View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

UNITED STATES DEPARTM ENT OF LABOR

BUREAU OF LABOR STATISTICS

Photo by PWA

n this issue
FEBRUARY 1939


https://fraser.stlouisfed.org
Vcl. 48 *
No, 2
Federal Reserve Bank of St. Louis

Problem oi Older W orker • Labor Productivity
in Shoe Industry

• W ages on Street Railways

Progress oi State M inim um -W age Legislation

UNITED STATES DEPARTMENT OF LABOR
Frances Perkins, Secretary
+
BUREAU OF LABOR STATISTICS
Isador Lubin, Commissioner

Sidney W. Wilcox, Chief Stat­
istician

Hugh S. Hanna, Chief, Edito­
rial and Research

A.F. Hinrichs, Chief Economist

Henry J. Fitzgerald, Adminis­
trative Officer

C H IEFS OF D IV ISIO N S

Jacob Perlman, Wages, Hours,
and Working Conditions

Swen Kjaer, Industrial Acci­
dents

Lewis E. Talbert, Employment
Statistics

Florence Peterson, Industrial
Relations

J. M. Cutts, Wholesale Prices
Stella Stewart, Retail Prices

Charles F. Sharkey,
Law Information

Faith M. Williams, Cost of
Living

Boris Stern, Labor Informa­
tion Bulletin

Herman B. Byer, Construction
and Public Employment

John J. Mahaney,
Tabulation

Labor

Machine

Published by the Bureau of Labor Statistics, under authority of
Public Resolution No. 57, approved May 11, 1922 {42 Stat. 541), as
amended by section 307, Public Act 212, 72d Congress, approved
June 30, 1932. For sale by the Superintendent of Documents, Wash­
ington, D. C. Price, 30 cents a copy. Subscription price per year in
the United States, Canada, and Mexico, $3.50; other countries, $4.75.
This publication approved by the Director Bureau of the Budget.


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

UNITED STATES DEPARTMENT OF LABOR
+

HUGH

S. H A N N A

CONTENTS

BUREAU OF LABOR STATISTICS
EDITOR

FEBRUARY 1939 Voi. 48 No. 2

Cover:
Another crossing over the Mississipp^River.

Special articles:

+

^

^ fy /i)

%

'r/j>

V j.

Problem of the older worker in the United States and
Labor productivity in the boot and shoe industry’!*^_______________
Progress of State minimum-wage legislation in 1938-*'^.___________

Industrial relations:

Page

57
271
293

\

Elections under State labor relations acts_________________________

309

Social insurance:
New Zealand Social Security Act of 1938_________________________

322

Women in industry:
Earnings of women in Connecticut underwear industry, 1937_______

330

Housing conditions:
Increase of authorized insurance by Federal Housing Authority_____
Fund allocations by United States Housing Authority_______ ______
Building and loan associations, 1937_____________________________

334
334
336

Unemployed youth:
Activities of Civilian Conservation Corps in 1938__________________

338

Cooperation:
Employment conditions in European cooperatives_________________

341

Health and industrial hygiene:
Cost of medical care among farm families_________________________
Health work of Air Hygiene Foundation__________________________

348
349

Prison labor:
Employment of prisoners in Germany____________________________
Prison industries in Great Britain________________________________

350
351

Labor laws and court decisions:
Recent court decisions of interest to labor:
Utah minimum-wage law-----------------------------------------------------Minnesota anti-injunction act_______________________________
Picketing to compel recognition of union_____________________
Picketing to obtain closed shop---------------------------------------------Injunction against strike in violation of contract--------------------Act regulating contracts for public printing upheld____________
Injuries from food sold by employer compensable--------------------121435— 39-------■1


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

353
353
354
354
355
355
356

Contents

II

Industrial disputes:
Trend of strikes__________________________________________________
Analysis of strikes in October 1938_______________________________
Activities of United States Conciliation Service, December 1938____

page
357
358
366

Minimum wages and maximum hours:
Industry committees under wage and hour law____________________
Aircraft wage determination under Public Contracts Act___________
Effect of minimum wage in dry-cleaning and laundry industries___

368
369
370

Wages and hours of labor:
Wages and hours of union street-railway employees, 1938__________
377
Wages and hours in manufacture of drugs and toilet preparations,
1938----------------------------------------------------------------------------------------386
Wages and hours in milkcondenseries, 1938________________________
390
New York— Earnings of factory office workers, October 1938_______
393
Mexico— Wages in 1937 and 1938______ __________________________
396

Labor turn-over:
Labor turn-6ver in manufacturing,November 1938___________________
Labor turn-over in iron and steel industry, 1936 and 1937__________

418
421

Employment offices:
Operations of United States Employment Service, December 1938__
Summary of activities of United States Employment Service, 1938__

426
431

Trend of employment and pay rolls:
Summary of reports for December 1938:
Total nonagricultural employment___________________________
Industrial and business employment__________________________
Public employment_________________________________________
Detailed reports for industrial and business employment, Novembei
1938-------------------------------------------------------------------------------------Unemployment in foreign countries_______________________________

434
434
438
441
453

Building operations:
Summary of building construction in principal cities, December 1938.

458

Retail prices:
Food prices, December 1938_____________________________________
Electricity prices on December 15, 1938__________________________
Gas prices on December 15, 1938_________________________________

463
468
471

Wholesale prices:
Whilesale prices, December and year 1938________________________

Recent publications of labor interest________________________________


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

477
481

This Issue in B rief

The older worker in industry.
The extent to which older workers
are discriminated against both in re­
taining their jobs and in securing new
ones was the subject of a recent report
by the International Labor Office.
Examination of the experience in Bel­
gium, Germany, Great Britain, and
the United States seems to show that
while older workers are, in general, no
more likely to lose their jobs than
younger workers, if they do become
unemployed they have much more
difficulty in obtaining new employ­
ment. The effect of age upon oppor­
tunity for employment begins to
appear at about age 45, although it
varies from country to country and as
between men and women. Page 257.
Labor 'productivity in shoe industry.
Output of shoes per man-hour has
increased markedly with the mechan­
ization of the shoe industry. Such
factors as style changes, managerial
policies, and dexterity of individual
workers have each played an impor­
tant role in determining the extent of
the increase in labor productivity. A
study conducted by the Bureau of
Labor Statistics in cooperation with
the National Research Project of the
W. P. A. revealed that man-hour out­
put in a group of plants producing
men’s shoes in 1935 was about 21.5
percent higher than in 1929 and 38
percent higher than in 1923. Notice­
able increases in the output per man­
hour of various grades of women’s
shoes were also found. Page 271.
State minimum-wage legislation.
At the end of 1938 minimum-wage
laws, for the most part applicable only
to women and minors, had been


