Chapter XVIII: Introduction (2)

No car shortage occurred to interrupt the orderly movement of railway traffic during the fiscal year 1908-09. On the contrary, there was an unprofitable surplus of cars throughout the year, ranging from 110,912 in September, 1908, to 333,019 in January, 1909. From this high figure the surplus was slowly reduced by the demands of traffic until subsequent to the close of the fiscal year, in September last, it reached a practical level of shortages and surpluses. During the year there was an average of 150,000 freight cars in the shops, where in times of ordinary activity the mean would be in the neighborhood of 100,000.

These conditions, which prevailed since November, 1907, account for the greatly reduced purchases of rolling stock during the years 1908 and 1909 shown in the following record of locomotives and cars built in the United States during the past eleven years:

ELEVEN YEARS' OUTPUT OF CARS AND LOCOMOTIVES.

_From the Railroad Age-Gazette._

========================+=============+===========+==========
| | Number |
Year | Locomotives | Passenger | Freight
| | Cars | Cars
------------------------+-------------+-----------+----------
1909(a) | 2,887 | 2,849 | 96,419
1908(a) | 2,342 | 1,716 | 76,555
1907(a) | 7,362 | 5,457 | 284,188
1906(a) | 6,952 | 3,167 | 243,670
1905(a) | 5,491 | 2,551 | 168,006
1904 | 3,441 | 2,144 | 60,806
1903 | 5,152 | 2,007 | 153,195
1902 | 4,070 | 1,948 | 162,599
1901 | 3,384 | 2,055 | 136,950
1900 | 3,153 | 1,636 | 115,631
1899 | 2,475 | 1,305 | 119,886
+-------------+-----------+----------
Total | 46,709 | 26,835 | 1,617,905
------------------------+-------------+-----------+----------

(a) Includes Canadian output.

Between 1898 and 1908 the Interstate Commerce Commission reported an increase of 21,464 locomotives, 11,697 passenger cars, and 856,999 freight and company cars. Allowing for the Canadian output in the above table, this would show 22,742 more locomotives, 13,821 more passenger cars, and 674,023 more freight cars built in ten years than are accounted for in the official returns. Roughly speaking, these last figures represent the number of locomotives and cars worn out beyond repair or destroyed that have to be replaced annually. It means that provision has to be made every year for the purchase of new equipment amounting to approximately 5% of locomotives and passenger cars and 4% of freight cars in order to maintain the equipment numerically, irrespective of the sums spent on maintaining the remainder in serviceable condition.

On the equipment reported by the Commission for 1908 this would necessitate the following outlay for replacement alone:

======================+===========+=============+=========+=============
| Number | Needed for | Average | Total
| | Replacement | Cost | Cost
----------------------+-----------+-------------+---------+-------------
Locomotives | 57,698 | 5% = 2,884 | $15,000 | $ 43,260,000
Passenger cars | 45,292 | 5% = 2,214 | 6,000 | 13,284,000
Freight cars | 2,100,784 | 4% = 84,031 | 1,000 | 84,000,000
Company cars | 98,281 | 3,931 | 500 | 1,965,500
| | | +-------------
Total cost for | | | |
replacing equipment | | | | $142,509,500
----------------------+-----------+-------------+---------+-------------

It is probable that the computed percentage for the replacement of locomotives and passenger cars is too high and that for freight cars too low. This is the opinion of operating officials. If so, it would amount to a set off and the aggregate would still be approximately $142,000,000 to be expended annually for new equipment to take the place of old, worn out and discarded rolling stock. Conditions forbade the expenditure of any such sum in 1908 and 1909.

NUMBER AND CAPACITY OF LOCOMOTIVES FOR EIGHT YEARS, 1909 TO 1902.

Next follows a summary giving the number and capacity of locomotives for the seven years since the Commission has included capacity in the published returns:

==========================+========+===========================+========
| | | Weight |
| | Tractive | without | Average
Year | Number | Power | Tender | Weight
| | (Pounds) | (Tons) | (Tons)
--------------------------+--------+---------------|-----------+--------
1909 (94.4% represented) | 55,495 | 1,421,114,798 | 4,033,309 | 72.7
1908 Final returns | 57,698 | 1,519,568,551 | 4,071,554 | 71.5
1907 | 55,388 | 1,429,626,658 | 3,828,045 | 69.1
1906 | 51,672 | 1,277,865,673 | 3,459,052 | 66.9
1905 | 48,357 | 1,141,330,082 | 3,079,673 | 63.6
1904 | 46,743 | 1,063,651,261 | 2,889,492 | 62.1
1903 | 43,871 | 953,799,540 | 2,606,587 | 59.4
1902 | 41,225 | 839,073,779 | 2,323,877 | 56.3
+--------+---------------+-----------+--------
Increase seven years | | | |
to 1909 | 34.6% | 69.4% | 73.6% | 29.1
--------------------------+--------+---------------+-----------+--------

Complete returns will raise the totals for 1909 approximately to 57,704 locomotives of 1,465,070,000 pounds tractive power and 4,158,000 tons weight, exclusive of tenders. These figures bear out the conclusion expressed above that the purchase of new locomotives in 1909 was barely sufficient to replace those abandoned or destroyed during the year. The loss, however, was in a measure made good by the greater weight of the new engines. As the average weight of locomotives in 1899 was approximately 53 tons, the figures just given indicate an increase of nearly 114% in the weight of all locomotives during the decade.

In connection with the estimate of $15,000 put on locomotives in this report, it is of interest to reproduce the return to the legislature of New South Wales of the cost of engines built in the railway shops at Sydney recently. The figures refer to 6-wheel-coupled heavy mail and express engines weighing, with tender, 163,128 pounds, as published in the _Railway Age-Gazette_, December 3, 1909:

DETAILS OF LOCOMOTIVE COSTS.

====================================+=============+============+========
| 10 Engines | Cost | Per
| | Per Engine | Ton(a)
------------------------------------+-------------+------------+--------
Direct charges: | | |
Materials | $117,462.77 | $11,746.28 | $161.29
Wages | 76,484.23 | 7,648.42 | 104.99
+-------------+------------+--------
Total | $193,947.00 | $19,394.70 | $266.28
| | |
Indirect charges: | | |
Percentage of shop charges | | |
(exclusive of superintendence) | | |
on wage basis in each shop, | | |
37.84% | 28,943.79 | 2,894.38 | 39.74
Superintendence, on wage basis, | | |
3% | 2,294.51 | 229.45 | 3.10
Interest on capital cost of new | | |
shop and machinery, including | | |
land | 4,850.52 | 485.05 | 6.63
Proportion of interest on capital | | |
cost of old shops on locomotive | | |
work produced for new engines | 5,449.53 | 544.95 | 7.45
Depreciation of machinery and | | |
plant, 2% on capital cost | 5,149.99 | 515.00 | 7.03
+-------------+------------+--------
Total indirect charges | $46,688.34 | $ 4,668.83 | $ 63.95
| | |
Total charges | $240,635.34 | $24,063.53 | $330.23
----------------------------------+-------------+------------+--------

(a) Ton of 2,240 lbs.

Applied to a Mallet articulated compound locomotive, such as that built for the Erie weighing 410,000 pounds on the drivers, the rate per ton paid by the government of New South Wales would make it cost over $60,000. It did not cost any such sum, but the Australian experience is a straw which shows how the cost of locomotives is soaring. American railways find it necessary economy to build engines whose average weight is well above that built in the government shops at Sydney.

