New-York tribune., 1921-06-04
Employers and
Labor Blamed
For Trade Loss
Fifty Per Cent of the Waste
Laid TO Capital in Re-
port of American En-
gincers' Investigation
Output Generally Cut
National Industrial Pro-
gram Urged to Check
Extravaganza in Nation

Extravaganza in Nation
ST. LOUIS. June 3.-Responsibility
for more than so per cent of the waste
in industrial processes, which is caus-
ing enormous annual loses to the ma
ton, can be placed at the door Of the
management and less than 25 per cent
at the door of labor. declared report
of the American Engineering Coun-
ciPs committee on elimination of
waste in industry. made public to-day
at meeting of the Councils execu-
tive board. The committee was ap-
pointed by Herbert Hoover, Secretary
of Commerce, when he was head of the
council.
The report showed that the margin
Of unemployment amounted to more
than million men; that billions of
dollars were tied up in idle equip
ment; that high labor turnover was a
rough index of one of the commonest
wastes, and that waste of time and
energy and money through Implications
and estimates and bids in building
trades ran into millions annually.
Both employer and employees restrict
output, it was said. Both capital and
labor are blamed for existing abuses,
put the annual losses through waste
by conflicts between them is much
less than popularity supposed.
s5,ooo,ooo Lost in Wages
From four to five million workers
were idle during January and February
of this year. In 1921, half billion
dollars will be lost in wages in the
building trades, it was said.
The waste inquiry was in charge of a
committee of sixteen, headed by j.
Parke Charming, Of New York, as
chairman, and l. W. Wallace, of Wash
lngton, executive secretary of the
American Engineering Council of the
Federated American Engineering Soci-
eties, as vice chairman. This was the
beginning of movement by the coun-
try's organized engineers, about 100000
in number. to bring about better in
dustrial conditions and more harmoni-
GUS relations between capital and
labor.
The full report comprises 125ooo
words and deals with the deep-seated
causes of waste, and does not consider
"the present business crisis, due in
part to worldwide waste and extrava-
gance caused by the, war" as an excuse
tor transitory experiments, but as an
opportunity to point out the need for
permanent reform.
The committee outlined the following
proposed program of governmental as
sistance to eliminate waste:
Program to Eliminate Waste
service should be established to fur
nlsh more timely, regular and complete
information covering current produc-
tion and consumption and stocks of
national statistical serv-
ice should be established covering en-
ployment requirements; a national
policy regarding public health should
De tostered and encouraged; the ma
tlonal program for industrial rehabili-
tatlon should be encouraged and should
OFFER opportunities for; education and
placement to those having physical
defects. as we'll as those handicapped
because of industrial accidents; ma
ton wide program of industrial stand
ardlzatlon should be encouraged in
conjunction with industrial interests;
tne government should recognize the
necessity for revision of such Federal
laws as interfere with the stabiliza-
tion OF industry; body of principles
should be accepted which could be de-
veloped for the adjustment and settle
ment of labor disputes"
After emphasizing the need of re-
Aorm ana lm1 ement in plant man
agement ar ministrative policies,
the report the cooperation of
labor. w.
liner ed Output Urged
"'organized labor should develop
policy for increasing output" it was
SAID. The attitude of opposition or in
dlherence to proper standards for
production should be changed to q
frank and aggressive insistence on
sucn standards; there should be a sci
entlnc examination of the basis for
wages; certain union rules should be
moolhed in regard to machine opera
d distinctions which result in restriction
OF output. individual workers should
realize their responsibilities for waste
resulting from ill health and disre.
gard OF safety measures"
declaring that the annual economic
loss IN the country through preventa-
PIE diseases and death amounted to
So,oo0, 100000 the report urged more
general use of safety methods ALREADY
poItceteu. IL was asserted that rs per
cent OF the deaths and serious acci-
dents in industry could be thus nre-
vented. 'A"S pre-
IN regard to the number of davs lost
the TN report said "42 900 900 persons jost
aoo,o0O,000 days from illness and de-
ease and non-industrial accidents an-
hiuaily; az per cent Of the waste of iii
nealth IS preventable; in 1919 there
were 100000 industrial accidents. re-
suitihg IN an economic loss to the coun-
try OF about $S53,00O,000; Industrial
accidents are caused by the careless
ness OF the workmen and lack of
ordinary safeguards"
Plant Idleness Blamed
Plant idleness came in for it's share
OF the blame for waste. In the print
ing industry alone the report said an
investment of more than 100000 600
in stocks of paper carried to meet trade
requirements could be cut in half
through standardization in the brands
of paper.
The building industry was said to be
about 60 per cent efficient. In the shoe
industry trade the waste is put at
about 35 per cent The average plant
In the metal trades group is from 25
per cent to 80 per cent behind the best
plant IN output an employee.
In the ready made clothing industry.
the report said, it should be relatively
easy to save three quarters of million
dollars a day--an increase of 40 nor