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

enacted in 25 States, the District of
Columbia, and Puerto Rico. Two of
these laws—those of Kentucky and
Louisiana—were enacted in 1938, and
that of Kansas was an old law, de­
clared unconstitutional in 1925 and
made valid by a ruling of the State’s
attorney general in 1938. Many mini­
mum-wage orders were issued or made
mandatory in 1938, the principal pro­
visions of which are summarized in an
article on page 293.
Work of C. C. C.
One of the most important accom­
plishments of the Civilian Conserva­
tion Corps has been the protection of
the forests. In the year 1938 alone a
total of some 270,000,000 forest trees
were planted. Page 338.
Elections under State labor relations
laws.
Five States (Utah, Wisconsin, Mas­
sachusetts, Pennsylvania, and New
York) now have labor relations laws
which closely follow the pattern of the
National Labor Relations Act, al­
though most of them vary in some
respects. Up to July 1, 1938, the five
State labor boards held elections or
made determinations in 304 bargaining
units. Affiliated unions won 225 of
these units, and nonaffiliated unions
29. In 50 cases no labor organization
was certified. Page 309.
Wage scales of street-railway employees.
The average rate of wages for union
street-railway employees in 53 cities on
June 1, 1938, was 75.5 cents per hour.
This represents an average increase of
2.2 cents over 1937. Over two-thirds
of the union members received some
increase in wages during the year and
III

IV

This Issue in Brief

fewer than 3 percent received de­
creases. A great majority of the
members worked under basic 8-hour
day agreements, although some con­
tracts called for an 8}i- and 9^-hour
day, while a few provided for a 6-hour
day. Page 377.
Cost of medical care to farm families.
The average cost per farm family per
year for medical services is $39 and
the total medical costs average $51, or
about 8 percent of the family budget,
according to a recent report by the
United States Bureau of Agricultural
Economics. The increase in fees from
the period 1910-14 to that of 1935-36
averaged 13 percent for physicians’
services, 22 percent for dentists’ fees,
14 percent for oculists’ and optome­
trists’ fees, 17 percent for hospital
charges, and 23 percent for nurses’
fees. The increase in rates for med­
ical services during the past 25 years,
however, has been accompanied by


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

improvement in the quantity and
quality of medical services. Page 348.
Social insurance in New Zealand.
A comprehensive social insurance
law was passed in New Zealand in
September 1938, providing for cash
benefits for old age and invalidity,
sickness and accident, unemployment,
benefits to widows and orphans,
family allowances, and a national
health service. The act is to become
effective April 1, 1939. A Social
Security Department is created which
will administer all parts of the act
except the health service which will be
under the administration of the
Minister of Health. The latter ser­
vice will provide for medical treat­
ment, pharmaceutical benefits, hos­
pitalization, maternity care, and such
supplementary benefits as are con­
sidered necessary to insure effective
operation of the system and maintain
and promote public health. Page 322.

MONTHLY LABOR REVIEW
FOR FEBRUARY 1939

PROBLEM OF THE OLDER WORKER IN THE UNITED
STATES AND EUROPE
COMPLAINTS of discrimination against older workers both in re­
taining their jobs and in securing new ones are being voiced more and
more frequently in different countries. A preliminary report 1 by
the International Labor Office on the subject, provides statistical
evidence regarding the extent of unemployment among older workers
in several of the highly industrialized countries and the proportion of
unemployed older persons whose capacity for employment had re­
mained unimpaired. It also discusses the causes of discrimination
against older workers and possible remedies. The data relate prin­
cipally to Belgium, Germany, Great Britain, and the United States.
Extent of Unemployment Among Older Workers

In an effort to appraise the extent of the problem, the first section
of the report deals with the available statistics regarding the propor­
tion of older workers in the working population and their proportion
among the unemployed, and compares the rate of unemployment for
such workers with the general unemployment rate.
BELGIUM

A general census of unemployment in Belgium, in March 1936,
among the insurable population showed that the proportion of wholly
unemployed persons in the different age groups rose steadily from
1.37 percent, below the age of 20, to 9.49 percent at 30 years and
remained at that figure for the group aged from 30 to 40 years. Be­
tween the ages of 40 and 50 the number of unemployed dropped to
slightly more than 7.60 percent and rose thereafter to 11.97 percent
at ages 60 to 65. In March 1937, however, it was found that during
the year unemployment increased in every group over 40, in spite of
the fact that the number of wholly unemployed in the voluntary
insurance funds fell from 15.7 percent in March 1936 to 12.4 percent
in March 1937.
Certain industries and occupational groups, such as quarries and
the metal, glass, chemical, clothing, and tobacco industries, and
* International Labor Office. Governing B ody. 85th session, London, October 25, 1938. R eport of the
Office on the Question of D iscrim ination A gainst E lderly W orkers. Geneva, 1938.


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

257

258

Monthly Labor Review—February 1939

salaried employees, showed a higher rate of unemployment in 1936
for persons over the age of 40 than the general rate for all industries
and occupational groups, while in woodworking and furniture-making
and hides and skins the rate was lower than the average. Although
during the year 1936-37 there was a general improvement in employ­
ment, the percentage of older unemployed was high in industries re­
quiring a considerable amount of muscular effort, such as steel, min­
ing, quarrying, and glass, while the percentage was below the average
in such industries as the manufacture of scientific instruments,
printing and bookbinding, and certain branches of the building trades
in which skill rather than muscular energy is required.
The average duration of unemployment among the different age
groups in 1936 was found to increase steadily in each group, rising
from an average duration of 7% months below the age of 20 to 28%
months between the ages of 60 and 65. An inquiry regarding age
limits in hiring in different industries showed that in some enter­
prises, although no limit was specified, it was the practice to reject
older workers; in others the age limit was 55 or even 60 for skilled
workers but 50 for unskilled and semiskilled, whereas in some places
the limit was as low as 45, 40, 35, or even 30 years.
GERMANY

In Germany, figures showing the status of workers and salaried
employees over 40 years of age were available for the years 1926, 1933,
and 1936. The proportion of unemployed male workers over 40 years
of age showed very little change from 1926 to 1933, during which
period there was great unemployment, but increased from 31 percent
of the total number of unemployed in 1933 to 41 percent in 1936. For
woman workers there was an even greater increase—from 22.9 percent
in 1926 to 41.4 percent in 1936. Among male salaried employees over
40 years of age the percentages unemployed were 29.5 in 1926, 35.1 in
1933, and 50.3 in 1936, while for woman employees the percentages
were 13.5, 12.7, and 27.7, respectively. Although unemployment
among woman employees was less severe than among men, it had
doubled during the 10 years.
A tabulation by age groups showed that in 1933, when unemploy­
ment was high, the rate for manual workers was much the same in the
different age groups above 25, but by 1936, when unemployment had
been greatly reduced, the rate was much higher for older workers in
comparison with those in the lower age groups as a result of the prefer­
ence given to young workers in hiring. The position of salaried em­
ployees over 40 showed the same unfavorable situation.
Considered by industries, it was found that in the principal indus­
tries the increased unemployment was general among the older age
groups, with the exception of skilled workers in the building industry,

