The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1934-08-27
But Wages
Lag Behind
Living Cost
His Report to Roosevelt
Shows Bosses Gain,
Workers Lose &

WASHINGTON, Aug. 90
Fabulous increases in profits
for the big corporations and
deepening misery for the
workers of the United States
this is the conclusion to be
drawn from the balance sheet
of the NRA as presented to Presi-
dent Roosevelt today by Donald r.
Richberg, Executive Secretary Of
the Executive Council. coordinating
all the emergency activities of the
New Deal administration.
This report, the broadest analysis
of New Deal measures yet under
taken by the government to date,
will be submitted in sections. To-
days material deals solely with the
first section of the report. and is
headed Relief Of industrial unem-
plcyment.'
Corporation profits of 402 in
dustrial companies rose from S4f.-
$4,000 in the first half of 1888
to S3SA $4,000 in the first half of
1854, according to figures quoted
in the report, an increase Of over
500 per cent. The index Of cor
p0Tation profits mounted from a
deficit figure Of So in the first
quarter of 1888 to the profit fig
ure of 1872 in 1894.
That the Blue Eagle takes credit
for it is obvious by the scarcely
concealed gloating tone of the re-
port when Richberg states :" the
coincidence of business improves
ment with the NRA codif1cation
in stabilizing business operations
and in the increase of prices
from loss levels to profit levels,
demonstrate the dominant influence
of the NRA in this industrial ad-
vance,
Living Costs Grow
While the great trusts doubled
and tripled their dividends, the cost
of living mounted 96 per cent.
Workers wages. Richberg declared,
rose 8.6 per cent per capita, clearly
at least IL per cent behind the
cost Of living, even according to the
claims of the report. Average wages
were $50 cents an hour in the
period of the NRA to date, and the
average working week 81 hours.
Thus, if worker had a full week,
the average wage was S20.42.
How great the extent of unem-
ployment is in the country is sharp
ly indicated by the bold figures OF
the report. A total of 1887 SOB
workers applied for jobs during the
year ending June 80, 1884, through
the National Unemployment Service
and the State Employment Services.
Even allowing for a certain percent-
age of duplication of applications,
it is clear that official figures still
tend to minimize the terrific degree
of unemployment. BY no means all
the unemployed have applied for
jobs on the federal or state employ
ment services.
Totally placed by these services
were 6,951 ,523. Of these laos, 358
were on public works projects, A.
l23,925 on civil work, 1,305.S73 in
private employment, and 1l8,367 in
government jobs.
Carefully avoiding mention OF the
month of July of this year, when
employment sank sharply, the re-
port claims an increase in workers
in private enterprise of 4.120.0eo
over the low figure Of March. 1888.
Reliable figures indicate 40,180,000
persons were employed in the Uni
ted States in June, 1884, Rich
hergs document states.
Admit Near End of P.W.A.
Admission is made of the fact
that employment on P.W.A. projects
will decline in the Fall and Winter
months. Thirty per cent of all P.
WA. allotments have already been
spent. The report shows that P.W.
A. funds can lact approximately Is
months longer. with no indication
of what is to be done after P.W.A.
funds run out.
Official admission of the use of
F.W.A funds for war preparations
Is made. The Navy Department
the report states, received from
Public Works Administration an all
lotnent of s277,098, 924." This is
being used for warship building in
shipyards throughout the country.
The War Department received $685.
4,21l, mostly for work on harbor
Notifications
How important this phase of
the recovery program is indicated
b. the far-from-casuaI insertion
into the report of the statement
os Secretary OF the Navy Swan
son on the virtues of warship-
Continued on Page 2,