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JAN 8 1347

UNITED STATES DEPARTMENT OF LABOR • BUREAU OF LABOR STATISTICS
+++++++*+++++

+

C O N T ^ N

T^S

L A W R E N C E R. K L E I N , Edi tor

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DECEMBER 1946, Yol. 63, No. 6

Special articles:

Page

State and regional variations in prospective labor supply----------------851
Postwar work stoppages caused by labor-management disputes-------872
Productivity changes since 1939-----------------------------------------------------893
The physically impaired worker in industry---------------- ------- ----------918
Veterans return to the Nation’s factories-----------------------------------------924

International labor relations:
The twenty-ninth session of the International Labor Organization—

935

Labor requirements:
Labor requirements in southern pine lumber production------------------

941

Wage and hour statistics:
Wage structure of the hosiery industry, January 1946---------------------

954

Cooperatives:
Activities of credit unions in 1945------------------------------- -----------------

962

Labor-management disputes:
Controversies and significant developments, November 1946-----------Work stoppages in October 1946----------------------------------------------- -

967
969

Labor laws and decisions:
Recent decisions of interest to labor------------------------------------ r-------

971

Prices and cost of living:
Decontrol of prices and wages-----------------------------------------------------Prices in the third quarter of 1946-----------------------------------------------Index of consumers' prices in large cities, October 1946-------------------Retail prices of food in October 1946--------------------------------------------Wholesale prices in October 1946--------------------------------------------------

977
979
996
1000
1006

Construction:
Construction activity, September-November 1946-------------------------722250— 46-------1


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I

1012

IX

CONTENTS

Trends of employment and labor turn-over:
Labor force, October 1946_______________________________________
Summary of employment reports for October 1946_________________
Industrial and business employment__________________________
Public employment_________________________________________
Detailed reports for industrial and business employment, September
1946-----------------------------Labor turn-over in manufacturing, mining, and public utilities, Sep­
tember 1946__________________________________________________

Page
1019
1020
1021
1022
1025
1034

Trends of earnings and hours:
Summary of earnings and hours data for September 1946 __________
Trend of factory earnings, 1939 to September 1946________________

1039
1044

Recent publications of labor interest_________________________________

1046


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This Issue in Brief

State and regional variations in prospective labor supply
Prospective changes in the labor force during the current decade vary widely
by State and region, ranging from an increase of 25 to 45 percent on the Pacific
Coast to a decrease of 1 to 5 percent in the West North Central States. The
variations are described and the factors causing them are discussed in the article
beginning on page 851.

Postwar work stoppages caused by labor-management disputes
During the 12-month period following VJ-day, 4,630 work stoppages due to
labor-management disputes occurred. These controversies directly involved nearly
5,000,000 workers and resulted in about 120,000,000 man-days of idleness. The
period was characterized by large-scale stoppages in such industries as coal,
steel, automobiles, electrical manufacturing, meat packing, and transportation.
Wages were the major issue in most of the disputes, although other factors, such
as union security and health and welfare benefits, also played a prominent role
in some controversies. There were 42 stoppages each affecting 10,000 or more
workers. Page 872.

Productivity changes since 1939
Productivity trends varied widely from industry to industry during the war
period. In munitions production, output per man-hour rose sharply as massproduction methods were applied and new techniques developed. Many indus­
tries producing goods for civilian use were handicapped by scarcity of new equip­
ment, restrictions on production, and shortages of labor and materials. In the
mining industries, output per man-hour rose at approximately the prewar pace,
despite many wartime difficulties; in railroad transportation, electric power, and
agriculture, there were unusually sharp gains in productivity. ' Output per man­
hour in manufacturing industries will probably increase rapidly during the
coming period because wartime difficulties will not prevail ana large amounts of
new equipment will be installed. Further increases in productivity may also
be anticipated in nonmanufacturing industries after readjustment to peacetime
operations is completed. Page 893.

The physically impaired worker in industry
As a group, the first 4,000 seriously impaired workers studied in the Bureau’s
survey of 10,000 such workers compared favorably with a group of 6,500 unim­
paired workers. The group of impaired workers were as efficient as the un­
impaired, had the same absenteeism rate, and had only two-thirds the number
of disabling injuries. In nearly all of the 47 plants surveyed, impaired workers
were placed on jobs at which their impairments aid not handicap them. They
were found in a great variety of occupations, most of them on the production
line. Page 918.
hi


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IV

T H IS ISSUE IN BRIEF

Veterans return to the Nation’s factories
More than twice as many veterans were employed in manufacturing industries
in July 1946 as in December 1945. About half of all veterans on factory pay rolls
were employed in 8 major industrial groups, in which earnings averaged $45 or
better over the entire 8-month period. Veterans comprised a greater proportion
of the hires in the durable than in the nondurable component of manufacturing.
Total separation rates for veterans, including quits, discharges, and lay-offs, were
consistently higher than for non veterans. Since quits represent at least threefourths of veteran separations and higher quit rates are characteristic of new
employees, the higher veteran separation rates should not be overemphasized.
Veterans quitting jobs in iron and steel, machinery (except electrical), and auto­
mobiles accounted for at least 30 percent of all veteran quits over the entire period
studied. The veteran discharge and lay-off rates were generally lower than for
nonveterans in the early part of the period, but the differences practically dis­
appeared owing to the greater job seniority of nonveterans. Page 924.

Labor requirements in southern pine lumber production
The production of 1,000 board feet of dressed lumber in the southern pine
area in early 1946 required a total of 41.2 man-hours of labor from the felling of
the tree to the loading of the freight car. This was an increase of 34 percent from
the 30.7 man-hours required in 1935 when the last survey was made. All proc­
essing departments showed increases in labor requirements over the 11-year
period, fewer man-hours being needed only for shipping and administration.
The increases reflected the shortage of experienced workers, the sparseness of the
timber stands, and the increased production of low-grade hardwoods. These
factors far outweighed the limited improvements in mechanization. Page 941.

Prices in third quarter of 1946
The price advance during the third quarter of 1946 was greater than the entire
increase from the hold-the-line order in the spring of 1943 to June 1946. Con­
sumers’ prices rose 9% percent and wholesale prices 9.8 percent. The dominant
influence continued to be the huge effective demand from consumers and industry
for goods and services, which still far exceeded supply. Prices rose sharply
during the period from June 30 to July 25, when price controls were temporarily
suspended. Passage of the Price Control Extension Act of 1946 on July 25 gen­
erally restored controls in effect on June 30; but the new act exempted a number
of agricultural commodities from price control and contained certain important
provisions which resulted in further price increases later in the quarter. Page 979.


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V

CURRENT LABOR STATISTICS
Current Statistics of Labor Interest in Selected Periods 1
[Available in reprint form]
J—,----1946

Item

Unit or base
period
O ctober

1945

S e p te m ­
A u g u st
ber

O cto b er

1939:
A verage
for y ea r

Employment and unemployment
Civilian labor force (BC): T otaL ............ Thousands.
M ale..... ...................................... - ........... ------do____
Female.......... .......................................... ........do_____
Employed 3________________ _____ ____do____
M a le ................................................ ........do..........
Female..................................... ....... ........do____
Nonagr ¡cultural---......................... ........ do____
A gricultural.-............................— ____do____
Unemployed........................................... ____do____
M ale__......................... - .................. ........do_____
Female........................... .................. ........do_____
Civilian employment in nonagricultural
establishments: T o ta l3__________
........do____
M anufacturing____ ______ ________ ____do____
M ining_________________ ________ ____do____
Construction *___ ____ ______ _____ ____do____
Transportation and public utilities. _ ........do____
Trade..................................... - ................ ........do____
Finance, service, and miscellaneous. ------do____
Federal, State, and local govern­
ment, excluding Federal forceaccount construction........................
.d o .
.d o .
Military personnel_________ _________Production-worker employment:
_doManufacturing....... ...............................
_do.
Bituminous-coal m ining__________
Class I steam railroads, including sala­
-do.
ried employees (IC C )................. - ...........
_do.
Hired farm workers (B A E ).......................

59,310
42,140
17,170
57,360
40, 600
16,760
48,840
8, 520
1,950
1,540
410

59,440
42,170
17,270
57,370
40, 590
16,780
48, 630
8,7 4 0
2,0 7 0
1,580
490

60,000
42,830
17,170
57,960
41,250
16, 710
48,830
9 ,130
2 ,040
1,580
460

53,110
34, 590
18, 520
51, 560
33,660
17,900
42,770
8 ,790
1, 550
930
620

3 54, 230
3 40, 950
3 13,280
3 46,930
3 35, 600
3 11,330
3 37,430
3 9, 500
3 7,3 0 0
3 5,350
3 1,950

40, 250
14, 761
825
2 ,085
3 ,988
8 ,034
5,208

40,129
14, 731
827
2,103
3,948
7,918
5,155

39,871
14, 583
828
2,091
4,001
7,8 1 4
5,160

36,327
13,048
718
1,006
3 ,825
7,331
4,698

30,353
10,078
845
1,753
2,9 1 2
6,618
4,1 6 0

5, 350
2 ,488

5,447
2, 501

5 ,3 9 4
2 ,812

5,701
11,519

3,9 8 8
367

12,021
334

12,016
335

11,882
337

10, 450
262

8,1 9 2
371

1,376
2, 624

1,362
2, 777

1,371
2 ,786

1,397
2 ,4 9 4

988
3 3 ,2 8 0

40 .4

40 .3
4 1 .4
4 0 .9
3 8 .7

4 0 .5
4 2 .4
4 1 .5
3 8 .2

4 1 .6
« 42 .3
6 40. 4
38 .7

37 .7
27.1
43 .0
3 2 .6

$45. 41
$61.00
$33.76
$58.49

$44.98
$62.37
$33.81
$56. 67

$40. 97
« $52.73
« $29.17
$54.05

$23.86
$23.88
$21.17
$30.39

$1.126
$1.480
$0.906
$1,510

$1,111
$1,468
$0.891
$1,482

$0.985
8 $1. 261
8 $0. 792
$1,396

$0.633
$0.886
$0.536
$0. 933

$1.091

$1,075

8 $0.945

$0.622

$1,093

$1,078

8 $0. 942

$0,640

$ 4 .39

3 $ 1 .5 7

Hours and earnings
Average weekly hours:
Manufacturing............................. .......
Bituminous-coal mining............ .........
Retail trade_____ ___________ ____
Building construction (private)-----Average weekly earnings:
M anufacturing......................................
Bituminous-coal mining.....................
Retail trade____ ____ ____________
Building construction (private)........
Average hourly earnings:
M anufacturing......................................
Bituminous-coal m ining-................. Retail trade____________________ _
Building construction (private)____
Average straight-time hourly earn­
ings in manufacturing, using—
Current employment by indus­
t r y - ............................. ...............
Employment by industry as of
January 1941_______________
Quarterly farm wage rate, per day
w ithout board (B A E ).......................
Industrial injuries and labor turn-over
Industrial injuries in manufacturing per
million man-hours worked........ ............
Labor turn-over per 100 employees in
manufacturing:
Total separations........ ....................... Q uits..........................- ....................
Lay-offs............................................
Total accessions.....................................
Labor-management disputes
Work stoppages beginning in month:
N u m b e r ................................... ............
Number of workers involved.............
All work stoppages during month:
Number of man-days idle_________
Man-days idle as percent of avail­
able working tim e.............................
See fo o tn o te s a t end o f tab le.


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Hours.
........do.
____do.
........do.

3 8 .8
$45. 68
$59. 20
$1.130
$1. 526

$4.94

-

« 18 .3

15.4

17 .0

1 8 .5

6 .1
4 .6
1 .0
6 .7

6 .9
5 .3
1 .0
7 .1

6 .6
5 .3
0 .7
7 .0

8 .6
5 .6
2 .3
8 .6

» 2 .9
8 0 .9
8 1 .8
8 5 .9

Thousands...

450
290

450
380

500
235

474
551

218
98

____d o ............

4 ,500

5,000

3,425

8,611

1,484

0 .6

0 .8

0 .5

1 .4

0 .2 8

VI

current

labor

s t a t is t ic s

Current Statistics of Labor Interest in Selected Periods— Continued
1946
Item

U nit or base
period

'4945

October Septem­
August
ber

October

1939:
Average
for year

Prices
Consumers’ price index (moderate-income families in large cities): All
it e m s ____________________
___
Food___________ . .
Clothing?_______________ .
R e n t _______ . . .
______
Fuel, electricity, and ice _ ______
Housefurnishirigs___ . .
Miscellaneous___. . . . .
Retail food price index (large cities): All
foods____________ . . . .
Cereals and bakery products______
M eats. __ ___
Dairy p ro d u cts____
_ ..
Eggs------------------------------------------Fruits and vegetables .
Beverages__ . . . . . . . . .
Fats and oils___ ___
Sugar and sw eets____
Wholesale price index: All commodities
A ll commodities other than farm
products___ ___ _
A ll commodities other than farm
products and foods_______
Farm products___________
Foods___ _______

1935-39=100
1935-39 = 100...
1935-39 = 100.__
1935-39-100
1935-39=100...
1935-39 = 100. _.
1935-39=100...
1935-39 = 100. __
1935-39=100...
1935-39=100.._
1935-39=100...
1935-39 = 100. __
1935-39 = 100...
1935-39=100...
1935-39 = 100.._
1935-39=100...
1926 = 100_____

148.4
180.0
167.0

144.1
171.2
161.2

128.9
139.3
148.5

99.4
95.2
100.5

114.4
167.6
130.8

145.9
174.1
165.9
108 8
114.4
165.6
129.9

113.7
160.0
129.8

110.5
146.9
124.7

99.0
101.3
100.7

180.0
138.5
8 190. 7
202.4
214.6
176.5
166.5
147.9
167.5
134.1

174.1
137.3
188.5
186.6
193.3
176.4
162.0
151.4
141.5
124.0

171.2
135.4
186.6
180.1
173.6
178.3
126.6
180.3
140.3
129.1

139.3
109.1
131.0
133.3
185.5
172.5
124.7
124.0
126.5
105.9

95.2
94.5
96.6
95.9
91.0
94.5
95.5
87.7
100.6
77.1

101.0

79.5

105. .7

81 3
66 3
70.4

1926-100

127.1

117. 2

121.9

1926 = 100
1926=100
1926-100

115 7
165. 3
157 9

112. 2
154. 3
131.9

111 fi
161 0
149.0

$14,763

$14,317

$13, 481

$13, 531
7 $95 480

$8,803

7$30 165
$8,199
$8,556

185
192
146
56,000

184
191
149
51, 080

180
186
147
54,830

164
171
125
39,192

100
109
106
32,905

149
24, 388

149
22,788

145
23,669

128
21,464

(«)

20,188
4,200

18,805
3,983

19, 515
4,154

17,662
3,802

$1, 229

$1, 250

$1, 244

$542

National income and expenditures
National income payments (BFDC)___ M illions_____
Consumer expenditures for goods and
services (B FD C )
____do______
Retail sales (B F D C ).. ___

$7^ 124

3 $6, 327
7

$16 466
$3’ 748

«

Production
Industrial production index, unadiusted
(FR): T otal______ ___
Manufactures. __ _____
Minerals
Bituminous coal (B M ). _. .
Car loadings index, unadjusted (FR)
Electric energy (FPC ): Total

1935-39 = 100...
1935-39=100...
1935-39 = 100. __
Thousands of
short tons.
1935-39=100...
M i l l i o n s of
k w .-h r.

U tilities (production for public use). ____do_______
Industrial establishments______

101
«

11,637
(8)

Construction
Construction expenditures. . .
Value of urban building construction
started__ . . . . . .
New nonfarm fam ily dwelling units

$332
59, 500

$341

$412

65,800

82,100

s $645
(9)

30,100

8 42,900

1 Source: Bureau of Labor Statistics unless otherwise indicated. Abbreviations used: BO (Bureau of
the Census); ICC (Interstate Commerce Commission); BAE (Bureau of Agricultural Economics); B FD C
(Bureau of Foreign and Domestic Commerce); FB (Federal Reserve); B M (Bureau of Mines); FPC (Fed­
eral Power Commission). M ost of the current figures are preliminary.
2 10-month average—March to December 1940—not comparable with later figures. Revisions are in proc­
ess.
3Excludes employees on public emergency work, these being included in unemployed civilian labor
force. Civilian employment in nonagricultural establishments differs from nonagricultural employment in
civilian labor force mainly because of the inclusion in the latter of such groups as self-employed and
domestic and casual workers.
4 Includes workers employed by construction contractors and Federal force-account workers (nonmain­
tenance construction workers employed directly by the Federal Government). Other force-account and
nonmaintenance construction employment is included under manufacturing and other groups.
s October.
6 September.
7 Second quarter.
8 Estimated from available data. Meat shortages again severe in some cities.
9 N ot available.


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MONTHLY LABOR REVIEW
DECEMBER 1946

State and Regional Variations in Prospective Labor
Supply 1
LABOR, business, and government groups engaged in labor-market
analysis or concerned with problems of maintaining high levels of
employment need some quantitative measure of prospective labor
supply in their particular States or regions. An estimate of the total
number of persons who will be working or seeking work provides a
framework for the analysis of a variety of social and economic prob­
lems relating to employment, industrial location, marketing, housing,
and social security. This article contains basic information on long­
term trends and wartime developments in labor-force growth which
will assist in the preparation of such an estimate for each of the 48
States.2 The prospective 1950 labor force in each State under three
different assumptions as to postwar labor supply developments is
shown in table 4 (page 870). Anticipated labor-force changes between
1940 and 1950 range from an increase of 25 to 45 percent on the Pacific
Coast to a decrease of 1 to 5 percent in the West North Central States.
Two types of data are presented here for use in estimating the size
of each State’s labor force in 1950, a year when short-run dislocations
of the postwar transition period are expected to be over.
First, the base figure shown is the “normal” labor force in 1950—
the work force that would have been expected if peacetime trends in
labor-market participation and interstate migration had continued
after 1940 and if economic conditions similar to those of 1940 had
prevailed. The normal estimates, although not predictions of the
actual size of the labor force in each State, provide a basis from which
realistic estimates may be made. They also highlight differences in
State and regional patterns of labor-force growth which are not likely
to change in the near future.
Second, data are presented on the wartime changes in the labor
force of each State. This material will aid in estimating the extent to
which the actual size of the labor force in 1950 may differ from the
normal level.
1 Prepared by Lester M . Pearlman and Leonard Eskin in the Bureau’s Occupational Outlook Division.
Sophia C. Mendelsohn and Mary J. Levy assisted in the formulation of estimating procedures and super­
vised the statistical operations.
3 More detailed data and a description of the technical procedures used to obtain the estimates presented
here will appear in’a forthcoming bulletin of the Bureau of Labor Statistics.


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851

852

M ONTHLY LABOR REVIEW— DECEMBER 194

6

,

Normal Growth of the Labor Force 1940 to 1950
NATIONAL CHANGES

A brief examination of normal labor-force projections for the Nation
as a whole between 1940 and 1950 shows a number of broad trends
in population growth and labor-market participation which operate
in all States. In addition, the national trends serve as a background
against which State and regional variations can be studied.
T able 1.— "Natural” and "Normal” Labor-Force Growth, by State, 1940 to 1950 1

Region, division, and State

Labor
force,
1940 2
(in thousands)
(1)

“Natural’ labor-force
projection, 1950 3

“Normal’ labor-force
projection. 1950 *

Number
(in thousands)

Percent of
change
from 1940

Number
(in thousands)

Percent of
change
from 1940

(2)

(3)

(4)

(5)

U N IT E D ST A T E S.

54,778

60,830

11.0

60,830

N O R T H -.....................

32,627

35,289

8.2

34,618

6.1

N ew England___

3,757

4,082

8.6

4,062

8.1

343
215
147
1,917
335
800

384
234
161
2,077
366
860

12.0
8.8
9.5
8.3
9.3
7.5

373
242
157
2,033
367
890

8.7
12.6
6.8
6.1
9.6
11.2

12,249

13,233

8.0

13,074

6.7

6,188
1,928
4,133

6,571
2,065
4,597

6.2
7.1
11.2

6,501
2,098
4,475

5.1
8.8
8.3

11, 203

12,086

7.9

12,109

8.1

2,865
1,379
3,485
2,202
1,272

3,089
1,494
3,697
2,418
1,388

7.8
8.3
6.1
9.8
9.1

3,071
1,516
3,677
2,495
1,350

7.2
9.9
5.5
13.3
6.1

M aine____ ____ _
N ew Hampshire.
Vermont_______
M assachusetts....
Rhode I sla n d __
Connecticut____
M iddle A tlantic.
N ew York___
N ew Jersey__
Pennsylvania.
East North Central.
Ohio...........
In d ia n a ...
Hlinois___
M ichiganWisconsin.
West North Central.

11.0

5,418

5,888

8.7

5,373

- 0 .8

1,142
992
1,579
244
248
519
694

1,242
1,069
1,698
277
279
569
754

8.8
7.8
7.5
13.5
12.5
9.6
8.6

1,218
1,007
1,599
214
221
463
651

6.7
1.5
1.3
-1 2 .3
-1 0 .9
-1 0 .8
-6 .2

16,303

19,314

18.5

19,104

17.2

7,249

8,625

19.0

8,844

22.0

119
797
358
1,072
657
1,388
763
1,277
818

128
879
380
1,256
791
1,736
966
1,577
912

7.6
10.3
6.1
17.2
20.4
25.1
26.6
23.5
11.5

140
948
413
1,307
767
1,716
951
1,538
1,064

17.6
18.9
15.4
21.9
16.7
23.6
24.6
20.4
30.1

East South Central-

4,050

4,833

19.3

4,645

14.7

K entu ck y..
Tennessee..
A labam a...
M ississippi.

1,037
1,114
1,058
841

1,217
1,308
1,300
1,008

17.4
17.4
22.9
19.9

1,171
1,266
1,229
979

12.9
13.6
16.2
16.4

M innesota___
Iowa_________
Missouri_____
North DakotaSouth Dakota.
N ebraska..___
Kansas..............
SO U T H .
South Atlantic.
Delaware......................
Maryland.....................
District of Columbia.
Virginia........................
W est Virginia........ .
North Carolina...........
South Carolina............
Georgia...................... .
Florida..........................

See footnotes at end of table.


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853

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

T able 1.— "Natural” and "Normal” Labor-Force Growth, by State, 1940 to

1950 1— Continued

Region, division, and State

Labor
force,
1940 3
(in thou­
sands
(1)

SO U T H —Continued.
W est South Central_______ _______

“Natural” labor-force
projection, 19503

“Normal” labor-force
projection, 1950 *

Number
(in thou­
sands)

Percent of
change
from 1940

Number
(in thou­
sands)

Percent of
change
from 1940

(2)

(3)

(4)

(5)

5,004

5,856

17.0

5,615

12.2

Arkansas............................ ..................
Louisiana____ _____________ —
Oklahoma............. ...............................
Texas__________________________

704
919
834
2,547

827
1.082
983
2,964

17.5
17.7
17.9
16.4

764
1,088
820
2,943

8.5
18.4
- 1 .7
15.5

W E ST ______________ __________ _______

5,848

6,227

6.5

7,108

21.5

M ountain__________________________

1,580

1,797

13.7

1,856

17.5

Montana_______________________
Idaho_____ _______________ _____
W yoming............ - ______ _________
Colorado_________________ _____
N ew M exico_____ ______ _____
Arizona.................................................
U tah___________ _______________
N evada______ __________________

233
198
104
437
184
187
187
50

250
223
115
481
229
222
226
51

7.3
12.6
10.6
10.1
24.5
18.7
20.9
2.0

240
237
119
489
243
255
213
60

3.0
19.7
14.4
11.9
32.1
36.4
13.9
20.0

Pacific___________ _________________

4,268

4,430

3.8

5,252

23.1

W ashington____________________
Oregon..................................................
C alifornia...........................................

742
470
3,056

765
487
3,178

3.1
3.6
4.0

843
559
3,850

13.6
18.9
26.0

1 Data presented in this table cover total labor force including armed forces. All data at April seasonal
level. Annual average for total United States is about three-fourths of a million higher.
3 Data from 1940 census have been revised upward for comparability with current census series. Pre­
liminary, pending release of official revision of United States total by Bureau of the Census.
3 This projection assumes (1) continuation of prewar trends in the percentage of the population that works
or seeks work; (2) economic conditions in 1950 similar to those of 1940; and (3) no interstate migration between
1940 and 1950.
< Assumption (1) and (2) same as above, but interstate migration between 1940 and 1950 assumed to be
twice the 1935-40 volume.

Estimates of normal labor force for the United States have been
constructed by projecting 1920 to 1940 relationships between popula­
tion and labor force through the decade 1940-50.3 The decennial
increases in the labor force and population from 1920 to 1940 and the
normal increase from 1940 to 1950 are shown in the following tabu­
lation:
Increase (in thousands)
1920-80

Population, 14 years of age and over: Total_________ 14, 957
Male__________________________________________ 7, 134
Female________________________________________ 7, 823
Labor force: T otal,________________________________ 1
Male__________________________________________ 1
Female_________________________________
1

7,359
5,110
2,249

1930-40

1940-50
(normal)

12, 002 9, 205
5, 466 3, 920
6, 536 5, 285
5, 895 6, 052
3,276 2,570
2,619 3,482

1 Since data for 1920 are not available on a “labor force” basis, the 1920-30 change refers to “gainful workers.”
3 Labor-force projections for the United States as a whole appearing in this article represent preliminary
revisions by the authors of estimates prepared by the Bureau of the Census and published in Population,
Special Reports, Series P-44 No. 12, Bureau of the Census (Washington), June 12, 1944. The revisions
are designed to be consistent with current Census estimates which are based on a revised interviewing
procedure adopted in July 1945. See Bureau of the Census, M onthly Report on the Labor Force, especially
M R L F N o. 39, September 20, 1945.


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854

M O N T H L Y LABOR RE V IE W — DECEM BER 1 9 4 6

Despite the expected decline in the rate of population growth and
an assumed continuation of past trends toward longer schooling and
earlier retirement, the projected increment to the labor force during
this decade is somewhat larger than the increase recorded during
the 1930’s.
The long-term trend toward an increasing number of women work­
ers is the major factor supporting the large normal labor-force growth
during the current decade. Over the years, it has been possible for
a larger proportion of women to work outside the home because of
greater mechanization of household and industrial processes, increasing
urbanization, decline in the birth rate, and social attitudes more
favorable to the employment of women.
On the basis of peacetime expectations, the national labor force in
1950 would number about 60.8 million persons—43.6 million men
and 17.2 million women.4
STATE AND REGIONAL VARIATIONS

The rate of expansion of the national labor force during the decade
1940—50 represents the net effect of widely varying rates among
the States. Differences in the birth rate and interstate migration
play the leading roles in causing these variations.
Differential Fertility and Natural Labor-Force Growth

In the absence of migration, the South would be expected to have
the fastest growing labor force in the Nation between 1940 and 1950.
This is attributable to the high birth rates which prevail in the
predominantly rural Southern States. Rural areas throughout the
country have significantly higher fertility rates than urban areas.
Regional differences in the ^natural” rate of labor-force growth 5 are
as follows:
Natural growth in the labor
jorce, 1940-50 (percent)

United States________________________________
North___________________________________
South_______________________________
West___________________________________

H
g
jg
6

In the broad region called the South,6 the labor force of only two
States, Delaware and Maryland (which are not typical of the
other Southern States), would be expected to grow at a slower rate be­
tween 1940 and 1950 than the 11-percent natural increase anticipated
for the Nation as a whole (table 1, column 3). The labor force in
4 All data presented in this article cover total labor force including the armed forces. Projections are
made at April seasonal level (the time of year when the decennial census is usually taken). On an annual
average basis, the United States total labor force would be about three-fourths of a million higher.
5 The natural rate of labor-force growth is here defined as the projected rate of growth, assuming no
interstate migration.
6 Regional classifications used in this article are the same as those used by the Bureau of the Census. See
tables for States included in each region.


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VA RIATIONS I N PRO SPECTIV E LABOR S U P P L Y

855

North Carolina, South Carolina, Georgia, and Alabama would be
expected to grow more than twice as fast as the national labor force.
In 24 out of 32 States in the North and West, the natural rate of laborforce growth would fall below the corresponding rate for the Nation.
The lowest rates of labor-force growth in the country would prevail
in the geographic division embracing the trio of Pacific Coast States—
California, Oregon, and Washington.
In every State the natural rate of increase in the labor force is very
much greater for women than for men. This reflects the increasing
participation of women workers as well as the declining proportion of
boys and older men in the labor force. In the absence of interstate
migration, the number of male workers in the Pacific Coast States,
Nevada, and the District of Columbia would be expected to decline
between 1940 and 1950, but these decreases would be more than offset
by gains in the number of women workers.
Replacement rates.—Thus far natural labor-force growth has been
dealt with only in terms of net changes between 1940 and 1950. But
these net changes result from differences between the number of
persons who enter the labor market and the number who leave. The
accessions to and separations from the labor force are analyzed in this
section, not only to indicate their magnitude, but also to highlight
State differences in the competitive position of new entrants to the
labor market. The analysis is confined to male workers because the
movements of women in and out of the labor market are complicated
by changes in marital and family status.
Areas of relatively high birth rates and comparatively young popu­
lation will have more new workers entering the labor force and fewer
older workers leaving than areas where the population is relatively old.
In the South, for example, some 3,895,000 young men (exclusive of
in-migrants) would be expected to enter the labor force between 1940
and 1950, whereas only 2,321,000 would leave because of death or
retirement.7 (See table 2, columns 1 and 2.) This means an average
of 168 accessions for every 100 separations—a replacement rate of 168.
In other words, if there were no migration into or out of the South,
every 100 men leaving that region’s labor force between 1940 and 1950
would be replaced by 168 new male workers. This rate is much higher
than the rates for the North (118) or the West (107). Replacement
rates for individual States tend to cluster about the regional average
(see chart 1), but there are some exceptions, such as New Mexico,
Arizona, and Utah, where replacement rates more nearly resemble
those of the South than those of the West. On the other hand, the
pattern of labor-market accessions and separations in Delaware,
Maryland, District of Columbia, and Florida is more like the North
than like the South.
7 Figures exclude accessions and separations of seasonal or intermittent workers.


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856

M ONTHLY LABOR REVIEW— DECEMBER 194 6

The differences in the relation between labor-market accessions and
separations are reflected in the composition of the labor force at any
one time. If there were no interstate migration between 1940 and
1950, 28 percent of the South’s male labor force in 1950 would have
less than 10 years’ labor-market experience as compared with 24 per­
cent in the North and 23 percent in the West. In South Carolina,
one out of every three men in the 1950 labor force would be a new
worker added after 1940; in California the corresponding figure would
be only one out of every five.
T able 2. —"Natural” and "Normal” Accessions, Separations, and Replacement Rates

for the Male Labor Force, by State, 1940 to 1950
“Natural” 1

Region, division, and State

“Normal” 3

Replace­
Replace­
ment rate Accessions3 Separa­
ment rate
Accessions
Separa­
(accessions
(accessions
(in thou­
(in thou­
tions (in
tions 3 (in
per 100
per 100
sands)
thousands)
sands)
thousands)
separa­
separa­
tions)
tions)
(2)

(1)

(4)

(3)

(5)

(6)

U N IT E D ST A T E S________

10,974

8,404

131

10,974

8,404

131

N O R T H _____________ _____

6,033

5,102

118

6, 250

5,818

107

N ew E ngland............ .........

664

566

117

740

653

113

M aine_______ ______
N ew Hampshire____
Vermont____________
M assachusetts..- . . .
Rhode Island______
Connecticut________

72
39
30
332
58
133

57
35
25
287
47
115

126
111
120
116
123
116

84
56
39
379
74
186

75
48
36
362
62
148

112
117
108
105
119
126

M iddle Atlantic........ .........

2,150

1,819

118

2,332

2,126

110

N ew York__________
N ew Jersey_________
P enn sylvan ia.............

983
321
846

911
277
631

108
116
134

1,158
430
913

1,151
364
780

101
118
117

East North Central_____

2,109

1,797

117

2,470

2,143

115

Ohio_________ ____ _
Indiana_____ _______
Illinois_____________
M ichigan___________
Wisconsin.......... ...........

547
277
588
436
261

471
234
541
339
212

116
118
109
129
123

664
368
764
577
293

602
307
735
424
271

110
120
104
136
108

W est North Central_____

1,110

920

121

1,138

1,326

86

Minnesota....................
Iowa_______________
Missouri____ ____
North D ak ota......... ...
South Dakota ______
Nebraska___________
Kansas_____________

227
207
296
61
59
113
147

188
175
259
43
42
90
123

121
118
114
142
140
126
120

278
243
369
54
56
113
171

254
256
404
83
84
169
222

109
95
91
65
67
67
77

SO U TH ___________________

3,895

2,321

168

4, 219

2,781

152

South Atlantic__________

1,654

988

167

2,021

1,178

172

Delaware___________
Maryland _________
District of Colum bia..
V ir g in ia ........ ..............
West Virginia__
North Carolina______
South Carolina______
Georgia..........................
Florida_____________

21
145
40
248
186
364
201
298
151

18
114
43
151
100
172
94
167
129

117
127
93
164
186
212
214
178
117

36
236
115
355
210
408
226
356
305

25
154
101
211
142
224
129
242
176

144
153
114
168
148
182
175
147
173

See footnotes at end of table.


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857

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

T able 2.— "Natural” and "Normal” Accessions, Separations, and Replacement Rates

for the Male Labor Force, by State, 1940 to 1950— Continued
“Normal” 1

‘Natural” 1

Region, division, and State

Replace­
Replace­
ment rate
ment rate Accessions1 Separa­
Separa­
Accessions
(accessions
(accessions
(in thou­ tions 3 (in
(in thou­
tions (in
per 100
per 100
thousands)
sands)
thousands)
sands)
separa­
separa­
tions)
tions)
(2)

(1)
SO U T H —Continued.
East South Central_____

1,034

595

(6)

(5)

(4)

(3)

174

1,096

789

139

170
167
191
167

305
316
298
234

226
238
214
168

135
133
139
139

K entucky---------------Tennessee. ________
Alabama_____ _____ M ississippi_________

271
271
282
210

159
162
148
126

West South Central--------

1, 207

738

164

1,306

1,018

128

Arkansas__ _____ . .
Louisiana______ ____
Oklahoma...... ... ...........
Texas___ _________

189
220
217
581

114
133
131
360

166
165
166
161

219
272
226
712

192
177
267
505

114
154
85
141

W E ST ................ ................ .........

1,046

981

107

1,830

1,130

162

144

580

418

139

72
61
36
128
52
56
48
21

99
143
128
118
175
177
133
129

M ountain

____________

371

256

47
48
22
91
54
46
55
8

41
34
16
73
26
28
29
9

115
141
138
125
208
164
190
89

71
87
46
151
91
99
64
27

P a c ific ________________

675

725”

93

1,393

855

163

W ashington_____ _
Oregon ___________
California---------------

126
79
470

137
83
505

92
95
93

247
178
1,063

194
128
628

127
139
169

M ontana______ _
Id a h o _________
W yoming__________
Colorado___ ____ ___
N ew Mexico________
A rizon a__________ U ta h --...........................
Nevada_____________

i Assumes no interstate migration between 1940 and 1950.
» Assumes interstate migration between 1940 and 1950 to be twice the 1935-40 volume.
3 United States, regional, and divisional totals are less than the sum of their components because they
exclude accessions and separations due to migration between States within the United States, region, or
division.

State variations in replacement rates should not be interpreted
without reference to variations in economic opportunity. A State
with a rapidly expanding economy may easily absorb 200 replace­
ments for every 100 persons leaving the labor force, whereas a less
fortunate State might have difficulty providing employment oppor­
tunity for say 110 replacements. Given equal employment oppor­
tunity for two States, however, jobs would be harder to find in the
one with the higher replacement rate because on the average more
workers would be competing for each job opening. The difficulty of
finding jobs would be greatly accentuated in a State with both a
relatively high replacement rate and relatively low employment
opportunity.
Actually, the areas with the highest replacement rates and the
greatest rates of natural labor-force growth tend to be the ones where
economic opportunity is below par. This disparity between labor

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858

NATURAL REPLACEMENT RATES FOR THE MALE LABOR FORCE
1940-1950
ASSUMING NO INTERSTATE MIGRATION


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r ? ] 160 AND OVER

M O N T H L Y LABOR R E V IE W ---- D ECEM B ER 1 9 4 6

A C C E S S IO N S P E R 100 S E P A R A T IO N S

VA RIATIONS IN PRO SPECTIVE LABOR S U PP L Y

859

supply and economic opportunity has resulted in a consistent pattern
of internal migration. The South and Great Plains characteristically
have been losers in the give and take of population between regions.
The West, on the other hand, has been able to draw large numbers of
people from other regions of the country, while losing few. The effect
of large-scale migration on State variations in labor-force growth is
shown in the next section.
Internal Migration and “Normal” Labor-Force Growth

Because of the extreme importance of population movements to the
supply of labor in a given State, the estimates of “normal” labor-force
growth include an assumption with respect to interstate migiation.
For this purpose, the rate of interstate migration between 1935 and
1940 was projected through the decade 1940-50. The “normal”
labor force for each State, therefore, consists of a projection of migra­
tion movements as well as trends in labor-market participation. In
the procedure employed no attempt was made to estimate the actual
magnitude of migration. But the prewar population movements do
reflect a migration pattern that prevailed during the war and is likely
to carry over into the postwar period.8
Since these normal labor force estimates by State assume a prewar
migration pattern, there is also implicit the assumption that the
prewar distribution of employment opportunity will not shift radi­
cally. In view of the past stability in the geographic distribution of
economic resources and opportunity, both in years of war and peace,
there is a strong likelihood that this distribution will not change
significantly in the next 5 years.
Estimates of normal labor-force growth and replacement rates
between 1940 and 1950 by State and region including allowance for
interstate migration are shown in tables 1 and 2. The introduction
of the prewar migration pattern exerts great influence on the State
and regional rates of labor-force growth as a comparison of these
rates with those computed on a no-migration basis readily indicates
(see chart 2).
s See Demographic Aspects of World War II: Migration. Paper delivered before the American Socio­
logical Society (Cleveland, Ohio, March 1, 1946), by Henry S. Shryock, Jr., and Hope Tisdale Eldridge.
It should be reemphasized at this point that the so-called normal labor-force projections assume economic
conditions similar to those of 1940. Their main function is to serve as a base upon which more realistic
projections can be made and not to estimate the size of the labor force under ideal economic conditions.
This is especially true with regard to the migration assumption. The 1935-40 experience was chosen simply
because (1) it reflected a general pattern that has prevailed in the past and is likely to continue in the future,
(2) the time reference is close to the 1940 conditions to which the “normal” projections apply, and (3) there
are more data available on the characteristics of migrants during the 1935-10 period than during any other
^ O n this subject see National Resources Committee, Structure of the American Economy, Philadelphia,
1939- Is Industry Decentralizing? by Daniel Creamer, Philadelphia, 1935; Growth of American Manufac­
turing Areas, by Glenn E. McLaughlin, Philadelphia, 1935; Regional Distortions Resulting from the War,
in Survey of Current Business, October 1943,


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860

EFFECT OF MIGRATION ON NORMAL LABOR FORCE GROWTH
I 9 4 0 ~ 1950

SOUTH A N D GREAT PLAINS, WHERE N A T U R A L GROWTH OF L A BO R FORCE
OUTSTRIPS O P P O R T U N IT IE S FOR EMPLOYMENT, SUPPLY LABOR TO EXPANDING W E S T COAST

PERCENT

W ITHOUT
M IGRATIO N


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WITH “N O RM AL
MIGRATION

NORMAL MIGRATION
BASED ON 1935-1940 MIGRATION RATE

IN

OUT

F e m o r e than 2 .5 % g l |

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

PROJECTED
LABOR FORCE GROWTH

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

861

Although the West has the slowest rate of natural increase in
working population, the great inflow of migrants causes this region to
have the fastest growing labor force in the Nation. California’s rate
of labor-force growth increases from 4 percent to 26 percent when
allowance is made for migrant workers. The South, which had the
highest rate of natural labor-force growth, runs second to the West
when the migration factor is taken into account.
Perhaps the most striking effect of migration on labor-force growth
is shown in the Great Plains States where the labor force will actually
decline between 1940 and 1950, if the exodus of workers equals or
exceeds the prewar rate. And the heavy migration from this region
during World War I I 10 leaves little doubt that by the end of this
decade there will be in fact fewer workers in the area from North
Dakota to Oklahoma than there were in 1940. Wartime migration,
although creating some new local problems of overcrowding and
expansion of populations beyond the peacetime capacities of local
economies to support them, was in general a movement from areas of
low or declining opportunity to more favorably situated places.
However, there is typically not enough migration from areas of low
economic opportunity to drain off the surplus labor supply. Many
workers are reluctant to leave familiar surroundings and family ties.
The uncertainty and fear attending migration are reinforced by its
cost. This is particularly significant, for it is precisely those who
should move who usually lack the means to do so. Added to these
factors is the general ignorance as to where employment opportunities
lie. The war stimulated migration not only because new job oppor­
tunities arose but also because they were dramatized and publicized
to an unusual degree.
There has been a noteworthy trend toward the development of
industry in areas of surplus labor supply. During recent decades, for
example, industrialization of the South has been proceeding more
rapidly than in the country as a whole. Nevertheless, it appears that
the resulting shift in the distribution of employment opportunity has
been relatively small. Internal migration will have to continue if all
workers are to be afforded useful employment opportunities.11
Factors Determining Deviation of Labor Force from Normal
1950

,

The 1950 labor force in a given State may differ from a normal
based on projection of prewar trends for two principal reasons:
(1) the proportion of the population that works or seeks work may
it See Bureau of the Census, Population, Special Reports, Series P-46, N o. 3 (Washington), February 12,
1946. Migration data for the war and prewar periods will also be presented in the forthcoming bulletin
referred to in footnote 2, p. 851.
u see Internal Migration and Full Employment, in Journal of the American Statistical Association,
September 1945.

722250— 46-----2

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862

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

differ from that yielded by the normal projections; and (2) the actual
volume of interstate migration may deviate from the assumed volume.
National labor-force growth will be affected primarily by only the
first of these factors; State labor-force growth will be influenced by
both factors, but principally by the second.
T able 3.—Estimated Deviation of Labor Force From "N o r m a l b y State, A pril 1945 1
[In thousands]
Deviation of estimated labor force
from “normal”
Region, division, and State

Estimated “Normal”
actual labo labor force
force 2
projection3
Total

Caused by Caused by
“abnormal’ participa­
tion of
migra­
“extra”
tion «
workers

(1)

(2)

(3)

U N IT E D ST A T E S____

65,986

58, 000

« 7,986

0

7,986

N O R T H _________

38, 619

4,838

60

4, 778

N ew England_______. .

(4)

(5)

4,386

3,926

460

58

402

M aine._____
N ew Hampshire____
Vermont __ _____
Massachusetts
Rhode Island_________
Connecticut______ _ .

398
229
147
2, 225
387
1,000

358
227
151
1,985
354
851

A(\
2
-4
240
33
149

11

13
46

51
12
10
206
20
103

Middle Atlantic__________

14,069

12, 737

1,332

-8 4

1,416

N ew Y o r k -..-_______
N ew Jersey.-..
Pennsylvania _______

6,920
2,339
4,810

6,378
2,028
4,331

fMO
311
479

-154
0

696
241
479

13,883

11,705

2,178

258

1,920

/UD
324
Ann
391

124

-3 3

582
295
560
293
190

QAO

-172

1,040

-8 6
-6 6
8
-1 7
0
24

210
167
284
42
38
106
193

East North Central

. ..

Ohio __________
Indiana ___. . .
Illinois ___ . . . .
Michigan_____________
Wisconsin____ . .
West North Central __
M innesota____ _____
Iowa____________
Missouri ____
North Dakota________
South D akota. _____
Nebraska . . . ____
Kansas_____ ____
SO U T H ____
South Atlantic________
D elaw are_____
Maryland_____________
District of Columbia______
Virginia. . . __________
West Virginia___________
North Carolina_________
South Carolina___
Georgia __________
Florida_________
East South Central
Kentucky. ___
T ennessee.______ _
Alabama.
Mississippi______
See fo o tn o tes a t end o f tab le.


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3,689
1,776
4,200
2, 747
1,471

1,452
3, 600
2,356
1,314

6,281

5,413

1,308
1,103
1,865
254
257
602
892

10A
1,589
231
236
496
675

101
OQ
91
inn
91 7

-1 4

40

19,660

1,930

-440

2,370

8 868

ÖU1

-5 4

855

3

11
131
46
156
146
142
87
86
50

144
1,087
510
1,399
800
1,574
884
1,465
1,005

130
874
387
712
1,553
859

91Q
123
ono
OQ
21
25

938

0/

4,705

4,350

355

1,162
1,349
1,302
892

1,103
1,191

oy

913

ioy
Zl

77
52
-5 8
-121
44
17
oor
¿¿o

580

-109
12
-2 1
-8 3

168
170
180
62

863

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

T able 3.— Estimated Deviation of Labor Force From "Normal,” by State, A pril 1945 1—

Continued
[In thousands]
Deviation of estimated labor force
from “normal”

Region, division, and State

Estimated “N ormal”
actual labor labor force
projection3
force 2

(1)

(2)

Total

Caused by Caused by
“abnormal” participa­
tion of
migra­
“extra”
tion 4
workers

(3)

(5)

(4)

SO U TH —Continued.
West South C entral.. ______________

6,087

5,313

774

-161

935

Arkansas_______
- ---------------Louisiana ______ . ------- -----Oklahoma___- -- ----------------Texas _________________________

826
1,054
944
3,263

733
1,003
830
2,747

93
51
114
516

-8 2
-1 1
-7 1
3

175
62
185
513

W E ST ________________________________

7,707

6,489

1,218

380

838

M o u n ta in ______. . . _ _____________
M ontana-------------- -----------------Idaho
_____________________
W yoming______________________
Colorado____. . - . ---------------N ew Mexico _________________
Arizona.. ____________ _______
U tah________________ _________
Nevada ______________________

1,848
247
217
118
493
202
259
245
67

1,719
237
217
112
463
213
221
201
55

129
10
0
6
30
-1 1
38
44
12

-5 7
-3 1
-3 0
-6
-1 5
-2 9
23
23
8

186
41
30
12
45
18
15
21
4

Pacific ___________________________
W ashington_____- _____ ________
Oregon.. . . ___________ .
California. ___________________

5,859
1,028
624
4,207

4, 770
796
515
3,459

1,089
232
109
748

437
78
33
326

652
154
76
422

1 Data presented in this table cover total labor force including armed forces.
2 Includes members of armed forces in States from which they were inducted. Preliminary, pending
release of Bureau of the Census official estimate of United States total on basis comparable w ith current
census series.
3 Assumes interstate migration between 1940 and 1945 to be equal to the 1935-40 volume.
4 Estimate includes only migrants who would be in labor force on basis of prewar patterns of labor-market
participation. A ny migrants who were in the labor force in April 1945 but who would not have been workers
under normal peacetime conditions are counted in column 5.
5 Revised slightly from United States total of 8.1 million published in M onthly Labor Review for
November 1946.

Analysis of the differential impact of the war on the labor force of
each State gives insight into the probable postwar deviation of the
actual labor force from normal. The wartime expansion of the Na­
tion’s labor force to a level approximately 8 million above peacetime
expectations was distributed very unevenly among the States. The
extent to which these State variations in wartime excess of labor force
over normal were caused by differences in degree of recruitment of
new workers and by “abnormal” migration is shown in table 3. The
two factors may supplement one another or offset each other. For
example, the fact that California’s wartime labor force exceeded
normal by approximately 750,000 workers resulted from the larger
than usual inflow of migrants as well as from the more complete utiliza­
tion of its prewar labor supply. In contrast, outmigration of large
numbers of North Carolina’s working population offset the “extra”
workers drawn into its labor force, so that very little increase over
normal took place.

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i

864

M ONTHLY LABOR REVIEW— DECEMBER 194 6

The degree to which wartime change in the labor force of a given
State came about through migration rather than through more
extensive utilization of the resident labor supply will play a major
role in determining the future size of the State’s labor force. In
general, the effects of migration are likely to [be more lasting than
the effects of drawing extra workers into the labor force from the
resident population.
EXTRA WORKERS

Some indication of the extent to which extra workers will remain
in the labor market may be obtained by examining the picture for the
Nation as a whole. During the war, some 8 million persons who
ordinarily would have been housewives, students, retired men, or
others not in search of gainful employment were drawn into the
Nation’s labor force.12 These included about 4 million youths of
school and college age, % million young women aged 20-34; 2 million
women over the age of 35; and 1%million men over 25.
Two-thirds of the wartime excess labor force caused by the prema­
ture entrance of school- and college-age youths into civilian jobs or the
armed forces has already disappeared. Further reductions in the
number of young workers are expected within the next few years as
the prewar trend toward staying in school longer is resumed. With
favorable employment opportunities, however, the teen-age labor
force may be expected to continue somewhat higher than a projection
of prewar trends would indicate, because a greater number of students
will probably take advantage of opportunities for part-time and
summer work.
About 1K million young women aged 20-34 years quit working
during the first year of peace, chiefly because their husbands returned
from the armed forces or they married returning veterans. The
number of young women workers is now actually below the level
expected from prewar trends because of the unusually large numbers
of marriages and births since 1940. Continuation of a generally high
rate of economic activity would keep the number of young women
workers below the level anticipated by the normal projections because
young women with family responsibilities would not have to work or
seek work to the same extent as in 1940.
Among men over 25 years old and women over 35, the wartime ex­
pansion in the labor force was a response to a full-employment situa­
tion as well as to the Nation’s war needs. Jobs were available to
those who had previously been considered virtually unemployable and
others who had previously preferred retirement or homemaking were
th p Jp ?
C0“ Plete discussions of the characteristics of extra wartime workers and the factors affecting
Mnn0i r T eil labu0r'market paxtieiPation- see Sources of Wartime Labor Supply in the United States
m M onthly Labor Review, August 1944; “Extra” Workers in the Postwar Labor Force, in M onthly Labor
S o v e m b e fig « 1

'^


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The>

bori Force ¡ - « F i r s t Year of Peace, in M onthly Labor l * Z ,

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

865

brought into the labor market by tbe availability of attractive work at
good pay. As long as employment opportunities remain substan­
tially better than those of 1940, the number of workers in the middle
and upper age groups is likely to exceed the level indicated by a pro­
jection of prewar trends, though not to the same extent as during the
war.
When the surplus of middle-aged and older workers is balanced
against the deficit of young women workers, however, it is likely that
the national labor force will not exceed normal by more than 1%
million, or 2 to 3 percent, in 1950. Thus, in most States, the carry­
over from the more complete utilization of labor supply during the
war will probably be relatively small. In some States, however
especially those with a large proportion of older men and middle-aged
women in the labor force—failure to take account of the extra workers
remaining may result in a fairly significant understatement of the avail­
able labor supply.
INTERSTATE MIGRATION

The extent to which the rate of interstate population movement be­
tween 1940 and 1950 will differ from the 1935-40 rate assumed in the
normal estimates presented here is far less predictable than the extent
to which wartime extra workers will remain in the labor market. Al­
though the 'pattern of wartime migration was very similar to that
which had prevailed for some time before the war, the volume of
1940-45 civilian migration alone was considerably greater than that
of total migration for the 5 prewar years used to compute the ‘‘normal”
estimates.
The effect of this relatively heavy civilian migration in causing the
labor force of each State to deviate from the assumed normal in 1945
is shown in table 3. The deviations from normal arising from mi­
gration are much more likely to persist through 1950 than are the
deviations caused by the participation of extra workers during the
war. Of course, there will be State variations in the extent to which
gains and losses through “abnormal” migration are retained. Under
certain circumstances the gains and losses may be not merely retained
but increased. Whether deviations from normal because of migration
are increased, retained, or decreased between 1945 and 1950 will
depend on the net result of several opposing forces.
The pent-up migration plans of servicemen have been a major force
exerting an upward pressure on the volume of postwar migration.
The estimates of actual labor force in April 1945 (table 3) include
armed forces in their State of origin, and there may have been con­
siderable migration of ex-servicemen following demobilization. Ac­
cording to an Army survey in the summer of 1944, 1 out of every 10
servicemen did not intend to return to the State in which he lived be~

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866

M O N T H L Y LABOR REV IEW — D ECEM BER 1 9 4 6

fore the war.13 The survey further indicated that the migration of
demobilized servicemen would be expected to follow the pattern of
prewar and wartime movements of civilians.
If employment is maintained at the current high levels, migration
will be further stimulated. There is typically more net interstate
population movement in good times than in bad. The existence of
opportunity elsewhere generally creates a stronger impetus for mi­
gration than the lack of opportunity at home. And in times of
depression, the relative security of even a bare subsistence on a farm
may be more attractive than the insecurity of going jobless in the
city. Moreover, during depression periods there is considerable move­
ment from cities back to farms which is against the prevailing direction
of migration. This tends to hold down the net interchange of popu­
lation between States. In view of the large volume of unemployment
that existed during the period 1935-40, the volume of migration during
that period (used as a basis for the “normal” estimates) is probably
below par for more prosperous times.
On the other hand, migration between 1945 and 1950 may be slowed
down by virtue of the large-scale movement during the first half of
the decade. The capacity of certain areas to absorb in-migrants
may be glutted, at least temporarily, by the tremendous inflows of
population during the war. In addition, overexpansion of population
in relation to postwar opportunities may cause some reverse migration.
The occurrence of a severe depression would also retard the character­
istic flow of population from farm to industrial areas.
On balance, if conditions of high employment prevail, the volume
of migration between 1945 and 1950 will probably equal or exceed
the volume assumed in the “normal” estimates. Even if the rate of
migration were to fall below the “normal” rate, during the second
half of the decade, the decline would probably not nearly offset the
unusually large flow of migrants between 1940 and 1945. In either
case, therefore, the volume of migration for the entire decade, 1940-50,
would exceed that based on the prewar experience; allowance for this
factor should be made when adjusting the “normal” labor-force
estimates for 1950.

,

State Estimates of the Labor Force 1950

As indicated in the introductory paragraphs of this article, the
State estimates of normal labor-force growth and wartime deviations
from normal will aid in evaluating the prospective labor supply in
each State. The insight which this material provides, however,
should be supplemented by other information that is available on
the work force of the individual States.
13 See Postwar Migration Plans of Army Enlisted M en, in The Annals of the American Academy of
Political and Social Science, March 1945.


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VA RIA TIO N S I N PRO SPECTIVE LABOR S U P P L Y

867

Table 4 presents three separate estimates of the 1950 labor force
in each State, based on the data presented in tables 1 and 3, but
computed on the basis of varying assumptions as to future interstate
migration movements. (See p. 870.)
In order to demonstrate the manner in which the data presented in
tables 1 and 3 can be used to appraise the wartime experience and
postwar prospects of the labor force in individual States, two States
with substantially different labor-market characteristics have been
selected for more detailed analysis. Assumption B, table 4, is used
for purposes of illustration, but it is not necessarily the most reasonable
assumption for the particular States involved.
IOWA

In 1940, approximately 992,000 Iowans were working or seeking
work. Wartime pressures brought the labor force (including armed
forces personnel from the State) to a total of 1,103,000 in April 1945—
an 11-percent rise. Nevertheless, by 1950, the work force is expected
to number less than 970,000—actually below the 1940 level.
The wartime expansion in Iowa’s working population represented
the net effect of several opposing forces. The main reason for the rise
in the labor force was the increased participation of housewives,
students, retired persons, and others normally not working. Approxi­
mately 167,000 of these “extra” wartime workers entered in response
to unusual labor demands. This number was supplemented by about
42,000 entries that would have been expected from natural population
growth and continuation of prewar trends in the percentage of the
population that works or seeks work. The total inflow of 209,000
into the labor market during the war was partially offset by a net
migration from the State of 98,000 civilian workers who might other­
wise have participated in Iowa’s war effort. The end result was an
increase of 111,000 in the labor force between 1940 and 1945.
There is reason to believe, however, that the effect of the wartime
out-migration will be more lasting than that of the wartime accessions.
Many who left the State during the war are unlikely to return, unless
a severe depression should strike the areas to which they moved.
Iowa, being a farm State, has customarily exported labor to the ex­
panding industrial areas. Moreover, mechanization of farm processes
has made it possible to plant and harvest larger crops with fewer
workers. Between 1935 and 1940, the number of persons moving
out of Iowa exceeded those moving in by 61,000, and between 1940
and 1945 the State sustained a net loss of an additional 228,000
civilians (including the 98,000 workers mentioned above). These
figures do not include any members of the armed forces, originally
from Iowa, who may have decided to settle in other States after their
discharge. Iowa is likely to continue to lose population to other
States, though to a lesser extent than during the war.


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868

M ONTHLY LABOR REVIEW— DECEMBER 194 6

Most of the extra workers drawn into the labor force from the res­
ident population of the State are likely to drop out by 1950. In the
Nation as a whole, two-thirds of 8 million extra wartime workers quit
the labor force during the first year of peace. It is likely that by
1950 those remaining will make up not more than 15 to 20 percent of
the wartime total.
Normally, the labor force in Iowa would be expected to grow from
the 1940 level of 992,000 to a total of 1,007,000 by 1950. It seems
likely, however, in view of the considerations noted above, that the
work force in 1950 will be approximately 970,000.
The tabulation which follows summarizes the derivation of the
statistics used in the analysis of labor-force developments in Iowa.
Number
(in thousands)

1940 labor force__ __
992
1945 labor force
__ _
1, 103
(1) normal labor force _
1,002
(2) deviation from normal _
101
(a) caused by participation of
“extra” workers__ ______
167
(b) caused by “abnormal” migra­
tion __ _______
-6 6
1950 labor force___
966
(1) normal labor force____
1,007
(2) deviation from normal _
-4 1
(a) caused by participation of
“extra” workers_________
25
(b) caused by “abnormal” migra­
tion_____ __
__ __

-6 6

Source

Table
Table
Table
Table

1.
3.
3.
3.

Table 3.
Table 3.
1 + 2 (below).
Table 1.
a + b (below).
Assumed to be 15 percent of 1945 extra
workers (2a above).
Assumed same as in
1945 1 (see 2b
above).

1 It is assumed that the net number of workers who move out of Iowa between 1945 and 1950 will be the
same as would be expected on the basis of the 1935-40 experience.
WASHINGTON

In response to high wartime demands for labor, the working popula­
tion of the State of Washington increased by 286,000 between 1940
aud 1945 to a total of 1,028,000 (including armed forces personnel
from the State). By 1950, the labor force is expected to number
roughly 950,000, which is considerably above the 1940 level of 742,000,
though short of the wartime peak.
Several factors combined to cause the wartime expansion in Wash­
ington’s work force. Increased participation of housewives, students,
retired persons, and others normally not working accounted for
approximately 154,000 of the additional workers. In-migration of
workers from other States resulted in a net gain of another 119,000.

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869

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

The remaining increment of about 13,000 workers is the gain that
normally would have been expected from natural population growth
and continuation of prewar trends in the percentage of the population
that works or seeks work.
It is likely that the great majority of the workers who moved to
Washington during the war will remain in the State. Washington
has typically been an importer of labor. Between 1935 and 1940,
the number of persons moving into the State exceeded those moving
out by 80,000. This movement was accelerated between 1940 and
1945 as the State gained an additional 273,000 civilians (including
the 119,000 workers mentioned above) through in-migration. These
figures do not include any members of the armed forces from other
States who may have decided to settle in Washington after their
discharge.
Judging from the national experience and prospects, added partici­
pation of workers normally outside the labor force will not account
for more than 2 or 3 percent of the 1950 labor force in Washington.
On the basis of prewar trends, the labor force in Washington would
have been expected to increase from 742,000 in 1940 to 843,000 in
1950. I t seems likely, however, in view of the increase during the
war that the 1950 labor force will be approximately 950,000.
The following tabulation outlines the derivation of the statistical
material used in describing past and prospective labor-force changes
in Washington.
Number
(in thousands)

742
1940 labor force---------------------------------------1945 labor force---------------------------------------- 1,028
796
(1) normal labor force------------------------232
(2) deviation from normal------------------154
(a) caused by participation of
“extra” workers.
78
(b) caused by “abnormal” migra­
tion.
944
1950 labor force__________________________
843
(1) normal labor force------------ ----------101
(2) deviation from normal-----------------23
(a) caused by participation of “ex­
tra” workers.

(b) caused by “abnormal” migra­
tion.

78

Source

Table
Table
Table
Table
Table

1.
3.
3.
3.
3.

Table 3.
1 + 2 (below).
Table 1.
a + b (below).
Assumed to be
percent of 1945
tra workers
above).
Assumed same
in 19451 (see
above).

15
ex­
(2a
as
2b

i
it is assumed that the net number of workers who move into Washington between 1945 and 1950 will
be the same as would be expected on the basis of the 1935-40 experience.


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870

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T able 4. —Estimated Labor Force, 1940 and 1945, and Projections, 1950, Under Three

Assumptions as to Volume of Interstate Migration 1
[In thousands]
Estimated labor force
Region, division, and State

Projected labor force, 1950 4

1940 5

1945 3

Assump­
tion A

Assump­
tion B

Assump­
tion C

(1)

(2)

(3)

(4)

(5)

U N IT E D ST A T E S_______

54, 778

65,986

62,028

62,028

62,028

N O R T H _______

32,627

38,619

35,732

35,395

35,455

3,757

4,386

4,190

4,181

4,239

343
215
147
1,917
335
800

398
229
147
2,225
387
1,000

375
230
146
2,120
383
936

370
234
145
2,098
383
951

359
224
131
2 132
396
997

M iddle Atlantic________

12,249

14,069

13, 281

13,202

13,118

N ew York____
N ew Jersey___
Pennsylvania____

6,188
1,928
4,133

6,920
2,339
4,810

6,486
2,187
4,608

6,451
2,204
4,547

6, 297
2,274
4,547

11,203

13,883

12,644

12, 655

12,913

2,865
1,379
3,485
2,202
1,272

3,689
1,776
4, 200
2, 747
1,471

3,292
1,578
3,810
2,599
1,365

3,282
1,589
3,801
2,637
1,346

3,406
1, 618
3) 841
2' 735
1,313

N ew England_______

___

Maine- _ _ ___
N ew H am p sh ire___
Vermont__________ _
Massachusetts__ . .
Rhode Island_______
Connecticut
_____

__ _

East North Central _
Ohio____ _______
Indiana _ ___
Illinois, ____
Michigan_______
Wisconsin______
W est North Central
Minnesota
Iowa_________
Missouri
North Dakota _
South Dakota___
Nebraska_________
Kansas _ ___ _
SO U T H ________
South Atlantic. __ _
Delaware.
M aryland________
District of Columbia __ _
_____ ._
V irginia...
West Virginia__________ _
North Carolina...
South Carolina _ _
Georgia__ _ __ _ _
Florida___
_______
East South Central
Kentucky _____
T e n n e s s e e ..___ __
Alabama. __ __.
M ississippi._ _______
West South Central __
Arkansas_____ __ _
Louisiana..
Oklahoma..- ___ _
Texas_________ __

See footnotes at end of table.


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5,418

6,281

5,617

5,357

5,185

1,142
992
1,579
244
248
519
694

1,308
1,103
1,865
254
257
602
892

1,176
996
1,683
232
238
536
756

1,164
966
1,634
' 201
209
479
704

1,078
900
1,626
182
192
479
728

16,303

19,660

19,125

19,019

18,579

7,249

8,868

8,810

8,918

8,864

119
797
358
1,072
657
1,388
763
1,277
818

144
1,087
510
1,399
800
1,574
884
1,465
1,005

139
1,016
481
1,356
'743
1,626
910
1,526
1,013

145
1,050
497
1,382
'731
1,616
902
1,507
1,088

148
1 132
574
1,434
673
1 495
840
1,463
1,105

4,050

4,705

4,600

4, 507

4,282

1,037
1,114
1,058
841

1,162
1,349
1,302
892

1,111
1,300
1,270
919

1,087
1,280
1,235
905

978
1,268
1, 214
'822

5,004

6,087

5,715

5,594

5,433

704
919
834
2,547

826
1,054
944
3,263

739
1,083
859
3,034

708
1,086
'777
3,023

626
1,075
706
3,026

871

VARIATIONS IN PROSPECTIVE LABOR SUPPLY

T able 4. — Estimated Labor Force, 1940 and 1945, and Projections, 1950, Under Three

Assumptions as to Volume of Interstate Migration 1— Continued
[In thousands]
Estimated labor force
Region, division, and State

Projected labor force, 19504

1940 2

1945 3

Assump­
tion A

Assump­
tion B

Assump­
tion C

(1)

(2)

(3)

(4)

(5)

5,848

7, 707

7,171

7,614

7,994

1,580

1,848

1,796

1,827

1,770

233
198
104
437
184
187
187
50

247
217
118
493
202
259
245
67

220
204
113
477
209
263
245
65

215
211
115
481
217
280
239
69

184
181
109
466
188
303
262
77

- __________ -.

4,268

5,859

5,375

5,787

6,224

W ashington____________________
_ _____
Oregon.-- _ _ ____
California_____________ _____ ___

742
470
3,056

1,028
624
4,207

905
566
3,904

944
603
4,240

1,022
636
4,566

W E ST _______________________________ M ountain..

_ _ _ _ _ _ _ _______

M ontana______ ____ ______ ____
Idaho
_ _________ - - W yom ing________ ___________ _
Colorado..___
- - ______
N ew Mexico - - - - - - - ______
Arizona-------------- --------------------U tah_________________ ____ ____
N evada_________ _____________
Pacific____________

1 Data presented in this table cover total labor force including armed forces. All data at April seasonal
level. Annual average for total United States is about three-fourths of a million higher.
2 From table 1, column (1).
3 From table 3, column (1).
4 All three projections assume that the 1950 labor force of each State will include some “extra” workers
who would not be in the labor force on the basis of the prewar patterns of labor-market participation assumed
in the “natural” and “normal” projections (table 1). Participation of “extra” workers in each State is
assumed to be 15 percent of the wartime extra-worker total (table 3, column 5). All three projections take
account of net civilian interstate migration between 1940 and 1945. None of the projections make allowance
for migration from foreign countries between 1940 and 1950. Assumptions with respect to interstate migra­
tion between 1945 and 1950 are as follows:
Assumption A . Whatever new interstate migration takes place between 1945 and 1950 will be offset by
return of wartime migrants to their prewar States of residence so that interstate migration in the last half of
this decade will have no net effect on the size of the labor force in each State.
Assumption B. The net number of workers who move between States during the period 1945-50 will be
the same as would be expected on the basis of 1935-40 experience.
Assumption C. N et interstate migration of all workers between 1945 and 1950 will be equal to the net
interstate migration of civilian workers between 1940 and 1945. Migration of workers on this scale during the
second half of the decade could come about with a considerably smaller total population movement than
occurred during the first half because wartime civilian migrants included large numbers of servicemen’s
dependents and a relatively small proportion of men of working age.


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Postwar Work Stoppages Caused by Labor-Management
Disputes 1
DURING no period in the history of the United States have the scope
and intensity of labor-management conflicts matched those recorded
in the 12 months following VJ-day, August 14, 1945.2 In this time,
the country experienced 4,630 work stoppages, directly involving about
5 million workers and resulting in almost 120 million man-days of
idleness. Employment and production, except for temporary set­
backs, nevertheless forged ahead to establish new peacetime records.
Unions, for the most part, retained their several million new members
recruited in the war years and, in the aggregate, kept their organized
strength at an estimated 14 to 15 million members.
More than 10 million service men and women were demobilized
during this transition period, and most of them were able to find
jobs. Thousands of factories retooled to produce the necessities,
conveniences, or luxuries of a civilian economy. Other factories, as
well as many service trades, which had been curtailed by wartime
stringencies, were on the road to prewar status. These developments,
however, did not always proceed smoothly. Shortages of key matelials and, occasionally, of certain kinds of skilled labor occurred.
Many work stoppages, in addition, left their imprint in delayed pro­
duction of commodities sought by American consumers. The direct
effects of certain stoppages, particularly in the basic industries, were
severe at times. The indirect effects upon plants and industries not
involved in work stoppages were also serious, although statistically
impossible of measurement. Both represented the price—or penalty—
exacted in a shift from a highly controlled, emotionally disciplined
“all-out” war economy to a freer, less inhibited way of life.
With the end of the war, workers were faced with the abrupt
curtailment of the production of thousands of military items. Many
factories cut their scheduled hours from 48 or more a week to 40 and
less. Others shut down temporarily or permanently. Wage earners,
confronted with serious losses in “take-home” pay, sought to maintain
their wartime earnings. Accordingly, union demands soon crystallized
into requests for wage-rate increases of 30 percent—the approximate
advance workers deemed necessary to preserve their former earnings’
1 Prepared by the staff of the Labor-Management Disputes Division of the Bureau’s Industrial Relations
Branch.
J Perhaps the most comparable period is 1919. During that year 3,630 work stoppages, involving about
4.2 million workers, were recorded. Data are not available, however, on man-days of idleness.
3 See The Labor Force in the First Year of Peace (p. 669), and Readjustment of Veterans to Civilian Life
(p. 712), in M onthly Labor Review, November 1946; and Veterans’ Return to the Nation’s Factories,
p. 924 of this issue.

872


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Many employers, uncertain of the speed with which reconversion
could be accomplished and opposed to the continuation of price and
other wartime controls, expressed inability to meet the wage pro­
posals of organized labor.
This conflict of economic interests between labor and management
was further aggravated by the partial termination of stabilization
restraints which had held the upward movement of the cost of living
and of rates of pay within moderate bounds during the war years.
Application of the Little Steel formula, whereby it was sought to
confine increases in wage rates to a level not more than 15 percent
above January 1941, prevented the abnormally high rates of pay which
characterized some industries in World War I. Moreover, labor’s
“no-strike” pledge, voluntarily given to the Nation a few days after
Pearl Harbor (December 1941), imposed a considerable degree' of selfrestraint upon union leaders, who steadfastly insisted that strikes
called by local union officials or by the rank and file should be termi­
nated immediately.
The end of the fighting phase of the war ended organized labor’s
no-strike pledge. Workers were free to exercise their traditional right
to strike—if necessary—to secure what they considered their just
demands. In thousands of cases adjustments were made without
work stoppages, unions and management reaching an agreement
among themselves through direct negotiation, and often with the
assistance of State and Federal Government conciliators.4 In other
instances the struggle reached the picket lines, with workers sacrificing
savings and employers foregoing profits. To some, the fight seemed
weighted against the wage earners as wartime legislation permitted
employers to obtain from the Federal Treasury a refund of portions
of their excess profits taxes to offset “losses” occasioned by subnormal
earnings arising out of the idleness of their plants. To others, it
appeared that the Government, through statements emphasizing the
need to maintain a high level of purchasing power to cushion the
shocks of reconversion, lent encouragement to the union’s wage
demands.
On the whole, both labor and employers wanted to be free to bargain
across the conference table and, if necessary, to submit to a test of
strength. These convictions were expressed by many representatives
of labor and of management as the war neared its end and were
reflected in Government policy as hostilities ceased. On August 16,
4 T he U . S. Conciliation Service of the Department of Labor aided in the settlement of 3,360 work stop­
pages during this 12-month period. About two-thirds (over 2,200) of these stoppages in which conciliators
participated had begun before the aid of the Conciliation Service had been requested by the parties. More
than 90 percent of the disputes in which conciliators entered negotiations at an early stage were settled w ith­
out any interruption of work.


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1945—less than 48 hours after VJ-day—President Truman announced
that the National War Labor Board would be terminated soon after
the conclusion of a forthcoming national labor-management con­
ference. The Board itself shortly thereafter made it clear that its
task had been completed. During the war the Board had weathered
numerous crises, but pressure for revision of the Little Steel formula,
or outright abandonment of stabilization controls over wages, rose
steadily in 1945. On August 18, President Truman issued Executive
Order No. 9599 permitting wage increases without specific Govern­
ment approval, provided the increases would not serve as a basis for
higher prices or added cost to Federal agencies purchasing goods or
services from contractors. The stage was thus set for a return to
“free” collective bargaining within the framework of existing price
levels. The War Labor Board indicated it would consider only such
controversies as the parties might voluntarily agree to submit to it.
Prime reliance, it was stated, would be placed upon a greatly strength­
ened United States Conciliation Service of the Department of Labor
to assist in reconciling differences between labor and management.
Significant Stoppages Since V J-D ay

The work stoppage involving the oil industry which began on Sep­
tember 17, 1945, was the first significant wage controversy of the
reconversion period. It reflected most of the wage issues and led
to the establishment of the fact-finding procedures which were to
characterize a number of subsequent major stoppages. The strike
involved about 43,000 refinery workers employed in 20 States. The
principal demand of the Oil Workers International Union (CIO) was
for 52 hours’ pay for 40 hours of work, the equivalent of a 30-percent
wage increase. Direct negotiations and Government conciliation
were not successful in preventing the stoppage, and arbitration, pro­
posed by the Secretary of Labor, was not accepted by the oil com­
panies, although favored by the union. With a third of the Nation’s
gasoline supply cut off by the strike and shortages becoming acute,
President Truman on October 4 ordered the Navy Department to
seize and operate the refineries. Production was resumed shortly
thereafter with no change in wage rates or hours of work. Weeks of
negotiations between representatives of the union, the industry, and
the Government proved fruitless, and on November 27, 1945, the
Secretary of Labor appointed a fact-finding panel to review the issues
and formulate recommendations for a settlement.
Throughout the autumn of 1945, the number of strikes in effect and
the resulting man-days of idleness climbed above the levels of the war
years. A few days after the oil stoppage began, the United Clerical,

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Technical, and Supervisory Workers Union, a part of District 50 of
the United Mine Workers of America (not yet reaffiliated with the
American Federation of Labor), struck to obtain recognition and
collective-bargaining rights for mine foremen and other supervisory
workers in and about bituminous-coal mines. The ensuing stoppage
during the next several weeks affected more than 200,000 workers in
the industry. The stoppage was terminated October 17, 1945, with a
statement by the president of the United Mine Workers that “ future
efforts to abate this controversy will be resumed at a later, more
appropriate date.”
Although the stoppage in the coal industry was relatively brief and
did not involve the wage issues which characterized many of the major
strikes, numerous other stoppages continued for months despite all
efforts to reach settlement. Thus, for example, approximately 44,000
workers represented by the Lumber and Sawmill Workers Union, a
part of the United Brotherhood of Carpenters and Joiners (AFL),
stopped work in the forests and sawmills of the Northwest on Septem­
ber 24, and many continued on strike throughout the winter before a
settlement of 15-cents-an-hour increase was reached. The Federation
of Glass, Ceramic, and Silica Sand Workers of America (CIO) obtained
from two large glass companies a wage increase of 10.7 cents an hour
after a stoppage of 102 days. Machinists and shipyard workers in the
San Francisco Bay area were idle for 140 days. Among the other large
work stoppages from September to late November were those involv­
ing building-service employees and longshoremen in New York City,
textile workers in New England, and Midwest truckers.
Aware of the growing unrest throughout the country, the President
addressed the Nation by radio on October 30 on the subject of recon­
version. He set forth the Government’s twin objectives of price
stability and higher wage rdtes, and declared that wage increases
were necessary “ to cushion the shock to our workers, to sustain
adequate purchasing power, and to raise the national income.” At
the same time, Executive Order No. 9651 was issued amending the
order of August 18, 1945, by providing that the OPA could consider
for price-relief purposes (under existing standards) unapproved wage
or salary increases after such increases had been in effect normally
for at least 6 months. This statement of national policy was expressed
on the eve of the President’s National Labor-Management Conference,
which brought together on November 5 representatives of organized
labor and American industry. Early in the conference, President
Murray of the CIO proposed adoption of a resolution urging labor
unions and management to engage in “ genuine and sincere collective
bargaining” on what Mr. Murray described as the “ all-important wage
issue . . . which has created a very serious crisis for the Nation.”