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

Problem of Older Worker

259

where there was a slight decline from 1933 to 1936 in the proportion
of the unemployed aged from 40 to 60 years. In all other occupations
among both skilled and unskilled workers, the proportion of unem­
ployed over 40 years of age increased. Unemployment was very
high among engineers and firemen and among unskilled mine workers.
The increase in the percentage of unemployment among older un­
skilled workers was slightly greater in 1936, as compared with 1933,
than the increase for skilled workers. Among salaried workers techni­
cal employees of over 40 years of age were more seriously affected by
unemployment than other groups.
Altogether, the German data show that the situation of older workers
became less favorable in 1936 in comparison with that of younger
workers, in spite of the general improvement in the employment
situation. The reason for this is stated to be the fact that older workers
had suffered more from prolonged unemployment. The importance
of this fact, in the absence of direct data, is supported by the statistics
of unemployment benefit. A report of August 31, 1936, shows the
proportion of older workers among the two classes of unemployed
persons receiving unemployment-insurance benefit and emergency
benefit in 1933 and 1936. Under the unemployment-insurance system
unemployment in the age group 25 to 40 years increased more rapidly
than in the older age groups, but under the emergency-benefit scheme,
which covers persons who suffer prolonged unemployment, there was
an increase only in the groups over 40 years of age—from 41 to 53 per­
cent for men from 1933 to 1936, and from 28 to 58 percent for women.
The emergency-benefit data show that the proportion of older workers
was highest among the unemployed with the longest benefit period.
Among manual workers and salaried workers in receipt of emergency
benefit for more than 1 year, persons over 40 years of age formed about
three-fifths of the total number.
The situation in regard to the placement of older workers is particu­
larly serious as regards salaried employees, although in November
1936 male unemployed workers over 40 formed 50.3 percent of the
total unemployed, those of over 40 who were placed formed only 31.9
percent of all workers who found employment in October 1936. The
hiring age limit of salaried employees prior to the order of November 7,
1936, concerning the employment of older workers was generally fixed
by the undertakings at 35 years.
GREAT BRITAIN

Special studies of unemployment among the insured population were
made in Great Britain by the Ministry of Labor in April 1927, February
1931, November 1932, and February 1938, showing the rates of unem­
ployment for each age group. The figures indicate that in each of the
years the rate of unemployment was fairly uniform for males between

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

260

Monthly Labor Review—February 1939

the ages of 21 and 44, but that it increased for each 5-year age group
thereafter; the rates for females showed a general tendency to increase
from the age of 21, with the exception of a slight decline in 1931 and
1932 for the age group 60 to 64 as compared with the age group 55 to
59. Although the relative position of older men during the depression
of 1931 and 1932 was not adversely affected as regards employment,
in 1938 these workers were relatively worse off than in 1927.
!A study in 1931 covering the two main age groups, ages 18 to 44
and 45 to 64, of males in 14 industries showed that the percentage of
unemployment was higher for the older group in all industries, but
that this disparity was greatest in public-works contracting, coal and
nonmetalliferous mining, glass, woolen and worsted, boots and shoes,
and cotton manufacturing, and in commerce and finance. Similar
data for women, but for age groups 18 to 34 and 35 to 64, showed a dis­
parity for nearly every industry, and especially in the cotton, woolen,
and metal industries.
Other studies confirm these findings, and it was concluded by Sir
William Beveridge, after analyzing the results of various studies, that
the risk of losing one’s job does not increase with advancing years, but
the risk connected with being out of a job does increase materially. As
a result of a special study of the case papers of persons receiving
unemployment assistance allowances in 1937, it was concluded that
“age in spite of its greater experience is a definite handicap in finding a
job in a large number of instances.” It was pointed out that, “while
in September 1936, short-term employment (up to 6 months) had gone
down appreciably in comparison with September 1929, when the
depression began, long-term employment (for 12 months or more)
had increased as much as six and a half times during the same period.”
SWITZERLAND

The experience of Switzerland as to the effect of age upon unemploy­
ment, agrees with that of the other countries, as the rate for both
men and women over 50 was higher than in the lower age groups in
the years 1936, 1937, and 1938.
UNITED STATES

Statistics of unemployment as it affects older workers are lacking
for this country as a whole, although a Nation-wide inquiry dealing
directly with discrimination against older workers is now being made
by the Federal Department of Labor. However, certain data from
scattered sources are available. In New York State in 1930 the unem­
ployment rate in the manufacturing industries was found to be lowest
in the age group 30 to 34, and from 35 to 65 the trend was distinctly
upwards. In Michigan, employment and unemployment figures for

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

Problem of Older Worker

261

1937 show that the proportion of unemployed in the younger groups
was smaller and in the older groups larger than in those of the employed,
indicating the importance of age as a factor in employment. In the
case of men, employment conditions appeared to be favorable up to
the age of 45, after which the situation became increasingly unfavor­
able, and in the case of women, although age did not appear from the
figures to be so decisive a factor (as employment and unemployment
in the various groups were more evenly divided), there was evidence
that the adverse effect of age began to be felt at an earlier age and was
something of a handicap from ages 35 to 64.
The placements effected by the United States Employment Service
throughout the country from January 1936 to June 1937 showed the
increasing difficulty of placing older workers of both sexes, for while the
number of vacancies filled rose steadily in each quarter for workers
under 25, the number remained fairly stable for those between 25
and 50 and fell steadily thereafter. An investigation made by the
Bureau of Labor Statistics in 1932 in 224 establishments showed that
a maximum age limit for hiring, ranging from under 40 to 46 or over,
had been fixed by about 32 percent of the companies. In the establish­
ments which did not have a definite age limit it was admitted that not
many over 50 would be hired. The reasons given for imposing an age
limit included the higher rates for group insurance for older workers,
their inability to reach the required standards of production, and the
need to set apart the lighter jobs available in an establishment for its
own aged employees.
CONCLUSIONS

Summing up the foregoing data, it is stated that there seems to be
evidence that older workers are no more likely to lose their jobs than
younger workers, but if they do become unemployed they have much
more difficulty in obtaining new employment. The effect of age upon
opportunity for employment begins to appear at about age 45, al­
though it varies from country to country and as between men and
women. Among workers who have suffered long unemployment a
certain amount of loss of skill occurs, which is a handicap in securing
new work. The present disproportion of unemployed older workers is
considered to be due in part to the fact that with improved employ­
ment conditions the younger workers were able to adapt themselves
to recent technological changes with greater readiness.
Em ployability of Older Workers

