Evening star., 1945-12-13
Arbitrators 10 Meet
Dec. Il 10 Consider
Transit Pay Dispute

The three-man Arbitration Board
which concluded hearings yesterday
in the Capital Transit wage dispute
will meet December 81 to consider
the mass of evidence and testimony
presented during the two-day ses-
sions
Aaron Horvitz of New York, board
chairman, gave no indication when
the arbitrators might reach a
decision, but he previously had said
it would be done as soon as possible.
More than so statistical exhibits
with thousands of figures were put
into the record.
The question of whether any pos
sible increase in wages awarded by
the board would result in a company
request for higher fares was raised
at the close of the hearing by James
Francis Reilly, the boards company
representative.
E. D. Merrill, company president
replied the transit line would reserve
the right to incorporate the cost of
any wage increases granted now in
any future fare rate case which
may come before. the District Public
Utilities Commission.
Would First Try Rate.
when, we do not know" he
added. The company first would
have to operate for while under
any new wage scale, he explained
On the fare question, Mr.. Merrill
earlier had testified: THE increases
in rates of pay and wages already
had by our employees have made our
costs rise to point where the pre-
war level of fares will not suffice
when conditions approaching nor
NAL are restored"
Throughout the session yesterday
the "less than first-class" service
now being rendered by the transit
line was stressed by j. E. Heberle,
vice president and controller of the
company. He insisted the service
must be and would be improved,
gradually. This would greatly in
crease costs, he told the arbitrators,
and would intensity the burden i'm
posed on the company in the future,
when decreased passenger traffic
and decreased passenger revenue
are anticipated. He predicted a
drop of 7.8 per cent in passenger
revenue in 1916.
Mr.. Heberle laid before the board
more than 80 exhibits designed to
show, among other things, that
raises already granted employees
were in line with the increased cost
of living. He contended the in
crease demanded by union workers
was not justified, and could not be
paid by company facing the threat
of a downward spiral of income.
Finances Argued.
Mr.. Heberle and o. David Zim-
ring, the unions member on the
arbitration board, engaged in pro-
tracted argument over many details
of the company's finances. They
differed sharply on the company's
ability to pay increases demanded
by the union.
To pay the increases, Mr.. Heberle
insisted, would put this company
into receivership" in 1916 or 1947.
That's conjectural," retorted Mr..
Zimring.
There's nothing conjectural
about it," Mr.. Heberle came back.
These figures" said Mr.. Zim-
ring, ''do not provide ground for
weeping"
Unless the public is provided bet-
ter transit service than the COM
pany is furnishing today, Mr.. He
berle declared, business is going to
drop off this property like leaves in
the fall"
Review of Raise Cited.
Ely S. Oliver, union counsel, told
the arbitrators regulations require
that any increased wages granted
be submitted to a Wage Stabili-
zation Board, and that the wage
board would automatically approve
such raises if they were for correc-
ton of inequities in the industry.
Company spokesmen insisted that
wage increases could not be justified
under Federal regulations.
Supporting his previous claims
that the transit workers pay was
1872 per cent below the average of
all American industry as a whole,
Mr.. Oliver referred to extensive
Federal reports. His Interpretation
of them had been criticized by Mr..
Heberle The union filed a lengthy
document showing many raises
granted by industry throughout the
country recently. These included a
IS per cent increase for local hotel
and restaurant employees and an II
per cent increase for $50 members
of Columbia Typographical Union
101 here.
Mr.. Heberle filed an exhibit show
ing that the cost of living here, ac-
cording to the Labor Department,
rose 29.5 per cent from December,
1910, to September, 1916. AL 3,305
operating employees of the company,