Evening star., 1935-05-21
The Wages of Relief.

employment business IN a Dig way,
through the work-relief program. The
rates Of pay which the Government
is prepared to allow on the work.
relief projects have just been an
nounced in an Executive order signed
by President Roosevelt. These rates,
which run from SIG a month for
unSkilled labor in the 'lower South"
to $94 month for professional serv-
ices in New York City, are below
the so-called prevailing wage rates
in private industry. This need be
no surprise in the light of President
Roosevelt's announced intention to
pay security wage" when he put
forward the plan for a gigantic work.
relief program. The fight between
the White House and the Senate over
the McCarran prevailing wage amend
ment to the work-relief bill when
the measure was before the Upper
House could leave no possible doubt
as to what the President intended.
The work relief program. in a gen.
eral way, is dedicated to the shifting
Of 3,500,000 unemployed workers from
the relief rolls to the Govern
ment pay rolls. Instead of permit
ting private business to carry on these
work relief projects with private en-
ployes and private wage rates there
is to be State employment at State
wages. The State, which is merely
another name for the Government. is
going into competition with all kinds
of private construction business. and
it is going to get its work done for
less than private business would do it.
And when private business sees the
Government getting work done for
less than private wages, private busi-
ness very likely will see If it, too, can
not cut the costs of labor.
One of the troubles about this State
employment of unemployed labor is
the fact that the Government Is un-
willing to forget that the work is
made work: that it is a form of
charity. Under such circumstances,
the Government argues, the workers
should be glad to get what they can
for their labor. Here is a taste of
what may be expected to happen if
and when the "planners" who look
eventually to kind Of State socialism
are in the saddle. Labor will be ex-
pected to take what the Government
tells it to take-and like it.
This matter of wage scales has
ing problems facing the whole
ing problems which faced the whole
work-relief administration. The Pub
lie Works Administration, built up
efficiently under Secretary Ickes of the
Interior Department, has had little
trouble over wages. There was no at
tempt to designate a security wage"
The actual construction work has
been done by private labor as dis
tinct from Government labor. The
theory has been to spend money for
worthwhile public works, permitting
the money to aid private employment
and private business. The work-relief
program is something else. The Gov
ernment is going to do directly what
it was seeking to do indirectly-in-
crease the number Of the employed.
Leaders Of organized labor issued
warnings against the adoption of the
security wage" before the work-re-
lief act became law. They now see
a blow to labor in private industry
from the wage scales promulgated by
the President in his executive order.
They are fearful that strikes and un-
rest will follow, and they fear, too,
that private employers will not be
long in taking leaf from the Gov
ernment's book, paying lower wages
than they have in the past.