The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-04-03
BANKS FORCING
WAGE CUTS, IS
LABOR CHARGE
A. F. of L. Joins With U. S.
Leaders in Fight to
Halt Pay SlaSheS.
39,o9o MEN ARE HIT
Figures Reveal 228 Firms
Sliced Workers Salaries
During February.
By United Press

81 United Press
WASHINGTON, April 3.-Hieh
officials of the federal department
of labor and the American Fedora
ton of Labor joined today in
charging that leading banking in
terests are fostering efforts 10 re-
duce the wages of the nations
working men.
1T. is becoming increasingly ap-
parent that the banks are hell-bent
for putting the wage scales back to
where they were in 1913," Ethel5ert
Stewart, federal commissioner of
labor statistics, said
President William Green of the
labor federation charged there is a
conspiracy" in several leading in
dustries to reduce wages and as
serted that banks already had COM
PEELED some concerns to cut their
employees pay.
S9,096 Workers Affected
Wage reductions reported to the
federal labor department for the
month ending Feb. IS averaged 1913
per cent and affected 39,O96 work
ers in 228 establishments.
Everybody but a few old fossils
are in favor of high wages" Stew
art said. ''On the other hand, most,
though not all, of the banks are
unable to get away from interest
and dividends. That is the only
thing they can see. Any talk of
lowering interest rates or emitting
dividends is Immediately resented
and the old-tirne remedy of reduc-
| ton OF wages is proposed"
He pointed out that banks which
made large loans when price and
wage levels were high would find il
highly profitable to be repaid in
dollars of greater value. Prices al
ready have come down so that a
1926 dollar now has z purchasing
power of s1.32.
mot True of All Bankers
"But the pound of flesh was not
in the bankers bond Stewart con-
tinued eve didn't agree to pay
them back in dollars worth $132,
and it is time some one said it.
Though it should be added that this
is not true Of all bankers"
Green in an editorial in the labor
federation's magazine said:
Leading industrial executives have
made an unprecedented effort to
maintain wage rates. In contrast
i. is the recurring suggestion Of
bankers for liquidation
Prices have gone down, but that
does not satisfy these bankers. A
number have specifically urged wage
reductions"
Green said the textile, boot and
shoe and bituminous coal industries
had been the chief offenders so far
in reducing wages.
Labor Secretary William N. Doak
called upon employers Thursday to
observe their 1929 pledge not to re-
duce wages.
While the figures available at the
labor department do not represent
all wage slaShes in the month.
they provide an index to the trend,
covering q total Of 1887 establish
nents.
Three companies reported wage
increases Of 2, 5 and per cent, re-
spectively, affecting 209 employees.
In several instances there were
fiat reductions of 10 per cent for al
employees.
Du Points Keep Wages Up
United States Chamber of Com
merce experts estimated Thursday
that wages Of common labor have
dropped an average Of so cents q
day.
Several business leaders who
gathered in the November, 1929,
conference at the White House to
cope with the unemployment stu
alton, told the United Press today
that the agreement reached there
for the maintenance Of high Amer
lean wage levels generally had been
fulfilled.
Pierre S. Du Pont, chairman Of
the board Of the r-flung De Pont
concern, said wages and salaries
had been maintained in his con
Germs, but held that the future must
determine whether present scales
can be kept
Personally" he said. Il favor
maintenance of high wages, but
whether existing wages can De OBJ
taned is q question that must be
determined by future Develop
ments."
Walter S. Clifford, president Of
the American Telephone and Teie-
graph Company. telegraphed that
no reduction in wage rates has been
made in the Bell system.