Special inquiries have been made in a few countries concerning the
employability of older workers. In Germany a study by the National
Institute of Employment Exchanges and Unemployment Insurance
showed that the proportion of the unemployed with restricted employa
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

262

Monthly Labor Review—February 1939

bility was 38 percent of 1,197,100 unemployed in 1936, and 28 percent
of 572,600 unemployed in November 1937. Of the groups with re­
stricted employability, 28.1 percent in 1936 had restricted employa­
bility as regards their former occupation and 71.9 percent had re­
stricted employability for any occupation. The corresponding per­
centages in 1937 were 18.5 and 81.5. Thus, though there was a marked
reduction in unemployment in 1937, there was an incresae in the pro­
portion of those with restricted employability for any occupation.
This, it is said, is what is to be expected, since as business conditions
improve the more efficient are reabsorbed into industry first, leaving a
larger proportion of unemployables. An analysis of the figures by sex
shows that restricted employability appeared at an earlier age among
women than among men.
In Belgium, a study in 1937 of 2,872 persons of varying ages, whose
employability was in doubt, made by the committees for the medical
examination of the unemployed, showed a tendency for the proportion
of those whose productivity was unimpaired to decrease in the higher
ages. The Royal Commissioner for the Study of Unemployment con­
cluded, however, that it was not justifiable to regard all unemployed
persons over 50 as unemployable and that an improvement in the
placing arrangements might be expected to produce satisfactory results.
In Great Britain, from a private investigation in 1938 it was con­
cluded that only a very small proportion of the persons at the employ­
ment exchanges in search of work should be considered as outside the
labor market, and of this small proportion more than half were over 55.
These studies show that there is truth in the common supposition
that with increasing age there is a diminishing field of possible employ­
ment. Even if the older worker is still capable, he is already at a dis­
advantage in his search for work and in many cases he suffers from the
twofold handicap of his age and a definite restriction of his employa­
bility.
Causes of Discrimination
The economic consideration of the value of a worker’s services to the
employer largely determines whether he will be engaged or will be
retained in employment. A worker’s economic value consists essen­
tially in the quantity and quality of his work. Theoretically, every
person who is able to work has potentially some economic value and
should be worth a corresponding wage. Actually, however, custom,
collective agreements, and law limit the elasticity of wages and, by not
allowing the payment of wages below a certain limit, cut off the demand
for the services of those persons whose economic value is below that
limit. Also, industry is so organized that a minimum standard of
efficiency must be maintained by all the workers in productive proc­
esses, and, therefore, jobs which can be filled by workers of subnormal

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

Problem of Older Worker

263

capacity are the exception. Employment of the older worker, there­
fore, depends mainly upon his productive capacity, and this capacity is
conditioned, in a general way, by physiological efficiency. In general,
physiological efficiency increases up to a certain age and thereafter
decreases, although for some types of work the physical requirements
are low and efficiency may be retained until old age is reached. The
lowering of physiological efficiency among older workers is offset to a
certain extent by the experience gained. Mechanization, which is
increasing in industry, affects the position of the older worker, in some
cases making greater demands on his strength and in others less, and
in general lessening the value of experience.
The inevitable aging process in man may develop very slowly. As
a rule, many of the signs of old age have appeared by the age of 60
and by 65 old age is definitely attained. The aging process is seldom
uniform throughout the body, however, and as a result of past dis­
eases or constitutional weakness there may be a functional break­
down long before old age would normally be reached. In addition,
premature old age may result from generally unhealthful living and
working conditions. A series of tests of functional efficiency made
in Germany on groups of unskilled workers between the ages of 20
and 60 showed that sensory and mental alertness and physical dex­
terity began to decline after age 45. On daily routine work the
older workmen up to 60 gave as good performance as the younger
men but showed less adaptability if working conditions were changed.
It is concluded from this and other evidence not cited that for the
average person, the retrogressive tendencies begin to set in during
the fifth decade of life, showing in greater susceptibility to fatigue
and lessened adaptability, while in the sixth decade these trends
become more apparent and general.
Although there is little doubt, it is said, that the physiological effi­
ciency of the average person begins to decline after 45, it is not so
certain that the same can be said of productivity, since the individual
variations in physiological efficiency are combined with the varia­
tions in the demands of the job upon the individual. Also it is
necessary to distinguish between the very different cases of a person
who grows old in the same job and the older person who is seeking
employment and would have to adapt himself to new methods of
work.
There exists a large mass of opinion on the advantages and disad­
vantages of older workers. An inquiry made by the California De­
partment of Industrial Relations in 1930 among employers in industry
and commerce showed that in many cases there was not only no dis­
crimination against older workers but they were even given prefer­
ence. Numerous employers stated that their hiring policy was
determined by the suitability of the applicant and that age had little

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

264

Monthly Labor Review—February 1939

relation to efficiency, although older men were better adapted to some
jobs than to others. Many believed that workers over 40 or 50, if
in good health, were as efficient as younger workers, and others stated
that they were better fitted for certain jobs, especially where quality
is important, and that they are more reliable and reduce labor turn­
over. A study by the Works Progress Administration covering 1,444
skilled workers showed that the average age of workers whose output
was considered excellent was 47 % years, while the average age of
those in the inferior grade was 41; only 13 percent of those in the
‘‘excellent” grade were under 35.
Reasons given by some American employers for setting hiring-age
limits were the greater risk of sickness among older workers, their
slowness, and their inability to perform heavy work.
Summing up the arguments for and against the employment of
older workers, it seems that they may be preferred, if their physical
ability is satisfactory, because of their experience and reliability and
that they may be particularly valuable where quality rather than
quantity is desired.
The position of salaried workers is somewhat different from that of
manual workers, as mental powers are often preserved after physical
weakness has become apparent, but regarding those who are engaged
in routine work there are the same complaints of lack of adaptability
to changes in methods.
While mechanization has transferred much heavy labor from man
to the machine, it has also made worse the position of the older worker
by creating new processes of increased speed and intensity so ex­
hausting that the older worker is unable to stand the strain. This is
particularly true in large-scale mass production. On the other hand,
statistics published by the American Iron and Steel Institute show
that the average age of steel workers increased by 2 years between
1930 and 1937, which was a period of progressive mechanization.
This increase was attributed both to improved public health condi­
tions and to the fact that work was lightened by the mechanical
equipment.
A measure of the effect of age upon output and efficiency is afforded
by statistics of earnings, by age, which are available for a number of
countries. Thus, statistics of the average basic wage (on which con­
tributions to the social-insurance system are based) have been pub­
lished by age groups for Czechoslovakia, France, and Germany, while
in the United States statistics of full-time earnings by age groups
have been collected in a number of States. These statistics are not
uniform, as some distinguish men and women, some are for wage
earners, and others are for salaried employees. As none of them
differentiates the methods of remuneration they cannot show fully
the relation between age and output, but all show a similar trend. In