PASSENGER AND FREIGHT CARS.

During the same period, 1902 to 1909, covered in the table relating to locomotives, for which alone full data is available, the increase in the number of passenger cars and freight cars, and in the capacity of the latter, is shown in the following statement:

===================+=========+========================+=======+=========
| | Freight Service | |
| +-----------+------------+ |Company's
Year |Passenger| Number | Capacity |Average| Service
| Service | | (tons) | tons | Number
-------------------+---------+-----------+------------+-------+---------
1909 | | | | |
(97% represented) | 44,665 | 2,050,049 | 71,028,266 | 34.6 | 96,739
1908 | | | | |
(Final returns) | 45,292 | 2,100,784 | 73,526,440 | 35 | 98,281
1907 | 43,973 | 1,991,557 | 67,216,144 | 34 | 91,064
1906 | 42,282 | 1,837,914 | 59,196,230 | 32 | 78,736
1905 | 40,713 | 1,731,409 | 53,372,552 | 31 | 70,749
1904 | 39,752 | 1,692,194 | 50,874,723 | 30 | 66,615
1903 | 38,140 | 1,653,782 | 48,622,125 | 29 | 61,467
1902 | 36,987 | 1,546,101 | 43,416,977 | 28 | 57,097
+---------+-----------+------------+-------+---------
Seven years' | | | | |
increase(a) | 20.8% | 35.9% | 64.0% | 23.5% | 69.6%
-------------------+---------+------------------------+-------+---------

(a) Final returns for 1909 will raise these percentages materially.

It is in the increased capacity of locomotives and cars rather than in their numbers that the seeker after truth will find the explanation of how American railways have been able to handle freight traffic that has increased in volume over 80% in ten years where numerically the increase of equipment has been less than 60%. During that period the average capacity of the freight car has increased from 27 to nearly 35 tons, accounting for an aggregate increase of 109.6%.

Between 1899 and 1909 the population of the United States increased from 74,318,000 to 88,806,000, or 19.5%. (On April 1, 1910, the treasury estimate was an even 90,000,000.) In the same ten years the number of passenger cars increased over 36%, accompanied by a steady advance in their size, strength and conveniences.

Between 1902 and 1907 the Official Statistics furnish the following information showing the gradual transformation taking place in the number and capacity of freight cars:

NUMBER AND CAPACITY OF DIFFERENT SIZES OF FREIGHT CARS, 1902-1907.

===========+==========+=========+===========+============
| Capacity | | | Increase or
Class | Pounds | 1902 | 1907 | Decrease
| | | | Per Cent
-----------+----------+---------+-----------+------------
I | 10,000 | 5,122 | 4,277 | Dec. 16.5
II | 20,000 | 15,615 | 7,244 | " 53.5
III | 30,000 | 46,353 | 10,132 | " 78.1
IV | 40,000 | 327,342 | 204,583 | " 37.5
V | 50,000 | 246,684 | 178,827 | " 27.5
VI | 60,000 | 634,626 | 802,187 | Inc. 26.4
VII | 70,000 | 22,493 | 34,652 | " 53.6
VIII | 80,000 | 158,179 | 452,070 | " 185.9
IX | 90,000 | 310 | 5,054 | " 1,527.1
X | 100,000 | 48,834 | 285,241 | " 484.3
XI | 110,000 | 389 | 1,476 | " 279.4
XII | 120,000 | 43 | 60 | " 39.5
All over | 120,000 | 2 | 214 |
-----------+----------+---------+-----------+------------

The line of cleavage between former and modern railway methods of handling freight is clearly shown in the above table to lie between cars of 25 and 30 ton capacity. The former and all of less capacity are on the decline, whereas the latter and all of greater capacity are on the increase. Numerically the 30-ton cars still exceed those of 40 and 50 tons, but already they are exceeded by the combined capacity of the latter.

THE SURPLUS OF FREIGHT CARS.

For two years (28 months as this is written) the reports of the Committee on Car Efficiency of the American Railway Association show that the supply of freight cars has been in excess of the demand. In other words, the railways during that period were paying interest on a considerable percentage of unremunerative equipment, besides the cost of its maintenance. The rise and fall of this surplus of freight cars is set forth below:

FREIGHT CAR SHORTAGES AND SURPLUS BY MONTHS FROM JANUARY, 1907, TO APRIL, 1910.

===========================+==========+=========+=========+========
| 1907 | 1908 | 1909 | 1910
Month | Shortage | Surplus | Surplus | Surplus
---------------------------+----------+---------+---------+--------
January | 110,000 | 342,580 | 333,019 | 52,309
February | 150,000 | 322,513 | 301,571 | 45,513
March | No data | 297,042 | 291,418 | 45,672
April | 100,000 | 413,605 | 282,328 | 84,887
May | 60,000 | 404,534 | 273,890 | --
June | 40,000 | 349,994 | 262,944 | --
July(a) | 20,000 | 308,680 | 243,354 | --
August(a) | 15,000 | 253,003 | 159,424 | --
September | 60,000 | 133,792 | 78,798 | --
October | 90,757 | 110,912 | 35,977 | --
November | 57,003 | 132,829 | 39,528 | --
December (surplus) | 209,310 | 222,077 | 58,354 | --
---------------------------+----------+---------+---------+--------

(a) In July and August, 1907, there was a net surplus.

At the date of one report in October, 1909, a surplus of cars in one territory was practically offset by a shortage in another territory.

FREIGHT CAR PERFORMANCE.

According to Statistical Bulletin No. 58 of the Committee on Relations between Railroads of the American Railway Association, the average performance of the freight cars of American and Canadian railways during the year ending June 30, 1909, including and excluding surplus cars, was as follows:

==================+=======================+======================
| Average Miles | Average Ton Miles
| per Day | per Car per Day
+-----------+-----------+-----------+----------
Month | Including | Excluding | Including | Excluding
| Surplus | Surplus | Surplus | Surplus
| Cars | Cars | Cars | Cars
------------------+-----------+-----------+-----------+----------
July, 1908 | 20.0 | 24.8 | 275 | 342
August, " | 20.8 | 25.1 | 292 | 354
September, " | 22.0 | 25.2 | 320 | 367
October, " | 23.8 | 25.9 | 346 | 376
November, " | 23.5 | 25.8 | 341 | 375
December, " | 22.3 | 25.2 | 332 | 376
January, 1909 | 20.9 | 25.3 | 293 | 354
February, " | 21.7 | 25.9 | 306 | 365
March, " | 22.7 | 27.2 | 330 | 393
April, " | 22.4 | 26.8 | 310 | 371
May, " | 22.5 | 26.8 | 304 | 362
June, " | 22.4 | 26.5 | 314 | 371
------------------+-----------+-----------+-----------+----------

These figures of the average miles per day of freight cars are the delight of demagogues and other detractors of American railways who ignore, or have never been able to comprehend, that the average performance of a car per day depends from six to nine times more on the time allowed for shippers to load and unload cars than on its speed in transit. This speed runs all the way from ten to forty miles and over an hour. But if freight trains averaged 40 miles an hour it would make little impression on the per day average of cars so long as 48 hours has to be allowed as a minimum at either end for loading and unloading and almost as much more for placing notices and disposing of cars, to say nothing of time consumed in making up trains.

