Newspaper Page Text
OFFICIAL PAPER
EVERETT CENTRAL
LABOR COUNCIL
VOL. XXX.
GAG RULE APPLIED TO SPEED
SUBSIDY TO THE RAILROADS
Senate Committee on Interstate Commerce Refuses to Hear
Evidence Which Might Be Unfavorable to the Gigantic
Grab and Arouse People to What Is Being Put Over
(From "Labor")
By a vote of 7 to 3 the Senate committee on interstate commerce
voted to close hearings on the Townsend bill authorizing the War Finance
Corporation to furnish the railroads with an additional $500,01)0,000 in
cash. This action was taken at a meeting of the committee Tuesday,
August 10. Senator Watson of Indiana made the motion. It was sup
ported by Senators Townsend, Poindexter, McLean, Watson, Kellogg,
Freylinghuysen and Pomerene. Those voting against the motion were
La Follette, Stanley and Pittman.
The motion to invite William G. McAdoo, former director general of
railroads, to testify was defeated by the same vote.
Senator La Follette moved to hear President L. E. Sheppard of the
Order of Railway Conductors and President William H. Johnson of the
International Association of Machinists, on behalf of the railroad em
ployes. This was defeated by a vote of (i to 4, the only change being
that Senator Pomerene voted for this motion with Senators La Follete,
Stanley and Pittman. Sheppard and Johnston were present in the
committee room prepared to testify without delay.
The fight against the bill will be transferred to the floor of the Sen
ate, where Senator La Follete will have the aid of a goodly number who
feel as he does that the measure levies one more heavy burden upon
the people to favor private corporations.
(By Clint C. Houston)
"S. 2337 in the Senate of the
United States, by Mr. Townsend of
Michigan. A bill to amend the
Transportation Act, 1920, and for
other purposes."
This is the simple title of the ad
ministration measure which pro
poses to give the railroads another
half billion dollars. The bill con
tains only 700 words, and is writ
ten so ambiguously, say many Sen
ators, that the amount can be raised
to a billion or more. In fact, its
author admits that several amend
ments will be necessary to make
it workable for understanding and
application. The main point, how
ever, is to jam it through before
the mass of the people have an op
porlunity to learn its intent or can
enter a protest. A similar bill
has been introduce 1 in the House.
The measure was before the Sen
ate committee on interstate com
merco last week, but its opponents,
led by Senator La Follette of Wis
consin, blocked the plan to have it
reported out immediately. Acting
Chairman Townsend, who presides
over this committee in the absence
of Senator Cummins, away on sick
leave, invited Director Meyer of
the War Finance Corporation, and
Director General Davis of the Unit
ed States Railroad Administration,
to testify in support of the bill.
Legerdemain Legislation
The measure proposes that the
War Finance Corporation, which was
recently rehabilitated ostensibly for
the purpose of supplying credit in
domestic and foreign markets for
the purchase of American produce
and to thus relieve the agricultural
and industrial depression, shall,
through the sale of railroad securi
ties held by the government, or
certificates of the 'corporation, pro
vide the railroads with $500,000,000
because their executives and man
agers say they need the money,
which their own credit is unable to
obtain in the regular money mar
kets. , ~
As matters now stand the rail
roads owe the government $700,000,
--000 lor additions and betterments
during the period of Federal opera
tion. The government owes the
railroads $450,000,000 on unpaid
compensation for use of the roads.
Under usual business methods the
latter amount would be subtracted
from the former; the roads would
pay the government $350,000,000,
and the account thus would be squar
ed. But the railroads don't do bus
iness under established rules.
La Follette Objects to Haste
When Messrs. Meyer and Davis
had completed their testimony ad
vocates of the bill said they had
heard enough and did not see the
wisdom of extending the hearing
by calling further witnesses. Sen
ator La Follette objected to this
hasty procedure on so important a
measure and asked that William G.
McAdoo and Walker D. Hines, form
ei Federal directors of railroads, be
called. This was not to the liking of
the railroad members and strenuous
protests were made by Senators Kel
logg, Watson of Indiana and Poin
dexter. They were fearful that too
much public opposition to the bill
would be aroused by continued open
discussion of its merits.
Senator Watson moved that the
committee go into executive session,
thereby excluding the press and
public from the room. He later
withdrew this motion in the face
of strong opposition by other mem
bers. Senator Pittman of Nevada
then moved that the chairman be
instructed to call former Director
General MeAdoo as a witness, Mr.
