Evening star., 1932-02-28
Behind the Rail Wage Cut

price as me unsound haae slowly
crumbleS.
It Is such eco1cmio tncidsnAs g shia
which came out IN the ChicaNo heaxanR.
that conferred public attention ON the
caliber Of men directing the railway
unions and meeting the high-powered
railway hnancierS face 10 face In the
discussion Of the greatest industry IN
NEUTRALITY-SUSPICIOUS.
invests Life In yohA.
1t was thought out that wtMle the
workers were being called upon 70 ac-
cept q reduction In wages In order, as
the employers said, 10 help meet fixed
charges and dividend obligations, the
employers we're not under similar obh-
cations to the workers.
This Is an economic situation that
faces all workers. The employe invests
his life in his job He meets the "hxed
charges" Of subsistence OF himself and
his family through his wages, and when
he joins the ranks Of the idle he cannot
draw on any reserve" as the employer
can, 10 meet "a critical financial sttua-
ton, because the wages allotted him do
not permit the accumulation Of a sur
plus.
The Chicago conference, at which
the union representatives rose to new
heights of service to the working
classes of America, Is an important
contribution to the economies OF this
country. It proves beyond peradven-
ture that constructive trade unionism
is advantageous to any industry.
Principles were set out and theories
were met by practically at the Chi
cago conference, emphasizing the part
nerShip between capital and labor.
As the workers pointed out to the
railway magnateS in that Chicago
meeting, labor recognizes that it Is the
duty and obligation of railway man
agement to provide income necessary
at least to pay fixed charges, but in
cluded in these fixed charges are the
fixed charges" of the employees which
must be met.
All workers, incidentally, come un-
der this economic canopy. They must
be protected and employers should give
sympathetic consideration to wage
policies whereby the worker Is not only
kept alive and nourished, but that he
be kept comfortable and self-sup-
porting.
Railway employers, and in fact most
other employers, are not unfamiliar
with this dictum of economies. The
emphasis laid on this particular phase
of wage conditions at the Chicago con-
ference will go far toward showing en-
ployers they have a duty In the prem
ises to their workers, a fact which
organized labor has long pointed out
| and which employers were loath to
accept.
The question was asked: "If employ
ers cannot provide the means Of sub
sistence to workers in time Of depres-
sion, from whom is this support to
Gomez"
The railroad workers attempted to
impress on the railway management
that the human element in industry
comes first, and while some employers
accept this, the railroads couldn't
see it.
1t was pointed out that the Diff
culties the railways found themselves
in were the result of financial policies
which controlled the development Of
the railroads, and were in no way
caused by unreasonable payments for
labor. 1t was shown that employees
of the roads were doing more work and
/ producing more money to man than
ever before.
| The workers have taken their full
share of the losses the last two years.
/ They contributed more to the reduc-
ton OF operating expenses than any
other factor That Is one thing labor
/ always is called upon to do-help re-
!
| But with it all, the railroad workers
agreed to consider the pressing needs
of the industry by which they were
employed They wished the solving OF
/ the problem and did not insist on
abstract rights when they found they
were confronted by a fact-a gesture
of generosity that even hard-botled
magnateS had to admire
And as we said in the beginning, It
is not possible to forecast the effect Of
the changed wage rate of the railroad
workers, but we do believe that the
result Of the action of the workers
will have a far-reaching effect on fu-
ture management of the transporta-
ton industry, and many other indus
tries which watched the Chicago con-
| ference.
! A new and more humane regard for
! the rights of workers and a jealous
ness on the part of employers In pro-
viding work will eventually manifest
itself as one result of the conference.
Railroad financing and operating man
agement will become better balanced
between employee and employer, be-
cause the facts developed at the con-
ference have paved the way. Not an
inconseQuential victory for the workers.