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

In introducing his resolution, Mr. Murray emphasized that, although
wages were not a specific item on the agenda of the conference, current
events demonstrated that the solution of procedural matters would not
in any way solve the current unrest. The CIO, however, was not
supported in its position. Toward the end of the sessions, in late
November, the delegates approved a resolution declaring that the
question of wages was not before it, but urged that a solution to the
wage problem be sought through the processes of collective bargaining.
FACT FINDING AND GENERAL MOTORS

The Labor-Management Conference adjourned November 30 with­
out suggesting specific additional machinery which might be utilized
to avert or minimize the effects of stoppages such as had occurred
during the autumn. President Truman, in a message to the Congress
on December 3, therefore urged enactment of legislation which would
give him statutory authority to appoint fact-finding boards to consider
such disputes which, in the opinion of the Secretary of Labor, would
seriously affect the national public interest.
The President’s request for fact-finding legislation came about 2
weeks after the beginning of what was to become one of the most
prolonged and bitter stoppages of the reconversion period. On
November 21, the United Automobile, Aircraft, and Agricultural
Implement Workers of America (CIO), following weeks of unsuccessful
negotiations, struck all the plants of the General Motors Corp. This
stoppage involved approximately 200,000 employees in automotiveparts and assembly plants in 12 States. The union contended that
the corporation’s ability to pay should be considered a major factor in
determining the amount of the wage adjustment and asserted that the
full 30-percent increase demanded could be paid without price relief.
Company officials, however, insisted that prices and profits had to be
excluded from the wage discussions.
The President did not await action by Congress on his proposed
fact-finding legislation and on December 14 appointed a board to
investigate the UAW-General Motors dispute. The union rejected
the President’s request to return to work pending findings of the board,
but both parties indicated their willingness to present their case to
the fact-finding board. On the crucial issue of ability to pay, which
was also confronting the board appointed by the Secretary of Labor
on November 27 in the controversy involving the petroleum companies,
President Truman (on December 20) declared that “ ability to pay
is always one of the facts relevant to the issue of an increase in wages.”
The following day the board in the General Motors case announced
that the “ ability to pay” would be considered as a relevant but not
as a sole factor in its recommendations. A week later, representatives

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of General Motors withdrew from the hearings, stating that they would
refuse to participate further so long as “ ability to pay is to be treated
as a subject of investigation, fact-finding, and recommendations.”
The board, nevertheless, proceeded with its investigation and on
January 10, 1946, recommended a wage increase of 19% cents (about
17.5 percent) an hour. Two days later the fact-finding board in the
oil case issued its report, recommending an 18-percent wage increase
as the basis for settling this dispute.
These fact-finding wage recommendations came on the eve of
what was to be the severest period of postwar industrial unrest.
Within the next 10 days over a million workers in steel, electrical­
manufacturing, meat-packing, and farm-equipment establishments
stopped work in support of their demands for higher wages. Workers
involved in strikes tripled in number, rising from slightly less than a
half million to approximately 1.5 million.
EVOLUTION OF A WAGE PATTERN (EARLY 1946)

The largest of these stoppages was in the steel industry, which was
brought to a standstill when approximately 750,000 workers, members
of the United Steelworkers of America (CIO), stopped work on
January 21, 1946, to enforce their demands for a wage increase of
$2 a day. As was true of other large stoppages in which strikes were
called only after the break-down of prolonged negotiations, the steel
strike followed more than 3 months of intermittent negotiations and a
strike poll conducted by the National Labor Relations Board under
the provisions of the War Labor Disputes Act on November 28,
1945, in which the workers voted 5 to 1 in favor of a suspension of
work. The initial demand of the union for an industry-wide increase
of $2 a day, announced on September 11, 1945, was rejected by the
major steel producers, who claimed that existing OPA ceiling prices for
steel did not permit the companies to grant any wage increase. Offers of
conciliation by the Secretary of Labor were rejected by industry
representatives, who insisted that further negotiations would be
futile until the OPA authorized an increase in steel prices. On Decem­
ber 31, 1945, 2 weeks before the announced date of the strike, President
Truman appointed a three-member board to investigate the wage
dispute and to determine whether an increase in steel prices would
be justified.
In an effort to forestall a work stoppage, direct negotiations were
resumed on January 10. These followed conferences between repre­
sentatives of the steel industry and Government officials over revision
in steel price ceilings. The union scaled down its demand to an in­
crease of 19% cents an hour—the amount recommended by the fact­
finding board in the General Motors case. The United States Steel
7 2 2 2 5 0 — 46 ------- 3


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Corp., the largest employer in the industry, offered an increase of
15 cents an hour provided price ceilings on steel were revised upward
by the OPA. At this juncture, President Truman invited union and
industry negotiators to the White House, meanwhile obtaining the
union’s consent to a 1-week postponement of the strike. On January
17, after receiving an informal report from his steel fact-finding board,
the President proposed a wage increase of 18% cents per hour as the
basis of settlement. This proposal was accepted by the union but
was rejected by spokesmen for the steel industry. The strike began
on January 21, 1946. For the following 3 weeks both parties held
their ground despite efforts of the Government to find an acceptable
compromise. Furnaces were banked and steel output, which had been
running at 80 to 85 percent of capacity, dropped to about 6 percent.
Other industries, dependent upon steel, were forced to curtail or
suspend operations.
. The cumulative effects of the stoppages and unsettled disputes
involving a number of basic industries became so great that by midFebruary the Government was forced to revise its wage-price stabiliza­
tion regulations. The President on February 14, 1946, issued Execu­
tive Order No. 9697, which permitted the National Wage Stabilization
Board—the successor to the former National War Labor Board—to
approve any wage or salary adjustment consistent with the general
pattern of such adjustments established in the industry or local labormarket area between August 18, 1945, and February 14, 1946. Prior
approval was also given to increases made in accordance with a
governmental recommendation in a wage controversy announced
before February 14, 1946.
The following day (February 15) the United Steelworkers of America
and the United States Steel Corp. signed an agreement accepting the
President’s previously proposed wage increase of 18% cents an hour.
The steel industry was also granted price relief, averaging $5 per ton.
Settlement of the steel-wage controversy, together with revision of
the Government’s wage-stabilization policy, facilitated the adjust­
ment of many disputes and stoppages then in progress. The specific
provision in the President’s February 14 Executive order approving
(from a stabilization angle) recommendations of fact-finding or
arbitration boards which had reported prior to the issuance of the
order gave an added measure of “solidity” to the conclusions of these
boards. In the bitter controversy between General Motors and the
auto workers’ union, UAW leaders, supported by the rank and file,
continued to insist upon the full 19% cents recommended by the
fact-finding board on January 10, despite a company proposal to settle
for 18% cents. It was not until March 13 that the UAW compromised
on the 18%-cent settlement. Although the board in the oil wage

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dispute had recommended an 18-percent wage raise on January 12,
it was late February when most of the companies concluded agree­
ments with the Oil Workers International Union (CIO) and the
Government returned the seized refineries to private operators. In
the meat-packing dispute, approximately three-fourths of the industry
was brought under the Government’s seizure order of January 24,
which paved the way for the return of 125,000 workers (members of
AFL and CIO unions) to their jobs a few days later. On February 7,
the fact-finding board appointed by the Secretary of Labor in this
controversy recommended a wage increase of 16 cents per hour.
This increase was approved by the National Wage Stabilization
Board on February 26, concurrently with authorization, by the
Director of Economic Stabilization, of an increase in meat prices.
That the steel formula did not provide an easy and quick solution
in all wage controversies was demonstrated in the dispute of electrical
workers with the Westinghouse Electric & Manufacturing Co. About
180,000 members of the United Electrical, Radio, and Machine
Workers of America (CIO) stopped work on January 15 at about 75
plants of the General Electric Co., the electrical division of the
General Motors Corp., and the Westinghouse Electric & Manufacturing
Co. to enforce their demand for an increase of $2 a day. On February
9, the UERMWA accepted the offer of General Motors to settle for
18K cents an hour. It was not until March 14, however, that the union
and General Electric agreed on a basic 18^-cent increase, and it was
2 months later (May 10) when the union and Westinghouse Electric
& Manufacturing Co. agreed to an 18-cent increase with establish­
ment of a fund of 1 cent per hour per employee to adjust differentials
between men and women. In the case of the United Farm Equip­
ment and Metal Workers of America (CIO), 25,000 workers became
idle on January 21 in plants of the International Harvester Co. in
Illinois, Indiana, Iowa, and New York. An agreement, providing
for a wage increase of 18 cents an hour, was reached only after 86 days.
Again, the strike of the International Union of Mine, Mill, and
Smelter Workers (CIO) against the American Smelting and Refining
Co., which started on February 25, ended in mid-June when the
18b-cent wage increase recommended by a fact-finding board appointed
by the Secretary of Labor was accepted by both parties to the dispute.
The wave of large-scale stoppages which began in late November
1945 with the UAW-General Motors dispute, reached its crest in
February, when the direct loss of about 23 million man-days was
recorded as caused by labor-management disputes. This represented
4.2 percent of the month’s estimated working time. The cumulative,
indirect effects of the stoppages occurring during the period were
even more severe, although not subject to measurement. Total

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production, as reflected by the index of the Federal Reserve Board,
was about 10 percent lower in February 1946 than in the preceding
September. Production indexes of specific commodities, such as steel
ingots, refined copper, lumber, washing machines, and refrigerators,
showed even more drastic declines.
COAL AND TRANSPORTATION CONTROVERSIES

Although the number of stoppages increased in March, and again
in April, fewer workers were involved, and there was a substantial
drop in time lost from the record-breaking peak of February. Of the
large strikes which occurred in the spring, the most significant were
those involving bituminous-coal miners and railroad engineers and
trainmen. In soft coal, failure of the coal operators and the United
Mine Workers of America (AFL) to negotiate a new agreement
prior to the expiration of the existing contract, on March 31, 1946,
resulted in an industry-wide stoppage, which continued from April 1
through May 29 except for a 12-day truce (May 13-25), during which
the majority of the 340,000 miners worked.
At the outset of the coal controversy, the UMWA filed the 30-day
strike notice legally required under the War Labor Disputes Act and
concentrated its demand upon the establishment of a health and
welfare fund to be financed by the industry and administered by the
union. Negotiations proceeded slowly during March and April, with
the effects of the coal strike on the Nation’s reconversion program
becoming increasingly serious. A month after the strike started,
President Truman released a report of the Office of War Mobilization
and Reconversion in which the coal dispute was termed a “ national
disaster.” When both the union and the operators rejected Mr.
Truman’s proposal to arbitrate, the President, on May 21, ordered
Government seizure of the mines and their operation under the direc­
tion of the Secretary of the Interior. Despite this step, most miners
stayed away from work and did not return until after May 29, when
an agreement, to be effective during Federal operation of the mines,
was signed by the Secretary of the Interior, Julius A. Krug, and John
L. Lewis, president of the United Mine Workers. The principal
terms provided for a wage increase of 18% cents an hour and a health
and welfare fund to be financed by the levy of 5 cents per ton of coal
produced for use or sale, the fund to be administered by three trus­
tees one selected by the union, one by the coal mines administrator,
and the third by the other two. The settlement also served as the
basis for terminating the anthracite controversy, which extended from
May 31 to June 7. In the case of the anthracite fund, however,
it was provided that two trustees would be selected by the union and
the third, by the operators.

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Shortly before the Government seized the bituminous-coal mines,
the railroad-wage controversies reached their climax. Early in 1946,5
two groups of railroad unions, one representing firemen, conductors,
and switchmen, and the other, 15 “nonoperating unions” (including
shop-craft, maintenance-of-way, clerical, and other employees), agreed
to submit their wage issues to arbitration. Two other unions, the
Brotherhood of Locomotive Engineers (Ind.) and the Brotherhood
of Railroad Trainmen (Ind.), declined to arbitrate. Thereupon, after
a strike vote had been taken, the President, in early March, appointed
a fact-finding board to consider the controversy of these two unions
with the railroads. The two arbitration boards, on April 3, awarded
the groups of railroad employees involved in the cases an increase of
16 cents an hour. On April 18, the fact-finding board in the engineers’
and trainmen’s case recommended a like amount. Phis board also
had before it many involved proposals for changes in working rules
submitted by both the unions and the railroads. Most of these pro­
posals were denied by the board. None of the three groups of unions
was satisfied with the wage award. The Brotherhood of Locomotive
Engineers and the Brotherhood of Railroad Trainmen also felt that
the recommended revisions in working rules were inadequate; these
two unions, therefore, laid plans to strike at the expiration of the 30day waiting period provided by the Railway Labor Act.
Further negotiations under White House auspices failed, and on
May 17 the President ordered seizure of the railroads and their
operation under the direction of the Office of Defense Transportation.
Shortly before the strike was scheduled to begin on May 18, the
leaders of the two brotherhoods complied with the President’s request
to postpone the threatened walk-out for 5 days. Negotiations were
resumed in Washington involving all three groups of railroad unions.
On May 22, the carriers and all the rail unions except the engineers
and the trainmen accepted a compromise settlement for an 18&-centan-hour wage increase and a 1-year moratorium on changes in rules.
The engineers and trainmen, however, rejected this settlement and
at 4 p. m., May 23, withdrew from service, causing a complete
Nation-wide tie-up of rail transportation, the first in the long history
of the industry. On the night of May 24, the President spoke to the
country by radio and requested the men to return to service. I he
next day he addressed a joint session of Congress seeking emergency
legislation which would give him power designed to prevent, for the
immediate future, strikes which might have widespread effects on the
Nation’s economy. Almost simultaneously with his appearance before
Congress, union officials signed an agreement accepting the President’s
proposal of May 22, and ordered their members to return to their jobs.
Service was thus restored after the 2-day stoppage.
* See Railway Wage Changes, 1941-46, in M onthly Labor Reveiw, September 1946 (p. 335).


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The House of Representatives immediately passed the emergency
bill the President had requested. The Senate, however, considered
various amendments and adopted a modified bill. No action was
taken in reconciling the two versions of the President’s proposal.
The sentiment of Congress was such, nevertheless, that the bill
introduced by Representative Case of South Dakota, which had
been before Congress during the spring and vigorously opposed by
labor, was revised and approved by both Houses. President Truman,
vetoed the Case bill on June 11, explaining that permanent legislation
should not be enacted hastily and should be preceded by a careful
study of the causes of industrial disputes.
The railroad controversy was the last of the stoppages involving
over 100,000 workers which occurred during the period under survey.
Another threatened transportation strike, involving nearly 200,000
members of the Committee of Maritime Unity, composed of six CIO
unions and one unaffiliated union, was averted by a settlement made
less than an hour before the strike deadline of June 15. After negotia­
tions had come to an impasse in this dispute, the Secretary of Labor
summoned representatives of the unions and ship operators to meet
in Washington on May 29 for further conferences under his direction.
The War Shipping Administration (the Government agency which
owned many of the vessels) subsequently entered the negotiations
and, just prior to the scheduled strike date, directed all WSA general
agents or their representatives to accept proposals calling for a wage
increase of $>7.50 a month, certain reductions in basic hours, and
arbitration of other issues. These terms formed the basis of the
agreements which were adopted by the seagoing unions and their
employers. The longshoremen’s union, in turn, accepted the report
of a fact-finding board which had recommended a wage increase of
22 cents an hour for West Coast longshoremen.
By the end of June 1946 the round of “reconversion” strikes, which
were predominantly over the wage issue, had come to a close. The
final month-and-a-half of the first postwar year was a period of price
uncertainty characterized by numerous but relatively small disputes.
During the year as a whole, the national wage-price policy was modi­
fied first in late October 1945 and then more drastically in mid-Febru­
ary 1946. Fact-finding boards as a substitute for the National War
Labor Board were found to be not always entirely successful, and
Government seizure had to be resorted to in certain cases as a method
of resolving some conflicts. Thus, during the immediate postwar
period, the early hopes for a rapid return to free collective bargaining
had not been realized. The Government, which had desired to re­
main in the background and gradually relinquish its wartime controls,
had been forced to take an increasingly active part in the settlement of
labor-management disputes.

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POSTWAR WORK STOPPAGES

Statistical Summary 6

Some indication of the scope and severity of the work stoppages
that began during the first 12 months after VJ-day can be obtained by
comparison with two preceding periods—the 44 months from Pearl
Harbor to the surrender of Japan, and the period 1935-39 (used as a
base for many current statistical series). During the year following
VJ-day, an average of 386 stoppages occurred each month as against
333 per month for the war period and 239 per month for 1935-39.
On the basis of workers involved, there were, on the average, 415,000
in stoppages beginning each month in the first postwar year.
This compares with monthly averages of 152,000 workers during the
war and approximately 94,000 for 1935-39. The greatest divergence
from earlier periods was, however, in the idleness which resulted from
the stoppages. Between VJ-day and August 14, 1946, the amount of
lost time, measured in terms of a monthly average for the period,
amounted to almost 10 million man-days per month, as against a
wartime figure of 0.8 million man-days per month and 1.4 million
man-days per month over the 5 years 1935-39.
T able 1.— Work Stoppages in the First Year After VJ-Day, in World War II, and in

1935-39 Period
Work stoppages
Period
Number

Workers
involved

Man-days idle

Number

Percent of
estimated
working time

First postwar year (August 15, 1945-August 14,
1946): Total_______ ____ __________________

4,630

4,981,000

119, 785,000

1.62

World War II: Total_______________________
December 8-31,1941____
______ _____
1942___________________________________
1943____________________________________
1944____________________________________
January 1-August 14, 1945_ _

14,731
84
2, 968
3,752
4, 956
2,971

6, 744,000
16, 000
840,000
1,981, 000
2,116, 000
1, 791,000

36,301, 000
303, 000
4,183,000
13,501, 000
8, 721, 000
9, 593,000

.11
.06
.05
.15
.09
. 17

2,862

1,125,000

16,949, 000

.27

Yearly average, 1935-39___

___ ______

6 All known work stoppages, arising out of labor-management disputes, involving 6 or more workers
and continuing as long as a full day or shift are included in reports of the Bureau of Labor Statistics. Fig­
ures on “workers involved” and “man-days idle” cover all workers made idle in establishments directly
involved in a stoppage. They do not measure the indirect or secondary effects on other establishments or
¡i)du3tjies wjiose employees? are made idle §s a result of material or service shortages.


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884

M ONTHLY LABOR REVIEW----DECEMBER 194 6

WORK STOPPAGES
AUGUST 1945 TO JUNE 1946
NEW STOPPAGES
600

600

500

500

400

-

400

300

-

300

200

-

200

- 100

100
AUG

SEP

OCT

NOV

DEC

JAN

FEB

M AR

APR

MAY

W ORKERS INVOLVED IN ALL STOPPAGES

thousands

JUN

thousands

2000

2000

1500

-

1500

1000

1000

500

500

o
AUG

SEP

OCT

NOV

DEC

JAN

FE B

M AR

APR

MAY

JUN

APR

MAY

JUN

M A N -D A Y S OF ID L E N E S S

AUG

SEP

OCT

UNITED STATES DEPARTMENT OF LABOR
BUREAU OF LABOR ST AT IST IC S


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NOV

DEC

JAN

FEB

M AR

885

POSTWAR WORK STOPPAGES

The above averages for the postwar period were, of course, greatly
affected by the relatively large number of stoppages involving 10,000
or more workers. During the year following VJ-day, 42 such stoppages
took place. These large strikes involved nearly 3,000,000 workers—
substantially more than were involved in all stoppages in 1944, the
peak war year. They resulted in over 85,000,000 man-days of idleness,
or about 70 percent of the total idleness of the period. Eight stoppages
involved as many as 100,000 to over 700,000 workers each. Two of
these were in coal mining; the others were in automobile manufac­
turing, electrical machinery, meat-packing, communications, railroad
transportation, and steel.
All of the 42 large stoppages occurred in the 10% months from
VJ-day to June 1946, during which time Government wage policies
were adjusted and a general pattern of wage increases established. In
this period there were, including the 42 disputes mentioned above, 436
work stoppages which involved as many as 1,000 workers each. These
involved nearly 4 million workers and accounted for 104 million
man-days of idleness—slightly more than 90 percent of the total lost
time recorded for the period August 14, 1945, to June 30,1946.
T able 2.— Work Stoppages From VJ-Day to June 30, 1946, by Size of Stoppage
Workers involved
Size of stoppage

Number
of stop­
pages

Number

Percent
of total

Man-days idle
Number

Percent
of total

T otal_________________ _____ _______ _____

3,924

4,681,000

100.0

114,932,000

100.0

Under 500----------- ------------- --------- ............
500 and under 1,000------ ----- ------ ---------------1.000 and under 5,000_____________________
5.000 and under 10,000.......... ................ .............
10.000 and over_____________ ___________

3,124
364
351
43
42

474.000
249.000
683.000
281.000
2,994,000

10.1
5.3
14.6
6.0
64.0

5.061.000
5.854.000
13, 263,000
5.353.000
85,401,000

4.4
5.1
11.5
4.7
74.3

Unions affiliated with the CIO participated in slightly more than
half (230) of the work stoppages of 1,000 or more workers occurring
between VJ-day and June 1946, and accounted for almost two-thirds
of all the idleness; those affiliated with the AFL were involved in
about one-third of these work stoppages 7 and accounted for 27 percent
of the total man-days of direct idleness.
7 Data referring to A FL work stoppages include disputes involving the United Mine Workers of America
for the period following the union’s reaffiliation with the AFL in January 1946, but exclude the UM W A
work stoppages from A FL totals for the earlier period covered by the survey when the miners were not
affiliated w ith either A FL or CIO.


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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T able 3.— Work Stoppages of 1,000 or More Workers, V J-D ay to June 30, 1946, by

Affiliation of Labor Organizations Involved

Labor organization involved

Number
of stop­
pages

Workers involved
Number

Percent
of total

Man-days idle
Number

Percent
of total

T o ta l... _ _________

436

3,958, 000

100.0

104, 016,000

100.0

American Federation of Labor 1
Congress of Industrial Organizations
Unaffiliated railroad brotherhoods
Unaffiliated unions (other) 1_____
Other—miscellaneous 2_ _____

142
230
3
50
11

888, 600
1,987, 000
361, 300
545,300
175, 980

22.4
50.2
9.1
13.8
4.5

28,069,000
66,878, 000
775,000
7, 095,000
1,199,000

27.0
64.3
.7
6.8
1.2

1 Data referring to A FL work stoppages include disputes involving the United M ine Workers of America
for the period following the union’s reafhliation with the A FL in Janurry 1946 but exclude UM W A work
stoppages from A FL totals for the earlier period covered by the survey when the miners were not affiliated
with either A FL or CIO.
2 This category includes stoppages in which two or more unions of different affiliation were involved as
well as stoppages which were confined to a single-firm union and to those in which no union was included.

Wages were an important issue and, in most cases, the major con­
troversial factor in substantially over one-half of the 436 larger
stoppages. Over 77 percent of all workers involved and about 86
percent of the man-days lost in the strikes of 1,000 or more workers
centered around wage issues. By contrast, relatively few stoppages
had as their major issue questions of union recognition, “security,”
and other organizational problems. Still fewer stoppages (only 19)
had as their central issue matters pertaining to labor rivalry either
within a particular union or between two unions, such as jurisdictional
controversies (table 4).
On an industry basis, about 3 out of every 4 work stoppages
involving 1,000 or more workers took place in manufacturing estab­
lishments. Among nonmanufacturing industries, the most strikes
and resulting lost time between VJ-day and June 30, 1946, occurred
in mining and in the transportation-communication field.
T able 4.— Work Stoppages of 1,000 or More Workers, VJ-D ay to June 30, 1946, by

Major Issues

Major issue

Number
of stop­
pages

Workers involved
Number

Percent
of total

Man-days idle
Number

Percent
of total

All issues_____________________ . . .

436

3,958,000

100.0

104, 016, 000

100.0

Wages and hours________________ _______
Wage increase___________
Other L _____ _____
Union organization, wages, and hours
Recognition, wages, and/or hours______
Other_______ ______ . . .
Union organization.. . . . . .
R ecognition... . . . . . .
Other_____ . . . . . . .
Other working conditions
Inter- or intra-union matters_________

242
158
84
50
15
35
27
8
19
98
19

3,064,000
2,338, 600
725, 800
195, 900
35,500
160,400
277, 400
223,000
54, 400
319, 200
101,000

77.4
59.1
18. 3
4.9
.9
4.0
7.0
5.6
1.4
8.1
2.6

89,346,000
83, 526, 000
5,820, 000
7,403| 000
' 829,900
6, 573, 000
3,958,000
3, 388,000
570,400
2,906, 000
403; 000

85.9
80.3
5.6
7.1
.8
6.3
3.8
3.3
.5
2.8
.4

i Includes stoppages involving adjustments of piece rates, incentive rates, wage classifications for new
and changed operations, retroactive pay, holiday and vacation pay, payment for travel time, etc.


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T able 5.— Work Stoppages of 10,000 or More Workers in the First Year After V J-D ay

Beginning
date

Approxi­
mate
duration
(calen­
dar
days)

Establishment (s) and location

Union(s) involved

Major terms of settlement

Approxi­
mate
number
of work­
ers in­
volved

1H5
Sept. 3..

22

¡Sept. 4 Bept. 10.

19

Sept. 17.

20

Sept. 21.

30

Sept. 24.

6

Sept. 24.

4

Sept. 24.

0

Sept. 27.

13

Oct. 1_.-

3

Consolidated Steel Corp--------------- AFL craft unions________________
Orange, Tex.
Goodyear Tire & Rubber Co_____ United Rubber Workers of America
(CIO).
Akron, Ohio.
B. F. Goodrich Co., Akron, O hio.. . Foreman’s Association of America
(Ind.).
Westinghouse Electric Corp----------- Federation of Westinghouse Inde­
pendent Salaried Unions (Ind.).
Maryland, Massachusetts, New
Jersey, New York, Ohio, and
Pennsylvania.
Oil Workers International Union
Oil refineries___ _________________
(CIO).
20 States.
Bituminous-coal mines........................ United Clerical, Technical, and
Supervisory Employees, District
8 States.
50, United Mine Workers of
America (Ind.).
Building Service Employees Inter­
M idtown R ealty Owners.
national Union (A F L ).
N ew York City.
N ew York Shipbuilding Co...... ........
Camden, N . J.
Northwest lumber industry----------California, Idaho, Montana, Ore­
gon, and Washington.
Textile printing companies-----------Connecticut, N ew Jersey, N ew
York, Pennsylvania, and Rhode
Island.
Consolidated Steel Corp-------- ------Los Angeles, Calif.

Industrial Union of Marine and
Shipbuilding Workers of America
(CIO).
Lumber and Sawmill Workers
Union (AFL).

Work resumed pending further company-union negotiations----

11,000

Grievance adjusted by discharged employees’ return to work
after a week’s lay-off w ithout pay.
No change in company’s position that it would not recognize a
foremen’s union as a bargaining agency.
Stoppage arose over protest against War Labor Board’s denial
of bonus plan for salaried workers. Employees returned to
work upon assurance that War Labor Board would review its
decision. Board later reaffirmed its denial.
Wage increase of 18 percent---------------------------------------------------

16,000
14.000
40.000

43.000

Request for union recognition of supervisory workers tempo­
rarily abandoned.

1 209,000

Protest against War Labor Board modification of recommenda­
tions of its panel board resolved by agreement to arbitrate.
Workers subsequently obtained a reduction in their work­
week from 48 to 40 hours w ith no loss, in take-home pay.
Grievance arising over discharge of 13 employees for alleged
“loafing.” Settled by reinstatement of _5 workers and joint
union-company review of eases of remaining employees.
Wage increase of 15 cents per hour------- ----------------------------------

15.000

17, 000
44.000

Federation of Dyers, Finishers,
Printers, and Bleachers of Ameri­
ca (CIO).

Wage increase of 10 cents per hour for men and 5 cents per hour for
women.

16,,000

International Union of Operating
Engineers (AFL) and Interna­
tional Association of Machinists
(AFL).

Jurisdictional dispute. Work resumed pending further neogtiations between representatives of unions concerned.

10, ooo

POSTWAR WORK STOPPAGES

6
1

¡Sept. 1 -

1 About 45,000 workers were idle by September 30. The remainder became idle during October.

2 Settlements reached with a few companies prior to December 1945. Majority of agreements signed by late December, with most of the remaining settlements, occurring at some

time in the subsequent 3 months.


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GO
QO

T able 5.

Beginning
date

Approxi­
mate
duration
(calen­
dar
days)

ft

00
00
oo

ork Stoppages of 10,000 or More Workers in the First Year After VJ-Day— Continued

T
Union(s) involved

Major terms of settlement

General Motors Corp., Frigidaire
Division.
D ayton, Ohio.
N ew York Shipping Association___
N ew York City; Hoboken and
Newark, N . J.

United Electrical, Radio and Ma­
chine Workers of America (CIO).

Work resumed upon agreement that suspension of 4 workers
would be considered under established grievance procedure
and, if necessary, be referred to an impartial umpire.
Men returned to work pending arbitration of issues. Subse­
quent award granted 20-percent wage increase, 40-hour work­
week, 8-hour day, time and one-half overtime. Union’s re­
quest for limitation on size of “sling load’’ denied.
Wage increase of 10.7 cents per hour____________________ _____

Approxi­
mate
number
of work­
ers in­
volved

1945
Oct. 1

_ ____

6

Oct. 1

_____

19

Oct. 16_______

102

Oct. 29_______

2

Oct. 29...............

140

N ov. 1_______

133

Textile m ills.
Connecticut, Maine, Massachu­
setts, N ew Hampshire, and
Rhode Island.

Textile Workers Union of America
(CIO).

2

Goodyear Tire & Rubber Co______
Akron, Ohio.

United Rubber Workers of America
(CIO).

81

M idwest Truck Operators Associa­
tion.
20 States.
Leather manufacturers
15 States.
Illinois Bell Telephone Co
Illinois and Indiana.

International Brotherhood of Team­
sters, Chauffeurs, Warehousemen,
and Helpers of America (AFL).
International Fur and Leather 1-day demonstration to emphasize demand for a 30-percent
Workers Union (CIO).
wage increase. N o immediate wage changes.
Illinois Telephone Traffic Union Wage increase of $4 per week retroactive to M ay 9,1945. Addi­
(Ind.).
tional $2 per week to be effective February 1, 1946. M axi­
mum of salary brackets to be reached in 8 years, instead of 9
years.
United Automobile, Aircraft, and W age increase of 18)4 cents per hour_________________________
Agricultural Implement Workers
of America (CIO).
Maritime unions (C I O ).................... 1-day demonstration in protest against “ delay” in returning
servicemen from overseas.

Nov.[6...... .........
N ov.r12.

___

N ov. 1 5 . . ____

1

N ov. 19______

6

Nov. 21______
Dec. 3 .......... .

Libbey-Owens-Ford Glass Co. and
Pittsburgh Plate Glass Co.
7 States.
Fires ton ft Tire & Rubber On
Akron, Ohio.
Machine shops, shipyards etc
San Francisco B ay area, Calif.

General Motors Corp
12 States.

0
1


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Steamship and stevedoring com­
panies.
Pacific, Atlantic, and Gulf ports. 1

International Longshoremen’s Asso­
ciation (AFL).
Federation of Glass, Ceramic, and
Silica Sand Workers of America

12,000

30.000

13.000

(CIO).

United Rubber Workers of America
(CIO).
International Association of Machin­
ists (AFL) and United Steelwork­
ers of America (CIO).

Demand of maintenance employees for a 23-cents-per-hour wage
increase refused; men returned to work.
Wage increase of 17)4 percent obtained by United Steelworkers
(CIO). Increase of 18 percent obtained by machine shop
machinists (IA M ). Shipyard machinists (IAM) obtained an
18-cents-per-hour wage increase.
Wage increase of 8 cents per hour, 65-cent minimum; third shift
premium of 7 cents per hour and guaranteed base rate to piece­
work employees. Settlement also provided vacation with
pay, added insurance benefits, maintenance-of-membership
and union-security provisions.
Maintenance employees had protested ruling of impartial um­
pire that company could schedule 8-hour shifts where needed.
Men returned to work on order of union officials.
Wage increases averaging 15 to 18 percent________________ ____

15.000
37.000

18.000

15.000
10.000

25.000
14.000

200,000

13.000

MONTHLY LABOR REVIEW— DECEMBER 194 6

Establishment (s) and location

1946
Jan. 3________

65

J a n .9________

7

J a n .15_______

«

J a n .16 ______

(•)

Jan. 2 1 _____ .

86

Jan. 29_______

29

Feb. 4________

(6)
2

Feb. 11_______
Apr. 1______

59

Western Electric Co.
Nation-wide.

Western Electric Employees Asso­
ciation (affiliated with National
Federation of Telephone Workers,
Ind.).
Association of C o m m u n ic a tio n
Equipment Workers (affiliated
with National Federation of Tele­
phone Workers, Ind.).

Electrical workers-..............................
General Motors, General Electric,
and Westinghouse plants.

United Electrical, Radio, and
Machine Workers of America
(CIO).

Packinghouse workers------- ---------Several States.

United Packinghouse Workers of
America (CIO) and Amalgam­
ated M eat Cutters and Butcher
Workmen of North America
(A FL).
United Steelworkers of America
(CIO).
United Farm Equipment and Metal
Workers of America (CIO).

Steelworkers_____________ ______
Nation-wide.
International Harvester Co_______
Illinois, Indiana, Iowa, and New
York.
Caterpillar Tractor Co
Peoria, 111.
American Brass Co, and Chase
Brass Co.
Connecticut and New York.
Philadelphia Transit Co---------Bituminous-coal mines_____ _____
Industry-wide.

do_____________ ____ ________

International Union of Mine, Mill,
and Smelter Workers (CIO).
Transport Workers Union of Amer­
ica (CIO).
United Mine Workers of America
(AFL after Jan. 1946).

Wage increase of 18.2 percent. Retroactive for 5 weeks prior to
March 9.

24,000

Equipment workers returned to work under union orders pend­
ing formal strike action by National Federation of Telephone
Workers. March 9, wage increase of 5 cents per hour retro­
active to April 21, 1945, plus a 16.4-percent wage increase
retroactive to February 2, 1946.
Wage increases of 18)4 cents per hour for employees of General
Motors and General Electric. Westinghouse workers ob­
tained 18-cent increase and 1-cent fund to adjust differentials
between men and women.
Wage increase of 16 cents per hour---- ------ ------------------------------

142.000

Wage increase of 18)4 cents per hour.

750.000

Wage increase of 18 cents per hour...

25.000

Wage increase of 15 cents an hour for employees earning $1 an
hour or less, and 15 percent for those earning more than $1 an
hour. Maintenance-of-membership provision established
with 15-day escape clause.
Wage increase of 1814 cents per hour, with cash settlement of onehalf million-dollar compensatory bonus for wartime swingshift workers of American Brass Co.
Wage increase of 12 cents per hour and strengthened maintenance-of-membership clause (preferential shop).
Basie wage increase of 18)4 cents per hour. Establishment of
welfare fund based upon 5-cents-per-ton levy on coal produced
for use or sale.
United Harbor Workers (AFL) withdrew their pickets. Sym­
pathy strikers returned to work.

17.000

180.000

125.000

16.000
10,000

340,000

18,000
United Harbor Workers (District
50, United Mine Workers of Amer­
ica, A FL ). Stoppage supported
by CIO and A FL unions.
21,000
United Automobile Workers and Dispute not settled by August 14, 1946.
Allis-Chalmers 8........... ..................—
Apr. 30____ _
(7)
Farm Equipment and Metal
Massachusetts, Illinois, and Wis­
Workers (CIO).
consin (4 plants).
8 Agreement reached on March 13, 1946; ratification by local unions, together with plant-production problems, delayed reopening of most plants until late in the month. A few

Apr. 5________

6

Port of Philadelphia.........................

piant^cimtmued^idle into AK,1^ ctrical Division) settled on February 9, General Electric Co. on March 14, and Westinghouse Electric & Manufacturing Co. on M ay 10.
^ nnn
s Settlement on February 15 with U. S. Steel Corp., followed by agreements with other large companies within 4 days, resulted in the return to work of approximately 450,000
employees. Virtually all the remaining 300,000 workers went back to their jobs at various dates during the next 2 months as additional settlements were reached.
« Chase Brass Co. settled on April 6 and American Brass Co. on M ay 19.
i Still in effect August 14, 1946.
.
_, . .
.
, . . ...
,
8 Stoppages also occurred in the middle of March in three other plants (Indiana, Pennsylvania, and Ohio) involving approximately 4,000 workers.


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POSTWAR WORK STOPPAGES

Jan. 21____

19

Western Electric Co_____
N ew Jersey and N ew York.

OO
00

CO

T able 5.

Beginning
date

Approxi­
mate
duration
(calen­
dar
days)

Work Stoppages of 10,000 or More Workers in the First Year After VJ-Day—Continued

Establishment (s) and location

Major terms of settlement

United Automobile, Aircraft, and
Agricultural Implement Workers
of America (CIO).
Brotherhood of Locomotive Engi­
neers and Brotherhood of Railroad
Trainmen (Ind.).
A FL and CIO unions: General
sym pathy strike.

Work resumed following a 1-day stoppage in protest against the
discharge of 4 employees over production-standard issue.

Approxi­
mate
number
of work­
ers in ­
volved

1946
M ay 3_______

1

Briggs Manufacturing Co
Detroit, Mich.

M ay 23______

2

Railroad industry. . . .
Nation-wide.

M ay 28______

1

City of Rochester, N . Y . .

M ay 31______

8

Anthracite m in es_____
Industry-wide.

United Mine Workers of America
(A FL).

June 3 _______

3

June 10_______

5

International Hod Carriers’, Building, and Common Laborers’
Union of America (AFL).
Brotherhood of Railroad Trainmen
(Ind.).

June 27_______

5

Association of General Contractors
of America.
Cincinnati, Ohio.
Monongahela Connecting Railroad
Co.
Pittsburgh, Pa.
Railway Express C o____
New York City; Hudson County,
N . J.

.

Brotherhood of Railway and Steam­
ship Clerks, Freight Handlers,
Express and Station Employees
(A FL).

» Includes workers in Jones & Laughlin Steel Corp. plant served by the railroad.


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Wage increase of 18\*> cents per honr

11, 000
350, 000-

Statement by city officials that municipal employees might join
any union of their choice which did not claim the right to strike
against the public.
Wage increase of 18)4 cents per hour and establishment of wel­
fare fund based upon 5-cents-per-ton levy on coal produced
for use or sale.
Wage increase of 15 cents per hou r...

20; 000

Employees returned to work following Government seizure of
the railroad.

» 10, 000

75,, 000
10,000

12, 000

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Union(s) involved

OD

POSTWAR WORK STOPPAGES

891

Work of the United States Conciliation Service Since V J -D a ys

Almost simultaneously with the firing of the last gun in Japan,
the bulk of mediating labor-management disputes fell upon the Con­
ciliation Service of the U. S. Department of Labor. For about 3 years
prior to VJ-day the overwhelming majority of serious unsettled dis­
putes between management and labor were resolved by Government
directives. After January 1, 1946, no agency existed which could
order changes in contracts or adjudicate disputes over grievances, and
although the authority to do so existed prior to that date it was not
in fact used between August 17 and December 31, 1945. Since
VJ-day, therefore, the settlement of all disputes has in the final
analysis required mutual agreement between the parties affected.
The emphasis upon direct negotiations, with a minimum of Federal
control over labor controversies, resulted in a tremendous increase in
the obligation of the U. S. Conciliation Service to secure final settle­
ment of conflicts on a voluntary basis, through collective bargaining
between management and labor. The settlement of cases also became
more difficult. During the war, increases in wages were limited by the
various stabilization criteria established by the National War Labor
Board. These limitations also served as standards for both manage­
ment and labor to be used in wage negotiations. Moreover, by using
a uniform procedure in handling disputes over vacations with pay,
night shift premiums, union security, and similar issues, the War
Labor Board established standards which in effect set the limitations
of collective bargaining on so-called “fringe” adjustments. With the
end of WLB these standards were in great part entirely abandoned.
Thus, the task of the Conciliation Service was greatly complicated.
Voluntary mediation solutions, being far more difficult to evolve, re­
quire not only greater skill on the part of commissioners of conciliation
but also more time and greater energy. Previously such solutions
were formulated by the National War Labor Board and enforced
under the wartime powers of the President. Now, the Conciliation
Service has to resort to settlements by suggestions which may or
may not readily be accepted by the parties.
Since VJ-day the two major goals o;f the FT. S. Conciliation Service
have been to prevent industrial conflict and to restore peace after a
work stoppage has begun. The success of the Conciliation Service
in reducing the area of industrial conflict is attested by the number
of cases handled and closed by conciliators during the 12 months
immediately following VJ-day. During that period Federal concilia­
tors aided in the peaceful settlement of more than 12,500 industrial
disputes or 91 percent of the labor-management disputes in which
i8 Prepared by the U . S. Conciliation Service of the Department .of Labor.


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892

M ONTHLY LABOR REVIEW— DECEMBER 194 6

conciliators entered into negotiations before a work stoppage had
actually occurred.
Unfortunately, however, the records of the Conciliation Service
also indicate that two out of every three work stoppages had already
begun before Federal mediation was requested by the parties. The
future effectiveness of voluntary mediation in aiding free collective
bargaining will, therefore, largely depend on the degree to which
representatives of management and of labor voluntarily assume the
responsibility of invoking the aid of the U. S. Conciliation Service
before their negotiations reach the stage of complete collapse.
T a b l e 6 . — Work Stoppages and Other Labor-Management Disputes Handled by U. S.

Conciliation Service, VJ-D ay to August 15, 1946
Work stoppages

Other labor-management
disputes

Month
Number of
cases
Total: August 14, 1945-August 15, 1946____
August 14-31, 1945______ _______ __
September 1945___ _ _____. . .
October 1945___ ______ ______
November 1945__________ . . . . .
December 1945__________ ____ . . .
January 1946_._ _________ ____
February 1946________________
March 1946__________________
April 1946____________ .
M ay 1946___ ___________________ . .
June 1946..... ................... ........ ..................
July 1946___________________ _
August 1-15, 1946_____ _______ . .


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Workers
involved

Number of
cases

Workers
involved

3,360

2,660, 200

12, 581

5,166, 200

139
231
358
256
186
174
222
278
355
324
313
368
156

78, 500
70,000
272, 700
151, 000
118, 600
125,800
206,600
751,800
212, 000
118,000
200, 000
115,100
240,100

613
941
1, 278
1,038
1, 000
911
850
859
1,152
1,409
1,095
972
463

333,300
422,900
463,400
349, 400
419,900
408,200
328, 400
681,000
430,400
476,900
359,900
328,000
164,500

Productivity Changes Since 1 9 3 9 1
PRODUCTIVITY—the relationship between production and labor
input—is one of the most significant factors affecting living standards,
the relationship between changes in wages, costs, and prices, and em­
ployment levels. During the prewar period there were substantial
gains in output per man-hour from year to year throughout the econ­
omy, and the present and future course of productivity is a matter
of importance to all.
In times of depression, productivity gains have been viewed as a
serious threat to employment; in times of prosperity, as the promise
of a better life. Actually, advances in productivity are neither a
guaranty of increasing living standards nor a harbinger of unemploy­
ment, but represent increases in the Nation’s production potential.
If markets for an expanding output are not developed as productivity
rises, unemployment may result and the potential rise in production
and consumption may not be realized. However, if employment is
maintained, gains in productive efficiency make possible greater con­
sumption of goods and services or greater leisure.
During the Second World War, productivity trends varied widely
from industry to industry. In the production of war equipment,
there were huge gains in productive efficiency as mass-production
methods were adapted to the manufacture of munitions and as new
techniques and equipment grew out of intensive research. In the
industries manufacturing goods mainly for civilian use, there was
little significant change in productivity after 1941, primarily because
the normal flow of new and improved equipment into these industries
was interrupted by the war. In the mining industries, output per
man-hour continued to rise at approximately the prewar pace, despite
many wartime difficulties; in railroad transportation, electric light
and power, and agriculture, there were unusually sharp gains in
productivity during the war period.
As it is dealt with here, the term “productivity” refers to output,
in physical units, per man-hour of work. It is a measure of the rela­
tionship between the volume of goods produced and one factor of
input—labor time. Productivity data do not measure the specific
contribution of labor or of capital !or of any other factors of produc­
tion. Changes in the ratio between output and man-hours of work
show the joint effect of a large number of separate, though interrelated,
influences. The long-term upward trend of output per man hour is
1
Prepared in the Bureau’s Productivity and Technological Development Division by Celia Star Gody
and Allan D . Searle.

893
7 2 2 2 5 0 -4 6 -

4


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M ONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

due mainly to technical improvements in industry. At any time,
however, output per man-hour also depends on the rate of operations,
the relative contributions to production of plants at different levels
of efficiency, the types of resources and materials available, the flow
of materials and components, and other circumstances. Moreover,
output per man-hour is also affected by human factors—the skill and
effort of the work force, the efficiency of management, and the state
of labor relations.
The relationship between production and labor use is, in this
article, generally expressed in terms of output per man-hour—the ratio
of production to man-hours worked. This relationship may also be
expressed in terms of the ratio of man-hours to production, or unit
labor requirements; for some industries, such as shipbuilding, it is
more convenient to deal with unit labor requirements. It is obvious
that increases in output per man-hour are equivalent to decreases in
man-hours per unit of output or unit labor requirements.
Productivity in Manufacturing Industries
OUTPUT PER MAN-HOUR, 1900 TO 1939

Output per man-hour in manufacturing industries increased at an
average rate of 3 to 3% percent per year during the period 1909-39
(table 1). The increase is striking for both its magnitude and steadi­
ness. From 1909 to 1914 productivity rose 16 percent. World War
I interrupted the upward trend and productivity levels were almost
the same in 1919 as in 1914. From 1919 to 1929, however, output
per man-hour rose nearly three-fourths and from 1929 to 1939 in­
creased an additional one-third; the total gain for the 20-year period
between the two World Wars was 125 percent. Productivity in­
creased each year from 1919 to 1939 with but three exceptions—from
1922 to 1923, 1931 to 1932, and 1936 to 1937—and the declines which
occurred were small.
This steady improvement of productive efficiency was due
mainly to the growth of scientific and technical knowledge and the
utilization of this increased knowledge in industry. In a few in­
dustries, new equipment was developed which virtually revolution­
ized the production process (for example, the cigar machine, and the
continuous strip mill in the steel industry). In many other industries,
however, substantial increases in output per man-hour were achieved
primarily through continuous small improvements in the equipment
used, without fundamental changes in production methods. Highly
specialized machines were designed for particular operations in the
production process; new machines were more nearly automatic; and
there was a trend toward the use of equipment of larger capacity.
Accompanying progress in the design of equipment, were improve­
ments in plant lay-out and in the flow of work through the various

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895

PRO DUCTIVITY C H A N G E S S IN C E 1 9 3 9
T a b l e 1.—Productivity Indexes for Selected Industries, 1909 to 1945
[1939=100]

Output per
worker

Output per man-hour
Year
All manu­
facturing i
1909
1910
1911
1912
1913
1914
1915

_

..

_________

__________________
.
______
_________________

Railroad
transpor­
tation 2

Mining 2

Electric
light and
power *

66.3
70.0
73.1
77.3
72.4
79.3
76.9

38.1

44.2

48.6
48.1
48.5
49.4
49.6
51.8
54.2
57.5

Agricul­
ture 8

73.3
78.1
81.2
81.1
86.4
73.6
79.6

____
___________ . _ ________________
-- _______
__________
- ____________
. . ____________
_________________________________

43.8
48.3
52.7
57.9

51.6
54.2
53.5
56.7
57.6
58.5
60.9

1923 .
. . ___________________________
1924
_________________________
1925___________________________________
1926___________________________________
1927
___________________
1928
_________________
1929 ___ ____________________________

57.3
60.8
65.0
67.2
69.3
72.4
75.5

62.9
64.6
68.2
70.4
70.2
73.7
75.1

59.0
60.7
62.6
63.4
65.3
68.0
69.9

51.0
49.1
50.4
53.1
52.7
54.1

81.8
83.7
88.5
91.2
88.3
91.7
91.5

75.1
75.6
73.7
83.0
83.7
87.6
93.5
95.2

72.9
77.2
77.6
78.8
81.4
84.9
86.6
88.0

50.1
51.9
58.3
68. 1
77.4
82. 5
87.8
89.6

89.7
98.9
93.3
89.1
76.5
87.4
81.5
105.1

94.7
100.0
105.2
115.5
139.6
150.9
148.1
139.5

90.1
100.0
102.4
105.4
108.0
108.6
112.6
117.8

89.0
100.0
108.6
123.2
145.8
182.7
191.1
181.4

97.7
100.0
103.2
107.4
118.9
116.8
124.5
122.2

1916
1917
1918
1919
1920
1921
1922

1930
1931
1932
1933
1934
1935
1936
1937

..........- ____ ______________________
____________________________
___________________________
_______ ___________________
.
___ _____________________
____________________________
. ______________________________
___________________________

77.4
81.0
78.3
82.9
.86.3
91.0
91.5
90.3

1938
1939
1940
1941
1942
1943
1944
1945

____________________________
__ _______________________
- _______________________
-- _______________________
___ _____________________
____________________
_____________________
_ _____________________

92.0
100.0

43.1

46.0

1 The production index for 1909, 1914, and the odd-numbered years 1919-39 is from Employment in Manu­
facturing, 1899-1939, by Solomon Fabricant (National Bureau of Economic Research). The index for the
years 1920-38 was completed by interpolation, using the Federal Reserve Index for Manufactures. The
index of man-hours was derived from an employment index, based on Census and BLS figures, and a series
for average weekly hours including BLS figures for 1909,1919, and 1923-39 and estimates for 1920-22 compiled
by the W PA National Research Project.
2 Class 1 steam line-haul railroads. The index for 1935-45 was prepared in the Bureau’s Productivity and
Technological Development Division; details are shown in a mimeographed report, Productivity and Unit
Labor Cost in Steam Railroad Transportation: 1935-45. The series for the period 1916-34 is based on a
slightly different index prepared by W itt Bowden, of the Bureau’s Labor Economics Staff (see M onthly
Labor Review, July 1937).
2 The index of output per man-hour for 1935-45 was prepared in the Bureau’s Productivity and Technologi­
cal Development Division and includes 6 of the principal mining industries—bituminous coal, anthracite,
crude petroleum and natural gas, iron, copper, and lead and zinc. The index of production was derived as a
harmonic mean of the separate production indexes, weighted with current-year man-hours; the index of
man-hours was based on totals for the 6 industries. The series for 1915-34 is based on an index covering
virtually all mining industries and prepared by the W PA National Research Project. (Production, Em ­
ployment, and Productivity in the Mineral Extractive Industries, 1880-1938.) The index for the 6 indus­
tries is in fairly close accord with the N R P index for the period 1919-34.
4 Privately owned electric utilities. The index shows kilowatt-hours of electric energy distributed per
man-hour of work, without distinction among different classes of service. Details of the procedures are
shown in a mimeographed report, Productivity and Unit Labor Cost in the Electric Light and Power
Industry: 1917-45.
« The index for 1935-45 was prepared by the Bureau’s Productivity and Technological Development
Division; details of the procedures are shown in a mimeographed report, Productivity in Agriculture:
1909-42. The series for 1909-34 was derived from indexes prepared by the W PA National Research Project
and shown in the reports Trends in Size and Production of the Aggregate Farm Enterprise, 1909-36, and
Trends in Employment in Agriculture, 1909-36.


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M O N T H L Y LABOR R E V IE W — DECEM BER 1 9 4 6

stages of the production process, reducing idle time and the amount
of labor needed for handling materials and work in process. The
combined influence of better equipment and better organization of the
production process is most clearly indicated in the economies gained
by the use of line-production systems, notably in the automobile
industry.
The use of improved production methods was also dependent, in
part, on the production of large numbers of identical items, made
possible by the existence of wide markets and an efficient transporta­
tion system. Contributions to the improvement of man-hour output
were also made by increased study of some of the nontechnical factors
affecting productivity—placement and training, job analysis, lighting,
ventilation, control of noise, and the like.
It is well to remember that the experience of an industry as a whole
does not necessarily correspond to the experience of individual plants
or companies. Typically, there are wide disparities in productive
efficiency among different plants, because of differences in equipment
and methods, as well as in the quality of management, worker effi­
ciency, and other factors. Mechanical equipment, especially, varies
widely, reflecting differences in scale of operation, the date of plant
construction, and management policy in regard to modernization.
While practically all industries achieved gains in productivity during
this period, the rate of progress varied from industry to industry.2
The greatest increases in productivity from 1919 to 1939 occurred in
relatively new industries, in which the volume of output expanded
rapidly. In the production of rayon, output per man-hour quadrupled
between 1923 (the earliest date for which data are available) and
1939, in the manufacture of industrial chemicals, output per man-hour
m 1939 was more than three times as great as in 1919. Productivity
rose 180 percent in the automobile industry between 1919 and 1939
and even more in petroleum refining (290 percent) and rubber tires and
tubes (325 percent between 1921 and 1939). Extremely large gains in
man-hour output were also recorded for cigarettes, silk and rayon
goods, glass, and alloying and rolling of nonferrous metals. The
industries which showed the smallest advances from 1919 to 1939
weie, in general, older industries which did not expand rapidly and in
which manufacturing techniques were relatively stable, such as food
processing, leather, furniture, and lumber.
OUTPUT PER MAN-HOUR SINCE 1939

^ Since the production pattern changed radically when the United
States began its war program, it is not possible to measure the over­
all changes in manufacturing efficiency from peace to war. To
do this would require, for example, some equating of ships, planes,
s Indexes for individual manufacturing industries for this period are shown in the mimeographed report
roductivity and U nit Labor Cost in Selected Manufacturing Industries, 1919-40. February 1942.


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PRO DUCTIVITY C H A N G E S S IN C E 1 9 3 9

897

and munitions against automobiles, vacuum cleaners, or typewriters.
For some individual industries, much the same problem exists ; hence,
it is not possible to state whether physical output per man-hour
increased or dropped when the automobile industry converted to
production of war equipment. The same type of difficulty exists
during peacetime, of course, whenever new products are introduced,
but the changes are more gradual and do not usually affect seriously
comparisons over reasonable periods of time.
While it is not possible to measure the productivity changes during
the transition from peace to war in manufacturing as a whole, it is,
nevertheless, possible to examine productivity changes in individual
war industries and in certain nonmunitions industries which did not
need to alter the nature of their production materially.
Productivity in the War Industries 3

In the war industries, rapid advances in man-hour output were made
as production expanded. The high production requirements for air­
craft, ships, and other war goods permitted a change from custom to
mass-production manufacturing methods, with very great savings in
labor requirements. A large number of modern plants were con­
structed, incorporating assembly-line or préfabrication systems,
special-purpose machinery, and other essentials of mass-production
methods. In addition, war needs stimulated the development of
some basically new techniques—in welding methods, for example,
light metal technology, and the like.
In shipbuilding a few standardized types were selected to provide
the bulk of the wartime program. The most important of the stand­
ardized types (in respect to number) was the Liberty ship. The new
methods of construction called for considerable préfabrication of parts
and subcontracting, as well as standardization of plans. Produc­
tion commenced in 1941 and immediately large increases in produc­
tivity were forthcoming. Labor requirements per ship dropped from
1,150,000 man-hours in December 1941, when the first ships were
delivered, to 515,000 man-hours per ship delivered in December 1944.
This 55-percent decrease in unit labor requirements is equivalent to
a productivity increase of over 120 percent. In 10 individual yards
building Liberty ships, labor requirements per ship dropped an average
of 19 percent each time production doubled.
There were large decreases in unit man-hour requirements for other
types of ships as well. A 50-percent reduction over a 10-month in­
terval occurred in yards building Victory ships. Man-hour require­
ments for two types of tankers dropped 38 percent from June 1943 to
December 1944, and unit labor requirements for destroyer escorts
3
See also Wartime Productivity Changes in the Airframe Industry, in M onthly Labor Review, August
1945, and Productivity Changes in Selected Wartime Shipbuilding Programs, in M onthly Labor R eview,
December 1945.


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M O N T H L Y LABOR RE V IE W ---- DECEM BER 1 9 4 6

dropped 45 percent during the 10 months April 1943 to January 1944.
Even larger increases in productivity were achieved in the aircraft
industry. Aircraft, before the war, were manufactured in small lots
to the order of the individual customer. The wartime Government
demand, however, enabled the industry to concentrate on producing
laige numbers of airplanes to a standard design. Jobs were simplified
and specialized. In addition, special-purpose machines for working
with light metals, automatic riveting devices, special hand tools, and
other labor-saving innovations came into use.
Between the first quarter of 1942 and the last quarter of 1944,
production of airframes multiplied sixfold, and productivity increased
more than 160 percent during the 3 years. During 1942, many new
plants entered production and the increase in productivity was rela­
tively moderate—13 percent between the first and fourth quarters of
the year. During 1943 and 1944, however, output per man-hour
rose rapidly. From the fourth quarter of 1942 to the fourth quarter
of 1943, a 74-percent increase in output per man-hour occurred, and
between the fourth quarter of 1943 and the fourth quarter of *1944
productivity rose another 33 percent. The magnitude of the advance
may be appreciated when it is compared with peacetime advances in
new industries. The increase from the first quarter of 1942 to the
last quarter of 1944 was greater than the total gain in productivity
in the automobile industry from 1919 to 1929, the years of most rapid
development. For individual aircraft plants, the improvement in
productivity levels as production increased was remarkable. On the
average, plants were able to reduce labor requirements per pound of
airframe by 30 percent each time production doubled.
T\ hile complete data are lacking, there are indications that pro­
ductivity increased considerably in other war industries as well.
According to data compiled by the Army Service Forces, substantial
gains in productivity were made in Government-owned privately
operated ammunition plants. Productivity advanced 33 percent for
the shell- and bomb-loading industry and 40 percent for the smallaims ammunition industry during 1943. Productivity jumped 45
percent in the manufacture of TNT from April 1943 to the end of
the year.4
Productivity Changes in Nonmunitions Industries

The course of productivity in those nonmunitions industries for
which data are available contrasts with the large and rapid gains
made in munitions industries. While some of the nonmunitions
industries made important contributions to the war effort, no im­
portant changes in production techniques could be made, replacement
of equipment was difficult, and the manpower shortage was especially
*
Senate’ s Pecial Committee to Investigate the National Defense Program, Third Annual Renort
Mar fin 1944 (n. 1 721
*
*


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PRO DUCTIVITY C H A N G E S S IN C E 1 9 3 9

899

severe. Thus, the basis for wartime increases in man-hour output
was lacking.
Table 2 presents indexes of output per man-hour for 32 nonmuni­
tions manufacturing industries from 1939 to 1945. In .1939, these
industries employed approximately one-third of the total number of
wage earners engaged in all manufacturing industries. The industries
listed represent more than half the 1939 employment in food,
tobacco, basic lumber products, leather, paper manufacture, textiles,
petroleum and coal products, and over one-third of the total in print­
ing and publishing, chemicals, and stone, clay, and glass. Important
segments of the manufacturing economy—e. g., steel, automobiles,
rubber products, and machinery—are omitted, however, and changes
in these industries cannot be assumed to represent the change in
manufacturing as a whole.
While the industries for which statistics are presented continued to
manufacture the same general types of products as in peacetime, in
some of them there were shifts in the nature of the products which
cannot be fully reflected in the measures of production. Specifications
for products for military use—for example, cotton textiles—were in
many instances far higher than for civilian goods. In some industries,
there was a shift to the manufacture of items in the higher price lines;
in others, there was a deterioration in the quality of the goods manuactured for the civilian market; and in some cases, there were sub­
stitutions in the materials used. For these reasons, the indexes are
necessarily approximations and cannot, in some cases, be interpreted
as showing precise changes in man-hour output from year to year.
The production indexes are based on statistics for the quantities
of the separate products manufactured by each industry. In most
instances, the products included cover virtually the entire output of
the industry, but, in some cases, minor products could not be included.
The production figures generally are based on a complete canvass of
all plants producing the respective items. The trends of employment
and man-hours, on the other hand, are, for most industries, based on
a sample of plants which report to the Bureau of Labor Statistics;
but this sample represents fairly accurately the changes in total
employment in the industry.
Man-hour output in these 32 industries generally increased from
1939 to 1941, turned downward from 1941 to 1943, leveled off in 1944,
and increased in 1945. Increases in productivity were experienced by
24 of the component industries between 1939 and 1940, and produc­
tivity rose in 25 industries between 1940 and 1941. However, pro­
ductivity levels fell in 19 of these industries from 1941 to 1942 and
decreased in 22 from 1942 to 1943. Output per man-hour increased in
20 of the industries from 1943 to 1944 and, from 1944 to 1945, rose in
25 of the 29 industries for which data are available.

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900

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

T able 2.— Indexes of Productivity in 32 Nonmunitions Manufacturing Industries 1
[1939=100]
Output per man-hour
Manufacturing industry
1940

1941

Beet-sugar refining8............................................
Boots and shoes_______ __________ _______
Bread and other bakery products___ . _____
Cane-sugar refining____________ ______ ___
Canned and preserved fruits and vegetables.
Canned and cured fish .....................................
Cement........... ......................................................
Clay construction products-.............................
Beehive coke.........................................................
Byproduct coke....................................... ............

103.5
105.6

100.9
113.2
105.0
113.4
110.4

Condensed and evaporated m ilk ..............
Confectionery___________ ________ ____
Cotton goods............................... ..................
Fertilizers___________________ ________
Flour and other grain m ill products____
Glass products.......................... .....................
Hosiery__________ _______ _______ _____
Ice cream........................................................
Leather___________ __________________
Lumber and timber products—Sawmills.
M alt liquors....................................................

109.7
105.6
102.5
110.3
99.6
99.8
108.4
107.0

119.3
108.3
102.7

101.0

110.0

111.7
98.0

105.5
99.0

Newspaper and periodical printing and publishing___
Nonferrous metals—Primary smelters and refineries...
Paints and varnishes_____________________ .
Paper and pulp_____________________ _______ _ .
Petroleum refining__________ _________ _____ ______
Rayon and allied products.
_____________________
Slaughtering and meat packing____________________
____________ — _________ ______________
Cigars
Cigarettes_______ . . . ____ ____ _____ ____________
Chewing and smoking tobacco and s n u ff___________
Woolen and worsted goods.............................. ..................

103.8
108.0
100.1
104.2
102.9
113.7
102.1
100.0
100.0
104.3

106.2
103.1
113.8
106.7
107.7
127.2
101.2
101.5
108.9
108.3

103.5
107.1
122.4
100.4
103.1
99.2
104.6

112.1

108.3
106.4
102.0

105.4

110.8

100.3
104.1
109.1
127.0

1942

1943

93.0

78.8

111.8

111.1

106.9
82.8
123.6
92.2
108.4
97.4
103.9
106.2

113.1
91.3
120.8

84.4
94.7
81.3
104.8
98.2

108.6
104.2

102.2
106.5

102.2

100.8
102.1

102.5
94.7
102.9
113.9
147.1
116.5
98.1
100.7
105.7
102.3
108.8
101.8

101.5
141.3
96.0
103.2
112.2

98.8
100.2

85.2
109.2
123.5
142.0
110.7
95.1
92.9
101.4
99.4
109.8
94.7
94.2
135.5
96.9
105.7

111.0
89.3
107.9

1944

1945

82.6
105.9

88.0
110.6

111.2

126.1
92.2
123.2
104.3
89.4
89.2

96.6
119.6
97.3
83.8
83.0
109.7
103.0
106.1
116.4
100.4
108.2
85.2
107.6
130.5
151.2
114.5
96.0
92.6

112.3
117.8
100.7
113.2
93.0
121.3
137.9
153.1
115.4

87.5
97.4
114.1
92.7
95.6
141.5
102.3
117.0
113.2
85.1
116.4

88.7
95.9
120.3
95.2
94.0
151.0

92.5

111.0
133.2
119.8
87.1
118.2

1 Indexes of production, employment, man-hours, and pay rolls, together with the details of the methods
used in the preparation of the indexes, are shown in the mimeographed report Productivity and U nit Labor
Cost in Selected Manufacturing Industries, 1939-45.
In some of the industries listed above, there have been changes in the nature of the products which cannot
be measured and are not fully reflected in the indexes of output per man-hour. It is believed that the in­
dexes of output per man-hour are satisfactory to show the general trends since 1939, but they may not in all
cases indicate the precise changes from year to year.
8 Indexes for beet-sugar refining are on the basis of a fiscal year beginning in March.

While there is a general pattern in the direction of year-to-year
changes in output per man-hour for this group of industries, reflecting
wartime economic conditions, there are also substantial variations
among different industries in the net changes in man-hour output
since 1941. One of the most important reasons for these differences
is the fact that in some industries the volume of production increased
because of expanded war requirements, while in others output de­
clined as a result of wartime restrictions. Where volume was re­
duced, output per man-hour necessarily suffered. In industries in
which production rose, output per man-hour generally advanced
despite wartime operating difficulties.
Thus, of the 13 industries in which man-hour output for 1945 was
higher than for 1941, in all but 3 (hosiery, leather, and cigars), the
1945 production level was also higher. Conversely, in almost threefourths of the industries in which productivity declined, production
also fell. For example, in the clay-construction products industry,

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901

which was severely affected by the restrictions on new construction,
production dropped 53 percent between 1941 and 1945 and produc­
tivity declined 16 percent. Similarly, in the cement industry,
productivity and production rose from 1939 to 1942, then declined
substantially until, in 1944, productivity had fallen 23 percent and
production had dropped 45 percent below 1941 levels. From 1944
to 1945 an increase of 13 percent in cement production was accom­
panied by a 7-percent rise in man-hour output. Likewise, in news­
paper and periodical printing and publishing, a 20-percent drop in
production between 1941 and 1944 was related to an 18-percent
decline in productivity. Other industries in which both production
and productivity declined significantly during the war are beet-sugar
refining and chewing and smoking tobacco.
Productivity changes were not uniformly related to like changes in
the volume of production, however. Productivity increases in excess
of 10 percent from 1941 to 1944 (the last full year of the war) occurred
in only 4 industries—hosiery, ice cream, rayon, and cigars. In two
of these (hosiery and cigars) production declined, and in the other
two increased only moderately. On the other hand, output per man­
hour dropped between 1941 and 1944 in flour and other grain mill
products, cane-sugar refining, condensed and evaporated milk, malt
liquors, and petroleum refining, although production was near the
1941 levels or higher.
The general, if moderate, increases in productivity between 1944
and 1945 seem especially significant. Producers of goods for civilian
use apparently were able to cope with wartime problems more success­
fully, once the shift to the war production program had been completed
and operations had been stabilized, than during the initial transition.
This fact is suggested by the evidence that productivity was stable
between 1943 and 1944, while small declines generally occurred during
1941-42 and in 1942-43. In addition, the relaxation of some controls
during the last part of 1945, as well as the easing of materials and labor
shortages, may also have contributed to the improved record.
During the first half of 1946, despite the unsettled conditions,
productivity levels in those industries for which statistics are available
were generally higher than in the same months of 1945. As might be
expected, the largest gains occurred in industries which were able to
expand production as soon as wartime restrictions were ended.
Increases in man-hour output of 20 percent or more between the first
half of 1945 and the first half of 1946 are shown for cement and clay
construction products. Other industries for which substantial in­
creases in productivity are shown (5 percent or more) are glass,
cigars, newspaper and periodical printing, paper and pulp, cigarettes,
rayon and allied products, paints and varnishes, and boots and shoes.
With a single exception, production levels during 1946 were higher

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than in 1945 in the industries in which man-hour output increased.
On the other hand, moderate declines in man-hour output were
experienced in those industries in which the volume of output declined.
FACTORS AFFECTING PRODUCTIVITY DURING, THE WAR

The productivity record in the war industries is generally recognized
as a magnificent accomplishment. It is not usually appreciated,
however, that the performance of the nonmunitions industries was
equally creditable, in the face of the many serious operating problems
encountered. Some discussions have implied that the small decline
in man-hour output in the nonmunitions industries reflects a decrease
in “ worker efficiency.” It is not possible, however, to isolate the
effects of individual efficiency from the many other influences which
determine output per man-hour. It is true, of course, that a trained
worker can produce more in an hour than an untrained worker if other
factors affecting productivity are held constant, but “worker effi­
ciency” is not necessarily the most significant element. Thus, the
greatest increases in man-hour ouptut were made in war industries
even though many new and untrained workers were entering war
plants. As has been indicated, these gains were achieved largely
because of the adoption of mass-production methods.
Among the many factors which determine the relationship between
output and labor input, the most important are probably the produc­
tion methods and the quality of the equipment used. In “ normal”
times, it has been possible for productivity levels to rise year after
year mainly because there have been steady improvements in processes
and equipment. The advance in man-hour output has its origin in
technical innovations, but it continues for many years after the new
methods are introduced. Since most industrial equipment has a long
life and is not scrapped until significant economies can be gained,
new methods are not adopted throughout industry as soon as they are
developed but find acceptance only after a period of years. Thus,
man-hour output continues to increase even when there are no new
technological developments, as additional plants adopt the most ef­
ficient methods.
During the war, there was vastly increased technical research, but
it was concentrated in the war industries. Many new techniques
were developed to speed war production or to improve the quality of
war equipment. The industries manufacturing goods for civilian use,
on the other hand, were not in a position to make any significant
changes in production methods. Technical personnel was drawn into
the war industries and the capital-goods industries were converted to
the production of equipment for war plants. In many instances, it
was difficult to obtain equipment needed for replacement, and ma­
chines which might otherwise have been discarded remained in service,

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903

A Department of Commerce study, comparing expenditures from
July 1940 to December 1943 with those made during the period Janu­
ary 1937 to June 1940, indicates clearly the concentration of invest­
ment in the war industries.6 Expenditures in facilities for the produc­
tion of aircraft, ships, combat vehicles, explosives, guns, ammunition,
shells, and bombs amounted to 10.5 billion dollars, from July 1940 tO'
December 1943, out of a total investment of 20.5 billions for all manu­
facturing plant and machinery. In the prewar period investment in
these industries was negligible. The great capital outlays in these
industries during the war formed the basis for the adoption of massproduction methods which, together with new techniques and specially
designed machinery, contributed to the large wartime increase in
productivity.
In such basic industries as steel, nonferrous metals, machinery,
chemicals, synthetic rubber, and aviation gasoline, investment from
July 1940 to December 1943 totaled 7.7 billion dollars compared with
2.5 billion for the preceding 3 years. While much obsolete equipment
was also brought into use in these industries during the war, the aver­
age efficiency of facilities no doubt increased.
In industries producing goods for civilian consumption, however,
investment dropped from 3.0 billion dollars in the period January
1937-June 1940 to 1.8 billion in the period July 1940-December 1943.
During 1944 the rate of expenditures for plant and equipment was
50 percent higher than during the period July 1940-December 1943
but remained below prewar levels. Moreover, these figures understate
the decline in physical investment since they do not reflect price rises
or the amounts spent by these industries on war items. The non­
munitions industries may have had poorer plants at the end of the
war than at the beginning. In any event, it is clear that they were
unable to make any substantial improvements during the war period.
While technical factors were the most important, many other
elements influenced wartime productivity levels. Increases in the
proportion of capacity utilized tended to raise productivity in some
industries during the early phase of the war production program,
especially where the proportion of “indirect” labor is high, as in the
steel industry. In other industries, however—cement, for example—
a decrease in capacity utilization attributable to wartime restrictions
contributed to a decline in productivity. Intermittent interruptions
in the flow of materials had detrimental effects on man-hour output
even where there was no general decline in the level of operations.
Where such interruptions occurred, workers were sometimes kept
on the pay roll even though idle part of the time, and it was impossible
to organize the production process efficiently. Many war plants
suffered from interruptions of this sort during the early part of the
war, as supplies of raw material became scarce. Nonmunitions
8Wartime Construction and Plant Expansion, by D . Stevens Wilson, in Survey of Current Business,
October 1944.


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industries, withflast call on materials supplies, also were affected
by wartime bottlenecks. Moreover, changes in the types of materials
available from time to time required modifications of manufacturing
methods and resulted in loss of productive efficiency.
The wartime change in the composition of the work force made it
necessary for management to give more attention to training pro­
grams, recruitment policies, working conditions, supervision, and
morale than was customary in peacetime. Millions of men were
drawn from jobs in industry into the armed forces and these workers
were generally in age groups where there is probably high individual
efficiency. Unemployment virtually disappeared, and new workers
were recruited largely from groups with little industrial training—
women, high-school students, older persons, and minority groups.
Thus, the number of males gainfully employed dropped nearly 2
million from May 1940 to May 1945, while the number of female
workers rose 7 million. The industries which produced civilian-type
goods were more severely handicapped by the change in the labor
force than were the war industries. The nonmunitions industries
lost skilled workers to the higher-paying war plants and to the armed
forces, whereas workers were channeled into war industries by man­
power controls and high wage rates. Much has been said concerning
the “inferior” quality of the wartime labor force. Available evidence,
however, indicates that in most industries the way labor was utilized
was of morn significance than the training and abilities of individual
workers.
I t is frequently overlooked that there was dilution within the
management group equivalent to that which took place within the
labor force. Many management officials were drawn from established
industries to staff the new war plants and others went into the armed
forces. The magnitude of the over-all volume of production during
the war period made necessary a large increase in the size of the
management and supervisory group. As a result, management and
supervisory positions were, in some instances, necessarily assumed by
persons with little previous qualifying experience.
Many wartime circumstances made effective labor utilization more
difficult. High labor turn-over, or more specifically the high “quit”
rate, was one of the most serious problems. The number of persons
who quit their jobs increased from less than 1 per month for each
hundred persons employed in 1939 to 6.3 per hundred in August and
September 1943, a rate not equaled again until September 1945, when
the quit rate rose to 6.7 per hundred. While increased labor turn­
over was inevitable in the process of staffing the war industries,
it was detrimental to maximum productivity in a number of respects.
Production was interrupted; replacements often required considerable
training before attaining sufficient ability; and time of supervisors
and other employees was consumed in training new workers. Simi
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905

larly, unscheduled absences from the job were higher than in peace­
time because of the employment of women with home responsi­
bilities, the lengthening of hours of work, and shortages of housing,
transportation, and essential services. High absenteeism may result
in a loss of productive efficiency, since it makes necessary some im­
provisation of job arrangements. Information collected during the
war period showed wide variation in the absence rate from plant to
plant, depending on management practices.
In some instances, the longer wartime hours may have tended to
increase fatigue and to reduce productivity. The average length of
the workweek in manufacturing industries increased from 37.3 hours
per week in July 1940 to 45.6 hours in December 1944. In some
entire industries (for example, machine tools and machine-tool acces­
sories) and in many more individual plants, work schedules averaged
considerably in excess of 50 hours per week. Where hours of work
were extremely long or where there was a 7-day week, productivity
levels suffered. Moreover, second or third shifts were added by
many industries in efforts to increase the utilization of their facilities.
Both workers and managements experienced difficulty in adjusting to
evening or night shift operating conditions.
OUTLOOK FOR MANUFACTURING INDUSTRIES

There is every indication that the advance of productive efficiency
is being resumed and that the rise in productivity will be unusually
rapid during the coming few years. The special wartime difficulties
which hampered productivity gains in the nonmunitions industries
have already disappeared or will be eliminated in the near future.
There are hardly likely to be any persistent difficulties in the way of
recruiting an adequate labor force. Materials will be available in
sufficient supply to permit efficient operation, even though it may be
impossible to meet all of the pent-up demand immediately. Plant
operations will generally be more stable. For example, changes in
the nature of the products manufactured or in the materials used will
occur more slowly and there will be greater opportunity for advance
planning of such changes. In practically all industries, there will be
rather intensive utilization of capacity. This factor will be of par­
ticular importance in industries which operated at a reduced level
during the war and which suffered declines in productivity as a result.
In the durable goods industries which were converted to war pro­
duction, productivity should compare favorably with prewar per­
formance once capacity operations are achieved. Manufacturers of
consumer durable goods of all types will be in an excellent position to
achieve improvements in productive efficiency, since there are large
markets and production will be high for some time to come. In some
cases, experience gained in war production will be applied to the manu­
facture of peacetime products, particularly where the production

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M O N T H L Y LABOR RE V IE W — D EC EM BER 1 9 4 6

methods used for war items were similar to those used for the normal
range of products.
The most important factor which will tend to raise productivity
levels will be widespread installation of new equipment. As pre­
viously indicated, expenditures for new plant and equipment in non­
munitions manufacturing industries during the war period were little
more than half as great as in the preceding peacetime years. Much
of the equipment in use is worn out or obsolete and will be replaced
within the next few years. It is likely that expenditures for new
plant and equipment will be well above the “ normal” rate for several
years in all manufacturing industries, except those few in which
capacity was expanded during the war to a level in excess of what will
be required for peacetime production.
The belief that productivity will rise rapidly during the coming
period is supported by available evidence on recent expenditures for
plant and equipment and on plans for future expenditures. A study
by the U. S. Department of Commerce and the Securities and Ex­
change Commission provides some information on planned expendi­
tures for new plant and equipment in manufacturing and mining
combined. Expenditures planned for the second and third quarters
of 1946 total 3.4 billion dollars. On an annual basis, such expendi­
tures would be almost three times as large as those made in 1939 and
would substantially exceed the level of 1941, when many of the newequipment purchases were designed for the production of munitions.
It is interesting to note that actual expenditures rose sharply with
the end of the war. During the last quarter of 1945, 1.4 billion
dollars was spent for plant and equipment and during the first
quarter of 1946, 1.2 billions, compared with an average quarterly
expenditure of 750 millions during January-September 1945.
An earlier study of planned expenditures for equipment made by
the Department of Commerce provides some indication of the prob­
able distribution of expenditures among the various industries.6
As might be expected, the greatest increases, relative to the prewar
period, were contemplated in those industries which were not able to
add any great amount of new equipment during the war period and
in those industries which were converted to war ^production—textiles,
apparel, and leather; pulp, paper and printing; transportation 'equip­
ment, including automobiles; and machinery, including electrical
equipment.
These large-scale installations of new equipment will make possible
substantial increases in man-hour output. Even if the types of equip­
ment purchased were not fundamentally different from those availa­
ble before the war, a high rate of investment in equipment would
rapidly raise the average quality of all equipment in use and would
andPJuFy 194£aPital


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Financills’ by D ‘ Stevens Wilson- in Survey of Current Business, June

PRODUCTIVITY CHANGES SINCE 1 9 3 9

907

permit retirement of the least efficient machinery. It is likely,
however, that the types of equipment installed will be superior to those
which were available before the war, and this factor should permit
additional gains in productive efficiency. Techniques developed for
war production, as in metalworking and electronics, will undoubtedly
contribute to the advance of productivity over a period of years.
Productivity in Nonmanufacturing Industries

The types of difficulties which handicapped operations in the non­
munitions manufacturing industries during the war period were prev­
alent, to a greater or lesser extent, in virtually all industries. The
general shortage of manpower, restrictions on new-equipment instal­
lations, and shortages of materials had their effects throughout the
economy. The severity of the operating problems varied from indus­
try to industry, however, depending on the importance of the industry
in the war-production program. Those industries producing goods
which were not essential suffered most seriously, for they had last call
on available manpower, materials, and machinery. Activities directly
supporting the war effort, on the other hand, were not affected to the
same extent by wartime restrictions. In the latter category were
some nonmanufacturing industries which were vital to the successful
prosecution of the war—mining, railroad transportation, electric
light and power, and agriculture. Special efforts were made to
supply these industries with needed equipment and to keep them
adequately staffed. In each of these activities, the obstacles to
efficient operation were outweighed in importance by other factors,
and substantial gains in man-hour output are recorded for the war
period.
M INING

In mining, as in manufacturing, productivity has increased steadily
in the past. Considering the major mining industries together,
output per man-hour doubled during the 20-year period 1919-39,
rising at an average rate of 3 percent annually (table 1). The con­
tinued advance in output relative to labor time resulted mainly from
the steady growth of mechanization and improvement in the types of
equipment used. In bituminous-coal mining, for example, 60 percent
of total underground production was cut by machine in 1919, 78 per­
cent in 1929, and 88 percent in 1939. Similarly, mechanical loading
of coal, a more recent development, was used for less than 1 percent
of total underground production in 1924, but rose to 31 percent of the
total in 1939. Strip mining, which is far more efficient than under­
ground mining with respect to man-hour requirements per ton, con­
tributed little more than 1 percent of the total coal tonnage in 1919,
but almost 10 percent in 1939. Comparable improvements were
made in metal mining, including more extensive mining by open-cut

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

methods. New processes of recovery developed for nonferrous
metals made it economical to mine large masses of easily accessible
low-grade ore.
Man-hour output continued to rise in the mining industries during
the war years. For the major mining industries together, the gain
in productivity was 18 percent from 1939 to 1945 and 12 percent from
1941 to 1945. Despite wartime shortages, a considerable amount of
new equipment was installed—mobile loading machines and conveyors
in underground coal mines, larger draglines and new-type excavators
in some surface stripping operations, belt conveyors and larger capaci­
ty trucks in certain open-cut metal workings, and new drilling rigs and
ore-handling devices in underground metal mines. Moreover, special
efforts were made to maintain an adequate labor force. For example,
in 1942, prior to the adoption of Nation-wide manpower controls, the
War Manpower Commission imposed a “freeze” on separations in
nonferrous-metal mining, and in the same year the War Labor Board
granted wage increases to nonferrous-metal miners, precisely because
the importance of maintaining an adequate labor force was recog­
nized. Since these measures were not adequate, Government authori­
ties took the drastic step of furloughing nonferrous-metal miners from
the armed forces.
The largest increase in productivity during the war period occurred
in the extraction of crude petroleum and natural gas—28 percent be­
tween 1939 and 1945. This gain was attributable in part to a reduc­
tion in the proportion of labor devoted to the development of new
wells. The number of wells drilled dropped sharply between 1941
and 1943. With accelerated well drilling in 1944 and 1945, the
advance in man-hour output was halted. There was also a substan­
tial increase in output per man-hour in bituminous-coal mining—
20 percent between 1939 and 1945. Machine-cutting, strip mining, and
mechanical loading all continued to grow in importance during the
war years. Particularly significant is the increase in mechanical
loading—from 31 percent of the total underground output in 1939 to
41 percent in 1941, and to 53 percent in 1944. In iron-ore mining,
productivity in 1945 was 17 percent above the 1939 level, although
slightly lower than in 1941. Open-pit mines increased their share of
total iron-ore output from 62 percent in 1939 to 74 percent in 1944.
The large wartime requirements for nonferrous metals could be
achieved only by working deposits which would not be economical
sources in normal times. In order to encourage production from
leaner ores, the Government made premium payments for copper
and for lead and zinc produced in excess of fixed quotas. In both
copper mining and lead-and-zinc mining, the percentages of re­
coverable metal in the ores mined declined substantially after 1939.
Sharp gains were made in ore output per man-hour in both industries

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PRODUCTIVITY CHANGES SINCE 1 9 3 9

but comparable advances were not achieved in recoverable metal
production per man-hour. Despite the necessity for mining leaner
deposits, recoverable copper mined per man-hour was 15 percent
higher in 1945 than in 1939, with most of the gain occurring after
1943, as production declined. The rise in productivity reflects an
increase in the proportion of output contributed by open-cut mines.
In lead-and-zinc mining, productivity fell about 13 percent from
1939 to 1943, but by 1945 the 1939 level was regained (table 3).
T able 3.— Indexes of Productivity in Selected JSonmanujaciuring Industries 1
[1939=100]
Output per man-hour
Nonmanufacturing industry

Mining:
Bituminous coal____'L l_____________ __________
Anthracite___________________________________
Crude petroleum and natural gas_______________
Iron ore______________________________________
Copper:
Recoverable metal____________ _____ ______ •_
Ore______________________________________
Lead and zinc:
Recoverable metal_________________________
Ore______________________________________
Steam râilroad transportation:2
K>
Revenue traffic._______________________________
Car-miles_______________________ ____ ___ ____ _
Electric light and power 3_________________________
Agriculture *-------- ------------ --------- --------------------------

1940

1941

1942

1943

1944

103.9
101.1
98.8
118.8

105.8
105.7
104.5
119.7

107.1
98.3
118.7
110.7

106.8
95.3
126.9
101.2

116.0
102.6
127. 4
110.2

119.6
99.6
127.7
117.3

104.2
108.2

100.3
108.1

102.5
114.9

103.7
123.0

113.6
140.7

115.1
149.2

97.2
100.3

99.2
108.7

91.1
103.2

87.2
112.0

95.7
134.0

99.2
145 3

105.2
102.5
108.6
103.2

115.5
104.2
123.2
107.4

139.6
108.7
145.8
118.9

150.9
103.9
182.7
116.8

-148.1
101. 2
191.1
124. 5

139.5
95.3
181.4
122.2

1945

1 Indexes of production, employment, man-hours, and pay rolls, together with the details of the methods
used in the preparation of the indexes, are shown in a series of mimeographed reports: Productivity and
U nit Labor Cost in Selected Mining Industries: 1935-45; Productivity and Unit Labor Cost in Steam
Railroad Transportation: 1935-45; Productivity and U nit Labor Cost in the Electric Light and Power
Industry: 1917—
45; Productivity in Agriculture: 1942-45.
2 Class I steam line-haul railroads.
2 Privately owned electric utilities.
* Output per worker.

