The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-04-19
How To Save Capitalism

Those who would capitalism we'll might turn
for a minute from theoretical congratulations to
practical cases. One of the best is the record of
the Rocky Mountain Fuel Company in Colorado, as
compared to the old line Bourbon operators in
Kentucky
In the Kentucky coal fields where union labor is
excluded outlawed, have a dismal record of
industrial anarchy class violence and group hareds
Economic conditions such to drive these
taineer miners-old colonial stock of fierce individual
istc traditon-nto Communist sentiments.
Turn to Colorado and look at the situation prevail
ing in the Rocky Mountain Fuel Company which has
been dealing with the United Mine Workers since 1928
Production per worker has been increased notably.
In 1929 the company produced 175OOO tons of
coal than in 1928 Daily production to the man in
creased three -fourths ton.
This company has stood up under the depression
far better than it's competitors In 1880 the depre
sion caused falling off in production in all Colorado
fields of IT'S per cent, followed by drop of 2O1 in
1881. In the Rocky Mountain Fuel Company, the
slump amounted to only 10 per cent in 1880 and
1916 per cent in 1881
Wages have been increased Average yearly earn
ings of the miners from $1661 in 1928 to $21O4
in 1929. Average daily wage of the miners $500
in 1928, $797 in 1929, and So in 1880.
While wage reductions have been general during
the depression in the Colorado coal fields the Rocky
Mountain Fuel Company has held out resoutely
against this tendency. The statements on the point
by Merle D. Vincent, executive vce-presdent of the
company, constitute a real example of enlightened
capitalism:
Efficient management easily more effect cost
savings by wage increases than by wage cuts In
creased wages and rational and satisfactory working
relations will increase the daily output of coal to the
man, while wage reductions and the resulting injus-
tice and discomfort tend to diminish man output and
to increase cost
THE effort to cut wages threatens repetition of
the social and industrial anarchy which periodically
has 1ared up for a generation and more in Colorado
as a result of similar efforts to secure operating
profits at the sole expense of the workers.
REORGANIZATION and instability of the override
veloped coal industry not be corrected by forcing
labor take lower and lower wages and sdestepping
the responsibility for correcting operating and
keting abuses which prevail in the industry =.
ANY coal mine which not operate without
reducing its workers to starvation wage has
nonic reason to operate"
The miners have not been slow to show practical
appreciation of such decent behavior on the part of
the Rocky Mountain Fuel Company They have
ganzed coal committee designed to cooperate with
the Colorado Farmers Union in helping to provide
a market for the coal of their company. They have
served the following notice the coal operators
reject unionism and slash wages:
I'VE and the Rocky Mountain Fuel Company will
mine and put coal in every market at prices which
will meet any and every price made by nonunion
operators who vicously taking advantage of wide
spread unemployment and hunger to crush out the
rights of workers to fair wages and decent American
living standards until this conspiracy is broken"
And this has been idle rhetoric Retail sale of
the coal of this company jumped 80 per cent in 1881
Further in August, 1881, the miners agreed to loan
to the company one-haf of their wages during
August, September and october to enable the COM
pany to carry on its battle against nonunion and
wage-cuttng competitors
The agreement between the miners and the COM
pany we'll might be taken the preamble of any
scheme Of enlightened capitalism and industrial plan
ming 1t states that its purpose is
ITO substitute reason for violence, confidence for
misunderstanding, integrity and good faith for dis
honest practices and union of effort for the chaos Of
the present economic warfare