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J j l J; ^/ATE TEACHEX3 COLLEGE LIBRARY A/ / UNITED STATES DEPARTMENT OF LABOR BULLETIN OF THE WOMEN’S BUREAU, No. 61 THE DEVELOPMENT OF MINIMUM-WAGE LAWS IN THE UNITED STATES, 1912 TO 1927 [Public—No. 259—66th Congress] LH. Ii, 13220] An Act To establish in the Department of Labor a bureau to be known as the Women’s Bureau Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That there shall be established in the Department of Labor a bureau to be known as the Women’s Bureau. hEc. 2. That the said bureau shall be in charge of a director, a woman, to be appointed by the President, by and with the advice and consent of the Senate, who shall receive an annual compensation of $5,000. It shall be the duty of said bureau to formulate standards and policies which shall promote the welfare of wage-earning women, improve their working conditions, increase their efficiency, and ad vance their opportunities for profitable employment. The said bureau shall have authority to investigate and report to the said department upon all matters pertaining to the welfare of women in industry. The director of said bureau may from time to time publish the results of these investigations in such a manner and to such extent as the Secretary of Labor may prescribe. Sec. 3. That there shall be in said bureau an assistant director, to be appointed by the Secretary of Labor, who shall receive an annual compensation of $3,500 and shall perform such duties as shall be prescribed by the director and approved by the Secretary of Labor. Sec. 4. That there is hereby authorized to be employed by said bureau a chief clerk and such special agents, assistants, clerks, and other employees at such rates of compensation and in such numbers as Congress may from time to time provide by appropriations. Sec. 5. That the Secretary of Labor is hereby directed to furnish sufficient quarters, office furniture, and equipment for the work of this bureau. Sec. 6. That this act shall take effect and be in force from and after its passage. Approved, June 5,1920. U. S. DEPARTMENT OF LABOR JAMES J. DAVIS, SECRETARY WOMEN’S BUREAU MARY ANDERSON, Director BULLETIN OF THE WOMEN’S BUREAU, No. 61 • . THE DEVELOPMENT OF MINIMUM-WAGE LAWS IN THE UNITED STATES, 1912 TO 1927 /V\ UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON 1928 ADDITIONAL COPIES OF THIS PUBLICATION MAY BE PROCURED FROM THE SUPERINTENDENT OF DOCUMENTS U.S.GOVERNMENT PRINTING OFFICE WASHINGTON, D. C. AT 90 CENTS PER COPY ■ CONTENTS Letter of transmittal____________________________________ Chapter I. Origin and extent of minimum-wage activity Relation of wage regulation in Australia and New Zealand to the minimum-wage laws in the United States History of legislation in the United StatesII Limits of the field in which laws have operated_____ II Distinction between flexible and inflexible types of laws Procedure and problems involved in setting rates under the flexible laws Length of time that flexible laws have been functioning Chapter II. Definitions of classes affected1 Industries and occupations covered_ Estimate of number of woman workers who could he included Special classes of employees covered Minors__ _______________________ ________ Apprentices or learners—inexperienced workers Substandard workers________________________________ Relation of orders to size of community Summary__________________________________________ Chapter III. Organisation of administering and enforcing agencies Type of personnel______________________________ __I___ Representation of women on commissions as provided in the laws______________________ __________._________ Representation of women on commissions in practice Representation of labor on commissions required by law Representation of labor on commissions in practice Representation of employers on commissions as required by law and in practice Representation of the public on commissions Representation of political parties on commissions Summary!_______________________________________ Method of making appointments Compensation provided for services on commissions Length of term of commissions In the law________________________ ________________ In practice Summary______________________________ Executive officers of the commissions Chapter IV. Investigation of conditions prior to setting a wage rate___ II Powers of investigation outlined in laws____________ Investigations undertaken by the commissions Rates and earnings Cost of living Summary_____________________' Chapter V. Procedure in organizing for the purpose of determining wage rates—law and practice____________ Body that sets wage rates Provisions of laws Method followed in practice Procedure when wage boards are established Organization of wage boards as provided for in the law’s Actual membership of the wage boards Methods of selecting wage-board members provided in the laws__ Methods actually used in selecting wage-board members Methods used in selecting wage-board members when laws give specific directions_________________ Methods used by the States where the law does not outline the commission’s procedure Methods used by commissions in obtaining new members for a wage board if old ones dropped out hi Page lx 1 1 8 6 7 9 10 13 13 14 16 16 17 18 19 21 23 32 32 33 35 36 37 38 38 38 39 40 42 42 42 43 44 49 49 53 53 75 83 84 84 84 85 86 86 87 91 92 93 98 100 TV CONTENTS Chapter V—Continued. Summary-------------------------- —•..—---------------------- ------- — Procedure provided for when commissions are to determine the amount of the wage-------------------------------------------------------------Procedure provided for when wage boards are to determine the amount of the wage-------------------------------------------------------------Work laid out for wage boards in the laws---------------------------Powers granted the wage boards---------------------------------- ;—— Commissions’ power over work of wage boards---------------------Summary--------------------------------------- ------------------------------ ------ Chapter VI. Procedure used in determining provisions of decrees----------Decrees set by the commissions without wage-board procedure-------Wage boards—organization and work performed---------------;----------Instructions given to wage boards by the commissions------------ •' Wage-boards’ methods of work--------------------------------------------Length of time wage boards have remained in session--------------Reports by wage boards and action by commissions'.---------------Summary------------------------------------------------------------------------Chapter VII. Actual rates set for full-time experienced workers, com pared with cost-of-living figures--------------------------------- _----------------Comparison of rates with budget figures prepared specifically to aid in formulating these rates-----------------------------------------------Comparison of budgets to determine a standard budget by which rates can be judged---------------------------- --------------------------------Comparison of rates set at different, dates----------------------------- -- Changing of rates within a specific group as the .cost of living changed------------- -------------------------------------------------------------Summary----------------- ---------- ,---------- ------- -----------------------------Chapter VIII. Provisions in the decrees for workers other than experi enced adults working full time------ —-----------------------------------------Substandard workers--------------------------------------------------------------Apprentices or learners and minors------------------------- ----------------Method of treating apprentices or learners in various industries. Possible methods of treating varied age groups in relation to apprenticeship------------ -------------------------------------------------Actual methods of treating learners or apprentices---------------Decrees where no learning period was required!--------------Decrees where apprenticeship rules do not consider age___ Decrees covering women and minors but requiring varied learning periods, according to age-------------------------------Methods used when minors were given special treatment----Decrees that provide the same experienced rate for all ages, though apprenticeship provisions vary accord ing to age----------------------------------------------------------Decrees that never provide for a minor reaching the experienced rate------------------------------------------------Summary------------------------------------------------------------------Rules as to where apprenticeship shall be served--------------------Length of apprenticeship period------------------------------------------Rates for women and minors entering industry----------------------Limitation of the number of apprentices-------------------------------Summary------------------------------------------------------------------------Chapter IX. Regulations for the application of minimum-wage rates in practice------------------------------------------------------------------------------------Relation of rates to the number of hours a woman works..----------Relation to rates of legal limitations on hours and of the hours that a plant runs regularly--------------------------------------------------------Provisions of decrees defining full-time week-------------------------Provisions of decrees defining and regulating part-time workers. Actual part-time rates set in North Dakota and California— Summary---------------------- -------------------------------------------Provisions covering women working overtime------------------------Summary Other groups receiving special treatment-----------------------------------Pieceworkers________________________ Male minors Workers receiving bonuses, commissions, etc Page 102 102 103 103 105 106 106 107 107 112 117 122 123 127 128 131 138 142 140 153 155 157 158 158 159 163 164 165 167 171 176 170 173 ls3 187 101 205 224 226 ?2S 228 229 234 237 238 244 244 246 247 248 252 253 contents Chapter IX—Continued. Other groups receiving special treatment—Continued. Home workers 254 Summary___________________________________ ____________ Significance of the attention paid in the decrees to special classes of workers__________________ Chapter X. Formalities necessary before the rates aud rulings incorpo rated in the decrees have the force of law 258 Public hearings___________ Publishing of notices of public hearings and of the terms of the wage orders 259 Chapter XI. Time consumed in setting decrees 261 Time elapsing between commission’s first specific act in a given industry and date decree became effective______________________ Length of time consumed in setting first decree in each State__ Discussion of causes of delay when decrees were a year or more in being set Chapter XII. Enforcement of decrees Powers of enforcement and penalties for violations Use of special licenses in enforcing the law_______________ Provisions for posting and penalties for noncompliances found in the laws Records of violations, penalties, and backpay collected______________ Examples of methods of enforcement 288 Forms used in enforcing decrees in California 288 Control of the canning industry—predominantly a piece-rate industry 298 Actual process of auditing as developed by the California commission___________________ Forms used in enforcing decrees in Massachusetts___________ Chapter XIII. Relation of the courts (±o the minimum-wage laws______ Provisions in the laws providing for court review of decrees_______ Court action with reference to minimum-wage laws______________ Chapter XIV. Appropriations available for minimum-wage activities____ Sums for administration carried by the minimum-wage acts________ Actual sums carried in appropriation acts for the work . Chapter XV. Changes in the position of woman workers during the period of minimum-wage activity' Changes in rates and earnings of woman workers 334 Arkansas______ 334 California_________________________ _____________________ District of Columbia 340 Kansas__________________________________________________ Massachusetts 340 Changes in median rates and earnings as shown by the fig ures collected by the minimum-wage commission_________ Changes in median wages as shown by the figures collected by the Massachusetts division of statistics_____________ Minnesota_____________________ North Dakota______________________ Oregon------------------------------------------------------------------ 365 Washington______________________________________________ Wisconsin_____________ Summary_________________________ ; Changes in the number of learners or apprentices in California_____ Chapter XVI. Inflexible laws 374 Dates of enactment_______________________ Wage rates established by the laws' Industries covered by the laws 376 Classes of employees covered by the laws 377 Provisions covering the treatment of experienced women______ Provisions covering the treatment of minors 378 Provisions covering the treatment of apprentices_____________ Provisions covering the treatment of substandard workers_____ Summary 337 v Page 255 256 258 261 270 271 276 276 277 281 285 353 307 316 316 318 326 326 327 332 337 342 346 300 303 364 360 306 309 371 374 375 377 378 381 VI CONTENTS Chapter XVI—Continued. Pace Administration and enforcement____________ ——___________ 381 Agencies concerned with law administration and enforcement___ 382 Powers and duties given administering and enforcing agencies— 382 Penalties provided in the acts 383 Powers granted the administering and enforcing agencies by their organic acts----------------------------------------------------------386 Actual work done in administering and enforcing the laws_____ 389 Interpretation of laws by attorney generals 391 Court action in enforcing laws 391 Appropriations and salaries available 392 Summary of the inflexible laws 395 Appendixes: A. Text of original laws, with amendments and other changes thereto, in all States where minimum-wage legislation has been enacted398 B. Summary of the provisions of all decrees, by State and by year of issuance 450 C. Provisions in decrees covering learners or apprentices. ________ 531. B. Census classifications used as basis for all figures on numbers of gainfully-occupied women 593 II. Numbers of women on which are based median and quartile rates and earnings 609 Index 617 TEXT TABLES Table 1. Time elapsed between passage of law and going into effect of first decree, by State 2. Phraseology in the laws which shows what groups of workers may be covered by decrees, by State 3. Number of women to whom the commissions could apply mini mum-wage orders compared with the total number of gain fully occupied women, by State 15 4. Minors subject to regulation, by State 5. Grounds for granting special licenses to substandard workers, by State 6. Organization of commissions as provided in the laws, by Stale and year 7. Representation of women on commissions as required by law_ 8. Sex of persons serving as members of the various commis sions, by State 34 9. Representation of labor on commissions as required by law___ 10. Representation of employers on commissions as required by law_ 11. Provisions in the laws regulating the selection of commission members, by State 40 12. Number and length of service of executive officers of com missions, by State 47 13. Powers of commission or its authorized agents relating to the inspection of plants, papers, etc., by State_______________ 14. Powers of commission relating to the bringing before it of rele vant information, by State 51 15. Powers of commission requiring employers to keep registers showing certain facts about employees, by State__________ 16. Methods used by the commissions in investigations to obtain rates and earnings figures, byState:______________________ 17. Investigations of women’s wages made by commissions before establishing rates, by State andyear 64 18. Methods used by the commissions in securing cost-of-living figures, by State and year 77 19. Cost-of-living figures in studies made by commissions, by State and year___ gO 20. Estimated yearly cost of living, by State and year of com pletion of survey________ g2 21. Action of wage boards and number of wage decrees, by State 22. Organization of wage boards, by State1______________ facing 23. Proportion of employee representatives 011 wage boards who were women, by State gg 11 13 17 19 23 32 35 37 50 51 56 85 86 ' CONTENTS Table 24. Proportion of public representatives on wage boards who were women, by State 25. Proportion of all wage-board members who were women, by State 26. Regulations governing the reports of wage boards to the com missions, by State 27. Basis for setting wage rates as expressed in laws, by State28. Decrees issued by commissions without wage-board action, by State and year 20. Industries for which wage boards were held, by State and year----------------------------------------------- ------------------------30. Length of time covered by wage-board meetings, by State-facing 31. Comparison of minimum-wage rates with budgets adopted by wage boards or prepared by commissions, by State and year32. Comparison of first cost-of-living budget, adjusted to conform to changes in the cost of living, and later budgets (rates where no budgets were given), by State and year 33. Comparison of first rate or group of rates established in each State, when adjusted to agree with the changes in the cost of living, and rates set at later dates, by State and year___ 34. Decrees covering inexperienced workers only and the corre sponding experienced decrees, by State and year 35. Decrees providing that no learning period should bo required, regardless of age of worker, by State and year 36. Decrees providing for the same conditions for women and minors during the learning period, if any, by State and year 37. Decrees having various apprenticeship provisions according to age, by State and year 38. Decrees providing the same experienced rates for women and minors though apprenticeship provisions vary according to age, by State and year 39. Decrees providing for a flat rale for all minors in a specified age group, by State and year___________ ______________ 40. Decrees providing for varied rates for minors according to time employed but not providing for their being paid the experienced rate, by State and year 41. Number of decrees in which minors have been treated differ ently from adult women, by State and year 42. Length of service required before experienced rate must be paid, by State and year 43. Kates at which learners or apprentices enter employment and rate for experienced worker, by State and year 44. Beginning rates for women in the manufacturing industry and year decree became effective 45. Proportion of apprentices allowed among the workers in an establishment, by State and year 46. Provisions of laws limiting hours of work, by State and year47. Full-time and part-time hourly rates for experienced and inex perienced women and minors in California, by decree 48. Full-time, part-time, and undertime hourly rates for experi enced and inexperienced women and minors in California by decree_____________________________ ’ 49. Decrees that have required extra pay for women working overtime, by State and year 50. Decrees containing special reference to pieceworkers, by State and year__________________________________ 51. Decrees specifying the percentage of pieceworkers that must receive the guaranteed rate, by State and year 52. Time consumed in setting decrees, by State' and date of first action_____________________________________ 53. Number of permits issued to substandard workers—California, the District of Columbia, and Massachusetts—by industry or occupation and year 54. Number of apprentices’ licenses issued—California, the Dis trict of Columbia, and Washington—by industry and year— VII Pat-c 89 90 103 104 108 114 124 132 144 150 160 166 168 172 176 170 182 185 192 206 221 225 230 240 243 245 249 250 262 278 280 VIII CONTEXTS Table 55. Legal remedies provided for noncompliance with various phases of the laws, by State 56. Violations, prosecutions, and cases of back pay collected, by State, industry, and year______________________________ 57. Amounts appropriated for minimum-wage work, by State and year------------------------------------------------------------------------58. Women covered by minimum-wage decrees, by State and year. 59. Median and quartile rates and earnings in Arkansas, 1922 and 1924, by industry 335 60. Median and quartile rates and earnings in California, 1914 to 1925, by industry 337 61. Median and quartile rates and earnings in the District of Co lumbia, 1919 to 1922, by industry___________________ 62. Median and quartile rates and earnings in Kansas, 1916 to 1924, by industry 343 63. Median and quartile rates and earnings in Massachusetts, 1913 to 1925, by industry (figures from division of minimum wage)--------------------------------------------------------------------64. Increase in rates and in earnings of industries for which fig ures five years apart wereavailable—Massachusetts_______ 65. Median wages of women in Massachusetts as shown by figures collected by the division of statistics, 1910 to 1922, by in dustry ---------------------------------------------------------------------66. Median and quartile earnings in Minnesota, 1920, 1922, and 1923, by industry--- ---------------------------------------------------67. Median and quartile earnings in Washington, 1913 to 1920, by industry--------------------------------------------------------------68. Median and quartile potential earnings in Wisconsin, 1921 to 1923, by industry 307 69. Number of learners’ or apprentices’ licenses issued in Cali fornia, 1917 to 1923, by industry ___________ __________ 70. Number of learners’ or apprentices’ licenses issued in Cali fornia, 1917 to 1923, to 140 identical firms, by industry_____ 71. Weekly wage rates established by State legislatures, by date of enactment 375 72. Provisions in inflexible laws regulating the employment of apprentices or learners, byState 378 73. Summary of wage rates established by inflexible laws, by State 384 74. Court action provided for by inflexible laws in cases of viola tion, by State 385 75. ’Composition of bodies administering and enforcing inflexible laws, by State-______________________________________ 76. Number of inspections, complaints, and prosecutions in States witli inflexible laws, by biennial period, 1913 to 1924_______ Page 282 285 327 330 341 348 3.74 361 303 333 374 373 389 391 LETTER OF TRANSMITTAL United States Department of Labor, Women’s Bureau, Washington, July 15, 1927. Sir: I am submitting herewith a report giving the results of a research study of the effects of minimum-wage laws, covering the con struction and methods of their operation, the costs of their adminis tration, the changes in the position of women workers which they have brought about, and the relation of the courts to such laws. This report of the history of minimum-wage legislation should be a valuable reference in the forming of employment policies which would stabilize the employment of women in industry. I very warmly appreciate the assistance given in this research study on minimum-wage legislation by Mrs. Katherine Philips Edson, executive commissioner, Industrial Welfare Commission of Cali fornia; by Miss Louise E. Schutz, superintendent, bureau of women and children, Industrial Commission of Minnesota; by Miss Maud Swett, director, women’s department, Industrial Commission of Wisconsin; by Mrs. Millie R. Trumbull, secretary, Industrial Welfare Commission of Oregon; by Miss Alice McFarland, former director of women’s work, Public Service Commission of Kansas; and by Miss Ethel M. Johnson, assistant commissioner of labor, Department of Labor and Industries of Massachusetts, both in giving access to the unpublished records of the minimum-wage commissions and in read ing the final report and making helpful suggestions. The study has been made by and under the direction of Mrs. Mil dred J. Gordon, and the report has been written by her. Respectfully submitted. Mart Anderson, Director. Hon. James J. Davis, Secretary of Labor. IX THE DEVELOPMENT OF MINIMUM-WAGE LAWS IN THE UNITED STATES, 1912 TO 1927 CHAPTER I.—ORIGIN AND EXTENT OF MINIMUM-WAGE ACTIVITY For the past 15 years an experiment in wage regulation has been carried on in widely varying sections of the United States. Seven teen States 1—Arizona, Arkansas, California, Colorado, the District of Columbia, Kansas, Massachusetts, Minnesota, Nebraska, North Dakota, Oregon, Porto Rico, South Dakota, Texas, Utah, Washington, and Wisconsin—have passed laws with the idea of guaranteeing to working women, in return for their labor, a sum adequate for self support. Though this method of State supervision of wages for women and minors alone has been tried to any extent only in this country and in Canada, it is a direct outgrowth of the system of wage regulation for all workers in specified industries that developed in New Zealand and Australia at the end of the nineteenth century. RELATION OF WAGE REGULATION IN AUSTRALIA AND NEW ZEALAND TO THE MINIMUM-WAGE LAWS IN THE UNITED STATES The last decade of the nineteenth century found New Zealand and Australia beset with labor troubles. Strikes were frequent, long drawn out, and bitter. They were greatly injuring the development of these relatively unsettled countries. Moreover, a concern about sweating and a general feeling that labor, particularly woman labor, was being exploited were becoming current. In an attempt to find a means of adjusting the differences between capital and labor, New Zealand in 1894 adopted a comprehensive scheme of compulsory arbitration in labor disputes. This law created a court of arbitra tion with the authority to fix conditions of employment. One condi tion of employment was the establishing of minimum-wage rates. In 1896 the Province of Victoria passed a law creating wage boards to set minimum rates of pay in the sweated industries. From these beginnings there developed in Australia and New Zealand three types of legislation regulating wages. One type, which proved of little importance, set a statutory minimum rate. (For example, Queensland factory and shop act, 1900.) Two other types, as illus trated by New Zealand and Victoria, created bodies which had the power to set minimum rates for all workers in specific industries. In their original laws the Commonwealth of Australia (1904), two Provinces—New South Wales (1901) and West Australia (1900)—and the Commonwealth of New Zealand created arbitra tion tribunals one of whose duties was the setting of minimum rates. The four other Australian Provinces—Queensland (1912), South Australia (1900), Tasmania (1910), and Victoria (1896)—created wage boards for the sole purpose of setting rates. Since these early 1 For the purpose of brevity, the District of Columbia and Porto Bico are referred to as States throughout this report. 2 MINIMUM-WAGE LAWS IN THE UNITED STATES dates there has been a tendency toward combining these plans. The laws in the United States are derived rather from the wage-board laws than from the arbitration laws, but they have elements of both. A brief description of the first New Zealand legislation will show many points comparable to the action in the United States. The colony was divided into districts with a conciliation board for each. These boards had from four to six members, composed of an equal number of employers and employees, elected by their respective groups, and an impartial outside chairman chosen by the members. From these boards there was an appeal to the arbitration court com posed of three members appointed by the governor—one on the recommendation of the workers, one on the recommendation of the employers, and one a judge of the supreme court. This organization is very similar to that of wage boards and minimum-wage commis sions in the American laws and the relation of these American bodies one to another. In the case of the Victorian wage boards there is the same balance between employers and employees, and there is, also, the organization of wage boards by industry or occupation which has been so generally followed in the United States. More over, these boards took the initiative in setting rates, as did the American commissions, instead of waiting for a dispute to arise in the industry, as was the case of the arbitration tribunals. Not only did the American laws draw largely on the AustralianNew Zealand acts for the principles on which the administering and enforcing agencies were organized, but they included many powers and directions as a result of the problems developed in the adminis tration of these foreign laws. The provisions of the American laws relating to apprentices, substandard workers, communities of vary ing sizes, and so forth, wTere to cover situations shown by the Australian-New Zealand experience as bound to arise. With so many likenesses there still were essential differences among the laws of these two countries, of Great Britain, which passed a wage-board act in 1909, and of the United States. In the first place, all the American laws apply only to women and minors. In the second place, the great emphasis on a wage sufficient to supply the necessary cost of proper living is American. The laws in the British Empire clearly contemplated a setting of wage rates between organized groups where the decision would be a compromise rather than a result of following rules. Particularly in the case of the State’s providing for wage boards this was true. Moreover, the rates set, by wage boards and the industrial courts, were for all occupations, skilled as well as unskilled. The “ living wage ” was accepted as the principle for laborers, but there were many rates set above this level. In a scheme such as this, compromise is permissible as it would not be in a plan which had for its fundamental tenet that every experienced woman worker who gave a full day’s work must receive a living wage. Moreover, in such a scheme a carefully considered plan for handling apprentices and minors, a series of regulations extending perhaps over a considerable period of time, is proper, since at the end of the period these apprentices would receive not the “ living wage ” for laborers but the rate set for the skilled trade which they had learned. The American States set nothing beyond the “living wage.” They placed great emphasis on the fact that the ORIGIN AND EXTENT OF MINIMUM-WAGE ACTIVITY 3 rates were to equal the cost of proper living. They dealt with groups, women and minors, who were practically Unorganized. In practice they often forgot these differences, based their rates on compromise, and included in the decrees elaborate provisions for controlling learners or apprentices, though the only rate they set was the “ livingwage ” rate which corresponded to the rate for laborers in Australia and New Zealand. Even this slight discussion of the minimum-wage laws within the British Empire shows that, though historically the American laws were a direct outgrowth, there were enough changes in principle that the Australian-New Zealand decrees should not have been too closely followed as models. Many of the criticisms in this report are based on cases where the American commissions have followed too closely their foreign models. In the matter of incorporating rules in the decrees to aid the executive oflices in applying the rates the American commissions would have done well to follow more closely the Australian model. For example, the Australian decrees contain rules on hours of labor, so that rates can be tied up with hours worked, a most necessary provision usually overlooked in American decrees. The conclusion is inescapable that while the Australian-New Zealand experiment provided the American States with almost 20 years’ experience in setting and enforcing wage awards, the American States changed the fundamental principles of their laws just enough to invalidate for their use many of the points worked out for administering and enforcing the foreign laws. Moreover, the American States often failed to take over important provisions that would have aided them. The minimum-wage laws in the United States are a separate experiment in wage legislation, rooted in the system used by the various units of the British Empire but distinct in many funda mentals and much of their development. HISTORY OF LEGISLATION IN THE UNITED STATES The first minimum-wage law in the United States was passed by Massachusetts in 1912, the law to become effective in 1913. In 1913 eight States—California, Colorado, Minnesota, Nebraska, Oregon, Utah, Washington, and Wisconsin—passed laws providing for the regulation of the rates of pay of women and minors. The year 1913 was really the beginning of the American experiment. " Several things contributed to bring about the burst of sentiment for wage regulation. The first decade of the twentieth century saw a growing wave of interest in women workers. The United States awoke to the fact that it was a great industrial community, not a pioneer State. The country began to be concerned about the conditions under which thousands of its citizens labored for wages. To the amazement of many it was discovered that millions of women were employed in store and factory. This growing interest is reflected in the reports published by the State departments of labor. In State after State these reports change from lists of the State’s natural resources and development to tables on rates and earnings. Private organizations, too, began studying phases of industrial life and printing their find ings. Starting with modest beginnings at just about the beginning of the century the tide grew, culminating in a great study made by 4 MINIMUM-WAGE LAWS IN THE UNITED STATES the Federal Government in 1907-1910—“ Woman and child wage earners in the United States.” The rates and earnings disclosed by these studies were shockingly low in the majority of cases. Public opinion was aroused. The Progressive Party in its 1912 platform had a plank advocating minimum-wage laws for women and children. That the United States should have turned toward this effort which the other English-speaking nations were making to correct bad conditions, when it awoke to the need of putting its own house in order, was but natural. The laws of Australia, New Zealand, and Great Britain were well known to large groups of people who were disturbed about the exceedingly low rates of pay that so many of the woman wage earners were receiving. These laws seemed to have been successful in alleviating to some extent the distress among the lowest paid groups. They did not seem to have hurt industry. They had been adopted not only by the frontier States of Australia and New Zealand but by highly industrialized Great Britain. It was true they applied to both men and women, and that their administra tion and enforcement in many cases was tied up to compulsory arbitration. To the American mind State regulation of men’s wages and compulsory arbitration were repugnant. Both these smacked too much of the interference of government in everyday life which it is the American inheritance to fear. Moreover, at this particular moment the especial concern was the low wages paid to women. It was proposed, therefore, to adapt the plan to American needs and desires. By 1912-13 the question of some sort of wage regulation was so prominent in people’s minds that Massachusetts and Michigan appro priated money for special investigations of the conditions surround ing woman wage earners. These investigations once more produced startlingly low rates and earnings figures. Massachusetts promptly passed a minimum-wage law for women and minors. Almost at once eight other States joined Massachusetts in putting such laws on their statute books. After this the movement slowed down, but by 1923, when South Dakota enacted a minimum-wage law, eight more States Arizona, Arkansas, the District of Columbia, Kansas, North Dakota, Porto Rico, South Dakota, and Texas—had enacted mini mum-wage legislation. During the years in which the laws have been on the statute books they have undergone many changes. In the first place, most legisla tures have modified the body of the law by amendments, in some States time and again. Usually these amendments have been the re sult of the activity of friends of the different laws who urged that they be strengthened, so that their good effects would be extended, but in some cases they were brought about by persons who thought the laws harmful and who urged that they be so modified as to mitigate their bad results. In the second place, the laws have been subjected to constant court attacks, which have limited their scope and in some cases have resulted in nullification. In Nebraska and Texas the laws have been repealed by the legis latures (1919 and 1921, respectively). In the District of Columbia, Arkansas, and Arizona the United States Supreme Court has de clared the law unconstitutional. In Porto Rico and Kansas the State supreme courts have declared the law unconstitutional, basing their decision solely on the decision of the United States Supreme Court OMGiN anp Extent op minimum-wage activity 5 in the District of Columbia case. The attorney general of Minnesota has ruled (1925) that the provisions of the law of that State apply ing to adult women were unconstitutional on the basis of the District of Columbia decision, and Wisconsin, since its law was held uncon stitutional by a Federal district court, has passed an entirely new law for adult woman workers from which are possible such wide exemp tions as to make any rates set hardly more than standards. The close of the period sees minimum-wage legislation not only nullified in several States by the attacks upon it but subject elsewhere to constant pressure that has influenced the actual powers and duties specified in the laws and the way in which those powers and duties have been carried out from day to day. It is apparent that to-day many States have finished their experi ment in setting minimum rates for adult women. The status of minors under most of these laws still is undetermined, but in most of the States where the provisions for adult women have been held un constitutional little or no effort is being made to enforce the pro visions relating to minors and no new decrees are being issued. Among the States that have had their laws declared unconstitu tional, Wisconsin alone has sought to find some other legislative means of controlling the rates paid to adult women. .Instead of enacting a law based on that of Massachusetts, which provided no penalty beyond publication, the Wisconsin Legislature passed an entirely new sort of law. Its great difference from the old law is that while the first law set up the positive principle that the mini mum rate must provide the necessary cost of proper living, the new law makes the negative rule that “ no wage paid * * * shall be oppressive.” An oppressive wage is defined as “ any wage lower than a reasonable and adequate compensation for the services ren dered.” Difficult as it has been to determine the cost-of-living basis for setting minimum rates, this seems a much more ambiguous state ment on which to base a rate. The industrial commission is given the power to issue orders setting forth what rates are oppressive and unjust. In the two years the law has been in force no new orders have been issued, though the orders for pea canning and for cherry, bean, corn, and tomato canning have been reissued each year. The commission has gone on enforcing the minimum rate set on the costof-living basis on the theory that any lower rate was oppressive. The difference in wording therefore has had no significance in practice up to this time. In addition to changing the method of expressing the principle on which wage rates were to be set, Wisconsin’s second law introduces another new feature. It allows an employer to be given a license to pay all his employees less than the rate set by the commission if he can satisfactorily establish that he is unable to pay such rate. This is based on the same theory as the clause in the Massachusetts and Nebraska laws which permits the courts to grant exemption to any employer who proves that he can not pay the minimum rate and con tinue to operate his business. The Wisconsin law, however, simplifies the procedure for obtaining these exemptions by allowing the com mission to issue special licenses. Whether the two departures from the standards set up by the earlier law are fundamental enough to convince the courts that the new law does not interfere with freedom 6 MINIMUM-WAGE LAWS IN THE UNITED STATES of contract between employer and employee thus far has not been tested in the courts. This brief resume of the changes made by legislative and court action during the time that minimum-wage laws have been in exist ence indicates some of the difficulties encountered in studying the de velopment of administration and enforcement when the status of the laws themselves was so insecure and changing. In this report the laws and their administration and enforcement have been studied just as completely in those States where they have been repealed or declared unconstitutional as in those States where enforcement still is going on. In some States where the laws now are dead letters they were in operation over a considerable part of the 15-vear period that has included all minimum-wage activity. Particularly in the District of Columbia and Kansas, valuable records of the work accomplished are available. To leave out these States would be leaving out an important phase of minimum-wage development. To treat them in a separate section would isolate them from the other laws to which they are closely akin. They are, therefore, treated exactly like the “ active ” laws in all cases where their provisions are similar. Even among the active laws a further exception must be noted. Though the Colorado law is active in the sense that it is still on the statute books with no adverse court decisions to hamper its enforcement, it has never been put into operation by the issuance of a decree. Its legal aspect may be discussed carefully, but it naturally drops from sight when the discussion of practice under the laws is taken up. LIMITS OP THE FIELD IN WHICH LAWS HAVE OPERATED At the beginning of any discussion of minimum wage two very im portant conditions affecting any decisions must be noted. The first is that the oldest minimum-wage law in the United States was passed only 15 years ago and the time during which any appreciable number of women have been affected by minimum-wage decrees is less than 10 years. It is a question whether it is fair to condemn legislation because it runs counter to a widely accepted economic concept—the belief that the so-called law of supply and demand operating with no restrictions as to the contracting powers of the employers or em ployees is the only sound way of determining wage rates—when there has been less than 10 years’ experience with it. If any considerable body of public opinion supports the new theory—that to preserve - the health of the worker the State may interfere with the operation of the law of supply and demand by not allowing the worker to contract to labor for less than a living wage—and if it can be shown by any one, as is the case to-day 2, that wages under the old system in' many From 1920 to 1925 the Women’s Bureau of U19 United States Department of Labor conducted state-wide studies of women’s rates and earnings in 12 States. The figures tollowmg are the median rates for all the women reported, regardless of industry, in the States studied. It must be remembered that the median represents a rate below which fell oDe-ha’,. ot the rates received by the wonren reported. Year of survey State 1020- ................. 1921_ ............. 1922 Rhode Island Kentucky Alabama Arkansas-,_______ Missouri........ ................ New Jersey............... Median rate $15. 00 11.10 9.15 12.00 12. 80 14. 55 Year of survey State 1922 1924_ South Carolina 1925.................... Mississippi............... . Tennessee....................... Median rate $13.85 10.10 11.60 13. 75 8. 65 11. 45 ORIGIN ANT) EXTENT OF MINIMUM-WAGE ACTIVITY 7 eases arc so depressed that a worker can not live in health on the re sults of her labor, it would seem that every effort should be made to give minimum-wage legislation a fair trial and a long trial before forming a final opinion about it. A lesson could be drawn from the experience with hour legislation. It, too, interferes between the worker and the employer. It still is strongly opposed in some quar ters, but after 75 years of trial its value is questioned by relatively few people. 1 he other condition that should preclude making sweeping state ments is the relatively small field that has been covered. (Inly 17 States, including the District of Columbia and Porto Rico, ever have had minimum-wage laws. According to the census of 19203 the population 10 years of age and over of these units was 22,502,634, or 26.8 per cent of the total population of the United States—again including Porto Rico. With the exception of Massachusetts, none of the great industrial States have enacted such laws. In fact, the population, 10 years of age and over, of 8 of the well-known in dustrial States Illinois, Indiana, Michigan, New Hampshire, New Jersey, New Jork, Ohio, and Pennsylvania—greatly exceeds the population of the 17 minimum-wage States. The actual number of women 10 years of age and over who were gainfully employed in the several minimum-wage States—2,207,435—is less than twothirds the number of such women in the industrial States listed above (3,548,495). If every woman wage earner in the minimumwage States were covered by decrees, only 25.6 per cent of all gain fully occupied women in the United States would be affected by these laws. Moreover, in most of the States only part of the women covered by^the laws have had rates set for their particular industries oi occupations. Surely the relatively small numbers of women who possibly could have been affected by minimum-wage legislation are another reason for its opponents to use caution when they state that minimum wage has been an unfortunate experiment. It is questionable whether it could have had any general bad effect on business. If it has not had such a result, its specific good effects on the women directly affected, and its good or negative effect on business directly concerned, should determine its value. DISTINCTION BETWEEN FLEXIBLE AND INFLEXIBLE TYPFS OF LAWS The purpose of all the minimum-wage laws enacted in the United States has been stated, with some variation of wording in each act It is that woman wage earners shall not be paid so low a wage that they can not support themselves in a proper and healthful manner It has long been recognized that if large groups of the population are paid such low wages that they can not provide for themselves decent food, shelter, and clothing, their resulting ill health and often ultimate dependency are inimical to the best interests of society in general. Moreover, many studies of women’s wages have brought pp! 45,S47BlandU12610,e CenS'1S' 60769°—28-----2 Fourteenth census; 1920, v. 4, Population, Occupations, 8 MINIMUM-WAGE LAWS IN THE UNITED STATES out time and again that large groups of women were receiving wages below the cost of subsistence. Some one—the woman’s family, the employer who pays an adequate wage to other workers in the family, the general public, or the woman herself—must make up this dif ference. Since the State usually must step in and help such workers in misfortune, illness, or old age, and. since the general depletion of the woman’s health and strength is against the interest of society, it has seemed to many people that the State, for the good of its citizens, should interest itself in seeing that all women who do a full day’s work get a wage adequate for their own support. The question of how the State shall guarantee this wage to its woman wage earners has found almost as many different answers as there are States with minimum-wage laws. Roughly divided, the guaranty has taken two main forms: In one group are those laws which establish a fixed minimum sum below which women’s wages may not fall; in the other group are the laws which create the ad ministrative machinery for setting such a minimum sum. The main feature of this latter group, or the flexible minimum-wage laws, is the wide powers given to an administrative body so that the de cisions of this body have the force of law. In the States which have the inflexible laws the legislatures have delegated no powers what soever and have made no provision for having the minimum-wage law so administered that it changes with varying economic condi tions. The minimum-wage rate itself is a law and stands until it is changed by another act of the legislature. The opinion is com monly held, after more than 10 years’ experience with minimumwage laws, that establishing a rate by law and making no provision to alter this rate to meet new conditions—except the long and un certain process of enacting a new law or amending the old one—does not achieve the purpose desired; that is, providing woman wage earners with a living wage, not only at one given date but over a jieriod of time. Dividing the States into groups according to the method of setting wage rates shows that much the greater number of States have en acted flexible laws. Only Arizona, Porto Rico, South Dakota, and Utah belong in the group first described. The larger group includes the laws passed by California, Colorado, the District of Columbia (the Federal Congress), Kansas, Massachusetts, Minnesota, Nebraska, North Dakota, Oregon, Texas, Washington, and Wisconsin. Ar kansas establishes a fixed minimum and also creates the machinery for adjusting this sum as conditions change. In States where the minimum-wage rate is set by legislative enactment the payment of such rate of course is compulsory, and anyone who fails to pay this rate violates a law of the State. On the other hand, in States where an administrative body is created to establish minimum rates two types of law exist. In the majority of cases the rates set by these regulatory bodies have the force of law. In Massachusetts and Ne braska, however, the regulatory body can only recommend rates and trust that public opinion will force their payment. Both of these differences are in the fundamentals of minimum-wage legislation. ORIGIN AND EXTENT OP MINIMUM-WAGE ACTIVITY 9 The manner of establishing the wage rate has been the cause of wide divergencies in practice so the laws will be considered in this bulletin in two sections, one section on the flexible group and one on the inflexible. The great difference in the adaptability of these two groups of laws and the somewhat more limited field usually in cluded in the inflexible group has meant that this type of law has not been studied with the detail accorded the more effective flexible laws. PROCEDURE AND PROBLEMS INVOLVED IN SETTING RATES UNDER THE FLEXIBLE LAWS Since it is the flexible laws that usually are thought of in connec tion with any discussion of minimum wage, and it is on the basis of their work that statements are made as to its effects, it is on the actual record made by the 13 States having such laws that minimum wage should be judged. In these States the laws, though varying in some of their provisions, all create the machinery for establishing minimum rates for women and minors in practically all the industries and occupations in the State, and for varying these rates as the cost of living changes. The principle of having the legislature create an administering body to set the actual amount of the minimum wage has been accepted both in the United States and in foreign countries as the most effective method of handling legislation that regulates wages. The process in all cases is roughly the same. The commis sion investigates to ascertain whether the wages paid to a consid erable number of woman workers are less than the sum which the commission feels is necessary to maintain the women in health and to promote their welfare. In order to find out what this sum is, a costof-living study usually has been considered necessary. If any con siderable number of women are earning wages below this level, the commission itself or a wage board appointed by the commission holds a series of meetings to determine what the minimum wage shall be, and after a wage rate is decided upon the commission holds a public hearing before announcing its decree. The sum so determined and announced becomes the lowest sum it is lawful to pay to a full-time woman or minor worker. The commission thus decides when an in vestigation shall be started, how many women shall be included, in investigation and under decree, what the wage rate shall be, when it shall go into effect, and when it shall be changed. The way in which this work is carried out determines the efficacy of minimum-wage legislation. To form an accurate opinion of minimum-wage legislation it is vital to know as much as possible about the following things, at least: How many women, in how many different occupations of in dustries, have had their wages regulated by law? Have the wage rates really represented the cost of living at the time they were issued, and have they been changed as the cost of living has changed ? Have the rates increased the earnings of the lower-paid groups of women without injuring the position of those somewhat better paid? Have trade and industry in the specific States been injured by having to pay minimum-wage rates? And all this must be iO MINIMUM-WAGE LAWS IN THE UNITED STATES considered in the light of the previous questions: Have these laws covered a large enough territory, and have they been in action over a sufficiently long period of time, for their effect to be unmistakable? In the present report every available bit of material—in the laws themselves, in the reports of the commissions, or in the unpublished records of the commissions—that could be made available to the Women’s Bureau has been collected and analyzed to see what the official records showed on these points. In considering these prob lems the records vary so from State to State that it is almost impos sible to gain comparable information' on all the important factors, but a careful statement of the available facts will cover at least some of these points for all the States and all the points for a few States. LENGTH OF TIME THAT FLEXIBLE LAWS HAVE BEEN FUNCTIONING Minimum-wage legislation in the States with powerful laws has had at the most only 14 years’ trial, for all these laws were passed in the seven-year period from 1912 to 1919, and the law passed in 1912 did not become effective until 1913. The larger number of laws were enacted early in the period. Massachusetts passed its law in 1912 (effective July 1,1913). Seven States—California, Colorado. Minnesota, Nebraska, Oregon, Washington, and Wisconsin—passed laws in 1913. In 1915 Arkansas and Kansas passed similar laws. In 1918 the District of Columbia law was enacted. The period closed by the passing of laws by North Dakota and Texas in 1919. It is not a true picture of the situation, however, to depict the laws ashaving had from 8 to 14 years each to prove that they were good or bad, effective or ineffective. These flexible laws had no possible relation to the actual conditions under which business was carried on until the commissions had acted to set rates for specific industries or occupations. In several cases this was not done until some years after the passage of the law. The fact is that actual experience with minimum-wage rates has covered a much shorter period of time than that since the date of the laws’ enactment. Several factors have united to limit the time during which the rates have been in operation. In almost all instances the commissions’ slowness of action has been the first factor. The process required in all these States, of investigation of wages, of wage-board meetings, and of public hearings before any decree could be promulgated, necessarily was slow; but there were striking differences among the States in the amount of time consumed. The State which accomplished this work in the shortest time was Oregon, where the first decree was set nine months after the law was enacted. Four States set their first decrees in a year to a year and a half, while some States allowed as much as three or four years to elapse. ORIGIN AND EXTENT OF MINIMUM-WAGE ACTIVITY Tablhj H 1.—Time elapsed between passage of law and going into effect of first decree, by State Date law was enacted Date first award went into effect Arkansas1-.. Mar. 20, 1915 Sept. 1, 1920 California Aug. 10, 1913 Apr. 14, 1916 State Colorado_________ May 14, 1913 District of Columbia. Sept. 19, 1918 Industry or occupation affected Mercantile industry in Fort Smith. Fruit and vegetable canning industry. Aug. 13, 1919 Printing, publishing, and allied industries. Mar. 6, 1915 Mar. 18, 1918 Mercantile establishments. June 4, 1912 2 Aug. 15, 1914 Brush occupation. Apr. 26, 1913 2 Nov. 23,1914 3 Mercantile, office, waitress, hairdressing occupations. Nebraska Apr. 21, 1913 North Dakota___ _ Mar. 6, 1919 Aug. 16, 1920 3 Public house-keeping occupa tion. Oregon......... __ .. Feb. 17, 1913 * Nov. 10, 1913 Manufacturing establishments in Portland. Texas.......... ................ Apr. 3, 1919 * Feb. 7, 1921 Telephone or telegraph office. W ashington Mar. 24,1913 8 Apr. 28, 1914 Mercantile establishments. Wisconsin_ _ _____ July 31, 1913 June 1, 1917 Pea canning industry. Kansas Massachusetts. __ . Minnesota_________ Time elapsed be tween passage of law and date decree became effective 5 years, 5 months. 2 years, 8 months. 11 months. 3 years. 1 year, 7 months. 1 year, 5 months. 9 months. 1 year, 10 months. 3 years, 10 months. 1 A rate for most of the Industries and occupations in the State was set by the Arkansas legislature in '.he minimum-wage law itself (1915). 2 Effective July 1, 1913. 3 See text following. • 4 Effective June 3, 1913. 6 Effective June 17, 1919. 8 Effective June 12, 1913. This table shows that minimum wage as an active force should be considered as beginning its work not at the passage of the first law but at a date a year or more later, when the first decree became effective. In several States—Wisconsin, for example—the specific period of minimum-wage activity is reduced by considerable time. Moreover, in Minnesota and North Dakota this period of activity has been further shortened by injunctions restraining the commis sions from enforcing the decrees they had issued, so that, no Minne sota decree was legal until March 9, 1918, and no North Dakota decree was legal until April 4, 1921. The actual periods of time in which any wage rates have been in effect are as follows: Arkansas------------------------------------- Between 6 and 7 years. California________ 11 years. District of Columbia--------------------- Under 4 years (to 1023).* Kansas---------------------------------------- Between 7 and 8 years (to 1925).5 Massachusetts------------------------------ Under 13 years. Minnesota------------------------------------9 years. North Dakota6 years. Oregon---------------------------------------- Between 13 and14 years. Washington13 years. Wisconsin------------------------------------ 10 years. Colorado and Nebraska never have entered any wage decrees, and Texas entered a series of decrees that never were effective as they were suspended by the commission pending action by the legislature which repealed the law. Consequently, while there are 13 State 4 District of Columbia law was declared unconstitutional in April, 1923. B Kansas law was declared unconstitutional in July, 1925. 12 MINIMUM-WAGE LAWS IN THE UNITED STATES laws to study, there are decrees in but 10 States. Not only is the geographic field a narrow one, but the 13*4 years of decrees in Ore gon represent the extreme period possible for this studjr; an average for all the States of about 9 years is the period which must be con sidered in proving the effects of minimum-wage laws as carried out by decrees. Moreover, it must be remembered that after 1925 all minimum-wage activity, except in Massachusetts, was very much slowed down as a result of adverse court decisions. Whether this is long enough for a fair valuation of such important legislation is a point usually overlooked in discussions of minimum wage. CHAPTER II.—DEFINITIONS OF CLASSES AFFECTED In each flexible law the commission has been allowed a good deal of latitude in carrying out the provisions of the act. Apparently the legislatures have been unwilling to define all the elements that enter into determining a fair minimum-wage rate so strictly as to hamper the commissions in raising the wages actually paid to woman work ers. Nevertheless, it has been considered necessary to define certain classes affected by the law, such as the industries or occupations that may be included, the classes of employees that should be accorded special treatment, and whether or not the size of a locality should be considered in setting the rates. The legislatures have specifically granted power to the commissions to give special treatment to groups whose problems vary, but they have left it to the commissions to decide what this treatment shall be. The terms of the laws are con sidered briefly in the following paragraphs as a background for the discussion of the actual work done by the commissions. INDUSTRIES AND OCCUPATIONS COVERED Most of the flexible acts are so worded that they cover all gainful employment. Few of the States have made any definite exceptions to these inclusive definitions. Moreover, amendments which have changed the meaning of these sections of the laws have either in creased their scope or lowered the number of exceptions. The follow ing table shows how slight are the variations in working from State to State and how inclusive are all the definitions. Table 2. Phraseology in the laws which shows who I groups of workers may he covered by decrees, by State Women and minors in any— Vocation, trade, pursuit, or industry Business, in dustry, trade, or branch thereof Colorado (1917). District of Colum bia. Kansas (1915). Minnesota. Oregon. North Dakota. Occupation, Industry or trade, or occupation industry California. Texas. Was hi ngton. Kansas (1921). Occupation Massachusetts. Nebraska. Every per son who is in receipt of or is entitled to any com pensation foi labor performed for any employer Women in any of the specific in dustries or occupa tions listed Wisconsin. Arkansas.1 C olorado (1913).* 1 Any manufacturing, mechanical, or mercantile establishment; laundry; any express or transportation company; hotels, restaurants. 2 Any mercantile, manufacturing, laundry, hotel, restaurant, telephone or telegraph business. 13 14 MINIMUM-WAGE LAWS IN THE UNITED STATES Arkansas has the only law that lists definite industries or occupa tions. Colorado in 1917 gave up listing the industries or occupations that might be included, and substituted the inclusive phrase “ any and every vocation, trade, pursuit, and industry.” Moreover, though Arkansas lists in section 1 of its act the specific industries or occupations covered by all the provisions of the law, including the inflexible rate, in section 10 it speaks of “ any occupation, trade, or industry ” as the field within which rates may be set by the indus trial welfare commission. It would appear that all these laws might be interpreted to include every kind of work done by women for wages, unless specific industries or occupations were excepted. The State legislatures seem to have had in mind that the laws could include all woman wage earners, since four States—Arkansas, the District of Columbia, North Dakota, and Texas—do provide that wages in certain industries or occupations are not subject to regu lation. The most usual exceptions are domestic service and agricul ture. North Dakota, Texas, and the District of Columbia except domestic service. Arkansas, North Dakota, and Texas except agriculture. Texas also excepts nurses, student nurses, and students working their way through college, whatever their occupation. In addition to agriculture Arkansas excepts cotton factories, but these exceptions, remaining in 1919, are an improvement over the earlier Arkansas law, which, in addition to excluding cotton factories, agri culture, and canning, granted a general exception to “ any firm, cor poration, or establishment of any character where three or less females are employed and working at the same time.” In addition to these exceptions found in the laws themselves, the attorney general of Minnesota has ruled (December 23, 1920) that the law of that State does not cover farm labor and domestic servants. The remaining eight States do not provide for any exceptions, so the number of woman wage earners who may receive the benefits of having their wages determined by decrees is limited only by the fact that the commissions have not covered all industries and occupations. ESTIMATE OF NUMBER OF WOMAN WORKERS WHO COULD BE INCLUDED The possible scope of these laws is shown more clearly, perhaps, by expressing them in terms of the number of women affected. The figures on the number of women gainfully employed collected by the United States Bureau of the Census are used for the purpose, but the census classifications not only include employers as well as employees but are grouped very differently from the classes specified in the minimum-wage laws. For the present purpose every effort has been made to exclude all employers and to use those groups that most closely correspond to the groups specified in the laws, but the figures from the census must be considered as only approximating the actual numbers of woman wage earners included in minimumwage laws. The following table gives the approximate figures for each State.1 1 For exact method used in arriving at number of wage earners as distinct from all gainfully occupied women, see Appendix E, p. 609. 15 DEFINITIONS OF CLASSES AFFECTED Table 3.—Number of women to whom the commissions could apply minimum- wage o. levs compared with the total number of gainfully occupied women by State (1) State Total_______________ _________________ ____ Arkansas................................................... ....... California 2_______________ ___________ Colorado. __________ _____ _ District of Columbia 3_....................................... . Kansas_______________________________ M assachusetts__ _____ _____________________ Minnesota............ ........._•.............. ................... . . Nebraska___________________________________ North Dakota.........__ _________ Oregon.._____ _ _____ ___ _ ________ _____ _ Texas _______________________ _____________ _ .. Washington_______ ____ ______ ___________________ Wisconsin_ _______________________________________ _ Number of women to whom min im urn-wage law possi bly could be applied (2) 2,051,118 1,258, 568 1, 080, 257 52.7 115,810 286, 047 52, 587 92, 626 92,510 503,155 164, 066 71, 789 28, 328 54, 492 303, 843 92, 900 182,365 35, 032 191,429 39, 513 60,119 56,502 422,635 86, 081 44, 249 9, 522 35,854 84, 378 62, G17 130,637 16,652 157,493 30,225 60,113 42,651 374, 940 86, 081 34,125 9, 522 29,836 84,378 52,441 101,800 14.4 54.9 48.3 64.9 46. 1 74. 5 52.5 47.5 33.6 54.8 27.8 56.4 65.8 Number of women gainfully occupied Women to whom it is practicable to apply minimum-wage law 1 (3) Number Per cent i Number obtained by subtracting domestic servants and agricultural laborers from column 2. 1 Figure is a considerable underestimate, since t he census was taken in January, the slack season for the State’s large canning industry. It is probable that at least 25,000 more women are employed when the canneries are running in full force. The Census of Occupations (1020), the source of the figures in column 1, shows 5,005 women in canning and packing, but the Census of Manufactures shows 31,771 women so employed at the peak of the season of 1910. (U. S. Census of Occupations, pp. 60, 62, and 68; U. S Census of Manufactures, pp 112 and 118.) s Figure is an overestimate, since it is impossible to separate the women who are clerks in the Govern ment service. These women could not be included in any minimum-wage decree issued by the commission, but the census does not indicate where clerical workers are employed and they are all included in the totals given in this table. It is apparent at once, by comparing columns 1 and 2, that a great number of women “ gainfully occupied ” are either employers or in supervisory or professional positions, occupations which the broadest interpretations of minimum-wage laws'have never covered. It is apparent further, by comparing columns 2 and 3, that a large proportion of all woman wage earners arc found in domestic service and agricultural labor, two groups where the character of the rela tionship between employer and employee would seem to make enforce ment of a minimum-wage decree by a State commission difficult, if not impossible. The women appearing in column 3, then, are those who might reasonably be included ultimately under a minimum-wage decree. They comprise the groups that are most commonly thought of when woman wage earners are discussed—the women in stores, offices, factories, and hotels and restaurants.2 An interesting fact at once stands out: That the industrial State of Massachusetts not only lias by far the greatest number of gainfully occupied women (503,155), but has much the greatest proportion, 74.5 per cent, of its gainfully occupied women in industries where a minimum-wage rate could be applied. In all the more industrialized States a greater proportion of gainfully occupied women are found in those employ ments to which the minimum-wage law most naturally would apply. In agricultural Arkansas only 14.4 per cent of the women in gainful occupations could be brought under decrees as a practical matter. 2 “ Hotels and restaurants ” do not include cooks, as those working in private homes can not be separated. 16 MINIMUM-WAGE LAWS IN THE UNITED STATES This contrasts sharply with the figure for Massachusetts, and with the 54.9 per cent of California and the 55.8 per cent of Wisconsin, both States that are partially industrialized. Again the fact is emphasized that a minimum wage has been applied in but one of the great industrial States where it could reach large and homogeneous groups of women, and has been tested, rather, in States where, at its widest application, it could cover only a small number of women both actually and proportionately. Only three of the minimum-wage States—California, Massachusetts, and Wisconsin—have 100,000 or more women in employments to which the application of decrees seems practicable. The total number of women in the 13 States who could conceivably enjoy the benefits of a minimum-wage law is only a million and a quarter. That the law has not actually touched nearly so many women is shown in the section of this report dealing with the decrees. In addition to seeing that the laws empowered the commissions to cover almost all gainfully employed women who could be included practically under decrees, the legislatures in some States seem to have been concerned with the necessity for giving the commissions power to set special wages for small groups of women in a branch of a trade or industry. Probably the fact that almost all the laws permit the commissions to set rates for “ any occupation ” would give the com missions power to select the smallest possible units for investigation and regulation, but some of the laws go even further, providing that the commissions’ functions extend to any or all branches of the indus tries or occupations. This is true in the following States: Colorado (1915), District of Columbia, Kansas, Massachusetts, Minnesota, North Dakota, and Oregon. In Wisconsin a general blanket clause covers this point by enabling the commission to determine and fix reasonable classifications. That this provision has proved less im portant than the attention given it by the legislatures would indicate is shown in the section of this report on decrees. The tendency has been to include larger and larger groups in a single decree. SPECIAL CLASSES OF EMPLOYEES COVERED Besides the concern for normal women, these laws have given par ticular attention to three special groups of employees—minors, ap prentices, and substandard workers. It has been generally recognized that these classes of employees usually are not capable of rendering the same sort of service as are normal adult experienced women, and should be given a somewhat different status in the minimum-wage scheme. In the flexible laws no legislatures have provided in detail what this treatment shall be, but they have indicated that these groups should have special study and should not necessarily be given the same wage rate as the adult experienced woman worker. Minors. Twelve of the thirteen States have included both male and female minors in the terms of the law. Only Arkansas confines its applica tion strictly to women. Moreover, most of these States place the establishing, of rates for minors on grounds different from the estab lishing of similar rates for women. In describing the grounds that DEFINITIONS OF CLASSES AFFECTED 17 make it necessary to set a minimum wage for minors, the right to earn a sufficient sum for healthful, independent self-support is not emphasized, though it is mentioned in every law as the reason for establishing minimum wages for women. Wages set for minors are to correct “ unreasonably low ” wages or they are to be “ suitable minimum wages.”3 It seems fair to conclude'that in most cases the various State legislatures did not feel willing to require that all minors working full time should be self-supporting, though they felt that adult women giving a full day’s service should be guaranteed a living wage. Probably also it is because of this feeling that 7 of the 12 States Colorado (191 <), the District of Columbia, Massachusetts, Nebi aska, North Dakota, Oregon, and Washington—have been care ful to keep the minors separate from the adult women in the text of the laws and have granted the commissions special powers in regard to minors in paragraphs distinct from those dealino- with women. Besides these general definitions most of the laws have defined the exact age limits for minors, as appears in the table following: Table 4.—Minors subject to regulation, by State State Sex Arkansas....... ......................... Female_________ California_______________ Male and female _ Colorado________________ -----do__________ District of Columbia_____ ---- do___................ Kansas___ ____ _________ ---- do__________ Massachusetts___________ ___do__________ /Female_________ Minnesota____________ (.Male___________ Nebraska________ _______ Male and female, North Dakota......... .............. do_________ Oregon---------------------------------- 1II "‘do Texas------------------------------------1____ do Washington....................................I____ do WisconsinI____d0 Age Not specified. Under 18 years. Do. Do. Do. Not specified.1 Under 18 years. Under 21 years. Not specified. Under 18 years. Do. Under 15 years. Under 18 years. (2) as'imderirfeyears',y the attol'ney ge«eial or the courts, but Interpreted by the commission p 2m“ed gual'rliallifI,iP law as under 21 years. Wisconsin Statutes, 1023, sec. 319.01, Tlie only variations from the usual limit of 18 years among the States that include both male and female minors in their minimumwage laws are Minnesota, which includes males up to 21 years among the minor group; Texas, which calls only persons under 15 yeara of age minors; and Wisconsin, which considers males and females under 21 minors. It is probable that the Massachusetts and Ne braska laws would be interpreted as agreeing with the Wisconsin age groups. Apprentices or learners—-inexperienced workers. With the exception of Arkansas and Wisconsin all these States have provided specifically that the commissions may establish rates tor learners (or apprentices) distinct from those established for 8 In Massachusetts and Nebraska “suitable” rates for minor alone may be set only rates for minors those occupations where the majority of employees are minors. rees are minors. 18 MINIMUM-WAGE LAWS IN THE UNITED STATES experienced workers. Wisconsin undoubtedly gives the commission this same power when it provides that the commission may classify female or minor employees and set a living wage for each class so established. California, Kansas,4 North Dakota, Texas, and Wash ington provide that special licenses may be issued to learners (or apprentices) by the commission. Texas and California specify that the per cent of learners in any one occupation or industry shall be limited. California leaves it to the industrial welfare commission to determine how many such licenses may be issued, but Texas sets 10 per cent of the employees in an industry as the greatest propor tion of learners allowed. This Texas limitation is the only definite rule governing the treatment of apprentices and learners. More over, it is not possible to say that the commissions are required to establish rulings that apply only to apprentices and learners. The laws uniformly use the word “may” in dealing with the setting of special apprentice rates. It is certainly true that the commissions, with the exception of Wisconsin, if they choose to give special study and attention to the group may work out with no legal restrictions what seems to them the most effective method of dealing with ap prentices or learners. In Wisconsin the situation is complicated by the fact that the State has an apprenticeship law. The minimum-wage law (sec. 104—108) requires that the industrial commission, in carrying out its provisions, see that minors who properly come under the appren ticeship law be indentured. These minors are to be paid such wages and work under such conditions as are set forth in the apprentice ship law. Only learners who are not in trades where indenture is possible are classed as learners under the minimum wage law. This situation does not occur in any other State. Substandard workers. The case of substandard workers is quite different from that of the minors or of the learners or apprentices. Both of these latter groups are supposed to obtain the minimum after a lapse of time which has brought them their majority, increased experience, or both. This third group is a permanent exception, provided so that workers who very evidently can never give the same amount of service as can a normal adult woman will not lose their jobs, as almost certainly they would if they had to be paid as much as a normal worker. Every State except Arkansas has provided for issuing licenses allowing special rates of pay to substandard workers. As in the case of the minors and apprentices or learners, the law merely indicates what the commissions may do if they think it advisable. It'is not required that substandard workers be excepted. However, the laws do indicate rather definitely what kinds of workers may be given licenses. The causes for which licenses may be granted are the following.1 1 Not specifically provided for in 1921 law, but inferred. The 1921 law states. “All laws relating to the powers, authority, jurisdiction, and duties of the Industrial Welfare Commission of this State are hereby adopted * * The 1915 law specifically gave the industrial welfare commission this power. DEFINITION'S OF CLASSES AFFECTED 19 Table 5.—Grounds for granting special licenses to substandard -workers, by State Woman “physically defective ” By age Otherwise Cause not specified California. California. North Da kota. North Da kota. Colorado (1913). Kansas (1915). Massachu setts. Minnesota. Nebraska. Oregon. Washing ton. Woman “crippled" Otherwise Cause not specified Colorado (1917). Oregon. Colorado (1917). Oregon. Kansas (1915). Washing ton. Washing ton. By age Wroman whose earning capac ity is less than that of normal worker Colorado (1917). Any son sub ject to this act Texas. District of Columbia. Kansas (1915). Wisconsin. If the commissions do issue special licenses, they must conform to certain principles. Seven States—Colorado, the District of Colum bia, Kansas, Massachusetts, Minnesota, Nebraska, and Oregon—pro vide for special licenses only in those industries or occupations where minimum-time rates alone are set. The remaining five States grant their commissions power to give a special license to a woman in any occupation coming under a minimum-wage decree. Every State pro vides that the commission must set the rate of pay allowed each licensee, that rate to be commensurate with the individual woman’s earning power. Two States—California and Texas—allow a license to run only six months, though such a license may be renewed any number of times. Three States have limited the number of licenses that the commission may grant: Colorado and Minnesota set the limit at one-tenth of the total number of employees in any establish ment; the Texas law based its limit on an industry as a unit and allowed 10 per cent of the employees in a given industry special licenses. As Texas granted the commission power to issue special licenses to any persons subject to the act, this would seem to allow one manufacturing establishment to have all special licenses, pro vided the whole manufacturing industry in the State did not exceed the 10 per cent allowed of employees on special licenses. The actual provisions for special licenses made in the law are im portant largely because they show that the legislatures wished the commissions to give still another group special treatment. The details required are so general that the real test of this plan comes in the way in which the commissions have treated the special licenses, and this will be discussed in a later section of the report. RELATION OF ORDERS TO SIZE OF COMMUNITY . Since the wage orders to be issued by the various commissions were to be based on the cost of living, and since it was generally believed that this cost might vary from place to place in a State, according to whether rural or urban, several of the laws have met 20 MINIMUM-WAGE LAWS in the united states this problem by giving the commissions power to vary the rates for different localities. Four States—Colorado (1915), Kansas, Minne sota, and Oregon—provided originally that the commissions in set ting wage rates might issue separate orders for different localities if they considered this course justified by different conditions. In 1917 Colorado tailed to reenact this provision. The Kansas law is very ambiguous and hard to interpret. It says (1915 and 1921) “that such board may recommend [establish, 1921] different minima hours and standards for each class in an occupation of different localities in the State.” This was interpreted by the attorney general of Kan sas, April 4, 1916, to give the commission power to vary minima standards for the same occupation in different localities. Tn 1920, however, the attorney general of the State ruled (March 25) that this clause did not give the commission such power and that a mini mum standard established in a given occupation must be state-wide. Between the dates of the two opinions, however, the Kansas commis sion had promulgated (1918) an order establishing wage rates for the telephone industry, in which the minimum rate increased accord ing to the population of the community. This order was still in force when the State supreme court declared the entire law unconstitutional. In addition to the laws whose language expressly indicates that orders may be varied according to the size or the location of the community affected, Wisconsin provides that the commission may “ determine and fix reasonable classifications,” a provision that has been interpreted to mean a classification of localities as well as of persons and of occupations and industries. The Wisconsin commis sion has taken advantage of this provision in its orders, as have Minnesota and Oregon of the definite provisions in their respective laws. Minnesota and Wisconsin have state-wide orders for all in dustries, with one wage rate for towns of 5,000 or more population and a lower rate for towns of less than 5,000. Oregon in its first orders differentiated all its rates according to the size of the com munity ; now it does so only in its telegraph and telephone order. The remaining States have no express provisions in their laws that give them power to classify wage rates according to locality, but only four States—California, the District of Columbia, Massa chusetts, and Texas—have never made a difference in wage rates according to the size of the community. There is, of course, no question of rural and urban costs in the District of Columbia, the District being practically the same as the city of Washington. In Texas, however, the stumbling block that prevented the minimumwage commission’s putting into force its state-wide order was this very question of varying the wage rates for different districts in t In state. The attorney general of Texas in two rulings (October 11, 1919, and January 7,1920) held that the commission had no authority under the law as written to zone or district the State and to pro mulgate a wage by district in accordance with the cost of living in such district as disclosed by investigation. So great was the opposi-. tion in Texas to a flat rate for country districts and large cities that the legislature repealed the law. California and Massachusetts, then, remain as the only States presenting the contrast of urban and rural communities which have not considered that wage rates should vary with the size of the community. DEFINITIONS OF CLASSES AFFECTED 21 In three other States—Arkansas, North Dakota, and Washington— some decrees have provided varying terms for different localities, though there was no express provision in the law authorizing this step. Arkansas has made a special order for mercantile establish ments in Fort Smith and Little Rock; North Dakota has established rates in its telephone and telegraph decree different for towns of 1,800 population and over and towns of under 1,800. In its tele phone and telegraph orders (1914-1922) Washington has exempted minor messengers in rural communities and cities of less than 3,000 population. In Arkansas an opinion of the attorney general of the State (July 29, 1920) held that the commission might set wage minima varying for different localities. In Washington, however, the attorney general of that State ruled that any order fixing a mini mum wage must be general throughout the State as to a particular trade or industry affected (October 14, 1913)—a ruling that would seem to preclude the course followed in the telephone and telegraph order. In North Dakota no ruling has been issued on this point. In the varying opinions of attorneys general in Arkansas and Wash ington, when considering essentially similar phraseology, the lack of uniformity in the application of minimum-wage laws is illustrated. Outside Texas, how important has been the actual question of varying wage rates within one occupation is hard to determine, lo-day only two States, Minnesota and Wisconsin, are using to any extent the principle of lower rates for small communities. Wis consin, it is true, enacted its first “ all industries ” order (1919) with a flat rate for the State, but this was changed in 1921 to the present oi dei setting separate rates for large and small communities, a reversal of procedure which suggests that the flat rate did not take cai e of possible differences in the cost of living. The great majority of orders setting varying rates, however, have been in telephone and telegraph. Kansas, North Dakota, and Washington have never applied this principle to any other group. Oregon has given up using this differentiation for all industries except telephone and telegraph. The two largest industrial States, California and Mas sachusetts, have never made a distinction in any industry between places of varying population. The consensus of opinion in these States would seem to be that differences in the cost of living between communities of different size are not great enough to result in separate orders for the small and for the large communities. SUMMARY The importance of the sections of the laws discussed in the pre ceding pages lies in the fact that they define the fields within which the commissions may exercise their powers and perform their duties. The scope they indicate is broad, and the division of groups which they allow gives the commissions power to regulate dissimilar groups with fairness to all. It is possible at any one time that the laws due to incomplete or faulty operation, may seem to deal unfairly with some individuals, industries, or localities, but this condition should not be confused with inadequacy in the actual terms of the laws. All industries or occupations are included in the laws. If it can be proved that, in any given instance, minors, apprentices, or substand 22 MINIMUM-WAGE LAWS IN THE UNITED STATES ard workers should be treated differently from normal adult women and differently from each other, the laws provide for so doing. In the face of statements advanced in some quarters to the effect that minimum-wage laws are so drastic as to make it impossible for indi viduals to get work or for firms in a given locality to exist, and pos sible for a specific industry to be discriminated against, it should be emphasized that the laws provide that special treatment may be given workers who vary from the normal, that in most States communities with certain conditions may be given special rulings if it seems neces sary, and that a proper administration could include without preju dice practically every industry or occupation in the State. CHAPTER III.—ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES _ To understand the effectiveness of any minimum-wage law the first thing that must be discussed is the composition and powers of the body that enforces the law. In practically all these States a new board or commission was created in the original act providing for the .setting of rates. The membership of this body was care fully defined by the law, and its powers and duties were outlined in great detail.1 As the earliest minimum-wage bodies were created, there was a striking similarity in the membership required. During the period in which the laws have been in force, however, many changes have been made; the tendency in such changes quite generally has been to do away with the commissions created specifically to admin ister the minimum-wage law and intrust this administration to State commissions established to administer all, or almost all, the labor laws of the State. This has led to a wide diversity of organ ization in the bodies that are now responsible for minimum-wage administration. The following table gives in detail the membership of these boards during the period in which the laws have been in force. Table 6.—Organization of commissions as provided in the laws, by State and year State and year Name of agency Arkansas: 1915____ Minimum wage and maximum hour commis sion. Num ber Special qualifica Method of appoint Length of of time tions of members ing members mem in office bers (1) Commissioner of labor (man). (2 and 3) 2 women. (1) By the gover- I n d e termi on this com nor. (2) Woman by the mission nate. governor. (3) Woman by the commissioner of labor. Industrial wel1921 5 (1) Commissioner (1) By the gover- 2 years.. None for work fare commis of labor (man). nor; (2to 5) 1 man on this com sion. (2 and 3) 1 man and 1 woman by mission. the governor, i and 1 woman representing em man and 1 wom ployers. an by the com (4 and 5) 1 man missioner of and 1 woman labor. representing em ployees. California, Industrial wel5 1 member a woman By the governor._ 4 years.. $10 per diem fare comission. 1913. when en gaged on offi cial duties. Traveling ex penses. 1 For the purpose of brevity the bodies that administer and enforce minimum-wage laws though their titles differ widely (see Table 6), are called minimum-wage commissions throughout this report. 60769°—28----- 3 3 Compensation 23 24 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 6.—Organization State and year Colorado: 1913__ Nam© of agency State wage board Industrial com mission. District of Columbia, 1918. Kansas: 1915. Minimum wage board. Industrial wel fare commis sion. 1921___ Court of indus trial relations. 1925___ Public .service commission. Massachu setts: 1912___ Minimum wage commission. 1916------ Minimum wage commission. 1919.... Board of concil iation and ar b i t ra tio n . (Comprises as sociate com missioners of the depart ment of labor and indus tries.) of commissions as provided in the laws, by Slate and year—Continued Num ber Special qualifica Method of appoint Length of of time tions of members ing members mem in office bers Compensation (1) At least 1 a By the governor. 2 years. Traveling and representative of incid e n t al labor. expenses. (2) At least 1 a woman. (3) At least 1 an employer of women. . (1) Not more than By the governor 6 years.. $4,000 per an 1 representative by and with the num. Actu of employers. advice and con al expenses. (2) Not more than sent of the sen 1 representative ate. of employees. Not more than 2 members from same political party. As far as practica By the Commis 3 years.. None. ble— sioners of the (1) 1 represent District. ative of the employees. (2) 1 represent ative of the employers. (3) 1 represent ative of the public. (1) Commissioner By the governor. of labor. (2) At least 1 mem ber a woman. No relative by blood or marriage of the commis sioner of labor, any State officer, or any member of any State board or commission. No two from same con gressional district. None_______ ____ By the governor, by and with the advice and con sent of the sen ate. None.. ___ do.................. . 1 member may be a woman. By the governor, by and with the advice and con sent of the coun cil. 4 years. _ Traveling and other neces sary ex penses. 3 years.. $5,000 per an num. 4 years.. $4,500 per an num. 3 years. (1) 1 member an ........ do...................... ...do.. employer of fe male labor. (2) 1 member may be a woman. (3) 1 member a representative of labor. (1) 1 member a ...do.... ...do....... representative of labor. (2) 1 member a representative of employers of labor. $10 per diem for each day’s service. Traveling and other expenses. $10 per diem for each day’s service. Traveling and other expenses. Not to exceed $4,000 per an num. Trav eling and other ex penses. organization op administering and Table 6.—Organization State and year Minnesota: 1013.... Name of agency of commissions as provided in the laws, by State and year—Continued Num ber Special qualifica- Method of appor Length of of time tions of members ing members mem in office bers North Da kota: 1919--. 1921. Minimum wage commission. (1) The commis sioner of labor. (2) 1 member an employer of women. (3) 1 member a woman. Industrial com mission. Nebraska, 1913. Not more than 2 members from same political party. Minimum wage commission. (1) The governor. (2) The deputy commissioner of labor. (3) A member of the political science depart ment of the Uni versity of Ne braska. (4) A citizen of the State. At least 1 mem ber a woman. Workmen’s com pensation bu reau (in the department of agricul t u r e and labor). Workmen’s com pensation bu reau (in the department of agriculture and labor). 1 member, the commissioner of labor. Oregon, 1913 Industrial wel fare commis sion. Texas, 1919- Industrial wel fare commis sion. ENFORCING AGENCIES (1) 1 member, the commissioner of agriculture and labor. (2) insurance com missioner. (3) 1 member, a representative of labor. (4) 1 member a representative of the public. (1) 1 member rep resents the in terests of the employing class. (2) 1 member rep resents the in terests of the em ployed class. (3) 1 member rep resents the pub lic. (1) Head of the bureau of labor statistics. (2) Representative of employers on the industrial accident board. (3) State superin tendent of pub lic instruction. Compensation By the governor.. 2 years.. Traveling and other neces sary expen ses. Woman member to receive $1,800 per annum for work as secretary. By the governor, 6 years.. $4,500 per an by and with the num. Trav advice and con eling and sent of the sen other neces ate. sary expen ses. By the governor... 2 years.. Traveling and other expen- ..do___________ 5 years.. $2, 500 per an num. Ex penses. ........do...................... ..do__ $2, 500 per an num. Ex penses. ........do............... ....... 3 years. (1 and 2) By the governor. (3) Elected by the people. (1) 2 years. (2) 6 years. (3) 2 years. Necessary penses. ex None for work on this com mission. 26 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 6.—Organization State and year Name of agency Washington: 1913 Industrial welfare commis sion. 1921........ Industrial welfare committee (in the depart ment of labor and industries). Wisconsin, 1913.2 * Industrial commission. of commissions as provided in the laws, by State and year■—Continued Num ber Special qualifica Method of appoint Length of of time tions of members ing members in office mem bers 5 5 3 (1) Commissioner of labor. No member to have been a mem ber of a manufac turers’ or employ ers’ association nor a labor union in five years. (1) The director of labor and indus tries. (2) The supervisor of industrial in surance. (3) The supervi sor of industrial relations. (4) The industrial statistician. (5) The supervi sor of women in industry. None Compensation By the governor.. _ 4 years.. Expenses. (1) By the gover- (1) Pleasnor with the con ure of sent of the senate. gover (2 and 3) By the nor. director of labor (2 to 5)» and industries. (4 and 5) By the supervisor of in dustrial rela tions with the consent of the director. (1) $7,500 per annum. (2 to 5) » By the governor, 6 years.. $6,000 per anby and with the num. Actual advice and con expenses. sent of the senate. 1 Not specified in law and could not be obtained from the department. !Dute of minimum-wage law; commission was established in 1911. Originally only North Dakota and Wisconsin intrusted the en forcement of their new minimum-wage laws to bodies created to administer and enforce other labor laws. Of the remaining 11 States, Arkansas, California, the District of Columbia, Nebraska, Oregon, and Texas retained specially created commissions as long as the laws remained in existence, and Colorado, Kansas, Massachusetts, Minne sota, and Washington abolished similar commissions and gave the ad ministration to the bodies that were enforcing all or almost all the labor laws.2 This last is a very important step, and it deserves consideration in forming an opinion as to whether minimum-wage administration has been strengthened during the IB years such laws have been on the statute books by being more efficiently handled at the end of that period than at the beginning. There has been a tendency to subordinate minimum-wage administratic"! and enforcement to other State activities by placing it as a subdivision of a department with multitudinous other duties. In the five States—Colorado, Kansas, Massachusetts, Minnesota, and Wash ington—that have abolished the independent commissions; in the two States—North Dakota and Wisconsin—that never created indeendcnt commissions to handle minimum wage; and in Texas and ebraska, which created independent commissions of three State employees with positions in other fields requiring their full-time S 2 The Nebraska and Texas laws have been repealed, the Arkansas, Kansas, and District of Columbia laws have been declared unconstitutional, and the Colorado commission has never functioned as a minimum-wage commission. ORGANIZATION OP ADMINISTERING AND ENFORCING AGENCIES 27 attention, it would seem that this work could not fare so well as under a body interested only in minimum-wage work. In the following paragraphs the work accomplished by both types of commission is summarized in an effort to see whether or not consolidation has resulted in lessened activity. In Colorado, for example, where no minimum-wage decrees have ever been issued, the consolidation of the original wage board with the industrial commission which was already busy with the work men’s compensation law probably was largely responsible for the law becoming a dead letter. Both laws (1913 and 1917) carried a provision for a minimum-wage secretary to administer and enforce the law. Under the wage board created in the 1913 law, this secre tary started investigating wages and cost of living so that minimumwage decrees might be issued. The facts obtained through this work were published in the first report of the wage board.3 Since the con solidation the legislature has continued to appropriate a yearly salary for the secretary, yet the annual report of the industrial commission shows only two instances of any work on minimum wage. In 1917 the industrial commission reported: “Since the appointment of the [minimum-wage] secretary she has been steadily engaged in collect ing information and data from the other States of the Union, in all matters which might be of value or interest to the commission in the performance of the duties devolved upon it by this [minimum-wage I statute. The commission, not having sufficient help to take care of the enormous increase of business in the compensation, industrial departments, and State fund, has been able to use all the spare time of the secretary of the wage commission in important statistical and listing work, necessary for its other departments.”4 Six years later, in 1923, the commission reports that it is conducting an investiga tion of the wages of women and minors in all the large cities and towns in the State and will publish the results in the annual report for 1924.5 6 In the years between these two reports, the commission continued to ask for more money to administer minimum wage but reported no activity in this field on the part of the minimum-wage secretary. Presumably her whole time was devoted to the more pressing workmen’s compensation work, for in 1922 it was stated that “ the commission lias not had sufficient appropriation to properly carry on its work under the compensation law and the industrial relations law7 and has not been able to divert any of the appropria tion for such purposes to the minimum-wage department.”8 The picture these, quotations make clear is a commission to whom minimum wage is a minor job. The members of the commission are not unfriendly, but they have a full-time job in the workmen’s com pensation law. to which they must add the administration of the industrial-relations law and then that of the minimum-wage law. Their appropriations are not large in relation to the work they must accomplish, and the part- or whole-time services of the minimumwage secretary, who has no wage decrees to enforce, in ay be used to good effect on the workmen’s compensation work. If the minimum8 Col ora <1 ) Slate Wage Board. First report, 1914. * Colorado Industrial Commission. Second report, Dec. 1, 1917-Dec. 1, 1918, p. 127. 5 Ibid. Seventh report, Dec. 1, 1922-Dec. 1, 1928, p. 179. 6 Ibid. Sixth report, Dec. 1, 1921-L)re. 1, 1922, p. 178. 28 MINIMUM-WAGE LAWS IN THE UNITED STATES wage law were being enforced by a board that had no other State work, the secretary’s full time and the board’s full time while on duty naturally would have been used in developing this law. It seems probable that even with such a small appropriation, a keenly inter ested group could have succeeded in establishing some minimum-wage rates. As it is there is always other pressing work to be attended to by the commission, and even the minimum-wage secretary is not free to further minimum wage. In Kansas the continued subordination of the minimum-wage work (o other State activities has not caused a cessation of work as it has done in Colorado. The history of the Kansas law after the con solidation probably was influenced by the impetus the law received during the relatively long period in which it was administered by an independent commission. For over six years (1915 to 1921) the industrial welfare commission, handling only the women’s labor laws, administered the minimum-wage law and covered most of the important woman-employing industries with wage decrees. In 1921 the industrial welfare commission was abolished and the work of administering and enforcing this law was given to the court of indus trial relations, which had been created a short time before. This court had multitudinous duties. It was to hear and settle finally all labor disputes within the State and to enforce all the labor laws of Kansas, including the minimum-wage law. Fortunately the court of industrial relations created a woman’s division, for which was retained the same personnel as comprised the executive staff of the industrial welfare commission. This division carried on enforce ment and investigations which led to a reissuing of three decrees with slightly increased rates. In the four years in which the indus trial court was responsible for minimum-wage administration not only were no new decrees issued, so that no more women benefited by the law, but not even an extension of wage investigations was undertaken in new fields. Moreover, in 1925 a further consolida tion took place. A public service commission was created to take over the work of the court of industrial relations, the public utili ties commission, and the tax commission. If minimum wage was only a relatively small part of the work of the industrial court, how much smaller a part it was when compared to the remainder of the work of the public service commission. A commission that has to regulate all public utilities in the State, to develop plans of taxa tion, and to administer all labor laws can not lie expected to have among its five members ah expert in each of these many and diverse fields. The work is done by subordinates, who, no matter how great their interest, have no power to advance or extend minimum-wage rates except through their influencing the already burdened com missioners to take up such problems. It seems significant that no new industries have been covered by decrees since the industrial welfare commission was abolished. In Massachusetts a consolidation in December, 1919, of all the various State bureaus dealing with labor abolished the minimumwage commission and gave all its powers and duties to the board of conciliation and arbitration, a division within the newly created department of labor and industries. The three members of this board are the three men associate commissioners of the department ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 29 of labor and industries. They serve primarily as a board of con ciliation and arbitration. Their next duty is to act in an advisory capacity to the commissioner on all matters coming under the jurisdic tion of the department. When any serious labor trouble arises, weeks may elapse during which the board devotes its entire time to conciliation and arbitration. Once again minimum-wage matters must be crowded into spare minutes. They are handled by a group none of whom were appointed to administer minimum wage, the intention being that they should act as conciliators, and be advisers to an executive. The records show that the board has extended little, if at all, the field in which the minimum-wage law is operative. The number of decrees issued since the consolidation of the several bureaus in 1919 is 20, but only 5 of these are in industries not pre viously covered by orders issued when the law was administered by an independent board. As in Kansas, the executive end of this work has remained in the hands of the same personnel and enforce ment has gone on in much the same manner as before the consolida tion. Decrees whose wage rates no longer represented the cost of living have been reissued, but little progress has been made in extend ing the minimum wage to more women. In Minnesota the change from the independent minimum-wage commission to the industrial commission, as the agency responsible for enforcement, has produced a condition similar to that already described for three States. The situation is analogous to that in Kansas and Massachusetts, for the original minimum-wage com mission had established a state-wide decree for all woman wage earners before the consolidation took place. Since that time, how ever, minimum wage has been administered and enforced by people who have enforcing power but no authority to extend or alter administrative policies. They are subordinates to a commission whose time is taken up in administering labor laws that affect large groups of men and women workers, such as the workmen’s compensa tion law particularly. Actually the work of enforcing minimum wage is done by the division of women and children, all the em ployees in which are appointed by the commission, though they have civil-service status. This division also enforces all labor laws apply ing specifically to women and children. As far as the industrial commission is concerned, it has simply allowed minimum-wage administration to go along much the same lines as previously. Although it became effective almost five years ago, the last order issued by the minimum-wage commission and which was reissued by the industrial commission six months later (July, 1921) still remains in force. In Washington the consolidation took the form of giving the administration and enforcement of the minimum-wage law to an industrial-welfare committee, composed of the director of labor and industries and four subordinates. Two of these, the supervisor of industrial insurance and the supervisor of industrial relations, are appointed by the director to be division heads. The other two members, the industrial statistician and the supervisor of women in industry, are appointed by the supervisor of industrial relations, with the consent of the director, to aid him in the specific fields indi cated by their titles. Of this committee, then, only one was appointed 30 MINIMUM-WAGE LAWS IN THE UNITED STATES to look after the interests of woman wage earners. As has been the case in the other States, the minimum wage becomes a task to be at tended to in the minutes that can be spared from other full-time work. This group, which by its very composition can not be pri marily interested in minimum wage nor have expert knowledge of its problems and needs, nevertheless holds the responsibility for its administration and enforcement. The actual enforcement is done by the supervisor of women in industry, whose position seems at first glance somewhat better than the executive officers’ in the other States where consolidation has taken place, since she is the only one who is a member of the commission. However, when her responsibility to the supervisor of industrial relations and to the director is realized (the supervisor of women in industry is appointed as an aid to the supervisor of industrial relations), it becomes apparent that in case of a difference of opinion she must conform to their wishes. The effect of this consolidation probably is shown by the fact that no new industries have been included in the decrees; that no investigations of wages have been made to see whether or not new orders might, be necessary; and that the only orders that have been issued since this committee was organized are those issued in 1921 to take the place of war orders that lapsed when the peace treaty with Germany was signed. Thus in all the States where consolidation has taken place mini mum-wage work seems to have slowed down. Administration shows this more clearly than does enforcement, since the commission must be the moving force in most administrative problems. In general it may be said that enforcement of minimum-wage decrees depends on a good executive officer with a sufficient appropriation and reliable assistants. An unfriendly commission can, of course, hamper this work, but an uninterested commission does relatively little harm to enforcement of existing decrees provided the executive is interested and able. It is in the administrative field that so much harm can be done. Moreover, it is much harder under consolidation for citizens who are interested to remedy bad conditions. Public attention can not be focused on a commission’s failure to set minimum-wage decrees where it is performing a multitude of other tasks, as it could have been on an independent commission if it failed to put the minimumwage law into full operation. Nor can the commission be said to be wholly derelict in its duty to the citizens of the State as long as it administers effectively the workmen’s compensation law or other labor laws intrusted to it, even though it devotes practically none of its time to minimum wage. The considerable appropriation which these units receive for all their work often obscures the fact that the sum is.small when compared with the amount of work to be done, and that in such a case the law affecting the greatest number of workers_ in all States the workmen’s compensation law—will be bound to <>-et the lion’s share of the money. A very serious feature of this con tinued subordination of the group in charge of minimum-wage en forcement and administration is that often it leaves no one orf these commissions who is vitally interested in minimum wage. This in terest, which is known to affect a relatively small proportion of the State s citizens, and for the most part only its women citizens, ORGANIZATION OR ADMINISTERING AND ENFORCING AGENCIES 31 is practically never represented by an advocate and expert. Thus, both within the commission and outside it, friends of minimum wage are hampered in their efforts to advance the principle by this form of organization. Though at any one given time these subordinates who enforce the law may conduct their work and make their de cisions in such a manner as to be in complete accord with the body that is finally responsible, in case of a difference of opinion the group that knows the situation is powerless, for all decisions rest in the hands of the commission which has other full-time jobs than mini mum wage. As long as the executive office is content to mark time and to enforce the orders originally issued by the minimum-wage commissions and reissued by the industrial commissions, the weakness of this plan is not very apparent, though there is always the danger that the comipission may not realize how important rigid enforce ment is; but if an executive officer may wish to increase the rates, or to expand the field covered by decrees, or to strengthen existing decrees, it can only be done through the commission, whose time is otherwise occupied. The various points of this situation, discussed under each State that has intrusted minimum-wage administration to commissions created for other purposes, are possible evils not only in the specific State but in the others as well. If the personalities of the people on these commissions and of their executive assistants have partly overcome the situation—and this is the case in some States—it still has inherent difficulties. A change of personnel might absolutely stop all minimum-wage work because of lack of interest on the part of those in authority. Minimum-wage legislation is an experiment, and nothing is so vital to its success as that each step taken be watched with the greatest care and modified when the results are not those anticipated and when economic changes produce nevr problems. It can not be suc cessful when it is more or less neglected and left to run itself. In North Dakota, Wisconsin, and Texas, minimum-wage enforce ment, and administration wrere assigned from the beginning to busy people. Though the records of these commissions compare favorably with those of many of the independent commissions, there are certain cases where lack of action on their parf may be attributed to their concern with a multitude of other duties. Wisconsin took more than three and a half years after the law was enacted to issue its first decree. This delay may have been clue in part to doubt of the law’s constitutionality, but no case was brought in the Wisconsin courts to settle this difficulty. Even after this doubt seemingly was resolved in favor of the law by decisions in other State courts and the United States Supreme Court, it took the commission two years to enter a decree covering any considerable number of women, so that five years elapsed from the time the law was enacted until its effect was felt by the woman wage earners. A primary cause of this delay would seem to be the assigning of this power to a commission already interested in, and busy with, the enforcement of every other labor law in Wisconsin. North Dakota and Texas did enact decrees with reasonable promptness. The immediate repeal of the Texas law after the first decree was issued has made it impossible to judge how this type of commission would work out in practice. In North Dakota the number of decrees has been reduced since their original 32 Minimum-wage laws in the united states issuance. It seems probable that a less busy commission might have retained all the original decrees even though changing conditions caused them to change the substance of the decrees. There is cer tainly nothing strikingly good in the record of these commissions when dealing with administration, to disprove the contention that minimum wage loses effectiveness when assigned to a multi-func tioned commission. It still seems fair to say that in practically all cases minimum wage has made its greatest advances under inde pendent commissions. TYPE OF PERSONNEL What actually has happened to the membership through these changes is shown by an earlier chart (p. 23). Though the personnel of the original boards changed very frequently, it is apparent that there was an attempt made to give women, the employing group, the employed group, and the general public representation on the body responsible for carrying out the provisions of the minimumwage law. Moreover, the membership usually was three or five so that the impartial woman or public member would have the deciding vote on disputed questions. Representation of women on commissions as provided in the laws. Since the law applies to women, it seems particularly important to have their viewpoint represented on the commissions controlling the administration of the law, but the requirement that a woman should be one of the group intrusted with the enforcement of the law is by no means so widespread to-day as it was in 1913. The following table shows the exact status of women as members of commissions. Table 7.—Representation of women on commissions as required by law Woman required Original law....................... Amended law.................... Arkansas. California. Colorado. Kansas. Minnesota. Nebraska. Arkansas. Washington. Status in spring of 1927... Arkansas. California. Nebraska. Washington. Woman suggested Massachusetts. « Woman not mentioned District of Columbia. Oregon. North Dakota. Texas. Washington. Wisconsin. Colorado. Kansas. Massachusetts.1 Minnesota. Colorado. District of Columbia. Kansas. Oregon. Massachusetts. Minnesota. North Dakota. Texas. Wisconsin. 1 Two amendments to this section of the law; women lost representation on second amendment. ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 33 In six States—Arkansas, California, Colorado, Kansas, Minnesota, and Nebraska—the original law required that a woman be a member of the administering body. Massachusetts stated that one member might be a woman. The value of this, except as a hint to the gov ernor in making his appointments, is not apparent, as women are not precluded from serving on those States’ commissions where they are not specifically mentioned. In Oregon the industrial welfare commission and in the District of Columbia the minimum-wage board have never been required by law' to include a woman. In Texas the commission was composed of one elected State official and two who were appointed, with no provision that any member must be a woman. The labor bodies in North Dakota and Wisconsin, to whom the administration of the minimum-wage laws was intrusted, were not required by their organic acts to have woman members. Moreover, the question of women on the commissions has been con siderably changed by the process of doing away with special bodies and including minimum wrage under general labor-law-enforcing organizations. When this occurred in Colorado, Kansas, Massachu setts, and Minnesota the requirement or suggestion that there be a woman in a position of authority on the body administering the minimum-wage law was lost. In Washington, due to the fact that the present law requires that the supervisor of women in industry, who is also a member of the minimum-wage committee, be a woman, and dhat the original law creating the minimum-wage commission did not require that one member be a woman, the change from the old law' to the new meant that the law provided a more established place for women in the administration. In one case, then, women have gained a more secure position in taking part in minimum-wage administration; in four they have lost ground. The original position of the States gave women a sure representation in only six States, and they are now reduced to serving in one-third of the States that have laws. Representation of women on commissions in practice. The following table shows that more women have served on com missions than those whose appointments were made because of a requirement in the law. It also shows that where women have never had a representative is the various State commissions that were created primarily to administer general State labor laws and sec ondarily were assigned minimum-wrage enforcement and admin istration. 34 MINIMUM-WAGE LAWS IN' THE UNITED STATES Table 8.—Sea of persons serving as members of the various commissions, by State Number of members State and name of commission W omen Arkansas: Minimum wage and maximum hour commission. 2 Industrial welfare commission_____________ ____ 2 California: Industrial welfare commission______ 1 Colorado: State wage board______ _______ _______________ 2 Industrial commission_____________________ ~~~~ District of Columbia: Minimum wage board___ 1 Kansas: Industrial welfare commission__________ _______ ■ 1 Court of industrial relations___________________ Public service commission. ____________ Massachusetts: — Minimum wage commission. 1 Minnesota-*1 °f minimilm wage (in the department of labor and industries)... Minimum wage commission________ _____ ____ _ Industrial commission________________________ Nebraska: Minimum wage commission*_________ North Dakota: Workmen’s compensation bureau________ _______ Oregon: Industrial welfare commission_____ _______ ______ Texas: Industrial welfare commission______ _ Washington: .............. " 1 Period of service 1 Men 1 3 4 1915-1921 1921 1913 1 3 2 1917 2 1914-1917 1918-1923 5 1915-1921 1921-1925 1925 2 3 1913-1919 1919 2 3 1913-1921 1921- Industrial welfare committee.. Wisconsin: Industrial commission. 3 1919-1920 5 | 1920 2 | 1913 2 1919-1921 ( Industrial welfare commission. /........... i-------1 1 2 1913-1915 2 1 1915-1918 2 1 1918-1919 2 | 1919-1920 1 1920-1921 4 1921 3 1913- \ ! I 3 2 1 3 4 1 * Vi or ?ma" \,as servea of the same period specified;’ in other cases 1 s neriod ropre this penofl renresents the combined terms of several membersfor the entire sex lsom(' ™elnbSrs of commission were designated in the law, no information is available to show that they ever performed any services as minimum-wage commissioners 13 available to show wTi?f. Dlstrict of Columbia, Massachusetts, Oregon, Texas, and V\ ashmgton all have had women members on their minimum-wage commissions, though such appointments were not required in their laws. As there has been no woman appointed to the Massachusetts commission since the consolidation act of 1919, when women as mernDers ol the minimum-wage commission were not mentioned, the provisrnn m the original law for the recognition of women’s interests was of distinct value. The fact that Texas had a woman member is not significant, since it occurred only because the elective State school omcer, who was designated by the law to serve as a member of the commission, happened at the time to be a woman. In the four other States having woman members, however, their voluntary appoint ment meant much. This table illustrates clearly that consolidations that have put enforcement under agencies not primarily interested in minimum wage have removed from authoritative positions the group that has done the most to further minimum-wage legislation. The various minimum-wage laws almost invariably have had the sup port of women s organizations, who have felt them to be vitally necessary and who have made first their passage and then their adequate administration the organizations’ concern. In practically every btate some woman who has served on the minimum- ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 35 wage commission stands out as the person whose interest and zeal have carried the commission on to extend the law to varied industrial groups, to change decrees as shifting living costs have made such action necessary, and to make such decrees a real force in the State. It is, therefore, more than the added press of duties which has resulted in many States in a curtailment of mini mum-wage activities. After consolidation the women connected with minimum wage were no longer in positions carrying real power, nor were they able to keep in such close touch with the mem bers; they were subordinates now, not equals. It may seem that undue emphasis is placed on this point, but it is an influence that must bo considered when analyzing why some States have slackened in their early efforts at making minimum wage a live force and why other States have never really put their laws into effect. Representation of labor on commissions required by law. It has been more generally recognized that labor’s viewpoint should have a representative on the minimum-wage commissions than that women should have a representative. Moreover, the vari ous amendments doing away with specific minimum-wage commis sions have intrusted the enforcement to State bodies organized to en force other labor laws and for this reason already required to have a labor member. The following table gives in detail the labor representation: Table 9.