Twin city review. [volume] (Champaign, Ill.) 19??-1929, 1922-12-15
PROGRESSIVE GROUP
WILL FIGHT VICIOUS
TREASURY LOOTING
MEASURE.

By International Labor News Service
Washington, ID. G, Dec. I4.-As
expected the House passed the ship
subsidy bill the day before Thanks
giving, 20S TO 1874, and the Senate will
struggle with II for a filibustering
period while the Old Guard that was
] repudiated so oecisiyeiy at the polls
makes a desperate effort to put
over one more IDEAL" at the expense
Of the L. S. Treasury.
Outgoing Congressman, it is I'M
dersteod, were offered comfortable
jobs if the subsidy went through.
/ Outgoing Senators have a similar
choice of submission or oblivion. No
Yote-no plums. A mess of pottage
and a bartering of votes,
The facts and arguments on the
measure will be aired in great detail
| during the Senate discussion. The
progressive Senators who are not in
favor of such vicious legislation as
the Lasker bill, even though some
of them favor constructive govern
ment aid to the establishment of a
merchant marine, will put up a fight
that will make history. Every kind
| Of political and social pressure will
1 pV t<NtANih AAt wan
will fall, the strong will stand.
The pending subsidy bill will do
none of the following things claimed
| for it as a basis of vote getting--im-
prove wages Of American seamen,
provide an incentive to shipping, re-
duee government expenditure, aid the
| farmer.
No Help to Labor.
Al fba hon nj fnc IN the hill Draei-
dent Andrew Furuseth of the Sea-
mems Union said in reply TO the argu-
ment that a subsidy was needed to
compensate shippers for higher wages
paid American seamen:
AS result of these reductions
the wages of American seamen are
now much lower than the wages of
Canadian and Australian seamen;
are practically on level with Brit
| ish wages; and are substantially
higher than the wages only of Jap
anese among the principal maritime
nations"
Although President Harding used
the stock labor argument in his adj
dress to Congress to get labor sup
port, Chairman Lasker, himself, said
during the hearings:
here that / think the Seamen's Act
| has been one of the most misrep-
resented acts of which | have ever
heard. | came down to Washington
believing, as most people in my part
of the country do, if you repeal the
| Seamen's Act you would have a
merchant marine. That is pure bunk.
The subsidy provides payment of
1 g11 nm appnatly m earpa StaDpoprC nf
5000 dead weight tons that cost any
where from $250,000 to $1,500,000
Such a subsidy constitutes no incen-
tive to shippers engaged in commerce
On the other hand, the subsidy
provides large payments to passenger
steamers. The George Washington
for instance, which made a profit OF
$4,000 on its first voyage, will re.
ceive 100000 annually from the
Shipping Board, grant of money il
does not need. On the other hand
the Pacific Mail fleet of twelve ships
doing real business in shipping, will
receive only $150,000 a year.
May Cost $75,000,000 Yearly.
President Harding's argument that
the ship subsidy will mean a saving
to the country of $4,000, 900, is not
supported by facts and has been en-
tirely shattered by Senator Fletcher
and others who have made a study
OF the problem. The present cost OF
operating the U. S. Shipping Board
is $36,000,000 a year. Chairman
Lasker has himself admitted that the
cost of the ship subsidy will tota
100000 annually, although Sen
ator Fletcher and others insist thai
it will reach S75,000,000 annually
The figures don't agree.
Senators and Congressman opposed
to the ship subsidy insist that the
government will be more successful
and will benefit the country more by
operating its own ships, instead o.
contracting them out to irresponsible
shippers.
Great Britain, France and Japar
have for years been giving aid t.
their merchant marines, most of it in
directly, and the total contribution o.
all these countries is now SIT ,000,00l
annually. The United States has beer
/; paying for many years a subsidy t,
mail carrying ships, but this is en-
tirely aside from the proposed shiI
subsidy of S75,000,000.
Why Board Loses Money.
The losses of the Shipping Boar
are largely due to the so-called MO-
contract, by which the government
guarantees to pay all the losses and
IN addition, per cent on all bushes.
carried in shipping board vessels
Under this arrangement the govern
; ment has. been holding the bag, Will
+ private ships of leasing corporation
have taken the profitable business, Ii
June 1921, Chairman Lasker prom
Used the Senate committee that tn
i MOI contract would be eliminated il
/ six months. 1t is still in operation
: however, and it is apparent that tn
n Shipping Board will do nothing {
e remedy conditions, and will merel.
: perpetrate inefficient operation as
I means of disgusting the public wit
shipping and forcing Congress Il
swallow the ship subsidy bin in DIES
) peration.