Hines being in Europe. On thi
motion Senator Watson demanded
a roll call of the committee. Sen
ator La Follette called attention to
the absence of a quorum and the
matter of inviting Mr. McAdoo
went over until the next meeting.
Acting Chairman Townsend express
ed the opinion that the testimon..
of McAdoo and Hines would "not
be worth much to the committee."
Hurries to the White House
Opponents of the bill had scored
at least a temporary victory in that
its advocates were unable to get it
reported out. After adjournment of
the committee Chairman Townsend
visited the White House and made a
discouraeing report to the Presi
dent. He said so much opposition
to the bill had developed in the
Senate that he did not think it
could be put through during the
present extra session of Congress,
and possibly not before next Jan
uary, even if reported out favor
ably by the committee. However,
at the request of the President, he
sent telegrams to all absent mem
bers of the committee urging their
presence in Washington in order
that the bill could he acted unon
in committee and placed on the Sen
ate's calendar for action at the
earliest possible opportunity-.
Friends of the railroads had hop
ed to have the bill written into a
law before a recess of Congress
which is scheduled to extend ovi r
Slatror Journal
a month or six weeks.
How the Ground Was Plowed
"Some months ago Senator Cum
mins introduced and the Senate
adopted a resolution authorizing
Chis committee to make a thorough
investigation of the railroad situa
tion," said Senator La Follette, in
urging the presence of Messrs. Mc-
Adoo and Hines. "Hearings were
neid covering a period of several
weeks. The railroad executives, the
railroad bankers and the railroad at
torneys were heard at great length.
Then a recess was taken without
giving the other side a chance to
present their case —the shippers,
the farmers, the employes of the
roads. It looks to me as though
that hearing was the ground work
for this bill. What the railroad ex
ecutives, their attorneys and the
bnnkers had to say was published
everywhere in the daily papers. The
roads had their press agents on the
job and the public was fed up on
the pitiable plight of the carriers.
Now comes this bill to give the rail
roads $500,000,000 and nobody
knows how much more. You hear
two government officials testify in
favor of the bill and then want to
close the door to other witnesses.
"Furthermore. 1 feel that this
committee and the Senate should
have information on the manner
in which the roads have been
squandering their resources be
fore voting them further gov
ernment bounty. I want to sub
mit witnesses and documents to
prove that while the roads were
parading their poverty before
Congress they were squander
ing millions of dollars for repair
of equipment in outside shops
that could have been saved if
the work had b«en done in their
own plants by their own em
ployes. I want to produce evi
dence that at the time the New
York Central was claiming it
did not have money to pay for
equipment repairs its board of
directors boosted the salaries of
the principal executive officers
of the road from $5,000 to $25,
--000 each. The annual salary
of i'resident Smith was increas
ed from $75,000 to $100,000.
Roads Squandered Resources
"Before giving further aid this
committee should have the facts con
cerning the financial condition of
(Continued on page 4)
POWERFUL RING
AT WORK TO RUIN
GOVT. SHIPPING
After all the scandal and charges
of mismanagement of the United
States Shipping Corporation and,
more recently, the sale of Uncle
Sam's wooden ships (205 of them)
for $2,100 a ship, and the order ol
the shipping board to its agents to
book no more lumber cargoes for
trans-Pacific shipment, comes the
following story from Frederick
Richardson, formerly special inves
tigator of the congressional select
committee on shipping board oper
ations and an expert on marine af
fairs:
Washington, Aug. 23.—Placed on
the defensive by senators who be
lieve his dramatic statements about
losses, inefficiency, graft and pad
dling of claims, are working in with
carefully laid plans of propagandists
and enemies of the country and who
desire to drive the United States
out of the ship operating business,
A. D. Lasker admits there is a
very powerful propaganda at work
within the shipping board to drive
America from the seas.
Tells of Subtle Propaganda
"I have personally been hore long
enough to know this, that somehow,
somewhere, there is very subtle
and powerful propaganda to drive
the government out of the shipping
business. 1 cannot put my finger
on it, but it certainly is there," he
told the senate appropriations com
mittee.