—Representation of labor on commissions as required by laiv Labor representative required Chief of .State labor bureau required Labor representa tion not mentioned Organized labor representation for bidden Washington. Colorado. District of Columbia. Oregon. California. Massachusetts. Wisconsin. Arkansas. Colorado. Massachusetts.* North Dakota. Status in spring of 1927. Arkansas. Kansas. Minnesota. Nebraska. North Dakota. Texas. Washington. Arkansas. North Dakota. Washington. Kansas. Minnesota. Arkansas. Colorado. District of Columbia. Massachusetts North Dakota. Oregon. Arkansas. Nebraska. North Dakota. Texas. Washington. California. Kansas. Minnesota. Wisconsin. 1 Two amendments; the second made no change on this point. Only Colorado, the District of Columbia, and Oregon originally required a labor representative on the minimum-wage commission. Though Colorado changed from having a special board to having the law enforced by the State industrial commission, this commission was required to have a labor member. In Arkansas, Massachusetts, and North Dakota labor representatives were required in amend- 36 MINIMUM-WAGE LAWS IN THE UNITED STATES ments to the original law. The proportion of States requiring labor representation seems small, however, unless there are included the States that make the chief of the Slate labor bureau a member of the commission. This official, who enforces the labor laws and whose primary interest is the welfare of the wage earners, usually was con sidered to give them sufficient representation, so he was appointed as the representative of labor by some legislatures that required such a person on the minimum-wage commission. Seven States_Arkan sas, Kansas, Minnesota, Nebraska, North Dakota, Texas, and Wash ington—made this requirement in their original law. Kansas and Minnesota have abolished this State office since the laws first were enacted, and the bodies that now administer the minimum-wage laws are not bound to have any representative of labor. Washington alone, of all the Slates, considered that in order to beep its minimumwage commission strictly unbiased it was necessary that special groups should not be represented, though the chief of the State labor bureau was required. This prohibition, however, was dropped in the reor ganization. The head of the State labor department still must serve on the commission. On the whole, labor has retained its repre sentation on the body enforcing the minimum-wage law better than have women. The losses in Kansas and Minnesota have been more than onset by gams in Arkansas, Massachusetts, and North Dakota. Moreover, Arkansas and North Dakota now have provided for both a representative of labor and the chief of the labor bureau on the minimum-wage commission. Two-thirds of the States must have labor representation on their commissions. Representation of labor on commissions in practice. The representatives of labor, as a group, have played a much less active part in minimum-wage work than have women as a group and labor has had few direct representatives on the commissions except where the law required that there be a labor member. On the original commissions which handled only minimum warn? their representation usually was confined to the chief of the State labor bureau (Arkansas 1915, Kansas, Minnesota, Nebraska, North Dakota, lexas, Washington) or to a woman who represented both labor and women (Arkansas 1919, District of Columbia, Massa chusetts, Oregon). California originally had a man serving on the commission solely as its labor representative, but this member later became also the chief of the State labor bureau. The presence of woman labor representatives seems particularly desirable, since it means that all final decisions are passed upon by a person who knows the problems of the very group to which the law applies. In this general movement toward consolidation the representation of the w omen in the labor group has lost out and the representation of labor in general has gained, as the laws show. Actually the practice of appointing labor representatives on these commissions (both the industrial and the minimum-wage commissions) has been general and has increased in about the same ratio as have the requirements of the laws. In Kansas and Minnesota labor has been represented on the commission though these laws do not specifically require it. ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 37 The labor representatives in office now, however, not only are less expert in women’s problems but, due to the various consolidations, can give only part of their attention to this phase of the work. Representation of employers on commissions as required by law and in practice. The third group of individuals generally felt to be so vitally interested in the administration and enforcement of the minimumwage laws that they should be represented on the commissions, is the employers. The following table shows in how far the law has assured them of this representation: Table 10.—Representation of employers on commissions as required by law Employer representative Employer representation Organized employer rep required ' not mentioned resentation forbidden Colorado.1 District of Columbia. Minnesota. Oregon. Texas. Arkansas. California. Kansas. Massachusetts. Nebraska. North Dakota. Wisconsin. Arkansas.1 Colorado. Massachusetts.® Minnesota. Status in spring of 1927.. Arkansas. Colorado. District of Columbia. Massachusetts. Oregon. Texas. Washington. California. Kansas. Minnesota. Nebraska. North Dakota. Washington. Wisconsin. 1 Employer of female labor. 2 One must be a woman. 3 Two amendments: the first required an employer of female labor; the second made no change on this point. • Five States—Colorado, the District of Columbia, Minnesota, Ore gon, and Texas—established the principle in their original laws that employers must be represented on the commissions. Washington, following its idea of absolute impartiality, originally did not allow members of employers’ associations to serve; in the present law rep resentation is not required but it is not forbidden. As an amendment to their original laws Arkansas and Massachusetts provided for the representation of employers on their commissions and Minnesota dropped its requirement. In practice, one member of the California Industrial Welfare Commission and of the commission in Minne sota and in North Dakota always has been appointed to represent the employers. Though to-day less than 50 per cent of the minimumwage States provide by law that the employers must be represented on the commissions, when this group is compared with the labor group and the women group it is realized that the employers, in their relation to the other two, have gained in representation required by law during the years the laws have been in force. Moreover, in only one State have the employers lost ground in the law but not in 38 MINIMUM-WAGE LAWS IN THE UNITED STATES the practice, while labor has lost its required representation in two 'States and women have lost it in four. Though these movements seem slight, they must be noted in considering the tendencies in minimum-wage administration to-day as contrasted with the early days of the commissions’ existence. Representation of the public on commissions. A few States have felt that every commission should include a member specifically designated to represent the public as a whole. Nebraska, Oregon, and the District of Columbia made this provision in their original laws. North Dakota added a public member in amending its law. The majority of the States seem to have consid ered that guaranteeing this representation was less important than guaranteeing representation to the three groups more directly con cerned. In practice, at least one member of all these commissions was appointed to serve as an impartial representative of the public. Representation of political parties on commissions. The political affiliations of the members of the commissions usually have not been emphasized. One of the changes that have come about through the amendments' making the bodies in charge of all State labor laws responsible for minimum-wage administration is the con sideration of political affiliation in making appointments. Two States, Colorado and Minnesota, provide that not more than two of the three members of their industrial commissions may belong to the same political party. This considering appointments as political was quite foreign to all the original laws. The real difference un doubtedly is that the early lawTs rarely provided any salary for the members of the commissions, so that appointment to these positions was not sought by persons who felt that they should be rewarded for loyal party service. Summary. The rules laid down by the State legislatures for selecting the type of persons eligible for service on minimum-wage commissions have been subjected to considerable change during the years the laws have been in operation. In general, women, the workers, the em ployers, and the public still are designated as the ones to serve. Women, however, have lost ground; the workers have made some gains and sustained some losses, but are about as well represented to-day as when the original laws were passed; the employers have held all their original appointments and gained a few others; the public has gained one representative. The question of political repre sentation has been introduced. It is questionable whether the laws to-day provide for as impartial and informed membership as they did when first enacted. Certainly women—the group most inter ested in passing the laws and in seeing that they worked well, since they were the group affected—have been the one group to lose place on the administering bodies. The tendency to emphasize the importance of employer repre sentation and to consider that a general labor representative was an ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 39 adequate spokesman for woman labor has been even more marked in practice than in the laws. When they were organized, 10 of the 13 minimum-wage commissions—Arkansas, California, Colorado, Dis trict of Columbia, Kansas, Massachusetts, Minnesota, Oregon, Texas, and Washington—had women members. Exactly half of these— Colorado, Kansas, Massachusetts, Minnesota, and Texas—have been replaced by men. The 3 other States—Nebraska, North Dakota, and Wisconsin—have never had any women on their commissions. The 10 States where women have served have produced outstanding examples of active minimum-wage administration and enforcement Tn Colorado, where no decrees ever have been issued, the original minimum-wage board with its woman member had barely two years in office. The work of investigation begun by this board was never used nor continued by the industrial commission. In California and in the District of Columbia (until the law was declared unconstitu tional) there is a record of continuous activity and one of continuous service of a woman commissioner. In Massachusetts and Minnesota there is a record of activity in both administration and enforcement, followed by a period of relative inaction in administration, though enforcement continued at as high or even at a higher level, which corresponds to the time when there was and the time since there has not. been a woman member on the commission. Consolidation probably has harmed minimum-wage activities most by removing from positions of authority the group most keenly interested in the Jaw’s successful expansion. It has made minimum wage a minor concern of a busy commission, a fact shown in the fewer decrees issued and the lessened activities in investigation. METHOD OF MAKING APPOINTMENTS As the minimum-wage laws originally were enacted they practi cally all provided that the governor of the State 7 should appoint all commission members. The only exceptions to this were that one member of the Texas Industrial Welfare Commission was an elected State officer and that in Nebraska the governor himself was one of the members. In some cases, however, the governor’s appointments had to be confirmed by an elected State body, specifically by the council in Massachusetts and the senate in Wisconsin. As the com missions which attended only to minimum-wage problems were abol ished and their work was intrusted to general State labor commissmns, it is interesting to note that legislative influence on the ap pointments to these paid positions seemed more important to the legislators. Colorado, Kansas, and Minnesota joined TVisconsin in requiring the confirmation of appointments by the State senate. In Arkansas and Washington amendments introduced the chief of the 7 District of Columbia members were appointed by the District Commissioners These State™1'1 !l posltlon ln the District roughly corresponding to that of'tiie governor in a 60769°—28----- 4 40 MINIMUM-WAGE LAWS IN THE UNITED STATES State labor department as an appointing officer. The following table shows exactly where the power of making appointments lies: Table 11.—Provisions in the laws regulating the selection of commission members, by State Number of appointments made by— State Arkansas: 1915.......... ................................................... 1921____________ ____ ______________ Colorado: 1913____________ ______ ____________ 1917______________ ____ ____________ Kansas: 1915_________ ____ _________________ 1921______ ________ ____ _________ Minnesota: 1913., 1921 North Dakota: 1919______________________ 1921 Washington: 1913_______________________________ 1921_____ _____ ___________________ Wisconsin______ ____ _______ __________ Total mem bership of com mission Gover nor 3 5 5 2 3 5 3 3 3 i3 Gover nor and senate Gover nor and council Chief of State labor bureau Elected 1 2 3 3 3 3 3 3 3 4 3 3 5 3 3 3 5 3 2 5 25 3 3 5 3 3 3 3 1 1 1 3 1 2 1 Appointments made by District Commissioners, practically same as governor. 2 Other two members appointed by supervisor of industrial relations, one of the members of the mini mum-wage committee appointed by the head of the State labor bureau. COMPENSATION PROVIDED FOR SERVICES ON COMMISSIONS The question of salaries paid members of commissions, like the method of the members’ appointment, is important only as it bears on the type of person attracted to the work. Service on a commis sion dealing only with the minimum wage has never been considered a full-time job, and in most cases it has been considered as service that should be given voluntarily by interested citizens. In their original laws California and Massachusetts provided that the commis sioners should be paid $10 per diem for time spent on the work. The only other cases where all the members of the commission re ceived remuneration from the State were when the commissions were responsible not only for minimum wage but for all, or almost all, the labor laws in the State. This was the situation established by the original laws in North Dakota and Wisconsin and brought about by the amendments abolishing the separate commissions in Colorado, Kansas, Massachusetts, Minnesota, and Washington. These salaries, however, were established in all cases, except in Massachusetts and Washington, before the commissions were given minimum-wage en forcement, and these salaries were not increased when minimum-wage enforcement was added to the duties required. In Massachusetts and Washington the bodies enforcing minimum wage are composed of ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 41 members of the State labor departments who are paid for their general services.8 In Texas and Nebraska the members of the mini mum-wage commissions were regular State officials in widely varied lines of wort, but they were not given any added remuneration for their .minimum-wage services. Originally Arkansas, Colorado, the District of Columbia, Kansas, and Oregon provided no salaries for minimum-wage services, and Arkansas, the District of Columbia, and Oregon have never changed this position. Many of the States have provided that the commissioners’ expenses should be paid out of the public treasury, but Arkansas, Texas, and the District of Columbia made no specific provision in the law for even this payment. Min nesota alone in its original law provided for one paid member, who was to be the woman member and who was to serve as executive sec retary of the commission. Thus, though most of the members of the commissions administering minimum wage are paid State salaries only California to-day and California and Massachusetts in the past have paid salaries specifically for work on the minimum-wage law. Possible effects of this salary situation can only be indicated. It is impossible to prove how directly this has affected the administra tion of the law in the various States, but it may have had important results. In the original laws which allowed for no salaries (Arkan sas, Colorado, the District of Columbia, Kansas, and Oregon) and in Minnesota, w here the law made provision for paying only one member, the secretary, service on the commissions was voluntary except m the case of the commissioners of labor in Arkansas, Kansas secretary of the minimum-wage commission of Minnesota. The citizens who gave their time to this work did so because they were really interested. They sought not salary but to do a service. When the commissioners who were paid salaries are considered, it is found that with the exception of the Minnesota minimum-wage secretary they were all forced to take on minimumvage duties whether they were interested in minimum wage or not. f hey already had definite duties which they were paid to perform, they received no increase in salaries because of their added mini mum-wage duties. Was there not, then, some excuse for their showmg no particular interest in this new work? It was difficult con troversial, time consuming. If the legislatures had been vitally in terested in this problem, would they not have been willing to pay something for the services rendered, or would they not have given its administration to an exclusive body with time to do the work? Inis is only a question; however, it is a tremendously important one ,n ^ if realized that, of 13 flexible laws, only 3—Arkansas, Dis trict ot Columbia, and Oregon—are administered by unpaid volunataUni®tra«oSnCshoUI™n ““ of ,labor„ Industries considers minimum-wage he does not e?en mint in thijflnitle,Work performed by the associate commissioners that ‘,VS“the lesis,ature increase the c.tJr3in^ the fact that the work of the hoard of conciliation and arbitration ho** createcf in^Dtcemher^iniQ™111^6 dnd in, H-s imP<>i'tonce since the department was remafned1 th? t’hifiwirn d the salT!f .of the Prescnt commissioners have remained tne same, I herewith recommend that consideration lie eiven this matter hereWith SUb“itted- <Th" Commonwealth^ of 42 MINIMUM-WAGE LAWS IN THE UNITED STATES tary bodies, and but one other, California, by an independent group that receives remuneration from the State only for the actual time spent on minimum-wage administration. LENGTH OF TERM OF COMMISSIONS In the law. The legal terms of office of the commissioners are given in the statement following. Laws in which commissioners’ term of office is— 2 years 3 years Arkansas (1921). Colorado (1913). Minnesota (1913). Nebraska. Texas (two members).1 District of Co lumbia. Kansas (1921). California. Massachusetts. Washington (1913). 4 years 5 years 6 years Indeterminate North Dakota. Colorado (1917). Minnesota (1921). Texas (one member).1 Arkansas (1915). Kansas (1915). Oregon. Washington (1921). W isconsin. 1 State officials, who serve as industrial welfare commissioners during their term of office. The legal terms are not particularly significant, since the term of office of individuals has so often been shortened by resignation or lengthened by reappointment. The value of continuity of policy has been recognized by the law in that in most cases the members’ terms end in different years, so that it is not required that two new members ever be appointed the same year. In practice. In actual practice most of the commissions have had one or more members who have served for long terms and whose knowledge gained by experience has been invaluable to the work. The outstand ing example of this is California, where three members, one the woman member, have served since 1913, when the commission was first organized. The following table shows those States that have had one or more members serving for a considerably longer period of time than a single appointed term: Number of commissioners who have served approximately 1— State 5 years Arkansas ___________ _____ ___________ California_____________________ ______ District of Columbia.._______ _________ Massachusetts___ _______ _____ _________ Oregon........................ ......................... .............. Wisconsin_______ _______ _____ _________ 1 Table as of spring of 1927. 6 years 7 years 22 32 3 23 1 11 years 14 years 1 33 4 1 31 8 years 1 31 31 1 1 »2 woman members. " 1 woman member. With the exception of the very long term in Wisconsin and three members in Massachusetts and three in Minnesota who have served six and five years, respectively, all these long terms were on com ORGANIZATION OF ADMINISTERING AND ENFORCING AGENCIES 43 missions primarily interested in administering minimum wage, not on paid commissions administering general labor laws. It would seem that since this office carries little or no remuneration it is not subject to such frequent changes as are those offices which are con sidered political favors, and that if an incumbent is interested enough to stay in the work a long term results. This has meant that these commissions have been able to go forward more steadily than would have been possible if all the members had changed regularly and had had to learn the needs and problems of this complicated legislation. It is significant that California, which has decrees covering the great est number of women, has the commission with the largest number of members serving continuously for the lojigest period of time. Nor does this tendency show in California only. In Massachusetts the number of industries covered bjr decrees was being steadily increased until a commission with an entirely new personnel took over the ad ministration of the law; after that but two decrees in new industries or occupations were issued in the first five years of the present com mission’s administration, and three new decrees in the past two years, though only a small proportion of Massachusetts’s thousands of wage earning women are aided by decrees. In Minnesota the period of ex pansion was during the eight years in which two of its members served long terms on an independent commission. This tendency could be shown much more clearly if the various decrees were con sidered individually and their development under one group or changing groups were analyzed, but it must be noted here as a real factor in determining the kind of organization that seems to have functioned best as far as the advancement of minimum wage is con cerned. It should not be taken as a plea for renewing terms of any commissioner; it is mentioned simply to indicate that the type of man and especially of woman who was willing to serve for many years in these unpaid positions was so interested in the work itself that minimum wage had its real period of growth under such auspices. SUMMARY The theory of the original laws seems to have been that minimum wage would be best administered through the creation of an unpaid but interested and fair-minded special commission, which would ap proximate in its membership the viewpoints of the various groups that were touched most closely by the law, as in the foreign laws on which those in this country were based. No one State phrased its law so as to require the representation of women, the employers, the employees, and the public on its commission, but each of these groups was required by at least one State, and in practice most of the States tried to appoint representatives of all these groups. Now, however, even such requirements as were made in the original laws have been lost, or the emphasis has been shifted, in the amendments. The general State labor bodies which in most States are to-day en forcing the active minimum-wage laws are required to represent labor and capital, but not women. Moreover, since the members of these commissions are paid for full-time service, the question of their positions being used as political appointments seems to have been in the minds of at least some of the State legislatures. On the other hand, the commission members themselves need have no feeling that 44 MINIMUM-WAGE LAWS IN THE UNITED STATES their salaries are dependent on work done for minimum wage, for their salaries were set for the performance of other duties and they were required to take up this additional work. To-day there seems to be no guaranty in many of the laws that the character of the membership required for the bodies administering and enforcing minimum wage will cause the appointment of individuals who are genuinely interested in seeing that minimum-wage laws are so ad ministered that they are successful in their purpose of protecting woman wage earners. EXECUTIVE OFFICERS OF THE COMMISSIONS It is apparent from the foregoing discussion of the personnel, terms of office, etc., of the minimum-wage commissions as set forth in the laws, that the State must provide assistants to carry out the details of the work. The commissions were not expected to attend to the routine of carrying out the law, since no State provided for full time commissioners, but they were to function as a quasi legislative body determining, as their most important duty, the scope and amount of the rates that they established under the law. Some one was needed, who should be paid to devote all his or her time to mini mum wage, to look after the details of administration and enforce ment. Such a position has been specifically provided for in most of the laws. In all the States except Arkansas, Wisconsin, and Minne sota (after the industrial commission wTas authorized to enforce the law) the commissioners were empowered by law to engage full time employees, usually designated as secretaries. A few restric tions on the commission’s choice are found in the laws. Oregon and the District of Columbia provide that the executive secretary must not be a member of the commission. Minnesota, in its original law creating the minimum-wage commission, required just the op posite—that the woman member of the commission serve as its secre tary. No other law restricted the field from which the commission might choose this executive officer. Moreover, in most cases both the salary and the term of office were left to the decision of the com mission. Texas and the District of Columbia set a maximum salary limit—Texas $1,800, the District of Columbia $2,500. Two other State laws set the exact salary the executive officer might receive: Colorado in 1915 set $1,200, but raised it to $1,800 in 1917, and Minne sota in its early law set $1,800. None of the laws required that this officer be appointed under civil-service rules, and Massachusetts spe cifically exempted the position from civil service. There is nothing in ■any law to insure that this ollice will be given to a person who has real knowledge of the problems involved. Moreover, it is evident that the incumbent of this position is not protected in the position by any special legal safeguards, so that, no matter how well founded his or her views might be, any radical disagreement with the commission must be resolved in favor of those officials. Since it has been possible for the secretary to be so completely controlled by the commission, have the duties of this position been of sufficient importance to require that the secretary be anything more than a clerk trained to carry out instructions laid down by the com mission? The laws have not specified the amount nor the importance of the work which should be transferred to the secretary. In practice ORGANIZATION OP ADMINISTERING AND ENFORCING AGENCIES 45 this executive, through her knowledge of the whole situation, has been in a position to influence vitally any work that was undertaken. In the first place, how could this secretary or executive officer affect the administrative development of the law, as distinct from the law’s enforcement after decrees were set? Only the commission has power to make final decisions as to what shall be the form and sub stance of decrees, and so the influence of the executive officer in shaping the very decrees themselves may be overlooked. The execu tive has been on the job continuously. The earlier commissions met only when there was work to be done. When they met, the com missioners gave their full time and attention to the matters on hand, but they gained a great deal of their detailed information from the executive, who was steadily at work in the office. Similarly the members of the industrial commissions, when they turned their atten tion to minimum wage, got their information from the executive in charge of the minimum-wage office. Because minimum-wage legis lation is of an extremely complicated and experimental nature and because it affects the thing most vital to woman wage earners— their pay envelope—thorough knowledge of the economic position of these women workers and of the general economic conditions in the State has been necessary to administer it. This the executive has supplied. In addition to supplying a knowledge of general con ditions, the executive has carried out any special investigations which the commission has felt were necessary. Prior to the commission’s considering the provisions of decrees, investigations of wages, cost of living, numbers of women employed, or kinds of work done by women have been carried out by the executive with or without a staff of assistants. The commission then has based its decisions largely on information collected by its executive officer. The value of this information depends on the caliber of the executive and her assistants. Does she know how to collect the facts in a scientific and impartial manner? Has she the will to collect the facts in such a manner? If she has assistants, are they properly equipped to per form their duties intelligently? Later discussion of the process in volved in setting rates will show that almost every point had to be decided by the commission as a compromise between the conflicting claims of the employers and the employees. In making a compromise, their source of information has been their executive. Their depend ence on the executive officer therefore has been of vital importance in deciding how the law should be administered. An executive with ready access to a sympathetic commission quickly became a prime factor in both administration and enforcement. This, after all, was a desirable-thing, for it meant that the development of the law has been directed by the person best acquainted with conditions under which the law must operate. In the field of enforcement the executive has been even more im portant, for though no one but the commission has power to make linal decisions, the main policies of enforcement are decided when the decrees are formed, so that an executive working along these general lines need bring few problems to the commission. It has been only when new information and changed conditions have caused an executive to desire to inaugurate new policies in enforce ment that the commission has had to be brought in close touch with this field. Of course, the degree of supervision over enforcement 46 MINIMUM-WAGE LAWS IN THE UNITED STATES exercised by the commission has varied greatly from State to State and from time to time within a State, depending on the personnel of the commission, but, on the whole, enforcement has depended on the interest of the executive—qualified, of course, by her equipment in assistants and money—in making inspections. Aside from the fact that the executive officer of a commission needs personally either the education or the training and experience that gives her a thorough knowledge of her field, she needs enough trained assistants to carry out the necessary investigations and in spections. J lie first requisite for this is an adequate appropriation that will allow an executive to employ enough assistants and to pay for assistants with proper training. ” Later in the report a section will be devoted to the size of appropriation in relation to the size of the State and the possible number of women affected by the law. It must be said here, however, that appropriations, on the whole, have been extremely small. The second requisite is the character of employee demanded. Where politics can be kept out of enforcement and out of civil service, so that through careful examinations, im partially given, the applicants who are best equipped to do the work may be assured of appointment, the executive’s hands are enor mously strengthened in collecting accurate information and in en forcing the rates. The importance of people of high caliber in all official positions is a truism, but in the controversial field of minimum wage this is particularly time. In gathering facts for use in deter mining the substance of the decrees, tlie importance of having data the reliability of which can not be questioned has been paramount. In inspecting for compliance, the necessity for tact, knowledge of the field, and honesty on the part of the inspectors has been vital. I or every employer who has come in contact with the commissioners, hundreds have come in contact with the inspectors. The number of employees who have known the commission only through the in spectors has been even greater. The inspectors have borne the brunt of any ill feeling against the law and of any attempt at evasion. In addition they have been engaged in a constant campaign of educa tion as to the requirements of the law so that minor infractions would not occur through ignorance. Therefore the caliber of the inspector— either executive or assistant—who represents the actual point of con tact between the citizen and the State’s control of his activities is of tremendous importance for the success of minimum-wage legislation. To turn to the actual executive officers and their assistants and the circumstances surrounding their tenure of office, Wisconsin alone always has had its minimum-wage executive under State ciyil service. In California, Massachusetts, and Wisconsin the executives’ inspec tion and clerical force all must be chosen from civil-service registers. In Minnesota, since the consolidation which put the enforcement in the hands of the regular woman factory inspectors, the law has been enforced by civil-service appointees, including the executive officer. To determine even roughly how much “being under civil service” has meant is not within the province of this study. It would need a special study of actual examination papers and requirements as to experience to judge whether or not the various State civil-service commissions have issued examinations that really would produce satisfactory minimum-wage assistants. Moreover, to be effective, civil-service administration must be free from politics, in most States ORGANIZATION OP ADMINISTERING AND ENFORCING AGENCIES ' 47 a rule more honored in the breach than in the observance. Civil service undoubtedly does mean longer terms of employment, but it protects every employee who qualifies, both the interested and the uninterested. Even to insist that civil service allow the executive officer to outline the questions and the experience required is not enough. This is only of value if the executive is thoroughly trained and competent. There is, undoubtedly, great need at present for higher civil-service standards and for less political interference with appointments, but civil service is a step well in advance of selectin')' employees solely for political considerations. Probably if every full" time employee, including those executives who are not members of the commission, were under civil service, it would mean a more fully informed and permanent staff, carrying out a continuous policy. " in Ai Kansas and Cal. forma, as well as in Minnesota, the executive officer herself has gained prestige and permanency by being a mem ber of the commission. There would seem to be real Value in havirm the executive officer who carried out enforcement—and who usually influenced administration so markedly—a member of the commission where she would be entitled to equal standing in discussions and to a vote on decisions. Whether or not this executive is a member of the commission, a long term in office would seem to have proved itself a valuable thing. Length of service gives the executive a thorough knowledge of the territory in which she has worked, of its special problems and special prejudices, and it greatly increases her ability to give sound advice to the commission. On the whole, even in tlie States where this office has always been held by a paid employee long terms in office have been the rule. The women keenly interested in the principle of minimum wage have not been confined to members of the commission; many executives have remained art their work for years under all sorts of trying conditions because of a conviction of the necessity for such State control. The following table shows how usual has been the custom of keep ing one executive over a long period of time, often in spite of changes m the personnel of the commission. Table 12.—Number and length of service of executive officers of commissions by State [Executive officers are wemen unless noted to the contrary] State Arkansas................ California............ Colorado_______ District of Columbia-------------- ----Kansas Massachusetts-........ Minnesota-.- _____ North Dakota......... Oregon___________ Washington___ Wisconsin.......... ....... Length of time law has been in effect (years) Number whose length of service was approximatelyNumber of execu ~~r~i r tive offi cers dur I.ess 1 2 3 4 5 6 8 9 years and ing this than year ye.ars years years years years years 1 jear over time 10 12 10 4 32 2 5 10 13 12 6 12 12 12 2 2 3 3 3 . 3 35 2 i1 22 31 1 1 (ll years). 4 1 (10 years). 1 1 21 1 1 82 1 1 41 41 1 1 1 i 2 1 A member of the commission. Still in office, spring of 1927. 2 1 a member of the commission 3 1 a mas. 4 Still in office, spring of 1927. 41 a man; 1 a woman, member of the commission. * 21 1 1 21 41 (10 years). 2i i 41 41 48 MINIMUM-WAGE LAWS IN THE UNITED STATES All the executive officers of these commissions, with the exception of the first secretaries in California and Washington, have been women. Though almost a third of them have served for a year or two, in every place except the District of Columbia (where the law was in operation less than five years) there has been at least one secretary with five or more continuous years in this work. This long term of service has provided the commissions with an authority on minimum-wage problems who has grown increasingly expert with added experience. Unfortunately, however, when the executive officer has been simply an employee, it has not been necessary for the com mission to accept her advice. For this reason the executive officer who has been also a member of the commission has been in a singu larly good position to secure adequate minimum-wage administra tion and enforcement. Not only has she met the other members in argument as an equal and had the right to vote on all matters decided by the commission but her tenure of office has not been dependent upon their good will. The position of the executive officer is now so wholly dependent on the commission that a separate estimate of the office is impossible. The importance of this work would seem to be great enough to re quire that a member of the commission devote full time to the posi tion. If this method of handling the problem is not followed, it would seem that minimum wage might benefit if this position were filled by a civil-service appointee. The first method would insure relatively long terms of office and an authoritative position for the best informed and most responsible person in the scheme of minimumwage administration and enforcement. If this is impossible, civil service would not only go a long way toward insuring an incumbent qualified for the job but should guarantee a relatively long term of service—a desirable thing for the person responsible for carrying out such a complicated law7. It would also give an executive a much firmer position in advancing the opinions formed as a result of prac tical experience. On the original commissions this end could be secured by having a member act as executive officer. Under the industrial commissions? or any other form of consolidation, the secure and authoritative position of the minimum-wage executive officer, though doubly necessary, becomes harder to secure. The duties of the commissioners become so complex and extensive that no one could expect that one of them should serve as the executive officer for carry ing out one small part of their multitudinous duties. In such a situation a carefully selected employee would be preferable to an overburdened commissioner who had no time to do the job carefully. For such an employee, civil-service status would seem to be desirable. CHAPTER IV.—INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE When the commissions were selected and appointed, the first step toward establishing minimum rates was taken, but all the actual work of determining what the amount of the rates should be, accord ing to the procedure outlined in the various laws, remained to be done. In biief, each commission was to investigate the condition of woman wage earners, determine what was a living wage for these women, declare a minimum rate to meet this necessary cost of living, and enforce this rate. These duties could differ from State to State only m their details. The laws contain only rather general directions to the commissions as to what the procedure shall be in following these required steps, but they do contain very full and careful stated ments of the powers granted the commissions in order that the purpose of the law may be carried out. Before any steps toward setting a decree could be taken, the commission had to assure itself of the need of this step. To do this it was necessary to know what the woman wage earners actually were " being paid. POWERS OF INVESTIGATION OUTLINED IN LAWS In every State the law provided that the commissions could at any time initiate an investigation into the actual rates of pay and the earnings of woman wage earners. Moreover, in seven States_ Colorado (1917), the District of Columbia, Massachusetts,1 Nebraska,1 North Dakota, Oregon, and Washington—the legislatures have taken the precaution to specify definitely that the commissions had the power to make special studies of minors’ wages. An investigation of all women and minors or of the minors alone might be started by the commission in any occupation or industry or group of occupations or industries, as the commission chose. Moreover, in some of the States they were required to make such an investigation in any occupation or industry if requested to do so. The kind of request that required action on the part of the commission is shown in the statement following. State Type of request necessary Arkansas___________ __ Colorado (1917) Kansas (1915)__________ ------do________________ Minnesota_____ Wisconsin..................... . . Group to be investigated Piece workers. Women workers. Do. Do. Do. Since the Arkansas provision applies to only one kind of employ ment (piece work), there have really been but. four States where there 1 Special investigations of minors’ wages could be undertaken in an industry or occupa tion only when the majority of the employees were minors. 49 50 MINIMUM-WAGE LAWS IN' THE UNITED STATES was ever any chance of forcing the commission to make a general investigation. Moreover, in 1921 this provision was repealed in Kansas. Responsibility for initiating or failing to initiate wage investigations must rest largely on the commissions in all the States and wholly on the commissions in all States except Colorado, Minne sota, and Wisconsin. Actually Wisconsin has been the only State where this provision of the law has been considered of importance. In 1918 and again in 1920, the Wisconsin Federation of Labor, the Consumers’ League of Wisconsin, and the Central Council of Social Agencies of Mil waukee petitioned the industrial commission to investigate the rela tion between the cost of living and the wages of employed women and to take action to adjust the women’s rates of pay. The only two decrees issued by the industrial commission for “ all industries ” came as a result of these petitions. That they may carry out these investigations the legislatures have delegated to the commissions certain powers that should enable them to collect accurate and representative figures on rates and earnings, occupations of women, and so forth. Though the wording of the laws varies, much the same kind of authority is granted each com mission. Tables 13 to 15, following, show how similar are the commissions’ investigating powers. Table 13.—Powers of commission or its authorized agents relating to the inspec tion of plants, papers, etc., by State State Right of access to pay rolls or any other papers re lating to the em ployment of la Right of Right to make any bor and payment access to investi thereof premises gation To in spect X X Kansas: 1915__________________________________________________ 1921__________ ________________________________________ _________ X X X X X X X X X X X X X To make excerpts X X In Arkansas, Colorado (1913), and Minnesota no specific grant of authority covered these inspection rights. As the next table shows, the Colorado and Minnesota commissions were given the power to demand that certain kinds of information be given the commission, so undoubtedly they were in a position to obtain any needed facts. In Arkansas, however, no powers to aid it in an investigation were granted specifically to the commission. The commission must depend on the general powers of entry, and so forth, granted the commis sioner of labor and statistics, who also was a member of the industrial welfare commission. INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 51 The following table shows lhat most laws added, to the general powers authorizing inspections and investigations, powers roughly equivalent to some of those exercised by a court for requiring the production of relevant information. Table 14.—Powers of commission relating to the bringing before it of relevant information, by State 1 To re quire any ma To subTo ad terial poeha minister submit witnesses oaths ted to be verilied by oath State California........................ .............. Colorado: To com To re To re pel pro quire quire duction statement any and of books, of full all reports papers, time or infor pay rolls, mation wages or other neede i paid records X 1918_______________________ ________ _____ 1917_______________________ X X X X X X X X X X X [district of Columbia............ ...................... Kansas: X 1915_________ 1921_________________________ Massachusetts ............ ....... Minnesota................................................. Nebraska_________ ________ North Dakota_____________ Oregon____________________ _____ _ Texas................ ................................._ . Washington______________ _ X Wisconsin___________________ ________ X X X X X X X X X X X X X X X X X X X X X X X X X X x X x x x X X x 1 Provisions enforced by appeal to the courts in California, Colorado (1913 and 1917), District of Columbia Texas, and Wisconsin. In every State except Arkansas and Nebraska the commissions may subpoena witnesses, administer oaths, and compel the submission of a statement of wages. Nebraska gives its commissions the first two powers but not the third. As a practical aid to carrying out the powers just detailed, the commissions are given the authority to require the various employers to keep records that will show certain facts necessary if a correct report on the condition of woman workers’ rates of pay and earnings is to be made. Table 15.—Powers of commission requiring employers to keep registers show ing certain facts about employees, by State Employee information to be found on register State Name California_______________ ____ Colorado, 1917 District of Columbia _ Kansas, 1915 Minnesota Nebraska North Dakota.._____________ Oregon_____________ _______ _ Texas Washington.................................. Address Age X X X 0) X X X X X X X X X X Occupa tion X X Dates of employ ment Hours W ages X X X X X X X 2 X (1919) X X X X (1914) X X X 1 Items to be decided by the commission. * Commission can not require employer to keep a record of hours for more than a 6-month period. 52 MINIMTJM-WAGE LAWS IN THE UNITE!) STATES The purpose of all these powers is, of course, the collection of such facts as will enable the commission to decide whether the adult women’s earnings or rates are less than “ the necessary cost of liv ing ' and whether the corresponding minors’ earnings or rates are unreasonably low.” It would seem that this would presuppose that the commission had made a study of the cost of living, though with one exception (Colorado) the laws do not, in so many words, re quire such a study. However, if a commission has desired to make a cost-of-living study, no one has ever questioned the fact that its author ization to establish rates based on the cost of living carried with it the power to ascertain that cost. Moreover, certain of the general investigatory powers could be used to cover this work; for example, the right to make any necessary investigation granted in California, Kansas (1921), and Wisconsin; the powers of subpoenaing witnesses and administering oaths granted in all the States but Arkansas; the blanket statement that the commissions are authorized and empow ered to ascertain what wages are inadequate to supply the necessary cost of living, found in the laws of Colorado, District of Columbia, North Dakota. Oregon, and Wisconsin. In spite of the fact that the whole basis of determining what a wage rate shall be is the cost of living, only one law, Colorado (1913), specifically directs the commission to make such a study. This provision of course has had no effect in practice, as the Colorado law has never functioned. The significance of these three tables is not the differences nor omissions in the material tabulated, but the similarity and the broad scope of the powers listed. Moreover, most legislatures have been so afraid that the commissions’ power to require any testimony what soever which was related to women’s wages might be questioned that they have incorporated blanket authorizations in most of the laws. One of the strongest of such authorizations is in Kansas, where, inci dentally, relatively few specific powers are listed. The commission is given, however, “ all incidental powers necessary to carry into effect the provisions of this act.”2 Moreover, these very wide powers are found in the original acts in every State except Massachusetts, hi en in that State the powers of investigation granted in the original act seem to have been adequate in all respects except the ones relating to the keeping of a register. The only change in these powers of the Massachusetts commission was that in 1914 and again in 1919 the legislature made more specific the items that the commission might require on this register, and removed all doubt as to the com mission’s power to require such registers and to inspect them by providing a definite penalty in case the employer refused to comply with the commission’s orders on these points. It is evident that the intent of these laws was to give the commission authority to get at all necessary facts. The foregoing tables, covering the main items, show clearly that the commissions had such power. Injustices in j ates or failure to enforce can not be traced back to a commission’s lack of power to obtain the real facts in the case. “Acts of Kansas. 1920—Extra session. Ch. 29, pp. 35-47. INVESTIGATION OF CONDITIONS PRIOB TO SETTING A WAGE RATE 53 INVESTIGATIONS UNDERTAKEN BY THE COMMISSIONS The first work of practically every commission was to determine what was the position of the woman wage earners. Two things had to be known: (1) What the great numbers of woman wage earners were paid, and (2) how much it cost a woman to support herself in a healthful manner. Soon after organization the various commis sions had their employees collect facts on these points. Often the commissioners themselves took an active part, holding hearings and doing some personal investigation work. Rates and earnings. The commissions in all the States except Arkansas and Nebraska have instituted studies of the actual rates or earnings received by woman wage earners as their first work after the organization of the commission. Even Colorado, which never entered a decree, made an investigation. In most of the States these studies have been state wide and have included some women from practically all the major woman-employing industries and occupations. In Oregon, in addition to the small investigation made by the commission’s agents in 1913, immediately after the law was passed, the commission had available a state-wide study of rates and earn ings made by the consumers’ league prior to the passage of the law. This was done by the person who became the first executive secre tary of the commission, and it served to all intents and purposes as a commission investigation. In almost all the States it was only after wages were known for a supposedly representative group of women employed in the major industries that the commissions de cided whether to call wage boards for separate industries, for all industries, or for selected industries. In the District of Columbia and Massachusetts the commissions did not wait to select a single industry in which to set a decree until they had made a general investigation. Instead they at once chose an industry for investi gation, one where only a small group of women were employed in comparison to the total number of workers. It was possible in Massachusetts thus to limit the field before investigation because the yearly report on manufactures published by the Massachusetts Department of Labor (division of statistics) enabled the commission to determine in what industries women’s wages were most depressed. It has been felt also in Massachusetts that the provision in the law requiring each wage board to consider the financial condition of the industry in setting a wage rate made it incumbent on the commission to choose industrial or occupational units of such size and similarity that the firms’ financial problems would be alike. In the District of Columbia a general study of women’s industrial distribution was made, though rates and earnings were not obtained, before one group was selected for intensive study. To judge the value of these commission investigations it is necessary to know whether the facts obtained could show the actual financial condition of the woman wage earners, whether the methods that were used could produce adequate facts, and whether a representative number of women were investigated. 54 MINIMUM-WAGE LAWS IN THE UNITED STATES In discussing the value of these investigations the first point to be analyzed is the worth of figures on rates and on earnings when a body such as a minimum-wage commission is attempting to get at the actual situation of large numbers of woman wage earners. Some commissions have sought to collect only rates, some only earnings, and some both. In the case of rates there are several important reasons why these should not be used, particularly in manufacturing, as the sole basis for determining whether or not the women working in a given indus try or occupation need to have a minimum-wage rate set for them. In the first place a woman lives on the earnings she receives in her pay envelope, and not on the rate of pay that she would receive if she were able to work exactly her required hours and had no fines or other deductions. In most studies of rates and earnings for an identical group of woman time workers, earnings are less, often con siderably Jess, than rates. Moreover, no study of weekly rates can include the large number of women who work at piece rates and whose earnings are in many cases higher than those of the time worker. These objections to the use of rates apply with much greater force to manufacturing occupations and laundries than to mercan tile, office, or telephone workers. Undertime in the first two indus tries often is due to the management, not to the worker; in the latter group, where undertime is more likely to be for personal reasons, it is much less extensive. Moreover, in the latter group of industries, where workers’ rates are based on the week or half month, there is less tendency for the management to deduct for short losses of time than m the industries where the common method of calculating wages is on an hourly or daily rate. Also the group of mercantile, office^ and telephone workers rarely if ever includes pieceworkers. For all these reasons rates perhaps might be accepted as a dependable enough guide in determining the financial position of woman wage earners in mercantile, telephone, or office occupations, but they can not be relied on to the same extent for manufacturing and laundry workers. If earnings alone are taken there is less danger of getting an incor rect idea than with rates alone, but there is the possibility that if only one pay roll is taken it will give either too high or too low figures, depending on whether the chosen week or half month was a rush or a slack period. Once again this difficulty applies to manu facturing rather than to the other groups of industries. If the pay roll period is selected with care for a time when there is neither widespread undertime nor a conspicuous boom, it is possible that, if a large number of establishments are taken, the irregularities will so balance each other as to give a roughly correct idea of the wage sit uation. This is more probable where all manufacturing is investigated than where just one manufacturing industry, such as paper-box making, is taken, for slack and busy seasons run pretty uniformly through an industry. If it is possible, instead of taking one pay roll pei'iod for each establishment, to get earnings, over a number of weeks so that the women’s earnings can be averaged, the resulting picture will be more nearly accurate, for seasonal fluctuation will be taken note of. The ideal situation, of course, would be to take a INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 55 year’s earnings and find the weekly average, for that really would give a picture of how much the woman had to live on. If earnings are averaged in this way for a large number of women over a con siderable period of time, the resulting figures should be an excellent indication of the status of woman wage earners. If, however, only one pay-roll period is taken, rates as well as earnings should be secured, as the two sets of facts will check any too great exaggeration . in either group. The commission’s first duty, then, was to see that the type of fig ures selected for collection was such as to show the real situation. The following table shows the methods by which the commissions sought to obtain figures and also what studies covered rates or earn ings, or both. The greater number of the studies covered earnings rather than rates, but very few of them took these earnings over a period of time. 60769°—28-----5 Table 16.—Methods used by the commissions in investigations to obtain rates and earnings figures, by State Pay rolls copied by commissions’ employees on official forms One pay-roll period selected by commission Pay-roll period near Selected time coverest the agent’s visit ing a number of pay roll periods 11914 California. 21915 Mercantile................. Garment trades (1 Laundry. year). Manufacturing. Telephone and tele “ 1916 graph. Hotel and restau Laundry (1 month). rant. Period not reported Form provided by commission “1915 U914 Canning.* * 1917 Laundry. “ 1919 January-May: Mercantile. Laundry. Manufacturing. July-September: Mercantile. Laundry. Manufacturing. “1922 Needle trades. Mercantile. Laundry. Manufacturing. 51919 District of Columbia Mercantile. Hotel and restau rant. “1920 Laundry. Manufacturing. Building cleaners. CT> Pay-roll information submitted by employers «1922 Manufacturing. Building cleaners. Form left to em ployer Source not reported Method not reported MINIMUM-WAGE LAWS IN THE UNITED STATES State Ctt *1920 21916 *1916 Kansas_________ ____ Manufacturing. Mercantile. Telephone. Restaurant (1 year). « Massachusetts........... _ Manufacturing. Mercantile. 61913-1927 All investigations. 11914 Minnesota_______ Manufacturing. Mercantile. 21920 All occupations. 21923 All occupations. *1919 North Dakota_______ Telephone. Laundry. Hotel and restau rant. Hospital. Factory. 1 Rates. * Earnings. *1919 Mercantile. Telephone. Laundry. Hotel and restau rant. Hospital. Factory. B Rates and earnings. # Earnings; figures supplied by woman workers interviewed. 57 3 Probably earnings. 4 Covered all pay-roll periods of one season. e 1919 . Mercantile................. Telephone. Laundry. Hotel and restau rant. Hospital, i Factory. INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 6 1922 Manufacturing. Building cleaners. OflE.ce workers. Table 16.—Methods used by the commissions in investigations to obtain rates and earnings figures, by State Pay rolls copied by commissions’ employees on official forms Cn Continued 00 Pay-roll information submitted by employers i One pay-roll period selected by commission Pay-roll period near ing a number of pay est the agent’s visit roll periods Period not reported Form provided by commission Form left to em ployer 2 1921 North Dakota—Con. 2 1921 Office. Mercantile. Hotel and restau rant. Telephone. Laundry. Factory. Office workers. Mercantile. Hotel and restau rant. Telephone. Laundry. Factory. 1912 71913 Factory. Mercantile. Laundry. Office. Hotel and restau rant. Telephone. 21912 Mercantile. Manufacturing. Laundry. Restaurant. Telephone and tele graph. 2 Mercantile. Laundry. Office. Hotel and restau rant. Telephone. * 1914 « Source not reported Method not reported Mercantile. Laundry. 21918 Mercantile. Manufacturing. 81914 *1914 Hotel and restaurant. Office workers. Hotel and restaurant. Office workers. * 1920 Hotel and restau rant. 2 1914 Telephone. 21920 Laundry. MINIMUM-WAGE LAWS IN THE UNITED STATES State Manufacturing. 81913 Wisconsin..................... 1 Kates. 2 Earnings. 8 Probably earnings. 6 Earnings ; figures supplied by woman workers interviewed. I j;ro?a“y earnings ; Consumers’ League investigation ; figures supplied by woman workers interviewed. * Probably earnings; figures supplied by woman workers interviewed. % t 31918 All industries. 59 11921 INVESTIGATION OP CONDITIONS PRIOR TO SETTING A WAGE RATE Laundry, etc. Office workers. Hotel and restau rant. 60 MINIMUM-WAGE LAWS IN THE UNITED STATES There are but two sources for collecting wage figures: The pay rolls of the firms and interviews with the women. In an interview a woman may misrepresent her earning capacity, and with most wage earners it is impossible to get their earnings over a period of time; furthermore, one can not be sure whether they give their rate or their earnings for a given pay-roll period. Since these facts are down in black and white on any well-kept pay roll it would seem that there could be no question as to which method should be fol lowed. Nevertheless, North Dakota, Oregon, Washington, and Wisconsin at various times have collected wage figures by interview ing or distributing questionnaires among large numbers of woman workers. Moreover, these States seem to have tried to collect data on weekly earnings by this method. In most of these cases the interviews seem to have supplemented the use of pay-roll records, but in Wisconsin (1913) no definite mention is made of collecting figures from any other source than from the women themselves. In obtaining pay-roll data the method of having firms send in their records has been a common practice. By thus saving the time of an agent in copying it is possible to handle an enormously increased number of pay rolls. If a form is sent to the firm and both rates and earnings are requested it is probable that the resulting figures are a good indication of wage levels. Of course there is always the danger that figures on rates and earnings will be con fused, but this method probably would work better after being used for a number of years, so that the management had become used to filling out the forms and understood thoroughly what was required, than when the first investigation is made. The best method is to have the commissions’ agents take a trans script of the actual pay roll. This is such an expensive and slow procedure that many commissions, because of small appropriations and few employees, and the consequent inability to cover enough women by this method, have not even considered its use. The com missions in Massachusetts and the District of Columbia are the only two that have used this method in all investigations. In the District, however, the figures thus gained were supplemented in some indus tries by forms sent out by mail and filled in by the employers. California, Kansas, North Dakota, and Oregon have collected some figures through agents’ transcripts of pay rolls but have not been able to use this method exclusively. Only in Massachusetts have all the investigation figures on both rates and earnings been collected in this way, the earnings being based, in addition, on the transcripts of a number of continuous pay rolls. It is probable that in those States where figures were collected by interviewing the women the agents could have obtained more accurate wage material by copying pay rolls. The various ways in which commissions have gathered figures show that one great need of all these groups was a greater knowledge of the means of securing the necessary information. They all made in vestigations and, as a later table shows, they covered an appreciable number of women in practically all these studies, but their methods INVESTIGATION' OP CONDITIONS PRIOR TO SETTING A WAGE RATE 61 of securing rates and earnings, and the fact that they sometimes do not distinguish between rates and earnings, considerably lessen the value of their figures. The term “ wages ” is used constantly in these surveys, and in some States, notablv North Dakota and Wash ington, the wage tables are compiled from material collected in formally by agents from pay rolls, from personal interviews with woman wage earners, and from material sent in by employers. This miscellaneous mass of figures is treated as comparable and thrown together in one table. Even in the States where all the figures came from reports by employers there is always the danger that the tables represent a mixture of rates and earnings. That the commissions have failed to make more satisfactory in vestigations is traceable to one main factor—lack of money. All the appropriations have been extremely small in the light of the magni tude of the task. It is probable, too, that there was a certain feeling in most of the States that a meticulous investigation was unnecessary prior to the establishment of the first wage decree in an industry. After decrees were set the commissions based decisions largely on the relation of the fixed minimum to the changing cost of living. People in general had the idea that women’s wages were too low. Studies such as the survey of woman and child wage earners made by the United States Bureau of Tabor, 1907 to 1909, and various studies made by State and private organizations in the decade imme diately preceding this period of minimum-wage legislation, had shown thousands of cases of unbelievably low" wages. The com missions investigated to confirm these figures, not to produce a new body of scientific wage material. As a corollary of this feeling of the great need of getting a minimum-wage rate set for the woman workers, was the desire on the part of the commissions to include all industries. Appropriations which might have covered one small in dustry thoroughly were stretched to cover all outstanding groups. At this point it is well to note that this speed was applied only to making investigations. Due to a variety of causes, although every State made an investigation within a few months after the time the law was passed, it was vears before some of the decrees were set. While lack of money, haste, and a desire to cover a great deal of ground all combined at different times to lower the standard of these investigations when judged solely as scientific studies of rates and earnings, it does not seem fair to contend that these faults destroyed the value of the studies as a basis for determining when to set a minimum-wage rate. All that the various laws stipulated was that a considerable number of women and minors be found with such low wages that it was necessary to provide higher rates for them if they were to earn the necessary cost of living. The commissions had no difficulty in discovering large numbers of such women. As this report shows, the commissions did include many thousands of women in these investigations. The next table attempts for each State to tie up with the total number of women employed in the industries or occupations studied the number that were included in the commis sion’s investigations. Some such comparison is necessary if it is to be 62 MINIMUM-WAGE LAWS IN THE UNITED STATES judged whether or not the commission has carried out the law’s directions to ascertain, before undertaking to set a decree, that women were being paid such low wages as to endanger their health and welfare. If the investigations did not cover at least a repre sentative number of women, the resulting figures on rates and earn ings surely could not be taken as proving that a decree was or was not needed. At the outset anyone trying to compare figures from the United States Bureau of the Census (the only source for ascertaining the number of gainfully occupied women in all the various States) with figures collected by these State commissions is confronted with a different grouping of figures that makes it difficult to separate from both sources the figures for women doing the same kind of work. The United States census groups the women by their occupation, e. g., weaving. The commissions usually have studied industries, e. g., the cotton textile industry, and the women employed therein. A brief consideration of the problem of obtaining the number of women em ployed as cooks and waitresses will illustrate the difficulty of getting comparable figures. A commission will study the hotel and restaurant industry and give figures for all the employees, including the cooks and waitresses but not considering them as separate groups. The nearest approach to a figure from the census which can be compared with this industry group is the number of women listed as cooks, waitresses, chambermaids, and the like. However, the census does not indicate whether a cook works in a private home or in a hotel or restaurant. Undoubtedly most of the women who reported that they were cooks worked in private homes, and for this reason the number employed in hotels and restaurants is not obtainable, and cooks have been omitted from the hotel and restaurant figures compiled from the census report. Probably the vast majority of waitresses and chambermaids do work in hotels and restaurants, so these have been included in the hotel and restaurant group. Bell hops, housekeepers, stewards, and other minor groups also have been included where it seemed true that the great majority of fhe women so classified actually did work in hotels and restaurants. In this way a figurejias been arrived at that shows, as nearly as is possible, the number of women whom the census reports as in the hotel and restaurant industry. In Appendix D of this report a careful list of the occupations included under each indus try is given State by State. The hotel and restaurant industry, used as an illustration, is the group that is hardest to compare with the census, but it can not be emphasized too strongly that the census figures used in the table which follows are in all cases an approxima tion. In most cases they are somewhat of an underestimate, since groups have been omitted when there was doubt as to the advisability of including them. In the States where the law covers male and female minors the census figures always are an underestimate, be cause it is impossible to obtain from the census of occupations figures on the number of male minors in specific industries or occupations. In Massachusetts the decree groupings are so specialized (e. g., men’s clothing, women’s clothing, men’s furnishings, etc.) that figures INVESTIGATION OP CONDITIONS PRIOR TO SETTING A WAGE RATE 63 can not be obtained from the Federal census of occupations to com pare with most of the classifications. Instead, the statistics of manu factures published by the Massachusetts Department of Labor and industries (division \pf statistics) are used, since most of these reports gioup the industries in the same way as do the decrees, and these figures supposedly cover all factory employees in the State. i he table following gathers together all available information on the number of women employed and the number of women investi gated in the different industries in the minimum-wage States: 05 Table 17.—Investigations of women’s wages made by commissions before establishing rates, by State and year of Industry or occupation investigated Industry or occupation covered by minimumwage decree Estab Estab lishments Women lishments Women California: 1914... 1915. 1916. 1917. Mercantile..______________ Laundry and dry cleaning -.. Manufacturing......................... Telephone..............-................ Telegraph.............. ................. Hotel and restaurant_______ Eruit canning........................... Garments—........ -...............— Fruit and vegetable canning. Laundry............................ ....... Fruit and vegetable canning Laundry and dry cleaning - _ Mercantile............................— 1918. 1919January-May.. Mercantile4......... ................. Laundry and dry cleaning 4. Manufacturing 4--------------July-September. Mercantile 4_____ ____ ____ Laundry and dry cleaning * Manufacturing........................ 20,022 Fruit and vegetable canning 8__ Laundry and dry cleaning »___ Mercantile 8____ _____ _______ Fruit and vegetable canning. Fish canning____________ ____ Fruit and vegetable canning__ Fruit and vegetable packing ... General and professional offices. Unskilled and unclassified____ Manufacturing 8_____________ Mercantile----------------- ---------Laundry and dry cleaning____ Manufacturing_______________ Fruit and vegetable canning— Fish canning...... ............................. Fruit and vegetable packing___ General and professional offices.. Unskilled and unclassified_____ Hotel and restaurant8.................. 6,517 27,136 8, 238 784 17,839 (3) 7,035 29, 833 6,066 29, 833 6, 517 20,022 192 96 141 (2) (2) (2) (2) 131 62 84 101 270 (2) 12,166 4,492 4,037 4,180 386 (2) (2) 2,914 (2) 4,328 19,861 7,184 14' 946 1,336 0 (>) 1,606 0 0 21,627 7, 919 13,502 23,088 8, 622 18, 921 0 0 0 0 0 0 0 0 0 29, 833 1,938 29, 833 2,062 67,031 9,149 27,136 20,022 6,517 27,136 20,022 6,517 27,136 29,833 1,938 2,062 67,031 9,149 17, 839 7,315 481 674 9,219 568 917 7,983 13,302 1 _ _ MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of in vestigation (when no investigation was made, date of decree) Greatest number establishments and Total number of es of women appear tablishments and ing in rates or earn Estimated number of of women reported ings tables reported by commission commission women em byinvestigated when total number as ployed in investigated is industry or not reported occupation in 1920 1 Unclassified................................................................... 1921........................... . 1922............................. 1923............................. Colorado:6 1914............................ Laundry................................ ....................................... District of Columbia: 1919............................ Hotel and restaurant........ ................ ........................ 1920............................. 20,022 1 6, 517 27,136 29,833 1,938 2,062 67,031 9,149 17,839 2,876 29,833 (3) 20, 022 6.517 27,136 29,833 20,022 1,938 6.517 2,062 9,149 27,136 17, 839 1,918 4,140 371 2, 302 1,274 1,770 2,314 3, 647 3,339 1,248 1,913 1,929 3, 339 11 .................. I................... _________ 1 (>) a o m n « 8 13 102 107 1 (2) (2) (2) (2) 720 50 109 193 33 55 37 745 4,609 2,209 1,190 533 604 ________ 2, 539 591 (*) 31,159 9,131 18,867 9 54 45 1,543 133 1,131 717 65 1 Hotel and restaurant and allied industries 7........ *The figures in this column were obtained as follows: Fruit and vegetable canning and fish canning in California—from U. S. Census of Manufactures, 1920, v. 9, pp. 112, 118. All groups in Massachusetts except laundries, retail stores, building cleaners, and public housekeeping (hotels and restaurants)—from Report of Manufactures, 1920, issued by the Massachusetts Department of Labor and Industries, division of statistics. Laundries, retail stores, building cleaners, and public housekeeping (hotels and restaurants) in Massachusetts, all groups in California except fruit and vegetable canning and fish canning, and all groups in the remaining States—from U. S. Census of Occupations, 1920, v. 4. See Appendix D. 1 Not reported. • Not obtainable. 4 All investigations thus marked followed a decree. In most cases they were inspections for the established decree, but they were near enough the date of the new decree to serve as information when the new wage rate was determined. • First decree following general investigation of 1914. • No decrees ever issued. 1 Investigation made in previous year. INVESTIGATION OP CONDITIONS PRIOR TO SETTING A WAGE RATE 1920............................. Table 17.—Investigations of women's wages made by commissions before establishing rates, by State and year—Continued Industry or occupation investigated Industry or occupation covered by minimumwage decree • Greatest number of establishments and Total number of es of women appear Estimated tablishments and ing in rates or earn number of of women reported ings tables reported women em by commission by commission ployed in as investigated when total number industry or investigated is occupation not reported in 1920 Estab Estab lishments Women lishments Women District of Columbia— Continued. 1921............................. 1, 248 3,647 1,913 1,929 (3) 1922............................. Kansas: 1916............................. 6, 582 8,634 1,424 8,634 1,424 3,519 6,582 6, 582 8,634 1,424 3,519 3,734 (a) 8,634 1.424 6,582 1918........................... . 1919............................. 1920......................... 1922.......... .................. Massachusetts: 1913.............. .............. Brushes ........... ........................... . 1914.......................... Brushes 10................ 1915............................. Cotton textiles........................................................... .......... . ............. 742 1,628 7,491 3,784 20,537 742 3,448 5.424 54,939 30 24 193 338 329 2,108 (2) (2) 900 (2) 0 (*) 77 132 54 27 0 837 2,388 (2) 24 36 m 2,198 2,095 505 32 8 14 36 26 0 2,649 2, 264 932 938 80 0 3,326 2,961 9,465 8 (>) 0 2,178 1,961 9,190 MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of in vestigation (when no investigation was made, date of decree) 05 (3) (») 27 4,219 100 2,318 3, 784 2,748 40 3, 218 Men’s furnishings_____________ 1016 (2) (3) 51 36 Muslin underwear____________ ! Hotel and restaurant-................... 265 9,408 24,436 Millinery—wholesale and retail. 421,619 190 2,404 Retail store 11.............. 20,537 86 52,907 1917 Cotton textiles________________ 54, 939 Building cleaners............................ 201 1,763 1,718 5', 424 Women’s clothing (3) Restaurant (supplementary)...... ......... 70 1,624 1918. Wholesale millinery 8. Wholesale millinery (supplementary) 1,619 7 108 Canning and preserving....................... 435 976 22 7,491 7 Candy........................................................ 1,675 Men’s clothing and raincoats 43. 4,219 Men’s furnishings 8..................... 2,748 (3) Muslin underwear 8__________ Retail millinery 8....... ................. (3) Canning and preserving (supplementary) 435 (2) 20 21 1919. Paper boxes.__________ ______________ 3, 448 1,301 16 Corsets.................. ............................................ 1, 628 1, 623 10 Knit goods__________ ______ ____ _____ _ (2) 8, 826 8 344 (3) (2) Loom harness........................................ ........... 4 Minor lines of confectionery...... .................. 555 42 861 Men’s clothing 4_____ ______ ___________ 4, 219 m « 23 Office and other building cleaners 14 1, 718 Druggists’ preparations_____ 1,486 51 2,180 1920. Women’s clothing. Women's clothing 4_________ 5,424 (2) 22 16 Stationery goods----------------3, 268 2, 279 26 Office and building cleaners 4. 1,718 207 1,353 Candy 15......... ...................... 7,491 Canning and preserving 18 435 Corsets 17____ ___________ 1,628 Men’s clothing 18................. 4,219 Knit goods 49_.......... ............ 8,826 Paper boxes 19_..................... 3,448 11 Investigation made in 1914. * Not reported. 12 Underestimate; figure for wholesale only, retail not obtainable. 3 Not obtainable. 13 Investigation made in 1915. 4 All investigations thus marked followed a decree. In most cases they were inspections 44 Investigation made in 1917. for the established decree, but they were near enough the date of the new decree to serve 15 Investigations made in 1913 and 1918. as information when the new wage rate was determined. 18 Investigation made in 1918. 7 Investigation made in previous year. 47 Investigations made in 1913 and 1919. 6 Investigation made in 1916. 48 Investigation made in 1919. Investigation made in 1920. 49 Investigations made in 1915 and 1919. 10 Investigation made in 1913. 3,460 Laundry n.. 2,481 345 344 139 464 232 67 Hosiery and knit goods. Men's clothing----------- INVESTIGATION OP CONDITIONS PRIOR TO SETTING A WAGE RATE 1 Table 17.—Investigations of women’s wages made by commissions before establishing rates, by State and year—Continued Industry or occupation investigated Industry or occupation covered by minimumwage decree Estab Estab lishments Women lishments Women Massachusetts—Contd. 1921 _ ................... . 26,911 (3) 3,448 1,718 243 (3) 3,784 5,924 2,748 20, 537 3,448 2,748 3,651 2,297 742 1922............................. 1923........................... 1924........................ Canning and preserving and minor lines of con fectionery.......................... ....................................... Millinery— Canning and preserving and minor confection- 1926............................. 44 21 0 2,653 1, 295 0 990 1925............................. 1927............................. 0 (>) Toys and games.................... ...................................... « 0 41 435 1, 619 (3) 1,366 1,486 7,491 (>) 0 0 0 48 83 15 1,078 407 837 678 12 1,619 2, 297 3,268 7,491 3,651 1,366 0 25 MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of in vestigation (when no investigation was made, date of decree) Greatest number of establishments and Total number of es of women appear Estimated tablishments and ing in rates or earn number of of women reported ings tables reported by commission women em by commission as investigated when total number ployed in investigated is industry or not reported occupation in 1920 Mercantile............................................................ ......... 1918............................. 1919............................. 1920 ............................ All4.............................................................................. . 1921............................. North Dakota: 1919............................. Mercantile...................................................................... Telephone............................................. ...................... Laundry.................................................................. . Hotel and restaurant.................................................. Hospital_________________ ______________ Manufacturing........................................................... Office.............................................................................. 1920............................. Telephone and telegraph........................................... Laundry and dry cleaning Lunch work, restaurant and hotel.......................... Office...................................................... Waitress............................................... ....................... Hairdressing (experienced workers) Any (learners and apprentices). Included under “experienced”_______________ ____ ________ Any other (experienced workers not covered in 1914)............................................................__............ 17,678 5,120 1,979 7,172 10,324 37,472 4,330 521 (>) m 1,485 86,081 86,081 86,081 (’) 8,377 550 24, 531 w 1,896 127 754 27 © 213 18 2,658 125 (*> (2 3) 10 (*) 498 5 « (2) 3,217 w 2,687 Personal service 18........................................................ 309 Office__________ _______________________ ____ 3, 217 Manufacturing 18 498 Laundry 18.......................... .......................................... 213 (3) Mercantile 18................................ ................................ 1, 896 Telephone18. ...... ............ ..................................... 754 1921............................. 498 O) 47 (!) Mercantile 4_.................................... ........................... 1,896 171 (>> Laundry 4_....................... ............... ......................... (!) « 213 94 Hotel and restaurant4.................................... .......... 2,658 (!) » 124 Office 4-_.......................................... ............... ........... 3,180 (!) (!> 45 Telephone 4............................................. ............. ....... 754 (!) 113 1922............................. 2,687 Manufacturing 22...................... .......^ 498 Mercantile 22..................... ........................................... 1,896 Laundry 22...................................................................... 213 Telephone22. ............................................................. 754 ■ . 2 Not reported. 12 Underestimate; figure for wholesale only, retail not obtainable. 3 Not obtainable. 18 Investigation made in 1919. 4 All investigations thus marked followed a decree. In most cases they were inspections 20 Investigation made in 1924. for the established decree, but they were near enough the date of the new decree to serve 21 Investigation made in 1923. as information when the new wage rate was determined. 22 Investigation made in 1921. 9 Investigation made in 1920. c) i m 69 5,940 INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE Minnesota: 1914............................ M anufacturing........ ....................................... . Table 17.—Investigations of women’s wages made by commissions before establishing rates, by State and year—Continued Industry or occupation investigated Industry or occupation covered by minimumwage decree Greatest number of establishments and Total number of es of women appear Estimated tablishments and ing in rates or earn number of of women reported ings tables reported by commission women em by commission as investigated when total number ployed in investigated is industry or not reported occupation in 1920 Estab Estab lishments Women lishments W omen Oregon: 1912 «......................... 1913_........................... 1914_ ................... . 1916....................... Factory......................................................................... Printing. ________ _____ _______ ______ Hotel and restaurant.................................................. Office____________ ______ ______ _____ ___ _ Telephone....... ......................... .................................. . ...... All (adults)—except those covered by 1913 decrees. Office 1917_......................... . 1918............................ Laundry ___________________________ _____ _ Public housekeeping ............................................... All (minors)....... ........................................................... 4,791 5, 363 1,121 249 4,147 10,863 1, 839 <*> 3, 320 3, 322 7,171 14,868 5, 363 4,791 309 1,121 2,070 10,863 4, 633 (24) 461 5,363 4,791 309 1,121 2,070 10,863 4,633 (24) © © © © © © © 1,306 2,281 259 213 363 1,785 570 © © © 0 0 © © t 1 i j • 1 i :::::::: ................. ..................i.................. ... MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of in vestigation (when no investigation was made, date of decree) “4 O Telephone and telegraph 5,363 ................-|------------..................r:..::.... 4,791 i 3C9 ..................1........... | 1,121 2.070 10, 863 4,633 (24) 461 84, 378 84, 378 0 All22 7, 613 9, 715 2,115 2,981 19, 727 7,715 9, 715 7, 613 2,115 3, 327 19, 727 4,041 2,981 (3) 52,441 8, 586 7, 613 2,191 8,586 8,586 2,115 3, 327 9, 715 (*> Manufacturing_______________ Personal service________ ... 60769 . 1922._____________ Texas: 1919............................. All__________ ________ _______ _______________ 1921............................. Washington: 1913-......................... Factory........ ..............________ _________________ Mercantile_______ _______ ____ _ Oi Laundry..____ ___________ __________ _______ 1914..____________ Office____ ________ ____ _ .. Hotel and restaurant ____________ ___________ Manufacturing 10_ ........ ............................... Telephone and telegraph (adults)10________ Office 1915............................ 1917_....................... __ 1918.......... ................. 1919 1920. .......................... All industries or occupations listed above (minors). Laundry and dye works 4___ __________ 1921........................... . 1922— Any occupation other than public housekeeping (minors). Any occupation other than public housekeeping (minors). 1 Not reported. . 3 Not obtainable. 4 All investigations thus marked followed a decree. In most cases they were inspections for the established decree, but they were near enough the date of the new decree to serve as information when the newr wage rate was determined. 10 Investigation made in 1913. 18 Investigation made in 1919. 0 (!> « 0 « 87 0 0 0 . 0 0 0 0 0 0 3, 011 5,323 2,304 1,884 (2) (2) 0 830 991 739 0 0 7,613 (*) 22 Investigation made in 1921. 23 Consumers’ league study; commission made small supplementary study about June and July, 1913, for which no figures are available. It covered fruit canning in ad dition to the groups included in the 1912 study. 24 Not separable from adult figures. 28 Investigations made in 1912 and 1913. > 71 0 0 0 0 0 0 0 0 0 16,316 INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 1919._____________ _______ ______ _____________________ Table 17.—Investigations of women’s wages made by commissions before establishing rates, by State and year—Continued Industry or occupation investigated Industry or occupation covered by minimumwage decree * Estab Estab lishments Women lishments Women Wisconsin: 1913............................ au................................................................................... 1917________ ____ 1918. ....................... . All.................................................................................... 1919__....................... . 1920-__....................... 1921 — ...................... . All 4___________ ______________ ________ _____ 1922.................. .......... 1923. _____ ______ 1924............................ 1925.......... ............ 1926_________ 1927....................... All—........ ............................................. ...................... All.......... —......... 101,800 P) 101,800 P) P) 4,326 P) 101, 800 P) P) P) 402 P) 101, 800 P) P) P) P) P) P) <*> P) P) P) P) P) 448 23,127 p) p> p) p) p> p) p) p) p> p> p) p> (2) 516 32,689 1,161 p) * Not reported. 8 Not obtainable. 4 All investigations thus marked followed a decree. In most cases they were inspections for the established decree, but they were near enough the date of the new decree to serve as information when the new wage rate was determined. lfi Investigations made in 1913 and 1918. *8 Investigation made in 1919. MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of in vestigation (when no investigation was made, date of decree) Greatest number of establishments and Total number of es of women appear Estimated tablishments and ing in rates or earn number of of women reported ings tables reported by commission women em by commission as investigated when total number ployed in investigated is industry or not reported occupation in 1920 INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 73 The first general point brought out by this table is the care with which the commissions have made some sort of an investigation of rates and earnings before setting minimum-wage rates. Except the office decree in North Dakota, the first decree in every industry or occupation, in every State, followed an investigation. Even in North Dakota records for a few office workers’ wages were obtained from those who did clerical work in manufacturing and mercantile establishments. It is much more difficult to judge whether the investigations were extensive enough to give a true idea of the wage condition of woman workers prior to the establishment of a decree. As was pointed out, the figures taken from the Federal census are only approximate. Nevertheless, the number of women investigated usually runs so large in the light of the number of women in the whole industry that even if the census figures are an underestimate it is still possible to say that the commissions, in almost all cases, made adequate studies. Only in North Dakota, of the States for which figures are reported, do the investigations cover such a small number of women that their value is questionable. For 1919 the records do not show how many women were investigated, but the number of establish ments may give representative groups, when it is considered what a relatively small population lives in North Dakota. Moreover, as in all other States, every main industrial group was covered. For 1921, however, the figures are given and seem very inadequate, but it must be pointed out that this was an investigation after a decree had been set, though, due to an injunction, no rates actually were in effect. This investigation may have been considered simply as supplement ing that of 1919. When investigations before changing or renewing a decree are considered, the situation is very different. In seven States—Cali fornia, Kansas, Massachusetts, Minnesota, North Dakota, Washing ton, and Wisconsin—after a decree was entered for the first time in an industry, special figures on rates and earnings were collected by the commissions. These figures therefore were available before this decree was amended or a new one was issued. Such data in most cases have been collected occasionally, rather than regularly. They serve primarily, of course, as a test to show whether or not the rate set really was being paid, and in consequence they are inspection figures rather than an investigation looking toward altering an exist ing rate. The collection of this considerable body of material at one time is, however, quite different from ordinary inspection for non compliance. Moreover, the figures put into the hands of the com mission evidence not only of whether employers are complying with the order but of how the wage rate is working. It is always possible for earnings to fall below rates to such a degree that the rate must be increased before earnings can cover the cost of living. Earnings may run ahead of the rate in one industry and fall behind in another. Kate tables may show that the minimum-wage rate is lag ging behind even the figure most commonly used as an entrance rate in a given industry. With all these points in mind, it would seem that each commission or its wage board would need figures on cur rent rates and earnings when a decree is to be amended. In most 74 MINIMUM-WAGE LAWS IN THE UNITED STATES States these figures are not considered so necessary that a special study is made to obtain them. The rate already established is con sidered in relation to changes in the cost of living since it was put into effect, and is raised or lowered by this scale. It is of special note, therefore, that for at least some of their amended decrees these seven States had available actual rates and earnings figures. Besides the investigations that either preceded original decrees or were available when decrees were amended a few investigations were made in industries for which no decree ever has been issued. California made two such investigations—in the telephone and tele graph industry and in the garment trades. The second group was covered in the general manufacturing order issued in 1919, but tele phone and telegraph workers remain the only considerable group of wage earners in California, except domestics, who have never been included in a mimimum-wage decree. In the District of Columbia the Supreme Court decision declaring the minimum-wage law uncon stitutional was made before any action had been taken on the investi gations in manufacturing and the office-cleaning occupations. In clerical occupations the rates disclosed by the investigation were so high that the commission decided that action on its part was unneces sary. In Massachusetts the failure to follow with decrees the investi gations in the cotton-textile industry and the hotel and restaurant industry is of great interest, since both of these industries employed large numbers of women and in every year studied showed very low rates and earnings. (The manufacture of cotton textiles employed 54,939 women and hotels and restaurants employed 24,43G women in 1920. Median rates in cotton textiles were $6.35 in 1915 and $8.90 in 1917. In hotels and restaurants median rates, not including lodg ing nor any meals, ran under $5 in 1916, $7.20 in 1918, and $7.60 in 1921. Earnings in both these industries were lower than rates.) The reasons for inaction in these instances are somewhat complicated. In both industries some branches were much better paid than were others, so that the question arose how to select the groups which, according to law, were eligible for minimum-wage awards. Also the commis sion felt that the general rise in women’s rates which was going on through most of the period in which the investigations were made, was advancing the rates in these industries as rapidly as, if not more rapidly than, the cost of living increased, so there was a difference of opinion as to whether action by the commission was necessary. Before these points were definitely settled—in fact, a second check-up of the wage situation in the cotton-textile industry had been started—the consolidation act brought about a complete change in the personnel of the commission. No further action was taken with respect to cotton textiles, and, though another investigation was made in 1921, no wage board ever was organized for hotels and restaurants. Each group, then, that starts to set a wage decree must learn two fundamental things: What are women now receiving? What does it cost to live, frugally but decently? If it is a matter of amending an old decree, the group should know how the cost of living has changed since the rate was set. It should know whether or not the rate truly represented the costof living when it was set, and it should have rates and earnings figures to show how the rate affected the INVESTIGATION' OP CONDITIONS PRIOR TO SETTING A WAGE RATE 75 practical situation. All these data should be furnished by the imthe commission. All these facts the commissions have tried of supply, Cost to living. At the same time that the commissions investigated the wages of women, in many cases they studied their cost of living. The two most common methods of conducting a cost-of-living study were these: (1) To obtain from the employed women information concern ing what they actually spent, and (2) to have the commission’s in vestigators price actual articles and build up a theoretical minimum budget. Often the second method included the first, for the inves tigators would seek budgets from employers, the public, and the working women, on what was actually spent or on what was con sidered necessary, in order that their theoretical budget might repre sent truly the needs of the workers. Nevertheless, anyone wishing to differ from a budget, secured by either method, could find so many flaws in these studies that the main point of dispute in all minimumwage conferences has been what a working woman actually must pay in order to secure the necessaries of life. The question of what is a proper budget for a working woman can only be touched upon in this report. A discussion of this subject would comprise a study in itself. The main controversial points must be mentioned, however, to realize the difficulties that beset a commission or wage board in determining a cost-of-living minimum. One thing that seems to have been agreed on in all minimum-wage work is that a worker should receive enough money to support herself when living independently of her family. No allowance is to be made, on the one hand, for the fact that she may support others, nor on the other hand for the fact that she may receive assistance from her family. Even this agreement has been reached and main tained only by a determined effort. Employer groups in all the States have persistently urged that the majority of their workers live at home and that family economies reduce their cost of living far below that estimated for the independent woman. Employees and the public usually have stood together in answering that the family should not be required to make up part of the working woman’s expenses, and budgets have been made on the basis of inde pendent self-support. Nevertheless rates often have been set below the reported cost of living. It seems probable that constant repeti tion of the phrase “economies of family life” has influenced these determinations, even when official statements maintain that all work ers should be self-supporting. In making cost-of-living studies, how ever, the commissions have applied the theory of self-support. If this theory is applied, the budgets collected by the first method— actual expenses of working women—at once become questionable. It is hardly possible to find any considerable group of working women who live independently and neither give nor receive financial aid. Moreover, what one woman succeeds in living on can not be accepted as a criterion for thousands. For example, it is only when large numbers of women report approximately the same figure as the cogt of room and board that such a sum can be accepted as 76 MINIMUM-WAGE LAWS IN THE UNITED STATES a standard for all working women. Furthermore, what these women spend is determined by what they earn. They may be self-support ing only because they deny themselves proper food, clothing, or shelter. Moreover, the wage earner who knows just how much of each week’s earnings goes for the many items of living cost is a rara avis. Therefore, on the ground of the insufficient number of women who meet the condition of independent self-support, the fact that even these workers are not necessarily living in a health ful manner, and the question of whether or not it is possible to get accurate reports from so depressed a group, anyone who dis agrees with the figures obtained by this method hafs little difficulty in casting doubt on their value or even in thoroughly discrediting them. The budget that results from first-hand investigations and inter views with persons cognizant of living costs, though conducted by the impartial agents of the commission, i,s open to one fundamental attack. It is theoretical. No woman can be pointed out who wears just the articles of clothing priced and listed. Everyone knows, for example, that some people are harder on shoes than are others, but the theoretical budget can not take any individual variations into account. Particularly as far as clothing and incidental expenses are concerned, there may be a,s many opinions of what are necessaries as there are people consulted. No one can prove his point. More over, the claim can always be advanced that the territory covered in obtaining the figures was not inclusive enough, or was badly selected and did not represent places frequented by wage earners. In spite of all this the commissions have in most ca,ses felt the necessity of making out a theoretical budget. It served as a means of telling when wages were too low for healthful living and what sum should be established as a wage rate. To try to meet the objection of the budget’s impracticability the agents usually have obtained detailed estimates of the necessities of living from em ployers, employees, and representative citizens, and have selected for their budget the items appearing on the majority of these esti mates. They have then obtained the prices of these items by personal visits. In some cases the prices themselves in the budgets submitted have been modified in the light of budgets of actual expenditures. The following table show.s the care with which the various com missions, in most cases, have made the cost-of-living studies. By commission or its agents State and year Study by agents in given locality California:1 1914........................... San Francisco................. Los Angeles. Oakland. Sacramento. San Diego. 1918........................... San Francisco............ ....... Oakland. Los Angeles. 1920........................... San Francisco................... Oakland. Los Angeles. Interviews with persons or organizations familiar with field Budgets submitted by woman workers Use of secondary material Y. W. C. A......................... Other organizations. 1,000 Locality Entire State. San Francisco. State. Laundry. San Francisco. Los Angeles. Any. Not reported. Do. State. Settlement workers. Personnel directors. 77 Merchants, dentists, oc ulists, physicians, club tistics. women. Groups of employed wom en. 1 California Industrial Welfare Commission. Fourth biennial report, 1919-20 and 1921-22, pp. 13-27. * Kansas Industrial Welfare Commission. First biennial report, 1915-17, p. 46. 8 Kansas Commission of Industrial Relations. Cost-of-living survey, pp. 7-42. Industry Y. W. C. A........................ Cafeteriasandlunch rooms tistics. catering to women work University of Washington. National Industrial Con ers. Los Angeles Apartment ference Board. House Association. Prof. M. E. Jaffa, of the University of California. Workers Department of Home Y. W. C. A. Economics of the Uni Not reported. Hotel and Apartment versity of California. Home Association. Retail Dry Goods Asso ciation. 1922—April............. Not reported.................... December.._ San Francisco.................... Y. W. C. A_____ ________ Oakland. Cafeterias andlunch rooms Los Angeles. catering to women work- Kansas: 1915 2........................ State-wide____________ 19218........................ 38 cities and towns throughout the State. Number INVESTIGATION OP CONDITIONS PEIOE TO SETTING A WAGE BATE Table 18.—Methods used by the commissions in securing cost-of-living figures, by State and year Table 18. 00 Methods used by the commissions in securing cost-of-living figures, by State and year—Continued By commission or its agents Study by agents in given locality Massachusetts: 3reier Interviews with persons or organizations familiar with field Budgets submitted by woman workers Use of secondary material Number Industry Locality iTriSt £“?mJs®0.n u™al]y supplied each wage board with some materia] on the cost of living. Thi Aims artU4“ “neeted by m ^ °’the "ssi“- ujuuucu uuugew uuxu outer oiaies, These original investigations by the afjBnts most" comjmmiy “’some^p^es on Minnesota (1914)4 North Dakota: 19195................ 1921•............... . Oregon: 1912 7......... . 1917-18«........... Texas (1920) Washington: 1914 io........ Minneapolis____ _____ St. Paul (room and board). State-wide____ State-wide (27 towns)... Portland........................... Not reported____ _____ State-wide (40 cities and towns). State-wide__ ____ 2,303 (earning less than $12.50 a week). Workers.............. Employers. Persons furnishing neces saries to the public. U. S. Bureau of Labor Sta tistics. 30 (incidentals). National Consumers’ League. 594 Original investigation by U. S. Women’s Bureau. Employees.................... ....... Rooming and boarding house keepers. Chamber of Commerce. Portland merchants. Paul H. Douglas, professor of Economics at Reed College. Employers_________ .. U. S. Bureau of Labor Statistics. Macy Commission. Employers...................... Budgets prepared by eonferences of employees, employers, and public. ‘......... 112. 27...................................... St. Paul. Minneapolis. Duluth. Not reported. Hotel and restaurant, telephone, laundry, factory, office. 181 (room and board)___ 509 (clothing and inciden tals). 439......................... 2,750. Employees__________ Employees....................... ' 27 towns. Portland. Do. All.................................... 40 cities and towns. Mercantile, factory, aundry, miscellaneous, office, telephone, etc.). Not reported. Mercantile, factory, laundry, telephone and telegraph, hotel and restaurant, office. Do. Do. MINIMUM-WAGE LAWS IN THE UNITED STATES State and year _____________ Wisconsin: 1913-14 I2................. tistics. Y. W. C. A........ ............... serving working women. Store price lists. 1921 i« Do. Do. Do. ............. __________ State-wide (24 villages, towns, and cities.) 128 73.................................... i 1,993..................................... Store men. Restaurateurs. Landowners. * Minnesota Minimum Wage Commission. First biennial report, 1913-14, pp. 23-37. 5 North Dakota Workmen’s Compensation Bureau. Bui. No. 1 under minimum-wage act, 1920, pp. 9-11. 6 North Dakota Workmen’s Compensation Bureau. Cost of living, 1921, pp. 1-2 (mimeographed). 7 Oregon Consumers’ League. Report of the social survey committee on wages, hours, and conditions of work arfd cost and standard of living, 1913, pp. 57-67. 8 Oregon Industrial Welfare Commission. Third biennial report, 1917-18, pp. 10-12. * Texas Industrial Welfare Commission. Report, 1919-20, pp. 5, 6, and 9. 70 Washington Industrial Welfare Commission. First biennial report, 1913-14, pp. 18-23 and Appendix A, pp. 47-65. h Washington Industrial Welfare Commission. Fourth biennial report, 1919-20, p. 51. . ii Wisconsin Industrial Commission. Cost of living of wage-earning women in Wisconsin, pp. 2-29. i* Schedules for these budgets supplied by industrial commission. Wisconsin Industrial Commission. Cost of living study, 1921, p. 1 (typewritten). 79 Milwaukee. INVESTIGATION of conditions prior to settin g a wage rate ____ r______ 213........................................ 342. 223 . 1919-20 11 - 80 MINIMUM-WAGE LAWS IN THE UNITED STATES The foregoing table is presented to show the sources of the costof-living information used by the various commissions in determining the sums necessary for healthful self-support. It is interesting to note that, except for a small investigation in Kansas in 1915, every commission that has made a cost-of-living study has had its agents conduct a first-hand study and has supplemented this information by schedules of actual expenses made out by working women. More over, as appears in the table next presented, the majority of the costof-living budgets submitted have been theoretical, worked out by the commission’s agents from all available material. In the few cases where budgets from interested groups are presented, they merely sup plement the composite budgets. The following table gives the actual amounts found by the cost-ofliving studies. Incidental items vary so that they have been lumped in this table. The expenses most commonly included under this head are laundry, car fares, doctors’ bills, church, charity, and recreation. Table 19.—Cost-of-living figures in studies made by commissions, by State and year • Total State and year Clothing Incidentals Source of budget Per Per year week1 California: 1914 2............. Room and board Industrial welfare commission. 19J9 1............... Per year Per week1 Per year Per week1 $500. 45 $9.63 $300. 00 $5.77 $112. 25 $2.16 705. 95 13.67 429. 00 8.25 170. 75 3.28 Per year Per week1 $88.20 $1. 70 106.20 „ „, mission. 1920 1................ Industrial welfare com837. 95 16.11 560. 55 10. 78 156. 40 3.01 121.00 2. 33 mission. 1922— April3___ * Industrial welfare com** 7 779. 80 14. 99 645.00 10.48 113. 80 2.19 121.00 2. 33 mission. December2 Industrial welfare com836.30 16.08 573.00 11.02 142. 30 2. 74 121.00 2. 33 mission. Kansas: 1915 « 379. 49 .84 1921 *................ Court of industrial re880. 57 16. 93 507.00 9.75 172.33 3.31 201.24 3. 87 lations. Minnesota, 1914«. Wage boards: Mercantile (Twin 449. 80 8. 65 249.60 4.80 104.00 2.00 96.20 1.85 Cities). Manufacturing 458.64 8.82 260.00 5.00 99.84 1.92 98.80 (Twin Cities). Duluth 451.88 8.69 254. 80 4.90 104.00 2.00 93.08 1. 79 Average of three above. 453. 44 8. 72 254. 80 4.90 102. 61 1.97 96.03 1. 85 Minimum-wage com302. 20 6. 81 mission. Employees............... . 434. 72 8. 36 229. 32 4. 41 89. 96 1.73 115. 44 2. 22 North Dakota: 1919 ............ Workmen's corapensa845.00 16.25 481.00 9.25 208.00 4.00 156.00 3.00 tion bureau—Minimum - wage department. 1 In some cases the result of dividing by 52, so details and total do not always agree. 1 California Industrial Welfare Commission. Fourth biennial report, 1919-20 and 1921-22, pp. 13-27 3 California Industrial Welfare Commission. Mimeographed budgets. 1 Kansas Industrial Welfare Commission. First biennial report, 1915-1917, p. 46. 1 Kansas Industrial Court. Cost of living study, Aug. 31, 1921, pp. 40 and 41. • Minnesota Minimum Wage Commission. First biennial report, 1913-14, pp. 26, 30, 37, and 39. 7 North Dakota Workmen's Compensation Bureau. Report by secretary and special investigator of the minimum wage commission from Aug. 4,1919, to Dec. 31,1919, p. n. INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 81 Table 19.—Cost-of-living figures in studies made by commissions, bp State and pear—Continued Room and board Total State and year Per Per year week1 North Dakota— Continued. 19218 Oregon: 1912* ............. Clothing Incidentals Source of budget Workmen's compensa tion bureau—M i n i mum - wage depart ment. Per year Per week1 Per year Per week1 Per year $949. 52 $18.26 $508. 04 $9.77 $277. 68 $6. 34 $163. 80 527.23 Consumers' league in 545.00 vestigators. 1917-18 18......... Industrial welfare com 604.24 mission. Texas, 192011........ Industrial welfare com 704.60 mission. 786. 24 Washington: 1914 ™............... 507. 69 Employers 535.10 Mercantile—employees... 558. 28 1919-20 18_....... Industrial welfare com 1,175.17 mission. Wisconsin, 1913- Industrial commission... 494.00 14 44 Employees...................__ 439.22 10.14 10. 48 266. 34 300.00 11. 62 13. 55 15.12 9.76 10.29 10. 74 22.60 Per week1 $3. 16 5.12 5. 77 153. 03 130.00 2. 94 2.50 107. 86 115.00 2.07 2.21 326 56 6.28 157.04 3.02 120.64 2. 32 607.00 9. 75 92.66 1.78 105.04 2.02 284. 21 5. 47 331. 67 6. 38 287. 56 5. 53 566.24 10.89 140. 02 118.17 131. 80 337 60 2. 69 2.27 2. 53 6. 49 83. 46 85.26 138. 92 271.33 1. 61 1.64 2.67 5.22 9.50 338.00 6.50 98.80 1.90 57.20 1.10 8. 45 196. 36 3.78 108.88 2.09 133. 98 2.58 8 North Dakota Workmen’s Compensation Bureau. Minimum wage department. Cost of living sur vey, 1921. Mimeographed; not paged; tables not numbered. 9 Oregon Consumers' League. Report of the social survey committee on the wages, hours, and conditions of work, and cost and standard of living, of women wage earners, 1913, pp. 61-67. 10 Oregon Industrial Welfare Commission. Third biennial report, 1917-18, pp. 10-12. 11 Texas Industrial Welfare Commission. Report June, 1919-Aug. 31, 1920, pp. 11 and 23. 18 Washington Industrial Welfare Commission. First biennial report, 1913-14, Appendix A, pp. 51-65. 18 Washington Industrial Welfare Commission. Fourth biennial report, 1919-20, p. 51. 14 Wisconsin Industrial Commission. Cost of living of wage-earning women in Wisconsin, pp. 19 and 29. As in the case of the investigations of wages, the commissions have been particularly careful to make cost-of-living studies before estab lishing their first decree. The revised decrees in some cases have been preceded by complete cost-of-living studies—in California this was done before each new group of orders—but the more usual pro cedure has been to raise or lower rates according to changes in the cost of living while the original budget remained the basis on which the changes were calculated. Moreover, the budgets presented are only those made by the commissions prior to calling wage boards. Almost every wage board did some work on this question. If they accepted a previous study of the commission or of another wage board, they estimated changes in the cost of living to bring their studies up to date. The basis most commonly used for these estimates was the cost-of-living study of the United States Bureau of Labor Statistics. The first cost-of-living study, therefore, was much the most important one, since when once a budget was established the means of altering it as conditions changed was available. 82 minimum-wage laws in the united states To bring out the differences in these budgets due to date and local ity, the following table showing cost of living for the total year is included: Table 20.—Estimated yearly cost of living, by State and year of completion of survey State Source of budget Industrial mission. welfare 1912 com 1914 Washington..- Industrial mission. com welfare 1919 com 1921 $705. 95 $837. 95 1922 1 $779.80 2 836. 30 $880. 57 434. 72 845.00 949. 52 $545. 00 527.23 com welfare 1920 $379. 49 North Dakota. Workmen's compensation bureau—Minimum wage department. welfare 1918 $500. 45 Court of industrial rela tions. Industrial mission. Industrial mission. 1915 $604. 24 704. 60 786. 24 507.69 535.10 558. 28 1,175.17 494.00 439.22 1 April. 2 December. In the studies completed in the years 1912 and 1914, the total cost in all the estimates runs surprisingly the same; $500 to $550 is roughly the sum that these studies present as their conclusion. The only two figures that fall considerably below $500 are $434.72 in Minnesota and $439.22 in Wisconsin. These two figures and the one submitted by women in mercantile stores in Washington are the only ones that represent women’s expenditures based on their actual earnings. They do not necessarily show a healthful standard of living. If these two sums are considered as the smallest amount on which a self-supporting woman can exist, their agreement, as well as their falling below the sums estimated as the cost of decent living, is explained. The only figure that runs over $550 is the average budget of 27 girls employed in mercantile stores in the State of Washington. It runs so slightly over $550 that the difference is not significant. It is important, though, in its relation to the employee budgets from Minnesota and Wisconsin, for it runs $120 higher than these. The small sums in these two budgets and in the 1915 Kansas budget are convincing arguments for the need of establishing a minimum-wage rate. They fall far below the impartial investigations by commis sions in two States and the theoretical minimum budgets submitted by either employers or employees. . The budget studies completed after 1915 show a steady increase in the cost of living, but they do not produce figures that are approxi mately the same in all the States. In 1919 studies in two States showed a range of $140 in the estimated cost of living. In 1920 California and Washington were almost $340 apart in their esti mates of the cost of living—a tremendous difference when the small size of even the larger sum is considered—and Texas arrived at INVESTIGATION OF CONDITIONS PRIOR TO SETTING A WAGE RATE 83 an estimate $133 below that of California. It must be that in some States items have been considered necessaries that in other States have been omitted. The 1920 figures in Table 19 show that there is less than $6 difference in the sums estimated as the cost of room and board in California and in Washington ($560.55 and $566.24, respec tively). The Washington estimate for clothing is more than $180 higher than the California estimate ($337.60 and $156.40, respec tively), and for incidentals the Washington figure is $150 higher (California, $121, and Washington, $271.33). It is in clothing and incidentals that opinion as to what are necessaries plays the greatest part. It would appear that the commissions were making inde pendent lists of necessary articles and that in some States these lists were much more inclusive than in others. If commission figures can be so far apart it is easy to see why it is so hard for wage boards, where conflicting interests are represented, to agree on what the cost of living really is. Summary. The importance of these investigations by the commissions can not be overemphasized. They show how uniformly the commissions have studied the wage situation before instituting any wage boards or taking action on rates themselves. All the investigations could have covered more territory, more women, more places of business, but a comparison of the number of women investigated and the approximate number employed proves that the commissions included a substantial proportion of the woman wage earners in their studies. Though their methods of obtaining these figures are not in most cases the ones considered most careful and accurate, some States have used the most approved methods and most of the States un doubtedly have secured figures sufficiently good to fulfill the require ment of the laws that it be ascertained before the setting of a decree that a large number of women and minors need this aid. More over, the table giving the methods employed in making cost-of-living studies shows that a very real effort was made to do this part of the work thoroughly. It is undoubtedly true that after the first series of wage boards was established the commissions, in most States, did not make so careful investigations before reconsidering rates as they did before the original rates were set. In some States, however, their methods of making investigations improved. Though continued in vestigation of wages and living costs may have been desirable, it was not strictly necessary after a budget was accepted and a rate was set. All revisions of the rate could be according to changes in the cost of living. It is probable that most of the commissions, when once they had some rates to enforce, lacked money to look after enforcement and to institute new investigations. That continued in vestigations would have been extremely valuable is not denied. The original budgets were far from perfect and continued study would be likely to lead to a better balance among items and the inclusion of those things that were really vital to the worker. Moreover, in vestigations that enabled the wage boards and commissions to see what were the results of earlier decrees would be of great value in determining how those decrees should be changed. CHAPTER V.—PROCEDURE IN ORGANIZING FOR THE PURPOSE OF DETERMINING WAGE RATES—LAW AND PRACTICE To return to the mechanics of setting the decree: If an investiga tion discloses such low wages that the commission determines to establish a wage rate, its method of procedure in determining this rate is carefully set forth in the laws. To carry out the express purpose of these laws it is necessary that someone should study care fully the relation between the wages received and the cost of living and determine what is the lowest wage that will provide the woman worker with a decent, if frugal, livelihood. This effort to set a rate to conform to actual conditions is the fundamental point in these laws. The legal provisions that arrange for a body to do this work and give this body certain powers set up a scheme that necessitates every other provision in the laws. All acts authorized in the laws are either in preparation for the work of this group or to enforce the rates it sets. BODY THAT SETS WAGE RATES Provisions of laws. Whether the commissions shall undertake this important work themselves or shall delegate it to bodies organized for the purpose, which will report their decisions to the commission for final accept ance or rejection, is carefully considered in the laws. The follow ing statement shows which body is required by law to determine the amount of the minimum wage: Commission that administers law Wage board appointed specifically to determine this amount Arkansas. Colorado (1913). Kansas (1921). Texas. California (1921).1 District of Columbia.2 Kansas (1915). Massachusetts.2 Nebraska.2 North Dakota.2 Oregon.2 Washington.2 Wisconsin.3 Commission itself or a wage boarddecision as to method to rest with commission California (1913). Colorado (1917),.2 Minnesota. . 