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

Problem of Older Worker

265

all cases earnings follow a regular, but not symmetrical, curve which
rises to its highest point and thereafter falls, the earnings of a person
of 20 being generally below those of a person of 60. Among male
wage earners the maximum is reached between the ages of 40 and 45,
and among females the maximum is reached somewhat earlier—about
32 in Germany and 40 in Czechoslovakia. Thereafter the earnings
fall gradually and are about 12 percent less than the maximum at
age 60. Among salaried workers the maximum is reached somewhat
later—in Czechoslovakia, 47 for men and 42 for women. These figures
show that in general the rate of remuneration tends to decrease
slowly after middle age. The probable reason that the remuneration
rates in the fifties and sixties are maintained at a rate so near the
maximum is said to be that in many cases only the more efficient
older workers are retained.
It is considered that the evidence as to the productivity of older
workers based on the earnings is an overstatement of the case. Since
the degree of unemployment is generally greater among the older
workers and the average capacity of the unemployed is probably
lower than that of the employed, it may be supposed that the average
capacity of the whole mass of older workers employed and unemployed
is lower than the figures of their annual earnings would indicate.
Methods of Covering Occupational and Social Risks

Although social insurance helps the older worker to retain his
working capacity and affords him help when he has lost it, systems
of covering occupational and social risks based on private insurance
principles may have the result of discouraging employers from em­
ploying older workers. Broadly speaking, these workers represent
more expensive risks than younger workers, and when the additional
cost is felt by the employer the tendency is to restrict the number of
older workers in his employment.
It is quite generally believed that accidents are more frequent
among older workers, as it is argued that quickness of reaction dimin­
ishes with age. On the other hand, it may be argued that the longer
experience and greater caution of the older worker operate to reduce
this risk. Two recent investigations of this question, based on Swiss
and Austrian experience, show that for both sexes the frequency of
accidents reaches a maximum between the ages of 20 and 30 and
thereafter falls steadily. The frequency is only two-thirds of the
maximum at age 50 and less than one-half at age 65. The experience
of the State of Wisconsin is similar to that of Switzerland and Austria.
These figures, of course, cannot be applied to all industries nor to
each industrial enterprise. In contrast to the lowered frequency
rates for older workers, the severity rate is higher among them and
thus may adversely affect compensation costs. The Swiss investiga
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

266

Monthly Labor Review—February 1939

tion showed that these two factors balanced each other, and an inquiry
in New York in 1937 and 1938 on discrimination in employment of the
middle-aged found that these workers did not cost the employer any
more for compensation insurance than younger workers. However,
numerous employers believed that employment of older workers
would result in higher premium costs, and whether founded on fact or
not, such a belief results in discrimination against these workers.
Sickness and invalidity figures generally show that frequency and
severity of sickness increase with advancing age. Some method of
insurance, either compulsory or voluntary, is in force for a large
proportion of the workers in most countries. In the mutual or volun­
tary systems covering sickness, especially if employers contribute,
the added costs represented by the older workers may result in dis­
crimination against them, but in the State compulsory systems this
does not appear. While complaints of discrimination against older
workers arising out of sickness insurance are rare, the possibility of
such discrimination exists whenever the employer’s charge depends
upon the morbidity of his staff; that is to say, where insurance is
carried by a voluntary or compulsory insurance fund or under a group
policy for the individual establishment.
The risk of invalidity is covered mainly by compulsory State sys­
tems, and under such systems the contributions payable by the em­
ployer bear no relation to the frequency of invalidity among his staff
and cannot occasion any discrimination against older workers.
Private old-age pension systems, such as are in force principally in
Great Britain and the United States, however, carry the incentive to
impose a maximum hiring age. The most frequent limit established
in such systems is 45 years. Insurance benefits at death, consisting
either of a small benefit designed to cover funeral expenses, pensions
for the widow and children, or a lump sum of substantial amount,
are provided mainly by State systems. These systems, from their
wide coverage and the distribution of risk, do not occasion discrimi­
nation in the employment of older workers, but group life insurance
carried by individual employers, which is chiefly important in the
United States, has been found to be a factor in the establishment of
maximum hiring ages.
It has already been shown that the proportion of workers unem­
ployed in the older age groups is greater than in the younger groups
and that the duration of unemployment tends to be greater. Un­
employment-relief measures include unemployment insurance, unem­
ployment assistance, and various schemes organized by employers or
trade-unions for the payment of unemployment benefits or dismissal
allowances. Under the compulsory unemployment-insurance sys­
tems now in operation in different countries, very few make any
distinction between insured persons on the ground of age, and in

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

Problem of Older Worker

267

those countries it is only in the youngest groups (under 21 years of
age) that variations occur in the amount of contribution. In these
systems there may be some discrimination against young adults over
21 as compared with the still younger workers, but not against work­
ers over 45 or 50 years of age. The manual worker usually becomes
entitled to the standard rate of wages while still in the twenties, and
his full-time earnings show little variation between the ages of 30
and 60. As a consequence, the employer’s contribution remains
practically uniform over this long period and is not, therefore, a
cause for discrimination against older workers. In voluntary Statesubsidized schemes the workers’ contributions vary from fund to fund
and the employers make no contribution, so that there is no discrim­
ination against the older workers as a result of these schemes.
The private systems financed by employers or jointly by employers
and workers, such as are in effect in the United States to a limited
extent and in Great Britain as a supplement to the State scheme, are
operated generally for the purpose of keeping as stable a working
force as possible, and consequently anticipate only short periods of
unemployment or temporary periods of short time during which
benefits would be paid. As the older workers are no more liable to
temporary unemployment or short-time employment than the younger
workers, there is little probability of discrimination against them in
such schemes.
No question of discrimination can arise in the case of unemployment
assistance, which is financed entirely by the public authorities.
Altogether, therefore, it seems that neither compulsory nor voluntary
systems of unemployment insurance under the control of the State
can result in discrimination against older workers, and that the possi­
bility of discrimination under employers’ and joint workers’ and em­
ployers’ schemes is very slight.
The older workers figure very little in the charges for family al­
lowances, which are paid in a number of countries, as family responsi­
bilities grow less after middle age and the man of 50 generally has a
smaller family to support than is the case with the younger man. The
older worker, therefore, would not present as heavy a liability in this
respect as the younger, even if family charges were paid by the em­
ployer individually, which is rarely the case.
Remedies

The problem of the older worker, which has come to the fore in the
last few years, is still in the process of investigation, and persuasion in
the form of an appeal to public opinion in general and employers in
particular seems to be the method most commonly employed so far to
remedy the situation. Of special importance to the older workers are
the provisions in laws and collective agreements which require that a

