The New York herald., 1921-09-09
LOWER WAGE SCALE
REVIVES INDUSTRIES
Reductions From Three to
Forty-seven Per Cent.
Below High Mark.
BOTTOM NOW REACHED
Steel Workers Hardest Hit
by Deflation and Automo-
bile Men Suffer Least.
CHECK ON UNEMPLOYMENT
Stable Conditions Induce Man.
ufacturers to Renew Pro-
duction on Large Scale.
CHECK ON UNEMPLOYMENT
Special Despatch TO THE New York Hrma.p
New York Herald Bureau
Washington. ID C. sent X

mas been in progress in the United
States for the last year. earnings OF
workers in manufacturing plants In
nearly every section Of the country
range from TO AZ per cent. below the
high water marks established during
the war period.
Government officials IN Washington
who have followed the situation be-
lieve that bottom has been reached
and that wage scales in the principal
manufacturing industries of the coun-
try have reached point of stabiliza-
ton.
Coincident with the expression OF
this belief comes the suggestion from
practically every official quarter that
industrial plants in every section are
preparing to resume brisk operation
with reasonable assurance that it will
not be necessary to advance prices
because of increasing labor costs.
With wage scales on a somewhat
stable basis for the winter period, man
ufaoturers may safely plan period Of
increasing production lasting several
months, It is believed In Washington.
This factor will tend to reduce unem-
pioyment and bring down prices Of COM
modities TO the consumer.
Actual Earnings Fall on.
On the basis OF the most recent sur
vey made by the Labor Department the
average monthly earnings of workers
range from $50 to 1892. For the same
period last summer the range of aver
age earnings was from SIS monthly TO
S146. These figures apply to earnings
and not to wage scales.
Although the minimum OF $50 may
seem small in view OF the prices or
nccessities now as compared with year
ago, this figure, officials point out. does
not necessarily represent the lowest
amount that may be earned. 1t is not a
rate of pay In some industries where
the average monthly earning power Is
now reported at this level II is because
Of part time work rather than because
% low hourly rate of pay. With the
expected increased demand for COM
nlodities manufacturing plants now
working only part time viii resume full
time operations. II Is explained. This
viii enable thousands of workers to
earn more.
The survey of the Labor Department
covered more than 500 manufacturing
olants. employing roughly 100000 work
ers. II Is considered as q cross section
showing the general condition of all in
iustries In so far as employment condi-
ions are concerned. In this survey the
labor Department obtained reports
rom the factories and plants canvassed
-egarding pay rolls and number OF
workers for this summer and for the
unlrner Of 1920. From these reports
we're tabulated the average earnings
month OF all workers for this summer
md for last and the percentage OF defia-
ion.
The biggest percentage OF defation
was reported in the iron and steel I'm
dustry. where the average worker now
earns s76 a month as compared with
s144 a year ago. This is dehation OF
AZ per cent. on an earning and not
wage scale basis.
The automobile industry seems TO
have been least Debated. Automobile
workers now average sl32 monthly. as
compared with s13s a year ago. de-
fation amounting TO per cent. The
lefation In some other industries. to-
yether with the average present earning
capacity per month. was calculated as
follows:
Car building and repairing. per cent.
Der cent. s66 monthly: cotton finishing.
"A per cent. s94 hosiery and under
wear manufacturing workers, 21 per
cent, $50 monthly; woollen mills work.
crs, 13 per cent, $50 monthly: silk man.
ufacturing. LIS per cent. $50 monthly
mems clothing workers, 3 per cent. sl24
monthly: leather workers. 16 per cent.
$50 monthly boot and shoe makers, 4
per cent. so2 monthly; paper nlanufac-
~ nut ,yanrf1fv. .tffrq r
makers. 10 per cent. SIC monthly. and
coal miners. % per cent. s113 moataly.
In considering these monthly avesa Sc
earnings 1t must be remembered Tat
they include the lowest paid as we'll AZ
the highest paid workers.
Workers generally now are receiving
scales far In advance of those OF the
pre-war period. Department OF Labor
reports show. In one-half Of tho indus
trial groups studied by the Labor De-
partment all workers averaged In ex-
cess OF $3.50 day. In only one did the
average earning power run as low 40
81 day. As plants resume full time
operation the earning power VIII be
vastly enlarged. in the opinion OF Gov
ernment officials.
Big Item In Economy.
From the standpoint OF the employer
the wage scale ueflation Is shown TO be
big item OF economy. In the steel in
duetry the total amount expended for
labor now Is reported as II per cent
below the total OF a year ago.
The number OF iron and steel workers
was reduced 46 per cent. during the
year In the plants studied by the Labor
Department and In automobile manufac-
turing nearly 81 per cent. The reduc-
tion OF forces In other groups or fac
tories was reported as follows: Car
building and repairing. % per cent /:
cotton manufacturing, 0.4 per cent cot
srv, Walking. 0.6 per cent. hosiery and
uncerwear. 10 per cent; silk manufac-
turing, per cent mems clothing. per
cent leather manufacturing 10 per
cent boots and shoes. per cent.
pApernaking. 35 per cent, and coal
mining, ii per cent
In the manufacture OF woolien goods,
the report showed what officials called a
very surprising condition. Tho number
OF workers Increased los per cent,
rather than decreased. More than 50,-
600 workers now are employed In the
manufacture or wooilen goods rs COM
pared with only slightly moro than