The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-06-21


the government some $500 million to
date, has been repealed. A mere $13
million of this sum had been paid
to the government in principal and
interest, But the Interstate Com
merce Commission is preparing to re-
pay even this sum at once. The own
ers of roads controlled by Morgan,
U. S. Steel Corp, will get over SO
million Of this gravy.
The Van Sweringen interests, fol-
lowing establishment of the fact that
these roads were acquired for nothing
by these sleight of hand financiers.
receive in cancelled government obi
cations, over $50 millionsl During
the past 10 years stock and bond
holders of the Van Sweringen roads
tnotably the Morgan interests ),
pocketed $500 millions in dividends
and interest.
From February, 1882, to February,
1888, these roads borrowed" from
the government almost $40 millions.
According to the latest ruling of the
Reconstruction Finance Corporation,
interest to railroads has been reduced
one half per cent and will be further
reduced another one half per cent
as an inducement to repay. Roosevelt
Is keeping his promise to the rail-
road owners. At the same time the
roads have served notice on the rail-
road unions that they intend to ask
for 221a per cent cut in basic rates
Of pay.
Wages Outside of the Coordinator Act
One Of the so-called concessions
made to labor in the coordinator bill
was that wage questions would not
be handled through the machinery
set up by the bill, but would go
through the regular channels of me-
diation and arbitration under the
Railway Labor Act. The roads res
pended to the Presidents generosity
in the matter of rebates and reduced
interest payments by adding 71a per
cent to their previous wage cut de-
nlands, which called for is per
cent slash in 1892. If the workers
allow this question to go to media
ton they will surely find themselves
saddled with cut considerably in
excess Of the 10 per cent deduction"
under which they are suffering at
the present time.
Lay Offs In No Way Safegaarded
The second victory" which the
railroad brotherhoods hailed in the
amendments to the coordinator bill,
was the fact that no more than $4,000
jobs could be cut under the coor-
dinator In any one year. They COM
pared this to the first enthusiastic
proposals of Eastman and the other
advocates of economies at the ex-
pense Of payrolls.
From 100000 to 300,o 1000 men would
be forced out of the service if the
bill went through as originally draft
ed In discussing what could be done
under the bill, Eastman let the cat
out of the bag when he said, the bill
In no way interfered with such re-
roads chose to make without regard
to consultations.
On the very day Eastman made
this statement there appeared de-
cision of the Interstate Commerce
Commission granting roads in New
Jersey to consolidate their parallel
lines between Atlantic City and New
ark. Consolidation of parallel lines
means Of necessity reduction in for
ces. Another Interpretation of the
working force limitation in the CO.
ordinator bill is that with an up
turn in traffic the roads will, not only
manage with their present rock bot
tom working forces; they will be able
to operate with q per cent reduced
working force. Expenses are being
held below last years levels" accord
ing to the latest report of the N. Y.
Central Railroad. "and the increased
traffic is being moved with only
slight increases in operating forces"
The Central reported that it handled
90, 1913 cars June, SLID. as against
1890 in the same week last year
and B4,238 the previous week in 1888.
Profits Soar
The investment department of the
convention of the American Institute
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