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

268

Monthly Labor Review—February 1939

notice, varying in length according to the duration of service, shall be
given before dismissal. In some countries the law obliges the em­
ployer to pay a substantial indemnity to salaried employees dismissed
after long service. Also, provisions have been included in collective
agreements fixing the minimum number of older workers to be em­
ployed, and it has been proposed in some countries that the employ­
ment of a certain proportion of older workers in each establishment
should be required by law.
Public officials in Great Britain and the United States have recently
devoted a considerable effort to bringing to public attention the fact
that discrimination against the employment of older workers is for
the most part unjustified, and in the long run, adversely affects the
interests of industry. Statements to this effect have been made during
the past 2 years in Great Britain by the Minister of Labor and in the
United States by the President and the Secretary of Labor. In
Pennsylvania in 1928 and in California in 1930 the departments of
labor of these States secured assurances from a large number of firms
that they would not bar men from employment on the ground of age
when they were “physically and mentally able to meet the requirements
of the positions for which their services may be required.” In these
States and in Maryland, Massachusetts, and New York special studies
of the problem of the older worker have been made.
There has been renewed interest in the question in these and other
States since the depression. In Massachusetts a law was passed in
1937 which states that it is against public policy to dismiss or refuse
to employ a person because he is 45 years or older, provided he is
below 65; it empowers the commissioner of labor and industries to
investigate all complaints and to ascertain the ages of the persons em­
ployed. For this purpose employers are required to keep age records
and permit their examination.
In Great Britain grants of financial assistance for works carried out
by the local authorities in the depressed areas have been made de­
pendent upon preference being shown to older workers for employment
in such works.
Particular attention has been given recently to the placing of older
workers, not only by public employment offices, but also in some
countries by voluntary agencies. In Germany, a decree issued by
the Commissioner of the Four-Year-Plan, November 7, 1936, made it
obligatory for establishments with more than 10 salaried employees
to engage a certain proportion of employees above 40. This followed
an earlier decree requiring that preference be given to heads of fam­
ilies and providing for the gradual replacement of young persons under
25 by men over 40, preferably married men; this decree had not
yielded the expected results.

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

Problem of Older Worker

269

Among the important measures for dealing with the problem are
the retraining methods adopted in a number of countries, especially
in the years following the depression, during which unemployment
was high in some occupations while there was a shortage of workers
in others. Workers who lost their employment during the depression
have been unable without assistance to acquire the new methods
resulting from recent technological changes and thus have been
unable to adjust themselves to present conditions. Measures for
retraining, therefore, appear to be an indispensable feature of the
organization of the labor market. In Switzerland, special grants are
made by the public authorities in the form of wage subsidies to in­
dustrial enterprises for the purpose of inducing them to engage sub­
standard skilled middle-aged workers and thus enable these workers
to acquire the necessary proficiency. Retraining and reconditioning
courses have also been established in Belgium, France, Great Britain,
Italy, Japan, Poland, Switzerland, the United States, and other
countries. Although these measures are largely for unemployed
young persons, they are to a certain extent taken advantage of by the
middle-aged unemployed, in whose cases a short course of retraining
is all that is necessary to enable them to meet the requirements of the
labor market.
An indirect attack upon the problem of the older worker is through
the promotion of the social services which contribute to the fitness of
the working population and which operate to conserve the physical
powers of the older workers. Those branches of social insurance
which cover incapacity risks—accident, sickness, and invalidity—
serve to prevent incapacity as far as possible and, when it occurs, to
restore the patient’s working capacity as rapidly and completely as
possible. “All other social services which directly or indirectly serve
to raise the standard of health and strengthen resistance to disease
must also be numbered among the factors tending to ease the employ­
ment problem for the older worker.”
Effects of Population Changes on the Problem

Probable population changes which may be expected as a result of
the declining birth rate in most countries and the improvement in
mortality rates have a particular bearing on the situation of the older
workers. These changes have been taking place in most countries
since the beginning of the present century and will intensify the
gradual aging of the population as time goes on. This change in the
age distribution of the population will modify the proportions of youths
and young adults on the one hand and of the middle-aged and elderly
on the other, and may be expected to follow the same trends for the
working population as for the population as a whole. As a result the
121435— 39------ 2


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

270

Monthly Labor Review—February 1939

proportion of the younger workers will grow smaller and that of the
older will correspondingly increase. “It is not impossible,” the report
states, “that in the distant future a time may come when industry
may be obliged, by the scarcity of younger labor, to have recourse to
older workers, so that the problem which now concerns us may gener­
ate its own remedy. However that may be, it is encouraging to re­
member that the whole trend of social policy at the present time is
contributing to the improvement of the prospects for older workers,
by conserving their working capacity up to a greater age and by
caring for those individuals who can no longer maintain themselves.”


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

LABOR PRODUCTIVITY IN THE BOOT AND SHOE
INDUSTRY
B y B oris S tern , Bureau of Labor Statistics

1

FROM what was a highly skilled handicraft industry as late as the
middle of the nineteenth century, shoemaking had become by the
end of the century an industry using machinery in almost all of its
many complex operations. This revolutionary transformation began
with the invention of the Howe sewing machine and its adaptation to
use on leather about 1851. More important, however, was the inven­
tion of the McKay sewing machine, in the early sixties, which solved
the difficult problem of attaching the soles to the uppers. The demand
for shoes for the armies in the Civil War greatly accelerated the adop­
tion of the McKay machine and no doubt helped to overcome the
resistance to machinery which had prevailed in the shoe industry.
Following the invention and improvement in 1875 of the Goodyear
welt process of attaching soles to uppers, which made it possible to
produce even the more expensive shoes by machine process, a rapid
development in shoe machinery occurred which affected every process
and operation involved in making shoes.
By 1900 all the principal operations, with the exception of lasting,
were either wholly or largely mechanized. The use of machinery
greatly hastened the division of labor which had begun with the
development of the factory system and brought with it a greater
degree of specialization in individual processes than was possible in
the shop of the owner-shoemaker. The eight tools which in the
earlier days sufficed for the making of a complete shoe, namely, the
last, knife, awl, a needle or bristles, pair of pincers, hammer, lapstone,
and stirrup, were supplemented by a large number of hand tools later
replaced by mechanical devices or machines which in many respects
imitated the performance of the hand processes. By the end of the
century, the division of labor in shoemaking had become so extensive
that the number of operations involved in making an average shoe
was almost equal to that required at the present time.
The immediate result of the rapid introduction of machinery was
a tremendous increase in the output per man-hour of the workers
employed in the shoe industry. According to the thirteenth annual
report of the Commissioner of Labor published in 1898, the saving in
1 T he present article is a sum m ary of a survey on labor productivity m ade by the B ureau of Labor Sta­
tistics in cooperation w ith the N ational Research Project of the W . P . A. T he field work and com puta­
tion of statistics were done under the direction of A lbourne B. Long, of Braintree, M ass., and the engineering
analysis m entioned in the article was m ade by Sanford E . Thom pson, of Thom pson & L ichtner Co., Inc.,
B oston, M ass.