It seems likely that man-hour output in the mining industries will
continue to rise in the future at a rate comparable with that achieved
in the prewar period. As in manufacturing, much new equipment will
be purchased as soon as it is available. The most efficient methods
will gradually be adopted by additional mines and improvements will
doubtless be made in the design of equipment. The proportion of
copper and iron mined in open-cut operations and of coal extracted by
stripping may continue to increase. Since these methods require less
labor than underground mining, productivity will tend to rise as a
result. An additional factor which may tend to raise man-hour output
in metal mining will be the abandonment of the least productive mines
and ore deposits. On the other hand, it may be necessary, for a time,
to devote a relatively large amount of labor to development ivoikr
Since such labor will not yield any immediate output, this factor may
tend to retard the gains in productivity. Well-drilling in crude“'
petroleum and natural gas was below the prewar rate in 1944 and 1945
and additional development work will probably be essential if producd

722250— 46----- 5


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MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

tion is to be sustained. In iron mining, too, it may be necessary to
develop new ore beds, possibly of lower grade. This factor is unlikely
to be of major significance, however, and continued increases in man­
hour output may be anticipated in the mining industries.
RAILROAD TRANSPORTATION

Productivity in railroad transportation (measured in terms of
passenger mileage and freight ton-mileage carried per man-hour of
labor) has, in the past, increased at a rate only slightly lower than in
manufacturing and mining. Output per man-hour rose approximately
75 percent from 1919 to 1939; the average rate of increase was nearly 3
percent per year (table 1). During this period, there was a steady
rise in the average tractive effort of locomotives, train speeds were
increased, and freight cars of larger capacity were added. Moreover,
improvements were made in the methods used for constructing road­
way and there was a trend toward greater durability of rail and ties,
with a consequent reduction of the amount of labor needed for con­
struction and maintenance.
As a result of the huge increase in traffic during the war, man-hour
output jumped 48 percent from 1939 to 1944; but, with the decline in
traffic between 1944 and 1945, it fell 6 percent. During the first
quarter of 1946, man-hour output was 7 percent below the level for
the year 1945 but remained 30 percent higher than in 1939. The
tremendous wartime gain in productivity, unlike the steady advance
in the period before the war, did not arise from any fundamental
improvement in operating methods, but resulted in large part from
more complete loading of cars. It is apparent that the volume of
traffic carried per man-hour depends, to a great extent, on the average
load per car, since an increase in the average load does not require a
proportional increase in the amount of labor.
War requirements made extremely heavy demands on the rail­
roads. During 1944, the peak year, the volume of freight and pas­
senger traffic was 144 percent higher than in 1939; the number of pas­
senger-miles traveled was four times as great as in 1939 and freight
ton-mileage more than twice as great. This enormous increase in the
volume of traffic was achieved with little addition to rolling stock.
No new passenger cars were built during the war period, and only small
numbers of locomotives and freight cars were added. Both passenger
and freight cars were more fully loaded and more continuously used,
and this factor accounted in large part for the great increase in man­
hour output.
The number of car-miles traveled per man-hour of work, which
shows productivity in terms of carrying space provided, increased 9
percent from 1939 to 1942, despite heavier loading of cars. In con­
trast, car-miles per man-hour declined 8 percent from 1943 to 1945,
although there was no further increase in average load during this

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period. Few basic improvements in operating methods could be
made in the face of the wartime shortages of labor and materials.
The use of rolling stock due for retirement doubtless also contributed
to the decline in the index of car-miles per man-hour. Moreover, the
loss of experienced railroad workers presented grave operating
problems.
It seems certain that there will be some decline in revenue traffic
per man-hour in the immediate future, as the volume of traffic and
the utilization of car capacity decline. Civilian passenger travel
obviously does not permit as complete use of facilities as did troop
movements. In any event, with alternative forms of transportation
available, passengers will not be willing to tolerate the overcrowding
which was prevalent during the war. Freight shipments have been
changed in character, so that cars are not so fully loaded or so con­
tinuously used, a change reflected in the severe shortage of freight
cars. Moreover, because of the extreme shortage of railroad labor
during the war, some maintenance work was postponed, and it may be
necessary to increase the amount of labor devoted to such work.
After the initial readjustment to a lower volume of traffic, how­
ever, the long-term upward movement of productivity will doubt­
less be resumed. Track maintenance work and yard operations will
probably be mechanized to a greater extent, and track and roadbed
may be of more durable construction. In addition, modern locomo­
tives and rolling stock will be purchased, and modern communications
devices will be more widely used. The competition of other means
of transportation will doubtless stimulate the modernization of equip­
ment in the railroad industry. A survey made by the Department of
Commerce and the Securities and Exchange Commission indicates
that the railroads are planning capital expenditures of 360 million
dollars for the second and third quarters of 1946. On an annual basis,
this expenditure would be the highest since the year 1929, and would be
twice as high as the average annual expenditures during the years
1937-40. The expenditures planned for 1946 are also substantially
higher than the average for the years 1941-44. Since the amount of
traffic will be below the wartime peak, such investment will permit
substantial improvements in roadway and equipment and will
permit retirement of the least efficient equipment.
ELECTRIC UTILITIES

The amount of electric energy distributed per man-hour worked
by employees of electric light and power companies more than doubled
from 1917 to 1939. The gain in productivity was moderate between
1917 and the early thirties, averaging 1% percent per year. There­
after, however, man-hour output advanced extremely rapidly, with
an annual rate of increase of approximately 8 percent between 1930
and 1941 (table 1). In generating stations, savings of labor resulted

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MONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

from the use of larger-capacity equipment at higher pressures and
temperature, increased fuel efficiency, and improved methods of han­
dling fuel. Better transmission and distribution systems permitted
a decrease in power losses as well as reduction in the amount of labor
needed for maintenance and repair. One of the important factors
contributing to the rise in man-hour output has been the increase
in the amount of electric energy consumed per customer. This
factor has permitted a reduction in the proportion of labor which must
be devoted to installation, maintenance, and clerical work. The
rapid increase in output per man-hour during the thirties parallels
a rise in the amount of electric energy consumed per customer, from
2,900 kilowatt-hours in 1934 to 3,600 in 1939. The increase in the
amount of energy consumed per customer was attributable both to
greater use of electric power in industry and to more extensive use of
radios, refrigerators, and other electrical appliances in the home.
Total requirements of electric energy and the average consumption
per customer went up sharply during the war period. As a result,
output per man-hour rose even more rapidly than during the thirties,
and in 1944 was 91 percent above the 1939 record. A small decline
in man-hour output is shown for 1945, reflecting the decline in power
requirements of large industrial users with the end of war production.
Many measures which were adopted to meet wartime power require­
ments contributed to the unusually sharp gain in output per man­
hour. For example, power-pooling agreements and the adoption of
“ war time” permitted greater use of generating capacity. Bimonthly
meter reading saved a large amount of clerical and meter readers’
labor and there was some restriction on new installations.
Output per man-hour during the year 1946 will undoubtedly be
lower than during the peak war period, since average consumption of
electric energy per customer will be reduced and additional new
installations will be made. As in the case of the railroads, the decline
in productivity will probably be of brief duration. In the longer
run, there will doubtless be continued advance in man-hour output.
The indications are that the electric utilities are planning moderate
increases in capital expenditures over the prewar averages, and con­
tinued improvement of operating efficiency may be anticipated. It
is possible, however, thatfproductivity will not continue to advance
at the rapid pace shown before the war. Ultimately, the rate of
increase in average requirements per industrial user may taper off
and there may be some retardation of the growth of average consump­
tion of electricity for domestic use as well. Should this occur, it is
probable that the rise in man-hour output will be more moderate
than during the thirties.
AGRICULTURE

The long-term rise in productive efficiency in agriculture has been
more moderate than in the other industry divisions considered.

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PRODUCTIVITY CHANGES SINCE 193 9

913

Satisfactory information cannot be compiled on output per man-hour
since data are not available on average hours per worker. An index
of output per worker (including proprietors) is, however, available
from 1909. This index shows fairly wide fluctuations from year to
year. The relationship between production and labor input depends,
in part, on weather conditions. Moreover, the tendency of workers
to turn to agriculture in times of depression and to enter into nonagricultural employment in times of prosperity also makes for short-term
fluctuations in output per worker. Nevertheless, there has clearly
been an upward trend in productive efficiency. Between 1919 and
1939, output per worker rose about 25 percent (table 1). The major
influences tending to raise productivity have been mechanization,
particularly the adoption of the tractor, and improvement of farm
practices, for example, the development of improved plant varieties,
pest control, and the use of improved breeding and feeding practices
for livestock.
Output per worker rose 25 percent between 1939 and 1944 and
declined only slightly between 1944 and 1945. This advance is due in
part to favorable weather conditions and also to an increase in
average hours per worker. However, the large wartime rise in output
per worker also suggests the extent of “ hidden unemployment” in
agriculture in the prewar period. It is worthy of note that the war­
time advance in productivity was achieved despite the restrictions on
the production of new farm equipment. Expenditures on equipment
during the period July 1940-December 1943 were approximately the
same as during January 1937-June 1940.
It is probable that there will be a considerable amount of mechaniza­
tion of farming operations. During the war, farm income was at
a high level and production of agricultural machinery, restricted
because of shortages of materials, was far below the demand for such
equipment. Equipment purchases will now be made at an increased
rate, and many new types of machines will probably be introduced.
An improved cotton picker has been developed which is said to be
applicable in the major cotton-growing regions. This picker, or
other models, may be adopted on a substantial scale in the years to
come. Machines for thinning and harvesting sugar beets, another
labor-consuming crop, may also find wide use. A variety of other
machines will probably be used to a greater extent, among them
improved corn pickers and hay balers. A number of new farm
machines specially adapted to the needs of small farms have recentty
been announced. Continued progress may be expected in the develop­
ment of superior plant varieties, improved methods of pest control,
greater control of erosion, and better breeding practices. Thus,
the upward trend of productivity will doubtless continue.

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

If jobs outside of agriculture are abundant, the number of persons
engaged in agriculture will be lower than before the war and high
productivity levels will be favored. Moreover, if there is reasonably
high employment and if farm wages are high, mechanization will be
extended rapidly; if agricultural labor should become available at low
wages, the rate of investment in new equipment would be smaller.
Unit Labor Cost, 1939 to 1945

Output per man-hour, together with average hourly earnings,
determines the wage payments made per unit of output, or unit labor
cost. Unit labor cost may be derived as the ratio between the total
wage bill and total physical output; or it may be derived as the
ratio between wages paid per man-hour (average hourly earnings) and
output per man-hour. Thus, unit labor cost varies directly with
average hourly earnings and inversely with output per man-hour.
If output per man-hour is advancing, unit labor cost will decline unless
there are increases in average hourly earnings larger than the gains
in output per man-hour. Conversely, if average hourly earnings
increase, unit labor cost will also rise unless the increase in average
hourly earnings is overbalanced by gains in output per man-hour.
Unit labor cost does not show the proportion of the total value
produced which is distributed as wages. Moreover, for any industry,
it shows changes in only one cost factor—labor. To analyze changes
in total production costs, it is necessary to have information on changes
in materials costs and in overhead costs, as well as in labor costs. The
importance of labor cost on the entire cost structure varies from in­
dustry to industry, depending on the proportion of labor cost to total
cost. In 1939, for example, wages made up only 5 percent of the
total value of products for petroleum refining but 36 percent for fullfashioned hosiery. It is obvious that any specified change in unit
labor cost would have a much less significant effect on total costs in
petroleum refining than in hosiery. Of course, it must also be recog­
nized that a change in unit labor cost for one industry (for example,
coal mining) may result in changes in the cost of materials for other
industries (for example, steel and electric utilities).
Table 4 shows indexes of unit labor cost for those manufacturing
and nonmanufacturing industries for which data are available. In
most of the 32 manufacturing industries, unit labor cost increased
from 1940 through 1944. There were substantial increases in wage
rates and a general lengthening of the workweek to 48 hours, with
premium payment for the hours over 40. A reversal of trend is ap­
parent in 1945, for in that year unit labor cost declined in 11 industries,
despite higher wage levels in all the industries. Since there was sub
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PRODUCTIVITY CHANGES SINCE 193 9

915

stantial variation among different industries in the extent of changes
in both average hourly earnings and output per man-hour, there is a
wide dispersion in the changes in unit labor cost between 1939 and
1945. In two industries, unit labor cost in 1945 was below the 1939
level. In others, the increase in unit labor cost from 1939 to 1945
ranged up to 80 percent.
In the mining industries, the wartime increases in unit labor cost
were generally smaller than in manufacturing. While average hourly
earnings were substantially higher than in 1939, man-hour output
was also greater. In iron mining, unit labor cost in 1945 was only
18 percent greater than in 1939; in coal mining and copper mining,
wage payments per unit of output rose approximately one-third
over the same period. The largest wartime increase in unit labor
cost is shown for lead-and-zinc mining—67 percent from 1939 to
1945—where there was no gain in productivity.
In both railroad transportation and electric light and power there
were large gains in output per man-hour and smaller increases in
average hourly earnings than occurred in most manufacturing indus­
tries. As a result, unit labor cost declined in both industries. In
railroad transportation, unit labor cost fell 17 percent from 1939 to
1943. Reduced productivity and increased hourly earnings resulted
in some rise thereafter, but unit labor cost in 1945 remained 5 percent
below the 1939 level. The decline in unit labor cost was even more
marked for electric power. In 1945, wage payments made per kilo­
watt-hour of electric energy distributed were 28 percent lower than in
1939.
It is to be emphasized that the significance of unit labor cost change
cannot be judged without references to other economic changes.
One important comparison is that between unit labor cost (the amount
paid for labor per unit of product) and prices (the amount received per
unit of product). In the limited number of industries where data are
available, there is no evidence to suggest that increases in unit labor
cost overbalanced price adjustments in the war period, a conclusion
buttressed by the substantial profits reported by all branches of
industry.
It is obvious that changes in unit labor cost, as in other cost factors,
have an influence on prices. However, it is important to recognize
that changes in price levels do not always originate in response to
changes in costs. The impetus for price changes may arise in other
economic conditions, particularly changes in supply-demand relations.
Moreover, the relationship between unit labor cost and prices is a
reciprocal one. Increases in unit labor cost may result in increases
in prices. But increases in prices, through their effect on the cost of
living, may result in higher wage rates and increases in unit labor cost,

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MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6
T able 4. — Indexes of Unit Labor Cost in Selected Industries1
[1939=100]

Unit labor cost
Industry
1940

1941

1942

1943

1944

Beet-sugar refining___________ _ ____„___________
Boots and shoes__ ___ __________________________
Bread and other bakery products______________ ____
Cane-sugar refining______________ . . . . _____ ____
Canned and preserved fruits and vegetables_________
Canned and cured fish_______________ .
________
Cement____________ ____________ - . . . . . . . . . .
Clay-construction products___ _______ ____________

101.9
98.2
98.2
97.6
81.0
■99.4
90.8

117.4
102.6
102,9
92.9
105.8
93.0
98.4
94.3

144.3
119.9
110.6
141.4
115.7
134.1
104.8
111.7

190.2
130.8
114.0
139.6
137.9
146.1
130.3
147.8

183.5
146.9
122.9
137.4
147.8
154.6
152.0
151.0

181.7
150.8
114.4
146.7
150.8
156.6
146.9
149.9

Condensed and evaporated m ilk___________________
C on fectio n ery___. . . .
_
. . ________ _____
Cotton goods___________________________ ______ _
Fertilizers________________________ ____________ .
Flour and other grain m ill products________________
Glass products._________ ____ ____________________
Hosiery____ ___________________________________
Ice cream_____________ ________________ . _______
Leather____ ____ _ . ____________ ______________
Lumber and timber products—Sawmills. ______ . . .
M alt liquors______ _________________ _____ ______

90.9
96.1
103.3
95.7
101.4
103.7
95.7
96.3
101.3
94.9
104.4

89.9
101.1
116.2
105.4
106.4
106.1
96.7
84.7
101.8
no. 3
103.6

110.4
117.2
135.8
132.1
126.8
114.3
102.7
79.5
110.2
137. 6
110.2

130.7
127.4
150.5
150.8
156.9
115.9
109.0
91.6
123.9
162. 7
124.3

134.2
127.8
161.1
159. 5.
166.2
123.3
112.4
92.0
127.8
175.1
130.6

131.8
135.4
174.4
160.8
160.3
112.1
112.5
95.1
132.0

Newspaper and periodical printing and publishing___
Nonferrous metals—Primary smelters and refineries...
Paints and varnishes_____________________________
Paper and pulp. _ _ .
_ _______________________
Petroleum refining.. _______________________ ______
Rayon and allied products______________ . ______
Slaughtering and meat packing___ ________ _______
Cigars.. . _________________
________________
Cigarettes______________________________ _______
Chewing and smoking tobacco and snuff__________ _
Woolen and worsted goods_______ ______ _________

98.6
95.3
103.2
99.4
97.8
92.2
98.1
103.4
105.2
100.6

98.5
111.5
97.3
106.2
99.7
89.2
107.8
108.4
103. 5
102.0

103. 6
127.4
111.5
124.8
116.1
90.1
123.3
118.2
111.7
121.4
141.7

112.3
143.3
117.5
143.4
134.2
100.5
131.9
135.9
113.1
137.6
146. 5

135.9
151.4
117.2
152.1
138.3
99.7
132.7
139.3
117.8
151.7
140. 5

140.4
155.9
115.5
152.9
143.7
97.2
126.4
133.0
119.3
160.0
144.3

96.7
98.4
85.3
101.5
109.1

107.5
100.1
95.7
114.1
119.2

114.8
110.9
109.1
128.2
151.2

126.4
120.7
127.0
141.9
172.7

131.7
123.4
118.9
133.7
167.2

132.3
134.5
118.0
134.3
166.6

95.4
93.7

90.8
85.9

82.8
78.1

83.1
65.9

88.6

9 5 .2

66.1

71.6

1945

Manufacturing

136.5

Nonmanufacturing
Mining:
Bituminous coal________________________ ______
Anthracite______________________ _________
Iron ore________ _______ _____ _
Copper—Recoverable metal_____________ _____
Lead and zinc—Recoverable metal_____________
Steam railroad transportation:
Revenue traffic______________ _____________
Electric light and power___ ____ ______________ ____
1 Fee f o o tn o te s to ta b le s 2 a n d 3.

Significance of Productivity Changes

Substantial increases in man-hour output will probably occur
throughout industry during the coming years. This process of
gradual improvement of productive efficiency will, as in the past,
have repercussions on the entire economy. If unemployment is
avoided, it will be possible to produce greater quantities of goods and
services than ever before and to raise living standards substantially.
Output per man-hour, together with average hourly earnings,
determines unit labor cost—the wage payments made per unit of
output. If average hourly earnings remain unchanged, unit labor
cost is reduced as productivity is increased, and prices can be reduced
without any decline in profits. Where there is competition, it is
likely that savings in labor cost made possible by productivity

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PRODUCTIVITY CHANGES SINCE 1 9 3 9

increases will be reflected, in lower prices, which benefit all cpnstimers.
If effective competition does not exist, however, and if average hourly
earnings are not increased, the result of gains in pioductivity may
be an increase in profits.
’ '"
Workers benefit through price declines, together with all other con­
sumers. A more direct way in which workers share the benefits of
productivity gams is by means of wage increases. As output per
man-hour increases, average hourly earnings may also inciease withr
out any increase in unit labor cost and without any upward pressure
bn prices or any reduction in profits. In 1939, unit labor cost in
manufacturing industries was 44 percent lower than in 1919 and whole­
sale prices of manufactured goods, 38 percent lower. Average hourly
earnings, on the other hand, were 28 percent higher. The basis for
the wage increases and the declines in unit labor cost and prices was
the large rise in output per man-hour.
The gains in living standards made possible by productivity ad­
vance will be realized only if employment is maintained. Assuming
that average weekly hours remain unchanged, this means that pro*
duction and demand must increase year after year at a rate sufficiently
great to accommodate both the increase in the size of the labor force
and. the rise in productivity. It is sometimes argued that advancing
productivity in itself will make it more difficult to achieve the desired
volume of demand. Much depends, however, on the types of produc­
tivity changes and on the adjustments to those changes. If inflation
can be avoided during the coming period, the economy should be in a
relatively favorable position to absorb substantial productivity ad­
vances. The backlog of savings, the demand for consumer! durable
goods, and accumulated needs for equipment are important current
factors. The challenge may be whether the economy can adjust
itself to increasing productivity, without suffering unemployment,
once war-accumulated demands are exhausted. If we are successful
in solving the problem of employment, advance in productive effi­
ciency can provide the basis for steady improvements in the level of
living.


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,

> .i

;i

The Physically Impaired Worker in Industry1
THROUGHOUT the United States, during the week of October 6,
1946, press and radio carried stories certifying to the successful utili­
zation of physically impaired workers in industrial occupations. The
fact that it was found desirable to resort to this national drive by
means of an “Employ the Physically Handicapped Week” was strong
indication that, in spite of known labor shortages, persons with serious
physical impairments were finding it difficult to obtain employment.
Before the war, many industrial establishments refused employment
to impaired workers. By means of preemployment physical examina­
tions, the “undesirables” were weeded out. For various reasons, a
large portion of industrial management insisted on hiring only the
physically sound.
During the stringent wartime manpower shortage, many of these
exclusion policies were relaxed, and workers who under ordinary con­
ditions would have been refused employment were given jobs. In
some plants these workers staffed entire assembly lines. As subsequent
events proved, however, their employment was frequently regarded
as an emergency measure at a time when industry was scraping the
bottom of the manpower barrel. When the emergency was over, the
need for their service disappeared. Either their jobs vanished during
reconversion or they were replaced by able-bodied workers. Even in
plants which had no specific exclusion policies, they were among the
first to be fired because they had been among the last to be hired.
A considerable number of establishments that employed impaired
persons before the war found them to be good workers—provided they
were so placed that their impairments were not handicaps. Many
establishments that had refused to employ such workers before the
war satisfied themselves during the war that this technique resulted
in acceptable and frequently superior performances. But many others
reverted to their earlier practices. Still others did not relax their
hiring policies even during the war.
How M any Impaired Workers

?

How many seriously impaired workers are there? No one knows.
The figures used publicly vary all the way from 5 million to 28 million.
It is of interest, however, that as of August 31, 1946, the U. S.
Employment Service had on hand a backlog of 215,331 applications
from disabled veterans whom it had not yet placed in industrial em­
ployment. At the rate at which these veterans had been placed be­
tween April and August of 1946-—about 11,000 per month—it would
take nearly 20 months to place this backlog. Between September
1 Prepared by Max D . Kossoris and Henry S. Hammond of the Bureau’s Industrial Hazards Division.

918

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919

1945 and March 1946, placements averaged only between 7,000 and
8.000 per month.
About 100,000 impaired veterans of World War I are now receiving
rehabilitation under the GI Bill of Rights. A similar number of
nonveterans are being supplied with vocational rehabilitation training.
The total number of veterans with serious impairments is considerably
in excess of 100,000, and, by general admission, the 100,000 non­
veterans receiving rehabilitation training is only a small fraction of
the number requiring rehabilitation. Many seriously impaired per­
sons, however, do not require retraining, let alone rehabilitation.
In the light of available estimates of the number of persons with
serious physical impairments—totaling about 16 million or more—an
estimate of about 5 to 7 million impaired workers who could be placed
in industrial occupations does not appear unreasonable. This ex­
cludes the old and the young, as well as persons who would not nor­
mally be available for the labor market. But again, we do not know
how many are now employed and how many more could be employed.
A large segment of industry does not want to employ the physically
impaired, and frequently cites these reasons for its position: The
impaired are less efficient than the able-bodied; it is more difficult to
transfer them from one job to another; they are more likely to lose
time because of illness; they are more difficult to place satisfactorily;
they are more likely to be h u rt; their employment involves hazards to
their fellow employees; they increase the cost of workmen’s com­
pensation.
Inquiry as*to Performance
To what extent is industry justified in discriminating against the
impaired worker?
At the request of the Veterans Administration, the Bureau of Labor
Statistics undertook to appraise the work performances of about
10.000 seriously impaired workers. Capitalizing the fact that
impaired persons had found employment during the war period as
never before and that marly of them were still at work, the Bureau
studied the performance records of these workers in manufacturing
industries.
A committee of industrial physicians assisted in defining 10 specific
types of physical impairments which were regarded to be so severe that
they would raise serious difficulties for those seeking employment.
Included were orthopedic impairments, such as the loss or severe
limitation of use of an arm, leg, hand, or foot; partial or complete
blindness; partial or complete deafness; severe deformity of the spine;
arrested tuberculosis; compensated cardiacs; peptic ulcers; and
epilepsy. An advisory committee (which, in addition to the industrial
physicians, included members of industry and of labor organizations,

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MONTHLY LABOR REVIEW— DECEMBER 194 6

placement counselors, and other persons deeply interested in the
problem) went over the proposed program carefully and assisted in the
development of the scope, purpose, and methodology of the survey.
The theory basic to the survey may be summarized briefly as fol­
lows: To justify his employment per se, in competition with “normal”
workers, the impaired worker must demonstrate that he can hold his
own. As a matter of intelligent placement policy, a worker should be
placed on the basis of his capacity and ability, and these should be
adequate to meet the requirements of the job he is to fill. If a job
requires the use of two good arms and not the use of legs—or the use
of only one leg—then the fact that the worker has only one leg is
immaterial. In other words, his impairment would not be a disadvan­
tage to him in competition with other workers.
Proof as to whether or not impaired workers, intelligently placed,
were efficient, were absent no more than others, and were no greater
accident risks, was to be supplied by industry’s own records. All
findings were to be based on objective measurements, which in turn
were to be based on data taken from production records, attendance
records, injury records, and turn-over records. Subjective reactions,
opinions, and testimonials were to be taken into account, but would
not be permitted to influence the statistical measurements. The
record should speak for itself.
To rule out as many variables as possible, each impaired worker
selected from the medical records as falling within one of the defined
groups of impairments was matched against 2, sometimes 3, unim­
paired workers of about the same age, sex, and work experience, on
the same shift, and performing the same job in the same department
of the plant. Thus, the only basic difference between the impaired
worker and his unimpaired coworkers against whom he was matched
would be the factor of impairment. The ultimate measurements, of
course, would have to be evaluated in the light of the placement
practices and the work environment of each plant studied.
Preliminary Findings

Work performance.—By August 1, the performances of about 4,000
impaired workers and 6,500 unimpaired workers had been surveyed,
m 47 plants engaged in a wide variety of industrial activities. While
the number falling into any one impairment group was not large
enough to offer adequate data for that group, the experience of the
entire group of over 10,000 workers permits a fairly reasonable evalua­
tion of some of the employer opinions cited earlier.
As a group, the impaired were 2 percent more productive than the
unimpaired. This does not mean, of course, that every impaired
worker is a good worker; but neither is every unimpaired worker a
good worker. On the average, the impaired workers held their own.

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PHYSICALLY IMPAIRED WORKER IN INDUSTRY

921

An analysis of the detailed data showed that 34 percent of the im­
paired were better than the unimpaired in the corresponding control
group, 36 percent were as good, and 29 percent were poorer workers.
Thus, 70 percent were as good or better.
Absenteeism rates of the two groups were identical. Each lost 3.8
percent of scheduled working hours. Nor did the Bureau find any
significant differences among the types of absenteeism. The rates, by
reasons of absence (illness, personal business, tiansportation diffi­
culties, etc.), did not vary between the two groups by more than
two-tenths of 1 percent. Although the data were not adequate at this
stage to permit conclusions as to any one type of impairment, it was
surprising to find that neither cardiac nor extubercular workers had
lost any more time from work than had their fellow workers with
whom they were matched.
Injury experience.—One of the most serious objections to the em­
ployment of impaired workers is that they are greater accident risks
than are the unimpaired. This objection takes three forms: (1) the
impaired worker is more likely to be injured, (2) he is a menace to
others, and (3) if he is injured, the workmen’s compensation cost is
greater because the injury is superimposed on an existing disability
or can aggravate the existing disability.
To obtain as comprehensive a comparison as possible, both dis­
abling and nondisabling injuries were studied. In first-aid injuries per
million hours worked, 1,228 were reported for impaired workers, as
against 1,206 for the unimpaired—a difference of 22 in slightly over
I, 200 injuries. But the amazing finding was that, in disabling injuries
per million employee-hours, the impaired averaged only 8.3 as against
II. 8 for the unimpaired. In other words, the accident record of the
so-called “normal group,” doing exactly the same work, and exposed
to the identical work hazards, was about 40 percent worse. One
obvious explanation for this finding is that, having a serious disability,
the impaired workers are more careful not to get hurt again. The
comment of one plant manager is worth quoting: “Take a look at my
shop. The impaired workers aren’t engaged in horseplay and chasing
one another with air hoses. I t’s the unimpaired guys who do that sort
of stuff and end up in the dispensary.”
In none of the 47 plants studied did the Bureau find a single instance
in which the existing impairment was a causal factor in an injury to
the impaired worker, or in which an injury, when added to the existing
impairment, resulted in permanent total disability. Nor was a single
instance found in which an impairment was a causal factor in the work
injury of an unimpaired worker. As to the question whether the
injury aggravated the existing disability so as to result in higher work­
men’s compensation costs, the available data on injury cost were not
tabulated. (They will be when the entire survey has been completed.)

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922

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

The data revealed, however, that there was very little difference in
average time lost per injury between the two groups.
Medical examinations— All the 47 plants studied used medical
examinations for their employees. As a matter of fact, plants which
had no such examinations could not be studied because of the obvious
difficulty of ascertaining the type and severity of impairments. But
the character of the examinations varied widely, from the cursory type
to the very exhaustive type including X-rays and a variety of
laboratory tests.
Very significant is the fact that several hundred other plants which
had impaired employees could not be surveyed because they had no
medical records and did not use medical examinations as part of their
employment practices. It is not necessary, of course, that each plant
have a medical department. That is plainly impracticable for small
and for many medium-sized plants. But the fact that they lack
medical records raises the questions of how such plants may be aware
of an applicant’s impairment if it is not readily apparent, and how
such applicants can be placed at jobs in which their impairments will
not be handicaps. As far as it had gone, the survey indicated that
the plants with inadequate medical examinations and without ade­
quate placement methods and job-requirement analyses—these
characteristics frequently went together—did not fare as well as the
other plants in the utilization of the impaired workers.
Exclusion rules.—Among the 47 plants surveyed, exclusion rules
varied widely. Only three plants had no rules of this kind. At the
other extreme, one plant refused employment to persons with epileptic,
diabetic, ex-tubercular, cardiac, hernia, and vision disabilities. The
other 43 plants had exclusion rules somewhere between these ex­
tremes but they had them. Such rules, of course, applied only to
new applicants. Consequently the impairments which would have
barred new applicants frequently were found among the plant’s own
employees; but in these cases the disabilities had developed subse­
quent to the workers’ entering into service in the plant.
It was found, too, that the exclusion rules were not always strictly
observed. Conversely, however, instances were found in which
applicants weie barred from employment even though there were no
specific rules for their exclusion.
A considerable number of plants had tightened their exclusion rules
since VJ-day, and at the time of the survey were unwilling to accept
some of the impairment types which they had accepted during the
war. As a result, some plants which had used impaired workers in
sizable numbers during the war had very few such workers on their
pay rolls at the time of the survey. In certain instances, of course,
this was the result of a reduction in force, the impaired workers
having been laid off first because they were the last to be hired. But

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PHYSICALLY IMPAIRED WORKER IN INDUSTRY

923

in many plants the reduction was the direct result of tighter exclusion
rules. The emergency was over.
Placement practices.—The survey disclosed great variations in
placement practices. Matching the man to the job is far from general
in industry. Only a few of the plants surveyed made use of compre­
hensive analyses of jobs and job requirements, not only as related to
impaired workers, but as a tool toward the adequate placement of all
workers. Some plants left decisions concerning the placement en­
tirely up to the foreman. If the impaired worker made out satis­
factorily, that was fine; if not, he was shifted to another job or was
discharged. Between these extremes, placement practices varied
widely. One of the more dramatic instances involved a man who
handled steel drums with hooks attached to two artificial arms—and
did a good job.
It is important also to note that in the plants surveyed, which
obviously were more sympathetic to the employment of impaired
workers and were satisfied that they were desirable employees, the
impaired workers constituted only about 5 percent of the total force.
There is no reason to believe that, for industry generally, the percent­
age would be that high.
Specialists in rehabilitation and retraining believe that if the im­
paired are to be utilized on the basis of what they can do—and can
do well enough to hold their own in the competition for jobs—industry
must be convinced that it is good business to employ them. It is
not enough, they believe, to give the impaired workers jobs which
they can perform, if they cannot do them well. Nor does it seem
desirable to them to reserve for these workers the jobs of watchmen,
janitors, or elevator operators. Few of the impaired workers, particu­
larly the veterans, want charity. They want to find their places as
useful and respected members of the community. Whether they are
afforded that opportunity depends on whether industry will accept
the policy of hiring them for what they can do well in place of rejecting
them because of what they cannot do.


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Veterans Return to the Nation’s Factories1
THIS study is primarily concerned with veterans in manufacturing
industries. It is an attempt to answer questions such as these:
Which industries employ most of the veterans? Do veterans shift
about from industry to industry, quitting job after job? What is the
attitude of employers in the matter of discharging or laying off
veterans, whether newly hired or reinstated on preservice jobs?
Monthly repoits on the job experience of veterans in manufacturing
covering hires, lay-offs, and quits, submitted to the Bureau of Labor
Statistics by some 6,500 employers, employing moie than 3% million
workers, form the basis of the present analysis.
Which Industries Employ M ost Veterans

?

The trend in employment of veterans of World War II in manu­
facturing industries between December 1945 and July 1946 was
characterized by continuous gains. Despite the temporary declines
during this period in general factory employment owing to shortages
of materials, major labor disputes in basic industries, and seasonal
factors, veteran employment doubled over the period, rising from 1.2
million in December to 2.6 million in July. (See table 1.)
The increasing importance of relumed veterans in the industrial life
of the Nation is demonstrated in the manufacturing industries by the
changing ratio of veterans lo all employees. In December 1945,
veterans were 9.3 percent of all factory employees but in July they
constituted 18.4 percent. Veterans comprised 10.4 percent of all
employees in the durable-goods industries and 8.2 percent in the non­
durable groups in December. The comparable percentages in July
1946 were 21.8 and 14.6. (See table 2.)
Veterans constituted fewer than 15 percent of all employees in
December 1945 in all the 19 major groups shown in table 2. However,
in July 1946, at least 17 percent of the employees in 14 of the major
groups were veterans, and in 10 of these groups the proportion was
above 20 percent. Only in the 4 low-wage industry groups, which
traditionally employed large numbers of women, was the proportion
of veterans to all employees consistently low (apparel, tobacco, tex­
tiles, and leather). However, less than 10 percent of all veterans in
manufacturing were engaged in these industrial groups.
Although veteran employment continued to increase from December
1945 through July 1946, the distribution of veterans in the two large
component divisions of manufacturing remained substantially the
same. Fiom 51 to 59 percent of the veterans were employed in the
1 Prepared in the Employment Statistics Division by Ella Joan Polinsky under the direction of Clara
F. Schloss.

924

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925

VETERANS RETURN TO NATION’S FACTORIES

durable-goods industries over 1he period. However, this apparent
stability should not obscure the moderate but steady tendency for
veterans to shift from employment in the nondurable-goods industries
into the durable-goods groups.
T able 1 .— Percentage Distribution of Veterans in Manufacturing Industries by Major

Industry Group, December 1945—July 1946 1
Percentage distribution of veterans
Industry group

Dec.
1945

Jan.
1946

Feb. Mar. Apr. M ay June
1946 1946 1946 1946 1946

July
1946

Estimated number of veterans (in thousands)--------- 1,216 1,497 1,632 1,952 2, 210 2,385 2,462

2,611

All manufacturing, total-------------------------------- 100.0 100.0 100.0 100.0 100.0 100.0 100.0
Durable goods.
____ - - - ------------- 53.8 55.4 51.3 55.1 57.6 59.2 58.9
Nondurable goods---------------------------------------- 46.2 44.6 48.7 44.9 42.4 40.8 41.1

100.0
59.1
40.9

Durable goods
Iron and steel and their products------- --------- ----- 2 14.5
Electrical machinery------------------------------------- 4.9
10.7
Machinery, except electrical.---------- --------- ------ Transportation equipment, except automobiles------ 5.5
5.0
Automobiles------ ------ -------------- ----------------N or ferrous metals and their products-------------- 3.2
Lumber and timber basic products------- . --------------- 3.7
Furniture and finished lumber products------- --------- 3.2
3.1
Stone, clay, and glass products-----------------------------

13.8
4.9
11.4
5.3
5.9
3.4
3.9
3.4
3.4

10.1
3.8
10.8
5.3
6.0
3.1
4.3
3.8
4.1

14.6
3.8
10.7
5.1
6. 2
3.2
4.1
3.6
3.8

14.5
4. 5
10.9
5. 3
7. 9
3.2
4.2
3.4
3.7

14.4
4.9
n .i
b. 1
9. 3
3.3
4.1
3.3
3. 7

14.4
5.1
11.4
5. 3
8. 2
3.3
4.1
3.3
3.8

14.3
6.0
11.3
5. 2
8. 9
3.3
4.1
3. 3
3. 7

5.8
1.6
2.0
11.3
.3
3.8
6.6
2.2
2.5
4.5
4.0

6.6
2.1
2.1
12.2
.3
4. 5
6.9
2.2
2. 7
4.8
4.3

6.2
6.0
2.0
1.7
1.8
1.9
9.8
10.7
.3 • .3
3.9
4.1
6. 4
6.0
2.1
2.0
2. 5
2. 4
4. 5
4.7
4. 0
4.0

5.8
1.6
1. 8
9.3
.3
3.7

5.8
1. 6
1. 8
9.2
.3
3. 7
5.8
2. 0
2. 3
4. 5
4.1

5.6
1. 7
1. 7
9.8
.3
3. 6
5. 6
2. 0
2. 2
4. 4
4. 0

Nondurable goods
Textile-mill products and other fiber manufactures.. 5.7
1.9
Apparel and other finished textile products------ . . .
2.0
Leather and leather products. ----------------------------Food
..
--- ----- --------— ------ ---------------------- 12.2
.3
Tobacco manufactures
-----------------------------------Paper and allied products------------------------------------- 4.0
6.8
Chemicals and allied products------------------- --------- Products of petroleum and coal----------------------------- 2.3
Rubber products..
------------------------------------------ 2.5
Printing, publishing, and allied industries-------------- 4.5
4.0
Miscellaneous industries--------------------------------------

6. /

2.0
2.3
4.4
3. 9

1 Based on data collected monthly from some 6,500 reporters employing approximately 3.5 million workers.
2 Includes some ordnance in December only.

Closer inspection of the component industry groups shows that
some important shifts occurred, although the distribution of veterans
remained fairly constant over the 8-month period. In December
1945—when a little over 1 million veterans were employed in manu­
facturing as a whole—only 5 percent were employed in the automobile
industry. By July—when veteran employment in manufacturing rose
to 2.6 million—about 9 percent of the total were working in automobile
plants. Also, proportionately fewer veterans were employed in the
highly seasonal food industries and in the chemical groups in the last
4 months of the period studied than iu the first 4 months.
Except in February when the industry was strike-bound, the iron
and steel group ranked as the largest industrial employer of veterans
over the entire period from December 1945 to July 1946. Although
the proportion of veterans to all employees in iron and steel doubled
over the period, the percentage of veterans employed in this group
722250— 46------ 6


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926

M ONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

remained fairly stable in respect to the estimated number of veterans
in all manufacturing (around 14 percent).
In large measure, employment opportunities for veterans were
better in those industries in which average weekly earnings exceeded
$40. About half of the veterans in manufacturing were employed
in 8 major industry groups in which weekly earnings averaged $45
or better over the entire 8-month period (iron and steel, machinery
except electrical, transportation equipment, automobiles, nonferrous
metals, petroleum products, rubber products, and printing and
publishing). In December, only about 2 percent of all veterans were
employed in industry groups in which earnings averaged over $50 a
week (petroleum and coal products), but in July 1946, over a third of
all veterans on factory pay rolls were in such industry groups.2
T able 2. — Veterans as Percent of A ll Factory Employees, December 1945-July 1946 1
Percent veterans of all employees
Industry group

All manufacturing___ _ _____ ___
Durable goods__________________ .
Nondurable goods.. ________

Dec. Jan.
19452 1946

Feb. Mar. Apr. M ay June July
1946 1946 1946 1946 1946 1946

9.3
10.4
8.2

11.3
12.9
9.7

13.0
14.9
11.3

14.8
17.4
12.3

16.0
19.0
13.0

17.1
20.4
13.5

17.4
20.7
13.9

18.4
21.8
14.6

11.6
9.0
10.9
9.4
12.5
9.7
8.2
9.5
10.0

13.4
11.3
13.7
11.7
16.7
12.7
10.3
12.0
12.9

15.0
13.2
15.7
14.1
18.3
14.5
12.2
14.6
15.9

18.9
14.8
17.8
16.6
21.2
16.7
13.3
16.2
17.2

20.3
16.9
19.3
18.5
22.5
18.0
14.9
17.3
18.6

22.0
17.8
20.6
19.6
26.1
19.2
15.4
18.1
19.8

22.2
18.8
21.3
21.4
24.6
19.3
15.4
18.2
20.5

22.9
19.5
22.1
22.8
27.0
20.2
15.9
19.2
21.2

5.7
2.2
6.6
10.2
3.5
11.8
13.1
14.4
12.2
10.2

7.1
2.2
8.0
11.8
4.4
13.9
15.7
16.6
14.6
12.2

8.6
3.0
8.9
13.8
5.9
17.4
17.7
18.5
16.6
13.9

9.5
3.4
9.6
14.6
6.5
18.6
19.6
19.9
17.9
15.4

10.3
3.3
10.1
15.2
6.3
19.8
20.5
21.4
19.3
16.9

10.8
3.4
10.7
15.7
7.1
20.2
21.7
22.3
19.9
17.8

11.0
3.4
10.9
16.0
7.3
20.9
22.6
23.1
20.6
18.8

11.4
4.0
11.2
17.1
7 3
21 8
23.5
24.1
21.2
19.2

Durable goods
Iron and steel and their p r o d u c ts.___ _
Electrical machinery. ___________ _
Machinery, except elect v eal______
Transportation equipment, except automobiles_____
Automobiles_______________
Nonferrous metals and their products _
Lumber and timber basic products
Furniture and finished lumber products
Stone, clay, and glass p ro d u cts________
Nondurable goods
Textile-mill products and other fiber manufactures.
Apparel and other finished textile products
Leather and leather products.. .
F ood .. _______ _
Tobacco manufactures. .
Paper and allied products.. ____
Chemicals and allied products
Products of petroleum and coal _
Rubber products____
Miscellaneous in d ustries____

' Based on data collected monthly from some 6,500 reporters employing approximately 3.5 million workers.
2 Veterans also comprised 9.6 percent of all employees in ordnance.

A considerable number of veterans were also employed in six indus­
try groups having average weekly earnings of less than $40 throughout
the period (lumber, furniture, textiles, apparel, leather, and tobacco).
About 17 percent of all veterans in manufacturing were so employed
in December 1945. By July 1946, despite the doubling of veteran
employment in these groups, the ratio to all veterans employed re­
mained unchanged (under 17 percent). Average weekly earnings
increased even in these low-wage industries over the*period studied,
2As reports from cooperating firms utilized in this analysis do not give separate data on earnings of veterans
the published monthly series on average earnings and hours of all production workers in manufacturing
industries has been used as an indication of veterans’ earnings throughout this study.


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VETERANS RETURN TO NATION’S FACTORIES

927

generally accompanied by a drop in the hours worked. (See tables
1 and 2.)
A special tabulation for the month tof July shows veterans as a
percent of all employees in 64 manufacturing industries.3 Veterans
comprised 1 out of every 5 employees in 35 industries and 1 out of
every 6 employees in 15 additional industries. Average weekly earn­
ings in about half the industries for which veteran employment was
tabulated ranged from $46.01 (electrical equipment) to $57.02 (petro­
leum refining), and in these industries veterans accounted for more than
18 percent of all employees. (See table 6.)
Only in 10 industries which employed large numbers of women
were veterans less than 15 percent of all employees. Except in the
woolen and worsted industry and in rubber footwear (with veterans
more than 13 percent of all employees), average weekly earnings in
this group of industries followed the lower wage pattern characteristic
of industries in which women predominate.
Turn-Over Among Veterans

Over-all employment alone, is not a sufficiently sensitive guide to
gauge the reabsorption and readjustment of veterans to the industrial
life of the Nation. Turn-over must also be carefully scrutinized from
the standpoint of the special problems confronting veterans. The
two main components of turn-over—accessions and separations—are
analyzed separately to obtain a clearer picture of how veterans are
getting on in industry.
Veteran Hires
In the earlier months of the period December 1945-July 1946,
veterans formed a larger proportion of the accessions in manufactur­
ing—about 40 percent—owing chiefly to the acceleration of military
discharges at the end of 1945 and in the first quarter of 1946. From
May through July, veteran hires declined to a level closer to 30 per­
cent of all monthly accessions.
Throughout the period studied, veterans comprised a greater pro­
portion of all accessions in the durable than in the nondurable-goods
industries. From December through April they constituted at least
45 percent of all hires in the durable groups as compared with a range
of from 27 to 37 percent in the nondurable-goods groups. In May,
when hiring was curtailed as a result of the coal strike and freight
embargo, veteran accessions in the heavy goods industries still com­
prised 39 percent of all accessions as compared with only 23 percent
in the nonduri ble groups. (See table 3.)
s Included are 17 of the 19 industry groups in all manufacturing. Break-down by industry is not available
for tobacco and miscellaneous industries. The special tabulation is based on regular reports for July from
some 6,400 cooperating firms, employing about 3.9 million workers. Data on accessions and separations of
veterans by industry are compiled from the same reports. Comparable data are released m onthly for major
industry groups by the Bureau’s D ivision of Employment Statistics.


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928

MONTHLY LABOR REVIEW— DECEMBER 194 6

Veteran Separations

Total separation rates for veterans including quits, discharges, and
lay-offs were consistently higher than for nonveterans in the 8 months,
December 1945 through July 1946. Since quits represent at least
three-quarters of the separations of veterans during this period, and
higher quit rates are characteristic of new employees, the higher
veteran separation rates should not be overemphasized.
T able 3.— Veteran Accessions Compared With A ll Accessions in Manufacturina Indus­

tries, December 1945-July 1946 1
Percent veteran accessions of all accessions
Industry group

All manufacturing___
Durable goods____
Nondurable goods.

D ec.2 Jan.
1945 1946

Feb. Mar. Apr. M ay June July
1946 1946 1946 1946 1946 1946

42.1
47.0
37.1

41.5
47.7
34.4

39.8
46. 2
34.1

38.4
45.1
30.2

37.1
44.6
27.4

31.7
39.2
23.3

28.2
34.0
20.9

29.1
36.2
20.8

57.2
36.4
60.2
31.1
49.8
44.2
33.4
33.6
43.2

48.0
32.3
63.6
52.0
53.0
48.5
37.9
38.3
49.5

48.8
32.2
60.3
49.7
58.4
43.6
38.0
42.9
38.8

54.6
34.9
56.6
48.8
37.1
42.3
36.3
38. 1
37.5

45.9
41.5
49.0
45.4
52.3
41.1
31.5
37.4
41. 7

43.4
33.2
46.7
40.2
50.0
39.4
27.2
29.4
40.7

38.7
27.5
39.0
39.6
34.2
32.9
24.6
31.3
30.9

38.3
26. 7
42.0
41.8
42.0
35.6
27.2
31.8
30.0

27.7
14.9
29.2
33.5
16.5
51.3
68.3
76.6
53.7
51.6

27.7
9. 5
27.2
36.1
21.3
48.4
63.0
82.4
49.1
48.3

27.1
10.3
23.7
39.2
14.7
49.2
66.2
81.2
47.5
40. 1

23. 5
10. 1
21.6
32.6
10. 1
46.8
58.1
74.2
45.3
40.2

21.8
7.2
19.0
28.3
9.5
43.2
54.7
68.9
44. 1
42.1

18.6
5.4
15.9
23.5
10.7
40.3
49.8
69.8
41.4
36.0

16.6
5.2
11.2
21.1
7.8
31.0
43.7
62.5
38.4
31.1

15.1
6.3
11.6
19.7
7.2
32.9
45.1
65.7
41.0
30.7

Durable goods
Iron and steel and their products____________ .
Electrical machinery________________________
Machinery, except electrical.________________
Transportation equipment, except automobiles
Automobiles______________________________
Nonferrous metals and their products________ "
Lumber and timber basic products________
Furniture and finished lumber products_______
Stone, clay, and glass products_______________
Nondurable goods
T e x t ile -m ill p r o d u c ts a n d o th e r fib er m a n u fa ctu r e s
A p p a r e l a n d o th e r fin is h e d t e x tile p r o d u c ts_________
L e a th e r a n d le a th e r p r o d u c ts ____ .

Food________________________________: : :::: ::: :::
T o b a c c o m a n u fa c tu r e s ._____ ________________________[
P a p e r a n d a llie d p r o d u c ts________________
C h em ica ls a n d a llie d p r o d u c ts _________________
P r o d u c ts o f p e tr o le u m a n d c o a l________________
R u b b e r p r o d u c t s ____________________________________ ’
M is c e lla n e o u s in d u s t r ie s ___________________
--------------------1---------------vwv*,**

' ‘ U iu o u iu p o , o u u i o p u i t c i o c i j u j j i u y m g a p p iU A l l

Veterans also comprised 41.3 percent of accessions in ordnance in December.

Higher veteran quit rates reflect in part the problems and conflicts
peculiar to this group of employees. It would be unrealistic to expect
masses of men to make the transition from warfare to factory routines
without some degree of shifting from job to job. Also, it is not yet
known to what extent the introduction of up-to-date equipment and
improved production techniques during wartime were responsible foichanges in employment patterns in the postwar period. It must be
recognized, however, that with job simplification to speed production
and to conserve scarce labor in a war economy, the content and re­
quirements of some jobs had undergone substantial alteration. Vet­
erans reinstated in preservice jobs in durable-goods industries, in
which such changes were greatest, were confronted with different and
generally less skilled jobs.
.
Other factors influencing job shifts by veterans include their desire
to employ various new skills and aptitudes developed during their

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V ETERA N S R E TU R N TO N A T IO N ’S FACTORIES

929

war service, and conversely, for some veterans, the discovery that the
years of prolonged military service had impaired their peacetime skills.
Special adjustment problems were posed by the younger veterans who
had either never held jobs prior to military induction, or were drafted
from first jobs in war plants where they had little opportunity to
acquire useful peacetime skills.
On the other hand, the lower involuntary separation rates for vet­
erans than for non veterans may be attributed in large measure to such
factors as the legal job rights of veterans, and the reluctance of in­
dustry to discharge or lay off former members of the armed forces.
The provision of the amended Selective Training and Service Act
of 1940, that veterans reinstated under the act may not be discharged
from their jobs for a period of 1 year after restoration, gives veterans
as a group greater job security for that period, at least, than that
possessed by nonveterans.
Do Veterans Quit Job After Job

?

Over the period December 1945-July 1946, proportionately more
veterans than nonveterans quit jobs in manufacturing industries.
The quit rates of veterans were consistently higher than for nonvet­
erans, and ranged from 54 to 61 per 1,000 veterans. Although veteran
quits were higher than for nonveterans, the trend over the period of
these quits in all manufacturing was similar to that of non veterans.
For a period of 5 months (December 1945-April 1946) the veteran
quit rate ranged from 57 (December) to 60 quits per 1,000 veterans
(March and April). In May, it dropped to 54, the lowest rate in 6
months, but in July the veteran quit rate rose to 61, the highest rate
for this group. The nonveteran quit rate of 41 in July was also a
high point.
Since veterans are new employees, it would be more appropriate to
compare their quit rates with those of new nonveteran employees
rather than with all nonveterans. However, as the necessary data
are not available, comparison is made instead with the quit rates in
manufacturing in wartime when new employees were constantly
being recruited.
If, for example, veteran quit rates of 57 per 1,000 veterans in
December 1945 and 61 per 1,000 in July 1946 were compared with
quit rates of all employees in the corresponding 8-month period from
December 1943 to July 1944 (44 and 50 per 1,000 employees), the
rates for veterans would not appear too different. If further com­
parison were made between veteran quit rates and those prevalent in
typical war industries (such as aircraft, with quit rates of 52 per 1,000
employees in July 1943, 57 in August 1943, 61 in August 1944), the
difference would appear even smaller.
Proportionately more veterans quit jobs in the durable than in the

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930

M O N T H L Y LABOR R E V IE W — DECEM BER 1 9 4 6

nondurable goods component of manufacturing. The veteran quit
rate in the durable-goods group varied over the period from 57 quits
per 1,000 veterans in December to 69 per 1,000 in July. The quit
rates in corresponding months among veterans in the nondurablegoods group were 57 and 49.
Comments are not available from employers to explain the higher
veteran quit rates in the durable-goods groups; to some extent they
were occasioned by the major labor disputes such as those in automo­
biles, steel, coal mining, and transportation. For example, while in
some States persons unemployed because of labor disputes are dis­
qualified for unemployment compensation, veterans quitting jobs in
anticipation of strikes are eligible for special readjustment allowances
under Federal law.4
Veterans quitting their jobs in 3 major heavy-goods groups ac­
counted for at least 30 percent of all veteran quits over the entire
period studied (iron and steel, machinery except electrical, and auto­
mobiles). Approximately another 14 percent of the veteran quits
occurred in the lumber and furniture groups, which also had the highest
veteran quit rates in the 8-month period. Veteran quits in the food
and textile groups accounted for about half the quits in the nondur­
able-goods component. (See table 4.)
T able 4. —Quit Rates Among Veterans in Manufacturing Industries, December 1945-

July 1946 1
Veteran quit rates
Industry group

All manufacturing____
_ ___________
Durable goods____ . . _____________________
Nondurable g o o d s... ______________________

Dec.2 Jan.
1945 1946

Feb. Mar. Apr.
1946 1946 1946

M ay June July
0946 1946 1946

5.7
5.7
5.7

6.0
6.1
6.0

5.7
5.6
5.9

6.0
6.0
5.9

6.0
6.3
5.6

5.4
5.6
5.1

5.4
5.8
4.7

6.1
6.9
4.9

Iron and steel and their products_______ . . . __ _. 5.5
Electrical machinery_____________ _ . . . ___
3.2
Machinery, except electrical_____________________
4.8
Transportation equipment, except automobiles_____ 5.3
Automobiles_______________ . . . . . .
5.3
Nonferrous metals and their products______ .
6.1
Lumber and timber basic products__________ . .
10.2
Furniture and finished lumber products . . .
10.0
Stone, clay, glass, and their products______________ 5.4

5.7
3.9
5.0
7.6
4.7
7.2
9.9
9.7
5.5

4.8
3.5
4.8
6.1
3.5
6.3
9.0
9.8
4.6

5.5
4.1
5.1
6.1
4.3
6.7
10.3
11.6
4.9

5.9
3.7
5.4
5.2
6.6
5.8
11.1
11.6
6.0

5.2
3.4
4.5
5.7
4.7
6.2
11.9
9.8
5.4

5.4
3.6
4.4
5.6
5.5
5.9
11.4
9.8
6.0

6.3
3.5
5.3
5.7
8.6
6.7
12.3
11.1
7.0

Durable goods

Nondurable goods
Textile-mill products and other fiber manufactures..
Apparel and other finished textile products . .
___
Leather and leather products___
Food. ____________ ______
Tobacco manufactures . . . .
Paper and allied p r o d u cts_____
Chemicals and allied products____ ____
Products of petroleum and coal_____________
Rubber products_________
Miscellaneous industries____ .

5.6
1.8
3.6
8.4
6.8
6.2
3.6
2.7
9.0
2.6

6.8
4.5
4.4
7.7
6.7
8.0
4.2
3.5
7.2
3.0

6.8
4.6
4.2
8.6
4.1
6.1
3.7
2.0
6.6
3.0

6.9
7.8
5.0
7.3
2.6
8.0
3.8
2.4
6.2
3.4

6.5
5.5
4.5
6.7
4.3
8.2
3.9
2.3
5.8
4.1

6.4
5.1
3.8
5.5
3.6
7.7
3.7
2.2
5.4
3.7

5.6
4.8
3.0
5.1
3.1
6.5
3.7
2.5
5.4
3.8

6.0
4.7
3.7
5.1
5.3
7.0
3.8
2.6
6.1
4.0

Nonveterans—All manufacturing.

3.7

4.0

3.5

3.9

3.9

3.8

3.6

4.1

1 Based on data collected from some 6,500 reporters employing approximately 3.5 million workers.
2 Veteran quits in ordnance included in December only.
* See Protection of Veterans’ Unemployment Benefits During Work Stoppages in N ew York, in M onthly
Labor Review, M ay 1946, (p. Jjjg), for an example of a State law.


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V ETERA N S R E TU R N TO N A T IO N ’S FACTORIES

931

Quit rates were obtained for nonveterans in the 10 selected industry
groups in which two-thirds of all veterans in manufacturing were
employed in July 1946. Veteran quit rates were higher than for nonveterans in all of the groups. In 4 groups, veteran quit rates were
practically double the rates for nonveterans (iron and steel, machinery
except electrical, lumber, and rubber). In the petroleum products
group, the rate of 26 quits per 1,000 veterans was almost treble the
rate of 9 quits per 1,000 nonveterans. Only in food and textiles were
the rates for veterans less than 25 percent above those for nonveterans.
A special tabulation of the quit rates of veterans in all 64 industries
in the sample is given in table 6. Veteran quit rates in the 42 durablegoods industries ranged from 16 per 1,000 (communication equipment)
to 144 (sawmills). In the 22 nondurable-goods industries, veteran
quit rates were considerably lower, ranging from 11 per 1,000 veterans
(full-fashioned hosiery) to 81 (cotton).
The rate in cotton, of 81 veteran quits for every 1,000 veterans
employed in the industry, was the highest in all nondurable-goods
industries and was also above the rates for veterans in three-fourths
of the durable-goods industries.

?

Are Veterans Being Fired
Proportionately fewer veterans than nonveterans were discharged
or laid off in the 8-month period, reflecting in large measure the co­
operation of employers in keeping veterans on industry pay rolls.
In December 1945, when 10 out of every 1,000 veterans were involun­
tarily separated, the corresponding rate for nonveterans was double.
However, in July 1946, when the veteran rate was 11 per 1,000—
the lowest involuntary separation rate since December 1945—the
corresponding rate for nonveterans was only slightly higher (12
per 1,000 nonveterans).
The involuntary separation rates of veterans approximated those
for nonveterans in July partly because of the ‘'superseniority” decision
of the United States Supreme Court.5 According to the decision, the
year’s guaranty against discharge without cause (under the Selective
Training and Service Act) protects the veteran against lay-off only
within the established seniority system. It does not extend to
veterans preference over nonveterans with greater job seniority.
Despite various preferences extended to ex-GI’s, veterans as a com­
paratively younger group in the labor force than persons past military
age, have in many cases been unable to accumulate job seniority
equal to that of nonveterans.
s See decision (M ay 27, 1946) on “superseniority” of veterans in Fishgold. v. Sullivan Drydock and Repair
Corp., in M onthly Labor Review, July 1946 (p. 98). For background of this ease, see also issues of M onthly
Labor Review November 1945 (p. 993), M ay 1946 (p. 760), June 1946 (p. 920). For other decisions on sen­
iority rights of veterans see: Olin Industries, Inc. v. Barnett et al., M onthly Labor Review, April 1946 (p.
618); Droste v. Nash-Kelvinator Corp. et at., M onthly Labor Review, April 1946 (p. 619); Whirls v.
Trailmobile Co., M onthly Labor Review, March 1946 (p. 437) and June 1946 (p. 919).


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932

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

Over the period studied, between 60 and 75 percent of all the lay-offs
and discharges of veterans occurred in the heavy industry group.
Approximately 50 to 60 percent of these separations took place in
four major durable-goods groups which reported basic raw material
shortages in some of the months; i. e., iron and steel, machinery
except electrical, transportation equipment, and automobiles.
In the nondurable-goods component from February through July,
the food industry accounted for about half of the veterans fired or
laid off. In June 1946, the lay-off and discharge rate for veterans
was 44 per 1,000 which resulted largely from livestock shortages and
uncertainty as to the fate of price control of meat. The corresponding
rate for nonveterans in June was 63 per 1,000. (See table 5.)
T a b l e 5 . — Involuntary Separation Rate of Veterans in Manufacturing Industries,

December 1945—July 1946 1
Veteran involuntary separation rates
Industry group
Dec.2 Jan.
1945 1946
All manufacturing ................. . ...............
Durable goods_________________________ ____
Nondurable goods........................................................

Feb. Mar. Apr. May June July
1946 1946 1946 1946 1946 1946

1.0
1.3
.6

2.0
2.5
1.1

1.7
2.1
1.2

1.9
1.9
1.9

1.7
1.8
1.5

1.7
2.0
1.2

1.6
1. 6
1.6

1.1
1. 2
.9

.7
.7
.7
4.5
2.5
1.2
.5
.8
.5

4.2
1.6
1.3
5.1
1.7
2.0
.9
1.8
.5

1.3
1.6
1.8
4.9
3.0
1.5
.5
3.8
.4

1.2
1.2
1.2
6.5
2.9
1. 2
1.1
1.6
.6

.9
1.0
1.1
6.3
2.9
.8
.9
1. 5
1.4

.9
1.1
1.4
7.2
3. 5
1. 2
.6
1.1
1.5

.9
1.3
1.2
4.7
3.1
1. 0
.2
.9
1.2

.8
.8
.6
3.2
2.5
1. 2
.3
.9
1.2

Textile-mill products and other fiber manufactures..
Apparel and other finished textile products.
Leather and leather products.. . . . ___
F o o d ..____________ _____
Tobacco manufactures_______ ____
Paper and allied p r o d u c t s ...___ .
Chemicals and allied products___. . .
Products of petroleum and c o a l...
Rubber products. ________
Miscellaneous industries____

.6
.3
.8
.5
.1
.9
1.0
.9
.4
.6

.7
.5
.3
.9
.2
1.1
1.6
1.3
2.0
1.5

.4
.7
.2
2.4
.3
.7
1.5
1.4
.6
.9

.3
.4
.2
5.0
0
.7
.9
1.8
.5
1.1

.5
.7
.2
3.2
.1
.5
1.1
.5
.5
2.2

.5
.3
.2
2.5
.5
.9
.9
1. 2
.7
.9

.3
.I
.1
4.4
.2
.9
.7
.9
.5
.9

.4
.2
.3
1.8
1.3
.4
.5
.6
.3
1.0

Nonveterans—All manufacturing___

2.0

2.5

2.4

2.4

2.1

2.0

1.7

1.2

Durable goods
iron and steel and their products
________
Electrical m achin ery... _______ . ____ .
Machinery, except electrical-. . ________
Transportation equipment except automobiles...........
Autom obiles...........
.. . ... _
Nonferrous metals and their products ____
Lumber and timber basic products___
Furniture and finished lumber products
Stone, clay, and glass products________________ . .
Nondurable goods

1 Based on data collected from some 6,500 reporters employing approximately 3.5 million workers.
1 Veteran involuntary separation in ordnance included in December only.

• A tabulation was made of the involuntary.separation rates of nonveterans in July in 10 major industrial groups employing two-thirds
of all veterans in manufacturing, and accounting for more than 60 per­
cent of the lay-offs and discharges. Except in the automobile in­
dustry (see footnote 5) for which the rate for veterans was consider­
ably higher than for nonveterans (25 per 1,000 veterans and 3 per
1,000 nonveterans), the involuntary separation rates in the remaining
nine groups were lower for veterans than for nonveterans. The range
of the veteran rates was from 3 per 1,000 (lumber and rubber) to 18

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933

V ETERA N S R E T U R N TO N A T IO N ’S FACTORIES

per 1,000 (food); the corresponding rates for nonveterans varied from
6 per 1,000 nonveterans (rubber) to 27 per 1,000 (food). The rates
for the respective industrial groups were lower for veterans than for
nonveterans by two-thirds or more in lumber, and paper products;
by one-half in chemicals, rubber, and textiles; and by one-third in
iron and steel, machinery except electrical, and food. The difference
between the veteran and nonveteran rates in the petroleum product
group was relatively small.
A special tabulation was also made of the involuntary separation
rates of veterans in July 1946 in the 64 industries in the sample. In
the durable-goods industries, in which veterans were discharged and
laid off at a higher rate than in the nondurable-goods industries, their
rates ranged from less than 1 (pottery) to 69 (shipbuilding and repairs).
Of the 22 nondurable-goods industries—having involuntary separa­
tion rates for veterans of from less than 1 (seamless hosiery) to 27
(grain-mill products)—only 3 industries had rates of 10 or more:
leather (10), meat products (25), and grain-mill products (27). (See
table 6.)
T a b l e 6.— Labor Turn-Over Among Veterans in 64 Manufacturing Industries,

July 1946

Industry group and industry

Percent
veterans
of all em­
ployees

Veteran separation rates (per
100 veteran employees)
Total

Quit

Involun­
tary

Durable goods
Iron and steel and their products:
Blast furnaces, steel works, and rolling m ills_____________
Gray-iron castings_________________________ ____ ___.
Malleable-iron castin gs----------------- --------------- . . . ---Steel castings, _________
- ----------------------------------Cast-iron pipe and fittings
__________________________
Tin cans and other tinware______________________ . . _..
Wire products.. _____________________________________
------------ ----------- _.
Cutlery and edge t o o l s . . . -----. . .
Tools (except edge tools, machine tools, files, and saw s)----H ardw are...
-------------------------------------------------Stoves, oil burners, and heating equipment______________
Steam and hot-water heating apparatus and steam fittings.
Stamped and enameled ware and galvanizing __________
Fabricated structural-metal products.. . . . --------- ------Bolts, nuts, washers, and rivets_____ __________ _____ .
Forgings, iron and steel________
. . . ---------- . ______

25.9
18.4
17.8
18.8
26.7
15.2
23.4
17.0
20.4
15.2
22.4
20.4
19.7
20.6
19.9
21.2

6.0
9.6
9.5
7.7
10.5
13.6
3.4
5.9
8.6
7.5
9.9
7.7
10.1
8.1
5.3
7.8

5.5
8.6
9.2
5.6
9.9
11.6
2.9
4.9
7.8
7.3
7.9
7.0
9.2
6.4
4.9
5.9

Electrical machinery:
Electrical equipment for industrial use__________________
Radios, radio equipment, and phonographs______________
Communication equipment, except radios_______________

18.4
15.0
25.7

3.4
5.6
2.5

2.9
4.5
1.6

21.4
24.8
20.6
19.8

6.3
8.3
3.7
5.1

5.3
7.9
3.2
4.6

1.0
.4
.5
.5

18.1
21.1
22.7

4.6
5.8
5.4

4.0
5.3
4.8

.6
.5
.6

25.3
23.5
19.9

8.3
4.9
12.6

6.8
3.4
5.7

1.5
1.5
6.9

Machinery, except electrical:
Engines and turbines . . _________ ____________ _ ..
Agricultural machinery and tractors____________________
Machine tools_______ . . ------------------------------------------ .
Machine-tool accessories
______ . .
_______________
Metalworking machinery and equipment, not elsewhere
classified____________________________________________
General industrial machinery, except pumps_____________
Pumps and pumping equipm ent.. . _________________ . .
Transportation equipment, except automobiles:
Aircraft___ ____ _____ _____________________________
Aircraft parts, including engines_________________ _______
Shipbuilding and repairs________________________ ______


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0.5
1.0
.3
2.1
.6
2.0
.5
1.0
.8
.2
2.0
.7
.9
1.7
.4
1.9

■: .

.5
i.i
.9

934

M O N T H L Y LABOR RE V IE W — D ECEM BER 19 46

T a b l e 6 .— L abor T u rn -O ver A m on g V eterans in 64 M a n u fa ctu rin g In du stries,
J u l y 1946 — C on tin u ed

Percent
veterans
of all em­
ployees

Industry group and industry ’

Veteran separation rates (per
100 veteran employees)
Total

Quit

Involun­
tary

Durable goods—Continued
Automobiles:
Motor vehicles, bodies, and trailers_____ __ _
_ _
. Motor-vehicle parts and accessories __________________

27.3
26.2

12.0
7.5

9.2
6.0

2.8
1.5

Nonferrous metals and their products:
Primary smelting and refining, except aluminum and mag­
nesium
_
_
____
Rolling and drawing of copper and copper alloys_______ . _
Lighting equipment__ __ _
Nonferrous-metal foundries, except aluminum and mag­
_____ __ ________ _
________
nesium _____

22.4
20. 5
18.4

9.2
6.9
12.5

8.7
6.2
7.6

.5
.7
4.9

19.9

7.9

6.1

1.8

Lumber and timber basic products:
Sawmills
.
_ _ ___
Planing and plywood m ills.
_______________ _________

15.4
17.8

14.6
8.5

14.4
8.0

.2
.5

Furniture and finished lumber products:
Furniture, including mattresses and bedsprings. ________

20.2

12.2

11.2

1.0

Stone, clay, and glass products:
Glass and glass products ___ _____________________ ____
Cement .
_ _ ____ . . . _________ . _ __
Brick, tile, and terra cotta_________ _______ . . . _ . .
Pottery and related products.
.
..
_____ .

22.9
25.1
18.8
16.8

6.3
11.4
15.2
6.7

4.4
10.1
14.1
6.7

1.9
1.3
1.1
0

Nondurable goods
Textile-mill products:
Cotton.
_ _
. . . ______________________ _ __
Silk and rayon goods ____ . . .
_
...
.
Woolen and worsted, except dyeing and finishing_________
Hosiery, full-fashioned.. _ __________
_ _ _
Hosiery, seamless . ._ _ _ _ . . . ____________________
Knitted underwear______________________ ____________
Dyeing and finishing textiles, including woolen and worsted.

10. 6
11.0
13.4
12.7
5.8
6.4
16.5

8.2
5.5
6.4
1.3
4.7
5.7
6.3

8.1
5.0
5.7
1.1
4.7
5.6
5.5

.1
.5
.7
.2
0
.1
.8

4.6

6.2

6.1

.1

3.1

2.1

2.0

.1

17.8
9.7

5.9
3. 2

4.9
3.1

1.0
.1

Food and kindred products:
Meat products______________ . . . ___ __________ .
Grain-mill products___________ . _ _____ . ________ . .

19.0
18.7

7.7
8.5

5.2
5.8

2.5
2.7

Paper and allied products:
Paper and pulp_________________ _____________
Paper boxes._. . . . ______ __ _ ___________ .

23.5
17.8

7.4
7. 5

7.0
7.2

.4
.3

Chemicals and allied products:
Paints, varnishes, and colors_____ ______________ _
Rayon and allied products___________ ________
Industrial chemicals, except explosives______________

22.3
24. 6
25.2

4.6
3.1
5.2

4.2
2.7
4.6

.4
.4
.6

Products of petroleum and coal:
Petroleum refining ................... ..........

24. 2

2. 8

2.3

.5

23.3
13.7
20.3

6.4
4.9
6.8

6.0
4.6
6.5

.4
.3
.3

Apparel and other finished textile products:
M en’s and boys’ suits, coats, and overcoats___
M en’s and boys’ furnishings, work clothing, and allied gar­
ments_______________
_______________________
Leather and leather products:
L eather._ _
. . . . ______
Boots and shoes_____
. ...

_
_ _______ _
__ __________

__

Rubber products:
Rubber tires and inner tubes______________ . .
JRubber footwear and related products
___ .
Miscellaneous rubber industries____ _
..
___ _


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...

International Labor Relations

The Twenty-ninth Session of the International Laboi
Organization
THE Conference of the International Labor Organization at Montreal,
September 19 to October 9, 1946, is significant for the ratification
of the agreement defining its relationship to the United Nations as a
specialized international agency and establishing its affiliation with
the Social and Economic Council. The ILO was organized in 1919
as a tripartite organization representing governments, labor, and
management, and it has functioned effectively since that time in im­
proving labor standards and standards of living throughout the world.
It was consequently of great importance that the place of the ILO
should be defined in the scheme of new international organizations
and institutions.
During the intergovernmental ' discussions preceding the San
Francisco Conference in the spring of 1945, ILO representatives con­
tributed substantially to a clarification of the objectives of the pro­
posed United Nations Organization and of the role of the ILO in any
postwar international framework. Early in 1946, the ILO and the
United Nations both appointed committees to negotiate a draft
agreement providing for practical and efficient mutual collaboration.
The draft agreement was approved by the Economic and Social
Council in June 1946. It will become effective when it has been ap­
proved by the Assembly of the United Nations and will permit co­
operation between the ILO and the United Nations Economic and
Social Council in promoting economic and social development, full
employment, and higher levels of living. If improvement of economic
conditions is one of the methods of achieving world peace, the Mon­
treal Conference marks an important step toward meeting that
objective.
In speaking to the Conference about the ratification of the agree­
ment between the ILO and the United Nations Organization, Senator
Elbert D. Thomas, of Utah, one of the United States Government
delegates to the Conference said:
This great Organization, in collaboration with the Economic and Social Council
of the United Nations and other appropriate international agencies, has a stake
in the planning of full production and employment as well as in the expert work of
employment organization. With the Director (of the ILO), the United States

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realizes that close cooperation between the ILO and other international agencie;
is necessary for the maximum effectiveness of all such bodies. It commends the
wise arrangements for that collaboration proposed in the Director’s report. In
no field will teamwork and cooperation be more necessary than in striving towards
our goal. The winning of full production and employment cannot be attained
by running our horses Broad Plan and Expert Organization—against each other
around the global track. This run calls for double harness. Much of what it
takes to organize full employment in expert detail is also needed to plan for it in
the broadest terms. The excellent fact-finding facilities of the ILO provide basic
data that are as essential to broad planning as they are to expert organizing for
high living levels. The years of experience which the ILO has had and the wisdom
of its tripartite membership should also contribute to this goal.

Amendment of the ILO Constitution

The 1946 Conference carried forward the work initiated at Phila­
delphia in the fall of 1944, continued by the Conference in Paris in
1945 and by a Working Party in London in January and February
of this year, of amending the ILO Constitution.
As a result, the Conference had before it for adoption a substantial
number of significant amendments. They must now be ratified by
member States. Since the United States is one of the eight countries
of chief industrial importance, five of which must ratify amendments
before they can take effect, ratification by this Government is of con­
siderable importance. Moreover, the proposed revisions are in close
conformity with proposals and positions already taken by the United
States, whose entire delegation supported the amendments.
Some of the proposed constitutional changes merit brief discussion.
(a) P rovisions fo r A p p lic a tio n o f C onventions and Recom m enda­
tions. The present Constitution provides that Conventions or
Recommendations adopted by the Conference are to be submitted
by member Governments to the appropriate national authorities for
the enactment of legislation or other action. In the case of a Con­
vention, if the member obtains the consent of the competent authori­
ties it communicates a formal ratification to the ILO and reports
annually to the ILO on the measures it has taken to give effect to the
Convention. If a Convention is not ratified, or no action is taken on
a Recommendation, no further obligation rests upon the member.
Under proposed amendments, member States would have responsi­
bilities not solely for ratified Conventions but also for those which
they do not ratify. In case of nonratification, however, the responsi­
bilities would necessarily differ from those described above, in which
the member has agreed to accept the. obligations which a Convention
lays down. The new obliga tions (which would apply to Recommenda­
tions as well as to Conventions) will require each member to report
to the ILO the position of its law and practice in regard to matters
dealt with and showing the extent to which effect has been given to
the provisions of the Convention or Recommendation and, in the case

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of a Convention, stating the difficulties which prevent or delay
ratification.
As a result of this extended responsibility, the ILO and all member
Governments may expect to have a much clearer and truer picture of
the actual standards in effect in each country—whether they be above
or below the international levels adopted by ILO. It is felt that such
extended reporting will put the United States, for example, in a much
more favorable light than does a mere record of the Conventions
ratified by this country, since their number is not great.
A second important amendment deals with the special situation of
Federal Governments in regard to their responsibilities for dealing
with Conventions. The present Constitution permits a Federal
Government, in which power to enter into Conventions on labor
matters is subject to limitations, to treat Conventions as Recom­
mendations. This limits obliga tions in such cases merely to bringing
the Recommendation before whatever agency of that government
would have power to act on it.
The new Constitution will require a Federal Government to assume
the same responsibilities as a Unitary Government in regard to Con­
ventions which it considers appropriate for Federal action. It will
be obligated to refer to its constituent States or Provinces for appro­
priate action Conventions which it does not deem as appropriate for
Federal action. It is apparent that the contemplated reporting process
will apply equally to Federal States and will result in reports on the
entire body of State and Federal labor legislation coming within the
scope of ILO Conventions and Recommendations.
As adopted, the Federal States’ provisions for the new Constitution
took the form of a clarifying amendment which was sponsored jointly
by Australia, Canada, and the United States. Speaking to that
proposal a United States delegate, David A. Morse, Assistant
Secretary of Labor said:
In undertaking this obligation, my Government is fully aware of and willing
to assume the enormous administrative burden entailed in dealing with 48 State
jurisdictions and reporting on their actions. In this connection it is worthy of
note that in many instances our States have already surpassed the standards set
by ILO Recommendations and Conventions. Never before, however, were we
in a position to obtain formal reports on these matters. Consequently, the pro­
posed amendment will make possible more accurate reflection of the United
States’ real position with respect to the application of Conventions.

The United States Government representative cooperated with
representatives of the United Kingdom and the Netherlands in the
adoption of a joint amendment to Article 35 clarifying the proposals
regarding the application of Conventions in nonmetropolitan terri­
tories, particularly those with elected assemblies responsible for their
own labor legislation.

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«

(b) A m e n d m en t concerning nonm etropolitan territories .—The Con­
ference also adopted an amendment authorizing each member respon­
sible for the international relations of nonmetropolitan territories to
appoint, as additional advisers to each of its delegates, representatives
of any such territory to advise in regard to matters concerning non­
metropolitan territories.
Admission of New Members

The Conference received requests to admit one new member
(Lebanon) and to readmit two former members (El Salvador and
Nicaragua). When they communicate to the Director of the ILO
their formal acceptance of the obligations of the Constitution of the
Organization, this action will bring the membership of the ILO to 55
nations.
Conventions and Recommendations Concerning Protection of
Children and Young Workers

The Conference adopted three Conventions and two Recommenda­
tions for the protection of children and young workers. In the first
ILO Conference held in 1919, two Conventions dealing with minimum
age and regulation of night work for children in industry were adopted.
No further action was taken with respect to standards for children in
nonindustrial occupations until 1932, when a minimum-age Convention
was adopted. In the Conferences held during the war years in New
York and Philadelphia, emphasis was placed on the importance of
extending protection through international regulation for all children.
In the spring of 1945, the Office brought together a small group of
government experts from 16 countries to advise on the next steps
to be taken in this program. This group strongly urged that action
be taken speedily, and in particular stressed the importance of moving
forward in the field of medical examination for fitness for employment
and the restriction of night work for nonindustrial workers. The Paris
Conference in 1945 discussed Draft Conventions on these subjects and
recommended that they be placed on the 1946 agenda.
The Montreal Conference gave full consideration to these questions
and adopted Conventions concerning medical examination for fitness
for employment of children and young persons in industrial and non­
industrial occupations, and restriction of night work of children and
young persons in nonindustrial occupations, as well as Recommenda­
tions on these subjects. The Recommendations include definitions
and administrative principles and procedures which seemed too
detailed for inclusion in a Convention.