1 Board only recommends amount to commission. 2 Rates may be set for minors by commission without wage-board procedure. * Called “advisory" board by the law and meets with commission to determine amount. The principle of having a group of citizens, in no way connected officially with carrying out the law, determine what is a fair rate to pay woman workers, has been the most common solution of how this difficult task shall be accomplished. This gives the commission the 84 85 PROCEDURE FOR DETERMINING WAGE RATES opportunity to judge a completed piece of work and means that the rate is the result not only of the best judgment of the wage board or conference but of the review by the commission. Method followed in practice. In the District of Columbia, Massachusetts, North Dakota, and Oregon no decrees ever have been issued except through the process of organizing wage boards to determine the amount of the rate. In Kansas all decrees issued under the regime of the industrial welfare commission followed the holding of wage boards. In Washington all decrees for adults and the original decrees for minors in each industry have been issued after wage boards were held.1 In Wiscon sin the two important decrees for all industries were issued following meetings of the advisory wage board. The table following shows the number of wage boards held and their relation to the number of decrees issued. Table 21.—Action of wage boards and number wage decrees, by State of Number of boards that— State Recom mended Were recon rates for an vened to re industry adjust rates that had that they never been had pre covered by viously a mini recom mum-wage mended rate California________ _____ 7 i4 25 Massachusetts.................. Minnesota............................ 8 23 4 Oregon____________ ___ Washington................... Wisconsin.......................... 1 Total Original Reissued Total 7 15 11 29 40 1 8 6 42 21 413 34 ,5 11 12 17 12 46 813 67 3 Recom mended rates for an industry that had previously been cov ered by a minimumwage rate Number of decrees 68 1 1 First laundry board reconvened before any decree was issued. 3 Second laundry board organized before any decree was issued. 8 Second boards in corset and paper-box industries before any decree was issued; three boards in candy before any decree was issued; original boards reconvened in muslin underwear and office-cleaners’ occupation before any decree was issued; two boards, one reconvened and one new, in brush industry before a revised decree was issued; one board in men’s clothing without a decree being issued. 4 Two reissued decrees took the place of four original ones. 4 Two cannery boards before decree was issued; war board held no decree entered; boards from 1916 on were held for “all industries” but decree issued for various occupations or industries. 6 Two laundry boards organized before any decree was issued; two manufacturing boards organized before decree was reissued. Wage boards have been held to consider three phases of this prob lem of setting rates. As the table shows, they have been called to set rates for an industry never before studied; they have been called to adjust their own rates to accord with changes in the cost of living; and they have been called to revise rates set by an earlier wage board or by the commission. Of these three kinds of boards, the board in an industry that had had no previous consideration had, of course, the most difficult and responsible work to perform. This is the sort Wage boards reported on adults only (see Washington law), but minors were discussed and decrees for minors were issued at the same time as those for adults, immediately following each wage board. 86 MINIMUM-WAGE LAWS IN THE UNITED STATES of decree for which the greatest number of wage boards have been called. Only in California and Minnesota has it been customary to issue decrees without holding a wage board. Even in California wage boards were held before 7 of the 11 original decrees were issued, but the reports of these wage boards were much less formal than those in the States where the laws required the boards to recommend the actual rates. Minnesota has issued no decrees based directly on recommendations of wage boards. Before any original decrees were issued in Minnesota, four wage boards were held, but they were local gatherings. Two were held in Duluth—one for the manufacturing and one for the mercantile industry—and two in the Twin Cities, St. Paul and Minneapolis, one each for the same industries. No state-wide boards were held, and though the recommendations of the local boards were given careful consideration by the commission they were not accepted as a whole. In Kansas the amended law of 1921 provided that the rates should be set directly by the industrial court; consequently the last three decrees were issued in this way. In Arkansas and Texas all the decrees have been issued by the commissions. PROCEDURE WHEN WAGE BOARDS ARE ESTABLISHED Organization of wage boards as provided for in the laws. When a commission decides to organize a wage board, it finds its procedure carefully outlined in the laws. The table following shows the provisions in the laws under which the commissions must work. Table 22.—Organization of wage boards, by State [From the minimum-wage laws] Commission to act as wage board Method of selection Composition of wage board Special qualifications State Shall Arkansas... California: 1913— 1921___ May Equal number (3). Equal numbers (not more than 3 of each). 1921_______ Massachusetts: 1912.............. Equal number (6).. Some one to represent com mission if desired. Not more than 3. 1 or more members of the board. 1914. Equal numbers. 1919.. 1920.. Equal numbers. Equal numbers. ____do ........do North Dakota.. Oregon_______ Texas______ Washington.. Wisconsin, 1913. Equal number (3—10). Equal number (3). Equal numbers (not more than 3 of each). Equal numbers (not more than 3 of each). Equal numbers. Elected by the employers of the State in so far as this is possible; approved by com mission. Appointed by commission.. Elected by the employees of the State in so far as this is possible; approved by com mission. Board shall name and appoint. fMember of commission serv( ing on board. Employers and employees selected must be in the occu pation, trade, or industry in question. 5 per diem and necessary trav eling expenses. Selected by commission.. Employers and employees selected must be in the occu pation in question. Same rate as jurors in counties of record, plus necessary traveling and clerical appro priation. ----- do_____ _ _____ ___ ____ _ 1 or more but may not exceed the number of representa tives of either party. One member a woman. The 3 appointed members of the commission. Not more than 3. 1 or more commissioners. Not more than 3. 1 or more commissioners. 1 or more but may not exceed the number of representa tives of either of the other parties, and member of com . mission. Commission decides on fair representation________ ____ _________ Selected by commission from representatives of public. Appointed by commission. Nominated by employers and employees, respectively, within Appointed by Commission10 days of notification by commission. Selected from these lists by commission. Vacancies on board filled by commission.......................................... Nominations must include twice as many names as there are to be representatives on the wage board. Commission must select one-half the names submitted. May appoint remain ing members directly. One-fifth of Elected by the employers of Elected by the employees of Appointed by commission.. the State in so far as this is the State in so far as this is membership. practicable. practicable. The three appointed members of the minimum wage com mission. Appointed by commission. Named and appointed by the workmen’s compensation bureau. Named and appointed by commission. Appointed by commission. Same rates as jurors in civil cases in the district court; necessary traveling and cleri cal expenses. -do.. Commission shall appoint. 1 or more but may not exceed one-half of the number of representatives of either of other parties. ........do 3-10 1 member of each group. Payment Chairman Selected by commission.. Left to the industrial-welfare commission. Equal number (3).. Nebraska.. Public Employees Employers I Kansas: 1915.. Minnesota. Women Equal numbers. Colorado: 1913... 1917- District of Columbia. Public Employees Employers -L -do_. -do.. _do_. Chairman of the commission. Persons selected to represent Same rate as jurors; necessary traveling and clerical ex the employers and the wom en employees must be in penses. the occupation in question. Do. ___ do....................... ..................... -do.. Persons appointed by com mission to be employers and employees in the occupation in question. Employers and employees selected must be in the occu pation in question. ----- do..................... ............ ......... Designated by bureau.......... Without pay. Same rates as jurors in district courts; necessary traveling and other expenses. -do.. Designated by commission. Do. Do. _do.. Member of commission.. Employers and employees selected must be in the occu pation in question. Appointed by commission. J______________ L 60769°—28. (Face p. 86.) PROCEDURE FOR DETERMINING WAGE RATES 87 The laws in Arkansas and Texas do not provide for wage boards. In every other State except California the law provides that the membership shall represent the employers, the employees, and the public. The relation among these groups is specified in all the laws except that of Wisconsin. Many of the laws even specify the numher of representatives who are to be appointed, The number of employer and employee representatives varies, though the most usual number mentioned is three of each, but whatever the actual number these two groups always are equal. The Wisconsin law specifies that employers, employees, and the public shall be repre sented, but leaves the number of each group and their relative size to the commission. Seven States—California, Colorado (1917), Dis trict of Columbia, Nebraska, North Dakota, Oregon, and Wash ington provide for the participation of the commission in the work of the wage board. In all these States except California the commissioners are to serve as part or all of the public group. In California the member of the commission who serves on a wage board is to serve as the commission’s representative, reporting to that body on the work. In Nebraska the three appointed members of the com mission are to compose the entire public group on each wage board. In all the other States except California and Nebraska any commis sion member serves in addition to a public group appointed by the commission. In Colorado whether or not a commissioner serves on a wage board is optional with the commission. Though these boards are to deal almost wholly with women, only two States, Colo rado (1917) and Minnesota, definitely provide that some of the board members must be women. The Colorado la w specifies that one member of each of the three groups be a woman and Minnesota that one-fifth of the board’s total membership be women. Thus, all the laws emphasize the representation of the two economic groups that will be directly affected by the decree and almost all of them empha size the presumably impartial group, the public. Actual membership of the wage boards. Consideration of the personnel of the boards appointed to do the work of setting wage rates is discussed here in connection with the foregoing section on the requirements of the laws, though it would be interesting to discuss it in connection with the rates set. There is, however, one point about the membership of these wage boards that is of interest in its relation to the membership of the commissions themselves—that is, the participation of women. In the organization of the commissions women have played such an impor tant part that it is pertinent to see what part they have taken in this fundamental work of setting wage rates. The tables that follow show the proportion of women in each representative group and on the entire board. When it is realized that these boards were en gaged in determining how much it costs working women to live, it is amazing that a task whose problems were those of most women should have been given so largely to men. Women form the vast majoritv of buyers in all walks of life, so that in general they are more familiar with pi ices and the utility of articles than are men, and as it was 60769°—28------ 7 88 MINIMUM-WAGE LAWS IN THE UNITED STATES their own needs that were being considered it is hard to see on what basis men were supposed to be better fitted to decide their cost of living. In all the States the preponderance of men as owners or executives in business has necessitated that the employer group should be com posed almost wholly of men. Only four women ever have served as employer representatives on a wage board. In three cases in Massachusetts—the second women’s clothing board (1922), the re convened muslin underwear board (1922), and the millinery board, reconvened and combined (1925)—and in one case in Washington— the mercantile board (1921)—one member of the employer group in each case was a woman. If there is a logical reason for having so few women as em ployer members, theoretically it is hard to see why men should ever be appointed to represent the women employees; yet this has some times been the case. Three States—Kansas, Massachusetts, and Wis consin—have organized one or more wage boards with men serving as representatives of the woman workers. The only possible ex planation of this seems to be the great difficulty which the commis sions have sometimes encountered in getting people to serve as em ployee representatives. The table following shows the proportion of women serving as employee representatives on wage boards. Table 23 —Proportion of employee representatives on wage hoards who were women, by State Number of wage boards on which women formed, of the employee repre sentatives— State Total number 10 Un and of wage boards 1 None der under 10 20 per per cent cent All States__ District of Colum- 99 "V- 3 20 and under 30 per cent 30 and under 40 per cent 1 40 and under 50 per cent 50 and under 60 per cent 2 60 and under 70 per cent 11 70 and under 80 per cent 80 and under 90 per cent 5 13 25 6 338 1 12 11 12 1 90 and under 100 per 100 cent per cent 77 13 3 1 1 3 8 5 5 3 20 1 12 11 12 1 1 Includes all wage boards for which a report on the membership could be obtained. 2 Reconvened laundry board had same membership as first board and does not appear in this table. 3 Original boards in muslin underwear and office and building cleaners, reconvened before any decree was issued, appear only once in this table. Membership of 2 boards (candy 1914 and corset 1915) not available. In most of the States the practice has been to appoint employee groups composed entirely of women. Wisconsin is the only State that has always had some men as representatives of the woman workers. Moreover, though Wisconsin appears in the table as having had only one wage board, this same group has been called together three times so that both wage decrees for “ all industries ” issued in Wisconsin have embodied the results of its recommendations. PROCEDURE FOR DETERMINING WAGE RATES 89 The third group, usually called the public but intended to be an impartial group rather than to represent any special viewpoint, also has had a majority of men. The following table shows the proportion of women serving in the public group: Table 24.—Proportion of public representatives on wage boards who were women, by State Number of wage boards on which women formed, of the public representatives— State. Total number of wage boards 1 All States_ _ 86 District of Colum bia____________ Kansas Massachusetts........ Minnesota North Dakota........ Oregon. Washington............ Wisconsin 25 6 3 38 1 12 11 12 1 None 17 10 20 Un der and and 10 under under 20 30 per per cent per cent cent 2 40 and under 50 per cent 50 and under 60 per cent 60 and under 70 per cent 1 1 59 5 4 3 13 1 30 and under 40 per cent 1 1 24 11 10 10 70 and under 80 per cent 80 and under 90 per cent 90 and under 100 per 100 cent per cent 3 2 1 1 2 ' Indudes all wage boards for which a report on membership could be obtained. ■ Reconvened laundry board had same membership as first board and does not appear in this table. Original boards in muslin underwear and office and building cleaners, reconvened before any decree was issued, appear only once in this table. Membership of 2 boards (candy 1914 and corset 1915) not available. In the District of Columbia, Oregon, and Washington, where the wage boards were organized with three public representatives, one wage board in the District of Columbia and in Oregon and two wage boards in Washington were organized with two women in the public group. In Kansas, on two wage boards, a woman served as the only public representative, and on another board, with three public members, two women served. In Massachusetts one wage board had a woman as its single public representative. In addition to the public members in the foregoing table, a woman represented the Cali fornia commission on each of the 13 wage boards held in that State. This representative of the commissioners served as the referee be tween employers and employees and held the balance of power be tween them, just as the public members did in the other States. Her function was so analogous to that of a public member that she is included in this discussion. Including California, only 21 of the 99 wage boards had a majority of their disinterested members women, and 13 of the 21 were cases where this member represented the com mission (California). Seventeen wage boards, 13 of which were in Massachusetts, had no women whatsoever serving on the public group. With almost no women representing the employers, with men sometimes representing the woman workers, and with the majority of the public representatives men, the following table, showing the per centage of women on the entire wage boards, is hardly necessary ex cept to emphasize that most of the boards have been controlled by the men members. 90 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 25.—Proportion of all wage-hoard members who were women, by State Number of wage boards on which women formed, of all members— State Total 10 Un and number der under of wage boards 1 None 10 20 per per cent cent District of Colum- 13 25 6 338 12 11 12 1 30 and under 40 per cent 40 and under 50 per cent 6 8 50 and under 60 per cent 58 60 and under 70 per cent 21 | 1 4 2 3 1 90 and under 100 per 100 cent per cent 1 2 3 11 10 9 1 80 and under 90 per cent 2 4 2 22 6 1 1 70 and under 80 per cent 2 11 4 99 All States_ _ 20 and under 30 per cent 1 3 1 1Includes all wage boards for which a report on membership could be obtained. 2 Reconvened laundry board had same, membership as first board and does not appear in this table. 2 Original boards in muslin underwear and office building cleaners, reconvened before any decree was issued, appear only once in this table. Membership of 2 boards (candy 1914 and corset 1915) not available. Two California wage boards have had as much as two-thirds of their membership women, but each of these boards consisted of five members, three of whom were women, the balance being held by the woman commissioner. The real situation appears when it is noted that of 99 wage boards 23 have had a bare majority of women. This analysis of the part taken by women in general in setting wage rates for themselves as workers may seem to inject into the minimum-wage question a new and unimportant element of con troversy ; that is, whether there is any real reason for giving women, as women, a larger share, or, through majority representation of the public group, the deciding voice, in determining the amount on which a working woman can support herself, when the field is already filled with other questions on which there are differences of opinion. It is, however, because of the fact that all the State laws direct that wage rates be set so as to approximate the cost of fiving, and that rates often have been set beknv such a sum, that the choice of so many men for wage-board duty can be questioned. It is possible that one cause of these discrepancies between cost-of-living figures and rates may have been the lack of knowledge on the part of the men as to just what it does cost a woman to live. It is hard to see how the statement made a little earlier in this report that women on the whole know all living costs better than do men. and their own needs much better than men can know them, can be refuted. It can only be urged that there are other and more pressing reasons for appointing men. Undoubtedly two factors have contributed largely to the selection of so many men. The first is the feeling that the more prominent were the wage-board members the more weight would their decisions carry with the general public, and that in so new a field it was necessary that persons of standing should make the decisions, particularly the decisions of the. public group which in most cases swung the balance toward the employer or the employee group. As communities are organized at present there are many PROCEDURE POE DETERMINING WAGE RATES 91 more such men than women. Second, in many cases there has been a feeling on the part of the employers that men, more than women, would appreciate the importance of general business prosperity and expansion, and would not allow rates to be set that would be greater than a marginal concern could afford to pay, even though the lower rate might in no way approximate the cost of living. It may be recalled that only in Colorado (1913), Massachusetts, and'Nebraska did the laws require that the wage boards or the commissions con sider the financial condition of the industry in setting wage rates,2 and the very serious ethical question involved here—of whether or not any industry should expect to go on functioning and paying a return to its owner or owners if it can not pay its workers a living wage—tacitly has been decided in favor of paying a living wage by the very enactment of the laws themselves. It would seem, there fore, that the appointment of people because they held the opinion 1 that the financial condition of the industry should be considered was almost equivalent to the appointment of people who were not strictly impartial; that it was, moreover, not truly in the spirit of the majority of the laws; and that the laws would be best carried out by that group in the community who knew the most about how much it actually costs to live. ” , Methods of selecting wage-board members provided in the laws. How to select wage-board members who can perform their difficult tasks well and who are acceptable to the many people affected by their decisions has been one of the hardest problems that have con fronted the minimum-wage commissions. Most of the laws have given the commissions a free hand in selecting the people who shall serve. In every State the members of the important public group are to be selected and appointed directly by the commission. Only in Colorado (1917), Massachusetts (1914), and Minnesota do the laws provide that the employer and employee members are to be suggested by the groups they are to represent. The laws of Colorado and Minnesota, however, provide that the commissions need organize wage boards from persons elected by the employers and employees only so far as this is practical. The boards could be completed by the commission itself, so that the efforts of these States to obtain proper wage-board members probably need not have been any more restricted than were those of the States where the commissions were allowed to obtain members in whatever way seemed best. In Massachusetts, though, a situation developed that for a time permitted the commission to exercise only a limited control over the personnel of the wage boards. The original Massa chusetts law (1912) gave the commission the power of selecting these representatives, but this section of the 1 aw has been changed three times since it was originally enacted. The first amendment, in 1914, provided that the commission was to select the representatives of the employers from nominations made by the employers in the trade or occupation under consideration, and the representatives of the employees in a like manner from nominations made by the em2 Tlie Massachusetts law was tile only one o£ the three that ever functioned, so this arose as a practical question in only the one State. 92 MINIMUM-WAGE LAWS IN THE UNITED STATES ployees, unless no nominations were sent to the commission within 10 days after the two groups were notified to make nominations. This really worked out so that these nominations could be equivalent to an election, since either group by nominating only the specified num ber of representatives set by the commission could force the appoint ment of all its nominees. In 1920 the law was again amended by providing that the commission need choose for service on the wage board only one-half of the persons nominated by the employers and employees, respectively. In case the employers or employees did not submit twice as many names as the commission had announced there would be wage-board representatives, the commission could choose directly the remaining members necessary to complete the panel. Meanwhile, in 1919 another amendment had given the commission the power to fill any vacancy that might occur on a wage board ’ caused by a representative’s dropping out after it was organized. Thus, after having had the power to select wage-board members as it thought best, the commission, through the 1914 amendment of the law, found itself in a position where it had such limited power that other agencies could control the choice of wage-board members. At present, however, while the employers and employees are guaranteed some voice in the selection of wage-board members, the commission is given enough power, through the amendments of 1919 and 1920, to organize a -wage board without the cooperation of these groups, as units, if for any reason it is impossible to secure their help. In the other 10 minimum-wage States, the difficulties inherent in carrying out this part of the law have been dealt with by the commissions as they thought best. The laws simply declare the kind of representa tion required on the wage boards and the commissions must obtain members that meet these specifications. Methods actually used in selecting wage-board members. It has been an extremely difficult task in all the States to get suit able wage-board members. The employee groups are the most diffi cult to obtain. Often the woman workers themselves are afraid to serve on wage boards for fear they will incur their employers’ dis pleasure, thinking that, if not discharged, they certainly will be dis criminated against. Even when a woman is willing to serve, such practical considera tions as lack of time, living at a distance from the locality where the meetings are being held, and sometimes such financial stress that the woman can not afford to serve, may prevent participation in wageboard activities. Some States have tried to provide sufficient pay for wage-board members to remove the difficulty last mentioned. Never theless, the majority of the 11 States where wage boards may be held—Minnesota, North Dakota, Oregon, Washington, Wisconsin, and the District of Columbia—do not provide any remuneration for wage-board work. In the next place, it takes exceptional workers to have the personality and knowledge needed to present the employees’ case convincingly. Among, the hundreds or thousands of workers in an industry or occupation scattered throughout a State the task of finding such workers is difficult indeed. As far as the employers are concerned, it is often very hard for busy men to find the time necessary for the wage boards, so that PEOCEDTJBE FOB DETERMINING WAGE BATES 93 they are loath to undertake the work. There is also the need, par ticularly as far as the members of the employer and the public groups are concerned, that they know something about general living conditions and costs so that they can give intelligent service. The great difficulty in the way of getting good public members is to find people who know enough about the workers1 needs, general economic conditions, and the specific problems of the trade or industry under consideration, to be of value and yet at the same time to be impartial. Whether the methods of securing wage-board members provided in the laws or worked out by the different commissions have been such as to obtain the best possible wage-board members is hard to answer decisively. Among the various States all sorts of schemes have been tried, some at one time and some at another, but the difficulty of get ting people, particularly the employees, to serve has forced most com missions to exhaust all possible sources as each board was organized, and in the end, as a member of the Washington Minimum Wage Committee said, “ almost to draft the employee members to get them in.” This situation makes it impossible to discuss the relative merits of the plans tried. They can only be summarized to show just what they have been. Methods used in selecting wage-hoard members when laws give s-pecifie directions.—Since Colorado (1917), Massachusetts, and Minnesota have specifically stated in their laws how wage-board mem bers are to be secured, the way these directions have worked out will be the first point considered. Colorado has never held a wage board. Minnesota held a series of wage boards in 1913, prior to setting the first decrees in the State, but most of the records of these boards have been destroyed, so the information concerning them is too scant to make a discussion of them profitable. However, it is known that the commission had the usual difficulty in securing employee repre sentatives. The first biennial report of the commission makes the following statement: The commission was not successful in finding employees who would or could serve on advisory boards in Minneapolis and St. Paul. At the final meeting of the Twin City mercantile advisory board, three employees were still members of the board, and, of these, two failed to attend the meeting. One employee was found willing to serve on the Twin City manufacturing board, but she at tended only the first meetings of the board, and although especially urged to attend the final meeting, she refused. The experience in Duluth was better. The eight employees on the board attended a majority of the meetings, and four of the mercantile employees voted on the recommendation on the cost of living.3 Not only was the organization of the Minnesota wage boards in formal, but they served merely in an advisory capacity, while in Massachusetts the wage board’s recommendations, if accepted, formed the decree of the commission. Of the States whose laws direct how the wage boards are to be formed Massachusetts is the only one for which the methods of obtaining wage-board, members are known in detail. When the Massachusetts Legislature in 1914 amended the mini mum-wage law to require that wage-board members be selected from nominations made by the employers and employees, respectively, it was simply incorporating in the law the procedure already followed 3 Minnesota Minimum Wage Commission. First biennial report, 1913-14, p. 4. 94 MINIMUM-WAGE LAWS IN THE UNITED STATES by the commission. In discussing the formation of the brush wage board, the first held in Massachusetts, the commission stated: “ It was the policy of the commission to appoint the members of the wage board in such a way that it might be as widely representative as possible. To this end, every manufacturer [of brushes] in the State was asked to make nominations. Nominations were also called for from the workers, and an effort was made to secure representatives from the different groups and nationalities among them.”i Before the formation of the second wage board (the candy industry) was completed the law was amended to require nominations from the employers and employees, and the State’s attorney general ruled that this board was not legal, since it was completed by the commission without nominations from these two groups.5 Thus practically all the Massachusetts wage boards have been organized from groups nominated by the employers and employees, so a study of how these nominations were obtained for one board will show the usual pro cedure. Three ways were used by the commission to obtain nominations. The first step was to advertise in the newspapers the intention to hold a wage board, and to request employers and employees to send nominations. The following form shows the advertisement used: commissioner’s notice (Advertisement) Commonwealth of Massachusetts, department of labor and industries—divi- vision of minimum waye.—The minimum-wage commission of the department of labor and industries hereby gives notice that it has voted to form a new wage board for the paper box occupation. This action is taken in accordance with the provisions of section 5 of chapter 151 of the general laws. This board is to consist of 15 members, 3 representatives of the public to be appointed directly by the commission, 0 representatives of employers, and 6 representatives of employees. The occupation includes the manufacture of set-up, folding, and corrugated boxes, both those produced by consumers’ plants and those manufactured for the trade. It is desired that the nominations submitted for the board should represent the various lines to be considered. Employers and employees in the occupation are requested to submit to the commission nominations for their representatives on this board. Nominations must be made in writing and submitted to the minimum-wage commission at its office, Room 473, Statehouse, Boston, not later than December 5, 1921. The law provides that in case less than twice the number of names required for representatives of employers or employees are submitted within the time specified, that the commission may appoint directly employers or employees as the case may be to fill one-half of the positions. In case nominations are not submitted before the date for filing expires, the commission is authorized to appoint directly all of the representatives of employers or employees. Minimum t Wage Edward Fisher, Samuel Ross. Commission. Chairman. Letters were sent also to every employer in the trade so far as the commission knew of the existence of the establishment. This list of firms usually was a very complete one, since the industry had been investigated by the minimum-wage commission’s agents to obtain data on wages and the commission had at its disposal the names of* 6 4 Massachusetts Minimum Wage Commission. 6 Attorney general’s opinion, June 30, 1915. First annual report, 1913, p. 11. PROCEDURE FOR DETERMINING WAGE RATES 95 supposedly all the firms in the State, as they were regularly sending information to the division of statistics in the department of labor and industries. The following letter used for the minor confection ery wage board shows the type of letter sent to employers. LETTER TO EMPLOYERS Gentlemen : An investigation into wage conditions of women employed in the establishments manufacturing food preparations and minor lines of confec tionery in the State has recently been completed by the commission. Since the result of this inquiry indicates, in tiie opinion of the commission, that a sub stantial number of women are receiving wages below the cost of living, the commission, as required by law, is proceeding to establish a wage board for the occupation. It is the intention of the commission to form a board of 15 members, con sisting of 6 representatives of employers, 6 representatives of employees’, and 3 representatives of the public, one of whom will act as chairman. The board is to cover in its determinations establishments manufacturing food prepara tions including soda fountain supplies, macaroni, potato chips, peanut butter, maple sirup, prepared flour, gelatine, etc.; and minor lines of confectionery in cluding blanched and prepared nuts, nut brittle, stuffed fruits, popcorn balls, chewing gum, and similar products. It is desired that the nominations shall be representative of the various lines to be included. . You are invited to nominate representatives of employers to this board by submitting names to the division within 10 days after a public notice which will appear on June 10 in the following newspapers: Boston Herald and the I.owell Courier Citizen. The name, address, and business affiliation of nominees should be given, also a brief statement regarding their qualifications for wageboard service. The commission also asks for nominations from employees for their repre sentatives on this wage board. In accordance with the provisions of chapter 77 of the General Acts of 1919, the commission requests that you post the accom panying notice in a conspicuous position in your establishment where it may readily be seen by all your women employees, and that you maintain it until the final date for submitting nominations, June 21, has passed. Your cooperation in forming the wage board and in supporting its work is invited. Very truly yours, Division of Minimum Wage, Assistant Commissioner. Letters were sent also to a number of women employees in the State, but this group naturally was not covered so completely by let ters, due to the much greater number of people involved and also to the fact that their addresses in any number were hard to obtain. To obtain as many such addresses as possible, when an investigation of wages was made every employee in the firms visited was asked to fill out a card giving some personal information, including her address. A letter requesting wage-board nominations was sent to every such woman. A copy of a typical letter follows. LETTER TO EMPLOYEES Dear Madam : You are invited to send to this office the name and address of tiie person you would like to have represent you on a wage board this commis sion is forming to determine a minimum wage for women and girls who work in paper-box factories. Any woman in Massachusetts who is a paper-box worker may send in a nomination for this board. From the names received the commission will choose six to look out for the interests of the employees. There will be also six people to represent the employers, and three to represent the public, one of whom will be chairman. 96 MINIMUM-WAGE LAWS IN THE UNITED STATES The workers on this board will have to help decide what is the least on which a self-supporting girl can live decently and keep well; whether the fac tories can stand a living wage at this time; and then, in view of the situation, what is a suitable minimum wage for the girls in the factories. As the persons selected to represent the workers -will not only represent you and the other girls in your factory but all the women and girls in the State who work in paper-box factories, it is important that you name the best people you know for this place. Names may be sent to this office up to December 5, 1921. The letters should be addressed, Minimum Wage Commission, Room 473, Statehouse, Boston. In making the nominations, please give your name, address and occupation, and the same information for the person you nominate. A form for this purpose is inclosed. Only the names of those selected to serve on the wage board will be made public. The names of the persons who make the nominations are not published. . The State tries to protect workers who serve on wage boards, by providing that any employer who can be proved to have discharged or in any way dis criminated against an employee because that employee has served, or is going to serve, on a wage board shall be punished by a fine of from $200 to $1,1X10. As the wage board almost always meets in the evening, employees who serve on the board do not have to lose their day’s work. They are paid $4 for every meeting they attend and in addition are allowed their necessary traveling expenses. Will you please give this notice to your fellow workers? The board .is intended to help you. Will you do your part in helping to form this board? Very truly yours, Assistant Commissioner. By means of these letters a large proportion of the women in the occupation were reached, but additional steps were taken in an effort to have the employees participate fully. The commission sent to every employer a notice that wage-board nominations were desired, which was to be posted where the employees would see it. The notice following is a sample of the notices sent out. Notice to Women Employees Regarding establishment of wage board for the--------Purpose of board.—The minimum-wage commission is forming a wage board to determine minimum rates in this occupation. Duties.—The wage, board will have to consider the cost of living for women workers, and the financial condition of the industry, and then decide what is a suitable minimum wage for women engaged in this work. Members.—This board will consist of an equal number of representatives of employers and of the employees in the industry, and a certain number of per sons chosen to represent the public, one of whom will he chairman. Selection of members.—The representatives of employees will be selected from names submitted by the women workers, provided they are sent to the commis sion within 10 days. Qualifications.—The persons nominated should be well informed about condi tions in the industry, and should be such that the entire body of women em ployees may confidently expect from them the fairest and ablest treatment of their interests. . Protection.—The law provides for the protection of representatives of em ployees in connection with their work on the wage board, and makes it a pun ishable offense for an employer to discharge or in any way to discriminate against an employee for such work. Compensation.—Members of the wage board are paid $6 for each day s serv ice. They are also allowed their necessary traveling expenses. Information.—Further information concerning the work of the wage board and the nominations may be secured by addressing the minimum-wage commis sion or by coming to the office, room 473K, Statehouse, Boston. Form for nominations.—Nominations for the wage board may be made m the following way. The form given below is a suggestion for your convenience. It PROCEDURE FOR DETERMINING WAGE RATES 97 Is not necessary to use this. All that is required is the name, address, and oc cupation of the person you wish to nominate, the firm by which she is employed and the same information for the person making the nomination. This should be sent to the Minimum Wage Commission, Boom 473, Statehouse, Boston, not later than _____----------- ——----- Additional nomination blanks may be secured at the commission office. By order of the minimum wage commission. Ethel M. Johnson, Assistant Commissioner, Acting Director. WAGE BOARD NOMINATION FORM FOR EMPLOYEES To the Minimum Waqe Commission, Boston, Mass. I wish to nominateof___ (Name of person nominated) (Address" of”person nominated”)' who /is employed ” ' .......... " as lhas been employed as by (Give occupation, present or former, if person is not now employed) ------------------- -------------------------------to (Name and address of employer) employees on the_ represent the wage board, because- _ (State qualifications of nominee) . (Town or city) I am a resident of--------------------------------------------------------------is--------------------------------------Date My occupation X am employed by (Name and address of employer) (Signature) form of nomination at the bottom of this notice is similar to that sent out in each letter to the individual employers and employees. Moreover, if the number of nominations sent in response to the letters, posters, and advertisements was not sufficient, meetings at the statehouse for the purpose of securing nominations often were held. This step frequently was necessary in securing employee mem bers, for this was the group least inclined to interest itself actively m the formation of the wage board. In the early days of the Massachusetts commission, those engaged m an industry, either employers or employees, could nominate whom they pleased. In this way a number of members of the early wage boards, and more particularly the employee members, were not con nected with the industry under discussion. This may have been of advantage, especially for the employees, in that people could be obtained who were not afraid to say what they thought and who were more articulate than the average woman wage earner. It had the disadvantage, however, of bringing in people who were not thoroughly familiar with the problems under consideration. If this rule was to aid in obtaining a large number of nominations for wage-board mem bers it failed of its purpose. It was practically abandoned after the consolidation, and most of the employer and employee members of the later wage boards were connected with the industry involved. In spite of the many ways of soliciting nominations and the care with which the plans were carried out, the commission was not alto gether successful in getting a sufficient number of nominations from either group, since an amendment to the law passed in 1920 gave the 98 minimum-wage laws in the united states commission power to complete wage boards for which there were not twice as many nominations as the number of places to be filled. This would mean that the commission’s experience had been that fewer than 12 nominations were made by each group. Undoubtedly there was no definite attempt to control wage-board memberships through making so few nominations that the commission could exer cise no choice in its appointment of wage-board members, but rather the lack of nominations resulted from inertia. The Massachusetts experience, therefore, has been that it is extremely difficult to secure employee members for the wage boards, and that even in the employer group* the response has been less than was needed to carry out the original plans of the commission as enacted in the 1914 law. Methods used by the States where the law does not outline the com.mission’s procedure.—In only five States—California, the District of Columbia, Kansas, Washington, and Wisconsin—are any reports available as to how wage boards were organized by the commissions.® The District of Columbia is the only one of these that has followed in detail the plan of nominations by employers and employees set forth in the Massachusetts law. Before its first wage conference was organized, the District of Columbia Board (the commission) issued the following rule: The employers in the industry under investigation shall he asked to nominate as their representatives six of their number; the employees in that industry shall he asked to nominate as their representatives six of their number; each member of the board shall nominate three representatives of the public. The board will, in so far as is possible, name and appoint the members of the conference from the persons so nominated, and designate the chairman thereof. The board will fill all vacancies on a conference, if possible, from the remain ing nominees.* 7 To secure these nominations the District Minimum Wage Board (the commission) used any employers’ organizations that existed and only resorted to the Massachusetts plan of getting in touch with the individual employers in trades where there was no organization. When this latter plan was used, the small size of the territory al lowed the commission to call the individuals together for a meeting, where nominations were made. To obtain the employee members meetings always were held. Attendance was secured through news paper notices and posters in the places of employment. In organiz ing wage boards the fact that the law applied to a territory less than 10 miles square was important and made the District of Columbia situation very different from that faced by the States. Particularly in obtaining employee representatives, the commission was able to have its agents get in touch personally with practically all the women. Also, if a meeting was held, everyone in the occupation or industry that it was proposed to cover by the decree could attend at .small cost and with little effort. This resulted in an unusual response on the part of the employees. In the first two boards, the printing and publishing and the mer cantile, representative groups of employees met and nominated the members of the employee group on the wage boards. The employers 0 No wage boards ever were held in Arkansas, Colorado, Nebraska, and Texas, bureau has no information on methods of selection in Oregon and North Dakota. 7 District of Columbia Minimum Wage Board. Second annual report, 1919, p. 9, The PROCEDURE FOR DETERMINING WAGE BATES 99 in the trade also nominated their own representatives. The com mission found impartial and representative citizens willing to serve as the public members. The practical application of the law prob ably approached more closely the theory of minimum-wage laws than that in any other State. This situation, however, did not hold so true for the next two wage boards—the hotel and restaurant board and the laundry board. The employer and public groups were as representative as in the first two cases, but it became increasingly hard to obtain adequate employee representation. It was not only more difficult to get the women to serve originally, but they dropped out after one or two meetings and new ones had to be found to take their places.. This was particularly true of the laundry board. It may be possible to explain this change on the ground that the first two industries employed large numbers of skilled and very able women, a type necessary for the work required. This provided an unusual group which took a much greater interest than could nor mally be expected among week workers and among whom there was an exceptionally high proportion of women capable of serving efficiently on a wage board. It is also true that in the laundry in dustry, where the greatest trouble with employee representatives was experienced, the vast majority of the women were negroes and formed probably one of the most inarticulate working groups in the city. It is true further that employers’ opposition to the mini mum-wage law was much more pronounced in the hotel and restaurant group and the laundry group than in the others. The most opposition to the law was round among the laundry owners. How much this accounts for the difficulty of obtaining employee rep resentatives in the occupations can not even be estimated, but it is too interesting a fact to be overlooked, particularly in the light of the very successful cooperation of all groups in the forming of the first two wage boards. The only other State that has ever had unorganized employees nominate wage-board members is California. This plan, however, was never used there to anything like the extent to which it was used in Massachusetts and the District of Columbia. The following notice, posted in the establishments, shows how these nominations were secured: To the women employees in the mercantile industry: After completing extensive investigations in the mercantile industry of Cali fornia, the Industrial Welfare Commission is now prepared to proceed to its next duty: The fixing of a minimum, or lowest, wage to be paid to women and minors. It is the duty of the commission to call into existence a wages board, or conference of employees and employers. On Tuesday, March 20, the women employed in this establishment are re quested to select their representative to sit on the wages board. This board consists of employers and employees, whose duty it will be to recommend to the Industrial Welfare Commission a minimum wage for women and minors, the proper wage for apprentices, minor and adult learners, and the method for their promotion and advance. This selection of representatives will be as follows: (a) No woman can be selected who has not had at least two years’ experience in the industry. A woman of experience and good judgment is desired. (&) Women who are buyers, heads of departments or office employees are not eligible. (o) The election is to be by secret ballot, and all women employees in the establishment are requested to thus show their preference for their repre sentative. 100 MINIMUM-WAGE LAWS IN THE UNITED STATES (d) The woman receiving the highest number of votes will be eligible to the conference of employees’ representatives, which will be held in the office of the Industrial Welfare Commission on call. From this conference the Industrial Welfare Commission will make its choice of three or five women for the wages board. The law provides that for the few days the wages board is sitting a fee of $5 per day and necessary traveling expenses will be paid. Industrial Welfare Commission Union League Building, northeast eorner Second and Hill Streets, Los Angeles, Calif. 525 Market Street, San Francisco, Calif. Sutter 2538. In California, as in the District of Columbia, a departure was made from the Massachusetts procedure in that nominations for the employer members were secured if possible from the employers’ or ganizations in the industry. California also asked for nominations from any unions existing in the industry under consideration. Any one wage board, therefore, would be composed of members selected by the commission from nominations made by organized employers and employees and by unorganized employees, and members chosen directly by the commission. Kansas, Washington, and Wisconsin all sought at different times to have the nominations for wage-board members made by the organized employers and employees, respec tively. In Kansas, to secure members, the rule was made that the employee representatives need not be workers in the trade in ques tion. The commission originally selected these representatives, but for the later wage boards they sought nominations for the employer and employee members from the organizations in these groups and selected only the public members. Washington has perhaps experi mented more than have most of the States m trying to find the best way to obtain good wage-board members. Originally “ each member of the commission nominated three or more persons they knew per sonally or by reputation, or with whom they had come into contact during the preliminary work, for each place in each conference.”8 To get iheinbers for the series of wage boards held in 1914, the com mission considered for each conference between 50 and 60 people, whose qualifications they investigated personally. In some of the later wage boards, nominations were secured from employers’ and employees’ organizations, but ultimately the commission returned to their original plan of “hand picking” the wage-board members. Wisconsin departed somewhat from the plan of having the commis sion select the public members, when it conferred with the employer and employee representatives, nominated by the various organiza tions among these groups, before appointing the public representa tives. The three main plans—action of individual employees and em ployers, action by organizations of employers and employees, and direct action—all have been tried by the various commissions. All have met the same difficulty in getting people who are equipped to serve and willing to do so. Methods used by commissions in obtaining new members for a wage board if old ones dropped out. In most of the States the commissions have assumed that if one member dropped out the commission then could appoint a substitute Washington Industrial Welfare Commission. First biennial report, 1913-14, p. 51. . PROCEDURE FOR DETERMININ'G WAGE RATES 101 to take his place. This substitute had the same powers as the origi nal member. In Washington there seems to have been some doubt as to whether the commission could thus fill vacancies. The difficulty was surmounted by the commission’s appointing three alternates for each group, with the understanding that they were to become regular members if the original appointees dropped out. In some of the States, if only one member dropped out the board continued its deliberations with the unbalanced membership. This was true, for example, in Minnesota, where, since the board was only advisory, it was not felt that it was vital to maintain the balanced relation among groups. Though there is no record of a decision on this question, it must have been held that if the board was organized with a balanced member ship the provisions of the law were executed. In Massachusetts, however, the question of the commission’s power to fill vacancies occurring on wage boards proved a very vexatious one. Soon after the corset board was organized in 1915 a member dropped out. When the attorney general was asked what was the proper procedure for filling a vacancy on a duly organized wage board, he replied that “ there is nothing in the act giving specific authority to your com mission to fill vacancies upon a wage board. * * * I think it is extremely doubtful if your commission has such power. * * * I think it unwise for your commission to attempt to fill vacancies until such time as you may receive further legislative authority.” lie then went on to point out that if the unbalanced membership resulted in recommendations unfair to the group that had been reduced in membership, the commission always had the power to reject such recommendations.9 The chairman of the corset wage board felt very strongly that any recommendations made by an in complete board probably would be invalid. In this dilemma the meetings of the corset board were suspended, and several years later a new investigation was made and a new wage board was organized; but in the meantime over six years had passed between the time that the commission made the investigation and determined the need of a minimum wage in the corset industry and the time that the decree became effective. In the face of possible recurrences of this impasse, the commission advocated an amendment to the minimum-wage law giving it the specific power to fill vacancies on wage boards. In 1919 the legislature passed this amendment. Though in most States this question of vacancies on wage boards has caused no trouble, other than the inconvenience of trying to dis cover some one else willing to perform the service,'the situation that arose in Massachusetts caused a serious delay in the functioning of one wage board and was a constant threat to the others. Moreover, the varying interpretation of the two clauses in the laws is extremely interesting. Only in Massachusetts was there a definite questioning of the commission’s powers to fill vacancies, or of the power of a properly organized wage board to function if its membership lost the balance between employers and employees through resignations. The situation has been described at length not alone because of these specific points but to illustrate how hampered a commission may be by not having express powers granted to it. Implied powers may • Attorney general’s opinion, Oct. 5, 1915. Typewritten copy. 102 MINIMUM-WAGE laws in the united states always be questioned. The detail of all the minimum-wage laws seems extremely burdensome, but there have been so many questions raised as to the laws' interpretation which have balked their effective func tioning that only the care with which the commissions’ powers are listed has prevented serious curtailment of their activities. SUMMARY At the risk of overmuch repetition, it seems wise to summarize here the exact place held by the commissions and the wage boards in the determination of rates. I. Commissions required to determine rates: Arkansas. Colorado (1913). Kansas (1921). Texas. II. Calling of wage boards, to determine rates, optional with the commission: California (1913). Colorado (1917). Minnesota. III. Commission required to call wage boards: A. Formal report on amount of wage by wage boards as a basis for tlie decree— District of Columbia. Kansas (1915). Massachusetts. Nebraska. North Dakota. Oregon. Washington. B. Wage boards recommend rate to commission— California (1921). Wisconsin. IV. Report of wage board on amount of wage only to aid commission in determining rates: California. Minnesota. Wisconsin. PROCEDURE PROVIDED FOR WHEN COMMISSIONS ARE TO DETERMINE THE AMOUNT OF THE WAGE Under the powers of investigation granted the minimum-wage commissions in the laws and discussed in an earlier section of this report, the commissions have ample authority to gather all the facts they feel it is necessary to have in order to decide what the minimum rate should be. Instead of turning this information over to a wage board, they are required in Arkansas, Kansas, and Texas, and origi nally were required in Colorado, to determine for themselves* how much it is necessary to pay a woman for her to be self-supporting. In California and Minnesota they could set the decree with or with out the assistance of a wage board. None of the laws specified how the decision as to the amount of the rate was to be reached other than to say that the decision of the majority should be the decision of the commission. By this method the possibility of various time-consum ing disagreements on the part of the wage boards is avoided, and the commission, which must assume responsibility for the award, takes all the steps leading up to setting the rate. PROCEDURE FOR DETERMINING WAGE RATES 103 PROCEDURE PROVIDED FOR WHEN WAGE BOARDS ARE TO DETERMINE THE AMOUNT OF THE WAGE In most of the States the commission is required to call a wage board to determine the amount of the rate. It is, of course, in these States, where the work of the wage boards is most responsible, that their powers and duties are most carefully outlined in the laws. Though no instructions, or only very general instructions, are given the commissions as to how they shall proceed in determining the amount of a rate, the procedure of the wage boards when doing this same work is rather carefully defined. Work laid out for wage boards in the laws. The only duty of the wage board is to determine the amounts of various rates that are to appear in the minimum-wage decrees, more particularly the amount which represents the cost of living for an ex perienced woman worker. It has no responsibility for administration or enforcement, but can concentrate on this one point. In all the States it has been the rule to interpret this cost of living as the cost for a single woman living away from her family and having no aid from any source. In every State except Colorado (1913), Massachusetts, and Nebraska the law gives the wage board power to find this mini mum rate without any reference to the ability of the industry to pay the rate set. In Colorado (1913), Massachusetts, and Nebraska, how ever, the wage boards, after determining the minimum cost of living, were directed to consider the financial condition of the industry before recommending a rate. In all the States the report of the wage board is complicated further by the fact that the laws clearly contemplate the possible establishment of different rates for experi enced and inexperienced workers, for adults, and for minors. Whether the wage board is to report simply on the rate which will represent the cost of living for adult experienced women or for all the various age and experience groups in an occupation or industry is indicated in the laws. Table 26.—Regulations governing the reports of wage boards to the commissions, by State To report on— State California......... ............. Colorado (1917)_____ District of Columbia _ Kansas (1915)______ Estimate Time of mini rates for mum women wage and rate for minors women Piece rates for women and minors Rates for learners Rates for Reasons lor and ap minors decisions prentices Vote needed for official report X X X X X Minnesota__________ North Dakota______ Oregon_____ ____ ___...... Washington.............. 1 X Wisconsin____ ____ _ X — 60769°—28------ 8 X X X X X X X x x X x X X X v Majority. Majority. Majority. Two-thirds (1912) majority (1913). Majority. Two-thirds. Two-thirds. 104 MINIMUM-WAGE LAWS IN THE UNITED STATES This table shows the different groups of workers which the laws require a wage board to consider and for which it must recommend rates. It is possible for a commission to request a board to set rates in greater detail than is specified in the law. As a usual thing, how ever, the commissions have preferred settling the details themselves, unless the law specifically inquired this of the wage boards. In California few wage boards have handed in a formal report. They have offered suggestions on points that were particularly in dispute and sometimes have referred two sets of rates to the commission, when they could not get a majority for one grouping. Their whole attitude has been that they were there to talk things over, so that the record of their meetings, showing their viewpoints, could be a guide to the commission when it determined the rates. In Wash ington, where the legal requirement as to the type of report is very similar to that in California, the wage boards have given the commis sions a formal report on the rate for adult experienced women but the commission has worked out the rates for apprentices and minors. In Wisconsin the advisory wage boards’ reports have been closely followed by the commission in its orders, but in this case the various members of the commission have participated fully in the work of the wage board and aided it in forming its determinations. In the District of Columbia, Massachusetts, North Dakota, and Oregon it has been customary for the wage boards to hand in formal reports covering all the points required by the law and sometimes such other questions as the commission might request. While most of the laws have indicated clearly that different rates should be considered according to the method of payment and the age or the experience off the worker, a majority of them have been particularly careful to express a special attitude toward rates of pay for minor workers. The following table presents a detailed analysis of the phrases used by the laws in discussing the principles that shall guide the wage boards or the commissions in determining wage rates for minors. The real difference in principle between setting rates for adults and setting rates for minors is clearly brought out. Table 27.—Basis for setting wage rates as expressed in laws, by State Same for women and minors State California........................... ......... Colorado: 1913.................. ..................... . 1917_______________ ____ X X X X X X Minnesota............. ....................... . Nebraska_______ ____________ North Dakota.......................... . For minors To supply Reason able Suffi To supply Suitable Separate necessary wages and cient for necessary for female Suitable procedure cost of not detri living cost of employee for by com minors proper proper mental over 18 mission living to health wages living Kansas: 1915.............. .......................... . 1921_____________________ Texas............................................... Washington__________________ Wisconsin.................................... . For women X X X X X X X X X X x X X X x X X X X X x PROCEDURE FOR DETERMINING WAGE RATES 105 Five States—California, Kansas (1921); Minnesota, Texas, and Wisconsin—seemingly treat adults and minors on the same basis, expressing the principle that a living wage should be obtained by the rate set for all women or minors. Washington speaks of a rate to supply both groups with the necessary cost of living, but provides for having the commission determine the rate for minors without any wage board. Six other States—Colorado (1917), the District of Columbia, Massachusetts, Nebraska, North Dakota, and Oregon— have a similar provision permitting the commission to set rates for minors directly. The phrase most commonly used in describing the rate to be set for minors is “ suitable wage,” which is certainly far from synonymous with “ living wage.” Moreover, in several of the States (see Table 26) the law does not specify that the wage boards shall make any report whatsoever on minors, thus tacitly leaving this determination to the commissions. With respect to learners or apprentices a study of the two foregoing tables (26 and 27) shows how definitely the laws contemplated that they should receive special treatment in either the wage board’s report or the commission’s decree. These differentiations are worth considerable attention, because they show clearly that the laws never even contemplated a sweeping determination establishing a rate that would cause women either to lose their jobs or to be paid more than they were worth, but that instead they contemplated a series of minimum-Avage rates according to the kind of worker affected. In most of the States the wage boards were to play a large part in determining just how great these variations were to be. From the relatively clear proposition with which this discussion began—that they were to determine the cost of living for an adult experienced woman—it is now realized that once this was done they might be called upon to determine what proportion of this sum should be paid a minor worker, and what should be the relation between the amount received and the length of time the worker, Avhether an adult or minor, had been in the industry or occupation. The final report of a wrage board whose recommenda tions were to form the basis for a decree might be simply a rate for adult experienced women or it might be something like this: I. Rate for experienced adult. II. Rate for experienced minor. III. Rate for inexperienced adult. A. Rate for no experience whatsoever. B. Rates for varying degrees of experience. IV. Rate for inexperienced minor. A. Rate for no experience whatsoever. B. Rates for varying degrees of experience. In those States where the wage board reported only on the rate for adult experienced women, the commission filled in the other items in what it considered was a proper relation to the rate recommended by the board. Powers granted the wage boards. That the boards may have all the facts necessary to reach tenable conclusions, the laws usually have given them definite powers of investigation. Only California, Washington, and Wisconsin have not felt the necessity of giving their boards special powers. This probably is due to the fact pointed out earlier in the report that the 106 MINIMUM-WAGE LAWS IN THE UNITED STATES boards in these three States are either advisory or required to make only very general recommendations. In all the other States either the boards have full power to investigate any necessary subject or the law orders the commission to furnish the boards with any informa tion they may need. Commissions’ power over work of wage boards. Earlier sections of this report have discussed in detail the com missions’ powers with respect to calling wage boards and filling va cancies in membership that occur during the boards’ deliberations. Besides the power to call and appoint the boards, the commissions are, in most States, given a large measure of control over the boards’ activities. In all the States where wage boards may be called, except Colorado and Wisconsin, the commissions determine the mode of procedure. In addition, in six of the laws—those of California, Kansas (1915), Massachusetts, Minnesota, Nebraska, and Washing ton—the commissions are made the sole judges as to what is valid procedure by the wage board and what are valid recommendations for it to make. Not only is each step taken by the wage board under control of the commission, but the final report of a specific wage board imposes no obligation on the commission. In all the laws where the rate set by the wage board must be the basis of the decree issued by the commission (those of Colorado 1917, District of Colum bia, Kansas 1915, Massachusetts, Nebraska, North Dakota, Oregon, and Washington) the commission has the power to accept or reject any of or all the wage-board recommendations. In all these laws except that of Nebraska the cortimission is given specifically the fur ther power to recommit the subject to the same or a new wage board. The commission therefore not only may guide the wage board in its deliberations but may refuse any number of wage-board decisions. That the commission alone is considered to be responsible for the rate set is clearly shown by the extent of these powers. The next section of this report, on the actual work of the commissions and the wage boards, will show that the commissions either have set the rate themselves or have accepted the responsibility for the final result, and that they not only have guided the wage boards with care but in some cases have refused to accept wage-board reports of which they did not approve. SUMMARY Up to this point in the report, the organization of the commission itself has been discussed, both as to the laws’ requirements and as to the ways in which the actual commissions have been constituted and have conducted their work of investigation before the setting of a wage rate. This and the next chapter take up the steps necessary to bring about, legally, the establishing of a minimum-wage decree. This chapter has dealt with the powers given both the commissions and the wage boards in the laws and the actual organization of the specific wage boards, this latter having been done for the commissions’ organization in an earlier chapter. The chapter following describes how the minimum-wage decrees were established in practice, whether directly by the commissions or through wage boards, and prepares the ground for a discussion of the provisions of those decrees. CHAPTER VI.—PROCEDURE USED IN DETERMINING PROVISIONS OF DECREES DECREES SET BY THE COMMISSIONS WITHOUT WAGE-BOARD PROCEDURE Seven States—Arkansas, California, Kansas, Minnesota, Texas, Washington, and Wisconsin—have set some of or all their decrees through commission action without the organization of wage boards. The California commission has set 32 of its 40 decrees directly. Min nesota had advisory wage boards only before the six decrees set in 1014. Wisconsin had no wage boards organized solely for the in dustry under consideration before its orders for pea canning and for cherry, corn, bean, and tomato canning. The table following shows the orders set by the commissions without wage-board recommenda tions. Washington lias been included in the table because it has in corporated its special provisions for apprentices and for minors in orders distinct from those covering experienced adults, and in ac cordance with its law has established these rates without wage-board procedure. 107 Table 28.—Decrees issued by commissions without wage-board action, by State and year State and industry Year Arkansas California Kansas Minnesota 1917........... Fruit and vegetable canning. Fish canning. 1918........... Fruit and vegetable canning. Fruit and vegetable packing. General and professional of fices. Unskilled and unclassified. Manufacturing. 1919........... Fruit and vegetable canning. Mercantile. Fish canning. Laundry and dry cleaning. Fruit and vegetable packing. General and professional of fices. Unskilled and unclassified. Manufacturing. Hotels and restaurants. covered in 1914. Washington Wisconsin Mercantile occupations (minors)1. Manufacturing occupations (mi nors).1 Laundry and dye works occupa tions (minors).1 Telephone and telegraph industry (minors).1 Telephone and telegraph industry (minors). Office employment (minors) .4 Hotel and restaurant occupations (minors) A Mercantile occupations (appren tices).3 Manufacturing occupations (ap prentices) .3 Laundry and dye works (appren tices) .3 Telephone and telegraph (appren tices).3 Office employment (apprentices) .3 Mercantile, manufacturing, print Pea cannings ing, laundering or dye works, sign painting, machine or repair shop, parcel delivery service, telephone or telegraph, office, hotel and restaurant (minors). Pea canning. Mercantile industry (appren tices).3 Laundry (apprentices).3 Telephone and telegraph (appren tices).3 Office (apprentices) .3 Mercantile industry (apprentices)4. Pea canning.4 Manufacturing industry (appren Any occupation, trade, tices).4 or industry— Office occupations (apprentices).4 Home workers.5 Transient milliners (apprentices).4 Any occupation, trade, or industry— Intermittent workers.4 MINIMUM-WAGE LAWS IN THE UNITED STATES 1914-15".. Texas 1920........... Mercantile (Fort Smith). • Manufacturing. Mercantile. Fruit and vegetable canning. Fruit and vegetable packing. Unclassified occupations. Manufacturing. Hotels and restaurants. Nut cracking and sorting. — All industries. Public housekeeping (minors)........ Pea canning. Cherry, bean, corn, and tomato canning. Tobacco stripping. Beauty parlors. Public housekeeping (minors)___ All occupations and industries other than public housekeeping (minors). , All occupations and industries other than public housekeeping (minors). Pea canning.8 Cherry, bean, com, and tomato canning.8 Pea canning. Cherry, bean, com, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, com, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, com, and tomato canning. 1 Issued at the same time as the decree for adults in this occupation. Though the wage board did not report on minors, they were discussed, and it may be said that the decree for minors is, at least in part, the result of wage-board deliberation. 3 Exact date uncertain, but probably issued at this time. 3 Circular or schedule, but having the force of a decree. 4 Circular or schedule, but having the force of a decree. Date uncertain, but probably issued at this time. 8 May be considered as following the general wage board held in this year. No specific wage board for this group alone was organized, the rates established by all orders from 1919 on being the rates worked out by the commission. 109 PROCEDURE USED IN DETERMINING PROVISIONS OP DECREES Mercantile (Fort Smith and Lit tle Rock). Any industry- Fruit and vegetable canning. Mercantile. Fish canning. Laundry and dry cleaning. Fruit and vegetable packing. General and professional of fices. Unclassified occupations. Manufacturing. Hotels and restaurants. 110 MINIMUM-WAGE LAWS IN THE UNITED STATES In California, Kansas, and Texas methods have been worked out whereby a series of public hearings and conferences brings before the commission the opinions of the groups affected by the law, with the idea that this serves as a substitute for wage-board meetings and investigations. In Arkansas and Minnesota public hearings have been held before the decrees have been announced, but only one public hearing has preceded each decree. The Arkansas law provides for a flat rate for various industries and occupations and then gives the industrial welfare commission the power to raise or lower this rate. The commission exercised this power to issue the two mer cantile orders. It had before it the records obtained in enforcing the flat rate and in 1920 it also had a budget, but the source of this cost-of-living material is not given. In addition any one could pre sent material at the public hearing. In Minnesota the rate was revised on the basis of the increase in the cost of living since the 1914 decrees were established. It is difficult to see how a decree set with so little reported consultation with the groups most closely affected could avoid the danger of being theoretical or based on the experience of too small a number of persons. It is undoubtedly easier, though, to use this quick method in revising decrees, as was done in Arkansas and Minnesota. The procedure in both these States was so brief that it is hardly comparable to the procedure developed in California, Kansas, and Texas. In Washington and Wisconsin the decrees issued directly by the commissions all cover groups of workers or industries that present special problems, such as minors and apprentices in Washington and canning in Wisconsin. The Washington commission was authorized in its law to set rates for minors and for apprentices without wageboard procedure. There was no legal prohibition that prevented the wage boards from considering these two special groups if the com mission so desired. In the first Washington boards, held in 1914, the discussion of these groups formed an important part of the wage boards’ deliberations, but the commission pointed out to the boards that too much time must not be spent on these points, since no report on them was to be made. After 1914 no board seems to have con sidered these groups. Indirectly, however, their rates were the result of wage-board procedure, because the commission established its rates for minors and apprentices to fit into the scheme of rates recommended by the wage boards for adult women. Moreover, the special studies or efforts of any sort made by the commission to get information about these groups were with the view of fitting their rates into their proper relation to those of the adult women. The Wisconsin commission has had its agents make special studies of the industries or occupations for which it has set decrees with out wage-board procedure. The commissions have based their rul ings on the findings of these investigators. In Wisconsin, after a general wage rate for all industries was issued in 1919, following wage-board meetings and public hearings in a number of cities in the State, the commission’s effort in all these special decrees was to establish a wage rate that would work out to equal the general rate but would meet the peculiar problems of the group in question. In PROCEDURE USED IN DETERMINING PROVISIONS OP DECREES 111 both Washington and Wisconsin, therefore, this is a method of sup plementing wage-board procedure by having the commission deal with special problems, rather than a substitute for wage boards. It is not the same sort of substitution as took place in all the other States. California is the main exponent of having wage rates set directly by the commission without wage boards. Not only has California issued by far the greatest number of orders by this direct method but it has worked out the most careful and uniform procedure. In every year in which a number of decrees have been issued, except 1918, the commission, through the investigations of its agents, has collected a body of material on living costs for the independent woman and on current rates and earnings before attempting to consider at what sum a wage rate should be set. In all cases before setting a rate a series of conferences has been held by the commission as a whole or by one or more of its members to discuss with employers and em ployees in the occupations in question not only how much the rate should be but the details of interpretation in regard to minors, appren tices in different occupations within an industry, etc. In most cases the conferences were presided over by the one woman member of the commission, who also was its executive officer. Employers were in vited to one session, employees to another. Often a group within an industry that had special problems would be invited to a special conference; for example, the citrus-fruit packers, who had a special conference before one of the general decrees for fruit and vegetable packing was issued. Sometimes these special conferences produced problems that could not be taken care of under the general decrees and special decrees were issued, as the 1923 decree for nut cracking and sorting. In addition to the conferences with industrial groups selected by the commission, at least one public hearing was held before a decree was issued, at which anyone interested could appear and present evidence on any relevant point. Stenographic notes were kept on all important points brought out by the conferences and hearings, and the commission had access to this material as well as the material collected by its agents when it made a final decision on a wage rate. In Kansas a series of public hearings was held throughout the State before the 1922 decrees were set. The full court of Industrial relations presided at these hearings, at which anyone might present testimony on living costs, business conditions, etc. Though the meet ing was open to anyone, the court’s agents always attempted to seek out people who could give valuable testimony, both employers and workers, and have them attend the hearings. A stenographic tran script of the hearings was kept for the future use of the commission. Besides the widely varied material presented at these hearings, the commission had a study of women’s rates and earnings under the old decrees, made by their agents and the Women’s Bureau1 of the United States Department of Labor, and a cost-of-living study also made by the commission’s agents. It was on the material from these three sources that the Kansas Court of Industrial Kelations based its decisions. 112 MINIMUM-WAGE LAWS IN THE UNITED STATES In Texas, before the commission set its one wage rate, a state wide study of wages and cost of living was made by the commis sion’s agents. In addition, public hearings were held in many cities and towns to obtain information and opinions. The procedure of having formal public hearings in order to supplement material gathered by the commission’s agents was much like that followed in Kansas. Practically, the methods used in these three States were similar— commission investigations, supplemented by testimony from those persons so affected by the proposed decree or so interested in the law that they gave their information and opinions. In holding public hearings the great drawback was that it was necessary to wade through a great deal of chaff to get at a little valuable information. California, the only one of these States that had had several years’ experience with the commission’s setting rates without wage-board action, relied much more on the conferences than on the public hear ings for worth-while information. The people who were requested to attend these conferences knew the field they were discussing. They could speak more freely than at a public hearing. Moreover, undoubtedly there were many people who would come and testify at the commission’s request who would not take the trouble, or who would not have the courage, to go to a public hearing. The Kansas attempt to invite certain people to the public hearings sought the same end as did the conferences in other States, but in finding substitutes for wage-board procedure it seems reasonable that more than public hearings are necessary. The great difficulty of getting employees to serve on wage boards has been described in detail. This group was, if anything, even more loath to appear at public hearings. Probably the conference between the commission and employees alone would produce franker statements of difficulties than would any other method. Whatever means of obtaining infor mation was followed by the commissions, the aim df all was to get the reactions and information of .all interested groups. Whether this was possible without wage boards is a point still under dispute. WAGE BOARDS—ORGANIZATION AND WORK PERFORMED The wage boards organized under these laws always have aroused a great deal of interest. Under the auspices of the State, employers, employees, and the public were to decide wage rates for woman workers. The plan has been attacked as unworkable. On the other hand, it has been lauded as a means of bringing together unfamiliar and opposing groups, getting them acquainted, educating them in each other’s problems, and thus providing a way to solve rationally problems vital to the Nation. In considering in detail the work performed by the wage boards it must be kept steadily in mind that such boards have been held in but 9 of the 13 minimum-wage States (California, District of Columbia, Kansas, Massachusetts, Minnesota, North Dakota, Oregon, Washington, and Wisconsin), and that 2 of those 9 States, Cali fornia and Minnesota, required no formal reports from their wage boards on which actual decrees were to be based, but rather had PROCEDURE USED IN DETERMINING PROVISIONS OP DECREES 113 them report on various perplexing questions that varied from board to board. It is the work of the boards in the District of Columbia Kansas (prior to 1921), Massachusetts, North Dakota, Oregon, Washington, and Wisconsin, with California and Minnesota included wherever the material is comparable, that will be studied in as great detail as available records make practicable. Whether it is possible to make any final judgment of the value of wage boards, when they have been so few, is open to* question. The table following shows the wage boards held in the various otates: Table 29.—Industries for which wage boards were held, by State and year — . ^ Industry or occupation i Manufacturing 1913 Massachusetts. Oregon---------- Brush. 1914 Massachusetts. Minnesota___ Oregon_______ Washington__ Mercantile Candy (two boards) XX. Canning. 1915 Massachusetts. 1916 California_ _ Kansas______ Massachusetts. Oregon______ Oregon. 1918 Kansas______ Massachusetts. Telephone Fruit and vegetable canning. Public house keeping Fruit and vege- All in table dustries packing X Laundry and dyeing (two boards) .2 Telephone and telegraph.2 X2 Hotel and restaurant.2 Retail stores. X XX Women’s clothing. X X Laundry and dry cleaning. Men’s clothing. M en ’ s fur ni shi n gs. Muslin underwear.3 Canning. X ........ ............................................................ Retail millinery Wholesale millinery. X Office and building cleaners.3 Oregon--------- --------Washington________ 1919 District of Columbia. Printing and pub lishing. Kansas X Student nurses X X2 Corset____ Paper box. Office X X 1917 California____ Massachusetts. Laundry X Hotels and restau rants. XX X MINIMUM-WAGE LAWS IN THE UNITED STATES State and year Massachusetts. X Oregon......................... Wisconsin X Canning and pre serving. 1920 District of Columbia. Minor confection Massachusetts ery. Paper box. Women’s clothing. Men’s furnishings. North Dakota. Washington-.. 1921 California......... Massachusetts. North Dakota........ . Washington Wisconsin........ ............. Attendants in san itariums. XX Office and building cleaners. X X Garment trades........ X Needle trades. X District of Columbia. . Brush____________________________ Massachusetts Muslin underwear—. Paper box. Oregon.......... Canning. Massachusetts. Fish canning........... . Needle trades. X Druggists’ prepara tions. X Retail stores. X X X X 1922 California___ ____ 1923 California_ _ Public housekeeping and personal serv ice. X X Fruit and vegetable canning. Brush Women’s clothing. Men’s clothing. X X X X X X XX X Laundry and dry cleaning. Telephone and tele graph. 115 1 Column contains a cross (X) or crosses when one or more wage boards were held for approximately the group designated by the heading. If only part of the group covered by the heading was considered, or if other groups were added to the group covered in the heading and the whole was treated as a unit, the actual name of the decree has been inserted. 2 Separate decrees for minors were issued at the same time. The wage board did not report on minors, but they were discussed, and it may be said that minors’ decrees also were issued after wage-board deliberation. 3 Wage board reconvened immediately after reporting to commission to modify report. Constituted only 1 board, as practically no time elapsed before reconvening and few additional meetings were held. • PROCEDURE USED IN DETERMINING PROVISIONS OF DECREES CaDdy. Corsets. Men’s clothing. Knit goods. Table 29.—Industries for which wage boards were held, by State and year—Continued O Industry or occupation Manufacturing 1924 Massachusetts. 1925 Massachusetts. 1926 Massachusetts. Mercantile Laundry Telephone Office Minor confectionery and food prepara tions. Bread and bakery products. Wholesale and retail millinery. Stationery goods. Candy. Jewelry. Toys and games. 4 Public house keeping Student nurses Fruit and vege table packing MINIMUM-WAGE LAWS IN THE UNITED STATES State and year PROCEDURE USED 1ST DETERMINING PROVISIONS OF DECREES 117 Instructions given to wage boards by the commissions. In every State where the wage boards met independently of the commission, the commission adopted the practice of presenting specific questions for the board’s consideration; also, it usually drew up formal statements as to how the board was to conduct its delibera tions, or, in the absence of formal instructions, a member of the com mission indicated at the initial board meeting the methods that it was desired should be followed. In addition, the commission usually presented to the board a body of data showing the informa tion available on the subject under discussion. If the commission had investigated rates and earnings and cost of living, these figures were given to the board. Other pertinent material collected by authoritative bodies, whether State, Federal, or private, was added in many cases to the commission’s own data. The thoroughness with which this preliminary work was done varied greatly from State to State. It varied also from year to year within a State, though in most cases the longer the commission functioned the more care fully it prepared this material for the wage boards. To acid to the difficulty of discussing this important work of the minimum-wage commissions is the fact that the earlier questions, rules, and lists of material are no longer available. The material that still exists has been carefully studied, and it is possible to say that the samples presented from Massachusetts and Washington are typical of the best practice in all the States. If mimmurn-wage laws continue to function, undoubtedly this is one of the ways in which the commissions can aid in securing more intelligent and fairer recommendations from the wage boards, by making sure that each board has comprehensive and accurate information and proceeds in an orderly and thorough way to consider the important points at issue. Only those who have worked with wage boards can realize how much time can be spent discussing nonessentials, how much inaccurate material must be waded through if the commission does not supply the board with adequate data, and how unrelated to the main issues some of the boards’ recommendations have been. The material reproduced from Massachusetts and Washington was presented to boards that met after the commissions had had some years’ experience dealing with wage boards. It represents the sort of instructions and information that time had shown to be neces sary. The Massachusetts commission submits a more complete body of material than does any other State. The information pertains, of course, to the special industry or occupation to be discussed by the wage board to which it is given, but the same type of information is given each board. The following outline, showing what this ma terial covers, is given each member of the board: OUTLINE OF MATERIAL SUBMITTED BY COMMISSION TO A WAGE BOARD Kindly return to the commission at the last wage-board meeting all papers submitted with the exception of those in group “ general instructions ” and the minutes. 118 MINIMUM-WAGE LAWS IN THE UNITED STATES TO THE CHAIRMAN AND MEMBERS OF THE —-------- WAGE BOARD The commission herewith submits to you the rules of organization and procedure for your board, together with various papers for your consideration in fulfilling your duties according to law. Respectfully submitted. Minimum-Wage Commission, By Ethel M. Johnson, Assistant Commissioner, Acting Director. papers 1. 2. 3. 4. 5. 6. 1 General instructions List of papers. List of members of board. Rules of organization and procedure. Suggested form for reporting determinations. Handbook of information for wage-board members. Minimum-wage law. Material on cost of living 7. Itemized cost-of-living budgets adopted by other boards. 8. Outline on cost of living for working girls in Massachusetts cities. [Not a complete study comparable, for example, to those made in California, but a series of price lists, principally for room and board.] 9. Estimate of change in cost of principal items in budget. 10. References on wages and cost of living. [Many from other minimumwage States.] * Material on wage conditions in industry 11. Statement and decree concerning the wages of women in the----- industry in Massachusetts. [Submitted in the case of reconvened or second boards in an industry.] 12. Tables based on inspection reports. [In an industry that had never had a rate set, tables would be based on an investigation.] 13. Report of wage determinations of other Massachusetts wage boards. 14. Summary of decrees entered by the commission to date. 15. Provisions of recent wage decrees in other States. In the group called “ General instructions ” three things are of interest—the rules of organization and procedure, the suggested form for reporting determinations, and the handbook of information for wage-board members. The first two of these are presented here. RULES OF ORGANIZATION AND PROCEDURE FOR TOYS, GAMES, AND SPORTING GOODS WAGE BOARD 1. Jurisdiction of commission.—Under the law the commission is authorized to make rules and regulations governing the procedure of the wage boards and to exercise exclusive jurisdiction over all questions arising with reference to the validity of the procedure and of the determinations of the boards. • 2. Name.—This board shall be known as the toys, games, and sporting goods wage board. 3. Organization.—This board shall consist of three representatives of em ployers in the occupation, three representative's of employees, and one disinter ested person to represent the public, who will act as chairman of the board. 4. Secretary.—The assistant commissioner of the department of labor and industries or her representative shall be the secretary of this wage board. Any additional clerical assistance necessary shall be provided by the assistant com missioner, subject to the approval of the department. No member or members of the board will be permitted to employ a stenographer or other clerk to attend meetings to take a record of the proceedings thereof. » Comments in brackets supplied by report writer of Women’s Bureau, PROCEDURE USED IN DETERMINING PROVISIONS OF DECREES 1]9 5. Scope.—The scope of the occupation includes the manufacture of toys, games, kindergarten supplies, and sporting goods, such as tennis, golf, foot and base balls, tennis racquets, fishing lines, artificial flies, catching gloves, and mits 6. Duties.—It shall be the duty of this board to consider— '. (1) The cost of living and maintenance in health of a self-supporting woman employed in the occupation in question in Massachusetts. w J:lle financial condition of the occupation in Massachusetts and the prob able effect thereon of any change in the minimum wages paid. (3) To determine the suitable minimum rate for a female of ordinary ability in this occupation. (4) In case the board considers age and experience necessary qualifications, to determine suitable minimum rates for learners and apprentices and for minors below the age of 18 years. (5) When a majority of the members of the wage board shall agree upon minimum-wage determinations, it shall be tlieir duty to report such determina tions to the commission, together with the reasons therefor and the facts relating thereto. 7. Meetings.—The board shall m«et for organization upon a date fixed by the assistant commissioner and shall arrange for regular meetings thereafter the time and frequency of the meetings to be determined by the members. 8. Report.—This board is required to submit its report within two months trom the date of the first meeting unless extension of time is authorized bv the commission. 9. Compensation.—'The members of the wage board shall receive the compen sation authorized by law ; that is, $6 for each day’s service. 10. Investigations.—Any investigations or studies which the wage board wishes to undertake, if they involve expense to the Commonwealth, must be authorized by the commission. 11. Expenses.—Members who have to remain in town for meals on account of the wage-board work will be alloived for meals the actual amount expended, not exceeding 75 cents each. In the case of those who come from a distance and are obliged to stay overnight at a hotel the actual amount spent shall not exceed $1 per meal. Hotel bills must be accompanied by vouchers. Kills with attached vouchers must be in the office of the commission by the 1st of the month. THE SUGGESTED FORM FOR REPORTING DETERMINATIONS 1. Rate of wages recommended for female employees of ordinary ability whether time or piece-rate workers. 2. Rate or rates recommended for learners and apprentices and for minors under 18 years of age, provided it is felt necessary to fix a lower rate for these groups instead of a flat rate for all women employed in the occupation. 3. Definition of “ experienced ” worker in case apprenticeship period is required. (It should be noted that the term “ experienced ” is used merely to distinguish the employee of ordinary ability from the learner or apprentice.) 4. Definition of unit on which “ experience ” is to be based, as “ season,” month, “ year.” 5. Definition of “ full-time work.” 6. Date recommended for determinations to become effective. It is interesting to see that for all the care with which the com mission instructed the wage boards, it did not desire to shut out special action that a board might feel was necessary; for example, the commission evidently realized that the need might arise for inde pendent wage-board investigations, for in paragraph 10 of “ Rules of organization and procedure ” it takes notice of this possibility and provides how it shall be handled. Many wage boards have felt the necessity of doing some personal investigation of the cost of living when the differences of opinion among the members have been so wide that it was hard to attain a compromise. Another rule of particular interest is No. 8, on the length of time the board may deliberate. This provision is a recent one, added after it became ' 60769°—§8----9 120 MINIMUM-WAGE LAWS IN THE UNITED STATES apparent that the whole purpose of the law could be defeated by a wage board that indefinitely postponed coming to any conclusions. The material submitted under “ material on cost of living ” and “ material on wage conditions ” is, of course, varied somewhat for each board. The only part that usually is the same from board to board is the suggested form for the estimate of a cost-of-living budget, which follows: FORM FOB ESTIMATE OF COST-OF-LIVING BUDGET1 Minimum required to maintain a self-supporting woman in health and decency Items . Amount (per week) 1. Board and lodging------------------------------------------------------------ $ -----2. Clothing23___________________________________ _____ ?---------------------3. Laundry<$--------------------------------------------------------------------------------------4. Doctor, dentist, and oculist2---------------------------------------$-------------5. Car fares$--------------------------------------------------------------------------------------6. Church?-----------------------------------------------------------------------------------------7. Self-improvement, including newspapers and magazines *--------- .$--------------8. Vacation2______________________________ _______ $---------------------------9. Recreation$---------------------------------------------------------------------------------- -— 10. Reserve for emergency 5 6 7---------------------------------------------------- $-------------11. Mutual association dues8i-------------------------------------------------- $--------------12. Insurance1__________________________________ $-------------13. Incidentals3___________ 4 ■$-------------Total$---------------------------------------------------------------------------------------- Massachusetts is the only State that has had its wage boards regularly take this formal action on a budget. In most States lump sums have been approved, probably to avoid too much time being spent on the discussion of small items in the budget. In Washington, also, the commission adopted careful rules and regulations to govern the selection and procedure of the wage boards. The following paragraphs from “ Rules and regulations governing the manufacturing conference ” [1920] are typical of those in use for any board held at that time. The first part of the rules deals with the methods of selecting wage-board members and has been fully discussed in an earlier section of this report. The part dealing with the procedure of the boards is given here. RULES AND REGULATIONS GOVERNING THE MANUFACTURING CONFERENCE Sec. 6. The first day of the conference shall be open for general discussion. When the conference is called to order by the chairman it shall deliberate under parliamentary law and no question shall be discussed that is not ger 1 This form1 represents the items recommended for inclusion in a cost-of-living budget by the representatives of the public on the reconvened wage boards. 2 For items like clothing, doctor and dentist, and vacation, take estimated expenditure for year and divide by 52. 3 To estimate clothing budget for year, make list of necessary articles with approximate cost. If any item, as coat or suit, is intended to cover expenditure for two years, one-half of the cost should be entered on present budget. 4 Self-improvement represents educational work, as fee for night-school courses, corre spondence courses, lectures, books, concerts, etc. The recent boards have included news papers and magazines under this heading. . . 5 Reserve for emergency represents sum for meeting emergencies that arise during the year, as accidents, illnesses, losses. One board classed this item as “ reserve for deficiency another, “ contingent funds.” . 6 Mutual association dues covers membership in employee benefit associations, borne boards representing industries that are partially organized included in their budgets pro vision for organization dues. More recent boards have substituted membership in mutual benefit associations. , . u. * 7 Insurance usually covers industrial insurance; that is, death benefit. In the case of some boards provision lias been made for sickness insurance. 8 Incidentals includes miscellaneous items which are not represented m other sections ot budget, such as toilet articles, tooth paste, brushes, combs, shoe blacking, stationery, postage, etc. PROCEDURE USED IN DETERMINING PROVISIONS OP DECREES 121 mane to the conditions of labor or cost of living of working women No member of the conference shall be entitled to speak more than twice oil any subject, or more than five minutes at a time, except by unanimous consent of the conterence. Sec. 7. The conference in its deliberations shall proceed on the principle established by the commission that a minimum wage or condition of labor of women shall be general throughout the State as to the occupations in the manufacturing industry. Sec. 8. After proper deliberation and discussion of questions that have been presented to the conference by the commission, the conference shall then upon request of the commission, proceed to make recommendations upon’ such questions as the commission may designate. Sec. 9. The secretary of the commission or office assistant shall be present at each conference and shall record the minutes of the meetings, and shall be ex-officio secretary of said conference. Sec. 10. The commission may amend, modify, or suspend, by a two-thirds vote, any ot the foregoing rules and regulations. Sec. 11. Roberts’ rules of order shali govern swswrawwcaM * “■ felt the need of controlling *>« s.i! As in Massachusetts, the commission has unrestrained discussion. Paragraph 6 does not seem to be so wise as the Massachusetts scheme of setting a time limit when recom mendations must be handed in by the wage board. The lists of material furnished the wage board and the questions on which the board was to report are not available for the manufac turing board, but the material used by the hotel and restaurant board corresponds to that prepared for the manufacturing industry. Pub lic housekeeping conferees were furnished with the following infor mation by the industrial welfare commission: Portland°f(R-egeial report of cost of llvins- giving prices in Seattle, Wash., and A brief review of ail minimum wages in other States and Canada. Copy ot report of Washington, D. C„ hotel survey. the°time°f industl'ial welfare commission Orders No.' 18 and No. 19 in effect at Report of public housekeeping survey. Orders in effect in California, Oregon, and British Columbia, conference °ccupations and establishments covered in public housekeeping Copy of questions to be considered. Cost-of-living blank to be used in discussions. For this particular board the commission does not seem to have study. In most cases it did some work in this held With this exception, the kind of material submitted is very similar to that, listed for Massachusetts. the questions submitted to guide the board in making its report show a very interesting divergence from those used in Massachusetts. I he 'W ashington wage board was not required to take notice of apprentices or minors. This was because the Washington law gave the commission power to determine these points without wage-board procedure. Among questions to be considered by the conferees were the following: f,at miniTm, 'va"e re(luired to supply the necessary cost of living d to maintain, in health, a self-supporting woman emploved in any of the occupations of public housekeeping? Month------------ Week------------ Day________ Hour 122 MINIMUM-WAGE LAWS IN THE UNITED STATES What wage shall part-time workers receive? 3 hours or less_,---------- 1---------- 6 to 8 hours----------- —— ------When a uniform is required, who shall pay for it? Who shall launder it? If the employee, how much shall she be allowed per week for it? When board and room are furnished, how much may be deducted from the WclgG ? Room and board________ Room------------ Meals (3)-----------Breakfast__ Lunch-------------------------------- Dinner---------------- From these samples and lists a good idea of the material with which the wage boards started work is obtained. Their main sources of information usually were the studies made by the commissions and discussed in this report under the work done by the commissions. With a knowledge of what women were being paid and, in most cases, of what they should receive in order to live decently, the board was to arrive at a sum of money which was to be the minimum wage. It would seem that the board could have accepted in entirety the com mission’s cost-of-living studies and adopted the sum, but, though this was the theoretical basis for setting the wage, in most cases it was not possible in practice to carry out the idea that the rate should equal exactly a cost-of-living schedule. As is said repeatedly in this report no one can prove beyond a shadow of a doubt how much it costs a self-supporting woman to live. On this question some wage boards have argued for months, and others have never been able to agree. importance of thorough and inclusive studies by the commis . The sion so that the various elements on the board all would accept the facts presented by the commission as authoritative can not be over emphasized. Wage-boards’ methods of work. In general, wage boards have held frequent round-table discus sions. To these discussions the employer and employee members have brought their special knowledge of business problems and living difficulties. The two sides usually have presented cost-of-living estimates based on what they have considered to be a working wom an’s needs. The public members often have made similar budgets. In a few States committees have been appointed from the board membership to study the cost of living. At times witnesses have been brought before the board by one group or another to prove or disprove points that have been advanced. All this gathering and producing of material has been in addition to that supplied by the commission. An effort usually has been made to discuss one item, such as clothing, and to get rid of all differences of opinion before going on to the next item; sometimes it has seemed better to leave a hotly contested point and go back to it later. The decision as to whether it was necessary to take a vote usually has been left in tbe hands of the individual wage board. There was no legal reason why the board should not record its opinion on every small item, such as whether a woman needed six or eight pairs of stockings a year. Usually, however, a whole budget has come to a vote, or certainly only its major divisions, such as food, clothing, and incidentals, have done so. Though a majority vote on any given point has settled that question, all the boards have made a real effort to have decisions unanimous or subscribed to by the great majority of the members. PROCEDURE USED IN DETERMINING PROVISIONS OP DECREES 123 3 liis often has meant almost endless bickering and compromises that have satisfied no one. These round-table discussions have been the uniform method of wage-board procedure, but it seems superfluous to point out the in finite variety of detail that lias been possible. No one board has conducted itself exactly like any other. The general picture of their work is all that can be given. Some of their special problems will be discussed under the reasons that have caused wage boards to delay J coming to a conclusion. Length of time wage boards have remained in session. It has been pointed out earlier in this report that in some States the time during which minimum-wage laws have been in effect has been shortened by the decrees not being issued until years after the law was passed. In many cases the commissions have moved slowly in establishing wage boards, but in others the wage boards have held up the proper working of the law by protracted discussion. Whether or not delay on the part of the boards has been a main cause of re tarding the day when rates went into effect can be judged from the following statement, which shows the length of time covered by the meetings of the wage boards. Number of boards whose meetings extended over— State Total i 1 or 2 days All States. _* __ __ District of Columbia Kansas ____ Massachusetts Minnesota__ North Dakota _ Oregon ________ Washington. ______ Wisconsin. __ _ _______ _____ 1 Includes all wage __ 96 30 6 6 More than More than More than 3 and including 6 months 3 months 6 months 2including days and 2 40 4 12 10 15 3 41 16 5 1 2 8 26 3 12 3 13 9 1 7 2 1 2 boards for which information was available. California is omitted from this table because its wage boards were organized on a very different basis from those in the other States, where most boards held a series of meetings over a considerable period of time and carried on a more or less continuous discussion of the problems involved in determining a wage rate. Even those boards which met for only one or two days discussed the whole prob lem and gave their recommendations to the commission. In Cali fornia, however, a series of wage boards and wage conferences was held, with no rule that the membership or problems discussed should be continuous. In fact, varied membership usually was sought, so that the opinions of as many people as possible could be ascertained. Conferences differed from wage boards in that their organization was less formal (members usually were invited by the commission to 124 MINIMUM-WAGE LAWS IN THE UNITED STATES attend for a specified period of time) and that they represented only one group, either employers or employees. In both cases the purpose of the meetings was the discussion of some subject that was proving perplexing to the commission, and a single meeting usually sufficed, though in a few cases the wage boards have met two or three times on consecutive days. The conference or board then disbanded and met again only if revived by the commission. Moreover, no conference, and only one or two early wage boards, handed in any formal recom mendations to the commission. The commission set the rates, aided by the information and advice received through wage boards and conferences. Thus it was not possible for California wage boards or conferences to delay minimum-wage machinery by protracted dis cussions, nor would a disagreement among the members disrupt the machinery of setting the rate. Since the other States formally organized their wage boards and awaited action by them as the next step toward setting a decree, delay by these boards was a serious matter. In all States holding wage boards but California it has been pos sible for the wage boards to postpone indefinitely the setting of a rate by protracting their meetings. The powers given the commis sions probably are so drastic that boards could be required to report after a given period of time, but usually the commissions have pre ferred to keep their hands off when once a board was organized. That wage boards on the whole have conducted their work expedi tiously is one indication of the willingness of the groups concerned to carry out the law. Three months may seem a long time for a wage board to remain in session, but it may be excused when the difficulty of getting busy members together from various parts of the State is considered,' and when it is realized that considerable time must elapse between sessions while necessary material is being gathered. Three-fourths of the wage boards (74 per cent) have consumed three months or less in their meetings, and one-third of them (32 per cent) have taken only one or two days. Time longer than three months would seem to need some explanation. In the District of Columbia—where an entire budget was given minute attention, where the boards were composed of very busy people, and where there were serious differences of opinion to be smoothed out— only one board took more than two months for its deliberations. In the States where distances are great, undoubtedly some additional time, due to the difficulty of getting members together, was justi fiable. The following table shows that the great majority of the boards have gone ahead and finished their business expeditiously, but it also shows that some boards have spent long periods of time struggling to reach an agreement. Since one of the greatest prob lems in connection with these laws has been the proper functioning of the wage boards, some of the problems that so delayed these boards or that prevented them from reaching and reporting a con clusion will be discussed. These problems have been serious ones and they constitute some of the difficult points in setting rates that have never been authoritatively settled. Of the boards that have had unduly protracted meetings, only those of Kansas and Massachusetts present extremely long delays. Table 30.-—Length of time covered by wage-board meetings, by State Wage boards which met for— State and date of first specific act leading toward a decree Under 1 month 1 District of Columbia: 1919 .............. Over 2 and under 3 months Over 1 and under 2 months Printing and publishing. Mercantile. Hotel and restaurant. Over 3 and under 4 months Laundry (second). Over 4 and under 5 months Over 5 and under 6 months Over 6 and under 7 months Over 7 and under 8 months Over 8 and under 9 months Over 9 and under 10 months Over 10 and under 11 months Over 11 and under 12 months Over 1H and under 2 years Mercantile (reconvened). Laundry (second). Mercantile. Kansas:* Manufacturing. 1918........................... Telephone (X). 1919........ .................. Manufacturing (X). Massachusetts: 1913.......................... Candy (second) *............. Over 1 and under years Corset (first)4. Candy (first) .3 Brush..........«...................... Candy (third) 3__............ Corset (second) 4............. Women’s clothing. Knit goods,-..................... Paper box (second).4 Muslin underwear.8 Office and building cleaners.8 1918 .......... ............ Canning and preserving. 1920...... .................... Druggists’ compounds... ............................ Office and building cleaners. Brush (first)..................... Retail stores. Brush (second). Women’s clothing. Men’s clothing. Paper box. 1921 _______ 1922 ................ - Laundry. Bread and bakery prod ucts. 1924 1925 Minor lines of confectionery. Men’s furnishing!. Jewelry. preserving, Toys and games............ . Canning, and minor lines of confectionery. Candy. Wholesale and millinery. retail Mercantile (Duluth)»... Mercantile Manufacturing (Duluth Cities).* and Twin Cities).8 (Twin North Dakota: 1920_______ _____ 1922 Public housekeeping (X). Office (X). Manufacturing (X). Laundry (X). Student nurses (X). Mercantile (X). Telephone (a). ..................... Public housekeeping (X). Mercantile (X). Manufacturing (X). Laundry (X). Telephone (X). Oregon: 19137 ....................... 1916 1917.......... ................ 1919 ___ Mercantile. Office (X). All (X). Fruit canneries (X). Canneries. ___ All industries. , All industries. All industries. Ail industries (war). Canneries. Washington: 1913........................... Mercantile (X). Factory (X). Laundry (first) (X). Laundry (second) (X). Telephone (X). Office (X). Hotel and restaurant (X). 1918......................... Any occupation (war). 1919........................... Public housekeeping (X) 1920........................ Manufacturing (first) (X). Manufacturing (second) (X). Laundry (second) (X). 1921.......................... Public housekeeping (X) Telephone and tele graph. Mercantile (X). Wisconsin: All (second).4 Ail. .........r ‘ Boards marked X met tor 1 or 3 days only, i Other decrees were set without wage-board procedure. * First board illegally organized; meetings of second board suspended. * Wage'toard reconvened immediately after reporting to commission to modify report. * Estimated to have met for this period. r Wage boards for manufacturing, but time consumed not. reported i Wage board for hospitals and sanitariums, but time consumed not reported. Constituted only 1 board, as practically no time elapsed before reconvening and few additional meetings were held. 60769°—28. (Face p. 124.) PROCEDURE USED IX DETERMINING PROVISIONS OF DECREES 125 In Kansas the first wage board organized after the law was passed was one for the laundry industry. About six weeks later one was organized in the mercantile industry. The laundry board bickered for between four and five months and then failed to hand in any recommendations on wages. A little more than a month after this board was dissolved the commission organized a second laundry board, which had meetings for more than a year before it agreed on a wage recommendation. In all, slightly over two years were consumed by wage-board meetings. The mercantile board" had meet ings for a year and four months before it handed in a recommenda tion a^ to the amount of the wage rate. Three other wage boards were held, two of which met for only a couple of days and one which had meetings for between four and five months. Apparently the long delays of the first boards seemed particularly undesirable to the commission, and it favored a change m the law whereby the representative boards were entirely abolished, this being “in the interest of efficiency, as the representative boardg had proved a clumsy arrangement and had often been able to block all legislation because of disagreement.” 1 According to the State reports, there seems to have been no justi fication for these great delays; instead, they resulted from the active effort of some members of the wage boards to postpone as long as possible the time when this legislation should go into effect. Since only one other State has experienced a like problem and this State ha,s met it with at least a moderate degree of success, it would seem that the Tvansas action in abolishing wage boards was unneces sarily drastic. In Massachusetts, five boards—candy, laundry, muslin underwear minor lines of confectionery, and corset, the last named not followed by a decree at this time—met for 7 to 10 months, and one boardmen’s furnishings—continued its meetings for over a year and a half. One great point of disagreement in these boards was whether the cost of living should be estimated for the woman who was livinoindependently or for one who lived at home. On the basis that the majority of their woman employees, lived at home, the employers brought m recommendations for wage rates that were so far below those proposed by the employees or the public that a compromise was difficult. It is evident from the reported proceedings of these various boards that they failed to realize the need for conducting their work expeditiously in order to afford relief to the woman workers. The minor-lines-of-confectionery board actually adjourned for two and one-half months, until cost of'living and of manufacture became more stable. The men’s furnishings board appointed a com mittee to investigate the cost of living further, and this committee took tour months to hand in a report. Another cause that led to extended dispute was establishing rates for apprentices and minors. Often, when an agreement could be reached on the rate for ex perienced adults, it was very difficult to obtain a compromise for these supplementary rates. This element of delay was not present m many of the other States, where the only formal report required 1 Kansas Court of Industrial Relations. Second annual report, 1921, p. 88. 