The salient and significant feature of this table is the proof it affords that each car of those in commission averages the movement of one ton 367 miles per day. This means an average load of 14 tons per car. It would take at least three English or European freight cars to average such a load.

SAFETY APPLIANCES.

Of all the locomotives and cars in railway service in 1908, aggregating 2,302,055, less than 4% were not fitted with train brakes, and less than three quarters of 1% were unprovided with automatic couplers.

BLOCK SIGNALS.

While the gain in mileage protected by some form of block signals in 1909 is only slightly more than half the increase in 1907, it shows a healthy revival of this most important constructive work. At the close of the last calendar year, according to the _Railroad Age-Gazette,_ the mileage on which some system of block signals had been installed was as follows:

====================+===============+=============+========+=======
System | Single Track | Two or | Total | Total
| | More Tracks | 1909 | 1908
--------------------+---------------+-------------+--------+-------
Automatic block | | | |
signals (miles) | 6,436 | 7,983 | 14,419 | 11,932
Non-automatic block | | | |
signals (miles) | 40,323 | 8,593 | 48,916 | 48,777
+---------------+-------------+--------+--------
Total miles | 46,759 | 16,576 | 63,335 | 60,709
--------------------+---------------+-------------+--------+--------

Miles of line operated by the companies, 1909 158,938

The second annual report of the government Block Signal and Train Control Board shows that little advance has been made in the search after the perfect system of automatic mechanical operation. Since the organization of the board in 1907 no less than 835 plans and descriptions of inventions designed to enhance the safety of railway operation have been submitted for its consideration. Of these 184 were examined and reported upon in 1908 and 12 were found worthy of further investigation. During the past year 327 others have been reviewed with a net result that again 12 have been found to possess enough merit to warrant the Board in conducting further tests. It finds that the vast majority of the proposed devices are unsound either in principle or design.

With regard to some form of automatic stop, the Board says that it is not yet prepared to make a definite and positive recommendation, but it thinks it reasonable to expect that several forms of automatic train controlling devices will be found available for use. In this connection it very sensibly concludes:

"It is not to be expected that trials or tests conducted by the government will, independently of extended use by railways, result in the production of devices or systems fully developed to meet all the exacting conditions of railway operation."

III

EMPLOYES AND THEIR COMPENSATION

NUMBER 1,524,400

COMPENSATION $1,008,270,000

The 368 railway companies reporting to this Bureau had 1,463,429 persons in their employ June 30, 1909, and their pay roll for the twelve months to that date amounted to $973,172,497. Experience has shown that these roads employ over 96% of the labor and pay 97% of the compensation earned by railway employes. From which it appears that the employes of all the railways in 1909 numbered 1,524,400, whose compensation for that year was approximately $1,003,270,000. This would show an increase of 66,756 men employed and a decrease of $48,362,225 in compensation--a discrepancy accounted for by the fact that the pay roll in June, 1908, was numerically at low tide while the aggregate compensation was swelled by the large pay rolls of the first six months of the fiscal year. The conditions were nearly reversed in 1909, for the pay roll was at the ebb during the first half of the year whereas the number on it did not begin to show the demands of increasing traffic until the very close of the fiscal year.

These statistics would be more enlightening if the number of employes was determined by the average from the monthly pay rolls throughout the year and not as at present "from the pay rolls on June 30." The discrepancies noted are liable to increase if the Commission succeeds in getting the permission of Congress to substitute December 31st for June 30th as the end of its statistical year. Under the present practice, the summary which follows reflects the improvement of business in the increase of employes, while their aggregate compensation continues to show the effect of the depression that prevailed throughout the greater part of the year. When, however, that compensation comes to be divided by the "Aggregate number of days worked by all employes" during the year, the daily average which results is found to be within a fraction of a cent the same as for the preceding year.

The aggregate number of days worked by the employes of the roads reporting to this Bureau was 434,328,026 days in 1909 against 453,002,228 for the preceding year.

The first summary under this title gives the number, compensation and average pay of the several classes of employes of the roads reporting for the year 1909, together with the aggregates as reported to the Interstate Commerce Commission for the preceding years:

SUMMARY OF RAILWAY EMPLOYES, COMPENSATION AND RATES OF PAY BY CLASSES IN 1909 AND AGGREGATES FROM 1889 TO 1909.

======================+=========+=====+==============+=======+========
Class 1909 | |Per 100| |Average|Per Cent
(221,132 Miles | Number | Miles | Compensation| Pay |of Gross
Represented) | |of Line| |per Day|Receipts
----------------------+---------+-----+--------------+-------+--------
General officers | 3,312 | 1.6 | $15,484,008 | 14.82 | 0.6
Other officers | 7,415 | 3.3 | 16,847,754 | 6.53 | 0.7
General office clerks | 67,222 | 30 | 51,945,231 | 2.31 | 2.2
Station agents | 34,765 | 15 | 24,944,100 | 2.10 | 1.0
Other station men | 135,056 | 61 | 78,289,039 | 1.81 | 3.3
Enginemen | 55,747 | 25 | 77,762,158 | 4.46 | 3.3
Firemen | 58,927 | 27 | 47,591,953 | 2.67 | 2.0
Conductors | 42,325 | 19 | 50,269,581 | 3.76 | 2.1
Other trainmen | 112,398 | 51 | 88,751,753 | 2.60 | 3.7
Machinists | 47,629 | 22 | 41,381,054 | 2.98 | 1.7
Carpenters | 59,477 | 27 | 42,954,993 | 2.43 | 1.8
Other shopmen | 192,784 | 87 | 118,891,679 | 2.13 | 5.0
Section foremen | 39,953 | 18 | 26,377,380 | 1.96 | 1.2
Other trackmen | 308,369 | 140 | 107,734,419 | 1.38 | 4.5
Switch tenders, | | | | |
crossing tenders | | | | |
and watchmen | 44,155 | 20 | 26,019,105 | 1.78 | 1.1
Telegraph operators | | | | |
and dispatchers | 38,656 | 17 | 29,655,916 | 2.30 | 1.3
Employes, account | | | | |
floating equipment | 8,632 | 4 | 6,537,196 | 2.32 | 0.3
All other employes | | | | |
and laborers | 206,607 | 93 | 121,735,178 | 1.98 | 5.2
+---------+-----+--------------+-------+------
Total (94.4% mileage| | | | |
represented) |1,463,429| 661 | $973,172,497| 2.24 | 41.00
| | | | |
1908 Official figures |1,458,244| 632 |$1,051,632,225|(b)2.25| 43.38
1907 |1,672,074| 735 | 1,072,386,427| 2.20 | 41.42
1906 |1,521,355| 684 |(a)930,801,653| 2.09 | 40.02
1905 |1,382,196| 637 | 839,944,680| 2.07 | 40.34
1904 |1,296,121| 611 | 817,598,810|No data| 41.36
1903 |1,312,537| 639 | 775,321,415|No data| 40.78
1902 |1,189,315| 594 | 676,028,592|No data| 39.28
1901 |1,071,169| 548 | 610,713,701|No data| 38.39
1900 |1,017,653| 529 | 577,264,841|No data| 38.82
1899 | 928,924| 495 | 522,967,896|No data| 39.81
1898 | 874,558| 474 | 495,055,618|No data| 39.70
1897 | 823,476| 449 | 465,601,581|No data| 41.50
1896 | 826,620| 454 | 468,824,531|No data| 40.77
1895 | 785,034| 441 | 445,508,261|No data| 41.44
1894 | 779,608| 444 | No data |No data| --
1893 | 873,602| 515 | No data |No data| --
1892 | 821,415| 506 | No data |No data| --
1891 | 784,285| 486 | No data |No data| --
1890 | 749,301| 479 | No data |No data| --
1889 | 704,743| 459 | No data |No data| --
----------------------+---------+-----+--------------+-------+------

(a) Includes $30,000,000 estimate pay-roll of Southern Pacific, whose
records were destroyed in the San Francisco disaster.