The fear of the senators that Las
ker's statements are being used by
these propagandists was clearly
shown in the vehement rejoinder
made by Senator A. A. Jones, of
New Mexico, to a statement made
by Lasker before the senate appro
priations committee that the ship-,
ping board lost $131,000,000 in ship
operation alone last year, and that
he, Lasker, might lose a lot more
before he is through with the job. j
Senator Jones declared that "it is
being used to drive the government
out of the shipping business, and un
less something is said or done to
prevent a false impression going out
to the country, I think the people
will conclude it is better to sink the 1
whole fleet rather than to bother
with it any longer."
"It seems to me that the time has
come when every American citizen
who believes in a merchant marine
ought to try to have the full situa
tion go before the country, the ex
tenuating circumstances as well as
the things which do not appeal to
the imagination and the purse of
the country," said Jones.
Investigation of Board Is Expected
Altho the attitude of the senate
appropriations committee was clear
ly unfriendly to the position taken
by Lasker, he calmly told them
that the $48,500,000 might do for
a short time, but that within three
months he would be back asking for
$100,000,000 more and that in an
other six months he would want
still more money.
The fact that Lasker publicly de
clared that the wooden ships were
so worthless that he was going to
sink them, then went into the mar
ket and advertised the ships for
sale, does not help the situation in
the opinion of men like Senator
King of Utah, LaFollette of Wis
consin, Curtis of Kansas and Ken
yon of lowa.
Added to this was the sale Au
gust 10 of 205 of the wooden ships
for the 205 ships being less than
for the 200 ships being less than
the cost of one of them, while Las
ker is asking for money with which
to settle the claims of the builders
of these ships running into scores
of millions.
It is almost certain that after the
recess agitation will be started in
congress for an investigation of the
shipping board.
THE CENTRAL
LABOR COUNCIL
Wednesday, Aug. 24, 1921.
Council called to order at 8 p. m.
by President Moncur.
Credentials were presented by
Victor Erickson of the Building
Laborers to succeed Delegate Pol
land; by Lela Johnson and Susie
Hogan of the Laundry Workers;
by Sarah McFaclden of the Cooks
and Waiters to succeer Delegate
Carroll.
Unfair Actors
A letter was received from the
A. F. of L. calling attention to
resolution No. 105 of the Denver
convention, charging that the Na
tional Vaudeville Artistes, Inc., is
a "conipany union." This "com
pany union" is being used by the
Vaudeville Managers Protective
Association, according to testimony
given before the Federal Trade
Commission, in order to defeat the
aims and objects of the American
Artistes' Federation. The latter is
a bona fide trade union affiliated
with the Associated Actors and
Artistes of America, an interna
tional union, affiliated with and in
good standing with the American
Federation of Labor. The Ameri
can Artistes Federation has for its
jurisdiction all vaudeville, bur
lesque, circus, minstrel, Chautau
qua, tabloids, carnivals, fairs and
similar forms of entertainment and
amusement.
An invitation was received from
the Union Record employees to at
tend a dance given by them for
the benefit of the Union Record,
in Queen Anne Hall, tomorrow,
Saturday night. Admission 75
cents.
Labor Day
The Labor Day committee re
ported progress. Everything will
be in readiness for a grand picnic
at Silver Lake on Labor Day.
There will be a fine program of
sports, for which prizes will be
given. There will be aquatic sports
and dancing and plenty of good
eats on the grounds. Dancing in
the afternoon at the lake and in
Fraternal Hall in the city in the
evening. Keep your eye and ear
open for the program and further
announcements. Interurban fare
25 cents the round trip.
Reports by Unions
The Building Laborers had a fair
meeting with one initiation.
The Lathers don't think building
mechanics were ever so busy as
they are now in Everett.
The Longshoremen had a small
meeting at which a raise in dues
was under consideration.
The Plumbers and Timberwork
ers reported good meetings.
A motion prevailed to ask the
Barbers to report to the Council
one or more shops where a union
man can get a hair cut without
patronizing a non-union laundry,
and a committee was appointed to
visit the shops and discuss the sub
ject with them.
Labor Day Picnic at Silver Lake,
it'terurban side, September 5. Don't
forget to go.
Lower Costs; More Profit
Washington, Aug. 20.—1n dis
cussing the construction of 19 pas
senger ships by the United States
Shipping Board, Congressman Mad
den, chairman of the House Appro
priations Committee, made this in
teresting statement:
"With the lowering of wages and
the lowering of material costs, I
thought and your sub-committee
thought that the government ought
to save Vtoney in the construction
of these ships, and we inquired as
to whether or not the government
was to get the credit for any re
duced cost of material or any re
duction in wages. And the reply
came that the government divided
that saving with the contractor.
