The Washington herald., 1921-04-09
Investment Chiefs Fore
see Greatly Disturbed
Conditions.
SAY FURTHER LOSS
IN EARNINGS FATAL
Suggest President Call
Farley of Road Mana
gers and Employees.

President Harding was told yes
terday by Darwin p. Kingsley
president Of the New York LifeN1 in
surance Company and president Of
the Chamber Of Commerce Of New
York state, and s. Davies Warfield.
president of the. National Assocla-
tion of Owners of Railroad Secure
ties, that economies in railroad op-
GRAFTON must speedily be effected or
greatly disturbed conditions will
result
In discussing the situation with
the President they urged afnrma-
tive action on the part of the ad-
ministration. and suggested that he
call the railroad managers and en-
pIoyes into conference. first to set
tie their dificulties over wages and
working conditions before any fur
ther damage IL done.
Tell OF Dire situation.
To increase RAILROAD earnings.
however. the Presidents callers
said they did not believe that rail-
road employees should be asked to
meet revenue deficiencies through
wage reductions without other OBJ
ligatory economies on the part OF
the managements.
In a memorandum left with the
President, Mr.. Kingsley and Mr..
warfield said:
You are aware that for the
months of January and February
and a similar result Is forecast for
March-the railroads of the coun-
try. as a whole. are not earning, by
many millions. sufficient to pay the
interest on their bonds and other
outstanding debt.
This condition cannot continue
without numerous receiverships.
with far-reaching effect. The re-
sulting reorganizations would cause
great loss. not alone to owners of
railroad securities, but in other
values
Wages Part Of Problem.
The alternative of a Legislative
suspension Of legal proceedings
through a national railroad mora
torfum or OF temporary relief
through large additional govern
ment loans are necessities to be
avoided II humanity possible. Fur
ther suspension Of earning power Is
fatal.
The suggestion is heard that
railway managements. IL left alone,
will produce iresults-meanins re-
duction in wages suficient to en-
able the roads to meet their obii-
cations.
Wage adjustment is only part
of the problem. This should be
attained with the assurance to
railway workers that whatever
may be fairly brought about is
reasonable and just. It occurs to
us that 1t Is not an unreasonable
position on The part of those rep
resenting the men that deficiencies
in revenue should not be met by
wage reductions alone unaccompa-
MED by evidences of the definite in
tention to bring about obligatory
general economies"
want Wage Action Deferred.
CHICAGO, April 8. - Railway
promise offer" sent to President
Harding in the form of a lengthy
telegram. are willing to confer
with railroad oficials from the
mechanical departments regardins
all conditions but
Pending the disposition of the
differences as to the national
agreement by this conference. ALI
wage movements should be sus-
pended so that ultimately prac-
tical solution of the wage question
can be made. based upon the work.
ing conditions which should be es-
tablished through the proposed
conference"
The unions want wages to stand
pending the conference on compro-
mise. There has been a ten months
debate over the national agree
ments. during which time prac-
ticafiy every angle has been
threshed over and II Is not consid-
cred likely the raiIroad executives
VIII consent to confer on the terms
proposed by the unions.
Authenticity Of a letter signed
with the name fl. w. Geer, gem
eral manager Of the Pennsylyania
Railroad at st. Louis. in which he
suggested defamation of all labor
organizations IL necessary" to OBJ
tain certain information, can be
substantiated by. witnesses, accord
ing to labor representatives who
appeared before the Labor Board
today. The board was asked 20
call fve witnesses. including Geer,
TO clear up the matter at once. The
board said 1t would take the mat
ter under advisement.
Letter Declared Fake.
PHILADELPHIA. ApriI 7.-Th,
Pennsyivenia Railroad Company
authorizes the following:
During the proceedings of the
Railway Labor Board on March q
Frank p Walsh. counsel for the
Railway Employees Department OF
the American Federation of Labor
produced a letter alleged to have
been written by I. w. Geer, gen.
eral manager of the Pennsylvanis
System, Southwestern region, In
which Mr.. Geer was said to have
advised supervisory employees te
necessary to obtain certain infor-
nation
was introduced. w. w. Atterbury
vice president, after communicating
with Mr.. Geer. stated that the let
ter was not genuine.
Since then. further. investigation
has been undertaken by. the man.
aeement, which is assured by Mr.
Geer that he never wrote the letter
in question As far a. can be dis.
covered. no one connected with ths
company ever wrote such q letter
nor can anyone who received such
q letter be found- )
= The company absolutely repudi-
ates all responsibility for the letter
Or the sentiment Il sxpresssa-