(b) Bureau computations.

This table brings out clearly the effect of the depression of 1908 on railway labor. While there was a decrease in numbers employed in 1908 of 213,830 or nearly 13%, coincident with a proportionate decrease in gross revenues, the reduction in compensation amounted to less than 2%. This anomaly was due to the fact that the increased scale of pay adopted in the winter of 1906-07 was only effective during six months of the fiscal year 1907, whereas it was in full operation throughout 1908, as it still is, with demands, negotiations and arbitrations regarding wages all tending upward.

UNREMUNERATIVE EXPENDITURES.

Last year attention was called to the unremunerative burdens imposed on the railways by the multiplying demands of legislatures and commissions for reports on every conceivable feature of their multifarious affairs. This year with the compensation of every other class showing the effects of the enforced retrenchments of the period, that of the several classes especially affected by these requirements and the enactments relating to the hours and conditions of employment continue to be the only ones marked by advances over the record figures of 1907, as appears from the following comparison:

COMPENSATION OF CLASSES ESPECIALLY AFFECTED BY MULTIPLYING DEMANDS OF COMMISSIONS AND LEGISLATURES IN 1907 AND 1909.

=====================================+==============+==============
| 1907 | 1909
Class | 227,455 Miles| 221,132 Miles
| Represented | Represented
-------------------------------------+--------------+--------------
Other officers | $15,012,226 | $16,847,754
General office clerks | 48,340,123 | 51,945,231
Station agents | 24,831,066 | 24,944,100
Telegraph operators and dispatchers | 29,058,251 | 29,655,916
Employes, account floating equipment | 6,035,415 | 6,537,196
+--------------+--------------
Total | $123,277,081 | $129,930,197
-------------------------------------+--------------+--------------
Add 4% for unreported mileage, 1909 | 5,197,207
Total | $135,127,404
Increase over 1907 | 11,850,323
----------------------------------------------------+--------------

Moreover, had the aggregate compensation of these five classes followed the general trend of all other railway compensation, the expenditure on this account would have been at least $22,000,000 less than it was. This sum represents only a part of what the railways have to pay for a system of accounting and reporting out of all proportion to its published results. The public has no idea of the onerous and unprofitable burdens imposed on the railways by the impractical theory of administering railways through the medium of arbitrary and theoretical accounts.

AVERAGE DAILY COMPENSATION 1909-1892.

Where the data in regard to total compensation of railway employes has been kept since 1895, that of their daily average pay runs back to 1892, thus covering the period of the last preceding severe panic. Under instructions of the Official Statistician, these averages are computed by dividing the compensation paid by the actual days worked throughout the year in the several classes as nearly as it has been practicable to do so. Although the formula is more or less arbitrary, the system has been continuous and so the results are reliable for comparative purposes.

In the statement following, figures for 1895, 1896 and 1905 have been omitted to economize space, and because they present no significant variations from the years preceding them.

COMPARATIVE SUMMARY OF AVERAGE DAILY COMPENSATION OF RAILWAY EMPLOYES FOR THE YEARS ENDING JUNE 30, 1908 TO 1892.

======================+=======+========+=====+=====+=====+=====+=====
Class |1909(a)| 1908(a)| 1907| 1906| 1904| 1903| 1902
----------------------+-------+--------+-----+-----+-----+-----+-----
General officers | 14.82 | 15.18 |11.93|11.81|11.61|11.27|11.17
Other officers | 6.53 | 6.42 | 5.99| 5.82| 6.07| 5.76| 5.60
General office clerks | 2.31 | 2.35 | 2.30| 2.24| 2.22| 2.21| 2.18
Station agents | 2.10 | 2.10 | 2.05| 1.94| 1.93| 1.87| 1.80
Other station men | 1.81 | 1.82 | 1.78| 1.69| 1.69| 1.64| 1.61
Enginemen | 4.46 | 4.46 | 4.30| 4.12| 4.10| 4.01| 3.84
Firemen | 2.67 | 2.65 | 2.54| 2.42| 2.35| 2.28| 2.20
Conductors | 3.76 | 3.83 | 3.69| 3.51| 3.50| 3.38| 3.21
Other trainmen | 2.60 | 2.64 | 2.54| 2.35| 2.27| 2.17| 2.04
Machinists | 2.98 | 2.95 | 2.87| 2.69| 2.61| 2.50| 2.36
Carpenters | 2.43 | 2.40 | 2.40| 2.28| 2.26| 2.19| 2.08
Other shopmen | 2.13 | 2.13 | 2.06| 1.92| 1.91| 1.86| 1.78
Section foremen | 1.96 | 1.96 | 1.90| 1.80| 1.78| 1.78| 1.72
Other trackmen | 1.38 | 1.45 | 1.46| 1.36| 1.33| 1.31| 1.25
Switchmen, flagmen | | | | | | |
and watchmen | 1.78 | 1.82 | 1.87| 1.80| 1.77| 1.76| 1.77
Telegraph operators | | | | | | |
and dispatchers | 2.30 | 2.30 | 2.26| 2.13| 2.15| 2.08| 2.01
Employes account | | | | | | |
floating equipment | 2.32 | 2.37 | 2.27| 2.10| 2.17| 2.11| 2.00
All other employes and| | | | | | |
laborers | 1.98 | 1.98 | 1.92| 1.83| 1.82| 1.77| 1.71
----------------------+-------+--------+-----+-----+-----+-----+-----

