The daily times., 1921-09-26
NAVY YARD PAY CUT
The Harding Administration
Has Passed the Railroad
Problem Over to the Rail-
road Wage Board, However
it Assumes Full Responsible
ity for the Navy Yard Cut.
CBy David Lawrence).
Copyright, 1921, by The Daily

AlhlCo.J
Washington, Sept. 24.-Wages
must come down. The Harding Ad-
ministration faced with an issue of
continuing the present wage scales in
the navy yard here, resisted the ap-
peals of organized labor and made
drastic cut. The controversy was car
ried up from the Navy Department to
the Cabinet where President Hard
ing himself took a hand. Although
private industry has been struggling
with this question for months, the
government has avoided giving any
moral support to either side. When
the navy yard dispute arose, the is
sue was inescapable and now the
word has gone forth from the Ad-
ministration that the quickest way to
normalcy hereabouts is by wage cuts.
The White House mails have been
full of letters from taxpayers urging
diminution of government expen-
ditures. The Administration has felt
that wage cuts especially in govern
ment enterprises is an inevitable and
logical answer to the demand for
economy.
Curiously enough, the business
men of the national capital pleaded
for labor in the sense that the gov
wage cuts so drastic The Washington
merchants were led to take this
action by the argument that a cut in
wages meant a curtailment of buy
ing power. Later headquarters ad-
nit that they have consistently urged
the relationship between the retail
community and wage scales but no
where has thta thereby been so con-
spicuously championed as here in the
national capitol The plea however
was unaSailing. The Harding Admin
istration stood pat
Politically speaking, the endorse
ment by an administration of any is
sue that relates to wages always has
its dangers. The Wilson Administra-
mand for wage increases and while
earning the friendship of organized
labor, it lost the support of many
employers who insisted that the gov
able precedent. 1t is realized by ad-
ministration officials that everything
the government says on the subject
of wages will be the basis of discus
the Harding Administration the rail
road problem had been passed over
to the railroad wage board, a separ-
ate institution, and the roads were
in private hands so that the bonus
for wage reductions did not fall on
the Administration. The situation in
the Navy yards however is one in
which the Administration takes COM
course, is that painful as the pro-
cession of reduced wages may be, the
aim justies the means and that when
normalcy comes the scale of living
that the out in the pay envelope will
not be so much resented.
Organized labor is in a paradoxical
position, however, with respect to
the Navy yard cuts. Labor has taken
a firm stand for disarmament The
reduction in the work in the navy
yards mean a curtailment of govern
ment expenditure for armament. La
Dor is enthusiastic for disarmament
and cannot very we'll make much of
an outcry against the laying off of
workmen who are engaged in the
armament race. On the other hand,
it is reported that the purpose of the
wage reduction is not alone govern
Fment economy but an effort to trans
fer to private interests much of the
work that has heretofore been done