Evening star., 1922-05-11
RAIL LABOR BOARD
BARS CONTRACTING
Farming Out" of Shop Work
Called Violation of Trans
portation Act.
By the Associated Press,

.NaACAGO, May 11.-Contracting
shop repair work to outside firms by a
railroad company was declared a vio-
lation of the transportation act and
contract provisions conflicting with the
wages and working rules laid down by
the Railroad Labor Board, were de-
clared illegal In a decision handed down
by the board yesterday. The decision
was characterized by the board as the
most important it has rendered since
its establishment.
The decision, which is the first of a
series to be handed down on disputes
over farming out" railroad labor, was
made in the controversy between the
union shop crafts and the Indiana Har-
Dor Belt Railroad The board declared
lts pronouncement went ito the vitaIs
or the transportation act" NO more
important dispute" the decision added,
has ever come before this board for
adjudication"
While the decision applied only to
the oneroad. which last September con-
hacted Its repair work to the Burnham
Gar Repair Company. the general prin.
cIpies established will govern all sub
sequent decisions. There are now
thirty-six such cases pending before
.he board. involving seventeen rail-
Each Case to BE Decided.
Each case. however. will be decided
on lts merits. the board said, but the
principles Of the Indian Harbor belt
| decision would stand. Under the de-
| Slsion thousands of former railway
employes now working for contrac-
LOTS at wages varying from the
tha poara S scale are brought back under
| the boards jurisdictions. Rules vary
ing from those laid down by the
BOARD are likewise. in effect. declared
llieeai. and the contractors employees
\ restored to the working rules pro-
mulgated by the board
| Ihe board said that If a railroad
company could remove it's employees
| from the jurisdiction of the board, as
was contended in the Indiana Harbor
Beit case, then the entire transporta-
| tion act can be nullified and the will
OF the Congress set at naught" At
the present time various roads have
contracted to independent Companies
me work of shopmen, maintenance of
way laborers, clerks, firemen and
oilers. hostlers and signal men. and
the board declared that if one class
could De taken out from under the
reason why every railroad employe
| cannot be given like treatment
Ihe board pointed out that the pub
lie would be deprived of protection
against strikes if employees of a con-
tractor were not placed under the
fide railway employees.
Many Contract Work.
The Indiana Harbor Belt case was
one OF the first to come before the
board, the first contract being let
by the road January 20. 1921. Suisse
quent agreements extended opera
tions Of the repair company until a
contract on September 16, 1921, gave
the repair work to the Burnham Com
pany. Meanwhile. similar cases ap-
peared on the Erie. New York Gem
tral. Missouri. Kansas and Texas:
Michigan Central and numerous other
roads. Some of the contracts have
resulted in strikes and all have
brought protests to the board.
The Burnham Company put it's en-
ployes on a piecework basis, the COM
earned more money per hour thereby
than under the hourly rate fixed by
the board. The unions admitted that
the compensation amounted to about
the same, although they claimed
losses in elimination of punitive over
eiWS anu the ADVANTAGES OF certain
working rules granted by the board.
The union complained that the Burn
ham contracts were merely subter-
fuges to evade the transportation act
and the decisions OF the board and
| were not made in good faith. The
board stated. however. that these
| charges were not substantisted.
The unions had made threats OF
| striking, however, unless the board
! restored the rights held by railway
shopmen to the contractors employees
| 1t is estimated that about 10000
| shopmen are now in the employ OF
contractors. A strike vote on the
contract question is now being taken
by the six shop crafts unions.
ERIE IN SEVERAL CASES.