{table continued}
======================+=====+=====+=====+=====+=====+=====+=====+=====
Class | 1901| 1900| 1899| 1898| 1897| 1894| 1893| 1892
----------------------+-----+-----+-----+-----+-----+-----+-----+-----
General officers |10.97|10.45|10.03| 9.73| 9.54| 9.71| 7.84| 7.62
Other officers | 5.56| 5.22| 5.18| 5.21| 5.12| 5.75| -- | --
General office clerks | 2.19| 2.19| 2.20| 2.25| 2.18| 2.34| 2.23| 2.20
Station agents | 1.77| 1.75| 1.74| 1.73| 1.73| 1.75| 1.83| 1.81
Other station men | 1.59| 1.60| 1.60| 1.61| 1.62| 1.63| 1.65| 1.68
Enginemen | 3.78| 3.75| 3.72| 3.72| 3.65| 3.61| 3.66| 3.68
Firemen | 2.16| 2.14| 2.10| 2.09| 2.05| 2.03| 2.04| 2.07
Conductors | 3.17| 3.17| 3.13| 3.13| 3.07| 3.04| 3.08| 3.07
Other trainmen | 2.00| 1.96| 1.94| 1.95| 1.90| 1.89| 1.91| 1.89
Machinists | 2.32| 2.30| 2.29| 2.28| 2.23| 2.21| 2.33| 2.29
Carpenters | 2.06| 2.04| 2.03| 2.02| 2.01| 2.02| 2.11| 2.08
Other shopmen | 1.75| 1.73| 1.72| 1.70| 1.71| 1.69| 1.75| 1.71
Section foremen | 1.71| 1.68| 1.68| 1.69| 1.70| 1.71| 1.75| 1.76
Other trackmen | 1.23| 1.22| 1.18| 1.16| 1.16| 1.18| 1.22| 1.22
Switchmen, flagmen | | | | | | | |
and watchmen | 1.74| 1.80| 1.77| 1.74| 1.72| 1.75| 1.80| 1.78
Telegraph operators | | | | | | | |
and dispatchers | 1.98| 1.96| 1.93| 1.92| 1.90| 1.93| 1.97| 1.93
Employes account | | | | | | | |
floating equipment | 1.97| 1.92| 1.89| 1.89| 1.86| 1.97| 1.96| 2.07
All other employes and| | | | | | | |
laborers | 1.69| 1.71| 1.68| 1.67| 1.64| 1.65| 1.70| 1.67
----------------------+-----+-----+-----+-----+-----+-----+-----+-----

(a) Averages for 1909 and 1908 are calculated from the returns to the
Bureau of days worked and compensation of the several classes of
roads representing 97% of the traffic.

The average pay of general officers for 1909 and 1908 in this summary is out of proportion, for the reason that the returns to the Bureau cover only 60% of the class numerically and include all the larger systems. Before 1894, this class included "Other officers," so the returns for 1893 and 1892 are not comparable with those for this class in subsequent years.

Comparing the average daily compensation of the four great classes most intimately associated in the public mind with railway operations in 1899 and 1909, it appears that during the decade the average wages of enginemen increased approximately 20%; of firemen 27%; of conductors 20%; and of other trainmen, including switchmen, brakemen and baggagemen--the most numerous body--34%.

An estimate based on the number employed and their aggregate compensation in 1899, allowing 310 working days to the year, would place the increase for all employes during the decade at 23%.

The relation of the compensation of railway employes to the gross earnings of the railways, which furnish the fund from which they are paid, and also to the sum of the expenses incurred in producing those earnings for the past ten years, is shown in the next summary, in conjunction with the operating ratio:

SUMMARY SHOWING PROPORTION OF COMPENSATION OF EMPLOYES TO GROSS EARNINGS AND OPERATING EXPENSES, AND OF OPERATING RATIO TEN YEARS, 1899 TO 1909.

===============+==============+==================+==================
| Ratio | Ratio | Ratio of
| Compensation | Compensation |Operating Expenses
| of Labor to | of Labor to | to
|Gross Earnings|Operating Expenses| Gross Earnings
---------------+--------------+------------------+------------------
1909 | 41.00% | 62.06% | 66.12%
1908 | 43.38% | 62.33% | 69.67%
1907 | 41.42% | 61.41% | 67.53%
1906 | 40.02% | 60.79% | 66.08%
1905 | 40.34% | 60.40% | 66.78%
1904 | 41.36% | 61.07% | 67.79%
1903 | 40.78% | 61.65% | 66.16%
1902 | 39.28% | 60.58% | 64.66%
1901 | 38.39% | 59.27% | 64.86%
1900 | 38.82% | 60.04% | 64.65%
1899 | 39.81% | 61.04% | 65.24%
| | |
Increase 1899 | | |
to 1909 | 3.00% | 1.65% | 1.35%
---------------+--------------+------------------+------------------

The significance of this statement is that in spite of all the labor saving devices and economies of operation--reduced grades, modified curves and more efficient equipment--adopted by the railways during the past decade, the proportionate cost of labor to earnings and to expenses has increased. It reached an abnormally high ratio in 1908 because of the unprecedented recession in revenues during the second half of the year. The fact that it has been above 40% persistently since 1902 proves that labor continues to receive its full proportion of the receipts of American railways.

PAY OF EMPLOYES ON BRITISH RAILWAYS.

Although the statistics of British railways are singularly barren of details respecting the compensation of British railway "servants," as they are termed, the reports of Boards of Conciliation afford data as to the rates of pay of several classes as follows:

SCALE OF WAGES OF DRIVERS AND FIREMEN ON NORTH BRITISH RAILWAY, 1909.

======================================================+===============
|Rate per Day of
| 12 Hours
+-------+-------
|Drivers|Firemen
------------------------------------------------------+-------+-------
Passenger engines, main line, long road | $1.56 | $0.88
Passenger engines running into chief terminal station | 1.44 | .84
Passenger engines, branch lines | 1.32 | .80
Goods engines, main line, long road, trip men | 1.44 | .88
Goods engines, main line, other than long road | 1.32 | .84
Goods and mineral engines running into depots and | |
terminal stations | 1.20 | .80
Goods and mineral engines working branch lines and | |
collieries | 1.14 | .76
Mineral pilot, pilot and shunting engines | 1.04 | .72
------------------------------------------------------+-------+-------

In his award in the case of the North Eastern Railway, Sir James Woodhouse fixed the following scales:

Firemen.--First year, 84 cents per day; 2d year, 90 cents; 3d year, 96 cents; 4th and 5th years, $1.02; 6th year, $1.08; 7th year, $1.14; 8th year, and subsequent years, $1.20. Firemen to pass for drivers during the 8th year.

Cleaners.--Age 16 to 17 years, $2.40 per week; 17 to 18 years, $2.64; 18 to 19 years, $3.12; 19 to 20 years, $3.60; 20 to 21 years, $4.08; and an advance of 24 cents per week for each subsequent year up to a maximum of $4.80 per week.

"That the wages of all goods and mineral guards be increased as follows:

"(a) The wages of those who have been in receipt of $7.20 (the maximum of the existing scale) for not less than two years shall be increased to $7.44 per week.

"(b) The wages of those who have been in receipt of the said maximum for not less than five years shall be increased to $7.68 per week.

"The bonus for working with large engines on freight trains discontinued when any guard becomes entitled to the maximum wages of $7.68 per week."

Men working in the London district get from 6 to 12 cents more per day than those in outside districts.

The award in the case of the Great Northern made an addition of 24 cents to the weekly scale of the following grades: Signalmen $4.32, $4.56, $4.80 and $5.04; passenger guards and brakemen $5.28 up to $6.00; goods guards and brakemen $5.04 up to $6.24; ticket collectors $5.04 up to $5.52; horse shunters $4.56 up to $5.04; parcels porters $4.32 to $5.04; carriage cleaners $4.08 to $4.32; plate layers, second men and under men $4.32 and less up to $5.04; ballast train guards, flagmen and greasers rates less than $5.04 per week.

An additional allowance of 24 cents per week is made to men stationed in the London district.

From these figures a fair idea is gained of the average pay of British railway labor. They support the statement that there are over 100,000 railway men in the United Kingdom working for less than one pound ($4.87) a week. The total compensation paid British railway employes in 1908 was $150,248,000 against $162,440,000 for the preceding year. But whether the decrease was due to a reduction in pay or in numbers employed cannot be told, as there has been no census of railway "servants" since 1907. The average pay may be safely approximated at $260 per year per man, boy and porter, who two years ago numbered 621,341.