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Labor Standards in Nonmetropolitan Territories

Plans for establishing international agreement on labor standards
in nonmetropolitan territories were initiated by the Governing Body
of the ILO in 1943 and Recommendations as to such standards were
adopted by the Philadelphia and Paris Conferences in 1944 and 1945.
At the Paris Conference it was decided that the time might be ripe for
the adoption of the standards in a more binding form. The Confer­
ence, therefore, requested the Governing Body to instruct the Inter­
national Labor Office to examine the provisions of the Recommenda­
tions and to select those which seemed most suitable for inclusion in
Conventions and to place the question on the agenda of the 1946
Conference. Using the replies by Governments to a questionnaire,
the Office prepared a draft statement of the basis for Conventions on
labor standards in nonmetropolitan territories. The Office draft
included the substance of the principal provisions contained in the
Philadelphia and Paris Recommendations and, in addition, draft
statements on minimum-wage fixing machinery, the protection of
wages, and hours of work and annual holidays.
A Committee, headed by Senator Thomas, reported on this subject.
In approving this report, the Conference accepted the basis for drafting
Conventions concerning (1) social policy in nonmetropolitan terri­
tories, (2) the application to such territories of international labor
standards contained in 12 existing conventions, and (3) maximum
length of contracts. The Conference also adopted five resolutions
proposed by the Committee: (1) Drawing attention of member States
to the urgent need of ratification and application of previously adopted
Conventions on forced labor and on recruitment, contracts, and penal
sanctions in the employment of indigenous workers; (2) placing on the
agenda of the next general session of the ILO the consideration of
Conventions based on the conclusions of the Montreal Conference;
(3) inviting the Governing Body to take certain action regarding
technical aid from the Office to Governments requesting assistance in
studies of living conditions in the territories; (4) regular meetings to
implement the proposed Convention on social policy, and (5) the
establishment of an ILO Branch Office in Africa.
Financial and Budgetary Matters

Regulations providing for a finance committee consisting of one
representative from each of the member Governments were approved
by the Conference. This Committee will have responsibility not only
for matters relating to the budget and for fiscal controls but also for
decisions on certain administrative questions. The Conference de­
cided to continue the present scale of contributions by Governments

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to the ILO, pending the establishment of the United Nations con­
tribution scale. The scale adopted by the United Nations will not
be binding on the ILO, but it will have great weight because the
United Nations is giving thorough and expert consideration to the
problem. It was indicated that the ILO scale should be reconsidered
in time to apply to the 1948 budget.
Forty-six member nations sent representatives, and two nonmember
nations, the Philippine Kepublic and El Salvador, sent observers.1
There were 8 representatives of the United Nations, 5 representatives
of other official specialized agencies, and 14 representatives of Pro­
vincial Governments among the 429 persons participating in the
Conference. The only major nation not represented was the Soviet
Union.
The Future of the ILO
Developments in the world labor situation during and since the
war have emphasized the importance of the work the ILO has to do.
Its place in the framework of the United Nations organizations is now
generally recognized. Next spring, for the first time since the be­
ginning of the war, the Conference will be held in Geneva. The
Honorable Trygve Lie, the Secretary-General of the United Nations,
in addressing one of the plenary sessions said that the United Nations
welcomes association with the ILO and looks to it as “an Organiza­
tion of proved efficiency to carry out one of the most important
branches” of the work of the United Nations.
i The United States Delegation to the Conference was composed as follows:
Government delegates.—Hon. David A. Morse, Assistant Secretary of Labor, (Head of the Delegation),
Hon. Elbert D . Thomas, Senator from Utah;
Advisers and substitute delegates—Hon. Augustine B. Kelley, Congressman from Pennsylvania; Frieda S.
Miller, Director, Women’s Bureau, U. S. Department of Labor; Adviseis from the U. S. Department of
Labor were Clara M. Beyer, John S. Gambs, Beatrice McConnell, Louis Sherman, Faith M. Williams, and
Thacher Winslow; from the U. S. Department of State, Frederic P. Bartlett, Alice M . McDiarmid, Murray
Ross, and Bernard Wiesman; from the Bureau of the Budget, Walter Laves; from Ohio State Depai tment
of Industrial Relations, Richard Tobin; from the Puerto Rican Insurance Fund, Guillermo Atiles Moreu;
In charge of Senate Education and Labor Committee matters,Ethel Evans; Substitute Adviser, Millard
Cass of the Department of Labor.
' J
Employers’ delegate—Jrmes D . Zellerbach, Vice Chairman of the Governing Body of the ILO. Advisers:;
John Meade, M . M. Olander, Thomas R. Reid, Charles E. Shaw, and James Tanham.
Workers’ delegate.—Robert J. W att, member of the Governing Body of the ILO. Advisers: C. L. Dar­
ling, F. H. Fljozdal, V. S. Gautier, J. C. Lewis, Jennie Matyas, Joseph P. McCurdy, and John L. Spalding.)
Mary M. Cannon of the Department of Labor and Millard Kenestrick of the Department of State served
as secretaries to the Delegation.


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Labor Requirements

Labor Requirements in Southern Pine Lumber
Production 1
IN ORDER to determine the volume of employment required to
produce the necessary materials for the present housing program, or
for any other major construction activity, the Bureau of Labor Sta­
tistics is conducting a series of man-hour surveys in the basic building
materials industries. The present study 2 analyzes the man-hours
required to produce lumber in 1945-46 and discusses some of the
factors affecting labor requirements in the southern pine region.
This forest area embraces most of the lower South and derives its
name from the species of trees predominant in the area. The lumber
production of this vast area constitutes about a third of the total
production of the country, which is expected to reach about 30
billion board feet in 1946.
It was found that a total of 41.2 man-hours of labor were required
to produce 1,000 board feet of finished construction lumber in the
southern pine region in 1945—
46. This is a substantial increase from
the 30.7 man-hours which, according to a previous Bureau study,3
were required in 1935, and lends some support to the statement fre­
quently made that the task of meeting the huge current demand for
lumber is complicated by a relatively low level of productivity.
Processes and Characteristics of Industry

Lumber is defined 4 as the product of the saw and planing mill not
further manufactured than by sawing, resawing, crosscutting, passing
lengthwise through a standard planing machine, and, for some pur­
poses, through a matching machine or molder.
The basic processes of lumber production are similar in all the
forest regions of the country. The trees are felled, limbed, and
1 Prepared by Eugene J. Lowther and Roland V. Murray, under the direction of Brunswick A. Bagdon,
in the Bureau’s Division of Construction and Public Employment. This study was made in cooperation
with the National Lumber Manufacturers Association, the U. S. Southern Forest Experiment Station,
and the Southern Pine Association.
2 This is the third study in the series and covers the first section of an industry-wide study of the lumber
and allied building materials industries. The first study covered labor requirements in cement production
and was summarized in the September 1946 M onthly Labor Review (p. 355); the second study covered
labor requirements in the production and distribution of concrete masonry units and concrete pipe and was
summarized in the November 1946 M onthly Labor Review (p. 681).
a Labor Requirements in Lumber Production, 1937, in M onthly Labor Review, M ay 1937 (p. 1136).
Reprinted as Serial No. R. 529.
* Lumber: Simplified Practice Recommendation R16-39 (U. S. Department of Commerce, 1940).
722250— 46 -


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bucked (cut into suitable lengths), and the resulting logs are skidded
to a bunching site. The latter is equipped with a portable facility
for loading the logs on some type of vehicle which transports them
to the sawmill. Here they are dumped into a log pond or yard from
which they are carried as needed to the head saw, where they are
reduced to boards, planks, or timbers of the desired thicknesses.
This lumber is conveyed to the edgers and trimmers (special saws
for squaring edges and ends to the desired dimensions), and out to
the “ green chain” (conveyor leading from the last saw), where it is
graded and sorted. It is then ready for seasoning (the reduction of
the moisture content to increase strength and dimensional stability)
in the dry kiln or seasoning yard. Finally, in the planing mill, the
rough dry lumber is generally dressed smooth on two or more sur­
faces, and, frequently, is further processed to produce tongue-andgroove or shiplap edges, or certain other standard workings.
The nature of the southern pine timber stand has, however, imposed
certain very marked characteristics on lumbering in the region.
Timber in this area is generally second- or third-growth, and occurs
principally in small, scattered tracts. These two facts account for
the great numbers of small producers in the region, and the limited
use of the heavy, highly mechanized equipment found in those sections
of the country, particularly in the Pacific Northwest, where sawlog
diameters are very large and timber growths are dense. The impor­
tance of the small mill in the South is strikingly evident from figures
presented in the most recent Census of Forest Products, which show
that in 1944, mills sawing less than 1 million board feet a year
accounted for 33 percent of all lumber produced in the South. In
contrast, mills of this size accounted for only 3 percent of the total
cut in the West, the other major producing area. Moreover, there
is evidence that the importance of the small mill is increasing rather
than declining, and that an abnormal increase took place during the
war when the demand for lumber brought many individuals into the
field. Thus, only 27 percent of the total production of the South
in 1942 was cut by those mills sawing fewer than 1 million board
feet, as compared with 33 percent in 1944.
These small mills differ not only in size, but in basic type, from
the larger mills. Generally speaking, a mill cutting fewer than a
million board feet a year is of a portable type, operating in the midst
of a small timber stand, and is readily movable to another stand when
the supply of sawlogs has been exhausted. Such mills have no
seasoning or planing facilities and produce solely rough green lumber.
This has given rise to an important type of processing and marketing
operation in the South—the concentration yard. Typically, these
yards do no logging or primary sawing. Their entire production is
developed from rough green lumber, purchased from “ peckerwood”

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mills5 in the surrounding countryside, which they season, dress, and
market. In 1940 it was estimated by the U. S. Forest Service that
there were in the lower South about 500 of these concentration yards,
and in addition more than 500 stationary sawmills which operated
as concentration yards; the number of both types of operations has
almost certainly grown since then.
Thus, it is evident that southern lumbering falls into two distinct
groups—the peckerwood-concentration yard combinations; and the
stationary mills, which generally have their own seasoning and planing
facilities. The latter frequently own or control their own timber
tracts, which are normally managed on a sustained-yield basis, the
amount of lumber cut each year being held in balance with the
amount of growth.
Scope and Method of Survey
To obtain the data on which the current study is based, a Bureau
representative visited 47 medium and large southern pine mills
selected for survey through consultation with the Southern Forest
Experiment Station and the Southern Pine Association. However,
11 of these plants did not maintain suitable records for the purpose
of this study, and 8 more were found unsuitable for inclusion for
reasons such as specialization in other than lumber production and
extreme irregularity of operation. The study is therefore based on
data from 28 medium and large southern pine mills, a sample which
leaves something to be desired particularly with respect to coverage
among the small mills. The sample is, however, believed to be wellbalanced with respect to geographic dispersal, types of operation
and equipment, and variety of product.
Man-hour information—from estimated rather than recorded
figures—for some of the items needed was, in fact, obtained for about
a dozen of the portable mills. This material is presented separately
and is not included in the general averages. It is doubtful that data
could be obtained for a representative sample of small mills, because
the great number of these plants, the remote locations of many of
them, and their frequent shifts of location make the problems of
field coverage exceedingly difficult. More serious is the fact that only
exceptional mills of this category maintain records of the type needed,
and in these cases both management ability and equipment are likely
to be well above the average for all small mills.
The 28 plants surveyed were located in Alabama (3), Arkansas (5),
Georgia (3), Louisiana (3), Mississippi (7), and Texas (7). The
sample included 1 plant which, although it had a stationary sawmill
in its yard, was at the time of the survey operating solely as a concen­
tration yard, and 1 concentration yard which had facilities for this
type of operation only. The total production in these 28 mills was
8 A term commonly used for the type of small portable mill described.


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at the rate of about 33 million board feet per month, and was dis­
tributed by type of product approximately as follows:
Percent of
production

All types of products 1__________________________________ 10 0.0
Rough green lumber____________________________________
Rough dry lumber______________________________________
Dressed lumber_______________________________
Center-matched and shiplapped lumber__________________
Flooring_______________________________________________
Miscellaneous (including molding)and unspecified_________

9. 2
11. 4
50. 0
16. 2
2. 6
10. 6

1 Arranged approximately by degree of finish.

At each plant, the field representative transcribed from operating
statements and pay-roll records data relating the number of board
feet processed to the number of man-hours worked, in each major
department, in a period of normal operation during the latter part
of 1945 or early in 1946. Obtaining separate production figures for
each depaitment was particularly necessary in this industry because
of the frequent wide variation in quantities processed through the
various operations of a mill within the same period. This was partly
because of the introduction into the manufacturing process of material
initially processed elsewhere (e. g., use of purchased logs or rough
green lumber), and partly because of conditions which make it ex­
pedient to process more material in one department than in another
(e. g., during unfavorable weather, logging production may be at a
low level, while the sawmill is working out of a large supply of logs
in the pond).
Man-hour requirements per 1,000 board feet of production for each
department were established by dividing the number of man-hours
worked by the number of thousands of board feet processed. The
sum of these average departmental requirements is the total processing
requirement.
Man-Hour Requirements, 1946
The average man-hour requirements in 1946, by major process, in
the production of lumber in the southern pine region, and the ranges
in the sample plants surveyed, are presented below:
Man-hour requirements per 1,000
board feet of lumber processed
Aver­
Range in
age
sample plants

All operations.

41. 2

0)

Logging----------------------Sawmill_______________
Seasoning_____________
Planing mill___________
Shipping______________
Administration and sales

14. 6
9. 5
6. 7
6. 4
2. 3
1. 7

9. 5-19. 9
6-14. 2
2. 5-10. 6
1. 3-15. 0
0. 5 - 6. 2
0. 4 - 4. 4
6.

1 It is not feasible to show ranges of total requirements because of the number of plants which do not
perform all operations.


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The total requirements figure of 41.2 man-hours represents the
average number of man-hours required to produce 1,000 board feet
of the planed-lumber items constituting the output of the sample
mills in 1945-46.
A quite different result is obtained, however, by the simpler method
of relating total man-hours worked to total board feet of finished
lumber produced, during a specified period. This method was used in
a survey conducted by the Southern Pine Association, which obtained
from a sample of 59 mills the total number of man-hours, excluding
administrative, worked during the year 1945 and the first 6 months of
1946, and the total number of board feet of production during the two
periods, including that developed from purchased logs and rough green
lumber. The total man-hour requirements per 1,000 board feet,
obtained from these data by dividing the aggregate man-hours by the
aggregate production, were 33.0 in 1945 and 34.8 in 1946. Tabulating
the 1945-46 material collected by the Bureau in a similar manner gave
an average of 33.7 man-hours, which is in reasonably good relation to
the trade association’s figures, considering the differences between the
two samples. These averages, which are substantially lower than the
39.5 man-hours (excluding administration) indicated in the above
tabulation, represent the man-hour requirements for those operations,
or parts of operations, performed by the sample mills.6 They do not
represent over-all requirements for lumber production, since they do
not include the hours of labor applied to purchased logs and purchased
rough lumber before they reach those mills.
As has been pointed out previously, it was not possible to obtain a
sufficient amount of reliable data concerning requirements in the
“ peckerwood” operations. Some partially estimated figures were
obtained, however, from several of these mills, all of which were sub­
sidized by large-scale concentration plants. These figures indicated
that the man-hours required for logging and sawing in these portable
operations were 17.5 per 1,000 board feet, and that an additional 4.2
man-hours were needed to haul that quantity of the rough green
lumber to the concentration yard. These requirements, totaling 21.7
man-hours, are roughly comparable to the 24.1 man-hours for logging
and sawing shown above and emphasize the well-known fact that the
efficiently operated portable mill offers certain advantages in opera­
tions in the small, scattered tracts of timber characteristic of much of
the South. Some of these are economies in transportation (it is
cheaper to haul rough green lumber than logs), reductions in overhead,
and an increase in general flexibility.
However, it should be emphasized that these small-mill require­
ments are based on data from a particularly efficient group of opera8 Concentration yards were omitted from both samples in arriving at the unit labor requirements by the
method described in this paragraph. Inclusion of such plants would, of course, lower the averages still more,
since all of the production of these mills is developed from the rough green stage.


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tions. Most of them were equipped with electrically operated car­
riages and were powered by Diesel engines. All were under the close
supervision of parent companies which applied modern business
methods to the integrated activity. It is therefore likely that require­
ments in the more typical “ peckerwood” mill average considerably
higher than those shown above.
VARIATIONS BY PROCESS

It will be noted that the foregoing tabulation shows a fairly wide
range of requirements in each of the operations. Specific reasons for
these plant-to-plant variations are discussed below, but a general
observation to be borne in mind is that few other industries embrace
as many variables affecting labor requirements as does the southern
pine industry. These include not only the wide variety of products
of these mills-—from rough green lumber to such relatively highly
processed planing-mill products as molding and flooring—but also
extremes in production methods, from a rather primitive use of human
and animal power in transportation to the use of the most modern
types of straddle- and lift-trucks, automatic sorters, mechanical
unloaders, and other labor-saving machines.
Logging- Labor requirements in logging are primarily affected by
natural factors; i. e., by the terrain of the aiea being cut over, by the
character of the timber stand, and by weather conditions. (The
undue effect of the latter factor was minimized by the selection of a
period of normal operating conditions, but abnormally wet weather
during the first half of 1946 in some southern areas had kept labor
requirements for logging high during several months.) Thus, the
felling and bucking of small scattered trees, the skidding of the logs
over hilly ground or through thick underbrush, and the difficulty of
getting a heavy logging truck from a marshy bunching site to a hard­
surfaced road, all tend to increase logging requirements in certain of
the operations surveyed.
Moreover, these adverse natural conditions in some cases make it
impractical for southern loggers to use certain improved methods
employed elsewhere. For example, only one of the plants surveyed
used portable power saws exclusively in the woods—handsaws and
axes being almost universally used in felling, bucking, and limbing.
About a third of the sample plants had experimented with power
saws, but reportedly had found them too heavy for efficient use on the
small, scattered trees and in the dense underbrush typical of most of
the areas. It may be, however, as some lumbermen believe, that
failuies with the power saws in these cases were caused primarily by
the improper training of the woods crews in their use and maintenance.
In this connection, it may be noteworthy that the logging operation

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which showed the second lowest man-hour requirement (11.7) was
the one that used power saws exclusively.
The method of skidding the log from the stump to the loading area
is also frequently determined by local conditions. Thus, although
tractor skidding is generally most efficient, operators in hilly areas,
as in Arkansas, have found mule and horse teams better adapted to
the terrain, and in the bayou region of Mississippi and Louisiana,
there is still some use of oxen.
The logging railroad has largely passed from the picture in the
South; the Southern Pine Association reports that 98 percent of its
members’ logs are hauled to the mill by truck. Once a truckload of
logs reaches the highway, there is little variation in requirements for
the haul to the sawmill, except insofar as distance is concerned.
Sawing.—'The chief factors affecting man-hour requirements in the
sawmill are the quality of the sawlog (the degrees of rot, crook, and
taper existing), and its average diameter, the type of head-saw rig
and other equipment, and the kind of lumber being sawed. The in­
fluence of the first item is discussed on page 950; at this point it need
only be noted that as the size of fhe log decreases, the man-hour re­
quirements increase markedly. Types of head-saw equipment which
reduce labor requirements significantly are the ‘‘steam nigger” (a
mechanical arm which eliminates the work of 2 or more men in mov­
ing the log on and off the= carriage and turning it during sawing), and
the electric set works (by means of which 1 man is able to replace 2
or 3 in controlling the dogs and blocks which hold the log in proper
position on the carriage during sawing). The gang saw, which re­
duces a large cant or slabbed log to boards in a single operation, and
which is an important factor in reducing man-hour requirements in
some sections of the country (at some sacrifice of lumber quality) is
not often seen in the South. On the other hand, the resaw, which
reduces relatively heavy boaids produced by the head saw to desired
thicknesses, is frequently encountered. The saving of labor in this
resawing operation is not apparent to the layman who has not ob­
served the actual operation of the primary sawing of the log. How­
ever, the United States Forest Service has established that in the
sawing of southern hardwood the addition of a resaw reduces total
sawing time as much as 40 percent.7
The variation of sawing requirements with the type of lumber
produced is readily apparent with respect to size, 1,000 board feet of
2-inch boards requiring obviously about half the sawmill labor needed
for the same quantity of 1-inch boards. What is not so apparent is
the effect on labor requirements of “ sawing for grade.” The increased
work involved in the repeated movement of the log so as to secure the
maximum amount of high-grade lumber is well illustrated, however,
’Effect of Resaw on Output of Single Band Mills in Southern Hardwoods (U, S. Forest Service, 1933),


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948

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

by one of the mills included in the survey. The sawing requirements
in this mill were the second highest of the entire sample (13.3 hours
per 1,000 board feet), despite its use of the most modern equipment,
including electric set works and band resaw. The explanation lies in
the emphasis which this firm, manufacturing a widely known “ big
mill” product, places on quality.
Seasoning.-—Contrary to popular opinion, the reputable southern
mills are not merchandising large quantities of green lumber in order
to meet the current unprecedented demand, and the labor require­
ments for seasoning are substantial (see page 949). Typically, all pine
is kiln-dried for from 48 to 72 hours, and hardwood is air-dried for
from 2 to 4 months (in some cases, particularly with the hardwoods,
a combination of the two methods is used). With either method,
however, the actual process of reducing the moisture content of the
green lumber accounts for few man-hours, the greatest labor require­
ments arising from the handling of the lumber in the yard. It is also,
presumably, in this handling that the greatest variations in seasoning
requirements occur. One phase of the handling problem is the move­
ment of lumber about the yard, for which the equipment in the plants
visited ranged from hand-pushed 2-wheel dollies to the most modern
types of straddle- and lift-trucks. The use of the latter vehicles
represents perhaps the greatest stride in the reduction of labor re­
quirements that the industry has made in recent years. The straddletruck is the more widely used. It is a high-bodied truck designed to
straddle a uniform “ package” of lumber, lift it off the ground, and
carry it beneath the chassis rather than on it. At present, this equip­
ment is found only in relatively few of the larger mills, but a number
of the operators surveyed reported that it had been ordered.
Another aspect of the handling operation is the stacking of lumber
(for either kiln- or air-drying), which appears to be almost exclusively
a hand process in the South. The sample mill with the highest
seasoning requirements (10.6 man-hours per 1,000 board feet) airdried its lumber by end-stacking for a month, followed by flat-stacking
for a month, thus more than doubling its stacking lequirements.
Planing.—It will be noted that the range of man-hour requirements
for planing is wider than that for any other operation. Over threequarters of the plants surveyed, however, fell within a range of 2
man-hours above or below the average requirement of 6.4 man-hours.
The extreme cases represent actual but unusual planing-mill opera­
tions. Lowest requirements (1.3) were found in a “ mill” which con­
sisted of a single planer located in a shed adjacent to a railroad siding.
Boards of a standardized size were fed from the surrounding drying
yard into this planer and pushed by the following boards along a
trough leading out of the shed and into a boxcar. This operation
represents the minimum of planing-mill processing—the mere dressing

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949

LABOR REQUIREMENTS

of the board to the smooth surfaces required for most lumber uses.
On the other hand, the planing mill requiring the maximum number
of man-hours (15.0) was also the plant producing the widest variety
of highly refined products, including packaged trim and hardwood
flooring. This planing mill was composed of a battery of machines,
including resaws and ripsaws, center- and end-matchers (for cutting
tongue-and-groove joints in the edges and ends of the boards), molders,
and sanders.
Shipping.—With the current demand for lumber greater than the
supply, shipping requirements generally do not include the operation
of a “slick shed” (storage shed for dressed lumber), but represent
chiefly the labor needed to move the lumber out of the planing mill
and directly into a boxcar or truck. (Indeed, for this reason, planing
mill and shipping labor were in several cases so closely related that it
was not possible to separate them for the purposes of this study).
On the whole, requirements for this department grouped closely about
the average of 2.3 man-hours, three-quarters of the mills surveyed
falling in a range of plus or minus 1 man-hour of this figure.
Administration.—For the purposes of this study, administration
was taken to include only the activities of the central office executive
and clerical personnel. (Activities of departmental superintendents
and foremen were included as indirect charges to the appropriate
operation.) Except for the fact that sales-promotion activities were
negligible—an expected result of today’s marketing conditions—the
study developed little of interest in connection with requirements in
administration.

,

Comparison of Requirements 1935 and 1946

In 1935, the Bureau of Labor Statistics conducted a survey of labor
requirements in the production of a number of building materials in
the forest-products group, which included southern-pine planing-mill
lumber. The figures developed in that study appear roughly com­
parable to those obtained in the current survey.
Man-hour requirements per 1,000
board feet
19351
191,0

All operations____________________________________
Logging_________________________________________
Sawmill_________________________________________
Seasoning_______________________________________
Planing mill--------- _--------------------------------------------Shipping________________________________________
Selling and administration-------------------------------------

Percent of
change,
1935 to 191,6

30. 7

41. 2

+34

19. 9

14. 6
9 .5
6. 7
6 .4
2. 3
1. 7

+34
+58
+40
+42

2 6- 0
2 4. 8
2 4. 5

2. 5
2. 0

—8

15

• Labor Requirements in Lumber Production, in M onthly Labor Review, M ay 1937 (p. 1136).
2 For comparability with the current report, a separate item of 0.4 hour of “miscellaneous manufacturing

labor” was distributed among the indicated operations.


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950

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

The total requirements show a sharp increase (34 percent) over the
11-year period, and all departments, except shipping and administra­
tion, required a substantially greater number of man-hours per 1,000
board feet in 1946 than in 1935. It is believed that these figures on
the whole reflect with fair accuracy the direction and magnitude of
changes in labor requirements during the period covered, but caution
should be used in applying these percentages to specific problems.
The relatively small samples on which both surveys were based, the
fact that the samples were not identical, and the differences in the
methods used, all impose limitations on exact comparison between
the findings.
Factors entering into the increase in man-hour requirements since
1935 are of two classes, representing (1) conditions of a permanent or
semipermanent nature and (2) purely temporary conditions arising
from the excessive postwar demand for construction materials. Un­
fortunately, the nature of the data does not permit measurement of
the influence of individual factors—they can only be listed and dis­
cussed.
One of the long-range factors involves variations in the'average size
of the sawlog. The U. S. Forest Service has established through a
series of time studies that man-hours required to produce 1,000 board
feet of lumber decrease sharply as the size of the log increases (until
very large sizes of logs are reached), as the following table indicates:
L abor R equirem ents in Logging a n d M illin g P in e L u m ber, b y Tree S ize , 1935 1
Man-hour requirements per 1,000 board feet
Tree diameter (breast high)
Logging

Sawing

Supervision

Total

Average-

2 6.6

7.4

0. 5

13.5

8 inches.
10 inches.
12 inches.
14 inches.
16 inches.
v18 inches.
20 inches.
22 inches.
24 inches.
26 inches.
28 inches.

9.0
8.3
7.3
6.1
5.3
4.7
4.4
4. 2
4.2
4.4
4.9

10.3
10.0
8.8
7.7
7.0
6.6
6.3
6.0
6.0
6.1
6.5

.7
.7
.6
.6
.5
.5
.4
.4
.4
.4
.5

20.0
19.0
16.7
14.4
12.8
11.8
11.1
10.6
10.6
10.9
11.9

‘ Condensed from table 1, p. 3, “ Operating Small M ills in Wartime”, U . S. Forest Service, 1943.
Q T O r o d t l f S r l o w e r average logging requirement« shown in this table as compared to the logging
„
i f H
r bot-h 19t 61925 U
reslllt primarily from the fact that the above data are based on
small mill operations, in which log hauling requirements are at a minimum.

According to informed opinion, the average diameter of sawlogs in
the south has decreased perhaps 3 inches over the period between the
two surveys. This factor alone could account for an increase of 2 or
3 hours in the logging and sawing operations. (Subsequent opera­
tions would be affected by this factor only to the extent that the out­
put from smaller logs might involve a higher percentage of smaller

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LABOR REQUIREMENTS

951

boards.) Moreover* these estimates of increases in labor require­
ments with decreases in tree size probably understate this factor,
since recent surveys by the U. S. Forest Service indicate that the
average volume of trees of similar diameter is less today than 10
years ago, owing to increased taper and other growth characteristics.
A second long-term element in increased requirements involves the
migration of experienced workers from the lumber industry to higher­
paying war industries. It is generally believed that many of these
workers have no intention of returning to their former occupations.
One of the larger mills in the current survey reported that half of the
Negro families of the mill village had been lost through migration to
the northern war plants, and that none were expected to return.
Industry opinion is that the more resourceful and more capable
workers make up the greater part of those migrating to localities
offering better wage opportunities. It would seem that a stable
supply of workers in this part of the lumber industry is difficult to
maintain in competition with industries having better working condi­
tions and paying higher wages. The present situation with respect
to wages is illustrated by the Bureau’s earnings tabulations for April
1946, a month during which much of the labor requirements data
were collected. These indicate that whereas the national average of
hourly earnings, in durable-goods manufacturing was $1.13, the
average in sawmills and logging camps was 83 cents for the entire
country and 65 8 cents for the southern pine region.
One of the temporary conditions responsible for the increase in
man-hour requirements is linked to this difficulty of obtaining skilled,
reliable labor. It is the current policy in some mills not to lay off a
valued worker during “down” or slack periods (caused by break-downs,
shortages of logs due to adverse weather, etc.), but to maintain him
on the pay roll to dissuade him from seeking another job. The effect
of these “idle hours” on labor requirements may be considerable in
some cases. Thus, the sample mill with the highest over-all require­
ments (58.4 man-hours per 1,000 board feet, as compared with an
average of 41.2 for all mills surveyed) expressly gave this as the
reason for its high ratio of man-hours to production.
The second factor temporarily increasing unit man-hours was the
current practice in most southern pine mills of processing the hard­
woods which occur intermixed with the pine stands. These hard­
woods had not been previously considered merchantable, since they
were of too low a grade for furniture and flooring and too hard for
construction purposes. The heavy demand for lumber made it
temporarily profitable to market this material. Thus, hardwood
•constituted about 22 percent of the total production of the mills sur* Since this average is based principally on data from the larger stationary mills, it is believed that it
somewhat overstates average earnings for the entire industry to this area.


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952

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

veyed. Not all of this was of the low-grade type, however. Two
mills, in which hardwoods accounted for 29 percent of production,
normally manufacture a higher grade of hardwood lumber, but could
not segregate their pine- from their hardwood-processing requirements.
There is little doubt in the minds of practical lumbermen that hard­
wood requires more man-hours of processing than pine, although the
statistical data supporting this view are scanty. Surveys have been
made 9 which tend to establish records of higher requirements for
southern hardwood, but these have compared processing hours in the
true Delta hardwood area with those in the pine area, which is not an
entirely satisfactory comparison for the present purposes. None of
the mills in the current survey maintained separate hardwood manhour records, although 1 of the 2 mills producing a high grade of
hardwood had maintained such records up to 1942. Its records for
1942 indicated that logging required 15.1 hours per 1,000 board feet for
hardwood as against 11.2 for pine. These figures reflect the difficulty
of skidding and hauling the heavier hardwood log over the more
difficult terrain where these woods generally oc^ur, as well as that of
cutting the denser wood. The requirements for milling, which
apparently includes sawing, seasoning, and planing, were 31.7 hours
for hardwood and 28.6 for pine.
To offset all these factors tending to increase labor requirements
over the 11-year period, there were few, if any, which tended to
decrease them. Widespread use of the newer types of equipment
might have had this effect, but their adoption was discouraged by
the relatively low wage rates which have prevailed in the South, and
by the type of timber stands. Several of the operators interviewed
predicted, however, that rising minimum-wage rates would force the
mills to lower their costs through use of the new mechanized devices.
In the two departments shipping and administration, unit man­
hour requirements decreased slightly over the 11-year period. It
is believed that both of these decreases are attributable to the fact
that fewer functions are currently performed in these departments
than under normal conditions. As previously pointed out, shipping
today consists essentially of moving lumber out of the planing mill
and into a waiting freight car or truck. As to administration require­
ments, while the 1935 figures were obtained from firms employing a
full selling staff, none of the mills in the current survey reported any
activity of this nature.
8 For example, Primary Wood Products Industry in the Lower South (U. S. Forest Service, 1940),
pp. 17-18; and the 1935 requirements study by the Bureau, previously referred to.


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LABOR REQUIREMENTS

953

Supplementary Requirements
One of the purposes of this series of studies is to estimate the total
number of man-hours of labor represented by a unit of the specified
building material delivered and ready for use on the construction site.
This estimation of over-all requirements is simplified in the case of
southern pine lumber production by the nature of the industry.
Since it is a basic extractive industry, there are no requirements to be
added for raw-material production. (A considerable variety of such
materials as lubricating oils and greases, lumber-treating chemicals,
etc., are consumed in the production of lumber, but no allowance
has been made for such items, nor for the depreciation of machinery,
in these studies.) Again, power requirements, which represent a
substantial portion of total requirements in some industries, are
negligible in the pine-lumber area, because practically all the fuel
used to fire the boilers in the mills studied was sawmill waste in the
form of slabs, trimmings, and edgings. This, indeed, was the only
use to which waste material was put in the sample plants, with the
exception of a negligible local sale of waste lumber for firewood.
None of these plants engaged in the manufacture of such byproducts
as lath, wood flour, or briquettes, which have reputedly been found
profitable by some operators.
The data necessary for estimating roughly the man-hours required
to transport 1,000 board feet of lumber from the mill to the construc­
tion site are available in Bureau publications. A study of require­
ments in the rail transportation of construction materials 10 developed
that the average haul of a ton of lumber required 3.8 man-hours of
labor. The transportation of 1,000 board feet of southern pine lumber,
which weighs about 1% tons, therefore requires about 5.7 man-hours.
An additional 1.5 11 man-hours are estimated to be required to haul
1,000 board feet from the terminal to the construction site. The
over-all transportation requirements are thus in the neighborhood
of 7.2 man-hours, without accounting for possible handling at various
merchandising levels. Conservatively, then, it may be estimated
that 1,000 board feet of southern pine lumber delivered on a job site
represents a labor input of 48.4 man-hours.
10 See M onthly Labor Review, October 1937 (p. 846), Labor Requirements in Rail Transportation of
Construction Materials (also reprinted as BLS Serial No. R. 637).
u See M onthly Labor Review, M ay 1937 (p. 1136), Labor Requirements in Lumber Production (also
reprinted as BLS Serial No. R. 529).


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H age and Hour Statistics

Wage Structure of the Hosiery Industry, January 1 9 4 6 1
IN JANUARY 1946, plant workers in full-fashioned hosiery mills
averaged 97 cents an hour, exclusive of premium pay for overtime and
night work, in seamless (circular knit) hosiery mills, the average was
63 cents. The wage differential between the two branches of the
industry reflects dissimilarities in manufacturing processes, skill re­
quirements of the labor force, value of product, mill location, and
unionization. In both, earnings of the majority of the mill workers
are based on piece-rate scales.
Women’s full-fashioned hosiery, produced on costly and complicated
knitting machines, was made principally from silk before the war;
rayon was the wartime substitute. Since September 1945, nylon has
been available in increasing quantities and three-fifths of the mills
studied by the Bureau of Labor Statistics in January 1946 reported
nylon hosieiy as their major product.“ As nylon yarn becomes more
plentiful, this proportion will probably increase and affect wage levels
to some extent. This study showed that nylon hosiery workers
averaged about 10 percent more pay an hour than those making
rayon stockings.
Seamless hosiery mills, specializing in men’s and children’s hosiery
although some make women’s hosiery, use cotton yarns predomi­
nantly. Earnings of plant workers making women’s seamless hosiery
were the highest in most occupations, and earnings in children’s
hosiery were the lowest.
1 This report was prepared by Hilda W. Callaway of the Bureau’s Wage Analysis Branch. Detailed
“ . m a t 10“ on waSes may be obtained from a mimeographed report: Wage Structure—Hosiery. 1946.
wage statistics, by locality, are available in the Bureau’s regional offices.
2 Altogether 393 representative mills employing 64,250 workers were surveyed, or nearly one-half of the
mills with 8 or more employees representing 58 percent of the employment in the entire industry and in each
ranch. The number of full-fashioned and seamless hosiery mills studied was 187 and 206, respectively.
Those mills which produced both full-fashioned and seamless hosiery were tabulated according to major
product. Similarly, independent dyeing and finishing hosiery mills were also included in the study.

954


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955

WAGE AND HOUR STATISTICS

Full-Fashioned Hosiery

Straight-time average hourly earnings3 of full-fashioned hosiery
mill workers (97 cents) exceeded those in many other consumer
goods industries in January 1946. Men, comprising over two-fifths
of the mill workers, averaged $1.24 an hour, or 59 percent more than
women plant workers (78 cents). Few of the women and 1 out of
every 7 men earned over $1.70 an hour. At the lower end of the wage
scale, only an eighth of the men compared to more than a third of
the women averaged less than 65 cents an hour (table 1).
REGIONAL DIFFERENCESIN^W AGE LEVELS

There is a scatteiing of mills in other regions but the Middle Atlantic
States and southeast each account for about 40 percent of all mill
workers in the industry and therefore determine the national wage
pattern. Average hourly earnings in the Middle Atlantic States were
11 percent above the national average of 97 cents; in the Southeast
they were 9 percent below that level.
1.—Percentage Distribution of A ll Plant Workers in Full-Fashioned Hosiery
M ills by Straight-Time Average Hourly Earnings,1 Selected Regions, January 1946

T able

Average hourly earnings
(cents)

United Middle
States2 Atlan­
tic

Under 45.0_
__ _ _ __
45.0-49.9
50.0-54.9......................... .
55.0-59.9.
60.0-64.9
65.0-69.9_______________
70.0-74.9
75.0-79.9_______________
80.0-84.9
85.0-89.9
90.0-94.9
95.0-99.9
100.0-104.9
105.0-109.9

2.4
2. 2
4. 8
8.6
6.6
6.8
5.4
5.5
5. 4
4.3
4. 1
4. 0
4. 0
3.3

110 0 - 1 1 4 0

115.0-119.9
125.0-129.9_____________
130.0-134.9_____________

South­
east

0.5
1.0
1. 7
7.9
4.6
5. 5
4. 4
5.1
5.9
4.8
4.6
4.8
4.1
4.0

4.4
3.6
6. 4
9. 5
9.1
8.1
6.7
5.6
4. 7
3.4
3. 3
3. 2
3.8
2. 7

3 3

3 R

3 0

2.6

3. 1

2.3

2.6
2.5

3^0
3.1

2.5
2.3

Average hourly earnings
(cents)
135.0-139.9_____________
140.0-144.9
________
145.0-149.9__ __________
150.0-159.9_ ___________
160.0-169.9 ___________
170.0-179.9_____________
180.0-189.9
190.0-199.9____________ _
200.0-209.9. ___________
210.0-219.9- ___________
220.0-229.9 __ __________
230.0-239.9_ __________
240.0-249.9. _____________
250.0-and over. _ _ .

South­
United Middle
States2 Atlan­
east
tic
2.4
2.0
1.9
3.0
2.7
2.1
1.6
1. 0
.7
.5
.3
.2
.1
.3

2.9
2.4
2. 3
3.8
3. 4
2.7
2. 2
1.6
1. 2
.9
.6
.3
.2
.7

2. 2
2. 0
1.6
2.0
1.9
1.3
.8
.4
.2
.1
.1
(3)
(3)
(3)

100. 0

100.0

100.0

Average hourly earnings1 $0. 97
Total number of workers. 56,450

$1.08
22, 425

$0. 88
22, 725

T otal___

1 Excludes premium pay for overtime and night work.
2 Includes data for other regions in addition to those shown separately.
3 Less than . 05 of 1 percent.
3
The figures presented exclude premium overtime, shift differentials, and nonincentive bonuses (such as
Christmas and profit-sharing) but include cost-of-living bonuses. In addition, earnings of inexperienced
beginners, apprentices, and handicapped plant workers are included in the over-all averages and distribu­
tions but excluded from the occupational data; administrative, professional, and executive personnel were
omitted entirely from the study. Field representatives of the Bureau obtained the data from January
1946 pay rolls and other related records of the cooperating hosiery mills. Estimated employment on all
shifts in hosiery mills with 8 or more employees is shown, instead of employment in the mills actually
studied.


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956

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Middle Atlantic hosiery mills are concentrated in two relatively
high wage areas—Philadelphia and Reading—and a few are scattered
in other localities of Pennsylvania, New York, and New Jersey.
Competition for labor in this region is generally greater than in the
Southeast where such comparatively low-wage industries as textiles
and furniture are among the major bidders. As a result, there are
marked differences in earnings between the two regions. Hourly
earnings of men single-unit knitters, for example, were 27 percent
higher in Middle Atlantic hosiery mills than in the Southeast; similarly,
women seamers averaged 26 percent more and folders and boxers 15
percent more in the former region. The over-all averages shown
below illustrate the differences between the key wage areas in January
1946, as well as the differences in earnings of men and women.
Middle Atlantic:
Philadelphia
Reading____ _________
Southeast:
Charlotte..
Winston-Salem.. _
Chattanooga
S ta tesv ille__ __

Average hourly earnings
Total
Men
Women

_____ $1. 13
_____
1.13
_____
_____
_____
_____

1 . 00

.9 7
.90
.80

$1. 42
1. 41

$0. 91
. 87

1. 33
1 . 21
1. 25
1. 03

. 79
. 78
. 69
. 67

OCCUPATIONAL DIFFERENCES IN WAGE LEVELS

Essentially, the difference between men’s and women’s earnings
resulted from the concentration of the former (about three-fifths) in
skilled knitting occupations, such as footers, leggers, and single-unit
and backrack-converted-machine knitters. In these knitting opera­
tions, men’s earnings varied from $1.17 to $1.86, depending on the
number of machine sections handled and the gauge of the hosiery.
The installation of the single-unit type machine in recent years,
coupled with the manpower shortage during the war, stimulated the
employment of women as knitters. However, the number of women
employed in this group of occupations was still comparatively small in
January 1946. Earnings of both men and women knitters (as shown
in table 2) were far above those of workers employed in the other key
occupations, except for fully experienced machine adjusters and fixers.


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957

WAGE AND HOUR STATISTICS

T a b l e 2 . — Straight-Time Average Hourly Earnings 1 in Full-Fashioned Hosiery M ills,

by Occupation and Sex, Selected Regions, January 1946
United States 2
Occupation and sex

Middle Atlantic

Southeast

Number Average Number Average N umber Average
hourly
of
hourly
hourly
of
of
workers earnings workers earnings workers earnings

Men
Adjusters and fixers, knitting machines:
Oyer 4 ypars’ experience
_ __________
Under 4 years’ experience______________
Adjusters arid fixers' looping and seaming
machines over 4 years’ experience. ________
“Boarders machine
__ _______ ________ Carpenters niaintp.na.nce
Dyeing-machine tenders, h o sie ry .___________
Electricians maintenance
______ _______
Janitors
____________ ____________
J^nitters footer
__ ________ _____
24 sections or less, helow 45 gauge _ .
____
24 sections or less, 45 gauge and up _ _ ____
20 and 28 sections, below 45 gauge _ ______
9.fi and 2 8 sections, 45 gauge and up
______
Over 2 8 sections, 45 gauge and up _______
Knitters legger
____ _____ _______
24 sections or less, below 45 gauge_________
24 s^ctinn^ or less 45 gauge and up _ _ ____
9fi and 9 8 sections, 45 gauge and up _ _ _ ..
Oyer 9 8 sections 45 gauge and up _______
Knitters single-unit and backrack
________
Machinists maintenance
_____________
Maintenance men, general utility_____________
Mechanics maintenance
__
___ ___ ______
Stock clerks
_ _ _______________ — -------Truck drivers
_ _ _ ________ ________ __ _______
Truckers, hand
__
_ __________ ______
__ ______ __
Watchmen
_
_
Working foremen processing departments . . .
Women
hoarders, machine _ __ _ _ _ _ ____________
Folders and boxers
_ _ _ ______
_______________
Inspectors, hosiery
_ __________________
Janitors
______ ________ _________
Knitters, legger:
24 sections or less below 45 gauge _ _ ____
Knitters single-unit and backrack
_
_
Loopers, toe only:
Oyer 1 year’s experience
.
___ Under 1 year’s experience _____ __ . .
Loopers, toe and heel:
Oyer 1 year’s experience
Under 1 year’s exp erien ce.____
Menders hand
_ _
_____ ___ __ —
Pairers
_ _______
. ______
Reamers
____ _ ______ ______
Stampers
_________________________
Stock clerks
_____
___ _ _ — . .
Toppers
________
-- —
-------Working foremen processing departments____

700
102

$1. 52
1.17

210
30

$1. 58
1.22

356
57

$1.50
1.14

147
1,127
57
271
96
473
1,343
462
416
81
175
209
4, 715
1,670
2,025
727
293
9,540
137
132
58
176
76
240
628
223

1.22
1.07
.98
.80
1.06
.60
1.54
1.31
1.53
1.68
1.71
1.86
1.34
1. 17
1.38
1.49
1.64
1.47
1.10
.89
1.12
.73
.79
.65
.59
1.20

46
590
24
108
40
142
510
142
158
50
80
80
1,632
672
826
102
32
4, 672
62
42
30
90
36
60
264
72

1.20
1.14
1.01
.86
1.00
.65
1.73
1.55
1.65
1.80
1.82
2.06
1.42
1.28
1.45
2.02
1.79
1.62
1.02
.96
1.10
.71
.88
.68
.59
1. 19

76
468
13
105
25
226
511
223
150
24
50
64
2,058
699
753
398
208
3, 620
35
51
11
29
24
146
239
86

1.23
.97
.84
.71
1.10
.55
1.28
1.20
1.31
1.43
1.38
1.40
1.24
1.09
1.26
1.29
1.58
1.28
1.17
.87
1.03
.73
.68
.63
.56
1.17

1,877
1,345
2,473
85

.94
.76
.72
.57

636
598
896
20

1.08
.82
.77
.61

751
465
1,194
46

.82
.71
.68
.54

166
705

.91
1.06

10
68

1.26
1. 44

100
523

.97
1.06

1,497
128

.82
.56

430
32

.91
.62

764
78

.78
.55

1,565
186
2,182
1,797
5,328
410
196
3,817
242

.81
.60
.78
.87
.83
.71
.64
.83
.81

790
108
914
858
2,174
218
108
1,356
78

.87
.67
.85
.92
.92
.73
.65
.94
.86

536
70
840
582
2,275
153
54
1,590
106

.71
.48
.69
.80
.73
.68
.62
.70
.76

1 Excludes premium pay for overtime and night work.
2 Includes data for other regions in addition to those shown separately.
VARIATION BY UNIONIZATION, SIZE OF MILL, AND SIZE OF COMMUNITY

In the Middle Atlantic region, the earnings of men and women in
union mills (employing 62 percent of the workers) were 1 and 2
percent higher, respectively, than in nonunion mills. In the South­
east, where only 19 percent of the workers were under union contracts,
the organized sector of men averaged 3 percent more and the women
1 percent less than those in nonunion mills.
With few exceptions, workers in the largest mills (over 250 em­
ployees) showed a distinct wage advantage. For example, single722250—46------ $


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958

MONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

unit knitters (an important occupational group) averaged $1.60 in
the largest mills; $1.40 in mills with 8 to 50 workers; and only $1.35
in the intermediate size group.
Size of community also showed a marked correlation with wage
levels. To illustrate, on a national basis hourly earnings of single­
unit knitters (men) averaged $1.26 in the towns under 25,000 popu­
lation; $1.68 in the cities of over 100,000 population; and $1.41 in cities
of intermediate size. The Middle Atlantic region followed the
national pattern fairly closely. In the Southeast, the highest earn­
ings were most frequently observed in cities with 25,000 to 100,000
population; Charlotte and Winston-Salem, with hourly earnings
averaging $1.00 and 97 cents, respectively, fall within this class.
WAGE AND RELATED PRACTICES

In January 1946, the 40-hour work schedule was the most prevalent;
longer hours for men (usually 45, 48, or 50) were in effect in about twofifths of the mills studied. Scheduled hours in excess of 40 for women
were reported by about a fourth of the mills, with the greatest propor­
tion in the Southeast. Extra shift operations were also reported by
164 out of 187 mills. The differential for second-shift workers (paid
by less than half of the mills with extra shifts) was generally 5 cents,
added to the hourly rate of first-shift workers.
About a third of the mills (including a larger proportion of those in
the Southeast than in the Middle Atlantic States) gave plant workers
a bonus, usually at Christmas time. When averaged over all plant
workers in the industry, such nonproduction bonuses added less than
one-half of 1 cent to the workers’ hourly pay. In the important
Philadelphia area, only 7 of the 25 mills studied granted bonuses in
contrast with 10 of the 13 mills studied in the Winston-Salem area.
The amount paid to all plant workers in the latter area averaged 1.1
cents an hour as compared to two-tenths of 1 cent in Philadelphia.
Similarly, insurance and pension plans were more prevalent in South­
eastern than in the Middle Atlantic mills. Health and life insurance
were most common. With respect to paid vacations, the regional
positions were reversed. Less than half of the Southeastern hosiery
mills and over four-fifths of those in the Middle Atlantic area granted
paid vacations (usually 1 week) to their plant workers. To some
extent, this reflects the more extensive unionization in the Middle
Atlantic mills, as paid vacations have become a standard feature of
union agreements.
Seamless Hosiery
In contrast with the full-fashioned branch of the industry, straighttime average hourly earnings of seamless hosiery workers were
extremely low—58 cents for women and 75 cents for men. The men
averaged 3 cents less an hour than women in full-fashioned mills.

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959

WAGE AND HOUR STATISTICS

The lower level of skill, the predominance of women (almost threefourths of the total), and concentration in the Southeast are impor­
tant factors accounting for lower earnings in the seamless branch than
in the full-fashioned branch of the industry.
REGIONAL DIFFERENCES IN WAGE LEVELS

Seamless hosiery mills are concentrated in the Southeastern States.
All but 28 percent of the industry’s workers were in southern mills;
the Middle Atlantic region accounted for 13 percent and the Border
States for 8 percent. Relatively few mills were in New England, the
Great Lakes area, and the Southwest.
T a b l e 3. — Percentage Distribution of All Plant Workers in Seamless Hosiery Mills by

Straight-Time Average Hourly EarningsJ Selected Regions, January 1946
Average hourly earnings
Under 25.0 cents
_______ ___ _______ _ __ _
35 0 37 4 cents
_ _____ - ___ 37 5-39.9 cents
- -___ ____ _______
40 0-49 4 cents
_____ _ _______ ___
42 5-44.9 cents
_______ _
---- -----__ ____ ______
45 0-47 4 cents
________ - _____47 5-49 9 cents
50 0—52,4 cents
___________
-- - ___
52 5—54 9 cents
_ __ ______ ____ _ - 55 0-57 4 cents
____ ______
__
57 5-59 9 cents
___ __________ ___
00 0—
02 4 cents
____
_____ - - - 02 5-04 9 cents
_
__
_
05 0-07.4 cents
_______ _
__- - -----------07 5-09 9 cents
_
__ ______ - ________ 70 0-74 9 cents
__ __ _
__ _____ —
75 0-79 9 cents
_ __ _________ ______
80 0-84 9 cents
__ __________ _ ______ —
85 0 89 9 cents
___
_ ____
90 0—94 9 cents
___________
_____________
95 0-99 9 cents
__ __ __ _ _ _ _ -----------100 0-109 9 cents
- ___
110 0-119 9 cents
__ _
_
____ - _______
120 0-129 9 cents
_________ _____
- ______
1 30 0-139 9 cents
__________ _______ _ -- 140 0-149 9 cen ts
___________ - ________
1 50 0-159 9 cen ts
_ __ ____ _____ _____
160.0 cents and over________________________________

United
States 2

Middle
Atlantic

Border
States

Southeast

(3)

(3)

(3)

(3)

0.5
.1
10.5
2.6
5.8
3.6
10.5
4.7
7.6
5.3
6.2
4.4
5.1
3.5
7.0
6.1
5.2
2.8
2.1
1.3
2.4
1.4
.6
.4
.1
.1
.1

100.0
$0.63
Average hourly earnings i
_______ _________
51,800
Total number of workers------------------------- -------------1 Excludes premium pay for overtime and night work.
2 Includes data for other regions in addition to those shown separately.
3 Less than .05 of 1 percent.

3.5
2. 1
3.3
1.8
8.4
3.7
14.2
4.5
6.0
4.7
5.7
4.4
10.9
7.1
5.5
3.1
2.9
1.8
2.8
2.0
.8
.3
.2
.2
.1

1.1
.2
19.9
3.9
8.5
6.4
12.0
5.8
6.1
5.0
5.0
4.0
3.4
2.2
3.4
3.0
2.6
1.3
1.8
1.0
1.2
.9
.5
.2
.2
.1
.3

100.0

100.0

(3)

$0.67
6.625

$0. 57
4,175

0.5
.1
11.4
2.7
6.2
3.6
10.8
4.8
6.9
5.6
6.1
4. 4
5. 0
3.4
6. 5
6.2
5. 4
2.9
1.8
1.1
2.2
1.2
.5
.5
.i
,i

«
100.0
$0.62
37,675

Regionally and occupationally, earnings varied little from the na­
tional pattern. The Middle Atlantic region, as indicated below,
tended to pay higher wages than any other area, and frequently earn­
ings in the Border States were below those in the Southeast.
Middle Atlantic:
Philadelphia______
Reading_________
Southeast:
Winston-Salem___
Chattanooga_____
Knoxville________
States ville-Hickory

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Average hourly earnings
Women
M en

Total
$0. 69
. 65

$0. 86
. 77

$0. 65
. 62

.
.
.
.

.
.
.
.

.
.
.
.

69
63
58
61

79
73
69
73

64
67
54
55

960

MONTHLY LABOR REVIEW----DECEMBER 194 6
OCCUPATIONAL DIFFERENCES IN WAGE LEVELS

The great majority of women (71 percent) as against 38 percent
of the men averaged less than 65 cents an hour in January 1946.
Only 1 percent of the women compared to 16 percent of the men had
earnings of $1.00 or more. Even when employed in the same occu­
pation, men usually had a wage advantage over women, varying from
8 to 50 percent; transfer knitters, alone of all the occupational groups
studied, showed the same average earnings of 60 cents an hour for
both sexes (tables 3 and 4).
T a b l e 4.

Straight-Time Average Hourly Earnings 1 in Seamless Hosiery Mills,
by Occupation and Sex, Selected Regions, January 1946
U n it e d
S ta te s 2

O cc u p a tio n a n d sex

M id d le
A t la n tic

N u m ­ A ver­ N u m ­ A ver­
age
age
ber of
ber of
w o rk ­ h ou rly w o rk ­ hourly
ea rn ­
earn­
ers
ers
in g s
in g s

B o rd er
S ta te s

S o u th e a st

N u m ­ A ver­ N u m ­ A ver­
age
age
ber of
ber of
w o r k ­ hourly w o rk ­ h o u r ly
ea rn ­
earn­
ers
ers
in g s
in g s

Men
Adjusters and fixers, knitting machines:
Over 4 years’ experience______________
Under 4 years’ experience____ ____ ____
Adjusters and fixers, looping and seaming
machines:
Over 4 years’ experience______________
Under 4 years’ experience________ _
Boarders, machine_______________________
Dyeing-machine tenders, hosiery
Janitors________________________________
Knitters, automatic________________ l . :
Knitters, flat-bed___________________
Knitters, rib________ _________________
Knitters, string_______________________
Knitters, transfer_____________________ ]]]
Machinists, maintenance__________
Maintenance men, general utility_________
Stock clerks________________________
Truck drivers__________________~~~ ] ...........
Truckers, hand_____________ _
Watchmen__________________”__ IIZIIZIII
Working foremen, processing "departments..

2, 381
456

$0. 99
.8 0

275
42

$1.02
.91

140
63

$0. 93
.7 9

1,831
337

$0.99
.7 8

193
53
2, 382
376
327
1,491
85
228
151
108
45
135
176
106
265
488
315

.8 9
.7 9
.7 2
.6 4
.5 4
.71
.8 0
.6 4
.6 7
.6 0
.9 6
.81
.6 2
.6 4
.5 7
.5 4
.9 9

41
6
135
31
16
46

.9 4
(3)
.7 9
.8 2
.5 9
.8 2

.8 9
(3)
.6 9
.6 0
.4 7
.6 5

135
43
2,065
297
275
1,380

.8 7
.7 8
.71
. 62
. 54
.7 1

30
29
10
4
19
17
16
17
50
54

.6 7
.8 5
.6 7

12
4
134
36
19
30
3
17
23
11
1
2
15
6
32
19
14

.5 5
.51
.6 7
(3)
(3)
.5 8
(3)
.51
.5 2
.8 9

172
94
87
26
89
136
80
186
387
190

. 63
.6 4
. 58
.8 3
.7 6
.61
.61
.5 7
.5 3
.9 6

1,674
886
1,730
924
2,695
71
2, 205
61
399
757
3, 554

.61
.5 5
.6 0
.6 0
.5 8
.4 7
.6 4
.6 3
.5 9
.6 2
.6 0

33
118
330
234
242
6
335
6
162
217
608

.6 5
.71
.6 5

116
78
156
27
199
3
94
2
31
120
324

.5 6
.4 8
. 50
.5 7
.5 2
(3)
.5 7
(3)
.5 4
.5 5
.5 5

1,421
679
1,155
625
2,134
61
1,609
53
185
389
2,466

.6 0
.5 5
.6 2
.5 8
. 58
.4 6
.6 5
.6 3
.5 4
.5 8
.5 9

7, 753
1,238
1,487
2,180
804
130
67
236

.6 2
.4 6
.5 7
.61
.5 9
.5 5
.5 3

1,058
132
202
243
99
9

.6 7
.5 2
.6 0
.6 0
.5 8

599
115
102
102
61

5, 676
887

( 3)

11

.5 2
.4 3
.4 9
. 58
.4 9
.61

8

( 3)

5
10

.6 2
.4 4
. 56
.6 2
.6 0
.5 3
.5 4
.6 4

( 3)

.9 3
.7 1
.7 7
.5 9
.5 5
1.02

(3)

Women
B o a r d e r s, m a c h in e __________ ______
C l i p p e r s . .. . __________________
F o ld e r s a n d b o x e r s____________ "I
H e m m e r s ______________________________ y
In s p e c to r s , h o s ie r y ___________________
J a n ito r s ________________________
K n itte r s , a u t o m a t ic _____________
K n itte r s , fla t-b e d ___________________
K n itte r s , r ib ________________________
K n itte r s , s tr in g _____________________
K n itte r s , tra n sfe r __________________
L oop ers:
O v er 1 y e a r ’s e x p e r ie n c e _______________
U n d e r 1 y e a r ’s e x p e r ie n c e ..
M e n d e r s, h a n d _________________
P a ir e r s _________________________
S ta m p e r s _____________________ ” ” 1111111""
S to c k c le r k s . ______ __________
T r u c k e r s, h a n d .............. . I I I I I I I . I I I I I I I I H I '
W o r k in g fo re m e n , p r o c e ssin g "departm ents.

V.V.'.Y.

.6 6

58

.7 2
.5 7
.6 0
.6 5
.5 7
( 3)

.6 7
( 3)

.7 0

’ E x c lu d e s p r e m iu m p a y for o v e r tim e a n d n ig h t w o r k .
In c lu d e s d a ta for o th e r r e g io n s in a d d itio n to th o s e s h o w n s e p a r a te ly .
I n s u ffic ie n t n u m b e r o f w o r k e r s to j u s tify p r e se n ta tio n o f a n a v era g e.


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Federal Reserve Bank of St. Louis

( 3)

.6 4

1 ,0 1 1

1,741
596
105
40
143

WAGE AND HOUR STATISTICS

961

VARIATION BY UNIONIZATION, SIZE OF MILL, AND SIZE OF COMMUNITY

The seamless hosiery industry was less extensively unionized than
the full-fashioned branch. About an eighth of the mills studied were
operating under union agreements in January 1946; they employed
about a sixth of all workers in the industry. Though few in number,
union workers had a greater wage advantage in seamless than in
full-fashioned hosiery mills. The differential for the industry as a
whole was 6 percent; in the Southeast alone, it was 10 percent.
Half of the seamless hosiery mills studied employed 51 to 250
workers, a third had a larger number, and the remainder had 50 or
less. Earnings for both men and women tended to be highest in the
largest mills. The difference frequently did not exceed 5 cents except
for a few jobs in which wages were related to productivity.
In most occupations, workers employed in mills located in cities
of 25,000 to 100,000 population were the highest paid. They earned
up to 32 percent more than workers in the smallest communities
(less than 25,000 persons). Between medium-size cities and metro­
politan centers of over 100,000, the wage spread was considerably
less in the majority of the key jobs studied.
WAGE AND RELATED PRACTICES

As in the full-fashioned hosiery branch, the typical workweek in
seamless hosiery was 40 hours. In the Southeast, over 10 percent
of the mills scheduled 48 hours for men and women alike. A majority
of the mills (including four-fifths of those in the Southeast) operated
extra shifts but seldom provided a wage differential for late work.
Only 23 of the 149 mills reporting extra shifts generally added 5
cents or 5 percent to the first-shift hourly rate for such work.
Over half of the seamless hosiery mills, compared to a third in
the full-fashioned branch, gave their workers a nonproduction bonus,
usually at Christmas. When averaged over all plant workers in the
industry, the bonus added eight-tenths of 1 cent to the hourly rate—
twice the amount estimated for full-fashioned hosiery workers.
Although paid vacations and insurance or pension plans are fairly
widespread practices in most industries, less than a half of the seam­
less hosiery mills reported such plans for plant workers. Practically
all of these mills allowed 1 week’s vacation with pay and provided
health- or life-insurance benefits.


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Cooperatives

Activities of Credit Unions in 1945
THE slight upward trend in business done by credit unions in the
United States in 1944, after a serious decline during the war years,
was continued in 1945, although the total of loans made was still
more than 40 percent below the peak of 1941. This increase took
place in spite of a slight reduction in number of loans made, indicating
a rise in the average size of loan. Share capital and assets which
(notwithstanding the otherwise adverse business experience of the
credit unions during the war) have continued to rise steadily, main­
tained their upward pace in 1945, showing increases of 8.1 and 9.2
percent, respectively. Reserves fell somewhat, however, both in
amount and in relation to loans outstanding, declining as regards
the latter from 20.7 percent in 1944 to 19.4 percent in 1945.
Both net earnings and dividends paid on share capital increased as
compared with 1944. For 1945, credit union members received
nearly $5,900,000 in dividends on their shares.
Because 398 credit unions went out of existence (some of them
undoubtedly in war plants now closed) and only 239 were newly
chartered, the total number of associations fell from 9,041 at the end
of 1944 to 8,882 at the end of 1945. Partly as a result of this, the
total membership declined 3.3 percent.
The State-chartered credit unions fared better during the year than
the Federal associations.1 Their membership declined 0.5 percent, as
against 6.7 percent for the Federal associations; they increased their
business by 0.8 percent, whereas the loans made by the Federal credit
unions fell 0.1 percent. The increases in assets of the two groups of
associations were 11.0 and 6.1 percent, respectively.
Data on membership and business of credit unions in 1944 and 1945
are given in table 1.
1 For the State-chartered associations the statistical data on which the present report is based wereiu most
cases furnished to the Bureau of Labor Statistics by the State official—usually the Superintendent of Banks_
charged with supervision of these associations. Keports were received from all States except Iowa. For
that State and for certain items concerning which some States do not require the associations to report,
estimates were made, based on the trend in other States and on the trend of the other items in the same State.
All of the information for the Federal credit unions was supplied by the Credit Union Division of the Federal
Deposit Insurance Corporation.

962


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963

COOPERATIVES
T able

1.—Operations of Credit Unions in 1944 and 1945, by States
[S om e r e v is io n s in 1944 fig u res, o n b a sis o f la te r reports]

Number of
associations 1
State, and type of
charter
♦

Year
Total
1945
2 1944
1945
2 1944.
_ 1945
1944

All States________________
State associations_____
Federal associationsAlabama- _ _

...

1945

_

Arizona ............

2 1944

. .

Arkansas__________ _____
C alifornia_____ . . . ___Colorado.

_ ___

C onnecticut4. - - ____ . . .
Delaware 4_______ . . . . .
District of Columbia. . ...
Florida_________ ______
Georgia_________________
Haw aii4_________________
Idaho__________________
I llin o is ________ _______
Indiana... .

....

Iowa ______ _

.. _

. . . . . -.

Kansas--------------------------Kentucky_______________
Louisiana____ . . ---- .
M aine____

. ...

. .

Maryland_______________
Massachusetts. ____ ____
Michigan _______________
Minnesota_____ .

... ...

M ississippi_________ ____
Missouri--------- ----------Montana___

. . . . . .

Nebraska------- ---------------N ev a d a 4 ___

.

New Hampshire
New Jersey. . .

___
.

___

..

N ew Mexico 5
N ew York . .

. ______

North Carolina-- _

1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
21944
3 1945
1944
1945
2 1944
1945
1944
1945
2 1944
1945
1944
1945
1944
1945
1944
1945
2 1944
1945
2 1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944

See footnotes at end of table.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

8,882
9,041
4,923
4, 993
3,959
4,048
78
80
23
24
25
27
444
451
106
107
186
185
10
10
112
114
160
168
132
135
96
97
31
33
762
766
297
299
195
201
112
117
104
108
131
139
38
44
64
65
539
537
248
253
325
332
26
27
369
378
40
40
89
96
4
4
16
15
247
240
14
14
753
763
195
173

Number

Report­ members
ing
8. 615
8, 702
4,858
4,907
3, 757
3, 795

2, 838,034
2,933, 507
1,621,409
1,629,706
1,216, 625
1, 303, 801

76
28,258
26,806
77
22
3, 285
24
3,419
25
3,059
2, 862
26
432 ■>171,391
442 a 184,969
102
25, 999
100
25, 645
180
75,118
89, 517
179
2,126
9
2,114
9
62,095
108
66,099
106
156
35, 202
162
34, 991
33,837
128
131
34,117
36,112
95
96
37,753
31
3 3,971
31
3,895
330, 830
758
756
290,032
3 93, 502
295
294
3 97,967
195
40, 779
41, 395
196
110
25,068
111
27,914
103
3 24, 582
•>26, 649
107
125
3 32,405
3 32, 241
132
9, 273
35
35
9,080
25,109
60
60
26, 748
535
255,007
532
257, 260
108, 633
240
114,320
241
324
65, 734
329
66,696
3 5, 553
23
24
6, 640
88,761
340
359
90,834
7,175
37
6,382
37
19,381
87
88
20, 595
584
4
562
4
14
5, 698
6,151
14
99,042
237
114, 225
233
1,304
13
14
1,324
721
258,397
279,116
729
35,471
168
29, 387
151

Number
of loans

Amount of loans—

during
year

Made dur­
ing year

1,511,851
1,591,132
909, 922
926, 518
601,929
664,614

$21.0,885, 783
209,955,479
132,616,939
131,621,582
78, 268,844
78,333,897

34, 261
3 26,948
3 1, 367
3 1,350
1,824
1,685
3 78, 839
3 89,047
3 17, 312
3 18, 259
41,755
47,962
1,003
1,148
3 33, 236
3 38,052
22,659
25, 251
3 22,879
3 22, 744
11,116
10,076
1,405
1, 329
3 238, 519
3 226, 575
3 44, 616
3 51, 326
18,446
18,921
13,056
3 14,423
3 16,209
3 15,214
3 17,008
3 17,270
3, 672
3,987
3 17,395
3 17,458
3 122,570
3 122, 591
50,172
3 51,950
28,713
3 33,389
3 4, 787
3 5,784
3 41,887
3 44,328
3 2,952
3 2, 284
8,795
9,882
108
104
3 3,017
3 3, 557
£0, 390
63,925
333

589
3 127,090
3 144,310
3 17, 801
17,822

4,147,161
3,155, 213
3 339,842
547,043
194, 567
163,980
3 12,926, 276
3 13,481,423
3 2, 247, 274
3 2,105, 359
4, 821, 201
5, 742, 389
132,166
139,085
3,825,016
3, 881,868
3, 683,161
3, 248, 585
3 3,090, 362
3 2, 886,066
2,155,997
1,941,163
185,467
173, 653
28,929,683
25, 698, 370
3 5,755,008
3 6, 278,072
2, 397, 601
2,420,443
1,971,470
3 1,952, 696
3 1,841,919
3 1,752,616
3 2,158,785
3 2,143, 350
450,641
441,178
3 1,942, 507
3 1,883, 517
22,917, 547
22,654, 669
8, 683,432
3 8, 437, 474
4,598,703
3 3, 662, 418
3 462,150
3 530,087
3 4,868,432
3 5,432,884
3 440, 493
3 373,912
1, 253,906
1,320, 588
16,185
13,004
3 760.720
3 788,041
5,809, 257
6,382,951
46,262
63,358
3 20,785,191
3 23,601,108
3 2,078,429
2,088,966

Outstanding
end of year
$126,277, 698
120,955,395
91,122, 284
86, 551,928
35,155,414
34,403,467
1,929, 705
1, 534,975
135,613
117,812
113, 615
86,860
8,171, 810
7, 761, 778
1,349, 980
1,151,187
1, 744,467
1,963, 648
71,371
67, 574
1,976,325
2,065, 336
2,099,007
1, 774,033
2,068, 728
1,896,131
930,429
1,001,467
102, 729
87,049
14,011,222
13,135,592
3, 529,359
3, 378,962
1,771, 508
1,825,666
1,082,077
1,071,793
3 1, 366,101
1, 366,019
1,066,420
3 1,037, 703
261, 743
237,840
804, 623
784,897
16, 436,055
15,466,050
6, 389, 549
5,981,086
6,808,028
5, 451,077
191,042
226,352
3,116,292
3,185, 792
261,103
201,345
730,378
717,155
9,386
7,169
640,080
653,906
2,416, 596
2,632, 417
25,220
28, 217
12,608,773
12,898,928
1,934, 614
1,256,073

964

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T able 1.— Operations of Credit Unions in 1944 and 1945, by States— Continued
Number of
associations 1

State, and type of
charter

Year
Total

North Dakota________ - _
Ohio______ _________ . . .
Oklahoma...

_ . _ ______

Oregon.

_____

._

Pennsylvania_______
Rhode Island

_.

_ _

.

South Carolina___________
South D a k o ta 4.

.

..

Tennessee. ________ ____
Texas___________________
U tah________________ _
Vermont. ____ _.

_____

Virginia_________________
Washington_____________
W est Virginia__________ .
Wisconsin______________
Wyoming 4____________

1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944

93
97
583
589
71
75
71
75
586
587
36
37
35
39
32
32
117
127
334
350
64
66
10
9
86
91
178
188
63
67
534
551
18
19

Number
of
members
Report­
ing
87
80
567
575
66
72
68
71
571
560
35
34
29
31
32
32
115
124
319
328
62
65
9
9
83
86
174
180
59
60
534
548
17
18

11, 766
10, 589
188, 522
214,099
3 16, 225
16, 513
12, 491
13,053
213, 503
224,151
26, 648
25, 792
6,922
7,688
4,818
5.176
33,903
34, 567
76, 217
77,952
11,375
11, 577
1,692
1, 562
23,391
25, 396
35,404
37, 739
15,318
15,857
144, 594
151,509
2, 504
2,582

Number
Amount of loans—
of loans
made
during
Made dur­
year
Outstanding
ing year
end of year
3,300
3, 241
84,927
97, 508
3 7, 760
3 7, 737
4,420
5,135
106,331
111,023
6, 275
7,062
5,651
5,346
1,970
2,547
3 26, 412
3 27,298
3 44,953
3 45,870
3 10,152
3 7,625
3 1,108
1,265
16, 519
14,366
3 15,846
3 18, 999
9,839
3 7,983
70,319
77,640
877
947

$1,115,835
738,280
11,896,005
12,317,470
3 1,330,282
3 1, 238,328
749,837
811,167
13, 435, 747
13,406,338
2, 445,642
2,023,922
416, 753
427, 749
236; 954
273,901
3 3,788,965
3 3, 581,047
3 6,133, 740
3 5, 763,109
3 1, 328, 692
3 1, 204, 492
3 76, 395
74,947
1, 619,262
1, 462,221
3 1,947, 710
2, 428,191
1,026; 200
3 764,907
7,265; 449
7, 885,115
155, 504
168,766

$805, 445
486,812
6,012,876
6, 311, 501
' 864; 512
3 710,019
531, 506
544, 424
6,326; 211
6,296; 028
4, 510,639
3, 781, 404
' 204; 162
190, 507
99,457
119; 880
1, 578', 663
1,428,126
3; 229,896
3,063, 612
' 637; 293
567,092
27; 389
27, 554
843; 257
901,198
1, 234,717
3 1, 280; 285
510,424
452; 887
3, 625, 734
3, 655, 518
81, 569
86; 660

1 M o s t of th e d ifferen ce b e tw e e n th e to ta l n u m b e r o f a sso cia tio n s a n d th e n u m b e r re p o r tin g is a c c o u n ted
for b y a s so cia tio n s c h artered b u t n o t in o p e r a tio n b y th e e n d o f th e y e a r a n d a sso cia tio n s in liq u id a tio n w h ic h
h a d n o t r e lin q u is h e d th e ir ch a rters.
2 R e v is e d .

3 Partly estimated.
4 F e d e r a l a s so cia tio n s o n ly ; n o S ta te -c h a r te r e d a sso cia tio n s in th is S ta te .

3 Federal associations only; although State permissive legislation was passed in 1945 no associations had
yet been formed under it.

Fifteen States (Alabama, Arkansas, Colorado, Delaware, Florida,
Idaho, Illinois, Louisiana, Maine, Montana, Nevada, North Carolina,
North Dakota, Rhode Island, and Vermont) showed a membership
increase. Their slight gains, however, were not sufficient to overcome
the losses in members in the other States.
The prewar level of business was reached or exceeded in 1945 by
both State and Federal associations in Alabama, Montana, and Ver­
mont, by the State-chartered associations in Rhode Island, and by
the Federal credit unions in Utah.
Data on the financial status of credit unions, by States, is given in
table 2.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

965

COOPERATIVES

T able 2. —Assets and Earnings of Credit Unions, 1944 and 1945, by States
Number of
associations 1
State, and type of
charter

Year

1945
1944
State associations. 1945
1944
Federal associations_________ 1945
1944

All States_______ . . .

Paid-in
share
capital

Reserves
(guaranty
fund, gen­ Total assets
eral reserve,
etc.)

DiviNet earn­ dends
on
ings
shares

Total

Re­
port­
ing

8,882
9,041
4, 923
4, 993

8,615 $366,201,586 $24,506,019 $434,627,135 $7,839,810 $5,888,412
8,702 338,713,383 25,081,703 397, 929,814 5, 716,736 5,122,454
4,858 225,587,624 19, 595,211 281, 524,015 5,278,300 3,781,036
4,907 205,127,236 17,023,389 253,663,658 3, 507,152 3, 368,794

3,959
4,048

3,757
3,795

1945
78
1944
80
1945
23
1944
24
24
Arkansas___________ 1945
1944
28
444
California____ ______ 1945
1944
451
Colorado___________ 1945
106
1944
108
Connecticut3_______ 1945
186
1944
185
D elaw are3. _______ 1945
10
1944
10
112
D ist. of Columbia___ 1945
1944
113
Florida_____________ 1945
160
1944
170
132
Georgia____________ 1945
1944
138
Hawaii___ _______ 1945
96
1944
97
31
Idaho______________ 1945
1944
33
762
Illinois______ ______ _ 1945
1944
766
Indiana____________ 1945
297
1944
297
Iowa............................ 21945
195
1944
201
112
Kansas_____________ 1945
1944
118
1945
104
Kentucky________
1944
108
131
Louisiana_________ 1945
1944
145
38
M aine__________ ._ 1945
1944
44
1945
64
M a ry la n d .... . .
1944
66
539
M assachusetts______ 1945
1944
537
M ichigan___________ 1945
248
1944
253
325
M in n esota _________ 1945
1944
365
M ississippi_________ 1945
26
1944
27
369
M issouri___________ 1945
1944
378
M ontana___________ 1945
40
1944
42
1945
89
Nebraska__________
1944
91
4
N evad a3 . . . . ____ 1945
1944
4
N ew Hampshire____ 1945
16
1944
15
247
N ew Jersey_________ 1945
1944
241
14
N ew Mexico 6______ 1945
14
1944
N ew York__________ 1945
753
764
1944
195
North Carolina_____ 1945
1944
173
See fo o tn o te s a t 2nd o f tab le.

Alabama___________
Arizona____________


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

76
77
22
24
24
26
432
442
102
100
180
179
9
9
108
106
156
162
128
131
95
96
31
31
758
756
295
294
195
196
110
111
103
107
125
132
35
35
60
60
535
532
240
241
324
329
23
24
340
359
37
37
87
88
4
4
14
14
237
233
13
14
721
729
168
151

140,613, 962
133, 586,147
3,490, 315
2,753,163
340, 278
318,418
280,647
219,261
23,072,165
22, 313, 274
3,534,312
2,898,805
10,886, 299
12,849, 767
177,527
161,965
5,851, 332
5,472, 271
5,742,807
4,629, 791
1,599,847
1,425,875
9, 920, 711
8, 785,479
362,180
292,498
47,144,644
42,522, 556
12,893, 396
12,106,052
5,278, 339
5,172, 242
3,104,637
2,805, 222
1,603,451
2,865,077
3,135,173
2, 775, 840
905,029
735,914
2,143,396
2,029,995
34,835,929
30, 893,107
1,897, 722
17, 420,056
10, 445,037
8,995, 484
394,429
508, 580
12,350,600
10, 490,289
631,187
460, 586
2,258,249
2,042, 738
30,220
25, Oil
521,102
490,954
11,997,931
12,027,205
97,912
80, 794
32,051,449
31, 673,401
4,390, 565
2, 796,132

4, 910,808
8,058,314
331, 965
275, 891
16, 331
24, 464
19,108
17, 720
1,192,163
1,487, 572
193,990
229,402
323, 390
548, 399
9,824
13,305
500,025
527,168
228, 720
278, 735
475,877
396, 375
245,751
399, 350
12, 587
17, 595
2, 931,533
2, 924,278
605,425
869,698
282,273
281, 504
125,397
143, 798
237, 313
215,170
229,695
281, 554
80,954
82,502
234,146
230,933
4,094,449
3,176,049
866, 627
826, 662
547,621
547,967
23, 759
53,008
3 554, 521
2 601,875
18, 386
23, 642
119,160
135,202
1,412
1,741
89, 449
85,489
526,189
579,566
5,057
6, 582
3,381,877
3,132,182
168,470
159,545

153,103,120
144,266,156
3, 908, 510
3,081,166
370,860
349,497
314,409
232,625
26,986, 463
25, 910,483
4, 017,658
3, 354,663
12, 517, 942
13,575, 000
192,605
176,276
6,613,620
6, 203, 746
6,191,836
5,014,622
5, 339,232
4, 778,774
10, 558, 538
9,253, 563
382,466
312, 947
51,250, 789
46,666, 917
14,099,255
13, 217,602
6,082, 772
6,037,066
3,372, 538
3, 059,167
3,777,484
3, 304,051
3,468,822
3, 081, 504
1,021,718
889,104
2, 522,736
2,370,134
48,036, 635
42,322,457
21,265,393
19,622, 464
14,132,049
12,231, 282
619,069
589,365
13, 550,872
11, 592,194
679,020
495,219
2,806,406
2,567, 729
32, 588
26, 764
1, 352, 729
1,114,147
13,734,068
13,166, 766
104,125
87, 586
36, 700,864
36,573,853
6,012, 566
3, 571,806

2, 561, 510
2,209, 584

2,107,376
1, 753,660

94,715
76, 509
82,859
62,830
4, 908
7,580
2 4,455
3 4, 908
5,841
6,194
4,932
3,896
2
286,432
2 408, 543
2 407, 721 3 250, 641
2 53, 773
2 77,060
2 72,654
2 51,381
170,143
246,542
158,189
207,095
4,463
4,169
3,391
3,208
115, Oil
202, 550
111,651
170,029
122, 329
89, 530
73,180
3 104,471
2 104,657
3 70, 387
2 63,359
3 100, 237
173,028
136,026
112, 905
158, 711
4,152
5,009
3,824
3,709
938, 364
778,743
322,849
645,723
2 134, 715
2 173, 438
2114,888
2 161, 751
70, 904
45,410
93,051
88, 595
2 31,846
2 45,765
2 31, 585
.2 48,959
2 43, 203
2 28, 979
2 42,401
2 28,474
2 49, 444
2 62,663
40,808
60, 209
12,092
10,333
8,287
10, 526
47,013
64,802
56,182
40,431
* 812,162
1,170, 221
609, 262
379, 626
291,839
306,032
246,189
320,972
203,950
195,008
3 4, 745
170, 283
21, 793
8,361
14, 262
6,356
2162,124
2 97,497
3 160,978
2 95,154
14,370 N 10,049
8,565
6, 486
2 29,888
39,891
24, 207
44,475
456
487
119
287
9,896
32,026
9,966
28,528
196,245
268,184
202,493
171,265
623
816
872
862
558, 692
770, 253
542,878
682, 279
3 23,266
32,680
3 37,909
82,861

966

MONTHLY LABOR REVIEW----DECEMBER 194 6

T able 2. —Assets and Earnings of Credit Unions, 1944 and 1945, by States— Continued
Number of
associations 1
State, and type of
charter

N o r t h D a k o ta .

Ohio.
Oklahoma___
Oregon______
Pennsylvania.
Rhode Island..
South Carolina
South Dakota 3_
Tennessee.
Texas.
TJtah..
Vermont.
Virginia..
W ashington. __
West VirginiaWisconsin____
Wyoming :

Year

1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944
1945
1944

Total

Re­
port­
ing

93
95
583
589
71
75
71
75
586
587
36
37
35
39
32
32
117
127
334
354
64
66
10
9
86
91
178
200
63
67
534'
551
18
19

87
80
567
575
66
72
68
71
571
560
35
34
29
31
32
32
115
124
319
328
62
65
9
9
83
86
174
180
59
60
534
548
17
18

Paid-in
share
capital

$2,153, 649
1, 560, 501
22, 665,272
22, 554,131
954,852
764, Oil
1,657,161
1, 585, 523
22,109, 027
19, 976,363
4,160, 685
3, 713,056
475,998
492,980
495, 777
432,363
4,285, 476
3, 613,033
10, 680, 407
9, 565, 633
1, 441, 870
1,291, 712
67,859
72,201
1, 623, 534
1, 629,188
4,354, 530
4,074,313
1,185, 546
1,009,311
17,144, 895
15,110,319
292, 789
230,943

Reserves
(guaranty
fund, gen­ Total assets
eral reserve
etc.)

