
Railroad Forces, From Presi-
dents to Office Boys, Feel
Economy Wave.

During the spring and summer
after the storm OF war. ordered wage
reductions and layoffs involving liter
ally millions of workers. In, many or
CARNATIONS the salaried men. including
executives, have been affected too. but
generally speaking they have not been
hit as hard as the employees classed
as wage earners.
A few large corporations. notably the
Pennsylvania Railroad. the General
Electric Company and the Interna-
tional Harvester Company, have
slashed, or announced that they would
slash, salaries from top to bottom. but
IL any great number OF corporations
have purposed doing this they have
not taken the public into their con-
fidence. Inquiry made by THE NEW
York HERALD in many cities Indicates
that although good many high
priced men have lost their jobs in the
shrinkage of business. and some OF
those retained have been kept at q
lower compensation. most Of the
hacking has been done where the
growth is thickest-at the lower end
of the payroll.
The Pennsylvania. among railroads,
took the initiative last March. when It
said that every officer and employee
from the president down--nearly 2l5-
000 persons in all--would suffer re-
duction This went into effect July !.
Tho extent or the officers reduction was
not made public but II was to CONFORM
with the cut OF wages or employees de-
terrined by the Railroad Labor board
and with, the declaration of the direc-
tors Of the road that it was fair and
proper that the burdens should be borne
by all officers as wei as employees
Among other roads which have an
nounced lowering Of officers salaries are
the Baltimore and Ohio. the Atlantic
Coast Line. the Chicago. Rock Island
and Pacific and the Erie.
Similarfy the international Harvester
Company. in framing its reduction pro-
gramne in March last. announced that
the cuts would affect EVERY one from
the president and other executives down
to the office boys The programme was
worked out on the principle that those
ing the war period should receive the
maximum cuts
Ten per cent less for all classes. in
cluding highest officers. Is decreed for
the General Electric Company, effective
November l. according to despatch
from Schenectady. The despatch says
that efficiency experts have been making
survey OF the organization and that
the retrenchment programme provides
for system Of monthly layoffs largely
affecting Office employees.
The pay OF the entire salaried force
of the American Smelling and Refining
Company was cut 90 per cent. on June
/. At the same time the company cut
wages between 80 and 40 per cent The
20 per cent. drop affected 1900 MEM
bers Of the executive force. whose an
nual salaries had amounted TO $780,
600 One OF these IL was said officially.
was President simon Guggenheim.
The United States Steel Corporation
i'm announcing to go into effect August
20 cut in day laborers' wages from 81
TO 80 cents an hour tthe third cut this
year) said that other wages and sal
aries would be "equitabiy adjusted"
The details OF this last adjustment have
not yet been made public. In June. how
ever, a few independent steel companies
decided to cut the pay Of officers Is per
cent A month earlier. on May /, off,
GERS as we'll as employees of the four
porphyry copper conlpanies--Utah. Ray
Consolidated, Chino and Nevada Consol-
idated-were included in a general 20
per cent. salary reduction.
THE NEW YORK HERALp's correspon-
dent at Duluth Mimi. teiegraphed yes
terday that the salaries of executives.
department heads and the clerical force
OF the oliver Mining Company and the
Minnesota Steel Company, both subsdi-
aries Of the United states Steel Corpora
ton, recently have been cut 10 per cent.