We believe this is not good busi
ness, but it is bad business. It can
not be remedied during this con
struction period, when these con
tracts exist. They will be finished
by April 1."
Smoke BLUE RIBBON 6f Cigar.
EVERETT, WASHINGTON, FRIDAY, AUGUST 26, 1921
THE 48-ERS ARE
IN THE FIGHT
Forcefully Condemn the Rail
road Robbers.
ADMINISTRATION IN BAD
Roundabout Way to Rob the
Treasury.
President Harding's proposal to
loan the railroads $500,000,000 more
of the taxpayers' money is startling,
both in what it says and what it
omits to say.
In a few words, the proposition
is to capitalize the indebtedness of
the railroads. The latter owe the
government millions of dollars for
monies spent on their behalf dur
ing the period of government con
trol. Instead of insisting that this
debt be paid, Mr. Harding proposes
that the railroads be permitted to
"fund" their indebtedness by issuing
their own bonds for the money they
owe the government, that the War
Finance Corporal ion purchase these
bonds, sell them to the public with
a government guarantee attached,
and turn the proceeds back to the
railroad companies for their own
use.
In other words, the railroads are
freed from their obligations to the
Government, the Government as
sumes an additional indebtedness of
$500,000,000 taken out of the pub
lic's pockets, ami hands it back to
the railroads to be used—Tor what?
"TO STIMULATE THE STEEL
COMPANIES AND EQUIPMENT
COMPANIES," who are to receive
additional contracts from the rail
roads as soon as the money is
paid over. These companies are
owned and controlled by the same
banking group who control the rail
roads. Since the return of the rail
roads to private ownership their
repair and equipment work has been
largely shifted to these private
equipment companies, and it has
been estimated that the equipment
companies, in which the railroad
magnates hold stock, charge the
railroads some $"00,000,000 per an
num in excess of what it would cost
to do the same work in the rail-
road shops.
The railroad executives assert that
they are practically bankrupt and
that they are not in a position at
present to contract for any additional
equipment; therefore they need
$500,000,000 with which to "stimu
late" the equipment companies. In
other words, the latter have some
hesitancy in accepting contracts
from the railroads until the govern
ment takes $500,000,000 more out of
the pockets of the taxpayers and
hands it o\»er to the railroads for
the benefit of the equipment com
panies.
President Harding puts forward
the contention that we are "moral
ly obligated" to perform this gym
nastic feat, and that "at no time
has there been any question about
the justice" of so doing, because
such action was recognized and
authorized by congress in the pas
sage of the iniquitous Esch-Cum
mins Transportation Act.
Ye Gods! If the Republican Ad
ministration wish to flagrantly rob
the public for the benefit of the
railroads, have they not at least
the courage to do so openly? Or
have they sunk so low that they
must offend our sense of decency
by designating their scheme as a
"just" and "moral" obligation, for
which they frankly admit they pay
ed the way in the passage of the
Esch-Cumniins law? Is it neces
sary for them to insult our in
telligence by stating that this pro
posal involves ."no added expense,
no addeil investment, no added lia
bility, and no added tax burden?"
The railroads already owe the
government millions of dollars. As
an offset to this they have pre
sented claims against the govern
ment for which they are demand
ing payment. These claims have
never been investigated nor prop
erly certified. It has been freely
charged, apparently with good rea
son, that they are without warrant
of law, that they are in large part
false and fraudulent, that they are
based upon extravagant estimates,
and that they are contrary to the
facts contained in the sworn state
ments filed with the Inter-State
Commerce Commission by the rail
roads. An investigation of these
charges has already been demanded,
and the railroads have been called
upon to substantiate their claims.
Naturally, as Mr. Harding says,
"the railroads are willing to ex
pedite a settlement by waiving their
claims without surrendering any of
their rights"—and avoiding any in
vestigation.
If, as they contend, their claims
against the government exceed the
government's indebtedness to them,
why should they waive their claims
ht return for cancelling the in
debtedness, and why should the\
hesitate to invite and demand a full
investigation of the whole disgrace
ful mess, relying upon the Ameri
can people to discharge any obliga
tion, moral or otherwise, which the
result of the investigation would
justify ?
