Twin city review. [volume] (Champaign, Ill.) 19??-1929, 1922-07-14
LABOR BOARD
DECISION NOT
BASED ON FACT

in dissenting from the decision oi tht
hoard. set forth the following reason;
for their action:
IL The wage structure for the
TRANSPORTATION industry which is be-
ing built up in this series Of decisions
rests upon no consideration Of the
buman needs of the employees Affect
ed. These human needs were sci
forth bv data and witnesses at the
recent hearings with compelling force
The majority have not considered the
evidence on this point, nor have they
met the issue raised. Their failure
TO give this, the most vital element
consideration and TO inform the public
impartially on the subject, yitiates
the whole decision.
~ The evidence submitted In the
recent hearings tended to show that
an income based on the 77-cent per
hour rate does not enable representa-
tive shop-eraft families, with the
most economical management, to pro-
cure enough food for their families,
or to maintain their own efficiency.
This evidence included tentative
standard Of living expressed in terms
of goods and services to which me-
titled At the current prices an in
crease in pay would be necessary to
enable these employees to secure
such a standard. Without any at
tempt to show that the employees
affected by this decision are not en-
titled to such a standard, and further
without any attempt to show how
families can make good the food de-
ficits, the majority decision further
reduces the ability of these employees
to meet the needs of their families.
The undersigned dissenting members
feel that the Labor Board must ini-
tate study which shall determine
the amount necessary to meet some
recognized standard, that IL must use
the results as a basis for its decis-
ions, and that it must through this
decision transmit this information to
the public.
(3) The rates of pay contained in
the award, being insufficient to pro-
vide for family of five, tend to sub
stantiate the position taken by man
agenent to the effect that wages
need not be established with reference
to the needs of family of this size.
The most careful and comprehensive
investigation on this subject shows
that wages which do not provide for
a family of that size mean that 72
per cent of all children in families
receiving this wage will be made
quately provided for during at least
FIVE critical years of their lives. Per-
manent traces of this malnutrition
will be left on the physique of the
next generation.
(4) The failure of the majority TO
consider the real merits of the case
has created wage structure which
has no relation to any existing stand
ards. Based on evidence in possess
sion of the Labor Board, the minimum
for the industry should have been
nothing less than so cents per hour.
Without, for the moment, questioning
the justice of the differentials result
ing from the majority decision, this
would place the mechanics rate at
least as high as 81 cents per hour.
90 The ordering of larger de-
crease in the case of freight carmen
is unjust and wholly inconsistent with
former decisions of the Labor Board.
In ordering such a change, the ma
jority disregarded the fact that any
difference in skill which may exist
has been already provided for in the
5-cent differential which dates from
the days of the United States Rail-
road Administration. They also dis
regard the fact that under the CLASH
fication rules of the Board freight
carmen are mechanics and as such
are entitled to the minimum rate for
mechanics.
co. The rates of pay established
in this decision will mean to the em-
ployees affected lower purchasing
power and lower standards as COM
pared with pre-war years. From
December, 1917, to the present de-
cision, inclusive, the maintenance OF
equipment forces have suffered con-
slant deficit, their wages at all times
failing to keep pace with living costs.
The figures cited by the majority to
the contrary effect are misrepresen-
tation of the true facts as to the rela-
tive earnings involved.
% The savings to the railroads,
as a result of the decisions of the
Labor Board and of the lay-off of men
far exceed anything justified by the
savings to the public in reduced rates.
The employees covered by this decis-
ion alone have had their payroll cut
to the extent of 1911 ,S17,99 per year,
as hereinafter set out based on num-
Der of employees in service as of De-
cember, 1917, while the total payroll
cuts due to decisions alone total more
than half a billion dollars. During
the last six months of 1921 the total
payroll slash, including the lay-offs,
was running at the annual rate of
$1,000, 100000. This diminished pur-
chasing power of the employees as a
group appears in strong contrast
with the increasing prosperity of the
railroads noted by the Interstate Com
merce Commission in its recent opin-
ion and by the financial press.
(S) The increasing antithesis be-
tween profits and just wages will re-
suit IN lower morale among the rail-
road employees; thus the present
wage reductions viii not result in
economies and will prove contrary to
the real needs of efficient and econo-
mical management.
(9) The majority have failed to
carry out the function for which the
Labor Board was created. Such de-
cisions, containing no explanation of
the process by which the majority
arrive at the rates established, give
the public an impression that these
rates are not founded upon a careful
consideration of the facts. A strong
contrast is presented with the decis-
ions Of other wage boards, not only
in this country, but in other parts of
the world, as we'll as with the decis-
ions of the Interstate Commerce Com
mission, which show the public at con-
siderable length how the evidence was
weighed and the conclusions reached
In the light of the Transportation