Jackson County sentinel. (Gainesboro, Tenn.) 1914-current, 1921-11-24
RAILROAD PLAN TO
GET RATES DOWN
PROPOSE TO REDUCE WAGES ANr
RETURN ALL THE SAVINGS RY
REDUCTION IN CHARGES.
FULL TEXT OF PROPOSAL
Statement BY Thomas Dewitt culysh
Chairman Of the Association 81
Railway Executives, on the
eituatlon.

Following Q meeting In Chicago.
October II, 1921. OF the presidents OF
nearly all the leading railroads In the
country. Mr.. Thomas Dewitt Cuyler,
chairman q the Association Of Rail-
way Executives. made the following
statement:
At Q meeting Of the Association Of
Railway Executives today, II was do
termined BY the railroads OF the Unit
cd States 70 seek 70 bring about re-
auction In rates, and &c a means 70
that end to seek q reduction In pres
snt railroad wages. which have CON-
PEELED maintenance Of the preseat
rates.
An application will b maze I'm
mediately to the United states Rail
road Labor Board for reduction N
wages Of train service employees suf-
ficient 10 remove the remainder o. the
increases made by the Labor Boards
decision Of July 20, 1920, which would
involve q further reduction Of spproxt
mately ten per cent" and for reduc'
ton 10 the wages OF ell other classes
Of railroad labor 70 the going rate for
such labor In several territories whore
the carriers operate.
70 Reduce Rstss 40 Wages 90 Down.
The foregoing action 10 upon the un'
lerstanding that ooucurrsntly with
such reductiea d wages The benefit
q the reduceiou thus obtained shall
with tho concusssacs q tie Interstate
Commerce ComAissiu. b passed on
10 the public in sAe reduction Of e.
listing railroad ra1ss. except In % fas
% this reductioA shAu have been made
= the meantime
The managerial has decidsd upos
this course In vssw Of their REALISE
don Of che fsce 81 the wheels OF In
lustrial activity lAvs besn closed down
10 Q point vAisA brings depression
and distress b ~ satire public. and
that something nnst b done 70 start
them again n sosFation.
The situation which ocnfronts the
railroads 10 sxtssmsiy critical. The
sHilroads In ieoo realised . net rail-
way operating inso0s Of about ts7.-
100000 upon . psopevty investment Of
over )ls.ooe. 80 900 and even this
amount Of eeAeeAeee Included back
nsai pay for prios SsAsx received ffon
the government g approximately 49,.
100000. OF thus showing. when The
operations a ~ PEAR sions are con.
sidered, a sotaa1 deficit before maxi
ING any ail0waAos for either interest
- dividsnAs.
The rear salo1 h serious depres-
sion In all bsAS~Ass OF industry. and
h marked rslseeen Of he market Dc.
nand for end ~ psscss Of basic COM
nodities. resul1lAG h Q very serious
falling OF 10 ~ volume Of traffic.
Roads Forced - Defer Maintenance.
In this stoua11pa, . policy Of the
most rigid scoaany and Of postpon-
ing and cutting - Ne bone the up
keep Of the psUspstiss wac adopted By
the railroads. 7Ais vss at the price
q negisctins. - fss The time do
isriug worh vAish must hereafter.
aAd In the psas future be done and
paid for. This b illustrated By the
hot thaf. - q September Is. 1891.
ever 10 per cant or s7A4al In number.
q the freight cars Of the carriers we're
h bad order and needing repairs. -
egainst normsl of bad order cars Of
oot more thaa 1eo.ooo - 10 further o
hstratsd by he deferred and made
0sats maintenance q other equipment
end 1t roaAwsy and structures.
Even under those conditions, an
With this large bill charged W asainst
~ future which must soon b pro
vidsA fos and paid 4 the carriers ere
70 perform svcossstully, their trans
Dortatton dutisA ~ result Of opera
lions Tor ne f,svt slsAt months a
Ais yess. ~ laAsst available figures.
- teea g . ne Of eet railway oD
Grating inosos, bseoss providing ~
interest or dividends, smountiAg 70
soiy 20 pr osoa pss snnum O the
valuation q The carrier properties
made by the latsrstats Commerce
Commission N ne recent rate case,
any amount Ao4 sufficient to Day the
interest on AslS outstanding bonds.
Rsads Earning Par Below Reasonable
Astvrns
\ 10 manifest, from this showing.
hist the rate Of return Of 81 or
px cent for The first two years after
March I, 1880. fixed In the transpor-
cation act - Q minimum reasonable
seturn upon railroad Investment, has
Dot teen even Appropriated much
Mss reached; and that the present
Aigh rates accordingly are not due
y any statutory guarantee OF saruinsss
Or there 10 no such guarantee.
In analysing the expenses vhich
bavs largely brought about this sitas
Non. IL becomes evident that b. hs
the largest contributing cause d tAs
hbor cost.
Today the railroads pay out to labor |
approximately SO cents on the aol |
ar they receive for transportation
services. where's In 1919. 70 cents on |
che dollar wsnl % labor.