126 MINIMUM-WAGE LAWS IN THE UNITED STATES from the wage boards was on experienced adult women. Still an other factor delaying reports was that many of the wage boards believed that the commission desired at least one member from each group to sign the majority report. In the report of the men’s furnishings board, after months of contention, no employer would sign the recommendation for a rate for experienced adults, though two of them agreed to the rates for apprentices. An additional factor that caused the boards much concern was the provisions of the Massachusetts law that wage boards should take into considera tion the financial condition of the industry. How far below the estimated cost of living a wage board might recommend a rate and be justified in such action, and how to judge what an industry could really afford to pay, have led to lengthy differences of opinion. Nothing could snow more clearly than this experience in Massa chusetts how impossible it was to have figures presented by the com missions on the cost of living accepted by the various groups on the wage boards. How much leeway a board should be given in determining such facts for itself and m resolving its differences, is a difficult problem. The Massachusetts commission certainly felt that too great freedom had been allowed these boards if it resulted in such long delays. In 1922, shortly after the men’s furnishings board handed in a report, the commission called a meeting of all persons who had served as public members of the various boards and asked them to make recommendations as to how certain points that had proved particularly difficult could be adjusted with fairness to all. The recommendations which are here presented apply specifically to reconvened boards, but all the points except No. 4 are equally applicable to original boards. A comparison of this list with the instructions which the commission now gives to the boards shows how closely the commission has adhered to these recommendations. A paragraph corresponding to No. 4 has been incorporated for original wage boards. These problems, which have delayed the Massachusetts boards, have been stumbling blocks everywhere. How to avoid, on the one hand, too great delay or failure to agree, and, on the other hand, too costly compromises by the weaker group, has been constantly in the mind of every interested commission and wage board. The time consumed by wage boards in meetings, on the whole, has not been excessive. Whether they have compromised on too low rates may be judged by a comparison of cost-of-living studies with the rates recommended. The Massachusetts commission also has emphasized to the later wage boards that if employer members wish to have a rate set below the cost of living because of the financial condition of the industry, the burden of proof must rest on the employer. These efforts on the part of the commission to reduce the time wasted by wage-board delays have resulted in seven of the eight boards organized since 1922 reporting in three months or less, while the other board took less than four months. MASSACHUSETTS DEPARTMENT OF LABOR AND INDUSTRIES----RECONVENED WAGE BOARD RECOMMENDATIONS FROM REPRESENTATIVES OF THE PUBLIC TO THE MINIMUMWAGE COMMISSION The following recommendations are submitted to the commission as express Jug the attitude of the representatives of the public on wage boards. PROCEDURE USED IN DETERMINING PROVISIONS OF DECREES 127 Regarding a fair basis for the cost-of-living budget: 1. That the fact that a girl lives at home is not to be considered in fixing a minimum rate. Regarding the financial condition of the industry: 2. That the minimum should not be reduced below the standard fixed as the cost of living except under serious and unusual conditions established by evi dence presented by the employers; and in case any board recommends a minimum rate below the cost of living, that the representatives of the public on the board should be responsible for seeing that a petition is presented for reconvening the board at an early date. Regarding the wage board procedure: 3. That the wage board should follow as closely as may be possible the order of business recommended by the commission in the Rules of Organiza tion and Procedure and the Handbook of Information for Wage Board Mem bers. Time for completing work: 4. That the reconvened wage boards should submit their determinations within two months from the date of their first meeting, if possible. Regarding date for decree to become effective: 5. That not more than three months should intervene between the date of the wage board’s determinations and the date the decree should become effective. • Regarding the cost-of-living budget: 6. That the following items should be included in the cost-of-living budget, in the order and under the terminology specified— 1. Board and lodging. 8. Vacation. 2. Clothing. 9. Kecreation. 3. Laundry. 10. Reserve for emergency. 4. Doctor, dentist, and oculist. 11. Mutual association dues. 5. Car fares. 12. Insurance. 6. Church. 13. Incidentals. 7. Self-improvement (including newspapers, etc.). Reports by wage boards and action by commissions. Though wage boards have followed the practice of handing in wi itten recommendations to the commissions, these reports usually have not been formal nor have they been uniform even within one State. Whether the boards reported on more than a rate for adult experienced women could depend on the wording of the law, the di rections of the commission, the inclination of the board itself. Since the actual sums recommended for adult experienced women were the only ones that were always reported on, and since these were adopted in practically all cases by the commissions, the main results of the wage-boards5 work will be evident when the rates themselves are studied. In Massachusetts alone were the boards required to report regularly on rates for apprentices and minors. The only wage-board iycommendations that are reported as modified by a commission are four in Massachusetts, and in every case the changes deal with recom mendations on rates in their relation to age or to experience in which the commission did not approve all the classes of rates. Five States— Kansas, Massachusetts, Oregon, Washington, and the District of Columbia—have rejected the recommendations of certain wage boards. This has occurred four times in Massachusetts, twice in ‘Recommendation of subcommittee appointed by the full committee. 128 MINIMUM-WAGE LAWS IN THE UNITED STATES Washington, and once in the District of Columbia, in Kansas, and in Oregon. In the District of Columbia (laundry wage board, 1920) and in Massachusetts (men’s clothing board, 1921, and brush board reconvened, 1921) decrees were rejected because they recommended rates so different from other wage-board determinations of relatively the same date that they appeared unacceptable. In the District of Columbia the rate was below the others; in Massachusetts, above. The Kansas situation is unique, for the board in its report said— * * * we very much doubt the desirability of a minimum-wage law in Kansas at the present time. In some States it might temporarily alleviate a bad situation. The law of supply and demand will override any legislator’s flat as to wages. It seems reasonable to suppose that a minimum-wage law would cause the discharge and destruction of those who do not earn the minimum wage. Let us first direct legislation toward making the employee more fit and able and strong individually and nationally, that we may accomplish something for both employer and employee.2 This is the only case of a wage board which refused to carry out the purpose for which it was created. In Washington the laundry board (1913) reported a rate below the estimated cost of living, which the commission rejected. The decision of the Massachusetts building-cleaners board (1918) was simply referred back to the same group in an effort to get a more nearly unanimous report, and that of the candy board (1925) for a revision of a few details, so this action was not in either case a rejection in the same sense as the final action just described. The reasons for rejection in the cases of the other wage boards—Washington, manufacturing, 1920, and Oregon, can ning, 1914—are not reported. Rejection by the commission is most serious in relation to the time element. Either the old board holds another series of meetings or a new board is organized and holds many meetings. The result may not be any more satisfactory than the first report. These considerations undoubtedly have led com missions to accept recommendations that were far from satisfactory to them. They have adopted the principle that if the rate recom mended was such as to improve conditions as shown by the rates and earnings studies, even though it did not bring them up to the level set forth in the cost-of-living study, it was better to accept this rate than to have no regulation for a longer period of time, since the second set of recommendations might be no nearer the cost of living than was the first. Nine rejections of wage-board awards, when 92 such boards have met, constitute a very small percentage. Summary. Though the work of the wage boards has the most important weight in determining what the amount of the rate shall be and should be thoroughly understood, it is extremely difficult to discuss in any sort of condensed form. Each wage board was very different from all other wage boards. Under instructions from the commissions they tried to determine the cost of living. Some of the difficulties of this were the following: (1) Should it be for a woman living at home or independently? (2) Should a woman be required to make her own clothes, cook her own food, and keep her own room clean, a Kansas Industrial Welfare Commission. First biennial report, 1915-1917, p. 25. PROCEDURE USED IN DETERMINING PROVISIONS OF DECREES 129 or should her day’s work pay enough for her to be relatively free from tasks outside business hours? (3) What articles of clothing does a working woman need ? How long should they last ? (4) How much recreation should be allowed? (5) Should a woman earn enough to save a little money against sickness, unemployment, etc.? Besides these more obvious difficulties, there were many, many others. Some boards had trouble with one point, some with' another. Over all discussions hung this major difficulty: Should the board seek to establish a rate that almost exactly met the cost of living, or should it set a rate which would be somewhat of an advance on the rates in effect but not so high as was necessary to approximate the cost of living? The question of unanimous reports also was important. The awards were valueless unless they could be enforced. Good feel ing among the employers would greatly facilitate enforcement. If the public group joined with the employee group to force a rate that all employer representatives were opposed to, it would cause a great deal of hard feeling. This would react on the commissions when they came to adjust noncompliances. Undoubtedly many concessions have been made to the employer group for this reason. All these perplexing points have made wage-board work extremely difficult. It is really, on the whole, a remarkable record that they have made. The great majority of them have worked expeditiously and have suc ceeded in reaching conclusions that were acceptable to the commis sions. If they have been unable to set rates that would give every woman a proper standard of living, they certainly have improved conditions. CHAPTER VII.—ACTUAL RATES SET FOR FULL-TIME EXPERIENCED WORKERS, COMPARED WITH COST-OFLIVING FIGURES Since the fundamental direction of all minimum-wage laws is that the rates should supply the women workers with the sum neces sary for proper living, a comparison of cost-of-living estimates and rates established on the basis of the cost of living is very important. It has been emphasized how frequently wage boards were forced to compromise in order to reach a decision that all or even a majority of the board members would support. In the rates set by the com missions the same forces that necessitated compromise on the part of the wage boards were at work. One of the most important parts of the study of minimum wage is the attempt to discover whether the compromises that were considered necessary to get support for orders were such that they tended to destroy the command of the laws to set rates that represented the necessary cost of proper living. The following table shows the amounts estimated as the cost of living and the rates set. 131 132 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 31.—Comparison of minimum-wage rates with budgets adopted [See note at end Cost of living and rate established by— Industry or occupation and year decree was set Arkansas Cost of living Rate California Cost of living Rate District of Columbia Cost of living Rate Kansas Cost of living Rate Massachu setts Cost of living Rate 1913 1914...................... $9.63 $8. 71 2 $8. 37 1915...................... $7. 30 4 8.89 8. 75 8.50 Hotel and restaurant.............. 1916___________ Fruit and vegetable canning. * 11.05 8.00 8.50 4 10. 00 8.98 8.75 Personal service................... . Telephone and telegraph___ 1917....................... Mercantile___ _ _________ Fruit and vegetable canning. Laundry.................................... Fish canning............................ Men’s clothing. __________ Men’s furnishings................... Pea canning........ ...................... 4 13. 30 4 12. 05 $10.00 (51) 10.00 8 10.00 10.00 10. 45 9.00 9.00 ....... 1 Monthly Labor Review, February, 1928, p. 218. 3 Only hourly rates established by wage boards, but these are potential weekly rates if the full number of hours allowed by law are worked. 3 Covers “mercantile, office, waitress, hairdressing" and “manufacturing, mechanical, telephone and telegraph, laundry, dry cleaning, lunch room, restaurant and hotel.” http://fraser.stlouisfed.org/ < Federal Reserve Bank of St. Louis 133 COST OS' LIVING AND THE RATES SET by wage boards or prepared by commissions, by State and year of table, page 138] Cost of living and rate established by— Minnesota Cost of living Rate North Dakota Cost of living Rate Oregon Cost of living Texas Rate Cost of living Washington Cost of living Rate Rate Wisconsin Cost of living Rate • Index figure showing changes in the cost of living (Bureau of Labor Sta tistics)1 J$10.14 ) $8. 04 f 10.14 ) 9.25 J / / 10.14 j 8.25 100.0 f 10.14 \ 9.23 l 10.48 f $9.65 / $9.50 •j 9.76 1 l 10.29 I........ 1 8.45 /--------- f $8.72 }______ l 8.36 ( 3 $8.00 1......... < to 9.00 1 ( 3 8. 00 I...... 1 to l 8.75 f 10.74 $10. 00 103. 0 9.00 9.00 10.00 ( J | ( 45 9.85 4 9.96 4 10. 50 4 10.96 l 1 - 105.1 9.00 f4 12.00 l V 12.40 J ? l / l f l / \ J \ / ... 9.25 8.25 J.......... 8.64 8.25 J ........ 8.64 8.25 J------8.64 ) 8.25 J........ 9.23 ) 8.25 V........ 8.64 . 118.3 J-----J 8.64 \ 8.25 /------ (>) 4 These figures are estimates, calculated by applying to the first budget prepared in each State the change in cost of living as shown by the U. S. Bureau of Labor Statistics index numbers. (See right-hand column.) 5 Only hourly rates established by wage boards, and since an exact maximum of weekly hours in this industry is not set by law it is impossible to calculate potential weekly rates. 8 Rates were set directly by the commission. 134 MINIMUM-WAGE LAWS IN THE tJNITEt) STATES Table 31.—Comparison of minimum-wage rates with budgets adopted [See note at end Cost of living and rate established by- Cost of living 1918- Rate Cost of living Rate Massachu setts District of Columbia California Industry or occupation and year decree was set Cost of living $16.00 $16. 29 Rate Cost of living Cost of living Rate $14. 75 4 $12.12 $8.50 Mercantile________________ Fruit and vegetable packing. Laundry........... ...................... $10.00 8.50 7.00 to 9.00 TelephoneMuslin underwear................. Retail millinery______ _____ Wholesale millinery_______ Fruit and vegetable canning. Manufacturing..------ --------Unskilled and unclassified... Personal service------ ---------Telephone and telegraph----Office......................................... Public housekeeping............... Pea canning........ ..................... All (not covered in 1914)----1919Printjng and publishing----Mercantile. ______ ________ Fruit and vegetable canning. Manufacturing________ ___ Building cleaners................. . Hotel and restaurant______ Canning and preserving___ Pea canning........................... . Candy............. ......................... Men’s clothing..................... . Corset....................................... Fish canning............................ Personal service...................... Laundry__________________ Telephone and telegraph___ Fruit and vegetable packing. Unskilled and unclassified.. Office.......................................... Public housekeeping........... Cannery............... ................. . Rate 9.65 11.64 12. 50 $9.00 10.00 11.00 (6 8) >10.00 6 9. 60 4 13. 85 4 18. 61 13. 57 613. 50 13. 57 613. 50 13. 57 613. 50' 4 16.86 16.01 $15. 50 . 16.50. ll.«54 * 14. 40 212.48 6 13. 50;. 11.00 11.00 12.50 15.00 13.00 12.50 15.00 13.00 613. 50. 13.57 13.57 6 13.50 13.57 a 13. 50 13.57 e 13. 50 Any.. 1920.. 418. 72 4 13.93 16.95 16. 50 16.11 «16. 0 J Hotel and restaurant----------Fruit and vegetable canning. 16.11 616. 00 Laundry................................. 16.11 816. 00 16.11 «16. 00 Fish canning______________ 11. 00 16.11 816. 00 Manufacturing____________ Fruit and vegetable packing. 16.11 816.00 13. 75 Knit goods-----------------------Unclassified-------------- ------ 16.11 616. 00 15.25 15.25 Women’s clothing_________ 16.11 616.00 Agricultural ............. 15. 50 Paper box...... ......................... Beauty parlor.............. ........... 15. 40 15. 40 Building cleaners..................... 1 Only hourly rates established by wage boards, but these are potential weekly rates if the full number of hours allowed by law are worked. . 4 These figures are estimates, calculated by applying to the first budget prepared in each State the change in cost of living as shown by the U. S. Bureau of Labor Statistics index numbers. (See right-hand column.) 135 COST OT LIVIN'0 AND THE RATES SET by wage boards or prepared by commissions, by State and year—Continued of table, page 138] Cost of living and rate established by— North Dakota Minnesota Cost of living Rate Cost of living Rate Oregon Cost of living Rate ‘ $17. 68 \ 4 18. 28 J.......... f‘$14. 77 {4 14.16 Texas Cost of living Rate W ashington Cost of living Rate Wisconsin Cost of living Rate Index figure showing changes in the cost of living (Bureau of Labor Sta tistics) [4 $16. 34 ) J 1 16. 53 1 4 17. 42 r~ l 4 18.19 11.10 $11.10 11.61 11.61 174.4 11.61 « 7 $8.00 J ‘ 16.88 \ * 16.18 11.61 11.61 11.61 11. 61 11.61 11.61 11.61 11.08 11.61 ___ $13. 21) (i«) 4 20. 21 \ 1 20. 89 /.......... ... 13.20 13.20 \ /"........ « 199.3 13.20 13.20 13.20 ------ 13. 85 13. 20 (4) ( 0 10.25 1 .... •j to l 6 11.00 J f‘$18.38 V16. 35 1 $12.10 f ‘18.78 l $15. 12 1— J ‘19.00 1 ‘20.02 1.......... 13.55 l ‘20.90 / * 16.97 { * 16. 27 $16. 25 $16. 50 16.25 16.50 200.4 (‘ «) ______ * Only hourly rates established by wage boards, and since an exact maximum of weekly hours in this industry is not set by law it is impossible to calculate potential weekly rates. 6 Rates were set directly by the commission. 7 Except those covered by 1914 decrees. 60769°—28----- 10 136 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 31.—Comparison of minimum-wage rates with budgets adopted [See note at end4 5 6 . Industry or occupation and year decree was set Arkansas Cost of living Cost of living and rate established by— California Cost of living Rate Rate District of Columbia Cost of living Rate Kansas Cost of living Rate Massachu setts Cost of living Rate Public housekeeping_______ Any_________________ Personal service................... Pea cannirr . ........ ............. Office_____ _ Cherry, bean, corn, and $10.11 <$16. 00 Mercantile. _ ____ $13. 25 6 9 $13. 25 Tobacco stripping _ ............. . Telephone............................ 16.11 •10.00 1921..................... . 416.28 Cherry, bean, corn, and tomato canning__________ Fruit and vegetable canning. Pea canning Mercantile______ Minor lines of confectionery. Laundry__________________ Telephone and telegraph___ 4 $16. 00 4$12.11 • $14. 75 16.00 13.50 $12. 00 $15.00 Any............................... Manufacturing____________ Public housekeeping___ 415. 83 ____ ! 415. 56 1922___________ 411. 20 Needle trades..___________ Paper box_________ Women’s clothing___ Muslin underwear___ Men's furnishings___ Retail store___ Laundry________ Manufacturing______ Pea canning____ ____ Public ■ 14.99 15. 00 ....... i 411. 78 414. 34 16. 93 $11.00 16. 93 11.00 13.50 13. 97 13. 75 15.69 14.00 13. 50 13. 50 14. 00 13. 75 13. 75 14.00 13. 50 housekeeping.......... Cherry, bean, corn, and tomato canning__________ Mercantile................... . •till. 00 16.08 616.00 16. 50 16. 93 10.50 Telephone................. Cannery................... . 4 These figures are estimates, calculated by applying to the first budget prepared in each State the change in cost of living as shown by the U. S. Bureau of Labor Statistics index numbers. (See right-hand column.) 5 Only hourly rates established by wage boards, and since an exact maximum of weekly hours in this industry is not set by law it is impossible to calculate potential weekiy rates. 6 Rates were set directly by the commission. 8 This rate must be paid for 48 hours' work, and 25 cents an hour must be paid for all work above 48 hours. • Fort Smith. COST OF LIVING AND THE RATES SET 137 by wage boards or -prepared by commissions, by State and year—Continued of table, page 138] Cost of living and rate established byMinnesota Cost of living Rate North Dakota Cost of living Oregon Cost of living Rate Texas Cost of living Rate 1 16. 25 Rate $18. 00 Cost of living Rate 20. 0C 17. 5( 16.25 Cost of living 17. 50 16. 25 W iscomsin $22.60 Rate ($16. 7C 1........ $16. 25 { to l 17.50 f8 8$10. 25 i to I l ® »12. 00 )16.25 Washington Index figure showing changes in the cost of living (Bureau of Labor Sta tistics) 16. 50 ... 8 $12.00 200.4 [ 416. 33 1 416. 52 ['$10.08 417. 41 f-........ \414. 3C l 418.18 1 J 1 13.20 13. 20 13. 20 174.3 ( $12.10 11013. 75 13.20 14.50 I 413. 75 | 18. 26 18.26 14.00 14.00 18.26 ( 14.20 to l 14. 90 18.26 18. 26 L.J__ 14. 50 f 12.00 to l 14.00 i L... (■) w Only hourly rates established by the wage board, but these are potential weekly rates if the full number !■£ i!E? workindustries ^re werewas issuedcommission considered thatcommission is according tothatsize of ^orked. Information basedthe Wisconsin to the effect when tne lyzi all j order it was from on the knowledge that the most common weekly hours of in the State 50. The $11 to $12.50, the the community, equaled the cost of living in 1921, and that any woman who worked more than 50 hours should receive more than the cost-of-living minimum. 11 Little Rock and Fort Smith, 138 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 31.—Comparison of minimum-wage rates with budgets adopted [See note at end Cost of living and rate established by— Cost of living District of Columbia California Arkansas Industry or occupation and year decree was set Cost of living Rate Kansas Cost of living Cost of Rate living Rate Rate Massachu setts Cost of living Rate <$14. 65 <$16.18 16. 08 $16.00 16.08 16.00 Cherry, bean, corn, and 16. 00 (‘6) J 16.08 616.01 16.08 616.00 1 16.08! «16.00 16.08! 616.00 _____ 1______ ! 16.08 16.08 Fruit and vegetable packing. . .! f i 1 1 13.92 $13.92 | 13. 20 i <14. 59 7 '$g 13. 50 i Cherry, bean, corn, and tomato canning................ 13. 20 13.00 ! i < 15. 05 : 13. 00 Wholesale and retail mil- ... Cherry, bean, corn, . 13.00 13. 90 13. 75 13. 00 |- 13. 00 13. 75 13.00 ..... 1 and < 14. 86 14. 95 13. 50 1 ' 14.40 13. 60 1927 Cherry, bean, corn, and 1 1 i i 1 1 i 1 These figures are estimates, calculated by applying to the first budget prepared in each St ate the change cost of living as shown by the U. S. Bureau of Labor Statistics index numbers. (See right-hand column.) Note.—The rates shown in this table are those which were actually put in force through the procedure specified in the law. The figures marked with reference 6 are rates set directly by the commissions. All other figures in the rate columns are rates determined by wage boards. Two cost-of-living figures are shown; that on the same line with a rate is from the budget prepared specifically as a basis for that rate (in a few cases the budget was announced a short time before the rate, so it appears in the cost-of-living table for a date earlier than the one used here) ; that which appears op posite the year is in some cases a budget or budgets prepared specifically as a basis for wage rates and in other cases is an estimate, calculated by taking the first budget prepared in each State and increasing or decreasing it according to the changes in the cost of living as shown by the United States Bureau of Labor Statistics Index numbers. All such estimates are Indicated. COMPARISON OF RATES WITH BUDGET FIGURES PREPARED SPECIFICALLY TO AID IN FORMULATING THESE RATES The first question to be considered is whether or not rates equaled the budgets that were prepared specifically to sustain a given rate. These budgets fall into two subdivisions; Budgets formally accepted 139 COST OF LIVING AND THE RATES SET by wage boards or prepared by commissions, by State and year—Continued of table, page 138] Cost of living and rate established by— Minnesota Cost of living Rate North Dakota Cost of living Oregon Cost Rate of living Rate Washington Texas Cost of living Cost of living Rate ■ Rate "Wisconsin Cost of living Rate Index figure showing changes in the cost of living (Bureau of Labor •Sta tistics) r - Ijmi 1 ! 1 • 173.2 | 1 172.5 1 (»•) (5 6) (b 6) 1 177.9 (••) (*«) (•«) i | I ___ (!») j (*«) | 172.0 (»«) •Only hourly rates established by wage boards, and since an exact maximum of weekly hours in this industry is not set by law it is impossible to calculate potential weekly rates. 6 Rates were set directly by the commission. by a wage board or commission as representing the cost of living, and budgets presented by persons in authority—for example, hy the commissions to the wage boards—as legitimate estimates on which a particular rate might well be based. To consider the first type, it is interesting to note the cases where commissions or wage boards formally announced that they had decided that the cost of living was a certain amount per week and then set a rate sub stantially below this amount. This has occurred in relatively few instances. The only States in which it has happened are Massachu setts and Texas. No explanation is made of why the difference occurred in the case of the one wage decree in Texas, but the Massa chusetts law requires wage boards to take into consideration the 140 MINIMUM-WAGE LAWS IN THE UNITED STATES financial condition of the industry. Of every five Massachusetts wage boards approximately two have recommended a rate below their own estimate of the cost of living, and the commission has accepted this rate. Of the 34 rates set, there are 18 where the exact sum of the budget was adopted as the rate, 2 where the decree was greater than the budget, and 14 where it was less. The two where the budget was greater can be disposed of quickly; in one case the difference is only 3 cents; in the other an hourly rate was set for office and building cleaners to compensate for the short work week customary in this occupation. The figure shown in this table is for the full week allowed by law. Therefore there are, practically speaking, no rates which are greater than the budget estimates. As far as the wage boards that set rates below the cost of living are concerned, not only are they numerous but the cuts in many in stances are considerable, ranging all the way from 23 cents to $1.94. The average cut is $1.07. When it is considered that the budget is supposed to represent the absolute minimum cost of proper living and that the highest budget ever issued was $15.69 (in 1922) this is a serious reduction. Moreover, when the Massachusetts estimates on the cost of living are compared with those of like date in other States, it is at once evident that they are below rather than above the average. It would appear that the Texas decree and all these Massachusetts decrees set below their own estimated budgets cer tainly must be considered as among those which fail to establish a rate commensurate with the cost of living. In Texas the com mission alone made the determination; in Massachusetts the original low rate was recommended by the wage boards and was approved by the commission. The second type of budget comprises cost-of-living studies made by the commissions’ agents and presented to the wage boards or used by the commissions as an authoritative estimate on which to base a rate; or studies made by the wage boards and recommended to the commission as correct indexes of the cost of living. For States other than Massachusetts this is the most common kind of budget figure appearing in this table. All the California cost-of-living studies belong to this group, as do the 1918-19 District of Columbia figure and those of Arkansas 1920, Kansas 1921-22, Minnesota 1914, North Dakota 1920 and 1922, Oregon 1913 and 1918, Washington 1914 and 1920, and Wisconsin 1914. In California there has never been more than a few cents difference between this estimated cost of living and the rates set at the same date. Arkansas (1920) and Oregon (1918) set rates that corresponded exactly to their budget estimates. Minnesota, by setting rates of $8, $8.25, $8.50, $8.75, and $9 for different occupations and for communities of varying popula tion after the wage boards had recommended $8.75 as the necessary cost of living, roughly equaled the budget. North Dakota in 1920 set rates above the recommended budget estimate of $16.25. These rates ranged from $16.50 to $20. They represent an effort on the part of wage boards and commissions to recognize the higher standards of living required of such groups as office workers. This is the only case where rates have been greater than the budgets. In the other cases—the District of Columbia, COST OP LIVING AND THE RATES SET 141 Oregon (1913), Kansas, North Dakota (1922), and Washington 1—the rates set were below the estimated budgets. In the District of Colum bia the difference of $0.50 is not a drastic cut. In Oregon (1913) and Washington (1914 and 1915) an average of the budgets pre sented shows a cost of $10.31 and $10.26 respectively. The Washing ton rates, which run $8.90, $9, and $10, are a real reduction in the four industries with rates set below $10. The Oregon rates, running $8.25, $8.64, $9.25, and $9.33, are serious cuts in every industry. If $10.31 is advanced as the minimum estimate for Oregon, it is certainly not carrying out the law to set rates that are $1 and $2 below that estimate. As has been noted earlier, these Oregon budgets were based on investigations of the Oregon Consumers’ League, but the work was done by the person who became the first secretary of the industrial welfare commission and the report was used so extensively by the commission as to justify considering its budgets as at least semi official. It is only fair to note that, the wage boards reported that the rates they set represented the minimum cost of living. However, they do not record any authority or report any first-hand investiga tion on which this figure is based. The estimates are open to question when compared with the $10.31 consumers’ league figure, which was formulated after an extensive investigation, and the $10.26 figure in the neighboring State of Washington, also the result of a field study * In the three other States—Kansas (1922), North Dakota (1922), arid Washington (1920)—the differences between the cost-of-living figures and the rates are striking. Kansas set rates running from $6~to $6.50 less than the estimated cost of living. As a reason for this, it was said that the cost of living was falling, but the United States Bureau of Labor Statistics cost-of-living index fails to showr a drop in any way commensurate with this cut. North Dakota cut the budget figures from $3.76 to $6.25 when rates were established, and if these rates are compared with the first rates established in North Dakota in 1920, all of which were greater than the estimated cost of living, it would seem to prove that compromise was necessary in -order to help enforcement. The Washington rate is $4.80 less than the aver age of the budget study. All these budgets are for relatively the same period of time (1920-1922), and in North Dakota and Wash ington they are somewhat higher than any other budgets that had even partial official sanction. It is apparent that both wage boards and commissions felt that they were too high. Whether or not this was. a correct decision will be discussed when increases in the cost of living are analyzed. This wdiole group of States shows that, as in the first group considered, barely more than half the rates set equaled the sums announced by authoritative sources as the cost of proper living. One State (in the first year of its law) set rates higher than its budget, seven equaled the budget, one set a series of rates whose average roughly equaled the budget, and six set rates below the budget. 1 Washington (1914) set rates below the budgets presented by the commission but corresponding exactly to budgets worked out by the wage boards. The commission’s figures represented figures submitted in the course of its investigation by a group of employers and two groups of employees. The wage boards made no independent survey but issued their budget to show that the rate set supplied the necessary cost of living. 142 MINIMUM-WAGE LAWS IN THE UNITED STATES For some States budgets were not made after the early years; in stead, cost-of-living estimates were used to adjust the totals and items of the existing budgets to the conditions prevailing when it was proposed to set a new rate, jor local cost-of-living studies were made to determine the current cost of items in an old budget. This Avas the case in Arkansas (1922), the District of Columbia (after 1919), Minnesota (after 1914), Oregon (1916 and 1919), Washing ton (1918 and 1921), and Wisconsin (after 1914). It is impossible in these instances to discuss the relation between any specific budget and a Avage rate set as a result. For present purposes the rate must be accepted as being the Avage board’s or commission’s estimate of the cost of living. If this is done, it can be said that the ma jority of rates set have equaled the announced cost of living. Ex cepting Massachusetts, no State Avith a really active law has an nounced one sum as the cost of living and set a lower rate. In Mas sachusetts, of course, the requirement that the wage boards consider the financial condition of the industry puts these acts in a some what different light. Where the setting of rates beloAV the announced cost of living has occurred in other States the budgets have been only semiofficial; where they were presented by the commissions the Avage boards have refused to agree to them, or vice versa. The tendency to cut rates below the announced cost of living is suffi ciently widespread to justify looking further and seeing Avhether oi not the budgets in all cases were adequate. It may be that the com promise with the forces that sought to hold down minimum-wage rates was made before the budget Avas announced. COMPARISON OP BUDGETS TO DETERMINE A STANDARD BUDGET BY WHICH RATES CAN BE JUDGED As remarked earlier in this report, it Avas not the province of this study to discuss a budget article by article, to see whether or not it included the real necessaries, or to judge Avhether methods of col lecting facts for the budgets were adequate. HoAvever, if there is a substantial agreement as to the total weekly cost of living among a considerable percentage of the many budgets available, it would seem as if this sum might be accepted as a fair estimate of the cost of living and other budgets be judged in their relation to this figure. Moreover, in every State it has been interesting to take the earliest budget made and see what that budget would have cost during the war years and the years imme diately following the war. This is done because there is some rea son to feel that as wage boards and commissions became more familiar with the difficulties of enforcing minimum-wage rates which en tailed substantial increases over the average wages in existence, these boards and commissions became more and more inclined to allow budgets to be approved that perhaps did not really provide for the increases in the living costs, or for the same reasons to follow less rigidly theoretical budgets submitted by agents who made field studies; to a\Toid announcing one figure as the cost of living and a loAver figure as the minimum rate, budget estimates Avhich were an nounced as the basis of the rate were reduced. If this is the case, the early budgets of the commissions, when raised to correspond to the increases in the cost of living, would offer a means of judging not COST OF LIVING AND THE RATES SET 143 only whether the commissions and wage boards had maintained the same standards in all budgets but to some extent the adequacy of the later budgets. There is one bit of internal evidence that seems to corroborate the theory that the earlier budgets were more truly representative of actual living costs; it is their greater agreement from State to State as to the sum necessary for proper self-support. In 1913, 1914, and 1915, before the rapid war-time rise in the cost of living, seven States—California, Kansas, Massachusetts, Minnesota, Oregon, Washington, and Wisconsin—prepared and made public one or more cost-of-living studies. In all, figures for 16 different budgets of these dates are available. The lowest figure was a $7.30 estimate in Kansas, but the inclusion of this budget in the table is ojien to question, since it was the average actual expenditures of a group of woman mercantile and laundry employees who were not under any minimum-wage decree and many of whom were living below the standards advocated by the law. The next lowest budgets were $8.36 in Minnesota and $8.45 in Wisconsin, budgets also derived from actual expenditures prior to establishing any wage rate. Of the remaining 12 budgets, four were estimates of from $8.50 to $9, four of from $9.50 to $10, three of from $10 to $10.50, and the highest one was $10.74. On the other hand, in the years 1919 and 1920, seven States—Arkansas, California, the District of Co lumbia, Massachusetts, North Dakota, Washington, and Texas— reported budgets, and four other States—Kansas, Oregon, Minne sota, and Wisconsin—established rates based on the cost of living. The estimates of the cost of living range from $10.25 as expressed by the lowest rate, in Minnesota, to $22.60 in the Washington budget, a spread of $12.35, or more than the sum set in Minnesota as the total cost of living. Of course there are reasons for some variations in the minimum cost of living, but this is an amazing difference. Although the other 21 rates are pretty well spread out, no rate comes within $6 of the high Washington estimate; nevertheless, the estimates without either the high Washington budget or the low Minnesota rate show a spread of $6.25, with the largest number of estimates falling in a $3 group from $13 to $16.2 Even at that, this group forms less than 50 per cent of the total number of budgets submitted, while in the earlier years practically 80 per cent of the budget showed a range of a little over $2. The following table is arranged with the theories in mind that if there is substantial enough agreement among a number of States as to the co,st of living, some figure can be reached that it is possible to accept as representing a real minimum budget and that may be used as a basis for judg ing other rates; and that the latter-day cost-of-living budgets in many cases were forced down by the knowledge that to establish a wage a't the real cost of living would arouse opposition so that it would be difficult to obtain the necessary cooperation in enforcement. The table shows budgets or rates announced from year to year, compared with what the cost-of living estimate would have been if the earlier budgets had been raised or lowered to conform to the Bureau of Labor Statistics figures. •This includes the higher Wisconsin figure based on the greatest possible number ot hours a woman could work legally. Both budgets were below $13 on tile practical basis accepted by the commission. 144 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 32.—Comparison of first cost-of-living budget, adjusted to conform to changes and [Note.—The year 1913 is taken as the base for the budgets as well as for the Bureau of Labor Statistics sidered as corresponding to the Bureau of Labor Statistics index number for that $9.34 $6.61 1913______________ 1914............................ a 3 a co w $9.17 $9.63 1915......................... __ T3 © 03 'd CG a 3 $6.95 9.45 9. 82 9.64 11. 05 191G- Massachusetts IS. 06 2 10.00 13. 30 1918............................. 2 9.60 210. 00 16. 29 $7.30 213.67 1920.......................... 2 $18.25 18.61 $8.46 8.89 8. 22 8.98 10.00 9. 90 10. 00 10.45 12.05 2 7. 00 2 8. 50 12.12 9. 65 11. 64 12. 50 14.75 18. 28 211. 00 13.85 11.00 11. 54 12. 50 13. 00 15. 00 15. 25 15. 30 15. 40 15. 50 13.50 $16.00 16.01 a 3 8. 75 2 8. 50 *9. 00 1919........................... T3 © $8. 71 10.86 1917............................ Budget or rate announced a 3 TJ © CG Kansas Budget or rate announced 03 District of Columbia (standard, see p. 146) Budget or rate announced T3 © California Budget or rate announced Year Budget or rate announced Arkansas 16. 86 18. 72 2 16. 50 18.88 211.00 13.93 11.52 2 16.00 16. 28 2 15. 00 2 16. 50 15.98 16.93 12.11 11. 20 14. 99 16. 08 15.83 2 16. 50 15.54 16. 93 11. 78 1923 .......................... 11.45 16. 08 16.18 15.88 12. 04 1924 ............................. 11.40 16.11 15.82 11.99 13. 50 14. 59 1925. ................. ......... 11.76 16. 62 16.81 12. 36 15.05 1926......................... . 11.61 16. 40 16.10 12.20 13. 00 13. 90 13. 75 13.00 14. 95 13. 50 1921_____ 1922....................... . 2 11. 00 16.11 1 Monthly Labor Review, February, 1928, p. 218. * These are rates but are supposed to equal the minimum cost of living. 13. 50 13. 75 13. 97 14. 00 15.69 13. 20 13.92 16.95 14. 75 14. 34 14.65 14.86 COST OP LIVING AND THE RATES SET 145 in the cost of living, and later budgets (rates where no budgets were given), by State year cost-of-living index. Where the first budget is later than 1913 (as is true of all States but Oregon) it is conyear and all estimated budgets are computed on the theoretical 1913 budget. | I $8. 47 $8.72 8.36 10. 02 2 8. 25 2 8. 64 2 9. 25 2 9. 23 9. 61 12.06 11. 56 8 12.00 to w $7. 54 6. 76 12. 40 14. 44 14. 92 11.10 11. 61 17.68 18. 28 16. 88 16.18 2 13.20 20.21 13.85 20. 89 16.97 16.27 $16.23 ............ — 3 T3 D S tl w $9. 37 9. 48 9.99 10. 43 $9. 22 | 8.20 $9. 65 $9.50 9. 76 8. 45 10.29 ........ . j 10.74 2 9. 00 9. 85 9. 69 9. 96 8.62 10.50 10. 96 ~ “lO.Of 11.08 " 11.21 9.71 11. 82 12. 34 13. 34 — 13.13 13.50 11.68 14. 23 | 14. 85 2 13. 20 16.34 16. 08 16.53 14. 31 17. 42 18. 19 18. 67 2 12. 10 18. 38 18. 89 . 16.35 19.91 20.79 12. 00 14. 77 14.16 n <o a f “22760" 20. 32 $15.12 13.55 21. 00 18. 78 19. 00 18. 48 16. 44 20.02 14. 76 14.15 14. 36 13. 76 14.14 18. 26 17. 67 18. 27 13.14 11. 78 13. 75 17. 19 17. 76 20. 90 16. 33 <li7oo 16. 52 * 12. 50 17.41 18.18 12. 78 11. 46 2 13.20 214. 50 Index figure showing changes in the cost of living (Bureau of Labor Statis tics) 1 Wisconsin Budget or rate announced a Budget or rate announced T3 o 10. 66 11. 01 8.53 a 10.25 Washington $10. 44 10. 79 8. 90 * 10.25 11. 00 02 W $8.11 $10.14 10.48 8.12 *8. 00 T3 <a nJ 8 Texas Budget or rate announced w H Budget or rate announced 6 ' 3 ro a> te Oregon | a ! 03 ! Budget or rate announced North Dakota ■g 1 ! Budget or rate announced Minnesota J 14.05 17. 56 18.15 142. 4 174. 4 199.3 j 16 08" | 14.30 13. 99 15. 07 14.45 14. 87 14. 26 13. 01 11. 66 14. 43 18. 04 18. 61 1121 13. 41 12.03 14.24 17.81 18. 40 174.3 169. 5 11.71 17. 49 18.08 200.4 13. 90 173. 2 17. 30 18. 06 14. 61 14.01 103.0 105.1 118.3 17. 68 14.67 14. 06 100.0 ■ 16. 35 17.23 17.99 14.15 172. 5 14! 59 \ 177.9 14. 40 \ 175.6 18. 55 - 13. 24 11.87 17.54 18.32 • 3 These rates, based on a 48-hour week, are supposed to equal the minimum cost of living. All hours worked in excess of 48 must be paid lor at the rate of $0.25 or $0,215, depending on the size of the community. 1 According to the Wisconsin Industrial Commission the rate for 50 hours of work was considered equal to the cost of living in 1921. 146 MINIMUM-WAGE LAWS IN THE UNITED STATES It is interesting to look at these budgets as calculated on the basis of their value in 1913. The total spread is from $6.61 to $10.31 (the average of the Oregon budgets). Seven of the 11 States, however, have figures that range from $8.11 to $9.37 (the average of the budgets used by the Washington wage boards in determining the rates). Thus, in addition to the fact that the original budgets for 1913, 1914, and 1915 show a smaller divergence from State to State than do the original budgets worked out in later years, this table shows that practically all first budgets, whatever their date, are more in agreement when they are reduced to similar terms than is a first budget in one State compared with a second budget in another State for the same year. It seems reasonable to say that about $9 equaled the minimum cost of living for a single independent woman in 1913, based on an average of the decisions of the commissions in the mini mum-wage States. Since the budget worked out by the District of Columbia commission in 1918 ($16)3 when expressed in the terms of 1913 values was $9.17 per week, thus being the budget nearest the $9 average, it may be used as the standard in each year against which, for the present purpose, other budgets may be listed. This standard budget runs as follows: 1913. 1914. 1915. 1916 1917 1918. 1919. $9. 17 9. 45 9. 64 10.85 13. 06 16. 00 18. 28 1920 1921 1922 1923 1924 1925 1926 $18. 38 15.98 15.54 15. 88 15.82 16. 31 16. 10 . _ _ . The table then affords the very basis 'for comparison that is neces sary if an effort is to be made to judge the adequacy of the budgets themselves. It gives an average budget with which the first budgets in five States were in substantial agreement. California, Washing ton, and Wisconsin all announced budgets in 1914 that closely ap proximated the standard. Massachusetts and Minnesota announced budgets that were near the standard. In 1919, when the cost of living had practically doubled, all these States announced a budget or set a rate, except Washington, which had set a rate in 1918. The following summary shows how far below the standard some States dropped: 1918 Standard. _.... ... _ California ____ _ _____ ______ ______ Massachusetts_____________ __________ Minnesota __ _ __ _ ___ ____________ _________ _ _ Washington _ Wisconsin..__ ____ _ __ __ ._ __ _ $16. 00 13. 20 1919 $18. 13. 11. 00 to 15. 10. 25 and 11. 28 57 00 00 1 12. 10 (11. 00) 1 The 1919 Wisconsin figure was based on a 55-hour week; that for 192! tvas base 1 on a 50-hour week, since the commission states that it used this basis in determining a rate equal to the cost of living. In 1921 a woman could earn as much as $13.75 if she worked the full number of hours allowed by law, but so few plants ran these hours that the commission based the rates on the most usual hours of work, 50. Again in 1921 when the cost of living had dropped from the peak of 1919-20, most of these States announced budgets or set rates. The following summary compares these with the standard: ■This budget was announced as of Jan. 15, 1919. The nearest Bureau of Labor Statis tics cost-of-living index number is for December. 1918. COST OF LIVING ANb THE RATES SET 147 1921 Standard$15.99. California$16.00. District of Columbia$15.00 and $16.50. Massachusetts$13.50. Washington$13.20 and $14.50. Wisconsin---------------------------- $11.00 to $12.50 ($12.10 to $13.75).* With the exception of the District of Columbia and Massachu setts all these States have raised their estimates, at least slightly, since 1919 and are somewhat nearer the theoretical standard than in that year. It seems from a close study of the whole table, as illus trated by the two summaries, that most wage boards and commis sions were unable to raise their estimates fast enough to keep up with the cost of living. Thus again in 1921 they were standing behind budgets that did not meet the requirements they had set up for them selves in 1913-14. Moreover, their estimates of the cost of living were beginning to vary widely from State to State. Among the States that issued first budgets at this later date, two, Arkansas and Texas, fell far below the standard, and North Dakota, though nearer, failed to more than approximate it. It is impossible to take up each State in detail, but a study of the individual States in the table is well worth while. To illustrate how the States generally failed to approximate not only the standard but their own early ideas of what were proper living costs, the following States—California, Kansas, Massachusetts, Minnesota, and Wisconsin—will be discussed in some detail. In 1914 the California commission made a cost-of-living study and published as its conclusion a budget that totaled $9.63 per week. No new study is reported before the 1917-18 wage decrees. These rates are set at $9.60 and $10 per week, though the commission’s original budget brought up to date places the cost of living at $13.30 in 1917 and $16.29 in 1918. By the time the commission had made out a new budget of $13.57 (1919) the earlier budget would have come up to $18.61. When the commission next made a cost-of-living study (1920), its estimate was $2.61 less than the 1914 budget brought up to date. An analysis of the Minnesota situation shows that the budget used for estimating the cost of living ($8.72) is an average of those recommended by the three wage boards which met in 1914. On the basis of this adjusted budget the only rates set—in 1918, 1919, and 192(B—were far below the cost of living. The 1920 rates, however, did not work out to be quite so far below if it was con sidered that their provision guaranteeing overtime for all hours over 48 per week affected woman workers in general. In Kansas the rates set in 1922 (see table following) not only were far below the budget presented by the commission’s own investigators but were below the cost of living estimated with the $7.30 budget (1915) as a basis. This sum, it will be recalled, was the average expenditures, before any wage rates were set, of a group of woman mercantile and laundry workers, for whose aid the law was enacted. In Wisconsin (1919 and 1921) and Massachusetts (1919) striking differences occur between their budgets for these years and the budgets estimated from their own early cost-of-living figures. It is evident from compari sons within the States, from State to State, or with the standard rate, that as the cost of living rose it became increasingly difficult to advance estimates of living costs with equal rapidity. 4 See footnote under preceding table. 148 MINIMUM-WAGE LAWS IN THE UNITED STATES It is not unfair to say that after the very early years of minimumwage laws, when cost-of-living estimates in some cases were not followed by decrees, cost-of-living estimates as well as rates them selves began to be subjects of compromise. Not only when compared with the standard budget, but when compared with their own early budgets, commissions and wage boards tended generally to cut their estimates more and more. There are two possible explanations of these discrepancies: Either original budgets were submitted that were above the true minimum cost of living or the commissions have not carried out the express di rection of the laws that rates established must equal the cost of living. Judged in the light of the standard budget the first statement is not true. Up to 1920 there was only one case of a budget above the standard and this was the 1913 Oregon Consumers’ League study, not an investigation conducted by a State agency. From then on there were a few cases, as shown by the following summary: Year 1920___________________________________ 1921____ 1922_____________________ 1923__________ _________________ _____ 1924..................... ............................. ................... 1925.____________ ______ _______________ 1926 Stand ard $18.40 16.00 15.56 15. 90 15. 84 16. 33 16.12 Wash ington Kansas Cali fornia Massa chusetts North Dakota $22.60 $16. 93 16.93 $16.00 16.08 16.08 $15. 69 $18.26 Since the excess in estimate in California and Massachusetts is so small, there are really but three States that ever have issued officially sanctioned budgets substantially above the standard. Moreover, there is evidence in several States to show that some of these budgets were introduced to correct a bad situation, for there were cases where the commissions, at least temporarily, had been unable to establish a rate that would supply a woman with the means of independent self support and were seeking at a later date to remedy this situation. In California, when the cost of living began to fall in 1920, an effort was made to lowTer the wage rate. During the time that this was under discussion, the fall in prices was checked and a slight rise in living costs took place. If the $16 rate established at the peak of prices in 1920 was a true expression of the cost of living, a lesser rate should have sufficed in 1921-22, but if the true minimum cost was that based on the 1914 budget, the $16 rate of 1921-22 becomes a close approximation of what it really cost an independent woman to live. The fact that the commission held the $16 rate looks as if it really recognized its first budget as the better one, and places the commis sion in agreement with the standard budget. In Massachusetts, too, there are some indications of realization by the wage boards that they had not maintained the earlier standard. The highest budget ever proposed was in 1922 ($15.69), though the cost of living had fallen, and this budget was not only equal to the standard but exceeded the first Massachusetts budget as raised to the 1922 cost-of-living level. No other Massachusetts budget equaled the standard, but in 1926 a budget of $14.95 was proposed, which exceeded slightly the estimate as based on the figure of the first Massachusetts wage board. Wiscon sin, though it never approached the standard after its 1914 budget, COST OF LIVING AND THE RATES SET 149 raised its rates after the cost of living began to fall. The commis sion, however, seems to have been more concerned with setting rates to conform to the most usual hours of labor which were less than the legal limit, and so holding the standard established in 1919 on the basis of the legal hours, than with raising weekly rates. The discussion up to this point has been of budgets. It has been asserted that while most rates equaled some official pronouncement as to living costs, a considerable number fell below these official figures. It has been asserted that in f hose States where rates equaled budgets the budgets have rarely equaled the cost of living as established by the commissions in 1913—14 and adjusted to the date of the budget, and that the discrepancies between the standard budget and the various State estimates were particularly marked when the cost of living was the highest. To illustrate how the first budgets rarely were followed in setting wage rates, and how the later ones that were followed fell below the standards set originally, the following summary of first budgets and first rates, each reduced to a 1913 basis, is given. - State Arkansas..... ............................ . California............... ..................... District of Columbia...... .......... Kansas.......................................... Massachusetts............................ Minnesota........ ......................... Average budget Average rate $6. 61 9.34 9. 17 6. 95 8. 46 8. 47 $6. 61 7.02 8.03 4. 68 8. 13 8.34 State Average budget $8.11 10.48 6. 76 9.37 9. 22 Average rate 8. 87 5.99 9.03 6.07 To avoid the misapprehension that this summary, showing all rates except Arkansas and North Dakota lower than the budgets, contradicts the statement made earlier in the report that the majority of the rates equaled the commissions’ or wage-boards’ budgets or announced cost of living, it must be emphasized that this is a com parison of the first rate set with the first budget. Sometimes the rate was set immediately after the budget; sometimes a number of years elapsed; sometimes^ a new budget was worked out and the rate was set to equal it. Whatever happened, the standard was lowered in all but two cases. This summary further emphasizes the point made by comparing early and late budgets, that almost every rate set was a compromise, not an absolute figure equaling a theoretical budget. COMPARISON OF RATES SET AT DIFFERENT DATES Another question that must be considered in this discussion of the adequacy of minimum-wage rates in relation to the cost of liv ing, is whether all rates maintained relatively the same position as the cost of living changed. After the commissions had set the first rates, when in most cases they agreed to a compromise somewhat be low a theoretical cost-of-living figure, did they in their later decrees, as the cost of living rose and fell, at least maintain a wage rate that would have purchasing power equal to that of the original sum ? The following table accepts the first wage rate in every State as the commission’s cost-of-living figure, though in many cases it was below the proposed budget, and shows what this rate would have been had the commission adjusted it according to the changes in the Bureau of Labor Statistics cost-of-living index figures, 150 MINIMUM-WAGE LAWS IN THE UNITED STATES Table “AS.—Comparison of first rate or group of rates established in each State, dales, by State Arkansas Year Rate Esti mated figure California Rate $6.61 1913 ......................... . Esti mated figure District of Columbia Rate $7. 02 Esti mated figure Kansas Rate $7. 78 8. 28 Esti mated figure Massachusetts Rate $4. 01 4.87 5.16 Esti mated figure $8.13 $8.37 1914 1915 8.00 ______ 8.54 8.50 8. 75 1917 1918 10. 00 $7. 00 8. 50 9.00 12. 24 9. 60 11. 58 9. 00 $10. 00 9.62 9.00 1916 14.18 10.00 11.00 1919 13. 50 13. 99 $15. 50 16. 50 1920............................. $13.25 16. 00 14.07 16. 50 15. 59 16.59 16.00 12. 24 16. 50 13.56 6.99 15. 00 14.43 8. 49 11. 52 1921................ ........... 11.00 7.99 9. 71 10.28 11.00 8. 04 9. 76 10.34 11.00 12. 48 12. 50 13.00 IS.'OO 13. 75 15. 25 15. 40 15.50 16. 20 16.29 12.00 14.17 6. 80 8. 25 8. 75 13. 50 13. 75 14.00 13. 78 13. 20 13. 92 14. 08 13.00 14. 02 8.99 16. 50 13.19 14. 03 11.00 10.50 11.20 15.00 16.00 11. 90 1923 11.45 16.00 12.16 13. 47 14. 34 6. 95 1924 11. 40 12.11 13. 42 14. 28 6. 92 8. 40 1922............................. 1925 ..................... 1926 11.00 8.43 8.94 8.90 11.76 12. 49 13. 84 14.73 7. 13 8. 66 9.18 13. 00 13. 75 14.46 11.76 12. 33 13. 66 14.54 7. 04 8. 55 9.06 14. 40 13. 50 14. 28 i The 1919 rate in parenthesis is reckoned on a basis of 50 working hours per week; the 1921 figure in paren thesis is reckoned on a basis of 55 working hours per week. Figures not in parenthesis are reckoned on a 55-hour basis for 1919 and on a 50-hour basis for 1921, since these were the hours used by the industrial com mission in arriving at a weekly rate equal to the cost of living. This shift in basis was made by the com mission because it was felt that, though legally a woman could work 55 hours a week, in practice very few firms offered more than 50 hours of work, so that a fairer basis for the weekly budget was 50 hours. COST OF LIVING AND THE RATES SET 151 when adjusted to agree with the changes in the cost of living, and rates set at later and year Minnesota Rate North Dakota Oregon Esti Esti mated Kate mated Rate figure figure $7. 77 8. 50 8.74 $8. 23 8. 33 8.73 9. 98 8. 17 8.93 9.19 8.25 8.64 9.25 9.23 11. 06 12. 10 12. 45 13. 55 _____ 14.82 _____ 15.24 ........ . 10. 25 11.00 210. 25 212. 00 11. 10 11. 61 15. 49 _____ 16. 94 17. 42 13. 20 13.85 15. 57 $16. 50 17.03 10. 70 -.......... 17. 51 17. 50 20. 00 Esti mated Rate figure $8. 25 8. 64 9. 25 9. 23 $8. 00 8.75 9. 00 9.19 10.06 10. 34 .....:: Esti mated figure 100.0 103.0 is. oo 15.22 17. 40 13. 95 14. 12 14. 80 16.92 14. 25 14. 43 15. 12 17. 29 14. 20 14, 37 15. 06 17. 22 14. 64 14. 82 15. 53 17. 75 14.45 14. 63 15. 33 17. 52 16. 12 16. 09 13.98 14. 64 15. 68 15. 64 14. 29 14. 96 16. 02 13. 64 14. 93 15.35 } J 10. 53 $12. 00~ 17.3! 18.54 _____ ___ 18.50 L_........ 15.23 13. 82 15. 12 15. 55 $6.07 1 9.00 14. 23 14. 90 15. 96 15. 92 14. 68 15. 37 16. 46 16. 42 14. 49 15. 17 16. 24 16.21 9.08 9. 19 105.1 10.21 10.22 10.34 11.49 10.44 13. 20 14. 50 10. 15 10. 37 10. 33 10.66 10. 52 142.4 15.07 15.24 16.93 174. 4 17. 22 $12. 10 17. 42 ’(11.00) 19.35 13. 20 118. 3 12. 30 12.45 13. 83 15. 06 13.40 14. 66 15.08 $8.64 8.74 9.71 J 14. 52 13. 46 14. 72 15. 14 Rate 10.00 14. 82 12.00 Esti mated figure $8.90 9.00 14. 38 14. 50 14. 20 Rate Index figure showing changes In the cost Esti of living mated (Bureau figure of Labor Statistics) Wisconsin $8. 50 8. 90 9. 53 9. 51 8.67 9. 08 9. 72 9.70 9. 70 j........ . 10.22 _____ 10.94 '_____ 10.92 !............ 11. 75 12. 30 13. 17 13. 14 14. 39 15.07 16. 13 16. 10 16. 44 17. 22 18. 44 18. 40 14. 34 13. 17 14. 41 14. 81 Washington $5.99 13. 54 ___ Texas 199. 3 17. 31 17. 51 19.46 f 11.00 to I 12.60 |» (12.10 15. 23 to 113. 76) 16.92 15.06 12.16 ........ 200.4 1 [ 10.58 174. 3 1 14. 64 14. 81 16. 46 10. 29 14. 96 15.14 16. 82 10. 51 14. 90 15. 08 16. 75 10.47 15. 37 15. 55 17. 27 10.80 15.17 15. 35 17.05 10. 66 • 169.5 173. 2 172. 5 177. 9 175. 6 2 This rate must be paid for 48 hours’ work. All hours worked in excess of 48 must be paid for at the rate of $0.25 or $0,215, depending on the size of the community. 60769°—28-----11 152 MINIMUM-WAGE LAWS IN THE UNITED STATES Two opposite tendencies among the States are shown in this table. California, the District of Columbia, Kansas, and Wisconsin seem definitely to have felt that as their original rates did not equal the theoretical cost of living, rates must be increased faster than the cost-of-living index rose or, in a time of falling prices, rates must be held or raised until they equaled the theoretical budget. Not all these States reached their goal, but all worked toward it. On the basis of both the standard budget and their own first budget California and the District of Columbia reached it. A study of the California figures will illustrate this complicated statement. The increase in the California rate for 1920 over the rate for 1919 was necessary only on the supposition that the 1919 rate did not provide an amount adequate to meet necessary expenses. The reenactment of the 1920 rate in 1923 was justifiable only if even the jump from 1919 to 1920 had provided a rate below the cost of living. It will be recalled that by maintaining the $16 level in 1923, California became one of the four States that succeeded at any time in setting rates that equaled their original cost-of-living estimates. All the Kansas and Wisconsin rates are far below any cost-of-living esti mates, but the commissions did recognize that the early rates were too low, though they have not recognized that the later ones also were too low. Most of the other States have failed to set rates in the later years equal in purchasing power to those set at first; that is, in Massachu setts, Minnesota, North Dakota, Oregon, and Washington, no matter how much of a compromise the original rates were, most of the later rates are even more drastic cuts below the theoretical cost of living. Moreover, if some few rates do equal the standard set in the first decree, they seem to be the result of chance rather than of a sustained effort to at least get back to the early level. For example, the highest rate ever set in Massachusetts was $15.50 in 1920, but the rate would have had to be $16.29 to equal in purchasing power the first rate set by this commission in 1913. In 1922 and 1923 the rates roughly equaled the sum of the first rate adjusted to the cost-of-living changes, but by 1924 and 1925 there was again a considerable gap between the actual rates set and the estimated rate. Of the two rates set in 1926, one exceeded the standard set in the first rate by 12 cents, the other failed to reach it by 75 cents. These rates, of course, represent the ideas of various wage boards, not of the commission, so their differences within a given year have not the same significance as in a State where the commission had more control; but the commission accepted these widely varied and inconsistent estimates. In Oregon the highest rate was $13.85, for offices in 1919, but the original pffice rate of $9.25 in 1913 would have equaled $18.44 in 1919. The one exception is the $18 rate in Washington, 1920, for hotels and restau rants, for, on the basis of the original 1914 rate, $17.51 should have been sufficient to meet the cost of proper living, according to this general method of estimating. Cost of Living and the rates set 153 CHANGING OF RATES WITHIN A SPECIFIC GROUP AS THE COST OF LIVING CHANGED The last point to be considered is how well the commissions kept rates at the cost-of-living level when once they had set a decree tor a^ given industry or occupation. This is not so much a question or actual rates as of how often decrees were revised and of how Iona; a rate was allowed to remain in effect in spite of changes in the cost of living. A discussion of this point necessitates a summing up of the powers of the various commissions that relate to the reopening of decrees. ^ It would seem that the duty of the commission to set rates com mensurate with the cost of living was meant, to apply in fields where rates had already been set and had become insufficient as well as in fields never covered by a decree. In Arkansas, District of Colum bia, North Dakota, Oregon, and Wisconsin the laws took no par ticular notice of this point. In practice the ability of the commis sions to change rates if the cost of living changed materially was never questioned. The laws of the eight other States all took some notice of this problem: Five laws—those of Colorado (1917) Kan sas Massachusetts (1912), Nebraska, and Washington—provided that, on petition by the employers and employees, a decree could be leopened, three States originally—California. Minnesota, and iexas—and Massachusetts after an amendment to the law in 1920 provided that decrees could be reopened either as the result of a peti tion or on the commission’s own motion. The laws which provided for reopening decrees onlv on peiition are open to two interpretations; first, that this provision is in addi tion to the general powers of the commission to set rates to conform to tlie cost ot living and an added safeguard to employers and em ployees in case the commission did not take action; second, that by this piovision the commission is so limited that it can not reopen a decree on its own motion, no matter how ridiculously out of date the rates may become. As Colorado and Nebraska never entered decrees this question did not concern them. Kansas and Washington inter preted the law as first described and revised decrees when they thought necessary. Only in Massachusetts was the law interpreted to hamper the commission, and so serious was this limitation that the law was amended in 1920 to give the commission the specific power to revise decrees. 1 Another isolated case of limiting the revising of decrees is found m Washington, where the law provided that a decree could not be revised within one year after it was set. In practice this proved a slight handicap, but the only commission that can claim to have been seriously hampered is that of Massachusetts. Moreover, this in no way affected the point discussed in this chapter—that most rates when set did not equal the cost of living. It did make the discrepancy more serious, however, since when once a rate was set it was a lone time before it was changed. 154 minimum-wage laws in the united states The following statement shows the number of times that the decrees based on the cost of living (decrees for adults only or for adults and minors) have been revised since they were originally enacted. State Kansas---- ------ --------------------------- Washington........................................... Wisconsin Total number of decrees included in table 2 40 i5 8 34 M2 13 MO 1 4 5 18 17 Number of decrees revised— Twice Three times 2 Once 6 *1 1 Eight times Six times 6 1 11 2 12 Five times Not at all 3 3 1 7 1 1 1 23 3 1 37 54 1 1 1 ......... ! 1 1 One mercantile decree ieconsidered but no formal revision issued. a Minnesota issued 9 decrees to cover all industries 1914-1918, 2 decrees to cover all industries 1919,1 for all m^Oregonissued 4 separate decrees in 1913-14, 14 in 1916, 10 in 1918, 9 in 1919, to cover the same group of 7 ^Washington issued 1 separate decree in 1915 and revised part of a general decree, 1918. No apprentice ship rulings are counted in this total. ______ , , . . * Washington issued 8 separate decrees in 1914-15, 1 decree in 1918, and 4 in 1921, to cover the same 4 industries. Though several States show a number of decrees that never were revised, this column is of little real significance. Most of these decrees are of recent date or inactive. Of the decrees appearing in this column California dropped two and North Dakota dropped three; the District of Columbia law was declared unconstitutional; the Texas law was repealed; one California decree and five Massa chusetts decrees were established in 1923 or later. The Kansas de cree for telephone establishments, however, was kept in force from 1918 to 1925 and two Massachusetts decrees (corset and knit goods) have been in force from 1919 and 1920, respectively, to 1921. Among the decrees that were revised only once are some of the earliest de crees ever set. This meant that in many cases long periods of time elapsed before these decrees were adjusted to meet changes in the cost of living. One Massachusetts decree (brush) was not revised for nine years, five others remained in effect for seven years, two others for five years, and still two more for four years. Two Kan sas decrees were in effect for over four years. Decrees that remained in force for three years were very common. How often the commissions should have revised their decrees is hard to detei'mine. The quick rise in prices, due to the war, made this question of much greater importance during the actual period of operation than it would be during a normal sequence of years. The fact that in practice revision often proved to be a slow process, due both to legal and to practical considerations, had a distinct bearing on the rate established by any specific decree. The com promises made in any one decree take on an appearance of having more far-reaching consequences. California, which issued a moder ate number of decrees and revised them at frequent intervals, was perhaps more justified in establishing the first rate at a low level and trying to raise the rates in successive decrees until the cost of COST OB' LIVING AND THE .RATES SET 155 living was reached, than was Massachusetts, where at first the inter pretation of the law, and later the great number of different decrees to be adjusted, combined with some slowness of action on the part of the commission, caused a rate once set to stand for a long time. I n consider mg the fact that most of the decrees have been shown to tall below the cost of living, it is important to remember that this was particularly disastrous if they remained in force unchanged during a time of rising prices. The tables have shown that the re vised rates often did not keep pace with rising living costs. Hard as this was on the woman worker, conditions were worse when decrees were not revised, or were revised only after long periods of time so that the rates over a period of years fell so far below costs as to be practically inoperative. The table immediately preceding has shown that this occurred in enough cases to have been a real factor in reducing still further the actual number of women to whom minimum-wage rates guaranteed a wage commensurate with the necessary cost of proper living. SUMMARY This entire discussion of budgets and rates in their relation to the cost of living is to emphasize primarily a situation recognized by all persons closely associated with minimum-wage laws, that is the necessity found by all commissions of making progress at a ’slow rate. A picture of mmimum-wage legislation that indicates a sweeping change as soon as the laws were passed is not true, for in some cases it was years before any decrees put into active use the powers inherent m the law. Nor, as a usual thing, were all women benefited at once through decrees. In some States most of the women by degrees, came under some decree; in other States, never more than a fraction. To these modifications of an offhand opinion of the minimum-wage law must be added the further facts that no original rate quite equaled the official cost-of-living figures, that these rates soon became far below the cost of living as prices rose and that m many States later rates lagged still farther behind this theoretical cost-of-living basis. Since the basis of the whole minimum-wage idea is that the rates shall equal the cost of living, this is a very serious situation, possible of two interpretations. Either commissions have not carried out the directions of the law or they have felt that the ultimate success of the law depended on putting it in force gradually and educating people to its value and to the women’s needs during the early days of its existence. Though there is reason to feel that some commissions did not make the proper sustained effort to carry out the law—particu larly when the administration was put in the hands of commissions created for other purpose? and busy with such work—there is also reason to feel that in most cases the commissions proceeded slowly when setting rates because it seemed to them the only possible means of getting such a new thing introduced in a favorable way. In fact many commissions have recognized and stated that their minimum rates established the best practice in the industries or occupations under consideration rather than a sum based solely on the cost of living. .This goes back to the feeling on the part of the commissions 156 MINIMUM-WAGE LAWS IN THE UNITED STATES that the rates established must command support from employers and public as well as employees. It has been emphasized before that it is impossible to prove that a theoretical sum is the exact amount required to meet the cost of proper living. If employers and public or em ployers alone think a proposed rate too high, compromise often is the only solution. Unfortunately, if employees have felt a rate was too low they rarely have been well enough organized to force the adop tion of their view, and have had to content themselves with the thought that they had bettered somewhat the position of the worst paid of their number. . . The fact that in the same year (1920) rates set m nine states ranged from $10.25 to $20 would look as if some commissions had fought harder than others to have the rates set high enough to equal the minimum cost of living. Also, it lias been pointed out, in a few cases the commissions improved their rates in relation to the cost of living, but, though this did occur, other rates fell farther and farther behind and still others were allowed to remain un touched in spite of the increasing living costs. If the commissions took the stand that early rates could not be enforced if they took such large jumps as would be required for them to equal the cost of liv ing, it would seem to be incumbent on them to advance rates until the purpose of the law was carried out. Probably this could have been more nearly achieved if it had not been for the amazing rise in the cost of living that began within two years of the passage of the first law. It was difficult to advance rates fast enough to maintain their purchasing power, let alone to increase it. Since any decrease in the cost of living lasting over a number of years came only when court decisions had at least partially destroyed the power of the commissions, so that the only State continuing to issue decrees is Massachusetts, where the law is nonmandatory and rates are to take into consideration the financial ability of the business to pay the proposed rate, it is impossible to judge whether or not the com missions would have been able to attain a more exact minimum in a time of falling or stationary prices. In concluding this discussion all that can be said is that, if the cost-of-living studies of those very commissions and wage boards are relatively accurate, only two units—California in all its decrees and the District of Columbia in half of its decrees—had, after several years of experience, con firmed minimum rates that seemed to carry out the precept of the law that rates were to furnish the necessary cost of proper living. Massachusetts in 1922-23 sought to raise some rates, hold others, and lower others so slightly, while the cost of living was falling, as to lessen the discrepancy between the rates and living costs. In these years and for one industry in 1926 they approximated the standard established by their own first rate. They never reached the standard established by their own first budget nor the arbitrary standard used in this report. CHAPTER VIII.—PROVISIONS IN THE DECREES FOR WORKERS OTHER THAN EXPERIENCED ADULTS WORKING FULL TIME All the discussion of the work of the commissions and their agents, the wage boards, up to this time has been based on the \york they performed in setting a rate for the experienced full-time worker. In addition the decrees usually took notice of the various groups which were indicated in the laws as requiring special treatment. These were primarily the minors, the apprentices or learners, and the sub standard workers. Also to be considered were pieceworkers part time workers, workers receiving bonuses and commissions, and other small groups, such as home workers. Many of the laws gave the commissions some definite powers relating to minors or learners, or substandard workers, but they granted no special powers for handling the other groups, though they sometimes indicated that special treat ment was necessary. The general powers of the commissions, how ever, were so broad that they had ample power to incorporate in the decrees rules for enforcing the rates set as applied to all these special groups. It is perhaps important to repeat at this point that the laws have never required that all woman workers must receive a minimum wage based on the cost of living. Though such rates are the only ones that figure in most discussions of the problem, they by no means represent the whole field of regulation undertaken by the commissions. If the commissions thought that the nature of the work covered by any given decree was such that youth or lack of experience would prevent a worker from performing an average day s work, they could set lower rates for such minors and learners. If the commissions had had enough experience to realize how diffi cult was the adjusting of the relation between hours of work and minimum-wage rates, or between methods of payment and these rates, they had ample power to make rules reconciling these factors. The provisions of the laws that al low the commissions to make special rulings for workers who are not considered capable of earning a rate which provides independent self-support, or who under varied schedules of hours or methods of payment, are vital m the scheme of these laws. One of the greatest points urged m favor of this experiment in legislation wa^ its flexibility. It recognized that treating all young or inexperienced workers, or all incapacitated or aged workers, or workers whose hours of work are irregular, on the same basis as the healthy experienced adult woman working full time, would justify many of the criticisms expressed u u new PrincT^e! that is, of the principle that a normal woman should receive as a minimum wage for full-time work an amount sufficient to enable her to support herself in a decent manner. Though this provision for treating different groups of workers m a way to correspond to their earning capacity was so important, 157 158 MINIMUM-WAGE LAWS IN THE UNITED STATES it added greatly to the difficulty of setting acceptable rates. In the first place it was necessary in the case of minors, learners, and sub standard workers to decide for a particular decree whether or not any-deviation from the cost-of-living minimum was either necessary or desirable. If it was granted that rates for these groups should be lower than the cost-of-living minimum, a whole new series of problems was opened for compromise. The law which said that the experienced minimum rate was to provide the necessary cost of living gave no standard whatsoever to guide a commission in deter mining the relation between these exceptional groups and the experienced worker. It did not even require the commission to set any separate rates; it simply gave the commission such power in case it so desired. The result was that everyone touching these problems has had a different idea of how they should be handled. Practically every State provided that the commissions, not the wage boards, were to handle these questions, but it is impossible to trace any consistent plan of action even within one State. SUBSTANDARD WORKERS The group of substandard workers is, of course, much smaller than either of the others and therefore it is much easier to handle. In all the States it has been considered a group composed of individuals who should be given special permits exempting them from the de crees, rather than a group requiring special treatment as a group under the decrees. No uniform plan other than the consideration of each application for a permit has been necessary. In most of the States many requests are made for permits to work certain women as “ special license ” types, but investigation of each applicant has greatly reduced the numbers who genuinely were crippled or other wise incapacitated, so the problem has been adequately handled by issuing individual permits setting forth the specific terms under which the woman could be employed. APPRENTICES OR LEARNERS AND MINORS Minors and apprentices or learners are much too numerous to be handled case by case. They form, at any given time, a substantial percentage of the gainfully-occupied women. In 1920, 11.2 per cent of all gainfully occupied women were under 18 years of age.1 Infor mation as to the relation that the number of newcomers in a given industry or occupation bears to the total is not possible to secure, but the usual run of woman labor probably would show a high percent age of inexperienced workers. Many are young, and in industry for only a few years, causing a large number of replacements; and women generally have access to the less-skilled jobs only, and change of occupation may be made with little hazard. This means that the treatment accorded these groups affects such a large percentage of all woman workers that it goes a long way toward determining the ade quacy of any specific wage decree. It is possible for decrees to set 1 U. S. Bureau of the Census. tions, p. 375. Fourteenth census : 1920, Vol. IV, Population, Occupa WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 159 an adequate rate for the experienced worker and to deal with the inexperienced in such a way as to reduce greatly the effectiveness of the decree. For the purpose of this study minors and apprentices or learners will be discussed at the same time, so far as the material permits in theory these groups are to receive less than the minimum because they can not qualify as experienced. Sometimes they lack the age to qualify, sometimes the experience, sometimes both; but the reason for their special treatment is the negative one that they do not meet the requirements for experience. However, if there is this common reason for special treatment, there is no uniform principle ehind the kind of special treatment to which these groups are sub jected. Workers of all ages who are new at their job are one prob lem; minors are another. Minors nevertheless represent two kinds of workers—the experienced and the inexperienced—and learners represent both minor and adult beginners. Whether the commis sions have considered all inexperienced workers together or separated them according to age, they have had to try to devise decrees that would give both newcomers and the very young in industry a fair worker W°uM n0t harm the status of*the experienced mature The very terms “learner” and “apprentice” indicate that such a person is still preparing for her greatest usefulness. The commis sions were to decide how long it was necessary for such persons to i. iraini?g !n, ?n-v industry or in a given industry, and what rates they should be paid during this period. It was not within the province of commissions to see to it that beginners really were given a trade education, but it was hoped that, since apprenticeship was allowed to extend over a considerable period of time, during which rates of pay usually had to be increased when the employees had worked a specified number of weeks or months, the employer would find it to his own advantage to see that these beginners re ceived instruction m the job. Even without touching the enormous question of trade education, the commissions in dealing with learners had to try to avoid many pitfalls. Decrees had to be so constructed that employers would not be tempted to employ a very large number of learners because of the lower rates. Moreover, the commissions had to guard against women being kept during their apprenticeship and discharged just as they qualified for the experienced rate. Too great a gap between the rates for learners or apprentices and those for experienced workers might have caused that. These were gen eral problems that applied to all apprentices or learners. In addition there were special problems because of the different age groups and the different industries covered by the decrees. Method of treating apprentices or learners in various industries. On the whole, commissions have followed the same subdivisions of industry in dealing with learners as were followed for experiencecl workers, and have issued very few separate decrees. Of 232 decrees, only 18 are for inexperienced workers alone. When sepa rate decrees have been issued, however, a method of grouping indus 160 MINIMUM-WAGE LAWS IN THE UNITED STATES tries different from that in the decrees for experienced workers usually has been followed. The table next presented shows the decrees that have been issued for learners or apprentices only. Table 34.—Decrees covering inexperienced workers only and the corresponding experienced decrees, by State and year Decrees covering— State and year Experienced workers Inexperienced workers Women Mi nors Women and minors Women Minnesota: Mercantile. Manufacturing. Any occupation not previous ly covered. Office. Any occupa tion. Washington: 1914 Manufactur ing. Laundry. Telephone and tele graph. Office. 1919......... Mercantile. Manufactur ing. Office. Transient milliners. Women and minors Mercantile, office, waitress, hairdress ing occupations.1 Manufacturing, me chanical, telegraph, telephone, laundry, dyeing, dry clean ing, lunch work, restaurant, hotel oc cupations.1 All occupations not covered in 1914. Any occupation. Any occupa tion.2 Any occupa tion. Oregon: Minors Mercantile-. Mercantile........ Mercantile. Manufactur Manufacturing. Manufactur ing. ing. Laundry. Laundry---Telephone Telephone and Telephone and tele telegraph. and tele graph. graph. Office------------- Office. Telephone and tele Any occupation graph.3 1 Three decrees for communities of various sizes. * Two decrees for communities of various sizes. 8 Four decrees for communities of various sizes. Only three States have issued separate decrees for inexperienced workers, and two of these—Oregon and Minnesota—have aban doned that method after longer or shorter trials. In these States the industrial groups covered by the two kinds of decrees have varied considerably. In Minnesota (1914 and 1918) and in Oregon the apprentice decrees have been more inclusive than those regu lating experienced workers. In 1919 Minnesota, though issuing WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 161 separate orders, used the same industrial division in the decrees for both experienced and inexperienced. Technically Washington too has ceased to issue separate apprenticeship decrees, but actually the present manufacturing decree contains schedules of rates for learners on a basis of industrial grouping ditferent from that of the experienced rate. In Washington, though the names of the earlier decrees were the same, the decrees covering apprenticeship2 were broken up so that the rates applied to many small groups work ing on particular processes or in particular occupations. For ex ample, the first manufacturing apprenticeship schedule showed 11 different rates for various occupations, though the experienced decree showed but one rate for all. The latest decree covers both experienced and inexperienced and reveals a shift to a series of general schedules which the enforcing officer applies to specific cases. This in effect is the same method of considering that apprenticeship rates should be set for individuals or small groups. In all the other decrees apprenticeship rules are. part of the decree that establishes the experienced rate, and they cover, with one excep tion, the same industry or occupation. Millinery-workroom employ ees in California and employees in millinery workrooms and dress making establishments in Kansas come under the general manu facturing and mercantile decrees and have the same experienced rates, but they also have special learners’ rates. On the whole, however, there has been little effort to treat individual industries or occupations in setting rates for learners. Though most of the States have not struggled with the question of adapting apprenticeship rates to each occupation, there was much more reason for a careful subdivision of jobs in dealing with learners than in dealing with experienced workers even, and some States, notably Massachusetts, have felt that small industrial groupings were necessary in any of these problems. After all, the experienced minimum was supposed to represent the cost of living for an inde pendent woman, and it could not do this for all women if it varied greatly from industry to industry. Apprenticeship rates, on the other hand, were supposed simply to be fair to the employer and to provide the employee with as rapid as possible advancement to the experienced rate. An apprentice in a job relatively easy to master might be of considerable use on beginning work, whereas a novice at a technical process might be worth almost nothing. The length of time before a promotion was required also would depend on the job. An illustration of the complex problem is found in the manufacturing industry, where apprenticeship was extremely diffi cult to handle. A commission could treat all processes and occupa tions the same or it could split them up, giving special attention to each. The division could be by industries—for example, textiles, clothing, boots and shoes—or it could be by occupations, as chocolate dipping, weaving, punch-press operating, and so forth. Massachu setts has used the method of issuing all decrees for special industries— candy, paper box, etc. Washington has issued its apprenticeship circulars on a mixed basis of industries and occupations—candy ex cept chocolate dipping, tailoring, paper box except berry box, etc.1 1 Called “ apprenticeship circulars.” • 162 MINIMUM-WAGE LAWS IN THE UNITED STATES Undoubtedly this attempt at specialization of apprenticeship sched ules involved an enormous amount of work if the specialized groups were to be handled adequately, and added greatly to the number of debatable questions since the various interested groups had to uphold their ideas when each small unit was considered. It also compli cated enforcement, as it was possible for one plant to have workers on a dozen different schedules. It was, nevertheless, the only de fensible method theoretically. Practically, however, little can be said for such an expensive and complicated series of rulings. If it was evident that adequate ap prenticeship rules required that each small subdivision of industry have specialized expert treatment, it was equally evident that no minimum-wage commission was in a position to supply such rules. If the commissions had had unlimited appropriations and had not needed the good will of the employer in order to enforce the law, they could, of course, have made a study of each occupation and set scientific apprenticeship rates whose application they could have supervised with great care. But when there is considered the result ing confusion, the enormous amount of trouble caused employers in trying to follow so many minute directions, and the undoubted hard feeling that would arise from such a vast amount of State control, its value is questionable. Moreover, though it is interesting to specu late how an adequate system of apprenticeship control that would have worked for the good of all classes in industry might have been established through minimum-wage legislation, it could be argued strongly that this was not a proper province for these commissions to invade. The minimum-wage law wTas created to establish for the average experienced worker a rate of pay based on living cost. Learners were to be dealt with separately only to the extent that the law might not impose undue hardship on the employer nor hamper the woman from entering any new field of work. After all, the experienced rate to^be set was a subsistence minimum to which any average worker was entitled, not a rate for skilled workers who naturally commanded more than the minimum. Due to the practical aspects of the situation the commissions in most of the States did not even attempt any scientific regulation of apprenticeship. Lower rates were granted to apprentices usually and to minors in some cases, without much regard to the kind of work covered by the decree; often, in truth, because employers were so insistent that some concessions be made. The industrial group ings, with the few exceptions in Minnesota, Oregon, and Washing ton, were selected for the experienced worker and then were applied also to the learner. If it is the province of minimum-wage commis sions to regulate apprenticeship in such a way that the woman may qualify as experienced in skilled or semiskilled trades, the theory of the Washington plan was excellent, even though its practical applica tion is questionable. There seems to be no reason for a blanket ap prenticeship ruling, as in the two other States, except the considera tion of time and trouble saved. The other reason for paying workers less than the minimum, that they are under age, has not led to any extensive issuing of special industry decrees. Only Oregon, Washington, and the District of WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 163 Columbia ever have issued separate decrees for minors. In the District of Columbia the only minor decree ever issued amended the mercantile decree for women and minors. In Washington the first minor decrees (1914 and 1915) followed the exact industrial group ings used for experienced adult decrees and for the apprenticeship circulars. Later decrees in Washington and all the Oregon decrees have thrown all minors together, though the women’s decrees are for specific industries. Where there has been a differentiation in industrial grouping the orders for minors have followed, in every instance, tire rule followed in most cases for separate apprenticeship orders, and have combined industrial groups rather than subdivided them further. If these decrees have any significance it is that some few commissions have felt that any minor regardless of the type of job was worth to the employer some definite amount, though her value did not equal that of an adult with a similar degree of expe rience. Possible methods of treating varied age groups in relation to apprenticeship. In considering what must be done with learners or apprentices of different ages, commissions have had to deal with a very large and diverse group of people as well as with diverse industries. Several major problems had to be faced because of this. Should all learners or apprentices receive the same treatment, regardless of age, so that a given industry had two rates—one for experienced and one for learners and apprentices ? Should the division, on the other hand, be on the basis of age, with one set of rates for minors, as learners and experienced workers, and another set for the corresponding divisions among the adult women? Should all minors be given a rate based solely on their age, and the question of experience be raised only in regard to adults, or should a combination of the methods be used, as, for example, the same experienced rate regardless of age but learners’ or apprentices’ rates differing with the age of the employee? If minors and adults were treated in the same way there might be several bad results. It might cause hard feeling among employers, who could claim that the wording of the laws did not anticipate the payment of a wage supposed to represent independent self-support to children. It might work against a young girl’s chance to gain experience in a given line, since even a less capable adult, because of maturity or experience in other kinds of work, might be preferred as an employee. It might force the commission, in its effort to carry the minor along with the adult, to effect a compromise that involved very low inexperienced rates and unduly long apprenticeship or learning periods for the adult woman. If two sets of rates were worked out according to age, various other sets of problems would present themselves. Should the experienced rate be the same for adults and minors, with varying terms of ap prenticeship, such as allowing the minor to work for lower rates and to remain an apprentice for a longer time than the adult? Or should the minors have not only special apprenticeship terms but an experienced rate (for the purpose of this discussion called “pseudo”) which is analogous to the true minimum, since it is the highest rate 164 MINIMUM-WAGE LAWS IN THE UNITED STATES required for a given age group and can only be obtained after a specified period of service at a lower rate, but in practice is always lower than the true minimum paid adults? Moreover, under these different methods of procedure what would happen to minors on their eighteenth birthday? Would they begin to serve a new term of apprenticeship as if they were entering industry at 18 years of age? If adults and minors had varied terms of apprenticeship would the latter be required, when reaching 18, to continue serving out the terms imposed on them as minors, or would thejT go at once to the adult rate required for their specific length of service as if they had entered industry at 18? Or would their length of service be calculated on a definite scale, so many weeks or months as a minor learner being equiv alent to so many months as an adult learner? The States have tried every one of these methods at one time or another, but few commis sions have realized all the possible contingencies and dealt with them clearly and consistently. It is certain that there are just as many evils in allowing too great a difference in the way adults and minors are treated as in treating them alike. In the first place, if minors’ rates, either during a desig nated period as apprentices or learners or during their entire minor ity, are much below those required for adult women, it may encourage child labor or, more particularly, it may encourage the employment of girls of 16 to 18 years, who otherwise might remain in school. As a complement this might throw out of work older women. It also could result in a real injustice being done to girls approaching 18 who had entered industry so young that they had two or three years of experience behind them but would have to continue to work for a rate below the minimum. There is the further possibility of its causing laxness in the training given to minors. A relatively short period of apprenticeship and relatively good rates during this time may give the employer just the necessary incentive to train his em ployees so that they are worth the minimum to him when the time comes that they must be paid this rate. All the difficulties must be kept in mind in analyzing the actual treatment of minors and learners or apprentices in the decrees. Actual methods of treating learners or apprentices. Before considering the decrees, the terms “learners” and “ap prentices ” should be discussed. The persons so classed are without the experience necessary to enable them to command the minimum rate. They may be too young also, but all of them, after a longer or shorter period of time, will achieve the qualifications that entitle them to receive the minimum. They are of all ages and have all degrees of service behind them. They are called in some cases learners, in others apprentices, in others inexperienced. Only in Wisconsin does there seem to be any difference in meaning among these three terms as they are used by the minimum-wage commissions. Wisconsin has a law carefully defining an apprentice and considering such a person a minor who is indentured to learn a trade. This law provides in detail what conditions must be met by anyone employing such a worker. The minimum-wage law provides (sec. 104.08) that all minor workers in the occupations affected by this apprenticeship WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 165 law shall be controlled by its provisions and exempted from the pro visions of the minimum-wage law. As a result of this the Wisconsin commission always refers to the inexperienced workers coming under its minimum-wage decrees, whether minors or adults, as “ learners.” In the other States the training for a skilled trade usually implied in the use of the word apprenticeship does not strictly hold true, since the decrees do not specify that any particular course of train ing must be given during the time set aside and called the learning period. Probably the most accurate title for this group that has set for it a rate lower than the minimum is “ inexperienced.” The inter nal evidence of the decrees themselves shows, however, that the com missions or wage boards often made concessions in rates and length of apprenticeship that could only be justified because they were thinking of this period as providing a woman with training in a skilled trade! For the purpose of this report the three words will be used as having the same meaning, unless specially limited by definition when used. To turn to the actual decrees, the ways in which these orders have been issued have varied so from State to State and year to year that it is extremely difficult to discuss methods so as to leave a clear picture. In the first place 232 decrees have been issued by the various com missions. They may deal with experienced workers only, or with experienced and inexperienced together, or with inexperienced alone. Thev may deal with adult women only, with minors only, or with both adults and minors. If they deal with adults and minors, they may either consider them as one unit or treat each specified age group in a different way. DECREES WHERE NO LEARNING PERIOD WAS REQUIRED Before the commissions worked out iust how learners should be treated, they had to decide whether, after all, any learning period was necessary in the particular industry in question. In almost all cases the decision was that some allowances in the matter of rates should be made the employer who hired a beginner. The decrees which took no notice of learners must not be confused with the situa tion that sometimes occurred when a decree or decrees set rates for experienced workers and totally separate decrees took care of the learners. In the decrees first mentioned a flat rate was set for all workers. The following table shows that 27 decrees and parts of 7 others of 232 decrees issued, definitely required that the beginner industry, irrespective of age, must receive the minimum rate. California required no learning period for adult pieceworkers in fruit and vegetable canning, and Washington made this same provi sion in three decrees for adult women—the hotel and restaurant decree of 1915 and the public-housekeeping decrees of 1920 and 1921 166 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 35.—Decrees providing that no learning period should be required, regardless of age of worker, by State and year Year decree became effective California District of Columbia Massa chusetts North Dakota 1916....................... Fruit and vege table can ning.1 1918 Pea canning. Fish canning. Hotel and res taurant. (3) taurant. Agricultural field. (a) taurant. Nut cracking and sorting.1 Wisconsin (?) Building cleaners. Personal service (ticket sellers and ushers). Hotel and restaurant. Building cleaners. Pea canning. Cherry, bean, corn, and tomato canning. (2) Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. Pea canning. Cherry, bean, corn, and tomato canning. i Seasonal industries which were included in the “all-industries” decree had no learning period. T pieceworkers only. , . , In 1919, however, the decree did not become effective until Aug. 1, so the pea-canning order for 191J, which required one season’s experience, governed that industry. 3 Preparers on piecework in fruit and vegetable canning have no learning period. Nineteen of the unqualified decrees and four of the seven decrees that required no learning period for part of the workers included, are in branches of the canning industry, and in most of the cases it was in one State—Wisconsin—that canning workers were not re quired to serve a learning period. In the case of those seasonal in dustries for which no special decrees were issued as they were for canning, Wisconsin also required no learning period. California, where almost all the other canning decrees occur, has been more inclined to provide for a short learning period. In the fish-panning industry California started out to require no learning period, but changed in later decrees (1920 and 1923) to requiring a short one. In its main canning industry—fruit and vegetable canning—Cali fornia has always required a short learning period for day workers. For pieceworkers, who form the bulk of the employees in canneries, the decrees originally required no learning period, but by the time the third canning decree was issued (1918) a different rate in the case of beginners was provided for some groups of pieceworkers and this system was continued in all the later orders. Nevertheless, with a WORKERS OTHER THAN EULL-TIME EXPERIENCED ADULTS 167 i knowledge of where the large groups of workers are employed, it is apparent that the majority of the workers under any fruit-andvegetable-canning decree were not allowed to serve an apprentice ship. The other States that have issued special decrees for the can ning industry—Massachusetts and Oregon—have considered that some time should be allowed in which the new worker might learn the trade. T. ho two States that have employed large numbers of women in canning—-California and Wisconsin—have experimented with learning periods but in most cases have not used them. In the table the only other industrial group which appears under more than one State is hotel and restaurant. Opinion in the States seems to be about evenly divided as to whether or not this industry needs a learning period. In contrast to the States shown in this table, Oregon and North Dakota have required, respectively, one year and six months of experience in their public-housekeeping orders, and Minnesota and Texas have included this industry in their orders for all occupations and industries -where learning periods are re quired. Of the other decrees listed in the table not enough have been issued to determine the views of the various commissions. Massa chusetts is the only State that has orders covering office and other building cleaners and no State but California has an order covering agricultural field occupations. Oregon, as well as North Dakota, has personal-service decrees, but only in the latter is a learning period required of any of the workers. It is true, then, that there is not even a majority opinion among the commissions for requiring these few industries or occupations to pay the minimum rate to workers enterin'* industry. DECREES WHERE APPRENTICESHIP RULES DO NOT CONSIDER AGE The next decrees to be considered are those which treated adults and minors on the same basis when taking up rates and length of learning period. This group of decrees is not exclusive of the group just discussed, since all the decrees that do not require any period of employment before the experienced rate must be received, with the exception of part of the California fruit-and-vegetable canning decrees and the Washington hotel-and-restaurant and other public-housekeeping decrees, apply to all ages. The table following shows the decrees where the required learning period has not been based on the age of the worker. 60769°—28-----12 Table 36.—Decrees providing for the same conditions for women and minors during the learning period, if any, hy State and year Oi 00 Year Arkansas California District of Columbia Kansas Massachusetts North Dakota Oregon Texas Washington Wisconsin Fruit and vegetable canning. 1916... Laundry. Fruit and vegetable packing. Laundry. Hotel and restau rant. (*) . (5) Laundry. Hotel and restau rant. 0 <*> Printing and publishing. Hotel and res taurant. Canning. Manufacturing. Building clean ers. Men’s clothing. Knit goods. Do. (») <*> Canning. (Fort Smith). Telephone Pea canning. Cherry, bean, corn, and tomato canning. Public housekeep ing.8 Personal service.8 Office.8 Manufacturing.8 Laundry.8 Student nurses.8 Mercantile.8 Telephone.6 Building clean ers. 1922... Pea canning. Do. Canning. Mercantile J___ Men’s furnish ings. Laundry. Telephone. Pea canning. Cherry, bean, and tomato ning. Pea canning. Cherry, bean, and tomato ning. corn, cancorn, can- MINIMUM-WAGE LAWS IN THE UNITED STATES ManufacturingLaundry. Telephone. Office. Telephone.1 1923-.- Pea canning. Cherry, bean, com, and tomato can ning. 1924... 1925... (Fort Smith). Mercantile. __ . (Little Rock). i 1926-. 1927... • Pea canning. Cherry, bean, corn, and tomato can ning. Pea canning. Cherry, bean, corn, and tomato can ning. Pea canning. Cherry, bean, corn, and tomato can ning. Pea canning. Cherry, bean, corn, and tomato can ning. 1 This represents four decrees, each giving a different schedule. The commission selects any one decree to apply to a given locality. 1 Minor cash girls and bundle girls have a separate apprenticeship schedule. * The '‘all-industries” decree treats all seasonal workers on the same basis regardless of age. 4 Millinery workers under the manufacturing decree have one set of rates regardless of age. * Preparers on piecework in fruit and vegetable canning have the same rates regardless of age. * In general, rates apply regardless of age, but commission may arrange for minor apprentices to work under special conditions. 7 Millinery workers under the mercantile decree have one set of rates regardless of age. Piece rates in cutting and pitting fruit under agricultural-field-occupations decrees are set regardless of age. 8 Rates for workers in cherries apply to adult women only. 9 Elevator operators under the mercantile decree have one set of rates regardless of age. w Time workers in fruit and vegetable canning have the same rates regardless of age. 169 WOBKEBS OTHER THAN FULL-TIME EXPERIENCED ADULTS Fish canning. Laundry. Fruit and vegetable packing.8 Hotel and restau rant. Nut cracking. • (•) (10) 170 MINIMUM-WAGE LAWS IN THE UNITED STATES In 81 decrees the commissions have established the same require ments for the majority of the women and minors entering the par ticular industry. The only exceptions, and these are explained in the footnotes to the table, are minor cash girls and bundle wrappers under the mercantile decree in Kansas and all minor learners in North Dakota, where the commission has retained the powTer to issue individual permits to work under special conditions. Furthermore, Minnesota, in eight additional decrees that apply to experienced workers only, has treated women and minors on the same basis. Naturally these decrees are not included in this table, since they do not control the learning period'. This method of establishing a uni form experienced rate in one set of decrees and varied inexperienced rates in another set accomplishes the same end that most of the other States have attained through one set of decrees. These decrees are noted here because the basis for dividing the decrees under discussion is whether or not they have differentiated in their treatment of adult women and minors, but they are omitted from the table because they give only half the picture, and the other and more important half, from the viewpoint of this table, belongs in another group. Some California and Wisconsin decrees have treated women and minors separately in most instances but identically for small groups. This would add parts of nine other decrees to this list. In California they apply to timeworkers in the fruit-and-vegetable-canning order of 1923 and to preparers on piecework in those of 1919 and 1920; to mil linery workers under the manufacturing order of August, 1919, and under the mercantile order of 1920; to piece rates in cutting and pit ting fruit under the agricultural-field-occupations order of 1920; and to elevator operators under the mercantile order of 1923. In Wisconsin the same rules apply to all seasonal industries coming under the “ all-industries ” decrees for 1919 and 1921. Among the 81 decrees are found a wide variety of industries and occupations. Practically every kind of decree ever issued is repre sented. At some time and in some State the conditions required have been the same for women and minor learners, in the manufac turing, the laundry, the mercantile, the hotel-and-restaurant, and other industries. More consistently than in any other one industry, no difference on account of age has been made for laundry workers. Perhaps it was felt that most laundry workers -were mature women and the young workers in the industry were so few as not to warrant special rates which required added study to set and increased the complexity of enforcement. Or perhaps the scattered commissions all felt that age had nothing to do with efficiency in this line of work. In no other line of industry, however, is there any uniformity of treatment. Washington treats women and minors alike in its first manufacturing apprentice circular, but later puts minors on a special schedule. California, on the other hand, differentiates in the first three manufacturing orders and treats the classes alike in the fourth and latest order.' Massachusetts treats women and minors alike in one men’s-furnishings decree and separately in the next. Not only may one State be inconsistent in its treatment of minor learners, but a State that seems to have an established policy may be exactly op posed in this respect to another State. Oregon and* Wisconsin have WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 171 felt that only in canning should women and minors be considered on the same basis and in all other industries and occupations covered by their orders the two age groups consistently receive special treat ment. On the other hand. North Dakota and Texas in their decrees covering practically all industries have treated the women and minors alike. The basis on which the commissions have determined their method of treating minors, if anything more than opportunism, evidently was not clearly defined in their own minds. DECREES COVERING WOMEN AND MINORS BUT REQUIRING VARIED LEARNING PERIODS, ACCORDING TO AGE The next group of orders to be considered—orders covering women and minors but varying the apprenticeship provisions for each age group—may include some orders discussed in group 1 (no learning period required) but group 2 (apprenticeship rules do not consider age) and this group are mutually exclusive except for those orders listed in the discussion of group 2 as treating some kinds of workers on one basis and some on another. The following table shows in what industries or occupations the method has been to require treat ment varied according to age, section A presenting the decrees which apply to both women and minors and section B the decrees issued separately for the two classes. Table 37.—Decrees having various apprenticeship provisions according to age, by State and year bO A. APPLYING TO BOTH WOMEN AND MINORS 1916.. 1917.. 1918- California Mercantile_________________ Fruit and vegetable canning. _ Office. Unclassified. Manufacturing------ -------------Fruit and vegetable canning.3 Mercantile. Fruit and vegetable packing. Office. Unclassified. Manufacturing.4 Fruit and vegetable canning 3. Mercantile.4 Fruit and vegetable packing. Office. Unclassified. Manufacturing. Fruit and vegetable canning. _ 1919.. Kansas Massachusetts Mercantile (bundle and cash girls). District of Columbia Retail store. Women’s clothing. Men’s clothing................... Muslin underwear. Retail millinery. Wholesale millinery------Canning and preserving. Mercantile 2 Any.1 Any_. Fruit and vegetable canning.® Mercantile.8 Unclassified. 1924-_---------------------------------------1925_________ _______ ____ ____ - Minor lines of confection ery. Paper box. Women’s clothing. Muslin underwear. Men’s furnishings. Retail store. Any— Telephone. Sanitarium attendant. Home worker. Intermittent worker. Tobacco stripping. Beauty parlors. Corset-----------Women’s clothing. Paper box. ManufacturingMercantile. Wisconsin Minnesota Any.. Any. 1923. 1926. 1927. 1 2 decrees, 1 for cities and 1 for small towns and rural communities. 2 Never went into effect for minors. Provisions superseded by order for minors only. 3 Does not include preparers on piecework. Druggists’ preparations. Canning and preserving. Bread and bakery. Millinery. Stationery. Jewelry. Toys and games. ♦ Does not include millinery apprentices. * Pieceworkers only. 8 Does not include elevator operators. MINIMTJM-WAGE LAWS IN THE UNITED STATES Year decree became effective B. APPLYING TO EITIIER WOMEN OR MINORS Minors Adults 1913 Adults Minors Manufacturing (Portland). Mercantile (Port land). Minors A n y—Manufactur ing or mercantile establishment, millinery, dress making, or hair dressing shop, laundry, hotel or restaurant, tele phone or tele graph establish ment or office. • Office (Portland) Any not previously covered. 1916.. . Any. Mercantile Manufacturing. Laundry. Telephone and telegraph. Minors Mercantile. Manufacturing. Laundry. Telephone and telegraph. Telephone and telegraph. Office....................... Office. Hotel and restau Hotel and restau rant. rant. 173 Mercantile (Port land). Mercantile (State at large). M anufacturing (Portland). M anu facturing (State at large). Personal service (Portland). Personal service (State at large). Laundry (Port land). Laundry (State at large). Adults WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Adults Washington Oregon North Dakota California Year decree became effective Table 37.—Decrees having various apprenticeship provisions according to age, by State and year■—Continued B. APPLYING TO EITHER WOMEN OR MINORS—Continued North Dakota Oregon Adults Minors Adults Minors 1916—Continued____ Telephone and tele graph (Portland). Telephone and tele graph (State at large). Office (Portland). Office (State at large). Public housekeeping (Portland). Public housekeeping (State at large). 1917.............................. . 1918................................ • 1919................................ Adults ♦ Mercantile (Port land). Mercantile (State at large). Manufacturing. Personal service. Laundry. Telephone and tele graph (Portland). Telephone and tele graph (State at large). Office (Portland). Office (State at large). Public housekeep ing. Mercantile (Port land). Mercantile (State at large). Manufacturing. Personal service. Laundry. Washington Minors Adults Minors Any. All (experienced). Inexperienced: Mercantile. Manufacturing. Laundry. Telephone and telegraph. Office. All. Do. MINIMUM-WAGE LAWS IN THE UNITED STATES California Year decree became effective Agricultural field 7„. Public housekeep ing. 1921................................ 1922................................ 1923............................. o—......................... Manufacturing. Mercantile. Laundry. Telephone. Public housekeep ing. Do. Laundry. Telephone and telegraph. Mercantile. Manufacturing___ All except public housekeeping. Public housekeep ing. housekeeping. Public housekeep ing. 7 Minors are*included in the rates set for pitting and cutting fruit. 1 The fruit and vegetable packing order, 1923, for work on cherries, covers only adults 175 WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 1920................. .............. Telephone and tele graph (Portland). Telephone and tele graph (State at large). Office. Public housekeep ing. 176 MINIMUM-WAGE LAWS IN THE UNITED STATES METHODS USED WHEN MINORS WERE GIVEN SPECIAL TREATMENT Table 37 seems to necessitate a recapitulation of the whole sub ject of how minors are to be treated under decrees if they are sepa rated from adult women. The first question is whether a minor ever should receive the experienced rate. This may not seem part of a discussion of apprenticeship, but in reality the setting of one rate for experienced adults and a lower rate for minors who may have worked for a period of time equivalent to that which yields the adult the experienced rate is the same in effect as extending the period of apprenticeship to the eighteenth birthday. The next step then will be to see howT many of the decrees listed in sections A and B of the table provide that minors, though having to fulfill apprentice ship requirements that differ from those laid out for women, may re ceive the experienced rate prior to reaching 18 years of age. Decrees that 'provide the same experienced rate for all ages, though apprenticeship provisions vary according to age.—This occurs in only four States—California, Massachusetts, Minnesota, and Washington. Though Massachusetts issued 23 decrees that treated minor appren tices differently from adult apprentices, only two require an experi enced Tate regardless of age. In Minnesota, on the other hand, it was the invariable practice to establish one rate for all experi enced workers, regardless of differences in apprenticeship rules because of age. Washington after 1917 regulated all minors’ ap prenticeship so that their obtaining the experienced rate depended on their length of service. California has followed this practice in 16 of the 21 decrees having separate provisions for adults and minors in at least one occupation. The table following shows the decrees where one experienced rate obtainable at any age occurs though apprenticeship provisions vary according to age. Table 38.—Decrees providing the same experienced rates for women and minors though apprenticeship provisions vary according to age, by State and year Year decree be came effective 1918 California Massachusetts Washington Mercantile, etc.1 Manufacturing, etc.1 All other.1 All3 (2) Any. 1919 Fruit and vegetable canning.4 Mercantile. Office. Fruit and vegetable packing. Manufacturing.5 1920..................... Fruit and vegetable canning.4 Mercantile. Fruit and vegetable packing. Office. Manufacturing. 1921 ................ Fruit and vegetable canning.4 1922.................. 1923 .. Mercantile. 1925..................... Minnesota Public ing. housekeep Public housekeep ing.3 All • except public housekeeping.3 All except public housekeeping.3 Any. Bread and bakery products. 1 There were 7 decrees for experienced workers, but in 1918 an apprenticeship decree for any industry was issued. 