Evening star., 1921-05-18
WILLARD DEFENDS
RAILWAY SALARIES
Oep|ores Criticism of Pay
Given Executives in Testify
ing Before Committee.

The transportation act of 1920 has
made II possible for American rail-
roads to be operated successfully un-
der private ownership" Daniel Will
lard. president of the Baltimore and
Ohio. declared today at the beg ilnin.
%: his thirl session with thu Senate
committee Investigating railroad OPP
er:stionS
MIR. Willard continued his criticism
of labor union suggestions that rail
roads could be more economically
managed
faiiroad management is one OF
the occupations in which ii is con-
'iiered discreditable to Succeed.' h"
remarked. Salaries of railroad cX-
ecutiv"s. if q good size. are common
ly commented upon unfavorably in
the press and on the floors of con-
Gre+S. though in other Industries hey
ar. not Charles Schwab is congrat-
ulat"d when. he says h,. pays h s
chief executive a million dollars Il
yer: II iS considered effiritncv
But when "A railroad president gets
$50, 600 a year. il is regarded as waste
full expenditure. and a reproach to
him and his corporation.
Advice to Son.
That'S not much concern to me: my
connection with railroads will neces-
sarily last only a short time now. 1t
is serious t" the public when the
brightest and best executives are con-
stantly drained off into other indus
tries. I've advised my own son to
take some other line. where he would
not be subjected to discredit because
he succeeded.
You must remember railroad Of
ficials are limited in investment The
opportunities they are most likely to
see they cannot take They are de-
pendent on their salaries exclusively"
In January. 1919. the director gen
eral of railroads claimed as one of
$f0O0.000 in railroad costs. from the
salaries of higher officials and law
ycrs. Senator Pomcrenc, democrat
Ohio. observed.
This committee then asked him to
furnish a report on the salaries he
was paying in his administration. and
we found later he was paying sixty
four salaries above $4,000 a year.
one was more than $4,000 and the
average was Sl9,700. think the
public is entitled to that comparison
even though it may not be polite
for me to make it,.
Salaries Paid by Director General.
Continuing his analysis of union
criticisms. Mr.. Willard said that as
much more for repair work done by
private contractors than for work
in railroad shops was incorrect in it's
specified application to Baltimore and
Ohio operation.
AS to charges that interlocking
dirsetorateS influence railroad man
ayers TO adopt policies inimicai to
the interests of the railroad corpora
tions for which they are particularly
Responsible Mr.. Willard continued.
that comes home to me l.. II. I~orec
and Samuel Rea are directors of the
Baltimore and Ohio. as well as of
her roads. Before they could use
heir place to control the Baltimore
and OHIO wrcngfuily they must have
made of me. their chief executive. d
willing tool They have not done
50 and have Eot attempted to do so.
TIA point / am making is that
- .">. cutives. not the directors.
are r.sponsible for railroad conduct.
II you find men who have acted
rongfully--an there may be some.
iiiough in my acquaintance with ex-
.cutives | do not know them-pun-
ish them. Don't let indiscriminate
and harmful charges influence the
si.uation''