Evening journal., 1921-06-20
MONDAY, JUNE 20, 1921
WHAT RAILWAY CAPITAL AND LABOR HAVE
RECEIVED.

rF1HE RAILWAY AGE shows in an editorial in its cur
n rent issue that the increase in the paid 10
railway employees from the year 1912 to 1920 2so times
great the increase in the amount OF interest and
dividends paid to the Of railway securities This
II says is conclusive to charges Of the railway
labor leaders that the present financial difficulties Of the
railways due dissipation their by nnan
cia mismanagement to in their payroll
The leaders Of the labor unions" says the Railway
Age will soon appearing before the Senate Committee
which is investigating the railroad situation They have
charged before Labor the troubles OF the
railways chiefly due TO financial mismanagemen-tha
the railways have issued excessive amounts Of securities
which largely fictitious. and have paid excessive
amounts OF interest and dividends on them Since the
labor leaders charge that the railway troubles due
to the fact that Railway Capital has been getting too
much OF the earnings OF the railways and that Railway
Labor has not been getting too much II is pertinent to
compare the amounts that they actually have been get
ting"
Every dollar that paid to Railway Capital is paid in
the Of interest and dividends The Senate Committee
has asked for data regarding developments Of all kinds
the railways from 1912 TO 1920 the year ended
June 30 1912 the total interest and dividends paid
si66O0O00. The average amount paid annually in the
years 1919 10 1912 inclusive s72O3OoOOO The total
amount OF interest and dividends paid in 1920 for which
year complete figures not available. probably was
slightly less. and certainly not more than in 1919
when s725s 10000 The increase in the total amount
paid in these eight years about sssOooOo, or ~
per cent
In 1919 the railways had i6i2di9 employees to whom
they paid sei0Oo0OoO in wages In 1920 they had p
oa9z employees 10 whom they paid ss7OoO0Oo0 in wages
increase in total during the period OF $500
10000 This 25 times great The increase which
occurred in the interest and dividends paid.
The total amount OF public service rendered by the
railways in 1920 carrying freight - per
than in 1912 and the amount OF public service rendered
in carrying passengers IS per cent For its part
10 rendering this increased 10 the public Railway
Capital received 4 per cent in interest and div
dends than 1912 while Railway Labor received 20 pei
cent The interest and dividends paid by the rail
roads include everything they paid 10 the securli,
whether derived from earnings or Government
guarantees Wherein do these facts indicate that rawa,
capital by dishonest manipulation etc. exploited bou
the public and the employees the labor leaders aege
The simple fact that the total interest and dividend
paid to the security Of The railways have
practically stn FOR years while an items Of their ex
penses have been greatly increasing while the profit
made In al other industries been increasing Will
the total production Of the country and in consequence
the demands made upon the railroads for transportation
have been Increasing. is quite sufficient to show why tn
railways physically and financially in the unsaiis
factory condition they are.
And most Of the above facts apply to greater or lesse
degree, TO the people OF the Delmarya Peninsula VIII
have interests in who the railroads.