The above proposal, we are told
was put forward by Wall Street
Bankers, who were successful in
obtaining the approval of the Sec
retary of the Treasury. Mr. Hard
ing, however, does not refer to this
fact in his message. Neither
he call attention to the fact tha'
it followed very closely upon the
heels of his conference with the
banking group at the white house
on May 2fith, at which further
conferences were arranged in the
hope "that out of these conference
a definite understanding may be
reached on the general principles
which will guide the government and
the financial interests."
Do the peonle of America share
this hope? Do they wish to see
the seat of government permanently
established in Wall street T
At the earnest solicitation of the
President, the Soldiers Bonus Bili
has just been shelved, because our
National Treasury, according to Mr.
Harding, is depleted and there are
no funds available for such a pur
pose.
Yet the proposition to loan the
railroads $500,000,000 will undoubt
edly be forced through unless an
aroused public sentiment indignant
ly forbids it.
The very nature of this proposal
is in itself the best possible proof
that the Committee of 48 is abso
lutely correct in stating that pri
vate ownership failed, that the only
outlet is through the public owner
ship of our transportation system,
and that this can only be brought
about through the advent of a new
political party. In the meantime
every effort should be made to pre
vent the passage of any such bill
as the president has recommended,
and the Committee of 48 invites all
those who realize the seriousness
of the situation to join with them in
arousing a healthy understanding of
the situation and in organizing for
definite action towards demanding
an investigation of the railroad ac
counts and the refusal to loan any
further money to the railroads un
til the results of such an investiga
tion are known to the public.
J. A. H. HOPKINS,
Executive Chairman Committee
of 48.
GOVERNOR FOR
GOVERNMENT
COAL CONTROL
Wisconsin Executive Says It Is
Impossible to Reform
Private Owners
"It seems to be a favorite
indoor sport for many persons
to charge miners with being
the real cause of the high cost
of anthracite coal to the con
sumer," says Ellis Searles, in
the United Mine Workers'
Journal, "but the bald fact is
he gets only a small part of
the $15 or more which the con
sumer is required to pay per
ton."
The average labor cost of a
ton of anthracite that sells for
$15.98 is $3.38, or about 20 per
cent. The remainder repre
sents profit almost entirely,
for the royalty charges are
nominal and the overhead
costs less than the labor charge,
charge.
The increase in the price of
coal during the years 1914
--1920 was more than two and
a half times the increase in
labor cost.
"I have come to the conclusion,
after two years of experience de
rived from my official position,
that coal, which is the very basis
of our life, should be under the
complete control of the Federal
government, and perhaps a more
efficient way of handling it would
be for the United States to control
and operate the mines." So wrote
Govei'nor J. J. Blame, of Wiscon
sin, in a letter to the mayor of
Superior, Wis., who had petitioned
the governor to call a conference
of executives of Western States to
consider the fuel situation, with
the hope that a pending famine
may be averted.
Gov. Blame stated that he did
not object to the proposed meeting,
but doubted "if anything can be
accomplished by it if it were held,
because there will be no basis up
on which the conference may act,
unless the conference is called/ for
the purpose of arousing sentiment
in favor of the Federal government
taking control of the situation."
If the conference should be a
mere "talk fest," Gov. Blame
pointed out, it would disappoint
the hopes that would be aroused
by it.
Four agencies are declared to
control practically the entire coal
deposits. the Governor charged,
and he had no reason to hope that
they would now or in the future
deal generously with the public.
Rather, he expected, they would
take advantage of conditions to
further harass and exploit the pub
lic, and anything that Wisconsin or
any other state might attempt
would be of no avail in checking
profiteering.
"Some legislation is now pending
in Congress," the Governor con
tinued, "but those who control coal
are even opposing the mildest regu
lation and control, and if that at
titude is to continue very long I
see no escape from government
ownership and operation."
Attend the Labor Day picnic at
Silver Lake on Monday, Septem
ber 5.
Why Farmers Are Uniting
Baltimore, Aug. 20.—"When a
man pays $00 for an all-wool suit
of clothes and the farmer gets less
than $2 for the wool that went
into it, somewhere in between lies
a deep and dark mystery," says the
Maryland Earnier.
"When a farmer sells a bushel
of wheat for $1.10 ami pays 15
cents for a four-ounce box of pre
pared wheat breakfast food, mak
ing the cost $30 for 00 pounds, or
one bushe), there is something
wrong, and if farmers' marketing
organizations can overcome this,
then they will be rendering a dis
tinct service to humanity."
Smoke OLYMPIC CLUB 10c cigar.
Who Gets Shoe Profits?