In 1907, Special Agent Ames, of the Interstate Commerce Commission, reported wages on the railways of the United Kingdom as follows:

=================+=================
Enginemen | $9.32 per week
Firemen | 5.76 " "
Conductors | 6.26 " "
Brakemen | 6.44 " "
Shunters | 5.80 " "
Examiners | 5.80 " "
Signalmen | 5.66 " "
Trackmen | 5.58 " "
-----------------+-----------------

PAY OF RAILWAY EMPLOYES IN OTHER COUNTRIES.

The contrast between the wages of American and European railway employes is emphasized by those paid on the continent. The official statistics of the empire show an increase of 5% in the average yearly compensation of German railway employes in 1908. Their number and pay for that year to December 31st in the four main classes into which they are divided were as follows:

NUMBER AND PAY OF GERMAN RAILWAY EMPLOYES BY PRINCIPAL DIVISIONS FOR THE YEAR ENDING DECEMBER 31, 1908.

==========================+==========+==============+=========+========
Division | Employes | Compensation |Average |Increase
| Number | (Total) |per year|over 1907
--------------------------+----------+--------------+--------+---------
General administration | 31,996 | $25,167,240 | $787 | $34
Maintenance and guarding | | | |
road | 177,633 | 42,891,753 | 241 | 5
Station service and train | | | |
crews | 302,343 | 116,219,657 | 384 | 24
Switching crews and shops | 187,183 | 75,328,084 | 402 | 18
+----------+--------------+--------+---------
Total | 699,155 | $259,606,734 | $371 | $19
| | | |
Increase over 1907 | 3,598 | 14,216,875 | -- | --
--------------------------+----------+--------------+--------+---------

Combined with a falling off in revenues and an increase in the cost of materials this increase in the compensation of employes had the effect of raising the operating ratio of German railways from 69.01 in 1907 to 73.56 in 1908. It also increased the proportion of wages to gross earnings from 37.25 to 40.1% and had the effect of reducing the net revenues from 5.60% to 4.51% on the cost of construction.

How railway labor fares under government ownership in a republic as compared with its pay in an empire may be judged from a comparison of the following statement as to the number and pay of the railways of Switzerland with the like classes in the preceding table for Germany.

NUMBER AND PAY OF SWISS RAILWAY EMPLOYES BY PRINCIPAL DIVISIONS IN 1907.

==================================+==========+==============+=========
Division | Employes | Compensation | Average
| Number | (Total) | per Year
----------------------------------+----------+--------------+---------
General administration | 1,631 | $ 780,715 | $478
Maintenance and inspection of way | 10,308 | 1,459,977 | 142
Transportation and train service | 17,815 | 6,829,426 | 383
Porters and laborers | 12,219 | 3,209,810 | 262
+----------+--------------+---------
Total | 41,973 | $12,279,928 | $292
----------------------------------+----------+--------------+---------

The wages paid the employes of Swiss railways in 1907 amounted to only 31.9 per cent. of the gross earnings, and yet they added enough to the cost of operation to help increase the telltale ratio of expenses to revenues from 64.99 in 1906 to 67.29 in 1907. The result was increased operating expenses per mile and a decrease in the amount available for interest in dividends from 3.26% in 1906 to 3.23% in 1907.

As the Swiss republic has to pay 3½% on government loans its investment in railways does not appear to be a very profitable one.

EMPLOYES OF FRENCH RAILWAYS.

The employes of the railways of France are divided into the following classes:

==================================================
General administration | 3,119
Transportation and traffic | 128,823
Traction and material | 80,732
Way and structures | 81,897
Auxiliaries | 82,809
Female employes | 29,178
|---------
Total | 406,558
--------------------------------------------------

The official statistics only give the compensation of employes in the division of traction and material, where the 80,732 men employed get an average of $187 per year.

On the state railways of Belgium, firemen receive from $15.20 to $22.80 per month, the higher wage only after 15 years' service; enginemen begin at $22.50 per month and at the end of 24 years' service work up to $38.00 per month; conductors earn from $15.97 per month up to a maximum of $34.70; brakemen, beginning as shunters (switchmen) at 45 cents a day, when promoted get a minimum of $17.10 per month, from which they are slowly advanced to a maximum of $22.00. The average railway worker in Belgium gets 2.22 francs (43 cents) a day.

Whole classes of American railway employes get more in a month than Belgian railway employes average in a year.

THE COST OF LIVING.

What and how great the virtue and the art,
To live on little with a cheerful heart.--Pope.

Not because it has any legitimate place in fixing the standard of railway wages, which should be relative to the part capacity, intelligence, industry, loyalty and experience play in railway service, but because in recent years the steady increase in the cost of living has been made the fulcrum on which every lever to advance wages works, is it proper to refer to the subject in this report.

Now there is nothing in the whole wilderness of economics so utterly illusive and misleading as this same cost of living. It is as incapable of statistical expression as the airy imaginings of a dream and yet it broods over the domestic happiness of nations with all the disquieting effects of a nightmare--and like every nightmare it comes from eating too much and wanting to eat more.

In economics, beyond the barest subsistence, the cost of living is not ruled by necessity but by individual choice. Each person and family settles it along the lines of abstinence or indulgence. It ranges from the "dinner of herbs where love is" and the virtues of self-denial are nourished, to the feasts of Lucullus and Pompeian profligacy in whose indulgence whole peoples have perished.

In every discussion of the subject first consideration is given to the price of food. This amounts to measuring the cost of living with an elastic string. The proportion of the cost of food to the cost of living varies in every land, in every occupation and in every household. It amounts to less than 40% in an average American family, but each family fixes it for itself. Following certain well recognized economic laws the percentage for subsistence increases as the income decreases. For instance, in France families with an income of under $4.80 per week spend 63% of it for food alone, whereas those with $9.60 a week spend 53%. In England, families averaging $5.12 a week spend 67% on food, while those of $9.60 spend 57% or less. In Germany, a similar inquiry showed that families with an average income of $4.23 per week spent 68.7% on food (excluding beer), or 69.5% (with beer); whereas families with an income of $9.60 per week spent less than 57% on food "excluding beer."

The exhaustive investigation made by Commissioner Carroll D. Wright when head of the Bureau of Labor in 1903 anticipated for the United States these results of more recent European inquiries, as appears from the following table showing the per cent of total expenditure made for various purposes in normal families according to classified incomes:

PER CENT OF EXPENDITURE FOR VARIOUS PURPOSES IN 11,156 NORMAL FAMILIES, BY CLASSIFIED INCOMES, 1901.