3 Fruit-and-vegetable-canning order treats preparers on piecework in this way. 3 Separate decrees for adults and for minors, in each case, but same experienced rat«, * Time workers only. • Poes not include millinery. WORKERS OTHER THAU FULL-TIME EXPERIENCED ADULTS 177 These provisions meant that a woman’s experienced rate was based almost wholly on the amount of work she had done. She was re quired to serve a somewhat longer apprenticeship or to work for a somewhat lower rate of pay if she entered industry under 18 years of age. For example, office workers in California in 1918 had the rates following: Beginning rate (per week) Adults..____ ______________ _____ _____ Length of apprenticeship (months) $8 12 18 Experienced rate (per week) $10 10 When this method of treating minors was used, allowance was made for their youth and probable lack of experience in any line of work, but the differentiation between adults and minors was not so great as to encourage the employment of an unduly large proportion of minors. In Massachusetts the difference was in rates only, the length of apprenticeship required being the same for all ages. Cali fornia, Minnesota, and Washington allowed lower rates and longer terms for minors, but in no decree is the difference excessive. In every decree dealing with minors separately, what happens to the girl who enters industry shortly before her eighteenth birthday must be considered. It is constantly evident that the commissions did not consider, particularly in the "early decrees, every eventuality that might arise. This question of the girl who reached 18 while serving her apprenticeship often was overlooked. The group of decrees under discussion, however, worked no great hardship on her if she was required to serve the full time of a minor apprentice. California, nevertheless, added to its later decrees the following pro vision: “A minor girl who is still a learner upon reaching the age of 18 years shall be paid not less than the rates specified for adult learners.” In other words, any girl who entered an industry shortly before her eighteenth birthday was considered an adult learner, and while she might start at minor rates she jumped to adult rates on reaching 18. Fairly enough her position was midway between the true adult and the true minor. Without defining what was to occur as clearly as California has done, most decrees with special apprenticeship rules for minors have been interpreted to mean that on reaching 18, the girl would go to whatever adult rate her length of service entitled her. Even this would hardly seem necessary if the differences between the conditions laid down for adults and those laid down for minors were not too marked. Apprenticeship, then, in this group of decrees is controlled by the entering age, but the experienced rate is irrespective of age. At 18 a girl in some cases goes under the adult decree, in others she serves out her minor apprenticeship. In all cases she comes ultimately, in spite of age, to receive the experienced rate. While it is easily understood that a minor might take longer to learn a job, or might not be worth so much when a raw recruit as an adult, it is hard to justify her never receiving the experienced rate. If the commission 178 MINIMUM-WAGE LAWS IN THE UNITE!) STATES was convinced that different treatment for adult and for minor ap prentices was necessary, the methods followed in these decrees pro vide a way for getting all woman workers with an adequate amount of experience on the minimum rate. Decrees that never ■provide for a minor reaching the experienced rate.—Many decrees do not require that a minor ever be paid the experienced rate. There are several ways in which minors are treated, all with this result. The table following shows the decrees that provide for the same rate for all minors in a specified age group. Table 39.—Decrees providing for a flat rate for all minors in a specified age group, by State and year California Massachusetts Oregon 1913—............1..........1. ! 1914............................. 1916. 1918. Retail store 2—-under 17 years; ' Any—16 and 17 years.1 17 years. Women’s clothing—under 18 __________________ years.2 1919. 1920. 1921. 1922. 1923. 1927. Unclassified—under 18 years.._ Muslin underwear—under 18 Fruit and vegetable canningyears. under 18 years.4 (*)•—.........-........................ r— Canning and preserving—under 18 years. (6)............. --.............. ................................................ Corset—under 17 years. Women’s clothing—under 18 years. (7) (8) Any—14 years; 315 years. Mercantile—under 18 years. Manufacturing—u n d e r 18 years. Laundry—under 18 years. Telephone and telegraph—un der 18 years. Telephone and telegraph—un der 18 years. Office—under 16 years; 16 and 17 years. Hotel and restaurant—under 18 years. All—under 16 years.3 Hotel and restaurant—16 and 17 years. Any—14 years, 3 15 years. Women's clothing—under 18 years. Retail store—under 18 years.* Jewelry—under 20 years. Toys and games—16 and 17 years.® 1* Commissionbefore issue specialyears of age apprentices, allowing them to work for lower rates may reaching 18 permits to does not count toward apprenticeship. orf done Any—14 and 15 years.* 179 1 i d rates take care of ttiese gr0UPs until they reach their eighteenth birthday. (See next table ) . Adult preparers on piecework in the fruit-and-vegetable-canning decree also have the same rate at all times. * Canners and labelers on piecework in the fruit-and-vegetable-canning decree are treated in this way. ! Canners and labelers under 16 years old on piecework are treated in this way in the fruit-and-vegetable-canning decree c pLe£!IeAaDd ca“nefs °? piecework and labelers under 16 years old on piecework are treated in this way in the fruit-and-vegetable-canning decree * Pieceworkers in the fruit-and-vegetable-canning decree are treated in this way. 6 K 6 Minors who enter at these ages are treated in this way. For minors who enter at under 16 years, see next table. Wisconsin Any manufacturing, etc.—16 and 17 years.1 1915. 1917. W ashington WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Year decree became effective iSO minimum-wage Laws in The united states There appear in this table 25 entire decrees, part of one of these brought out separately where rates are different (Washington, hotel and restaurant, 1917), and parts of four other decrees (California, fruit and vegetable canning, 1919, 1920, 1921, and 1923) where only certain occupations are treated in this way, making 30 entries. The main fact about these decrees is, of course, that for none of the workers in the specified age groups can the minimum wage be required, no matter what their experience in relation to the experience required for adult workers. Generally a minor stays on a flat rate until she is 18 and then goes to whatever rate in the adult decree her length of experience entitles her. In most cases a flat time rate has been set, but in the California canning decrees the minor frequently has been allowed to work for piece rates without any of the guaranties provided the adult. In Massachusetts, in the corset decree, 1920, 17 years is used as the dividing line; in jewelry, 1920, 20 years is used-. Another slight differentiation is found in Washington, in the office decree, 1915, and in the hotel-and-restaurant part of the “all-indus tries ” decree, 1917; also in Massachusetts, in the retail-store decree. 1916. In these three decrees a flat rate is set for two different age groups, the older minors getting somewhat more but no account being taken of, length of service. There remains a small group of four decrees—California, fruit and vegetable canning, 1920 and 1921; Oregon, “any industry,” 1918 and 1919; Washington, “all indus tries,” 1919; and Wisconsin, “ any industry,” 1919—where a flat rate is set for minors under 16 years dependent only on their age, but for minors of 16 years an entirely new basis of promotion, based on a combination of age and experience, is the rule. These minors after becoming 16 years of age will be discussed in the next table, but the younger groups belong here, since for these ages the decrees really are part of this group which require advancement with age only. There is, in addition, a curious situation in the Massachusetts toysand-games decree (1927). Minors who enter industry at 16 or 17 receive no increase in rates until they become 18. Minors who enter at less than 16 receive an increase after one year’s experience (see the next table). Moreover, in this table there are three decrees in which not only is it impossible for a minor under 18 years to obtain the experienced rate, but her time spent at the work does not count as experience. In these three Massachusetts decrees, retail stores, 1916 and 1922, and women’s clothing, 1917, a woman must serve her apprenticeship or learning period after her eighteenth birthday. As the next table shows, California for mercantile establishments in 1917 made the same requirement, though a girl got some increases in rates due to length of service before her eighteenth birthday. It is hard to see how this situation ever arose, since it places such tre mendous emphasis on age. All these are early decrees except that of Massachusetts in 1922. Moreover, with the exception of this one Massachusetts decree (retail stores) later decrees changed this pro vision. It seems impossible to defend a decree that forces a girl of 18 years with possibly four years of experience in a given industry to receive the same treatment as a girl beginning her working life at that age. STATE TEACHERS COLLEGE LIBRARY WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 181 In all these decrees, but particularly in the last three, the whole em phasis of the rules would seem to be based so firmly on age as to lose sight entirely of the difference in value between an experienced and an inexperienced worker. It would seem also that these decrees might tend to encourage the employment of children, since there would be a possibility, for example, of employing a girl of 16 with two years’ expei ience for less than one could employ a girl of 18 years or more with little or no experience. Then, too, these decrees would permit girls to work for such long periods of time for less than the minimum that the employer might not feel the need of giving them any train ing for their job, and might even, when the sudden Jump to the mini mum occurred, seek to drop the 18-year-old girls and take on other young workers. That some commissions and wage boards have felt that a flat minor rate was unwise probably is indicated by the fact that in an almost equal number of decrees where minors never could receive the experienced rate they could, nevertheless, require certain increases in pay based on their length of experience. The table following gives those decrees under which a minor girl obtained regular increases in pay based on her length of service as well as her age. Table 40.—Decrees California District of Columbia Kansas Massachusetts Oregon Mercantile — under 18 years.1 1917. Mercantile (bundle and cash girls)—un der 18 years. 1918. Unclassifled—under 18 years. Do. 1919. 1920. 1921. Mercantile — under 18 years. Manufacturing—un der 16 years. Mercantile—under 16 years. 1924. 1925. 1926. 1927. Men’s clothing—un der 18 years. Retail millinery—18 years; under 18 years. Wholesale millineryunder 18 years. Minor lines of confec tionery—under 16 years. Paper box—under 18 years. Muslin underwear— under 16 years. Men’s furnishings— under 16 years. Druggists’ prepara tions— under 18 years. Canning, preserving, and minor lines of confectionery—16 and 17 years; under 16 years. Millinery—under 19 years. Stationery goods—16 and 17 years; under 16 years. Toys and games—un der 18 years.3 1 Work done before reaching 18 years of age does not count toward apprenticeship. * Flat rate takes care of workers 14 and 15 years old. (See preceding table.) Any—16 and 17 years.2 -do.2- Wisconsin Washington All except hotel and restaurant—16 and 17 years.2 Any—16 years.1 Any—under 17 years. a Workers entering industry under 16 years of age. 00 to MINIMUM-WAGE LAWS IN THE UNITED STATES Year decree became effective providing for varied rates for miners according to time employed but not providing for their being paid the experi enced rate, by State and pear WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 183 One contrast with the table next preceding is at once apparent—■ these decrees on the whole are of a later date. Also, where the dates are the same a given State—Massachusetts, for example—has more de crees in the second table than in the first. This would seem to indicate a growing tendency not to base minors’ rates solely on their age. In all these decrees a beginner follows a definite progression of rates, the increases being based on length of service, until the pseudo experienced rate is reached. No further inci'eases of pay are required until the minor reaches the specified adult age (usually 18 years) which puts her under the adult decree. On her birthday she goes to whatever rate in the adult decree is required for one of her length of service. In all the States except Oregon and Washington the advances given these minors are set forth in the decrees. For example, in Kansas, mercantile, 1922, the rates run: First two months, $6 per -week; next four months, $8 per week; thereafter to 16th birthday, $9 per week. In Oregon and Washington, however, an entirely different method of advancement is used, for after every six months of service the minor must receive an increase. The amount of the increase is $0.50 per week in the early decrees and $1 in the later ones. The increases are so arranged, however, that the minor does not advance to the adult experienced rate until she becomes 18. Either of these methods does away with the main criticisms of the flat rate, but even under these systems of advancement it seems pos sible that minors might be required to serve unnecessarily long ap prenticeships. SUMMART To sum up methods of grouping apprentices or learners before dis cussing the actual provisions of the apprenticeship schedules: First, there is a small group of decrees where neither adults nor minors are required to serve any apprenticeship whatsoever; second, there is a very small group of decrees where adults only arc not required to serve an apprenticeship; and, third, three kinds of decrees specify that all beginners in industry may work for less than the experienced rate. There arc three ways in which these lower rates for beginners are handled: The first way is to set straight apprenticeship schedules for beginners in industry, regardless of age; the second way is to set apprenticeship schedules which vary as to rate and length of learning period according to the age of the beginner but lead to the same expe rienced rate; and the third way is to set decrees which have separate rates throughout for minors and for adults. The great majority of the decrees issued have been treated in the last two "ways. A general line of policy was adopted by most of the States— sometimes for all industries or occupations, sometimes for specific ones—as to which to follow of the three ways of handling rates estab lished for beginners. California used the first two methods quite consistently; for example, treating laundries according to the first and general and professional offices according to the second, and using 60769°—28-----13 184 MINIMUM-WAGE LAWS IN THE UNITED STATES the third method only for the earliest of the mercantile decrees. Mas sachusetts, on the other hand, has divided its decrees pretty evenly among all three methods, usually handling a reenacted decree in the same way as the original. Oregon has consistently followed the third method of treating beginners’ rates for all industries. Wash ington has experimented with all three methods. The following table shows how many decrees were issued with a distinction between adult women and minors. Table 41.—Number of decrees in which minors have been treated differently from adult women, by State and year All years Mi To Wom Mi To Wom en nors en nors tal Mi only only To Mi only tal only To nors nors tal sepa tal sepa rate rate 232 Arkansas District of Columbia.. Kansas W omen and minors 3 40 5 8 34 12 13 44 1 45 27 65 1 5 37 22 149 3 39 4 8 34 12 8 3 1 10 27 59 21 1 2 23 4 18 5 22 6 1 6 5 3 2 ___ 1 6 2 1 1 2 6 2 1 17 14 2 4 35 16 17 | 41 13 15 4 5 1 6 6 1 3 4 3 *3 4 3 9 , 2 1919 8 2 3 3 2 10 3 1 3 2 1 26 10 2 1 3 2 5 2 34 1 1 10 1 1 6 23 7 1 2 1 8 2 41 31 14 13 4 1 3 9 1 1 6 *8 1 1 2 1920 16 1 1 1 1 1 1921 11 1 8 4 16 1 1 1 1 1 3 2 1 2 1 1 1 1 185 1 11 10 1 11 9 1 1 ...... 1 1 7 1 1 6 1 5 1 4 1 2 1 1 5 4 Wisconsin................... 76 73 1 1 1 1 6 1 5 4 4 3 2 1 In Washington apprentice circulars are issued. They serve the same purpose as apprentice decrees in other States and are treated as decrees in this table. * In manufacturing (1919) and mercantile (1920), rates for millinery apprentices are the same for all ages. * In fruit and vegetable canning preparers on piecework receive the same treatment regardless of age. * 4 Under agricultural field occupations decree piece rates are the same for women and minors in cutting and pitting fruit. Otherwise the order applias only to adult women. • Minor cash girls and bundle girls have separate rate schedules. • Commission may issue permits for minor apprentices to work under special conditions. Otherwise they must be treated the same as adults. 7 Seasonal industries under “all industries" decree have same rates for all ages. 1 2 10 1 Arkansas___________ 2 Mi To Wom Mi To Wom en nors en nors Mi only tal tal only only To Mi only To nors nors tal sepa tal sepa rate rate 2 13 1 13 1918 2 11 W omen and minors 1 1917 6 1 2 Mi To Wom en nors tal only Mi only To nors tal sepa rate 1916 W omen and minors 1 4 8 3 1915 Women and minors WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS State 1914 1913 Women and minors Table 41.—Number of decrees in which minors have been treated differently from adult women, by State and year—Continued o* 1922 1923 1924 1925 1926 Women and minors Women and minors Women and minors Women and minors Women and minors 6 i 1 2 2 2 _____ 4 2 _____ j M inors only 2 M inors separate 2 W omen only 4 Total 1 M inors only 4 W omen only 2 3 Total 2 5 M inors only 3 M inors separate — 8 » 9 10113 4 — ........ — 2 1 5 Women only 3 Total 1 M inors only Women only 5 Total 3 1 1 1 2 2 2 2 • | 1 2 2 I In Washington apprentice circulars are issued. They serve the same purpose as apprentice decrees in other States and are treated as decrees in this table. * In fruit and vegetable packing rates for workers in cherries are set only for adults. 9 In manufacturing women have higher part-time rates than have minors. 10 Elevator operators in mercantile establishments have same rates for all ages. II In fruit and vegetable canning timeworkers have the same rates for all ages. 2 5 3 2 9 1 Total 3 3 M inors separate 3 5 1 3 Total 1 Women and minors Total 2 1 6 12 J Women only _____ M inors only Total 12 M inors separate M inors only 2 Total M inors separate 7 | Total 15 M inors separate Texas______ _____ Washington 1_____ Wisconsin 6 2 1 Total Massachusetts Minnesota...... ............. North Dakota 23 | Women only Total All States 1927 2 2 MINIMUM-WAGE LAWS IN THE UNITED STATES State Arkansas............... ....... California_____ ____ District of C olumbia.. 00 WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 187 Sixty-five decrees have covered adult women only; 18, minors only. Fifty-nine decrees have covered both women and minors but have made different provisions for them, and 90 decrees have cov ered women and minors on the same basis. Rules as to where apprenticeship shall be served. When the commissions had decided how they would handle the questions of occupation or industry and of age in relation to ap prenticeship, they had barely made a beginning on this part of the decree. In fact, they had not even reached the problems usually thought of in relation to apprenticeship. How long a period of apprenticeship should be required? Should such service be continu ous? Should it be with one employer? Should it be in the par ticular occupation, or would service in the particular industry, or even service in industry in general, be sufficient? Should length of service suffice if no regular instruction is provided ? The last question the commissions have not attempted to handle through definite provisions in the decrees, though they have had it constantly in mind. California, for example, in all its decrees, defines a learner as a “ woman or minor whom the industrial welfare commission permits to work for less than the legal minimum wage in consideration of the provision by the employer of reasonable facili ties for learning the industry.” Reasonable facilities are not defined, and the only spur to the employer, unless the time-driven inspectors make personal inquiries, is that every few months he must increase the learner’s pay until the minimum is reached. The commissions have tried to cover all the other questions. The length of the learning period, of course, is carefully set forth in each decree. The variation from State to State and decree to decree is exceedingly great, as a later table will show. The questions as to con tinuity and kind of service often are not touched in the decrees, though they had to be settled in enforcing the rates. Many com missions seemed to feel that if they set a year, for example, as the length of the learning period under a given decree, they had done all that was necessary. If the commissions tried to define the kind of service, they usually failed to foresee all possible complications, just as in the case of rules intended to take care of differences due to the age of the worker. To illustrate from a decree covering the manufacturing industry: The length of the learning period is to be one year; a woman may come to work as a weaver in a woolen mill: what experience must she present to show that she is entitled to the experienced rate? (1) (2) (3) (4) One One One One year’s year’s year’s year’s experience in any manufacturing industry? experience in any occupation in a woolen mill? experience in weaving in any textile mill? experience in weaving in a woolen mill? If she can not get full credit for a year spent in groups 1, 2, or 3, should she get some credit for this experience? Or (5) no matter what her background, must the woman work a year with this new employer before she is experienced? If instead of having worked a year the woman had changed employer at the end of six months, 188 MINIMUM-WAGE LAWS IN THE UNITED STATES how much credit should she get from a new employer under the con ditions set forth in each group? The answer to all this is that really each woman is an individual problem. The commissions could not, however, for the most part, take up each case. They must lay down some general rules to guide the executive enforcing the law. These general rules fall into certain main groups that correspond roughly to the illustrations (1) in any industry, (2) in the particular industry or in the specific branch of a particular industry, (3) in the occupation, (5) in the establishment. Only (4), requiring experience in the particular occupation in the particular industry, never occurs. The following list gives the decrees that have had any definition of the kind of service required in order that a woman may qualify as experienced: State and kind of experience California : “ In an occupation Name of decree and date effective Unskilled and unclassified occupa tions, 1918, 1923. “ In an establishment ” Unskilled and unclassified, 1919,1920. Fruit and vegetable canning, 1919, 1920, 1921, 1923. Fish canning, 1920, 1923. Nut cracking, 1923. In a branch of the industry. Fruit and vegetable packing, 1918, 1919. Needle trades, 1922. Manufacturing, 1923. In an industry (industry equals Fruit and vegetable packing, 1920, branch). 1923. In the industry Laundry, 1917. Fruit and vegetable canning, 1918. Manufacturing, 1918. “ In the said industry”. Fruit and vegetable canning, 1916, 1917. Mercantile, 1923. Laundry, 1923. “In the----- -— industry” Laundry, 1919, 1920. Mercantile, 1920. “In general and professional Office, 1920. offices.” “In any manufacturing industry”. Manufacturing, 1920. No definition Mercantile, 1917, 1919. Office, 1918, 1919. Manufacturing, 1919. District of Columbia: “In the industry”. Printing and publishing, 1919. Mercantile, 1919. Laundry, 1921. Kansas: “In laundry work” Laundries, 1918. “ With the same employer or others Manufacturing, 1922. in the same character of in dustry.” No definition Mercantile, 1918. Telephone operator, 1918. Manufacturing, 1919, 1920. Laundry, 1922. Mercailtile, 1922. WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS State and kind of experience 189 Name of decree and date effective M assachusetts: “In the industry,” or “In the Brush, 1914. ---------industry.” Women’s clothing, 1917, 1920, 1922. Men’s clothing, 1918. Men’s furnishings, 1918. Candy making, 1920. “In the occupation,” or “In the Druggists’ preparations, 1924. ---------occupation.” Retail millinery, 1918. Wholesale millinery, 1919. Canning and preserving, 1919. Men’s clothing, 1920. Corset, 1920. Knit goods, 1920. Paper box, 1920, 1922. Men’s furnishings, 1922. Laundry, 1922. Brush, 1923. Retail store, 1922. Bread and bakery products, 1925. Millinery, 1925. ' Jewelry, 1927. ToySjjmd games, 1927. “In the occupation, provided half Muslin underwear, 1918, 1922. the time is with the specific employer.” In a particular lino Minor lines of confectionery, 1921. In a given factory Canning, preserving, and minor lines of confectionery, 1925. In the particular plant Stationery goods, 1926. In laundries Laundry, 1915. In retail stores Retail store, 1916. In a candy factory Candy, 1926. Minnesota: In the particular industry All occupations, 1918, 1919, 1921. North Dakota: “With the same employer or any Public housekeeping, 1922. other employer in the same occupation.” No definition Office, 1920. Personal service, 1920. Mercantile, 1920, 1922. Laundry, 1920, 1922. Telephone, 1920, 1922. Manufacturing, 1920, 1922. Public housekeeping, 1920. Oregon: No definition All decrees. Texas: “ In any occupation” Telephone, telegraph, office, mercan tile establishment, laundry, or factory. Washington: “In operating a telephone ex Rural telephone exchanges (Orders No. change. ” 14 and 15), 1915. No compensation until able to Small telephone exchanges, 1919. take charge of switchboard unassisted. At the particular work Manufacturing, 1922. No definition All other decrees. Wisconsin: “ In the trade or industry, whether All, 1919, 1921. for the same employer or for different employer.” 190 MINIMUM-WAGE LAWS IN' THE UNITED STATES The great number of these decrees require that experience be gained by service in a particular industry. That this is the most usual procedure is obscured somewhat by the fact that there is so much confusion in the way the words “ occupation ” and “ industry ” are used. In only one case—California, “unskilled and unclassified occupations,” 1918 and 1923—is the word occupation used to denote a particular process or trade; in every other case it is synonymous with industry. For example, in the decrees for laundries, the fol lowing definitions are found: California and District of Columbia, “in the industry”; Kansas, “in laundry wrork”; Massachusetts, “ in the occupation ” 1922, “ in laundries ” 1915. In every case the requirement is for service in the laundry industry. In Minnesota and Wisconsin, though the decrees are for all industries or occupa tions the apprenticeship requirement clearly is for service in a par ticular industry. In this case, however, it is not clear what would be considered an industry, as is the case in decrees covering smaller units. This rule might correspond to the California rule for a “ branch ” or that of Massachusetts for a “ line ”; that is, experience might be required in a woolen mill rather than in a textile mill. This same problem of defining industry holds true where a decree covers all manufacturing, as in California. That the California commission realized this problem is shown by its changing requirements in the manufacturing decrees: 1918, “ in the industry.” 1919, no definition. 1920, “ in any manufacturing industry.” 1923, “ in a branch of the industry.” Though this problem apparently met with so little attention, it was a tremendously important one if commissions were to handle apprenticeship. In enforcing the law the executives of the commis sions constantly had to decide whether or not a given woman was experienced. In so doing they had little or no guidance from the decrees. Where the apprenticeship period was long, the requirement that all of it be served in a special branch of an industry, with no credit for general industrial experience, worked a real hardship on the worker; the requirement that it be served in one establishment, regardless of past experience, an injustice to the worker. On the other hand, it is hard to see how work in a textile mill could help toward being an experienced chocolate dipper. This last is, of course, an extreme example, but there were thousands of borderline cases, extremely hard to determine, as for example, a shift from one skilled process in a shoe factory to another. General familiarity with the making of shoes should count for something, but for how much was a problem indeed. This whole problem goes back, in reality, to the size of the industrial group governed by an apprenticeship decree. Once more it is apparent that if each industrial decree were divided into as small units as those issued originally by Washington, the only problem would be the relation that experience must bear to service in the establishment. The arguments against this method have been gone over earlier in the report. WORKERS OTHER THAN FUEL-TIME EXPERIENCED ADULTS 191 Length of apprenticeship period. It is impossible to say from the decrees just where apprenticeship must be served, but every decree gives a period of time that must be worked before the experienced rate must be paid. The discussion pre ceding, of the kind of service required, shows how little this term means. It was practically useless to say one year’s experience was required without a careful definition of where such experience should be served. The table following gives the length of the experienced period required in each decree. In using those sections of the table relating to minors, it must be remembered that child-labor laws prohibit certain groups of minors from working at all. However, unless the table indicates that only minors of given ages are covered by the pro visions of the decrees, the commissions have drawn up their orders without any special reference to child-labor laws. Table 42.—Length of service required before experienced rate must be paid, by State and year SO to [The experienced rate is the highest rate required for a given age group] ACTUAL TIME PERIODS SPECIFIED IN DECREES 1 1913 Irregular Any—16 an£ 17 years.* 3 1014 State 12 weeks 3 months Manufacturingbindery, fold ing and gath ering. 6 months Mercantile— man Mercantile—florists; ice icuring. cream. Manufacturing— Manufacturing—broom; tent and awning and pie; berry box; mattress; candy, ex cord repairing. Laundry and dye cept chocolate dip ping; bag i. e. clipping, works — mend turning, folding, feed ing. ing, packing; paper box, except berry box. Laundry and dye works. 1 year 8 months Manufacturing— bags sewing; cap, pennant, and glove. Manufacturing— hair; garment. Telephone. None Brush. Any—adults. Mercantile—s alesmanship, millinery and dress making; manicuring and hairdressing. Manufacturing — engrav ing and hand emboss ing; bindery, except folding and gathering; chocolate dipping;brush; tailoring; alteration and furrier occupations; pho tography. Telegraph. Mercantile — under 18 years.*3 M anufacturing— under 18 years.*3 ■ Laundry and dya works—under 18 years.*3 Telephone and tele graph—under 18 years.* 3 9 months 1915 State Washington.......... 3 months 6 months 9 months Office—stenography and bookkeeping—. Office—general------- -------- Telephone * 1 year Laundry. Laundry------------------ None Office—under 18 years.* 3 Hotel and restaurant, except waitresses. MINIMUM-WAGE LAWS IN THE UNITED STATES State 1916 1 year 3 weeks Irregular None Fruit and vegetable canning—piece workers. Retail store—under 18 years.* Fruit and vegetable canning—time workers. Mercantile, manufacturing, personal service, laundry, telephone and telegraph, office, public housekeep ing-adults. Any—16and 17 years.*2 1917 State 2 years None Mercantile—20 years and over. Fruit and vegetable canning time workers. Mercantile—18 and 19 years. Fruit and vegetable canning— piece workers. Women’s clothing—under 18 years.* Mercantile—under 18 years. All—under 16 years.* Hotel and restaurant—16 and 17 years.* All, except hotel and restaurant— 16 and 17 years; periodic raises until minimum or 18th birth day is reached.* Women’s clothing—18 years and over.® Canning. • i Pea canning. 1 * See note on p. 202. 2 To be determined by commission. 3 Minors came under th«.se special orders unless an employer chose to register a minor as an apprentice and his application was approved. 4 Set in 1914; experienced rate modified in 1915. 8 Apprenticeship must be served after eighteenth birthday. 193 Irregular 1 year and 6 months 3 weeks WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS State o Table 42.—Length of service required before experienced rate must be paid, by State and year—Continued 1918 1 week 3 weeks Fruit and vegetable canning — piece workers (18 years and over). 3 months 4 months Fruit and vegetable canning—time work ers (18 years and over). Fruit and vegetable packing. U nclassified—18 years and over. 6 months 7 months 8 months Laundry. Men’s clothing— under 18 years.* t Mercantile (adults)— ice cream; confecfectionery; florist; bakery. M anuf acturing (adults) all occupa tions not specifi cally listed else where. Laundry—adults. Manufacturing (adults)—chocolate dipping. Office—adults. Telephone and telegraph — adults. Any (State, outside cities)—minors. M ercant i le—adults. Mercantile (adults)— salesmanship; mil linery; beauty par lor; alteration. MINIMUM-WAGE LAWS IN THE UNITED STATES State State 9 months 1 year 1 year and 3 months Mercantile. Telephone. Men's clothing—18 years and over. Men's furnishings. Muslin underwear—18 years and over. Any (all cities)—minors. Manufacturing, personal service, laundry, tele phone and telegraph, office, public housekeep ing—adulis. Washington.— Manufacturing (adults)— garment; tailoring; dress making; fur; engraving and hand embossing; hair; brush; printing. • See note on p. 202. 18 Irregular Fish canning. U n c 1 a s s i f i e d—under 18 years.* Fruit and vegetable can ning—under 18 years. Muslin underwear—under 18 years. Retail millinery—4 seasons of 12 weeks each, including 16 weeks in a fall season or seasons and 16 weeks in a spring season or seasons. Any—14 and 15 years*........ Any (16 and 17 years)—periodic raises until minimum or eight eenth birthday is reached. All (minors)—periodic raises until minimum or eighteenth birth day is reached. Pea canning—one season. 195 Office—under years. None WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Office—18 years and over.. Laundry and dry cleaning. 1 year and 6 months Table 42.—Length of service required before experienced rate must be paid, by State and year—Continued CD 1919 State 1 week 2 weeks 3 weeks 4 weeks 8 weeks 3 months Wisconsin. 7 months Manufacturing«—18 years and over. Laundry and dry cleaning. Office—18 years and over. Manufactur ing®—18 years and over. District of Columbia. Kansas____ Minnesota.. Oregon____ W ashington. 3 months Manufacturing. Any—adults. Canning. Manufacturing (adults)—sorters in paper mills; finishers in brush. Transient milliners. Manufacturing (adults)—draw ers in brush. All—minors of 16 years.* Office (adults)— Office (adults)doctors’ and denGeneral, tists’ workers; 1 toll, bill, and addressograph clerks; addingmachine opera tors; cashiers in motion - picture theaters. Mercantile (adults) — ice cream; confec tionery; florist; bakeries; gro cery; drug stores; music houses. Manufacturing (adults)—all oc cupations not specifically listed elsewhere. All—adults and minors over 17 years. Mercantile— 18 years and over. MINIMUM-WAGE LAWS IN THE UNITED STATES California... Fruit and vege Fruit and veg Unclassified.. table canning: etable pack Time workers. ing. Piece workers. Canners and labelers —18 years and over. 4 months State 8 months 9 months Printing and pub lishing. Mercantile6— under 18 years. (Never in effect.) Canning and pre s e r v i n g—1 8 years and over. District of Columbia. Massachu setts. Minnesota. Oregon----- Any—minors. Mercantil e— adults. Manufacturing, personal service, laundry, tele phone and tele graph office, public house keeping—adults. Washington.. Mercantile (adults)— sales manship; milli nery; beauty parlor; altera tion. Wisconsin. * See note on p. 202. , . . . • 2 decrees in this industry, the second a revision of the first. 3 years None Irregular Mercantil e— 18 and 19 years. Mercantil e— under 18 years. Fish canning. Hotel and restau rant. Fruit and vege table canning: Preparers—18 years and over. Piece work ers — under 18 years. Manufacturing. Millinery appren tices — 24 weeks, comprising 2 sea sons. Building cleaners. Canning and pre serving— under 18 years. Wholesale milli nery—4 seasons, in cluding 12 weeks in each of 2 spring and 2 fall seasons. Any—14 and 15 years.* Any (16 and 17 years) — Periodic raises until mini mum or eighteenth b irthday is reached. All—minors of 14 and 15 years.* Pea canning—one season. Mercantile6— under 18 years. Wholesale milli nery (nonseasonal). 197 2 years WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS M anufacturing6—under 18 years. Office—under 18 years. Manufactur ing 6—under 18 years. California. 1 year and 6 months Mercantile— 20 years and over. 1 year Table 42.—Length of service required before experienced rate must be paid, by State and year—Continued CO 1920 State 2 weeks Fruit and vegetable canning: Time workers. Piece workers— Canners and la belers — 16 years and over. Fruit and vegetable packing: All fruit packing not in 4-weeks group and all vege table packing— Time workers. Piece workers—18 years and over. North Dakota.......... 3 weeks Unclassified 4 weeks 2 months 3 months 4 months Fish canning. Fruit and vegetable packing: Citrus in dustry; dried fig and layer raisin packing— Time workers. Piece workers—18 years and over. candy and biscuit. Wisconsin................. and 15 years.* State Arkansas. California 6 months Mercantile (Fort Smith). Laundry and dry cleaning. Office—18 years and Manufacturing—18 years and over. District of Columbia. Kansas Manufacturing. Massachusetts........... 9 months 1 year 1 year and 6 months 3 years ing. Laundry. 16 and 17 years.*7 Beauty parlor—16 and 17 years.* None Irregular Mercantile—18 years Mercantile—under and over. 18 years. Office—under 18 years. Hotel and restaurant. Merc antile—milli Agricultural. nery apprentices: 24 Fruit and vegetable can weeks, comprising 2 ning: Piece workers— seasons. Preparers. Canners and labelers—under 16 years. Fruit and vegetable pack ing: All fruit packing not in 4-weeks group and all vegetable pack ing—Piece workers— under 18 years. Hotel and restaurant. Men’s clothing.......... . Women’s clothCorset—17 years and ing—18 years and over. over. Corset—under 17 years.* Women’s clothing—un der 18 years. Manufacturingunder 18 years. Paper box. Candy—67 weeks with in a period of 78 weeks. Knit goods—40 weeks. MINIMUM-WAGE LAWS IN THE UNITED STATES 1 week oo Telephone. Student nurse-1 Personal service—ticket sellers and ushers. Public housekeeping— adults. Public housekeeping (minors) — periodic raises until mini mum or eighteenth birthday is reached. Cherry, bean, corn, ami tomato canning. Pea canning. Tobacco strippingadults and minors over 17 years. Beauty parlor—adults and minors over 17 years. 1921 State 2 weeks 3 months Fruit and vegetable canning: Piece workers— Labelers — 16 years and over. Time workers. District of Columbia. 6 months Laundry. Minor lines of con fectionery — 16 years and over. Any—adults. 9 months None 1 year Irregular Fruit and vegetable can ning: Piece workers— Preparers and canners. Labelers—under 16 years. Minor lines of con fectionery-under 16 years.* Any—minors. Building cleaners. All. Public housekeep ing (minors)—peri odic raises until minimum or eight eenth birthday is reached. i Minors under 16 may not be employed in any tobacco warehouse, cigar or other factory where tobacco is manufactured or prepared.- -Wisconsi 103.05, sub-sec. 3, paragraph C, item 20, p. 1107. Statutes, 1923, Section All—16 years and over. All—14 and years.* 15 199 Public housekeepingadults. Laundry—adults. Telephone and tele graph-adults. Mercantile—adults. Cherry, bean, corn, and tomato canning. Pea canning. WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 60769°— 28 ------ 14 Personal service, ex cept ticket sellers and ushers. Manufacturing—book binding and job press feeding. Mercantile. Table to O O 42.—Length of service required, before experienced rate must be -paid, by State and year—Continued 1923 1 week 4 weeks 4 months 5 months Arkansas______ California......... Kansas................ Massachusetts.. L a u n d r y— adults. Public housekeeping—adults.. Laundry— adults. North Dakota... Oregon................ Canning. Washington... . State Manufacturing Schedule E. 9 months Kansas................ Massachusetts .. North Dakota... M anu fa ctu r in g—c a n d y and biscuit. Telephone Washington____ Wisconsin........... (adults)— Manufacturing (adults)— Schedule D. 1 year Manufacturing: Millinery and dressmaking. Mercantile—16 years and over. Paper box___ Muslin underwear. Men’s furnishings. Retail store—18 years and over. Manufacturing—bookbinding and job press feeding. Mercantile. 6 months 8 months Mercantile (Fort Smith, Little Rock). Needle trades. Laundry. Manufacturing, except millinery and dressmaking. Mercantile—under 16 years. Manufacturing (adults)—Sched ule C (24 weeks). 1 year and 6 months None Women’s clothing—18 years and over. Manufacturing (adults)— Schedule B. Women’s clothing—under 18 years.* Retail store—under 18 years.* Manufacturing (adults) — Sched ule A. Cherry, bean, corn, and to mato canning. Pea canning. Irregular All other than public house keeping (minors) 8—periodic raises until minimum or eighteenth birthday is reached. MINIMUM-WAGE LAWS IN THE UNITED STATES State 1923 State California _____ Fish canning, other than fancy packers. 4 weeks 3 months Fruit and vegetable canning— time workers. Fruit and vegetable packing: Green fruit and vegetable pack ing other than in cherries— workers 18 years and over. Unclassified Nut cracking and sorting— time workers. Elevator operators. Fish canning—fancy packers. Fruit and vegetable packing, other than green fruit and vegetable packing and citrus packing. Laundry and dry cleaning. Fruit and vegetable packingcitrus packing. 6 months State California 3 weeks 1 year Manufacturing___ Mercantile, except elevator operators—18 years and over. Massachusetts. Wisconsin........ Irregular None 2 years Mercantile, except elevator Hotel and restaurant operators—under 18 years. Fruit and vegetable canning—piece workers. Nut cracking and sort ing—piece workers. Brush. Fruit and vegetable packing: Green fruit and vegetable packing— cherries, 1 season (18 years and over). Cherry, bean, corn, and tomato can ning. Pea canning. 1924 State 1 year 6 months Massachusetts.. Druggists’ preparations—under 18 years. Druggists’ preparations—18 years and over. None Cherry, bean, corn, and tomato canning. Pea canning. . 1925 State 6 months Massachusetts.. Canning and preserving and minor lines of confec tionery. Bread and bakery products. Irregular each, including 2 spring and 2 fall seasons. 201 * See note on p. 202. 8 Two identical decrees in the same year. 2 years WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 2 weeks 1 week s to o to Table 42.—Length of service required before experienced rate must be paid, by State and year—Continued 1926 1 year Massachusetts.. Stationery goods. Candy. Wisconsin........ . None Cherry, bean, corn, and tomato canning Pea canning. 1927 State 6 months 1 year Massachusetts.. Jewelry—20 years and over............................................. Wisconsin.......... 18 years and over. Under 16 years.* None Jewelry—under 20 years.* Toys and games—16 and 17 years.* Cherry, bean, corn, and tomato canning. Pea canning. In all the occupations or industries marked with an asterisk the minors within the indicated age limits never can receive the rate paid adult experienced women, but must receive a specified rate below the experienced rate until they become old enough to be classed as adults. In some cases where the length of experience required of adults and minors is the same, certain groups of minors who never can receive the adult experienced rate, no matter what their experience, do not appear separately. This is the case in the followingCalifornia, unclassified occupation (under 18 years), 1919 and 1920. Kansas, manufacturing (under 16 years), 1922. Massachusetts, wholesale millinery (under 18 years), 1919paper box (under 18 years), 1922; muslin underwear (under 16 years), 1922; men’s furnishings (under 16 years), 1922; wholesale and retail millinery (under 19 years), 1925. Wisconsin fill flfi and 17 voarul 1 Q*)1 " ' * '’ MINIMUM-WAGE LAWS IN THE UNITED STATES State WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 203 The outstanding fact in this table is that the decrees seemed never to set the same length of experience twice. The great di- . vei'sity in the length of experience required shows clearly how small was the scientific basis for setting a learning period and how im portant was the spirit of compromise. It has been pointed out pre viously that, particularly in manufacturing, a really scientific learn ing period could be set only for such small and specialized occupa tional groups that the administration of such rates became almost impossible. In the table just presented the length of experience for decrees covering all manufacturing or specialized branches of manufacturing runs from four weeks to a year and a half. Both the longest and shortest periods are for specialized branches. Mani festly there has been an effort in all the States to meet the question of the varied requirements in different manufacturing occupations, but there has been no established principle of procedure. There is no uniformity from State to State, either for all manufacturing or for identical branches. For example, the decrees for all manu facturing require in Kansas and California six months of experi ence and in Oregon one year, but paper box requires in Washington, 1914, six months of experience, in Massachusetts, 1920, nine months, and in Massachusetts, 1922, one year. Candy in North Dakota in 1920 requires a three-months’ learning period; candy, except choco late dipping, in Washington, 1914, requires six months, while choco late dipping requires one year; in Washington, 1918, chocolate dip ping requires six months. In 1922 North Dakota increases the time required for candy to nine months. Massachusetts in 1920 set 67 weeks of actual work out of 78 weeks as the learning period for candy. In canning, in California, Wisconsin, and Oregon, almost all the decrees require no learning period for at least some occupa tions. Most of those that require a learning period specify from one to four weeks, and two Wisconsin decrees require one season. Mas sachusetts, on the other hand, required in 1919 a year of experience and in 1925 six months. The greatest number of manufacturing decrees that have required the same length of experience have speci fied one year. This occurs 21 times out of the 63 in which a learning period is set. Moreover, these 21 cases all affect adult women, while 10 of the total 63 affect minors only. When one year is set as the necessary length of experience in such diverse decrees as “ any occupation,” Oregon, 1916, 1918, and 1919; millinery and dressmaking, Kansas, 1922; book binding and job-press feeding, North Dakota, 1922; brush occupation, Massachusetts, 1914 and 1922, etc., and when every one of these groups is given a different length of experience in some other State or at some other date, the lack of any uniform basis for these decisions becomes apparent. The complexity of the manufacturing industry made this by far the most difficult to handle when the length of the learning period was set, but even in less complicated industries, such as laundries and mercantile establishments, wide differences occur. When all ages are considered, the mercantile decrees actually require from no learning period at all up to three years. For adults they require from no learning period at all to a year and a half. One year is again the most common term. Laundry decrees require from no learning 204 MINIMUM-WAGE LAWS IN THE UNITED STATES period at all to a year and three months, with six months as the most . common learning period. Hotel and restaurant decrees and office decrees show equally many variations. There are many extenuating circumstances as far as the confusion existing in the length of the learning period is concerned. Undoubt edly it is true that no differences of geographical location could be influential in the matter of how long it took a woman on a particular job to become experienced. Differences in plant management, which undoubtedly had some influence, could not be taken into considera tion by the commissions in setting a state-wide rate. Minute sub division of jobs was equally impractical. Moreover, even if it had been possible to set the length of experience for each operation, there is room for honest difference of opinion as to how long it might take a woman to learn a specific thing such as candy dipping. "Due to the differences in human beings, no one can prove his point, any more than anyone can prove what it costs a woman to support her self. These learning periods had to be decided by compromise. Probably greater knowledge of what other commissions and wage boards were doing—an interchange of any knowledge, experience, or even theories—would have been highly desirable. It is also worth considering whether this whole elaborate concern with apprentices was not based on a false theory. To serve an ap prenticeship of any length presupposes that the worker graduates from this service a skilled person able to command pay above the average, Minimum-wage laws were not created to take care of such cases. Their purpose was to provide a living wage for those women doing work in which little or no skill was required, who, though they worked faithfully, could not command much money, simply because they were so easily replaced. It is true that even on the least skilled jobs a woman with some experience is worth more than a person who sees the inside of a workshop for the first time. The minimum-wage laws were right in providing that some concessions should be made to an employer who took on a perfectly green girl. The question arises, though, as to whether the commissions did not go astray when they interpreted minimum-wage apprenticeship to mean such' a long learning period that it should produce not a minimum worker, not an experienced worker, but a trained worker. When it is remembered that few clear definitions exist as to where the learning period should be served, and that practical considerations of enforcement made it almost impossible to be sure that every woman got credit for all her experience if she changed from one establishment to another, the argu ment for a short learning period in every industry is strengthened. Every employer might be allowed a few weeks to see whether or not he wanted to keep a woman; to see whether, when she became adjusted to her surroundings in his particular establishment, she was worth the subsistence minimum. If she had the makings of a skilled worker,. if the employer had use for her on a skilled jobj this training should come after she obtained the subsistence level, or some scheme should be worked out like the Wisconsin apprenticeship rules for minors where a woman learning a recognized skilled trade should be, as far as minimum wage is concerned, in a special category during her apprenticeship at this trade. In practice, with the modern sub- WORKERS OTHER THAH FULL-TIME EXPERIENCED ADULTS 205 division of industry, with the passing of the all-around trained worker, with the knowledge that the great bulk of woman workers are on unskilled or semi-skilled jobs, there would seem to be no real hardship in applying to all women the theory that minimumwage apprenticeship meant only enough time to enable the employer to judge whether a green girl was worth the minimum to him. Rates for women and minors entering industry. Since most of the decrees have provided for women and minors working as learners over a considerable period of time, the rates that they must be paid during this time are of real importance. The decrees set a rate for women entering industry and usually provide for periodic increases in this rate, based on length of service, until the experienced rate is reached. The table following compares the entering rate with the experienced rate: Table 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year [Where there is an experienced rate in this table but no corresponding inexperienced rate, no learning period is required and the worker entering industry receives the same rate as the experienced worker] to O C5 1913 $6 and under $7 $9 and under $10’ $8 and under $9 Mercantile—18 years and over A 1914 State $1 and under $2 $2 and under $3 Oregon . ............ Washington____ Mercantile—man- Mercantile—manicuring and hair icuring. dressing. State $7 and under $8 Massachusetts. Minnesota__ Oregon........................................................... Washington____ Mercantile—ice cream M anufacturing—cord repairing. $3 and under $4 $4 and under $5 Mercantile—millinery and dress making. Manufacturingphotography. Manufacturinghair. $5 and under $6 $6 and under $7 Brush.1 $8 and under $9 $9 and under $10 BrushA Manufacturing, etc.8.................... Mercantile, etc. (in cities of Mercantile (outside cities of first class).6 first class) ,6 Any. Office—18 years and over* Manufacturing—adults Laundry—adults _ _..................... Telephone and telegraph— adults. Any. Mercantile—salesmanship; florist. Manufacturing—engraving and hand embossing; bindery; pie; berry box; brush; tailoring; alteration and furrier; bag sewing; cap, pennant, and glove; broom, tent, and awning; mattress; candy; clipping, turning, folding, feeding, and packing of bags; paper box (except berry box); binding (folding and gathering). Laundry and dye works. Telephone and telegraph.4 Mercantile—minors. Manufacturing—minors. Laundry—minors. Telephone and telegraph—minors. $10 and under $11 Mercantile—adults. Piece rate (no minimum guaranteed) M anufacturing ment. (adults)—gar MINIMUM-WAGE LAWS IN THE UNITED STATES State 1915 $5 and under $6 $6 and under $7 Washington........ Telephone—night oper atorsJ Telephone—day operators.7 Office—under 16 years. Hotel and restaurant—min ors. Office—16 and 17 years. Office—adults: General. $8 and under $9 Laundry. Office—adults: Stenography and bookkeeping. Telephone—day operatorsJ Hotel and restaurant— adults. $10 and under $11 $9 and under $10 $7 and under $8 Office—adults. 1916 State $o and under $6 - $6 and under $7 $7 and under $8 $8 and under $9 $9 and under $10 Specified piece rate or hourly rate (can not be reduced to week ly basis) Fruit and vegetable can n i ng—time w orkers, $0.13 per hour. Fruit and vegetable can ning-time workers, $0.16 per hour. Massachusetts.- der 17 years. Retail store—18 years and over. Mercantile—18 years and over (State outside Port land). Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph— 18 years and over. Office—18 years and over (State outside Portland). Public housekeeping—18 years and over. Mercantile—18 years and over {Portland). Office—18 years and over {Portland). Fruit and vegetable canning—p ieceworkers. • 207 Footnotes on p. 219. years and over. Mercantile—18 years and over. Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph— 18 years and over. Office—18 years and over. Public housekeeping—18 years and over. Any—16 and 17 years.9 Piece rate (no minimum guaranteed) WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS State Table 43.—Bates at which learners or apprentices enter employment and rate for experienced worker {in italics), by State and year—Contd. ___1917 State Massachusetts. _ Oregon................. Mercantile — under years. $7 and under $8 18 18 years and over. Under 18 years. Women’s clothing—under 18 years. Washington.!... All, except hotel and restau rant—under 16 years. Wisconsin_____ $8 and under $9 Women’s clothing—18 years and over. Hotel and restaurant—under 16 years. All, except hotel and restau rant—16 and 17 years.8 $10 and under $11 Mercantile—18 years and over. Women’s clothing—18 years and over. Hotel and restaurant—16 and 17 years. Specified piece rate or hourly rate (can not be reduced to weekly basis) Fruit and vegetable can ning—time workers: $0.13 per hour. $0.16 per hour. Fruit and vegetable canning — piece workers. Pea canning—$0.15 per hour. 1918 State $3 and under $4 $4 and under $5 $5 and under $6 $6 and under $7 Mercantile—cash and bundle girls (minors). Massachusetts.. Retail millinery... Retail millinery— under 18 years. Minnesota_____ Oregon................. Mercantile—all other. Laundry. Telephone. Mercantile—cash and bun dle girls (minors). 18 years and over. Under 18 years. $7 and under $8 $8*and under $9 Unclassified: 18 years and over. Under 18 years. Telephone—places of less than 5,000 population. Laundry and dry cleaning. Fruit and vegetable pack ing. Office—18 years and over. Mercantile—all other. Laundry. Telephone—places of from 5,000 to 20,000 population. Men’s clothing—under 18 years. Retail millinery—18 years. Mercantile—18 years and over. Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph—18 years and over. Office—18 years and over. Public housekeeping—18 years and over. Any—16 and 17 years. § Piece rate (no minimum guaranteed) Canning: $0.13 per hour. $0.16 per hour. California......... M All occupations not covered in 191\. MINIMUM-WAGE LAWS IN THE UNITED STATES California $6 and under $7 ' $9 and under $10 State $13 and under $14 Laundry and dry clean ing. Fruit and vegetable packing. Office. Specified piece rate or hourly rate (can not be reduced to weekly basis) Piece rate (no minimum guaranteed) Fruit and vegetable canning: Time workers—18 years and over, $0.16 per hour. Piece workers—18 years and over, $0.16 per hour. Fruit and vegetable canning: Time workers—18 years and over, $0.20 per hour. Under 18 years, $0.16 per hour. Piece workers, 18 years and over— Canners and labelers, $0.20 per hour. $11 and under $12 Fruit and vegetable canning: Piece workers, 18 years and over— Preparers. Piece workers — under 18 years. Telephone—places of over 20,000 population. Massachusetts. _ and over. Men's furnishings. Muslin underwear—18 years and over. Manufacturing—adults (except garment). Laundry—adults. Telephone and tele graph—adults. Office—adults. All—minors. Mercantile—18 years and over. Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph—18 years and over. Office—18 years and over. Public housekeeping—18 years and over. Any—16 and 17 years. Manufacturing (adults)— garment. All..................- Pea canning: $0.15 per hour. $0.18 per hour. 209 Footnotes on p. 219. Men’s clothing. Men’s furnishings. years and over. WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Unclassified — 18 years and over, $10 and under $11 Table 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year—Contd. to 1919 State and under $7 District of Co lumbia. Kansas_______ Massachusetts. Manufacturingunder 18 years.111 $8 and under 3 Manufact uring—18 Mercantile—18 and 19 years and over.10 years. Mercantile—under 18 Office—under 18 years___ years. Unclassified—under 18 years. Man ufacturing— millinery ap prentices.11 Wholesale nery. milli Minnesota.. Any (in places of less than 5,000 populationminors. Oregon. Any—H years. Washington . Manufacturing. ) and under $10 Printing and publish ing. Canning and preserv ing—18 years and over. Canning and preserv ing—under 18 years. Any (in cities of Any (in cities of5,000 or 5,000 or more popu more population)— lation)—minors. 18 years and over. Any (in places of less than 5,000 pop ulation)—18 years and over. Any—15 years______ Any—16 and 17 years. Manufacturing, except millinery—under 18 years.11 $10 and under $11 Mercantile—20 years and over. Laundry and dry cleaning. Office—18 years and over. Unclassified—18 years and over. Manufacturing.10 Unclassified—under 18 years. Manufacturing, except millinery—18 years and over.11 Mercantile—under 18 years. Wholesale millinery—under 18 years. Any (in places of less than 5,000 popula tion). Mercantile—18 years and over. Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph18 years and over. Office—18 years and over. Public housekeeping—18 years and over. Mercantile—adults. Manufacturing, except garment making. $11 and under $12 Manufacturing. Wholesale millinery— 18 years and over. Ca nning and preserv ing—18 years and over. Any (in places of 5,000 or more popu lation). $12 and under $13 M e r c a n t i 1 e—18 years and over. MINIMUM-WAGE LAWS IN THE UNITED STATES California. $7 and under 3 Wisconsin $14 and under $15 $13 and under $14 State $15 and under $16 $16 and under $17 Printing and publishing. District of Co lumbia. Building cleaners— day work.1 . Manufacturing—18 years and over. Personal service—18 years and over. Laundry—18 years and over. Telephone and telegraph—18 years and over. Office—18 years and over. Public housekeeping—18 years and over. Any—lf> and 17 years. Piece rate (no minimum guaranteed) Rate not specified. Mercantile. Building cleaners— night work.1 Canning: $0.22 per hour. $0.27% per hour. M anufacturing, (adults)—gar ment making. \ Pea canning: $0.18 per hour. $0.22 per hour. Telephone. 211 Specified piece rate or hourly rate (can not be reduced to weekly basis) All—17 years and over.1 Fruit and vegetable canning: Time workers—under 18 years, $0.18 per hour; 18 years and over, $0.21 per hour. Piece workers—Canners Fruit and vegetable and labelers, 18 years canning: and over, $0.21 per hour. Piece workers— Preparers, $0.28 per hour. canners and labelers under Fruit and vegetable canning: Piece workers, except can 18 years. ners and labelers under 18 years—$0.28 per hour. Fruit and vegetable canning—time workers. . Mercantile. Fish canning. Laundry and dry cleaning. Fruit and vegetable packing. Hotel and restaurant. Office. Unclassified—18 years and over. Manufacturing A1 • Footnotes on p. 219. All—16 years K WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Office (adults)—doctors’ and dentists’ workers; toll, bill, and addressograph clerks: addingmachine operators; cash iers in motion-picture theaters. Transient milliners— adults. All—14 and 15 years 1-------All.1 Table 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year Contd. to to 1920 $7 and under $ 5 and under $9 ) and under $10 $10 and under $11 Mercantile (Fort Smith). Arkansas.. Mercantile, except milli nery—under 18 years. Fruit and vegetable pack ing—time workers, un der 18 years. Office—under 18 years. Unclassified—under 18 years. Manufacturing—under 18 years. Fruit and vegetable can ning—time workers, un der 18 years. Mercantile—Mil linery appren tices. California. Kansas........... Massachusetts. $11 and under $12 ManufacturingMen’s clothing and Candyj Paper box—under Knit goods. I 16 years. raincoat. Cor set—under \ 17 years. North Dakota12 Washington. Wisconsin... Beauty parlor—14 and 15 years.1 Tobacco strip ping—16 years and over.113 Corset—17 years and over. Women’s clothing—under 18 years. $12 and under $13 $13 and under $14 Mercantile Smith). (Fort Mercantile, except milli nery—18 years and over. Fish canning. Laundry and dry cleaning. Fruit and vegetable pack ing-time and piece workers, 18 years and over. Office—18 years and over. Unclassified—18 years and over. Manufacturing—18 years and over. Fruit and vegetable can ning-time workers, 18 years and over. Unclassified— under 18 years. Manufacturing. Paper box—16 years and over. Women’s clothing—18 years and over. Candy. Corset—17 years over. Knit goods. ManufacturingLaundry. Mercantile. Telephone. Public housekeepingchambermaids and kitchen help. Personal service—man icuring, hairdress ing, barbering, etc. Public housekeepingminors. Tobacco stripping— Tobacco stripping—17 years and over.113 16 years.113 Beauty parlor—16 Beauty parlor—17 years and over.1 years.1 and MINIMUM-WAGE LAWS IN THE UNITED STATES State State $14 and under $15 $16 and under $17 $17 and under $18 $18 and under $19 $20 and under $21 Fruit and vegetable can ning—time workers. Mercantile. Fish canning. Laundry and dry clean ing. Fruit and vegetable pack ing: Time workers—all. Piece workers—18 years and over. Office. Unclassifed—18 years and over. Manufacturing. Hotel and restaurant. Agricultural, other than cutting arid pitting of fruit for drying—18 years and over (time and piece workers). Hotel and restaurant. Specified piece rate or hourly rate (can not be reduced to weekly basis) Rate not speci fied Fruit and vegetable canning: Piece workers— Canners and labelers un der 16 years. canning: Piece workers— Canners and lab elers, 16 years and over, $0.25 per hour. Preparers, $0.33}^ per hour. Fruit and vegetable can ning: Piece workers— All except canners and labelers un der 16 years, $0.88}4 per hour. lumbia. Women's cloth ing—18 years and over. Paper box. Public housekeep ing—waitresses and counter girls. Office. Public housekeepingchambermaids and kitchen help. Manufacturing. Laundry. Telephone. Office. Personal serv ice. Public housekeep in g— waitresses and counter girls. keeping. Beauty parlor. 213 Footnotes on p. 219. Cherry, bean, corn, and tomato canning—$0.22 per hour. Pea canning—$0.22 per hour. Piece rate (no minimum guaranteed) WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS $15 and under $16 1921 State $6 and under $7 $7 and under $8 $8 and under $9 $9 and under $10 Minnesota Any (in places of less than 5,000 popula tion)—minors. Texas_____________ Wisconsin.................. .......... ...................... ......... 1 State California. Any (in cities of 5,000 or more population)—minors. Any (in places ofless than 5,000 population)—adult women and male minors 18 or over. ................................. $12 and under $13 Laundry. Minor lines of confection ery—under 16 years. Any (in cities of 5,000 or more population)— adult women and male minors 18 or over. Minor lines of confection ery—16 years and over. Any (in places of less than 5,000 population). All A All (except pea, cherry, bean, corn, and tomato canning).1 $14 and under $15 $15 and under $16 Fruit and vegetable can ning-time workers, 18 years and over. District of Columbia. Massachusetts Minor lines of confection ery—16 years and over. Minnesota................... Any (in places of 5,000 or more population). Texas.................. ......... All. $13 and under $14 Minor lines of confection ery—under 16 years. Fruit and vegetable can ning—time workers un der 18 years. All—under years.1 $16 and under $17 Fruit and vegetable canning—time workers. Laundry. Building cleaners. 17 Specified piece rate or hourly rate (can not be reduced to weekly basis) Piece rate (no mininimum guaranteed) Fruit and vegetable can ning: Piece workers—Pre parers and canners, $0.33^ per hour. Labelers, 16 years and over, $0.25 per hour. Fruit and vegetable canning: Piece workers—All ex cept labelers under 16 years, $0.33$i per bour. Fruit and vegetable canning: Piece workers— Labelers un der 16 years. MINIMUM-WAGE LAWS IN THE UNITED STATES District of Columbia. $11 and under $12 $10 and under $11 California_________ 214 Table 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year—Contd. Wisconsin. All (in places of less than 5,000 population)—17 years and over.1 $6 and under $7 State Laundry and dye works.. Public houseTelephone and telegraph. keeping. Mercantile. All (in cities of 5,000 or ________ ____ more population)—17 uears and our.1 $7 and under % S and under 3 Cherry, bean, corn, and to mato canning: In places of 5,000 or more population— $0.22 to $0.25 per hour.1* In places of less than 5,000 population— $0.22 per hour. Pea canning—$0.22 per hour. ) and under $10 Arkansas.. California. Kansas___ Manufacturing — milli nery and dressmaking and piece workers. Mercantile—under 18 years. Massachusetts. North Dakota. Washington.. Manufacturing—under 16 years. Mercantile—under 16 years. $11 and under $12 Mercantile (Fort Smith and Little Rock). Needle trades—timeworkers. Mercantile—16 years and over. Mercantile (Fort Smith and Little Rock). Laundry. Manufacturing—16 years and over. Paper box—18 years and over. Retail store—under 18 years. Women’s clothing—18 years and over. Laundry. Telephone—adults (in Manufacturing—adults. Mercantile—adults. places of 1,800 or more Telephone—adults (in places population). of less than 1,800 popula tion). Manufacturing—adults. All except public housekeep ing-minors. All except public housekeep ing-minors. Public housekeepingadults. Laundry—adults. Men’s furnishings—16 years and over. Women’s clothing—under 18 years. 215 Footnotes on p. 219. Laundry--------------------Manufacturing—except millinery and dress making and piece workers. Mercantile—18 years and over. Muslin underwear—un Paper box—under 18 der 16 years. years. Muslin underwear—16 years and over. Men’s furnishings—un der 16 years. $10 and under $11 WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Public housekeepingminors. 60769°—28- Washington 1922—Continued State $12 and under $13 $14 and under $15 Paper box—18 years and over. Muslin underwear—16 years and over. Men's furnishings—16 years and over. Laundry. $15 and under $16 Specified piece rate or hourly rate (can not be reduced to weekly basis) Women's clothing—18 years and over. Petail store—18 years and over. California.......... Massachusetts. Retail store—18 years and over. Paper box—under 18 years. Muslin underwear—under 16 years. Men's furnishings—under 16 years. North Dakota. Telephone—adults (in places of less than lr800 population). Washington___ Wisconsin___ Needle trades— piece workers. Manufacturing—adults. Public housekeeping—adults. Mercantile—adults. Laundry—adults. Telephone—adults (in places of 1,800 or more population). Oregon.......... Manufacturing—adults. All, except public housekeep ing—minors. Piece rate (no minimum guaranteed) $0.22 per hour. $0.27Yi per hour. canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 5,000 population, $0.22 per hour. Pea canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 5.000 population, $0.22 per hour. MINIMUM-WAGE LAWS IN THE UNITED STATES $13 and under $14 216 Table 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year—Contd. 1923 $10 and under $11 $12 and under $13 Mercantile, except elevator opera tors—under 18 years. Unclassified —un der 18 years. $13 and under $14 Mercantile, in cluding all ele vator operators —18 years and over. Unclassified—18 years and over. $14 and under $15 Laundry and Mercantile dry cleaning. Laundry and dry clean ing. Unclassified. Manufactur ing. Hotel and res taurant. Brush. Massachusetts $16 and under $17 Specified piece rate or hourly rate (can not be reduced to weekly basis) Piece rate (no mini mum guaranteed) Fruit and vegetable canning: Time workers, $0.25 per hour. Fruit and vegetable canning: Time workers. Piece workers—18 years and over, tO.SSH per hour. Fish canning: $0.28 per hour. $0.S3per hour. Fruit and vegetable packing: $0.25 per hour. $0.33}4 PM hour. Nut cracking and sortinf: $0.25 per hour. fO.SS^i per hour. Fruit and vegetable can ning: Piece workers under 18 years. Cherry, corn, bean, and tomato canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 6,000 popula tion, $0.22 per hour. Pea canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 6,000 popula tion, $0.22 per hour. 1924 State $9 and under $10 $10 and under $11 Massachusetts... Druggists’ preparations— Druggists' preparations— under 18 years........... . $13 and under $14 --------- ------- Druggists' preparations— 18 years and over Specified piece rate or hourly rate (can not be reduced to weekly basis) Cherry, bean, corn, and tomato canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 6,000 population, $0.22 per hour. Pea canning: In cities of5,000 or more population, $0J25 per hour. In places of less than 6,000 population, $0.22 per hour. 217 Footnotes on p. 219. $11 and under $12 WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS $9 and under $10 Manufac turing. State 43.—Rates at which learners or apprentices enter employment and rate for experienced worker (in italics), by State and year—Contd. 1925 $6 and under $7 State Millinery Canning and pre occupation. serving and minor lines of confectionery — under 16 years. $9 and under $10 $10 and under $11 $11 and under $12 $12 and under $13 $13 and under $14 Bread and bakery products— u n der 16 years. Canning, preserv ing, and minor lines of confec tionery—u n der 16 years. Canning, preserv ing, and minor lines of confec tionery—16 and 17 years. Bread and bakery products—16 years and over. Canning, preserv ing, and minor lines of confec tionery—16 and 17 years. Canning, preserv ing, and minor lines of confec t i o n e r y—18 years and over. Millinery— under 19 years. Canning, preserv ing, and minor lines of confec tionery—18 years and over. Millinery—19 years and over. Bread and bakery products. Wisconsin ---- Specified piece rate or hourly rate (can not be reduced to weekly basis) Cherry, bean, corn, and tomato canning: In cities of 6,000 or more population, $0.25 per hour. In places of less than 6.000 population, $0.22 per hour. Pea canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 5.000 population, $0.22 per hour. 1926 State $9 and under $10 Massachusetts.. _ Stationery goods—under 16 years. Candy. "Wisconsin............ • $11 and under $12 Stationery goods—16 and over. years $12 and under $13 $13 and under $14 Stationery goods—under 18 years. Specified piece rate or hourly rate (can not be reduced to weekly bads) Stationery goods—18 years and over. Candy. Cherry, bean, corn, and tomato canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 5,000 population, $0.22 per hour. MINIMUM-WAGE LAWS IN THE UNITED STATES Massachusetts $8 and under $9 218 Table 1927 State $10 and under $11 M assachusetts _ _. Toys and games—under 16 years. $12 and under $13 $13 and under $14 $14 and under $15 Jewelry.......... ................ .............. Toys and games: 18 years and over. Under 18 years. Toys and games—18 years and over. Specified piece rate or hourly rate (can not be reduced to weekly basis) Jewelry..... ...................... -............. Cherry, bean, corn, and tomato canning: In cities of 5,000 or more population, $0.25 per hour. In places of less than 5,000 population, $0.22 per hour. Pea canning: In cities of 6,000 or more population, $0.25 per hour. In places of less than 5,000 population, $0 n2 per hour. 1 Rates set in decree reduced to weekly basis. 2 Commission could set a special rate for a learner or apprentice. ® Apprentice rates were not set until 1914. .. ...... * ■ 4 F0r farmers' lines the commission may grant special apprenticeship permits with reference to existing conditions. 8 Apprentice rates were not set until 1918. 6 Apprentice rates were set later in 1914. See “any 7 Experienced 1914 rates modified for rural communities and small towns. Commission may decide which of these rates shall apply in a given community 8 For experienced rates see rates for adults in 1914. 9 For some experienced rates see 1914. . . i° Issued early in year and later revised to agree with other rates, (bee note n.) » Barrau'inayLssucsIleeial'perimts't'o iSnofapprentices to work for lower rates. Rates also set for student nurses-$4 per month the first year, $6 per month the second year, WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Pea canning: In cities of 6,000 or more population, $0.85 per hour. In places of less than 5,000 population, $0.28 per hour. 18 p» Mtaore Stole years may not be employed in any tobacco warehouse, cigar or other factory where tobacco is manufactured or prepared. (Wisconsin Statutes, 1923, sec. 103.05, 219 subsection 3, paragraph C, item 20, p. 1107.) u Rate changes Aug. 1. 220 MINIMUM-WAGE LAWS IN THE UNITED STATES In an earlier discussion of the rates for experienced women, which the laws specified were to be based on the cost of living, it was pointed out how lacking in uniformity were the rates set by different States in the same year. Since there was no principle expressed in the laws on which to base the entering rate, it followed that there was even greater diversity in any one year than there had been in the case of experienced rates. The real importance of the table just presented is to show this diversity. The rates are so scattered that it is almost impossible to trace any underlying tendencies to explain either changes in the beginning rates or changes in their relation to the experienced rate. Using the manufacturing decrees as illustrations, the following table shows the adult beginning rates for all cases where manufac turing as a whole or any branch of manufacturing has been the subject of an order. Rate 1918 1916 .do_ $6 Massa chusetts. Massa chusetts (2). Oregon. $8 and under $ $9 and under $10. $10 and under $11. $11 and under $12. $12 and under $13. Washing ton. California. Massa chusetts. Kansas___ Kansas. Massa chusetts. California. Massa District of chusetts (2). Columbia. Massa chusetts, Ore gon. Wisconsin. Washing ton. California. Massa chusetts. .do.. California. M assachusetts. North Dakota. Massa chusetts. Kansas . ...do___ Massa chusetts. ...do.......... . North Dakota. Washing ton. Massa California. chusetts. Massa chusetts. ...do______ Massa chusetts. California. Massa chusetts. Massa chusetts. Massa chusetts, ...do......... Massa chusetts. Massa chusetts (2).‘ 221 1927 Massa chusetts, $3 and under $4... Washing ton. $4 and under $5-. ...do........... $5 and under $6.._ Massa chusetts, Washing Oregon.. and under $7... ton. $7 and under $8— ...do.......... 1926 1924 1921 1919 WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Table 44.—Beginning rates for women in the manufacturing industry and year decree became effective 222 MINIMUM-WAGE LAWS IN THE UNITED STATES This table shows that in the year 1919, for example, beginning rates ranged from $6 and under $7 to $10 and under $11. Curiously enough, both the lowest and highest rate were in California. The low rate is for millinery only, the high rate for all other manufactur ing. This brings up the point that in many cases the commission has set lower rates for those occupations where the greatest amount of training is necessary for the worker to become proficient. Under the manufacturing decrees this was done for millinery in Kansas, Massachusetts, and California, and for the manufacture of hair goods in Washington. The theory seemed to be that since all the work was so technical, a beginner was worth little or nothing to an employer, and the fear was that new girls would not be hired and trained unless they wTere allowed to work for an exceedingly low rate. The whole basis apparently was the question of labor value, not the application of the minimum-wage theory of a full day’s work being worth enough to enable a woman to support herself. It is fur ther evidence of the confusion existing in the commissioners’ minds between sufficient training to enable a woman to earn the experienced minimum rate and sufficient training to enable a woman to become ex pert in a skilled trade. The diversity can not be wholly explained by such special cases, however, for in 1920, when the rates range from $7 and under $8 to $12 and under $13, both the lowest rate, in Kansas, and the highest rates, in California and North Dakota, are for all manufacturing. These rates seem to bear no exact relation to the experienced rates. It would be reasonable for them to show the same upward tendency as the experienced rates from 1914 to 1920, during a time of rising prices, and then be more or less stationary or follow the experienced rates in a slight decline. Instead, although they do rise till the highest beginning rate is found in 1920, the year of highest experienced rate, they immediately begin dropping back again. The experienced rates in Massachusetts and North Dakota show a drop, but those in California and Kansas remain stationary; yet the in experienced rates in these latter States are lowered from $2 to $3 per week. In the other groups of industries covered by decrees—mercan tile establishments, for example—fewer decrees have been issued and not so many States can be compared for any one year, but the tend ency still is for inexperienced rates to be scattered. In 1919, for instance, there are four mercantile decrees—in California, the Dis trict of Columbia, Oregon, and Washington. The beginning rates run from $9 and under $10 to $12 and under $13. If the table is not taken up industry by industry, but instead it is considered that all beginning rates in minimum-wage decrees should run slightly below the experienced rate, and that the expe rienced rates should all be roughly the same since they must all supply the cost of living, the diversity of this table is amazing. The rates range as follows; WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS Year Inexperienced rate 1913!_____________ ill _ _ 1914_-........ 1915........ . 1916 1917-.......... 1918_.......... 1919........ 1920-.......... 1921.......... . 1922 1923.......... 1921......... . 1925 1926............ 1927 223 Experienced rate $6 and under $7 to $9 and under $10. $6 and under $7 to $10 and under $11. $5 and under $6 to $10 and under $11. $5 and under $6 to $9 and under $10. $6 and under $7 to $8 and under $9. $4 and under $5 to $11 and under $12. $6 and under $7 to $16 and under $17. $8 and under $9 to $20 and under $21. $9 and under $10 to $16 and under $17. $9 and under $10 to $15 and under $16. $13 and under $14 to $16 and under $17. $9 and under $10 to $13 and under $14. $9 and under $10 to $13 and under $14. $12 and under $13 to $13 and under $14. $12 and under $13 to $14 and under $15. The fact that in some cases the experienced rates begin at lower sums than do the inexperienced (1915 and 1916) is due to the special rates that were set for minors. The range in all the other cases is caused by lack of uniformity from State to State within a year and even from decree to decree within a State. In Massachusetts in 1920, for example, the inexperienced rates for adults ran as follows: Men’s clothing, $7 and under $8; candy and knit goods, $8 and under $9; corset, $10 and under $11; paper box, $11 and under $12; women’s clothing, $12 and under $18. On the other hand, three of these de crees—men’s clothing, women’s clothing, and paper box—have ex perienced rates of $15 and under $16. Some States—-for instance, California—tried to keep all experienced and all inexperienced rates relatively uniform. The whole problem of what is a fair beginner’s rate is influenced by the length of time a woman or minor must remain at that rate. Once again, it can only be said that no general plan has been fol lowed. (See Appendix C.) Massachusetts goes to the extreme when it requires one and a half years of service at the inexperienced rate and then jumps its workers immediately to the minimum. This occurs in the women’s-clothing decrees for 1917, 1920, and 1922. A good many other Massachusetts decrees follow this plan for a one year’s apprenticeship. The decrees having one rate for the entire apprenticeship, particularly if this rate were considerably below the experienced rate, might open to employers the temptation of dis charging workers when they had worked long enough to qualify for the minimum, so that these employers need not suddenly pay a con siderable increase to workers whom they had grown accustomed to employing at a lower rate. In all the other States no decree pro vides for more than six months of work without a raise in pay. After three months is the most common time for increases in rates, though a four-month period also is frequently used. Sometimes one decree will combine several time periods. Extreme instances of this are found in two branches of manufacturing as regulated by the Wash ington apprenticeship circulars. In tailoring pay raises after 1 month, 2 months, and 3 months in a 9 months’ total apprenticeship are provided; in garment making changes after 1 month, 3 months, 2 months, and 1 month in a 9 months’ apprenticeship are provided. A more common type of irregularity is that found in the mercantile decree of the District of Columbia (1919), where a raise comes after 3 months and again after 4 months of experience. In the case of the inexperienced rates there have been few attempts to work out a theory as to how frequently a woman worker should 224 MINIMUM-WAGE LAWS IN THE UNITED STATES receive increases in pay. As far as the experienced rates were con cerned the laws specified that the sum should supply the cost of living. In considering the total length of the learning period, the commissions all tried to go on the principle of allowing a woman to work at a lower rate for such time as would enable her to become a trained worker at her special job. As a usual thing the only theory that controlled beginning rates and frequency of raises was the nega tive one that if these rates were too far below the experienced rate, and if few or no raises were provided for until the experienced re quirements were fulfilled, it might lead to the discharge of workers whose employers were unwilling to meet the sudden increase in the rate for which their minds had received no preparation. Wisconsin in one decree (1921) did increase the amount of the first raise in all industries over that required in the 1919 decree, on the theory that it would give added incentive to the worker to do her best work. It is, however, hard to see what firm basis there is on which these two closely related questions—beginning rates and frequency of raises—• could be decided. About all the commissions could do was to watch the rates they had set and try to make intelligent changes if the results of the first rates were not satisfactory. It is true that in practice both questions are enormously important to the workers, since thousands of them work at the lower rates. Is not this lack of any definite plan or aim another illustration of the falsity of the theory that sets such a long learning period that the rate for this period is of vital concern? If learning periods lasted only a few weeks, the whole question of raises within this period could be ig nored. The question of the rate still would be important, but not the vital point that it is when dozens of decrees permit women to be paid these lower rates for a year or a year and a half. Limitation of the number of apprentices. Since this whole group is outside the basic theory of a living wage for a full-time job, it is of great importance to determine whether these special rules permit such large numbers of women legally to receive less than a living wage as to affect seriously the purpose of the law. The commissions in most cases have realized that the whole law could be broken down by these exceptions unless one of two things could be done. If the commissions could work out the means for following each individual woman and seeing that she got credit for all previous experience each time she changed her work, these rules would not affect disastrously the enforcement of the cost-of-living minimum rate. The expensive and controversial field opened up by this procedure is enormous. It will be remembered that whether experience must be gained by service in the broad industrial group, in the industrial branch, in the occupation or on the exact process, or in the establishment has never been determined. Nor are there any rules for how much credit shall be given to a woman who has fulfilled some requirements for her apprenticeship. The difficulty of settling each worker’s case is such that no commission has been equipped to undertake it. There was, however, a means of bringing this problem within such bounds that a commission might conceiv ably follow each case. That was to limit the number of apprentices that a firm could employ at any one time. For those workers for whom the firm legally could claim apprenticeship rates, the commis WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 225 sions would undertake the follow-up work necessary to see whether or not the women were truthful in their statements of experience. But of the 12 States that have set any decrees, just half—California, the District of Columbia, Kansas, North Dakota, Washington, and Wis consin—have limited the number of apprentices. The following table shows the proportion of apprentices among all workers allowed any one establishment. Table 45.—Proportion of apprentices allowed among the workers in an establish ment, by State and year 17 per cent State and year 20 per cent 25 per cent 1914 Laundry. 1917 Mercantile. 1918 Laundry and office. Any occupation.1 1919 Manufacturing (January) Printing and publishing. Any occupation. 1920 Public housekeeping. Personal service. Laundry. Mercantile. 1921 Laundry. Any occupation. I 1922 Mercantile. Laundry. Manufacturing. 33H per cent State and year 3.5 per cent 40 per cent 1919 Laundry. Offices. Manufacturing (August). 1920 Laundry. Office Manufacturing. Manufacturing. 1922 Manufacturing. 1923 Laundry. Manufacturing 125 pet cent minors and apprentices allowed. 226 MINIMUM-WAGE LAWS IN THE UNITED STATES J&2 . Of tlie 226”decrees, only 34 have included in their provisions a limitation of the number of learners. In the six States that ever have considered this problem 121 decrees have been issued, so even these commissions did not always take care of this point. If decrees are to be constructed with elaborate provisions for apprentices, limi tation of the number of these workers would seem wise if the law is to be enforced. While from an employer’s viewpoint there might be some serious objections, these can be taken care of without invalidat ing the principle of limitation. The most serious is the question of a new firm or a new process in an old establishment. It may be that, in addition to the impossibility of having any workers with expei'ience under the firm in question, it is not possible to obtain a sufficient number of workers with any experience along the line desired. Another problem is the firm with a rush order, in a rush season, that takes on more new workers than the proportion of learners allowed by law. Any such problem, however, could be met by the decrees providing that the commission could grant exceptions to the rule in cases of proved emergency. This was done in both the North Dakota manufacturing decrees. If the limitation of numbers provided for this flexibility, the actual percentage allowed need only be such as would take care of routine business. Sixteen decrees in five States have set 25 per cent as the proper proportion. California, which originally set 25 per cent, has allowed 33Vs per cent in 11 decrees. North Dakota allows as high as 40 per cent apprentices in manufacturing. Just what is a fair limitation is not capable of proof. If the California decrees are not allowed to overbalance the table, it seems accurate to say that in the States where limitation of apprentices has been considered the commissions have been overwhelmingly for 25 per cent as a fair limit. Summary. The whole discussion of the wage-decree treatment of minors and apprentices is a record of confusing diversity. Not only are the States far apart in their treatment of these groups, but decrees within a State provide absolutely different treatment for the same kinds of workers. If apprenticeship or learning period was to be of such length that it formed an important part of a woman’s working life under the minimum-wage law, the rules covering this period, if they were to be enforceable—in fact, if they were to be worth en forcing—should have been most carefully thought out and set down in elaborate detail. The first point to be considered is the confusion on the part of the commissions and wage boards as to how these special groups should be treated. One problem was the actual industrial group for which a rate should be set. If the rules were to be truly scientific, the sweeping way in which one set of rates was set for all apprentices in any industry in a State, or even for all manufacturing, could not be followed. To fail to set specific rules for each small industrial unit was in effect to subscribe to the theory that the apprenticeship provided for in minimum-wage decrees really was what might bo called a probation period, to enable a woman to gain enough ex perience to be worth the minimum wage, and not a period in which to gain sufficient training to become a skilled worker; yet the very WORKERS OTHER THAN FULL-TIME EXPERIENCED ADULTS 227 decrees that lumped all workers set long enough periods of appren ticeship and low enough rates to justify the supposition that thenpurpose was to enable a woman to become really a trained worker. The decisions then with regard to the industrial group a decree should cover, the rates that should be paid that group, and the length of time that must elapse before the group could obtain the cost-ofliving minimum were unscientific primarily because the commissions had never clearly defined and announcer! just what this learning period was to represent. In fact, it represented the best efforts of changing groups of individuals who were relatively uninformed in respect to these technical matters and from whom the employing groups on the commissions and wage boards sought to obtain as great concessions as possible. Since the theory is confused, naturally the provisions of the decrees are confused. The diverse rates and length of experience in the same industrial group show this. So do the varied industrial groupings. The greatest apparent confusion exists, however, when the decrees have attempted to define where apprenticeship should be served—in the industry, the occupation, the establishment. Another "place in which great confusion exists is the relation of age to experience. Fundamentally this is due to the same lack of a concrete definition of apprenticeship, its aims, and its expected results. In the form of the orders this second problem is more apparent than the first, though it is of less importance. On the surface, one great cause of the confusion in the treatment of learners is the experimental way in which the various States have switched from treating all minors the same, as distinct from adults, to treating all experienced workers the same, regardless of age, and so on. The importance of these conflicting rules and regulations is not alone their effect on the group of workers whose rates they control, but is in what they show of how well or how badly the purposes of the laws have been carried out. CHAPTER IX.—REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES IN PRACTICE RELATION OF RATES TO THE NUMBER OF HOURS A WOMAN WORKS Earlier in this report it has been said that the minimum-wage rate was to supply to the experienced full-time worker the amount neces sary for proper living. The specific meaning of the words full time in relation to minimum-wage rates is of tremendous importance, but in many of the decrees it has received either inadequate attention or no attention at all. Every decree that established a minimum wage on a weekly basis should have carried also, to be perfectly clear, a definition of what would be considered a full-time week and what relation to this full-time week various longer or shorter work periods would have. Though the commissions often overlooked this in pass ing the decrees, they could not escape making some decisions, informal if not formal, on these points, for the problem arose constantly in en forcing the decrees. Before discussing the provisions of the various decrees that deal with the connection between the hours that a worker is employed and the minimum-wage rates, it is important to determine what are the possible solutions of the problem. To begin with a definition of the various expressions used to designate the time a worker is required to give to the job, there arc three main groups—the full-time worker, the part-time worker, and the worker putting in overtime. Full time means employment regu larly for a standard day or a standard week; that is, the hours within which the normal day’s work or the normal week’s work, as agreed upon between employer and employees, is to be performed.1 With relation to minimum wage the definition of full time must be modified somewhat. It is possible for full-time employment to mean the greatest number of hours legally possible for a woman to work; that is, a standard for the whole State rather than a different standard for each plant. If an employee is hired to work regularly on a shorter schedule than the establishment’s standard week, such an employee is a part-time worker. Voluntary absences from work on the part of the employee, or the shutdown or curtailment of work by the employer for short and irregular periods, do not make a worker a part-time worker in the sense in which the word is used in the minimum-wage decrees. Overtime, on the other hand, is time worked before or after standard time, whether such employment is scattered and irregular or regular over a period of days, weeks, or months. The commissions therefore had to define what a full-time week should be, not only to show the relation of hours worked to the minimum rate but to be able to apply any special rates that they 1 Harvard University. School of Business Administration. Bureau of Business Research. Bulletin No. 26, “ Labor terminology,” Cambridge, 1921. Pp. 30, 60, and 80. 228 REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 229 might care to make for part-time work and overtime work. In the following discussion all references to rules for full time, part time, and overtime are for workers who meet the foregoing definitions. In a very few cases decrees also have considered how women should be paid when they worked “ undertime,” due to holidays, stoppage of machinery, etc. This, however, was to deal with an occasional situation, not a regular work period. RELATION TO RATES OF LEGAL LIMITATIONS ON HOURS AND OF THE HOURS THAT A PLANT RUNS REGULARLY Since there is no absolutely accepted definition of full time, the problems that would arise if the commissions interpreted it to mean the greatest number of hours that it was lawful for a woman to work will be considered first. All these minimum-wage States had either a law passed by the legislature or orders issued by an industrial welfare commission limiting the number of hours per day or per week that a woman was allowed to work. These laws or rulings did not necessarily cover every industry in the State, but in all cases they covered a majority of the women workers and set a standard for all. At first thought it would seem eminently fair to say that the rate was set on the basis of a woman’s working these hours. If, however, the minimum wage were to be paid only for the full legal hours, certain difficulties would at once arise. In the first place there would be the question of those plants which never worked as long hours as the law permitted. Why should the woman who worked as long as the employer required fail to earn the minimum? For example, the law might permit a 54-hour week but there might be a consider able number of plants that ran only 48 hours. If the commission had decided that the cost of living was such that a woman must earn $16.20 a week to be self-supporting, these 48-hour plants would be paying her $14.40, considerably less than the weekly minimum. Moreover, some State laws set different hours for communities of different sizes or for different industries, so women in one town might have to work 58 hours to obtain the minimum which women on the same work in another community were receiving for 54 hours’ work. The following table shows the weekly hour law in each of the States at the time the minimum-wage law was passed and any changes in that law up to the present time: Table 46.—Provisions of laws limiting hours of work, by State and year1 Daily limit Weekly limit 1913 Hours Hours 48 California___ 8 Occupations or industries specified Overtime provisions Manufacturing, mechanical, mercantile, laundry, hotel, public lodging house, apartment house, hospital, place of amusement, or office, or by any express or transportation company, restaurant, telegraph or telephone. Exceptions—harvesting, curing, canning, drying of any variety of perishable fruit or vegetable; graduate nurses in hospitals. Seasonal industries may work 58 hours per week if average Any factory, workshop, manufacturing, mercantile, mechanical estab| lishment, telegraph office, or telephone exchange, or an express or weekly hours for the year do not exceed 54. ! transportation company. Exceptions—public service or businesses ! in which shifts may be required in extraordinary emergencies. 30 minutes daily to make up for time lost due to stoppage Mechanical or manufacturing establishment, and in telephone or tele of machinery. In order to get one short day per week, graph establishment in cities of the first and second classes. Excep overtime is permitted if the maximum weekly hours are tion—canning or preserving of perishable fruits, grains, or vegetables not exceeded. in establishments operating not more than six weeks in a year. 11 hours on Saturdays permitted in mercantile estab Mercantile establishment, restaurant, lunch room or eating house, or lishments. In order to get one short day per week, kitchen operated in connection therewith in cities of the first and sec overtime is permitted if the maximum weekly hours are ond classes. not exceeded. 30 minutes daily to make up for time lost due to stoppage Manufacturing or mechanical establishments outside of cities of the of machinery. In order to get one short day per week, first and second classes. overtime is permitted if the maximum weekly hours are not exceeded. Mercantile establishments outside of cities of the first and second classes. Manufacturing in Portland. Mercantile establishments in Portland. Any industry. Manufacturing, mechanical, mercantile establishment, laundry, hotel, restaurant, telegraph or telephone office or establishment, or express ! or transportation company. Exceptions—harvesting, packing, curing, i canning, or drying of any variety of perishable fruit, vegetable, or fish. 1 Any mechanical or mercantile establishment, laundry, hotel or res ; taurant. Exceptions—harvesting, packing, curing, canning, or drying perishable fruits and vegetables; canning fish or shellfish. Any place of employment or at any employment, i. e., manufacturing, mechanical, or mercantile establishment, laundry, restaurant, con fectionery store, or telegraph or telephone office or exchange, or any express or transportation establishment . i ! ! Massachusetts. 10 54 Minnesota. 54 10 10 Oregon. 58 5S 58 54 50 54 60 9 8X lb" Washington.. Wisconsin.... 1915 Arkansas....... Washington___ 54 9 .... (’) <*> Overtime may be permitted by the commission on not to Any manufacturing, mechanical, or mercantile establishment, laundry, exceed 90 days a year, provided it can be shown that j or any express or transportation company. Exceptions—establishthis is necessary to prevent irreparable injury and time ! inents employing three or less women at the same time; establishments employing three or less employees at. the same time on the same work; and a half is paid for all hours over 9 per day. cotton factories; preservation of fruits and perishable farm products I or gathering the same. ' Rural telephones. o MINIMUM-WAGE LAWS IN THE UNITED STATES State to CO 8M 50 54 51 1917 California___ 8 a 48 Kansas____ Washington. 9 8 54 3 48 1918 District of Columbia. 8 Any manufacturing establishment. Exceptions—woolen mills; fruit and vegetable drying, canning, preserving, and packing establish ments. Mercantile establishments (State at large), telephone or telegraph establishments; any laundry establishment; any public housekeeping establishment; any personal service establishment. Mercantile establishments in Portland. Office outside city of Portland. Office in Portland. 54 48 69109 9 Kansas. 9 8 Massachusetts. 10 1919 Arkansas.. Kansas_ _ Massachusetts. Manufacturing, mechanical, or mercantile establishment, laundry, hotel and restaurant, telegraph or telephone establishment, office, express or transportation company. Laundries. Public housekeeping occupation. 54 54 (6 days) 54 (7 days; 54 In case of business emergency, commission may issue special license to employ adult women beyond the regu lar legal hours for the duration of the emergency, if time and a half is paid. Oregon. Washington Telegraph or telephone. Exceptions—harvesting, curing, canning, or drying of any variety of perishable fish, fruit, or vegetable; graduate nurses in hospitals. Mercantile establishment. , Minors in any mercantile, manufacturing, printing, laundering, or dye works establishment; sign-painting, machine, or repair shop; parceldelivery service. 8 8 (basic) 9 • 48 55 48 North Dakota.. 48* Oregon. 48 Daily overtime in case of emergency if time and a half is paid. Seasonal industries may work 52 hours per week if average weekly hours for the year do not exceed 48. Elevator operators in buildings occupied in whole or in part by indus tries included in hour law, or in any office building. Mercantile establishment, manufacturing establishment, personal service occupation, laundry establishment, telephone or telegraph establishment, office occupation, public housekeeping establishment. Any minor covered by hour law. (See 1913.) Exceptions—cotton factories; gathering of fruits or farm products. Any factory. Any factory, workshop, manufacturing, mercantile, mechanical estab lishment, telegraph office, or telephone exchange, or any express or transportation company. Manufacturing, mechanical, or mercantile establishment, laundry, hotel and restaurant, or telephone or telegraph establishment or office, or in any express or transportation company. Exceptions—rural telephone exchanges or in villages or towns of less than 500 population. Mercantile establishment, manufacturing establishment, personal service occupation, any laundry establishment, any telephone or tele graph establishment, any office, any public housekeeping establishment. 231 i Except in the case of Kansas, the year under which a State first appears is that in which its minimum-wage law was passed For Kansas the earliest date is that of the first mininum-wage order, which carried also the State’s first hour regulation. All later dates indicate that the hour law was amended at that. time. i Women and minors must be relieved from work on Sundays. No daily or weekly limit. 8 Minimum-wage orders allowed only a 6-day week. REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 1916 Oregon........... Table 46. State Weekly limit Hours Hours 9 8 ^ 48 8 3 48 Factory, mine, mill, workshop, mechanical or mercantile establishment, laundry, hotel, restaurant or rooming house, theater or moving picture show, barber shop, telegraph, telephone, or other office, express or transportation company, State institution or any other establishment institution, or enterprise where females are employed. Exceptions— stenografjhers; pharmacists; telephone and telegraph companies; and mercantile establishments in rural districts and in cities of less than 3,000 population. 48 Washington................. Occupations or industries specified Laundries in cases of extraordinary emergencies, provided consent of employee is secured, may work 2 hours over time per day, provided weekly maximum is not exceeded and double time is paid for all hours above 9 daily. Woolen and cotton mills one hour daily, 6 hours weekly, if double time is paid for all hours above 9 daily. 1920 Massachusetts............ Overtime provisions 1922 Kansas......................... Washington................. 49M 1923 Minnesota.................. Any Jaundry, hotel, manicuring or hairdressing establishment, motion picture theater; or as an elevator operator or as a switchboard operator jn a private exchange. 2H hours overtime weekly, if time and a half is paid and if daily hours are not exceeded. H North Dakota....... 8X 48 Wisconsin............... 8 50 10 55 10 hours daily, 7 days per week, permitted in emergencies, provided permission is obtained from authorities en forcing hour law and weekly hour limit is not exceeded. Emergency is defined as sickness of more than one female employee, the protection of human life, banquets, con ventions, celebrations, sessions of the State Legislature reporters in any of the district courts of the State. —___________________________________ 1 Minimum-wage orders allowed only a 6-day week. Laundry. Any minor covered by hour law (see 1913) other than those employed in public housekeeping. Adults in manufacturing. Any business or service whatever. Exceptions—domestics in the homeperson engaged in the care of the sick or injured; cases of emergency in which the safety, health, morals, or welfare of public may otherwise be affected; night employees whose total hours at their place of em ployment do not exceed 12 and who have the opportunity for at least 4 hours sleep; telephone operators in municipalities of less than 1,500 inhabitants. Mechanical. Exceptions—villages or towns of less than 500 population, small telephone exchanges if workmen's compensation bureau sus pends act. Any place of employment, i.e., manufacturing, mechanical, or mercantile establishment, laundry, restaurant, confectionery store, or telegraph or telephone office or exchange, or any express or transportation estab lishment. MINIMUM-WAGE LAWS IN THE UNITED STATES 1919—Continued Texas.......................... Daily limit Provisions of laws limiting hours of work, by State and year—Continued REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 233 It is apparent from this table that an identical weekly wage in all these States still would have allowed real differences in the require ments that a woman must comply with to earn enough to meet the necessary cost of living. These differences in the hour laws have affected the woman workers’ wages in many ways not usually thought of in considering minimum-wage problems. Whenever a State which based its minimum wage on the legal work week lowered the number of hours that a woman was permitted to work, as Massachusetts did in 1919, it automatically increased the hourly minimum-wage rate and might bring actual pay increases to those women whose emplovers did not run their plants the full number of hours allowed by law. To take a hypothetical example: If the Massachusetts decree for the clothing industry had set a rate of $13.50 per week prior to 1919, a woman working in the clothing trades 44 hours per week after the hours were lowered in 1919 would have received $12.36 on the 48-hour basis as contrasted with $11 prior to 1919 on a 54-hour basis. On the other hand, when a State like Wisconsin, which set its minimum-wage rate on an hourly basis, reduced its weekly limitation of hours from 55 to 50, it reduced the amount that it was possible for a woman to earn in one week. For Minnesota in 1914 there existed a most peculiar situation, for while the minimum-wage rates in Minnesota always have been lower for small communities, the hour laws permitted longer hours in these same communities, so that women employed there had to work 58 hours for $8 when women in the same occupations in a city of 20,000 or more inhabitants worked 54 hours and earned $8.75. In States like California, where the weekly limit was as low as 48 hours, there were not many firms whose hours were less than the legal limit. In States like Wisconsin (prior to 1923) and Minnesota, however, a rate set on the legal hours might work out so that a great majority of the women in the State legally could be paid less than the sum necessary to supply them the cost of living. To avoid the bad features of having the legal work week equal the time required to earn the minimum wage, some States have enforced the wage on the basis that whatever hours were worked regularly by an establishment were the hours for which the minimum must be paid. This would mean, however, that two women might be on exactly the same kind of work in two different establishments and the State would sanction their receiving the same minimum rate though one worked 44 hours a week and the other worked 55. There would be complications also if this plan were followed in a plant whose scheduled hours were less than the legal week. In such a case, a woman working under a decree that set both weekly and hourly rates if absent a few hours would have her pay reckoned on the actual number of hours worked, and, since all hourly rates worked out in the decrees are reckoned on the basis of the legal week, she would be penalized by losing pay for just as many hours as the plant ran less than the legal hours. For instance, a woman might work in a plant that ran 44 hours a week though the legal limit was 48. She would receive $14.40 for 44 hours, but if she were absent one hour she would be paid for each hour worked only -fa of her weekly rate, or $12.90 per week. In other words, she would lose five hours’ pay instead of one. This would not happen in States where 234 MINIMUM-WAGE LAWS IN THE UNITED STATES no hourly rate was set, but where instead the woman received the hourly rate based on the plant’s scheduled hours. There is, however, another real problem involved in the question of what figure is to be accepted as the plant’s regular scheduled hours. Should it be an average for all weeks actually worked during the year ? A firm might work 48 hours regularly during its busy season and 36 hours regularly during its slack season, these hours holding true for weeks at a time in each case. Can such a firm claim that 48 are its regular scheduled hours and pay the women for only the 36 hours actually worked? Could a commission, on the other hand, bring foi-tli the contention that each week should stand alone, and that whatever hours a firm runs during a week are its standard hours for that week, so that any woman who avails herself of all the employment offered is due the minimum rate? When there is considered the difficulty of deciding what are the standard hours in the cases where business exigencies often cause varied weekly sched ules, it becomes apparent why some commissions have adopted the scheme easier to define—that the legal hours represent the standard or full-time week. There are probably fully as many drawbacks to a sweeping decision that regular plant hours shall equal the length of time necessary to earn the weekly minimum-wage rate as there are to having the legal limitation of hours the basis of computation. Provisions of decrees defining full-time week. In the decrees several States have tried to meet this problem. The Wisconsin commission undoubtedly chose the easiest plan to admin ister when it seemingly waived the whole problem and set only an hourly rate. It would seem that this method was accepting* the principle that to earn the cost of living a woman must work the full number of hours allowed by law, for if the hourly rate set in 1919 were multiplied by the legal limit of 55 hours per week it produced only $12.10 as possible weekly earnings, a sum so low as to be almost at the bottom of rates set or in effect in the flexible States at this time. Only Minnesota rates and those in a few Massachusetts decrees which have since been raised were as small as this. If a woman worked the 44, or 48, or 50 hours that a plant might require, her weekly earnings would be correspondingly reduced. This plan could work out to the great disadvantage of the workers. For in stance, a scheduled week of 44 hours is found often enough to de serve consideration. Under the Wisconsin plan a woman working in a 44-hour plant in 1919 would have to be paid only $9.68 a week, yet so much of her possible working time would be gone that it would be practically impossible for her to find other work to eke out her income. Though such a situation usually has been condemned by those commissions which have given it consideration, the Wisconsin commission considered this result and approved of iff Instead of accepting the legal hours as full-time hours, it considered whatever time the individual woman actually worked for the week in ques tion to be her full-time week. In a statement preliminary to its first decree the' commission says: The recommendation of the advisory wage board that the minimum-wage rate should be upon an hourly basis is supported by testimony that many items in the cost of living of female and minor employees vary directly with the REGULATION’S FOR THE APPLICATION OF MINIMUM-WAGE RATES 235 number of hours they are required to work. Employees who have short hours of labor can without injury do much work for themselves which female and minor employees who work longer hours must hire others to do for them. This has reference especially to laundry, the repair and upkeep of clothing, and the making of some articles of clothing. Longer hours of labor, moreover, unquestionably mean increased fatigue, and it is now well established that fatigue is an important cause of sickness. Female and minor employees who work longer hours on the average will lose more time from work because of sickness. The shorter-hour workers on the average work more days during the year because their morbidity rate is lower. For these reasons the com mission agrees with the advisory wage board that the living wage should be established upon an hourly basis rather than at a definite figure per week which disregards the hours of labor. Though strictly speaking this pronouncement should not be con sidered here, since it is not incorporated in a decree, it is too wide a departure from the usual reasoning on cost of living, and therefore too important, to be ignored. There are two great fallacies in the statement quoted. In the first place the wage set is supposed to be the sum which represents the minimum amount required for decent subsistence. Any deduction from it means loss of necessaries. If the Wisconsin commission had set a comfort wage, there would be a pos sibility of the woman or minor making up by her own work what she lost in earnings. However, if a commission sets so low a rate that $12.10 per week is the highest possible earnings, it is extremely ques tionable whether a woman is not already doing so much of her own laundering, sewing, and repairing that there is little more she can accomplish in the way of economizing. The commission seems to have overlooked that it was supposed to set a minimum rate only and how low was the actual rate it was establishing. The second mistake was in presupposing that there were no alternatives except an hourly rate or “a definite figure per week which disregards the hours of labor.” It is possible, as the following discussion shows, to tie up rates to weekly hours of labor. Some States have done a good deal along this line, and in the light of their attempts it is possible to say that this problem can be met in other ways than by allowing the worker to take the whole brunt of undertime. The procedure of relating hours of work to rates has been at tempted by the States in various ways. California has based all weekly rates on the 48 hours allowed by law, with careful special rates for part-time workers, overtime workers, day workers, and the rest. The fact that the weekly limitation is so low that not many industries work a shorter week and that so many rates havebeen set for special groups makes this the best example of how it works out to accept the legal week as the standard week. In Kansas and Oregon all the decrees contain provisions limiting the hours that a woman may work, and by inference the legal limit is the period of time on which the minimum rate is based, but with the exception of one general statement in Oregon concerning part time work, these decrees contain no directions as to how the rates are to be applied. Massachusetts has included in every decree the following ambiguous statement: “ These rates are based on full time work, by which is meant the full number of hours per week required by employers or permitted by the laws of the Common wealth.” Only in the case of “ office and building cleaners ” has the commission been more explicit. In this decree, where the 236 MINIMUM-WAGE LAWS IN THE UNITED STATES majority of the women under discussion worked considerably less than the legal 48 hours, the commission set up a standard of its own, declaring that “ full-time employment means 42 hours or more a week.” In addition to this one definite statement, there are three decrees—men’s furnishings (1918), retail millinery (1919), and wholesale millinery (1919)—in which the wage boards have speci fied that for the purposes of computing a woman’s experience a week’s work shall consist of not less than 36 hours. Since the Massachusetts commission has approved these efforts of the wage boards to relate hours worked to rates of pay, it would seem that it must be fully cognizant of the interrelation of hours and rates, but it has not chosen to amplify and clarify the. definition of “ full time ” in the decrees-. One other State, Washington, has at least considered the time element in a number of its decrees. Four de crees covering adults only—any occupation (1918), laundry, tele phone and telegraph, and mercantile (1921)—provide that the minimum rate is to be paid for a week of 48 hours in the first case and for a week of 6 days in the other three. Three decrees for rural telephones (Nos. 14, 15, and 16) establish a full-time day, from 6 to 9 hours in the first case and 10 hours in the other two. Public housekeeping (adults), 1921, establishes a full-time day of 8 hours. By inference the full-time week in other cases is that established by the hour law and modified by the decrees. (See Table 46, p. 230.) In Arkansas, the District of Columbia, and Texas the decrees are silent on this problem. Only Minnesota and North Dakota have definitely made general rules in the decrees to cover this problem carefully. In both States, after issuing decrees that did not take this problem into consideration, the commissions in later decrees have covered this particular point with care. They seem to have felt that it was impossible to set a single standard of hours as, for example, Massachusetts did for building cleaners; instead they have set certain limits of hours within which the minimum must be paid. In most cases any woman working on a schedule of from 36 to 48 hours per week is entitled to the full weekly rate. This is the case in “ any occupation ” in Minnesota and in public housekeeping, mercantile, and laundry in North Dakota. North Dakota also sets a limit of from 40 to 48 hours in manufacturing and of more than 40 hours in telephone. This method is based, of course, on the theory that if an establishment takes 36 hours of a woman’s time it should pay for a full week’s work because, since it will be extremely difficult to find a short-time job for the remaining hours that she can work legally, this establishment is in effect giving her full-time employment and should be required to pay on this basis. These two States have disregarded both the actual hours an establishment chooses to run and the legal hours it is allowed to run and have set up a definite range of hours that permits of no misunderstanding as to what is a “ full-time week.” By allowing a variety of scheduled hours within defined limits they have allowed for fluctuation in the firms’ working hours and pro vided for flexibility that would seem to enable the provisions to be administered without undue hardship to either employer or employee. REGULATIONS FOR THE APPLICATION OP MINIMUM-WAGE RATES 237 Provisions of decrees defining and regulating part-time workers. Closely bound up with the question of the full-time week is the question of the definition of the part-time worker. In order to deter mine who are part-time workers it is necessary to know who are full-time workers. Every State except Minnesota, North Dakota, Massachusetts in the single case of building cleaners, and Washing ton in 7 of its 31 decrees has indicated that the full-time worker is a woman who is regularly employed the full number of hours allowed by law. Every State except Minnesota and North Dakota has either stated or implied that there was an exact standard that equaled a full-time week.2 Either the decrees set up a definition of this group or it was inferred that anyone who was employed regularly less than the full-time standard was a part-time worker. If interpreted liter ally this could lead to a ridiculous situation in which whole plants, working 44 hours in a State with a 48-hour limit, could be said to employ only part-time workers. Wisconsin contemplated this sit uation and apparently countenanced it. As most part-time rates found in the decrees are set on an hourly basis and are somewhat greater than the regular hourly rate, it is clear that decrees not only should set special part-time rates but should define part-time work wTith care if they are to be interpreted literally and still achieve a fair and sensible result. California, Massachusetts, Minnesota, North Dakota, Washington, and Wisconsin have attempted in one or more decrees to define part time workers. Not all these States have set special rates for such w'orkers. The following list gives the decrees where such rules are found and the hours that are considered as constituting part-time work: CALIFORNIA Hotel and restaurant, 1919 and 1920__ 6 hours or less per day.8 Unclassified, 1923___________________ Do.8 Mercantile, 1917,19198,19203, and 19233- Less than 8 hours per day. Laundry, 1919, 19203, and 19233_______ Do. Office, 1919 and 1920________________ Do.3 Unclassified, 1919 and 1920__________ Do.8 Manufacturing, 1919,1920, and 1923___ Do.8 MASSACHUSETTS Building cleaners, 1921Any employment less than 42 hours per week.3 MINNESOTA Any occupation, 1921 Any employment less than 36 hours per week. NORTH DAKOTA Group I Public housekeeping, 1922 Manufacturing, 1922____ Mercantile, 1922________ Laundry, 1922__________ Telephone, 1922________ 30 to 35 to 30 to 32 to 34 40 35 38 hours.3 hours.8 hours.3 hours.3 * * Group II Under Under Under Under Under 30 35 30 32 40 hours. hours. hours. hours. hours. “Washington in Order No. 14 (rural telephones, class U) established a full-time day of from 6 to 9 hours. * Special part-time rate established which is higher than regular full-time hourly or dally rate. 238 MINIMUM-WAGE LAWS IN THE UNITED STATES WASHINGTON Rural telephones, class B, 1915____ _ Less than 6 hours per day.3 _ Rural telephones, class C, 1915Less than 10 hours per day.3 Rural telephones, class D, 1915----------Less than 10 hours per day.3 Public housekeeping, 1921------------------ Less than 8 hours per day, or 1 or 2 days per week.3 WISCONSIN All: Order effective August 1, 1919. Telephones: For day period— Under 200________ Hourly minimum for H time on duty. 200 to 219______ _ Hourly minimum for ff time on duty. 220 to 239____ Hourly minimum for H time on duty. 240 to 259 Hourly minimum for ^ time on duty. 200 to 274 Hourly minimum for -J-| time on duty. 275 or more Hourly minimum for time on duty. For night period—Under 300 Hourly minimum for -f- time subject to call. 300 to 499__________ Hourly minimum for ~f- time subject to call. 500 to 624 Hourly minimum for time subject to call. Hourly minimum for -j- time subject to call. 625 to 749 750 to 874 Hourly minimum for-1- time subject to call. 875 to 999 Hourly minimum for -J- time subject to call. 1,000 or more__1 Hourly minimum for time subject to call. As this list shows, only California and North Dakota really have tried in a number of decrees to define part-time work and to meet, by guaranteeing her a somewhat higher hourly rate, the problem of the woman who is not offered enough hours of work to enable her to earn the regular minimum-wage rate. Massachusetts in one decree and Washington in four also have followed this plan. In Wisconsin a complicated schedule is worked out for the telephone industry, based on the relation between the number of telephones on the switchboard and whether the work is day work or night work and whether the operator is on duty or only subject to call. In addition to these decrees that offer some sort of a definition of part-time work and set rates for the groups so designated, a few decrees set rates for part-time workers without defining what con stitutes such work. Oregon provided that part-time workers were to receive the regular hourly rate. Texas provided that all part-time workers, irrespective of experience, were to receive 25 cents per hour, the rate for experienced full-time workers. Washington established rates for part-time workers in three decrees—telephone (1919), all industries (1918), and public housekeeping (1920). In telephone (1919) this is the onlv rate set. The others are simply the regular experienced full-time hourly rate. Actual part-time rates set in North Dakota and California.