Worcester Democrat and the ledger-enterprise. (Pocomoke City, Md.) 1921-1953, 1922-04-22
FACTS PRESENTED
BY N. c. BYERS
President OF Western Maryland Rail.
way TeIIs Why Reed Adopted
Repair Contract Plan.


Baltimore Sun. Maxwell C. Byers,
President Of the Western Maryland
Railway Company, has prepared for
that newspaper . statement giving the
reasons why the railway company
placed its repair work In the hands
OF q contracting company, = move
which has led to q strike of certain
employees.
The statement is important because.
OF Its bearing on the strike In question
and also because It reveals that the
determined policy of railroad COM
panies is to strive to restore normal
freight and passengers rates. To do
so the railroads must reduce the cost
Of railroad labor as we'll as the cost
Of all materials and commodities used
by them.
Mr.. Byers In his statement gives ex-
preston to many vital points involved
in the present railroad situation.
THE business Of the Western Mary
land Railway Company" says Mr..
Byers, sis transportation or the op-
"a "tAOh VA hiCA6Ht p6bSCLBCt
trains. The company has not con-
tracted, nor has 1t in contemplation
contracting, this work or any part OF
it. The repair Of locomotives and cars
Is incidental to the business Of run
ming trains, and the question OF wheth-
er the railway company itself do such
repair work or have It done by other
companies under contract has been
determined, and ought to be deter
mined by the management, and
by other railroads also with q view
primarily to economy. In other words.
when a railway company finds that It
can repair its cars and engines in It's
own shops more economically than It
can have them repaired by outside
companies, It naturally does such work
itself; 1t follows equally naturally that
when the railway company finds it can
have suoh work done more economic
ally by contractors than 1t can do It.
self such contracts are made.
There never was time when there
was so great need for economy In
railroad operation as today. This is
true in the interests Of the public, for
whether freight and passenger rates
are high or low depends on what it
costs the railroads to operate. There
fore when the management OF the
Western Maryland found, after care
full investigation, that we could have
our engines and cars repaired more
economically by contractor than we
could repair them ourselves, 1t seemed
to us that the sensible thing to do was
to make contracts for such repairs.
"The Western Maryland could not
accomplish this result by sending en-
gines and cars to Philadelphia, or 10
some other point where large con.
struction or repairs concerns are To-
Gated, because Of the cost Of trans
portation, the profit which the con.
tractors under these conditions would
necessarily have insisted on to cover
overhead, ETC., but after diligent effort
we found that we could secure a con-
tractor who was willing to come on
the ground and because OF utilizing the
existing shops. roundhouses and other
facilities OF the railway company. and
consequent low overhead, would &C.
cept an extremely small margin of
profit and thus allow the railway COM
pany to effect the economy Of opera
ton which the plan was designed to
accomplish.
"The Western Maryland is not alone
in making these contracts. Among the
other roads which have made them are
the Great Northern, the Erie, the Chi
cago, Milwaukee and st. Paul, the New
York Central, the St. Louis-San Fran.
cisco and others. The labor organiza-
tons which object to these contra It's
did not call their men out on strike,
but pursued peaceable methods Of ap-
pealing to the Labor Board last fall,
and although these cases were heard
before the Labor Board December last,
they have not yet been decided. The
contracts are still in force and EN-.
ployes OF the contractors are, as far as
l know, working quietly. The Labor
Board has announced that employees
who think they have grievance must
appeal to that board and not go on
strike pending its decision on tho pen.
atty Of FORGETTING relief which the La.
Dor Board might otherwise give.
Are the employees of the contractor
being treated unfairly? Not, judged
by the standards of what men doing
exactly the same kind OF work in out.
side industries along the Western
Maryland Railway are making. The
average mechanic along the Western
Maryland in outside industries Is max
ing fifty cents per hour; the con.
tractors employees doing exactly the
same kind Of work demand an average
rate Of seventy cents an hour.
Compare wages received per month
BY shop mechanics on the following
basis:
Labor Board rates OF TIC per hour,