Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-11-02
WAGES DECREASED
AS BUSINESS FEELS
EFFECTS OF SLUMP
Many U. S. Corporation
Heads Are Striving to Main
tain Present Schedules.
COMMODITY SITUATION
HELD KEY TO PROBLEM
Further Recession in Raw Mate
rails Would Cause Cuts in
Workers Pay.
BY JOHN F. SINCLAIR.
ecial pispatch to The Star.

Special Dispatch to The Star.
NEW YORK, November Am
nouncements of wage cuts always bring
announcements from other corporations
on the other side that no wage cuts are
contemplated.
Nevertheless. wages have declined
since the depression began. The Bu-
reau of Labor Statistics shows that in
every month with the exception of two.
between October, 1929, and August,
1880, there were more wage reductions
than in the preceding months.
Alfred L. Bernheirn of the Labor Bu-
reau, Inc, of New York makes the pre-
diction that only far more drastic
reduction in retail prices than has as
yet taken place will prevent a retreat
from the relatively high standard of
living enjoyed by the wage-earning
class prior to the beginning Of the pres
ent depression"
Opposes Cuts in Wages.
c. C. Conway chairman of the Con-
tinental Can Co., large employer CT
labor, is one executive who is opposed
to any reduction in the wage level at
the present time.
maintained at their present levels" MIR.
Conway recently said, land the best
hope that they will not be lowered
much from these present levels lies in
the fact that employers, by and large,
realize that good wage level is essen
tial to prosperity.
I'm 1920 and 1921 many employers
felt that the liquidation of wages was
necessary" he added. Nov, a decade
later, most employers do not wish this,
but are fearful that the present levels
cannot be maintained. Personally, I
strongly favor maintenance of the pres
ent wage level"
But neither Mr.. Conway nor any
other American executive can maintain
the present level of wages if the COM
modify price level continues to recede.
During the last year a 16 per cent drop
in the wage level has taken place. Let
another 10 or Is per cent drop result
and wholesale cutting Of wages will
take place.
Organized labor should be much more
interested In the formulating measures
designed to stop the price level than in
any other phase of the present trouble.
This problem is receiving plenty of
attention in certain quarters. But 1t
will receive much more before the Win
ter is over.
Young ON Mission Abroad.
Owen D. Young of New York, author
of the reparations plan that bears his
name, quietly left the United States be-
fore election day to study al first hand
the present effect of the plan on Euro
pean business. The fundamental ques-
tons involved in PREPARATIONS and inter-
allied debts are again coming to the
front. While the Bruening government
of Germany has succeeded for the mo-
ment in staving off any crisis in the
Young payments, enough can be read
between the lines to realize that it's
only matter of time when the Ger
mans will make some new demand.
With over 100000 people out of work
in Germany, her standard of living is
dropping rapidly. Her drive for foreign
business by 10 per cent cut in ths
price of her exports is significant, and
may have far-reaching consequences.
Which brings us to this question:
Germany is forced by her critical Sit
uation to cut her export prices by 10
per cent, will the world allow her to
continue to dump her goods on the
world market? Is her position any diff
ferent from that of Russia, which has
been following such a policy for
months?
Perhaps this is one reason why Mr..
Young is now in Europe!
Science Holiday Urged.
Gilbert K. Chesterton. British writer
and philosopher, advises science to take
a holiday and give the world rest.
But science will do nothing Of the
kind. She. will continue her progress
of discovery and advance, because in
herent in certain individuals is the de-
sire for such knowledge. Science is not
muddled. IT'S only that the business
world has not been able to readjust
itself fast enough to keep up with
science.
So the great research organizations
maintained by such institutions as the
Bell Laboratories, the Union Carbide g.
Carbon Research Laboratories, the In
ternational Nickel Co., the United States
Steel Corporation, not to mention the
new laboratories of the A. o. Smith Co.
of Milwaukee, will continue to turn out
surprising discoveries from their vast
activities with unfailing regularity. .
The price of progress is disorganiza-
tion-somewhere. The price of evolu-'
ton Is change. Crystalize any move
mept and it begins to wither and die.
in certain spots, but 1t Is only because
those spots have not been brought into
line with science.
No, science will take no holiday, unless
the world is prepared to move back
ward.
North Dakota Coal
Most people think of North Dakota
merely as a vast prairie State, which
raises one crop--Spring wheat.
But North Dakota possesses very val
liable coal deposits. In the years ahead
these deposits may become as i'm.
portant in her future development Is
wheat is today.
The Government reports show that
during 1929 the State produced 1862
900 net tons of Ignite, an increase over
the previous year of 2l2,200 tons, nearly
13 per cent.
The western part of the State con-
tains the coal. Mercer County pro-
duced nearly 25 per cent of the total.
Other western counties, like Ward and
Burleigh, ranked next in Importance.
In 1929, there were 1,421 men en-
ployed in the coal mines of North La
kota, of whom 938 worked underground
and 483 on the surface. Its coal out
put looks cheap on paper, for the total
value Of the mined coal in 1929 was but
So, 157, 900 as against So, 780, 900 in 1928,
an increase, however, of 1876 per cent in
value.
The average price per ton in 1929
was $1.70, as compared with $1.68 in
1928.
North Dakota may yet be one of the
great Industrial States, for cheap coal
means cheap power, and cheap power
spells industrial expansion.
(Copyrirht 1Q30. nv North AYnerfear N1aws.