$38, 597
29,867
788,602
1,009, 014
79, 711
86,153
91,957
99, 714
831, 494
1,255,130
430, 473
369, 780
30,274
44, 716
19, 794
34, 466
509, 368
367, 724
705, 052
839, 769
72,840
80, 718
2,250
2,584
213, 237
316, 819
348,999
371, 762
109,095
129,608
1, 546,123
1, 453, 581
9,141
15, 375

$2, 233,424
1, 617,913
24, 223, 640
24. 336,012
2,246,601
1,812, 545
1,819,237
1, 749,892
24,033, 969
22,065,186
10, 904,433
9,134,996
537,129
561, 540
531, 688
467,914
4, 939, 793
4, 253, 506
11, 795,192
10, 634,060
1, 612,069
1, 444, 259
81,164
75,826
2,082,280
2,159,086
4, 776, 410
4, 467,146
1, 413,816
1,201, 774
19, 065, 759
16,871,283
309,246
246,337

N et earn­
D ivi­
ings
dends on
shares

$29, 759
17,366
321, 372
288,882
2 43,115
26,130
27, 014
26,027
451,817
380, 534
149, 536
129,433
8, 278
8,053
8,402
7,420
120, 941
57, 534
205, 521
2 221, 783
2 34,015
2 32, 706
1,019
735
39, 775
41,094
95,303
56,318
25, 913
24,446
395, 744
361, 551
6,428
5,489

$16, 756
10,325
278, 563
242,121
2 31,315
19, 521
24,054
21,137
381, 417
331,854
85, 942
75,431
8,058
6,947
8,422
7, 302
97, 514
76, 779
168, 980
2 160,116
2 23, 674
2 21,081
448
398
36,130
31, 496
80, 769
44,981
22,998
22,913
229, 798
219,135
5,334
4,808

i^ ° £ ,0f w ? di£fe£en?e b®t1we®11 tbe total number of associations and the number reporting is accounted
dation whfch hTd f f i S f a q S S S d ^ t h e ^ c t a t e r s Y ^ ^ ° f “ “ ^
&nd associations in Process
2 Partly estimated.
? Federal associations only; no State-chartered associations in this State.
Includes interest paid on deposits by State-chartered associations.
6 Loss.

'^ i'

yet beenrfom eTunderSitn ly ’ although State Permissive legislation was passed in 1945, no associations had


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Labor-Management Disputes

Controversies and Significant Developments,
November 1946
BITU M INO U S coal strike.-—On November 21 practically the
entire bituminous coal mining industry was shut down for the second
time, in 1946 as the miners, members of the United Mine Workers of
America (AFL), stopped work because of a dispute between their
union and the Federal Government, which had been operating the
mines since May 29. The issues involved in the controversy stemmed
from a request of the union to reopen the contract which it had signed
with the Government at the termination of the 59-day work stoppage
in the spring of the year.1
The union contended that the reopening provisions of its 1945 con­
tract with the coal operators had been incorporated into the agree­
ment signed by Secretary of the Interior J. A. Krug and UMWA
President John L. Lewis. Under that particular provision, the union
held it was permitted to submit new wage proposals upon a 10-day
notice and, after 15 days of negotiations, to terminate the contract
following a 5-day notice. The Secretary of the Interior, on the other
hand, took the position that the contract was in full force and effect
for the period of Government operation of the mines and could not
be unilaterally reopened. Secretary Krug agreed, however, to confer
with union representatives, and discussions between union and
Government representatives began November 1. Neither Mr. Krug
nor Mr. Lewis participated in the initial conferences. The union
submitted general demands for wage rate increases, reduction of hours,
increased employer contributions to the health and welfare fund, and
adjustment of issues relating to foremen and supervisory employees.
The union also raised questions of compliance with mining, workmen’s
compensation, and occupational disease laws.
Later conferences involved both the Secretary of the Interior and
the president of the United Mine Workers, but these also did not
result in a solution acceptable to the union. Accordingly, on No­
vember 15, Mr. Lewis gave formal notice of expiration of the con­
tract as of midnight November 20. The same day (November 15)
the Attorney General issued an opinion that the contract signed on
i

See M onthly Labor Review, June 1946 (p. 915).


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967

968

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

May 29 was in effect for the full period of Government operation and
could be reopened only by mutual consent of the contracting parties.
Three days later, Justice T. Alan Goldsborough, of the Federal Dis­
trict Court of the District of Columbia, issued a temporary order
restraining all officials and attorneys of the UMWA from permitting
to continue in effect the union notice purporting to terminate the
Krug-Lewis agreement of May 29, and scheduled a hearing for
November 27. The court order was issued upon application of the
Attorney General, who stated that the notice of termination was “in
fact and in effect” a call to strike. On November 21 an estimated
340,000 miners were reported idle.
Upon complaint, filed by the Federal Coal Mines Administrator,
that the UMWA had violated the restraining order by failing to
withdraw the contract expiration notice, the union and its president
were cited for contempt of court, and trial was set for November 27.
As the trial progressed the district court ruled that the Norris-LaGuardia Act did not apply to the case and on December 3 Justice
Goldsborough found the United Mine Workers and its president in
contempt of court. The following day (December 4) the union was
fined $3,500,000 and President Lewis $10,000. The union indicated it
would appeal the court’s decision, as the Government took further
steps to conserve the Nation’s dwindling stocks of bituminous coal
pending settlement of the controversy and the miners’ return to work.
On December 7 the President of the United Aline Workers directed
each union member in the bituminous coal districts “ to return to work
immediately to their usual employment under the wages, working
hours, and conditions of employment in existence on and before
November 20, 1946.” According to the union’s president this action
was necessary to free the Supreme Court “ from public pressure
superinduced by the hysteria and frenzy of an economic crisis” and
because “ public necessity requires the quantitative production of coal
during such period.”
Maritime strike settled— Final settlement of the three-coast2 stop­
page of licensed maritime workers and longshoremen was achieved
when members of the International Longshoremen’s and Warehouse­
men’s Union (CIO), the Marine Engineers Beneficial Association
(CIO), and the Masters, Mates, and Pilots of America (AFL) ratified
agreements reached on November 17 and 18 with the Waterfront
Employers Association of the Pacific Coast and the Pacific-American
Shipowners’ Association.
Substance of the money provisions in the MEBA and MMP agree­
ments with the Pacific-American Shipowners’ Association were identi­
cal with those reached on the Atlantic and Gulf Coasts by the same
unions. Basic wage rates were raised 15 percent, overtime was set
See M onthly Labor Review, November 1946 (p. 778) for settlements on the East and Gulf Coasts


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969

LABOR-MANAGEMENT DISPUTES

at $1.60 an hour, and the night relief rate at $1.50. The union security
clause of the East Coast contracts for MMP and MEBA provided
maintenance of membership for all but masters, and preferential
hiring for all but masters in separate bargaining units. On the
Pacific Coast the parties worked out special clauses to fit the particular
needs of each contract.
The CIO longshoremen’s agreement with the West Coast Waterfront
Employers’ Association provided for hourly increases of 15 cents in
basic rates and 22% cents in overtime rates. Eligibility for future
vacations will require only 1,344 hours worked a year instead of 1,500.
An impartial three-man Longshore Safety Commission is to be ap­
pointed which will submit recommendations for revising the existing
safety code.
Truck drivers' strike settled.—A 51-day stoppage of truck drivers for
the United Parcel Service in the New York City area was settled on
November 2 when members of the International Brotherhood of
Teamsters, Chauffeurs, Warehousemen and Helpers of America
(AFL), signed an agreement providing wages of $56 and $57 for a
40-hour week.

Work Stoppages in October 1946
APPROXIMATELY the same number of work stoppages (450) began
in October as in September 1946. Somewhat fewer workers (290,000),
however, were directly involved in October stoppages than in the
preceding month (380,000).
T able 1.— Work Stoppages in October 1946, with Comparable Figures for Earlier Periods1
Work stoppages beginning
in the period

Man-days idle (all
stoppages)

Period
Number

Workers
involved

Number

Percent of
estimated
working
time (all
industries)

October 1946 2______________________ ______ ______
September 1946 2_________ ________ ___ ______
August 1946 2___________________________________
July 1946 2________________________________________

450
450
500
480

290, 000
380,000
235, 000
185,000

4, 500,
5,000,
3, 425,
3, 300,

000
000
000
000

0 .6
.8
.5
.5

October 1945..................... .............................. ........................

474

550, 500

8,611, 000

1 .4

4, 025
4, 258
4 ,347
2,551

4, 095, 000
2 ,9 9 6 ,4 0 0
1, 822,400
1, 041, 000

102, 725, 000
23,372, 000
7, 547, 000
1 4 ,859,000

1 .6
.3
.1

January-October:
1946 2_________________________________________
1945__________________________________________
1944__________________________________________
1935-39 average___ ___ . . .
__ ___
___

1 All known work stoppages arising out of labor-management disputes involving 6 or more workers and
continuing as long as a full day or shift are included in reports of the Bureau of Labor Statistics. Figures on
“ workers involved” and “man-days idle” cover all workers made idle in establishments directly involved in
a stoppage. They do not measure the indirect or secondary effects on other establishments or industries
whose employees are made idle as a result of material or service shortages.
2 Preliminary estimates.


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970

MONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

Idleness of workers employed in establishments directly involved
in labor-management controversies declined from approximately
5,000,000 man-days in September to 4,500,000 man-days in October.
In each of these months widespread maritime strikes accounted for
more than a third of the total lost time.
Including disputes continued from earlier months, a total of 750
stoppages were in effect at some time during October. These involved
about 450,000 workers.

,

Activities of the United States Conciliation Service October 1946

Cases closed in October 1946 by the United States Conciliation
Service showed a large increase over the number closed during Septem­
ber. Inclusive of all activities, 1,633 cases involving 605,507 workers
were closed in October, as compared with 1,263 cases involving
396,024 workers in September. A break-down of the cases closed in
October, by method of handling,1 follows:
Cases
closed,

Workers
involved

All methods of handling--------- --------------------------------------------- p 633

go5, 507

Settled by conciliation___________________________________
1 100
Dispute called off------------------------- ----------------------------------- ~ ’ 93
Unable to adjust___________________________________
23
Referred to NLRB and other agencies_______________________
81
Referred to arbitration_____________________
50
Consent elections held or union membership verified__________
12
Decision rendered in arbitration____________________________
82
Technical services completed_______________________________
H
70
Miscellaneous services______________________

454 743
35 ’ 595
2 378
31353
44 ’i^g
1689
13 '406
’ 500

on 790

1 D e t a ile d d a ta o n a c tiv itie s o f th e U . S . C o n c ilia tio n s S e r v ic e w ere n o t a v a ila b le w h e n t h is issu e w e n t
t o p ress.


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Labor Laws and Decisions

Recent Decisions of Interest to Labor1
Fair Labor Standards Act
APPLICATION OF VARIOUS EXEMPTIONS

SEVERAL recent decisions of Federal district courts further clarify
the applicability of some of the exemptions from coverage provided
in the Fair Labor Standards Act.
Motor carriers.—Two decisions of a district court in Kentucky
applied the rule2 that the Motor Carrier Act exemption is limited
to those employees of motor carriers who spend a substantial part
of their time in duties affecting the safety of operation of motor
vehicles. Thus, drivers, drivers’ helpers, mechanics, loaders, and
checkers who were responsible for proper loading were held to be
exempt from coverage, while those engaged in unloading, wheeling,
and working in the warehouse were not.3
Service establishment.—In a Texas suit for the recovery of overtime
and damages under the act, the court held that a company perform­
ing surveys for interstate concerns which are engaged in drilling oil
wells is not a service establishment within the meaning of section
13 (a) of the act, which exempts service establishments.4
Retail establishment.—A coal company sold its products to both
domestic and industrial consumers. In a suit brought to enjoin
alleged violations of the Fair Labor Standards Act,5 the Company
contended it was exempt from the act as an establishment engaged in
retail trade, pointing out that the selling of coal to ultimate consumers
has been recognized in the trade as a retail operation. The court,
however, ruled that the company was not exempt. Following the
decision of the United States Supreme Court in Roland Electric Co. v.
1 Prepared in the Office of the Solicitor, U. S. Department of Labor. The cases covered in this article
represent a selection of the significant decisions believed to be of special interest. No attempt has been
made to reflect all recent judicial and administrative developments in the field of labor nor to indicate the
effect of particular decisions in jurisdictions in which contrary results may be reached, based upon local
statutory provisions, the existence of local precedents, or a different approach by the courts to the issue
presented.
.
2 For discussion of this rule and its application by a circuit court of appeals, see M onthly Labor Review,
iviarcn xato yj. u i ; .

3
Walling v. Silver Fleet Motor Express, Inc., U. S. D . C. W. D . Ky., Sept. 20, 1946, and Walling v.
Huber & Huber Motor Express, Inc., U . S. D . C. W. D. K y., Sept. 20, 1946.
i Straughn v. Schlumberger Well Surveying Corp., U. S. D . C. S. D . Tex., July 22, 1946.
« Walling v. Northwestern-Hanna Fuel Co., U. S. D. C. W. D. Mont., Oct. 3,1946.


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971

972

M ONTHLY LABOR REVIEW— DECEMBER 194 6

Walling (326 U. S. 657), the court pointed out that the test is not
merely whether the customers are ultimate consumers, but whether
the customers consume the product in connection with the production
of goods for interstate commerce. Since in this case more than 25
percent of the gross receipts 6 of the company were derived from sales
to industrial users, the company was not exempt.
Seamen.—A recent decision of a district court in New Jersey 7 estab­
lished the principle that seamen are exempt from the act not only
during the periods in which they are actually engaged in navigation
but also during such time as they are engaged in fitting out and
repairing the employers’ ships.
FURTHER CLARIFICATION OF "HOURS WORKED”

Three recent cases shed additional light on the problem of the extent
to which nonproductive time may be considered “ hours worked” under
the Fair Labor Standards Act.8
Travel time.—Time spent in traveling over the employer’s railroad
and logging roads from its logging camp to the sites of active logging
operations has been held to constitute time worked under the act, for
which compensation is due.9 The court pointed out that, as in the
Mt. Clemens Pottery case, the travel here involved “ physical or mental
exertion (whether burdensome or not) controlled or required by the
employer and pursued necessarily and primarily for the benefit of the
employer and his business.”
Overtime.—Likewise, in a case 10in which suit was brought to recover
for overtime arising from the fact that the employee’s duties included
reporting to work early to open the shop, and staying late to close it,
the court ruled that time spent in the performance of such duties con­
stitutes “ hours worked” under the Fair Labor Standards Act.
Employee subject to call.-—On the other hand, a case arose in which an
ice-plant engineer was subject to 24-hour call to repair break-downs of
equipment, although during the time he was absent from the plant he
was free to go where he pleased, so long as he kepkthe plant informed
of his whereabouts. The court held that his time away from the plant
did not constitute “ hours worked.” “ It sustained the contention of
the lower court that the employee was not “ engaged to wait” but
rather was “ waiting to be engaged.”
6 The 25 percent tolerance for companies engaged in both retail and nonretail operations was established by
the Wage and Hour Administrator and was approved by the court in the Roland case, supra.
7 Walling v Keansburg Steamboat Co., U. S. D . C. N . J., Sept. 3,1946.
8 See Anderson v. M t. Clemens Pottery Co., — U. S. —, June 1946, discussed in M onthly Labor Review,
August 1946 (p. 249).
9 Walling v. Anaconda Copper M ining Co., U , S. D . O. M ont., Aug. 2, 1946.
10 Spilky v . Meyer Rein & Co., U. S. D . C. N . D . 111., Oct. 17, 1946.
11 Dumas v. King (C. O. A. 8th), Oct. 11, 1946.


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LABOR LAWS AND DECISIONS

973

Veterans Reemployment

Officer-employees.—In two recent district court cases the courts
have been faced with the problem of the reemployment rights of officeremployees in two distinguishable factual situations.
In one case 12 the veteran had, prior to his induction, been an em­
ployee (office manager and purchasing agent) as well as an officer
(treasurer and director) of the company. During his absence in the
service the position of the company had not changed. The court
ruled that the denial to him of reemployment as office manager was
illegal. In the second case,13 however, during the absence in service
of a veteran who had been vice president and director, the company
had undergone a reorganization as a result of which business opera­
tions to which the veteran had clearly indicated hostility were adopted.
In holding that the veteran was not entitled to reinstatement, the
court relied not only on the “ unreasonableness” of such reinstate­
ment 14 but also on the argument that “ his (the veteran’s) right to
be a director or vice president of the defendant is not one which this
court has power to decree, for that is something in the hands of the
stockholders.”
National Labor Relations Act
Free speech and coersive statements.—A decision of the Federal Cir­
cuit Court of Appeals for the Sixth Circuit15supports the position fre­
quently taken by the National Labor Relations Board concerning the
extent to which antiunion statements by employers or their repre­
sentatives are protected by the first amendment to the Constitution.
In that case a manager who had authority over employees’ jobs and
wages stated that the employees were “ sticking their necks out” if
they joined the union. The court, in upholding the ruling of the
Board that there had been interference, pointed out that an employer
is protected by the free speech amendment only if the statements are
noncoercive, and that in this case “ the reasonable inference is that a
threat of discharge or discrimination is intended.”
Timely notice of elections.—Two recent decisions of the National
Labor Relations Board clarify the requirements of notice in cases in
which an election is directed.
In one case 16 the copies of the election notice had been mailed to
the company and the union, but had not been received by the com­
pany until a day after the election was held. The Board ruled, in
»2 Van Doren v. Van Boren Laundry Service, Inc., U. S. D . C. N . J., Sept. 3, 1946.
13 Houghton v. Texas State Life Insurance Co., U. S. D . C. N . D. Tex., Oct. 1, 1946.
11
See a similar ruling in McClayton v. W. B. Cassell Co., discussed in M onthly Labor Review, August

1946 (p. 253).
15 National Labor Relations Board v. Hal Peterson, et al. (C. C. A. 6th), Oct. 16, 1946.
16 In re Hunt Foods, Inc., 70 N L R B No. 128, Sept. 12,1946.

722250— 46—

9


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Federal Reserve Bank of St. Louis

974

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

setting aside the election, that the fact that the union had notified
some of the employees, and the newspapers had carried an item on the
election, was not sufficient to remedy the lack of timely notices of
election.
In the second case,17 however, the Board sustained the results of an
election held, over the objection of the employer that “the majority
of the people involved did not have time to think the matter out
* *
because in this instance it was shown that an election had
been scheduled a month before but postponed and as a result the eight
or nine employees in the small unit must have known, long before it
was actually held, that an election was to be conducted.
Effect of existing contract on new determination of representatives.—
Where negotiations in process under an existing collective-bargaining
agreement are so broad in scope as to constitute a complete reopen­
ing of the contract, the Board held that such a contract will not
operate as a bar to a new determination of representatives.18 The
Duquesne Light Co. had a contract with an independent union which
provided for automatic renewal and also provided that “without can­
celling the agreement” either party could serve written notice within
60 days of the renewal date, requesting changes in the contract.
Within the stipulated period the parties requested changes in the
contract. In the ensuing negotiations a draft of a new contract was
presented by the independent union, and various proposals and
counter-proposals on substantive matters not covered in the old con­
tract were made. At this point the United Aline Wbrkers of America
filed a petition for certification which the independent union con­
tended was barred by the contract. The Board, however, held that,
in the light of the scope of the renegotiations then in process, the
contract did not bar a determination of representatives.
Past membership requirement in closed shop agreements.—The Na­
tional Labor Relations Board has recently held 19 that the closed-shop
provision of the National Labor Relations Act does not sanction
contracts which require past membership in the union as a condition
of future employment. In this case the union contract contained a
maintenance-of-membership clause which required as a condition of
future employment that employees must have maintained member­
ship in the union for a specified period of time. The period, however,
included time when no contract between the union and the employer
was in effect. The Board held this provision invalid and not pro­
tected by the closed-shop sanctions of the act.
17 In re Uailed States Gypsum Co., 70 N L R B No. 131, Sept. 12, 1946.
18 In re Duquesne Light Co., 71 N L R B N o. 47, Oet. 11, 1946.
w In re Colonie Fibre Co., Inc., 71 N L R B No. 50, Oct. 14, 1946.


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LABOR LAWS AND DECISIONS

975

War Labor Disputes Act

Liability of individuals for refusing to work during “cooling off
'period.”—A Federal District Court has for the first time ruled on the
iquestion of whether the terms of the Smith-Connally Act subject an
individual to liability for damages if he refuses to work during the
30-day period following the filing of a strike notice. In this case 20
the company, suing three employees for “willfully refusing to continue
production” during the 30-day period, relied on section 8 (a) (2) of
the act, which provides that during this period “the contractor and
his employees shall continue production under all conditions which
prevailed when the dispute arose except as modified by mutual agree­
ment or by decision of the court.” After examining the basic purpose
of the act and its legislative history, the court held that section 8 (a)
(2) was designed to prevent the calling of an official strike during the
30-day period, but does not deprive the individual worker of the right
or privilege to leave the job on his own initiative. The court said:
“It is difficult to believe that section 8, the heart of which is to place
in the hands of the rank and file of American labor the privilege and
responsibility to decide of their own violation whether there shall be
strikes, was meant to deny the right of the individual to cease pro­
duction—a right not denied even against the Government.”
Decisions of State Courts

Massachusetts referendum on union-control laws. Pursuant to
Massachusetts statutes, initiative petitions were recently filed to
submit two union-control laws to the voters at the State elections.
The first of these would prohibit labor unions from making political
contributions in any form. The second would require labor unions
to file annual reports subject to public scrutiny as to names and
addresses of officers, salaries, scale of dues, initiation fees, and assess­
ments, amounts collected, and all expenditures.
Suit was brought by the president of the Massachusetts State
Federation of Labor and five other petitioners to prevent the sub­
mission of these two proposed laws to public vote.21 The Massa­
chusetts Supreme Judicial Court held that the first proposedjlaw
could not properly be submitted because, if enacted, it would interfere
with freedom of speech, liberty of the press, and the right of peaceable
assembly. The court pointed out that the political activity of labor
unions, like that of individuals, may be curbed by corrupt practices
acts “ but under the proposed law the political activities of labor
unions are not regulated or curbed but are substantially destroyed.
20 France Packing Co. v. Dailey, U . S. D . C. E. E . Pa., Sept. 23,1946.
Boioe, e t al. v . Secretary of the Commonwealth, Mass. S . J* C., Sept. 20,1946*


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Federal Reserve Bank of St. Louis

976

M ONTHLY LABOR REVIEW— DECEMBER 194

6

The second proposed law, however, was declared proper for sub­
mission, the court saying that “ these mild regulations would be amply
justified in the constitutional sense by the great power wielded by
a labor union, and its capacity for harm if that power should rest in
irresponsible hands and be exercised without public scrutiny.”
California “hot cargo” statutes— The lower courts in California
continue to disagree over the constitutionality of the State “ Hot
Cargo” Act, which outlaws sympathetic strikes and secondary boy­
cotts for the duration of the war.22 In two cases which came before
it recently, the Superior Court for Los Angeles County held the act
constitutional and effective until the official end of the war. In one
of these cases 23 the complaint by the publisher of a shopping-news
publication alleged picketing by a central labor council to induce the
publisher to refrain from dealing with a printing establishment engaged
in a labor dispute. In the second case 24 the complaint alleged that
members of a delivery drivers’ union engaged in a labor dispute had
picketed the premises of a,supplier of the plaintiff to prevent shipments
to him. In both cases the court held the acts illegal under the “ Hot
Cargo” Act, and supported the constitutionality of the act as a
proper exercise of the State’s police power in the face of “ clear and
present danger.”
On the other hand, the Superior Court for Humboldt County
refused to enjoin the peaceful picketing of a railroad by employees of
a lumber company, one of the railroad’s customers, with which they
were engaged in a labor dispute.25 While specifying that it was not
passing on the constitutionality of the “ Hot Cargo” Act in its entirety,
the court held the act unconstitutional insofar as it can be interpreted
to outlaw all peaceful picketing.
22 See M onthly Labor Review, July 1946 (p. 102).
22 Los Angeles Down Town Shopping News, Corp. v. Los Angeles Central Labor Council, et al., Sup. Ct.
Los Angeles County, Aug. 27, 1946.
24 Farmer Bros. v. Wholesale Delivery Drivers and Salesmen Union Local 696, Sup. Ct. Los Angeles Countv
Sept. 17, 1946.
’
28 Northwestern Pacific Railroad Co. v. Lumber and Sawmill Workers Union, et al., Sup. Ct. Humboldt
County, Sept. 10, 1946.


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Prices and Cost o f Living

Decontrol of Prices and W ages1
THE abandonment of all remaining price ceilings, except those for
rents, sugar, and rice, was announced by the President on November
9, 1946. At the same time, an Executive order provided for the end
of wage and salary controls, as: “ The removal of price controls leaves
no basis or necessity for the continuation of wage controls, which have
operated, in most industries, only as an adjunct to price controls.”
In taking such action, the President stated that “ general control over
prices and wages is justifiable only so long as it is an effective instru­
ment against inflation. I am convinced that the time has come when
these controls can serve no useful purpose. * * * that their
further continuance would do the Nation’s economy more harm than
good.”
Following the President’s report of October 14, regarding the meat
shortage and the general stabilization program, meat had been decon­
trolled and the lifting of other controls had been accelerated. As a
result, it was pointed out, practically all foods and many other com­
modities had been freed from Federal control. Therefore, to retain
the remaining controls would have led, in the judgment of the Price
Administrator, “ to distortions in production and diversions of goods
to an extent far outweighing any benefit that could be achieved.”
In addition, the President stated, existing conditions were more
favorable for the return to a free economy than those in existence
“ when the present badly weakened stabilization law was finally
enacted by the Congress.” 2
1 Data are from W hite House release of November 9,1946, and Federal Register, Vol. 11, No. 221 (p. 13435).
2 For a brief statement on the amended Emergency Price Control Act of 1942 and the Stabilization Act

of 1942, as amended on July 25, 1946, see M onthly Labor Review, November 1946 (p. 832).


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Reasons cited for the retention of rent ceilings were the extreme
shortage of housing, which was expected to continue for a long time,
and the fact that tenants were in no position to protect themselves
against extortionate demands. If rents were fixed by ordinary meth­
ods, hardship would result. The President added: “ It may be that
some adjustment of rents will be required, but control of rents and
control over evictions must be continued.” Regret was expressed
that it was not possible to retain price controls on building materials
to facilitate the veterans’ emergency housing program. To maintain
them would have meant that the raw materials needed for housing
and for alternative uncontrolled products would be utilized for the
latter purposes. The only other control retained was “ that necessary
to implement the rationing and allocation programs of sugar and rice.”
Wage and salary controls which were removed consisted of those
that were authorized by the Stabilization Act of 1942, and in recent
months had been administered in large part by the National Wage
Stabilization Board (established by Executive order of December 31,
1945).3 This action did not affect “ the statutory provision governing
changes in terms and conditions of employment in plants operated by
the Government pursuant to the War Labor Disputes Act.” 4 Re­
sponsibility also remained for the disposition of pending caset involving
alleged violations of wage controls before November 9.
The Bureau of the Budget was asked to prepare plans, in consulta­
tion with the agencies involved, for the reduction of operations re­
sulting from decontrol. In closing his statement, the President said:
“ Today’s action places squarely upon management and labor the re­
sponsibility for working out agreements for the adjustment of their
differences without interruption of production.”
3 For summaries of provisions of Executive orders affecting wage control see M onthly Labor Review,
March 1946 (p. 397), April 1946 (p. 538), M ay 1946 (pp. 833, 836).
4 For summary of provisions of this act see M onthly Labor Review, August 1943 (p. 305).


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PRICES AND COST OF LIVING

979

Prices in the Third Quarter of 1946
THE price advance during the third quarter of 1946 was greater than
the entire increase from the hold-the-line order in the spring of 1943
to June 1946. Led by a record increase of 19.6 percent for foods,
consumers’ prices rose 9^ percent during the quarter; wholesale prices
advanced 9.8 percent. Both primary market and retail prices reached
the highest levels since late 1920.
The dominant influence during the quarter continued to be the
huge effective demand from consumers and industry for goods and
services, supported by the high level of national income. Income
payments to individuals of about 167 billion dollars, civilian employ­
ment of 58 million, farm income and business profits after taxes, all
were higher than ever before.
The greatly reduced level of Government spending after the end
of the war was offset by a substantial rise in net foreign purchases and
purchases of producers’ durable goods, and by an increase in the rate
of consumer expenditures. Total volume of foreign trade continued
at high postwar levels during the third quarter. The revaluation of
currencies in Canada and Sweden increased these countries’ ability
to purchase in American markets.
The annual rate of expenditure for consumer goods and services
during the third quarter amounted to 126 billion dollars with an
increasing proportion represented by consumer durable goods. There
appeared to be a leveling off in the physical volume of purchases of
nondurable goods and some indication of consumer resistance to high
prices and poor quality of such goods.
Demand for many products still far exceeded supply, although
total production reached an annual peacetime peak of 172 billion
dollars and marketings of goods were increasing. Production of
services, foods, and other nondurable consumer goods in the third
quarter were far above prewar rates. Output of many durable goods
surpassed peacetime highs but production of automobiles, refrigerators,
and sewing machines was still below the 1941 level. Housing was
critical and nonresidential construction was curtailed to meet the
needs of the housing program.
The following table shows percentage changes in consumers’ prices
and in primary market prices for selected periods.
From June 30 to July 25 all goods and services, except rents, which
were controlled by local ordinances in some areas, and utilities and
other public services, normally regulated by other agencies, were free
of price control. The threat of resumption of controls remained as a
partial check. On July 25 the Price Control Extension Act of 1946
extended price controls for 1 year and with certain exceptions restored

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

controls which, had been in effect on June 30. Congress expressed
the desire to terminate general control of prices and the use of subsidies
as rapidly as possible. The act also exempted a large proportion of
agricultural products from price control at least until August 21,
1946, and specified that only those commodities, certified by the
Secretary of Agriculture as being in short supply, could be continued
under price control.
Under the decontrol policy OPA moved rapidly during the quarter
to remove controls. In late September only about 71 percent of all
items in the wholesale price index, excluding gas and electricity, 62
percent of items in the consumers’ price index, and 55 percent of retail
food prices remained under OPA control.
The new act also contained a number of important provisions which
resulted in price increases during the quarter. It specified that maxi­
mum prices must cover increases in average costs since 1940 and
guaranteed distributors’ margins in effect on March 31, 1946.
Weighted average price regulations were forbidden. The BankheadBrown Amendment specified that maximum prices for cotton and wool
products must cover raw material costs, mill conversion costs, and a
reasonable profit.
P ercen t o f Change in C onsum ers’’ P rices a n d in P r im a r y M a rk ets, in S pecified P eriods 1
Percent of change

Commodity group

C o n su m e r s ’ p rices: A ll i t e m s _______
F o o d _______ _____ _____ _______
C lo t h in g .................................. ...............
R e n t _______________________ _____
F u e l, e le c tr ic ity , a n d i c e ________
G as a n d e le c t r ic it y ______________
O th e r fu e ls a n d ic e _____ _____ _
H o u s e fu r n is h in g s ..................... ..........
M is c e lla n e o u s ___________ _______
P r im a r y m a r k e t prices: A ll c o m ­
m o d it ie s ....... ..................................... ..
F a r m p r o d u c ts ......................................
F o o d s ____________________________
H id e s a n d le a th e r p r o d u c t s _____
T e x t ile p r o d u c ts ....................... ...........
H o u s e fu r n is h in g s g o o d s .............
F u e ls a n d lig h tin g m a te r ia ls ____
M e ta ls a n d m e ta l p r o d u c ts . .
B u ild in g m a te r ia ls ______________
C h e m ic a ls a n d a llie d p r o d u c t s ..
M is c e lla n e o u s c o m m o d itie s _____
A ll c o m m o d itie s , e x c e p t farm
p r o d u c ts a n d fo o d _____ _______

From
From holdIn last
From end
In last
the-line From wage month be­
quarter,
of war,
fore
war in
June 1946 Aug. 1945 year, Sept. order,2 base date, Europe,
1945 to
M ay 1943 Jan. 1941 to
to Sept.
to Sept.
Aug.
1939
Sept. 1946 to Sept. Sept. 1946
1946
1946
to Sept.
1946
1946
+ 9 .5
+19.6
+ 5 .5
+ 0 .3
+3. 5
- 0 .4
+ 6 .3
+ 6.1
-j- 1. t>

+12.8
+23.6
+13.3
+ 2 .7
-3 .7
+ 7 .3
+13.4
+ 4 .3

+13.2
+24.9
+ 11.9
+ 0 .5
+ 3 .3
- 3 .7
+ 8 .6
+12.8
+ 4 .3

+16.6
+21.7
+29.7
+ 0.7
+ 6.3
- 4 .6
+15.0
+32.4
+12.7

+44.7
+78.4
+63.9
+ 3.6
+13.5
- 5 .9
+31.2
+65.3
+27. 6

+65.4
+4. 3
+17.3
- 7 .4
+41.7
+64.6
+29.4

+ 9 .8
+10.1
+16.8
+15.7
+15.1
+ 2 .9
+ 7 .4
+ i. 8
+ 3 .0
+2.1
+ 3 .7

+17.3
+21.6
+24.0
+20.0
+26.2
+ 8 .7
+11.2
+ 9.1
+13.6
+ 3 .3
+ 7 .7

+17.9
+24.1
+25.7
+19.3
+25.6
+ 8 .6
+12.1
+ 8 .9
+13.4
+ 3 .3
+ 7 .7

+19.1
+22.8
+ 19.4
+20.2
+29.1
+10.6
+16.7
+10.0
+21.1
+ 3.8
+11.1

+53.5
+115.5
+79.0
+38.3
+67.2
+27.6
+30.8
+16.9
+34.3
+25.2
+32.4

+65.3
+153.0
+96.3
+52.8
(-85.4
+32.7
+29.9
+22.5
+49.3
+32.6
+39.3

+ 6 .3

+12.3

+12.4

+16.0

+33.1

+40.1

+48.0

+ 86.2

i In comparing retail and primary market price movements, the following differences between the con­
sumers price and primary market price indexes must be noted: The primary market index is based on prices
of selected commodities of unchanged specifications in major trading centers, which are considered repre­
sentative of all commodities. The consumers’ price index is based on prices of selected goods and services
purchased by moderate-income families in large cities and reflects in part the effect of disappearance of
lower-priced articles.
* The President’s hold-the-line order was issued April 8, 1943. The price rise which had led to this order
reached a peak in M ay, which is, therefore, used for this comparison.


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Federal Reserve Bank of St. Louis

PRICES AND COST OP LIVING

981

During the quarter there were significant differences in the extent
and timing of price rises for different commodity groups. Immedi­
ately after June 30, there were sharp increases in primary market
prices, particularly agricultural commodities. Prices for 28 raw
materials, traded on organized exchanges, jumped 25 percent in the
first 17 days of July. The Bureau’s comprehensive price index of
nearly 900 commodities averaged 10 percent higher in July than in
June—the largest monthly advance in the history of the series.
Record increases occurred for farm products, foods, and hides and
leather products. Retail prices of consumer goods and services
increased 5.8 percent between mid-June and mid-July, with a 13.8percent rise in retail food prices.

Although there were substantial increases for a few scarce industrial
goods, manufacturers of nonagricultural commodities generally held
prices at June 30 ceiling levels, or slightly higher levels already under
<consideration, pending final action on OPA legislation. Retail prices
.of living essentials other than foods increased only 0.3 percent on the
:average between June and July.
In the first few weeks after restoration of OPA (July 26) prices con­
tinued to rise, although the rate of advance was reduced considerably
and prices of a few commodities were rolled back to former ceilings.
The new price control law left important foods uncontrolled and
prices of agricultural commodities reached peak levels in late August.

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Federal Reserve Bank of St. Louis

982

M ONTHLY LABOR REVIEW— DECEMBER 194 6

Wholesale prices of most other commodity groups also increased,
reflecting ceiling adjustments required by the provisions of the new
act.
After restoration of controls on livestock and meats in early
September at levels higher than on June 30, but considerably below
the level of uncontrolled prices, wholesale prices dropped sharply.
Average primary market prices declined 5.1 percent in the first 2
weeks of September; however, the average for September was 4.0
percent below August, but 9.8 percent higher than in June before
suspension of controls.
In contrast to the sharp fluctuations for agricultural commodities,
prices for industrial goods rose steadily throughout the quarter and
in September were 6.3 percent higher than the June average. The
persistent advance for industrial goods reflects a continuation of the
wartime pressure of higher costs, which resulted in numerous upward
adjustments of ceilings during this quarter.
The American economy during the third quarter of 1946 was
characterized by sudden changes in price and production situations,
with conflicting trends that make uncertain the direction and extent
of future changes.
Consumer Goods
FARM PRODUCTS AND FOODS

Prices of farm products and foods rose sharply following the lapse
of OPA controls on June 30. Record increases of 12.1 percent in
prices for farm products in primary markets, and of 24.2 and 13.8
percent for wholesale and retail food prices occurred during July,
with the suspension of subsidy payments and continued high demand
for scarce commodities. Prices advanced through August as many
commodities remained uncontrolled. The trend was reversed in
September in primary markets, primarily because of reinstatement of
ceilings over livestock and meats. Retail prices for most foods, par­
ticularly those in short supply, continued to rise. At the end of the
third quarter, prices for farm products and wholesale foods were 10.1
and 16.8 percent above June levels and double those existing prior to
World War II. With the exception of many fresh fruits and vege­
tables, in seasonally abundant supply, these higher price levels were
shared by all major commodity groups.
General price uncertainty and confusion characterized food mar­
kets. Contributory causes were the delay in reenacting price control
legislation and, later in the quarter, the simultaneous emphasis upon
decontrol and a possibility of recontrol if prices rose unreasonably.
The revival of OPA on July 25 automatically returned to June 30
ceilings, commodities representing approximately 37 percent of the
average family food budget; namely, cereals and bakery products,

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Federal Reserve Bank of St. Louis

PRICES AND COST OF LIVING

983

fruits and vegetables, imported foods, sugar, and sweets. An addi­
tional 55 percent was specifically exempt until August 21, pending a
final decision by the Price Decontrol Board. These items included
livestock, meats, poultry and eggs, dairy products, grains, cottonseed,
soybeans, and their products. Ceiling increases to cover higher raw
material and labor costs were allowed for many commodities restored
to control on July 25.
On August 20 resumption of price controls over livestock, meats,
cottonseed, soybeans, flaxseed, and products was ordered by the
Decontrol Board. Subsidies for meats were reinstated at previous
rates, but those on dairy products, flour, the major processed vege­
tables, dried prunes, raisins, dry beans, coffee, soybeans, and flaxseed,
were discontinued.
Other commodities, principally fruits and vegetables, were automati­
cally removed from controls on September 1, when the Secretary of
Agriculture excluded them from the first list of products in short
supply issued, as required by the new Price Control Extension Act.
Led by increases for butter, prices for dairy products, uncontrolled
throughout the quarter, rose 32.8 percent at wholesale and 26.4 per­
cent at retail from June to September. In some cities retail prices of
butter as high as $1 per pound were reported in September; the aver­
age for September was 82.9 cents, compared with 61.0 cents in June
and 50.0 cents a year earlier. Most of the advance occurred in July,
after termination of the dairy feed subsidy, which in June amounted
to about 20 percent of retail prices for butter, 8 percent for fluid milk,
13 percent for cheddar cheese, and 11 percent for evaporated milk.
Supplies of butter, formerly scarce, became generally adequate.
After the lapse of OPA controls and subsidies, livestock prices at
primary markets climbed rapidly—more than 29 percent in 2 months—
despite unprecedented marketings. As a result of high prices and the
possibility of recontrol, livestock previously withheld, including many
not in prime condition, swelled the volume generally marketed during
the summer. With the reinstatement of price controls on September
1, marketings dwindled to a new low. The new ceilings, ordered by
the Secretary of Agriculture as a production incentive, were set above
June levels but considerably below August quotations. Livestock
prices declined 15 percent in September; wholesale meat prices, which
had risen nearly 80 percent between June and August, dropped 34
percent—more than any other commodity group. Retail meat prices
were over 39 percent higher in August than earlier in the year. New
retail ceilings established September 10 were 20 percent lower than in
the previous month; but beef, pork, and veal generally were unavail­
able.
As meat supplies fluctuated between extremes, demand for meat
substitutes, such as poultry, fresh fish, and eggs also varied, weakening

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Federal Reserve Bank of St. Louis

984

M ONTHLY LABOR REVIEW— DECEMBER 194 6

somewhat in July and August and gaining strength in September. At
retail, during the severe meat shortage in September, poultry and
fish prices rose 5 percent, while egg prices moved upward more than
11 percent.
Fruits and vegetables declined as a group, with seasonally lower
prices for fresh produce such as onions, potatoes, lettuce, carrots, and
apples. Prices for canned and dried fruits, and vegetables increased
somewhat, reflecting continued heavy demand.
Prices for grains, which had been particularly scarce, rose 19 per­
cent in July. During August demand abated because of recontrol
uncertainty and decreased need for livestock feed. Prices declined
somewhat, holding fairly steady at this lower level through September,
with seasonably higher marketings and estimates of record crops!
Although grains remained free of ceilings, cereals and bakery products
were recontrolled in late July. Because of the termination of the
flour subsidy (amounting to $1.03 per hundred pounds of flour at
wholesale and 1 cent per pound at retail) and increased costs for raw
material, labor, and freight, ceilings later were raised. Over the
quarter, prices for cereals and bakery products moved up 25 percent
at wholesale and more than 12 percent at retail.
There was little trading in seasonally scarce edible vegetable oils.
During the brief absence of controls, wholesale prices for refined lard
at Chicago reached 32.9 cents per pound in August (compared to 14.8
cents in June). No important sales were reported after ceilings were
restored at 19 cents in September.
June ceilings, reinstated on imported commodities on July 25, were
soon forced upward. Sugar prices, under an agreement with Cuba,
which links purchase prices to the Bureau of Labor Statistics retail
price indexes, rose 2.5 percent at retail over the quarter. Coffee
ceilings were increased in mid-August, to improve the competitive
position of importers and compensate them for the loss of the 3 cents
per pound subsidy.
HIDES AND LEATHER PRODUCTS AND TEXTILE PRODUCTS

Prices for hides and leather and cotton goods increased sharply with
the suspension of OPA controls at the end of June but prices for most
other textile products remained at June 30 levels. Many retailers
made public announcements that they would not raise their prices
until forced to do so by higher costs and most manufacturers re­
frained from instituting price increases until the final status of price
ppntrol had been determined.
From June through September average prices of textile products in
primary markets advanced 15 percent. Cotton goods rose 19%
percent; woolen and worsted goods, 1 percent; clothing, 2 percent; and
hosiery and underwear, 17 percent. Quotations for rayon and nylon
yarns and staple fiber remained unchanged.

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PRICES AND COST OE LIVING

985

The cost of clothing purchased by moderate-income families ad­
vanced 5.5 percent between June and September. Cotton clothing
prices increased 7.6 percent; woolen clothing, priced in the fall and
winter months, was 3.6 percent higher than last season. In September,
retail costs of clothing were more than one and one-half times as high
as in September 1939.
Quotations for raw cotton rose almost uninterruptedly throughout
the quarter. From a level of 31 cents early in July prices had risen
more than 22 percent by the end of September to the highest point in
over 20 years. Strong demand and reports of the shortest crop in
many years helped to stimulate the market.
After the extension of price controls at the end of July, OPA granted
three successive increases in maximum prices of cotton goods to cover
higher raw cotton and labor costs—17 percent early in August and 2}£
and 2 percent respectively on August 30 and September 18. The
Price Control Extension Act of 1946 provided that prices for cotton
products must reflect either parity or the current market price for
raw cotton, whichever is higher, as well as current conversion costs.
The price of domestic raw wool, 14 to 23 percent lower than a year
ago, because of reductions in selling prices by the Commodity Credit
Corporation to encourage the use of domestic wools, showed no change
over the quarter, although ceilings were removed in September. The
Commodity Credit Corporation remained the sole purchasing and
selling agent for practically all domestic wool, selling to mills at prices
lower than it paid growers.
During July, over 5,000 bales of raw silk were sold at prices varying
from $16.50 to $6.78 per pound. The July quotation on the 13/15
denier D grade was about 142 percent above prewar. Only a small
proportion of silk offered was sold at the August auction, and at
prices considerably lower than the first sale. The September sale
was held on open auction, but “ upset prices” were established by the
Government below which bids would not be accepted. About 5,000
bales were sold, at prices ranging from $6.20 to $13.50.
Manufacturers’ and retailers’ prices for apparel generally increased
as costs of fabric and labor rose and new ceilings were established
for most articles. Retail prices of women’s garments continued to
advance although retailers reported consumers were becoming more
selective in the choice of fabrics. Stocks of tailored rayon slips
failed to meet consumer demand as manufacturers continued to
produce a greater proportion of lace-trimmed undergarments selling
at higher prices. Women’s coats, utilizing higher quality fabrics in
some cases, were higher than last season.
Manufacturers’ prices of men’s and boys’ clothing increased from
10 to 24 percent. Retail prices of men’s suits, topcoats, and over­
coats increased as higher labor and trimming costs were passed on to

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

the consumer. Overalls, work shirts and work trousers, business
shirts, woven shorts, knit undershirts, and rayon hose also were
higher.
Women’s silk hosiery was available at many retail stores but at
prices ranging from $1.95 to $4.50 a pair, well above prices for the
more durable nylon.
Market prices of hides and skins soared nearly 40 percent in July
and declined only 8 percent after ceilings had been restored. As a
group, prices of hides and skins averaged higher during July 1946
than at any time since September 1920. Imported goatskins led the
July upswing as trading in foreign skins returned to a fully competi­
tive basis. Tanners’ eagerness to acquire raw stock doubled prices
within a few weeks after the RFC ceased to regulate imports, and
sustained goatskin prices at high levels throughout the third quarter.
Quotations for domestic cattiehides and calfskins advanced over 35
percent during the July interim between controls to levels comparable
with those in world markets and then returned to the ceiling in effect
since 1941. Black-market meat operations were said to have reduced
the quantity of hides and skins available to tanners during the latter
part of the quarter.
Leather prices advanced approximately 20 percent in July, reflect­
ing the rising cost of raw material. After controls were restored,
prices of cattle-hide leathers declined to June ceiling levels, and tanners
of kid leather and shearlings were granted price advances to compen­
sate for the soaring prices of imported skins.
Factory prices of shoes moved up 12 percent in the third quarter,
following adjustments in ceilings. Although August output of foot­
wear continued at an unusually high level, sharply reduced shoe
production was anticipated for the fourth quarter. Several prominent
shoe firms curtailed production as a result of leather shortages, and
manufacturers showed increasing interest in South American hides.
Prices paid by consumers for medium and lower grades of leather
footwear continued to rise as a result of higher manufacturers’ ceiling
prices and the disappearance of lower price lines. Retailers and
wholesalers complained of difficulty in obtaining shoes, many report­
ing an oversupply on nonessential footwear and an insufficiency of
durable shoes, with no prospect of balanced stocks before the end of
the year.
FUEL AND LIGHTING MATERIALS

Average primary market prices for fuel and lighting materials
increased 7.4 percent during the third quarter of 1946, although
realized prices for electricity and gas were lowei. Decontrol of
prices for petroleum and its products and specific OPA amendments
granting higher ceilings to coal producers accounted for the increase
in primary market prices, The revised act extending OPA restored

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Federal Reserve Bank of St. Louis

PRICES AND COST OF LIVING

987

to retailers their March 1946 margins, thus generally raising solidfuels prices to consumers during the quarter.
Both commercial and domestic electricity rates continued their
1946 downward trend during the quarter, as earnings of utilities
permitted billings at lowered rates. Gas rates remained unchanged
in most cities. However, some utilities selling manufactured gas
increased rates to cover higher fuel costs.
Late in the second quarter, the OPA, in order to cover wage and
other cost increases and to “ remove price as a transition period
impediment to production and supply,” had granted substantial
price increases to coal producers, averaging 40 cents per ton for
bituminous coal and 91 cents per ton for anthracite. Retailers were
first granted an exact “ pass-thru” in dollars and cents which reduced
retailers’ percentage margins. Late in August solid-fuels retailers
were granted an additional increase of 10 to 30 cents per ton to restore
March 31, 1946, percentage margins, which had been reduced in June
when ceiling increases were sufficient only to pass on to the consumer
the dollars-and-cents increases in wholesale prices.
With the suspension of price control at the end of June, producers
of Connelsville beehive coke advanced their prices approximately
$1.25 per ton. Prices were rolled back to June 30, 1946, levels when
price control was reestablished, but shortly thereafter an OPA amend­
ment granted these producers a $1.35 per ton ceiling advance to
compensate for higher coal and labor costs.
Early in July the Interstate Commerce Commission allowed in­
creases of 6 cents per net ton in coal freight rates of less than $1.00 per
ton and 8 cents in freight rates greater than $1.00. Retailers were
permitted to pass on this increase to consumers.
Fuel-oil prices as well as prices for all petroleum and its products
were formally decontrolled in August. This was followed by price
rises of 25 to 35 cents per barrel for crude petroleum. The Govern­
ment then withdrew subsidy payments of 25 cents per barrel to
certain stripper-well crude producers. Higher prices for crude
petroleum were followed by corresponding increases in prices of
petroleum products at all levels of sale, high lighted by fuel-oil price
increases amounting to 0.6 to 1.75 cents per gallon at retail in several
cities.
HOUSEFURNISHINGS

Prices of housefurnishings rose 6.1 percent at retail during the
third quarter and 2.9 percent in primary markets. Advances at
both levels followed largely increases in OPA ceilings. Prices during
the OPA “ holiday” were generally stable. Substitutions to higher
priced merchandise, resulting from continued shortages, and reintroduction of some consumer durable goods into the consumers’
price index in September, including radios, sewing and washing

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Federal Reserve Bank of St. Louis

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M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

machines, vacuum cleaners, and mechanical refrigerators, also con­
tributed to the advances. Increases for these durable goods represent
the total increase to September 1946 from December 1941, the last
period when stocks were near normal. They account for a 1 percent
increase in the retail costs of housefurnishings between August and
September.
Prices of wool floor covering to the consumer advanced as retailers
sold higher-cost inventories and the shift from lower to higher grades
of covering continued. There was no change at the primary market
level. Higher wholesale and consumer prices reflected the third
industry-wide increase granted manufacturers of hard-surface floor
covering on August 30, 1946—amounting to 2.8 percent—to cover
increased freight rates and increased costs of materials and labor.
Manpower shortages and shortages of certain materials, such as
burlap, sizing, and linseed oil, continued to hamper production.
Changes in retail costs of wood household furniture during the
quarter varied as retailers shopped around for sources of supply.
Increases due to substitutions of higher price lines were numerous.
OPA adjustments were followed by higher prices of bedsprings and
sofa beds at wholesale and retail and of upholstered furniture and
wood office furniture at the primary market level. One spokesman
estimated current production of wood household furniture at 40 per­
cent above the 1941 level. Supplies of hardware, upholstered springs
and other metal items, and ticking and filling materials remained
limited. Retailers reported all low- and medium-priced case goods
in short supply, with dining-room suites almost unobtainable.
Upholstered furniture appeared to be obtainable in greater quantity.
September 1946 retail prices of appliances reflected both OPA
advances and the long-term increase from December 1941. In
August, in order to assure March 31, 1946, mark-ups, retailers were
permitted to pass on manufacturers’ increases for radios, vacuum
cleaners, washing machines, gas stoves, and dinnerware. Primary
market prices reflected OPA-approved increases of 3.5 percent in the
price of electric refrigerators, 8 percent on domestic cook stoves, 7
percent on semivitreous dinnerware, and the long-term increase
caused by the réintroduction of electric washers and ironers into the
wholesale price index.
Full-scale production in the electrical manufacturing industry was
not expected until early 1947. Material shortages continued to be
the major problem. For radios, vacuum cleaners, washing machines,
and some small appliances, however, current production had passed
the 1941 rate and some retailers reported clearance sales on lesserknown brands of small table model radios. Other major appliances,
stoves, and dinnerware continued to be scarce.
-Supplies of cotton yard goods, sheets, and pillow qas.es in retail

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PRICES AND COST OF LIVING

989

stores also were scarce. Towels were more plentiful, at considerably
higher prices than in June. From June to September the cost to
consumers of sheets and of towels advanced 12.2 percent.
HOUSING

Residential rents in all large cities combined increased 0.3 percent
during the quarter, the largest increase reported in the rent index for
any quarterly period since early in 1942 before Federal rent controls
were instituted. Although rents advanced over the period, the
largest increase occurred during suspension of Federal controls in July.
During this 25-day period, 21 of the 34 large cities surveyed by the
Bureau reported increases in rents. The increases averaged 2.6
percent in Houston (affecting 12 percent of the tenants), slightly
more than 1 percent in Cleveland and Scranton (affecting 5 percent
of the tenants), 0.6 percent in Chicago, 0.5 percent in Denver, and
from 0.1 to 0.4 percent in 16 other cities. Ten cities showed no change
in rents and three cities reported slight decreases.
Washington, D. C., which has its own rent control law, was the only
city not affected by suspension of controls. Rents in 7 of the other
33 cities surveyed were controlled by emergency State laws and in 5
cities by city ordinances. Some of the emergency legislation per­
mitted increases up to 15 percent in rent.
The short duration of suspension of controls prevented many
advances which might have occurred in a longer period since many
State laws require a notice of rent increase or eviction, usually one
rental payment period in advance of the effective date. Following
the reinstitution of Federal rent control after July 25, rents for most
dwellings returned to former OPA ceilings.
There was no relief during the quarter from the severe housing
shortage. Continued shortages in some essential building materials
delayed new construction, and some builders hesitated because of
rising building costs.
In spite of the handicaps to the construction program, it was
announced by Housing Expeditor Wilson Wyatt that 62,800 dwelling
units were completed in August, making a total of 350,000 dwelling
units completed since the first of this year.
Reports indicate that the rise in sales prices of homes and number
of sales have slowed up somewhat during the past few months.
Removal of homes from the rental market for owner occupancy is
still very high.
MISCELLANEOUS

Retail costs of miscellaneous goods and services increased 1.6 per­
cent on the average during the third quarter of 1946.
Scattered increases were noted in the cost of newspapers and motion
picture admissions. Prices of heauty .and barber shop services con722 2 5 0 — 46-------L.o


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990

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

tinued^ their upward trend, as shops reported increased costs of
operations. Fees for medical services showed some advance, particu­
larly hospital rates and charges for eyeglasses. Prices of lenses were
increased at the manufacturers’ level on August 23, 1946, with OPA
approval. Several laundries were allowed increases in bundle charges,
and there was an indication that the delivery service of both laundry
and dry-cleaning establishments was improving. The cost of auto­
mobile repairs was higher following Government-approved increases
in the price of parts. Tobacco products, exempt from control, in­
creased in price at both the primary market and retail levels. Ciga­
rettes increased one-half cent to 1 cent a pack at retail, and many brands
of cigars rose from 7% to 9 cents. During the lapse of OPA controls,
some manufacturers of soaps raised prices because of limited pro­
duction and increased costs of raw materials and labor. Recontrol
on July 25 returned these items to June 30 ceilings where they remained
despite substantial ceiling increases in prices of raw materials. Pro­
duction of soap for the quarter was estimated at 50 percent of demand.
Industrial Goods
BUILDING MATERIALS

Prices of building materials in primary markets continued upward
during the third quarter, to a level approximately 50 percent above
immediate prewar levels. The average advance during the quarter
was 3 percent compared to about 4 percent during each of the two
previous quarters.
The suspension of price controls had little noticeable effect on
building material prices as a group. Higher prices for some materials
in July reflected the general freight rate increase, effective July 1, of
6 percent with an additional 5 percent for eastern carriers. More­
over, a number of price adjustments covering building materials,
pending on June 30, were granted; also, there were unusual price
advances for some paint materials in July, because of shortages and
soaring prices of imported materials such as shellac.
Production of most building materials remained inadequate to meet
estimated housing needs, despite the substantial increases made during
the last few months. Lack of skilled labor, freight car shortages, and
strikes continued to hamper production. Particularly scarce were
cast-iron soil pipe, millwork, gypsum board and lath, hardwood
flooring, bath tubs, and lavatories. To increase production, premium
payments were authorized for several commodities in short supply,
principally softwood plywood, brick, oak flooring, and convector
radiators.
Prices of lumber advanced 1 percent—in sharp contrast to the 5
and 6 percent increases in the earlier quarters of 1946. The principal
price rises permitted during the third quarter were for central hard
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PRICES AND COST OF LIVING

991

wood and redwood lumber, and western softwood shingles. Despite
substantial increases in production, the supply of lumbei still was far
from satisfactory. It was reported in trade journals that lumber was
widely sold in the black market at prices as much as 50 percent above
ceilings. Western softwoods were on a 2 to 3 months delivery basis
for priority orders. There was still a large backlog of orders for
hardwood flooring, and residential flooring was reserved entirely for
holders of housing priorities. Premium payment regulations, effec­
tive August 1, 1946, authorized manufacturers to pay reimbursable
bonuses to their suppliers for specified grades and species of hardwood
lumber, and entitled them to other payments based on output of
residential flooring in excess of quotas. A premium payment plan
was also instituted for production of peeler logs in an effort to lift
production of softwood plywood.
Prices of paint and paint materials rose 7.5 percent, largely during the
period of uncontrolled prices. By the end of July carbon black had
risen 55 percent, and shellac 65 percent, while advances ranging from
12 to 35 percent were reported in prices of litharge, red lead, linseed
oil, and turpentine. Prices declined in August with the reapplication
of price ceilings but not to the level prevailing before suspension of
controls. Several paint materials, including carbon black, rosin, and
color pigments, were decontrolled in August and September, while
ceiling prices were raised for lithopone, linseed oil, gum turpentine,
paint, and shellac. Wholesale prices of the paint and paint materials
group in September were more than 40 percent above prewar averages
and were at the highest level since 1920. Many paint materials
continued in short supply. Among these were lead, litharge, litho­
pone, zinc oxide, and drying oils.
Brick and tile prices rose 5.3 percent, raising the index for these
commodities 40 percent above the August 1939 average, and almost
5 percent over the previous peak in August 1920. Fire clay and silica
brick prices, which had been removed from OPA control in May,
moved up about 8 percent and some local area adjustments were
granted to producers of tile and common brick. Premium payments
of $5 per 1,000 standard brick equivalents in excess of quotas were
inaugurated, and brick and tile production showed considerable im­
provement.
Prices of cement rose nearly 4 percent in the quarter, as ceilings
were raised 5 cents per barrel for packaged cement produced east of
the Rockies. The increased cost of pig iron resulted in higher prices
for cast-iron enameled plumbing fixtures, and there were increases for
cast-iron soil pipe, lead pipe, lime, builders’ hardware, window glass,
and wall board. The shortage of cast-iron soil pipe was critical.
CPA estimated in August that the supply for 1946 would fall 30 per­
cent short of demand. The Government instituted a number of

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992

monthly labor review—December

1916

actions to relieve the situation, including a ceiling increase of 3 per­
cent, an order to pig iron producers to channel greater supplies to soil
pipe producers a set-aside of 80 percent of soil pipe for priority holders,
a limit of 7 percent of production for industrial consumers, and
premium payments effective August 1.
METALS AND MACHINERY

Prices of metals and metal products increased less than 2 percent
from June to September 1946, with an advance of only 1 percent in
July despite the absence of OPA controls. The increase in July re­
flected primarily higher prices for certain iron and steel products on
which ceiling increases had been planned by OPA and price increases
for nonferrous metals to offset the cessation of subsidy payments.
The Bureau’s index of metals and metal products in September
reached 114.2 percent of the 1926 level, the highest point since July
1921 and 9 percent above its level at the end of World War II.
During the temporary lapse of OPA controls and subsidies in July,
trading in several nonferrous metals was virtually at a standstill.
A break-through in former OPA ceilings occurred first in prices of lead
and zinc, when leading sellers advanced their quotations 1){ cents a
pound, maintaining that the new prices were below the sum of former
prices and subsidies. Copper producers withdrew from the market
rather than raise prices. Meanwhile RFC continued to sell copper
from its stockpile at the old ceiling price, but lead and zinc at prices
in effect at time of shipment, which were above former ceilings.
The restoration in late July of the old maximum prices for lead and
zinc caused trading to decline sharply. Both metals were in critically
short supply and both producers and consumers requested higher
prices to stimulate output. The CPA stated that zinc shortage was
accentuated by producers’ action in marketing only output on which
premiums were paid.
Prices of nonferrous metals continued to advance in the world
market to levels above domestic ceilings, and RFC purchase prices of
foreign lead and copper were 2 to 4 cents a pound higher than during
the second quarter. Prices of zinc in the export market increased
:2 cents a pound and tin 3 to 4 cents a pound.
Silver prices advanced to 90.125 cents a pound early in July com­
pared to the former OPA ceiling of 71.11 cents. The ceiling price was
restored temporarily on July 26 but advanced on August 1 to the
mew Treasury buying price of 90.5 cents a pound established by
;the Congress.
Prices of steel and its raw materials remained relatively stable
•during the quarter. Both steel mills and scrap dealers demanded
higher ceilings or decontrol after the restoration of OPA. Output
remained high during the quarter, despite shortages of steel scrap and

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Federal Reserve Bank of St. Louis

PRICES AND COST OF LIVING

993

pig iron. Refusal of mills to pay more than former OPA ceilings for
scrap kept prices of most grades down but sharp advances were
reported in July for cast scrap used by foundries. Later, incentive
increases, ranging from $2.50 to $7.00 per gross ton, were allowed for
cast scrap. A Nation-wide scrap drive was inaugurated at the same
time.
Prices of pig iron advanced early in July. Shortage of pig iron was
one of the factors limiting production of castings, and CPA announced
a plan for channeling supplies to castings for use in building materials
and agricultural implements. An upward adjustment of $2 a gross
ton in maximum prices of pig iron was made in July, retroactive to
May 29. A subsidy program announced on September 17 provided
for payment of premiums ranging from $8 per gross ton for production
above base period quotas to $12 per ton for new production.
In a further effort to aid the housing program, OPA on July 25
granted incentive price increases ranging from 10 to 50 percent over
former ceiling prices to manufacturers of knobs, locks, butts, and
other types of builders’ hardware. Producers of metal fasteners were
permitted an additional increase of 5 percent, late in July, to offset
higher labor and material costs.
CHEMICALS AND ALLIED PRODUCTS

Prices for chemicals and allied products rose 3 percent in July and
then declined about 1 percent with the reestablishment of OPA.
Increases occurred primarily in chemicals derived from scarce farm or
metal raw materials. Thus, prices for inedible tallow advanced 41.4
percent; glycerin, about 8.5 percent; vanillin, 73 percent; and cotton­
seed meal, 45.5 percent. Prices for lead arsenate, copper sulphate,
and silver nitrate were higher. Although many chemical prices
declined after the reestablishment of OPA controls, higher prices for
others, under increased ceilings, resulted in a September average
about 2 percent above the June level.
During this quarter, chemical manufacturers generally maintained
stable prices but resale prices on occasional lots reflected the pressure
of large demands upon tight supplies. This was particularly evident
in alkalies, with July bids up to 11 cents a pound for caustic soda and
6 cents a pound for soda ash. Odd lots of sodium bichromate sold
for 17 cents compared with the primary market price of 8 cents a
pound and the resale prices for chemically pure glycerin ranged up to
40 cents a pound compared to 18 cents in primary markets.
Primary market prices for fats and oils showed the greatest fluctu­
ation, advancing about 12 percent in July and then declining, so that
September prices were only 1 percent above June. Sharpest increases
were registered for tallows and greases, which rose about 50 percent
above former ceilings because of demand from “spapers,” Advances

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994

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

for vegetable oils were smaller. Prices for soybean and castor oils
were raised over June ceilings to compensate for increased costs.
In July, primary market prices for drugs and pharmaceuticals rose
2.9 percent, primarily because of increases for medicinal glycerin and
menthol, but declined 2.2 percent in August, with a “ roll back” in
glycerin prices and increased supplies of nux vomica, tartaric acid,
and ergot. The development of more productive mold strains now
available in quantity caused penicillin prices to decrease to 48 cents
per 100,000 units, an all-time low price to wholesalers.
Prices for fertilizer materials rose sharply in July and again in
August, but declined in September. The increase for the quarter
amounted to about 9 percent. Organic fertilizer materials rose rapidly
in July because of competition with feed grades. Prices for cottonseed
meal, ground bones, and animal tankage fell, following restoration of
price controls. Maximum prices for mixed fertilizers were raised in
August, accounting for an increase of about 4 percent during the quarter.
Average prices of industrial chemicals advanced 0.6 percent over
the quarter. Prices for oleic and stearic acid and glycerin rose sharply
in July, but declined in August. Higher metal prices resulted in in­
creased ceilings for lead arsenate and silver nitrate and higher quota­
tions for lead napthenate. Decontrolled products, blasting powder
(both grain and pellet), dynamite, and white arsenic rose by amounts
varying from 9 to 18 percent.
RUBBER AND RUBBER PRODUCTS

During this quarter, prices of rubber and rubber products generally
were stable, although a number of products were decontrolled. The
price increases which occurred were principally those permitted by
OPA to cover higher labor and material costs and to maintain earnings.
Noteworthy among these was the approximately 2^-percent increase
in retail ceiling prices on tires to restore distributors’ percentage
mark-ups. Products decontrolled during this period included a
number of industrial rubber goods and rubber drug sundries.
Of particular importance was the September 6 directive of Recon­
version Director John R. Steelman to the Reconstruction Finance
Corporation to maintain the sale price for natural rubber at 22}( cents
a pound until the end of the year, compared with a purchase price
of 23}2 cents f.a.s. or 25-26 cents delivered. Subsequently, because
natural rubber production increased more rapidly than anticipated,
agreements were signed with the Governments of the Netherlands
and the United Kingdom to purchase additional rubber at 20}i cents
per pound f.a.s.
The increase in natural rubber production and shipments led to
general expectation of the return of free rubber tradingUy the begin­
ning of next year. Supplies of synthetic rubber, however, are inade
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PRICES AND COST OF LIVING

995

quate because of the alcohol shortage. Limitations on the delivery
and inventories of GR-S were reinstituted in order to insure equitable
distribution of the present limited supply.
Although the supply of scrap was adequate, scrap rubber dealers
reported an increased reluctance on the part of reclaimers to accept
scrap containing synthetic. Rejections of mixed scrap, higher
freight rates, and the unsalability of synthetic tire parts caused Akron
dealers to raise prices on some grades of acceptable scrap in August.
PAPER AND PULP

Paper and pulp prices advanced about 5 percent during the third
quarter as increases in manufacturers’ ceilings were granted in order
to maintain supplies and to compensate for higher labor and material
costs. Higher prices for wood pulp and newsprint also were allowed
because of the revaluation of the Canadian dollar and Swedish krona.
During the suspension of OPA controls, mills, converters, and
distributors maintained June quotations for most paper and paper
products, except wood pulp. Some producers of wood pulp billed on
“an adjustable pricing basis,” others raised their quotations to match
the 10-percent higher prices asked by Canadian exporters and the
substantially higher prices demanded by Swedish exporters. Ceiling
prices for wood pulp, both domestically produced and imported, were
increased approximately 10 percent, and subsidies to domestic pro­
ducers were restored following the reestablishment of OPA. To
encourage Scandinavian imports, the amount of transportation costs
required to be absorbed by sellers was cut in half. For newsprint, new
ceilings were established $7 a ton higher.
Following reestablishment of OPA, manufacturers’ ceiling prices for
the lower-priced book and writing papers, Northern bleached sulphate
waxing papers, glassine and grease-proof papers, facial tissue, toilet
tissue, paper toweling and towels, and ground wood specialty papers
were increased. Wholesale and retail ceiling prices also were raised
to restore percentage mark-ups. During late July and August,
paperboard ceilings were increased to encourage production of the
essential grades used in all types of containers.
Demand for paper products continued to be heavy with reports
indicating the inability of many consumers to obtain supplies for
current consumption, although record-breaking production was
achieved in August. Localized operating problems, such as lack of
freight cars, continuing shortages of mechanized equipment, and wet
weather, affected pulpwood procurement on the West Coast and in the
South. Imports of wood pulp were not up to expectation. Waste
paper receipts, on the other hand, were larger.


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Federal Reserve Bank of St. Louis

996

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Index of Consumers’ Prices in Large Cities,
October 1 9 4 6 1
RETAIL prices of living essentials used by moderate-income city
families advanced 1.7 percent between mid-September and midOctober 1946. Food prices rose 3.4 percent, and prices of consumers’
goods and services other than food and rent rose 0.6 percent. Rents
were not surveyed in October. The consumers’ price index on October
15, 1946, was 148.4 percent of the 1935-39 average and 15.1 percent
higher than a year ago.
In mid-October prices of goods and services used by moderateincome city families were 50.5 percent higher than in mid-August 1939.
The family food bill increased 92.5 percent; clothing and housefurnishings costs each advanced more than 66 percent; but residential rents
increased only 4.3 percent.
Retail food prices in large cities advanced 3.4 percent between midSeptember and mid-October 1946. Butter prices rose almost 13
cents per pound during the month; in mid-October butter was 96
cents per pound as compared with 35 cents in October 1939 and 61
cents in June 1946. Poultry and egg prices—each in demand as meat
substitutes in September and early October—increased 17 and 11
percent, respectively. The cost of sugar to consumers jumped 20 per­
cent as retailers were allowed to raise their prices to cover increases
in prices given to sugar producers.
1 The “consumers’ price index for moderate-income families in large cities,” formerly known as the “cost
of living index,” measures average changes in retail prices of selected goods, rents and services, weighted by
quantities bought by families of wage earners and moderate-income workers in large cities in 1934-36. The
items priced for the index constituted about 70 percent of the expenditures of city families whose incomes
averaged $1,524 in 1934-36.
The index only partially shows the wartime effects of changes in quality, availability of consumer goods,
etc. The President’s Committee on the Cost of Living has estimated that such factors, together with certain
others not fully measured by the index, would add a maximum of 3 to 4 points to the index for large cities
between January 1941 and September 1944. If account is taken of continued deterioration of quality and
disappearance of low-priced merchandise between September 1944 and September 1945, which was esti­
mated at an additional Yi point, the total large-city adjustment would be 4r/i points. If small cities were
included in the national average, another ^ point would be added, making the total approximately 5 points.
The indexes in the accompanying tables are based on time-to-time changes in the cost of goods and serv­
ices purchased by wage earners and lower-salaried workers in large cities. They do not indicate whether
it costs more to live in one city than in another. The data relate to the 15th of each month, except those for
January 1941, in tables 1 and 2. They were estimated for January 1, 1941, the base date for determining
allowable “cost of living” wage increases under the Little Steel formula and under the wage-price policy of
February 1946. January 1,1941, indexes in tables 1 and 2 have been estimated by assuming an even rate of
change from December 15, 1940, to the next pricing date.
Food prices are collected monthly in 56 cities during the first 4 days of the week which includes the Tues­
day nearest the 15th of the month. Aggregate costs of foods in each city, weighted to represent food pur­
chases of families of wage earners and lower-salaried workers, have been combined for the United States
with the use of population weights. In March 1943, the number of cities included in the food index was
increased from 51 to 56, and the number of foods from 54 to 61. Prices of clothing, housefurnishings, and
miscellaneous goods and services are obtained in 34 large cities in March, June, September, and December.
In intervening months, prices are collected in 21 of the 34 cities for a shorter list of goods and services. Kents
are surveyed semiannually in most of the 34 cities (in March and September, or in June and December).
In computing the all-items indexes for individual cities and the rent index for the average of large cities,
because of the general stability of average rents at present, the indexes are held constant in cities not sur­
veyed during the current quarter. Prices for fuel, electricity, and ice are collected monthly in 34 large cities.


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997

PRICES AND COST OF LIVING

Fresh fruit and vegetable prices showed a further decline of 1.3
percent, with prices of spinach, lettuce, cabbage, and potatoes 4 to
9 percent lower. It is estimated that meat prices increased 1.2 per­
cent over the month. (See note, p. 999.) Food prices in midOctober were 29.2 percent higher than a year ago and 23.6 percent
above mid-June. They were obtained in the period October 14—17,
meat price controls were removed effective October 15.
Average costs of clothing again advanced. The sharp increases
in prices of raw cotton during the summer were reflected in October in
the higher prices for many essential cotton garments. Prices for all
types of leather footwear advanced as a result of higher ceiling prices
granted to manufacturers in recent months to offset the rising cost of
leather. Prices for sweaters were somewhat lower in many stores
as supplies increased.
Housefurnishings prices rose 1.2 percent during the month as higher
price lines replaced those previously available and retailers adjusted
their prices in accordance with price increases granted by OPA before
all price controls were removed. Prices of sheets, mattresses, cook
stoves, sewing machines, radios, electric refrigerators, vacuum cleaners,
and washing machines advanced in many of the 21 cities surveyed.
Average costs for bedroom furniture were also higher, although some­
what lower prices were reported in a few cities.
Miscellaneous goods and services rose 0.7 percent because of higher
prices for cigarettes, beauty-shop services, motion-picture admissions,
and motor oil. Electricity costs declined 7 percent in New Orleans
as lower rates became effective on October 1.
T a b l e 1.— Index of Consumers’ Prices for Moderate-Income Families and Percent of
________ 7

TY/ ’ * L

A /T

September
1946

October
1945

August
1945

This month Last month

Year ago

VJ-day

October
1946
Group

o

January
1941

August
1939

M onth be­
Wage base fore war in
date
Europe

Indexes (1935-39=100)
All item s______________ ____
F o o d ,---------- ---------------Clothing................ .........
R ent___________ ____ --Fuel, electricity, and ic e ...
Gas and electricity—
Other fuels and ice----Housefurnishings.............Miscellaneous----------------

148.4
180.0
167.0
114.4
91.6
136.5
167.6
130.8

145.9
174.1
165.9
108.8
114.4
91.7
136.5
165.6
129.9

97.5
104.0

98. a
93.5
100.3
104.3
97.5
99.0
96.3

100.2
101.8

100.6

100.4

+47.2
+84.4
+65.0
+ 3 .6
+13.5
- 6 .1
+31.2
+67.3
+28.5

+50.5
+92.5
+66.5
+ 4 .3
+17.3
-7 .5
+41.7

128.9
139.3
148.5

129.3
140.9
146.4

100.8

110.5
94.8
125.7
146.9
124.7

111.4
95.2
127.2
146.0
124.5

100.8

97.6
101.2

105.0

Percent of change to October 1946
All items........................- .........
Food----- ------ ------------Clothing...........................
R e n t1__________ ______
Fuel, electricity, and ice.
Gas and electricity..
Other fuels and ice..
Housefurnishings.........
Miscellaneous------------1 Percent of change to September 1946.


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Federal Reserve Bank of St. Louis

+ 1 .7
+ 3 .4
+ .7

+15.1
+29.2
+12.5

+14.8
+27.8
+14.1

Ö
-.1
0
+ 1 .2
+ .7

+ 3 .5
- 3 .4
+ 8 .6
+14.1
+ 4 .9

+ 2 .7
- 3 .8
+ 7 .3
+14.8
+ 5 .1

+ 66.6

+30.3

998

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T a b l e 2.—Percent of Increase in Consumers' Price Index From Specific Dates to October

1946, by Cities
September
1946

October
1945

August
1945

Last
month

Year ago

VJ-day

January
1941

August
1939

City
Wage base Month be­
fore war in
date
Europe

A verage.....................

1.7

15.1

14.8

47.2

50.5

Baltimore, M d _____
Birmingham, Ala___
Boston, M ass____
Buffalo, N . Y ______
Chicago, 111________
Cincinnati, Ohio___
Cleveland, Ohio____
Denver, Colo______
Detroit, M ich______
Houston, T ex______
Kansas City, M o__
Los Angeles, C alif...
Minneapolis, M inn..
N ew York, N . Y ___
Philadelphia, P a___
Pittsburgh, P a........ .
St. Louis, M o______
San Francisco, Calif.
Savannah, Ga............
Seattle, W ash______
Washington, D . C ...

1.7
2.2
2.0
1.0
2.1
.6
1.1
.6
1.4
.8
.6
1.9
2.3
2.1
1.4
1.1
2.5
1.4
.8
2.6
1.6

14.0
12.9
16.1
13.8
16.9
13.1
13.3
13.0
13.8
13.1
11.8
12.0
16.4
17.9
15.9
14.6
15.4
15.0
12.8
15.1
14.2

13.6
12.2
15.0
13.1
16.7
13.1
12.9
12.2
13.3
13.0
11.3
13.1
16.7
17.4
15.3
14.4
14.9
15.5
12.1
14.2
14.3

49.6
47.9
45.8
43.6
47.4
46.9
46.3
43.3
47.2
41.1
44.3
44.6
43.1
51.1
49.3
47.2
45.0
50.3
53.0
48.7
47.4

52.6
52.6
48.8
48.5
51.2
50.4
49.2
45.3
51.0
42.9
44.0
47.5
46.1
54.1
51.4
51.4
49.3
54.1
56.2
51.3
49.4

T a b l e 3.

Percent of Change in Consumers' Price Index, September to October 1946, by
Cities and Groups of Items
’ J
Fuel, electricity , and ice
City

A v e r a g e .. ......................
A t la n ta , G a . . . ...........
B a ltim o r e , M d _____
B ir m in g h a m , A l a . —.
B o s to n , M a s s _______
B u ffa lo , N . Y _______
C h ic a g o , 111_________
C in c in n a ti, O h io ____
C le v e la n d , O h io ____
D e n v e r , C o lo _______
D e tr o it, M ic h ______
H o u s to n , T e x _______
I n d ia n a p o lis , I n d ___
J a c k s o n v ille , F l a ____
K a n s a s C it y , M o ___
L o s A n g e le s , C a l i f .._
M a n c h e s te r , N . H___
M e m p h is , T e n n ____
M ilw a u k e e , W is ____
M in n e a p o lis , M i n n M o b ile , A l a _________
N e w O rleans, L a ____
N e w Y o r k , N . Y ____
N o r fo lk , V a . ............
P h ila d e lp h ia , P a ____
P itts b u r g h , P a ______
P o r tla n d , M a in e ____
P o r tla n d , O reg ______
R ic h m o n d , V a ______
S t. L o u is, M o _______
S a n F r a n c isc o , C a lif.
S a v a n n a h , G a _______
S c r a n to n , P a ________
S e a ttle , W a s h _______
W a s h in g to n , D . C . . .