========================+======+=====+========+======+========+========
Classified income |Rent |Fuel |Lighting| Food |Clothing|Sundries
------------------------+------+-----+--------+------+--------+--------
Under $200 |16.93 |6.69 | 1.27 | 50.85| 8.68 | 15.58
$200 or under $300 |18.02 |6.09 | 1.13 | 47.33| 8.66 | 18.77
$300 or under $400 |18.69 |5.97 | 1.14 | 48.09| 10.02 | 16.09
$400 or under $500 |18.57 |5.54 | 1.12 | 46.88| 11.39 | 16.50
$500 or under $600 |18.43 |5.09 | 1.12 | 46.16| 11.98 | 17.22
$600 or under $700 |18.48 |4.65 | 1.12 | 43.48| 12.88 | 19.39
$700 or under $800 |18.17 |4.14 | 1.12 | 41.44| 13.50 | 21.63
$800 or under $900 |17.07 |3.87 | 1.10 | 41.37| 13.57 | 23.02
$900 or under $1000 |17.58 |3.85 | 1.11 | 39.90| 14.35 | 23.21
$1000 or under $1100 |17.53 |3.77 | 1.16 | 38.79| 15.06 | 23.69
$1100 or under $1200 |16.59 |3.63 | 1.08 | 37.68| 14.89 | 26.13
$1200 or over |17.40 |3.85 | 1.18 | 36.45| 15.72 | 25.40
+------+-----+--------+------+--------+--------
All classes |18.12 |4.57 | 1.12 | 43.13| 12.95 | 20.11
------------------------+------+-----+--------+------+--------+--------

While it is scarcely believable that many American families with incomes under $200 spent less than $100 a year on food--the European percentage in such cases being more credible--there is no reason to question the general economic law reflected in this table, that "the proportion of income spent on food diminishes as the income increases." But it is governed more by individual tendencies, character and taste than by any rule or principle. Each family works out the problem on its own account.

According to the evidence presented at recent arbitration hearings in this city, American switchmen, as a body, belong in the classes whose family expenditures are $1,000 or over. Irrespective of the incomes of other members of their families, the arbitrators found "that the actual monthly earnings of switchmen in the Chicago district, for those who worked full time _runs from about $80 to $100 per month_." This means over $1,000 yearly compensation. Therefore they are in the class which spends less than 39% of its income on food.

The average income for all railway employes engaged in train service, that is, enginemen, firemen, conductors and other trainmen, is probably above the highest figure in the foregoing table and therefore the proportion of their income spent for food would be approximately 36%.

But accepting 40% as approximately the proportion of the pay of all railway employes spent on food, it follows that it takes only two-fifths of one per cent increase in wages to take care of an increase of one per cent in the price of food.

With this in mind it becomes instructive to follow the retail prices of the various articles of food as selected by Mr. Wright in his inquiry into the cost of living in 1901 and adopted by the Bureau of Labor in subsequent Bulletins. These for thirty articles of food for the eighteen years 1890 to 1907, as given in Bulletin No. 77 of the Bureau of Labor, and for the two years 1908-1909 as computed from Bradstreet's index and other sources of commodity prices, are given in the following statement relatively to the average price for 1890 to 1899 == 100:

RELATIVE RETAIL PRICES OF THE PRINCIPAL ARTICLES OF FOOD IN THE UNITED STATES, 1890 TO 1909. (Average price for 1890-1899 == 100.0.)

