The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1935-06-03
BUILDING COSTS
NOT EXCESSIVE,
H00SIER SAYS
Robert S. Foster ReSentS
Criticism; LaudS Gains
Under NRA.

FORGETTING the fair principles Of
NRA. going back 70 the barbarous
days OF tho chlspler. and taking IL
out on the wage Garner vii result,
% is my firm conviction. IN o rising
cost In the building industry"
This declaration was made today
bY Robert s. Foster, president II
the Central Indiana Lumbermen S
Club. as ne related how NRA codes
had stabilized the lumber industry
and labeled ss unfair newspaper re-
ports that building costs we're TOO
nigh
The prices of building materials
iOdav VIII average about the prices
Of 1917. j. is shown in records Of
the Department Of Commerce.
do know that plumbing supplies are
cheaper than they nave been at any
time ln the last 20 years. while
lumber is selling at the 1917 level. %
ne said
"A recent careful analysis Of the
cost of q single family homes. cost
ing from $500 10 $4,000. dIscloses
the fact that less than 10 per cent
OF the cost was1umber and this was
made Of the lover grades such as
framing. Mr. Foster said.
1T seems very unfair 10 me for
critics 70 compare prices Of lum-
Der today with the prices In the gay
COS. or even with the years Of 1881
and 1882 without giving considera-
ton 10 The facts involved.
Labor = Production Item
For example" he continued. the
labor is a very large item in the
production and distribution Of mm-
Der. ThIrty-eight years ago when
I started in the retail lumber busi-
ness, labor such as is employed in
the retail yard was receiving 10
cents an hour while today il is get
ting four times that amOunt-or 40
cents an hour, taxes were low and
We had no WOrkmens cOmpenSat ton
premiums 20 paw. In the South
where yellow pine lumber is pro-
duCed. mill labor in the years 1881
and 1892 was drawing s cents and
10 cents an hour while today il is
making minimum Of "A cents an
hour. Statistics show that it takes
on the average Of at least 25 man
hours 20 make 1000 feet Of lumber.
You can readily see that az 3 cents
an hour for labor IL cost 81 to make
1000 feet Of lBmber. while at "a cents
an hour it costs Sc a 1000 for direct
labor.
DO critics want labor forced
down to 2 and 10 cents an hour? I
do not, I prefer higher price of
labor and higher cost of materials.
They do not consider in comparing
lumber costs with 1881 and 1892 that
2 declining market with large in
ventOries and heavy Indebtedness
was faced during those years. Deal
ers were forced to sell at any price
thev could get 10 turn their invest
ment
NRA Stabilized Market
NO business can operate at a loss
so naturally the price has advanced
to the present level which I believe
is so low that 1t carries no profit to
any one all down the line.
1T has recently been said IN news
columns that now that the NRA Is
dead as a dOdo the price Of lumber
VIII 60 down. This is a foolish state
ment If one only knows the facts.
1t is an unquestionable fact that
the codes under NRA did stabilize
the market for lumber at a higher
price than that prevailing prior TO
June 1888. If 1t had not. the sum-
mer and fall OF 1894 would have
seen the failure of from so to IS
per cent of all lumber operations in
the country. II can also be shown
from the record that a few weeks
ago when NRA withdrew the cost
protection from lumber that the
price advanced instead of declining.
no concluded