The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1921-04-19
Western r.. r. Chiefs Declare
Wages Must Be Cut.
See Receiverships Ahead if Re-
quest Is Not Granted.
CAPITAL CONSPIRACY CHARGED
Railway Union Economist De-
clareS Capital in Conspiracy.
Lauck Tells r. r. Board Ma
tiOnal Shut-DOWnS Planned.

Chicago, April 10. = Western rail-
road officials told the United States
rail labor board today why they be-
lieved wages of employees should be
materially reduced to aid in bringing
back normalcy in American business.
The hearing was an application of
railroads for permission to reduce
wages.
B. A. Worthington, president of the
Cincinnati, Indianapolis & Western
said that road would be in the hands
of receiver soon if relief is not
granted. Twenty per cent reduction
of wages &C skilled employees and per
mission to employ common labor at
the market quotation was asked hy the
Chicago, Great Western railroad:
Railroads presented evidence show
ing reduced wages paid workmen IN
other industries along their lines IN
their effort to show the board neces-
sity for decreasing rail pay. The west
ern group heard today comprised all
lines west of the Mississippi river.
Charges that a capital combine,
headed by twelve New York financial
institutions inaugurated a policy OF
nation wide shut downs, was made to-
day before the United States Railroad
Labor by w. Jett Lauck. economist
for the unions which are fightlng any
reduction before the federal ralirodu
duction before the feueldl nam '
Mr. Jauck named about 100 men
who thru interlocking directorship, ne
claimed, centered in these dozen IN
stitutions control of the majority OF
the country's important railroads an9
of basic raw materials He charseu
that:
Debated Farmers First.
"This inter related capital group
deliberately deflated the farmers ana
then undertook by precipltatlng m
dustriaI stagnation, to deflate labor.
The railroads, he asserted, We're tne
chosen vehicle for this labor drVe,
I,avoffs of repair men on railroads IN
recent months, he charged, were mace
deliberately, while much of the repair
work was let to outside companies
who charged the roads about twice
what the same repairs Wouio nave
cost in their own shops
one purpose, he said, was to get TINS
norton of railroad labor out OF gov
ernment jurisdiction by forcing, II TO
work for the outside concerns; ~ 1hsSs
concerns. he said, were largely uhuer
this same financial controi as inc
T. . document that Mr.. Lauck pre-
se-7 cd made about 125,000 words. IL
vvas prepared by the American Feder-
atom of Labor bureau OF research;
railway employees department am anu
entitled, human 0taiiushi N az
road Policy"
Names the "Conspirators."
The dozen New York financial in
S. ions as named were:
-tutual Life Insurance company OF
n York; First National bank
i ui able Trust company; ]. 2. Nor
ga & Co.; Guaranty Trust company;
T,rut- able Life Assurance Society or
Ii ed States; American Surety com
ran,-. National Surety company; Me-
ri7anics &, Metals National bank; Ma
tional City bank; New York Trust
company; Chase National bank.
Mr.. Lauck charged that these banks
had directors in 92 Class One rail-
reads, and in 20 railroad equipment
cor7uanfes. that their directorships
rel he'd "a coal railroads and coal
CO lpanies. and that thru non-bankins
directors this alleged capital combine
was still further interlocked.