=====+======+======+======+======+======+======+======+======+======+======
| | | | | | | | |Chickns|
| | | | | | | | | (year |
|Apples|Beans,|Beef, |Beef, |Beef, |Bread,|Butter|Cheese|or more|Cof-
Year |Evapo-| Dry |Fresh,|Fresh,|Salt |Wheat | | | old) | fee
| rated| |Roasts|Roasts| | | | |dressed|
-----+------+------+------+------+------+------+------+------+------+------
1890 |109.0 |103.3 | 99.5 | 98.8 | 97.5 | 100.3| 99.2| 98.8 | 101.3| 105.4
1891 |110.3 |106.2 |100.0 | 99.4 | 98.3 | 100.3| 106.4|100.3 | 104.0| 105.2
1892 | 99.3 |102.4 | 99.6 | 99.3 | 99.5 | 100.3| 106.8|101.5 | 103.8| 103.8
1893 |107.0 |105.0 | 99.0 | 99.6 |100.3 | 100.1| 109.9|101.8 | 104.2| 104.8
1894 |105.8 |102.8 | 98.3 | 98.2 | 98.9 | 99.9| 101.7|101.6 | 98.6| 103.3
1895 | 97.4 |100.5 | 98.6 | 99.1 | 99.6 | 99.7| 97.0| 99.2 | 98.4| 101.7
1896 | 88.6 | 92.7 | 99.1 | 99.5 | 99.8 | 99.9| 92.7| 97.9 | 97.1| 99.6
1897 | 87.8 | 91.5 |100.3 |100.2 |100.9 | 100.0| 93.1| 99.0 | 94.0| 94.6
1898 | 95.4 | 95.9 |101.7 |102.0 |102.1 | 99.8| 95.1| 97.5 | 96.8| 91.1
1899 | 99.5 | 99.7 |103.7 |103.9 |103.2 | 99.6| 97.7|102.4 | 101.8| 90.5
1900 | 95.2 |110.0 |106.5 |106.4 |103.7 | 99.7| 101.4|103.9 | 100.8| 91.1
1901 | 96.8 |113.9 |110.7 |111.0 |106.1 | 99.4| 103.2|103.3 | 103.0| 90.7
1902 |104.4 |116.8 |118.6 |118.5 |116.0 | 99.4| 111.5|107.3 | 113.2| 89.6
1903 |100.8 |118.1 |113.1 |112.9 |108.8 | 100.2| 110.8|109.4 | 113.5| 89.3
1904 | 99.2 |116.8 |112.8 |113.4 |108.3 | 103.9| 109.0|107.4 | 120.7| 91.8
1905 |106.0 |116.3 |112.2 |112.9 |107.9 | 104.5| 112.7|110.9 | 123.6| 93.6
1906 |115.6 |115.2 |115.7 |116.5 |110.8 | 102.3| 118.2|115.5 | 129.1| 94.7
1907 |124.6 |118.8 |119.1 |120.6 |114.1 | 104.5| 127.6|123.2 | 131.4| 95.0
1908 |126.4 |138.9 |126.2 |131.5 |116.4 | 124.5| 123.5|121.3 | 128.6| 94.7
1909 |128.6 |141.2 |132.6 |134.1 |128.2 | 124.5| 134.8|142.0 | 150.2| 108.6
| | | | | | | | | |
-----+------+------+------+------+------+------+------+------+------+------
| | | | | | |Milk, | | |
Year | Corn | Eggs |Fish, |Fish, |Flour | Lard |Fresh,|Mola- |Mutton|Pork,
| Meal | |Fresh | Salt |Wheat | |unski-| sses | |Fresh
| | | | | | |mmed | | |
-----+------+------+------+------+------+------+------+------+------+------
1890 |100.0 |100.6 | 99.3 |100.7 |109.7 | 98.2| 100.5|104.7 | 100.7| 97.0
1891 |109.7 |106.9 | 99.6 |101.7 |112.5 | 99.8| 100.5|101.7 | 100.6| 98.7
1892 |105.2 |106.8 |100.1 |102.2 |105.1 | 103.6| 100.6|101.2 | 101.0| 100.5
1893 |103.1 |108.1 |100.1 |103.4 | 96.1 | 117.9| 100.4|100.6 | 99.9| 107.0
1894 |102.2 | 96.3 |100.4 |101.5 | 88.7 | 106.9| 100.2|100.3 | 97.8| 101.8
1895 |100.8 | 99.3 | 99.8 | 98.9 | 89.0 | 100.1| 100.0| 99.0 | 98.7| 99.7
1896 | 95.0 | 92.8 |100.2 | 97.5 | 92.7 | 92.5| 99.9| 98.7 | 98.7| 97.4
1897 | 93.7 | 91.4 | 99.8 | 95.2 |104.3 | 89.8| 99.7| 97.7 | 99.6| 97.6
1898 | 95.0 | 96.2 |100.5 | 98.8 |107.4 | 93.9| 99.4| 97.9 | 100.4| 98.6
1899 | 95.1 |101.1 |100.2 |100.2 | 94.6 | 97.1| 98.9| 98.2 | 102.6| 101.7
1900 | 97.4 | 99.9 |100.4 | 99.1 | 94.3 | 104.4| 99.9|102.2 | 105.6| 107.7
1901 |107.1 |105.7 |101.4 |100.9 | 94.4 | 118.1| 101.1|101.3 | 109.0| 117.9
1902 |118.8 |119.1 |105.0 |102.8 | 94.9 | 134.3| 103.3|102.1 | 114.7| 128.3
1903 |120.7 |125.3 |107.3 |108.4 |101.2 | 126.7| 105.8|103.8 | 112.6| 127.0
1904 |121.5 |130.9 |107.9 |111.7 |119.9 | 117.3| 106.3|104.0 | 114.1| 124.0
1905 |122.2 |131.6 |109.9 |113.8 |119.9 | 116.6| 107.0|104.4 | 117.8| 126.6
1906 |123.2 |134.2 |116.2 |116.8 |180.1 | 128.0| 108.9|105.3 | 124.1| 137.7
1907 |131.6 |137.7 |120.6 |121.6 |117.7 | 134.2| 116.8|107.7 | 130.1| 142.5
1908 |154.0 |140.2 |116.2 |118.4 |140.0 | 132.1| 115.4|102.2 | 126.4| 141.6
1909 |160 |142.2 |120.4 |122.6 |154.4 | 153.8| 141.6|106.4 | 134.8| 168.2
| | | | | | | | | |
-----+------+------+------+------+------+------+------+------+------+------
|Pork, |Pork, | Pork,|Potat-| | | | | |
Year |Salt, |Salt, | Salt,| oes, |Prunes| Rice | Sugar| Tea | Veal |Vine-
|Bacon |dry or| Ham |Irish | | | | | | gar
| |pickled| | | | | | | |
-----+------+------+------+------+------+------+------+------+------+------
1890 | 95.8 | 95.3 | 98.7 |109.3 |116.8 | 101.3| 118.6| 100.0| 98.8| 102.9
1891 | 96.6 | 98.9 | 99.3 |116.6 |116.5 | 102.5| 102.7| 100.4| 99.6| 105.5
1892 | 99.1 |100.5 |101.9 | 95.7 |113.5 | 101.3| 96.2| 100.2| 100.0| 102.7
1893 |109.0 |108.7 |109.3 |112.3 |115.6 | 98.4| 101.5| 100.1| 100.0| 99.5
1894 |103.6 |103.4 |101.9 |102.6 |100.9 | 99.0| 93.8| 98.7| 98.7| 99.8
1895 | 99.4 | 99.2 | 98.8 | 91.8 | 94.2 | 98.8| 91.8| 98.5| 98.5| 98.9
1896 | 96.7 | 95.5 | 97.6 | 77.0 | 86.8 | 96.7| 96.6| 98.8| 99.5| 97.2
1897 | 97.4 | 97.3 | 98.2 | 93.0 | 84.3 | 97.9| 95.7| 98.5| 99.9| 97.4
1898 |100.2 | 99.1 | 95.1 |105.4 | 86.3 | 101.7| 101.3| 100.7| 101.2| 97.9
1899 |102.9 |101.8 | 99.2 | 96.1 | 85.1 | 102.4| 101.7| 104.4| 103.7| 98.3
1900 |109.7 |107.7 |105.3 | 93.5 | 83.0 | 102.4| 104.9| 105.5| 104.9| 98.5
1901 |121.0 |117.5 |110.2 |116.8 | 82.6 | 103.5| 103.0| 106.7| 108.8| 98.9
1902 |135.6 |132.5 |119.4 |117.0 | 83.4 | 103.5| 96.1| 106.0| 114.9| 99.1
1904 |137.9 |125.8 |118.4 |121.3 | 79.6 | 101.6| 101.9| 105.8| 115.5| 98.9
1905 |138.8 |126.0 |118.5 |110.2 | 81.4 | 102.6| 98.2| 105.5| 123.2| 102.6
1907 |157.3 |141.2 |130.7 |120.6 | 88.4 | 108.5| 99.6| 105.3| 125.0| 104.5
1908 |142.4 |137.4 |112.0 |138.4 | -- | 105.1| 100.0| 108.6| 124.2| 112.4
1909 |180.0 |151.2 |145.0 |120.0 | -- | 103.3| 105.0| 109.0| 130.2| 113.0
| | | | | | | | | |
-----+------+------+------+------+------+------+------+------+------+------

No authority is claimed for the prices in these tables for the years 1908 and 1909. They merely represent the tendencies in those years, as found in official and unofficial wholesale prices of the several commodities, and there are often striking divergences between wholesale and retail prices over short periods. Eventually they follow the same course, although not always in the same proportion.

Now let us see how the average retail price of these 30 articles of food compares with the average daily pay of the four representative classes of railway employes in train service for the ten years 1899 to 1909.

=====================+========================================+=========
| Average Daily Compensation |Relative
+---------+---------+----------+---------+Prices of
| | | | Other | Food,
Year |Enginemen| Firemen |Conductors| Trainmen|1890-1899
| | | | | = 100
---------------------+---------+---------+----------+---------+---------
1899 | $3.72 | $2.10 | $3.13 | $1.94 | 99.6
1900 | 3.75 | 2.14 | 3.17 | 1.96 | 101.5
1901 | 3.78 | 2.16 | 3.17 | 2.00 | 105.5
1902 | 3.84 | 2.20 | 3.21 | 2.04 | 110.9
1903 | 4.01 | 2.28 | 3.50 | 2.27 | 111.6
1905 | 4.12 | 2.38 | 3.50 | 2.31 | 112.5
1906 | 4.12 | 2.42 | 3.51 | 2.35 | 116.2
1907 | 4.30 | 2.54 | 3.69 | 2.54 | 120.7
1908 | 4.46 | 2.65 | 3.83 | 2.64 | 117.7
1909 | 4.46 | 2.67 | 3.76 | 2.60 | 127.7
+---------+---------+----------+---------+---------
Per cent. increase | 19.9 | 27.1 | 20.1 | 34.0 | 28.2
---------------------+---------+---------+----------+---------+---------

Here it will be observed the percentage of increase in the average daily compensation of "Other trainmen" exceeds the relative increase in the price of food, that of firemen almost equals it, while that of enginemen and conductors is below it by approximately 8 points. But, as demonstrated in the table from the Eighteenth Annual Report of the Commissioner of Labor (1903), a smaller percentage of the income of enginemen and conductors is spent on food than of those employes receiving lower pay.

Moreover as only two-fifths of all expenditures is spent on food an increase of 20% in wages would take care of a 50% advance in the average price of food--provided the increase in wages was not attended by a corresponding increase in every other item entering into the cost of living.