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

All
items

Food

+ 1.0
+ 2.1

+ 3 .4
+ 2 .4
+ 3 .3
+ 3 .6
+ 3 .8
+ 2.2
+ 4 .1

+ 1.1

+ 1.2
+ 2.1

+ 1 .7
+ 1 .7

+ 2. 2
+ 2.0

+.6
+.6
+ 1 .4
+.8
+.6

+ 1 .9

+ 2 .3
+ 2.1

+ 1.4
+ 1.1

+ 2 .5
+ 1 .4

+.8

+ 2.6

+

1.6

+. 8

+ 3 .3
+• 7
+ 2.0

+

Cloth­
ing

+ 0 .7
+ .8
+ .6
+1. 5
-h 5
+ .3
+• 1
+ 1 .6
+ 1 .4
+ .7
+ .6

1.0

+■8

+ 3 .6
+ 4 .1
+ 3 .1
+ 2.6
+ 5 .8
+ 3 .6
+ 2.8
+ 4 .4
+ 6 .7
+ 2 .9
+1. 4
+ 3 .9
-.4
+ 5 .1
+5. 2
+ 2.6
+. 9
+ 4 .9
+ 6.0
+ 3 .4

+ .4
+ .9

+ .5
+ .1
+. 2
+ 2 .8

+ .6
+ .4
+ 1 .4
+. 1
+ .7

Total

Gas and
elec­
tricity

Other
fuels
and ice

0
+ .2
+ .3
+ .2
-.2
-.3
+ .2
0
0
+ .1
0
0
0
0
0
0
+. 1
+. 1
+ .1
0
+ .1
-1 .3
-. 1
+ .2
0
0
+ .2
-.4
0
0
0
-.8
0
0
0

- 0 .1
0
0
0
- 1 .0
0
0
0
0
0
0
0
0
0
0
0
+. 2
0
+ .1
0
0
-2 .6
0
0
0
0
+ .6
+ .1
0
0
0
0
0
0
0

0
+. 3
+ .4
+ .2
+ .1
-.6
+ .3
0
0
+ •1
0
0
0
0
0
0
0
0
0
0
+• 2
b
-.2
+. 3
+ .1
0
0
—.6
+. 1
0
0
-1 .0
0
+ .1
0

House- M iscel­
furnish­ lane­
ings
ous

+ 1.2
—

+ 0 .7

+ .3
+ 3 .7
+ 3 .8
+ .4
+ 1 .8
-. 1
+ 1.0
+ .5
+ .2
+ 1.7

+ .6
+ 1 .9
'+. 2
+ .4
+ .7
+ .4
—. 2
+. 2
+ .4
+ 1 .0

+ 1.1
+ 2 .5

+ .8
+ .8

+ .4

0

+ .1

+ 1 .0

+ 1.7

+ .8
+ .4

+ .8
+ 2 .3

+ .6
+■8
+ 1 .0

+ 3 .0

+ .4
+ .5

999

PRICES AND COST OP LIVING

T able 4.— Indexes of Consumers’’ Prices for Moderate-Income Families in Large Cities,

1935 to October 1946
Indexes (1935-39=100) of cost of—
Year and month
All items

1935 _______________________
1936 _______________________
1937
___________________
_____________________
1938
___________________
1939
1940
-- __________________
1941
_________________
1942
.
__________________
1943
________________
1944
_____________________
1945..
___________________
1945:
J a n .15 . ___ _________
Feb. 15
____________
Mar. 15
____________
Apr. 15_________________
M ay 15 ________________
June 15 ____________ -July 15— ____________
Aug. 15 ________________
Sept. 15 ______________
Oct. 15
______ _______
N ov. 15 _______________
Dec. 15 _ ______________
1946:
Jan. 15 ________________
Feb. 15
______________
Mar. 15 ______________
................. ...........
Apr. 15
M ay 1 5 ______ ________
June 15___ ____________
July 15
______ __ . .
Aug. 15 __ ____________
Sept. 1 5 __ ___ _____
Oct. 1 5 _____________ --

Food

Clothing

Rent

Fuel, elec­ Housefurnish­
tricity,
ings
and ice

Miscel­
laneous

98.1
99.1
102.7
100.8
99.4
100.2
105.2
116.5
123.6
125.5
128.4

100.4
101.3
105.3
97.8
95.2
96.6
105.5
123.9
138.0
136.1
139.1

96.8
97.6
102.8
102.2
100.5
101.7
106.3
124.2
129.7
138.8
145.9

94.2
96.4
100.9
104.1
104.3
104.6
106.2
108.5
108.0
108.2
108.3

100.7
100.2
100.2
99.9
99.0
99.7
102.2
105.4
107.7
109.8
110.3

94.8
96.3
104.3
103.3
101.3
100.5
107.3
122.2
125.6
136.4
145.8

98.1
98.7
101.0
101.5
100.7
101.1
104.0
110.9
115.8
121.3
124.1

127.1
126.9
126.8
127.1
128.1
129.0
129.4
129.3
128.9
128.9
129.3
129.9

137.3
136.5
135.9
136.6
138.8
141.1
141.7
140.9
139.4
139.3
140.1
141.4

143.0
143.3
143.7
144.1
144.6
145.4
145.9
146.4
148.2
148.5
148.7
149.4

(>)
0)
108.3
0)
(>)
108.3
0)
(0
108.3
(>)
0)
108.3

109.7
110.0
110.0
109.8
110.0
110.0
111.2
111.4
110.7
110.5
110.1
110.3

143.6
144.0
144.5
144.9
145.4
145.8
145.6
146.0
146.8
146.9
147.6
148.3

123.3
123.4
123.6
123.8
123.9
124.0
124.3
124.5
124.6
124.7
124.6
124.8

129.9
129.6
130.2
131.1
131.7
133.3
141.2
144.1
145.9
148.4

141.0
139.6
140.1
141.7
142.6
145.6
165.7
171.2
174.1
180.0

149.7
150.5
153.1
154.5
155.7
157.2
158.7
161.2
165.9
167.0

(0
(0
108.4
0)
0)
108.5
0)
108.7
108.8
(0

111.0

110.8

148.8
149.7
150.2
152.0
153.7
156.1
157. 9
160.0
165.6
167.6

125.4
125.6
125.9
126.7
127.2
127.9
128.2
129.8
129.9
130. 8

110.5
110.4
110.3
110.5
113.3
113.7
114.4
114.4

i Rents not surveyed in this month.
N ote .—Sufficient price quotations were obtained in mid-October to compute price indexes for beef and
veal in many cities but the shortage of pork in all cities, and the scarcity of beef, veal, and lamb in a few
cities continued to be so severe that a reliable sample of prices could not be obtained. For those meats
in the cities where an adequate number of prices could be obtained, mid-October prices were compared
directly w ith prices in August, the last month in which sufficient quotations were secured for most meats
used in computing the index. For meats for which an adequate sample of prices was not obtained in midOctober, prices were again held unchanged at August levels in computing the index. An adequate number
of quotations was reported in all cities for poultry and fish. On this basis the average increase in the cost
of meat, fish, and poultry combined to consumers between September and October has been estimated at
1,2 percent.
It is expected that the November meat index w ill be based on the usual number of price quotations and
w ill describe in full the change that has occurred in the price of meat between mid-November and midAugust, the last date for which quotations could be obtained from nearly all stores.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1000

m onthly

la bo r r e v ie w —

De c e m b e r 1 9 4 6

Retail Prices of Food in October 1946
RETAIL prices of food in October 1946 in relation to those in selected
preceding periods are shown in the accompanying tables.
T able 1.

Percent of Change in Retail Prices of Food in 56 Large Cities Combined, by
Commodity Groups, in Specified Periods

Commodity group

All foods
Cereals and bakery products
M eats____________________
Beef and veal__________
Pork__________________
Lamb_________________
Chickens______________
Pish, fresh and canned-.
Dairy products____________
E ggs--------------------------------Fruits and vegetables______
Fresh_________________
Canned_______________
Dried_________________
Beverages_________________
Fats and oils______________
Sugar and sw eets__________

Sept. 17,
1946,to
Oct. 15,
1946

Oct. 16,
1945, to
Oct. 15,
1946

M ay 18,
1943, to
Oct. 15,
1946

Jan. 14,
1941, to
Oct. 15,
1946

Aug. 15,
1939, to
Oct. 15,
1946

+ 3 .4

+ 2 9.2

+25.9

+84.0

+92.5

+. 9

+26.9
+45.6
+47.7
+62.0
+37.8
+47.9

+ 28.7
+37.9
+33.1
+45.3
+32.6
+52.6
+24. 5
+47.8
+51.0
- 7 .5
-1 3 .1
+17.9
+25.8
+33.7
+17.1
+31.3

+45.9

+48.3
+99.3
+75.3
+107.3
+90.0
+138. 2
+150. 7
+117.4
+136.6
+91.0
+92.7
+ 68.8

i +1.2
i -3 .2
(9
1+• 1
+ 16.9
+ 5 .0
+ 8 .5
+ 11.0

+ 1 2 .8

+51.8
+15.7
+ 2 .3
-1 .9
+18.6
+17.6
+33.5
+19.3
+32.4

+.1
- 1 .3

+ 4 .0
+7.1
+ 2.8
- 2 .3
+18.4

+ 88.6

+59.6

+ 111.8

+90.2
+131.8
+110.4
+92.6
+120. 3
+89.2
+91.4
+69.1
+99.5
+ 83.2
+84.2
+75.8

+ 120. 0
+75.4
+75.0
+75.2

1
Prices were held at August levels as follows: Pork—all cities, round steak—28 cities, rib roast—33 cities
chuck roast 32 cities, beef liver—38 cities, hamburger—30 cities, veal cutlets—41 cities, leg of lamb—35
cities, lamb chops—33 cities. It is expected that the November meat index w ill be based on the usual
number of price quotations and will describe m full the change that has occurred in the price of meat between
mid-November and mid-August, the last date for which quotations could be obtained from nearly all stores
T able

2 — Indexes of Retail Prices of Food in 56 Large Cities Combined,1 by Commodity
Groups, on Specified Dates
[1935-39=100]
1946

1945

1943

1941

1939
Aug. 15

Commodity group

All foods________ ____ _____
Cereals and bakery products.
M eats...... .................. ...............
Beef and veal_________
Pork__________________
L am b-..______________
Chickens______________
Fish, fresh and canned.
Dairy products__________
Eggs____ _________________
Fruits and vegetables______
Fresh_________________
Canned................... .............
D ried........................ ...........
Beverages_________________
Fats and oils..............................
Sugar and sw eets............. .......

Oct. 15 2

Sept. 17

Oct. 16

M ay 18

Jan. 14

180.0
138.5
3190.7
3 174. 6
3 182.4
3 187.7
225.3
249.7
202.4
214.6
176.5
178.8
154.6
198.7
166.5
147.9
167.5

174.1
137.3
188.5
180.3
182.4
< 187.6
192.8
237.8
186.6
193.3
176.4
181.1
148.7
185.6
162.0
151.4
141.5

139.3
109.1
131.0
118.2
112.6
136.2
152.3
221.3
133.3
185.5
172.5
182.3
130.4
168.9
124.7
124.0
126.5

143.0
107.6
138.3
131.2
125.5
141.6
147.6
200.5
136.9
142.1
190.8
205.8
131.1
158.0
124.5
126.3
127.6

97.8
94.9
101.1
109.4
86.1
98.7
97.2
118.7
105.1
97.4
93.3
93.4
91.4
99.6
90.9
80.3
95.3

93.5
93.4
95.7
99.6
88.0
98.8
94.6
99.6
93.1
90.7
92.4
92.8
91.6
90.3
94.9
84.5
95.6

c° s jS of food®in
city, weighted to represent total purchases by families of wage earners
a°' Prehmimir06 ^ wor^ers’ have been combined with the use of population weights.
, 3,L rices Verc beM. at August levels as follows: pork—all cities, round steak—28 cities, rib roast—33 cities,
Cltl®s» J??ei liver—38 cities, hamburger—30 cities, veal cutlets—41 cities, leg of lamb—35
cb°Ps 33 cities. It is expected that the November meat index will be based on the usual num;’ T ,°iTprice quotations and will describe in full the change that has occurred in the price of meat between
mid-November and mid-August, the last date for which quotations could be obtained from nearly all stores


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

AVERAGE FOR LARGE CITIES
1935-39 = 100

PRICES AND COST OF LIVING

1001


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

RETAIL PRICES OF FOOD TO CITY WORKERS

1002

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

RETAIL PRICES
FOR GROUPS OF FOOD
AVERAGE FOR LARGE CITIES

index


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1935 ■ 39 = IOO

1003

PRICES AND COST OF LIVING

T able 3.—Average Retail Prices of 78* Foods in 56 Large Cities Combined, October 1946,

Compared with Earlier Months
1945

1941

1939

Sept.
17

Oct.
16

fan.
14

Aug.
15

Cents
38.6
18.0
11.6
8.4
14.1
10.6

Cents
32.1
15.7
9.2
6.5
12.7
10.4

Cents
20.7
13.8
9.8
4.2
7.9
7.1

Cents
17.9
14.0
9.7
4.0
7.5
7.1

11.6
12.6
13.2
34.0
21.6

8.8
9.6
9.9
29.1
18.9

7.8
8.7
9.0
25.1
15.0

7.8
8.8
9.2
«
14.8

(8)
(8)
(8)
(0
(8)

40.9
33.1
28.4
37.2
27.3

38.6
31.5
25.2
(5)
(0

36.4
28.9
22.5
(0
(0

00
(8)

44.5
35.1

45.2
(0

42.5
(0

(8)
00
(8)
(8)
00
00

37.2
41.2
49.4
34.7
22.0
38.7

29.1
30.1
45.1
26.2
16.7
(0

30.9
30.4
46.4
27.4
15.4
(0

00
(8)
58.2

40.4
45.9
46.1

27.8
35.0
31.1

27.6
36.7
30.9

-00
24.0
41.7

00
23.0
40.2

00
15.7
26.4

(0
12.8
23.1

82.9
60.3
19.3
18.2
12.7
67.0

49.9
35.7
15.6
14.5
10.0
65.7

38.0
27.0
13.0
11.9
7.1
34.9

30.7
24.7
12.0
11.0
6.7
32.0

11.2
11.0
57.4
11.7

13.6
10.4
51.2
10.0

5.2
6.6
27.3
(0

4.4
6.1
31.5
(0

17.4
5.4
8.9
12.2
4.7
63.7
11.9
9.5

17.0
4.8
9.0
12.2
6.6
62.0
11.1
7.7

14.0
3.4
6.0
8.4
3.6
29.2
7.3
5.0

7.2
3.9
4.6
8.4
3.6
34.4
7.8
5.5

30.1
28.5
15.3

27.5
26.3
14.5

16.5
20.9
(0

17.1
21.0
(0

14.6
15.4
14.8
16.7
13.4
18.4

13.1
14.8
13.3
12.2
13.0
17.3

10.0
10.7
13.2
8.4
(0
9.6

10.0
10.4
13.6
8.6
(0
8.8

13.9

11.5

6.5

5.8

1946
Article
Oct.
15i
Cereals and bakery products:
Cereals:
Cents
Flour, w h ea t3 ________________ _________ 5 pounds..
40.3
Macaroni____________________ ,
______ pound..
18.6
11.7
Corn flakes1___________ _____ ________ 11 ounces..
_ _________ pound..
Corn meal_____ . _ ______ 8.6
R ic e 3, . , ______ ____ _ _ _____ ___________ do____
14.8
Rolled oats_____________
_________ _ do___
10.6
Bakery products:
Bread, w hite_________ _ _____ ____________ do___
11.6
12.5
Bread, whole wheat___________ ____________do__.
13.4
Bread, rye. _ . . . _____________ ___________ __do___
33.7
Vanilla cookies,,,'_____________ ____________ _do_ __
22.2
Soda crackers_________________ ___ _______ do._ _
Meats:
Beef:
Round steak_________________ ______________ do___
(*)
Rib roast___ ____ ___ _______ _____________do____
00
_________ do___
Chuck roast________
______
00
Liver____________________ - , , ______________do___
(0
Hamburger___________________ ______________do___
l8)
Veal:
Cutlets______________________ _____________do____
00
Roast, boned and rolled3______ ______________do___
(8)
Pork:
Chops_______________________ ______ _______do__ _
(8)
Bacon, sliced____ ______ ______ __ ______ _____ do
00
Ham, sliced_________ _______ _________ ____ do___
00
________ ___ do___
Ham, whole_________
00
Salt p o r k ____________ _______ _ ___________ do___
(8)
Sausage3________________ ____ _______ _____do ___
(8)
Lamb:
Leg--------------------------------------- ______ _____do___
(0
______ do___
Rib chops______________
, ___ _
(0
68.0
Poultry: Roasting chickens__________ _ ____________do___
Fish:
Fish (fresh, frozen)_____
______ ______________do___
00
24.1
Salmon, pink________________ _________ 16-ounce can..
43.2
Salmon, red 3________ ___ ---------- ______________do___
Hairy products:
96.3
B u tt e r ------ -------------------- , , , , , ____________ pound,.
65.3
Cheese___________ , . -------------- __________ ___do___
20.0
M ilk, fresh (delivered) ,
--------- _______ ____quart,.
19.0
M ilk, fresh (store)________________ _ ______ - . . _do___
13.2
M ilk, evaporated________ . ------- . _._14J^-ounce can..
74.4
Eggs: Eggs, fresh------------------------------ _____________dozen..
Fruits and vegetables:
Fresh fruits:
11.4
Apples_______________ _____ , __________ pound _
11.0
Bananas_____________________ _____________do___
57.4
Oranges_____ 1___ ______ , , ___________ dozen..
10.0
Grapefruit 3_, _______ , ------- ______________each..
Fresh vegetables:
18.1
. . . pound.
Beans, green,, , ----------------- _____
5.1
Cabbage___________ _____ ____ ______________do___
9.5
Carrots---------------------------- ____ ______bunch..
11.5
Lettuce-------- -------------------- , _____ . . . . . . head..
4.7
Onions_______________________ . _____ ..p o u n d ..
61.0
P o ta to e s____________________ _________ 15 pounds, _
10.8
Spinach_______________ . , , . ____________ pound..
9.1
Sweetpotatoes________________ ______________do___
Canned fruits:
30.8
Peaches.................... .
........ , , _______ N o. 2Yi can..
28.9
Pineapple, ---------------- ------ ______________do_ __
15.2
Grapefruit juice_________ ' ------ _________ No. 2 can.
Canned vegetables:
15.0
______________do___
Beans, green_________________
16.2
Corn_____________ ________ ______________do. _
15.2
_
___________
do___
P ea s.. ____________________
17.6
______________do___
Tomatoes ,_, , -------------- .
13.7
Soup, vegetable3 __________ _____ ,11-ounce can..
20.0
Dried fruits: Prunes,------- ---------- ____________pound ,
Dried vegetables:
Navy beans_________________ ...... ..................... do___ 14.6

See footnotes at end of table.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1004

M ONTHLY LABOR REVIEW— DECEMBER 194 6

T able 3.—Average Retail Prices of 78 Foods in 56 Large Cities Combined, October 1946,

Compared With Earlier Months— Continued
1946

1945

1941

1939

Article

•

Beverages:
Coffee___________________________ . . . _______ pound.
T ea. ____________________________ _____ . 54-pound..
Cocoa3_____ _______ _____________ -------------- 14-pound-,
Fats and oils:
Lard____________ ____ ___________ ........ .............p ou n d ..
Shortening other than lard:
In cartons__________ ____ . ___ --------------------do___
In other containers___________ _____________ do___
Salad dressing,.________________ _______________p in t..
Oleomargarine___________
. . . . . . __________ pound,.
Peanut butter___ _____ ___________ _____________ do___
Oil,cooking or salad 3_______ ______ ______________p in t..
Sugar and sweets:
Sugar__________ ________________ ___________ pound..
Corn sirup_________ . . . _ ______ _________ 24-ounce..
Molasses 37_______________________ _____16-fluid-ounce..

Oct.
15

Sept.
17

Oct.
16

Jan.
14

Aug.
15

Cents
41.6
24.3
10.9

Cents
40.4
24.3
10.5

Cents
30.6
24.3
10.4

Cents
20.7
17.6
9.1

Cents
22.3
17.2
8.6

25.8

28.2

18.8

9.3

9.9

22.3
27.0
30.2
27.2
34.9
32.1

22.9
26.3
29.7
26.5
34.6
32.1

20.0
24.5
24.5
24.3
28.6
30.0

11.3
18.3
20.1
15.6
17.9
6)

11.7
20. 2
(5)
16.5
17.9
(s)

9.0
19.2
20.8

7.5
18.6
20.6

6.6
15.8
20.4

5.1
13.6
17.3

5.2
13.7
17.6

*The collection of prices for the following eight foods not included in the index was discontinued as of
October 1946: Wheat cereal, pancake flour, stew meat, liver, bologna, beets, dehydrated chicken noodle
soup, and apple butter.
1 Preliminary.
2 Price formerly published for 10 pounds.
3 N ot included in index.
4 Price formerly published for 8 ounces.
5 N ot priced.
6 Composite price not computed.
7 Price formerly published for 18 ounces avoirdupois.
8 Average for 56 cities combined not computed because of high percentage of cities with prices held at
August levels.

T able 4. — Indexes of Average Retail Prices of A ll Foods, by Cities,1 on Specified Dates
[1935-39 = 100]
1946

1945

1941

1939

Oct. 16

Jan. 14

Aug. 15

City
Oct. 15 2 4

Sept. 17

United States______ _______ ____________

180.0

174.1

139.3

97.8

93.5

Atlanta, Ga___________ ____________
Baltimore, M d ______ ____ _
Birmingham, Ala_________________
Boston, M ass_____________ _ .
Bridgeport, C o n n ._____ ________________

177.5
186.1
183.0
174.4
175.9

173.4
180.1
176.6
168.0
168.9

140.5
147.5
144.2
133.3
136.4

94.3
97.9
96.0
95.2
96.5

92
94
90
93

Buffalo, N . Y ..................... ................
Butte, Mont _____________ . . .
Cedar Rapids, Io w a 3________ .
Charleston, S. C ______ . . . . .
Chicago, 111______ ________________

168.4
175.6
184.8
173.0
183.4

164.7
170.0
180.0
170.4
176.2

135.6
136.7
142. 2
139.4
137.8

100. 2
98.7
95 9
95! 9
98.2

92.3

Cincinnati, Ohio____________ .
Cleveland, Ohio____________ : .
Columbus, O hio........................
Dallas, T ex____________ _
Denver, Colo____ ____________

171.3
183.1
171.6
177.0
171.4

169.3
179.3
161.9
173.0
170.1

139.0
143.3
132.6
137.1
138.0

96. 5
99.2
93.4
92.6
94.8

90 4
93 6
88 1
91. 7
92.7

Detroit, M ic h .....................
Fall River, M ass_____
Houston, T ex. _ ________
Indianapolis, Ind ______ . . .
Jackson, M iss.3____________ _

173.9
175.6
174.7
175.9
195.8

168.4
168.4
173.5
172.4
189. 0

136.4
132.8
139. 7
136.0
150 0

97.0
97. 5
102. 6
98. 2
105 3

90. 6
95.4
97 8
90 7

Jacksonville, F la_________
Kansas City, M o____ _
Knoxville, Tenn.3. ________
Little Rock, Ark_____________
Los Angeles, Calif____ _____________

180.7
166.6
201.5
172.3
182.8

180.7
165.3
197. 8
168.6
176.5

149.0
132.9
161.1
138.3
147.2 |

98.8
92.4
97 1

95 8
91 5

95.6
101.8

94. 0
94.6

See footnotes at end of table.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

5
7
7
5

93.2
94 5

94 1
951

1005

PRICES AND COST OP LIVING

T able 4. — Indexes of Average Retail Prices of A ll Foods, by Cities,1 on Specified Dates—

Continued
[1935-39=100]

1946

1945

1941

1939

Oct. 16

J a n .14

Aug. 15

City
Sept. 17

Oct. 15
Louisville, K y — -------------------------------Manchester, N . H ---- ----------- --Memphis, T enn---- ---------- - -----Milwaukee, W is— - ------- ---- ----Minneapolis, M inn-------- -----_ _

167.4
176.9
191.0
174.8
177.6

163.7
170.0
4 185. 3
170.3
167.9

133.5
134.6
148.6
137.4
132.6

95.5
96.6
94. 2
95.9
99.0

92.1
94.9
89.7
91.1
95.0

Mobile, Ala__________ ___ _ --- Newark, N . J-- ---------- --- -- - N ew Haven, C o n n .-. . ---- -------- - - -N ew Orleans, La . -. - - -----N ew York, N . Y ................................ .

182.8
179.5
173.9
196.0
186.7

176.4
170.9
166.8
190.7
178.8

148.1
141.0
135.5
154.4
139.5

97.9
98.8
95.7
101.9
99. 5

95.5
95. 6
93.7
97.6
95.8

Norfolk, V a_______________ _ — - - -Omaha, N ebr___ ___ — -- - - - - - Peoria, 111 ______ ____
. . - ------- Philadelphia, P a -._ ---------------------------Pittsburgh, P a_________________________

189.3
178.2
188.9
177.6
179.3

177.4
171.0
183.8
172.6
176.9

144.3
131.1
145.5
137. 2
140.0

95.8
97.9
99.0
95.0
98.0

93.6
92.3
93.4
93.0
92, 5

Portland, Maine - .
- -- Portland, Oreg - ---- ----------Providence, R. I- _
Richmond, V a --- ------- - ----------Rochester, N . Y . — --------- ------ --

173.5
183.7
184.1
175.9
172.5

167.0
184.5
175.9
167.4
165.7

133.0
149.7
139.1
137.7
134.7

95.3
101.7
96.3
93.7
99.9

95.9
96.1
93. 7
92. 2
92.3

St. Louis, M o ______ ____
-----St. Paul, M inn-------------------Salt Lake City, U tah__ . . - --- - -------- - ----San Francisco, Calif . - .Savannah, G a_-------------------------------------

183.6
176.2
180.6
191.4
192.6

174.5
164.6
175.4
186.5
190.9

141.4
131.4
144.5
147.9
155.4

99. 2
98.6
£7. 5
99. 6
100. 5

93.8
94.3
94.6
93. 8
96.7

Scranton, Pa - ____
-—
----Seattle, W ash__ ____
..
----Springfield, 111—
---- - -------------------Washington, D . C ---------------------------------

182.5
186.1
181.7
180.6
189.2
184.3

174.0
175.6
179.8
174.7
186. 6
179. 2

138.7
142.7
145.0
140. 2
148.3
142.6

97.5
101.0
96. 2
97.7
97. 2
93.7

92.1
94. 5
94.1
94.1

1 Aggregate costs of 61 foods in each city (54 foods prior to March 1943), weighted to represent total pur­
chases by wage earners and low-salaried workers, have been combined for the United States with the use
of population weights. Primary use is for time-to-time comparisons rather than place-to-place comparisons.
2 Preliminary.
4 Prices were held at August levels as follows: Pork—all cities, round steak—28 cities, rib roast—33 cities,
chuck roast—32 cities, beef liver—38 cities, hamburger—30 cities, veal cutlets—41 cities, leg of lamb—35
cities, lamb chops—33 cities.

T able 5. — Indexes of Retail Food Prices in 56 Large Cities Combined, 1913 to October

1946
[1935-39=100]

Year

All­
foods
index

Year

All­
foods
index

All­
foods
index

Year and month

138.0
136.1
139.1

1946—Con.
November____
December-........

140.1
141.4

137.3
136.5
135.9
136.6
138.8
141.1
141.7
140.9
139.4
139.3

1946
January______
February ______
March _________
April__________
M a y ....... .........June ---- -----------July---------------August . -_- -September— _
October ---------

141. 0
139.6
140.1
141.7
142.6
145.6
165.7
171.2
174.1
180.0

1Q13
1Q14
-j q-j p;
1916
1917
1Q1R
1Ql Q

79.9
fll 8
80 9
90.8
116.9
184.4
149.8

1928......... ........... 1929
1930
1931___________
1932___________
1933
___
1934

130.8
132.5
126.0
103.9
86.5
84.1
93.7

1943........... ...........
1944 __________
1945 __________

1Q20
1Q?1
1Q99
19?**
1924
1Q9.^
1Q?6
1927___________

168 8
198 8
110 0

1935
1936
1937
1938
1939 .
1940.
______
1941
1942___________

100.4
101.3
105.3
97.8
95.2
96.6
105.5
123.9

A pril.. . - . M a y . ___- _
June......... ...........
July__________
A ugust-,
.September------October _____

194 0

122 8
132 9
137 4
132.3

7 2 2 2 5 0 — dO-

ll


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

All­
foods
index

Year and month

1946
January _______
February _____

1006

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

W holesale Prices in October 1946
AVERAGE primary market prices 1 advanced 6.9 percent between
September and October largely because of higher agricultural prices,
but there were small increases in most other commodity groups. In
addition, current prices of motor vehicles were introduced into
October calculations,2 so that the October index of commodity prices
was increased to 134.1 percent of the 1926 average—26.6 percent above
October 1945 and 78.8 percent above August 1939.
Prices of farm products and foods rose 7.1 percent and 19.7 percent
respectively during the month, led by increases for meats. Prices of
all commodities other than farm products and foods (not including
current motor vehicle prices) averaged 0.9 percent higher. Textile
products, chemicals and allied products, housefurnishings goods, and
miscellaneous commodities increased about 2 percent; building
materials and hides and leather products less than 1 percent. There
was a slight decline in the group index for fuel and lighting materials.
Prices of raw materials were 5.2 percent higher, semimanufactured
articles 2.8 percent, and manufactured products 10.6 percent (excluding
motor vehicles, 8.4 percent).
The advance of 7.1 percent for farm products was due mainly to
higher prices for livestock, which increased sharply immediately after
their removal from control in mid-October; substantially higher prices
prevailed throughout the remainder of the month, despite record ship­
ments to market. Quotations for hogs and steers in October averaged
more than 22 percent above September and prices advanced sub­
stantially for calves, cows, and lambs. Increased supplies of livestock
led to reduced demand and lower prices for live poultry. Grain quota­
tions rose over 2 percent, largely reflecting short supplies because of a
boxcar shortage and a tendency to withhold shipments pending
decision on ceiling increases or decontrol of flour. Corn, however,
declined in price with larger shipments of the new crop and decreased
demand for livestock feed. Egg quotations advanced steadily to
mid-October, reflecting heavy demand as a meat substitute, but de­
clined in late October; average prices for the month were higher.
Except for potatoes and onions, both in liberal supply, prices of fresh
fruits and vegetables were generally higher. Higher prices were al­
lowed for fluid milk under Federal milk marketing agreements.
Flaxseed and tobacco, exempt from OPA control, advanced. There
were increases in Commodity Credit Corporation selling prices of
1 The Bureau of Labor Statistics wholesale price data, for the most part, represent prices in primary
markets. In general, the prices are those charged by manufacturers or producers or are those prevailing on
commodity exchanges. The monthly index is calculated from a monthly average of one-day-a-week prices.
It should not be compared directly with the weekly wholesale prices index, which is designed as an indicator
of week to week changes. Indexes for the last 2 months are preliminary.
5 See footnote 1 to table 1.


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Federal Reserve Bank of St. Louis

P R IC E S AND COST OF L IV IN G

1007

domestic wools to cover parity. Quotations for foreign wools also
advanced to meet higher prices in Australian and South American
markets. Cotton quotations reached 20-year highs during the month,
but broke sharply late in the month with spot prices falling 5 cents a
pound in 10 days.
Meat prices, largely responsible for the 19.7-percent rise in food
prices, nearly doubled in mid-October immediately upon decontrol and
averaged 45.8 percent higher for the month. Beef, pork, and veal were
up more than 50 percent and lamb and mutton about 40 percent.
There were small increases for dressed poultry. Prices of most dairy
products advanced—by amounts ranging from 4 to 20 percent.
Dried fruits of the new pack, exempt from OPA control, were priced
well above old-pack ceiling levels. Increases from about 10 percent
to as high as 85 percent occurred for a number of other foods removed
from OPA control, including lard, tallow, edible oils, cocoa, coffee, and
black pepper.
Higher prices for most textile groups contributed to the average
price rise of 2.3 percent in textile products for the month. Further
upward adjustments of OPA ceilings to cover higher costs of raw
cotton, as required by the Price Control Extension Act of 1946, led
to higher prices of many cotton fabrics, artificial leather, and some
cotton clothing. There also were advances for some woolen fabrics
reflecting higher costs. Prices of raw silk declined because of lack
of demand at current high prices for manufactured silk products.
Kaw jute quotations increased.
Prices of most metals and metal products were unchanged during
the month. The introduction of current prices of motor vehicles,
however, raised the October index for the group 10 percent. Motor
vehicles, unavailable to civilians during the war, had been carried at
April 1942 prices in the index. Average prices in October 1946 were
27.0 percent above these levels. During the month there were
small increases for some nonferrous metals, gray iron castings, and
farm machinery, reflecting ceiling adjustments.
Higher prices of prepared paint because of increased costs of linseed
oil and also of paint materials largely accounted for the 0.7 percent
increase in building material prices. Linseed oil, naval stores, and
several colors, exempt from OPA control, advanced in price, and
ethyl acetate prices were up sharply following ceiling adjustments.
Prices for shellac and zinc oxide declined. Incentive ceiling adjust­
ments for shop lumber sold directly to millwork manufacturers
resulted in substantial increases for some lumber, and ceiling increases
were allowed also for millwork and window glass. Prices of Douglas
fir lath declined with partial cancellation of an earlier ceiling increase.
Chemicals and allied products advanced 1.5 percent as a group
because of sharp increases for a number of decontrolled commodities in

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Federal Reserve Bank of St. Louis

1008

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

short supply, including fats and oils, inedible tallow, opium, and
cottonseed meal. Prices of acetone, dynamite, and castor oil advanced
following upward ceiling adjustments. Lower raw-materials costs
made possible substantial lowering of prices of cream of tartar and
tartaric acid. Ergot prices dropped with larger supplies from Portugal.
Price increases for housefurnishings, which rose 1.5 percent as
a group, generally followed upward ceiling adjustments. Advances for
cotton blankets, sheets and pillowcases, tablecloths, and oilcloth
reflected higher costs of raw cotton. Linoleum prices rose because
of higher costs of linseed oil. Other articles which advanced in price
included sewing machines, furniture, mattresses and bedsprings, floor
coverings, dinnerware, and window shades.
Miscellaneous commodities rose 1.9 percent during the month.
Sharp price advances for cattle feed occurred late in the month after
removal from price control. Lubricating oils and tobacco products,
also exempt from price control, rose in price. Higher ceilings were
followed by price rises for newsprint, tissue paper, and woodpulp.
T able

1 . — Indexes

of Wholesale Prices by Groups and Subgroups of Commodities
October 1946, Compared with Previous Months
Percentage changes to
October 1946 from—

Indexes (1926=100)
Groups and subgroups
Oct.
1946

Sept.
1946

Oct.
1945

Aug.
1939

Sept.
1946

Oct.
1945

Aug.
1939

All commodities____ ________

i 134.1

124.0

105.9

75.0

+ 8.1

+26.6

+78.8

Farm products______________
Grains__________________
Livestock and poultry___
Other farm products_____

165.3
174.2
174.6
156.1

154.3
170.6
150.4
151. Î

127.3
130.2
130.5
123.6

61.0
51.5
66.0
60.1

+7.1
+2.1
+16.1
+ 3.3

+29.9
+33.8
+33.8
+26.3

+171.0
+238.3
+164. 5
+159.7

Foods______________________
Dairy products__________
Cereal products_________
Fruits and vegetables____
M eats__________________
Other foods_____________

157.9
185.5
128. 5
122. 5
191.4
136.2

131.9
169.1
127.4
115.5
131.3
115.5

105.7
110.4
95.3
116.3
107.9
98.5

67.2
67.9
71.9
58.5
73.7
60.3

+19.7
+ 9 .7
+ .9
+6.1
+45.8
+17.9

+49.4
+68.0
+34.8
+5.3
+77.4
+38.3

+135.0
+173.2
+78.7
+109.4
+159. 7
+125.9

Hides and leather products___
Shoes__________________
Hides and skins_________
Leather_________________
Other leather products___

142.4
145.2
153.0
138.5
118.6

141.6
144.8
151.5
138.5
115.8

118.6
126.3
117.6
103.8
115.2

92.7
100.8
77.2
84.0
97.1

+ .6
+ .3
+ 1 .0
0
+ 2.4

+20.1
+15.0
+30.1
+33.4
+ 3.0

+53.6
+44.0
+98.2
+64.9
+22.1

Textile products....... ..................
Clothing_________ _____ _
Cotton goods____________
Hosiery and underwear___
R ayon..............................
Silk_____________________
Woolen and worsted goods.
Other textile products____

128.6
125.5
172.9
88.8
30.2
125.7
116.6
130.6

125.7
122.9
166.6
88.7
30.2
126.5
113.9
126.7

101.0
107.4
125.0
71.5
30.2
(2)
112.7
101.4

67.8
81.5
65.5
61.5
28.5
44.3
75.5
63.7

+ 2.3
+ 2.1
+ 3.8
+ .1
0
- .6
+ 2.4
+3.1

+27.3
+16.9
+38.3
+24.2
0
+ 3 .5
+28.8

+89.7
+54.0
+164.0
+44.4
+ 6 .0
+183. 7
+54.4
+105.0

Fuel and lighting materials___
Anthracite______________
Bituminous coal_________
Coke____________________
Electricity_______________
Gas_____________________
Petroleum and products__

94.2
113.5
137.2
147.5
(2)
(2)
73.1

94.3
113.5
137.0
147.5
(2)
80.6
73.0

84.2
102.2
124.8
134.9
66.7
79.8
62.1

72.6
72.1
96.0
104.2
75.8
86.7
51.7

-.1
0
+■1
0

+ 11.9
+11.1
+ 9.9
+ 9.3

+29.8
+57.4
+42.9
+41.6

+ .Ï

+17.7

+41.4

See footnotes a t end of table.


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Federal Reserve Bank of St. Louis

1009

PRICES AND COST OF LIVING
T able

1.—Indexes of Wholesale Prices by Groups and Subgroups of Commodities
October 1946, Compared with Previous Months— Continued
Percentage changes to
October 1946 from—

Indexes (1926=100)
Groups and subgroups
Sept.
1946

Oct.
1945

Aug.
1939

Sept.
1946

Oct.
1945

i 125.7
Metals and metal products----------- --------—
Agricultural im plem ents_______________ 108.7
109.9
Farm machinery--------------------------------Iron and ste e l,. ______ _ ----------------- 113.7
.... .................................. i 143.3
Motor vehicles
101.8
Nonferrous metals____________ ______
107.2
Plumbing and heating------------- -- -------

114.2
108.6
109.8
113.5
(2)
101.4
107.2

105.0
97.9
98.9
99.8
112.8
85.7
95.0

93.2
93.5
94.7
95.1
92.5
74.6
79.3

+10.1
+ .1
+ ,1
+ .2
+ .4
0

+19.7
+11.0
+11, 1
+13.9
+27.0
+18.8
+12.8

+34.9
+16.3
+16.1
+19.6
+54.9
+36.5
+35.2

Building materials-----------------------------------Brick and t i l e . ---- ---------------- -Cement ______________________
___
Lumber.- . . . ------- -- ------ ---------------Paint and paint materials. ----------------Plumbing and h e a tin g ________________
Structural steel___ ____________________
Other building materials----------------------

134.8
127.8
106.5
178.9
119.2
107.2
120.1
122.5

133.8
127.7
106.5
178.2
116.7
107.2
120.1
121.4

118.3
115.2
99.9
155.2
107.6
95.0
107.3
104. 6

89.6
90.5
91.3
90.1
82.1
79.3
107.3
89.5

+ .7
+ .1
0
+• 4
+ 2.1
0
0
+ .9

+13.9
+10.9
+ 6 .6
+15.3
+10.8
+12.8
+11.9
+17.1

+50.4
+41.2
+16.6
+98.6
+45.2
+35.2
+11.9
+36.9

Chemicals and allied products-------------------Chemicals________________ ____ ____
Drugs and pharmaceuticals. --------------Fertilizer materials-----------------------------Mixed fertilizers------. . -------------- —
Oils and fats____ _____________________

99.9
98.8
111.5
91.9
90.5
111.1

98.4
98.6
110.3
90.2
90.0
103.3

95.5
96.4
110.3
81.9
86.6
102.0

74.2
83.8
77.1
65.5
73.1
40.6

+ 1 .5
+ .2
+ 1.1
+ 1 .9
+ .6
+ 7 .6

+ 4 .6
+ 2 .5
+ 1.1
+12.2
+ 4 .5
+ 8 .9

+34.6
+17.9
+44.6
+40.3
+23.8
+173.6

Housefurnishing goods____________________
Furnishings---------------------- ----------------Furniture____________________________

115.3
121.3
109.2

113.6
119.4
107.5

104.7
107.9
101.6

85.6
90.0
81.1

+ 1 .5
+ 1 .6
+ 1 .6

+10.1
+12.4
+ 7 .5

+34.7
+34.8
-¡-34. 6

Miscellaneous. . . . ---------- ----------- ----------Automobile tires and tubes------------------Cattle feed.
------ ------- -- ---------------Paper and pulp___
...
- ---------Rubber, crude - .
-------------- ---------Other miscellaneous-------- - - . -------------

104.0
73.0
217.2
124.6
46.2
108.2

102.1
73.0
201.8
121.9
46.2
106.5

94.8
73.0
159.6
109.3
46.2
98.9

73.3
60.5
68.4
80.0
34.9
81.3

+ 1 .9
0
+ 7 .6
+ 2 .2
0
+ 1 .6

+ 9 .7
0
+36.1
+14.0
0
+ 9 .4

+41.9
+20.7
+217. 5
+55.8
+32.4
+33.1

Raw m aterials..- _ . . . ----------- ------------ 148.7
118.2
Semimanufactured articles------------------------Manufactured products___________________ 1 129.6
i
127.1
All commodities other than farm products—
All commodities other than farm products
and foods--------- ------------------------------------- i 115.7

141.4
115.0
117.2
117.2

116.6
96.8
101.9
101.0

66.5
74.5
79.1
77.9

+ 5 .2
+ 2 .8
+10.6
+ 8 .4

+27.5
+22.1
+27.2
-J-25.8

+123. 6
+58.7
+63.8
+63.2

112.2

100.1

80.1

+ 3.1

+15.6

+44. 4

Oct.
1946

Aug.
1939

i Index including motor vehicles at current prices.
Motor vehicles—The rate of production of motor vehicles in October 1946 exceeded the monthly average
rate of civilian production in 1941, and in accordance with the announcement made last month the Bureau
introduced current prices for motor vehicles in the October calculations. During the war, motor vehicles,
were not produced for general civilian sale and the Bureau carried April 1942 prices forward in each com­
putation through September 1946.
.
^
If April 1942 prices of motor vehicles had been used in computing the October 1946 indexes, the October
indexes for the groups of which motor vehicles is a component would have been:
Indexes 1926=100
Indexes 1926=100
All commodities - ____________ _____ _____ 132.5 All commodities other than farm products------ 125.1
Metals and metal products________ ________ 114.3 All commodities other than farm products
Manufactured products--........ - ................ .........127.0
and foods------------------------------------------------- 113.2
These special indexes will be published as long as the need for them continues
2 N ot available.


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1010

M O N T H L Y LABOR R E V IE W — D ECEM BER 1 9 4 6

,

Index Numbers by Commodity Groups 1926 to October 1946

Index numbers of wholesale prices by commodity groups for selected
years from 1926 to 1945, and by months from October 1945 to Octo­
ber 1946, are shown in table 2.
T able 2. — Index Numbers of Wholesale Prices by Groups of Commodities
[1926=100]
Hides
and
Farm
prod­ Foods leath­
er
ucts
prod­
ucts

Fuel
Chem­
Tex­
and Metals
icals HouseMisand Build­
furtile
light­ metal
ing
and
celnish- laneprod­ ing
mate­
allied
prod­
ing
ucts mate­
rials
prod­
ous
ucts
rials
ucts goods

1926________________
1929................................
1932__________ ____
1933______________
1936___________
1937____________
1938______________

100.0
104.9
48.2
51.4
80.9
86.4
68.5

100.0
99.9
61.0
60.5
82.1
85.5
73.6

100.0
109.1
72.9
80.9
95.4
104.6
92.8

100.0
90.4
54.9
64.8
71.5
76.3
66.7

100.0
83.0
70.3
66.3
76.2
77.6
76.5

100.0
100.5
80.2
79.8
87.0
95.7
95.7

100.0
95.4
71.4
77.0
86.7
95.2
90.3

100.0
94.0
73.9
72.1
78.7
82.6
77.0

100.0
94.3
75.1
75.8
81.7
89.7
86.8

100.0
82.6
64.4
62.5
70.5
77.8
73.3

100.0
95.3
64.8
65.9
80.8
86.3
78.6

1939_______________
1940_____________
1941_______________
1942.............. ............
1943____________
1944__________
1945_______________

65.3
67.7
82.4
105.9
122.6
123.3
128.2

70.4
71.3
82.7
99.6
106.6
104.9
106.2

95.6
100.8
108.3
117.7
117.5
116.7
118.1

69.7
73.8
84.8
96.9
97.4
98.4
100.1

73.1
71.7
76.2
78.5
80.8
83.0
84.0

94.4
95.8
99.4
103.8
103.8
103.8
104.7

90.5
94.8
103.2
110.2
111.4
115.5
117.8

76.0
77.0
84.4
95.5
94.9
95.2
95.2

86.3
88.5
94.3
102.4
102.7
104.3
104.5

74.8
77.3
82.0
89.7
92.2
93.6
94.7

77.1
78.6
87.3
98.8
103.1
104.0
105.8

1946
October____________
N ovem b er______
December__________

127.3
131.1
131.5

105.7
107.9
108.6

118.6
118.8
118.9

101.0
101.1
101.4

84.2
84.6
84.8

105.0
105.2
105.6

118.3
118.7
119.5

95.5
95.7
96.1

104.7
104.7
104.7

94.8
94.8
94.8

105.9
106.8
107.1

1946
January___________
February___________
March____________
April_______________
M ay____________
June_____ .
July-----------------------August..........................
September__________
October_____ _______

129.9
130.8
133.4
135.4
137.5
140.1
157.0
161.0
154.3
165.3

107.3
107.8
109.4
110.8
111.5
112.9
140.2
149.0
131.9
157.9

119.4
119.6
119.8
119.8
120.4
122.4
141.2
138.9
141.6
142.4

101.6
102.2
104.7
107.9
108.8
109.2
118.1
124.0
125.7
128.6

84.9
85.1
85.0
86.1
86.1
87.8
90.3
94.4
94.3
94.2

105.7
106.6
108.4
108.8
109.4
112.2
113.3
114.0
114.2
125.7

120.0
120.9
124.9
126.5
127.8
129.9
132.1
132.7
133.8
134.8

96.0
95.9
96.0
96.1
96.5
96.4
99.3
98.4
98.4
99.9

106. 2
106.5
106.9
107.5
108.3
110.4
111. 9
112.6
113.6
115.3

95.3
95.6
95.6
95.7
97.0
98.5
101.3
102.0
102.1
104.0

107.1
107.7
108. 9
110.2
111.0
112.9
124.7
129.1
124. 0
134.1

Year and month

All
com­
modi­
ties

The price trend for specified years and months since 1926 is shown
in table 3 for the following groups of commodities: Raw materials,
semimanufactured articles, manufactured products, commodities
other than farm products and commodities other than farm products
and foods. The list of commodities included under the classifications
“Raw materials,” “Semimanufactured articles,” and “Manufactured
products” was shown on pages 10 and 11 of Wholesale Prices, JulyDecember and year 1943 (Bulletin No. 785).


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1011

PR IC E S AND COST OF L IV IN G

T able 3.— Index Numbers of Wholesale Prices by Special Groups of Commodities
[1926=100]

Year

All
com­
All
modi­
com­
Semi- M an­ modi­
ties
other
ties
ufac­
Raw manufacthan
mate­ tured tured other
farm
than
rials
arti­ prod­
farm prod­
ucts
cles
prod­ ucts
and
ucts
foods

100.0
1926............
1929 ............. 97.5
55.1
1932 ........ .
1933________ 56.5
1936________ 79.9

100.0
93.9
59.3
65.4
75.9

100.0
94.5
70.3
70.5
82.0

100.0
93.3
68.3
69.0
80.7

100.0
91.6
70.2
71.2
79.6

1937________
1938________
1939 _____
1940
1941

84.8
72.0
70.2
71.9
83.5

85.3
75.4
77.0
79.1
86. 9

87.2
82. 2
80.4
81.6
89.1

86.2
80.6
79.5
80.8
88.3

85.3
81.7
81.3
83.0
89.0

1942
1943
1944________
1945________

100. 6
112.1
113.2
116.8

92.6
92.9
94.1
95.9

98.6
100.1
100.8
101.8

97.0
98.7
99.6
100.8

95.5
96.9
98.5
99.7

Year and
month

All
com­
Semi- M an­ modi­
ties
Raw manufac- ufac­
mate­ tured tured other
than
prod­
rials
arti­
farm
ucts
cles
prod­
ucts

1945
October____ 116.6
November. __ 118.9
D ecem ber... 119.2
1946
January____
February___
March_____
April______
M ay ______
June..............
July_______
August_____
September __
October____

118.3
118.9
120.5
122.2
123.6
126.3
141.7
145.7
141.4
148.7

All
com­
modi­
ties
other
than
farm
prod­
ucts
and
foods

96.8
96.9
97.6

101.9
102.2
102.5

101.0
101.3
101.6

100.1
100.2
100.5

97.6
98.8
100.4
101.1
101.9
105.7
110.2
111.9
115.0
118.2

102.9
103.4
104.5
105.5
106.1
107.3
118.9
123.9
117.2
129.6

101.9
102.5
103.4
104.5
105.1
106.7
117.5
121.9
117.2
127.1

100.8
101.3
102.2
103.3
103.9
105.6
109. 5
111.6
112.2
115.7

Weekly Fluctuations

Weekly changes in wholesale prices by groups of commodities
during September and October 1946 are shown by the index numbers
in table 4. These indexes are not averaged to obtain an index for the
month but are computed only to indicate the fluctuations from week
to week.
T able 4. — Weekly Index Numbers of Wholesale Prices by Commodity Groups, September

and October 1946
[1926=100]

Commodity group

Oct.
26

Oct.
19

Oct.
12

Oct.
5

Sept.
28

Sept.
21

Sept.
14

Sept.
7

---------------------------------- 135.9

135.1

126.0

125.1

124.4

123.8

121.7

122.0

Farm products---------------- ---------------------F o o d s... . . _ _____
. . . ____
______
Hides and leather products________________
Textile products___
. --------------- --------Fuel and lighting materials. ---------- ---------

170.1
169.9
143.3
126.5
95.0

160.1
175.6
141.5
126.3
95.0

160.2
137.7
141.3
126.1
95.0

158.0
135.5
141.1
125.9
95.0

156.6
133.0
140.9
125.4
95.1

155.1
131.9
139.4
123.7
95.3

151.8
128.1
139.7
117.5
95.2

150.4
130.7
139.6
117.3
95.1

M etals and metal products________________
Building materials------------ -------------------Chemicals and allied products-------------------Housefurnishing goods---- ----------------------Miscellaneous________ . -----------------------

114.4
134.2
99.5
115.9
103.7

114.4
134.2
98.8
115.7
102.5

114.2
134.1
98.8
115.3
102.2

114.2
134.1
98.6
115.1
102.2

114.2
134.0
98.2
115.0
101.8

114.2
133.9
98.4
114.7
101.8

113.6
133.3
97.9
114.3
101.9

113.6
133.1
97.9
114.1
101.3

Raw materials . . . . ----------------------------Semimanufactured articles ______________
Manufactured products. . . ------- --------All commodities other than farm products...
All commodities other than farm products
and foods----------------------------------------------

153.0
117.7
131.7
128.5

146.3
117.5
133.7
129.7

146.3
117.1
118.6
118. 4

144.5
116.9
118.1
117.8

143.6
116.7
117.5
117.4

142.5
116.2
117.1
116.9

138.4
111.9
115.9
115.1

137.5
111.5
116.9
115.8

113.1

112.8

112.6

112.6

112.4

112.1

111.0

110.8

All com m odities.,


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Construction

Construction Activity, September-November 1946
Progress on the Housing Program

WELL over a third of a million (366,400) new permanent dwellings
were under construction and almost the same number (340,700) had
been completed by the end of October 1946. It is estimated that
practically all of the dwellings under construction in October had been
started this year. While about a third of all the completed units
were begun in 1945, the remaining two-thirds accounted for a sub­
stantial proportion (37 percent) of the 580,600 new permanent
dwellings started thus far in 1946.
The new permanent dwellings discussed here account for about 2
in every 3 of all the units begun and completed during the Veterans’
Emergency Housing Program. The VEHP includes, in addition to
the new permanent units, conversion, trailer, and temporary re-use
accomodations.
All but a very small proportion (1.4 percent) of the new permanent
units begun in October were privately financed. Average construc­
tion cost of 1-family privately financed homes (as distinguished from
selling price) increased only about 6 percent between January and
October of this year in spite of the fact that materials and labor costs
in general advanced more. Average construction cost for private
1-family houses started this October was only about 1 percent higher
than last December when all controls on selling price had been lifted.
The relative staoilization in average construction cost of private
single-family homes this year can be attributed directly to regulations
governing the selling price and rentals of units for which authoriza­
tion was given under Priorities Regulation 33, initiated in January of
this year. It was possible in this way to bring about construction of
a much greater proportion of smaller and cheaper houses than might
otherwise have been built, placing the new units within the range of
more of the veterans wanting to buy homes.
A total of 616,000 workers were employed at the site of new resi­
dential construction in October, and 380 million dollars were spent
for this work.
1012


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1013

CONSTRUCTION
T able

1.—Number oj Family Dwelling Units or Equivalent Living Accommodations
Started and Completed in Nonfarm Areas, January-0ctober, 1946 1
Number of units
Completed

Started
Month

First 10 months of 1946-_

--

-----

January
________________ - - _____
February
__
_ - - - ____
______
Mar eh
_ _____ _______
April
_______ ______ ------M ay
________________ __________
June ____________ __- - - - -------July
__________ - ___ __________
August
- _____ ___ ___ ________
Sp.ptember
_____
_____
___
October ______________________ — ___

Total

N ew per­
manent
family
dwell­
ings 2

Other 3

Total

N ew per­
manent
family
dwell­
ings 4

882,900

580,600

302,300

499,900

340, 700

159,200

49,300
56,600
86, 500
96, 800
105, 500
95,700
106,000
104,200
104,300
78,000

36,100
43,100
60,400
66,100
67, 500
63,600
64,300
64,400
57,100
58,000

13,200
13, 500
26,100
30,700
38,000
32,100
41, 700
39,800
47,200
20,000

25,900
29, 200
32,200
37,200
41,900
48, 700
57, 700
62,000
81,300
83, 800

18, 700
20,300
22,600
26,400
30,300
34,900
41,000
42,200
49,800
54,500

7,200
8, 900
9,600
10,800
11, 600
13,800
16, 700
19,800
31,500
29,300

Other 5

1 Excludes military barracks.
.
,
, , . .
2 Includes 8,027 permanent units started by New York City Housing Authority, and 30,800 prefabricated
units (National Housing Agency estimate).
.
, _ ■,
.
,
3 Covers 51,100 privately financed converted units; 191,600 Federal (Mead-Lanham temporary housing
program) units (150,900 family dwellings and 40,700 dormitory equivalents—Federal Public Housing Author­
ity estimates); 36,200 trailers (Bureau of the Census); and 23,400 family and dormitory equivalent units
financed by various State and local public bodies and educational institutions. These units are not in­
cluded under the Federal Mead-Lanham temporary housing program. A small proportion of new per­
manent units provided in the local emergency program, now included under “ Other w ill be shown for all
months in the column for new permanent housing in future publications of this table.
i Break-down not available for conventional and prefabricated units.
3 Covers 50,400 conversion units, 69,100 re-use units, 36,200 trailers, and 3,500 local emergency units.

Total Construction Activity

Construction employment and expenditures in November, according
to preliminary estimates, continued the downward trend which
started in October. In spite of these declines, the level of activity was
twice that of a year ago. There were 109,000 fewer workers employed
on construction this November than in the preceding month, and the
dollar volume of work put in place was 67 million dollars below the
October total. In November 1946, total construction employment
amounted to 2,184,000, compared with 1,183,000 last November;
corresponding expenditures figures are 1,162 million dollars and 555
million dollars.
Privately financed industrial building and National Housing
Agency’s re-use homebuilding projects are the only two major construc­
tion categories which did not undergo a decline in expenditures during
November. Industrial building, at 230 million dollars, was slightly
higher than in October, and re-use housing rose from 5 million to 55
million dollars. Seasonal drops of 22 million dollars in farm construc­
tion and 15 million in highway construction accounted for the greatest
portion of the over-all decline in expenditures during November.
Private builders spent 10 million dollars less for new residential con­
struction and 6 million less for commercial building.

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1014

M O N T H L Y LABOR R E V IE W — D ECEM BER 1 9 4 6

Employment, too, was down in practically all classes of construction.
The 783,000 persons working on construction and repair of nonfarm
homes were 17,000 below October; nonresidential building and repair
engaged 807,000 in November, or 13,000 fewer than in the preceding
month. Despite continuing seasonal declines, construction employ­
ment in November topped the 2-million mark for the sixth successive
month in 1946.
T able 2. —Estimated Construction Employment1 in the United States, Selected Months

of 1945 and 1946
Estimated employment (in thousands)
Type of project

1946
November » October * Septem ber5

November
1945»

All types........................................................ .

2,184

2,293

2,313

1,183

New construction.............................................
Private construction......... ....................__
Residential (nonfarm) building........
Nonresidential building.....................
Parm construction............... ............
Public utilities....................................
Public construction......... .......................
Federal *_....... ........... .........................
Residential building_____ ____
Nonresidential building.............
Reclamation_______ _______ _
River, harbor, and flood control.
Streets and highways........... ......
All other »___ ______ ________
Non-Federal_____ _____ ________
Streets and highways........... ......
A llother«..................................
Minor building repairs__________________
Residential (nonfarm).....................
N onresidential..........................................
Farm construction................ .............

1,885
1,423
578
641
42
162
462
279
126
35
9
34
55
20
183
88
95
299
79
131
89

1,986
1,505
603
655
85
162
481
272
115
31
10
33
63
20
209
102
107
307
82
134
91

2,014
1,544
621
653
106
164
470
247
100
27
11
29
64
16
223
105
118
299
86
133
80

941
711
239
313
24
135
230
132
6
70
7
20
11
18
98
38
60
242
69
116
57

i Estimates include wage earners, salaried employees, and special trades contractors aetivively engaged
^
additions and alterations, and on repair work of the type usually covered by building
permits, whether performed under contract or by force-account. (Force-account employees are workers
hired directly by the owner and utilized as a separate work force to perform construction work of the type
usually chargeable to capital account.) These figures should not be confused with those included in the
Bureau’s nonagncultural employment series, which covers only employees of constructton contractors

" » b i t e i a S . ' T f S K S 3’ ,nd e“ ludes f~

»

“ ‘

« state

* Preliminary.
* Revised.
*cI neludes the following force-account employees hired directly by the Federal Government- November
1945, 16,800; September 1946, 21,700; October 1946, 20,900; November 1946, 20 000
C' ^ emDer
« M ainly airports, water and sewer systems, and electrification projects.
’
s e r v i c e t ^ c°mm unity buildings, water supply and sewage disposal projects, and miscellaneous public-


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Federal Reserve Bank of St. Louis

1015

CONSTRUCTION

T able 3. —Estimated Construction Expenditures1 in Continental United States, Selected

Months in 1945-1946
Estimated expenditures (in millions)
1946

Type of construction

NoNovem­ Octo­ Septem­
ber 2
ber 3
ber 3

First 11 moi^th
of—

1945
1946

1945

Total construction....................................- .............. ............

$1,162

$1,229

$1, 250

N ew construction * -------------- ------------- ----------------Private construction__________________________
Residential (nonfarm) building________ ____
Nonresidential building......... ..............................
Industrial................ - ............ ............. ............
Commercial______ _____ ___ ____ _______
All other................................... ...................... .
Farm construction................... - .............................
Public utilities.—---------- ---------------------------Public construction_________________ _____ ____
Residential building__________ ____ ________
Nonresidential (except military and naval facilities). _________ _______ ______ ________
Industrial facilities________________ ____
All other____ _______________ ____ _____
Military and naval facilities 5_______________
Highway_________________________________
Other public______________________________
Federal6___ _________________________
State and lo ca l7_____________ __________
Minor building repairs 8 _________________________
Residential (nonfarm)_____________ ___________
Nonresidential______ ________________ _______
Farm construction. __________________________

988
750
320
332
192
87
53
20
78
238
55

1,050
784
330
337
191
93
53
40
77
266
50

1,075
804
340
335
186
96
53
50
79
271
45

437
309
98
138
80
34
24
10
63
128
2

9,224
7,271
3,003
3,162
1,628
1,039
495
340
766
1,953
256

4,113
2,199
554
852
221
153
478
186
607
1,914
69

27
7
20
15
90
51
24
27
174
45
71
58

32
9
23
19
105
60
27
33
179
47
72
60

35
9
26
16
108
67
31
36
175
47
73
55

30
11
19
34
31
31
15
16
118
34
52
32

296
79
217
169
739
493
236
257
1,680
488
716
476

755
589
166
544
281
265
127
138
978
277
409
292

$555 $10,904

$5,091

1 Estimated construction expenditures represent the monetary value of the volume of work put in place
in continental United States during a given period of time. These figures should not be confused with the
data on value of construction reported in the table on urban building construction (table 4).
2 Preliminary.
2 Revised.
* Estimates of new construction are prepared jointly by the Bureau of Labor Statistics and the Office of
Domestic Commerce (a successor to the Bureau of Foreign and Domestic Commerce) and include expen­
ditures for new construction, major additions, and alterations.
* Expenditures for floating dry docks and facilities for the production of atomic bombs are excluded.
« Mainly river, harbor, flood control, reclamation, and power projects.
7 Includes water supply, sewage disposal, and miscellaneous public-service enterprises.
* Covers privately financed structural repairs of the type for which building permits are generally required.

Urban Building

Permit valuations of building construction in urban areas (includ­
ing the value of Federal construction contracts awarded) amounted
to 332 million dollars for October—a decrease since September of
9 million dollars. Less employment and lower expenditures in this
field of construction may be expected in the next month or two, since
decreases in building permits indicate a decline in the volume of con­
struction to be started.
Valuations of both new residential and new nonresidential con­
struction in urban areas decreased somewhat during the month, to
190 million and 84 million dollars, respectively. Additions, altera­
tions, and repairs, on the other hand, rose slightly to reach an October


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1016

MONTHLY LABOR REVIEW— DECEMBER 194 6

total of 58 million dollars—continuing the steady increase that has
been evidenced since June. Restrictions on new construction are,
apparently, causing owners to repair and to improve available struc­
tures in an effort to meet part way the current demand.
T able 4. —Permit Valuation 1 of Urban Building Construction,2 by Class of Construc­

tion and by Source of Funds, Selected Months of 1945 and 1946
Valuation (in millions)
1946

Class of construction
Octo­
ber 3

First 10 months of—

Septem­
ber 4

October
1945
1946 3

1945

Total
All building construction________

$332

$341

$267

$4,071

$1,466

N ew residential5______ _________
New nonresidential____ _____ ___
Additions, alterations, and repairs.

190
84
58

194
90
57

93
110
64

2,108
1,293
670

474
586
406

Non-Federal
All building construction________

321

317

260

3, 790

1,224

N ew residential *__________ _____
N ew nonresidential_______ ______
Additions, alterations, and repairs.

181
84
56

174
90
53

93
106
61

1,874
1,271
645

444
402
378

7

7 281

242

4
3

7 234
22
25

30
184
28

Federal
All building construction......... .......

9 11

24

New residential *_______________
N ew nonresidential_____________
Additions, alterations, and repairs.

«9

20

(8)

2

(8)

4

(8)

1 Includes value of Federal construction contracts awarded.
2 Estimates of non-Federal (private, and State and local government) urban building construction are
based upon building permit reports received from places containing about 85 percent of the urban popula­
tion of the country; estimates of federally financed projects are compiled from notifications of construction
contracts awarded, which are obtained from other Federal agencies.
3 Preliminary.
4 Revised.
3
Includes value of dormitories and other nonhousekeeping residential buildings in addition to house­
keeping units shown in table 5.
6 Includes $8,440,000, the estimated cost of 1,286 dwelling units in N ew York City Housing Authority
projects. These projects, although financed solely with city funds, are included with Federal projects in
order to segregate public from private housing. All other types of building construction financed with
State or local government funds are included under “non-Federal.”
7 Includes $45,188,850, the estimated cost of 8,027 dwelling units contained in N ew York City Housing
Authority projects.
»
9 Value less than $500,000.


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1017

CONSTRUCTION

T able 5. —Estimated Number and Permit Valuation 1 of New Dwelling Units Scheduled

To Be Started in A ll Urban Areas,2 Selected Months of 1945 and 1946
First 10 months of—

1946

October
1945

Source of funds and type of dwelling
October 3 September4

19463

1945

Number o indwelling units
43,087

19,830

450, 584

121,497

35,044
35, 799
Privately financed....... ..................................
29, -335
29, 491
1fam ily......... ...................... ......................
- ....................
2,050
1,839
2-family 5__________________________
3, 659
4,469
M ultifamily 6----------------- --------8,043
1,314
Federally financed 7. __ ------------------------

19,496
16, 582
857
2,057
334

376,059
316, 657
21,500
37,902
74, 525

111,039
92, 580
6,938
11, 521
10,458

All dwellings_________ ________ _________

37,113

Valuation (in thousands)
All dwellings___________________________

$189,284

$191,826

$91,484

$2,060,921

$465, 956

Privately financed--------------------------------1family 5___ ________ ____
2family 6__ ____ _______
Multifamily . . . ------- -- ---------------Federally financed 7-------------------------------

180,784
155,839
7,923
17,022
8,500

172,678
150,795
8, 960
12,923
19,148

91,114
79,194
3, 551
8, 369
370

1,841,386
1,609, 314
89,896
142,176
219, 535

438,236
377,033
23,319
37,884
27,720

1 Includes value of Federal construction contracts awarded.
2 See footnote 2, table 4, for source of urban estimates,

a Preliminary.
4 Revised.
« Includes 1- and 2-family dwellings with stores.
e Includes multifamily dwellings with stores.
„ ,
.,
^ For number of, and estimated cost of, dwelling units contained m New York City Housing Authority
projects but included here with federally financed housing, see footnotes 6 and 7, table 4.

Average Hours and Earnings

Both general building and special trades contractors reported
additional contracts, some overtime work, and upward wage adjust­
ments, all of which are reflected in September average weekly earnings
of $58.49 for private building construction. This was the highest
average weekly earnings figure recorded since January 1940—the
beginning of the period for which monthly data are available.
General building contractors reported average hourly earnings for
their employees of $1.45 in September—10 percent higher than a
year ago. This 10-percent increase, coupled with a lengthened aver­
age workweek, resulted in a $7 rise ovei the year in average weekly
earnings. Increases during the month, both in the hourly rate (3
cents) and in the hours worked per week (% hour), caused weekly
earnings for general building to increase almost $2 from August to
a new high of $55.64 for September. The earnings of skilled, as well
as semiskilled and unskilled, employees of general building contractors
are included in the averages.


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1018

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Average weekly earnings increased both over the year and during
the month for all groups in the special building trades, but principally
for persons employed in plumbing and heating, painting and decorat­
ing, and electrical work. Wage increases during the year caused
weekly earnings to rise $8 from the level of a year ago to $69.66 for
electrical work, $6.25 to $63.70 for plumbing and heating, and $4.53
to $62.06 for painting and decorating. The increases in weekly earn­
ings from August to September for the three trades were $2.08, $2.27,
and $2.31, respectively. A successively longer average workweek for
these trades, as well as for carpenters, during July, August, and Sep­
tember reflects a better flow of materials to the job site.
For nonbuilding construction, a longer workweek and generally
increased hourly earnings resulted in higher average weekly earnings
tor the month—$57.90 in September compared with $56.24 in August.
T able 6.—Average Hours and Earnings on Private Construction Projects for Selected

Types of Work, September 1946 1
[Subject to revision]
Average hours per week Average weekly earnings

Average hourly earnings

Type of work
Septem­ August Septem­ Septem­ August Septem­ Septem­
Septem­
ber 1946 1946» ber 1945 ber 1946 1946 3 ber 1945 ber 1946 August
1946» ber 1945
All types of work
Building construction
General contractors____
Special building trades »_
Plumbing and heat­
ing_____________
Painting and dec­
orating___ . .
Electrical work
Masonry______
Plastering and lath­
ing—
C arpentry.. _____
Roofing and sheet
metal______
Excavation
and
foundation___

38.3
38.4

Nonbuilding construction...
Streets and highway___
H eavy construction .
Other___________

42.2
42.0
42.6
41.3

41.6
40.9
42.1
40.9

39.3
38.7
38.4
39.2

38.7
38.2
37.8
38.7

M
38.1
36.9
39.0

40.2

39.5

38.6
41.1
38.1

37.8
40.3
38.6

38.3
39.8

37.7
39.4

$58.39
58.49
55.64
61.87

$56. 61
56.67
53. 66
60. 34

40.8

63.70

61.43

39.3
40.1
37.6

62.06
69. 66
58.53

59.75
67.58
58.36

34.4
40.2

65. 21
58.68

64.60
56.82

53. 73
54.39

37.7

37.2

54.06

53.30

51.90

1.412

1.414

1.395

38.3

38.4

54.88

54. 21

51. 51

1.431

1.416

1.341

(4)
(4)
(4)
(4)

57.90
55. 71
59.86
54.46

56.24
54.39
58.21
53.40

(4)
«
(4)
(4)

1. 372
1. 327
1.407
1.317

1.353
1.331
1.382
1.305

(4)
(4)
(4)
(4)

$1.485
1. 510
1.450
1.580

$1.462
1.482
1.419
1.558

57.45

1.584

1. 555

1.410

57.53
61.66
58.11

1.609
1.696
1.537

1.581
1.678
1. 510

1.464
1.539
1.545

1.703
1.473

1. 716
1.442

1.560
1.353

(4)
$53.11
48. 56
56.42

(4)
$1. 392
1.317
1.445

lishments.eS &U flrmS reporting during the months shown (about 9,000) but not necessarily identical estabbecause ofrom dm g. Wh<m multiplied by weekly hours of work m ay not exactly equal weekly earnings
3 Revised.
4 N ot available prior to February 1946.
»Includes types not shown separately.


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Federal Reserve Bank of St. Louis

Trends o f Employment and Labor Turn-Over

Labor Force, October 1946

WHO IS COUNTED IN THE LABOR FORCE
L a b o r F o r c e .—Persons

14 years of age and over who are employed
or unemployed during the census week (the week containing the
eighth day of the month).

E m p l o y e d .—Those

who, during the census week, (1) work full or
part time for pay or profit; (2) work without pay in k family
enterprise (farm or business) at least 15 hours; or (3) have a
job but do not work because of illness, vacation, labormanagement dispute, bad weather, or lay-off with definite
instructions to return to work within 30 days.

U n e m p l o y e d .—Those

not working, but seeking a job.

Declines of 120,000 in unemployment and 10,000 in employment
combined to reduce the civilian labor force by 130,000 between
September and October, according to the Bureau of the Census sample
Monthly Report on the Labor Force. The civilian labor force in
October numbered 59,310,000, including 57,360,000 employed and
1,950,000 unemployed.
The decline in unemployment brought the number of job seekers
below the 2 million mark for the first time in 1946. Unemployment
in October was 760,000 below the postwar peak of 2,710,000 reached
in March 1946.
The number of unemployed men in October (1,540,000) was more
than a million above the VJ-day level. One out of every two unem­
ployed men was a veteran. Unemployed women (410,000) numbered
about the same as just before the war’s end.
The small decline in employment during the month represented the
net effect of divergent movements in agricultural and nonagricultural
employment. A seasonal decline of 220,000 in farm employment was
largely offset by a gain of 210,000 in nonfarm employment.
The increase in nonagricultural employment between September
and October of this year maintained an unbroken record of monthly

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1019

1020

M ONTHLY LABOR REVIEW----DECEMBER 194 6

increases since September 1945. Veterans and women accounted for
the greater part of the gain during the month. The September to
October increase among ex-servicemen, however, was the smallest
monthly gain since the war’s end, as demobilization tapered off and
some veterans left the labor market to go to school. A gain of
90,000 among women continued the series of moderate advances
recorded since June of 1946. Entries of women in response to
pressures of rising living costs and high labor demand have been
more than offsetting withdrawals accompanying high marriage and
birth rates.
Total Labor Force in the United States, Classified by Employment Status, Hours Worked,
and Sex, September and October 1946 and October 1945
[Source: U. S. Department of Commerce, Bureau of the Census]
Estimated number (in thousands) of persons 14 years
of age and over 1
Item

Total, both sexes
Sept.
1946

Oct.
1946

Oct. Sept.
1945 1946

Male
Oct.
1946

Female
Oct. Sept.
1945 1946

Oct.
1946

Oct.
1945

Total labor force 2___________________

61, 660 61,480 63, 750 44, 360 44, 290 44,990 17, 300 17,190 18, 760

Civilian labor force__________
Unemployment_____ _______
Employm ent________ ______
Nonagricultural- ______
Worked 35 hours or m ore.._
Worked 15-34 hours______
Worked 1-14 hours 3 . . .
W ith a job but not at work 4__
Agricultural_______.
Worked 35 hours or more____
Worked 15-34 hours...
Worked 1-14 hours 3____
W ith a job but not at work 4 .

59,440 59, 310 53,110 42,170 42,140 34,590
2,070 1,950 1, 550 1,580 1, 540
930
57, 370 57, 360 51, 560 40, 590 40, 600 33, 660
48,630 48, 840 42, 770 33, 810 33, 930 27, 060
41,960 41,870 35,180 30, 290 30, 220 23, 320
3, 640 4,320 4,740 1,760 2,180 2,140
1,130 1,240 1,130
440
540
440
1,900 1,410 1,720 1,320
990 1,160
8,740 8, 520 8,790 6,780 6, 670 6,600
7,120 6,740 6, 820 6,030 5, 730 5, 610
1, 330 1,490 1, 660
540
750
770
170
180
190
100
100
110
120
110
120
110 (*)
110

17, 270 17,170 18, 520
490
410
620
16, 780 16, 760 17,900
14,820 14,910 15, 710
11, 670 11, 650 11, 860
1,880 2,140 2, 600
690
700
690
580
420
560
1,960 1, 850 2,190
1, 090 1,010 1,210
790
740
890
(*)
(*)
(*)
(*)
(*)
(*)

Estimates are subject to sampling variation, which may be large in cases where the quantities shown are
relatively small. Therefore, the smaller estimates should be used with caution; those under 100,000 are not
presented m the table but are replaced with an asterisk (*). All data exclude persons in institutions.
2
l otal labor force consists of the civilian labor force and the armed forces. Estimates of the armed forces
during the census week are projected from data on net strength as of the first of the month.
2 Excludes persons engaged only in incidental unpaid family work (less than 15 hours); these persons are
classified as not m the labor force.
4
Includes persons who had a job or business, but who did not work during the census week because of
illness, bad weather, vacation, labor dispute, or because of temporary lay-off with definite instructions to
return to work within 30 days of lay-off. Does not include unpaid family workers.

Summary of Employment Reports for October 1946
DURING October 1946 employment in trade rose seasonally by 116,000 and in government declined by almost 100,000, while nonfarm
employment increased by 121,000. The drop of about 19,000 in
contract construction was offset by a rise of more than that number
in manufacturing.


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TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1021

The number of employees in nonagricultural establishments showed
an increase of 121,000 between September and October 1946. Unem­
ployment, according to the Bureau of the Census, remained at the
2 million level.
The current seasonal gain in trade raised the number of workers in
this industry division to more than 8 million, the highest since Decem­
ber 1941. After VJ-day, there was a net rise of more than a million in
trade employment.
Of the increase of about 30,000 workers in manufacturing between
September and October, only 5000 were production workers. The
heavy goods industries showed a gain in production-worker employ­
ment of 29,000, while employment in the light industries dropped by
24,000.
Industrial and Business Employment
The most sizable manufacturing employment change between Sep­
tember and October was the seasonal decline of 83,000 production
workers in the food group. Almost all of this drop was in the canning
industry.
Significant gains were reported by the electrical machinery and
other machinery groups among the heavy industries and by textiles
and apparel in the light industry group.
In the year ending October 1946, more than 1% million production
workers were added to manufacturing industries. Of the 20 major
groups, only transportation equipment and food failed to show an
increase. The largest single increase was in the automobile industry,
where employment rose by 309,000.
T able

1.— Estimated Number of Employees in Nonagricultural Establishments, by
Industry Division
Estimated number of employees,
(in thousands)
Industry division
Septem­
ber 1946

Total estimated employment L ------ --------------------------- ------

40, 250

40,129

Contract construction and Federal force-account construction, _
Transportation and public utilities---------------------- ----------------

14, 761
825
2,084
3, 988
8, 034
5,208

24, 731
827
2,103
3, 948
7,918
5,155

14, 583
828
2,091
4,001
7, 814
5,160

13, 048
718
1, 006
3, 825
7, 331
4,698

5, 350

5, 447

5, 394

5,701

Finance, service, and miscellaneous-------------------------------------Federal, State, and local government, excluding Federal forceaccount construction__________________ _______ __________

August
1946

October
1945

October
1946

39, 371

36, 327

1 Estimates include all full- and part-time wage and salary workers in nonagricultural establishments
who worked or received pay during the pay period ending nearest the 15th of the month. Proprietors, selfemployed persons, domestic servants, and personnel of the armed forces are excluded.
2 Estimates for manufacturing have been adjusted to levels indicated by final 1944 data made available
b y the Bureau of Employment Security of the Federal Security Agency and are comparable with the pro­
duction-worker estimates shown in table 2.

7 2 2 2 5 0 -4 6 -

12


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Federal Reserve Bank of St. Louis

1022

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T able 2. — Estimated Number of Production Workers and Indexes of Production-Worker

Employment in Manufacturing Industries, by M ajor Industry Group 1
Estimated number of Production-worker
production workers indexes (1939=100)
(in thousands)

Group

October
1946

October
1945

October
1946

All manufacturing................................................ ............................ .
Durable goods _______________________________ ___ ____
Nondurable g oods....................................... .................................

12, 021
6,118
5,903

10,450
5,151
5, 299

146.7
169.4
128.9

127.6
142.6
115.7

Iron and steel and their products........... ............................... ............
Electrical machinery_______ ____ __________________________
Machinery, except electrical__________ ____ _____ ______ ____
Transportation equipment, except automobiles______________
Automobiles_________ _______ _____ ________ _____________
Nonferrous metals and their products_______________ _____ _
Lumber and timber basic products__________ _______________
Furniture and finished lumber products____ ____ ___________
Stone, clay, and glass products._________ __________________

1,442
559
1, 091
442
745
402
633
393
411

1,241
467
909
667
460
305
476
307
319

145.5
215.9
206.5
278.7
185.1
175.4
150.7
119.8
139.9

125.2
180.1
172.1
« 420.4
114.4
133.0
113.3
93.7
108.8

Textile-mill products and other fiber manufactures...... .............. .
Apparel and other finished textile products....................................
Leather and leather products______________________ _______
Food_____________ _______________ ___________ ____________
Tobacco manufactures._______ ____________________ _____ _
Paper and allied products_______________________ _________
Printing, publishing, and allied industries.......................................
Chemicals and allied products..... .......................................................
Products of petroleum and coal____________ ________________
Rubber products. ........................................................ .......................
Miscellaneous industries____________ _____ ___________ ____ _

1,224
1,085
352
1, 074
89
372
394
491
151
235
436

1,057
928
313
1,116
86
321
336
486
131
187
338

107.0
137.4
101.5
125. 7
95.8
140.2
120.1
170.5
142.8
194.0
178.2

92.4
117.5
90.3
130. 6
92.2
120.9
102.5
168.5
123.6
154.4
138.3

October
1945

1 T he estimates and indexes presented in this table have been adjusted to levels indicated by the final
1944 data made available by the Bureau of Employment Security of the Federal Security Agency.

Public Employment
C iv ilia n .—Employment in the executive branch of the Federal
Government within continental United States on October 1 was
78,000 lower than the previous month. War agencies as a whole
dropped 81,000 persons, but the War and Navy Departments alone
dropped 86,000. The difference was made up by a gain in War
Assets Administration personnel, which was the only war agency
showing an uptrend, except the Maritime Commission which ab­
sorbed the personnel of the abolished War Shipping Administration.
Although the Agriculture Department showed a seasonal employ­
ment drop of 6,000 and several other agencies whittled down their
staffs, an increase of 11,000 in the Veterans’ Administration pushed
the peacetime agencies total up by 3,000.
In the Washington, D. C., area, however, war and peacetime
agencies alike were affected by cut-backs, amounting to an over-all
figure of 7,000, though the war agencies were affected to a greater
extent than the peacetime agencies.
Within continental United States, employment in the executive
branch totaled 2,100,000, of which 1,000,000 or 47 percent was in
war agencies. Employment in the Washington area amounted to
226,000, with 81,000 or a little over a third in war agencies.


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TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1023

T able 3. —Employment and P ay Rolls of Regular Federal Services and of Government

Corporations in Selected Months
Executive 1

Year and month

Continental United
States

Total
All areas

Legislative

Judicial

Govern­
ment cor­
porations 2

Washing­
ton, D .
C., area

Total

E m ploym ent2
992,324
1,127,921
1,588,997
2,671,692
3,223,035
3,369,288
3,495,546

958,920
1,093,078
1,549, 670
2,629,189
3,178,075
3,324,693
3,451,871

916,805
1,025,945
1,433,694
2, 406,497
2,823, 745
2,881,171
2,581,276

126,355
146,059
192, 742
282,629
267,545
259,060
239,992

5,551
5,938
6,279
6,314
6,135
6,240
6,388

2,282
2,518
2,571
2,664
2,651
2,633
2,878

25,571
26,387
30,477
33,525
36,174
35,722
34,409

2, 725,779
July 1946____________
August 1946 4____ ___ 2,661,749
2,554,824
September 1946 *___ . . .
October 1946______ ____ 2,471,435

2,682,586
2,618, 630
2,511,979
2,428,901

2,266,850
2,250,166
2,200,271
2,121,526

235,112
234,758
232,602
225,862

6,697
6, 736
6,825
6,902

3,063
3,036
3,075
3,058

33,433
33,347
32,945
32,574

October
October
October
October
October
October
October

1939__________
1940
. . ---1941. _______
1942__________
1943________ .
1944__________
1945__________

Pay rolls (in thousands) 8
October 1943...................
October 1944__________
October 1945 8. . . . . . .

