Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1922-04-17


sufficient latitude to meet local wage
and employment conditions in the
different sections Of the country, j.
w. Higgins contended in closing his
testimony Of the western roads be-
fore the Railroad Labor Board here
recently. His remarks applied spe-
cifcally to unskilled labor In the
maintenance OF way departments.
Now that our evidence is in" Mr..
Higgins said. ut shows concluslvely
that out Of a total OF 1901 un-
skilled laborers covered by studies
In the 2s western States, 10S,135 or
&c per cent. are receiving less than
the railroads pay for such labor. The
railroads are today standing at the
maximum rate level forced upon
them by Industrial competition dur
ing the war period. and that there
has been a pronounced recession In
the rates paid by industries for like
labor in the different sections OF the
country and that the railroads must
be given sufficient latitude to meet
the situation. In other words, the
war time competition for this labor
in industries disturbed the natural
Influences and economic factors
which have always governed un-
skilled labor on railroads and the
railroads are now asking that they be
allowed to go back to the long7estab-
lished and recognized practices OF
pre-war times when sufficient lati-
tude was had to meet local condi-
lions in the different sections of the
country.
1T is a well-known fact that the
rates for common labor are always
the first to go up, and that these rates
in Industries were increased In much
greater proportion than those Of
most classes during the war period.
In many cases the increase was over
200 per cent. and in comparatively
few cases did Il increase less than
100 per cent. A survey of the sub
missions OF the individual lines, in
conjunction with the exhibits that
have been filed, will, I feel sure.
show that their proposals would
produce rates for this class of labor
higher than the rates Of 1915 by at
least so per cent, and for much OF
II a greater percentage OF increase.
while we want wage rates for
such employees TO be fair and ade-
quate, we hold that under the pro-
visions OF paragraph td) Section 307
of the Transportation Act, Congress
did not intend by those provisions
that a fat rate should prevail
throughout the entire country. on
the contrary. by requiring that the
wages for railroad employees should
be considered and related to wages
paid similar work in other Indus
tries, Congress undoubtedly intend
ed that comparison should be made
with the rates paid in such indus
tries in localities contiguous TO each
road Therefore. the comparison
should be with natural rates in other
industries In the various sections OF
the country, and not with an artin-
clal nat rate. A uniform fiat rate
for common labor In the past
/ throughout the country was I'M
| known. Prior to Government con-
/ troll OF railroads uniform rate
I throughout the country for unskilled
\ labor on railroads was unknown.
While a uniform nat rate was not
established by the Railroad Admin
list ration for this class OF labor. &
was closely approximated by fixing
rates in accordance with the meth
cd outlined earlier in the day, which,
together with the strong competition
for this class OF labor during the war
period. forced practically all of II
up 70 maximum rate fixed by the
administration."
After outlining the manner In
which 'rlgid" rates for unskilled la
Dor came 20 be applied on the rail-
roads during the war and the effect
OF these conditions, Mr. Higgins con-
tinued:
1T has been impossible to make
agreements with the men to 1T loca
conditions and hence our appeal e
this board for relief from the high
rates and anomalous situation thus
created. We think the board should
not persist in retaining this disabil.
ity. AS the situation stands the
railroads, being obliged 10 pay higher
rates than paid in outside industries
for this unskilled work, are under 9
great financial disability that also
subjects them to criticism from tn,
public. not only as shippers, but al
employers OF labor. The board
should not compel the railroads q
+ continue this disability IN effect, blu
on the contrary, should permit O
the influence OF natural tendencie
upon the situation. II the railroad
run through a zone in which tn
rates paid by outside industries ar
much lower. there Is no reason VIII,
the Labor Board should compel tn
railroad company 10 pay excessivel.
} by continuing the higher artihcia
! scale. thus holding the carriers Il
. their present embarrassing position
/ OF having 20 pay extravagantly 70
this kind OF labor. which has resulte,
in public charges OF uneconomica
E management for which they are no
3 responsible Notwithstanding thi
d situation on the railroads. though
j created much comment. unrest ant
dissatisfaction. the industries reduce
y their labor rates until today, as yoi
can see from the evidence we hav
submitted. they are from 80 pc
=, cent. to so pc recent. less than III
rates paid by the railroads.
outside OF the requirements {
the Transportation Act, which place
upon this board the obligation :
consider the relation between wage
4 and cost Of living this situation doe
IN not require any affirmative actor
The situation may be met by an Of