—It is only, then, in California and North Dakota that actual rates and definitions exist in any number. North Dakota has dealt with the problem in a more general and simple manner than has California and will be discussed first. The statement following shows the part time hourly rates required by the North Dakota decrees of 1922.• • Special part-time rate established which is higher than regular full-time hourly or daily rato. REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 239 Proportion of weekly rate 1 to be paid a woman who works regularly during Decree 30 to 34 hours Public housekeeping. 30 to 35 hours 32 to 38 hours A A 35 to 40 Under 30 Under 32 Under 35 Under 40 hours hours hours hours hours A A fit :J ■' A A A l YX g$0. 29 \ . 22 1 Rates are expressed as fractions of the full-time weekly rate established for the occupation in question as well as on a straight hourly basis. 2 Rates vary according to size of community and length of experience. With the exception of telephone every decree has ruled not only that full time should cover varied hours of work ranging from 36 and 40 to 48 hours per week, but that certain shorter hours of work should be paid for at an increased part-time rate. This has been done on the theory that any establishment that took so much of a woman’s time that she would have difficulty in finding other regular work, but not enough of her time to enable her to earn the full-time minimum rate, should be required to help somewhat toward making up this difference. If a woman worked such short hours that obvi ously she could do other work or was merely a casual laborer, an establishment was allowed to pay her the regular full-time hourly rate for the number of hours worked. As the statement shows, the actual part-time rate and the hours for which it must be paid varied from industry to industry. The plan, taken together with the careful definition of full-time hours, is comprehensive. It is easy to express, to understand, and to apply. The reasons for dealing with hours in these three groups are ones that command support. The spread of hours within each group is wide enough that most fluctuations in firms’ hours can be covered without employees passing from one group to another. Moreover, the method is all inclusive. Every worker fits into some group. California, too, has covered the whole field at one time or another, and has achieved by different methods much the same results as has North Dakota. Not even' decree takes care of all contingencies, but the commission has been alive to the relation of hours and rates and has tried to set particular rates to fit the conditions of employment found in industry. All the decrees that set special part-time rates designate these rates under a special heading for part-time workers except the manufacturing decree for 1919, which includes part-time workers in the general statement that “ if an employer does not provide the full 48 hours of employment during any one week he must pay not less than-------- for the hours worked.” Two defini tions of part-time workers occur. In the hotel-and-restaurant decrees, 1919 and 1920, and in the unclassified decree, 1923, a part time worker is defined as a “ worker on an hourly basis for six hours or less per day ”; in the other decrees the basis is less than eight hours, With the exception of the hotel-and-restaurant decrees 240 MINIMUM-WAGE LAWS IN THE UNITED STATES in 1919 and 1920, any part-time worker receives the same hourly rate whether she works one or two hours a day or seven. The two hoteland-restaurant decrees set a somewhat higher hourly rate for women who work three hours or less per day than for those who work four hours or more. This is the opposite of the policy followed in North Dakota, where the higher part-time rates were for those women who most nearly worked the full-time hours. Whereas North Dakota always provided that what might be called casual workers should receive the regular hourly rate, California never made any distinction according to the hours worked except those two in favor of the woman on an extremely short schedule in hotels and restaurants. California also differs in not allowing for any spread of hours in the definitions of full-time work, in basing part-time on daily rather than weekly hours, and in setting for part-timers a definite hourly rate rather than an amount proportionate to the weekly rate. The following table shows all the hourly part-time rates found in the California decrees. Table 47.—Full-time and part-time hourly rates for experienced and inex perienced women and minors in California, by decree Adults Minors Decree Experience status Full time Part time Experience status Full time Part time Manufacturing, January, 1919. Inexperienced........ $0.166 $0.21 Inexperienced........ $0. 156 $0 20 Experienced .208 .25 Experienced .208 .25 Mercantile, 1919.............. ........... 18 and 19 years old: Inexperienced... .187 > .35 Inexperienced........ . 166 .25 Experienced___ .281 1.35 Experienced .281 .35 20 years and over: Inexperienced... .208 i .35 Experienced___ .281 ‘.35 inexperienced____ Office, 1919.................... .............. Inexperienced........ .208 i .35 .187 1.25 Experienced.......... .281 i .35 Experienced .281 1.25 Unskilled, 1919.......................... . Inexperienced____ .208 i .35 Inexperienced........ . 166 i .25 Experienced .281 1.35 Experienced.. ... .208 i .25 Manufacturing, August, 1919.. Inexperienced........ .208 1.35 Inexperienced_ _ . 187 i .25 Experienced .281 1.35 Experienced .281 l .25 f *.35 }----------- ------------f *.40 Hotel and restaurant, 1919 .281 l3 • 32H .333 l 3.38 Mercantile, 1920_________ Inexperienced. .25 1.40 Inexperienced____ .208 .30 Experienced __ .333 i .40 Experienced .333 .40 Laundry, 1920...................... Inexperienced. .25 i .40 Inexperienced____ .25 i .40 Experienced.. .333 i .40 Experienced .333 i .40 Office, 1920...................... . Inexperienced. .25 i .40 Inexperienced____ .208 1.30 Experienced.. .333 i .40 Experienced .333 1.30 Unclassified, 1920.. ........... Inexperienced. .25 i .40 Inexperienced........ .22 ».30 Experienced. . .333 1 .40 Experienced. ___ .25 1.30 Manufacturing, 1920_____ Inexperienced. .25 i .40 Inexperienced____ .208 1.30 Experienced __ .333 1.40 Experienced.......... .333 1.30 /* .40 }—------- ------------/ 3.40 Hotel and restaurant, 1920. .333 l3.38 .333 l 3.38 Mercantile, 1923................. Inexperienced. .25 1.40 Inexperienced........ .208 1.30 Experienced.. .333 1.40 Experienced .333 i .30 Laundry, 1923...................... Inexperienced. .291 1.40 Inexperienced... .291 1.40 Experienced. _ .333 1.40 Experienced .333 *.40 Unclassified, 1923________ Inexperienced. .25 1.40 Inexperienced........ .22 1.30 Experienced.. .333 1.40 Experienced .333 1.30 Manufacturing, 1923_____ Inexperienced. • 18M 1.40 Inexperienced........ .18 % 1.30 Experienced._ .38 1.40 Experienced .38 '.30 Hotel and restaurant, 1923. .333 .38 .333 1.38 1 Only part-time rate set. Experience qualifications not mentioned. J Three hours or less per day. 1 More than 3 hours per day. REGULATIONS FOR THE APPLICATION OE MINIMUM-WAGE RATES 241 These rates really cover every industry in California where part time on a time-rate basis is a problem. The decrees for canning, packing, nut sorting, etc. which have no part-time rates set are largely for piece-rate industries. On the whole the part-time rates are higher than those for full time, but in seven decrees—office, 1919 and 1920, manufacturing, 1919, 1920, and 1923, mercantile, 1923, and unclassi fied, 1923—the part-time rate for experienced minors, if there hap pen to be any, is less than the full-time rate. It is apparent also that some of the part-time rates are so much higher than the full-time rates that a part-time worker with hours only slightly less than the full-time hours could earn more than the minimum if paid at a straight hourly rate. For example, a woman working 7 hours a day or 42 hours a week, at 40 cents an hour, would earn $16.80 per week. If it was understood, as is probably the case, that the $16 rate need not be exceeded,4 these decrees work out to provide a spread of full time earnings covering the hours from 40 to 48. They accomplish for all adult women the same end that North Dakota accomplished by its more general rules. California has not stopped, however, with setting hourly rates for part-time workers. In some few decrees it has set day rates as well. The statement following gives the day rates for women and minors in California, by decree: Women Decree Minors Both women and minors $1. 67 Mercantile, 1919: $1. 50 2. 25 Mercantile, 1920: Office 1920 2. 00 2. 66% 2. 66^ $2. 66 % > 2. 00 2. 00 2. 66?^ > Special day rate tor minors working 8 hours on Saturdays or holidays. With the exception of the two minors’ rates in manufacturing, 1920, and mercantile, 1923, these rates are simply one-sixth of the full weekly rate. These two exceptions allow minor day workers to be employed for a somewhat lower sum than the regular worker is paid per day. The decrees give extremely varied definitions of the groups that are to be paid these day rates. They are defined as— (1) One who works less than 6 days per week. Mercantile, 1917 and 1919. (2) One who is employed on a full day’s basis for less than 6 days a week. Mercantile, 1920. (3) One who is employed on a full day’s basis for 3 weeks or less. Mercantile, 1923 (4) One who is employed on a temporary basis for less than 2 weeks. Office, 1920. ‘Two hotel and restaurant decrees. 1919 and 1920, specify that either the part-time hourly rate or the weekly full-time rate shall be paid. 242 MINIMUM-WAGE LAWS IN THE UNITED STATES (5) One who is employed for 8 hours on Saturdays or holidays. Manufactur ing, 1920. (6) One who is employed on a full day’s basis for less than the standard week. Laundry, 1923. The lack of an underlying principle in these definitions and the fact that there are so few day rates show that the commission was endeavoring to meet special situations in the industry under con sideration. Its concern with the mercantile industry in particular justifies this contention, for here would be employed special workers for Saturday work and work before Christmas. The change in the definition of “ special ” in these orders to take care of the Christmas extras as well as the Saturday extras is interesting. In the light of all these highly specialized rates which California thought it necessary to set to take care of part time, and the carefully inclusive rules of North Dakota, the unconcern with this problem on the part of most decrees is rather surprising. The thought of the great majority of commissions and wage boards was to pay anyone who worked less than the full-time week for the actual number of hours worked, with no distinction because the short time was involun tary rather than voluntary. To complete the picture of the attempt by the various commissions at making rules for all women involuntarily working less than the full-time week, the question of irregular undertime also arises. It lias been pointed out that for many cases a spread of full-time hours took care of this. In addition, four States have given some phase of it a measure of special attention. Kansas and Washington have been concerned only with the problem of the woman who reports for work and receives none. In Kansas the 1918 telephone order provided that an operator called for duty on a Sunday or holiday and then excused for all or part of the day must be paid for the full basic day. Wash ington in a laundry order (1921) provided that a woman who was not notified that she need not report must be given half a day’s com pensation. In three other Washington orders, for “ any occupation ” (adult women, 1918, and minors January and August, 1922) it was ruled that in case full-time work was not provided the correct schedule of hours must be posted by at least noon of the day before such undertime was to start. Oregon in one decree (special regula tions) provides that where full-time employment is not provided part-time employment must be so arranged that each employee may have an opportunity to secure such additional employment as would make a full week. 'These are very small special cases, but the third State—California—has set actual rates in 12 decrees for women working undertime. _ The following table compares the actual undertime rates with the hourly full-time and part-time rates. REGULATIONS FOR THE APPLICATION OF) MINIMUM-WAGE RATES 243 Table 48.—Full-time, part-time, and undertime hourly rates for experienced and inexperienced toomen and minors in California, by decree Minors Women Decree Experience status Experienced___ January, 1919. Mercantile, 1919— 18 and 19 years: InexperiencedExperienced-20 yoars and over: Inexperienced. Experienced. Unskilled, 1919..-- Inexperienced... Experienced___ Manufacturing, Inexperienced-.. Experienced....... August, 1919. Hotel and restau- \ /............................. rant, 1919. Laundry, 1919..... Experienced----Mercantile, 1920... Inexperienced. -. Laundry, 1920___ Inexperienced.-. Experienced___ Office, 1920............. Unclassified, 1920.. Inexperienced... Experienced----Man ufacturing, Inexperienced — . Experienced....... 1920. Hotel and restau- \ rant, 1920. J.............................. Fish canning, 1920. Inexperienced... Needle 1922. trades, Time workers: Inexperienced- Experienced _ _ Laundry, 1923___ Experienced....... Unclassified, 1923.. Inexperienced... Experienced___ Manufacturing, Inexperienced.-Experienced....... 1923. $0.166 .208 $0.21 .25 . 187 . 281 i.35 i. 35 .208 .281 208 i.35 i.3o i.35 i. 36 $0.25 1.35 . 32H 1.36 1.35 .25 ■ 32H 1.35 2. 35 >.32 A 1 .32 Yl .25 • 32)4 1.40 1.40 .30 1.40 .38 ‘.40 1 40 i. 40 .30 1.40 ‘.40 .38 .30 i.40 .38 i. 40 2.40 )...... / >.38 .30 .38 .208 .281 . 208 .281 .281 .28 208 .281 .25 . 333 .26 . 333 . 333 25 . 333 .25 .333 .333 .25 . 333 / l / \ Experience status $0.156 .208 $0. 20 .25 . 166 .281 .25 .35 . 187 .281 . 166 .208 . 187 .281 .333 .28 .208 .281 .208 .333 .25 .333 . 208 .333 .22 .25 .208 .333 .333 .25 i. 25 i. 25 i. 25 i. 25 i. 25 i. 25 / 3.40 Inexperienced.. Experienced___ Inexperienced.. Experienced— Experienced— Inexperienced.. Inexperienced.. Experienced— Inexperienced.. Experienced_ _ Inexperienced -. Experienced_ _ Inexperienced.. Experienced Time workers: Inexperienced .22'A . 34 Piece* workers: • 20i 6 Experienced. • 28H .21 .31H 1834 .26' . 291 .333 .25 .333 . 18% .333 .333 Under time Part time Inexperienced.. Experienced — Part time Full time Experienced_ _ Full time i 40 i. 40 i.40 i.40 1.40 i.40 1.40 1.40 .38 .30 .38 .30 .38 . 20 h .38 Inexperienced.. Experienced— Inexperienced.. Experienced_ _ Inexperienced.. Experienced_ _ . 333 Under time $0.21 .25 .23 • 32 H } J . 32 H .25 • 32H ......... .30 .40 __^T___ 1. 40 .30 1.40 .38 *. 30 1.30 i. 30 .25 1.30 .30 i.30 .25 i. 30 .38 / >.40 } J .30 ______ .38 .21 .31)1 . 22 H .34 . 18®4 .26 . 208 .333 .291 .333 .22 .333 .1851 .333 . 2014 1.30 i. 30 i.40 1.40 i.30 i.30 1.30 i. 30 .30 .38 .24 .38 .20 H .38 rant, 1923. 1 Only part-time rate set. Experience qualifications not mentioned. * Three hours or less per day. 3 More than three hours per day. The decrees speak of these rates as provisions for higher hourly rates “ where less than a full week’s work has been provided.” In the earlier orders, in 1919 and 1920, these rates are to be paid when a plant fails to provide its usual weekly schedule of hours, except when such undertime is caused by a legal holiday. In 1922 and 1923 the reason for paying these higher rates is exactly reversed, and establishments are required to pay them for those weeks where they worked undertime due to a legal or religious holiday. Like the part-time rates, these undertime rates are all slightly higher than the regular hourly rates. However, they bear no uni 244 MINIMUM-WAGE LAWS IN THE UNITED STATES form relation to the part-time rates, though the reason for both is the same—to guarantee to the woman who, through no fault of her own, is not given full-time employment, a rate that will enable her to earn a sum commensurate with the cost of living. In all cases the part-time rate for adult women is higher than the undertime rate. In all cases except the unclassified 1919 decree the part-time rate for minors is lower than the undertime rate. In this one decree the rates are identical for experienced minors. The decrees where these under time rates occur, manufacturing in its various forms, laundries, and unclassified work, are those occupations where irregular undertime would be most likely to occur. Though these rates are extremely interesting, because the only case where a commission has set special rates for undertime, they are not based on a consistent theory. They represent again the California effort to do by rates what some of the other States, notably Minnesota and North Dakota, have done by defining a full-time wTeek and incorporating a spread of hours in this definition. They show once again that the California commis sion felt that there should be no differentiation in the treatment of part-time or undertime workers because of their hours approaching or failing to approach the regular full-time hours. Summary.—These various provisions for women who work less than the full-time week cover the entire field when all States and all decrees are considered. How well any one decree handled this situa tion is another question. To be on the safe side and enable the enforcing officers to meet all contingencies, each decree should define full time, part time and whether all part time is to be on the same basis, undertime, and any groups of special workers found in the industry under discussion. If North Dakota may be considered to believe that undertime should be treated as part time, or as coming within the spread of full-time hours, or as casual work, depending on the number of hours involved, the 1922 North Dakota decrees cover this whole situation. Some few California decrees that set rates for part time, special workers, and undertime really cover the whole field, but they lack the definitions of a full-time week which would insure uniform interpretation of their rules. Until the Cali fornia decrees make it absolutely clear that a full-time week is the legal hourly limit, or that it is whatever the firm’s scheduled hours may be, their rules are difficult to apply. Provisions covering women working overtime. One other group of workers whose hours affect their pay remains to be discussed: The women who earn added compensation by work ing overtime. In one sense this is not a minimum-wage provision, for rates are supposed to be set so that a woman can earn the costof-living minimum in her regular hours. This work beyond the regular hours, usually for increased pay, takes her out of the class of the marginal worker. The main purpose of overtime provisions is to discourage work beyond the usual hours by increasing its cost. These provisions, then, are fully as much hour regulations as they are wage regulations. The justification for discussing them here is that they complete the picture of the vital relation between hours of work and rates of pay. Overtime in this connection is all employ ment beyond a certain arbitrary number of hours per day or week or days per week set forth by the commissions in their decrees. REGULATIONS FOR THE APPLICATION OP MINIMUM-WAGE RATES 245 California, Kansas, Minnesota, Oregon, Washington, and Wiscon sin have issued some decrees containing such provisions. It will be remembered that in all these States, except Kansas, laws distinct from the minimum-wage laws forbid the employment of women in certain specified occupations for longer than a fixed number of hours per day or per week, or in some cases on more than a specified num ber of days per week. Any provisions appearing in the decrees must improve or repeat the standards set forth in the laws, as these com missions have no power to abrogate any provisions of the hour laws. The provisions in the decrees sought either to control hours of work in industries not covered by the laws or to establish shorter hours than those specified in the laws. Their method of securing a limita tion on the number of hours worked was the indirect one of requir ing increased rates for women working more than a specified number of hours or days. Where this limitation was established in indus tries not covered by the hour law, the hours specified usually were the same as the hours- allowed by the lawT. In Kansas the commis sion has had the power to enact all hour regulation, so the provi sions linking wages and hours were part of the only scheme of hour regulation authorized by the legislature. The following table shows the decrees that require extra pay for women who work more than a specified number of hours per day or per week or more than a specified number of days per week: Table 49.—Decrees that have required extra pay for women working overtime,' by State and year Year California Kansas Minnesota Oregon 1916.. Fruit and vegetable canning. 1917.. Fruit and vegetable canning. Fruit and vegetable canning.. Tele1918 Fish canning. phone. Fruit and vegetable packing. All*........... 1919 Fish canning. Fruit and vegetable packing. Office. Hotel and restaurant. Fruit and vegetable canning.. 1920 turing. Fish canning. Fruit and vegetable packing. Office. Hotel and restaurant. Agricultural. All............. 1921 1923 Pea canning. Attendants in sanitariums. Pea canning. Pea canning. Cherry, bean, corn, and to mato canning. Canning. 1922.. Fruit, and vegetable canning.. Fish canning. Fruit and vegetable packing. Nut cracking and sorting. 1924 1925.. 1926.. 1927.. taring. Wisconsin Pea canning. Cherry, bean, corn, and to mato canning. Pea canning. Cherry, bean, corn, and to mato canning. Pea canning. Cherry, bean, corn, and to mato canning. Pea canning. Cherry, bean, corn, mato canning. Pea canning. Cherry, bean, corn, mato canning. Pea canning. Cherry, bean, corn, mato canning. Pea canning. Cherry, bean, corn, mato canning. and to and to and to and to i Longer than a specified number of hours per day or per week or on more than a specified number of days. * Two decrees in 1919—one for experienced workers and one for inexperienced. 246 MINIMUM-WAGE LAWS IN THE UNITED STATES In the great majority of cases these decrees represent an attempt to regulate branches of the food-preserving industry. Besides the Kansas and Minnesota decrees there are only four-—California, hotel and restaurant (two) and office (two)—that regulate any other type of industry. The hotel-and-restaurant, office, and nut-cracking-anclsorting decrees require that time and a quarter be paid for all work on the seventh day of the week, though the hour law does not include offices and permits a woman to work every day in the other two industries provided her daily hours do not exceed 8 nor her weekly hours 48. The one canning decree in Oregon simply restates the terms of the hour laws. All the other decrees invoke the power of the commissions to regulate industries not covered by any hour law. Every one of these decrees requires that a woman working over the specified number of hours or days must be paid at the rate of time and a quarter or time and a half. Four other decrees— Minnesota, all occupations, 1919 (two) and 1921, and Wisconsin, attendants in sanitariums, 1919—provide that the minimum wage is to be paid for a certain fixed number of hours of work and that all work beyond this point is to be paid for at the regular hourly rate. All these punitive rates are set with the idea of limiting hours of work. The Minnesota hour limitation, however, is done with the purpose of defining full-time hours and securing a uniform enforce ment of minimum-wage rates. Except that these overtime provisions show additional efforts on the part of the commissions to round out the field covered by minimum-wage rates, so that it includes all special groups, their interest lies in the limitation of the hours rather than in the establishing of rates, for in all these decrees overtime meant rates in excess of the minimum. Summary. The problem of the relation between hours and rates of pay has been discussed in great detail because usually it is so imperfectly understood even by the commissions themselves. That earnings are in most cases closely tied up with the number of hours worked is recognized even by persons unfamiliar with employment conditions. The relation between rates of pay and hours of work in the case of minimum-wage decrees is not so clear. The underlying reason for this relation is that the State through the law has guaranteed its women workers a living -wage. One of the first questions to be answered is: How long shall they be required to work to earn the sum that the commission has determined was necessary to supply the cost of living? By common consent the week seems to have been adopted as the basis in the majority of the cost-of-living studies and for most of the minimum-wage rates. Since a woman must live every day in the year, it would seem most equitable to set a yearly sum for the minimum wage, but that has never been attempted. If a woman lost weeks of work through unemployment, this was not considered to be the province of the minimum-wage law. The fact of setting a weekly rate, however, meant that the decrees must show some con cern with weekly hours. The ways in which this problem could be handled were legion, and most of them have been tried. The methods indicated in the decrees have been discussed at length. They comprised variations of REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 247 three main plans: (1) Setting an hourly rate only, in which case the workers were not even guaranteed the weekly cost of living; (2) setting a weekly rate only and allowing the enforcing officer to decide whether this rate was to be paid only to these women who worked the full number of hours allowed by law or to all women who worked the full number of hours provided by the firm that hired them; and (3) setting both weekly and hourly rates, the hourly rates representing the proportionate fraction of the weekly rates if the legal hour limitation was considered the full-time iveek. If the second method was chosen there arose the difficulty of deciding what constituted a firm’s full-time hours. If the third, the great question was what to do with the plant whose regular hours were less than the legal limitation. Within these three plans some States, specifically North Dakota, set general rules, and others, such as California, handled each prob lem separately. On the whole, the problem rarely was covered ade quately. This undoubtedly is due to the fact that it was a problem of enforcement. A decree could be drawn up that looked most com plete on the surface but failed to cover any of the relations between hours and rates. Particularly in the early days of the commissions this problem was not realized. In California, Minnesota, and North Dakota it is apparent that with experience the commissions realized this problem and sought to meet it by more careful phrasing of decrees. In Wisconsin they recognized that such a problem existed in their first decree, but failed to see the various methods that could be used to meet it. In some of the other States the problem may have been handled adequately by the enforcing officer so that a habit grew up of leaving it to that officer. This seems to have been true, for instance, in Massachusetts. The trouble with this means of deal ing with the problem, however, was that it left room for a great variety of interpretation as personnel changed. It also might cause more hard feeling if a person disagreed with a law-enforcing agent in her interpretation than if the officer simply was requiring com pliance with a clearly stated and easily understood provision of the decree. If the principle is accepted that there is a spread of hours that can be called full time, or that part time in certain situations should command a slightly higher rate than full time, or that under time and part timejjhould be treated differently, only the commission has the powei;, through its decrees, to order that rates should be raised to meet these different conditions. It is not possible to en force minimum wage without deciding these questions on working time. The best place for announcing those decisions clearly and carefully is the decree, and this is the only place where different rates to meet these conditions can be set. OTHER GROUPS RECEIVING SPECIAL TREATMENT In addition to the apprentices, minors, and substandard workers who have received special treatment, and to the detailed rules for applying the rates to different time schedules, various commissions have included in some decrees provisions for other diverse groups, such as male minors, pieceworkers, workers receiving bonuses or com60709°—28---- IT 248 MINIMUM-WAGE LAWS IN THE UNITED STATES missions, and home workers. Though most of the groups have received only occasional notice, the very fact that all of them have received some degree of attention indicates how many different kinds of problems had to be met in applying these laws. Not many decrees might contain definite rules for these groups, but every State had to deal with them, a fact which greatly extended and complicated the field of minimum-wage administration and enforcement. Like the questions of hours of work, though by no means so fundamental, these questions did not become apparent until the enforcing officer began to apply the minimum-wage rates to the infinite variety of industries. Pieceworkers. In general all workers, whether paid by time, by piece, or by bonus or commission, were supposed to have rates that would enable them to earn at least the minimum rate if they worked full time. When a decree did not carry special piece rates—and this was true in the vast majority of decrees—the problem of interpreting time rates in terms of piece rates was a complicated one. It arose extensively in manu facturing and canning decrees and sometimes in laundries. Piece workers often work very irregularly by choice, but probably just as often they are offered only irregular employment. The problem of whether they should be guaranteed the weekly time rate if they were present in the factory a specified number of hours or should be guar anteed a proportionate hourly rate for the actual number of hours worked, had to be decided by the enforcing agent. Moreover, to determine whether the piece rates of a given factory were such as to yield the minimum to the average worker was another difficult study that had to be dealt with in enforcement. Either the commission or its agents had to decide how large a percentage of the workers must earn the minimum to prove that the piece rates were adequate. They also had to decide whether the workers must earn the time rate in a given week or hour, or every week or hour, or whether a number of weeks or hours could be averaged. Every commission, of course, has had to work out a policy for handling this problem, but, on the whole, pieceworkers have received very incomplete attention in the decrees, so that wide variation in the policy of handling these workers was possible within a State if the personnel of the enforcing agency changed. Most of the States have a few decreesThat take special no tice of pieceworkers. Only Minnesota and the District of Columbia have never in any decree considered the question of piece rates. Of 127 decrees in the other States, covering all industries, manufacturing, laundries, and canning (the groups where piece rates are a problem), only 51 have even mentioned pieceworkers. Massachusetts, with 32 decrees in these industries, has mentioned pieceworkers only twice. California has been the most interested of any of the States in the problem, and of 26 decrees 22 have provisions for handling this group. In addition, in California, four decrees in industries other than manufacturing, canning, and laundering—three unskilled and unclas sified and one for office workers—contain provisions to take care of pieceworkers. The following table shows the decrees that have con sidered this problem: California Year containing special reference to pieceworkers, by State and year Kansas Massachu setts Brush. North Dakota Oregon Washing ton Texas Wisconsin Arkansas 1 All. Manufacturing. Laundry. 1916.... 1917.... Fruit and vegetable canning. 1918.... Laundry and dry cleaning. Fruit and vegetable canning. Unskilled. Office. 1919.... Fruit and vegetable canning. Fish canning. Fruit and vegetable packing. Unskilled. Manufacturing. 1920-— Fish canning. Laundry and dry cleaning. Fruit and vegetable packing. Unclassified. Manufacturing. Agricultural. 1921___ Canning. Manufacturing. Laundry. Wholesale millinery. 1924 All-.. Manufac turing. Canning_____ .. Manufac turing. All. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. Cherry, bean, corn, and tomato can ning. 249 1 Provided for in the law, not by decree. Cherry, bean, corn, and tomato can ning. Tobacco stripping. Manufac turing. Laundry. Manufac turing. Fish canning. Fruit and vegetable packing. Manufacturing. Nut cracking and sorting. Laundry. Canning. REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES Table 50.—Decrees 250 MINIMUM-WAGE LAWS IN THE UNITED STATES The majority of the provisions of these decrees (25) and the Arkansas law have simply stipulated that piece rates must yield the guaranteed minimum, without specifying hourly or weekly rates. That piece rates must yield the guaranteed minimum time rate was so taken for granted in all minimum-wage work that the specific statement of it in the decrees was of no additional help. Kansas has tried to handle the problem of irregular work by providing that the pieceworker must receive the weekly minimum only if she has availed herself of all work offered and her service has been subject to the demand of the employer at least five days a week. This is the only case where a decree takes notice of the serious problem of the worker who is held in the establishment but is not provided with work. Indirectly, several decrees try to meet the problem of determining a pieceworker’s rates in relation to hours of work—a difficult situation created by irregular attendance and irregular runs of work—-by setting the actual piece rates. With the exception of tobacco stripping in Wisconsin, all actual piece rates found in the decrees are in the canning or affiliated industries. California has issued eight decrees setting forth the rates in the most usual canning operations; Oregon has issued three and Wisconsin two (cherry, bean, corn, and tomato canning). The problem of the method of judging whether a rate is adequate or inadequate also has been touched in some decrees by specifying the proportion of women who must make the rate. This varies greatly from State to State, and in California, where the whole piece-rate problem has had the most attention, the rule has been to reduce the percentage of women required to make the minimum in order to prove the piece rates adequate. The following table shows the per cents required: Table 51.—Decrees specifying the percentage of pieceworkers that must receive the guaranteed rate, by State and year State and year 50 per cent 66% per cent 75 per cent ou per cent 1916 Oregon... Manufac turing. Laundry. 1917 California. Occupations in fruit and vege table canning where no piece rate is fixed. 1918 Oregon___ Manufac turing. Laundry. 1919 California. Oregon Fruit and vege table canningpreparation. Manufac turing. Laundry. 1920 California. Fruit and vege table canningpreparation. REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 251 Table 51.—Decrees specifying the percentage of pieceworkers that must receive the guaranteed rate, by State and year—Continued State and year 50 per cent 66K pei’ cent 75 per cent 80 per cent 100 per cent 1921 Wisconsin_____ Fruit and vege table canning preparing and canning. All, unless 75 per cent of all experi enced women and minors (17 years and over) on piece work receive 3 cents more per hour than the pre scribed minimum. 1922 Manufac turing. Cherry, bean, com, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 1923 Fruit and vege table canningAdult women. Nut cracking and sorting. Fish canning. Cherry, bean, corn, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 1924 Cherry, bean, corn, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 1925 Cherry, bean, corn, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 1926 Cherry, bean, corn, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 1927 Cherry, bean, corn, and tomato can ning—unless rates yield 3 cents per hour more than minimum to 75 per cent of all under 50 years. 252 MINIMUM-WAGE LAWS IN THE UNITED STATES The whole problem of piece rates is so largely a question of en forcement practice that perhaps it should have been discussed under enforcement, but, since some decrees have specifically legislated on this point, at least this part of the problem must be discussed here. It is apparent, however, from the foregoing table and discussion that no decree gave complete and detailed instructions as to how piece rates were to fit into the scheme of time rates. For instance, the setting of actual piece rates could not guarantee the minimum, for they were too rigid and took no notice of varying runs of material. The mere saying in a decree that piece rates must yield the guaran teed minimum does not help in the least to show on what basis the time rates are to be enforced. No commission has stated, in its decrees,5 rules on the following necessary points: (1) Shall the piece rates be such as to yield the minimum time rate for each hour worked, each day, each week, or each pay-roll period, whatever its length may be? (2) Must the time rate for the selected time period (hour, week, etc.) be earned each time a pay day is reached, or may a number of these units be averaged? (3) Shall every pieceworker be guar anteed the selected time rate? (4) Instead of guaranteeing the time rate to each individual worker, shall it be considered that the piece rates are adequate if the average earnings of the group as a whole equal the time rate for the selected period or series of periods? (5) Shall a certain percentage of the pieceworkers earn the time rates for the selected period as individuals ? Only those decrees which give the per cent of women who must earn the time-rate minimum when working on piece rates in order that the piece rate may be considered satisfactory, are touching the real problem—enforcement. Male minors. At least one decree in every State has included male minors. In most cases the male minors receive exactly the same treatment as the females. Four California fruit and vegetable canning decrees, 1919, 1920, 1921, and 1923, set separate rates for male minor time workers, since these workers are not employed on the same processes as the women. The rates for male minors did not differentiate according to experience. The following statement compares these rates with the rates for women and female minors: Hourly rates for— Year 1919 1920 1921 1923_- Women $0. . . . Female minors 21 to $0. 28 25 to 25 to 25 to Male minors’ rates . 333 . 333 . 333 $0. . . . 18 22 22 25 to $0. 28 to . 333 to . 333 to . 333 Hourly $0 25 . 30 . 25 . 25 Weekly $14. 00 12. 00 6 The California officials consider that the wording of their decrees, “ Every person firm, or corporation making payment of wages upon a piece-rate basis shall guarantee to all women and minor employees not less than the minimum-time rates for the wage groups in which they belong, means that if a woman works by the day she must be paid not less than the daily rate, if she works by the week the weekly rate, and if she works only part of a day her guaranteed hourly rate for the number of hours worked on piece rates. In other words, they feel that their decree savs that the time rate is guaranteed a certain proportion of (he individual workers, and that she must receive the time rate for each unit of time, not make it on the average. Moreover, though the Wisconsin decrees do not touch this piece-rate problem, the commission has issued a statement that, on the basis of the pay-roll period, each woman’s earnings must be such as to give her an average for each hour equal to the minimum hourly rate for the class to which she belongs. The only case in which every woman need not have her rates adjusted to this standard 1b when 75 per cent of the experienced women earn 3 cents more per hour than the hourly minimum time rate. REGULATIONS FOR THE APPLICATION OF MINIMUM-WAGE RATES 253 Until 1921 the male minor without any experience was paid more than the inexperienced adult woman. By 1923 all three groups had the same entering rate. Workers receiving bonuses, commissions, etc. In enforcing minimum-wage rates, another question of enforce ment that arose was how to treat money that was paid the woman as a bonus or commission. If such payments counted toward the woman’s earning the minimum-wage rate, her regular rate, whether time or piece, could be somewhat below the minimum required by law, the bonus or commission making up the difference. Should money paid as bonuses or commissions be counted in when comput ing whether a given woman earned the minimum? These sums might be rewards for high output or for regular attendance, for selling slow-moving commodities, or for any of a number of varied and unrelated acts. How these bonuses or commissions were to be treated depended primarily on the sort of reward that the ivord represented, yet no minimum-wage decree defines the words “ bonus ” or “ commission.” If this special payment was an irregular and very occasional affair, its inclusion as part of the minimum wage would be hard to justify; however, if the commission or bonus was paid regularly and was based on fair conditions, there would be some cause for claiming that any woman who earned the full minimumwage rate by means of the additional money in her bonus or com mission was being treated in conformity with the terms of the law. If a bonus or commission was allowed to count toward the minimum, the commissions had to make rules, similar to those needed for piece rates, as to whether each week was to count as a separate unit or a number of weeks could be averaged, whether the minimum must be met for each hour worked or for each week, and so on. Though these problems were met constantly in applying the commissions’ decrees and had to be settled either by commission or by enforcing officers, only a few of the decrees had any rules whatsoever covering the pay ment of bonuses or commissions. California and Wisconsin have made rules for bonus or commission workers in some of their decrees. The District of Columbia, Massachusetts, Minnesota, North Dakota, and Washington have made informal rules that appear in their annual reports. With the exception of Minnesota, the theory of all these rulings is that the bonus or commission may count toward the woman’s earning the minimum-wage rate. Minnesota forbids includ ing a bonus when reckoning to see whether or not a woman’s pay meets the minimum-wage standards. In the final analysis, these rules do little more than reiterate the point that, no matter what method is followed in paying a woman, her weekly earnings must equal the minimum-wage rate or the law is not being obeyed. When it comes actually to determining the way in which bonus or commission payments shall be counted, great confusion exists. In no case does a ruling specify whether each week or hour shall be a unit and whether the earnings including the bonus may be averaged over a period of time. The two States that have set rules in their decrees do little more than affirm that women paid by this method must receive the minimum. In California 21 decrees have contained provisions on this point, some of which have in cluded part of the necessary definitions. The 1917 mercantile order 254 MINIMUM-WAGE LAWS IN THE UNITED STATES contains a rule for reckoning bonuses or commissions which reads: “ When payment of wages is made upon a commission or bonus system wages shall be computed weekly and the time wage plus the bonus or commission shall be not less than the minimum rate for the wage group in which the worker belongs.” A year later two orders—fruit and vegetable packing and unskilled and unclassi fied—provided that “ where payment of wages is made upon a * * * bonus or commission basis, the worker shall be paid not less than the minimum time rate for the number of hours employed.” None of the other decrees (all of which are for 1918 or later6) specify even to this degree the relation among the time the woman works, the bonus or commission she receives, and the amount she must be paid. In the 1923 orders, even the provision that the bonus or commission workers must receive the minimum is dropped. In the Wisconsin orders, all that is required is that workers paid by the bonus or commission method be paid as much as the minimum rate. There is really no reason why this provision should be included unless it gives careful rules as to how the bonus and commission payments are to be reckoned. If a decree provides that all women must receive the rates of pay there set down, there is probably no need of mentioning special cases except to make rules for applying the rates to those cases. Workers on a bonus or commission basis undoubtedly needed special treatment, but the need of rules for applying the law to these workers was overlooked in drawing up the various decrees. Home workers. As in the case of workers on piece rates and those on a bonus or commission basis, home workers are a group of which, were the decrees silent, the supposition would be that they were guaranteed the minimum rate. The important reason for giving them special attention in the decrees is to issue rules for the application of the rates to a group whose conditions of employment vary so greatly from those of the ordinary factory operative. Two States, Cali fornia and Wisconsin, have issued a few rules for home workers. In California every manufacturing order-—-1919 (Jan. and Aug.), 1920, and 1923—has provided that home workers must be registered with the commission. The first three decrees attempt to establish rates for home workers by specifying how their piece rates must be set. The method by which this rate is to be determined is interest ing. It is to be a piece rate which will yield to a specified percen tage of the factory workers not less than a specified hourly rate. The rates and percentages are as follows: Date of decree 1919, January . ____ _ ______ _____ 1919’ August. .. . _ ____ ______ 1920i__ ___________ ___ . Hourly rate $0. 21 . 28 . 333 Per cent of women who must earn this rate per hour 75 66% 66% 0 Laundry, 1918, 1919, 1920; office, 1918, 1919, 1920; manufacturing, January, 1919, August, 1919, 1920 ; fruit and vegetable packing, 1919, 1920; unskilled and unclassified, 1919, 192C ; hotel and restaurant, 1919, 1920; fish canning, 1919; agriculture, 1920; mercantile, 1920. REGULATIONS FOR THE APPLICATION OP MINIMUM-WAGE RATES 255 The employer is allowed to set the piece rate paid home workers but it must be one to yield these results. In all the decrees the hourly rate is the same as the regular hourly time rate for the experienced adult woman. In 1923 no rate is specified. In addition, beginning with August, 1919, the decrees forbade the employment of factory workers on home work. In 1919 and 1920 this was forbidden for full-time workers only; in 1923 it was forbidden in the case of any worker for the same employer. These few provisions for home workers show a recognition that this was a problem of enforcement as well as of actual rates of pay, for the earlier decrees give exact directions as to how the minimum rates were to be applied to home workers. That this was abandoned in their latest order is peculiar. It may be that this relation between factory workers and the rates paid home workers had become the rule in enforcement, and was no longer considered a necessary part of the decree. In one special Wisconsin decree (all industries, 1919) the following rule for applying the minimum-wage rates to home workers appeared: “ Home workers are to be paid such piece rates which will yield the women and minor employees of the same employer who are of aver age ability and are employed in the factory the rates prescribed in Order No. 1.” Though only California and Wisconsin have given any special attention to home workers in their decrees, both these have recognized that the problem was how the enforcing officer should apply the minimum-wage rate to this group. Summary. Whether or not decrees should contain special directions as to how the enforcing officer must apply to the workers the provisions of the decrees is perhaps open to argument, as far as these groups are concerned, though there seems to be a preponderance of weight on the side of the necessity for incorporating in the decrees rules showing the relationship between various hours of work and rates of pay. Certainly in the early days of minimum-wage orders it would have been next to impossible to incorporate in the decrees workable rules for enforcement, for often it has needed years of experience to determine how to apply the decrees in a practicable and fair way. Moreover, the enforcing officer, in nearly all cases a woman, has been the person who has met these difficulties and the only person so familiar with the pitfalls that she could conceive rules to fit all contingencies. If, therefore, the commissions have wished to have these and similar points covered in the decrees, they really have had to accept verbatim what the enforcing officer has suggested. Since these rules would simply incorporate the practice of the en forcing officer, they may have seemed unnecessary. Some commis sions may actually have felt that it was best not to make such defi nite rules in the decrees but to allow the enforcing officer to take the responsibility for putting in force the rates determined by the com missions. The decrees’ silence on these problems does not mean that they have not been adequately handled; it does mean, however, that the commissions themselves may never have had to make decisions on these points. That would seem to be one bad feature of not incorporating rules on enforcement in the decrees. The commis sions needed the knowledge of just what problems their enforcing officers had to meet. The fact that the rule had the force of the 256 MINIMUM-WAGE LAWS IN THE UNITED STATES commissions’ written word behind it, must have given strength to the agents who were in direct contact with the employers. It also has assured uniform administration from firm to firm and from year to year in spite of changes of personnel. If some flexibility has been lost, weight of authority has been gained. It is perhaps of impor tance that California, where the enforcing officer has been a voting member of the commission and therefore in the best position to have the commission incorporate in the decrees whatever helps have been necessary for satisfactory enforcement, has dealt in more detail in its decrees with enforcement problems than has any other State. SIGNIFICANCE OF THE ATTENTION PAID IN THE DECREES TO SPECIAL CLASSES OF WORKERS From the space occupied in this study by the discussion of the provisions of decrees that cover all those workers who do not meet the requirements for the cost-of-living minimum rate, and of those rules that are concerned with the application of all rates, the real importance of these rates and rules may seem to be overemphasized. The decrees themselves, however, devote necessarily much more space to these questions than they do to the simple straightforward mini mum rate based on living costs. Outside attention has focused itself on the main point of the law—the experienced rate. As a result, the complexities and difficulties of minimum-wage administration and enforcement usually have been seriously underestimated. If mini mum wage in this country is to go on, it must be better understood. People should cease to think that a commission’s job is done when it has set a rate of pay for a week’s work and turned over the enforce ment to a small staff, in many cases untrained. Future decrees should be drawn up in such a way that all classes of workers are taken care of in each decree. If commissions do not wish to fill the decree with the numerous provisions as to how it shall be applied to each kind of worker, a special set of rulings on the relation between the sums of money incorporated in the various decrees on the one hand, and the hours of work, methods of payment, and so forth, on the other hand, should be issued. All decrees, either within one State or from State to State, can not be alike; they need, to be sure, to take account of differences in the kind of work performed. But the present diversity is beyond all reason. Certain fundamental relations are the same whether a decree is issued for mercantile stores or for paper-box factories. Seemingly every possible phase of these problems of the application of decrees has been handled by some decree. If the commissions thus are shown to have a knowledge of the existence of these problems, they should take care of them for each decree. In the field of rates for inexperienced and minor workers, it would appear that the commissions should ask themselves what they are trying to do. The theories on which these widely varied rates are set are hard to discover. The decrees do not go into enough detail to guarantee a worker sufficient training to become skilled; yet the only possible explanation of some of the rates and rules for minors and apprentices is that they were considered as groups unable to earn a skilled minimum wage. Here again is a case where diversity of treatment may be necessary in some cases. The diversity in the REGULATIONS FOR THE APPLICATION OP MINIMUM-WAGE RATES 257 existing decrees, however, seems to be the result of accident or compromise. It is important that decrees should be issued in such a way as to avoid certain possible bad effects, such as the discharge of workers when they qualify for the cost-of-living minimum, the substitution of children for women, and so forth, and it would be interesting to analyze specific decrees as to their possible effects, but the result would Be merely an expression of personal opinion. Moreovor, the surface tendencies might be completely changed by a change in economic conditions. These decrees for the most part were applied during the chaotic conditions of war and recovery from war. Their general results as shown by their own figures on actual rates and earn ings will be discussed later in the report; their specific and immediate effects can not be known. The significant fact about these decrees is that, taken en masse, grouped as much as their diversity will allow, and analyzed, they show such a lack of understanding in most States of the problems involved in setting and applying minimum-wage rates. CHAPTER X—FORMALITIES NECESSARY BEFORE THE RATES AND RULINGS INCORPORATED IN THE DE CREES HAVE THE FORCE OF LAW In the lengthy discussion of actual investigations and actual rates, the fact that all these steps taken were based in most cases on specific clauses in the laws, and in only a relatively few cases on implied powers, may have been lost sight of. The laws, however, did not stop with the provisions that made possible the elaborate form of the decrees; they expressly provided the course of action that was neces sary to give these decrees the force of law. In general the idea was that the public should have a chance to express its opinion of the decree before it became part of the law of the State. To make this possible, public hearings and the publication of decrees were required. Usually it was provided also that a certain period of time must elapse between the adoption of the decree and its going into effect. PUBLIC HEARINGS The laws of every State, except Wisconsin, provide that public hearings are to be held before the decree actually goes into effect. Two types of public hearings are indicated in the laws: One prior to the announcing of the wage rate, at which any interested persons may appear and present facts; the other after the amount has been announced, so that protests may be recorded before the decree finally is promulgated. Some States provide that both types of hearings may be held. The following statement shows which State laws provide for these particular kinds of hearings. Public hearing prior to determining amount of award: Arkansas. California (may hold). Colorado, 1917 (may hold). Kansas, 1915 (may hold). Kansas, 1921. Minnesota. North Dakota (may hold). Oregon (may hold). Texas (may hold). Washington. Public hearing prior to establishing rate as law: Arkansas. California. Colorado, 1913. Colorado, 1917. District of Columbia. Kansas, 1915. Massachusetts. Nebraska. North Dakota. Oregon. Texas (may hold). The laws seem to express quite generally the principle that while a public hearing must be held prior to announcing a rate as law, it is by no means so vital to have such a hearing before the rate is deter mined. In Kansas (1921), Minnesota, and Washington the law re quires that hearings must be held before the rate is determined, but no hearing is required afterwards. Arkansas is the only State that requires a public hearing both before a rate is determined and before it comes in force. The commissions in California, Colorado (1917), Kansas (1915), North Dakota, Oregon, and Texas have power to hold public hearings before rates are announced if they so desire, 258 FORMALITIES BEFORE RULINGS HAVE FORCE OF LAW 259 but they must—in the case of Texas, may—hold such a hearing before the decree becomes effective. Wisconsin is the only State that can promulgate a decree without ever having a public hearing.1 The formality of public hearings, of course, has been complied with when ever decrees have been issued. It has not, on the whole, formed a very vital part of minimum-wage work. Kansas and Wisconsin, by holding public hearings before announcing any wage rate, used these hearings as a means of collecting information with a fair degree of success. The type of material thus collected in Kansas lias been dis cussed in an earlier section of this report. As far as the public hear ings to take care of complaints are concerned, the public, even the interested employer and employee groups, have taken little interest. In most cases any protests the employers or employees had to make were made by their representatives in the wage boards’ meetings or the commissions’ meetings. The public rarely has been interested enough to study the question and attend the hearings so informed as to ask questions and make suggestions. PUBLISHING OF NOTICES OF PUBLIC HEARINGS AND OF THE TERMS OF THE WAGE ORDERS It is evident that in planning the steps to be taken in setting decrees the legislatures were anxious to have the decrees given the widest possible publicity. This served two purposes. It allowed anyone interested to make inquiries or protestations before the decree actually went into effect, and it took away from violators of the law the excuse of ignorance. The first step in the laws’ program of publicity was the public hearing, but they went further and provided for various other kinds of publicity—first for the public hearing at which the decree would be discussed, and next for the decree itself. One ele ment in this was that enough time was to be allowed to elapse after the publicity to enable people to make any criticism or comment desired. In California, Colorado, the District of Columbia, Kansas, Massa chusetts, Nebraska, North Dakota, Oregon, and Texas the laws spe cifically direct the commissions to advertise public hearings. The notice must be published a definite number of days, specified in the law, before the hearing is to be held. This period varies from 10 days in Texas to 30 days in Nebraska. The most common provision is that it must be published once a week for four successive weeks before the hearing (the District of Columbia, Kansas, North Dakota, and Oregon). In seven States—California, Colorado, the District of Columbia, Kansas, North Dakota, Oregon, and Texas—the laws, to make sure that an entire district is notified, also specify definite localities where the advertisement of the public hearings is to be placed. The California law and the Texas law, the latter modeled on that of California, require that a notice of a public hearing be mailed each county clerk. California, Kansas, North Dakota, Oregon, and Texas also specify the information to be included in the notice. The minuteness of these directions shows that the legis latures laid great stress on this step in procedure. Experience has 1 The regular policy of the Wisconsin Industrial Commission was to hold public hearings before issuing any order. 260 MINIMUM-WAGE LAWS IN THE UNITED STATES shown that this supposed safeguard of everyone’s interests has been little used, since public hearings usually have drawn scant attendance. The publicity to be given to the order itself is an extremely im portant point. California, Colorado (1913), Minnesota, Texas, and Wisconsin have provided for publication of the order in such speci fied localities that the State is covered. Colorado (1917), the District of Columbia, Kansas, North Dakota, Oregon, and Washington hav« provided only that a copy of the order should be sent, as far as prac ticable, to each employer in the occupation in question. California, Colorado (1913), Minnesota, and Texas made this requirement in addition to the one of publication. California and Texas required that part of the publicity be the mailing of a copy of the order to each county recorder. Massachusetts and Nebraska provided for the publication of a summary of the findings and recommendations of the wage boards. Only Arkansas failed to direct the commission to bring the terms of the decrees before large groups of the State’s citizens before the decrees became effective. The period of time that must elapse after the decree is announced and before it becomes effective also is decided in most of the laws. Sixty days must elapse in California, Colorado (1913), the District of Columbia, Kansas, North Dakota, Oregon, Texas, and Washing ton; 30 days in Colorado (1917), Minnesota, and Wisconsin. Arkan sas, Massachusetts, and Nebraska allow the commissions to determine for themselves the period of time that is to elapse between a decree’s being announced and its going into effect. Wisconsin allows the commission to determine this time period for special orders, and also provides for a course of procedure if an individual or corporation wishes to apply for an extension of time before the decree is enforced in relation to a specific case. When these necessary formalities have been complied with and the specified time has elapsed, the rates and the rules for their applica tion have become in every State, except Massachusetts and Nebraska, just as much the law of the State as if they had been enacted by the legislatures. In Massachusetts and Nebraska they could be enforced only by publishing the names of those persons who failed to observe the decrees. The commissions were ready to turn their attention to enforcing the decrees. CHAPTER XI.—TIME CONSUMED IN SETTING DECREES Since the actual passing of a flexible law, as pointed out early in this report, did nothing but declare the legislature’s purpose to have established rates of pay for woman workers based on the cost of living, the law began to affect the women only when the com missions issued decrees setting specific rates for designated indus trial groups. Unless the commissions performed this work expe ditiously the law remained a dead letter. The Colorado commission, for example, nullified the act of the legislature by never passing a decree. In most States, due to delays in establishing rates, the actual time the law has been an active force is considerably less than the time elapsing between its passage and the present time. Even after the ice was broken by establishing one decree, many commis sions continued to move very slowly toward including other indus trial groups or toward revising established decrees. The foregoing discussion of all the many problems that arise and must be met before a minimum-wage decree can be issued shows such an overwhelming number of disputed questions that there would seem to be ample reason for wage boards and commissions to prolong indefinitely their studies and deliberations, but to allow such delays was to defeat the law. TIME ELAPSING BETWEEN COMMISSION’S FIRST SPECIFIC ACT IN A GIVEN INDUSTRY AND DATE DECREE BECAME EFFECTIVE It is interesting to see just how long it did take to set each mini mum-wage rate. Such facts are available for almost all decrees. It is necessary, however, to determine what shall be called the first specific act; the close of the period will, of course, be the date the decree went into effect. For the purpose of the following table it bas been decided to consider that the decree was in process of being set from the first reported act of conference or investigation in the field afterwards covered by the decree. This decision may be chal lenged, because sometimes a conference was not followed up for years, or an investigation was made but no conferences were held nor wage boards organized for a long time, when the whole project would be revived and carried through to a relatively speedy con clusion. It is possible to argue that only the acts immediately pre ceding a decree should be considered, but to do this is to overlook many important incidents in the development of minimum wage. The longer time has been decided upon because it appears that the act of investigating or holding conferences showed that the com missions felt at that time that it was desirable to set a wage rate and it is important to enumerate the more important causes that forced some commissions to take years before they finally completed their work and put a rate into effect. The following table shows how much time elapsed between the first specific act of investigation or conference in a given industrial field and the setting of a decree covering the group studied: 261 Table IO 05 to 52.—Time consumed in setting decrees, by State and date of first action [From time of first specific act of investigation or conference to time decree became effective] Arkansas: 1920 _________ 3 months and under Over 3 and under 6 months 6 and under 9 months 9 and under 12 months 1 and under 124 years 2 and under 2>4 years Mercantile, Fort Smith. Mercantile, Fort Smith and Little Rock. 1922 California: ......................... Fruit and vege table canning. 1916 __________ 1917 1 Vi and under 2 years Fruit and packing. Offices. Unclassified tions. . 1918 _ .......... ......... 1010 Fruit and canning. vegetable vegetable occupa Fruit and vegetable packing. Offices. Unclassified occupa tions. Mercantile. Laundry. Fruit and vegetable canning. Manufacturing. Fish canning. Unclassified occu pations. Agricultural field occupations. Manufacturing. Fruit and vege table canning.1 MINIMUM-WAGE LAWS IN THE UNITED STATES State and date of first action Fruit and vegetable canning. Fruit and vegetable packing. Fish canning. Hotels and restaurants. Offices. Mercantile. Laundry. 1921 .................... Fruit and canning. Fruit and canning. 1922........................ State and data of first action Fish canning. Manufacturing.1 vegetable 2A and under 3 years 3 and under 3A years California: 1914... 3A and under 4 years vegetable 4 and under years Laundry 4H and under 5 years Manufacturing 5 and under f>A years 6 and undor 7 years oA and undor6 years Printing and book binding.* Hotels and res taurants. Mercantile. Laundry.1 Fruit and vegetable packing.1 Unclassified occupa tions. Hotels and restau rants. Nut cracking and sorting. 1921. State and date of first action 3 mouths and under District of Columbia: 1919 __ Over 3 and under 6 months 6 and under 9 months 9 and under 12 months Printing and publish ing.1 Mercantile.1 Hotels and restau rants.1 1 and under 1A years 1A and under 2 years 2 and under 2A years TIME CONSUMED IN SETTING DECREES ____ 60769 1929 Laundry.1 1920 1 Decree set by wage board. 2 Tims consumed estimated. * Issued as part of the manufacturing decree, 1919. to o CO State and date of first action 3 months and under Over 3 and under 6 months 1 and under \A years IA and under 2 years Telephone.1 1919...................... . Factory.1 1920........................ State and date of first action Kansas: 1916............... State and date of first action Massachusetts: 1913_____ _____ _ Laundry. Manufacturing. Mercantile. 2A and under 3 years 3 and under 3A years Laundry 4 Mercantile.4 V/i and under 4 years 4 and under 4H years 4>£ and under 5 years 5 and under 5A years oA and under 6 years 6 and under 7 years 1 and under 1A years IA and under 2 years 2 and under 2A years Manufacturing.4 3 months and under Over 3 and under 6 months 9 and under 12 months 6 and under 9 months Brush.1 i 1914___________ 1915........................ Ret • i Laundry.1 Women’s ing.1 cloth 1916.................... . 1917........................ 2 and under 2A years Men’s clothing.1 Men’s furnish ings.1 Muslin under wear.1 Wholesale milli nery.1 Office-building cleaners.1 MINIMUM-WAGE LAWS IN THE UNITED STATES Kansas: 1918....................... 9 and under 12 months 6 and under 9 months 264 Table 52.—Time consumed in setting decrees, by State and date of first action—Continued Canning and serving.1 pre :V Minor confection ery.1 Women’s clothing 1 Office-building cl ean- Men’s furnish ings.1 .1 GTS Women’s clothing 1......... Retail store 3 1................... Brush.1 1922 Paper box.1 Muslin underwear.1 Laundry.1 ............... . i Bread and bakery products.1 Canning, preserving, and minor confection ery.1 Millinery.1 1924 Candy. 1925 State and date of first action 2H and under 3 years • V/i and under 4 years 3 and under 3H years 4 and under 4>6 years 4Vi and under 5 years 5 and under 5^ years 5}4 and under 6 years Massachusetts: Corset.1 Candy.4 Knit goods 1........... 1915..................... . Druggists’ com pounds.1 Paper box.1 Stationery goods. Jewelry. 1923--............... 1924____________ Toys and games. 6 and under 7 years TIME CONSUMED IN SETTING DECREES 1921.................. — 1 • Decree set by wage board. * Decree set by wage board; time consumed estimated. to OS 266 Table 52.—Time consumed in setting decrees, by State and date of first action—Continued State and date of * first action 3 months and under Over 3 and under 6 months 6 and under 9 months 9 and under 12 months 134 and under 2 years 2 and under 234 years 534 and under 6 years 6 and under 7 years Mercantile, office, waitress, hairdress ing.6 Manufacturing, me chanical, tele phone, telegraph, dyeing, etc.5 1919........................ Any occupation.6 Any occupation.2 1920........................ State and date of first action 234 and under 3 years 3 and under 334 years 334 and under 4 years 4 and under 4J4 years * 434 and under 5 years 5 and under 534 years All occupations— learners and ap prentices.7 All occupations except mercan tile, etc. and manufacturing, etc.2 State and date of first action 3 months and under Over 3 and under 6 months 6 and under 9 months North Dakota: 1920..................... 1 and under 134 years Public housekeep ing.1 Office.1 Manufacturing.1 Laundry.1 Student nurses.1 Mercantile.1 Telephone.1 9 1922___ ________ 9 and under 12 months Public housekeeping.^ Mercantile.1 Manufacturing.! Laundry.1 Telephone.1 • 134 and under 2 2 and under 234 years years MINIMUM-WAGE LAWS IN THE UNITED STATES Minnesota: 1913........................ 1 and under 134 years Oregon: 1913 Manufacturing (Port land)—adults.4 Mercantile (Portland)— adults.4 Office (Portland) — adults.1 All—minors.1 Mercantile—adults.8 Manufacturing—adults.8 Personal service — adults.8 Laundry- -adults.8 Telephone and tele graph—adults.8 Office—adults.8 Public housekeeping— adults.8 All—minors.1 1918. Mercantile—adults 8___ M anufacturing—adults.1 Personal serviceadults.1 Laundry—adults.1 Telephone and tele graph—adults.8 Office—adults.8 Public housekeepingadults.1 All—minors.1 State and date of first action Oregon: 1913............... 2}4 and under 3 years 3 and under 3)4 years 324 and under 4 years Mercantile—adults.8 Manufacturing — adults.4 Personal serviceadults.4 Laundry—adults.4 Telephone and tele graph—adults.9 Office—adults.4 Public housekeep ing-adults.4 All—minors.4 Canning.1 4 and under 434 years 424 and under 5 years 524 and under 6 years 6 and under 7 years Canning.4 1 Decree set by wage board. 2 Time, consumed estimated. 4 Decree set by wage board; time consumed estimated. . , .. . , i 3 decrees, for communities of various sizes, issued simultaneously. Set by wage boards; time consumed estimated. 8 2 decrees, for experienced and inexperienced women, issued simultaneously. Time consumed estimated. 7 2 decrees, for communities of various sizes, issued simultaneously. Time consumed estimated. 8 2 decrees—1 for Portland and 1 for State at large. Set by wage board. 9 2 decrees—1 for Portland and 1 for State at large. Set by wage board; time consumed estimated. 5 and under 524 years TIME CONSUMED IN SETTING DECREES 1916. All, adults.4 to ^3 State and date of first action 268 Table 52.—Time consumed in setting decrees, by State and date of first action—Continued 3 months and under Over 3 and under 6 months 6 and under 9 months 9 and under 12 months 1 and under 1H years 1Yi and under 2 years 2 and under 2% years Washington:18 1913 M anufacturing.11 All.11 1918 1919___________ Public housekeeping.13 Minors—all except public house keeping. Manufacturing— adults.1 Laundry—adults.1 1920 1921........................ Public housekeep ing.13 Telephone and tel egraph—adults.1 M er can til e — adults.1 1922........................ Minors (any occu pation other than public house keeping) . Hotel and restau rant.11 Telegraph and tele phone.12 All.4 MINIMUM-WAGE LAWS IN THE UNITED STATES Telephone and telegraph com panies, mercan tile establish ments, laundries, and factories. Over and under 3 years 3 and under 3H years 33^ and under 4 years 4 and under 4H years 4H and under 5 years 5 and under 5H years hl and under 6 A years 6 and under 7 years All4....... .............. - State and date of first action Telephone. Tobacco stem ming. in 1919, 5 apprenticeship circulars issued in 1914, 5 issued in 1918, and 4 issued in 1919. ii 2 decrees issued—1 for adults and 1 for minors. Set by wage board; time consumed estimated. 12 3 decrees issued—1 for adults and 2 for minors. Set by wage board; time consumed estimated. i« Wis^sin^hasIssued^T^crees fnVlL ^or 23 oAheS-^S Mnnfng, 1 beauty parlor, 1 attendants in sanitariums, 1 intermittent workers, and 1 home workers—length of time and course of action are unknown. TIME CONSUMED IN SETTING DECREES i Decree set by wage board. i^nform^tfo^fo^Jtf decrees not available64 T^eselnclude 4 telephone and telegraph decrees issued in 1915, 1 decree for minors issued in 1917, 1 telephone decree probably issued to o co 270 MINIMUM-WAGE LAWS IN THE UNITED STATES Eighty-eight full decrees and the printing and publishing industry in California, which was part of a manufacturing decree, took one or more years to be set. This meant that in 38.!) per cent of all full decrees ever issued more than a year was spent working on these problems. A small part of this time in every case was taken up by formalities required by the laws, such as allowing specified periods of time to elapse between certain acts. These necessary delays, how ever, could never occupy more than three months. The reasons for continued delay were not to be found in the laws’ requirements, but in the practical conditions the commissions had to meet. It has been said before that to get the law to functioning for the first time was difficult. In many States uncertainty as to the courts’ attitude toward the law caused the commissions to move very slowly in the early days. The delays due to causes other than legal questions, how ever, applied not only to the first decree issued in each State but to the original decree for any industrial group set at any time there after. Curiously enough there were just 88 original decrees issued, which 61 (69.3 per cent) took a year or more to be formulated. Of the decrees taking three years or more, all were original decrees. Length of time consumed in setting first decree in each State. I he majority of States consumed a year or more in setting the first decree. The following is a list of the States, with the name of the first decree and the. length of time consumed in setting this rate: State Arkansas____ California________ District of Columbia___ Kansas__________ Massachusetts___ Minnesota............. North Dakota_______ Oregon________ Texas______________ Washington... ______ Wisconsin___ Name of decree Mercantile establishments (Fort Smith) Printing and publishing______ Mercantile establishments.............. Brush..____ Mercantile, etc____ Public housekeeping................. ............ Manufacturing (adults in Portland)... Telephone, telegraph, etc............... Mercantile (adults)__ All............................ Time elapsing . 3 months and under. 2 and under 2K years. 6 and under 9 months. 2M and under 3 years. 1 and under IK years. Do. Do. Over 3 and under 6 months. Do. IK and under 2 years. 9 and under 12 months. Not reported. 5K ana under 6 years. Early in this report the time that elapsed between the date of the law’s enactment and the date on which a decree became effective was discussed, and these were the decrees considered. For such discussion it was possible to include a period of inaction between the date on which the law was passed and the date of the first specific act looking toward setting the decree, a delay that might have been due at least in part to the act’s not becoming effective for some time after it,s passage or to slow action in appointing the commission. All the present discussion is based on the time elapsing after the commission made some move toward setting a rate. Arkansas, the District of Columbia, Oregon, and Washington took less than a year. Massachusetts, Minnesota, North Dakota, and Texas took from one to two years. California and Kansas took from two to three years, and Wisconsin, though it had previously set a pea-can ning decree in a nominal period of time, took nearly six years for its first formal decree. Roughly, 75 per cent of these first decrees were one year or more in being set. 271 TIME CONSUMED IN SETTING DECREES In the case of reissued or supplementary decrees only 27, or 19.7 per cent, took over a year to set, so the proportion of decrees involving delay decreased steadily, showing a slight drop from the very first decree issued in each State to the original decrees in various in dustries, and a very large drop to the reissued or supplementary decrees. Some causes for these drops appear from State to State. The most important of these is the fact that, before first decrees could be set, certain questions as to the constitutionality of the laws and as to the interpretation of certain parts of the laws, granted their constitutionality, had to be settled. In other cases delay has been due to local causes. Discussion of causes of delay w hen decrees were a year or more in being set. The following statement shows the decrees that took a year or more to formulate. It enables the causes of delay to be discussed for each State. State Total................................................................................ .... Arkansas............................................ ......... District of Columbia___________________ Kansas____________________________________ ... Oregon__________ __________ __________________ Texas___ ____________________________________ _______ Decrees taking a Number year or more to set of decrees issued Number Fer cent 232 188 i 37.9 3 40 5 8 34 1 20. 0 13 44 1 45 27 1 12 11.1 1 The printing and publishing industry as part of a manufacturing decree in California also took more than 1 year to set. According to the commissions’ reports, the question of constitu tionality seriously retarded the work of setting the first decrees in California and Wisconsin. This delay was not caused by cases within these two States but by the suit brought against the Oregon Minimum Wage Commission to enjoin it from enforcing the decrees already established on the ground that the States had not the power under the Constitution to pass a law regulating wages anti thus destroying freedom of contract between employer and employee. In Oregon itself the enforcement of the law was not interfered with, since every State court that heard the case declared the law consti tutional. Nor did the Washington commission, which went ahead and set rates during the time that the Oregon case was in court, feel itself handicapped. It wuis not until 1916, however, that California felt secure enough to set its first decree. Though the Federal Su preme Court had not yet handed down a decision on the Oregon case, the enforcement of the California decree (fruit and vegetable can ning) was not questioned, the decree being based on an agreement between the canners of the State and the commission. Nevertheless, it took from two to four years more for California to cover all the other industries and occupations. Particularly in the case of the first 272 MINIMUM-WAGE LAWS IN THE UNITED STATES laundry, mercantile, and manufacturing orders was the progress very slow. Conferences would be held; then, after a considerable period of time, investigations of rates would be made. Two investigations were made in the fruit and vegetable canning and in the laundry industry before a decree was set. There were no unduly prolonged investi gations, no drawn-out wage-hoard sessions, but just weeks and months allowed to slip by after each reported act. In Wisconsin, after an investigation and the organization of a wage board, the whole mat ter was dropped for years. Even in 1917, when an evenly divided United States Supreme Court affirmed the decision of the Supreme Court of Oregon sustaining the constitutionality of the law of that State, the commission set a rate for only one small group, pea can neries. It was two years more, or nearly six years in all since their first act of investigation, before their first decree set through wageboard procedure, an all-industries decree, was completed. Later decrees in these States were not subjected to long delays without a special cause. Wisconsin never took more than a short period of time to set its later decrees. California in 1921 held a series of public hearings with the intent of revising all its decrees. This revision was not completed for over a year for mercantile es tablishments and for over two years in fish canning, manufacturing, laundry and dry cleaning, fruit and vegetable packing, unclassified occupations, and hotels and restaurants. Once again court action was responsible, though this time it was direct. An injunction was obtained against the first order issued as an aftermath of these 1921 public hearings. In studying the situation caused by this injunction it was discovered that the original public hearing had not been held exactly as required by law, so the commission had to start all over again. It was necessary for the commission to begin at the very first step and to reinvestigate as well as to hold a new series of public hearings. When at last all this ground had been gone over again, a long period of time had elapsed. The following dates for one California decree—the mercantile— show just where the time went. November 9, 1921: Conference to consider revising order. November 21, 1921: Public hearing. March, 1922: Pay-roll call to determine rates and earnings. December 14, 1922: Public hearing. December 27, 1922: Wage-board meeting. December 29, 1922: Decree announced. April 8, 1923: Decree effective. (Investigation.) Minnesota set about forming its earliest decrees in a leisurely fashion, taking about three and one-half months to investigate and about seven months for wage-board meetings, so that it worked on its first decrees for a little more than a year. As soon as these first de crees were issued an injunction was obtained forbidding their enforce ment. The result of this case was the opposite of the Oregon ac tion, because the lower court in Minnesota held the law unconstitu tional and enforcement of the decrees was impossible until this de cision was reversed by the supreme court of the State. Work on other decrees was resumed immediately, and in three months after the court’s final action orders were issued completing the work of bringing all women under some decree. The court action, however, TIME CONSUMED IN SETTING DECREES 273 had meant that almost five years elapsed before the commission com pleted the work it undertook immediately after the passage of the act. One other commission, that of Massachusetts, found itself delayed in its work by appeals to the courts. An action questioning the constitutionality of the minimum-wage act was started late in 1915 and not finally settled-until 1918, when the superior court of the State held the law constitutional. Work on some of the decrees went ahead uninterruptedly, but if any wage-board member cared to raise the question of constitutionality the commission was unable to force the work to go forward. Before the first candy decree and the first paper-box decree were issued finally, wage-board organization was held up for over three years, in each case because the employer members refused to serve until the question of the law’s constitu tionality was decided. When this point finally was decided so much time had elapsed that the work had to be done again, begin ning with a new investigation. In the remaining States, though there has been frequent recourse to court action, it has not taken such form as to delay the formation and issuance of decrees. Other causes of long delays in setting wage rates were long-drawnout wage-board procedure and wage-board awards which the com missions could not accept and which had to be recommitted either to the same wage board or to a new wage board for further considera tion. These cases have been discussed in detail in the section of this report in which the whole organization and work of the wage boards was under consideration. The statement following shows those de crees among the 88 that took a year or more to set where long-drawnout wage-board procedure was a contributing cause. Reasons for delay State First recommendation unsatisfactory Long session of wage board New board District of Columbia: 1920____________ Recommitted Laundry. Kansas: 1916.......................- Massachusetts: 1913......................... Laundry, first (4 to 5 months). Laundry, second (1 to V/^ years). Manufacturing (4 to 5 months). Mercantile (1 to 1^ years). Corset. 1914_______ _____ 1915.......................... 1916____________ 1917.................... 1919____________ 1920...................... 1921...................... 1925....... ................. Muslin under wear. OfTice-buil ding cleaners. Candy, first (9 to 10 months). Brush (5 to 6 months). Laundry (8 to 9 months). Retail stores (4 to 5 months). Knit goods (3 to 4 months). Women’s clothing (5 to 6 months). Men’s furnishings (3 to 4 months). Muslin underwear (7 to 8 months). Office-building cleaners (4 to 5 months). Minor lines of confectionery (7 to 8 months). Men’s furnishings (1 to V/v years). Brush, second (3 to 4 months). Stationery (3 to 4 months). 274 MINIMUM-WAGE LAWS IN THE UNITED STATES Reasons for delay—Continued State First recommendation unsatisfactory Long session of wage board New board Recommitted Minnesota: 1913......................... Washington: 1913.... ................ 1920 Wisconsin: 1913................ . Mercantile (6 to 7 months). Manufacturing (5 to 6 months). Laundry. Manufacturing. Laundry. All______ All (5 to 6 months). Of all the 88 decrees consuming a year or more, 72 involved wageboard procedure, but only 25 of these wage boards delayed the setting of the decree. Twenty-seven of the wage boards were held in California, North Dakota, and Oregon, three States which, with Texas as a fourth, never were delayed by prolonged wage-board action or inability to accept wage-board recommendations. Twelve other decrees based on wage-board action are found in Washington and the District of Columbia, where the commissions were obliged to refuse wage-board recommendations in four cases but where the wage boards held no unduly prolonged sessions. There remain Kansas, Massachusetts, Minnesota, and Wisconsin, where at least some part of the delay in setting rates was due to prolonged wage-board delibera tions. The table records only 25 cases where any delay in formulat ing decrees was caused by slow action or disagreement on the part of wage boards. If legal action of various sorts and slowness or disagreement among wage boards account for a considerable amount of delay in setting rates, these two causes are by no means responsible for all the lost time. A third and very common cause is slowness of action by the commissions. This is such an indefinite thing that it eludes analysis. It has been pointed out in California, for instance, that even after the legal doubts were settled, so that a fruit-and-vegetable-canning decree had been set, action on the remaining original decrees con sumed over a year, though the commission had had four years in which to make any necessary investigations. In Massachusetts the time allowed to elapse between the investigation and the calling of a wage board often was very great. In 20 of the 34 Massachusetts decrees discussed in this report, from six months to three and onehalf years elapsed between these two acts. In the case of stationery goods five years elapsed between the investigation and the holding of a wage board. In Kansas, Oregon, and Washington similar delays occurred for a few decrees in each State. Moreover, though the laws usually required only a 60-day interval between the issuance of the decree and the date on which it became effective, additional time was lost in all the States by allowing more than this period to elapse. TIME CONSUMED IN SETTING DECREES 275 The reasons for these delays rarely are given. In four Massachu setts decrees—knit goods, muslin underwear, wholesale millinery, and office-building cleaners—the figures shown by the first investigations were not considered sufficient for a variety of reasons, and further investigation was undertaken before a wage board was called. One of these additional investigations was due to a change in the per sonnel of the commission; another included a somewhat more limited group of workers than the first, in an effort to get the facts about the lowest-paid women in the occupation. The long delays in setting the latest manufacturing and laundry decrees in Washington were due to the resignation of the entire membership of the commission and a reorganization of the whole administrative agency. Undoubtedly, reasons for other delays were distributed among widely varied causes. The causes were purely local also. Some of them may have been unavoidable, but when long periods of inaction occur it looks as if the commissions had failed to recognize how important it wras to keep steadily at work on the decrees. Even a few weeks’ delay between steps soon counted up, causing considerable postponement of the actual carrying out of the law. The commissions should exert every effort to push through decrees with all reasonable speed, and they could compensate in some degree for the time necessarily spent on investigations and wage-board meetings by making sure that just as soon as one step toward a decree is finished the next step follows immediately. CHAPTER XII.—ENFORCEMENT OF DECREES No attempt has been made to judge whether any one State enforced its decrees well or ill. It may be possible to gain some idea by notic ing the size of the appropriation and statf available in relation to the size of the State and the number of women covered by the decrees. The care with which the decrees were drawn up, the powers and penalties in the laws themselves, all show whether or not the executive officer was so equipped that she could hope to enforce the law. The actual pay-roll inspections necessary to say authoritatively whether or not the decrees were being 100 per cent enforced ob viously are not within the province of a Federal bureau. In a later section of this report, where the States’ own figures on rates and earnings are reproduced, a good idea may be gained of some general results—results that could not have been obtained if the law had been allowed to become a dead letter. The purpose here is to show the powers and penalties in the law and to illustrate methods of enforcement. POWERS OF ENFORCEMENT AND PENALTIES FOR VIOLATIONS Most of the States specify that the commissions administering the laws are to enforce them also, but strangely enough the laws in Arkansas, Colorado, and Washington do not say that general en forcement is a duty of the minimum-wage commission. Originally the California law did not designate the agency that was required to enforce the law, but in 1919 an amendment specified that the in dustrial welfare commission was to assume this duty. California, Colorado (1917), Texas, Washington, and Wisconsin require the commissions to enforce the law whenever they receive a complaint that it is being violated. In practice all the commissions that have entered wage decrees have assumed that they were responsible for the enforcement of these decrees, and have worked out a plan of en forcement through pay-roll inspection. To aid the commissions in the routine of enforcement the laws, in addition to general grants, such as the authority “ to take all pro ceedings necessary to enforce the payment of a wage not less than a living wage,” 1 have mentioned specifically certain powers that the commissions might exercise. In all the States except Massachusetts and Nebraska the purpose of these grants of power is the absolute enforcement of all rates. In Massachusetts and Nebraska the pur pose is the giving of publicity to the names of all persons who do not obey the decrees. In the first place the commissions are given power to issue licenses to certain groups of workers who need not be paid the experienced rate. The records of these special cases enable inspectors to know those persons who legally are receiving less than the minimum. The statement following shows the exact groups for which each State may issue special licenses, setting forth a rate, below the experienced minimum, -which it is legal to pay the licensee. 1 Wisconsin law. 276 ENFORCEMENT OF DECREES 277 Power to issue licenses to— State Physically defective California. ________ Colorado1913__________ . 1917____________ District of Columbia. Kansas (1915) ............. Massachusetts______ Minnesota_________ Nebraska__________ North Dakota______ Oregon_____________ Texas............................ Washington________ Wisconsin__________ Learners and ap prentices X Any per* son unable to earn the minimum1 X X X X X X X X X X X X Minors X X X X 1 See text following. If the phrase found in the Wisconsin law “unable to earn the living wage is interpreted to mean those sjiecial cases where age or mnimity handicaps a worker, all the laws except the one in Texas have provided for special licenses for the substandard worker. Texas has provided for issuing a license for anyone to work for less than the minimum if the case is believed to deserve special treatment. This then, is the only one of these groups where all the legislatures have either directly or indirectly provided for special licenses. Some few States have thought apprentices might need this sort of treatment and Kansas has included minors. Since the general powers of the commissions are such that most of them could institute a licensing system if they so desired, these specific grants may? seem unimportant. Minnesota, without any? definite grant of power, did institute a system of issuing learners’ certificates. On the other hand, Massachusetts, where there was no specific mention of apprentice or learner licenses, at one time felt the need of some such specific grant of power In one of the commission’s reports it is stated that, “ The experience of the commission m enforcing its determinations * * * has shown the necessity of legislation enabling the commission to issue special licenses to learners or apprentices.” 2 This brings out once again that minimum-wage laws are still in the experimental stage. It is extremely difficult to discuss the exact powers of these commissions when the laws themselves have been interpreted so differently from State to ‘State. On the whole, all the commissions and their State legal advisers generally have interpreted the laws to include all the implied powers necessary to carry out the law. Massachusetts alone has eonsideied that the commission had no general poiver of carrying out the law? but had only those specific powers set down in the law. I his has resulted m the frequent amendment of the Massachusetts law, as experience show?ed the commission’s need of specific powers. Use of Special licenses in enforcing the law. As is the case in discussing, most of the problems of enforcement material on the actual number of licenses issued often was difficult to obtain. Seven States—California, the District of Columbia, Kansas 2 Massachusetts Minimum-Wage Commission. Fifth annual report, 1918, p. 40 278 MINIMUM-WAGE LAWS IN THE UNITED STATES Massachusetts, Minnesota, Washington, and Wisconsin—have issued special licenses to substandard workers. California, Minnesota, Washington, and the District of Columbia have issued special licenses to apprentices. Every commission issued special licenses to substand ard workers only after an investigation of each case, setting a special rate in each license. The following table show's the number of special licenses on record in California, the District of Columbia, and Massa chusetts, by year and industry. In addition, Kansas reports one special license in manufacturing in 1924, Minnesota reports 6 in all industries from 1921 to 1924, and Washington reports about 50 in all industries from 1914 to 1921. No numbers are available in Wisconsin. 53.—Number of permits issued to substandard workers—California, the District of Columbia, and Massachusetts—by industry or occupation and year CALIFORNIA Hotel and restau rant Office Fish packing Fish canning Sorting and pack ing nuts 105 41 493 1,669 22 10 6 1 1 41 11 62 43 28 13 336 157 814 855 18 4 6 4 5 1 1 186 186 6 6 24 24 1 1 155 155 395 10 16 7 117 231 9 1 4 346 49 8 2 12 4 7 74 43 231 9 1 4 360 10 16 6 51 270 3 2 2 191 169 9 7 9 3 3 10 41 156 114 3 2 1 1 444 9 18 7 61 345 2 2 222 222 7 2 9 9 3 4 31 30 169 176 2 1 1 430 7 ■ 4 3 18 3 82 314 3 3 189 241 9 9 2 1 58 24 113 201 1 2 2 1 318 5 7 9 26 264 4 1 94 224 5 7 6 3 8 18 71 193 3 1 1 267 5 6 8 1 245 1 1 3 1 5 6 2 1 74 171 1 1 Unclassified M anufacturing Laundry 52 Total table packing M ercantile 2,400 1,311 N«w Renewals______________ _______ 1,089 Year F ruit and vege All industries Table 1 3918 New--------------------------------------1919 New 1920 New 1921 Maw 1922 New Renewals....................................... 1923 New 1 1 1 1 1924 New 83 184 J - 279 ENFORCEMENT OE DECREES Table 53.—Number of permits issued, to substandard workers—California, the District of Columbia, and Masssachusetts—by industry or occupation and year—Continued DISTRICT OF COLUMBIA All indus tries Total................................................. 1919_________________ 1920........ .................. ........... 1921______________________ 1922_____________ Mercantile Printing and publishing 87 65 5 17 23 Year 6 1 16 6 Hotel and restaurant 1 . MASSACHUSETTS Total__ 122 In California and the District of Columbia these tables represent every woman whom the commissions have allowed to work for less than the minimum. In Massachusetts, however, the inspectors often allowed women who were special license types to work for a sum a little below the minimum rate without requiring them to obtain licenses. Only cases that were clearly substandard were treated in this way. Any borderline cases, or cases where the inspector and employer could not agree as to pay, were required to obtain a permit from the enforcing officer. This means that in Massachusetts several times as many women were receiving rates granted to substandard workers as are shown by the table. Even granting that perhaps 600 or 700 women are rated as substandard workers in Massachusetts, this is an extremely small proportion of all the women covered by the decrees. In the District of Columbia four years of minimumwage experience resulted in only 87 special licenses. In California the numbers run larger for two reasons: the much greater number of women included in the decrees and the fact that the licenses in California have to be renewed every six months. The total of new licenses is only 1,311 for seven years. Though this material, when all the States are considered, is so incomplete, it is probably true that the commissions have used this provision in the laws often enough to show that they recognized its importance but have not granted 60709°—28----- 19 280 MINIMUM-WAGE LAWS IN THE UNITED STATES licenses in such a wholesale way as to exclude large numbers of women from the benefits of the law. Though the decrees have devoted so much time and attention to the treatment of apprentices, the commissions in most of the States have not worked out any special method of checking up these workers. In California, the District of Columbia, Minnesota, and Washington a system of issuing special licenses, on application from employer or employee, has been developed. This system as developed by Cali fornia will be described in detail, as illustrating how one State arranged for the enforcement of these clauses in, the decrees. At this point it is interesting, however, to try to determine how largely these provisions have been taken advantage of by the employers. Any such discussion narrows down to the records available in California and the District of Columbia. Not only are there no figures available for Minnesota, but the industrial commission states that “ the commission decided to discontinue the practice of issuing apprentice certificates, due to the fact that they were issued mechanically in the office with out any accurate knowledge being available as to the actual past experience of the employee involved and the further fact that there is no provision of law authorizing or requiring such practice.”3 In Washington the figures are fragmentary, covering scattered periods of time. Moreover, in the last period for which some figures are available the report shows 1,146 apprentices in manufacturing for the year ending in 1923, but lists licenses separately, with none for manu facturing. The report does not explain the discrepancy, but this omission indicates that Washington is no longer licensing all appren tices. The situation probably is explained by a statement that a large telephone company has been permitted by the industrial welfare com mittee to report each month the number of apprentices and minors in its employ instead of taking out a permit for each individual.4 The Washington figures are shown in the following tables, as are the figures from California and the District of Columbia. California has issued 26,223 licenses in seven years of minimumwage experience. The numbers issued reached a peak in late 1919 and were less than one-third as great in the last year reported (1923). Although the District of Columbia law was in force over only four years, the number of licenses also had dropped far below the peak year of 1920 when the law was declared unconstitutional in 1923. Later in this report an analysis of these figures in relation to the time that various decrees went into effect shows that a decree in a new field or a substantial raise in rates in an old one probably was to be followed by an increase in the number of apprentice licenses applied for, but that as an industry grew accustomed to working on the wage basis set forth in the decree, smaller numbers of apprentice licenses were requested. 3 Minnesota Industrial Commission. Second biennial report, 1923-24, pp. 109-110. * Washington. Department of Labor and Industries. Second report, 1922-23, pp. 116 and 117. ENFORCEMENT OF DECREES 281 Table 54.—Number of apprentices’’ licenses issued—California, the District of Columbia, and Washington—by mdustry and year A. CALIFORNIA AND DISTRICT OF COLUMBIA All industries Year California Total.................. 26, 223 1917.... 1918______ __________ 1919 1 __ 4,037 1,303 1,901 6,876 4,311 2,813 2,969 2,013 1920___ 1921..................... ........... 1922............................... 1923... Laundry Manufacturing Mercantile District District District District California California California of of of of Columbia Columbia Columbia Columbia 6,294 985 2,304 1,621 1,384 3,985 1,828 792 177 327 373 166 143 179 81 9,905 2,209 511 41 40 3,492 1,598 903 701 491 6,038 12,333 975 1,724 3, 057 2,340 1,744 2,125 1,343 2,195 1,553 1,315 175 210 _ 2109 2 27 2 29 B. WASHINGTON Tele phone June 27,1914, to Dec. 1,1916 Aug. 13,1919, to Aug. 13, 1920 ... June 30,1922, to June 30, 1923 All in dustries Box making Factory Laundry Mercan tile 10,824 Year 48 4,148 503 2,650 68 3,395 7,997 48 2,731 503 2,393 41 20 1,106 7 Tele graph 2,281 169 8 2, 724 103 1,417 88 Office 12 12 11919 was kept as 2 separate time periods, due to change in minimum rates in this year. 2 Printing and publishing only. Provisions for posting and penalties for noncompliances found in the laws. One other important aid to enforcement is in every law: The employer who is affected by any decree must post a copy of the decree” in his place of business. The purpose of this, of course, is to familiarize the employees with the decree so that they will know their rights and will report violations to the commission. In addi tion, the Massachusetts commission may require the employer to post notices of public hearings and the nominations for wage boards. These requirements are of no value unless the law provides ade quate penalties for noncompliance. Every law has carried some sort of penalties, but, as the following table shows, these have varied in kind and in the completeness with which they back up the require ments set forth in the law. 282 Table 55.—Legal remedies provided for noncompliance with various phases of the laws, by State Provisions covering— Penalties for major violations Type of offense Mini mum Maxi mum Violating any provisions of this act. $25 $100 Misdemeanors: Pay ment of less than minimum wage (1913). Violating any provi sions of this act or of any order (1915). Misdemeanor: Paying less than minimum or violating any other provision. 50 Misdemeanor: Pay ment of less than mini mum wage. 25 100 Misdemeanor: Viola tion of any provision of the act. 25 100 25 5 100 50 Remarks 100 Viola District of Columbia.. Misdemeanor: tion of the act. Mini mum Fine and im prisonment Misdemeanors: Refus ing to keep register of hours and wages or refusal to allow inspec tions (1919). Maximum Each day of noncompliance a separate offense. 30 days.. May be both Each offense a misdemeanor. 100 10 days.. Recovery of wages do_____ Each such offense a misdemeanor. Discrimination against em ployee who gives testi mony Civil action by employee may recover full amount plus cost. Discharge or threatened discharge a misdemeanor, Civil action by em ployee may recover full amount plus costs and lawyer’s fees allowed by court. Civil action by em ployee may recover full amount plus costs of suit. Civil action by em ployee may recover full amount plus attorney’s fees al lowed by court. Civil action by em ployee may recover full amount plus costs and lawyer’s fees allowed by court. Discharge or threatened dis charge a misdemeanor. Fine of $25 on conviction* Discharge or threatened dis charge a misdemeanor. Fines $200 minimum,$1,000 maximum, on conviction. Discharge or discrimination a misdemeanor. Fines $25 minimum, $100 maximum, on conviction. Discharge or discrimination a misdemeanor. Fines $25 minimum, $100 maximum. Discharge or discrimination a misdemeanor; $25 fine (1912). Fines $200 mini mum, $1,000 maximum, for each offense, on convic tion (1913). MINIMUM-WAGE LAWS IN THE UNITED STATES Imprisonment Fine State Minnesota Refusal to post no tices of hearings, nominations for wage boards, or decrees (1919). Newspaper refusing to publish names of violators (1912).i do....... ......................... Oregon. Texas.. 100 10 ___ do__________ _____ _ Misdemeanor: Paying less than minimum. Nebraska. Washington. Wisconsin (1913) do Violating any order or failing or refusing to perform any duty. _do_ 10 days.. 60 days.. 100 25 Each offense misdemeanor. 3 months. _ May be both 100 --.do_-100 25 100 i 10 days. 3 months. 30 days... Civil action by em ployee may recover full amount plus attorney’s fees al lowed by court, do Civil action by em ployee may recover full amount plus costs and attorney’s fees set by court. .do. _do. 100 100 Civil action by em ployee may recover full amount plus costs and attorney’s fees allowed by court. Each day during which less than the minimum is paid a separate offense. Every day of noncom pliance a sepa rate offense. Civil action by em ployee may recover full amount plus costs and attorney’s fees allowed by court. Unlawful to discharge or discriminate. Discharge or discrimination a misdemeanor. Fine of $25 on conviction. Discharge or discrimination a misdemeanor. Fines $25 minimum, $100 maximum, on conviction. Do. Discharge or threat of dis charge or discrimination a misdemeanor. Fines $10 minimum, $100 maximum, imprisonment for not more than 30 days, or both fine and imprisonment, on con viction. Discharge or discrimination a misdemeanor. Fines $25 minimum, $100 maximum, on conviction, for each mis demeanor. ENFORCEMENT OF DECREES North Dakota. Misdemeanor: Newspa per refusing to pub lish names of violators Misdemeanor: Violating any of the provisions specified. _do_ Discharge or threatened dis charge or discrimination a misdemeanor. Fine of $25 for each offense on. convic tion. 1 Declared unconstitutional by Massachusetts Supreme Judicial Court, 1924. to GO CO 284 MINIMUM-WAGE LAWS IN THE UNITED STATES Colorado (1917), Texas, Washington, and California before the law was amended in 1915, provided penalties for two offenses, “ pay ment of less than the minimum wage ” and “ discrimination against an employee for giving testimony.” Seven laws—Arkansas, Colo rado (1913), District of Columbia, Kansas, Minnesota, North Dakota, and Oregon—-have provided penalties for violating any provisions of the minimum-wage act. California (1915) and Wisconsin have provided penalties for any violation of the act or orders. In the States in the two latter groups most of the laws also have included penalties for discriminating against an employee who gives testi mony. The importance attached by the legislatures to discrimina tions against such employees is interesting and necessary. It was thought that the whole basis of wage-board structure would fall down if employees could be intimidated so that they dare not serve. Also the commissions depended on complaints to aid them in enforce ment. As far as the general penalties for noncompliance with the legal provisions are concerned, the laws that provide penalties only for failure to pay the minimum rate fall far short of covering all possible important violations. Massachusetts, for instance, though there is no penalty other than publicity for failure to pay the actual minimum rate, has numerous compulsory features to its law that seemingly are lacking in these laws that make the payment of the minimum wage mandatory. If the Washington law were interpreted literally it would seem to be just the reverse of the Massachusetts situation—a penalty for actual nonpayment of an established rate but no penalties for any of the many cases where refusal to work with the commission would make administration and enforcement almost impossible. Obviously the third form—a penalty for any violation of the law or of the orders—is the clearest, the most inclu sive, and therefore, from the commission’s viewpoint, the safest. The actual fines and terms of imprisonment provided in these laws vary considerably. In Colorado (1917) and Massachusetts the fines for discriminating against an employee who testifies run very much higher than any other penalties in the law—$200 to $1,000 in each State. Moreover, Massachusetts seemed to feel the need of this very high penalty, for its original law carried only a $25 fine, which was raised to the larger amounts in an amendment. For other offenses $100 is the maximum fine in most cases. Imprisonment for violation of this law is possible in seven States—California, Colo rado, the District of Columbia, Minnesota, North Dakota, Oregon, and Texas. In all these States except Minnesota such imprisonment may be in addition to the fine. Finally, most of the States provide that an employee who has not received the minimum rate may sue to obtain the back pay due to her. The laws aim to make this possible for women of no financial means by assessing all the costs of the suit, even to lawyers’ fees in some States, against the employer who has violated the law. This discussion of penalties is presented only in an effort to show the obvious teeth in the minimum-wage law. No study has been made of how far the courts were willing to go in enforcing the laws. 285 ENFOBCEMENT OF DECKEES RECORDS OF VIOLATIONS, PENALTIES, AND BACK PAY COLLECTED In enforcing the laws the commissions have relied much more on gaining compliance through setting rates that would command gen eral support from the employers than on forcing obedience through widespread prosecution of noncompliance. When cases of noncom pliance have been found, every etfort has been made to adjust these cases informally between the employer and the commission’s agents. The result of this has been that the executive office, in all States pressed for time, has made no great etfort to keep detailed records of violations and prosecutions, and has been only a little more concerned with keeping records of back pay collected. For the purpose of this study every effort has been made to collect all the material printed in the reports of the commissions and each executive office has been asked to complete the following table from unpublished material in its files, but the result of this search has been fragmentary data indeed. The table shows all available figures on violations, penalties, and back pay collected. Table 56.—Violations, prosecutions, and cases of back pay collected, by State, industry, and year (From published and unpublished records of the minimum-wage commissions) CALIFORNIA Back pay col lected (with or without prosecutions) Industry Year 1918-1920............. ........................................... .................. 1920-1922_ _ 1922-1924_ _ 1 $230,000.00 1 257,043.00 20,656.86 DISTRICT OF COLUMBIA Year Industry Prosecu tions-Number of estab lish ments affected Back pay collected (with or without prosecutions) Amount Number Number of estab of lish workers ments affected affected 316 122 34 2 14 66 2 54 2 8, 589.74 99 341 68 3 28 116 7 218 2,427. 21 75 125 1,724.14 146. 70 556. 37 1922............................... 3 50 4, 266. 58 65.10 2 4,258.06 1921........................... . 3 $2, 962. 98 1, 539. 54 25. 66 1,397. 78 1920............................... 50 5 20 79 6 40 1 Part of this sum represents the adjustments paid as a result of the canning audit. The 1918-1920 can ning audit was $200,000; the 1920-1922 canning audit was $223,299.07. 2 Excludes $458.60 collected by two employees in a restaurant in a civil suit. 3 These cases were filed but never brought to trial owing to the adverse decision on the constitutionality of the law. 286 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 56.—Violations, prosecutions, and cases of back pay collected, by State, industry, and year—Continued KANSAS Back pay collected (with or without prosecutions) Complaints Year Industry Number Number of estab of indi lish viduals ments affected affected 1922.................... _ 24 Number of estab Number of lish workers ments affected affected $1, 570. 67 24 193 10.00 1 1 69 124 1 1 1923....................... 1924___________ 193 4 20 Amount 3 2 MINNESOTA Back pay collected (with or without prosecutions) Prosecutions Year Industry Number Number of estab of work lishments ers affected affected 1919-1921 2 1921-1922........ . 1922-1924..... 1924___________ 3 1 1 Amount Number Number of estab of work lishments ers affected affected $18,382. 21 1 2 1,859. 76 30. 315. 28 « 4, 702. 28 41 i 663 36 126 66 1,961 298 NORTH DAKOTA Prosecutions Year Industry Number Number of estab of work lishments ers affected affected 1922-1924_________________ 1 6 OREGON Back pay collected (with or without prosecutions) Complaints Year Industry Number of estab lishments affected 1918-1920 1920-1922...................... Number of indi viduals affected 22 $1,370. 94 101 * Case dropped. Amount 5 6 months only. Number of estab lishments affected 17 38 ENFORCEMENT OF DECREES 287 56.—Violations, prosecutions, and cases of back pay collected, by State, industry, and year—Continued Table WASHINGTON Year Prosecu tions, number of work ers affected Industry 1914-1916—................. 10 Laundry.................. __ Hotel and restaurant. _. Mercantile.. ............... . Manufacturing___ _________ Office_____________ Telephone and telegraph............... . 3 3 3 1 1916-1918..................... Laundry. ........ .......... Hair dressing____________ Office__________ Mercantile........ ............ . Manufacturing___ Telephone and telegraph.............. 1918-1920_____ _____ All industries........... .......... Laundry________ ______ Hair dressing. ______ Office... _ _____ Mercantile............... .......... Manufacturing_______ Telephone and telegraph_________ 1920-1922................ All industries____________ 1922-1924....... .............. ____do______ ______ 1924........................... ........do.._________ _____ Back pay collected (with or withot t prosecut Ions) Amount Number Number of estab of work lishments ers affected affected $6, 686. 79 78. 96 578. 72 2,813.64 1, 587. 38 1,414. 75 213. 34 224 7 32 102 58 20 5 11,046.24 139.25 719. 97 1, 428. 62 4, 339. 53 2,988.00 1,430.87 209 8 17 21 105 46 12 463 12 26 25 131 245 24 5, 251.34 71.18 523.43 560.91 1, 541. 73 2, 298. 38 255. 71 175 7 24 21 66 49 8 253 11 29 27 76 92 18 4,179! 47 522 131 WISCONSIN Year Industry Back pay collected (with or without prosecutions) Amount 1918-1920. Number of workers affected 1,716 5, 564. 76 22, 439. 23 1,284. 63 1,442 206 All industries___ 10, 483.14 498 2,397. 74 4,892.11 439. 63 772.00 115. 45 933. 29 92. 86 476. 57 274. 62 88.87 106 141 19 43 28 134 4 All industries___ 14,979.17 753 Tobacco stemming........ Miscellaneous________ Mercantile___________ Hotel and restaurant... Manufacturing 6______ Textile and knitting. Candy_____________ Shoes______________ Printing and binding Drug stores...... .............. Laundry........ ................. 1922-1924. $29, 288. 62 Miscellaneous................. Mercantile___________ Hotel and restaurant... Manufacturing 6______ Textile and knitting. Candy......................... Shoes___ ___________ Printing and binding. Drug stores................... Laundry_____________ 1920-1922. All industries Tobacco stemming. Telephone_______ Miscellaneous____ 7 3,002. 50 7 371 814 • Other than those branches following. « 476.15 5,485. 43 1, 531. 45 2,053. 77 734. 53 209. 90 618. 40 548. 84 237. 19 81.01 7 Not complete; estimate. 68 8 6 9 143 22 101 . e Contains telephone. 