$672,738
684, 763
587,175

$664,958
677,023
579,053

$607,968
626,305
519,594

$54,883
54,628
52,033

$1,495
1,529
1,749

$768
789
940

$5, 517
5,422
5,433

July 1946 8______ _
.
August 1946 6_____ _ __
September 1946 8_______
October 1946 8 ________

534,406
547,947
537,114
529,328

525,674
539,142
528,256
520,297

486,965
503,903
492,955
481,498

57, 280
56,090
54,594
54, 220

2,093
2,106
2,112
2,112

945
1,009
1,136
1,104

5,694
5,690
5,610
5,815

1 Includes employees on force-account construction who are also included under construction projects
(p. 1014). Beginning July 1945, data include clerks at third-class post offices who were previously working
on a contract basis. Data exclude substitute rural mail carriers.
2 Data are for employees of the Panama Railroad Company, the Federal Reserve banks, and banks of the
Farm Credit Administration. Data for other Government corporations are included under the executive
service.
2 Employment is as of the first of the calendar month.
* Revised.
• Data are for all pay periods ending within the calendar month. Beginning July 1945, this represents
pay for 4 weeks for most employees.
8 Subject to revision.

Military.—With enlisted personnel entitled for the first time to
retention on the pay roll after separation from active duty until the
expiration of all accrued and unused leave, total military strength
showed only a slight decline, 7,000, during the month of September
1946. This contrasts with a decline of 300,000 in the preceding
month and of 400,000 to 2,000,000 a month in the 11 months of heavi­
est demobilization immediately following the close of the war.
In accordance with the same law as that providing the above leave
arrangements for enlisted men (Public, No. 704, 79th Cong.), enlisted
personnel who were separated from military duty prior to September
received payment for similar accrued and unused leave amounting
to $120,000,000 in October—$112,000,000 in the form of bonds and
$8,000,000 in cash. In addition, officers and enlisted personnel who
were still on active duty received $9,000,000 in October for leave

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1024

M ONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

accrued in excess of 60 days ($7,000,000 in bonds and $2,000,000 in
cash), also authorized by Public Law No. 704. In September, when
procedures for making payments were still in the process of being
evolved, both types of leave payments amounted to only $2,000,000;
three-fourths of this was for leave of present personnel accrued in
excess of 60 days and almost all of it was in cash.
The cost of the leave-payment program is not entirely reflected in
these figures, however, as the pay of present enlisted personnel while
on terminal leave is included in the regular pay roll. The part of the
program for which figures are separable may be expected to be of
short duration as the claims of former enlisted men dwindle in
volume with the lapse of time after passage of the act and with the
gradual payment of excess leave.
T able 4. —Employment and P ay Rolls of the Executive Branch of the Federal Govern­

ment in Selected Months 1
War agencies 2
Year and month

All
agencies
Total

Other agencies3
Outside
conti­
nental
United
S tates4

Conti­
nental
United
States

Total

Conti­
nental
United
States

Outside
conti­
nental
United
States 4

Em ploym ent5
October
October
October
October
October
October
October

1939___
1940___
1941___
1942___
1943___
1944___
1945___

July 1946______
August 1946 6___
September 1946 •.
October 1946___

958,920
1, 093, 078
1,549, 670
2, 629,189
3,178, 075
3, 324, 693
3, 451,871

229,917
328,860
725,413
1, 774,994
2, 360, 974
2, 480, 712
2,494, 739

197, 955
273, 835
622, 988
1, 566,801
2, 024, 409
2, 053, 014
1,648, 236

31,962
55, 025
102, 425
208,193
336,565
427, 698
846, 503

729,003
764, 218
824, 257
854,195
817,101
843,981
957,132

718, 850
752,110
810, 706
839,696
799, 336
828,157
933,040

10,153
12,108
13, 551
14,499
17', 765
15', 824
2A 092

2,682, 586
2,618, 630
2, 511,979
2, 428, 901

1,547,893
1, 470, 579
1, 358, 426
1, 271, 976

1,159, 084
1,129, 390
1, 074, 344
992,574

388,809
341,189
284, 082
279, 402

1,134, 693
1,148, 051
1,153, 553
1,156,925

1,107,766
1,120,776
1,125,927
1,128,952

26,927
27,275
27; 626
27,973

Pay rolls (in thousands) 7
October 1943___
October 1944___
October 1945 >...

$664, 958
677, 023
579, 053

$501, 927
506, 923
. 385,094

$448, 562
459,628
330,442

$53, 365
47, 295
54, 652

$163,031
170,100
193, 959

$159, 406
166,677
189,152

$3, 625
3,423
4,807

July 1946 *_____
August 1946 8__
September 1946 8.
October 1946 8__

525,674
539,142
528, 256
520, 297

277, 907
286, 911
275,147
261, 999

245, 220
257, 355
245,604
229, 013

32,687
29,556
29, 543
32,986

247,767
252, 231
253, 109
258, 298

241,745
246,548
247, 351
252, 485

6, 022
5,683
5,758
5,813

(p I1014)deS employees on force-account construction who are also included under construction projects
2 ?-0Vemi.W 3F and N avy Departments, Maritime Commission, National Advisory Committee for Aero­
nautics, th e Panama Canal, and the emergency war agencies.
3 Beginning July 1945, data include clerks at third-class post offices who previously were working on a
contract basis. Data exclude substitute rural mail carriers.
4 Includes Alaska and the Panama Canal Zone.
* Employment is as of the first of the calendar month.
6 Revised.
7 Data are for all pay periods ending within the calendar month. Beginning July 1945, this represents
pay for 4 weeks for most employees.
8 Subject to revision.


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TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1025

Sources oj data.—Data for the Federal executive service are reported
through the Civil Service Commission, whereas data for the legisla­
tive and judicial services and Government corporations are reported
to the Bureau of Labor Statistics. Employment on Federal forceaccount construction is included in both the executive branch (tables
3 and 4) and in construction employment (table 2, p. 1014).
Military personnel and pay figures are reported mpnthly to the
Bureau of Labor Statistics but are published here only quarterly.
Mimeographed tables giving civilian employment and military
personnel and pay monthly, 1939 to date, and civilian pay rolls
monthly, 1943 to date, are available upon request.
T able 5. —Personnel and P ay of the M ilitary Branch of the Federal Government

in

Selected Months
[In thousands]
Branch, sex, or type of pay

October
1946 i

August
1946 1

September
19461

October
1945

October
1941

2,744
1,816
928

11,519
7, 564
3,955

2,006
1,601
405

2,696
48

11, 261
258

1,998
8

$475,227
304,352
170, 875

$541,049
311, 584
229,465

$1,859,636
1,179, 249
680,387

$138,029
99,805
38,224

384,052
51,139
38,029
2,007
1,984
23

413,956
86, 111
40, 964
18
18

1,323,369
284,476
251, 791

138,029

Personnel, to ta l2--------------------A rm y________ -- ----------N a v y 3- - . ---------------------- -

2,468
1,737
731

2,476
1,731
745

M en___ . -- ---------- - -Women____ - -------------------

2,435
33

2,440
36

Pay, total____________________
A rm y_______ ----N a v y 3-- -------------------------

$609, 669
371,766
237,903

Pay rolls 4________ ______

388,255
56 665
35 653
129* 096
10j 086
119,010

,

1 Preliminary.
.
,
. ,,
2 Personnel is as of the first of the calendar month and mcludes those on terminal leave.
s Data for the N avy cover the N avy, Marine Corps, and Coast Guard. The missing and those in the
hands of the enemy are included.
,
A1_
.
. ,«
.
4 pay rolls are computed from personnel records. The personnel used m the computations is the count
as of the last day of the month for the Army and the average for the month for the N avy. Pay rolls for the
N avy (proper) in October include quarterly clothing allowances; in October 1946 these allowances amounted
t0 ^Although payments may extend over a period of 3 months, data for the N avy (proper) include the
total amount in the month of discharge.
8 Represents Government’s contribution. The men’s share is included in the pay roll.
7 Leave payments were authorized by Pub. N o. 704, 79th Cong., to former enlisted personnel for accrued
and unused leave and to present officers and enlisted personnel for leave accrued in excess of 60 days. P ay­
ment of present enlisted personnel while on terminal leave is included in the pay roll. Value of the bonds
represents the face value; interest w ill be paid in addition to the face value at the tim e the bonds are cashed.

Detailed Reports for Industrial and Business Employ­
ment, September 1946
MONTHLY reports on employment and pay rolls are presented
below for more than 150 manufacturing industries and for 27 non­
manufacturing industries including water transportation and class I
steam railroads. Data for both manufacturing and nonmanufacturing
industries are based on reports of the number of employees and amount
of pay rolls for the period ending nearest the 15th of the month.

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Federal Reserve Bank of St. Louis

1026
T

a b l e

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6
1.

Estimated Number of Production Workers in Manufacturing Industries 1
[In thousands]
Industry group and industry

All manufacturing___
Durable goods____
Nondurable goods.

3pt. 194 Aug. 1946 July 1946 Sept. 1945
2,019
6,091
5,928

11, 881
5, 999
5,882

11, 554
5,829
5,725

10,529
5,234
5,295

Durable goods
Iron and steel and their products................................................
Blast furnaces, steel works, and rolling mills..................
Gray-iron and semisteel ca stin g s.....................................
Malleable-iron castings............. .................................
Steel castings...............
””
Cast-iron pipe and fittin g s ............................... .................
Tin cans and other tinware..... ...................................
Wire drawn from purchased rods................................I l l ”
Wirework........................... ............................... ......................
Cutlery and edge tools.......... ........................................ ” ”
Tools (except edge tools, machine tools, files, and s a w s ).”
Hardware..................... ............ ............................................... .
Plumbers’ supplies________
” ___
Stoves, oil burners, and heating equipment not elsewhere
classified..................... ....................................... ....................
Steam and hot-water heating apparatus and steam fittings"
Stamped and enameled ware and galvanizing________
Fabricated structural and ornamental m etalw ork.........
M etal doors, sash, frames, molding, and trim *______ II
Bolts, nuts, washers, and rivets............................ . I ...........
Forgings, iron and steel__________ ____________
Wrought pipe, welded and heavy-riveted »............” ” ”
Screw-machine products and wood screws.....................
Steel barrels, kegs, and drums........................................ ” ”
Firearms............. ...........................................
Electrical machinery.......... .................................................
Electrical equipment..........................................
Radios and phonographs........ ........................ .......I"
Communication equipment___________________ !

1,456
480.1
82.1
24.4
50.7
18.8
44.8
29.8
41.4
25.9
26.4
47.7
28.1

1,433
480.0
81.6
24.1
60.2
16.9
44.4
29.1
39.5
25.7
25.6
45.9
27.1

1, 390
469.5
80.7
23.6
50.2
18.3
43.4
28.7
36.5
25.4
24.3
44.8
25.8

1,240
422.4
66.1
22.0
53.4
13.2
37.6
27.5
26.0
21.0
22.7
33.9
17.5

59.4
48.9
82.0
55.6
10.2
20.4
26.2
13.4
28.6
6.2
14.2

56.8
48.0
79.0
55.5
9.8
18.7
26.3
12.8
27.8
6.4
14.0

54.0
47.7
75.4
53.2
8.8
17.6
25.5
11.5
26.8
5.8
13.3

43.8
40.4
59.8
41.0
7.0
19.5
25.1
12.3
• 25.1
6.0
10.6

542
300.1
84.9
89.0

524
200.7
82.3
85.3

507
282.5
76.7
85.4

445
271.0
57.4
65.7

Machinery, except electrical..... ...............................
Machinery and machine-shop products_________
Engines and turbines_________________________
Tractors_________ __________ _________________
Agricultural machinery, excluding tractors______
Machine tools....... ......................... ................. ..............
Machine-tool accessories......................................
Textile machinery________ ______ _______ _____
Pumps and pumping equipm ent.......................... .
Typewriters______ ____ _____________________
Cash registers, adding and calculating machines.”
Washing machines, wringers and driers, domestic.
Sewing machines, domestic and industrial.......... .
Refrigerators and refrigeration equipment_______

070
363.2
45.3
52.0
41.2
62.0
51.5
33.4
57.5
20.5
34.7
11.9
10.1
61.4

1,051
356.6
44.9
52.8
40.7
61.3
50.2
32.7
56.9
19.4
33.2
11.5
9.7
60.5

1,027
351.5
43.5
52.4
40.8
59.2
48.7
31.7
54.6
18.2
33.5
10.3
9.8
59.2

913
332.9
44.7
48.8
36.0
59.7
47.4
24.9
52.5
11.5
25.2
6.5
7.4
32.1

Transportation equipment, except automobiles...
Locomotives.......... ........................................ ................
Cars, electric- and steam-railroad____ ” ” ” ” ” ” ’
Aircraft and parts, excluding aircraft engines
Aircraft engines___________ ______ ____ ________
Shipbuilding and boatbuilding................. ” ” ” ” ”
Motorcycles, bicycles, and parts________________I

444
27.1
48.1
139.5
27.9
143.4
11.2

451
26.8
46.6
134.2
27.5
157.8
10.7

459
26.2
45.5
128.8
26.5
173.9
10.4

788
29.7
40.5
156.5
33.1
445.4
6.2

Autom obiles.................................................

764

731

699

426

Nonferrous metals and their products................
Smelting and refining, primary, of nonferrous metals” ” ""
Alloying and rolling and drawing of nonferrous metals ex­
cept aluminum.......................................................
Clocks and watches________ _______ I” ” ” ” ......................
Jewelry (precious metals) and jewelers’ findings............
Silverware and plated w a r e ....................... .........
Lighting equipment....................................... ...................
Aluminum manufactures....... .....................................................
Sheet-metal work, not elsewhere classified-.” ” ” ! ” ” ” ” '

396
37.4

392
36.9

378
35.4

301
36.0

61.5
27.8
17.9
14.6
30.4
49.7
26.4

61.2
27.5
17.4
14.2
29.9
49.4
26.5

59.5
26.1
16.7
13.7
29.1
48.6
25.0

51.6
19.6
13.5
9.7
16.8
35.9
21.1

Lumber and timber basic products.......................................
Sawmills and logging camps............................” ”
Planing and plywood mills...............” ” ” ” ” ”

624
231.9
74.3

625
235.4
73.4

603
229.0
70.7

508
207.7
63.1

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1027

T a b l e 1.—Estimated Number of Production Workers in Manufacturing Industries 1

Continued
[In thousands]
Industry group and industry

Sept. 1946 Aug. 1946 July 1946 Sept. 1945

Durable goods—Continued
Furniture and finished lumbar products
_________ - ___
Mattresses and had springs
___________________
Furnitur«
- _____- ____ __ ___________
Wooden boxes otber than cigar
______ ______________
Caskets and other morticians' goods
____________ __
Wood preserving
____________________________
Wood turn«d and shaped
__________________________

388
22.7
164.4
25.1
13.2
12.6
22.6

388
21.9
165.3
25.3
13.1
12.5
22.7

376
20.7
160.9
24.7
13.1
12.2
22.0

303
14.7
128.4
23.2
11.3
10.3
19.5

Stone clay and glass products
_________ ______ ____
Glass and glassware
________________________
Glass products made from purchased glass__ ___ __ __- __
Cement
__________________________
Brick tile and terra cotta
_ _____ _______________
Pottery and related produ cts__________________________
Gypsum
______ _____________________
Wallboard, plaster (except gypsum), and mineral wool........
T,ime
__________ ____________________________
Marble granite slate and other products ______ ___ __
Abrasives
__________________________
Asbestos produts
__________________________

407
104.3
12.0
28.9
63.4
48.0
5.9
10.8
8.9
17.4
19.3
20.5

404
103.7
12.0
29.1
63.4
47.2
5.8
10.9
8.9
17.3
19.0
20.0

390
100.1
11.5
28.2
62.4
45.6
5.5
8.8
8.8
16.9
18.8
19.1

310
84.5
9.8
19.4
42.7
37.4
4.1
9.0
7.4
11.9
17.1
17.5

Textile-mi1! prnflrir.t.s and other fiber m anufactures__________
Cotton manufactures except smaiiwares-.«.«
_________
________ - ___________
Cotton gmab wares
Pilk and rayon goods
_ ______ ____ ______________
Woolen and worsted manufactures, except dyeing and
finishing
_ __________________________
Hosiery
___________________________
Twitted cloth
_______________________
TCniffpid outerwear and knitted gloves_______________ ___
_____ _____________ ______
Knitted underwear
Dyeing and finishing textiles, including woolen and worsted.
Carpets and rugSj w o o l
_
_____________________________ —
Hats fur-felt
_________ - ________________
Jute goods except felts
____________ ________
Cordage and t w i n e
_ ____________________________________

1, 212
455.8
14.3
93.0

1,197
452.3
14.1
92.6

1,183
445.0
13.7
90.9

1,051
407.0
12.4
84.9

159.7
113.8
11.1
30.4
34.9
64.1
24.6
11.3
3.8
15.2

155.8
114.1
11.2
29.7
35.2
63.8
24.2
9.0
3.7
14.9

155.0
113.3
11.1
30.0
34.9
63.0
23.7
10.7
3.8
14.4

136.3
96.2
9.6
26.3
32.5
55.9
17.8
9.3
3.4
13.8

Apparel and other finished textile products--- - - - - - - - - - - - - - - - - - Men's clothing not elsewhere classified
_ ____________
Shirts collars and nightwear
Underwear and neckwear, men's
_________________
Work shirts
___________________________
W omen’s clothing not elsewhere classified......................... -«■Corsets and allied*garments
________ _____ . . . ___ _
______ ____________ ______ ___
Millinery
Handkerchiefs
_____ - ____ - _____ ______
Curtains draperies, and bedspreads h ___- - - - - - - - - - - - - - - - - -

1,068
197.1
54.4
12.4
13.5
216.5
16.0
19.3
2.3
14.0
11.0
13.5

1, 049
197.3
54.5
11.9
13.3
211.5
15.9
18.7
2.3
13.9
11.1
13.6

1,001
191.8
53.8
11.3
13.3
195.7
15.6
17.1
2.2
14.0
10.6
14.6

911
180.5
48.5
11.3
i3.1
202.1
14.1
18.1
2.6
9.8
8.1
14.4

355
42.1
17.7
192.7
11.0
14.6

354
41.9
18.2
191.4
11.1
14.8

355
41. 6
17.7
193.3
11.3
14.4

305
38.8
16.3
164.6
10.9
10.9

1,157
94.8
25.2
14.2
18.9
29.7
21.0
10.9
241.4
12.7
7.9
52.1
24.1
54.2
243.9

1,166
138.4
26.1
15.0
20.2
29.5
22.4
10.1
236.9
14.0
6.8
48.6
25. 6
52. 4
206.5

1,102
123.4
26.4
15.7
20.9
28. 3
21.7
9. 5
234.0
14. 2
4. 5
46. 0
25.7
52. 0
183.9

1,183
126.5
23.7
14.9
16. 6
3Ü. 8
23.0
9.5
251.0
13.1
7.6
50.7
25.7
55.2
237.1

Nondurable good$

Textile bags

- _ ___________________________

Leather
- __________________________
Boot and shoe cut stock and findings
_ ___________
Trather cloves and mittens

■ R nt for

________________-----

_________________________

Canning and preserving------------------------- --------- - ................

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

1028

M ONTHLY LABOR REVIEW— DECEMBER 194 6

T a b l e 1.— Estimated Number of Production Workers in Manufacturing Industries 1— .

Continued
[In thousands]
Industry group and industry

Sept. 1946 Aug. 1946 July 1946 Sept. 1945

Nondurable goods—Continued
Tobacco manufactures________________________
Cigarettes______________________________
____ ___
Cigars..______ __________
Tobacco (chewing and smoking) and snuff_______ _

87
33.6
40.0
7.6

86
33.3
38.7
7.7

85
33.6
37.6
7.6

83
34.9
34.3
8.7

Paper and allied products________________ ________
Paper and pu lp____________________________ .
Paper goods, other_____________________________ .
Envelopes_________ ____________________________ _
Paper bags____________________________________
Paper boxes_________________________________

368
167.7
46.6
10.4
14.7
87.4

366
167.8
46.2
10.3
14.0
87.2

361
166.2
45.5
10.2
14.1
85.6

312
142.0
41.9
9. 5
12.2
76.8

Printing, publishing, and allied industries___ ___________
Newspapers and periodicals_________ ______________
Printing, book and job_________________ _______
Lithographing__________________ . . .
Bookbinding. _ _____________________

387
131.8
159.8
29.5
31.9

385
131.1
158.7
29.1
32.1

383
130.1
159.5
28.8
31.2

324
112. 5
133.1
24.2
26.3

Chemicals and allied products
_________ _______
Paints, varnishes, and colors............... .
Drugs, medicines, and insecticides_______ _______ .
Perfumes and cosm etics______________ _ . . . .
Soap___________ _ _ ______________
. .
Rayon and allied products _____________ . . . _
Chemicals, not elsewhere classified. ____ . . .
Explosives and safety fuses ____________ . . . .
Compressed and liquefied g a s e s ________ .
Ammunition, small-arms _________
Fireworks _____ _________
Cottonseed oil
_______________ . .
Fertilizers ________ ______ _____ _

484
36.0
52.2
12.2
14.2
57.4
116.6
12.8
5.7
7.4
3.2
13.4
22.3

475
35.9
51.8
12.6
14.1
57.3
117.2
12.6
5.9
4.9
2.9
10.9
20.9

472
35.6
51.4
12.6
14.0
57.0
117.2
12.3
5.8
7. 6
2.8
8.4
19.3

496
29.7
46.9
12.4
13.2
54.0
111.7
39.2
5.6
13.5
3.3
14. 7
20.9

Products of petroleum and coal __________ _
Petroleum refining_________________ .
Coke and byproducts____ __________
Paving materials________________ . .
Roofing materials_____ __________

152
99.8
25.9
2.4
12.6

152
100.1
25.9
2.3
12.2

151
100.1
25.6
2.1
12.0

131
87.7
22.1
1.7
9.8

Rubber products______________
Rubber tires and inner tubes________
Rubber boots and shoes___________
Rubber goods, oth er......... .......

230
104.0
17.9
73.3

227
102.8
18.0
72.1

218
99.1
17.5
69.3

165
71.8
14. 7
57.7

Miscellaneous industries__________
Instruments (professional and scientific!, and fire control
equipment___________________
Photographic apparatus_______________
Optical instruments and ophthalmic goods____
Pianos, organs, and parts . . . _______
Games, toys, and d o lls..
. _______
Buttons____ _________
Fire extinguishers_________ _ _

428

425

414

334

20.9
25.5
21.2
9.4
23.5
10.6
2.1

21.2
25.6
21.2
9.4
22.8
10.6
2.1

21.2
25.2
21.1
9. x
20.8
10.1
2.0

26.2
20.9
18.8
5. 2
12.8
8.8
2.5

1 September 1946 estimates are based on reports from 33,200 cooperating establishments covering 7,268,000
production workers. Estimates for the major industry groups have been adjusted to levels indicated by
final 1944 data made available by the Bureau of Employm ent Security of the Federal Security Agency.
Estimates for individual industries have been adjusted to levels indicated by the 1939 Census of Manufac­
tures but not to Federal Security Agency data. For this reason, together with the fact that this Bureau has
not prepared estimates for certain industries, the sum of the individual industry estimates w ill not agree
with the totals shown for the major industry groups.
2 Revisions have been made as follows in the data for earlier months:
M etal doors, sash, frames, molding, and trim.—January 1946 to 7.4: March to 7.2: M ay and June to 7.3
and 7.7.
Wrought pipe, welded and heavy-riveted.—June 1946 to 11.2.
Curtains, draperies, and bedspreads.—January through June 1946 to 11.8,12.4, 12.5,12.6,13.0, and 13.8.


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TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1029


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Federal Reserve Bank of St. Louis

1030

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T a b l e 2 . — Indexes of Production-Worker Employment and P ay Rolls in Manufacturing

Industries 1
[1939 average=100]
Employment indexes

Pay-roll indexes

Industry group and industry
Sept. Aug. July Sept. Sept. Aug. July Sept.
1946 1946 1946 1945 1946 1946 1946 1945
A ll m a n u fa c tu r in g ...........................................................................
D u r a b le g o o d s ...........................................................................
N o n d u r a b le g o o d s _________ _______________________

146.7 145. 141. 128. 284. 278. 261. 224.2
168.7 166.] 161. ■ 144.9 314.6 306.6 287.7 246.2
129.4 128.4 125.
115. 254.'- 250. 235.4 202.6

Durable goods
146.9
123.6
140.5
135.
168.5
113.6
141.1
135.7
136.3
167.7

144.5
123. €
139.6
133.6
166.
102.2
139.9
132. i
130.0
166.5

Iron a n d s te e l a n d th e ir p r o d u c ts ______________ ______
B la s t fu r n a c es, s te e l w o r k s , a n d r o llin g m ills ____
G ra y -iro n a n d s e m is te e l c a s tin g s ...................................
M a lle a b le -ir o n c a s tin g s ......................... ............................ ..
S te e l c a s tin g s ..............................................................................
C a st-ir o n p ip e a n d f it tin g s .......................................... ..
T in c a n s a n d o th e r tin w a r e _____________ ________ _
W ire d r a w n fr o m p u r c h a se d r o d s _________ _______
W ir e w o r k ......................... .........................................................
C u tle r y a n d e d g e t o o l s . ______ ___________ _______ _
T o o ls (e x c e p t e d g e to o ls, m a c h in e to o ls , file s, a n d
s a w s ) . . ........................................ ..................... ........................
H a r d w a r e ________________ ________________________
P lu m b e r s ’ s u p p lie s ____________ _______ _______ ____
S t o v e s , o il b u r n e r s, a n d h e a t in g e q u ip m e n t n o t
e lse w h e r e c la s s ifie d ............................................................
S te a m a n d h o t-w a te r h e a t in g a p p a r a tu s a n d
s te a m f it tin g s ............................... .........................................
S ta m p e d a n d e n a m e le d w a re a n d g a lv a n iz in g ____
F a b r ic a te d s tr u c tu r a l a n d o r n a m e n ta l m e t a l­
w o r k ......................... ...................................................... ..........
M e t a l doors, sa sh , fra m e s, m o ld in g , a n d tr im
B o lt s , n u t s , w a sh e r s, a n d r iv e t s ................ ...................
F o r g in g s, iro n a n d s te e l_________________ ______ _
W r o u g h t p ip e , w e ld e d a n d h e a v y - r iv e te d >______
S c r e w -m a c h in e p r o d u c ts a n d w o o d s c r e w s .............
S te e l barrels, k e g s , a n d d r u m s «......................................
F ir e a r m s ......................................................................................

156.7
131.9
142.5
170.1
159.7
168.7
2102.7
284.1

156.1
126.7
130.6
170.9
153.4
164.1
106.0
281.0

149.8
114. 1
122.9
165.9
137.0
158.5
95.6
266.9

115.5
90. ]
136.1
163.5
147.1
148.6
98.5
213.0

273.9
248.9
245.0
301. 1
281.3
334.0
214.5
573.2

271.7
233.4
227.7
303.8
270.7
324.9
227.4
530.8

250.8
207.4
190.5
272.1
218.6
300.5
187.2
515.9

180.8
148.1
217.1
258.5
237.3
260.2
164.5
380.0

E le c tr ic a l m a c h in e r y ......................... ...............
E le c tr ic a l e q u ip m e n t ........................................................
R a d io s a n d p h o n o g r a p h s ...................................................
C o m m u n ic a tio n e q u ip m e n t .............................. ...............

209.3
166.0
195.1
277.2

202.1
160.8
189.0
265.6

195.8
156.3
176.2
265.9

171.5
149.9
131.8
204.6

384.5
299.5
391.8
505.1

364.4
285.0
368.3
478.8

338.3
264.3
332.1
459.2

268.5
229.7
227,6
313.9

M a c h in e r y , e x c e p t e le c t r ic a l............................ ........................
M a c h in e r y a n d m a ch in e -sh o p p r o d u c ts____ I I .I I
E n g in e s a n d t u r b in e s .............................. ...............
T r a c to r s ______ ______ ______ ____________ _____
A g r ic u ltu r a l m a c h in e r y , e x c lu d in g tr a c to r s ______
M a c h in e t o o ls __________ __________ __________ _____
M a c h in e -to o l a c c esso r ie s____ ____________
HH
T e x t ile m a c h in e r y .___________
IIIIIIIIII
P u m p s a n d p u m p in g e q u ip m e n t .......... ...............
T y p e w r it e r s _________________________________ I .I I I I
C a sh r eg isters, a d d in g a n d c a lc u la tin g m a c h in e s !!
W a s h in g m a c h in e s , w r in g e r s a n d d riers, d o m e stic S e w in g m a c h in e s , d o m e stic a n d in d u s tr ia l_______
R e frigerators a n d r efrig era tio n e q u i p m e n t . . ..........

202.5
179.5
242.6
166.4
148.1
169.2
204.8
152.3
237.1
126.6
176.1
158.7
128.3
174.7

199.0
176.2
240.9
168.7
146.4
167.5
199.5
149.2
234.6
119.5
168.9
153.8
123.2
172.1

194.4
173.7
233.1
167.5
146.8
161.5
193.5
144.7
225.2
112.2
170.0
137.8
124.8
168.4

172.7
164.6
239.6
155.9
129.3
163.1
188.2
113.6
216.6
71.2
128.1
87.4
94.6
91.2

362.2
322.9
484.5
254.1
269.8
285.5
336.0
290.5
444.0
248.1
333.2
287.9
243.1
298.2

348.8
314.2
453.7
256.5
256.7
281.4
316.3
277.9
438.4
228.2
292.8
269.5
238.9
288.2

333.5
299.4
446.8
248.4
251.2
262.3
293.2
265.3
413.2
216.5
314.2
234.6
229.6
272.2

285.7
266.4
368.6
237.5
246.8
260.5
279.6
209.8
389.9
133.1
210.4
143.2
192.8
146.7

T r a n s p o r ta tio n e q u ip m e n t, e x c e p t a u to m o b ile s ............
L o c o m o tiv e s .......................... ....................................................
C ars, e le c tric - a n d s te a m -r a ilr o a d ________ ________
A ir c ra ft a n d p a r ts, e x c lu d in g aircraft e n g in e s ____
A ir c ra ft e n g in e s __________________ _________________
S h ip b u ild in g a n d b o a t b u i ld i n g l .I I I I I I I I I I I I I I H
M o to r c y c le s , b ic y c le s , a n d p a r t s . . _______________

279.8
419.4
196.1
351.6
313.5
207.1
160.1

284.0
414.0
190.1
338.3
309.3
227.9
152.9

289.1
405.1
185.7
324.2
298.3
251.2
148.6

496.5
458.4
165.1
394.5
372.2
643.3
88.6

513.0
855.6
364.9
663.9
509.7
362.1
287.3

533.0
835.4
362.0
640.8
498.3
423.1
267.9

538.5
836.0
341.5
605.6
468.9
468.8
239.8

844.1
894.1
271.7
624.5
469.7
1115.9
132.7

140.
120.9
138.
131.0
167. C
110.5
136.6
130. 5
120.2
164.8

125.
108.8
113.
121.8
177.6
80.
118. <
125 .:
85.7
136.5

263.
206.3
291."
287.5
297.5
240. ‘
274. :
231.8
272.6
364.6

255.
204.
280.5
282.
294.8
208.6
270.
219.
267.3
354.9

238.
191.8
264. C
267.
277.1
221.7
248.7
206.3
237.2
340.4

206.9
175.3
214.8
228.4
280.9
151.2
200.7
179.4
157.6
265.0

172.2 167.2 158.6 148.3 340.8 326.2 303.6 256.7
133.8 128.7 125.7 95. ( 267.2 254.3 244.9 173.9
113.9 110.0 104.8 71.2 196.7 191.0 175.4 114.2
128.8 123.0 117.0

95.1 247.5 234.3 210.7 160.5

161.3 158.2 157.3 133.4 306.7 289.6 279.7 234. 0
147.6 142.2 135.8 107.7 291.0 279.9 253.5 190.1

A u to m o b ile s ..........................................

189.8 181.8 173.6 105.9 320.2 308.0 282.2 151.2

N o n fe r r o u s m e ta ls a n d th e ir p r o d u c t s . . . .........................
S m e lt in g a n d r e fin in g , p r im a r y , o f n o n ferro u s
m e t a ls ____ _____ __________________ _______________
A llo y in g a n d r o llin g a n d d r a w in g o f n o n ferro u s
m e ta ls e x c e p t a lu m in u m ____ _____ ______________
C lo c k s a n d w a t c h e s . ________ _________________ I I I I
J e w e lr y (p r ec io u s m e ta ls) a n d je w e le r s ’ f in d in g s ..
S ilv e r w a r e a n d p la te d w a r e ..............................................
L ig h t in g e q u ip m e n t ..............................................................
A lu m in u m m a n u f a c t u r e s .__________________ _____
S h e e t-m e ta l w o r k , n o t e ls e w h e r e c l a s s i f i e d .. .I I I I

172.9 171.0 165.0 131.2 320.0 311.4 292.9 223.3

See footnotes at end of table.

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Federal Reserve Bank of St. Louis

135.3 133.6 128.2 130.4 247.0 239.5 227.8 231.3
158.4
136.8
123.8
120.0
148.6
211.0
141.1

157.8
135.5
120.6
117.2
146.1
209.6
141.1

153.2 133.0 284.1 279.7 268.7 222.6
128.5 96.6 289.7 280.8 251.4 168.5
115.5 93.7 237.3 221.1 201.6 160.4
112.6 80.1 250.9 232.7 213.7 144.2
142.1 82.2 260.5 252.4 239.2 131.6
206.4 152.5 358.1 351.3 340.4 219.9
133.1 112.4 265.5 273.4 246.1 200.1

TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

1031

T a b l e 2 . — Indexes of Production-Worker Employment and P ay Rolls in Manufacturing

Industries 1— Continued
[1939 a v e r a g e = 1 0 0 ]

Employment indexes
Industry group and industry

Sept. Aug.
1946 1946

Pay-roll indexes

July Sept. Sept. Aug.
1946 1945 1946 1946

July Sept.
1946 1945

Durable food*—Continued
Lumber and timber basic products...............................- 148.5 148.7 143.4 120.8 305.7 305.5 270.8 215.3
80.5 81.7 79.5 72.1 167.5 169.7 151.7 130.3
Sawmills and logging camps.....................................
Planing and plywood m ills........................... ........... 102.3 101.0 97.3 86.8 198.8 196.2 174.0 145.2
92.4
80.3
80.6
91.3
90.6
91.2
88.5

243.4
238.4
212.1
218.3
194.5
266.4
209.6

239.3
223.4
209.7
223.0
185.2
255.1
210.9

222.1
205.9
194.2
203.4
182.4
244.7
199.7

164.0
137.9
140.8
176.6
149.6
209.4
159.0

Furniture and finished lumber products___________
Mattresses and bedsprings____________________
Furniture________
. . . . ___ _____ ________
Wooden boxes, other than cigar_________ ____
Caskets and other morticians’ goods___________
Wood preserving______ _______ ____________
Wood, turned and shaped____________________

118.2
123.6
103.3
98.9
106.2
112.3
102.6

118.1
119.2
103.9
99.7
105.1
110.9
103.4

114.5
112.7
101.1
97.6
105.2
108.4
99.9

Stone, clay, and glass products............................ ...........
Glass and glassware_______________ _________
Glass products made from purchased glass_____
Cement______________________ ______________
Brick, tile, and terra cotta___________ _________
Pottery and related products_________ _____ _
Gypsum--------------- --------------------------------------Wallboard, plaster (except gypsum ), and mineral
wool_____ ________________________________
Lime ______ ____ ______________________ ____
Marble, granite, slate, and other products--------Abrasives........................ ................ ........................... Asbestos products___________________ ________
Nondurable goods
Textile-mill products and other fiber manufactures...
Cotton manufactures, except small wares______
Cotton smallwares______________ ____ ________
Silk and rayon goods_________________________
Woolen and worsted manufactures, except dyeing and finishing......................... ............................
Hosiery______________________ _________ ____
Knitted cloth_____ . . . . . . . ........ .....................
Knitted outerwear and knitted gloves_________
Knitted underwear_____ __________________
Dyeing and finishing textiles including woolen
and worsted_____________ _______ __________
Carpets and rugs, wool...... .......................................
Hats, fu r-fe lt....................... ......................... ..............
Jute goods, except felts.............. ................................
Cordage and tw ine..........................— ....................

138.7
149.4
119.9
121.5
111.7
145.1
119.7

137.8
148. 5
120.3
122.0
111.7
142.6
117.6

132.9 105.7 259.8 253.2 235.7 175.7
143.4 121.0 268.9 255.0 238.3 188.9
114.8 98.1 223.3 227.7 205.5 172.2
118.2 81.3 212.5 207.0 196.1 131.0
109.9 75.2 224.1 219.8 210.5 125.6
137.9 113.0 257.7 252.4 229.0 172.7
111.4 82.9 231.0 226.9 197.6 144.8

Apparel and other finished textile products________
M en’s clothing, not elsewhere classified________
Shirts, collars, and nightwear_________________
Underwear and neckwear, men’s______________
Work shirts_________________________________
Women’s clothing, not elsewhere classified_____
Corsets and allied garments................ .....................
Millinery__ _______________________________
Handkerchiefs____________________ ____ ______
Curtains, draperies, and bedspreads *__________
Housefurnishings, other than curtains,'etc______
Textile bags.......... ................ .......................................

280.0
216.5
154.8
407.7
272.1

215.7
201.0
147.0
404.5
252.4

211.2
158.3
102.0
339.6
216.9

104.7 103.5 91.9 237.2 231.0
114.2 112.4 102.8 281.7 275.5
105.8 103.0 92.9 222.0 220.3
77.2 75.9 70.9 180.9 181.4

214.7
246.1
207.6
166.3

169.7
201.0
166.0
138.2

133.0 134.9 108.6 110.9
93.8 93.7 93.1 77.9
94.1 93.4 91.2 64.3
249.3 246.1 243.4 220.6
128.9 126.1 120.2 110.4
106.0
115.1
107.5
77.6
0
107.6
71.8
101.0
108.6
90.

283.9
219.5
152.9
399.2
276.3

91.3
60.5
88.3
93.6
84.3

242.7
143.7
214.4
234.0
200.4

234.1
141.3
213.1
220.1
196.1

228.6
130.9
209.0
216.7
189.7

175.4
101.1
168.1
172.1
157.2

95.9 95.4 94.2 83.6
96.1 94.7 92.7 69.4
78.0 61.8 73.7 63.8
105.7 103. 7 104.9 95.3
125.5 122.8 118.8 114.2

186.8
182.5
181.3
237.4
266.2

187.6
173.0
137.9
225.8
255.9

178.8
165.2
152.0
217.2
229.3

144.8
113.7
124.8
190.3
218.0

135.3 132.9 126.7 115.3
90.2 90.2 87.7 82.5
77.3 77.3 76.4 68.8
76.8 73.8 70.2 70.3
100.6 98.9 98.9 97.1
79.7 77.9 72.1 74.4
85.0 84.7 83.0 74.9
79.6 77.1 70.5 74.5
46.7 47.3 46.1 53.9
82.9 82.0 82.8 57.8
103.7 104.8 100.2 76.4
112.2 113.7 122.1 120.5

288.2
186.8
167.6
188.1
219.3
176.0
171.8
149.3
100.7
175.1
218.1
210.0

277.5
182.7
162.7
173.8
214.8
169.8
168.6
138.7
103.0
169.5
214.6
203.2

244.7
166.8
155.3
157.9
204.2
141.3
160.0
123.3
93.2
171.5
198.3
208.1

208.4
141.4
126.1
141.8
188.3
138.4
132.2
131.1
98.1
111.0
131.0
205.7

Leather and leather products................... ............ ........... 102.4 102.0 102.3 88.0 203.3
89.1 88.6 88.1 82.1 lbO. 2
Leather.______ _____________________________
Boot and shoe cut stock and findings..................... 93.7 96.6 94.1 86.5 168.4
Boots and shoes------------------------- ------------------- 88.4 87.8 88.6 75.5 182.7
Leather gloves and mittens_______ ________ ___ 109.9 111.5 113.4 109.4 220.6
175.0 177.9 173.0 130.8 333.6
Trunks and suitcases_______________ ______ _

198.2
161.1
181.0
175.4
214.7
333.0

197.3
156.5
167.8
177.6
217.1
303.6

160.2
146.3
143.4
140.3
195.3
212.8

242.7
118.2
258.2
279.9
204.0
249.1
261.1
269.2
187.5
142.0

250.3
202.3
263.7
293.2
215.7
238.6
275.2
244.4
184.1
162.5

231.5
179.9
267.6
305.9
221.7
221.1
251.0
219.5
178.5
167.5

226.6
177.6
216.2
261.0
161.8
218.2
267.2
243.9
173.6
145.3

Food__________________ . ________ ______ _____
Slaughtering and meat packing........................ .......
Butter______________________________________
Condensed and evaporated milk----- ---------------Ice cream._______________ ___________________
Flour ___________________ ________________ _
Feeds, prepared..____ _____________ ________ _
Cereal preparations......................................... ............
Baking........ .............................................................. .
Sugar refining, cane.............. ............. .......................
See fo o tn o te s a t end o f tab le.


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135.4
78.6
140.6
146.6
120.2
119. S
136.2
146.4
104.6
90.0

104.4 103.9
71.7 71.2
102.4 101.2
105.8 106.8
91.2 90.6

136.5
114.8
145.4
154.9
128. S
118. S
145.7
135.1
102.7
98.8

129.0
102.4
146.9
162.1
132.7
114.3
140.6
127.4
101.4
100.0

138.4
105.0
132.1
153.9
105.9
124.3
149.2
126.9
108. S
92.3

1032

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T able 2.— Indexes of Production-Worker Employment and P ay Rolls in Manufacturing

Industries 1— Continued
[1939 average=100]
Employment indexes

Pay-roll indexes

Industry group and industry
Sept. Aug.
1946 1946

July Sept. Sept. Aug.
1946 1945 1946 1946

July Sept.
1946 1945

Nondurable goods— C o n tin u e d
F o o d — C o n tin u e d
Su gar, b e e t ___ ______ ________ ______ ________
C o n fe c tio n e r y _______________________________
B e v e r a g e s, n o n a lc o h o lic .______ ____________
M a lt liq u o r s ________________________________
C a n n in g a n d p r e s e r v in g ____________________

76.1 64.8 43.
104. 7 97.7 92.5
113.2 120.6 120.8
150.2 145. 2 144. C
181.4 153.5 136.8

T o b a c c o m a n u fa c tu r e s __________________________
C ig a r e tte s _________________________ _________
C ig a r s_______________________________________
T o b a c c o (c h e w in g a n d s m o k in g ) a n d sn u ff.

72.5
102. (
120.7
153.0
176.3

151.1
204.2
170.6
244.2
465.4

107.
186.
185. C
232.3
387.4

72.0
169.7
186.1
222.3
325.8

108.9
175.4
168.4
242.6
351.6

93.5 91.7 90.7 89.5 196.0
122.5 121.1 122.5 127.2 226.6
78.6 76. 1 73.9 67.5 180. i
82.8 83.6 83.1 95.2 150.7

186.2
218.0
167.4
149.3

178.3
211.1
160.1
140.5

176.0
214.1
148.4
164.6

P a p e r a n d a llie d p r o d u c t s ._______ ______________
P a p e r a n d p u l p . . . ______________ ___________
P a p e r g o o d s, o t h e r . . . _______________________
E n v e lo p e s ____ _____ ________________________
P a p e r b a g s . ______________ __________________
P a p e r b o x e s ______ ___________ _______________

138.0
122.0
123.8
119.3
132.3
126.3

137.8
122.1
122.7
118.1
126. S
126.1

135.9
120.9
120.8
116.8
127.5
123.8

253.9
227.8
216.4
205. 5
233.9
234.1

243.8
218.4
211.8
198.4
237. 7
222.6

200.7
180.5
182.6
174.5
193.4
185.5

P r in tin g , p u b lish in g , a n d a llie d in d u s tr ie s ____ _____
N e w s p a p e r s a n d p e r i o d i c a l s . .. ....................... .............
P r in tin g , b o o k a n d j o b ________ __________________
L ith o g r a p h in g ___________ _____ ___________________
B o o k b in d in g ________ ______ _____ _________________

117.9
111. 1
126.4
113.6
123.6

117.3
110.4
125.6
112.0
124.4

116.8 98.8 195.9 190.5 186.0
109.6 94.8 176.3 168.8 163. 7
126.3 105.4 216.1 211.1 209.1
110.8 93.2 185. 2 182.6 173.2
121.0 102.0 247. 5 250.9 240.7

147.7
130.2
166.5
141.0
184.7

C h e m ic a ls a n d a llie d p r o d u c t s .................. ..................... ..
P a in t s , v a r n ish e s , a n d c o lo r s ____________________
D r u g s , m e d ic in e s, a n d in s e c tic id e s ______________
P e r fu m e s a n d c o s m e tic s _____________________
S o a p ___________________________________
R a y o n a n d a llie d p r o d u c ts ______________________
C h e m ic a ls , n o t e ls e w h e r e c la s s ifie d ______________
E x p lo s iv e s a n d s a fe ty f u s e s ______________________
C o m p r e ssed a n d liq u e fie d g a se s_________________
A m m u n itio n , s m a ll-a r m s ____________________
F ir e w o r k s __________ _____ ______________________
C o tto n s e e d o i l _______________________________
F e r t iliz e r s ........................................... ........................"" ” ”

16V. 9
127.8
190.6
118.0
104.5
118.8
167.6
176.9
144.5
174.1
272.5
88.1
118.9

164.9
127.6
189.2
121.4
103.8
118.7
168.5
173.1
148.1
115.6
254.7
71.4
111.5

163.7
126.6
187.5
121.4
103. 2
118.0
168.4
169.8
145.9
178.0
244.4
55.6
102.7

172.1
105.6
171.2
120.1
97.6
111.8
160. 5
540.8
140.6
316.2
281.8
97.0
111.2

298.3
201.7
317.0
195.2
173.2
210.8
289.6
292.9
239.4
339.3
698.3
199.9
297.6

290.5
204.2
314.0
191.8
171.7
206.2
288.0
272.6
247.2
201.4
623.1
160.1
275.4

286.9
199.5
307.0
191.4
170.2
197.6
289.2
264.5
238.8
335.7
622.1
119.8
246.4

292.2
167.0
265.0
178.9
170.2
179.4
273.6
738.9
230.0
561.8
755.3
204.8
261.0

P r o d u c ts of p e tr o le u m a n d co a l______________________
P e tr o le u m r e fin in g _______________________________
C o k e a n d b y p r o d u c t s ______ ___________
"
P a v in g m a te r ia ls _______________________________
R o o fin g m a te r ia ls _____ _____ _________ _____

143.8
137.0
119.4
97.2
156.6

143. 4
137.4
119.2
92.5
151.0

142.7
137.4
117.8
86.7
149.4

123.3
120.4
101.9
71.4
122.0

250.3
232.7
218.1
196.9
298.6

246.3
228.7
216.8
189.2
292.0

244.3
228.0
215.1
174.2
2V9. 5

212.1
203.5
181.6
142.0
208.7

R u b b e r p r o d u c t s _______________________ ______________
R u b b e r tir e s a n d in n e r t u b e s ......................I I I I I I I I I '
R u b b e r b o o ts a n d s h o e s ________ .
R u b b e r go o d s, o t h e r .____ _____________________

190.1
192.2
120.7
141.6

187.5
189.9
121.3
139.4

180.2 136.5 365.0 343.2 327.2
183.1 132.7 340.5 311.2 304.3
118.4 99.4 242.5 240.2 226.6
133.8 111.5 282.4 277.7 255.9

231.3
211.4
185.6
193.2

M is c e lla n e o u s in d u s tr ie s _________________ _________
I n s tr u m e n ts (p r o fe ssio n a l a n d s c ie n t if i c ) r a n d
fire c o n tr o l e q u ip m e n t .....................
P h o to g r a p h ic a p p a r a tu s __________________
O p tic a l in s tr u m e n ts a n d o p h t h a lm ic g o o d s ..........
P ia n o s , o r g a n s, a n d p a r ts ______________________
G a m e s, t o y s , a n d d o l ls __________________
B u t t o n s _________ _______ _______________________ ”
F ir e e x tin g u is h e r s _________________________ i l l "

188.8
147.8
182.0
124.0
125.9
96.2
212.3

117. 5
103.3
111.3
109.6
109.8
111.1

257.1
228.0
225.8
207. £
249.8
235.8

174.9 173.9 169.2 136.5 334.9 326.9 311.8 239.2
191.3
148.3
182.1
122.9
122.1
96.3
209.1

191.6
145.9
181.8
118.9
111.3
92.2
202.1

236.8
120.9
162.1
67.8
68.7
80.5
252.1

330.7
240.9
322.1
241.1
258.8
213.2
414.7

330.4
244.6
316.5
230.8
252.1
208.2
405.8

327.0
240.0
314.9
213.7
222.1
195.2
397.1

372.7
190.6
265.6
110.9
124.3
167.7
463.4

These indexes are based on reports from 33,200 cooperating establishments covering 7,268,000 full-and
Pi?r i eS?6 Production workers who worked or received pay during any part of one pay period ending nearest
tne 15th of September 1946. Indexes for the major industry groups have been adjusted to levels indicated
* v,n a .
data u p d e available by the Bureau of Employm ent Security of the Federal Security Agency.
2 Revisions have been made as follows in the indexes for earlier months:
Metal doors, sash, frames, molding, and trim.—August 1945 through June 1946 pay roll to 167.5, 148.1,
J55.7, J
16V2, 158.0, 136.8, 157.9, 189.8, 159.6, and 175.3; January 1946 employment to 95.8, March
to 93.0, M ay and June to 94.4 and 99.9.
Wrought pipe, welded and heavy-riveted.—April and June 1946 pay roll to 274.3 and 229.0, respectively;
June employment to 134.0.
Steel barrels, kegs, and drums.—March through June 1946 pay roll to 148.7, 170.4, 192.0, and 190.3.
Curtains, draperies, and bedspreads.—January through June 1946 employment to 70.1, 73.3, 74 1, 74 7
76.6, and 81.6; pay roll to 138.8, 142.8, 151.6, 157.4, 162.7, and 175.3.


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1033

TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

T a b l e 3 . —Estimated Number of Employees in Selected Nonmanufacturing Industries 1
Estimated number of employees (in thousands)
Industry group and industry

Sept. 1946

Aug. 1946

July 1946

Sept. 1945

Mining: 2
68.1
67.9
67.5
64.3
A n th ra cite________ _ ___________ _______ ___
336
332
325
335
Bituminous coal ______________________________
68. 8
63.7
73.7
72. S
Mp.tal
__ _ _ _ _______ -- _____
28.1
27.4
23.7
27.7
Iron
___ -- - _____
__ - _____
20.4
21.5
21.2
18.8
Copper
______ _______ ___
14.9
13.8
11.5
13.2
_______ -Lead and zinc. __ _ _______
7.2
7.2
5.5
7.0
Gold and silver .
. ____________ -2.5
2.5
2.5
2.4
Miscellaneous
__
______ ___________
565
424
575
575
Telephone
____ ________ - - -- - ----- ---------42.1
42.3
42.2
45.6
Tolograph 3
_______
- _________ -247
249
206
249
Eleetrie Iwht, and power __ __ _ __ ________________
252
229
252
250
Street railways and b u s e s ____
- _______________
384
362
385
385
H ot el s (year-round) _____________ ____ ____________
(4)
«
(4)
(4)
______ - -_____ _____ ____
Power laundries
(4)
Pleaning and dveing
_________ __________
(4)
(4)
(4)
1,368
1,350
1,414
1,362
r,las,s T steam railroad s 8
__ _
_______
119
168
120
m
Water transportation 6--------------------------------------------i See footnote 1, table 4.
2 Data are for production workers only.
3 Excludes messengers, and approximately 6,000 employees of general and divisional headquarters, and of
came companies.
. . .
,
, ,,.
,
, .
, ,
4 The change in definition from “wage earner” to “production worker” m the power laundries and cleaning
and dyeing industries results in the omission of driver-salesmen. This causes a significant difference in the
data N ew series are being prepared.
5 Source: Interstate Commerce Commission.
« Based on estimates prepared by the U . S. Maritime Commission covering employment on active deepsea American-flag steam and motor merchant vessels of 1,000 gross tons and over. Excludes vessels under
bareboat charter to, or owned by the Army or N avy. September 1946 data are not available.

T a b l e 4 . — Indexes of Employment and P ay Rolls in Selected Nonmanufacturing

Industries 1
[1939 average=100]
Pay-roll indexes

Employment indexes
Industry group and industry

Sept.
1946

Aug.
1946

July
1946

Sept.
1945

Sept.
1946

Aug.
1946

July
1946

Sept.
1945

Mining:
149.8
81.4
77.6 191.1 193.3 156.5
82.0
82.2
Anth rani to,
____________________
90.7
87.6 232.9 238.9 198.4
199.7
89.5
90.4
Bituminous coal _____________ _____
72.2 146.9 145.2 132.4
116.4
82.5
78.0
83.5
M etal
________ _________ ________
197.5
________ _________ ____ 138.1 139.3 135.6 118.1 253.3 253.5 247.1
Iron
78.8 163.1 164.1 153.8
127.5
88.8
85.6
90.0
Copper
___ -- -- _______
159.4
74.2
84.6 188.0 172.1 128.5
89.0
Load and zinc
________________ 95.6
43.5
38.5
28.4
22.3
42.5
29.1
28.5
29.0
Gold and silver _______ _______
96.7
63.6
97.6 103.0
104.6
63.7
62.5
Miscellaneous
__
-- _________ 60.4
225.1
159.2
103.2
82.5
226.7
213.6
101.2
Quarrying and non metal lie
_______ 102.4
138.4
84.0 150.5 152.6 151.3
95.5
95.4
Crude petroleum production 2 ___ __ 94.1
Public utilities:
~
181.7
181.0 181.1 177.7 133.5 265.0 267.6 268.8
178.5 178.6
177.2
111 9 112.4 121.2
(5)
m
Telegraph
___________ __ ___ _
84.5 153.3 152.4 150.2
120.6
Electric light and power ______ ______ 101.9 101.9 101.2
207.9
211.2
206.7
177.1
128.9
118.0
130.2
129.9
_______
Street railways and busses
145.6
97.0 182.8 177.3 174.5
Wholesale trade _________________________ 109.4 109.1 107.5
106.2
180.9
174.6
172.6
97.6
138.7
106.7
■Retail trad e
________________________ 109.8
145.7
Pood
_ _ _______ ___ _ — -- 103.5 103.6 101.3 102.0 173.5 177.3 171. 5
188.1
187.1
110.4
150.0
117.4
117.7
199.0
125.4
General merchandise
________
165.0
Apparel
___________ ____ 116.7 105.8 107.9 106.4 197.5 175.9 177.5
92.1
63.2 139.1 129.9 129.6
79.5
78.1
81.5
Furniture and honsefurnishings___ ____
113. 5
93.4
72.3 164.8 160.1 156.8
94.4
Automotive
________ ______ - 95.5
191.4
186.1
180.1
146.7
96.1
112.6
111.1
113.8
Lumber and building materials _ ____
177.2
Ffnt.pls (year-round)3
_________ ______ 119.5 119.3 119.1 112.2 209.6 208.9 204.9
168.1
Power laundries _________________________ 109.9 111.6 113.6 106.6 188.7 188.4 193.3
199.2
P,loaning and dyeing
______________ 125.6 124.5 130.0 122.3 227.2 216.9 231.3
143.1
138.5
136.6
137.9
(5)
(5
)
(5)
_________ __
(•)
Plass I stpam railroads 4
478.8 490.1
669.6
225.9 228.2 320.5
(»)
(5)
Water transportation6_____________________- 4 -------1 These figures are based on reports irom cooperating raiauiiimucuo;. iu»cniii6 umn
mm
employees who worked or received pay during any part of one pay period ending nearest the 15th of September 1946, as follows:
.
,
Mining—2,800 establishments—346,000 production workers.
Public utilities—3,400 establishments—761,000 employees.
Wholesale trade—12,000 establishments—324,000 employees.
Retail trade—39,800 establishments—1,042,000 employees.

Hotels (year-round)—1,300 establishments—129,000 employees.

Power laundries and cleaning and dyeing—1,500 establishments—72,000 production workers
2 Does not include well drilling or rig building.
. . . . . .
3 Cash payments only; additional value of board, room, and tips, not included.
* Source: Interstate Commerce Commission.
_
3 N ot available.
« Based on estimates prepared by the U. S. Maritime Commission covering employment on active deepsea American-flag steam and motor merchant vessels of 1,000 gross tons and over. Excludes vessels under
bareboat charter to, or owned by the Army or N avy.


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1034

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Labor Turn-Over in Manufacturing, Mining, and
Public Utilities, September 1946
THE September factory hiring rate of 70 per 1,000 workers continued
at high levels, exceeding the prewar demand for labor. Women were
hired at a higher rate than men in two-tliirds of the durable and in
all 10 of the nondurable goods groups.
The highest accession rate was reported by the flour and feed
milling industry, in which a rate of 108 per 1,000 reflected the change
back to the manufacture of white flour, as well as increased orders
for flour.
Separation rates also showed tight labor-market characteristics.
For every 1,000 employees on factory pay rolls, 52 quit, 4 were dis­
charged, 9 were laid off, and 2 were separated for other reasons.
Separation rates in anthracite and bituminous coal mining remained
substantially below those in manufacturing industries.
T able 1.—Monthly Labor Turn-Over Rates (Per 100 Employees) in Manufacturing

Industries 1
Class of turn-over and year Jan.
Total separation:
1946______ _____ _
1945..........................
1943........... .............
1939..........................
Quit:
1946..........................
1945_____________
1943............ .............
1939..........................
Discharge:
1946_____________
1945..........................
1943..........................
1939..........................
Lay-off:*
1946_____ _______
1945..........................
1943.........................
1939............. ............
M ilitary and miscellaneous:*
1946_____________
1945..........................
1943_____________
Accession:
1946.................................
1945..................................
1943________________
1939__________ _____ _

Feb. Mar. Apr.

M ay June July

6.8 6.3 6.6 6.3
6.2 6.0 6.8 6.6
7.1
7.1
7.7
7.5
3.2
2.6 3.1 3.5

6.3
7.0
6.7
3.5

5.7 * 5.8
7.9
7.7
7. 1
7.6
3.3
3.3

4.3
4.6
4.5
.9

3.9
4.3
4.7

4.2
5.0
5.4

4.3
4.8
5.4

.8

4.2
4.8
4.8
.7

4.0
5. 1
5.2
.7

.5
.7
.5

.5
.7
.5

.4
.7

.4

.4

.3
.7

.8

.8

34.6

5.2
5.6

Aug. Sept.

Oct. Nov. Dec.

6.6 36.7
12.0 8.6
8. 1 7.0
2.8 2.9
5.3 35.2
6.2 6.7 5.6
6.3
6.3
5.2
.8 1. 1 .9

17.9
8.3
3.0

7.1
6.4
3.0

5. 9

4.7
4.5

4 0
4.4

.4
.4
3 .4
.6 .6
.4
.6 .5 .5
.6 .5 .6 .6 .6
.7
.7
.6 .6 .6
.1 .1 .1 .1 .1 . 1 .1 . 1 .1
.2 j 2
1.8 1.7 1.8 1.4 1.5 1.2 3.6 .7 ‘ : 9
.6 .7 .7 .8 1.2 1.7 1.5 10.7 % 5 2.3 1.7
.7
.5
.5
.6 .5 .5
.7
.5
.5
.5
2.2 1.9 2.2 2.6 2.7 2.5 2.5.5 2.1
1.6 1.8 20
.2 .2 .2 .2 .2 .2 .2 . 2 3.2
.3
.3
.4
.4
.4
.4
.4
.3
.2 .2 . 2
1.4
1.4
1.2 1.0 .8 .8 .8
.8 .7 .7
8.5
6.8 7.1 6.7 6.1 6.7 37.4 7. 0 37.0
7.0
5.0
4.9
4.7
5.0
5.9
5.8
5.9
7.4
8.6 8.7
8.3
7.9
8.3
7.4
7.2
8.4
7.8
7.6
7.7
7.2
4.1
3.1
3.3
2.9
3.3
3.9
4.2
5.1
6.2 5.9 6.6
4.1

6.6
3.5

jj

^4
J>

1. 3
J)
27

1

.2
,

0

6.9

6. 2
2.8

1
Month-to-month employment changes as indicated by labor turn-over rates are not precisely comparable
to those shown by the Bureau’s employment and pay-roll reports, as the former are based on data for the
entire month while the latter refer, for the most part, to a 1-week period ending nearest the middle of the
month. In addition, labor turn-over data, beginning in January 1943, refer to all employees, whereas the
employment and pay-roll reports relate only to production workers. The turn-over sample is not so exten­
sive as that of the employment and pay-roll survey—proportionately fewer small plants are included; print­
ing and publishing, and certain seasonal industries, such as canning and preserving, are not covered For
P® ™°nth l°f August, [rates are based on reports from 6,900 cooperating establishments, employing
4,409,000 workers.
°
* Revised.
* Preliminary.
‘ Including temporary (of more than 7 days’ duration), indeterminate, and permanent lay-offs.
«M iscellaneous separations comprise not more than 0.1 in these figures. In 1939 these data were included.


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Federal Reserve Bank of St. Louis

1035

TRENDS OF EMPLOYMENT AND LABOR TURN-OVER

Lumber and furniture continued to have the highest quit rates of
any of the major industrial groups. Despite the relatively high
accession rates in these groups, the respective quit rates of 91 and 82
per 1,000 tended to keep employment from rising. High injuryfrequency rates are typical of both groups.
Proportionately more women than men quit factory jobs, while
lay-offs and discharges continued lower for women than for men.
Although the quit rate for women was considerably higher than that
for men in nondurable goods industries, in the durable goods component
the rates were closer—58 per 1,000 women and 51 per 1,000 men.
T able 2. —Monthly Labor Turn-Over Rates (Per 100 Employees) in Selected Groups

and Industries,1 September 1946 2
Total
separa­
tion

Quit

Discharge

Lay-off

Aug.

Aug. j

Sept.

Aug.

Sept.

Aug.

5.3
5.2

5.2
5.4

0.4
.3

0.5
.4

0.8
1.0

0.8
.6

0.2
.1

0.2
.1

7.2
6.7

7.2
6.8

5.6

5.3

4.5

4.3

.3

.4

.5

.4

.3

.2

5.6

6.1

4.1 3.8
8.9 9.7
7.3 8.2
5.3 5.3
7.2 6.6
12.7 14.5
4.7 4.1
6.2 6.1

3.4
7.5
6.6
4. 1
6.5
9.8
3.6
4.5

3.2
7.9
7.4
4.0
5.3
9.5
3.4
4.8

.1
.8
.3
.5
.1
1.3
.2
1.4

.2
1.0
.4
.5
.1
2.4
.3
.8

.3
.2
.2
.4
.1
1.5
.7
.1

.2
.3
.2
.6
1.1
2.5
.2
.4

.3
.4
.2
.3
.5
.1
.2
.2

.2 3.6
.5 10.2
.2 9.0
.2 6.0
.1 7.1
.1 8.8
.2 5.0
.1 8.6

4.1
10.5
8.5
5.6
8.3
9.3
5.3
8.5

.4
.5

.5
.5

(<)
.2

.1
.3

.3
.2

.2
.2

7.6
8.3

6.5
8.1
11.0

J

J

Sept.

Sept.

6.7
6.5

Aug.

Aug.

Durable goods___________ ___ ______ 6.7
Nondurable goods3.................................. 6.6

Sept.

Sept.

Group and industry

Military
and mis­ Total ac­
cellaneous cession

Manufacturing

Iron and steel and their products . . .
Blast furnaces, steel works, and
rolling mills......... ...........— ...........
Gray-iron castings______________
Malleable-iron castings--------------Steel castings---------------------------Cast-iron pipe and fittin g s.-........ .
Tin cans and other tinware--------Wire products__________________
Cutlery and edge tools--------------Tools (except edge tools, machine
tools, files, and saws)--------------Hardware-____________________
Stoves, oil burners, and heating
equipment-------------- -------------Steam and hot-water heating apparatus and steam fittings-------Stamped and enameled ware and
galvanizing......................................
Fabricated structural-metal prodnets
Bolts, nuts, washers, and rivets.. .
Forgings, iron and steel....................
Electrical machinery...............................
Electrical equipment for industrial use- -----------------------------Radios, radio equipment, and
phonographs-------- --------- -------Communication equipment, except radios-------- -------------------Machinery, except electrical.................
Engines and turbines_________ _
Agricultural machinery and tractors__________________ - ..........
Machine tools__________________
Machine-tool accessories.................
Metalworking machinery and
equipment, not elsewhere classifled------- -- ------ - ----------------General industrial machinery,
except pumps------------------------Pumps and pumping equipment—
S ee fo o tn o te s a t end o f ta b le.


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Federal Reserve Bank of St. Louis

6.6
7.2

5.9
6.7

5.9
6.3

5.1
5.7

8.1

7.8

6.7

6.4

.8

1.0

.5

.3

,1

.1 10.3

6.4

5.9

5.4

4.5

.5

.6

.4

.5

.1

.3

7.4

8.6

8.9

8.9

7.4

7.7

.6

.6

.6

.4

.3

.2

8.7

10.8

6.6
4.9
4.5

6.2
4.6
5.1

5.1
3.8
3.3

4.9
3.9
3.7

.4
.3
.2

.5
.2
.3

.8
.6
.8

.7
.3
1.0

.3
.2
.2

.1
.2
.1

7.4
5.2
4.9

8.9
4.9
5.2

5.5

5.2

4.4

4.1

.4

.4

.5

.5

.2

,2

7.0

6.7

3.7

3.6

3.0

2.9

.2

.2

.3

.3

.2

.2

4.8

4.7

6.9

6.8

5.5

5.4

.8

.7

.5

.5

.1

.2

8.9

9.0

4.9

4.2

.6

.9

.4

.2

6.6

5.2

.2
.3

.2
.1

5.7
7.2

5.3
5.8

3.7

3.0

.2

.1

4.8
4.7

4.8
5.3

3.9
3.5

3.8
3.7

.4
.6

.4
.5

.3
.3

.4
1.0

4.8
4.1
4.4

4.7
3.3
4.7

4.1
3.3
3.6

3.9
2.5
3.8

.3
.2
.4

.2
.3
.5

.2
.4
.3

.4
.3
.3

.2
.2
.1

.2
.2
.1

5.2
3.6
5.2

4.7
3.2
5.3

4.8

4.5

4.1

3.7

.4

.4

.2

.3

.1

.1

4.9

4.5

4.8
5.5

5.1
5.2

3.9
4.5

4.1
4.3

.4
.7

.5
.6

.4
.2

.4
.2

.1
.1

.1
.1

5.2
6.1

5.6
6.0

2.—Monthly Labor Turn-Over Rates (Per 100 Employees) in Selected Groups
and Industries,1 September 1946 2— Continued
Total
separa­
tion

Quit

Discharge

Lay-off

( Sept.

4.1 0.4
4.0
.4
3. C .4
5.0
.6

7.0

6.0

5.5

.6

.5

7.2

6.5

5.7

.6

.5

bi
<!

0.5 4.8
.4 1.8
.4 3.1
.8 11.5

4.3
.9
1.9
9.3

0.2
.2
.1
.2

0.2
.1
.1
.1

.6

.8

.2

.2

9.2

8.5

.5

.9

.2

.1

9.5

8.1

Aug.

Sept.

4.1
4.7
4.0
4.0

Aug.

9.5 9.1
7.1 5.4
7.6 5.4
16.3 15.2

bi)
<1

Sept.

bi)
2

Sept.

Sept.

Group and industry

Military
and mis­ Total ac­
cellaneous cession

7.9
7.9
6.5
8.4

Aug.

T able

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

Sept.

1036

Manufacturing—Continued
Transportation equipment except automobiles________________________
Aircraft____ ________________
Aircraft parts, including engines. Shipbuilding and repairs. _____

Automobiles...... ..............................■____ 7.4
Motor vehicles, bodies, and trailers__ ___ __ _______________ __ 7.8
Motor-vehicle parts and accessories.____ ___________________ 6.6
Nonferrous metals and their products..
Primary smelting and refining,
except aluminum and magnesium ___________ _ _ ________
Rolling and drawing of copper
and copper alloys_____________
Lighting equipm ent_____ _____
Nonferrous-metal foundries, except aluminum and magnesium.

5.9

7.4
7.7
5.0
8.1

6.6

4.8

5.0

.6

.6

.9

.7

.3

.3

8.4

9.3

6.3

4.9

4.9

.5

.6

.3

.6

.2

.2

7.0

7.0

4.1

4.9

3.4

3.8

.5

.4

.1

.4

.1

.3

4.7

6.4

4.3
8.3

4.8
7.0

4.0
6.9

3.8
5.8

.2
.5

.3
.4

(4)
.8

.6
.7

.1
.1

.1
.1

4.3
9.6

5.6
8.1

5.3

6.3

4.3

4.9

.5

.7

.2

.5

.3

.2

5.9

6.4

Lumber and timber basic products__ 10.1 10.8
Sawmills______________________ 10.3 11.2
Planing and plywood mills______ 6.7 7.7

9.1 9.7
9.4 10.1
5.8 6.8

.4
.4
.3

.5
.5
.4

.4
.2
.5

.5
.5
.4

.2
.3
.1

.1
.1
.1

9.7
9.6
6.6

10.2
10.0
7.9

Furniture and finished lumber products______ ____________ ____ __ 9.5
Furniture, including mattresses,
and bedspripgs_______________ 9.5

9.6

8.2

8.4

.7

.7

.4

.4

.2

.1 10.1

10.6

9.8

8.1

8.5

.7

.7

.4

.4

.3

.2

9.9

10.9

Stone, clay, and glass products._____
Glass and glass products________
Cement_________ . . . _______
Brick, tile, and terra cotta______
Pottery and related products____

6.0
6.0
7.4
6.7
5.3

5.8
5.4
7.1
8.5
5.2

5.1
4.8
6.3
6.0
4.7

4.9
4.3
5.9
7.0
4.5

.4
.4
.6
.5
.2

.5
.5
.6
.9
.5

.3
.5
.3
.1
.3

.2
.3
.1
.5
.1

.2
.3
.2
.1
.1

.2
.3
.5
.1
.1

6.3
6.1
7.1
7.4
5.6

7.0
6.6
8.8
9.4
5.5

Textile-mill products_______________
Cotton________________________
Silk and rayon goods___ ____ ___
Woolen and worsted, except dyeing and finishing. _ ___________
Hosiery, full-fashioned__________
Hosiery, seamless_______________
Knitted underwear_____________
Dyeing and finishing textiles, ineluding woolen and worsted___

6.1
7.2
5.7

6.4
7.4
5.7

5.5
6.4
5.0

5.6
6.6
5.0

.3
.4
.4

.4
.4
.4

.2
.2
.2

.3
.2
.2

.1
.2
.1

.1
.2
.1

6.6
7.7
6.2

6.8
7.9
6.4

5.0
4.1
5.6
5.7

4.9
4.3
7.1
6.9

4.3
3.7
5.2
5.3

4.1
4.0
6.7
6.2

.4
.3
.2
.3

.4
.2
.2
.4

.2
.1
.1
.1

.2
.1
.1
.2

.1
(4)
.1
(4)

.2
(4)
.1
.1

5.0
4.5
6.7
6.1

5.1
4.1
6.7
7.4

3.7

.6

.6

.3

.2

.4

.2

4.5

5.0

4.8

4.7

3.5

Apparel and other finished textile
products_____ _________________ 6.4
M en’s and boys’ suits, coats, and
overcoats_________ ________ 3.7
M en’s and boys’ furnishings, work
clothing, and allied garm ents... 6.6

7.1

5.9

6.7

.2

.2

.2

.2

.1

(4)

6.8

7.2

4.9

3.3

4.5

.2

.2

.1

.2

.1

(4)

4.4

5.5

7.6

6.3

7.2

.2

.2

.1

.1

(4)

.1

7.2

7.3

Leather and leather products________ 5.8
Leather. _ _____________________ 4.6
Boots and shoes________________ 6.0

6.1
4.9
6.3

5.2
3.4
5.5

5.5
3.8
5.8

.2
.1
.2

.2
.2
.2

.3
1.0
.2

.3
.8
.2

.1
.1
.1

.1
.1
.1

5.0
3.1
5.4

5.0
3.4
5.2

Food and kindred products3 ............. . 9.7 8.1
Meat products_____________ .
41.4 15.0
Grain-mill products....... .................. 6.6 8.5

5.9
3.5
5.7

6.0
5.6
6.0

.4
.3
.3

.5 3.3
.6 37.2
.8
.5

1.5
8.5
1.7

.1
.4
.1

.1 9.8
.3 6.2
(4) 10.8

9.2
8.8
7.9

Tobacco manufactures_________ ____

6.2

7.3

5.3

6.0

.4

.4

.4

.8

.1

.1

7.2

7.7

Paper and allied products__________
Paper and pulp________________
Paper boxes_________ __________

7.2 7.0
6.2 5.9
9.6 | 9.8

6.3
5.4
8.4

6.1
5.2
8.7

.5
.4
.7

.5
.4
.8

.2
.2
.2

.2
.1
.1

.2
.2
.3

.2
.2
.2

6.7
5.5
9.9

6.9
5.9
9.3

See fo o tn o te s a t

end of table.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1037

T R EN D S OF E M P L O Y M E N T AND LABOR T U R N -O V E R

T able 2. — Monthly Labor Turn-Over Rates (Per 100 Employees) in Selected Groups

and Industries,1 September 1946 2— Continued
Total
separa­
tion

Quit

Discharge

Lay-off

Military
and mis­ Total ac­
cellaneous cession

0.3
.3
.3

0.2
.1
.2

0.2
.2
.3

0.2
.1
.3

Sept.

0.3
.4
.2

Sept.

0.3
.1
.2

Aug.

3.0
3.2
2.4

Sept.

3.3
3.2
2.6

Aug.

3.7
3.8
3.1

tub
3

3
<<

3.8
3.5
2.8

4.3
4.4
3.3

tub

j
4.1
3.8
3.4

bi)
<

Sept.

bh
2

Sept.

Sept.

1

Group and industry

Manufacturing—Continued
Chemicals and allied products---------Paints, varnishes, and colors------Rayon and allied products-------Industrial chemicals, except explosives---------------------------------

4.4

4.1

3.6

3.2

.4

.4

.2

.3

.2

.2

3.9

5.0

Products of pertroleum and coal------- 2.3
Petroleum refining_____ ________ 2.2

2.3
2.1

1.7
1.6

1.8
1.6

.1
.1

.1
.1

.3
.3

.2
.2

.2
.2

.2
.2

2.3
2.2

2.4
2.2

Rubber products___________________
Rubber tires and inner tubes . . .
Rubber footwear and related
products_____
____________
Miscellaneous rubber industries. _

5.0
3.8

5.1
3.6

4.4
3.3

4.4
3.3

.3
.2

.3
.2

.1
.1

.2
(4)

.2
.2

.2
.1

6.1
4.6

5.9
4.8

7.2
6.9

6.7
6.9

6.6
5.9

6.0
5.8

.3
.6

.3
.5

.1
.2

.2
.4

.2
.2

.2
.2

7.7
8.5

7.1
7.4

Miscellaneous industries_______ ____

5.7

5.1

4.2

3.8

.3

.3

1.0

.8

.2

.2

5.3

5.2

6.5
4.9
7.4
6.4

6.5
3.2
8.7
6.9

5.8
4.2
6.5
6.2

5.2
2.4
7.0
6.0

0.3
.1
.6
.2

0.4
.2
.5
.6

0.1
.2
.1
0)

0.6
.2
1.1
.2

0.3
.4
.2
(4)

0.3
.4
.1
.1

6.2
3.4
8.4
6.1

6.9
3.3
9.1
8.6

Coal m ining:3
Anthracite mining______________ 1.5
Bituminous-coal m ining________ 4.0

1.9
4.0

1.2
3.3

1.4
3.5

.1
.2

.1
.2

.1
.2

.3
.1

.1
.3

.1
.2

2.0
3.5

2.1
4.5

Public utilties:
Telephone____ _________ ______
Telegraph----- ------------------

m
w

m
(6)

0>)
(6)

(«)
(6)

(6)
W

(8)
(8)

(«)
(8)

(8)
(8)

(8)
(8)

(8)
(8)

m
(6)

JSionmanufacturing
M etal m in in g :3____________________
Iron ore____ ____ _____
Copper ore_____________________
Lead and zinc ore.---------------

(«)
w

1 Since January 1943 manufacturing firms reporting labor turn-over have been assigned industry codes
on the basis of current products. M ost plants in the employment and pay-roll sample comprising those
which were in operation in 1939, are classified according to their major activity at that time, regard­
less of any subsequent change in major products.
s Preliminary.
3 July rates have been revised as follows:

Industry group

Nondurable goods - .
...................... .......
Food and kindred p ro d u cts_____ _ . __

Total
. separa­
tion
5.6
6.7

Quit

4.7
5.1

D is­
charge

Lay-off

M itary
and
miscel­
laneous

0.3
.4

0.5
1.1

0.1
.1

Total
acces­
sion
6.8
9.6

4 Less than 0.05.
3 Rates for mining industries are based on reports from 480 establishments employing 218,000 persons.
3 N ot available.

