The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-04-03
Hoover and Wage Cuts

President Hoover Is muddled again.
1t took him year and half Of the worst de-
preston in history to discover that unemployment
had reached serious proportions and then one of
his own government departments had to make
special survey to show that unemployment twice
as high as the Hoover estimate.
1t took him year and half to discover that
wage cuts are proonging the depression.
At least he appeared to have made that belated
discovery on Thursday. But on Friday he denied
the fact. What he thinks today don't know.
On Thursday various newspapers, including Re-
publican organs especially close to the administration,
published circunstanal stories quoting White House
sources to the effect that the President alarmed
by the tendency to cut wages, that this trend
eopardized revival of prosperity, and that Hoover
intended to do something about it.
on Friday the White House officially denied that
there we're disturbing wage reductions in important
industries and asserted that the President, on the
contrary, was pleased greatly by the generally high
wages being maintained
why did the President have this sudden change
of mind?
Does he not know that the recently published
report of the bureau of statistics of the United States
department of labor states that in the month end
ing Jan. IS, in fifty industries, 1856 establishments
made wage cuts averaging 1912 per cent and affect
ing so per cent of all the employees in the establish
nents concerned?
Has the President forgotten his earlier efforts 10
prevent such wage cuts?
Immediately after the Wall Street panic, the Presl-
dent was smart enough to understand that mainte-
nance of high wage levels should be the key to con-
tnued industrial prosperity So his contribution IN
the emergency was the White House conference,
which agreed to captal-abor truce, in which labor
would not strike and capital would not cut wages.
But many of the employers broke their pledge and
cut wages Increased depression was the result
Last September the President made second ap-
peal to employers to keep up the wage level When
J. w Barton head of the national bank sections OF
the American Bankers Association advocated lower
living scale as cure for depression Hoover replied
with last minute changes in his prepared address to
that association.
ANY retreat from our American philosophy Of
constantly increasing standards Of living hac0~
retreat into perpetual unemployment and the accept
ance cesspoo of poverty for the large part OF our
people" he said.
Needless of this warning certain bankers continued
their drive for lower wages. Much of this has been
under cover But recently such leading bankers as
Albert Fl. Wiggin, chairman Of the Chase National
bank of Chicago openly have justified wage cuts
Colonel Arthur Woods as chairman OF the Presl-
dents emergency employment commission, is in po-
ston to see at first hard the runouS results u OlS
drive Hence his statement that 1T would be indeed
unfortunate if employers generally took advantage OF
the present situation to engage in wage-slash1ng
movement"
Wage-slashng is no longer threat, but an actual
yas proved by the latest report Of the United States
department Of labor.
This must be stopped somehow, and quickly 1t
is destroying the little remaining purchasing power
of the workers. That means suffering not only Tor
the wage earners and their families, but for profess
sonal men, for merchants, for the entire country
which is dependent upon the ability OF consumers to
buy goods
If President Hoover can persuade short-sighted
EMPLOYERS and bankers to stop these suicidal wage
cuts it will be a great achievement
But he can not accomplish anything by denying
the facts