The Connecticut labor news., 1923-05-25
Trends In Industry Monthly Comment on Business Conditions.

(By International Labor News Service
 Washington, D. C., May 25.-Re- markable industrial progress during the last month or two has been accom- panied by gratifying wage increases
 All industrial trends are upward Commodity prices increase and con- tinue creation of situation for which high wages offer the only remedy. High production rates are noted everywhere.
 If wage rates commensurate with commodity prices and production rates can be maintained there IS no reason why there should not be long continued prosperity.
 WAGES-On May 16 the United States Department of Labor reported increases in rates of wages in more than 800 establishments. covering 43 indus tries. The leading industries in this re- Spect were foundries and machine shops saWrnills, and iron and steel. The wage increase movement started in April in the Woolen and cotton mills of New Eng land where employers had maintained wages far below that required for a decent standard of living. The steel mills and the meat packing industries which had been most prominent among outOcratlC employers to take advantage of the industrial depression to force
 
 were then forced to raise wages in order Nto hold their employees. The pulp and paper mills joined the movement. Trans DOrtatlon, to some extent. followed. Employees in the lower wage levels in industry benefited most. Average weekly earnings in the 43 industries re- ported by the Department of Labor were 25.zz s35 during April e as compared to
 I prices were maintained at present levels. increased production would eventually and inevitably bring increased wages. At present wages rae advancing a trife faster than commodity prices is due to inbation and not to increased values or increased costs. The manipulation of sugar prices IS an outstanding illus tration of the process of inhation Metal prices were bound to increase profit at former low prices. The rising price of copper, for instance, results in increased employment for copper miners, many of whom had been without em- plo'ment for a long time. Concerning the increased price of clothing, many retailers are boosting prices, not on the basis of 1~olesale costs. but on runors that future prices will be higher. This Is pure speculation.
 PRODUCIION.-A and May have seen a continuance of the high production records established during March i'll iron, steel, automobile textile, building. mining. and transportation in dustries. The sour1dr1ess of the present industrial situation is demonstrated, among other things, by the fact that commodities produced have been moving steadily into trade and no large stocks are held for speculation. In other words, we have a boom-tine volume of trade and credit without imitation and, SO far, with minimum amount of spec1ation
 OYMENT.-There is not much talk of unemployment at present., but much talk of labor shortages. As a matter of fact, labor shortages, so-called, exist mainly in industries that are try ing to maintain former low wage levels New industrial establishments are in- stalling labor-saving machinery that enables them to pay higher wages and still hold production costs down. This kind of industrial competition on the part of new establishments is feared by old line plants that are trying to pro- tect their profits by forcing down irnrni- grafton bars.