52 4 32 9 2 3 288 MINIMUM-WAGE LAWS IN THE UNITED STATES Even with the knowledge that in relatively feiv violations was there a resort to prosecution in order to gain compliance, this record seems very meager. However, it does show considerable sums of money collected for the women who had been working for less than the minimum. Very evidently it is no guide in trying to judge the quality of minimum-wage enforcement. EXAMPLES OF METHODS OF ENFORCEMENT If there is no available material on which a dependable estimate of enforcement can be based, the most valuable discussion of this subject would seem to be from the viewpoint of the methods used. The methods of each State are not discussed in detail, for, though there is wide variety in the forms used and in the details of procedure, there are no striking differences in fundamentals. Such differences as occur seem largely traceable either to chance—whereby a similar end is sought, though the exact wording of the forms used to gain this end may vary—or to the fact that lack of funds has prevented some commissions from developing the mechanics of enforcement with the same detail as have other commissions better financed. Since an analysis of the forms and methods of each State would involve reproducing a great mass of material whose differences are not signifi cant, California and Massachusetts have been selected as illustrating the enforcement of the mandatory and nonmandatory types of laws. Among the States with mandatory laws, California has been chosen because it has developed a method of enforcing apprenticeship rules and a method of applying the minimum-wage rates to piece workers in more detail than have the other States, because it has as complete a system of records and forms as has any other State, and because material on all these points is more available and more complete than in any other State. Forms used in enforcing decrees in California. California uses three methods to discover noncompliances: The commission agents investigate all complaints; they go regularly from place to place throughout the State inspecting pay rolls; they require all employers to submit complete pay-roll data on request from the commission. The first two of these methods have been in general use throughout the minimum-wage States; the third method has been used to some extent in Minnesota and Wisconsin, but nowhere else has it been developed as such an integral part of enforcement as in California. The complaints form the smallest part of this check and can be quickly discussed. If any woman comes to the commission’s office to make a complaint, her information is recorded on a regular printed form, with these headings: Date; order number; against; complain ant; and statement. On the other side of the card is room for the report of the inspector who follows up the case and the record of its final disposition. Such records are kept in the office on file by years as a detailed record of complaints. In addition, a record is kept which sums up all complaints received during a given year, with these headings: Name; male or female; age; length of time in establish ment; number of hours worked; amount earned; and number of learner’s certificate. The record of the complaints handled by an ENFORCE ME N'T OF DECREES 289 individual agent is on her monthly reports. The office thus has at any one time a complete record of the complaint and how it was handled, and a summary of the important facts involved in all complaints received during the year. The second method of checking on compliance is the one usually thought of as most reliable, and it has been used in each State, so far as the size of the executive’s staff allowed, as the main method of gaining compliance. The commission’s agents visit a factory, go over the pay roll, and note any infractions of the law. In California the field agents usually work according to industry, except in the case of very small towns where one agent may cover all establishments. When the appropriation is adequate, the work is divided into (1) manufacturing, (2) mercantile, (3) laundry, and (4) the canning industry, with an agent in charge of each division. Office workers are covered by the agent for the particular industry where they are employed. The inspectors hand in a report on each establishment visited. The following is the form used. Investigator. Date. Name of firm. Address. Superintendent. Person interviewed. Number of females employed. Number of experienced females. Number of female learners. Limitation of apprentices observed. Employees paid in accordance with ex perience. . Number of males employed. Number of male learners. Names of employees on record. Addresses of employees on record. Minors marked. Record of hours kept. Pay-roll inspection made. Registration for all learners on file. Part-time workers registered. Part-time rates paid. Special workers employed. Legal rate paid special workers. Increased hourly rate for short week. Orders posted. Standard week (hours). Permits for elderly and infirm. Does this firm do welfare -work. Deductions made for absences. Pay for holidays. Sanitary inspection made. The main interest of this schedule is the number of points on which a report is made. It reflects the fact that the California decrees specify in detail how all sort of situations encountered in applying the decrees must be met. In such items as “ part-time workers registered ” the schedule covers a field not touched by the report sheets used in the other States. While it gives a very complete picture as far as the inclusion of all items is concerned, it provides no space for detailed records of violations. The various firms have to keep very excellent records to supply the information demanded. To supplement this schedule an adjustment notice is used. On this form the agent writes out the exact changes that are necessary if a given firm is to comply with the law and specifies the date by which such adjustments must be completed. One copy is left with the employer, one the agent keeps. On her return to the office the agent confirms, by letter, the adjustments required. The inspection divi sion then follows up the particular firm until compliance is gained. The final form used in connection with these general inspections is the agent’s monthly report, drawn up under these headings: Firm name and address; date; order; reason, whether complaint or routine; type, whether pay roll, sanitary, or reinspection; time required; and calls. 290 MINIMUM-WAGE LAWS IN THE UNITED STATES The third check on compliance, the calling for certified pay rolls, has been used systematically in California only. It was not so abso lutely reliable as first-hand investigation of pay rolls by the com missions’ agents, which Massachusetts in particular used extensively, but it offered a means of conducting a State-wide survey of all workers, whereas the time required for the agents’ inspection of all pay rolls would make it impossible to carry on the routine work of the office and make personal inspection of all pay rolls. As soon as California had set decrees for large groups of women in manu facturing, mercantile, and laundry occupations, requests were sent to all employers in these industries to submit two complete pay rolls for all women and minor employees—one for a date prior to the date on which the minimum-wage decree became effective, the other after it went into force. Periodically thereafter similar calls were issued, so that the commission has secured figures on rates and earn ings for a period preceding, and a period following, each decree. To secure uniform reports the commission has sent out forms for the pay-roll material. The forms following were those in use in 1924, substantially the same as those used in all pay-roll calls, though in the later forms increased efforts have been made to get all the facts on hours of work so that rates and earnings could be studied in their proper setting. 291 ENFORCEMENT OF DECREES PAY-ROLL REPORT OF WOMEN AND MINORS (Bo not report males over 18 years) Sheet No. Firm name__ Street address City-------------- Industrial Welfare Commission, State of California, Flood Building, 870 Market Street, San Francisco; 931 Pacific Finance Building, Los Angeles. Office department General mercantile Number of experienced females Number of female learners Number of experienced females. Number of female learners____ Restaurant and fountain Millinery workroom Number of female employees Number of experienced females. Number of apprentices_______ Total number of females employed___ In “ Classification ” column, mark adult part-time workers “A Pt.”; adult special workers “A Sp.”; minor part-time workers “ M Pt.”; minor special workers “ M Sp.” ; office workers “ O ” ; millinery workroom employees “ M ” ; restaurant and fountain workers “ R ”; elevator operators “ E ”; errand boys “ Errand.” Employees names (give name in full) Classifica tion Rate of pay $ Number of days worked Salary $ Commissions and P. M.’s $ Total salary $ How many hours per day are women and minors regularly employed in this establishment 7 Answerhours. IIow many days per week are women and minors regularly employed in this establishment 7 Answerdays. ----------------------, the undersigned, hereby certify the foregoing to be a lull, true, and correct pay-roll report of all women and minors employed by this firm for the week ending (Firm name) _ ____ By-------------------------------- Manager or superintendent. 292 MINIMUM-WAGE LAWS IN THE UNITED STATES PAY-ROLL REPORT OF WOMEN AND MINORS 1 For week ending. Sheet No.___ (Do not list names of males over 18 years) Firm name_______________ Street addressCity. Industrial Welfare Commission. State of California; 328 Flood Building, 870 Market Street, San Francisco; 931 Pacific Finance Building, Los Angeles. Factory Number of experienced fe males Number of female learners__ Office department Number of experienced fe males___________ Number of female learners__ Total number of females em ployed Number of male learners Total number of adult male employees Rate of Hours worked Employee’s name—Mark during week male minors “M”, female Kind pay of minors “F”, office employ of work time work ees “0”. Time Piece ers Earnings for week Bonus Time Piece Total earn ings Re marks ----------------------------, the undersigned, hereby certify the foregoing to be a full, true, and correct pay-roll report of all women and minors employed by this firm for the week ending (Firm name) By Manager or superintendent. 1 Fo{, manufacturing industry. In 1919, form used carried two sections, one for the $13.50 wage rate and one for pay roll after this decree went into effect. In 19.20, 1922, and 1923 a pay roll only for a date following a decree was requested. 293 ENFORCEMENT OF DECREES The laundry pay-roll form is not reproduced because it so nearly agrees with that of the factory. Only the items “ kind of work,” “ bonus,” and “ remarks ” on the factory form as reproduced here are omitted from the laundry form. To make perfectly clear what information was required, a letter of explanation accompanied each pay-roll form. The one used for mercantile stores in 1923 is given here. It is typical of all. Industrial Welfare Commission of the State of California To the mercantile industry: Inasmuch as the industrial welfare commission has had no general pay-roll report of women and minors employed in the various industries of the State since March, 1922, this department deems it necessary at this time to call for complete puy-roll reports from all industries. For the purpose of compiling statistics, it is necessary to secure this information for the same period for all establishments. You are requested to fill out the inclosed pay-roll report blank, giving the names, kind of work performed, rate of pay, days worked, and actual earnings of all women and minors in your employ during the week ending May 19, or the half month ending May 15, or the month of May, 1923. Do not give the names of any males over the age of 18. This report is to be filed with the commission at its office, 328 Flood Building, not later than June 15, 1923. Be sure the report is signed by the manager or superintendent. You should have in your possession blue certificates issued by this commis sion for each woman and minor in your employ whose rate of pay is less than $10 a week. If you have not, applications for certificates should be filled out jointly by you and all such learners and sent in with the pay-roll report— brown application forms for office learners and white applications for general mercantile learners. If an employee receives any meals, please state how many meals a week and which meals (breakfast, lunch, or dinner). In the column headed “ Commissions or P. Ms.” give the exact amount for the period covered by the pay-roll report. In the case of employees earning over $130 a month, or $30 a week, it is not necessary to state the exact salary received. You may enter the state ment “ over $130 a month.” The commission will be glad to give any further information you may require as to the proper manner of making this report. We appreciate the work that this request entails, and are very grateful for your continued cooperation. Yours very truly, Industrial Welfare Commission, State of California. Katherine Philips Edson, Executive Commissioner. About three weeks usually was allowed for getting in pay rolls. At the end of this time foliow-up letters were sent. The pay rolls as they were received were checked for noncompliances. Any rate which fell below the minimum was checked with the file of per mits allowing apprentices or infirm workers to work for lower rates. If the person who was paid this lower rate was not found to have one of these two kinds of permits, the case was listed as a non compliance and was taken up with the employer for adjustment. Thus, through investigation of all compiaints, through constant visits, even if limited in number, of the agents, and through allinclusive, if occasional, pay-roll calls, the California commission sought to gain compliance with every rule on its decrees. If it is remembered that some States had occasional inspections that roughly corresponded to pay-roll calls, when they concentrated the field 294 MINIMUM-WAGE LAWS IN THE UNITED STATES agents on copying practically all pay rolls in one industry or a sub stantial number of pay rolls in each industry covered by the decrees, the California methods represent those used in all the States. In the section of this report giving actual figures on rates and earnings as shown by these inspections and pay-roll calls it may be seen how often the individual States made these inclusive inspections and how many women they covered each time. In the discussion of the general enforcement methods and forms in California, mention was made of the registration of apprentices, but no explanation has been made of how this special phase of en forcement was carried out. From the discussion in a previous sec tion of the multitude of rates set according to the age and experience of the workers, it is evident that any given pay roll sent in to the com mission’s office or inspected by an agent could show a considerable variety in its rates of pay and yet comply with the law. In order to determine wTho these special workers were and what rate they legally could receive, several States instituted a system of requiring the registration of apprentices. Thus, seeming violations of a decree might prove to be due to the employer’s failure to register appren tices and not to his paying a lower rate than the one to which the woman was entitled. Since California has developed a system for the control of apprenticeship in great detail, the description appearing in the commission’s report for 1919-20 and 1921-22 is reproduced. 2. Control of apprenticeship through registration.—The commission is of the opinion, after five years’ experience, that a system of registration or licensing of learners is the only adequate method of controlling apprenticeship in in dustries in which the nature of the work necessitates an extended learning period. Underpayment of apprentices might not always be the result of the employer’s desire to evade the law; it might easily come through neglect in keeping the dates on which increases are due in some sort of follow-up system which would automatically bring the increases to the employer’s attention. While women workers are generally familiar with the amount of the legal minimum wage for experienced workers, they are not so familiar with the minimum rates for apprentices, and, as a rule, they have no particular interest in the legal limitation of the number of apprentices, as they do not understand that this regulation is one which affects their wages directly. Therefore, the commission has established a complete registration or license system in the mer cantile, laundry, and manufacturing industries, insuring apprentices of the periodic increases in wage required by the law, crediting them with their previous experience in other establishments and enforcing the legal limitation of the number of apprentices employed in each establishment. All other in dustries have apprenticeship periods of such short duration that registration is unnecessary. The registration system is designed to protect the apprentice throughout her entire period of apprenticeship whether she has worked in one or more establishments in the same industry. a. Certification of learners in the mercantile industry.—In the mercantile in dustry an employer is required to register with the industrial welfare com mission every woman and minor who is being paid less than the legal minimum wage. The following blank, filled out jointly by the employer and the employee, must be filed three weeks from the date of employment: 295 ENFORCEMENT OF DECREES Industrial Welfare Commission, State of California 620 State Building, Sail Francisco; 931 Pacific Finance Building, Los Angeles APPLICATION FAIR REGISTRATION AS A LEARNER IN THE GENERAL MERCANTILE INDUSTRY This blank is for the registration of full-time workers only, and should be filed at tlie end of three weeks’ employment To the Industrial Welfare Commission of the State of California: I, the undersigned, desiring employment as a learner in the general mercantile industry, do hereby make application to your commission for a Learner’s Certifi cate of Registration in the establishment of t located at Street, ,------------------------------------------------------------- (City) ployed in this establishment since, at $a week. (Month Day (Name of firm) I have been em Year) I have had previous experience in the general mercantile industry with the following firms: Firm name and address: Time employed : . ------------------------------------------- fromto• (State whether office or sales force) (Month Day Year) (Month Day Year) ------------------------------------------- fromto(Month (State whether office or sales force) (Month Day Year) Date of birth--------------------------------- Present age (Month Day Year) Day Year) (Years and months) Signature of applicant (Give name in full) Date of making application AddressCity. employer’s agreement --------hereby subscribe to the foregoing application, recognizing the previous experience above listed, and request that a certificate of registration as a learner in the general mercantile industry he issued by your commission to —— ------------------------------------ , agreeing to provide h___ with reasonable facilities for learning the general mercantile industry. Salary to be paid this employee, $ Certificates will not be issued unless the following pay-roll report is fur nished in full: Report of total number of female employees (do not include special workers or part-time employees) on pay roll of(give date of pay roll (Date) nearest the date of filing this application). Superintendent or Manager. Totals are to be given separately for each of the following divisions Number of Total num experienced Number of ber of fe female female male em learners employees ployees General mercantile_____________ Office_______________ _______ 1 Millinery work-room..................... ............ Total............... ............................ ........... The cooperation of the employer is requested in seeing that this application is filled out in full before it is sent to the office of the industrial welfare commission. 60769°—28----- 20 296 MINIMUM-WAGE LAWS IN THE UNITED STATES Upon receipt of such application by the commission, the record of the worker is checked against the registration records on tile in the commission office so that the worker may be given full credit for her previous experience. If the statement on the application blank shows that an employer is exceeding the legal per cent of apprentices at the time of making application, this violation is at once corrected through the following procedure: The employer is required to raise the wages of a sufficient number of women to the minimum so that 33% per cent of the women will receive at least the minimum. The women whose rates have been so raised must be paid the difference between the weekly amounts they have received and the minimum wage, retroactively, until all pay rolls on which an excess number of women were paid as learners have been adjusted. After the application of the worker has been checked in this manner, a certificate of registration is issued. The original and duplicate copies are sent to the employer with instructions to give the original copy to the worker so that she will be informed as to the legal minimum rates due her, and the third copy is retained for the commission’s files. State of California, Industrial Welfare Commission [seal.] 620 State Building, Civic Center, San Francisco ■ No. ----- learner’s certificate of registration This is to certify that----------------------------has been registered as a learner in the mercantile industry, to be employed byin the city of, California. The above learner shall receive a wage of not less than the following: From, 19—, to--------------------, 19_, $per week. From, 19—, to--------------------, 19_, $per week. And thereafter shall be deemed an experienced worker and shall be paid not less than the minimum wage for experienced workers in said industry. Dated at San Francisco, Calif., thisday of, 19________ Industrial Welfare Commission, By Katherine Philips Edson, Previous experience,years_____ months. Executive Officer. When an apprentice leaves a firm or completes the period of apprenticeship, or is raised to the minimum before completing the apprenticeship period, the employer is required to return the duplicate of the certificate, making a report of one of these conditions on the reverse side of the certificate. This copy of the certificate then replaces the third copy of the certificate which has been kept in the commission’s files, so that the worker's record of experience is con stantly up-to-date. The control of apprenticeship is further strengthened by a monthly follow-up system whereby each employer of apprentices is notified once a month of the date and the amount of increase due any learner in that month. Learners’ certificates are also used in the following manner by the agents of the commission during plant inspections: The agent must see that the firm has on file a certificate of registration for every woman and minor who is paid less than the legal minimum wage, and each certificate must be checked against the pay roll to assure the payment of whatever apprentice rate is due. ft. Registration of learners in the manufacturing industry.—Because of the fact that the apprentice period is considerably shorter for both adult and minor workers in the manufacturing than in the mercantile industry (six months for adults and nine months for minors in the manufacturing industry as against a year and a half for minors and one year for adults in the mercantile industry) the commission employs a system of registration of apprentices in stead of the more elaborate system of certification which is in effect in the mercantile industry. Manufacturing establishments are supplied with pads of registration forms, which are printed in duplicate. An employer is required to register each woman and minor who is paid less than the legal minimum wage at the end of two weeks’ employment. The registration blank is filled out jointly by the employer and employee—the einjiloyer sends the original copy to the commission and retains the duplicate copy. As in the case of the mercantile applications, upon the receipt of each registration blank by the commission the record of the worker is checked against the registration records on file, so that the worker may be given full credit for her previous experience, 297 ENFORCEMENT OF DECREES but no certificate Is issued. If the report on the number of employees shows that an employer is exceeding the legal number of apprentices, the violation is at once corrected. When an apprentice leaves a firm or completes the period of apprenticeship or is raised to the minimum before completing the period of apprenticeship, the employer is required to return the duplicate of the regis tration form, making a report upon it of one of these conditions. This copy of the registration form then replaces the original copy filed with the com mission. A monthly follow-up letter advises employers of increases due their apprentices as in the case of the mercantile industry. The form used in registering manufacturing apprentices follows. [Original *—To be filed with industrial welfare commission at end of two weeks’ employment] Industrial Welfare Commission, State of California 620 State Building, San Francisco; 931 Pacific Finance Building, Los Angeles REGISTRATION of learner in the manufacturing industry Employee’s Statement I, ----------------------------, have been employed in this establishment since (Name of employee) -------------- at $a week as a (Date) (State kind of work) Previous experience in the manufacturing industry : (Give names and addresses of former employers and length of previous employment and kind of work done.) ---------------------------------------------- , (Signature of employee) (Address) Date of birth if under 18 years, Employer’s Agreement I, , hereby subscribe to the application of (Firm name) (Address) I recognize the previous experience as listed and agree (Name of employee) to provide h___ with reasonable facilities for learning the manufacturing industry. Dute Salary to be paid, $ (Beginning date of employment) (A week) Report of total number of female employees on pay roll of . (Date) (Give date of pay roll nearest the date of filing this application.) num Number of Number of Totalof fe her experienced female male em females learners ployees Total.................................. ........... ....................................................... --------------------------------------------------------- —--------- 1 Superintendent or Manager. * In the commission’s report the duplicate form also is reproduced. Only the heading, which explains that the duplicate must be retained by the employer and returned to the industrial welfare commission when the employee leaves or is raised to the minimum, and the final direction, to the effect that when the employee has been raised to the minimum or has left., the registration blank must be returned to the industrial welfare commission, vary from the form as reproduced here. 298 MINIMUM-WAGE LAWS IN THE UNITED STATES c. Registration of learners in the laundry and dry cleaning industry.—The process of registering learners in the laundry and dry cleaning industry is identical with the registration system in effect in the manufacturing industry. The length of the apprentice period is six months for both adults and minors in the laundry industry.* The foregoing description gives a very complete picture of how California inspects for the apprenticeship provisions in its decrees. It omits one form which may bo of interest; that is, the card for each firm employing any apprentices. By means of this particular record a firm’s history in relation to its apprenticeship policy is known. This record has provided for this report the only available figures on changes in number of apprentices during the period of minimum-wage enforcement. Only the manufacturing establish ment card is" described here. The laundry card is identical; the mercantile varies only by the inclusion of millinery apprentices as a separate class, for which the same information is tabulated. The manufacturing card has these headings: Firm name and address; product; superintendent or manager; date; number of female em ployees in factory (experienced, learners, and total); number in office (experienced, learners, and total); and learners entered in factory, learners left, and per cent of learners. Control of the canning industry—Predominantly a piece-rate in dustry. In addition to detailed forms and methods for keeping track of apprentices, the California commission has worked out a special method, called the “ canning audit,” for dealing with the State’s great pieceworker-employing industry. The history of the commis sion’s attempt to set and enforce rates for this unusually complicated industry is so interesting that it is given here as told by the com mission in the fourth report: Minimum Rates for Fruit and Vegetable Canning Industry, 1916-1922 1. RATES FOR CANNERS Following is a summary of tlie minimum rates established for canners by the orders of the commission since 1916: 1916: Minimum piece rates were established for the canning of the most important varieties of fruit and vegetables. 1917-18: Adult women were guaranteed 16 cents an hour during the first week of employment and 20 cents an hour thereafter. 1919: Adult women were guaranteed 21 cents an hour during the first week of employment and 28 cents an hour thereafter. 1920: All adult women and female minors between the ages of 16 and 18 were guaranteed 25 cents an hour during the first week of employment and 33% cents an hour thereafter. 1921 and 1922: The canning order for these two years permitted employers to elect either to pay canners guaranteed time rates (adult women 25 cents an hour during the first two weeks of employment, female minors 22 cents an hour during the first two weeks of employment, adult women and female minors 33% cents an hour after two weeks of employment), or to pay on a piece-rate basis under a weekly audit system. It will be seen from the above outline of the minimum rates for canners that the orders have varied in their regulations for minor canners. The com mission’s 1916 production studies brought out the fact that the production of minors in both canning and cutting processes fell below that of the adult workers. Because of this fact the commission in dealing with the rates for “California Industrial Welfare Commission. 1919-20 and 1921-22, pp. 36-43. Fourth report, for the biennial periods 299 ENFORCEMENT OF DECREES canners in the 1916, 1917, 1918, and 1919 orders took the position that piece rates which had been estimated to yield the minimum wage to adult women would constitute a fair basis of payment for minor workers. The canning orders for these years provided for a guaranteed wage for adult canners only. In 1919 the working age of minors in canneries was limited to 14 years by the Federal child labor tax law, which imposed a tax of 10 per cent upon the net profits of any cannery employing minors under tiie age of 14 years. Further more, a number of canneries voluntarily imposed a limitation of 16 years in their own plants, feeling that the exclusion of the younger workers definitely added to the efficiency of the plant. The number of minors in the industry was therefore decidedly decreased at that time. The 1920 conferences with employers brought out the fact that, while the output of girls from 16 to 18 years of age was equal to that of older women, minors under 16 years were irresponsible workers. Many employers stated that they were forced to continue the employment of these children, though unde sirable workers, because their families insisted upon it as a condition of their own continuance, and the employers believed that this condition, with the assurance of the guaranteed wage, tended to encourage slacking among the minors. They expressed themselves as being willing to pay a guaranty to girls over 16. The commission accepted the evidence presented, and the 1920 order provided the same guaranteed rates for minor girls between the ages of 16 and 18 as for adult women. The 1921 amendment of the canning order permitted employers to elect either to pay canners the guaranteed time rates or to pay on a piece-rate basis under a weekly audit system. 2. BATES FOB DAY WORKEKS The accompanying outline shows the provisions of the orders which affect day workers: Minimum Time Rates Guaranteed to Day Workers, 1910 to 1922 1916 and 1917: 13 cents an hour to all women and minors during the first three weeks of employment; 16 cents an hour to ail women and minors thereafter. 1918: 16 cents an hour to all minors; 16 cents an hour to all adult women during the first three weeks of employment; 20 cents an hour to all adult women after the first three weeks of employment. 1919: 18 cents an hour to female minors during their first week of employ ment ; 21 cents an hour to all adult women during their first week of emi>loyment: 28 cents an hour to all adult women and female minors after the first week of employment. 1920 : 22 cents an hour to female minors during their first week of employ ment; 25 cents an hour to all adult women during their first week of employ ment; 33% cents an hour to all adult women and female minors after the first week of employment. 1921 and 1922: 22 cents an hour to female minors during their first week of employment; 25 cents an hour to all adult women during their first week of employment; 33% cents an hour to all adult women and female minors after the first week of employment; 25 cents an hour to all male minors. 3. RATES FOR CUTTERS The first order regulating the payment of “ cutters ”—that is, women engaged in the preparation, cutting, peeling, coring, or slicing of fruit and vegetables— followed an investigation of the industry by the commission, a wage board held January 13 and 14, 1916. and a public hearing held in San Francisco, February 11, 1916. In the opinion both of the employers’ and employees’ representatives on the wage board, the highly seasonal character of the work, carrying with it the condition of a lack of trained workers, and the extreme perishability of the product, made a piece-rate method of payment apparently the most desirable method for the canning industry. Accordingly, section 1 of Order No. 1, issued February 14, 1916, provided for the establishment of minimum piece rates for the cutting of five leading products, apricots, pears, cling peaches, free peaches, and tomatoes. 300 MINIMUM-WAGE LAWS IN THE UNITED STATES The first revision of this order, in April, 1917, was based upon a consideration of production studies made during 1916, which showed the yielding power of the 1916 rates. As a result, Order No. 3 in the canning industry, issued April 16, 1917, provided for a 10 per cent increase in the rate paid for the cutting of apricots, set a minimum piece rate for asparagus, and further provided that piece rates established by individual canneries for the preparation of products other than those specified should yield to at least 80 per cent of the women and minors employed upon them hourly earnings of 16 cents or more. The revision of the 1917 canning order, based upon a $10 a week minimum wage, provided for increased piece rates for the cutting of major products. At this time the commission first considered the possibility of establishing a guaranteed time rate for such work. As a result, the 1918 order included the provision that all piece rates set by individual establishments for the prepara tion of minor products should yield to all adult women working upon them not less than 16 cents an hour for the first week of employment upon each minor product, and not less than 20 cents an hour thereafter. Prior to the issuance of the 1919 canning order, the commission met with representatives of the canning industry to consider the amendment of the canning order on the basis of the increased minimum wage of $13.50, which had been established in all industries following a cost of living investigation. At this time the feasibility of a guaranteed minimum time rate fur the prepara tion of all products was seriously considered. The commission believed that the many factors entering into production, such as the size and degree of ripeness of the fruit, the size of the box served, the quality of work required from the women, and the widely differing degrees of factory management, made the commission’s establishment of uniform piece rates for all canneries definitely unfair. Especially was there unfairness to the women when inefficiency in the management of a plant prevented them from being steadily supplied with fruit. The representatives of the canuers, on the other hand, produced evidence to show that the time-rate guaranty on the cutting of minor products established by the commission in its 1918 canning order had had the effect of slowing production to a disastrous degree. Out of this discussion came the suggestion that the commission establish an audit system. (a) Canning audit, 1919.—The credit for the auditing plan is due the Canners’ League of California, in that its members proposed that they put special investi gators in their establishments at their own expense, to in so re the yielding power of the piece rates required by the commission. The commission could not accept this proposal, but as an alternative proposed regional auditors, chosen by the commission under regulation of State civil service, and directed by and solely responsible to the commission, to make weekly inspections of the pay rolls of the women cutters in all canneries operating on a piece-rate basis. Funds from which these auditors were to be paid were to be collected from the canners, deposited with the State treasurer, and audited by the State board of control, as are all other State funds. This arrangement was accepted by the canners. The 1919 canning order provided for a choice in the method of payment of women cutters, either the payment of a guaranteed wage of $13.50 a week (or 28 cents an hour for regular time), or payment on a piece-rate basis. The piece rates paid were to be not less than those fixed by the commission, with the further provision that if, in individual establishments, these piece rates did not yield to at least 66% per cent of the women and minors em ployed on each product at least 28 cents an hour, the piece rates were to be raised to yield to 66% per cent of the women and female minors employed on each product an hourly earning of not less than 28 cents. The allowance of 33% per cent of workers whose earnings might fall below the minimum wage was based upon the allowance for learners provided for by the commission in the regulation of other industries. Canners electing to operate on a piece-rate basis entered into an agreement with the two associations of canners to con tribute to the expense of the audit. During the season of 1919, 156 of the 200 canneries of the State elected to operate on a piece-rate basis. Funds for the audit aggregating $11,875 were col lected by the Canners’ League of California and the National Canners' Associa ENFORCEMENT OF DECREES 301 tion of Southern California, the assessment being prorated among the canners upon the basis of the number of cases in their estimated pack for the season. The cost of the audit for the 1919 season was $6,798.91, and the unused portion, $5,076.09, was returned to the Canners’ League and National Canners’ Associa tion of Southern California League and prorated back to the contributing canners. (&) Canning audit, 1920.—In amending the canning order for the season of 1920, the commission felt that it was not proper to leave the acceptance of the audit system with its implied obligation of sharing in the expense to a purely voluntary agreement, since in the preceding season certain of the smaller plants had taken advantage of operating on a piece-rate basis without contributing funds for the expense of the audit. The following terms of the 1920 canning order were intended to make it compulsory for a canner to work either upon a guaranteed time-rate system or on a piece-rate basis under the control of the audit system, in which case he was obligated to share in the expense involved. PREPARATION OF FRUIT AND VEGETABLES No person, firm, or corporation shall employ, or suffer or permit any woman or female minor to be employed in the fruit and vegetable canning industry in the preparation of fruit and vegetables when the employment is on a piecerate basis, unless the piece-rate wage scale adopted yields to at least 66% per cent of all of the women and female minors employed in such work in the individual establishment, and paid in accord therewith, a wage of not less than 33% cents an hour, and then only upon compliance with the other terms and conditions hereinafter set forth. (a) Preparation of fruit and vegetables.—The piece-rate wage scale adopted in connection with the preparation of fruit and vegetables shall not be less than the following: Asparagus________________ .per 100 lbs_$0. 22 Cherries_________________ .per 100 lbs__ . 75 Apricots_________________ per 100 lbs_ . 50 Cling peaches____________ -per 100 lbs_ . 38 Free peaches_____________ -per 100 lbs— . 22 String beans_____________ -per 100 lbs_1. 50 Hand peeling peaches______ .per 100 lbs_ . 50 Pears____________________ -per 100 lbs_ . 62 Plums____________________ _per 100 lbs_ . 18 Thompson seedless grapes__ .per 100 lbs_1. 00 Muscat grapes____________ -per 100 lbs__ . 75 Tomatoes (finished product) ._per!2qts .05% and for all other fruit and vegetables such piecework rates as may be adopted by the individual establishment. In the event that during any given week the piecework rate paid according to the scale adopted in the individual establishment does not yield to at least 66% per cent of all women and female minors operating thereunder the mini mum hourly wage of 33% cents, as above required, then the piecework-rate scale theretofore adopted shall be uniformly raised by such percentage as may be required in order to yield to at least 66% per cent of all women and female minors operating thereunder the said hourly wage of 33% cents. ELECTION AND AUDIT Any person, firm, or corporation desiring to adopt for any individual estab lishment a piece-rate scale of wages under the provisions of the preceding para graph hereof, or to avail him or itself of the orders of this commission per mitting the inclusion within his or its force of operatives engaged in the prepara tion of fruit and vegetables of one-third of learners shall file with the commis sion his election so to do on or before June 10, 1920, together with his agreement to pay for such audits as may be reasonably required by the commission in order to obtain accurate verification of the payments made thereunder. 302 MINIMUM-WAGE LAWS IN THE UNITED STATES Following is the agreement signed by the farmers who participated in the audit system: Industrial Welfare Commission, State of California, 328 Flood Building, San Francisco, --------------. To the Industrial Welfare Commission of the State of California: The undersigned, an employer of labor engaged in the canning industry, hereby elects to pay wages to women and female minor workers engaged in the preparation of fruits and vegetables on a piece-rate wage scale in lieu of pay ment of wages on a time-rate basis, pursuant to the provisions of and upon the terms and conditions contained in section 2 of Commission Order No. 3, amended 1920, at the individual establishment located at-------- , and does hereby certify and declare that the payment of such wages in accord with the piecework-wage scale adopted will yield to at least 66% per cent of all women and female minors employed in such work, at least 33% cents per hour. The undersigned further agrees to deposit with the commission, upon re quest, an amount sufficient to cover the cost of such audits as may be required under the commission order, and understands that the piecework-wage scale adopted in section 2 of Order No. 3, amended 1920, and the orders of this commission permitting the operating force engaged in the preparation of fruits and vegetables of the packer or canner to be composed of one-third of learners, shall be effective only in the event such deposit and audits be made. (Signed)------------------ , Employer. In conformance with the $16 minimum wage, which a cost of living study had just established, the 1920 canning order provided for such increases in piece rates over the 1919 piece rates as were shown to be necessary by a study of former production records. One important change made by the canning order of this season was the ex clusion of infirm workers from the audit. Under the provisions of the 1919 canning order, the audit was based upon the earnings of all women and female minor cutters. When the audit system was put into actual operation, however, there was found to be a fairly widespread practice of discharging elderly or infirm women whose low earnings lowered the per cent of women earning the minimum wage, thereby necessitating an increase in the minimum piece rates. For the purpose of protecting these substandard workers from dismissal, the commission availed itself of the power given it by its act of establishment, of issuing special permits to elderly or infirm workers. By executive interpreta tion, these permit workers were excluded from the audit, which was thereafter based upon the work of all women and female minor workers whose output was normal. This exemption was provided for by 'section 7 of the 1920 canning order as follows: “A permit may be issued by the commission to a woman physically disabled by age or otherwise, authorizing the employment of such licensee for a wage less than the legal minimum wage, and the commission shall fix a special minimum wage for such woman. “ Be it further provided that women eligible for permits, working on the preparation of fruit and vegetables, shall be eliminated from the audit.” During the season of 1920, 149 of the 175 canneries of the State entered into the agreement with the commission to operate on a piece-rate basis under the control of the audit system. The smaller number of canneries operating on this basis in 1920, in comparison with the number operating in 1919, was due. to the fact that unsettled market conditions made it inadvisable for a number of the smaller canneries to operate at all during the 1920 season. Funds for the audit, aggregating $13,619.60, were collected following the method of collection used in 1919. (c) Canning audit, 11)21 and 1922.—The control of piece rates through the audit was continued during the seasons of 1921 and 1922. In 1921, 111 can neries, and in 1922, 117 canneries, elected this method of payment. Although this description gives the main events from which the canning audit developed, it does not give any details about the meth ods used in this audit. Perhaps the commission felt that the very word “ audit ” described their procedure sufficiently. This system, however, is unique in minimum-tvage administration, so a- brief ENFORCEMENT OF DECREES 303 description of how the audit actually was carried out seems worth while. _ Actual process of auditing as developed by the California commis sion.—Since the commission was not hampered by inadequate funds in conducting this audit, as a rule enough auditors could be employed to cover every cannery each week. The State was divided into dis tricts and every effort was made to keep one auditor with the same group of firms for the entire season. The auditor checked the earn ings of every woman employed. To expedite this work the commis sion has required that every pay roll contain specified kinds of information and has suggested the actual forms for the pay roll on which such earnings were to be found. In a form letter dated June 5, 1923, is the following statement: The pay-roll record of each woman and minor shall show_ (a) The number of hours worked daily in regular time, in overtime, and in double time, and the amounts earned daily in regular time, in overtime and in double time. (h) The total number of hours worked during the week in regular time, in overtime, and in double time, and the total amounts earned during the week in regular time, in overtime, and in double time. Operations of women workers shall be indicated as follows: Canning, “ CN,” cutting, “ CT,” and day work “ D.” Minors shall be marked on the pay roll. All women must be given working checks indicating the hours worked and the rate of pay, and the checks of pieceworkers must also show the amount of work performed during regular time, overtime, and double time. No two women may work on one check. No two persons may work on one number. The commission provided auditors with exact instructions as to the procedure to be followed in auditing the pay rolls, and also with carefully worked-out forms, rate tables, and tables of increases to aid in working out the adjustments. Through the audit system pay rolls were adjusted so that at least 50 per cent of the women in the" audit made 33% cents an hour ($16 for a 48-hour week) for the number of hours of regular time (first 8 hours in a day) worked. Floaters, minors under 16, and women on permit were excluded from the pay roll as substandard workers before the audit was made. For ex ample : Assume that after permit women, floaters, and minors under 16 were eliminated from a pay roll, there were 100 normal workers left. Of this number 25 made 33% cents an hour or better and 75 failed to earn 33% cents an hour in the'hours of regular time worked during the week. Under the provisions of the order at least 50 per cent, or 50 of the 100 women, were required to receive 33% cents or more an hour. To raise the pay roll to conform to the law, the 50 women making the highest earnings were determined by the auditor. The auditor then figured the percentage of increase necessary to bring the average of the lowest of these 50 women up to 33% cents an hour. This percentage of adjustment was added to the earnings of all women and female minors whose piece-rate earnings fell below 33% cents an hour (minus workers). It was provided, however, that the piece-rate earnings plus the percentage of increase added should not bring the earnings of any of the “ minus ” women above 33% cents an hour. Therefore, the 25 women who earned between 33% cents an hour and the average of the woman on whose earnings the percentage of increase was determined did not receive the full per centage of increase, but were paid enough additional to bring their earnings to 33% cents an hour. These women added to the 25 women 304 MINIMUM-WAGE LAWS IN THE UNITED STATES whose pieee-rate earnings were 33% cents or more before the pay roll was raised made a total of 50 women who were paid at least 33% cents an hour. A similar audit wap made on the earnings of overtime, and a per centage of increase was added when 50 per cent of the women failed to make an average of 41% cents an hour? even though no adjust ment had been necessary on the regular time earnings. If 50 per cent of the adult women working on overtime failed to earn at least 41% cents an hour, and an adjustment had been necessary on the regular time earning^, the same percentage of adjustment that had been added to the regular time earnings was applied to the overtime earnings of all women who failed to earn 41% cents an hour, provided that the amount earned in overtime plus the per cent added did not exceed 41% cents an hour. In 1923 the canning order was amended further, and after August 8 of that year any percentage of adjustment found necessary on the regular time earnings was applied to the total earnings in regular time, overtime, and double time of all women on the pay roll. The instruction form given each auditor is reproduced here, for it shows in detail the steps taken in the work. Only cutters are mentioned in this form, but exactly the same method is used for the canners. Each of these processes has to be treated as a separate unit in calculating increases. To audit a cutter’s pay roll.—1. Eliminate all “ floaters ” without regard to their average hourly earnings. 2. Eliminate minors, and infirm workers whose average hourly earnings for the week in regular time are less than 33% cents an hour. 3. Mark pieceworkers making the minimum for the hours worked during the week in regular time with plus ( + ) and those failing to make the minimum with minus ( —). (Use 33% cents rate card.) 4. Enter in the column provided on the “ total sheet ” the number in the various groups appearing on each page of the pay roll. Check the total of each page on the “ total sheet ” with the total of the corresponding page of the pay roll. The audit total is the sum of the plus ( + ) cutters and the minus ( —) cutters. If the number of plus (+) cutters exceeds or equals the number of minus (—) cutters, no adjustment is required. If the number of minus (—) cutters exceeds the number of plus ( + ) cutters an adjustment will be necessary. A “ floater ” in a department is defined as a woman who works one-third or less of the average number of hours worked in regular time in that department. Floaters who make 33% cents an hour or over in regular time must be eliminaited as well as those who fail to make the minimum. To raise a pay roll.—1. Enter on “ tally sheet ” the total number of piece workers in audit. 2. Enter the number which is 50 per cent of the audit total. 3. Enter the total number which is required to make up to 50 per cent of audit total. 4. Determine the average hourly earnings of cutters marked minus (—). Use rate table for this and enter in pencil on pay roll, (o) In using the rate table, earnings which fall between two groups should be con sidered in the nearest group. (b) When the earnings fall exactly midway between two groups the higher and lower groups should be used alternately, (e) In determining the average hourly earnings when time is figured in quarter hours, drop the “ % ” and consider the “ % ” as the next whole number. Illus tration : 41% hours would be considered 41 hours. 41% hours would be considered 42 hours. 5. Page 1 of pay roll: Enter on “ tally sheet” in proper column, the number of cutters whose average hourly earnings fall in the various wage groups. Enter total of these in column marked “ Totals.” Check the total minuses on “ total sheet.” Repeat for each page of pay roll. 6. Having determined the number required to make up 50 per cent, ascertain the wage group in which this number falls by counting from the highest group in which the earnings fell. This establishes the group to be raised. The percentage of increase required to raise each wage group is computed on page 11 of rate book. 305 ENFORCEMENT OF DECREES Adjustment on a pay roll of 200 cutters when less than 50 per cent (e. g., 20 per cent) earned 33% cents or over an hour TABULATION OF THE AVERAGE HOURLY EARNINGS OF 160 CUTTERS WHOSE EARNINGS WERE LESS THAN 33i CENTS AN HOUR 33 cents 5 32H cents 32 cents 31H cents 31 cents 30^ cents 30 cents 29 H cents 29 cents 28H cents 20 10 4 6 10 5 20 5 15 28 cents 30 27^ cents 30 Total in audit___________________________________ _______________ 200 GO per cent of audit total,_________________________________________ ioo Number earning 33% cents and over 40 Number required to make up to 50 per cent CO This number (60) falls in the 30-cent wage group. The percentage of increase is determined by subtracting 30 from 33% cents and dividing this difference (3% cents) by 30 cents; 0.03% divided'by 0.30 is 0.111, or 11.11 per cent. The percentage of increase must be added to the total weekly earnings in regular time, overtime, and double time for all women and minor pieceworkers, including floaters and women on permit. The same procedure outlined above shall be used in auditing the canners’ pay rolls. If the total number of hours worked in the cannery for any week is 16 or less, an audit may be made for the short week or any adjustment found neces sary on the following week shall be applied to the earnings of all women and minors for the short week. In addition to suggested pay-roll forms and careful instructions to auditors, the executive office got out complete rate tables (so that the agents could look up percentages of increase rather than work them out), work sheets whose headings were a constant reminder of the way the women were to be grouped in reckoning compliance, ad justment notices to leave with the employer, and forms for report ing on each plant. The tables showing the percentages of increase of course are not reproduced in this report. They are very long and detailed and are not necessary to an understanding of the audit. The adjustment notice used in 1923 and later is given here. It is interest ing to notice that the adjustment is given to the employer on the percentage basis, and it is left for him to work out the actual amount that must be paid each worker. Industrial Welfare Commission, State of California ADJUSTMENT NOTICE Firm name _ _ _ Address Adjustments on pay roll of Date ....... _ Manager or superintendent . ___ Cutters’ pay roll Canners’ pay roll The above percentages of increase must be added to the total weekly earnings In regular time, overtime, and double time of all women and minor piece workers, including floaters and women on permit. These adjustments are to be paid by (Date) (Signed) The auditor’s report which follows enables the commission to have an exact record of how the earnings have run in a given plant over the entire period the audit has been in use. CO o AUDITOR'S REPORT Address_____ Time for audit.. Auditor_____ Date of pay roll. o Date of audit__ (Hours) (From) (To) Pieceworkers Women and female minors Cutters Canners 1 1 Product _________________ _______ ___ Maximum weight of box___ . ____•_ ... Average weight of box Average weight as posted....................... ....... Rate paid per 100 pounds Rate paid per box________ _____ ____ ___ Total amount of adjustment------------ ------------------------Total amount of pay roll____________________________ Date payment of adjustment_____. ... _ ____________ Maximum weight per box Maximum weight of box . .._____ Average weight of box by auditor------------- Average weight per box______________ _ Average weight as posted_____ ______ ____ Average weight as posted____ ________ Product................. ............................... .............. Maximum weight per box__________ ____ Average weight per box.. ____________ Average weight as posted Rate paid per 100 pounds----- --------------- . Rate paid per box______________ _____ _ Minors Day workers All departments Department Cutters .... Canners Miscella neous l Total i Female Male Total MINIMUM-WAGE LAWS IN THE UNITED STATES Name of plant ENFORCEMENT OF DECREES 307 The minute detail in which this scheme has been developed, in order that it should be really effective, is of tremendous importance to anyone interested in the problems involved in the application of minimum-wage laws to groups other than regular timeworkers. Pieceworkers are found to some extent in a large number of the in dustries and occupations covered by the decrees. How the decrees shall be applied to them has been decided differently in various locali ties and at different times in the same locality. The canning audit as developed in California represents a determination to assure the pieceworker the minimum rate in her weekly pay envelope. It shows how thoroughly the decrees can be applied if a commission is given an adequate staff and sufficient appropriation. Forms used in enforcing decrees in Massachusetts. The plan of enforcement worked out by Massachusetts was of necessity quite different from the plans found in States with manda tory laws, of which California is given as an example. In Massachu setts there were three things the employer must do: He must post a notice of minimum-wage rates; he must keep a proper record of wages; and he must allow’ the inspector access to his books. Only through education and the force of public opinion could pressure be brought to bear on him to cause him to pay the actual rates set in the decrees. The steps to gain compliance with those nonmandatory rates will be taken up chronologically. As soon as a decree was entered, but before it became effective, the commission sent a letter to each employer in the occupation in ques tion. Undoubtedly, all firms that had been established more than a few weeks were covered, since only relatively small groups were included in one decree, and the commission had available a supposedly complete list of the employers in the industry, both from its own investigation of the industry in question and from the records of the Massachusetts division of statistics. The letter follows: Gentlemen : Inclosed herewith is a copy of the decree entered by the mini mum-wage commission on -------- , relative to the wages of women and girls employed in the -------- occupation in Massachusetts. The decree is based on the recommendations submitted in the report of the wage board for this occu pation, which was signed by all1 of the members. In accordance with the provisions of the general laws, chapter 151, section 14, you are required to post this notice in a conspicuous place in your establishment where it will readily be seen by all of your women employees, and to maintain it until further notice. The notice should preferably be posted near the main entrance or in the work rooms where women are employed. Where the work is carried on in separate buildings, notices should be posted in each building where women come under the provisions of the decree. Additional posters will be supplied on request. Your attention is called to the fact that these determinations go into ef fect -------- . Under the law the commission is required to publish the facts as it may find them to be as to the acceptance of its recommendations by the employers engaged in the industry to which any of its recommendations relate. The commission, therefore, desires me to inquire whether or not you intend to accept these recommendations and to follow them in your establishment. Your cooperation in this matter is invited. Very truly yours, Assistant Commissioner. 1 In case of unanimous report 308 MINIMUM-WAGE LAWS IN THE UNITED STATES As soon as a decree became effective the executive office of the com mission began to make arrangements for inspection by the commis sion’s agents of the firms covered by the decree. How immediately this inspection could be made was determined by the number of other inspections that the staff was conducting, but only in rare cases did more than a few weeks elapse between the date on which a decree became effective and the date when inspection under it was begun. Inspections usually were carried on in two or more industries at the same time. Reinspections and inspections of complaints in scattered industries also were going on all the time. Industries in which a new decree had just been entered were given precedence in making up the list for inspection; of the others, the industries where the longest time had elapsed since the last inspection usually received first atten tion. Theoretically each industry was inspected at regular intervals, as, for instance, once a year. In reality, lack of a sufficient number of agents meant that each industry was inspected after a decree was set and as often thereafter as circumstances allowed. A considerable number of new decrees in any one year usually meant practically no inspections under older decrees. The first inspection was, of course, much the most important, for at this time the great majority of non compliances were found. Moreover, the noncompliances found by the original inspection under a decree often were due to imperfect knowledge of the decree or to an arbitrary stand taken by the em ployer which he could be persuaded to renounce. In carrying out an inspection the State was divided geographically among the agents. In her territory an agent visited all firms covered by the decrees selected, saw to it that tho employer was observing all the mandatory provisions of the law, and took a transcript of the pay roll for a selected week, including every woman covered by the given decree. The following form used in taking off pay rolls shows the kind of material collected. 309 ENFORCEMENT OF DECREES The Commonwealth of Massachusetts Department of Labor and Industries DIVISION OF MINIMUM WAGE Inspection report Wage records secured__________ For tabulation_________________ Weekly schedule of hours__ Industry File page Agent Legal name of establishment City or town Address------------------------------------------- Date of inspection__ Nature of business---------------------------- Notice posted? Person interviewed------------ --------------- Notice of acceptance ? Watge record for all female employees for week ending. Experience No. Name Occu pation Age Former Present Actual Previous Present rate of rate of earn ings employ employ wages1 wages ment ment i i ............ Com Hours pliance Notes 1 1 Previous to operation of minimum-wage decree. (For outline of special cases see other side.) Before leaving the plant the agent took up with the officials all cases of noncompliance. Particularly on first inspections in an in dustry the agent often could adjust all or almost all the violations. Sometimes the employer had misunderstood the scope of the decree, and did not realize that certain groups were entitled to the minimum; sometimes an employer could be persuaded to shift a woman to another job, where he thought she would be worth the minimum rate; sometimes a woman was a special-license type and the agent could authorize the payment of a rate below the minimum. Sometimes even cases based solely on unwillingness to meet the rates set in the decrees could, be adjusted by the agents. Besides adjusting actual noncompliances whenever possible, the agents called attention to those workers who must soon be granted a raise in pay due to a change in age or length of service. In general it was the agent’s business to explain the law and help the individual employer to apply it. The transcript of wages collected by agents is used in the executive office as a basis for the extensive rates and earnings figures tabulated by the commission. The cases of noncompliance are taken from 310 MINIMUM-WAGE LAWS IN THE UNITED STATES these sheets by the agents, listed, and submitted to the person in charge of enforcement—the woman assistant commissioner of labor— who then takes up each noncompliance and seeks to adjust it. This report, on which the assistant commissioner bases her activities, covers the following facts: Agent’s Report on Cases Requiring Adjustment Decree_________________________________ Establishment Location------------------------------------------------------------------Official interviewed To the Assistant Commissioner, Department of Labor and industries, State House, Boston, Mass. Date Following is outline on cases requiring adjustment in the above named establishment: Total number of women employed------------- Timeworkers----------Pieceworkers Total number of noncompliances------------Timeworkers----------Pieceworkers----------Name Occupation Age Experience Time rate Earnings, P. W. Remarks.—. Special license cases: Name Age Experience Rate to be paid Recommendation Letters to be sent: Refusal to show pay roll----------------------------Refusal to allow transcript--------------------------Refusal to post notice--------------------------------Record of working hours to be kept for P. W. Letter for appointment-------------------------------Letter regarding wage adjustment----------------Reinspect: Respectfully submitted. Agent. ENFORCEMENT OF DECREES 311 The assistant commissioner then attempts to adjust these cases through conference and correspondence. The first step usually is to send out the following letter: WARNING LETTER Gentlemen : According to the records secured from your office, it appears that you are not complying with the-------- occupation decree. Under the law it is the duty of the commission to inspect for the purpose of determining compliance with minimum-wage decrees and to publish the names of those employers who fail or refuse to comply with these recommendations. The commission is endeavoring to adjust all cases outstanding under this decree during the present month. Before taking action as required by law, the commission would like a written statement specifying whether or not you are willing to accept the decree and " abide by it. Failure to reply by-------- will be interpreted as refusal to accept the decree. In the meantime, the commissioners invite employers who desire to discuss the question of adjustment to meet with them in their office, room 4T2, the Statehouse, at any time before-------- . Very truly yours, Assist a n t Cotnmissioner. When contact with the firm lias been established thus, several means may be suggested to the employer whereby he may see his way clear to comply with the law. He may be given an extension of time in which to make adjustments; he may be persuaded to give a woman some special training to increase her efficiency; he may be allowed to try out a given occupation at piece rates; the question of transfer to a different sort of work may be taken up again. Usually an agent is sent back to make a reinspection, in the hope that further knowl edge of the situation and further contact with the employer will make possible an adjustment. Every effort of the commission, however, is bent toward keeping a woman at work and persuading the employer to raise her wages and not to discharge her. The following is the agent’s reinspection report. 60769°—28-----21 312 MINIMUM-WAGE LAWS IN THE UNITED STATES REINSPECTION Agent’s Report on Cases Requiring Adjustment Decree---------------------------------------------— Establishment. Location________________________________________ Official interviewed______________________________ To the Assistant Commissioner, Department of Labor and Industries, State House, Boston. Date Following is outline on cases requiring adjustment at reinspection: Total women employed at inspection______ Time______ PieceTotal noncompliances at inspection________ Time______ PieceTotal women employed at reinspection____ Time______ PieceTotal noncompliances at reinspection______ Time______ PieceStatus at reinspection of noncompliances at previous inspection: Name Occ. Age A. M. Exp. In. Exp. Rate T. P. Adjustment made Rate T. P. Adjustment made New cases of noncompliance since inspection: Name Occ. Age A. M. Exp. In. Exp. Remarks (Agent should distinguish between old and new cases) : Recommendation : Special license-----------------Special license type-----------Technical noncompliance___ Reinspection (date)_______ Conference in office________ No action------------------------Letter to be sent: Regarding wage adjustment. Keeping record of hours_ _ Reinspection: (Date) Respectfully submitted. Agent. 313 ENFORCEMENT OP DECREES If all these efforts fail to gain compliance, the commission publishes the names of the firms who refuse to pay all their employees of ordinary ability the minimum rates required in the degrees. The following letter is sent to warn employers of this action on the part of the commission: FINAL LETTER Gentlemen : Under the law it will be necessary for the commission to publish the name of your firm as not complying with the-------- decree. This action will be taken unless adjustment is made of the cases outstanding prior to -------- , and unless notice of such adjustment is received in the office of the commission before that date. Failure to netify the commission before the-------- instant will be regarded as refusal to comply, and publication will appear on-------- . This notice will be published in the Boston papers and also in a local paper on the date specified. Very truly yours, Assistant Commissioner. Before 1921 no firm’s name was published for noncompliance. The following statement shows how many times the commission has had to resort to this means of gaining enforcement since that year: Number of— Year Industry Firms 1921 Total................................................... ......... Building cleaners..................... ........... Paper box_________ 1923 Total__________ _ Laundry________ Muslin uriderwear.._____________ Paper box_______ _________ Retail stores__________ Women’s clothing_____ 1924 Total............................................... Druggists’ compounds............................ Minor lines of confectionery.............. 1925 ............ W omen 12 266 l 11 114 22 1 1 89 1 223 3 ' 27 2 39 1 1 10 29 Total................ ................... 15 Canning and preserving....................... Druggists’ compounds...................... . Men’s furnishings______ Building cleaners. ............... . Muslin underwear................... Paper box................................... Retail stores___________ _ Women’s clothing................................... 1 1 3 2 7 13 In 1925 the Supreme Judicial Court of Massachusetts decided that the section of the minimum-wage law requiring newspapers to print the names of any employers whom the commission wished to advertise for noncompliance was unconstitutional. At the present time only those newspapers which do so voluntarily carry the paid advertise ments of the commission, listing the establishments that are not com plying with the decrees. 314 MINIMUM-WAGE LAWS IN' THE UNITED STATES Though this completes the outline of the procedure used to gain compliance, certain forms that have been developed to aid in the inspection work have not been presented. In the first place, all women who are given special licenses are required to fill out the following form: application blank for special license Occupation--------------------------------------- Date granted___ See file No. (Applicant should not write above this line) Date19_____________________ To the Commission : The undersigned hereby makes application, under the provisions of section 9, chapter TOG, acts of 1912, as amended, for a special license authorizing her employment at a wage less than the legal minimum wage established by the commission for a woman of her age and experience in the following industry. Occupation Name of employer Address of employer_______________________________________________ Kind of work in which applicant is engaged or wishes to be engaged (state exact employment) Length of experience in that employment Length of time employed by present firm Other employment Length of experience in that work Dependence on earnings Age ------------------------------------------------------------------------------- • Nature and extent of disability because of which special license is requested (state specific cause) Witness--------------------------------- Signature of applicant (in case applicant signs by mark) Home address Date Amount per week firm will pay,$ (full-time work). Signature of representative of firm The license, if issued, is in triplicate, one copy to be kept by the employee, one by the employer, and one to be filed by the commission. The license form gives the legal provision permitting its issuance, the name and address of the licensee, and the rate of wages to be paid to her. It is numbered and dated. Another set of forms was developed for keeping a record of in spections in the office. The agents handed in daily and weekly re ports which are not reproduced, since their main purpose was a record of the work of the agents. In addition, a firm card was kept for ENFORCEMENT OF DECREES 315 each establishment inspected. The form, which follows, gives a complete history of the relations of the commission with each em ployer. Minimum Wage Commission Inspection Report Card Occupation---------------------------- Firm Year Inspection ------------------------------------------------ Address Date---------------------- Official interviewed Agent Compliances: No. Per cent----------- Adjustments----------- Nature_____ Cases pending Noncompliances: Wages: No.------------------------- Per cent Records: Refusal to show---------------- Refusal to permit copying Do not keep Notice: Failure to post---------------------------- Refusal to post Information withheld Follow-up visits------------------- Correspondence Conference at office------------------- Date:------------------------------ Letters sent Replies_______ Representative_______ Date Disposition of cases: Adjusted------------------------------- Pending Nature of adjustment________________________________________ (For detailed report of case see other side) This brief recounting of the enforcement method used in Massa chusetts shows that, in the information collected, the commission, in its forms and acts of its agents, sought exactly the same type of in formation as did the States with mandatory laws. Moreover, the careful method of having the agents copy all pay rolls inspected in stead of merely going over them and copying noncompliances was the rule in this one State alone. The division of minimum wage in the department of labor and industries depends almost wholly on these pay-roll records for enforcement. Complaints are investigated by the agents at the discretion of the assistant commissioner, but they have not been very important in enforcement. No forms for re cording them or keeping track of them exist. The amount of time spent on enforcement, due not only to that consumed in copying pay • rolls but to that which elapsed while negotiation seeking compliance •was being carried on, meant that the commission must either have a large force of agents or cover a small number of women. Un doubtedly the time spent, by necessity, on inspection and reinspec tion, to try to persuade employers to conform to a decree, has been a contributing factor in the failure of the Massachusetts commission to cover more than a small percentage of the woman wage earners of the State. CHAPTER XIII.—RELATION OF THE COURTS TO THE MINIMUM-WAGE LAWS As would be natural in so uncharted and controversial a field, the various State and Federal courts have been called on time and again to interpret the minimum-wage laws. Many of the legislatures in passing the laws provided specifically for appeals from the commis sions’ decisions as set forth in the decrees. And these laws, of course, like any other law that restricts men’s actions in a field not clearly contemplated by the constitutions of States or of the United States, were subject to attacks on the question of constitutionality. As in the case of many other labor laws, opponents of minimum-wage laws have claimed that they violated the “ due process of law ” clauses of the fifth and fourteenth amendments to the Federal Constitution. Of the many cases that have been heard, some have hinged on the interpretation of specific sections, or even phrases, in the laws, but the great majority of the cases have involved efforts to have the courts declare this kind of wage regulation unconstitutional. PROVISIONS IN THE LAWS PROVIDING FOR COURT REVIEW OF DECREES The provisions of these laws relating particularly to the protection of employees, such as those sections punishing anyone who inter feres with workers who testify before the commission, or providing means for their collecting back wages, and so on, have been discussed earlier in this report.1 The provisions of the laws providing for appeals to the courts from the commissions’ decisions seem to be primarily the laws’ attempt to protect the employer. Many of the laws provided means by which any interested party could appeal from extreme rulings. The commissions not only were given definite rules as to how to proceed if their decrees were to have the force of law, but in many States their decrees were subject to review by the State courts; so any person who felt that a commission had overstepped its powers or had failed in its duties in arriving at a decree, could appeal to the courts to have such decree set aside. Only in Arkansas and Minnesota was no provision made for appeal to the courts to review the substance of the decrees. In Massachusetts and Nebraska appeal to the courts was not gen; eral but was tied up to the provision in the laws of these States that the wage boards must consider the financial condition of the industry in determining the minimum rate. In addition to this protection offered the employer, he also could file a declaration under oath, with the supreme judicial or superior court in Massachusetts or with the district court in Nebraska, that compliance with the decree would endanger the prosperity of his business. He then was entitled to a stay of execution and to a hearing conducted by the court under the rules of equity procedure, to determine whether his claim of injury 1 See p. 281. 316 RELATION OP THE COURTS TO THE MINIMUM-WAGE LAWS 317 was true, If his contentions were sustained, the court could revoke the order. The court’s power to revoke an order because of its effect on one firm evidently was considered much too drastic in Massa chusetts, for in 1913 the law was amended so that this paragraph was clearer and much less extreme. The amendment specified that the plaintiff had to support the burden of proof that the decree in ques tion prevented him from conducting his business at a reasonable profit. No stay of execution was to issue. Moreover, if the employer proved his case the court could duly exempt him from having his name published, without this, action bearing in any way on the position of other employers. North Dakota, Oregon. Washington, and the District of Columbia provide very briefly in their laws that there shall be an appeal on questions of law from the minimum-wage commissions to the courts. The commissions were to have the final decision as to facts. In California, Colorado, Kansas, Texas, and Wisconsin a much more elaborate system is provided, whereby an individual can appeal from the commissions’ decisions as embodied in the decrees. The original Colorado and Kansas laws simply provided for an appeal to the district courts, the order to remain in force until definitely set aside by the court, on the grounds that the order was either unlawful or unreasonable. There was a real difference, however, in what the court was called upon to do. Kansas provided that the determina tions of fact made by the commissions were presumed to be correct, so that the burden of proof must rest on the plaintiff, but it in no way limited the evidence that might be introduced. Colorado pro vided that the evidence submitted to the court must be confined to that submitted to the commission. The field for review thus opened to the Kansas courts was much broader than that before the Colorado courts. The Colorado courts were to judge whether or not the com mission had interpreted correctly the facts at hand; the Kansas courts were to review the commission’s acts, rehear the case presented to the commission and any additional testimony that might be pre sented, and decide whether or not the commission had acted correctly m the light of all this testimony. Later, the laws of both Colorado and Kansas, were administered by State bodies having many labor laws to administer and great responsibility. The laws creating these bodies provided in minute detail for an even more exact method of procedure in appealing from the commissions’ decrees. The pro visions of these later laws corresponded very closely to the provisions in the Wisconsin Industrial Commission law—a case of a commis sion analogous to the bodies just mentioned in Colorado and Kan sas—and to the provisions in the laws of California and Texas. Four of these States with the detailed procedure for appeals— California (by an amendment in 1921), Colorado (1917), Kansas (1921), and Wisconsin—provide that any aggrieved party must appeal to the commission for a rehearing before he may appeal to the courts. California, Colorado, Wisconsin, and Texas provide that the courts, when the appeal reaches them, may send the problem back to the commission for reconsideration. If after all these efforts the aggrieved party still is dissatisfied with the decree in question, the court may consider both points of fact and the law. In California facts are subject to court review only if there is a claim of fraud. 318 MINIMUM-WAGE LAWS IN THE UNITED STATES There is no great difference among the States as to the procedure for court review. Although the exact number of days varies from law to law, each law provides that any action must be begun within a specified period of time. They limit also the amount of time that can elapse before an answer must be filed and try in general to make sure that court action can not be so long drawn out as to nullify the decree. With the same idea of keeping court action from interfering unduly with just decrees, these laws provide the terms under which the decree in question may be suspended pending the prosecution of the appeal. Although the laws vary in detail, instances of specific provisions are that the suspension affects only the complainant in California, the court may not grant an injunction without a hearing in Colorado, and an injunction can be granted only by circuit court or presiding judge of that court in Wisconsin. Only California and Texas have enacted these elaborate provisions for court review with minimum wage as their main concern. In the three other States they have been the result of an effort to safe guard workmen’s-compensation rulings, sanitary standards, and a wide variety of orders amplifying and interpreting the labor law of the State. "Almost every minimum-wage State, however, has shown some concern for this method of insuring fair administration of the laws. It is interesting by contrast to see the kind of court action that in fact resulted from these laws. COURT ACTION WITH REFERENCE TO MINIMUM-WAGE LAWS There is no record of any case where an employer came into court contending that a specific decree was unreasonable and should be modified, or that it had not been entered in accordance with the law and should be reconsidered—with more careful investigation or with more widely advertised hearings. Every attack on a specific decree, though it might question the method of passing on the facts on which the rate was determined, has been based primarily on the thought that any decree would be just as wrong; that the whole law, and therefore any decree, was unconstitutional. Even in Massachusetts, where an employer had only to show that a decree prevented him from conduct ing his business at, a reasonable profit to obtain a modification of the decree as far as he was concerned, no case was ever brought with this in view. When there is considered the number of cases which at tacked the existence of the law, the court actions seem to be evidence of the employers’ desire to destroy the law rather than efforts to aid in making the law work effectively by using the means provided in itself for securing redress of grievances. Among the 13 States with flexible laws, Colorado and Nebraska never put their laws into operation. In each of the remaining 11 States at least one case arose where the constitutionality of the law was questioned. In these cases it was claimed that the fourteenth amendment to the Federal Constitution precluded the possibility of the States passing a law regulating wages by its provision that “ no State shall make or enforce any law which shall abridge the privi leges or immunities of citizens of the United States, nor shall any State deprive any person of life, liberty, or property without due process of law, nor deny to any person within its jurisdiction the RELATION OP THE COURTS TO THE MINIMUM-WAGE LAWS 319 equal protection of the laws.” 2 With many surface differences, the fundamentals of these minimum-wage cases were the same. The plaintiff claimed that the laws destroyed the freedom of contract between the woman worker and her employer, and thus arbitrarily took away a property right without due process of law. The defense claimed that the laws were a reasonable exercise of the police powers of the State to protect its woman workers from conditions detri mental to their health and welfare. These cases arose in varied ways, but up to 1923 the outcome was in every case the same. The law was upheld. In 1923 the United States Supreme Court held the District of Columbia law uncon stitutional. Since that date only one court (Superior Court of Cali fornia) has supported the law. The laws of Arkansas, District of Columbia, Kansas, and Wisconsin, among the flexible laws, and Ari zona and Porto Kico among the inflexible laws, have been declared unconstitutional, and such doubt has been thrown on the validity of all these laws, except the nonmandatory Massachusetts act, as to cause almost complete cessation of work in some States and to retard work seriously in all. Because these cases have finally resulted in nullifying the will of the legislature, it seems an important part of this study to consider briefly each reported case. Arkansas. Very shortly after the law of Arkansas went into effect, the validity of the act was attacked in the circuit court of the State, and the case was carried on appeal to the supreme court of the State, which in 1917 upheld the constitutionality of the act. (State v. Crowe, 130 Arkansas 272, 197 S. W. 4.) The case was not appealed to the United States Supreme Court, and the question of the law’s constitutionality was considered settled. After the decision of the Federal Supreme Court holding the District of Columbia law uncon stitutional, another case was brought to test the Arkansas law’s consti tutionality. This action was brought in the Federal District Court (1924) and was carried to the United States Supreme Court (1927). Both courts declared the law unconstitutional, basing their decisions on the District of Columbia case. (Donham v. West Nelson Manu facturing Co., 273 U. S. 657.) California. The constitutionality of the California law was never questioned until the adverse decision in the District of Columbia case. A suit then was brought by an employee in the superior court of the State. This court upheld the law’s constitutionality (1924). This is the only case where a court has taken this stand since the United States Supreme Court’s decision in the District of Columbia case. The California case was appealed to the supreme court of the State, but was dropped by the plaintiff before it was reached for argument. (Gainer v. A. B. C. Dohrman et al.) District of Columbia. After the hotel-and-restaurant order in the District of Columbia went into effect, two suits were brought questioning the constitution 2 In the District of Columbia the case was based on the fifth amendment, which reads, “ No person shall * * * be deprived of life, liberty, or property without due process of law * * * ” 320 MINIMUM-WAGE LAWS IN THE UNITED STATES ality of the law. One suit was started by an employer, the Children’s Hospital, and one by an employee, Willie Lyon. The two cases were argued together. The Supreme Court of the District of Columbia upheld the law (1920). The court of appeals also upheld the law the first time the case was heard (1921), but later, after the return to the bench of a justice who had been ill, replacing a justice of the District of Columbia Supreme Court who had served temporarily, a rehearing was granted and the law was held unconstitutional (1922). On appeal to the United States Supreme Court, the District of Colum bia Court of Appeals was sustained and the law was declared uncon stitutional (1923). (Adkins v. Children’s Hospital, 261 U. S. 525.) Kansas. In Kansas there was, for the first time, a case questioning the method by which a decree was enacted as well as the constitution ality of the law. The Hanna Poultry & Egg Co. in 1920 claimed that Order No. 11 (manufacturing) of the Kansas Industrial Wel fare Commission was unreasonable in its terms, that the procedural provisions of the law had not been followed, and that, moreover, it was unconstitutional to pass any such order. The court did not pass on the question of the law’s validity nor on the reasonable ness of the particular order, but it held that the statutory require ments had not been complied with and that the order therefore was void. In 1922 the Topeka Laundry Co. and the Topeka Packing Co. attacked the laundry and manufacturing orders passed in that year, on the ground that the evidence was insufficient to justify the orders under the statute, and that the statute itself was unconstitutional. This time the district court ruled on both points and upheld the order. No appeal was taken from this decision until 1924, when the case was revived by the plaintiffs in the hope that the United States Supreme Court decision in the case of Adkins v. Children’s Hospital would force the Kansas courts to declare their law unconstitutional. In 1925 the Supreme Court of Kansas held the law unconstitutional, solely on the grounds of the precedent established by the United States Supreme Court decision. (Topeka Laundry Co. v. Court of Industrial Relations, 119 Kansas 12.) Massachusetts. The first case involving the Massachusetts law was started by the commission in an effort to force a laundryman to allow his pay roll to be inspected. The defense claimed that the law was unconstitu tional, but the supreme judicial court of the State upheld it (1918). (Holcombe v. Cramer, 231 Mass. 99, 120 N. E. 354.) The only other Massachusetts case was based on the section of the law requiring newspapers to publish any names of firms not paying minimum-wage rates which the commission might submit. The section also pro vided a penalty for noncpmpliance. The Boston Transcript refused to comply with this -section. The case was carried to the supreme judicial court, which held this one section of the law unconstitutional. The court, however, reaffinned its earlier decision holding the law as a whole constitutional, stating that the case of Adkins v. Children’s Hospital did not govern, due to the nonmandatory features of the Massachusetts law (1924). (Commonwealth v. Boston Transcript, 249 Mass. 477.) RELATION OF THE COURTS TO THE MINIMUM-WAGE LAWS 321 Minnesota. The law of Minnesota has been before the courts not only on the question of its general constitutionality but as to its interpretation. In 1914, after the commission’s first wage orders were issued but before they became effective, two suits were brought to restrain the commission from enforcing the orders. The cases were argued jointly and a temporary injunction was granted. In all the other States the first decisions have been in favor of the law’s constitutionality, so that the law has gone on functioning. In Minnesota, however, the whole work of the commission was held up by this adverse decision. The cases were appealed to the supreme court of the State, which finally upheld the law (1917) and refused to grant a rehearing (1918). (Williams v. Evans, Ramer v. Evans, 139 Minn. 32, 165 N. W. 495, 130 Minn. 45, 166 N. W. 504.) Only then did the law really begin to function. In 1925 another case arose involving the question of the law’s constitutionality. (Stevenson v. St. Clair.) A. minor who had not received the legal minimum sued for back wages. The defense was that the law was unconstitutional. The district court granted the minor back pay and held that Adkins v. Children’s Hospital did not affect the status of minors under minimum-wage laws. The decision assumed that the law was unconstitutional for adult women. It may well he taken as the third case where State courts have, reversed themselves due to the United States Supreme Court decision in Adkins v. Children’s Hospital. Besides the question of the law’s constitutionality, two court cases arose, to question the powers of the commission. The commis sion in 1919 issued orders in which the minimum rate of pay was based on a wTeek of 48 working hours, with additional hourly rates for all hours worked in excess of this limit. The Miller Telephone Co. questioned the commission’s right to establish the rate on the 48-hour basis when the legal working hours set by the legislature were 54 and 58. The commission lost the case in the lower court, but was upheld by the State supreme court (1920). (Miller Tele phone Co. v. Minimum Wage Commission, 145 Minn. 262.) In 1921, due to the efforts of the commission to enforce its orders, the courts were asked to pass on what was a proper notification to the employer of the enactment of minimum-wage rates. The supreme court of the State held that under the law the commission must prove that the employer received a copy of the order before it could prosecute him for noncompliance. This led to an amendment to the law providing specifically what notification would be consid ered adequate before prosecution for noncompliance could be started. This case also raised the question of who were “ persons of ordinary ability,” a phrase used in the laws of Kansas, Massachusetts, Minne sota, and Nebraska, and in the Minnesota orders, to describe the normal experienced worker. It had been assumed that the commis sion had power to define and to determine who should be deemed workers of ordinary ability, entitled to the minimum-wage rates, but the State supreme court held that these matters were left to the courts. North Dakota. In North Dakota, as in Kansas, an injunction against specific orders (telephone and laundry) was asked on the ground that the 322 MINIMUM-WAGE LAWS IN THE UNITED STATES orders were not reasonable and had not been regularly passed and that the law was unconstitutional. The district court granted the injunction (1920) on the ground that the orders were not lawfully made nor issued, but did not pass on the validity of the law. The case was not appealed. (North Western Telephone Co. v. Work men’s Compensation Bureau, and Grand Forks Steam Laundry v. Workmen’s Compensation Bureau.) Oregon. The first State to pass any decrees was Oregon (1913). Imme diately thereafter a case was instituted (Stettler v. O’Hara) ques tioning the constitutionality of the law. Tire circuit court in 1913 and the State supreme court in 1914 upheld the law. The case then was appealed to the United States Supreme Court, which heard it for the first time in December, 1914, reheard it in 1916, and finally in 1917 handed down a decision by an evenly divided court, four justices sustaining the law, four holding it invalid, and one not participating, since he had previously taken part in the case as an advocate. (Stettler v. O’Hara, 243 U. S. 629.) This left the opinion of the Oregon Supreme Court, that the law was constitutional, the final decision in the case. The State supreme courts of Arkansas, Massa chusetts, Minnesota, and Washington soon after this decision upheld the laws in those States, and no one cared to carry the cases to the United States Supreme Court. California and Wisconsin, where the commissions either had moved very slowly or had suspended action, now felt that their laws were secure and proceeded to carry out the provisions of their acts. Texas. Although no decrees ever went into effect in Texas, due to the repeal of the law, the constitutionality of the law was sustained by the Texas courts. The provision in the Texas law corresponding to the provisions in all these laws to protect women who testified before the commission, was invoked when an employer discharged a woman who appeared before the commission. The defense claimed the law unconstitutional, but both the county court and the State supreme court upheld the law (1920). (Poye v. Texas, 89 Texas Criminal Reporter 182, 230 S. W, 161.) Washington. The first case testing the constitutionality of the law of Wash ington arose when a worker sued for back wages and the defense advanced the theory that the law was unconstitutional. Both the county court (1917) and the State supreme court (1918) upheld the law. (Larsen v. Rice, 100 Washington 642, 171 Pacific 937.) In 1920 another case questioning the constitutionality of the law reached the State supreme court on an appeal from the lower court which had dismissed the case. The supreme court again upheld the law. (Spokane Hotel Co. v. Younger, 113 Washington 359, 194 Pacific 595.) The only other reported Washington case arose when the courts were asked to pass on the powers of the commission in deter mining the substance of a decree. The Washington law provides that all rates for adult women must be based on recommendations of a duly constituted wage board. In 1918 the wage board for “all industries” recommended a weekly rate of $13.20. The commission RELATION OF THE COURTS TO THE MINIMUM-WAGE LAWS 323 said that this rate should be paid for an 8-hour day and a 6-day or 48-hour week. This worked out to give to the woman who worked the full legal limit of 56 hours, 8 hours of overtime at 27y2 cents per hour. The commission’s power to make such a ruling was ques tioned by a hotel owner who refused to pay more than $13.20 for a 7-day week. To enforce the decree the commission applied to the superior court, county of Spokane, which ruled that in the absence of specific recommendations on this point by the conference [wage board], the common-law rule that a week was seven days must be accepted as the basis for the rate. (State of Washington v. Moore, Mimeographed Opinion No. 6697, July 16, 1919.) Wisconsin. No case occurred in Wisconsin until after the United States Supreme Court decision in Adkins v. Children’s Hospital. In 1924, however, the Folding Furniture Co. applied to the Federal District Court for an injunction to restrain the commission from enforcing its orders. The court granted the injunction, holding the law uncon stitutional on the basis of Adkins v. Children’s Hospital. (Folding Furniture Co. v. Industrial Commission, 300 Federal 991.) Summary. After a stormy career, minimum-wage laws seem to be in a very dubious position as far as mandatory enforcement of wage rates is concerned. The higher courts of the States had held these laws to be constitutional, but the Supreme Court of the United States came to a different conclusion. Though the particular case decided by the Federal court, Adkins v. Children’s Hospital, arose under the Dis trict of Columbia statute, the decision is so broad in its scope that it has thrown doubt on all the State laws. It has had such a far-reaching effect on all minimum-wage laws that the basis for the decision and the reason for disagreeing with it must form a most important part of any attempt to understand the situation of such laws in the United States. The opinions—of Mr. Justice Sutherland for the court and of Mr. Chief Justice Taft and Mr. Justice Holmes dissenting—set forth succinctly the opposing views as to these statutes. Speaking for the court, Mr. Justice Sutherland said the following: The statute now under consideration is attacked upon the ground that it authorizes an unconstitutional interference with the freedom of contract in cluded within the guaranties of the due process clause of the fifth amend ment. That the right to contract about one’s affairs is a part of the liberty of the individual protected by this clause, is settled by the decision of this court and is no longer open to question. * * * Within this liberty are con tracts of employment of labor. In making such contracts, generally speaking, the parties have an equal right to obtain from each other the best terms they can as the result of private bargaining. ******* It is simply and exclusively a price-fixing law, confined to adult women (for we are not now considering the provisions relating to minors), who are legally as capable of contracting for themselves as men. It forbids two parties having lawful capacity—under penalties as to the employer—to freely contract with one another in respect of the price for which one shall render service to the other in a purely private employment where both are willing, perhaps anxious, to agree, even though the consequence may be to oblige one to surrender a de sirable engagement and the other to dispense with the services of a desirable employee. 324 MINIMUM-WAGE LAWS IN THE UNITED STATES The cooperative economies of the family group are not taken into account though they constitute an important consideration in estimating the cost of living, for it is obvious that the individual expense will be less in the case of a member of a family than in the case of one living alone. The relation between earnings and morals is not capable of standardization. It can not be shown that well-paid women safeguard their morals more carefully than those • who are poorly paid. Morality rests upon other considerations than wages; and there is, certainly, no such prevalent connection between the two as to justify a broad attempt to adjust the latter with reference to the former. As a means of safeguarding morals the attempted classification, in our opinion, is without reasonable basis. No distinction can be made between women who work for others and those who do not; nor is there ground for distinction between women and men, for, certainly, if women require a minimum wage to preserve their morals men require it to preserve their honesty. ******* The law is not confined to the great and powerful employers but embraces those whose bargaining power may be as weak as that of the employee. It takes no account of periods of stress and business depression, of crippling losses, which may leave the employer himself without adequate means of livelihood. To the extent that the sum fixed exceeds the fair value of the services ren dered, it amounts to a compulsory exaction from the employer for the support of a partially indigent person, for whose condition there rests upon him no peculiar responsibility, and therefore, in effect, arbitrarily shifts to his shoulders a burden which, if it belongs to anybody, belongs to society as a whole. The feature of this statute which, perhaps, more than any other, puts upon it the stamp of invalidity is that it exacts from the employer an arbitrary payment for a purpose and upon a basis having no causal connection with his business, or the contract or the work the employee engages to do. * # * * * * * It has been said that legislation of the kind now under review is required in the interest of social justice, for whose ends freedom of contract may lawfully be subjected to restraint. The liberty of the individual to do as lie pleases, even in innocent matters, is not absolute. It must frequently yield to the com mon good, and the line beyond which the power of interference may not be pressed is neither definite nor unalterable but may be made to move, within limits not well defined, with changing need and circumstance. Any attempt to fix a rigid boundary would be unwise as well as futile. But, nevertheless, there are limits to the power, and when these have been passed it becomes the plain duty of the courts in the proper exercise of their authority to so declare. To sustain the individual freedom of action contemplated by the Constitution is not to strike down the common good but to exalt it; for surely the good of society as a whole can not be better served than by the preservation against arbitrary restraint of the liberties of its constituent members. It follows from what has been said that the act in question passes the limit prescribed by the Constitution. * * *. Mr. Chief Justice Taft, dissenting, said the following: Legislatures in limiting freedom of contract between employee and employer by a minimum wage proceed on the assumption that employees, in the class receiving least pay, are not upon a full level of equality of choice with their employer and by their necessitous circumstances are prone to accept pretty much anything that is offered. They are peculiarly subject to the overreaching of the harsh and greedy employer. The evils of the sweating system and of the long hours and low wages which are characteristic of it are well known. Now, I agree that it is a disputable question in the field of political economy how far a statutory requirement of maximum hours or minimum wages may be a useful remedy for these evils, and whether it may not make the case of the oppressed employee worse than it was before. But it is not the function of this court to hold congressional acts invalid simply because they are passed to carry out economic views which the court believes to be unwise or unsound. Legislatures which adopt a requirement of maximum hours or minimum wages may be presumed to believe that when sweating employers are prevented from paying unduly low wages by positive law they will continue their busi ness, abating that part of their profits, which were wrung from the necessities of their employees, and will concede the better tei'ms required by the law; and RELATION OF THE COURTS TO THE MINIMUM-WAGE LAWS 325 (liat while in individual cases hardship may result the restriction will enure to the benefit of the general class of employees in whose interest the law is passed and so to that of the community at large. The right of the legislature under the fifth and fourteenth amendments to limit the hours of employment on the score of the health of the employee it seems to me, has been firmly established. ******* If it be said that long hours of labor have a more direct effect upon the health of the employee than the low wage, there is very respectable authority from close observers disclosed in the record and in the literature on the subject'quoted at length in the briefs that they are equally harmful in this regard. Congress took this view and we can not say it was not warranted in so doing. ******* Without, however, expressing an opinion that a minimum-wage limitation can be enacted for adult men, it is enough to say that the case before us involves only the application of the minimum wage to women. If I am right in thinking that the legislature can find as much support in experience for the view that a sweating wage has as great and as direct a tendency to bring about an injury to the health and morals of workers, as for the view that long hours injure their health, then I respectfully submit that Muller v. Orgeon, 208 U. S. 412, controls this case. The law which was there sustained forbade the employment of any female in any mechanical establishment or factory or laundry for more than 10 hours. ******* I am not sure from a reading of the opinion whether the court thinks the authority of Muller v. Oregon is shaken by the adoption of the nineteenth amendment. The nineteenth amendment did not change the physical strength or limitations of women upon which the decision in Muller v' Oregon rests The amendment did give women political power and makes more certain that legislative provisions for their protection will he in accord with their interests as they see them. But I don't think we are warranted in varying constitutional construction, based on physical differences between men and women, because of the amendment. ******* And Mr. Justice Holmes, also dissenting, said this: To me, notwithstanding the deference due to the prevailing judgment of the court, the power of Congress seems absolutely free from doubt. The end to remove conditions leading to ill health, immorality, and the deterioration of the race, no one would deny to be within the scope of constitutional legislation The means are means that have the approval of Congress, of many States, and of those governments from which we have learned our greatest lessons, when so many intelligent persons, who have studied the matter more than any of us can. have thought that the means are effective and are wortli the price, it seems to me impossible to deny that the belief reasonably may be held by reasonable men. ******* It will need more than the nineteenth amendment to convince me that there are no differences between men and women, or that legislation can not take those differences into account. ******* This statute does not compel anybody to pay anything. It simply forbids employment at rates below those fixed as the minimum requirement of health and right living. It is safe to assume that women will not be employed at even the lowest wages allowed unless they earn them, or unless the employer’s busi ness can sustain the burden. In short, the law in its character and operation is like hundreds of so-called police laws that have been upheld. CHAPTER XIV.—APPROPRIATIONS AVAILABLE FOR MINIMUM-WAGE ACTIVITIES In this report it has been said repeatedly that certain omissions, certain failures to reach a high standard of work, must not be laid at the door of the commissions administering minimum-wage laws but at the door of the legislatures that failed to appropriate enough money to carry out this complicated plan of State regulation of rates of pay. It is, of course, true of any plan that it functions better if adequately financed, but this was peculiarly true of minimum-wage laws. After all, these laws did not establish rates of pay, but instead they set up the machinery for determining what rates of pay would be lair, enacting those rates and enforcing them. This made the law very much more expensive to carry out than a law where the legis lature laid down certain rules and designated a certain body as the agency to enforce those rules. A great deal of time and effort must be expended in investigations and setting rates, as well as in enforcing rates. That the commissions needed funds that would permit adequate investigation as well as thorough enforcement has seldom been recognized by the legislatures. SUMS FOR ADMINISTRATION CARRIED BY THE MINIMUM-WAGE ACTS Some idea of what the legislatures contemplated the cost of ad ministration and enforcement would be may be obtained by seeing what sums were set aside for these purposes in the original acts. California, North Dakota, Oregon, and Washington provided in their first laws that a fixed sum was to be appropriated annually to meet the expenses involved in carrying out the act. The sums speci fied were: California, $15,000; North Dakota, $6,000; Oregon, $3,500; Washington, $5,000. The section of the California law carrying this appropriation requirement was repealed in 1923, and that of North Dakota in 1927, so the legislatures no longer are required to make any appropriation for minimum-wage work. Four other States— Colorado, the District of Columbia, Minnesota, and Texas—included in the original law an appropriation ($5,000) to become effective at once, so that the work of carrying out the law could be started immediately. In the District of Columbia and Minnesota this sum, appropriated on an annual basis, became the accepted sum which the legislature granted the commission each year. The remaining five States—Arkansas, Kansas, Massachusetts, Nebraska, and Wiscon sin—took no notice whatsoever in the original act of how the expense of applying the law was to be met. 326 APPROPRIATIONS AVAILABLE FOR MINIMUM-WAGE ACTIVITIES 327 ACTUAL SUMS CARRIED IN APPROPRIATION ACTS FOR THE WORK In making annual appropriations for administering and enforcing minimum-wage laws the legislatures have designated the sums to be applied exclusively to this work as follows: Table 57.—Amounts appropriated for minimum-wage work, by State and year ISecond line under any State is either an additional appropriation or a deficiency appropriation! State 1913 Arkansas............. ................. 1914 1915 1916 1917 1918 i $300. 00 i $300. 00 i $475. 00 $15,000. 00 $15,000. 00 15, 000. 00 15, 000.00 21,100.00 3, 308. 875 3, 308. 875 500. 00 $750.00 750. 00 i, 500. 00 1, 500. 00 1919 7, 000.00 19, 900.00 5, 000. 00 5, 000. 00 17, 9C0.00 17, 400.00 5, 000. 00 5, 000. 00 3, 500. 00 3, 500. 00 5, 000. 00 18, 212.13 5. 000. 00 2, 000. 00 7, 500. 00 18, 263.00 5, 000. 00 2, 000. 00 i1) 5, 000. 00 (2) 5,000. 00 5, 000.00 () 12, 400.00 5, 000. 00 12, 400.00 5.000. 00 (2) i $475. 00 21,100. 00 500. 00 1, 800. 00 3, 750.00 7, 500. 00 22,000.00 5, 000. 00 2, 750. 00 5,000. 00 5, 000. 00 (2) 1920 1921 1924 1925 1926 Colorado........ ......................... District of Columbia.......... Texas.._______ __________ State 1 $250. 00 42,000. 00 7, 250. 32 1,800. 00 District of Columbia............ 5,000. 00 Kansas__________ ________ 8, 000. (X) 18, 600. 00 Minnesota________ _______ 5, 000. 00 6,000. 00 2, 750. 00 5, 425. 00 2,000. 00 (2) 1922 1923 i $500. 00 i $500. 00 i $500. 00 42, 000. 00 65, 492. 50 65, 492. 50 7, 250. 32 7, 627.475 7, 627. 475 1, 800.00 1, 800. 00 2, 400. 00 5, 000.00 5, 000. 00 5,000. 00 (2) 8, (XX). 00 (2) 3 533.00 11,600.00 11, 600.00 19, 250.00 18, 250. 00 5, 000.00 (2) (2) i$l, 000.00 28, 030. 00 2, 400. 00 5, 000.00 (!) ‘1,600.00 16, 300. 00 (!) 16, 500. 00 (2) 17, 400. 00 5,100. 00 4, 250. 00 (2) 5,100. 00 3, 543. 50 (2) 4, 550. 00 3, 543. 50 (2) 4, 550. 00 3, 543. 50 (2) 3, 250. 00 3, 543. 50 (2) (!) c) m (!) 1 900. 00 6, 000. 00 4, 250.00 5, 425. 00 2, 000. 00 (2) $1, 000.00 28,030.00 $39, 262. 50 o m 1 Only appropriation designated by legislature as for minimum wage, but the general funds of the bureau or commission administering the law were to include minimum-wage work. 2 Fund appropriated for body administering minimum wage along with other labor laws. Exact amount assignable to minimum wage can not be determined. 3 Only appropriation designated by legislature as for minimum wage, but the general funds of the bureau or commission administering the law were to include minimum-wage work. A consolidation during the fiscal year made void the original appropriation, necessitating a special appropriation on the basis of the new arrangement to complete the fiscal year. * A consolidation during the fiscal year made void the original appropriation, necessitating a special appropriation on the basis of the new arrangement to complete the fiscal year. Even without taking into consideration any of the factors that controlled the volume of work the commissions must perform— such factors, for example, as whether or not they were called on to do other work than minimum-wage investigation and enforcement, how many women must be covered in the minimum-wage work, and so on—it is important to see just what sums were appropriated by the various legislatures specihcallv for minimum-wage work. Cali fornia ha£ had appropriations so much larger than those of any other State that from 1918 on its lowest appropriation ($21,100 for 1918 and 1919 each) was almost identical with the highest appro607690—28----- 22 328 MINIMUM-WAGE LAWS IN THE UNITED STATES priation ever granted in any other State ($22,000 in Massachusetts in 1919). Its highest appropriation, $65,492.50 in 1922 and in 1923, was three times as great as this highest sum in Massachusetts, and in addition the canners’ audit gave the California commission an extra $7,621,475 for each of these years. A study of Wisconsin’s report on expenditures reveals occasional small sums out of the large industrial commission appropriation assigned to minimum wage, but manifestly a large part of the sum charged to the woman’s depart ment also must have been spent on minimum-wage enforcement, so that no estimate of the cost of this one law can be made. The appro priations in the remaining States are for the mo,st part $5,000 or less. Kansas, which alone of these States had an appropriation uni formly over $5,000, required its commission to decide what the legal working hours and sanitary rules should be and to enforce these decisions in addition to its minimum-wage work. One of the effects of the consolidation of all labor-law enforce ment in the hands of one agency is apparent in this table. When minimum-wage work was assigned to the body enforcing general labor laws, it is impossible to ascertain the cost of the minimumwage law. For instance, in Wisconsin no comparison can be made at any date, since outside of the small special appropriations in 1916 and 1917, when work on minimum wage was practically at a stand still, it has not been possible to ascertain what part of the industrial commission appropriation went for minimum-wage work. In Kan sas, Minnesota, and Washington the same situation exists since the independent minimum-wage commissions were abolished. The facts that are known about the exact sums appropriated therefore are far from complete. Moreover, almost all the appropriations are quali fied in some way which reduces somewhat their availability for min imum-wage work. The first possible qualification is whether any work other than minimum wage had to be taken care of from these appropriations. In six States—Colorado, the District of Columbia, Massachusetts, Minnesota, Texas, and Wisconsin—any sums shown on this table are for minimum-wage work only. In Colorado the law never functioned and in Texas it functioned for only a year and a half. In Wisconsin the sum given in the table was a small special appropriation. Only in Massachusetts, Minnesota, and the District of Columbia does the appropriation represent the exact figures available over a period of time for minimum-wage work. In California, Oregon, and Wash ington the sums appropriated went to set up and enforce sanitary standards and certain hour limitations in addition to those estab lished by the legislature, as well as to administer and enforce the minimum-wage laws. In all three of these States, however, the minimum-wage work formed such an overwhelmingly predominant part of the activities that these appropriations may be taken as a close approximation of the amount spent on minimum-wage work. In Kansas and North Dakota all labor laws relating to women were enforced through this appropriation. In addition, the Kansas com- APPROPRIATIONS AVAILABLE POE MINIMUM-WAGE ACTIVITIES 329 mission supported by this appropriation had to establish as well as to enforce the hour and minimum-wage regulations. It is not pos sible to say of either Kansas or North Dakota just what part of the appropriation went for any particular work, so the sums for these two States must be classed as considerably overestimated when the cost of minimum vTage alone is considered. In Arkansas, enforce ment of all laws concerning women and children seems to be primarily the concern of the industrial welfare commission, but until 1924 the only minimum-wage appropriations were for occasional services. The bureau of labor statistics did any regular inspection that was car ried on, and its work was supplemented by volunteer service and by the irregular help provided in the appropriations. It is thus pecu liarly difficult in this State to know where the appropriations were spent and how largely they were supplemented from the bureau of labor statistics appropriations. There are really only six States— California, District of Columbia, Massachusetts, Minnesota, Oregon, and Washington—whose appropriations can be said to represent almost wholly work on minimum wage. The appropriations in these States range from $2,000 in Oregon in 1917 and in 1918 to $65,492.50 in California in 1922 and in 1923. It does not seem possible tha't even the much less number of women workers in Oregon could justify so great a difference in appropriation. Since there is such a wide divergence in appropriations, it may be possible that the amount of money available for carrying out the laws influenced the laws’ development in certain particulars. In the first place, a rough comparison may be made between the number of women who w ere covered by minimum-wage decrees and the number of women whom it would seem practicable for the decrees to cover under the terms of the law. The table which follows shows these figures in terms of the United States Census of Occupations, 1920. It must be remembered that all the figures in this table are for the year 1920, and that they are only estimates of the number of women covered by the decrees, since, as explained in detail in an earlier section of this report, the classification of occupations used by the United States census in many cases is very unlike the classification of industries and occupations followed by the minimum-wage decrees. The figures presented in the table, however, would seem to be a fairly valid basis for comparison, since the same difficulties occur from State to State and result in the same kind of omissions or over estimates. 330 MINIMUM-WAGE LAWS IN THE UNITED STATES Table 58.—Women covered by minimum-wage decrees, by State and year [Based on figures from the United States Census of Occupations, 1920. preceding] State Number of women wage earners to whom it is prac ticable to apply the mini mum wage law1 3 157, 493 30, 225 5 60,113 42, 551 374, 940 86, 081 9, 522 29, 836 84,378 52,441 101,800 State See paragraph immediately Number of women covered by decrees in— 1914 1916 1917 3 29,833 1913 1915 4 57,077 4 162,455 4, 526 84, 596 24,321 84, 596 29, 745 84, 596 13,577 9 36, 712 86,081 1918 742 742 84, 596 6,663 29, 836 29,836 29,150 29, 611 29,611 42,345 . 46,614 46, 614 46, 614 52,441 1923 1924 4 180, 294 4 180, 294 4 180,294 20,159 62,120 86, 081 6, 048 29, 611 20,159 63, 606 86, 081 6,048 29, 611 20,159 65, 903 86, 081 6,048 29,611 31, 432 101, 800 31,432 101,800 31, 432 101, 800 1919 1920 4 180, 294 5, 961 20, 159 40, 484 86, 081 29, 611 4 183,170 9,300 20,159 61, 877 86, 081 9,318 29, 611 52, 441 101, 800 52,441 101, 800 1921 1922 4 180, 204 4 180, 294 10, 548 10, 548 20,159 20,159 62,120 62,120 86, 081 86, 081 9,318 6,048 29, 611 29,611 42, 784 31,432 31,432 101,800 101,800 1925 1 All gainfully occupied women in the State minus those women who are owners or in supervisory posi tions, women in industries and occupations excepted in the laws, and women in domestic service and agriculture. 2 A considerable underestimate, because the census figures were obtained for January, the slack season in the State’s large canning industry. It is probable that at least 25,000 more women are employed when the canneries are running full force. The Census of Occupations, for instance, shows 5,005 women in canning and packing, but the Census of Manufactures shows 31,771 women so employed at the peak of the season of the preceding year. 3 This figure is from the Census of Manufactures, the figure in the Census of Occupations being an under estimate, since it is for January when the canning industry is running with only a fraction of the force that it employs during the canning season. <This figure is a combination of the Census of Manufactures and the Census of Occupations to try to take care of the canning industry. 3 An overestimate, since it is impossible to separate the women who are clerks in the Government serv ice. These women could not be included in any minimum-wage decree issued by the commission,, but since the census does not indicate where clerical workers are employed they are all included in this figure. 