Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1922-02-02
NJ 'ADOO DEFENDS
j. 8. CONTROL Of
TRAFFIC LINE
DURING 7 He WAR
Were in Better Physical
Condition When Turned
Back to Owners Than
When Taken Over,
LOYALTY OF LABOR
GIVEN HIGH PRAISE


t3y The Associated PressD
Washington, Feb. 1.-Railroads
were in better physical condition
at the end of the period Of fed
eral control than they had been
when taken over during the war,
William G.. McAdoo, former sec
retary of the treasury and war
time dircCtor-general of railroads.
today told the senate interstate
commerce committee in giving an
accounting of his guardianship of
the properties during 1918. The
committee, which is inquiring into
recent railroad conditions was un-
able to hear all of Mr.. McAdoo's s
testimony today and he will con-
tinue tomorrow.
Labor Was Loyal.
Mr.. McAdoO contended railroad
labor had been loyal, remaining
at its post when more lucrative
employment was offered in other
industries and that wage increases
made while he was director gen
eral We're not excessive but sub
sequently We're further increased.
The railroads when turned back
to their owners. he declared, with
2,006 more locomotives, 26,S15
more freight cars and 1,051 more
passenger cars than they had pos
sessed at the beginning Of fed
oral control, were in condition to
meet the heaviest traffic demands
in their history"
"The credit Of the railroads
was destroyed before the war;"
he said. quoting statements by
railroad executives. The eXecu-
tives, he added, did not produce
under federal control the results
as to revenue and operation they
had brought about prior to that
time.
Managemcnts "FclI Down."
The railroads were permitted to
continue for four months after
federal control was established
with little interference in the way
OF management, he said, but the
regional reorganization, he con-
tended, was necessary in May,
1913, when he ''became convinced
that the arrangements of the rail-
roads by the railroad corporation
could not produce desired re-
suits"
Unification of the railroads. he
continued, saved $118,0O0,O00 in
operating expenses in 1918.
Throughout federal control, cx-
perienced railroad executives were
in charge of the properties under
his direction he said, denying the
deliberate attempts made to Gre
ato the impression that l made
immediate drastic changes in the
arrangements of the railroads and
disregarding the experience and
ability of the railroad men of the
country, attempted to run the
railroads upon new and untried
theories of my own"
Pooling rot Favored.
Replying to a question, Mr.. Nc
Adoo declared he did not advO-
cate pooling of business by the
railroads under private control, but
favored assisting the roads in COM
poting for traffic.
If the railroads were in "deplor-
able conditions when returned to
the corporations March /. 1920,
and If their equipment was in the
worst condition ever known" he
asked how was it possible that in
that year, as stated in the testi-
mony of their executives, they
handled "the largest volume of
traffic" in their history.
Performance of this great
task" he added, was possible be-
cause during the period of federal
control $I219,S40,291 was expend-
ed in improvements, additions, bet
terments and equipment which
made the railroad properties an in
finitely better transportation ma
chine tnan on January !, 1913,
when the government took posses
sion.
Labor Was Undcrpaid.
Mr.. McAdoo said that in his
opinion, railroad labor was grossly
underpaid at the time the govern
ment took control and that there
were many grave abuses in the
matter of working conditions. 1t
was necessary, he contended, to fix
rates of pay for railroad employees
that would enable the railroads to
command their share of the coun-
try's labor 80 that this basic ne
cessity of the war could function
at the required. point"