Evening star., 1955-06-19

covering pensions and welfare
ran out June 80, 1883.
At that time the union threat.
ened a strike over pension anC
welfare demands similar to thoss
proposed now.
In that dispute, the District
Commissioners and Federal me.
diators set up q fact-findinl
board to avert q strike. Tit
company refused to accept tn,
arrangement. The union went t,
court to force the company II
accept arbitration. 1t lost it!
request for an injunction in th'
u. S. Court Of Appeals 10 day.
ago and the case has been sci
for trial on its merits in District
Court next year.
Ready "to Go Down Line"
Mr.. Bierwagen said the unior
is determined ito go down thu
line" this time in its battle fol
better pensions. He said tran.
sit employees in a number Of
cities. including Chicago. Min.
neapolis, Boston and Pittsburgh
now receive retirement pay in
lime with what the union pro.
poses. OF these the transit
systems of Chicago and Bostor
are municipality owned, while
those of Minneapolis and Pitts.
burgh are privately owned.
Pensions were a major issu,
in the last transit strike here
a three-day stoppage, July IA
1851. Prior to that the maximum
pension provided for $50 {
month at age of IS to employe'
with 25 or more years. service
At the time of the dispute il
1945 when President Truman
seized the transit system, bu!
and car operators were receiv.
ling 95 cents an hour plus &
bonus of seven cents awarded by
the War Labor Board.
Since then the employees have
received seven wage increases
The last, granted in 1852, pro.
vided for a 20-cents-an-hour in.
crease, payable in four install.
|ments. The final five cents ar
hour was tackled on transit pa,
last July /. bringing operators
rate to $1.90.
Cites Pay in Other Cities
Mr.. Bierwagen said operators
pay here trails that in othel
major cities. He gave the follow
ing examples:
Detroit, $1.9812; Pittsburgh,
I$2.01, and reopening contract on
wages; Cleveland, $1.92 (union
has rejected a new six-cent offer
and the dispute is before a ref
Ieree);; Boston, $2.01. and will be-
come $2.12 next January / as
result of 11-cent offer; Milwau-
Ikee. 81: st. Louis, $l.87 (union
rejected eight-cent offer Wednes-
day in negotiation and dispute
goes to fact-finding). In Detroit,
Cleveland and Boston the sys-
TENS are municipality owned,
while those of Pittsburgh, Mil
Iwaukee and st. Louis are priv
Iately owned.
Mr.. Giddings, in pointing out
Capital Transit's declining bust
ness, said operating revenue ID
the first four months of this
year dropped $526. 900 to $s,505,-
900 in comparison with same
period in 1854. The number Of
passengers declined n.3 per cent
In January 1854 cash fares were
raised 3 cents to zoe and the
weekly $2.40 pass was eliminated
Uses Wolfson Figures
Mr.. Bierwagen, in support Of
the unions argument for con-
tract improvements, employs fig
ures used by Mr.. Wolfson ir
his fight to gain control of
Montgomery Ward. These boast
Eof an investment gain to stock
holders of 325 per cent since the
Wolfson group gained control o1
Capital Transit in 1949--a $10,-
900 investment then would have
returned $4,000, including casf
and stock dividends and allow.
ing for increase in value oi
stock.
In view of how we'll Mr.. Wolf.
son claimed the stockholders
have Jared. Mr.. Bierwagen sale
the % per cent increase In wage.
since 1949 is a small reward fol
lifetime employees"
The Wolfson interests paid $2(
share for Transit stock. The
stock was split four shares fol
one, but on the $40 basis, stock
holders have received about $3T
"a share in cash dividends alone
In addition, for each share oi
Capital Transit they we're giver
a share in Continental Enter.
prises. Inc, the market value o.
which is about $225 a share
Continental is the corporation
to which Glen Echo Amusement
Park, just sold, and other mon.
transit" real estate was trans.
Iferred last year.
| In the five years. 1850 through
1854, Capital Transit reported
total net income of $5,194,216
During the same period cash
dividends Of $8,112.000 were
paid out. In addition. the rea
estate transferred to Continen.
tai had a reported market value
lof about $2.5 million.