Abbeville progress. (Abbeville, Vermilion Parish, La.) 1913-1944, 1921-11-12
RATE OF RETURN EARN
ED BY RAILROADS OF THE
UNITED STATES ON THEIR
PROPERTY INVESTMENT.

II will thus he noted that during the
years when other industries were
making very large profits when the
price OF farm prod tets and the wages
Of labor we're soaring to unbeard Of
prices the earnings upon railroad in
vestment in the United States were
held within very narrow limits aid
that they have during the past four
years progressively declined.
Roads Handicapped More Than Other
industries
4. The railroads are responsible to
the public for providing adequate
transportation. Their charges are linn
tied by public authority and they are
In very large respects tnotably 10,
laborl compelled to spend money OF
a basis fixed by the public authority
The margin In which they ate permit
ted TO earn a return upon their Ia
vestment or to offer inducement to q
least new capital for extensions anC
bettermeuts is extremely limited, How
ever. much the railroads might desire
therefore, 10 reduce their charges, i
times OF depression, It will be perceiy
| ell that the limitations surrou 1din
their action do not permit them I
give effect to broad and elastic pol
cies. which might very properly Cover
other lines of business not thus n
| stricted. II has been urged upon II
railroads that a reduction In rats
viii stimulate traffic and that incir2
ed tariff will protect the carriers lro'
the loss incident to a reduction I
rates The railroad mana gements ca
not disguise from themselves that tn
suggestion Is merely coajectafal al
that an adverse result Of the exper
meut would bH disastrous not only
the railroads but tn the pu9,ic. who's
supreme need Ia adequate transport
ton.
Consequently the railroad manag
ments can not FEEL Justified In placir
these instrumentali.ier SO essential
the public welfare at the ha lrd
such an experiment. based solely upt
such r conjecture.
Farmers Especially Need Lower Pate
II Ia evident. however, TIL
existing transportation charges he
In many cases disproportiois
relationship 10 the prices at viii,
/ commodities can be sold in the mark
and that existing labor and 9th
costs OF transportation thus irfpos;
,, upon industry and agriculture gen,
ally 4 burden greater than they shou
, bear This Ia especially true ct az
! culture The railroad rnansgemsn
are feeling Sensitive to and syrr
. thetic with the distressing sitdat!
. and desire 10 do everything to ASA
; in relieving II thar Is compatible wi
: their duty to furni3n the, transportsti
q which the public must have.
4 At the moment railroads in ma
!, cases are paying 40 cents an hour 1
Q unskilled labor when similar labor
{. working alongside the railroads a
r can easily be obtained by them at
cents an hour. TIE railroads OF I
. country paid In 1890 total of cons
erably over 81 300 100 to unskilled
Dor alone However desirable II m
!, be 70 pay this or that schedule
I wages II Is obvious that il can not
u paid out Of railroad earnings unless |
a. industries which the railroads q
:. capable Of meeting such charges
- The railroads and through them, D
n pie generally. are also hampered
~ their efforts to economic by a sch
:, ule OF working les and condi.tC
now In force as heritage from [
:, period OF federal control and uph,
. by the railroad IL ~ beard Til,
v conditions are sxr 'ns:ve. hreconor
u and unnecessary fforn the point
'e siev ~ railroad operation and
!. trsmsly hutdenscme Upon the pull
% witch bays the b;'l Tais screi -
- wages and o. vol. ing conditions I
!. vents the railroads rom dealias Z /,
~ ably with their Ia IT costs In acco
ne anee Nth rapidly changing conditi
&c and the great var ~ OF local con.
u erations which oug'.t Ia control wa
g in different parts Il the country. 7
q, railroads are seeking to have tn
a. rules and working conditions abto,
" ed
., TIE railroads viii seek a reduct
Ia. in wages now proposed by first
no questing the sanction OF the railr,
az, labor board The railroads will proc
a. with all possible Dispatch and as s.
y. as the rain cad iaoor board snail h
given its assent To the reiuction
- wages the general rec action In RI
~ Will be put into effect.
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