Morgan County Democrat. (McConnelsville, Ohio) 1886-1943, 1933-01-05
The State Highway Department Is
OhiO's Largest Industry

Ohio's Largest Industry
The state highway department,
Ohio's largest industry in 1882, be-
came a tremendous relief agency
during the year when 1t went to
the rescue of the distressed by en-
ploying many thousands, State
Highway Director O. w. Merrell
said recently in report. to the state
relief commission.
First the measures taken by the
state highway department designed
for the special relief of the unem-
ployed was the winter bridge relief
program during the winter of 1891
1892. 349 bridges were placed un-
der contract at total cost OF $3,-
100000. Most Of these bridges were
required to be completed by April
80. That this work would benefit
the largest number of local unem-
ployed, provision was placed in
each contract requiring that 85%
of the contractors labor should be
hired from the county relief COM
mittee's list. A minimum. wage
score was specified in each contract.
Besides the relief afforded to the
unemployed, the state by reason OF
low material prices which prevailed
at this season, accomplished the
work at unusually low costs.
Approximately 379o of the bridge
construction dollar goes to direct
construction labor, that is the labor
employed by the contractor In the
actual construction of the bridge.
This means that of the $3,500,000,
379o or 1925, 900 was paid to la
Dor directly employed on the job.
At the rate of Csc per hour this
amount of money furnished work to
1894 men for a period or SIX
months. Further analysis shows
that about 38.7% of the $3,500,-
600 was paid to labor by producers
of materials (sand,> gravel, stone,
cement, steel, railroads, supplies
and repairs, fuel, bond and insur-
ance and miscellaneous materials).a
In other words, $1,354,500 or
1870. of the bridge dollar went to
labor in the manufacturing proc
esses Of these materials and their
transportation to site of the project
where they are finally incorporated
into the work by labor employed by
the contractor Therefore, in addi-
ton to giving 1854 men steady en-
ployment for six months, there were
3,100 men Cat the rate OF 35c per
hour) employed to produce and
transport this material. Combining
the total labor involved (both di-
rect and indirectly and reducing to
the basis of $1,0O0,000 worth of
bridge contracts, 1892 men can be
employed for six months steady for
each 100000 expended on bridge
construction. These figures do not
include the salaried personnel en-
ployed in administration of this
work, such as the engineers making
survey and plans, designers, clerks,
inspection and supervision and ex-
ecutive personnel.
While this winter bridge relief
program proved very effective
measure for the alleviation of the
unemployment situation In many
communities in the state, the state
highway departments regular 1882
highway and bridge construction
program was by far the largest con-
tribution to labor, because OF its
proportion of money involved. That
the benefits of this work would be
generally spread throughout the
state, a provision was placed In all
contracts that 500 of the contrac-
tors. labor must be selected from
the local county relief committees
list. A minimum wage scale was
also established for each county
which averaged about 3Sc per hour.
According to available data about
76%o Of the highway construction
dollar goes to labor direct and in
direct. This 1870 is split, 34%
paid to employees by contractor and
1920 paid to employees by furnishers
of materials and transporters. The
states highway and bridge con-
struction contracts exclusive OF
winter bridge contracts) amounted
to $2O,712,869.08. This sum of mon
ey on basis Of 1870 per hour and
the percentages of direct and indI-
rect labor, furnished employment to
33,193 men for six months. The
approximate number of men en-
pIoyed by the contractors having
state contracts were 4O,392. This
difference is explained by the fact
that some contracts were completed
in several months and the contrac-
tor moved into another locality,
there hiring different group OF
men, the result being that during
a period of six months he may have
employed two groups of men while
the estimate of 33,193 covers a six
months period Of steady employ
ment.