Washington, Aug. 20.—"The
hide of one animal will make the
upper part of 42 pairs of shoes
and the entire hide is now selling
at $4.20," said Congressman Town
er of lowa in a speech in the
House last week.
Smoke OHALI,EN"GE 10c Cigar.
HUGE ARMAMENT BREEDS WAR
SAYS U. S. DIPLOMATIC CHIEF
Washington, Aug. 20. —In his in
vitation to Great Britain, France,
Italy and Japan to join with this
country in a disarmament confer
ence, next November, Secretary of
State Hughes said that avoidable or
extravagant armament is "not only
without justification but is a con
stant menace to the peace of the
world rather than an assurance of
its Justification."
This is probably the hardest jolt
the jingies have received in their
campaign to militarize the country
under the? cloak of "preparedness."
The statement is accepted, of
course, as the views of President
Harding. It is in line with the
views of Woodrow Wilson, when
president, although at that time the
theory was received with sneers by
the sabet rattlers who shrieked
"pacifist" if a citizen ventured the
opinion that huge armament breeds
war.
Secretary Hughes' revival of this
common sense theory brings dis
may to commercial patriots, flag
waving politicians and military
swash-bucklers and vindicates citi
zens who have had their patriotism
ouestioned because they oppose hug(
armament and drill sergeant rule.
Secretary Hughes' invitation makes
it clear that armament expenses
are too great for the world to
bear. Productive labor," he said,
"is staggering under an economic
burden too heavy to be borne un-
PLAN TO ROB THE
GOVERNMENT OF
HALF A BILLION
McAdoo Tells of Plan to Drain
11. S. Treasury of
$500,000,000
The Senate Interstate Commerce
Committee refused to call William
G. McAdoo to testify before that
body, but the latter has given
some testimony to the people
through a letter to Senator Stan-
ley.
Mr. McAdoo said that President
Harding was "clearly mistaken" in
telling Congress that the govern
ment was "morally and legally
bound" to fund the $763,000,000
debt which the railroads owe the
United States for additions and
betterments, according to the ex
pressed opinion of William G. Mc-
Adoo, former secretary of the
treasury and director of the rail
road administration.
"Stripped of confusing non-es
sentials," McAdoo declared recently
in a letter to Senator Stanley.
Democrat, of Kentuck'-. a member
of the Senate Interstate Commerce
Committee, "what is proposed is
that the government shall wait 10
years for $703,000,000 the railroad;
owe it for betterments and im
provements and pay immediately
$500,000,000 to the railroads on ac
count of claims for alleged under
maintenance, taking securities
which in many instances may no*
be adequate to protect the govern
ment against loss.
"It is not a question of "legal or
moral obligation,' but a question of
policy."
McAdoo's criticism of the Hard
ing scheme to help the railroads
over the rocks was placed in the
Senate record by Senator Stanley
after the former head of the rail
road administration had been re
fused a hearing before the Inter
state Commerce Committee previ
ous to the reporting of the admini
stration enabling bill to the Sen
ate.
McAdoo admitted that the Esch-
Cummins act conferred upon the
president power to determine,
within certain limitations. how
much of the debt the United States
owes the railroads may be set off
against the debt the railroads owe
the United States, but held that
the act does not contemplate thai
none of the debt of the United
States will be set off.
"On the contrary," McAdoo went
on, "the act assumes that it will
be because, in express terms. it
provides for funding only 'the re
maining; indebtedness of the carrier
to the United States.'
"It is indisputably clear that
under the law and the contract be
tween the parties the United State
is not 'morally and legally bound
to fund,' as stated by the president
in his letter, the $7(13,000,000 the
railroads owe the treasury for 'ad
ditions and betterments.' The pres
ident must have been misled into
making such a statement."
McAdoo suggested that settle
ments with the railroads be effect
ed by funding for ten years the
difference between the amount
which the railroads owe the gov
ernment and which the government
owes the railroads. This difference
is estimated at 1268,000,000.
"But the president proposes a
new plan," McAdoo continued,
"namely, to defer for ten years at
6 per cent interest the entire
$763,000,000 due by the carrier to
the United States and to pay the
carriers in cash $500,000,000 for
alleged under-niaintenance claims.
The president assures us that this
involved (1) 'No added invest
ment"; (2) 'No added liability.:
(3) 'No added tax burden.'
