Evening journal., 1921-05-07
sFANcY" SALARIES or RAILWAY OFFICERS.

ID EFERRING to charges heard in Delaware and else
IL where that the railways waste large amounts Of
by paying fancy" salaries and to bill recently
toduced in Congress prohibiting payment OF any salary
Of more than $4,000 without previous approval OF
the Interstate Commerce Commission the Railway Age in
its current issue publishes remarkable statistics
sardng the relationship Of the salaries paid railway Of
rcers to he total payroll Of the railways their total oper-
ating expenses and their al earnings.
"0f all the charges against the mansgements Of tue
railways" says the Railway Age this about
i've salaries perhaps the most ssiEne All OF the al
legged fancy salaries included those paid to the
general officers Because OF these officers receive
$4,000 to $4,000 year many think the amount paid
imposes heavy burden those who pay the The
statistics OF the Interstate Commerce Commission show
that II the railways in the year 1920 had paid dollar
OF salary TO any OF their general officers their operating
expenses would have been 992 per OF what they ac
tually were"
The Railway Age publishes table showing that in 1920
the total salaries OF officers were SOP 6Os35 This was
about two and onehalf per cent OF the total payroll Of all
officers and employees which amounted to S369s 35i
II was i7 per cent OF the operating expenses which were
s5s26i97i It was and oneha per cent the total
earnings which S6225lO2762. In other words II
OF the officers, general divisional had been paid
anything the total operating expenses would have been
ee3 per cent much they actually Tho officers
whole only one-half cents OF each
including all those paid fancy" salaries onl.
about and onehslf mills out Of each dollar earned
The Railway Age estimates that officers paid $4,000 OF
more receive 23 mills out OF each dollar earned while
general oicers, including all those getting fancy" sal
aries receive &c mills out OF each dollar earned
In 1916" says the Railway Age the salaries OF all Of
nces general and divisional 36 per OF the ota
payroll Including both the salaries OF officers and the
wages OF employees in 1917 $40 per cent: in 1918 95 PEI
cent? in 1919 27 per cent, and in 1929 % per cent In
other words in these years the wages Of the employees
amounted TO from 96i to 97 per cent Of the total pay
roll"
In 1916 the salaries all officers were 22 per cent Of
the total operating expenses in 1917 per cent: in 1915
6 cent in 1919 and 1920 i5 per cent In other words
If not dollar Of salary had been paid these years to
single officer the expenses would have been from
Us per cent to 9si per cent what they actually were
In 1916 and 1917 salaries OF an officers were "a per cent
o 'e total earnings in 1918 i3 per cent and in 1919 and
'To 10 per cent In other words in these years out Of
escn dollar that the public paid for all kinds OF railroad
c1nts to n cents ~ 40
In recent discussions IL renea,ea,,, h -.
hst II wages were reduced the salaries q, ooOc.r
be reduced in proportion. What have been Tho o,.,, ~
creases in salaries the one hand and vv.,.s - a.,
other since 9i6g In 1916 the average salar, Of gns,
oncer was si5S and in 1870 s55i2 an increase
207 per cent In 1916 the average salary OF divsio -
0cer was si99s and in 1920 It was $3.50 an increase
66i per cent THE average pay Of passenger locomo
engineers and mOtormen In 1920 1910 or only
than that OF division ofcers) Between 1916 and ~
The average compensation OF employees increased iOi
cent, and It is almost ia per cent than 10
Since the advances In salaries have been relatively mu
than wages, and have not at any time approach
he increases in the cost OF living while the advances
wages have exceeded them, is II fair to suggest that
to be reduced salaries shall be reduced in
same proportOng
When people talk about salaries OF $4,000 to $4,000
year lie railroad business being excessive they do