6 An underestimate, since it does not include any figure for muslin underwear nor for retail millinery. Six States—California, Minnesota, North Dakota, Oregon, Wash ington, and Wisconsin—have at some time covered by specific decrees almost all the women that were employed in those occupations where it was practicable to apply the law. The District of Columbia has made a much better showing than this table would indicate, since 43,076 of the woman wage earners included in the practical total are office workers, of whom the greatest number are Government employees. Moreover, a representative group of the remainder who work in private offices were investigated by the commission and their rates were found to be so high that minimum-wage action was un APPROPRIATIONS AVAILABLE FOR MINIMUM-WAGE ACTIVITIES 331 necessary. This would mean that of a possible 16,960 women who might need the aid of minimum-wage laws, 10,548 were covered by decrees. Of the States whose laws functioned for any length of time, only Kansas and Massachusetts failed to cover the vast major ity of their woman wage earners. From this table alone the comment on whether or not the amount of money available might influence the development of the law would seem to be that only a very small yearly sum was needed to put a minimum-wage law in force. The commissions and wage boards either were unpaid or were paid only for actual time on minimumwage work. The appropriation could go almost wholly to support ing an executive office to enforce the decrees and to make investiga tions of conditions to see whether or not it was necessary to set new decrees or to revise old ones. Stated in this way it seems possible that this scheme of setting rates could be carried out at very small expense to the taxpayer. When the problems of investigation and enforcement are remembered, however, it becomes difficult to under stand how these smaller appropriations could bo stretched to cover so much ground. If one looks back over this report, the administrative work done by two States—California and Massachusetts—is quoted constantly. For instance, the most approved type of investigation and inspec tion—that of having the inspectors copy actual pay rolls for rates and earnings figures—has been followed by Massachusetts in every industry, and by no other State. The most inclusive investigations and inspections have been made by California in its pay-roll calls. Both these States have had a cost-of-living study, either by the commissions’ agents or by the wage board, before each decree was set. The most careful scheme of getting wage-board members, and providing these boards with the material necessary for them to function properly, is found in Massachusetts. The only detailed plans for dealing with pieceworkers and apprentices are found in California. Is not the fact that these two States have had the most adequate appropriations one main reason why they have done such careful work? When it is realized that Massachusetts has included in its decrees only some 75,000 women out of a possible 375,000, it is clear that the cost per woman is not much lower in Massachu setts than in California, in spite of the much smaller appropriations. There seems to be no doubt that the amount of the appropriation decides how carefully the work may be done and the number of women who may be included in the decrees. With small appropria tions either careful work or inclusive decrees must be sacrificed. CHAPTER XV.—CHANGES IN THE POSITION OF WOMAN WORKERS DURING THE PERIOD OF MINIMUM-WAGE ACTIVITY It has been emphasized in this report that material is not available to prove or disprove beyond a doubt that minimum-wage laws have produced certain specified results. Those elements in the community most opposed to the law claim that it has driven industry from the State, thus injuring the general prosperity and decreasing the em ployment available for women; that it has thrown the less efficient women out of work; that the minimum rate has in fact become the maximum, thus holding down the rates of the more efficient workers; but if they offer any proof at all, it is only isolated examples, not figures based on large groups of women. The proponents of the law usually make more modest claims as to the positive results of the decrees. They contend that the law has raised wages substantially; particularly that it has aided the women in the lowest paid groups, who were most in need of this help. They deny that the minimum has become the maximum or that industry has been driven from the State. They deny that any considerable number of the less efficient workers have been injured by the law and contend that, in those cases where such women lost their jobs, the situation usually could have been adjusted through change of work within the establishment, or through apprenticeship or infirm permits, if the employer had co operated to the fullest extent in applying the law. Since the claims of bad effects quite generally are more sweeping than the claims for good effects, it is easier to disprove them with the material available than it is to prove the actual accomplishments of the law. There are two insurmountable obstacles to coming to absolutely dependable conclusions about the results of the laws. The first is the complexity of the field in which these laws functioned. Ob viously it is impossible to isolate from all other economic forces the establishments and woman workers directly affected by minimumwage rates and watch results of the law’s operation, as a chemist isolates one element in a test tube and tests the effect upon it of a single agent such as heat. Moreover, it is impossible even to evaluate their influence in relation to other items such as a war-time scarcity of labor accompanying an enormously increased demand for com modities, unionization of a group of workers, shutting off of ma terials, unusually high taxes, and countless other factors that bear on the condition of an industry. The period of time during which they have been in operation has been a period when business has had to meet not only all the usual pressure from varied economic forces but the unusual conditions always found during war and postwar periods. For example, in 1915 the brush industry in Massachusetts claimed that its general prosperity was greatly harmed by the setting of a minimum-wage rate in 1913, but failed to attribute any of its difficulties to the fact that the Great War shut off all the world’s best bristles, which came from Russia. To proponents of the laws it 332 CHANGES IN THE POSITION OP WOMAN WORKERS 333 seemed that any bad effect that the increased rates had on profits was infinitesimal beside the loss of the supply of superior raw material. This is, of course, an obvious case of other and stronger influences working in the same field as that of a minimum-wage decree. It is always true, though, that a dozen small causes, none of them neces sarily very evident, affect wages, the amount of employment avail able, the general prosperity of the industry, in every case where minimum wage regulates rates of pay for woman workers. This interrelation of economic factors affects the different claims in varying degree. If minimum-wage laws are only one of a dozen factors affecting industry, it is hard to substantiate the claim that they are responsible for any specific industry’s being unable to con tinue operations, even though a few cases of firms failing or moving from a State after being included in a minimum-wage decree can be found. The contention that minimum wage has caused widespread dismissal of workers also is reduced to the citing of examples in which the employer is willing to testify that the minimum-wage rate alone caused a woman’s dismissal, since a figure showing a de crease in the number employed in a given industry where there was a minimum-wage decree might result from any number of causes other than minimum wage. On the other hand, this very interrela tion makes it harder to prove that there is no danger of the minimumwage rate becoming the maximum, particularly in a time of stable prices, or that minimum-wage rates have raised actual rates and earnings substantially. This is due to the unusual conditions under which minimum wage has functioned, for during a large part of the period in which the laws have been in operation, and particularly during the years for which the most information is available, war con ditions caused a rise in wages throughout the country and gave women an unusual opportunity to obtain better-paid jobs. It is just possible that in a normal period the minimum might have become the maximum for most of the workers; it is also possible that, during the period of feverish war activity, rates and earnings, particularly rates and earnings in those industries directly affected by war demands, would have shown as great an increase without any minimum-wage laws. The fact that the field in which the laws operated is so complicated makes it of the greatest importance that this report bring together all available figures on woman workers in minimum-wage States, to see in what way the women’s position has changed and to try to de termine how far the change was due to minimum wage. This raises, however, the second serious obstacle to proving the results of mini mum-wage decrees. This is the question of whether the material available on rates, earnings, numbers of employees, numbers of ap prentices, growth of business, and so on, is sufficient to substantiate the claims as to results, granted that minimum-wage decrees are con sidered the dominant factor in the wage situation. For this section of the report every available figure of the minimum-wage commis sions, either in their published reports or in their files, and some com parable figures from State and Federal censuses and from the Women’s Bureau’s reports have been studied. With the exception of some figures collected by the Women’s Bureau in Arkansas, this material from the commissions is the only available source for de 334 MINIMUM-WAGE LAWS IN THE UNITED STATES termining actual changes in rates and earnings during the period of minimum-wage activity. As explained in an earlier section of this report (pp. 53 to 75) the State figures were collected by different methods and for varying numbers of women. However, if these fig ures are examined simply as showing changes in rates and earnings and not in an attempt to prove the impossible, these differences in method and number do not destroy the value of the figures. Before discussing the actual figures on rates and earnings it seems necessary to explain why the tables showing all the available data have been omitted and only quartiles and medians are presented. If complete tables showing the exact numbers of women in each rate and in each earnings group had been reproduced, the mass of mate rial would have been much greater than was necessary to show gen eral changes. Unusual situations, often of interest but not of lasting significance, have been lost by using these computations which show only what is happening to the group considered as a whole, but a basis of comparison from year to year and from State to State is gained, and these comparable figures are few enough in number to be discussed clearly. After all, the changes in the position of the whole group of workers, with particular emphasis on the lower-paid workers, are the concern of this report. There is, however, one danger in using these computed figures— quartiles and medians—and that is that they may be treated as exactly comparable with the absolute minimum-wage rates. It must always be kept in mind that the first quartile represents a figure below which are found 25 per cent and above which are found 75 per cent of the women for whom rates or earnings are available; that the median marks the line where 50 per cent of the women are below and 50 per cent are above; and that the third quartile is the reverse of the first, or the line where 75 per cent of the women are below and 25 per cent are above. Particularly these computed figures, stand ing alone, do not afford a basis on which to judge the adequacy of minimum-wage enforcement. In some cases even the first quartile is so high that it is obvious that practically all the women in the table are receiving the minimum rate; but cases where a first quartile comes at about the minimum rate do not indicate that the law is not being enforced, since lower rates for minors and apprentices easily may account for 25 per cent of the women in the table. The discussion that follows must be understood to be with the purpose of showing how the position of the whole body of woman workers has changed during the years minimum-wage laws have been in force. CHANGES IN RATES AND EARNINGS OF WOMAN WORKERS The first comparison to be made is to study the changes which occurred chonologically within one State. Medians and the two quartiles have been calculated to see what changes there were in the rates paid the middle and perhaps most typical worker and how the typical workers in the lowest and highest paid groups were affected. Arkansas. Though the inflexible rates of the Arkansas law went into force in 1915, the flexible rates in mercantile establishments only became effective in Fort Smith in 1920 and in Little Rock in 1922. In CHANGES IN THE POSITION OF WOMAN WORKERS 335 1922, before the first rate set in Little Rock and before a revision of rates in Fort Smith, the Women’s Bureau made a study of rates and earnings of woman workers in Arkansas.1 The Women’s Bureau was able also to collect figures for practically the same mercantile estab lishments in Fort Smith and Little Rock in 1924. No figures on either rates or earnings collected by the Arkansas Industrial Welfare Commission were available for study. Table 50.—Median and quartile rates and earnings in Arkansas, 1022 and 1924, by industry1 [Figures n roman were secured by investigation before a decree; those in italic by inspection following a decree] A. MEDIAN State at large State at largo out side of Fort Smith Fort Smith Little Rock Date of survey Rate 1922 Laundry... ............. Manufacturing........... Earnings Rate Earnings $9. 75 9.G5 $14. 30 $12.95 1924 Mercantile.......... ......... Earnings 2 $15.20 2 $15.15 $14.30 $12. 75 13.80 $10. 05 10. 30 Rate 13.95 16.10 14.35 Rate Earnings B. QUARTILES (MERCANTILE) First quartilo Year Fort Smith Rate 1922...... ......................... 1924....................... Earnings 2 $18. SO 12.25 2 $13. 25 12.25 Third quartile Little Rock Rate $10. 30 12.00 Earnings $9. 10 10.50 Fort Smith Rate Earnings 2 $20.10 17.65 2 $20.00 18.20 Little Rock Rate $18. 25 18. 40 Earnings $17. 75 18.15 1 For numbers of women on which these figures are based see Appendix E, p. 609. 2 Figures necessarily constitute an inspection, since they were collected after a decree was set, but they were available also as investigation figures in determining the necessity for revising the decree in question. In 1922 the laundry and manufacturing industries, and the mer cantile industry outside of Fort Smith, were required to pay a minimum rate of $7.50 to experienced workers. This statutory rate, set in 1915, was much lower in 1922 than the rates set by decree in any State under the terms of the flexible laws, anil far below the $13.25 rate which mercantile establishments in Fort Smith were required to pay. Low as this $7.50 rate was, the Women’s Bureau investigation showed 50 women out of 1,589 to be paid a rate of less than $72 and 115 other women to be receiv ing $7 but less than $8. Moreover, in the laundry and manufactur ing industries the median rate and the median earnings—that is, the rate or the earnings figure that marks the point where 50 per cent of the women receive sums below and 50 per cent receive sums above— are much lower than the median rate or the median earnings for 1 U. S. Department of Labor. Women’s Bureau. Women in Arkansas industries. 1923. 2 Not necessarily violations of the law, since an apprentice rate of $G was provided, and also since very small business units were exempt. 336 MINIMUM-WAGE LAWS IN THE UNITED STATES the mercantile industry, even when Fort Smith with its higher mini mum-wage rate is omitted from the mercantile figure. These figures seem to indicate that, low as was the $7.50 rate, it exercised some influence on rates, and that the higher rate, $13.25, raised rates very considerably not only in Fort Smith but indirectly throughout the State. Though it may seem extreme to claim that a minimum-wage rate in one city—and that not the metropolis of the State—could influence rates throughout the State, figures collected by the Women’s Bureau in 12 of its State studies, including Arkansas, show only one other State, New Jersey, with a median rate in mer cantile establishments greater than this in Arkansas. The New Jersey figure is $14.95. No other State has a median rate in mer cantile establishments as high at $14. Since no other cause or group of causes for this high rate is discoverable, it seems only fair to give the credit to the minimum-wage rate. If the 1924 figures are considered in relation to those of 1922, it becomes even more evident that the minimum-wage rate in mercan tile stores had a very great effect on rates and earnings. Just after the 1922 figures were collected the $13.25 rate for mercantile estab lishments in Fort Smith was lowered to $11, and Little Rock was in cluded in the decree. Both median rate and earnings in Fort Smith dropped, but in Little Rock they rose in the same period of time. Since rates in mercantile establishments in these two Arkansas cities show such a direct reaction to minimum-wage rates, it is im portant to see what was their effect on the lowest paid workers, and whether the minimum rate tended to become the maximum. Section B of Table 59 gives the two quartiles for the same workers whose medians have just been discussed. These figures agree with the medians in that they show that earnings in both the lower and the higher paid groups varied directly with changes in the minimumwage rate. The first quartiles, for Fort Smith in 1922 and for both Fort Smith and Little Rock in 1924, show that 75 per cent of the women were paid rates that exceeded the minimum-wage rate by 5 cents to a dollar or more. Moreover, of the women who received less than the median rate, those most poorly paid were directly bene fited by the decree, as is shown by the increase in the quartile rate for Little Rock and the decrease in that rate for Fort Smith. It' the figures for those women who received less than the first quartile rate are studied, they seem to show that the minimum rate affects every woman directly, even those who, because of apprentice ship rules, exemptions, and possible violations, do not receive the minimum rate. For example, in 1922, 2.5 per cent of the women investigated in Fort Smith received a rate of under $11 per week, 1.9 per cent receiving a rate of $10 and under $11, and one woman, or 0.6 per cent, receiving a rate of under $10. On the other hand, in Little Rock 28.2 per cent of the women were in the under $11 group, 6.2 per cent receiving over $10 and under $11, and 22 per cent receiving less than $10. Two and a half per cent, when contrasted with 28.2 per cent under $11, is striking enough, but when the 1924 figures are examined the effect of the wrage rate becomes even more apparent. In Fort Smith, where the rate was lowered, the per cent of women who received a rate of under $11 increased to 6.3. In Little Rock, where the rate was raised, the per cent decreased to 17.6. The regu 337 changes in the position op woman workers larity with which all these actual rates of pay varied directly with changes in the minimum-wage rate shows the extent to which this decree has aided the lowest paid worker. Not only does the contention that the minimum wage becomes the maximum fail to fit in with the fact that the median rates are in all cases well above the minimum, but it is disproved by the sums shown by the third quartiles, which give the position of the typical worker receiving more than the median rate. Though this figure varies directly as the minimum rate is raised or lowered, it always remains well above the minimum rate and also well above the median rate. Any industry with a minimum rate of $13.25 which pays 25 per cent of its workers $20 or more, or with a minimum rate of $11 which pays 25 per cent of its workers at least $17.65 (in Fort Smith) or at least $18.40 (in Little Rock) can not be said to be reducing all its workers to a dead level, that of the minimum-wage rate. These Arkansas figures appear to show that all workers, the low paid and the high, are directly affected by changes in the minimum-wage rate, so that a raise in these rates benefits all grades of workers. In this discussion little attention has been paid to median earnings, since they show exactly the same movement as the rates under changed conditions with respect to minimum-wage rates. The greatest significance of these earnings figures is that they almost always are less than the rates, and that often the difference really is considerable. The women live on what they earn, not on their rate, so that a general tendency for earnings to run below rates should be taken care of when the rate is set. A commission or wage board which fails to set minimum rates high enough to meet the true cost of living really is doing the women an even greater injustice than appears on the surface. California. All the figures for California are from studies made by the indus trial welfare commission. The following table gives changes in median and quartile rates and earnings as shown by these investiga tions : Table 60.—Median and quartile rates and earnings in California, 1 9 I/, to 1925, 6y industry1 [Figures in roman were secured by investigation before a decree; those in italic by inspection following a decree] A. MEDIAN Manufacturing Year 1914....................... ....................... 1916 ... 1917........ ............................. .......... Rate Earnings Mercantile Rato Earnings $9. 80 $8. 35 $9. 20 9.00 10. 65 10.90 1918........................................... . 1919 ....................................... . 1920_......................................... . 1922 2_........... ........................... . 1923...... .......................................... 1924................................................. 1925___ ______ ______________ 12. 35 IS. 55 17. ko 17. 65 17.90 18.10 18.20 $11.35 IS. 50 17.10 17.00 17. SO 17.60 17.70 IS. 00 IS. 70 17.60 19.15 18. 65 19.15 19.20 Laundry . Rate $18. SO IS. 85 17.35 18.85 18.90 19. 35 19.50 9. 75 10.60 11.85 12. 65 15.10 17. 70 17.90 17.90 18.70 18.80 Earnings $8.30 9. 40 10. 25 11.95 IS. 85 17. 25 17.85 17.50 17.85 17.95 1 For numbers of women on which these figures are based see Appendix E, p. 609. * Figures necessarily constitute inspections, since they were collected after decrees were set, but they were available also as investigation figures in determining the necessity for revising the decrees in question. MINIMUM-WAGE LAWS IN THE UNITED STATES 338 Table 60.—Median and quartile rates and earnings in California, 19to 19251 by industry—Continued B. QUARTILES Third quartile First quartile Year Manufac turing Mercantile Rate Earn Rate ings $6. 85 Earn ings Rate Earn Rate ings $6.80 8.65 10.15 $9.10 'll. 35 14.85 13.85 14. 35 14. 85 14.80 10.95 $10. 65 IS. 50 11.65 16. 50 14. 95 16.90 16. 45 17.05 16. 70 17.25 16.95 17.25 17.00 Mercantile Earn ings 7. 75 8. 70 1017 Manufac turing $7.95 8.05 $7. 55 1919 ................ 10.45 IS. £5 1920_................. . 16.80 1922 K.................. 16.45 1923.................... 16.55 1924..................... 16.75 1925. ................... 16. 70 Laundry 10.05 10.55 11.10 13.50 16.65 16. 85 16. 85 17.20 17.25 $10. 25 Rate Laundry Earn ings Earn ings $10. 95 10. 45 3$12.00 Rate $9. 75 312. 00 13.75 11.65 8.75 10.25 12. 75 15.55 16.05 16.10 16.35 16.40 14. 35 $14.OO 16. 50 16. 85 19. 75 20. 05 20.15 19. 85 20. 55 20.50 21.10 21.05 21.25 21.50 15.80 $16.65 16.1,0 17.05 19. 90 20. 65 21.55 22.05 22.15 22.90 22. 90 23. 75 23.15 24. 20 11.80 IS. 55 14.85 17.10 19.80 20.00 20.05 21.15 21.35 11.00 11.35 14,10 16.65 19.40 19.55 19.60 20. 35 20.05 OTHER 1914 RATES Median First quartile Third quartile $10.10 7. 25 8.10 10. 45 11.40 Clerical- $8. 25 6. 40 6.75 9.15 9.90 $12.00 9.15 10. 45 11.75 1 12. 00 11.55 12. 00 11.75 9.00 10. 30 9.90 3 12. 00 312. 00 3 12. 00 2 Figures necessarily constitute inspections, since they were collected after decrees were set, but they were available also as investigation figures in determining the necessity for revising the decrees in question. 3 Over $12.00. The medians show a consistent and general rise in rates and earnings during the period of minimum-wage activity. In 1914 half of the women studied in laundries were receiving rates of $9.20 or less per week, half of those in mercantile establishments $9.80 or less, and half of those in the manufacturing industries $8.35 or less. Moreover, some special industries had much lower rates, par ticularly the paper-box industry, where half the women received rates of $7.25 or less per week. The medians for 1925 present a striking contrast, for the middle point for rates in that year was $18.80 in laundries, $19.20 in mercantile establishments, and $18.20 in the manufacturing industry. Even when this increase is consid ered in the light of the decrease in the purchasing power of the dollar, the typical woman worker is in a decidedly better financial position to-day than before any minimum-wage rates were set. It must be noted that though some of this increase may be due to a rising scale of wages to meet acknowledged increases in the cost of living, minimum-wage rates seem to have played a large part in CHANGES IN THE POSITION OF WOMAN WORKERS 339 bringing about this advance. One reason for making this statement is that there are so many medians which show a great increase after a wage rate had been set for the industry. For instance, in rates in the laundry industry the medians show a steady increase from 1916 to 1922 and a continued increase from 1923 to 1925, but in two instances studies made a few months apart show an increase of roughly two and a half dollars in the median. The 1919 figures are $12.65 and $15.10; that of 1920 is $17.70. Between the first two figures the minimum rate was increased from $10 to $13.50; between the second 1919 figure and that of 1920 the minimum rate was increased from $13.50 to $16. Another even more conclusive proof is the comparison of these medians with those found in 12 State studies made by the Women’s Bureau from 1920 to 1925. The median rates for all industries found by these studies range from $8.65 in Mississippi in 1925 to $15 in Rhode Island in 1920. The three highest medians are Ohio (1922) $13.85, New Jersey (1922) $14.55, and Rhode Island (1920) $15. None of these States have minimum-wage laws. The contrast between the California medians and these is too striking to need further comment. It does not seem beyond the truth to assert that rates and earnings went up in Cali fornia much more than in nonminimum-wage States during this period. The sections of this report immediately following will show that they went up more than in the minimum-wage States where decrees established lower rates. Since California lias reported no particular boom due to the war or to an unprecedented industrial expansion, nor any unusual shortage of labor, nor any other particu lar cause that would account for the undoubtedly high rates and earnings which California women have been receiving, it seems to be a fact that minimum-wage decrees have been largely responsible for the present level of wages. Undoubtedly, general industrial expan sion has aided the upward movement, since the medians continue to rise from 1920 to 1925, though minimum-wage rates remain the same; but these figures, particularly when it is remembered that they are based on large numbers of women—in fact, from 1919 on they include practically all the women in the State who work in the industries under discussion—form very excellent support for the contention of advocates of the laws that minimum-wage rates are needed to give woman workers living wages even in a period of rising wages, and also for the contention that minimum-wage rates actually do accomplish this end. The quartiles have been worked to see whether the minimum rate has had any particular effect on the lowest paid groups and whether the minimum rate has had a tendency to become the maximum. Section B of Table 60 shows the changes in the first and third quartiles during the period of minimum-wage activity. The tabulations that give the rates and earnings of the typical women in the group getting less than the median and in the group getting more than the median show that rates and earnings for the more highly paid group vary directly with increases in minimumwage rates, and that usually they change to correspond to changes 340 MINIMUM-WAGE LAWS IN THE UNITED STATES in the median. The quartiles for the lower paid groups in 1925 fail to vary directly with the median, but their divergence from the median is so slight as to be unimportant. Taking into considera tion only the first quartile and the groups for which this is the typical rate, certain very interesting tendencies are discernible. In the first place, the inspection made after each decree went into effect, with the single exception of that following the $13.50 rate in manu facturing (1919), showed at least three-fourths of the women receiving rates slightly above the cost-of-living minimum. In mer cantile establishments and laundries, in 1922 and after, three-fourths of the women earned slightly more than the minimum rate. This would seem to substantiate the statement of the executive officer of the industrial welfare commission that relatively few employers take full advantage of the provisions in the decree which allow an employer to have apprentices to the extent of 33% per cent of his workers. Instead he prefers the experienced worker when she is available, even though he must pay her more. As far as the more highly paid group are concerned, they certainly have not suffered, as far as these quartiles show, from any lowering of their rates or earnings. Instead, the typical higher paid woman has improved her position fully as much as has any other worker. District of Columbia. The median and quartile figures from the District of Columbia extend over a four-year period, from 1919 to 1922. Hotel and restaurant figures are presented for the first time, with the idea that the changes brought about by minimum wage in the actual money paid for service is interesting, even though it can not be correlated with the compensation received in the form of room and board. No decrees ever were set for building cleaners or for manu facturing. Moreover, the decree for laundries (1921) never was accepted by laundry owners, pending the suit testing the law’s constitutionality, so that the laundry figures for 1921 and 1922 are merely for a few women whose employers were willing to report rates and earnings. The minimum rates set were $15 for laundries, $15.50 for printing and publishing, and $16.50 for mer cantile establishments and for hotels and restaurants. The following table gives the median and quartile rates and earnings as shown by investigations and inspections conducted by the minimum-wage board of the District : CHANGES IN THE POSITION OF WOMAN WORKERS 341 Table 61.—Median mid, quartile rates and earnings in the District of Columbia 1919 to 1922, by industry1 [Figures in roman were secured by investigation before a decree; those in italic by inspection following a decree] A. MEDIAN Building cleaners Hotels and restaurants Laundries Manufactur ing Mercantile Printing and publishing Year Rate ♦ Earn Rate2 Earn ings ings 2 1919................ $15. 40 1920................. . 4 $9. 00 $9. 20 1921...... .............. 1922.................... *8. 65 *8.25 15. 40 16.05 16. 45 Rate Earn Rate ings $9,115 $9. 40 $15. 65 $12. 40 Earn Rate ings 12.10 12.15 12.85 40 *15. 15 * 12.10 Earn ings $12. 35 $15.00 $9. 45 Earn Rate ings $11.95 *16.00 * 10.95 16. 85 316.00 16. 40 317.00 15.05 17.80 17.80 16.70 $10. 75 $10. 05 $12.15 515. $9.10 "l6.85 11.40 12.80 10.55 15.15 16.40 16.50 16.95 16.90 B. FIRST QUARTILE 1919__________ 1920................... . 4 $9.00 1921. ................. . 1922..................... *6. 85 $12. 55 $6. 75 *6.60 18.40 18.70 14.15 $7. 25 10. 85 4 $9. 00 $7.80 $11. 90 10.20 SU-P w. 40 ‘ ie. so *9. 30 $9.15 * 8. 45 16.85 14.30 15.45 14.90 16.00 *16.00 15.30 317.00 C. TniRD QUARTILE 1919__________ 3$16.00 $11.85 1920........ ............ $11.30 «$17.60 16.95 1921__________ 317. 00 1922_______ * 10. 00 *9. 85 317.00 3$16.00 $15. 35 3$16.00 13. 65 $12. 40 $11.10 3$16.00 $16.35 13. 75 317.00 * 15. 90 14-75 * 15. 80 «13. 40 * 13. 35 317.00 16.95 316.00 17. 40 16.70 316.00 16. 80 317.00 $14.00 15.85 320.00 18.70 19.00 Other 1922 rates: Office—median, $24.60; first quartile, $20.90; third quartile, $28. 1 For numbers of women on which these figures are based see Appendix E, p 610 2 Irrespective of any additional pay that may be received in the form of room or board 3 Over the amount stated. 4 Under $9. * Th®6 fiRures are based on such small numbers of women that it is questionable whether thev present a picture of general conditions. For exact number involved see Appendix E p 610 p « Quartile not typical of earnings as overtime to the extent of 8 hours daily, for whicii time and a half was paid, was worked by about 70 women employed in one establishment. The medians confirm the figures from Arkansas and California and show a rise in the rates and earnings of the typical worker after minimum-wage decrees have become effective. Moreover, they show two industries with minimum-wage decrees increasing rates from 1920 to 1922, and one with its rates remaining about stationary, while manufacturing and building cleaners, where there were no decrees, show a drop in rates and earnings. This is the first State for which it has been possible to make a comparison between industries having decrees and industries not having decrees. If the figures for the industries without decrees are reliable mini mum-wage orders in the District of Columbia seem to have had a direct and tremendous effect in establishing and maintaining high rates of pay. 342 MINIMUM-WAGE LAWS IN THE UNITED STATES The section of the table on quartile rates and earnings loses much of its value because it has been impossible to obtain exact wage groupings. When a minimum-wage rate is set at $16.50 it is not very illuminating to know only that the typical more highly paid woman received “ over $17.” The most interesting facts brought out are the changes in the first quartiles. Once again the figures seem to prove that a minimum-wage rate is effective in raising substan tially the wages of the lowest paid group. Before any rate was set, half the women in the mercantile industry had rates of pay ot $12.90 or less per week; one quarter of the workers had rates of $10.75 or less. In 1921, after a minimum rate of $16.50 bad been in effect for about two years, one-half of the women had a rate of at least $16.95, and three-quarters had a rate of $16.35 or more. The typical worker had a greatly improved rate, but the typical lowpaid worker benefited vastly more. Kansas. The original minimum-wage rates set in Kansas not only were rather low when they were set (laundries, $8.50; mercantile estab lishments, $8.50; manufacturing, $11), but were not increased as the cost of living rose, except that the two lowest rates were brought up to the level of the highest. They form a direct contrast to Cali fornia, where all rates were steadily raised as the cost of living ad vanced, and to the District of Columbia, where the decrees established rates among the highest ever set in the United States. It is, there fore, very interesting to see whether the median and quartile rates and earnings as shown by inspections in Kansas change in relatively the same way as do those of California. Unfortunately the number of women who were covered by these inspections in Kansas quite generally is small, so that these figures are not so accurate a guide as are those of California. The following table gives the median and quartile of rates and earnings as shown by inspections made by the Kansas Industrial Welfare Commission and Industrial Court, and of earnings from an investigation made by the United States Women’s Bureau in 1920: CHANGES IN THE POSITION OE WOMAN WORKERS 343 Tablb 62.—Median and quartile rates and earnings in Kansas, 1916 to 1924, by industry1 [Figures in roman were secured by investigation before a decree; those in italic by inspection following a decree.] A. MEDIAN Laundries / Manufacturing Public house keeping Mercantile Telephone Year Earn ings Rate 1916.......... .................... 1918.......................... 1919........ ............ 1920__________ _ 1922......... . 1923.................... 1924.............................. Rate Earn ings $6. 75 $9. 75 10.25 310. 70 3 12.10 3 10. 75 311.20 11.80 11.95 311. 70 312.25 3 Earn ings $6.70 3 8.10 3 Rate 10.85 HU. 20 4 10. 50 11.50 4 Earn ings 1 Rate Earn ings 10.05 12.40 IS. 40 18.45 14-40 3 12. 70 311.75 14. 25 14.76 11.60 * $6.80 $10.20 11.05 • 3 15.60 IS. 00 Rate $8.80 11.10 $9.85 4 10. 60 IS. 00 315.20 $9.60 11.25 $10.80 * 8. 20 12.35 11.55 311. 60 313.40 4 3 10. 50 11.00 10. 20 ............ - 3 B. FIRST QUARTILE 1916.......... ............... . 1918..____ _________ 1919...___________ 1920________ ____ 3 $8.40 9.30 3 9. 80 1922 3 11. SO 1923...................... 311.10 1924.......................... 10.90 $5. 85 3 6. 65 8. 35 4 9. 30 * 9. 45 310.15 310. 65 311.00 $5. 00 3 $8.95 14-50 11.80 8.60 4 10. 75 12.15 7. 85 $8.60 8.85 $5. 30 8.35 8.90 4 8. 50 «0. 75 • 10.00 312. 45 3 7.85 10.60 10.50 11.05 312. 35 $7. 45 $8.85 3 8. 65 3 10. 05 $8.60 3 9. 65 6 6. 80 9. 25 8. 65 10.90 9. 95 3 10. 36 310.90 C. THIRD QUARTILE 1916_________ 1918 1919 1920........................ 3$11. 50 11.70 312. 85 1922_________ _____ 3 IS. 00 1923_________ _ 312.85 1924_............................ 13.25 $7.90 $9. 65 3 9. 75 14.00 11.60 3 $13. 00 4 11.95 4 17.35 3 12.80 312.05 312.80 17. 80 17.66 3 IS. 30 16.50 14. 65 $12.65 13.80 3 15.85 316.40 17.30 18.05 $8.80 12.65 14. 55 4 14.10 317. 25 313. 70 16. 90 3 16. 65 $10.80 $10.95 312.20 312. 50 $10. 90 4 12. 25 3 8. 75 12. 80 11.85 13. 70 13.55 3 IS. 50 314. 95 Other 1920 earnings: Restaurants'— median, $10.30; first quartile, $8.45; third quartile, $11.85. 1 For numbers of women on which these figures are based see Appendix E, p. 811. 1 Irrespective of any additional pay that may be received in the form of room or board. 1 These figures are based on such small numbers of women that it is questionable whether they present a picture of general conditions. For exact number involved see Appendix E, p. 611. *Investigation made by the Women’s Bureau of the United States Department of Labor, and used as an inspection by the Kansas Industrial Court to check compliance with the decree. 5 Figures necessarily constitute inspections, since they were collected after a decree was set, but they were available also as investigation figures in determining the necessity for revising the decree in question. These figures are based on such small numbers of women that it is questionable whether they present a picture < f general conditions. For exact number involved see Appendix E, p. 611. » Figures necessarily constitute inspections, since they were collected after a decree was set, but they were available also as investigation figures in determining the necessity for revising the decree in question. With the California figures in mind, the most noticeable thing about this table is the low medians. Since the two sets of figures run over practically the same time period, and should have been affected by the same nation-wide rise in wages during the war and the boom period after the war, this contrast would seem to prove that the relatively high minimum-wage rate in California was the vital factor in raising rates in that State to their present level. The Kansas median rates are all somewhat above the minimum rate, and 60769°—28——23 344 MINIMUM-WAGE LAWS IN THE UNITED STATES both rates and earnings show a general rise from 1916 to 1924, though there are times when a median will fall considerably below that for the previous year. The amounts by which the rates and earnings increased, however, as well as the actual figures, are less than in California. In Kansas, as in the District of Columbia, there are figures for an industry not covered by a minimum-wage rate, but the icture formed from these facts is the exact opposite of that of the fistrict of Columbia. The figures for public housekeeping follow the same course as those in the industries covered by decree. There are several possible causes for this uniform rise in rates disclosed by the Kansas surveys, but any explanation brought forward to explain the Kansas situation is applicable also to the District of Columbia, where an opposite situation occurred. It is possible that tin* inclusion under decrees of the main womanemploying industries—manufacturing, mercantile, laundry, and tele phone—has raised the rates of all women in the State. This is sup ported by the fact that in some States specific concerns have been known to raise rates substantially in the hope of forestalling State interference. This theory, however, which makes minimum-wage rates the preeminent factor in changing rates and earnings, would not explain why a gradual rise in rates took place in all industries between 1919 and 1922, though there were no increases in minimum rates. This suggests that as another cause for the changes it may be argued that all these increased were due to economic conditions other than minimum wage and would have occurred in the manufacturing, mer cantile, laundry, and telephone industries without any decrees, just as they occurred in public housekeeping. The decrease in rates in 1924 seems to bear out this theory. So does the fact that the steadiest and greatest increase in both median rates and earnings took place in mercantile establishments, where the minimum rate was set at a lower figure than that for manufacturing or laundries. The second theory runs so counter to the figures for California that still another possi bility may present the truest answer as to how much minimum-wage rates actually affect rates and earnings. It is possible that since most employees feel that the balance be tween positions must be maintained, a relatively high rate such as those set in California and the District of Columbia, or even a rate which is well above the going rate in the State, such as that in stores in Fort Smith, Ark., is a dominant factor in raising all rates, even those of the better paid workers; but that if a rate, is set so far below the cost of living that it affects only the very lowest paid group and does not raise rates in general, it becomes only a minor factor in a time of rising wages and the exact part it plays is not determinable. Certainly the Kansas median, figures are only rela tively comparable to those for California. The fact that these fig ures are capable of being interpreted in different ways raises ques tions as to the relative power of minimum-wage rates to raise rates and earnings in general when considered in the light of the many economic forces which influence wages. E CHANGES IN fIHE POSITION OF WOMAN WORKERS 345 If it is hard to be sure how much effect minimum-wage rates in Kansas have had on the rates and earnings of the typical woman worker, it is even more important than usual to see whether these rates have aided the women who received the lowest rates of pay. Section B of lable 62 shows that, with the exception of the laundry industry in 1918 and 1924 and the manufacturing industry in 1919, at least three-fourths of the women in each industry received a rate of pay somewhat above the minimum. The two laundry rates are only 10 cents below the minimum and the manufacturing rate is based on only 183 women, so these exceptions are not particularly signifi cant. In the light of these quartiles the Kansas law, which in no way limited the number of apprentices, resulted in the great majority of the women being paid the minimum rate or more. The most inter esting fact brought out by these first quartile rates and earnings when studied in relation to the third quartiles is that the rise in the median rates in laundries and mercantile establishments, between 1920 and 1922, does seem due to the change in minimum-wage rates which brought up the lowest paid workers. In 1922 minimum rates were raised from $8.50 to $11. The positions of the typical worker (the median), the typical low-paid worker, and the typical high-paid worker changed as follows: First q uartile Median Third quartile Year Laundries Mercantile Laundries Mercantile Laundries Mercantile 1920........ ..................... 1922........ $9. 80 11.30 $9. 75 12. 45 $10. 70 12.10 $12. 40 13.40 $12. 85 13.00 $15.85 16.40 In other words, the rise in the median was due almost wholly in the laundry industry and very largely in the mercantile industry to the improved position of the lower-paid workers when the minimum rate was raised. One other point confirms the theory of the direct effect of even low minimum-wage rates on the most depressed group of workers. This is the fact that, though the rise in the median rates for public housekeeping is roughly comparable to the increases in the industries with wage decrees, the first quartile for those industries with decrees has increased much more than has that for public housekeeping. To complete the picture of the changes in rates and earnings the changes in the rates and earnings of the typical more highly paid worker are presented in Section C of Table 62. They show that at least 25 per cent of the women received rates and earnings that were considerably above the minimum, and the minimum rate was far from becoming the maximum rate in practice. The irregular be havior of these quartiles, however—behavior which appears to bear no uniform relation to changes in minimum rates—seems to confirm the theory that a low minimum wage is only one of many factors affecting rates and earnings, and that it is not a dominant factor except perhaps for the lowest-paid group. 346 MINIMUM-WAGE LAWS IN THE UNITED STATES If median earnings for 1916, when there wTere no decrees, are com pared with median earnings for 1924 in the light of increases in the cost of living, only women in mercantile establishments appear to be in a substantially better position than was theirs in 1916. This seems to be in spite of, rather than because of, the minimum-wage decrees. Moreover, the range of median rates in laundries, factories, stores, and telephone exchanges in Kansas—from $10.70 in laundries in 1920 to $15.60 in manufacturing in 1923—is only a bit higher than the median rates for all industries found in the 12 State studies made by the Women’s Bureau in the same period. These Women’s Bureau medians range from $8.65 in Mississippi to $15 in Rhode Island, but 9 of the 12 States show median rates of from $11.10 to $15. The conclusions drawn on the basis of the figures from Arkansas, Cali fornia, and the District of Columbia do not receive much support from these Kansas figures. The Kansas rates seem to have helped the very lowest paid worker. The rates are so low, however, that in time of rising prices their effect on the whole group or even on a considerable proportion of the group is negligible. Massachusetts. The agents of the minimum-wage commission in Massachusetts have made at least one investigation before each original decree and at least one inspection after each decree. In a few cases more than one investigation has been made, and in most cases there has been more than one inspection. The first rates and earnings quartiles and medians discussed here are from these studies. In the case of investigations they represent the average of the rates and earnings over a period of time varying from three or four months to a year; in the case of inspections, generally one week’s pay roll, unless some unusual situation has made it necessary to take it for several weeks. The figures are copied from the firms’ pay rolls by the commission’s agents, with careful distinction between rates and earnings. The investigations include at least the majority of the women in the occupation studied; the inspections supposedly include all women. The second group of quartiles and medians discussed here are called wage figures, because they are a combination of rates and potential earnings figures. These figures are collected each year by the division of statistics in the department of labor, by questionnaire sent to every firm in the State. They show rates for all timeworkers and potential weekly earnings for pieceworkers. Roughly these wage figures correspond to rates, and as such may be compared with minimum rates. Their main value, however, is that they furnish a means of observing both in industries wrhere there were decrees and in industries where there were no decrees the changes in wages that have taken place during the period in which the law has been in operation. It is not possible, however, to compare these wage figures with either the rates or the earnings figures collected by the minimumwage commission. Changes in median rates and earnings as shown by the -figures collected, by the minimum-vxige commission.—The effect of the Massachusetts minimum rates on all the woman wage earners in a CHANGES IN THE POSITION OF WOMAN WORKERS 347 particular industry is of great interest, due to the fact that the law of this State constitutes the only example of a law that does not require an employer to pay the rates set in the decrees but relies only on the pressure of public opinion. This table presents figures on three main groups that have been covered by decrees—(1) retail stores, (2) personal service (laundries and building cleaners), and (3) manufacturing (that is, 17 separate industries such as the manu facture of paper boxes, of women’s clothing, etc.)—and on two groups for which a rate has never been set—(1) a branch of manufacturing (cotton goods) and (2) a personal-service industry (hotels and restaurants). ' The following table shows the changes in the median and quartile rates and earnings from the time the first investigation was made in a given industry to 1924. [Figures in roman were secured by investigation before a decree; those in italic by inspection following a decree] A. MEDIAN Paper box Building clean ers Brush Candy Minor lines of confectionery Canning and preserving Men's clothing Women’s cloth Bread and bak ing ery products Year Rate 1913.......... 1915 1917_____ 1918_____ 1919.......... 1920 1921_____ 1922_____ 1923 1924_____ 1925..._ Earn ings Rate Earn ings Rate Earn ings Rate Earn ings $7.35 $6.10 $5. 80 $6. 35 $8.45 9.00 $5. 30 7.35 8.75 $7.45 $6.55 9.35 311.40 14.80 14.20 10.15 13.55 10.15 13. 70 311.85 14.20 13.15 13.95 IS. 75 15.05 14.65 14.25 U is Corset 13.90 14.65 IS. 10 13.75 Cotton goods 17.95 Earn ings $5. 85 9.35 2 3 9.00 10.10 * 17.90 Rate $5.05 Earn ings 8.30 10.00 12. 35 11.35 j IS. 15 \ 12.50 11.55 12.75 13.10 12.10 3 13.00 Hotel and res taurant $11.45 12. So 12.85 } IS. so 13.10 12.85 12.55 13.60 13.65 314. SO Knit goods Earn ings 11.35 11.90 Rate Earn ings $6.50 $7.40 9.90 $6.00 218.00 2 810. 00 218.00 218.00 215.00 $14. 20 $12.05 20.45 20.15 14.65 14-25 $7.10 2 3 9,00 $8. 45 11.00 13.40 14-35 12.10 12.55 14.35 $10.00 Earn ings *15.00 Rate Rate $7. 65 Rate 13.10 218.00 12.85 Laundries Millinery Retail stores Men’s fur nishings Rate Earn ings Druggists’ prep arations Year Rate Earn ings 1913...................... ................. 1914....................................... 1915................................ ......... 1916____________________ 1917..................................... . 1918......................................... 1919__________ ____ _ $11.50 14.10 1920____________ 1921........ ............................... 15.46 1922_____ ___ ____ _____ *15.00 15.35 1923..................... . 1924___ _______________ 1925................ 14.50 $6.80 Rate Earn ings $7.45 $7. 25 10. 25 9. 70 10.60 13.65 Earn ings $5.95 Rate Earn ings $8.95 Rate Earn ings $7.95 $5. 85 $7.05 8.70 8.55 29.00 9. 75 9. 50 $14. 70 14.05 13.60 15.00 10.40 2 15.00 13.80 2 9.00 14.00 14.50 14-05 14. 80 Rate Earn ings 8 $7. 80 9.85 2 is. 46 Earn ings $8. 75 Rate $6. 50 $5. 40 10.55 Earn ings Rate $6.80 Rate $6.65 is. SO IS. 75 14.50 12.20 Rate 11.05 e 15.65 6 15.60 ' 17.60 ‘ 15.00 2 ‘15. 00 2 >15. 00 15.00 13. 35 814-90 } IS. 90 13.95 J816.65 \2 9/5.00 2 915.00 Earn ings $12. 40 1180 12.30 $10.90 14.15 12.30 15.20 14.00 MINIMUM-WAGE LAWS IN THE UNITED STATES Muslin under wear 348 Table 63.—Median and quartile rates and earnings in Massachusetts, 1918 to 1925, by industry (figures from division of minimum wage)1 B. FIRST QUARTILE Muslin under wear Paper box Brush Building clean ers Candy Minor lines of confectionery Canning and preserving Men’s cloth ing Women’s cloth Bread and bak ing ery products Year 1913......... 1915 1917_____ 1918_____ 1919_____ 1920.......... 1921_____ 1922.......... 1923 1924_____ 1925.......... $6. 25 “ $5. 00 8.90 10.80 12. 50 Earn ings Rate Earn ings Rate Earn ings $5. 00 io $5.00 $8.05 8.50 1° $5. 00 6. 25 7.35 $6. 60 $5. 50 Rate 8. 90 11.70 3 10. 50 7. 85 10.30 310.35 29.00 • 12.15 10.15 11.80 11.40 12.15 11.20 Corset 12.90 13.35 10.65 10.55 Cotton goods Earn ings Rate Earn ings $7.45 10. 05 12.40 12.95 $5. 70 2 3 9.00 12.95 Rate 10.10 Rate Earn ings 13.15 $12. 30 $10,20 15.25 13.10 12.35 Rate Earn ings Rate Earn ings $5. 20 $5.85 8.65 15.20 2 310.00 15.90 14.05 14. 80 16. 40 io $5. 00 « $5. 00 3 8. 85 9.45 417.40 10. 40 13.20 Earn ings $6. 45 Rate 17.55 6. 55 9.30 10.80 12.25 9.80 1 H.40 X 10.25 11.65 12.15 11.00 312.20 Hotel and restaurant $10. 00 9.55 10.10 } 10.45 10. 35 10.15 10.85 10.60 $7.95 12.40 10.85 8.10 9.00 310. 95 Knit goods Laundries 8.60 9.65 Millinery 17.60 Retail stores Men’s fur nishings ' Druggists’ preparations Year 1913...................................... . 1914......................... .............. 1915.................................... . i916_.____________ ______ 1917........................................ 1918..._________________ 1919......................................... 1920...................................... . 1921__________ ____ _ 1922________ ___________ 1923............... ................. . 1924.................................. . 1925......................................... Earn ings Earn ings $5. 85 Earn ings Earn ings 8.90 $9. 50 12.30 13.60 13.45 13.25 7. 75 11.50 9.85 Footnotes at end of table, p. 351. Earn ings $5.00 Rate Earn ings $6.70 Rate $6. 35 io $5. 00 io $5. 00 7. 95 6 12. 70 7 14. 45 7 13. 60 o 12. 35 " 10. 95 • 11. 60 Rate Earn ings $6. 00 $5.05 $5.05 8.15 Rate Earn ings 7.65 5 $6. 45 $5.10 12.05 10. 70 12.55 8.15 Rate Earn ings 7. 20 7. 60 7. 30 $12. 70 12. SO 12.20 8.00 12.45 10.80 10.90 12.60 io 7. 00 7.90 10.00 Rate $5. 75 Rate $5.30 - Rate $6.35 Rate 10.85 2 9.00 12.40 13.25 11.10 30 11.95 pl4. SO Is IS. 9.95 12. 75 8 10. 40 \ 11. 05 1112. 65 $12.00 12.45 10 7.00 $9. 55 12.35 13.00 10.05 12.60 CHANGES IN THE POSITION OF WOMAN WORKERS Earn ings Rate C. THIRD QUARTILE Muslin under wear Paper box Brush Building clean ers Minor lines of confectionery Candy Canning and preserving Men's clothing Women's cloth Bread and bak ing ery products 1913 1915 1917 1918 .. 1919 1920 1921 1922.. 1923--. 1924 1925___ Earn ings Rate Earn ings Rate Earn ings Rate Earn ings $8. 55 $7. 65 $7.90 $7.95 $8.80 2 9.00 $6.70 8.55 29.00 $7.95 Rate Earn ings $7.20 16.90 215.00 16.95 2 9.00 17.75 215.00 17:85 12.05 15.65 2 U. 30 215.00 215.00 29.00 23 9.00 10. 70 * 19. 25 12. 75 17.20 215.85 17.10 218.00 Rate Earn ings $8.15 2 $9.00 210.00 15.40 17.40 Cotton goods 19.50 18.50 Hotel and res taurant Knit goods $12.20 13.80 14.35 215.00 Laundries Earn ings $7.80 $9. 35 11.90 14.90 16.00 $8. 25 2 2 9.00 16.05 15.30 14.35 218.00 218.00 Rate 1310m 218.00 218.00 14.20 2 15. 00 2 15.00 2 $15.00 Millinery 26.15 Retail stores 26.50 16.30 $14.05 16.35 Men's furnish Druggists' prep ings arations Year Rate $8.70 $8. 65 12.40 Rate Earn ings $8.40 $7.15 Earn ings $10.85 $7.05 29.00 12.90 12. 70 2 $15. 00 15.95 215.00 12. 80 2 15.00 17.40 2 15. 00 215.00 16.70 Rate $11.90 Earn ings $8.60 9.90 Rate Earn ings 2 5 $9.00 Earn ings $8.25 9.80 $7.45 $8.05 12.90 18.10 18.90 16.75 Earn ings 11. 65 Rate Earn ings Rate 2 $9.00 Earn ings Rate $8.25 Rate 215.00 2 9.00 2 15.00 16.60 2 618.00 2 *~18.00 1 20.10 2 18. 45 2 ^ 15.00 2115.00 12.95 215.00 215.00 16.051 2 818.00 2 * 18.00 } 15.60 2915.00 2»15.00 Rate $12.80 $12. 75 215.00 16 65 16.00 218.00 215.00 ______ 2 15. 00 215.00 15.05 215.00 2 15.00 STATES 1913 1914 1915 1916 1917 1918 1919 $13. 35 1920 16.20 1921 18.00 1922 215.00 1923 17.85 1924......................................... 1925 16.80 Earn ings IF THE UFITED Corset 15. 80 16.55 $14. 05 15.00 15.70 | IS. 95 16.65 2 15.00 14.95 17.25 215.00 215.90 2 218.00 10.90 18.60 12.65 / 15.35 \ 13. 70 13.20 14-75 15.35 Rate Earn ings Earn ings $8. 90 $6.40 9.90 Earn ings Rate $7. 35 Rate MINIMUM-WAGE LAWS Year Rate 350 Table 63.—Median and quartile rates and earnings in Massachusetts, 1913 to 1925, by industry (figures from division of minimum wage)—Con. OTHER FIGURES Median 1920—Stationery _ 1923—Jewelry .......................“ 1U24—Toys, games, and sporting goods___ $13.85 13.50 14.00 Earnings $14. 35 13.80 13. 50 Rate $12. 55 11.40 12.25 Earnings $11. 75 10. 90 11.10 Third quartile Rate 2 $15. 00 2 15. 00 15. 85 Earnings 2 $15.00 2 15.00 16.15 - i Ovrer“Z aemo°unTX“d°n W“ theSe flgures are based «» Appends E, p. M2. fW SinC6 th0y "" “ ^ 8 ^ f Neckwear only. Based on 71 women. - “ - - *■—- figures in determining the n_,ty ' 6 Retail. 7 Wholesale “ mspecti<m; Since they Were C0Uected after a decre* “'To u^ier tofSu£Sii U°'"“e ^ InSPeCtl0n’ "I10e set, but they were available also as investigation figures in determining the ^ C°lleCted ^ 3 deCTee WaS "*■ but they were a™labl* a»o « investigation figures in determining the CHANGES IN THE POSITION OP WOMAN WORKERS Rate First quartile 03 Or 352 MINIMUM-WAGE LAWS IN THE UNITED STATES In Massachusetts, investigation and inspection figures are avail able for 17 industries; for 18 if retail and wholesale millinery, which had separate decrees and inspections though the investigation was for both, are counted as two. Investigation figures for three additional industries also have been tabulated. Though these fig ures do not cover nearly so large a number of women nor so great a proportion of the working women in the State as do the figures for several other States, still they constitute the most detailed figures on changes in rates and earnings during a period of minimum-wage activity that are available anywhere. The very number of indus tries and inspections makes it difficult to see at a glance whether these figures show any general tendencies. It is common knowledge that commodity prices and rates and earnings rose during the war period and up to 1920. At the end of 1920 there was a" short period of falling prices and wages, and then prices and to some extent wages began to climb upward again. The second upward movement was much less rapid than the first and not so steady. In the States that have been discussed, where there were minimuih-wage decrees, rates and earnings for almost all industries continued to rise somewhat after 1920, in spite of the halt in the general upward trend of prices. Nor was there any lowering of rates that had been established previously. If women’s rates and earnings were reduced temporarily in late 1920 and shortly thereafter, this does not show in the available studies. The general tendency throughout the years is upward. In Massachusetts for the first time are seen both the rates in the minimum-wage decrees and actual rates and earnings in a few industries lower after 1920. Two minimum rates actually were lowered—paper box from $15.50 in 1920 to $13.50 in 1922, and women’s clothing from $15.25 in 1920 to $14 in 1922. Nor were the rates set after 1920 so high as those established during that year. In spite of this peak in minimumwage rates and in general economic conditions in 1920, the most com mon and steady tendency, even in Massachusetts, is for rates and earnings to rise. It is important to examine these Massachusetts figures with care to see whether rates and earnings varied directly with changes in established minimum rates. Up to 1920 there is a uniform rise in rates and earnings. This rise takes place in industries where no decrees ever were set, such as cotton goods and hotels and restaurants; in industries where a decree was set before prices began to rise and wTas not advanced until after 1920, such as brush and retail stores; and in those industries where one or more decrees were set during this period. After 1920 and 1921 most industries show a slight recession in rates or earnings or both at some time. This is true of muslin underwear, paper box, candy, women’s clothing, corsets, knit goods, wholesale millinery, retail stores, and druggists’ preparations. In many cases, however, this recession was temporary. The latest fig ures' available for muslin underwear (1925), paper box (1925), candy (earnings 1925), women’s clothing (1925), and knit goods (rates 1924) are the highest ever recorded for these industries. In corsets and retail stores the recession came in 1925 and 1924, respec tively. The peak years were 1921 to 1923 in corsets and 1923 in retail CHANGES IN THE POSITION OP WOMAN WORKERS 353 stores. In addition, men’s clothing, whose latest inspection was in 1920, may have had a recession in wages since that date which the table does not show. These changes in rates and earnings usually do not follow" the movement of the minimum-wage rates. Minimum rates for muslin underwear were actually higher in 1923, when the recession occurred, than at the time of the high 1920 rates and earn ings. The minimum rates in retail millinery, corsets, wholesale milli nery, candy, and knit goods remained stationary, while either rates or earnings in both these industries show a recession. Paper box, where a low-er minimum rate is set, shows only a temporary set back in rates and earnings and has its highest median after the mini mum rate has been lowered. Of all these industries, only women’s clothing show7s a lower minimum rate and lower rates and earnings in 1923; by 1925, with the same lowered minimum, this industry has its peak in rates and earnings. Not only do these industries show7 an irregular behavior in relation to minimum-wage decrees, but they present also as many high figures for 1921 as for 1920, so that they vary from the general economic trend of prices and wTages that was going on at this time. The remaining industries in Massachusetts show a steady rise in medians from the earliest date bo the latest. If this group is added to those where the recession was either tem porary or almost nil (rates decreased 15 cents from the peak in candy, while earnings were highest in the latest inspection) the majority of all industries investigated and inspected are found to have an upward trend in rates and earnings over this period. If it is granted that these figures show7 a period of generally rising minimum rates and prices wTith a few examples of recession after 1920 and 1921, but that actual rates and earnings independent of changes in minimum rates usually are rising, it may be possible from a consideration of specific industries to determine from the median some idea of the exact influence of decrees in this field in wdfich there is direct evidence that other powerful factors influencing rates and earnings are at work. Twto industries in which no decrees ever were set—cotton goods and hotels and restaurants—appear in this table. Both show7 that rates and earnings were increasing to some extent without the aid of minimum-wage decrees. How does this increase compare with the change in industries wdrere rates were established under the law ? In 1915 and 1917 studies were made in three branches of manufacturing. In the case of the brush industry both figures were for inspections following a decree in 1914. The women’sclothing figures represent one period prior to a decree and one period following. As before stated, no decree has been set for cotton goods. The medians following show the changes in each industry: Industry Brush Rate $8. 45 (') 1 Over $9. Women’s clothing Earnings $7.35 8. 75 Rate $7. 40 9.90 Earnings $6. 00 Cotton goods Rate $7.45 10. 55 Earnings $7.25 9.85 354 MINIMUM-WAGE LAWS IN THE UNITED STATES Since the brush industry notably was very poorly paid before the 1914 decree, it seems fair to give the decree credit for the somewhat better rates in 1915. In the following two-year period, however, when the war was causing greatly increased demands for all clothing and textiles, when incidentally it was forcing all wages up because of the increased demand for workers, but when at the same time it was shutting off from the brush factories the supply of Russian bristles, minimum-wage decrees played a minor part in comparison with the stronger economic forces rising out of abnormal war conditions. The greatest increase occurred in the industry not touched by minimumwage rates but most accelerated by the war—cotton goods. The other industry, for which there are investigation figures but no decree—hotels and restaurants-—can not, of course, be compared directly, since the medians do not represent the full compensation the women received but simply the rates and earnings they received in money. However, the percentage of increase in money can be compared with the percentage of increase in other industries. Arbi trarily, every industry in this table which showed an investigation median and an inspection median five years later has been compared with the hotel-and-restaurant figures and with each other. The following table shows the percentage of increase: Table G4.—Increase in rates and in earnings of industries for which figures five years apart were available—Massachusetts Hotels and restaurants 1916 Median earnings.._ $5. 40 5.85 1921 $9. 75 9.50 Candy—Continued 1920 (mini mum rate, $12.50) Per cent of increase . 80.6 53.8 Median earnings... 1925 (mini mum rate, $12.50) $12. 35 12. 35 $13. 00 14.30 Per cent of in crease 5.3 15.8 Brush Canning and preserving 1919 (minimum rate, $8.37) Median rate.-. ___ Median earnings..- $9.35 1924 (minimum rate, $13.92) $13.10 1920 (mini mum rate, $11) Per cent of increase 40.1 Median earnings.. _ $13. 40 12.10 Candy 1918 Median rate......... __ Median earnings... $8. 30 1925 (mini mum rate, $13) $14. 35 13.10 Per cent of in crease 7.1 8.3 Corsets 1923 (mini mum rate, $12.50) Per cent of in crease $12. 85 54.8 1920 (mini mum rate, $13) Median earnings... $14.10 1925 (mini mum rate, $13) $14. 50 Per cent of in crease 2.8 CHANGES IN THE POSITION OP WOMAN WORKERS 355 Table 64.—Increase in rates and in earnings of industries for which figures five years apart were available—Massachusetts—Continued Druggists’ preparations 1925 (mini mum rate, $13.20) 1920 Median rate_____ Median earnings.. $12.40 10.90 Paper box | Per cent of in crease 12.9 39.4 $14. 00 15.20 Median rate____ Median earnings . Knit goods 1920 (mini mum rate, $13.75) 1915 Median rate------Median earnings. $6.50 1924 (mini mum rate, $13.75) 1919 Median rate------Median earnings. $10. 40 $5. 80 6. 35 Median rate____ Median earnings. 39.4 133.6 115.7 Per cent of in crease $14. 25 14.45 5.2 5.5 Retail stores Per cent of in crease $14.50 1925 (mini mum rate, $13.50) $13. 55 13.70 1130.8 Per cent of in crease $13. 55 13.70 1020 (mini mum rate, $15.50) Per cent of in crease $14. 70 i 15.00 1920 (mini mum rate, $15.50) 1915 1914 Median rate____ Median earnings. $7. 95 7.05 1919 (mini mum rate, $8.50) Per cent of in crease $11.05 38.9 Men’s clothing 1915 (mini mum rate, $9) Median rate......... Median earnings. $7. 65 6. 50 1920 (mini mum rate, $15) i $18.00 i 18. 00 1919 (mini mum rate, $S.50) Per cent of in crease 1135. 3 i 176. 9 Median rate____ Median earnings. $11. 05 1924 (mini mum rate, $14) Per cent of in crease $13. 90 25.8 Wholesale millinery Minor confectionery 1919 Median rate____ Median earnings . $11.45 10.00 1924 (mini mum rate, $12) 1916 Per cent of in crease $13.65 12.85 19.2 28.5 Median rate____ Median earnings. $8. 75 8. 95 Median rate------- . Median earnings. . $7.35 6.10 1920 (mini mum rate, $9) $14.80 14.20 Per cent of in crease 101.4 132.8 1915 Median rate------Median earnings. $7. 40 6.00 1 Over the amount stated; exact median for 1920 not obtainable. Per cent of in crease $17.60 15.00 101.1 67.6 Women’s clothing Muslin underwear 1915 1921 (mini mum rate, $11) 1920 (mini mum rate, $15.25) i $18. 00 i 18.00 Per cent of in crease 1143. 2 1 200.0 356 MINIMUM-WAGE LAWS IN THE UNITED STATES The 14 industries whose investigations or inspections were made at such dates that a five-year interval could be selected show increases in rates ranging from 2.8 per cent in corsets to 143.2 per cent in women’s clothing, or increases in earnings from 5.5 per cent in paper boxes, 1920 to 1925, to 200 per cent in women’s clothing. The in creases in the hotel and restaurant industry run lower than do several of the other industries but not so low as brush, canning and preserv ing, corsets, druggists’ preparations, minor confectionery, retail stores, Paper box, candy, and as knit goods during the second period for which figures were obtainable. Moreover, the amount of the minimumwage rate and the length of time it has been in effect do not seem to bear any direct relation to the percentage of increase. For in stance, two investigations were made in paper box before a decree was set, and these showed that rates had already increased 75 per cent in the time elapsing between the two investigations. Muslin underwear, with a very low rate, shows a high percentage of increase. Knit goods in a period during most of which it had no rate in force (1915 to 1920) shows a very great per cent of increase, and during a later and overlapping period (1919 to 1924) it shows a much smaller per cent of increase though a relatively high rate is in force. If there is no marked relation between minimum rates and amount of increase in actual rates, there is a very definite relation between increases in actual rates and the dates for which figures are avail able, and between increases and kinds of industry. The extremeh large increases take place in knit goods, men’s clothing, muslin underwear, paper box, wholesale millinery, and women’s clothing. The five-year period for all these industries except wholesale milli nery is 1915 to 1920. For wholesale millinery it is 1916 to 1921. It is the period of war inflation. Moreover, with the exception of paper box, all these are industries connected with clothing, where an enor mously increased demand at this time sent all prices connected with the industry to amazing heights. Retail stores during this war period showed nothing like the rise in the other industries. Knit goods, when the war period was over, did not continue to show such gains; neither did paper box. All the gains from 1920 to 1925 are extremely small, even in industries such as druggists’ preparations, where a first decree was entered. It is impossible to trace in these general fluctuations the influence of minimum-wage rates. Such unusual and such strong forces other than rate decrees were at work that they dominated the situation. Another way in which to test the effect of decrees is to study the median rates and earnings in a selected year. Nineteen hundred and nineteen is chosen for the first example because the industries studied in that year were divided between those covered by decrees (in italic) and those where the commission was considering the establish ment of a decree (in roman). Muslin underwear:Earnings___ $9.35 Paper box: Rate-------------------------------- 10,15 Earnings-------------------------10. 15 Brush : Earnings 9.35 Building cleaners: Rate_Over 9. 00 Minor lines of confectionery : Rate-------------------------------- 11.45 Earnings10.00 Canning and preserving: Rate. Women’s clothing: Rate__Over Corsets: Rate----------------------------Earnings----------------------Knit goods : Earnings_______ Retail stores:Rate 11. LaundriesOver 9. $11.00 10.00 11. 50 10. 25 10. 40 05 00 CHANGES IN THE POSITION OP WOMAN WORKERS 357 Unfortunately the material for three of these industries was not in such form that exact medians could be obtained, but in cases where comparisons can be made the industries without decrees show rates and earnings in some cases above those for industries where there are decrees, and in no case is there any striking difference in favor of the industries with decrees. It must be remembered, too, that the industries without decrees are the State’s supposedly lowpaid industries where the commission was considering the setting of a rate. The next year, 1920, is selected because there are median rates and earnings for the greatest number of industries in this year. With the exception of druggists’ preparations, there are wage decrees in all these industries. Muslin underwear: Rate________ __________ $14.80 Earnings 14. 20 Minimum rate__________ 9. 00 Paper box: Rate 13.55 Earnings 13. 70 Minimum rate 15. 50 Building cleaners: Rate 10.10 Earnings 10. 00 Minimum rate 12. 54 Candy: Rate 12. 35 Earnings 12.35 Minimum rate 12. 50 Canning and preserving: Rate 13. 40 Earnings..______________ 12.10 Minimum rate-__________ 11. 00 Men’s clothing: Rate-----------------------Over EarningsOver Minimum rate . Women’s clothing: Rate . . Over Earnings Over Minimum rate _ ._ Corsets: _ ................ Minimum rate ... Knit goods: Rate _ _ .Earnings . Over Minimum rate .. Retail millinery: Rate .. Earnings — Minimum rate .. Druggists’ preparations: Rate _ .. Earnings _ - $18.00 18. 00 15. 00 18.00 18.00 15. 25 14.10 13. 00 14. 70 15. 00 13. 75 15. 65 15. 00 10.00 12. 40 10. 90 Among the four industries that show the highest actual rates are two with minimum rates of $15 and $15.25—two of the highest rates ever set in Massachusetts—and two with minimum rates of $9 and $10. The industry with the highest minimum rate, paper box, $15.50, is seventh as far as actual rates are concerned. Druggists’ prepara tions, with no decree, has higher actual rates than has candy with a decree. For just about half of these industries—women’s clothing, men’s clothing, knit goods, corsets, and canning and preservingactual rates have the same relation to each other as have minimum rates. Consideration of the median rates and earnings in Massachusetts from the figures available does not show any close relation between changes in the minimum rate and general wage changes in the industry. Massachusetts minimum rates on the whole have been rather low, and when to this is added the fact that they are non mandatory it seems that their influence on general wages was very limited. If these minimum rates had been functioning in normal times, even their gentle influence undoubtedly would have shown in the general medians, as, for instance, the increase in rates in the brush industry after the first decree. That the extent of the increase 358 MINIMUM-WAGE LAWS IN THE UNITED STATES might have been very limited is shown by a comparison of the figures in bread and bakery products, where a rate set after the general wage rise had slowed down caused an increase of only 45 cents in the median rate between 1923 and 1925. Massachusetts, due to its im portance as a manufacturing center, felt the war demands to an enormous degree. The influence of minimum wage can not be traced when it is working in the same direction as a general price rise, a shortage in the labor market coupled with an enormously increased commodity market, active unionization, and the introduction of women into many better paid fields formerly closed to them. Some of these influences tending to raise rates and earnings seem still to be at work at the present time and to be causing rates and earnings to rise irrespective of minimum-wage rates. The Massachusetts medians appear to support the theory advanced to explain the Kan sas figures, that a minimum which is low when considered in the light of going rates changes the typical woman’s earnings very little, though it may be of real help to the poorest paid woman. A high minimum rate, however, may bring up the lowest paid woman so far that adjustments are necessary all along the line, thus raising the typical worker and even the typical highly paid worker. In section B of Table 63 (p. 349) are shown the quartile rates and earnings of that 50 per cent of the woman wage earners who received less than the median rates and earnings. In the States with mandatory laws which have been discussed, every industry has had at least 50 per cent of its workers receiving rates of pay that equaled or exceeded the minimum rate. There have been only four cases—California, manufacturing in 1919, and Kansas, laundry in 1918 and in 1924 and manufacturing in 1919— where as many as three-fourths of the workers failed to receive rates at or above the minimum. In Massachusetts, however, there are five instances where 50 per cent of the women failed to receive the minimum rate. This occurs in paper box 1920 and 1921, candy 1920, knit goods 1922, men’s furnishings 1922, and retail stores 1924. As for the first quartiles—the rate received by the typical lowpaid worker—they fall below the minimum rate in 35 of the 55 studies made after decrees went into effect and that show rates.3 Moreover, among the other surveys there are five—brush, 1917; minor lines of confectionery, 1924; women’s clothing, 1919; corsets, 1921; and retail stores, 1919—which, though they show quartiles above the minimum, are .second inspections after the decree in four cases and the third inspection in the case of minor lines of confectionery. Retail stores, in the third and fourth inspections which were made after a new decree which raised rates, and brush, in the fourth and fifth inspections, which also were made after a new decree advanced rates, again /show first quartiles below the minimum rate. Corsets in 1925 show once more a quartile below the minimum. In actual fact only six industries—muslin underwear, canning and preserving, men’s clothing, wholesale millinery, retail millinery, and bread and bakery products—show that the establishing of a minimum-wage a Building cleaners omitted because recognized as a part-time industry to a predominant extent. CHANGES IN THE POSITION OP WOMAN WORKERS 359 decree resulted at once in three-fourths of the workers receiving tile rate set by the decree or a higher rate. though this failure of the actual rate to reach the minimum rate in so many cases is a most important fact as far as the general effect of minimum-wage rates is concerned, it must be understood that tins difference m rates does not necessarily mean that the law is not being followed by the vast majority of the employers. These lower rates m Massachusetts may represent apprentices whose rates run much lower than the cost-of-living minimum and mav continue tor a considerable period of time, and whose numbers are not lim ited. liven granting that this explains satisfactorily the smaller percentage of workers whose rates were at or above the minimum, it does not affect the fact that not only do the mediaps fail to show any stiikmg results ot minimum-wage rates but the first quartiles also fail to do so. To discuss the general tendencies of rate changes as shown bv these quartiles would be to repeat the analysis of the medians. With he exception of two rates (candy 1925 and druggists’ preparations 192oji and two earnings (candy 1921 and brush 1925) the quartiles vary directly with the medians. Moreover, these first quartiles fail to show a much greater proportionate rise than do the medians. In some ot the states previously discussed it was found that there miofit beconsiderable difference between a first quartile and a median before the minimum rate was set, but that the rate so aided the lowestpaid workers that the first quartile more nearly approached the median after the rate was set. This, however, is not the rule in Massachusetts. On the whole, these median and quartile figures can not be said to show that minimum-wage rates were the predominant factor in the wage rise that took place among the lower-paid groups m these industries. 1 One other set of figures, the third quartiles, have been tabulated, their mam value is to show whether the minimum wage has become the maximum, as is so often claimed. Part of the value of these quartiles. is destroyed by the fact that exact changes in the rates and earnmgs of the typical more highly paid woman can not always be determined, since in some cases the rates and earnings have been lumped as over $15” or “over $18.” Section C of Table 63 (p. 350) shows the third quartiles in the industries investigated or inspected by the Massachusetts Minimum Wage Commission Unless some cases of divergence are concealed by the system of throwing ogether all rates or all earnings above $15, the third-quartile rates vary directly with the median rates with the exception of the 1925 candy inspection and the first inspection (1921) in minor lines of confectionery. The situation in the latter is very interesting because the typical more highly paid woman in this industry received a sub stantially lower rate of pay after the decree was set than before this is noted particularly because it is the only case in any State where a leveling of rates seems to have followed a decree. This result was temporary, however, for in the next inspection (1922) tne third quartile was shown to have gained so much more rapidly 60769°—28---- 24 360 MINIMUM-WAGE LAWS IN THE UNITED STATES than had the median that it had advanced practically as much over the predecree third quartile as the 1922 median had over that of 1919. Whatever causes were operating to bring about the general rise in rates and earnings in Massachusetts were producing an up ward movement in the pay of the typical more highly paid woman, so that she maintained just about the same position in advance of the rates and earnings of the typical woman worker as is shown by changes in the median. Changes m median wages as shown by the -figures collected by the Massachusetts Division of Statistics.—The figures collected by the minimum-wage board show a general rise in rates in all industries covered by the minimum-wage decrees and in two industries where no decrees ever were set. The following table, giving figures from the division of statistics, shows that this general rise occurred not only in all the manufacturing industries where decrees were set but in the main woman-employing manufacturing industries not covered by decrees. These figures begin during the period when agitation and investigation looking toward a minimum-wage law were going on, and continue, for each year, during the period in which most of the decrees were issued. As the division of statistics no longer pub lishes these figures, information could not be obtained for years later than 1922. Table 65.—Median wages of women in Massachusetts as shown by figures collected by the division of statistics, 1910 to 1922, by industry 1 Industries covered by minimum-wage decrees Can Boxes, Conning Wom Men’s fancy Brushes fec- Other and Men’s en’s Cor Knit Mil fur and tion- food pre cloth clbth- sets goods linery nish ing ing paper ery ings serv ing 1910............ $7.60 1911......... . 7. 90 1912_.......... 7.85 1913-........ 8.15 1914 8.60 1915_____ 8. 85 1916........... 9. 25 1917............ 9.60 1918_____ 12. 05 1919............ 15.25 1920............ 3 16. 55 1921........... 15. 85 1922 * 15. 65 $4.60 $6.15 $6.60 $7.60 $8.10 $7. 40 $7. 35 $9.15 $8. 35 $6. 70 4.80 6.55 6.85 7. 65 8.15 7. 95 7. 75 9. 30 8.55 7.05 5. 25 6.65 6.80 $6.10 8. 05 8.60 8.15 8. 10 9. 70 8.40 6. 85 7.05 6. 85 7.20 6.40 8.45 8. 65 8.00 8.25 10. 20 8.60 7. 35 » 7. 90 7.15 7.00 6.60 8.40 8. 75 8. 75 8. 40 10. 45 9.15 7. 70 8. 75 7. 15 7.05 6.65 8.55 8.85 8. 75 8. 95 10. 55 9.10 7. 65 9. 40 7. 45 7. 55 7. 30 9. 25 9. 45 9. 35 10. 30 11.45 10. 05 8.10 9. 45 8. 30 8.60 8. 55 10.60 310.40 10.90 12. 70 12. 40 10. 75 8. 75 10.15 10. 80 9. 90 10. 60 3 13. 15 13.00 14.65 14. 85 313.65 3 13. 25 11.45 14.45 13.15 12.20 312.10 16. 95 15.90 13.85 17. 25 316. 25 15. 70 11.25 15.60 315.05 12. 75 13. 75 3 19. 65 3 17. 20 318. 35 319. 30 18. 35 15. 75 13. 55 15. 10 14. 25 313.10 13. 90 16.60 16.10 14.50 16. 75 17. 50 15. 50 14.45 14. 40 14.80 12. 75 13.25 16. 50 3 16.40 15. 80 17.00 17.20 315. 20 13. 65 1 For numbers of women on which these figures are based, see Appendix E, p. 614. 1 Decree issued after 1923. * Minimum-wage decree became effective in this year. Textiles Pat Elec Sta Bak Toys ent Boots trical All Jew medi tion elry 2 ery ma indus prod and Cot Dinen ery Wool Total and cines, games2 Silk shoes chin tries ucts2 ton and of 4 etc.2 goods 2 ery goods goods goods worsted classes $7. 75 7.90 7.80 8.15 8.40 8. 65 8. 85 9.80 13. 85 15. 85 17.20 17.00 16. 45 $8.00 8.20 8. 30 8. 45 8. 75 8. 65 9.30 10.20 12. 30 15. 05 15. 80 15.70 15.30 $8.10 8. 30 8.20 7. 85 7. 95 7. 65 8. 75 9. 55 12. 05 14.00 14.80 13. 85 13. 55 $7. 30 6. 95 7. 15 7. 95| 8. 40 8. 60 9.25 9. 60 10.60 14. 55 15. 30 15. 30 14. 55 $7. 70 7.80 8. 25 8. 55 8. 65 8.85 10. 75 12. 90 16.20 19. 40 21.60 17. 70 17. 75 $6. 85 7.40 7.65 7. 65 7.95 8.00 8. 95 11.25 14.90 19.50 21.20 17.20 17.45 $8. 65 9.20 9.15 9.85 9.85 9. 95 11.20 13.05 15.60 22. 25 21.10 19.10 19.35 $7. 80 7.90 8.45 8.50 8. 55 8. 75 10. 75 13.30 15.95 20.00 21.15 18.20 18.30 $7. 70 7. 85 8. 30 8. 55 8. 65 8.80 10.70 12.90 16.10 19. 65 21.50 17.95 17.95 $9.30 9.60 9.90 10.25 10. 35 10. 55 10. 95 11.85 14. 65 18. 40 19. 25 19. 65 19.20 $7.95 8.40 8.50 8.50 8. 75 8.90 9. 75 11.00 13.00 15.60 16.10 16. 30 15. 30 $7.85 8. 05 8.40 8. 60 8. 75 8. 90 10.15 11.85 14.80 17.60 19.10 17. 25 17.15 CHANGES IN THE POSITION OE WOMAN WORKERS Year In dustries not covered by minimum-wage decrees CO OS 362 MINIMUM-WAGE LAWS IN THE UNITED STATES From 1910 to 1920 there occurred a period of steady advance in wages for the typical woman worker. Occasional scattered reces sions are shown, but none of them are great and many of them are for as small sums as 5 cents. If the median fell back one year, the next year, in practically all cases, it not only made up any amount lost but forged still further ahead. Some industries show considerably greater increases in this period than do others. The industries where rates have been set, however, often do not show so great an increase as those where there is no decree. For instance, the following: Men’s clothing Year 1913 1922 ___ _____ _______ _________ ____ ______________ ________ $8. 45 19. 65 16.50 W omen’s clothing $8.65 17. 20 16. 40 Stationery Cotton tex Men's tiles furnishings goods $8. 60 15.75 15. 20 $8.15 17. 20 16. 45 $8. 55 21. 60 17. 75 Cotton textiles, which had the greatest rise, never had a rate decree The stationery decree was not set until 1925. Minimum rates for the three other industries were set in 1917 and 1918. Therefore, one industry without a decree showed a rise that roughly equaled the rate changes in the three industries with decrees, and another with out a decree showed considerably more rise than the three where rates were set. In one particular these medians have a tendency somewhat different from that of the medians computed from the figures collected by the minimum-wage board. As far as the present medians are con cerned, 1920 stands out in almost every industry as a peak year, with an immediate drop in wages in 1921. In the minimum-wage figures some industries reached their peak in 1921, and some in the last inspection available running from 1919 to 1924. The figures from both sources agree in showing that women were receiving consider ably higher rates at the end of this period than at the beginning. Taking from this table the two industries covered by minimumwage rates that had the highest and the lowest medians in 1913, and the two never covered by a decree that occupy similar positions, it is seen that in each case the industries without decrees show a some what greater rise. Industries covered by minimum-wage de crees Year Canning and pre serving Industries having no decrees ................... -...................... -_____ ______ ____ ___ Linen tex tiles $6. 40 13. 25 $10. 20 17.20 $7. 65 17. 45 $10.25 19.20 107.0 1913 Millinery Boots and shoes 68.6 128.1 87.3 Considered from many different angles, these figures confirm the deductions drawn from the studies made by the minimum-wage com mission. The minimum-wage law has operated in Massachusetts in a time of rising rates which have obscured its effect. The causes sending rates upward, such as an unprecedented 'demand for manu factured goods required for prosecuting the war, and a tremendous increase in living costs which had to be met by raising rates, were so much more powerful and far-reaching than minimum-wage decrees that they largely obscure the effect of the latter. Moreover, the law CHANGES IN THE POSITION OP WOMAN WORKERS 363 was pot mandatory, and the rates set usually were compromises which considered the financial ability of the industry. It is often stated that minimum-wage decrees were set only in those industries where increases in rates were not keeping pace with living costs nor with other industries. However, if the table from the division-of-statistics figures which give yearly changes is studied, with its figures foot noted that indicate the year in which the decrees became effective m each industry, it is hard to see any special acceleration of the general upward tendency. The Massachusetts figures are the most complete available, but they also are the most inconclusive. If figures on rates are made available again, the next few years, which will show the decrees’ effect in a more normal period, may permit the correct interpretation of the figures now existing and certain definite achievements of minimum wage which at present are obscured may be visible. Minnesota. The only Minnesota figures available for purposes of comparison are earnings for the years 1920, 1922, and 1923. For 1914, figures on rates are obtainable, but there are no other rate figures. The table following shows the available median and quartile earnings. Table 66.—Median and quartile earnings in Minnesota, 1020, 1922, and 1923, by industry1 (Figures in roman were secured by investigation before a decree; those in italic by inspection following decree] a A. MEDIAN All indus tries Year 1920 2___________ 1922______ 1923......................... $15. 30 15.40 15.10 Laundries Manufac turing Mercantila $14.00 $15.40 15.20 15.05 $13. 60 15.60 14.65 18. 25 $11.90 18.80 11.10 B. FIRST QUARTILE 1920 2________ 1922._____ ______ 1923__________ $12. 85 18.20 12.50 $12. 50 C. THIRD QUARTILE 1920 2_______ ________ 1922________ 1923______________ $19. 45 19.05 $16.10 Median Other 1920 earnings:2 Office workers.................... Laundries.__ ________ Manufacturing............. ._ Mercantile... ______ . Printing and publishing. ...................... ......... Printing and publishing______ _________ Other 1923 earnings: Hotel and restaurant____ Printing and publishing-....................... $16.90 18.65 IS. so 18.40 First quar Third quar tile tile $16. 65 16. 20 17.20 15.85 16. 65 15.50 $13. 80 14.00 14. 25 13. 20 13.90 12. 70 12. 05 16.90 9. 45 13. 45 20.45 18.85 For numbers of women on which these figures are based see Appendix E, p. 615. Figures necessarily constitute an inspection, since they were collected after a decree was set, but they were gathered as investigation figures when the necessity for revising the decree in question was under 364 MINIMUM-WAGE LAWS IN THE UNITED STATES In Minnesota, as in Kansas, minimum-wage rates were low during the period in which these earnings figures were collected. These rates ranged from $10.25 to $11 in 1920 and from $10.25 to $12 in 1921, and covered every industry in the State. The tables for other States have shown that earnings figures almost always ran lower than rates, yet for Minnesota earnings every median is well above the highest minimum rate and only one first quartile falls below, and that only to the amount of 10 cents. It is a true summary of the Minnesota figures to say that three-fourths of all the women investi gated actually were receiving in their pay envelopes more money than the highest minimum-wage rate required their rate of pay to be. If figures were available for rates undoubtedly they would run even higher in most cases than these earnings. Unfortunately it is almost impossible to tie up these earnings with the minimum rates and make the claim that their excellence is due to the standards set by the wage decrees. After the slight increase in rates which occurred in 1921, median earnings went down very slightly in one industry and up very considerably in another, but for all industries they remained practically stationary in 1922 and dropped in 1928. The first quartile for all industries went up a little in 1922 but.'fell below its 1920 level in 1923. The third quartile went down in 1922 and back to its 1920 figure in 1923; in other words, its behavior was exactly the reverse of the first quartile. If the 1922 figures suggest a leveling down of highly paid workers when a rise in minimum-wage rates forced up the earnings of those lower paid, the 1923 figures contradict this hypothesis. It is perhaps too much to expect that variations in earnings should bear a direct relation to changes in minimum-wage rates. They are not only fluc tuating at a point well above the minimum rate, as far as most women are concerned, but fluctuations in earnings are so dependent on over time, undertime, absences for personal reasons, and so forth, that there is no possibility of gauging changes in rates by the available earnings figures. In spite of the limitations imposed by the nature of these Minne sota figures, any significance that they have tends to confirm the theory advanced in discussing the Kansas figures—that minimumwage rates, if their influence on rates and earnings in general is to be evident, must be set at the true cost-of-living level. As a usual thing this cost-of-living rate has been shown to be sufficiently above the going rates to cause an appreciable rise in general rates and earn ings. This has not been the case in Minnesota. North Dakota. A few figures on median rates are available in North Dakota, but the number of women included in these studies is so small in almost every industry as to make one hesitate even to consider the medians (see p. 615). It must be remembered that the total number of gainfully employed women in North Dakota is so small that even figures based on a relatively few women might give a representative cross section. The figures, therefore, might be worth careful consideration were it not for the way in which the rate figures have been grouped. Not only are there a relatively small number of women included in these studies, but when the tables were organized the rates were lumped—■ for instance, “ over $15 ” and “ under $15 ”—so that usually it is im CHANGES IN THE POSITION OE WOMAN WORKERS 365 possible to discuss the medians in exact terms. The tables therefore seem of so little value that they are not reproduced here. They show rates in six industries—hotel and restaurant, laundry, manu facturing, mercantile, office, and telephone—for 1921, 1922, and 1923. Oregon. The only figures available for Oregon are for earnings in 1912 pi ioi to the enactment of the law and for rates in the manufacturing and the laundry industries in 1917 and 1918. The comparable rate igures are for identical establishments. The following statement shows the median and quartile rates. A. MEDIAN Industry Year Manu facturing Laundry 1917________ $8. 95 $9.65 $7. 60 8. 40 $9.15 9. 20 --------------- ---------------------------------------------------------------------------------------------------B. FIRST QUARTILE 1917..................... C. THIRD QUAIITILE 1917________ cuiisuiute an inspection, since they were collected after a deeree lor revising^ the ^decree fn“oa.S° “ i"Ve8tlgati0n flgUres lu determining the necessity The number of women represented in this table is small; 475 in manufacturing in 1917 and 376 in 1918; 159 in laundry in 1917 and 13 ‘ hi 1918. Minimum rates of from $8.25 to $8.64, according to the size of the community, were in force in both industries at both dates. J he figures show a rise in rates though the minimum remained the same. In spite of the decree, however, the first quartile in manu facturing was well below both minimum rates in 1917 and only a little above the lowest minimum rate in 1918. Even in the second year, iiaJt of the women m both industries were receiving lower rates than the sum to which the minimum rate was raised ($11.61) later in that year. In spite of the tendency of rates to rise, these Oregon women seemed really to need an increased minimum-wage rate to bring up the lower-paid women. Unfortunately, figures do not exist to show in how xai the $11.61 rate accomplished this purpose. The two groups ° . [a^s that are used show, however, that the rise in rates with or without decrees being set, or rates raised, that occurred in the States previously discussed, occurred also in Oregon. Another tendency discernible m Oregon which was the same as in the other States is that the minimum rate did not become the maximum. In fact, the rates of the typical more highly paid worker showed a good increase in the manufacturing industry and increased much more than did the 366 MINIMUM-WAGE LAWS IN THE UNITED STATES median in laundries. If these rates in general corroborate statements made earlier in this report that rates were rising without the aid of minimum-wage decrees, and that the minimum wage did not become the maximum, they do not agree with figures in other States when they show also a rise without minimum-wage decrees which did not keep pace with the standards set by the decrees. Washington. The only comparable figures available for the State of Washington are those showing earnings for a few industries in 1913, 1914, and 1920. The table following gives this material: Table 67.—Median and quartile earnings in Washington, 1913 to 1920, by industry1 [Figures in roman were secured by investigation before a decree; those in italic by inspection following a decree] A. MEDIAN Laundries Year 1913.............................................................................................. 1914_________ _____ 1920 2 Manufac turing $8. 65 9.85 15. 40 $9. 75 Mercan tile Telephone $9. 45 10.75 $8. 45 9.65 $7. 40 10.15 $6.90 9.10 (3) $12.70 $9. 75 10.^5 14.90 B. FIRST QUARTILE 1913............................................................................................... 1914 . 1920 1____ ______________________ ____ _____________ $7.15 9. 65 13. 80 $7.90 13.25 C. THIRD QUARTILE 1913............................................................................................. 1914. ______________ ____ _____________ ___________ 1920 2 .................................. ..................................................... (3) $11.70 17. 30 o $17. 60 1919 figures: Public housekeeping—median, $13.65; first quartile, $13.20; third quartile, $15.55. 1 For numbers of women on which these figures are based see Appendix E, p. 615. 2 Figures necessarily constitute an inspection, since they were collected after a decree was set, but they were gathered as investigation figures when the necessity for revising the decree in question was under consideration. » Over $10. Median and quartile earnings once again are steadily moving up ward, with the gain in any one group seeming to be roughly pro portionate to the gain in the others. Nineteen hundred and fourteen, after a decree had been set, shows a substantial increase in earnings over 1913. Earnings, which usually run below the actual rates, are running well above the minimum rates required by the decree. In the six years from 1914 to 1920 a great increase in earnings took place, with three-fourths of the women studied in 1920 earning more than the minimum rate of $13.20. Though no rate figures are obtain able, it seems fair to say that rates between 1914 and 1920 rose considerably faster than did the minimum-wage rate. Wisconsin. In 1921 to 1924 the Wisconsin Industrial Welfare Commission col lected a great mass of material on hourly earnings by methods which compared with those described in discussing the California pay-roll CHANGES IN THE POSITION OF WOMAN WORKERS 367 calls. The material obtained was arranged in various special in dustrial groups and an “all industries” group for the first three years and in an “ all industries ” group alone for 1924. On the ad vice of the director of the women’s department of the Wisconsin Industrial Commission, the usual weekly schedule was considered to be 50 hours for all four years and this, rather than the legal limit, which was 55 hours m 1921, 1922, and part of 1923, and 50 hours thereafter, pas used to determine potential weekly earnings. These figures were based on large numbers of women (32,689'"’ in 1921: 46,998 m 1922; 56,3 <8 in 1923; and 51,407 in 1924) and would have formed a comparable series of the greatest value had not earnings been lumped, above 30 cents an hour and under 20 cents an hour, so that well over half of the medians and practically all of the third quartiles can not be definitely determined. The folio win0, table shows the medians and first quartiles: Table Median and quartile potential earnings in Wisconsin, 1921 to 1923, 68. t>y industry1 [Inspection figures] A. MEDIAN Canning and pre serving Year 1921 *.................. 1922__............ 1923_.............. Hotels and restaurants Laundries Mercantile $14. 40 $12. 60 (3) Tobacco $14. 90 14. 70 14. 85 « $13.15 (>) B. FIRST QUARTILE Year All in dus tries 1921 2 $13. 20 1922__.......... 13. 35 1923............. 13.65 1924_............ 14.10 Can Hotels ning and Laun Manu and restau dries factur ing pre rants serving $12. 55 12. 90 13. 00 $13. 60 13.05 (<) $13.90 13. 90 $13. 25 13. 20 13. 65 Mer can tile $12. 85 13. 40 13. 40 Office $14.45 10.25 Print ing and Public pub utility lish ing $14. 90 14. 10 12. 75 $14.45 14. 25 Tele phone Tobacco $14.30 13. 85 $13.80 10. 5 13.60 Medians of over $15 : All Industries, 1921, 1922, 1923 1924 Manufacturing, 1921. 1922, 1923. ' Office. 1921, 1923. Printing and publishing, 1921, 1922, 1923. Public utility, 1922, 1923. Telephone, 1922, 1923. 1 F?r numbers of women on which these figures are based see Appendix E, p. 616. i igures necessarily constitute an inspection, since they were collected after a decree was set, but they "TovJr $16 16 aIS° 88 lnTBStIBatlon (Uuros 1° determining the necessity for revising the decree in question. * Under $10. In 1921 the hourly minimum-wage rate would have yielded $11 to a woman who worked the 50-hour week which was most common in Wisconsin or $12.10 to the woman who worked the full legal limit of 55 hours. In 1922, 1923, and 1924, after an increase in rates, these hours would have yielded $12.50 and $13.75, respectively, to women working in towns and cities of 5,000 or more population and the same amounts as in 1921 to women in the small communities. 368 MINIMUM-WAGE LAWS IN THE UNITED STATES With either minimum rate, every actual median and all the first quartiles except laundries 1921, office 1923, and tobacco 1922, are above what a woman’s earnings would have been had she worked at the minimum rate 50 hours per week. Moreover, in 1921 all these potential earnings figures except the laundry quartile are above the amount a woman could have earned at the minimum then in effect if she worked 55 hours per week. In 1922 and 1923, only one median (tobacco, 1922) was below what a woman could earn in a city or town of 5,000 or more population on a 55-hour schedule (the higher of the two rates set in late 1921) while 7 of 19 first quartiles also were above this sum. All the medians and all the quartiles except office (1923) and tobacco (1922) were above the weekly minimum based on 50 working hours, and this was the basis used by the commission in 1921 when determining what weekly rate would meet the cost of living. In other words, actual earnings based on a 50-hour week were yielding to three-fourths of the women in all but one industry (laundries) in 1921 and to half of the women in all but one industry (tobacco) in 1922 and 1923 the sum possible at the minimum rates when a woman worked the 55 hours allowed by law. Moreover, for three-fourths of the women in 11 of 30 possible groups in 1921-1924 the earnings were yielding as much as or more than the minimum for cities and towns of 5,000 or more population on a 55-hour basis. Evidently in 1921 actual earnings were so far ahead of the low mini mum rate that it is doubtful whether the rate actually affected more than a small fraction of the State’s woman workers. In 1922, 1923, and 1924, after the minimum rate was raised, the number of women who earned only the minimum rate was somewhat increased, but even at that in “ all industries ” three-fourths of the women were receiving $13.35, $13.65, and $14.10 or above for 50 hours’ work when the minimum rate for 55 hours would have yielded either $12.10 or $13.75, depending on the size of the community, and the so-called cost-of-living minimum based on 50 working hours would have yielded $11 to $12.50. These earnings confirm once again the theory advanced as a result particularly of the study of the Cali fornia and Kansas figures, that the effect of a relatively low mini mum rate on actual rates and earnings is very slight. Since medians that show changes above the $15 line are not ob tainable in many industries, the table showing first quartiles is the only complete representation of changes that occurred when the minimum rate was raised. Between 1921 and 1922 the first quartile for all industries went up slightly. In the specific industries three showed higher quartiles and three showed lower ones. In one in stance, mercantile stores, the first quartile went up but the median went down slightly. It is impossible to judge what was the effect on the third quartile, since only four occur which are less than $15. It is to be deplored that this material is in such form that it is so inconclusive. It represents a period sufficiently long after the war to give a relatively normal picture of earnings. It covers a very large number of women. Potential earnings form a worthwhile basis of comparison with minimum-wage rates. The medians and third quartiles are so far above the minimum rate, however, that the lumping of all groups above the $15 line prevents drawing a clear CHANGES IN THE POSITION OE WOMAN WORKERS 369 picture of wage changes. One fact stands out: The minimum rate most certainly has not become the maximum. Summary. h or anyone seeking to discover the real effect of minimum-wage decrees, the foregoing material is very discouraging because it is so dissimilar. For Arkansas, California'', and the District of Columbia figures are available that seem to show a direct fluctuation in general rates and earnings with changes in minimum-wage decrees. In Cali fornia a general rise in rates and earnings irrespective of the mini mum-wage decrees clearly is indicated, but this rise seems to be accelerated notably by increases in minimum rates. In Arkansas and district of Columbia no such general rise is apparent, but the different behavior on the one hand of the industries with low mini mum rates and on the other hand of those with high minimum rates, and also of the industries with decrees and of those without decrees, is marked. In the remaining States the close connection between general fluctuations in rates and earnings and changes in minimum rates ceases. Figures for Kansas, Massachusetts, Oregon, and Wash ington show a period of rising rates and earnings during the time in which decrees are being set in new industries and old minimum rates aie being raised. Actual rates and earnings, however, often go up when minimum rates remain stationary, and also go up in industries never covered by decrees. In Kansas, where the great majority of the woman workers were covered by decrees, the rise in rates in an industry outside the decrees might be attributed to the force of the deciees. In Massachusetts, however, the much greater proportion of the woman workers in the State are not included in the decrees, so it would not seem probable that the decrees had raised rates in all indus tries. Moreover, in Kansas, Massachusetts, and Washington the rise m actual rates and earnings seems much greater than the advances in minimum rates. After 1920 the general rise is halted in some industues, paiticularly in Massachusetts, but not in all. Nor do recessions in actual rates and earnings show a direct reaction from minimumrate changes. In Minnesota and Wisconsin medians for earnings and potential earnings, respectively, are fluctuating well above the level set by minimum rates, but in so irregular a fashion that it not only bears no relation to rate changes but shows no general tendency for earnings to either rise or fall. Out of these confused wage movements a few facts emerge. The three States where minimum rates seem to have affected actual rates and earnings for the whole group of woman workers have in two cases—California and the District of Columbia—the highest rates ever set and enforced over any period of time4 and in the third case, Arkansas, at least one rate that seemed very much above the general* level of rates in the State. Rates in the other States have been generally lower—if not lower in amount, lower in relation to the going rates in the State. In Massachusetts onen’ate was set as high as $15.50 in the peak year of 1920, but it was reduced soon after. Three other Massachusetts rates set at about this same time ranged from $15 to $15.40. No other State reached even $15. On the other 4 1 rate in Washington and 4 rates in North Dakota exceeded them in amount The Washington rate was lowered after a very short time in effect. The North Dakota decrees setting these rates were restrained by an injunction and never functioned. 370 MINIMTJM-WAGE LAWS IN THE UNITED STATES hand, studies in these States in industries where there were no de crees and in States with no minimum-wage laws showed that a weeklyrate of from $14 to $15 was by no means uncommon. In the light of the common knowledge of the upward trend of wages during this period, it seems true that only those minimum rates which caused a considerable advance over going rates brought about a change suffi cient to be observed in the behavior of the medians. In answer to the theory that most minimum-wage decrees have not affected general wages, it is possible, particularly in Massachusetts, to put forward figures showing how many more women received the minimum and above after the decree than had done so before it became effective. That every decree has raised a certain number of women’s rates is not to be controverted. How large a proportion of women the decrees have advanced to the minimum and whether or not decrees have been instrumental in raising general rates are ques tions open to debate. It is possible also that studies made two or three years apart, in this period of rising prices, would have shown just as many women above the figure at which the minimum was set had there been no decree. If it is ever possible to trace direct effects of minimum-wage rates when they are known to be but one of a hundred factors influencing actual rates and earnings, the question of their effect seems to get back to the question of the size of the rates. This report has discussed in detail the relation of the minimum rates to the cost of living and to changes in the cost of living. It has shown that very few minimum rates equaled the cost of living, and that later rates often did not advance enough even to maintain the level set by the first rate. The basis for the minimum rates has been a compromise that probably established, in most cases, a rate which approximated rates already in effect in the average firm. Notably underpaid women were brought up, but adjustments usually did not need to be made all along the line. After all, the purpose of minimum-wage laws is not to raise rates in general but to help the most depressed group. The charge against the actual decrees is that often they have been set so low as to bring up only the most submerged women. Interestingly enough, the few rates that seem high enough to raise the entire depressed group to the cost-of-living level seem to have raised rates in general. If the main lesson that these rates and earnings figures seem to teach is great, caution in attributing any direct result to minimumwage rates, due to the fact that they have operated in a period of great economic stress, they do show conclusively that attacks on the law claiming bad results are untenable. Certainly minimumwage decrees have shown no evidence of being drastic enough to drive industry from a State. Moreover, the period has been one of such general increases in rates that there does not seem to be the slightest tendency for the minimum rate to become the maximum. As for the claim of the proponents of the law that decrees have raised rates for the group of women most in need of help, it is true that this period shows a steady rise in the first quartile, which represents the rate of the average low-paid women, and that the level of rates below which no considerable number of women are found rises steadily; the very table headings change, for instance, from “ Under $5 ” to “ Under $9,” or “ Under $10,” and so on. If minimum-wage CHANGES IN THE POSITION OF WOMAN WORKERS 371 laws are to continue, the administering agencies must try to have rates set at a figure which really approximates the cost of living and they must try to be sure that the number of women who, as minors, apprentices, and substandard workers, receive less than the minimum is kept at the lowest possible figure. There is no magic in minimumwage laws to raise all rates. ' They may have this effect, but they should claim only that they pull to their own level the lowest-paid workers. CHANGES IN THE NUMBER OF LEARNERS OR APPRENTICES IN CALIFORNIA California has been the only one of the minimum-wage States that has attempted to keep records over a period of years of the number of apprentices in relation to the total number of women employed. The system of licensing apprentices seems to have origi nate! 1 in the State of Washington and licenses also were issued in the District of Columbia and Minnesota, but there are no records available now, in any of these States, of actual numbers licensed and actual numbers employed. Although this is such an isolated bit of evidence, it seems of real importance as a basis for judging how necessary were the elaborate and usually very lenient apprenticeship rules which were incorporated in almost all decrees. The following table shows the numbers of apprenticeship licenses issued by the California Industrial Welfare Commission from 1917 to 1923. Table G9.—Number of learners' or apprentices' licenses issued, in California, 1917 to 1923, by industry 2 68 2 7,916 2 2, 209 2 27.9 2,209 27.9 61 68 3, 579 13, 034 2 7.8 22.1 3.9 £ <u of ployees P © CJ P© m 2 12.5 of 61 3, 368 177 5.3 11,871 1,724 14.5 1921 Apprentices a> 42 P © o fc a> Ph a 3 ployees ployees a 8 N um ber of em a 3 firms t-i o> 42 N um ber ployees Num ber of em of firms 2 579 215,239 2 1,901 1920 Apprentices fe 42 | £ 518 792 511 i N um ber N um ber of em p 8 <5 Ph firms ployees of 2 129 216,613 21, 303 1919 i Industry a 3 £ Apprentices Num ber of em 7,916 <D 43 of 68 Apprentices firms Mercantile_______ Manufacturing........ 1919 l. N um ber £ p 8 3 Ph N um ber of em a 3 firms o> 42 N um ber Apprentices ployees Num ber of em 1918 N um ber All industries __ firms Industry N um ber of 1917 Apprentices o 42 a 8 Is fS a 3 All industries. 639 26,933 6,876 25.5 638 27, 788 4,311 15.5 292 20, 213 2,813 13.9 Laundries.............. Mercantile............. Manufacturing___ 61 68 510 3,418 9,987 13, 528 327 3,492 3, 057 9.6 35.0 22.6 57 68 513 3,343 9,600 14, 845 373 1,598 2,340 11.2 15 37 240 1,627 9, 544 9,042 166 903 1,744 10.2 16.6 15.8 9.5 19.3 11919 was kept as two separate time periods owing to change in minimum rates in this year. 2 Total can not be compared with other all-industries figures, as there are no women in some of the classes reported. MINIMUM-WAGE LAWS lit THE tfNITED STATED 372 Table 69.—Number of learners’ or apprentices' licenses issued in California, 1917 to 1923, by industry—Continued 1922 Industry 1923 Apprentices Apprentices Number Number Number Number of of em of of em firms ployees Number Per cent firms ployees Number Per cent All industries___ 650 27,795 2,969 10.7 209 18,530 2,013 10.9 Laundries Mercantile . ______ Manufacturing 61 68 521 3,713 10, 857 13, 225 143 701 2,125 3.9 6. 5 16.1 18 33 158 1,613 8, 759 8,158 179 491 1, 343 11.1 5.6 16.5 The first decree in each of the industries in this table limited the number of learners in a given establishment to 25 per cent. Begin ning with the second decree in each of these industries, the legal pro portion of learners was raised to 33y3 per cent. The table shows only two cases, both in the mercantile industry (1917 and 1919), where the proportion of learners actually reported was in excess of that allowed by law. In both cases the proportion is only slightly in excess of the legal limit. Moreover, both of these figures represent a period immediately following a new decree so that the industry was still in the process of adjusting itself to the new rates. At every other date the proportion is within the legal limit and in most cases it is far below this limit. Industry as a whole in California has not employed a fraction of the learners allowed by the decrees. While the proportion of learners is apt to be higher after a new decree, a study of the separate industries shows no general and uniform fluctu ation. On the whole, the longer the law is in force the less do the employers seem to make use of the decrees’ learner provisions, even though rates may be raised. In mercantile establishments, where the learning period is much longer than in the manufacturing or laundry industries, the end of the period shows the smallest per centage of learners employed. There is nothing in these figures to show any displacement of experienced women by learners. In fact, these tables indicate that far more elaborate learners’ rules were worked out than were used by the majority of employers. If most employers could get along with such small numbers of learners, the question naturally arises whether the very liberal provisions found in the decrees really were necessary. With its broad discretionary powers, the industrial welfare commission could have allowed excep tions to the learners’ rules on special application—from new estab lishments, for instance—when it could be proved that such an excep tion was desirable, and as a corollary could have established much stricter rules for the majority. In addition to these figures on all learners, returns from 140 iden tical firms were obtainable, showing how their policy of hiring learners had varied from 1917 to 1922. 373 CHANGES IN THE POSITION OF WOMAN WORKERS 70.—Number of learners' or apprentices’ licenses issued in California. 1917 to 1923, to 11/0 identical firms, by industry 27.8 9, 871 Manufacturing......... 962 27.8 8,909 301 436 Z All industries.......... 14, 081 2, 757 Laundries_____ _____ _ Mercantile...................... Manufacturing 1,106 309 6, 541 1,147 6,434 1,301 95 Apprentices s i 3 £ 3 o> o <3 Oh ployees ployees o I£ © 25 B 3 Z 19.6 14,505 1,919 13.2 14,811 1,833 14.0 9.2 18.5 973 112 7, 764 503 6, 074 1,218 N um ber ployees N um ber of em Per cent Per cent 36 5 27.6 1923 Apprentices 27.9 17.5 20.2 1,063 149 7,725 714 5,717 1,056 881 6,819 2,490 21.2 6,185 1,709 31.8 12. 0 1922 N um ber of em 3 3 N um ber of em ployees N um ber of em <3 & 6 792 1921 Apprentices Apprentices 7.5 2 5,960 2 1,192 2 20.0 13,885 4,420 31.3 4. 9 5,168 1,097 1920 Industry N um ber Per cent 737 8 26 5, 570 1,550 106 3 8 <5 Ph ployees 140 5,570 1,550 N um ber of em All industries___ 19191 Apprentices ployees Apprentices ployees Per cent N um ber 19191 N um ber of em N um ber of em 1918 Apprentices ployees N um ber of em Industry N um ber of firms 1917 N um ber Table Apprentices <3 Xi 3 8 z a> Ph B 3 12.4 15,822 1,643 10.4 11.5 6.5 20.1 12.6 5.6 16.3 1,175 148 8,329 466 6,318 1,029 1 1919 was kept as two separate time periods owing to change in minimum rates in this year. 2 Total can not be compared with other all-industries figures as there are no women in mercantile estab lishments reported. In two cases—laundries, 1918, and mercantile, 1919—the proportion of learners in these firms exceeded the legal limit. After the 1919 decrees, When the $13.50 rate went into effect, the proportion of learners declined steadily. The actual number of women employed rose from 1919 on, and the actual number of apprentices declined. Every tendency indicated by the more general table on apprentices is more strongly indicated by this for only 140 firms but the same firms throughout. CHAPTER XVI.—INFLEXIBLE LAWS The Women’s Bureau lias made no first-hand investigation of the administration of the inflexible laws created in Arizona, Porto Rico, South Dakota, and Utah. The nature of these laws is such that inspection for violations is the main duty of the body charged with administering the law, for these bodies are not authorized to study the relation of wages to changes in the cost of living nor to make any decisions as to what groups should receive the minimum wage. It is interesting to note that no agency has been created to handle these laws, and their enforcement and the administration of minor points has been assigned to existing units of the State government already busy with other duties. Moreover, the States with this type of law not only are few in number but, with the exception of Arkansas, whose law is not absolutely inflexible and whose flexible features already have been discussed, the total number of gainfully employed women in each case is extremely small. Arizona, South Dakota, and Utah are among the 11 States in the Union having in 1920 fewer than 30,000 women in all gainful occupations.1 North Dakota, with a flexible law, has fewer gainfully employed women by more than a thousand than has South Dakota, but Utah and Arizona have by far the smallest numbers of gainfully employed women of all the States that have either type of law. Porto Rico has, it is true, a somewhat large number of women gainfully employed—86,462—but nearly 18,000 of these women are in agriculture, an industry specifically excepted from the law. It should also be noted that the exception of women employed in agriculture affects the Arkansas situation to an even greater degree, for of its 115,810 gainfully employed women 66,310 are engaged in agriculture. Because of these circumstances a careful analysis of the text of the minimum-wage acts and of the powers of the bodies enfoi'cing them, together with such a brief resume of their practice as could be collected from printed reports and from correspondence, is all that will be attempted in this study. Even the attempt to give these few facts has shown the utter lack of uniformity in the laws and in the practice from State to State. It also has illustrated how few records of any sort exist from which any deductions may be drawn as to the effect of these laws. DATES OF ENACTMENT The earliest of these statutes is the Utah law enacted during the wave of minimum-wage legislation that swept, over the country in 1913. It was a new departure, in this or in a foreign country,2 for 1 Arizona had 18,386 women gainfully employed; South Dakota, 29,686; Utah, 21,783. The States with fewer women gainfully employed are Montana, 28,278; North Dakota, 28,328; Vermont, 26,899; Delaware, 18,102; Idaho, 17,509; New Mexico, 14,941; Wyo ming, 9,402 ; Nevada, 4,334. U. S. Bureau of the Census. Fourteenth census: 1920. v. 4. Population. Occupations, p. 54, Table 14. 2 This sort of law was on the statute books in most of the Australian Provinces, but in practice usually governed only apprentices or children. Adult workers were taken care of by the wage-board acts, 374 375 INFLEXIBLE LAWS a lawmaking body to determine the actual amount of the wage and to provide no administrative body to regulate the wage as con ditions changed. The law was a compromise measure, passed after a hard struggle to have enacted the more usual flexible type of law. Though the Arkansas law, passed in 1915, embodied the principle of haying the legislature set the wage rate, it also provided for a commission to change this rate as economic conditions changed, so not until 1917 was another law7 passed—that of Arizona—which made no provision within itself for changing wage rates as neces sity demanded. Arizona is unique in that its legislature has at tempted to make its law meet changing conditions by repassing the act in 1923 with an increased wage rate. Porto Rico passed an in flexible law in 1919, and the latest law to be enacted, that of South Dakota in 1923, also is of the inflexible type. WAGE RATES ESTABLISHED BY THE LAWS Since the rates in these States (Arkansas excepted) may be changed only by act of the legislature, and since most of them were established some years ago, it is to be expected that all the rates except those of most recent date would seem very low when considered in the light of present-day cost-of-living figures. The following table shows at a glance how true this is. Table 71 .-—Weekly wage rates established by State legislatures, by date of enactment State and type of woman worker Arizona____ ________________ ____ __ ____ Arkansas: Experienced..................... ................. Inexperienced.............. ...................................... .............. . Porto Rico: Workers 18 years and over......... ................................ Workers under 18 years________ ___ South Dakota: Experienced. ........................................................................... Utah: Adult and experienced............... ......... Adult learner___________ Under 18 and inexperienced...................... ............. 1913 1915 1917 1919 $10. 00 1923 $16.00 $7. 50 6.00 $6. 00 4. 00 12.00 $7.50 5.40 4.50 ' ........ These figures show' that