The labor journal. [volume] (Everett, Wash.) 1909-1976, 1921-07-15
RAILROAD WAGES
REDUCTION BLOW
TO AGRICULTURE

wages have come down 100000.
coo. Freight rates have not come
down.
What does this mean? $4O0,OO0,-
600 have been taken from the
farmers customers, the two million
people who are directly involved in
railroads operation and given to
the stockholders of the railroads.
The Interstate Commerce Com
mission showed that 1901 stock
holders hold about one-half of the
total stock of the chief railroads
This isn't all. The railroads are
planning another reduction in
wages of $ZO0,0O0,0 900 to $40O,000,-
900. We mustn't fool ourselves
there is not to be any reduction in
freight rates if the railroads can
help it. Wall Street has decreed
this and Wall Street jammed the
Inlquitous Gu m m n = E sch law
through Congress-a law which in
creased freight rates and put agri-
culture flat on its back. Unques-
tionably out of the millions of en-
ployees of the railroads a very
few were receiving too high wages
or didn't give full service. But is
that any reason why all railroad
employees wages should be reduc-
ed by merely a billion dollars, as
is planned over one-fourth of the
total wages in 1920?
This is the plan of the railroads
Trainmen and conductors get from
HaU the
and most of them have to keep a
room and lay for their board at
the other end of the line from then
home. Farmers ask per diem
when they attend farmers meet
ings, of $500 to $500. Can con-
ductor or train man or engineer
pay that per diem even three days
a week and have much left to sup
port his family?
The aRilway Employees are the
Farmers best customers. Two NIL
lion persons are directly employed
by the railroads. Multiply this by
five for the average family and you
nave l0,O00,0O0 people including
dependents on the railroads en-
ployes; about 10 per cent of the
population. At least as many more
people are directly affected by rail
road conditions through indirect
employment.
Railroad employees buy food and
clothing first. Reducing their wages
by total of billion dollars
which the railroads contemplate
would reduce the purchasing power
of at least 10 per cent of the
American people for farm products
by at least 25 per cent. Railroad
employees families use easily IL
per cent of the 6,00O,OOO bales OF
cotton consumed in this country. dc
the cotton growers want the de-
mand for cotton reduced by l5O,-
900 bales? The railroad employees
families consume at least lO per
cent of our domestic consumption
of wheat, or one-tenth of about
10000 900 bushels of wheat. DO
the wheat growers want the de-
mand for wheat reduced by ~
800 900 bushels or more? We eX-
uorted less than one per cent OF
our corn in 1919. Railway en-
ployees and their families use
ABOUT ~ per CcII VI Ooi ShSii =
corn crop-directly and indirectly
through consumption of beef and
pork. Who in the corn belt wants
big reduction in the demand for
hogs and cattle?
this and aWll Street jammed the
that railway employees consume
practically Is per cent of the do
x.,ae+;, xuool rro6ncaI
Do you want your best market
cut seriously by unjustly cutting
railway employees wages for the
benefit of stockgamblers?
Mr.. Julius KruttschniUt, president
of the Southern Pacific Railroad
before the Senate Committee or
Interstate Commerce, criticised the
use of the Panama Canal, high
ways and inland waterways because
they competed with the railroads
The railway officials have made
their position clear. They do moi
want any interference or contro
over freight rates and propose tc
hammer wages down if possible tt
prewar level. Of course this would
mean also hammering down prices
to farmers in the very near future
to far below pre-war prices. Wher
wages go down low the financia
gentlemen who have controlled anC
now control the prices which farm
ers receive for your products will
use low wages as an excuse for re
ducing prices of farm products i
possible far below pre-war prices
Mr.. S. Davies Warfield, President o.
the National Association of Railroad
Security Holders stated to the Sen
ate Committee on Interstate Com
merce that with proper economics
and the return of normal business
conditions the railroads could earl
six per cent return and also re
duce rates.
Mr.. Farmer. what you want il
lower freight rates through elm
mating waste and false capitalza
tion of the railroads, and not a re
duction in the earned wages of you
best customers The railroa,
brotherhoods charge that the rail
roads have wasted under the Cum
mins-Esch law $1,250, 100000. Th
Farmers National Council ha
transmitted this information an
these charges to the President o
the United States asking him t
instruct the Acknowledgement o
the United States to see whethe
the railroads could be prosecute'
civily or crimminally or both, an
some of this waste recovered. Thi
information has been transmitte
to the Attorney-General of the Us
by the President. There should b
a report on it before long