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

271

272

Monthly Labor Review—February 1939

the labor time depended upon the type of shoe produced. The range
in labor time saved in 1895 as compared with hand methods in 1863,
just prior to the introduction of the McKay machine, was from 78 to
89 percent on men’s shoes and from 85 to 92 percent on women’s

shoes. The machine process in 1895 required in some cases as many
as 173 operations, compared with approximately 73 operations in
the hand process.


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

273

Labor Productivity in Shoe Industry
T a b le

1. — Man-Hours Required to Manufacture 100 Pairs of Shoes of Specified Type,
in 1863 and 1895 1
M an-hours required
T ype of shoes

M en’s cheap grade, kip, pegged boots, half-double so les.....................
M en’s fine grade, calf, welt, lace shoes, single soles, soft box toes___
M en ’s m edium grade, calf, welt, lace shoes, single soles, soft box toes..
M en ’s grain, pegged, brogan shoes, tap soles_____________________
W om en’s fine grade, kid, welt, b u tto n shoes, single soles, patentleather tips, soft box toes_____ ____ __________ ______ __________
W om en’s cheap grade, kid, turned, lace shoes, single soles, plain toes..
W om en’s cheap grade, grain, pegged, bu tto n shoes, single soles,
plain toes (M cK ay sewed, half-double s o le s )...____ _ ________

1863: H and

1895- M a­
chine

1,437
2,225
1,832
283

154
297
235
62

89.3
86.7
87.2
78.1

1,997
1,025

173
80

91.3
92.2

538

83

84.6

Percent of
reduction

1 D a ta are from T h irte en th A nnual R eport of th e Commissioner of Labor, 1^98, vol. I (pp. 112-123).

The introduction of machinery in the shoe industry had other
effects than merely raising labor productivity. The hand-made shoe
produced in a factory for mass consumption was generally a simple
article rather crudely constructed and almost wholly lacking in
finishing refinements. Machine-made, it became substantially better
in quality, construction, and styling. In almost all instances the
machine could sew more securely, could exert a more even pressure
where pressure was needed, could trim and finish edges more finely,
and in general could perform a better and more efficient job than the
hand shoemaker. It thus made available a better quality shoe at
less cost.
The development of machinery in the shoe industry did not, how­
ever, stop in 1895. Hand operations continued to give way to
mechanical devices. Slower, cruder machines capable of performing
only one operation were replaced by faster and more complex types.
More recently there has also developed the tendency of dividing
certain operations formerly performed by one machine into several,
each performed by a different device.
The effects of these changes on labor productivity in the industry
have not been as great as shown for the period between 1863 and 1895,
however. The present survey of labor productivity in the boot and
shoe industry covering the period between 1923 and 1935 reveals an
increase in labor productivity in men’s shoes ranging from 38 to 51
percent, depending on the grade of shoe manufactured. (See p. 281.)
Machinery alone has been estimated to account for an increase of
approximately 38 percent between 1900 and 1923 followed by an
additional increase of 12 percent between 1923 and 1936. (See p. 286.)
The extent of mechanization and machine standardization in existence
in 1923,2 the nature of the technology used in the industry, and the
nature of the product manufactured are factors largely responsible
* See B ureau of Labor Statistics B ulletin N o. 360: T im e and Labor Costs in M anufacturing 100 P a irs
of Shoes, 1923, W ashington, 1924.


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

274

Monthly Labor Review—February 1939

for the slowing down in the trend toward higher man-hour produc­
tivity in the shoe industry.
In spite of the high degree of mechanization, shoe manufacturing is
still in the stage of semiautomatic development. It is divided into
a multiplicity of minute, variable, distinctly separate operations, with
a large number of separate machines to perform these operations. In
practically all cases, the machines seem to have been devised to imitate
as closely as possible the motions and the operations formerly per­
formed by the expert shoemaker at his own bench.
The materials from which shoes are made are partly responsible for
this development. Leather is lacking in homogeneity and varies greatly,
even in the same piece. It may be soft and stretch too readily in one
spot, and hard and resistant in another. It does not, therefore, lend
itself easily to automatic processing. The machine operator must
have skill and judgment; in fact, sometimes far more now than was
needed under the hand process. The shoe machine is an improvement
on the hand tool insofar as it helps the worker to do a job faster or
better or to do something he could not have done by hand. But the
machine can do this only when guided by the skillful hands of the
operator.
The lease system .—The development of shoe machinery has not taken
place strictly within the confines of the shoe industry. The original
machines were invented by shoemakers or persons closely connected
with the shoe industry, but subsequently there developed the custom
of leaving the problem of machine development to special shoemachine manufacturers. Starting with the McKay machines, which
were leased by the patent owner in order to place the machines more
readily, the policy of leasing shoe machinery on a royalty basis has
become an accepted custom of the industry. At first a considerable
number of companies produced shoe machinery, but through the
process of amalgamation, machine manufacturing has gradually be­
come concentrated in the hands of one company, which now owns or
controls nearly all the important machines used in the industry. The
royalty policy of leasing the machines has been preserved and with it
the policy of making the machines available on equal terms to all
shoe manufacturers, irrespective of size or location.3
The standardization brought about through the leasing system and
the combinations of machines used to produce a given type of shoe has
thus tended to eliminate machinery as a significant factor in differ­
ences in labor productivity in the industry as between plants. At the
same time, the concentration of machinery manufacture in one com­
pany has greatly reduced competition between different machines
capable of performing the same operations. Under these conditions
* For m ethods and effects of th e leasing system , see United States v. United Shoe Machinery Corporation,
M ay 20, 1918, 247 CJ. S. 32; also United States v. United Shoe Machinery Corporation, Apr. 17, 1922, 258
U . S. 451.


