The labor world. [volume] (Duluth, Minn.) 1896-current, 1921-01-08
It LOOKS GOOD.

1
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It LOOKS GOOD.
Daily announcements are being
made of mills and factories closing or
operating on part time and that ad-
vantage is being taken Of the situa-
ton by some employers to reduce wages
and in, some instances increase the
hours Of labor.
There is no rhyme or reason for this
condition. Only month or SO ago the
whole country was echoing the cry Of
"more productions and still "more
production" in order that the supply
might catch up with the demand and
lead to gradual price reductions.
Almost over night the former status
was reversed and those who were damn
ing labor for Stacking are now restrict
ing production and throwing the work
ers on the streets or hacking into their
wages.
And that is the best that the man
ayers of industry can offer to society!
We know, Of course, that the initia-
tive was taken in administering this
squeeze by the Federal Reserve bank
to reduce credits and check speculation,
but, as usual, labor is the goat-the
most useful element in society and the
one that can afford it least is being
hardest hit.
In this "deflation process the
small-fry business concerns, the profess
sions and the farmers are also being
squeezed and the big interests are be-
coming fatter than ever.
The situation is wholly unprece.
dented. There never was. known. a
period in American history where a
nationwide industrial depression was
precipitated at time when there was
no over-production of commodities and
when the whole country, and, in fact,
the whole world, was so direfully in
need Of more food, fuel, clothing, hous-
ing, machinery, etc.
It is an unnatural condition and can
not continue even under the so-called
law Of supply and demand.
It is not natural economic depres-
sion of slow growth that follows long
period Of production that gluts markets
for the reason that the workers are
unable to buy with their wages what
they produced and because profits Gre
ate fictitious values.
Consequently the workers of the
country ought to guard against becom.
ing pessimistic and should stick tightly
to their organizations and hold what
they have gained in wage standards,
for to accept reductions merely adds
fuel to the flames and may throw the
labor movement back at least a gen.
Grafton.
At this very moment more than
100000 homes are needed to restore
the pre-war home conditions and there
should be a normal increase Of 100000
a year, while there is an enormous
amount Of railroad construction nee
essary and every mill and factory in
the United States could be kept busy
for q long time to come to replenish
exhausted domestic stocks to say moth
ing about filling, the. foreign. orders
that will come with the resumption
Of trade relations.
The present hating period is largely
one Of watchful waiting, in which the
average business concern is influenced
by the belief that prices will fall all
along tho line and fears to stock up
on a high level and be subjected to
losses on q low level.
Thus it will be seen that if WAGE
rates can be preserved and the workers
can continue to purchase their neces'
saries, prices will be stabilized a. q
result and industrial activity will be
stimulated in all directions.
i In our opinion the building opera
ton Of 1921 will be fully as great a,
were those of a year ago, and when
that industry is busy the effects spread
} in all directions, while it is quite Ger
i tain that at least normal condition,
; will be manifested in railroad construc.
ton, mining, manufacturing and agri
culture. ...-.....:s.,s,s<:
We repeat that there il: no good rea
} son why labor should become discour
aged and surrender m advantage il
has gained By hard sacrifce, the pres
4 kent luA in industry is but momentary