"There is an 'added investment'
of taxpayers' money amounting to
$500,000,000 because, instead of off
setting or cancelling $500,000,000
with an equal amount of the debt
the railroads owe the United
States, the treasury will have to
pay the railroads $500,000,000 of
new money.
"There is an 'added liability' of
$500,000,000, because the treasury
must continue to lend that sum to
the railroads, some with good and
rrBUSHED IN
THE INTEREST OF
ORGANIZED LABOR
less the present vast public ex
penditures are greatly reduced. It
is idle to talk of stability, or the
assurance of social justice, while
wasteful and unproductive outlays
deprive effort of its just reward
and defeat the reasonable expecta
tion of progress."
Suggestion is made by Secretary
Hughes that the conference dis
cuss Condoling "in the interest of
humanity, the new agencies of war
fare."
There is no question but recent
developments of "the new agencies
of warfare" have sobered the wild
est militarist. Gases have been de
veloped to such a point since the
armistice that chemists can oblit
erate all form of life in large areas.
The recent exhibition of airplane
superiority over battleships has
also awakened men to the helplc-s
--ness of a $40,000,000 war vessel
when attacked from above.
it is hinted that the conference
may be the beginning of a league
of nations in diluted form and un
der a different name.
It should not be forgotten that
progressive Republicans in the sen
ate (a handful altogether) have,
under the leadership of Senator
Borah of Idaho, persistently in
sisted on a conference of nations to
effect disarmament.
The conference will take place
in Washington, D. C, on Novem
ber 11, Armistice Day.
some with pool credit and a large
loss may finally result. Thus, if
the United States now cancels
1500,000,000 with a part of the
debt of the railroads owe it, at
least to the extent of $500,000,000,
the chance of loss or liability will
be removed.
"There will be an "added tax
burden' unless the advance and all
interests thereon are finally repaid
by the railroads, because there is
no way for the United States to
get $500,000,000 for the railroads
except by taxation."
Costs Something to
Fight 44-Hour Week
Eighteen big commercial printing
firms of St. Louis have applied to
the U. S. District Court for an in
iunction to restrain printers and
other allied trades from interfering
with their business and their scab
employe's. These firms allege they
are losing $'",."00 a day. If these
firms are still out and if they re
main out until September 7 these
eighteen firms will have lost $740,
--000 fighting the 44-hour work week
for which the printers and their
brothers of the allied printing
trades are striking.
Detroit. Aug. 20.—A strike is
ended when the positions of union
ists are filled by strikebreakers,
according to Circuit Judge Web
ster.
The honorable court reasons that
under these conditions there is no
excuse for picketing and has there
fore enjoined the members of the
Typographical Union from "in any
manner" interfering with the
strikebreakers.
FOOD PRICES
I INCREASING
Washington. Aug. 20.—With
prices paid farmers down to the
lowest ebb, retail prices for food
in 14 principal cities of the United
States have increased approximate
ly 5Va per cent from June 15 to
July 15, according to the United
States Bureau of Labor Statistics.
These figures are a challenge to
the propaganda of cheap-wage ad
vocates who insist that food costs
are being reduced and that wages
should also be cut.
Churchmen Defend
Industrial Policy
New York, Aug. 20.—1n its La
bor Sunday message for .1921, the
Federal Council of the Churches
of Christ in America, vigorous an
swer is made to critics of its in
dustrial policy. The message says:
"The message for this Labor Sun
day is set againt a back ground ot
suffering and confusion. The land
is filled with unemployment. Pos
sibly one-fourth of the population
J are strained and anxious. Thou
j sands of employers are holding their
' industries together merely from day
jto day. Labor is fighting for its
j fundamental right of collective ac
tion and fighting at a serious dis
i advantage The freedom of the
ministry to proclaim a social gos
pel and to apply it according to
their own honest convictions is
sharply challenged. Even the com
mon right of citizens to freedom
of speech and assembly in many
communities is at stake.
"The economic and industrial fac
tors that condition the lives of men
and women and help to make
them what they become are as
much a concern of the church as
any other phase of their moral
environment. An industrial prac
tice that cramps and devitalizes
human beings in body or in spirit
is as much a foe of religion as is
the liquor traffic The church can
not ignore the one any more than
it can ignore the other."
Walters Win Old Contract
Rochester, N. V., Aug. 20.—
Cooks and Waiters have* renewed
their old contract, despite efforts
of anti unionists to cut wages and
working conditions.
Number 17.
Printers Enjoined