722250— 46-------13


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

m

1038

M O N T H L Y LABOR RE V IE W — D ECEM BER 1 9 4 6

T able 3. —Monthly Labor Turn-Over Rates for Men and Women in A ll Manufacturing

and Selected Groups,1 September 1946 2
M en (per 100 men)
Quit

Total
Accession separation

Quit

Accession

1
j

Total
separation

Women (per 100 women)

August

September

August

September

August

September

August

September

August

September

August

All manufacturing 3__ _____ ________ 6.2
Durable goods__________________ 6.5
Nondurable goods3_____________ 5.8

6.1
6.4
5.5

4.7
5.1
4.1

4.7
5.0
4.3

6.4
6.9
5.5

6.6
7.1
5.8

7.6
7.2
7.7

7.5
7.0
7.6

6.4
5.8
6.6

6.5
5.6
6.9

8.5
8.3
8.5

8.0
7.7
8.1

Iron and steel and their products____
Electrical machinery______ _ _ _ _ _ _
Machinery, except electrical____ _
Transportation equipment, except
automobiles______________________
Automobiles_______________________
Nonferrous metals and their products
Lumber and timber basic products__
Furniture and finished lumber prod­
ucts. _ _________________________
Stone, clay, and glass products______

5.3
3.7
4.6

4.6
3.3
3.6

4.3
2.9
3.6

5.8
5.4
5.4

6. 2
5.5
5.2

7. 2
7.6
5.8

7.0
7.4
5.9

5.8
6.3
4.8

5.6
6.1
4.6

7.3
9.7
6.1

7.3
8.9
5.5

8.6 8.9
6.8 6.6
5.5 5.9
10.3 11.1

4.2
5.4
4.5
9.3

4.2
5.0
4.6
9.9

7.9 7.7
8.3 7.9
6.3 7.0
9.8 10.4

7.0
6.8
7.3
7.7

6.1
6.6
7.6
6. 5

4.4
4.2
6.4
6.7

3.8
4.3
6.1
6.1

6.9
8.2
9.4
7.9

5.9
8.7
7.3
7.8

Textile-mill products_______________
Apparel and other finished textile
products_________________________
Leather and leather products_____ _
Food and kindred products 3_____ __
Tobacco manufacturers_____________
Paper and allied products___________
Chemicals and allied products ____
Products of petroleum and coal______
Rubber products___________________
Miscellaneous industries____________

5.8
4.3
4.6

____

September

Industry group

9.5
5.8

9.6
5.8

8. 2
4.9

8.4
4.8

9.9 10.9
6.0 6.9

9.5
6.5

9.7
6.0

8.1
5.7

8.4 10.8
5.3 7.3

9.4
7.0

5.9

6. 2

5.1

5.1

6.2

6.8

6.4

6.6

5.8

6.1

7.1

6.8

4.0
4.9
8.5
5.7
6.4
3.7
2.2
4.5
5.1

4.2
4.8
7.3
6.2
6.4
3.4
2.0
4.6
4.3

3.5
4.2
4.5
4.3
5.6
3.0
1.6
3.9
3.6

3.6
4.3
5.1
4.4
5.5
2.7
1.6
4.0
3.1

5.1
3.8
7.3
4.9
6.3
3.5
2.1
5.4
4.4

4.8 6.6 7.6 6.1
4.2 7.2 7.7 6.7
7.3 13.4 10.3 10.1
6.8 6.6 8.0 5.8
6.3 9.5 8.7 8.6
4.3 5.5 5.2 4.5
2.3 5.3 6.0 4.1
5.5 6.6 6.2 5.9
4.7 6.8 6.4 5.2

7.3 7.0
7.2 6.8
8.5 17.1
6.9 8.6
8.2 8.3
4.2 4.9
3.8 5.3
5.5 8.1
5.0 6.9

7.5
6.0
14.2
8. 2
8.1
4.4
3.8
7.1
6.1

1 These figures are based on a slightly smaller sample than that for all employees, inasmuch as some
firms do not report separate data for women. Rates for August are based on 6,800 reports covering 4,167,000
employees.
2 Preliminary figures.
3 July rates have been revised as follows:

Men
Industry group

All manufacturing_______ ___
Nondurable goods _ __ ____
Food and kindred products ___


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n
Federal Reserve Bank of St. Louis

Total
separa­
tion

Quit

5. 3

4.1

4.8
5.9

4.3

3. 8

Women
Acces­
sion

Total
separa­
tion

7.3
6.4
9.0

6.5
6.7
8.9

Quit

5.6
6.0
7.4

Acces­
sion
7.3
7.2
11.1

Trends o f Earnings and Hours

Summary of Earnings and Hours Data for September
1946
WEEKLY earnings in manufacturing industries, according to pre­
liminary estimates, averaged $45.68 in October 1946, a level almost
$5 above last October but still about $1.50 below the January 1945
wartime peak. The average workweek in October 1946 was about 1
hour below that of last October and about 5 hours below January
1945.
Preliminary averages for October 1946 are as follows:
Weekly
hours

Hourly
earnings
(in cents)

_____________ $45. 68

40. 4

113. 0

_____________
_____________

40. 6
40. 2

120 . 2
105. 5

Weekly
earnings

All manufacturing. _
Durable goods__
Nondurable goods__

__

48.83
42. 42

Final September figures in both anthracite and bituminous-coal
mining industries indicate that declines in average weekly earnings
were largely due to the Labor Day holiday and to the continued
critical shortage of railroad cars. In bituminous-coal mining, earn­
ings declined from $62.37 a week in August to $61.00 in September,
while average hours worked per week fell from 42.4 to 41.4. Average
weekly earnings in anthracite mining also declined over the month
from $60.65 in August to $59.78 in September, reflecting a slight
decline in hours.
Wage increases and premium overtime work combined to raise
average weekly earnings in September above the August level in 17
of the 20 major manufacturing groups, despite plant closings in ob­
servance of Labor Day. In 8 of the groups a somewhat longer work­
week was reported in September than in August, reflecting mainly
the termination of strikes and the easing of raw material shortages.
The automobile, transportation equipment, and food groups were
the only major industrial groups failing to show an increase m average
weekly earnings over the month. The curtailment of operations in
the shipbuilding industry owing to the maritime strike contributed
heavily to the decline in earnings in the transportation equipment
group. Raw material shortages, the trucking strike, seasonal declines,


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Federal Reserve Bank of St. Louis

1039

1040

M O N T H L Y LABOR R E V IE W — D ECEM BER 1 9 4 6

and the exemption of the canning industry from overtime provisions
in September, the month of peak production, combined to keep weekly
earnings down in the food group.
Weekly earnings averaged above $37 in all maj or manufacturing groups
except tobacco, and above $50 in 6 groups. In the tobacco group,
weekly earnings in September averaged over $35 for the first time on
record. This represents an increase of more than $2 a week over
September 1945, when the average workweek was 3 hours longer (or
an increase in average hourly earnings amounting to 11 cents over
the year).
Earnings and Hours in Manufacturing and Nonmanufacturing Industries,
September 1946
MANUFACTURING
Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry group and industry
Sept. Aug. July
1946 1946 1946

All manufacturing_________________________ $45. 41 $44.98 $43. 38
Durable goods................ ................................ 48.39 48.00 46.24
42.34 41.89 40. 46
Nondurable goods. ------ . .

Sept. Aug.
1946 1946

July Sept. Aug. July
1946 1946 1946 1946
Cents Cents Cents
39.7 112.6 111. 1 109.3
39.3 120.1 118.6 117.7
40.1 104.9 103.6 100.9

40.3
40.3
40.3

40.5
40.5
40.5

49. 31 48.78 46.80

39.7

39.9

38.5 124.2 122.2 121.6

49. 84
50.95
51.28
49. 32
42. 30
45.97
49.37
44.98

47.85
48. 53
49.60
46. 35
41. 55
43.47
49. 61
43. 74

38.0
42.3
40.7
38.3
4u. 8
41.9
41.4
43.0

38.2
41.8
40.7
38.9
40.8
42.6
41.8
43.1

36.4
40.4
40.6
36.7
40.1
40.9
41.9
42.3

47.59 46.91 46.16
45. 26 44.88 44.20
45. 63 46.00 43.98

42.5
41.4
39.4

42.4
41.7
40.2

42.5 112.1 110.6 108.7
41.2 109.5 106.9 106.6
39.0 115.7 113.8 112.8

Durable goods
Iron and steel and their products___________
Blast furnaces, steel works, and rolling
mills________________________________
Gray-iron and semisteel castings________
Malleable-iron castings_______________ .
Steel castings ______________________ .
Cast-iron pipe and fittings___________ .
Tin cans and other tinware. . . . ____ .
W irework__ _______________ _____ _.
Cutlery and edge to o ls ____________ ____
Tools (except edge tools, machine tools,
files, and saw s)_____________ . . . ____
Hardware_______________ . . .
. ...
Plumbers’ supplies____________________
Stoves, oil burners, and heating equip­
ment, not elsewhere classified_________
Steam and hot-water heating apparatus
and steam fittings____________________
Stamped and enameled ware and galvan­
izing________ _________ _____ ____
Fabricated structural and ornamental
metalwork.. . ________ ________ _
M etal doors, sash, frames, molding, and
trim J.._
. ______
Bolts, nuts, washers, and rivets_____
Forgings, iron and steel____
_______
Screw-machine products and wood screws
Steel barrels, kegs, and drums 2______ .
Firearms________________ . . . . .

50.28
52. 58
61.50
49.28
43.59
46. 22
50. 30
45. 83

132.5
124.3
126.6
128.6
107.4
111.1
121.3
106.5

130.5
122.0
126.0
126.9
103.6
108.6
118.9
104.3

131. 4
120.3
122.2
126.3
103.5
106.7
118.3
103.2

47.36 47.16 44.68

40.2

40.6

39.6 117.8 116.1 112.9

49.72 47.81 46.28

40.8

40.3

39.5 121.9 118.6 117.2

45. 53 45.53 43.15

39.9

40.5

38.7 114.6 112.5 111.4

48. 71 48. 35 46. 38

40.5

40.5

39.3 120.4 119.3 118.5

51.40
45. 67
53. 52
50. 86
45.46
53.30

50.20
46. 55
53.94
50.86
47.06
49. 86

49. 59
41.59
49. 72
48.69
42.94
51.06

40.5
38.8
39.5
42.0
39.8
42.3

41.2
40.4
40.0
42.8
41.7
40.4

41.3
36.6
37.8
41.5
38.2
41.0

126.9
116. 6
136. 3
120.5
114.3
125.9

121.9
114.3
134.9
118.7
113.0
123.6

120.1
113.0
131.4
117.4
112.5
124.4

Electrical machinery_____ _ _________
Electrical equipment_____________ .
Radios and phonographs_______ _
Communication equipment_____________

48. 45
49. 41
43.11
50.41

47.57
48. 54
41.96
49.88

45.59
46.31
40.40
47.80

40.8
40.5
40.3
42.2

40.5
40.2
39.9
42.2

39.4
38.9
39.1
41.1

118.9
121.9
107.2
119.6

117.3
120.4
105.2
118.3

115.8
118.9
103.4
116.4

Machinery, except electrical________
Machinery and machine-shop products...
Engines and turbines______________
Tractors____________ . . .
Agricultural machinery, excluding trac­
tors________________
Machine tools________ .
Machine-tool accessories___
Textile machinery______
T y p ew riters_________________

51.79
51.08
55.26
51.21

51.03
51.06
51.95
51.01

49.76
49.49
52.86
49.73

41.1
41.2
40.5
39.3

40.9
41.6
39.0
39.1

40.4
40.7
40.3
37.9

126.1
124.0
136.5
130.2

124.7
123.1
132.8
130.3

123.2
121.2
131.3
131.1

51.09
54.31
56.28
49.43
47.19

49.20
54.07
54.49
48.28
46.01

48.02
52.44
52.09
47.42
46.49

40.4
42.0
41.5
42.6
41.7

39.9
42.0
40.8
41.9
41.1

39.7
41.3
40.0
41.4
41.7

126.9
129.9
136.0
116.1
113.2

123.8
129.1
134.0
115.2
111.9

121.5
126.9
130.5
114.4
111.6

See footnotes at end of table.

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Federal Reserve Bank of St. Louis

1041

TRENDS OF EARNINGS AND HOURS
Earnings and Hours in Manufacturing and Nonmanufacturing Industries,
September 1946— Continued
MANUFACTURING— Continued
Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Sept Aug. July
1946 1946 1946

Sept Aug. July
1946 1946 1946

Industry group and industry
Sept Aug.
1946 1946

July
1946

Durable goods—Continued
Machinery, expect electrical—Continued
Cash registers, adding and calculating ma­
chines - _ _
____________ $58. 20 $52.84
Washing machines, wringers and driers,
dom estic____________ _____ _
__ _ 47.87 46.30
Sewing machines, domestic and industrial. 51.15 52. 27
Refrigerators and refrigeration equipment. 49.54 48.46
Transportation equipment, except automo­
biles. __________________________
_____
Locomotives__________________ . _____
Cars, electric- and steam-railroad________
Aircraft and parts, excluding aircraft en­
gines____ __ __ ___________________ _
_________ ____
Aircraft en gin es____
Shipbuilding and boatbuilding_________
Motorcycles, bicycles, and parts________

$56. 29

42.6

39.9

Cents Cents Cents
41.9 136.9 133.8 134.9

44.99
49. 58
46. 77

41.7
40.4
40.3

41.2
42.1
39.7

40.7 114.7 112.4 110.5
43.1 127.4 124.8 115.6
38.6 122.9 122.2 121.0

52.81 54.18 53.70
58.12 57.48 59.18
49.08 50.23 48.21

39.0
39.6
39.7

40.0
39.8
41.1

39.3 135.5 135.5 136.6
40.5 146.8 144. 5 146.0
39.6 123.4 122.3 121.9

53.51
56. 67
51. 7C
49.65

40.8
41.7
36.2
40.1

41.0
41.4
38.5
40.0

40.0
40.6
38.4
38.2

53.68
56.08
54. 91
48.50

53.01
54. 72
55.20
44. 64

131.3
135.8
143.0
123.8

131.3
135.4
143.1
121.2

132.5
134.8
143.6
116.9

Automobiles______________________________

53.12 53. 39 51.15

38.7

39.2

37.8 137.4 136.1 135.4

Nonferrous metals and their products_______
Smelting and refining, primary, of nonferrous metals. _ . . _____ ________
Alloying and rolling and drawing of nonferrous metals, except aluminum ............
Clocks and watches
_____
Jewelry (precious metals) and jewelers’
findings_____ ____ _________ _____
Silverware and plated ware.
Lighting e q u ip m e n t...
______ _
Aluminum manufactures__________ _

48.68 47. 93 46.68

40.7

40.7

40.0 119.6 117.8 116.6

48.74 47.85 47.42

40.3

40.2

39.9 120.8 118.9 118.9

51.50 50.90 50.34
43.56 42.86 40.44

40.5
40.9

40.4
41.0

40.2 127.5 126.5 125.2
39.8 107.1 104.5 101.7

48.96
55.60
46.18
47.10

44.69
50.29
44.44
45. 98

43.6
45.9
39.3
39.6

42.7
45.2
39.1
39.7

42.0
43.9
38.2
39.1

112.4
121.2
117.8
119.7

109.0
116.8
116.6
117.6

105.7
114.6
116.3
117.6

Lumber and timber basic products_________
Sawmills and logging cam ps.. . . _____
Planing and plywood m ills... . . . . _ .

38. 79 38. 76 35.60
37. 72 37. 70 34.66
41.97 42.17 38.71

41.4
41.1
42.3

41.7
41.4
42.9

39.1
38.9
40.0

93.7
91.7
99.6

92.8
91.1
98.2

91.0
89.2
96.5

Furniture and finished lumber products ____
Furniture___________ _________ ______
Caskets and other morticians’ goods.. . .
Wood preserving_______ __________ ___

40.84
41.58
42. 47
37.99

40.15
40. 85
40.86
36.84

38. 37
38.80
40.23
36.15

41.8
41.6
42.4
41.4

41.9
41.7
42.0
41.4

41.0 97.7
40.6 100.1
41.5 101.1
40.9 92.1

95.7
98.2
97.0
89.4

93.7
95.7
96.4
88.4

Stone, clay, and glass produ cts_____________
Glass and glassware. ___. . . ________
Glass products made from purchased glass.
Cement
. . . . ______ . . . . _____
Brick, tile, and terra cotta______________
Pottery and related products___ ______
Gypsum. . . . . .
______ _______
Lim e. __________ ______ . . . _________
Marble, granite, slate, and other products.
Abrasives _______ _______ ______. . .
Asbestos products . __________ ______

44.15
45. 29
38.86
47. 03
41.47
41.42
50.46
45. 96
42.64
45.38
49. 67

43. 27
43.14
39.46
45.63
40. 67
41.34
50.45
45. 27
43.63
47.02
50.02

41.80
41.87
37.33
44. 66
39.44
38.84
46.40
42.11
42.44
47. 02
48.70

40.6
39.5
40.6
42.9
40.5
38.1
46.6
46.9
41.8
37.9
43.3

40.7
39.4
41.9
42.3
40.0
38.5
47.2
46.6
43.1
40.1
43.9

39.5
38.0
40.4
41.7
39.8
36.5
44.3
44.9
41.9
39.9
42.9

108.8
114.7
93.6
109.7
102.1
108.9
108.4
98.1
102.2
119.7
115.2

106.3
109. 5
91.9
107.9
101.2
107.9
106.9
96.7
100.7
116.7
114.4

105.7
110. 2
90.2
107.2
99.1
106.8
104.8
93.2
100.4
117.9
113.6

37. 53
35.35
38. 33
37.20

36.99
34. 81
38. 67
37.42

34.76
31.64
37. 44
34.94

40.0
39.8
40.5
40.4

40.1
39.8
41.0
41.3

39.6
39.4
41.2
40.7

93.9
88.8
94.7
92.2

92.3
87.5
94.2
90.6

87.7
80.3
90.9
85.8

42. 44
36.60
39. 76
35.84
32. 70

41.88
36. 07
39. 29
34.35
31.79

41.18
33. 47
38. 98
33.73
31.00

41.1
37.7
41.8
38.6
38.1

40.9
38.1
42.2
38.6
38.1

40.5 103.4 102.4 101.7
37.2 97.0 94.3 89.9
42.3 95.1 93.1 92.3
38.6 91.8 88.1 87.0
38.1 85.2 83.0 81.0

40. 72
43.72
53.25
39.47
37.86

40.92
42.10
52.93
38.23
37.17

39. 66
41.03
48. 38
36. 39
34. 43

41. f
41.3
40.9
44.0
41.4

42.1
40.4
39.8
43.4
41.3

41.9 98.3 97.1 94.5
40.0 106.1 104.3 102.7
39.3 131.3 135.4 123.3
42.2 91.2 89.7 87.8
40.2 91.41 90.1 85.6

46.82
52.78
45.63
46. 73

Nondurable goods
Textile-mill products and other fiber manu­
factures. ._ ______________________ ______
Cotton manufactures, except smallwares. _
Cotton smallwares.. _______ _ _______
Silk and rayon goods____ __________
Woolen and worsted manufactures, except
dyeing and finishing. ____ ____ . . . _.
Hosiery___. . . _____________ _________
Knitted c lo th ...
-----------------------------Knitted outerwear and knitted gloves___
Knitted underwear____
_
. . . ..
Dyeing and finishing textiles, including
woolen and w o rsted ________ ______
Carpets and rugs, wool_____ _
______
Hats, fur-felt__________________________
Jute goods, except f e lt s ________________
Cordage and twine____ ________________

See footnotes at end of table.
7 2 2 2 5 0 -4 6 -

■14


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Federal Reserve Bank of St. Louis

1042

M O N T H L Y LABOR R E V IE W ---- D ECEM BER 1 9 4 6

Earnings and Hours in Manufacturing and Nonmanufacturing Industries,
September 1946— Continued
MANUFACTUREN G— Continued
Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings '

Industry group and industry
Sept. Aug.
1946 1946

July
1946

Sept. Aug. July
1946 1946 1946

Sept. Aug.
1946 1946

July
1946

Nondurable goods—Continued
Apparel and other finished textile products.. .
M en’s clothing, not elsewhere classified. . .
Shirts, collars, and nightwear___________
Underwear and neckwear, men’s________
Work shirts.. ---- -- ------------------------ W omen’s clothing, not elsewhere classified.
Corsets and allied garments_____________
M illin e r y ..____ ________________ _____
Handkerchiefs___________ ____________
Curtains, draperies, and bedspreads 2____
Housefurnishings other than curtains, etc.
Textile bags----------------- -----------------------

$37.32 $36. 53 $33.83
39.14 38.11 35.84
29. 60 28. 71 27.90
32. 61 31.31 29.90
23. 55 23. 48 22. 30
48.14 47. 54 42. 67
35.09 34.58 33.50
45.75 43.90 42. 65
28.36 28. 61 26.43
28.29 27. 58 27. 64
36.36 35.38 34.12
33.03 31.53 30.06

36.9
37.7
37.2
37.5
34.5
36.1
38.0
33.3
35.0
35.7
38.9
39.7

37.1
37.5
36.9
37.2
35.7
36.6
38.3
33.1
36.4
35.5
38.7
38.7

36.0
36.2
36.1
36.4
34.4
35.4
37.8
32.4
34.7
36.1
38.2
38.0

Cents
101.0
102.7
80.0
87.1
68.2
129.8
92.9
113.1
81.2
80.1
93.6
83.1

Cents Cents
98.5 94.1
100.9 98.5
78.1 76.9
84.2 82.2
65.8 64.8
126.0 118.0
90.7 88.7
109.5 108.0
78.9 76.4
78.4 77.0
91.1 88.9
81.5 79.0

Leather and leather products___________ . .
Leather______ _ ----------- --------- -------Boot and shoe cut stock and findings____
Boots and shoes_______________________
Leather gloves and m ittens________ . .
Trunks and suitcases_______________ . . .

37.49
44.60
36.06
36. 71
33.68
39.46

36.74
45. 08
37.69
35.17
32. 33
38. 96

36.46
44.08
35.86
35.38
32.14
36. 57

38.2
39.5
38.7
37.8
37.0
39.3

37.8
40.3
40.2
36.9
36.7
39.5

38.2 98.2 97.2 95.4
40.1 112.9 112.0 110.2
39.8 93.5 94.0 90.4
37.8 95.4 94.5 92.7
36.5 91.9 88.3 88.3
37.1 100.4 98.3 98.3

Food_____________ . . . . . .
.
--------------Slaughtering and meat packing_________
Butter___ ___________________________
Condensed and evaporated m ilk------------Ice cream___________ . . ---------------- .
Flour_________________________________
Cereal preparations___________ ______
Baking_______ ______________ ____ ___
Sugar refining, cane______________ _____
Sugar, beet_____________ ______________
Confectionery_____ _________________
Beverages, nonalcoholic__________ _____
M alt liquors___________________ _______
Canning and preserving__________ ____

43. 56
41.11
41.54
43.95
46.48
52.30
46.85
44.60
37.99
49.24
35.90
39.95
57.45
41.54

44.34
48.37
40. 73
43. 55
45. 71
50.37
46.04
44.63
39.27
40.92
35.03
40. 45
56.36
41.12

43.22
48.05
40. 71
43.48
45. 67
48.63
43.85
43.81
39.97
40. 67
33. 76
40. 52
54. 21
38.89

43.0
35.9
46.3
47.6
46.8
49.2
42.1
44.5
37.9
42.9
39.8
43.8
42.7
43.4

43.7
43.4
46.3
48.0
47.6
49.3
42.4
45.0
39.1
38.3
39.6
44.2
42.5
42.3

43.8
43.0
47.4
48.8
48.3
48.8
41.5
44.8
39.3
37.3
38.6
44.7
42.0
43.2

101.3
114.4
88.9
92.4
95.6
106.4
111.5
100.3
100.1
114.7
86.5
90.3
134.4
96.3

101.5
111.6
88.0
90.8
93.5
102.4
108.9
99.4
100.4
106.8
85.9
91.1
132.4
97.6

98.6
111.5
85.6
89.1
92.3
99.7
105.8
98.0
101.8
109.1
85.4
90.2
129.1
90.4

Tobacco manufactures_____________________
Cigarettes--------- ---------------------------------Cigars ______________________________
Tobacco (chewing and smoking) and snuff.

35.37
39.33
32.84
31.87

34.26
38. 21
31.50
31.28

33.24
36. 66
31.05
29.45

39.3
40. 1
39.0
38.0

38.7
39.1
38.6
37.4

39.1
40.1
38.6
37.1

89.9
98.2
83.9
83.9

88.6
97.8
81. 4
83.7

85.1
91.5
80.3
79.4

Paper and allied products__________________
Paper and pulp________ _____ __________
Envelopes _____________ ____ __________
Paper bags____________________________
Paper boxes____________________ ____ _

44.47
47.57
41.93
37.89
41.13

44.23
47.56
41.61
37.17
41.07

43.12
46.06
40.61
37.42
39.93

42.9
43.8
42.6
40.9
42.0

43.4
44.4
42.7
40.9
42.6

42.8 103.6 101.9 100.7
43.8 108.6 107.0 105. 3
42.5 97.7 97.5 95.6
41.3 93.1 91.1 91.1
41.9 98.1 96.6 95.3

Printing, publishing, and allied industries___
Newspapers and periodicals_____________
Printing, book and job. . ......... ....... .
Lithographing___________________ _____

54.19
60. 33
51.81
53.89

53.03
58.10
50.93
54.10

51.79
56.62
50.03
51.80

41.2
39.4
42.2
43.0

40.9
38.7
41.9
43.3

40.2
37.9
41.5
41.8

131.7
150.0
123.3
126.1

129.8
147.4
122.0
124.8

128. 7
145.9
121.2
124.1

Chemicals and allied products____________
Paints, varnishes, and colors.......... .
Drugs, medicines, and insecticides.........
Soap.. _ _____________ ___________
Rayon and allied products__________
Chemicals, not elsewhere classified__
Explosives and safety fuses______ .
Ammunition, small-arms________
Cottonseed oil. . . . . . . ...... ...........
Fertilizers.. ________ _____

45.35
46.63
39.08
47.29
43.55
52.61
50.98
44.05
31. 36
35.74

44.94
47.41
38.95
47. 21
42.62
51.81
48.37
39.53
30.97
35.09

44.67
46. 62
38.42
47. 08
41.08
52.09
47.96
42.65
29.65
34.11

40.9
41.4
39.5
40.5
39.3
41.1
41.3
39.1
49.4
42.4

40.8
42.6
40.0
40.7
39.1
41.1
39.1
38.7
47.2
42.1

40.7
42.2
39.7
41.0
38.6
41.5
38.9
38.6
47.0
42.7

110.9
112.5
98.4
116.7
110.7
128.1
123.3
112.7
63.1
84.3

110.1
111. 4
97.7
115.9
108. 9
126. 0
123.7
102.3
65.4
83.4

109.8
110. 9
97.0
114.8
106. 5
125.6
123.3
110.6
63.1
79.8

Products of petroleum and coal____
Petroleum refining_________
Coke and by-products______
Roofing materials______ .

55.20
58. 35
46.63
48.93

54.30
57.10
46.45
49.61

54.19
57. 02
46.65
48.06

40.3
40.2
39.1
43.5

40.3
40.0
39.4
44.5

40.0
39.7
38.9
44.5

136.9
145.3
119.0
112.4

134.7
142.7
117.6
111.4

135.5
143.7
119.5
108.5

See fo o tn o te s a t end o f table.


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1043

TRENDS OF EARNINGS AND HOURS
Earnings and Hours in Manufacturing and Nonmanufacturing Industries
September 1945—Continued
M ANUFACTURING—Continued
Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry group and industry
Sept. Aug.
1946 1946

July
1946

Sept. Aug. July
1946 1946 1946

Nondurable goods—Continued
39.2
38.0
39.6
40.8

Sept. Aug.
1946 1946

July
1946

Cents
132.0
150.5
108.4
112.7

Cents
129.2
147.2
108.5
110.2

Cents
129.6
147.7
107.8
112.0

$50.60
56.11
42.98
44.93

40.6
39.7
41.6
41.7

39.4
37.3
41.2
41.8

Miscellaneous industries_________ ____ ___ 44.11 43.30 42.42
Instruments (professional and scientific),
50.43 49.74 49.06
and fire control equipment________
Pianos, organs, and parts --------------------- 47.73 46.11 44.04

41.2

41.0

40.5 107.2 105.7 104.8

40.3
42.2

40.2
41.3

39.9 124.3 123.3 122.9
40.6 113.4 112.1 108.6

Rubber products ----------------- -------------------Rubber tires and inner tubes----------------Rubber boots and shoes. --------------------Rubber goods, other___________________

$53.60
59.91
45.10
47.02

$51.04
55.43
44.45
46.85

NONMANUFACTURING
Cents Cents Cents
Mining:
A nthracite------------------------------------------ $59. 78 $60.65 $49.53 37.7 37.9 31.7 158.7 159.8 156.2
Bituminous coal___________ __________ 61.00 62.37 52.27 41.4 42.4 36.0 148.0 146.8 145.7
M etal------------------ ------------------------------- 49. 50 49.59 47.70 40.5 40.9 39.6 122.1 121.2 120.5
Iron. ____________________________ 48. 45 48. 03 48.10 39.8 40.2 40.2 121.9 119.4 119.8
Copper____________________________ 51.09 52.13 50. 47 41.9 42.4 41.2 122.1 123.1 122.5
Lead and zinc.......................................... - 49.60 48. 70 43. 60 40.3 39.9 36.2 122.5 121.9 120.4
47.97 47.04 45.51 46.2 46.5 45.4 104.2 101.5 100.4
Quarrying and nonmetallic_______ ____
Crude-petroleum production------------------ 53.43 53. 35 52.97 40.9 40.9 40.4 130.7 130.4 131.1
Public utilities:
44.10 44.19 44.82 38.5 39.3 39.7 114.8 112.9 113.5
Telephone___ ________________________
Telegraph3_____ . ___________________ 40. 98 41. 31 41.15 44.8 45.4 45.2 91.4 91.0 91.0
Electric light and power________________ 52. 78 52. 27 51.96 41.0 41.6 41.5 129.1 126.0 125.8
Street railways and busses______________ 54. 62 55.35 54.60 47.5 48.6 48.4 111.0 109.9 109.7
Trade:
Wholesale ___________ ____ ___________ 49. 54 48.14 48.06 41.8 41.7 41.4 117.9 114.8 115.5
R eta il2. _________________ __________ 33. 76 33.81 33.64 40.9 41.5 41.3 90.6 89.1 88.8
Food- ------------- ------------------------- 39.42 40.22 40. 20 41.1 42.7 42.3 93.7 92.4 92.1
General merchandise----------------------- 28. 57 28.63 28.22 36.7 37.6 37.5 75.6 74.7 74.2
Apparel_____________ . --------------- 35.26 34.93 34.27 37.2 37.5 37.4 95.6 92.7 92.6
Furniture and housefurnishings 2 _ . . 46.59 44. 52 44.86 43.9 43.5 43.8 108.0 104.5 105.8
Automotive. . . . ------------------------- 49.15 47.97 47.36 46.4 46.1 46.1 107.5 105.8 104.6
Lumber and building materials-------- 43.60 42.93 42.32 43.1 43.0 42.7 102.7 101.3 100.1
27.20 27.15 26.63 43.5 43.8 44.0 62.0 61.4 60.2
Hotels (year-round)4---------- ------ ------------Power laundries___________________________ 30. 45 29.97 30. 37 42.9 43.0 43.4 70.8 69.3 69.8
Cleaning and dyeing------------------- ----------- 36. 36 35. 01 35.58 42.9 42.6 43.2 85.0 83.2 82.6
0)
_________ 63.50 62.61 64.04 (5)
(»)
(s)
(5)
Brokerage- __________________
(;)
(«)
0)
(5)
(s)
0)
Insurance_______________________ _______ 50. 63 49.87 50.76 (»)
1 These figures are based on reports from cooperating establishments covering both full- and part-time
employees who worked or received pay during any part of 1 pay period ending nearest the 15th of Septem­
ber 1946, as follows:
Manufacturing.—32,000 establishments, 7,121,000 production workers.
M ining.—2,600 establishments, 311,000 production workers.
Public utilities.—3,000 establishments, 667,000 employees.
Wholesale trade—9,000 establishments, 240,000 employees.
Retail trade.—28,100 establishments, 720,000 employees.
Hotels (year-round).—900 establishments, 78,000 employees.
Power laundries and cleaning and dyeing.—1,300 establishments, 62,000 production workers.
Brokerage and insurance.—3,400 establishments, 147,000 employees.
As not all reporting firms furnish man-hour data, average hours and average hourly earnings for individual
industries are based on a slightly smaller sample than are weekly earnings. For manufacturing, mining,
power laundries, and cleaning and dyeing industries, the data relate to production workers only. For the
remaining industries the data relate to all employees except high-paid executives and officials. D ata for
the current and immediately preceding months are subject to revision.
2 Revisions have been made as follows in the data for earlier months:
Metal doors, sash, frames, melding, and trim.—December 1945 to $48.19, M ay and June to $45.49 and
$47.08. October 1945 through February 1946 to 43.0, 42.9, 43.9, 41.4, and 41.7 hours; 108.1, 108.5,109.7,
107.3, and 104.6 cents. N ew series beginning March 1946; not comparable with previously published
data. ' N ew data for March through June are 41.8, 42.3, 40.7, and 41.8 hours; 110.1, 114.6, 111.7, and
112.5 cents. Comparable February data are 40.5 horns and 108.5 cents.
Steel barrels, kegs, and drums.—March through June 1946 to $42.47, $45.79, $45.30, and $44.32; 40.3, 41.5,
41.1, and 40.4 hours; M ay and June to 110.1 and 109.8 cents.
Curtains, draperies, and bedspreads.—M ay 1946 to 77.7 cents.
Retail trade.—June 1946 to $32.93.
Furniture and housefurnishings.—June 1946 to $44.33.
8 Excludes messengers, and approximately 6,000 employees of general and divisional headquarters, and
of cable companies.
8 Cash payments only; additional value of board, room , and tips not included.
{ N ot available.


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1044

M ONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

Trend of Factory Earnings, 1939 to September 1946
THE average earnings of factory workers are summarized in the
accompanying table for selected months from January 1939 to Sep­
tember 1946.1 The earnings shown in this table are on a gross basis
(i. e., before deductions for social security, income taxes, bond
purchases, etc.).
Weekly earnings in all manufacturing averaged $45.41 in September
1946—95.8 percent above the average in January 1939, 70.5 percent
above January 1941, and 16.8 percent above October 1942. Weekly
earnings for September 1946 increased 11.1 percent above September
1945. However, average weekly earnings were still below the wartime
peak of $47.50 (in January 1945), as a result of shorter working hours
and shifts of workers from the high-paid war industries to the lowerpaid consumer-goods industries.
Gross hourly earnings in all manufacturing averaged 112.6 cents in
September 1946—78.2 percent above the average in January 1939,
64.9 percent above January 1941, and 26.1 percent above October 1942.
Straight-time average hourly earnings, as shown in columns 7 to 9,
are weighted by man-hours of employment in the major divisions of
manufacturing for January 1941. These earnings are estimated to
exclude premium pay at time and a half for work in excess of 40 hours.
However, the effect of extra pay for work on supplementary shifts and
on holidays is included. For all manufacturing, the straight-time
average in September 1946 was 109.3 cents per hour; this was 70.5
percent higher than in January 1939, 64.6 percent above January 1941,
and 35.4 percent above October 1942.
i Compare Trends in Factory Wages, 1939-43, in M onthly Labor Review, November 1943 (p. 869), espe­
cially table 4 (p. 879). For detailed data regarding weekly earnings, see preceding table.


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1045

TRENDS OF EARNINGS AND HOURS
Earnings of Factory Workers in Selected Months, 1939 to September 1946

Average weekly
earnings

Average hourly
earnings

Estimated straight-time
average hourly earn­
ings i weighted by
January 1941 employ­
ment.

M onth and year
All
manu­
factur­
ing

Dur­
able
goods

N on­
dur­
able
goods

All
manu­
factur­
ing

Dur­
able
goods

N on­
dur­
able
goods

All
manu­
factur­
ing

Dur­
able
goods

N on­
dur­
able
goods

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

$25.33
27.39
30.48

$21. 57
. 01
22. 75

$0. 632
.655
.683

$0. 696
.717
.749

$0. 583
.598
.610

$0. 641
.652
.664

$0. 702
.708
.722

1939: January_______ _____ $23.19
1940: January____ ______ 24. 56
1941: January____
_____ 26.64

22

.688

$0. 575
.589
.601

.668

1942: January_____________
July________________
October_______ . . . .

33.40
36.43
38.89

38.98
42.51
45.31

26. 97
28.94
30.66

.801
.856
.893

.890
.949
.990

.725
.751

.751
.783
.807

.826
.863

.888

.696
.718

1943: January_____ _____
April____ _______
July________________
October_______ _____
D ecem ber... ________

40. 62
42.48
42.76
44. 86
44. 58

46.68
48.67
48.76
51.26
50. 50

32.10
33.58
34.01
35.18
35. 61

.919
.944
.963
.988
.995

1.017
1.040
1.060
1.086
1.093

.768
.790
.806
.824
.832

.819
.833
.850
.863
.873

.905
.916
.939
.950
.962

.726
.742
.753
.768
.775

1944: January... _______ .
April____ ____ ______
July________________
October.. . _____ ____
December___________

45.29
45. 55
45. 43
46. 94
47.44

51. 21
51.67
51.07
53.18
53.68

36.03
36.16
37. 05
37. 97
38.39

1.002

1.099

1.013
1.018
1.031
1.040

1.116
1.129
1.140

1.110

.838
.850
.862
.878
.883

.877
.889
.901
.908
.912

.965
.976
.993
.991
.997

.780
.794
.802
.817
.820

1945: January_____ _____
April_______________
July________________
O c to b e r .____
D ecem ber... . ______

47. 50
47.12
45. 45
40.97
41.21

53. 54
52. 90
50.66
44. 23
44.08

38. 66
38.80
38. 59
37. 76
38. 52

1.046
1.044
1.033
.985
.994

1.144
1.138
1.127
1.063
1.066

.891
.899
.902
.909
.927

.920
.925
.933
.942
.957

1.005
1.007
1.017
1.014
1.028

.827
.836
.842
.863
.880

1946: January____. . . _____
April______ . . . ____
July________________
A ugust2___ ________
September2_________

41.15
42.88
43. 38
44.98
45.41

43.67
45.71
46.24
48.00
48.39

38. 75
40.13
40.46
41.89
42.34

1.004
1.058
1.093
. I ll
1.126

1.070
1.131
1.177
1.186

.941
.988
1.009
1.036
1.049

.970
1.027
1.067
1.078
1.093

1.037

.895
.946
.970
.994
1.008

1

1

1.201

1.102

1.155
1.154
1.171

The method of estimating straight-time average hourly earnings makes no allowance for special rates of
pay for work done on major holidays. Estimates for the months of January, July, September, and N ovem ­
ber, therefore, may not be precisely comparable with those for the other months, in which important holidays
are seldom included in the pay periods for which manufacturing establishments report to the Bureau.
This characteristic of the data does not appear to invalidate the comparability of the figures for January
1941 with those for the following months.
Preliminary.

2


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Federal Reserve Bank of St. Louis

Recent Publications of Labor Interest

December 1946
Cooperative Movement
The competition of cooperatives with other forms of business enterprise.
First
interim report from the Committee on Small Business, House of Repre­
sentatives, pursuant to H. Res. 64. Washington, 1946. 43 pp., chart.
(House report No. 1888, 79th Cong., 2nd sess.; Union calendar No. 550.)
10 cents, Superintendent of Documents, Washington.
The Committee concluded that tax-exempt farmer cooperatives have a slight
tax advantage in the exemption (from Federal income tax) of reserves and of
interest paid by them on capital stock, but that consumers’ cooperatives and
nonexempt farmers’ associations have no advantages not available to all types
of competitive business; that, since the cooperative serves only as an agent for
its members, to whom its income belongs, taxation of its income would “require
a drastic change in the basic principles of our revenue laws” ; that “there is sub­
stantial evidence to show that the cooperative movement operates as a very
successful means of combating monopolistic concentrations and, as such, is a very
healthy addition to the American economy” ; and that “many of the most vocal
opponents of cooperatives are themselves members of cooperatives and their
firms engage as members in cooperative enterprises.”
The principal recommendations of the Committee are that a single Federal
agency be authorized to compile statistics of all types of cooperatives; that the
Bureau of Internal Revenue amend its regulations to require cooperatives to
issue to each patron evidence of his equity; that farmers’ purchasing cooperatives
be restricted to the handling of farm production supplies; that the retention of
refunds be limited to a period of 5 years; and that Congress act to provide a basis
for establishment, operation, and federation of nonexempt associations.
Consumers’ cooperation and free enterprise. By Emory S. Bogardus. {In
Sociology and Social Research, Los Angeles, May-June 1946, pp. 391-398.
60 cents.)
The thesis of this article is that consumers’ cooperatives are genuine expressions
of free enterprise because they develop on the basis of individual initiative and
independent of government, they decentralize control, they free groups from
“oligarchical tendencies,” they react vigorously against the “enslaving practices”
of monopoly, they encourage fair competition, and their goal is the welfare of
all classes.
Cooperatives. {In Building America, New York, April 1946, pp. 194-223, biblio­
graphy, charts, illus. 30 cents.)
The entire April number of this periodical is devoted to cooperatives. Follow­
ing a statement of cooperative principles, it gives a history of cooperative develop­
ment in various countries, including the United States, and describes different
types of associations.
Organization and management of cooperative and mutual housing associations.
Washington, U. S. Bureau of Labor Statistics, 1946. 65 pp. (Bull. No.
858—revision of Bull. No. 608.) 20 cents, Superintendent of Documents,
Washington.
E ditor ’s N o t e .—Correspondence regarding the publications to which reference is made in this list
should be addressed to the respective publishing agencies mentioned. Where data on prices were readily
available, they have been shown with the title entries.

1046


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Federal Reserve Bank of St. Louis

RECENT PUBLICATIONS OF LABOR INTEREST

1047

Memoria y balance general de la Federación Argentina de Cooperativas de Consumo,
ejercicio año 1945. Buenos Aires, 1946. 20 pp.
Financial report of the Argentine Federation of Consumers’ Cooperatives for
1945, with summary data for 1932 and 1936-45.

Education and Training
Counseling techniques in adult education. By Paul E. Klein and Ruth E. Moffitt.
New York, McGraw-Hill Book Co., Inc., 1946. 185 pp., bibliography. $2.
One chapter is on occupational counseling.
Educating for industry: Policies and procedures of a national apprenticeship system.
By William F. Patterson and Marion H. Hedges. New York, Prentice-Hall,
Inc., 1946. 229 pp., bibliography. $2.50.
Points made in this book include management’s stake in apprenticeship as well
as that of labor. Methods of establishing an apprenticeship program are outlined.
Mission and functions of the Retraining and Reemployment Administration. Wash­
ington, U. S. Department of Labor, Retraining and Reemployment Adminis­
tration, 1946. 4 pp. Free.
Work experience in secondary education: A study of part-time school and work pro­
grams. By Harold J. Dillon. New York, National Child Labor Committee,
1946. 96 pp. (Publication No. 394.)
Appraisal of programs in which secondary school pupils were released from
school part time to take paid employment under a scheme developed and super­
vised by the schools.

Employment and Unemployment
Christianity and the economic order, Study No. 8: Employment and unemployment.
New York, Federal Council of the Churches of Christ in America, Department
of Research and Education, 1946. 8 pp. (Information Service, September
28, 1946, part 2.)
Considers various aspects of the problem of maintaining a high level of employ­
ment.
Estimated employment and wages of workers covered by State unemployment insurance
laws, July-December 1945. Washington, Federal Security Agency, Social
Security Administration, Bureau of Employment Security, 1946. 23 pp.,
chart; processed. (Supplement to Employment Security Activities, August
1946.)
Estimates of total employees in manufacturing industries, California, 1948-46.
San Francisco, Department of Industrial Relations, Division of Labor
Statistics and Research, 1946. 8 pp.; mimeographed.
Trends of employment and wages in the covered industries of Pennsylvania, 1940-44Harrisburg, Department of Labor and Industry, Bureau of Employment
and Unemployment Compensation, 1946. 27 pp., charts; mimeographed.
(Statistical information bull. No. 52.)
Data on employment and pay rolls of all employers (nonagricultural) reporting
to the Pennsylvania Bureau of Employment and Unemployment Compensation.
One of the tables shows average total wages per worker, by year and quarter,
1940-44.

Handicapped Workers
E f f ic ie n c y o f th e i m p a i r e d w o r k e r : A r e v ie w o f in f o r m a tio n o n th e e x p e r ie n c e o f
e m p lo y e r s o f h a n d ic a p p e d w o r k e r s .
Washington, Federal Security Agency,

Office of Vocational Rehabilitation, 1946.

12 pp., bibliography.

Free.

H e a lth a n d e m p lo y m e n t: A s t u d y o f p u b lic a s s is ta n c e c lie n ts [o f th e D e p a r tm e n t o f
W e lfa r e , N e w Y o r k C ity ] a tte n d in g o u t- p a tie n t D e p a r tm e n t c lin ic s .
By Myra

E. Shimberg. New York, National Council on Rehabilitation, 1946. 109
pp., charts, forms.
Survey of employability, looking to a more selective program of diagnosis,
rehabilitation, and placement. Preponderance of middle-aged and older indi­
viduals, and cardio-vascular conditions and arthritis as the major physical
disabilities which led to unemployment, are significant findings.

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Federal Reserve Bank of St. Louis

1048

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

P la c in g th e h a n d ic a p p e d — a p o s itiv e , in d i v i d u a l, a n d s p e c ific a p p r o a c h .
Hanman. ( I n Industrial Medicine, Chicago, October 1946, pp.

By Bert
597-604,

bibliography, forms. 75 cents.)
The author was identified with the wartime development of selective placement
of workers in industry. In this article he presents an advanced personnel tech­
nique for such placement of the handicapped and the results of its operation.
He also compares the performance of a handicapped group with that of an ablebodied group.
Substantially the same article was published in National Safety News, October
1946 (pp. 103, 106, et seq.).
O p p o r tu n itie s f o r th e d e a f a n d th e h a r d o f h e a r in g th ro u g h v o c a tio n a l r e h a b ilita tio n .

Washington, Federal Security Agency, Office of Vocational Rehabilitation,
[1946], 12 pp. Free.
R e a d ju s tm e n t to c iv ilia n jo b s : R e p o r t o n n e u r o p s y c h ia tr ic p r o b le m s r e la tin g to
e m p lo y m e n t i n i n d u s t r y .
New York, National Association of Manufacturers,
1945.

22 p p .

Prepared by the NAM Medical Advisory Committee’s subcommittee on
psychiatry.
S e c o n d a n n u a l r e p o r t, O ffice o f V o c a tio n a l R e h a b ilita tio n S e r v ic e f o r th e B lin d ,
u n d e r th e C o m m is s io n f o r th e B l i n d a n d th e P r e v e n tio n o f B lin d n e s s , [O regon ],
f o r th e f is c a l y e a r J u l y 1 , 1 9 j 5 , to J u n e SO, 1 9 f 6 .
By Clifford A. Stocker,

Director.

[Portland?], 1946.

26 pp.; mimeographed.

Housing
Chicago, National Association of Housing
Officials, 1946. 16 pp., charts. $1.
An analysis of urban redevelopment laws and a bibliography of housing litera­
ture are included.
H o u s in g p r a c tic e s — w a r a n d p r e w a r : R e v ie w o f d e s ig n a n d c o n s tr u c tio n .
Washing­
ton, U. S. National Housing Agency, 1946. 58 pp. (National housing bull.
No. 5.) 15 cents, Superintendent of Documents, Washington.
Covers developments in materials and equipment, changes in methods of
construction, and related subjects.
P u b l i c h o u s in g d e s ig n : A r e v ie w o f e x p e r ie n c e i n lo w - r e n t h o u s in g .
Washington,
U. S. National Housing Agency, Federal Public Housing Authority, 1946.
294 pp., plans, diagrams, illus. $1.25, Superintendent of Documents,
Washington.
S u m m a r y o f th e 19J+5 h o u s in g y e a r .

P r o d u c tio n i n b u ild in g a n d c iv il e n g in e e r in g : S u p p l e m e n t N o . 1, d e a lin g w ith th e
a n a l y s i s o f m a n -h o u r s a n d m a c h in e -h o u r s e x p e n d e d i n th e a d v a n c e p r e p a r a t i o n
o f h o u s in g s ite s a n d t e m p o r a r y h o u s in g s ite s [ in G r e a t B r i t a i n ] ,
London,

Ministry of Works, 1946.
London.

8 pp., pasters.

9d. net, H. M. Stationery Office,

By Francis Violich. Washington, Pan
American Union, Division of Labor and Social Information, 1946. 13 pp.;
mimeographed. (Housing and Planning, No. 3, October 1946.)

V e n e z u e la a tta c k s th e h o u s in g p r o b le m .

Income
By Horst Mendershausen. New York, National Bureau of Economic Research, Inc., 1946.
168 pp., charts. (Conference on research in income and wealth, Studies in
income and wealth, Vol. VII.) $2.50.
A study of changes from 1929 to 1933, based largely on the Financial Survey
of Urban Housing, a U. S. Civil Works Administration project sponsored by the
U. S; Bureau of Foreign and Domestic Commerce. An appendix gives cross­
classification tables of 1929 and 1933 incomes for identical samples of families in
each of 33 cities, showing changes in family income, by income levels. The
author concludes that inequalities within the lower income group and between
the lower and the upper income groups increased, while inequalities within the
upper income group declined. Various inferences as to the significance of such
shifts in the distribution of income are drawn in the preface.
N a t i o n a l in c o m e a n d e x p e n d itu r e o f th e U n ite d K i n g d o m , 1 9 8 8 - 4 5 .
London, H. M.
Stationery Office, 1946. 50 pp. (Cmd. 6784.) 9d. net.
C h a n g e s i n in c o m e d i s t r i b u ti o n d u r in g th e g r e a t d e p r e s s io n .


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Federal Reserve Bank of St. Louis

1049

RECENT PUBLICATIONS OF LABOR INTEREST

Industrial Accidents and Accident Prevention
By R. W. Mallick. (I n National Safety News,
Chicago, July 1946, pp. 24, 25, et seq., illus. 60 cents.)
Emphasizes the importance of adequate space provision in planning buildings
and lay-out of operations, among other accident-prevention measures which lie
in the field of management.
G r o u n d s a f e ty .
By Frederick L. Anderson. ( I n Safety Engineering, New York,
September 1946, pp. 14-16, 28-30, illus. 25 cents.)
Description of the Army Air Forces’ program for ground safety of civilian
and military personnel at various installations. This program has resulted in
considerable reduction in accidents and fires.
A n a tio n a l d i r e c to r y o f s a f e ty f ilm s , 1 9 4 6 —4 7 e d itio n .
Chicago, National Safety
Council, Inc., [1946?]. 48 pp., illus. 25 cents.
Subjects of films listed (with annotations) include industrial, commercial vehicle,
public, and home and farm safety, prevention of industrial and other fires, and
rehabilitation and training of the handicapped.
Are y o u p l a n n i n g a c c id e n ts ?

S a f e u s e o f s c a ffo ld s .
S a f e o p e r a tio n o f p o w e r s h e a r s .
S a f e o p e r a tio n o f f r e ig h t
e le v a to r s .
Washington, U. S. Department of Labor, Division of Labor

Standards, 1946. (Industrial safety charts, series R -T.)
Superintendent of Documents, Washington.

5 cents each,

S o m e d a ta a b o u t f ir e - fig h tin g f a c i l i t i e s a t m e ta l m in e s i n th e U n ite d S ta te s .

Kennedy.

By D. O.

S a f e sto r a g e , h a n d lin g , a n d u se o f c o m m e r c ia l e x p lo s iv e s i n m e ta l m in e s , n o n m e ta llic
m in e s , a n d q u a r r ie s . By D. Harrington and J. H. East, Jr.
S o m e s a f e ty p r a c tic e s f o r m e ta l m in e s , n o n m e ta l m in e s {o th e r th a n c o a l) , m ills ,
m e ta llu r g ic a l p la n ts , a n d q u a r r ie s .

Washington, U. S. Department of the Interior, Bureau of Mines, 1946.
9, 30, 56 pp.; mimeographed. (Information circulars Nos. 7374, 7380,
7387.) Free.
A m e r i c a n w a r s ta n d a r d s a f e ty c o d e f o r th e i n d u s t r i a l u s e o f X - r a y s , a p p r o v e d A p r i l 1 5 ,
1 9 f 6 . New York, American Standards Association, 1946. 54 pp. (Z54.1—

1946.) $1.50.
Calls attention to the many elements of safety which must be considered in
the design, installation, maintenance, and operation of X-ray equipment, and
lists certain minimum precautions for the safety of workers, including permissible
exposure. Also presents procedures for proper control and examination of workers.

Industrial Hygiene
A d is e a s e r e s u ltin g f r o m th e u s e o f p n e u m a tic to o ls. By Frederick
{ I n Occupational Medicine, Chicago, July 1946, pp. 55-66,

M. Peters, M.D.
illus. 75 cents.)
Medical report on a group of workers who operated a high-speed pneumatic
tool in “ burring,” while employed in the production of motors for B-29 bombers.
Incidence of disease, symptoms, and results of treatment are shown in the report.
Against this type of industrial hazard, the author recommends i eduction in vibra­
tion to a prescribed standard, limitation of length of usejof tool, and utilization of
mechanical devices for holding it.
L o b a r p n e u m o n ia i n th e s h ip b u ild in g i n d u s t r y .
By Charles M. Grossman. { I n
Journal of Industrial Hygiene and Toxicology, Baltimore, September 1946,
pp. 233-236, bibliography. Also reprinted.)
Review of all lobar pneumonia cases among employees of the Kaiser Vancouver
Ship yards admitted to the Medical Service of Northern Permanente Foundation
Hospital in the year ended September 1, 1945. The annual frequency rate was
23.6 percent per 1,000, contrasted with 4.8 percent for adult members of the
employees’ families. Workers living in the dormitory had more than double the
rate of those living with families. Occupationally, frequency was highest among
painters and chippers (42.5 and 32.4 percent, respectively).
O c c u p a tio n a l d e r m a to s e s .
By J. G. Downing, M.D., and S. J. Messina, M.D.
{ I n New England Journal of Medicine, Boston, September 19, 1946, pp.
416-423; September 26, pp. 472-480, bibliographies. 25 cents each.)
Summarizes recent medical experience in this field*


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Federal Reserve Bank of St. Louis

1050

M ONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

T h e s a f e u s e o f s o lv e n ts f o r s y n th e tic r u b b e r s , By Leonard Greenburg, M.D., and
Samuel Moskowitz. ( I n Monthly Review of Division of Industrial Hygiene

& Safety Standards, New York State Department of Labor, New York, May
15 and June 1, 1946. 8 pp., bibliography, diagrams, illus.)
T h e t o x i c i t y a n d 'p o te n tia l d a n g e r s o f m e th y l b r o m id e w ith s p e c i a l r e fe r e n c e to i t s u s e
i n th e c h e m ic a l i n d u s t r y , i n f ir e e x tin g u is h e r s , a n d i n f u m i g a t i o n .
By W. F.

Von _ Oettingen. Washington, Federal Security Agency, Public Health
Service, 1946. 41 pp., bibliography, diagrams. (National Institute of
Health Bull. No. 185.) 15 cents, Superintendent of Documents, Washington.
Industrial hazards are pointed out and their prevention discussed.

Industrial Relations
T h e a d m i n i s t r a t i o n , u n d e r c o lle c tiv e b a r g a in in g , o f w e lf a r e p l a n s b a s e d o n e m p lo y e r
c o n tr ib u tio n s .
By David J. Farber. Washington, U. S. National Wage

Stabilization Board, Case Analysis and Program Appraisal Division, Re­
search and Statistics Branch, 1946. 44 pp.; mimeographed. Free.
A r b i t r a t i o n o f la b o r d i s p u t e s .
By Clarence M. Updegraff and Whitley P. McCoy.
Chicago, Commerce Clearing House, Inc., 1946. 291 pp. $3.75.
Includes specimen decisions and awards, specimen contract clauses covering
arbitration, and citations to State arbitration statutes. Footnotes give references
to court decisions covering topics discussed, and there is a detailed subject index.
C o lle c tiv e b a r g a in in g a n d th e s t r i k e l i m i t a t i o n i s s u e , 1 9 8 3 - 4 6 : A r e v ie w o f n a tio n a l
la b o r r e la tio n s p o l i c y a n d a b r ie f a n a l y s i s o f p r o p o s e d la b o r r e la tio n s le g is la tio n .

By Gustav Peck. Washington, U. S. Library of Congress, Legislative
Reference Service, 1946. 39 pp., paster; mimeographed. (Public affairs
bull. No. 39.) Available (free) only to libraries.
L a b o r a d j u s t m e n t m a c h in e r y .
By Herbert R. Northrup. New York and Wash­
ington, American Enterprise Association, 1946. 51 pp. (National eco­
nomic problems, No. 417.) 50 cents.
In this brief history and analysis of existing and proposed Federal, State, and
municipal machinery for the adjustment of labor-management disputes, the
author deals primarily with mediation, conciliation, and arbitration procedures.
He reviews the organization and operations of railway adjustment machinery, the
United States Conciliation Service, and special agencies established during World
War I and World War II, and summarizes labor legislation proposed during 1945.
W o r k s to p p a g e s c a u s e d b y la b o r - m a n a g e m e n t d i s p u t e s i n 1 9 4 5 .
Washington, U. S.
Bureau of Labor Statistics, 1946. 41 pp., charts. (Bull. No. 878; reprinted
from Monthly Labor Review, May 1946, with additional data.) 10 cents,
Superintendent of Documents, Washington.
T V A la b o r r e la tio n s : A la b o r a to r y i n d e m o c r a tic h u m a n r e la tio n s .
By Max M.
Kampelman. ( I n Minnesota Law Review, Minneapolis, April 1946, pp.
332-371, bibliography. $1.)
Describes the purposes, formation, and activities of the Tennessee Valley
Authority and the gradual formulation of its labor policy. Subjects covered
include recruitment of labor, relations with unions, methods of fixing wages, ad­
justment of grievances, training of workers, apprenticeship, retirement system,
and accident-prevention work.
L e s c o m m is s io n s p a r i t a i r e s d ’i n d u s t r i e s e n B e lg iq u e .
By Albert Delpérée. ( I n
Revue du Travail, Ministère du Travail et de la Prévoyance Sociale de
Belgique, Brussels, May-June 1946, pp. 408-425.)
History of development of joint industrial councils in Belgium, their member­
ship, powers, and work, 1918-40; their disappearance with the dissolution of free
trade unions during the German occupation; and their revival, after the country’s
liberation, under the decree-laws of April 14 and June 9, 1945, and the decree of
October 15, 1945.


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Federal Reserve Bank of St. Louis

RECENT PUBLICATIONS OF LABOR INTEREST

1051

International Labor Conditions
Montreal, Inter­
national Labor Office, 1946. Distributed in United States by Washington
Branch of I. L. O.
Report I, D ir e c to r 's r e p o r t. 113 pp. 60 cents.
Report II, C o n s titu tio n a l q u e s tio n s : Part 1, R e p o r ts o f th e C o n fe re n c e d e le g a tio n
o n c o n s titu tio n a l q u e s tio n s .
197 pp. $1. Part 2, D r a f t a g r e e m e n t b e tw e e n
th e U n ite d N a t i o n s a n d th e I n t e r n a t i o n a l L a b o r O r g a n iz a tio n .
12 pp.
10 cents.
Report III, P r o te c tio n o f c h ild r e n a n d y o u n g w o r k e r s . 257 pp. $1.25.
Report IV, P r o p o s e d i n te r n a tio n a l la b o r o b lig a tio n s i n r e s p e c t o f n o n - s e lf g o v e r n in g te r r ito r ie s : Part 1, P r e l i m i n a r y r e p o r t.
190 pp. $1. Part 2,
F u r th e r r e p o r t. 53 pp. 25 cents.
Report V (with supplement and appendix), R e p o r ts o n th e a p p l i c a t i o n o f

I n t e r n a t i o n a l L a b o r C o n fe r e n c e , 2 9 th s e s s io n , M o n tr e a l, 1 9 4 6 .

C o n v e n tio n s (a r tic le 2 2 o f th e c o n s titu tio n [o f th e I n t e r n a t i o n a l L a b o r O r g a n i­
z a tio n } ) .
121, 44, 10 pp. $2.

The reports listed were prepared for submission to the Conference and deal
with the five items on its agenda.

(

Labor Legislation General

)

A n n u a l d ig e s t o f S ta te a n d F e d e r a l la b o r le g is la tio n e n a c te d A u g u s t 1, 1 9 4 5 , to
A u g u s t 1, 1 9 4 6 .
Washington, U. S. Department of Labor, Division of Labor

Standards, 1946. 32 pp.
Documents, Washington.

(Bull. No. 84.)

15 cents, Superintendent of

By Lawrence H. Chamberlain. New
York, Columbia University Press, 1946. 478 pp., bibliography. (Studies
in history, economics, and public law, No. 523.) $5.
One chapter deals with labor legislation from 1900 to 1938.
L a b o r la w s o f th e S t a t e o f O k la h o m a , 1 9 4 6 e d itio n .
Oklahoma City, Department of
Labor, 1946. 137 pp.
C u r r e n t tr e n d s i n la b o r la w i n V i r g i n ia .
By John C. Parker, Jr. (I n Virginia
Law Review, Charlottesville, August 1946, pp. 1050-1063. $1.)
L a b o r le g is la tio n i n C a n a d a i n 1 9 4 5 .
Ottawa, Department of Labor, 1946. 121
pp. 25 cents, Edmond Cloutier, Ottawa.
Labor legislation enacted in 1946 by the Dominion Parliament, and recent
regulations under Dominion and Provincial legislation, were summarized in the
September 1946 Labor Gazette of the Department of Labor.
T h e P r e s i d e n t, C o n g r e s s , a n d le g is la tio n .

Labor Organizations and Their Activities
R e p o r t o f th e E x e c u tiv e C o u n c il o f th e A m e r ic a n F e d e r a tio n o f L a b o r to th e s ix ty - f if th
c o n v e n tio n , C h ic a g o , III., O c to b e r 7 , 1 9 4 6 .
Washington, 1946. 220 pp.

Presents statistics on AFL membership, finances, and fraternal benefits, and
discusses national and international developments of interest and concern to labor.
L a b o r u n io n s a n d m u n i c i p a l e m p lo y e e la w .
By Charles S. Rhyne. Washington,
National Institute of Municipal Law Officers, 1946. 583 pp. $10.
Compilation of court decisions and orders, opinions of city attorneys and State
attorneys-general, and other material on relations between municipalities and
labor unions with respect to union membership of municipal employees.
L e s v u e s é c o n o m iq u e s _ a c tu e lle s d u s y n d ic a lis m e f r a n ç a i s .
By Robert Bothereau.
( I n La Revue Économique et Sociale, Paris, August-September 1946, pp.
5-14.)
Following a short review of the French General Confederation of Labor s
programs from 1914 to the outbreak of World War II, the article gives a brief sum­
mary of the present-day demands of the Confederation for works committees
( c o m ité s d ’e n tr e p r is e ) in the various enterprises of the national economy, for a
Superior Economic Council to advise the Government, etc.


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Federal Reserve Bank of St. Louis

1052

MONTHLY LABOR REVIEW— DECEMBER 1 9 4 6

By H. Samuels. London, Stevens & Sons, Ltd., 1946.
96 pp. 2d ed. 6s.
Short textbook on British trade-union law as it stands after the repeal of the
1927 Trade Disputes and Trade Unions Act. Deals with union contracts,
criminal conspiracy and intimidation, legality of strikes and picketing, property
and liabilities of unions, etc.
T h e la w o f tr a d e u n io n s .

Medical Care
M e d ic a l c a r e in s u r a n c e : A

s o c ia l in s u r a n c e p r o g r a m f o r p e r s o n a l h e a lth s e r v ic e s .

Report from Bureau of Research and Statistics, Social Security Board, to
Committee on Education and Labor, U. S. Senate. Washington, 1946.
185 pp. (Senate committee print No. 5, 79th Cong., 2d sess.) Limited
free distribution by Bureau of Research and Statistics, Social Security
Board, Federal Security Agency, Washington.
Comprehensive report covering the objectives, scope, and estimated cost of a
coordinated national social-insurance system of medical care, and analyzing such
phases as coverage, financing, administration, operation, benefits, and professional
services. A preview is given of the system in operation, with respect to various
interested groups. Alternate plans are suggested and practical experience is
summarized.
N a t i o n a l h e a lth p r o g r a m .
Hearings, April-July 1946, before Committee on
Education and Labor, U. S. Senate, 79th Congress, 2d session, on S. 1606,
a bill to provide for a national health program. Washington, U. S. Govern­
ment Printing Office, 1946. 5 parts, 3086 pp. $1 each, except part 3, $1.25.
F r e e m e d ic a l c a re .
Compiled by Clarence A. Peters. New York, H. W. Wilson
Co., 1946. 378 pp. (Reference shelf, Vol. 19, No. 3.) $1.25.
Debate handbook on adequate medical care for the Nation, consisting of
quoted material, briefs, and an extensive bibliography.

Occupations
A

b ib lio g r a p h y o f o c c u p a tio n a l a n d e d u c a tio n a l m a te r ia ls u s e d i n th e E d u c a tio n a l
S e r v ic e s c o u n s e lin g p r o g r a m .
Washington, U. S. Bureau of Naval Personnel,

Educational Services Section, [1946?]. 27 pp.; processed.
o u tlo o k in f o r m a tio n .
Washington, U. S. Department of Labor,
Retraining and Reemployment Administration, 1946. 6 pp. Free.
List of occupational outlook materials issued by the Federal Government.
G e t t h e jo b !
By Willard Abraham. Chicago, Science Research Associates,
1946. 198 pp., chart.
Suggestions on how to choose, get, and advance on a job, and related information.
H o w to g et th e j o b y o u f i t.
By Ernst F. Curtz. New York, Franklin Watts, Inc.,
1946. 64 pp., diagrams. $1.
O p p o r tu n i t i e s i n r a d io .
By Jo Ranson and Richard Pack. New York, Voca­
tional Guidance Manuals, Inc., 1946. 104 pp., bibliography.
Occupational fields covered by other volumes in this series include acting,
architecture, free-lance writing, journalism, and public relations.
O c c u p a tio n a l

Old-Age Adjustment and Retirement
By Clare de Gruchy. San Francisco, Old Age Counselling
Center, 1946. 143 pp., illus. $2.75.
Presentation of case histories and projects illustrating the application and
effectiveness of the principles and procedures of the Old Age Counselling Center,
of which the author is the director.
C r e a tiv e o ld a g e .


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Federal Reserve Bank of St. Louis

RECENT PUBLICATIONS OF LABOR INTEREST

1053

New York, Bankers Trust Co., 1946. 59 pp.
Tabular summary of provisions of individual company pension plans as to
eligibility, employee contributions, benefits, methods of funding, etc.
R a i l r o a d R e tir e m e n t B o a r d o p e r a tio n s , 1 9 4 5 - 4 6 .
( I n Monthly Review U S
Railroad Retirement Board, Chicago, August 1946, pp. 130-156 map
charts.)
’
Includes data, for 1945-46 and certain earlier periods, on operation of the
respective systems of unemployment insurance, employment service, and retire­
ment, and on wage and service records, and selected current statistics of the
Board’s operations in June 1946.
1 8 8 r e tir e m e n t p l a n s , 1 9 4 4 ~ 4 6 .

T r u s t f u n d s o f th e F e d e r a l R e s e r v e a n d T e n n e s s e e V a l l e y A u t h o r i t y r e tir e m e n t
s y s te m s .
( I n Social Security Bulletin, Federal Security Agency Social

Security Board, Washington, July 1946, pp. 49-54. 15 cents, Superintendent
of Documents, Washington.)
Gives information on income and types of investments for 1935, 1940, and
1945. Both employers and employees contribute to the funds.

Population
P o p u l a t i o n — in t e r n a l m ig r a tio n , 1 9 3 5 to 1 9 4 0 : A g e o f m ig r a n ts .
C o lo r a n d se x o f
m ig r a n ts .
E c o n o m ic c h a r a c te r is tic s o f m ig r a n ts .
S o c ia l c h a r a c te r is tic s o f
m ig r a n ts .
Washington, U. S. Department of Commerce, Bureau of the

Census, 1943 (Color and sex of migrants) and 1946. 382, 490, 223, 270 pp.
(Sixteenth census of the United States, 1940.) $1.25, $2.25, 60 cents, $1,
respectively, Superintendent of Documents, Washington.
E c o n o m ic d e m o g r a p h y o f e a s te r n a n d s o u th e r n E u r o p e .
By Wilbert E. Moore.
Geneva, League of Nations, 1945. 299 pp., bibliography, maps, charts. $3,
Columbia University Press, New York.
Prepared for League of Nations by Office of Population Research, Princeton
University, in execution of a program drawn up before the war by a committee
appointed by the Council of the League to study, in their economic, financial, and
social settings, problems arising from rapidly increasing populations. Abundant
prewar statistical data are presented and discussed.
E u r o p e a n p o p u l a t i o n tr a n s f e r s , 1 9 3 9 - 4 5 .
By Joseph B. Schechtman. New York,
Oxford University Press, 1946. 532 pp., bibliography, map. $5.
Factual account of the organized removal of minority groups from their coun­
tries of residence during World War II, and their subsequent resettlement. The
author suggests population transfers as a solution of the problems of minorities
for which no other satisfactory solution can be found.
V ie i l l i s s e m e n t d e la p o p u l a t i o n , r e tr a ite s , et im m i g r a t i o n .
Bv Paul Vincent. ( I n
Population, revue trimestrielle de l’Institut National d’Etudes Démographi­
ques, Paris, April-June 1946, pp. 213-244., charts.)
Survey of the present and possible future age structure of the French population
and its relation to retirement in France and certain other countries. Includes an
examination of the advantages of immigration as a compensation for decline of the
population in certain age groups and a help in reconstructing the war-damaged
French economy and regaining prewar living standards.
T h e p r o b le m o f I t a l y — a n e c o n o m ic s u r v e y .
By Ivor Thomas. London, George
Routledge & Sons, Ltd., 1946. 96 pp. 5s.
Brief summary of Italy’s overpopulation in relation to her resources, with sug­
gestions for building a prosperous Italy by relieving'the pressure of population
and developing resources and industry. Contains 30 statistical tables, illustrating
and forcasting the demographic problem and showing the occupational distribu­
tion of the population.
F o lk m a n g d e n

in o m

a d m in is tr a te

om rdden ,

[ S w e d e n ],

den

31

decem ber

1945.

Stockholm, Statistiska Centralbyrân, 1946. 46 pp.
One of the statistical tables in this report on the population of Sweden at the
end of December 1945 shows migration to, from, and within the country. A
translation of the table of contents and a brief résumé in French are provided.


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Federal Reserve Bank of St. Louis

1054

MONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

Price Control
p r ic e r e g u la tio n .
Washington, U. S. Bureau of Labor
Statistics, 1946. 57 pp., bibliography. (Bull. No. 879.) 15 cents, Super­
intendent of Documents, Washington.
R e fle c tio n s o n p r ic e c o n tr o l.
By John Kenneth Galbraith. (I n Quarterly Journal
of Economics, Cambridge, Mass., August 1946, pp. 475-489. $1.25.)
Discusses the causes of the greater degree of efficiency of emergency price
controls than economists generally had expected.
T h e g e n e r a l m a x im u m

Recreation
By Earl L. Ferris and Floyd R. Eastwood. Lafay­
ette, Ind., Purdue University, 1945. 48 pp., bibliography, illus.
Summary of data furnished by 61 companies employing a total of 248,055
workers.
R e c r e a tio n f o r i n d u s t r i a l w o r k e r s .
New York, National Recreation Association,
1945. 48 pp., bibliography, charts. Rev. ed. 50 cents.
Simple guide for plant and related activities.
I n d u s t r i a l r e c r e a tio n f a c i l i t i e s .

Veterans’ Affairs
T w e lf th a n n u a l n a tio n a l c o n fe re n c e o f v e te r a n s ’ e m p lo y m e n t r e p r e s e n ta tiv e s , S t. L o u is ,
M o ., M a y 1 1 - 1 5 , 1 9 4 6 . Washington, U. S. Department of Labor, Employ­

ment Service, Veterans’ Employment Service, 1946. 310 pp.; processed.
Free.
V e te r a n s ’ r ig h ts u n d e r u d o n a g r e e m e n ts . Washington, U. S. Bureau of Labor
Statistics, October 1946. 12 pp.; mimeographed. Free.
W a r v e te r a n s i n c iv il l if e .
By Kendrick Lee. Washington, Editorial Research
Reports, 1205-19th Street NW., 1946. 14 pp. (Vol. II, 1946, No. 3.) $1.
Deals with special problems that the war veterans have in readjusting to civilian
life. Attention is directed to lack of housing and educational facilities.
O p p o r tu n i t y u n l i m i t e d : A g u id e f o r v e te r a n s in te r e s te d i n th e c o n s tr u c tio n i n d u s t r y

By Van Rensselaer Sill. Issued by Committee on Opportunities for Veterans
in the Construction Industry. Washington, E. Lawrence Chandler (secretary
to committee), 1026-17th Street NW., 1946. 55 pp. 10 cents.
O n -th e -jo b t r a i n i n g f o r v e te r a n s i n r e t a il s e r v ic e tr a d e s .
Prepared by Chicago
Retail Merchants Association. Washington, American Retail Federation,
1946. 79 pp.

Wages and Hours of Labor
Washington, U. S.
Bureau of Labor Statistics, 1946. 18 pp. (Bull. No. 883; reprinted from
Monthly Labor Review, July and August 1946.) 10 cents, Superintendent
of Documents, Washington.
F a c to r s a ffe c tin g e a r n in g s i n c h e m is tr y a n d c h e m ic a l e n g in e e r in g .
Washington,
U. S. Bureau of Labor Statistics, 1946. 22 pp., charts. (Bull. No. 881;
reprinted from Monthly Labor Review, June 1946, with additional data.)
10 cents, Superintendent of Documents, Washington.
W a g e a n d h o u r m a n u a l — la w s , r u lin g s , i n te r p r e ta tio n s i n w a g e -h o u r r e g u la tio n : A
W a r t i m e w a g e s , in c o m e , a n d w a g e r e g u la tio n i n a g r ic u ltu r e .

c o m p le te h a n d b o o k a n d g u id e to F e d e r a l r e g u la tio n o f w a g e s , h o u r s , a n d c h ild
la b o r , 1 9 4 6 e d i t i o n ( c o v e r in g p e r io d b e tw e e n N o v e m b e r 1 , 1 9 4 5 , a n d J u l y 1 , 1 9 4 6 ) .

The

Washington, Bureau of National Affairs, 1946. 408 pp. $4. Supplement to
1944-45 edition, cumulated to November 1, 1945 ($10).
w a g e -c o s t-p r ic e d ile m m a .
{ I n Conference Board Business Record, National
Industrial Conference Board, Inc., New York, September 1946, pp. 343-366.)


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Federal Reserve Bank of St. Louis

RECENT PUBLICATIONS OF LABOR INTEREST

1055

By Bichard A. Lester. ( I n Review
of Economic Statistics, Cambridge, Mass., August 1946, pp. 152-159.)
The author states that, contrary to conventional wage theory, one of the most
significant facts about wage rates is their variation for the same job in the same
labor market. The evidence presented is largely from Bureau of Labor Statistics
occupational wage-rate data. In his analysis of the theoretical implications, the
author suggests various causes of wage diversity and states that “new and broader
approaches are needed to develop adequate explanations of wage rates actually
being paid.
W a g e d i v e r s i t y a n d i t s th e o r e tic a l i m p l i c a t i o n s .

London, Ministry of
Labour and National Service, 1946. 133 pp. 2s. net, H. M. Stationery
Office, London.
Minimum time rates in Great Britain, fixed by collective agreements, joint
industrial councils, or statutory orders under various wage acts are set forth in
tabular form for occupations and industries within principal industry groups in
manufacturing, agriculture, mining and quarrying, building, transport, public
utilities, distributive trades, national and local governments, and miscellaneous
industries and services. Industries covered by the Wages Councils Act are tabu­
lated separately. Hours of labor in a full week, generally exclusive of mealtimes
are given. Other provisions listed include the time-rate basis for piece work’
guaranteed weekly wages, arrangements for shift work, and other special features!
T im e r a te s o f w a g e s a n d h o u r s o f la b o u r , A u g u s t 1 , 1 9 4 6 .

T w e n ty - s e v e n th

report

o f th e

D e p a r tm e n t o f L a b o r ,

P r o v in c e

o f O n ta r io

1946

Toronto, 1946. 63 pp.
’
’
The report of the Minimum Wage Branch shows the average number of hours
worked (normally) per week by male and female employees, and hourly or weekly
wage rates for women and for girls, by industry.

Women in Industry
W o m e n i n f a c to r ie s , O c to b e r 1 9 8 9 —J u n e 1 9 4 6 : E s t i m a te d n u m b e r o f w o m e n p r o ­
d u c tio n w o r k e r s e m p lo y e d i n m a n u f a c tu r in g in d u s t r i e s .
Washington U. S.

Bureau of Labor Statistics, 1946.

16 pp.; mimeographed. Free.
By Anna M. Baetjer. Philadel­
phia, W. B. Saunders Co., 1946. 344 pp., bibliographies, charts. $4.
Presents basic information on proper employment and work environment for
women, with relation to their physiological processes. Originating in the warproduction needs of Army plants, and prepared in the Army Industrial Hygiene
Laboratory, the volume reviews and evaluates important published and unpub­
lished studies bearing on women in industry and prescribes correct industrial
practice. Section I is devoted to an analysis of the physical ability of women to
work, suitable types and arrangements of work, and personnel and plant policies
in employment of women. Succeeding sections deal, respectively, with sickness
absenteeism, accidental injuries, occupational diseases, gynecological and obstetri­
cal problems associated with employment, and mortality and fertility in relation
to occupation.
W o m e n i n i n d u s t r y , th e ir h e a lth a n d e ffic ie n c y .

W^omen w o r k e r s i n te n w a r p r o d u c tio n a r e a s a n d th e ir p o s tw a r e m p lo y m e n t p la n s .

Washington, U. S. Department of Labor, Women’s Bureau, 1946. 56 pp!
(Bull. No. 209.) 15 cents, Superintendent of Documents, Washington.
A n a l y s i s o f S ta te m in im u m - w a g e o r d e r s (e ffe c tiv e d a te s M a y 6 , 1 9 4 6 - O c to b e r 2 3
1 9 4 6 ).
Washington, U. S. Department of Labor, Women’s Bureau, 1946’

11 pp.; mimeographed.

(Supplement No. 3 to Bull. No. 191.)

Free.

C o s t o f l i v i n g f o r w o m e n w o r k e r s a t a d e q u a te m a in te n a n c e a n d p r o te c tio n o f h e a lth ,
N e w Y o r k S ta te , 1 9 4 5 .
New York, State Department of Labor, Division

of Industrial Relations, Women in Industry, and Minimum Wage, 1946.
30 pp., map, chart; processed.
W o m e n a n d w o r k . By Gertrude Williams. London, Nicholson & Watson, 1945.
128 pp., bibliography, charts, illus. 5s. net.
This popular presentation gives a historical account of the development of
women s employment outside the home in Great Britain, and discusses economic
and social factors affecting women’s work and also differences between the earnings
and union membership of women and those of men.


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Federal Reserve Bank of St. Louis

1056

MONTHLY LABOR REVIEW----DECEMBER 1 9 4 6

General Reports
{I n Fortune, New York, November 1946, pp. 121-126,
et seq. $1.)
The article listed is one in a symposium on “Labor in U. S. industry” comprising
this issue of Fortune. Other articles include: Anatomy of the labor force; Labor
drives South (dealing with AFL and CIO organizational drives in the South) ;
United Steelworkers of America; The Garment Workers (International Ladies’
Garment Workers’ Union).
T h e la b o r s it u a t i o n .

A n n u a l r e p o r t o f th e D e p a r tm e n t o f L a b o r a n d I n d u s t r i a l R e la tio n s , T e r r i to r y o f
H a w a i i , J u l y 1 , 1 9 4 5 , to J u n e 8 0 , 1 9 4 6 . Honolulu, 1946. 51 pp., charts.

Contains the annual reports of the different branches of the Department,
including the Bureaus of Workmen’s Compensation, Unemployment Compensa­
tion, Labor Law Enforcement (Wage and Hour and Child Labor Divisions), and
Research and Statistics, and the Territorial Apprenticeship Council.
[ M e m o r a n d u m o n c o st o f liv in g , f o o d d i s t r i b u ti o n a n d s u p p l y , w a g e s , h o u s in g , la b o r
o r g a n iz a tio n s , a n d s t r ik e s i n se v e n L a t i n A m e r i c a n c o u n tr ie s .] By Ernesto

Galarza, Washington, Pan American Union, Division of Labor and Social
Information, 1946. 51 pp.; mimeographed.
B u l l e t i n d e l ’I n s t i t u t d e R e c h e rc h e s É c o n o m iq u e s et S o c ia le s , X I I e a n n é e , N o . 1.

Louvain, Université Catholique de Louvain, Institut de Recherches Éco­
nomiques et Sociales, January 1946. 126 pp., charts. Yearly subscription,
200 francs.
With this number the B u lle tin d e l ’I n s t i t u t d e R e c h e rc h e s É c o n o m iq u e s e t S o c ia le s
succeeds the B u l l e t i n d e l ’I n s t i t u t d e R e c h e rc h e s É c o n o m iq u e s , publication of which
was suspended on the German invasion of Belgium. The issue contains three
studies: D ’une politique du volume de l’emploi en Belgique; Emploi et revenus en
économie ouverte: théorie et application à l’évolution belge et britannique de 1919
à 1939; Introduction aux chroniques de la conjoncture économique de la Belgique
(which will again become a regular feature). More than 30 pages of the second
study are on wage changes.
L a m a i n - d ’œ u vre b elg e a u s e r v ic e d e s a r m é e s a llié e s — a p e r ç u g é n é r a l d e s c o n d itio n s d e
t r a v a il.
By Aug. De Block. { I n Revue du Travail, Ministère du Travail

et de la Prévoyance Sociale de Belgique, Brussels, March-April 1946, pp.
255-272.)
Survey of the policies followed in the use of Belgian workers by the Allied armies
in Belgium, covering, particularly, problems of administration, wage scales and
wage payments, and application of laws on hours of work and social security.
E s q u is s e d e l ’é c o n o m ie f r a n ç a i s e s o u s l ’o c c u p a tio n a lle m a n d e .
By Louis Baudin.
Paris, Librairie de Médicis, 1945. 222 pp., bibliography. 120 fr.
Sketch of economic conditions in France during* the German occupation,
written mainly at the request of foreign readers. Covers the dissolution of the
labor and employer organizations, the creation (August 16, 1940) and develop­
ment of the Vichy Government Organization Committees, the labor charter
(law of October 4, 1941), employment, rationing, the black market, price control,
prices, and wages.
W a r t i m e la b o r c o n d itio n s a n d r e c o n s tr u c tio n p l a n n i n g i n I n d i a .
Montreal, Inter­
national Labor Office, 1946. 113 pp. (Studies and reports, new series, No.
2.) 50 cents. Distributed in United States by Washington Branch of
I. L. O.
T h e S o v ie t G o v e r n m e n t o r g a n iz e s f o r r e c o n s tr u c tio n .
By John N. Hazard. { I n
Journal of Politics, Gainesville, Fla., August 1946, pp. 248-277.)
Among the topics discussed are demobilization (including reemployment rights
and other benefits for veterans), amnesty to violators of the wartime strict dis­
ciplinary labor decree, restoration of vacation rights, the program of special bene­
fits to encourage increase in size of families, and rewards to those who serve the
State well.


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Federal Reserve Bank of St. Louis

U. S. GOVERNMENT PRINTING OFFICE: 1946