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

275

Labor Productivity in Shoe Industry

the development of shoe machinery has taken place chiefly in connec­
tion with the change of process rather than as an improvement upon
the machine used to perform a given operation. Thus there has been
little change in the basic machinery in use in recent years; there has,
however, occurred extensive development of new machines and adapta­
tions of old machines to carry on new operations called for by style
changes. It is not too much to say that machinery as such has played
a small role in the last 10 or 15 years in decreasing the labor time
required to produce a pair of shoes, but it has played a considerable
role in making possible basic style changes without substantially
affecting the labor-time requirements in manufacturing shoes.
Management.—The utilization of the same or approximately the
same machinery in the shoe industry does not, however, preclude large
variations in the output of these machines arising from variations in
management efficiency or in the skill of individual operators. Besides,
not all plants can afford to lease all the machines which have been
devised to displace handwork, especially if the machines can be used
only for a particular type or style of shoes. The use of such special­
ized machinery is economical only with a large output of shoes of a
given style; and this is not true of the smaller or even the average
establishment.
There are also many smaller supplementary machines and devices,
not so centrally controlled as the more important shoe machines,
which enable the more advanced shoe manufacturer to increase the
labor productivity in his plant in competition with others. The
various management or rationalization schemes, used in many plants
to move the work in process more efficiently from one department to
another, have also effected considerable increases in labor productivity
of the departments and especially of the shoe plant as a whole.
Individual operations.—The productivity of shoe machinery is
greatly affected by differences in the dexterity of individual workers
and by the proportion of handling and incidental work required in
connection with the operation of the machine. Often the machine is
in actual use only a small proportion of the total time spent by the
operator, and its comparative speed plays a small part in the pro­
ductivity of the operation. The time spent by different operators on
similar operations on the same grade of shoes, or by the same operator
on similar operations on different styles and grades of shoes varies
tremendously. The following concrete examples illustrate these
differences:
1. Stitching circular seam, 1 2 inches long, with 17 stitches to the inch:
M inutes required by—
Operator
Operator
N o. 1
N o. 2

Handling_____________________________________ 0. 322
Stitching_____________________________________ . 444

0. 539
. 836

. 766

1. 375

Total


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

276

Monthly Labor Review—February 1939

2. Stitching operation requiring several types of stitching and handling:
M inutes required by—
Operator
Operator
N o .l
N o. «

Placing, first tim e .__
Stitching, first tim e__
Trimming___________
Placing, second tim e ..
Stitching, second time.
Total

0. 070
. 044
. 076
. 082
. 043

0. 077
. 146
. 157
. 114
. 129

. 315

. 623

In the second example the actual stitching time constituted 28 per­
cent of the time spent by the first operator and about 30 percent of
the time spent by the second operator. On the entire operation, how­
ever, the second operator spent nearly twice as much time as the first.
The effect on output per man-hour of style differences and of style
changes should also be noted. Individual operations on a high-grade
shoe may require over 50 percent more time than on a medium-grade
shoe. Furthermore, some styles require operations not called for in
other styles, causing considerable variations in labor-time require­
ments. A comparison of time spent by the same operator on similar
operations for different grades of women’s shoes is presented below.
The figures are factory standard time and include time spent on
handling the materials.
T a b le 2. — Standard Factory Time for Same Operations on Women’s Medium- and

High-Grade Shoes
Tim e required on shoes of—
Operation
M edium grade,
m inutes

V am p, B lucher.................................................
V am p, circular seam _________ ___________
Stitching French cord, 3 -s tra p ............................................
C ontinuous stitching, cut-out__________________ ____
Ju m p stitching, c u t-o u t.________ ______________ _____

1.10
1.05
2. 95
.76
1.21

H igh grade,
m inutes

1.35
1.29
4.42
1.05
1.88

Percent over
m edium
grade

23
23
50
38
55

These figures indicate among other things the reason that machine
performance as such has played a relatively small role in recent years
in increasing output per man-hour. Handling time between opera­
tions as a responsibility of management, and handling time spent in the
course of an operation, are both important and reduce the effective
significance of any increases in machine speed. One must look there­
fore to the organization of the job and the flow of work quite as much
as to the machine for effective changes in labor time required in shoe
manufacturing.


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

Labor Productivity in Shoe Industry

277

Effects of Styles

The tendency toward standardization inherent in the system of
leasing shoe machinery has recently been overshadowed by the
demand for variety in style. Even in the pre-factory days when shoes
were made to order there was considerable variation in the grade
and quality of the shoes made. Styles are also mentioned in the
thirteenth annual report of the Commissioner of Labor for 1895 as a
factor tending to slow down the rapid increase in labor productivity
possible through mechanization.
Since 1900 and especially since the World War, styles in footwear
have become a major problem in the shoe industry. Modern shoes,
particularly women’s shoes, are largely a product of fashion. Not as
yet as highly individualized as the dress or the hat, shoes are never­
theless changed not only with the season, but often with the different
social functions in the course of the day. There are separate styles
of shoes for house wear, for walking or dancing, and for attending
balls or other formal functions. Often women’s shoes are bought to
match the particular dress or outfit worn. Even men’s shoes differ
seasonally, and the tendency toward white and two-tone shoes calls
for a closer harmony between the shoe and the rest of the man’s
wearing apparel.
In smaller degree, fashion has done to the shoe industry what it
has done to the dress industry:
Style in the dress industry is the factor of overshadowing importance. It is
more than a description of the product—it is the very essence of the industry.
It determines the industry’s geographical concentration; * * * it determines
the size of the producing units and has more than a little to say about whether
they shall compete or combine; it is largely responsible for the high rate of business
mortality * * *. It ordains when there shall be unemployment and for
how long; it presides over merchandizing practices and creates a market with
laws all its own.4

The broad pattern of variety in men’s, women’s, and children’s
shoes made of different types and^qualities of leather, by a dozen or
more^different manufacturing methods in an endless array of styles
and prices to suit the foot, thefwhim, and the pocketbook of the
130,000,000 customers in the United States, makes it evident that
there is no standardized product in the shoe industry known as a
“shoe.” There are shoes made for men, for women, and for children.
In each class there are shoes made by one process or another, and of
one type of leather or another. In addition, each manufacturer is
trying to imprint upon his particular product such individual charac­
teristics as decorations, variations in styling, etc.; these make it
almost impossible to compare a particular shoe with that manu* Analysis b y Helen E v e re tt M eiklejohn: Dresses—T h e Im p act of Fashion on a Business.
and Price Policies, by W alton H am ilton, p p. 303-304.)


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

(In Price

Monthly Labor Review—February 1939

278

factured in another plant or with a different style of shoe produced
in the same plant.
Scope of Survey

In the shoe industry there are more than 1,000 establishments
scattered in a number of shoe-producing centers and specializing in all
kinds, types, and grades of shoes. The original plan of the survey
called for a sample of more than 100 plants, carefully selected on the
basis of size of establishment, type of ownership, type and price of
shoes, and method used in the manufacturing process. Many of the
plants thus selected, however, proved unavailable either because of
lack of records or for other reasons. A number of other plants had to
be eliminated after analysis because of the unsatisfactory condition of
the records obtained, or because the data available covered too short
a period of time. The study was therefore based upon 43 plants.
In spite of the careful original selection and of the weeding out of
unreliable and obviously misleading data, these 43 plants cannot be
regarded as representative of all types of plants in the industry, nor
can they be assumed to give an average of the actual labor time re­
quired to produce a pair of shoes in any 1 year for the industry as a
whole, or even for any specific branch of the industry. They are,
however, sufficiently representative to warrant the assumption that
the changes in the trends of labor productivity of the plants studied
are, within reasonable limits, also characteristic of the trends of labor
productivity in that section of the shoe industry which manufactures
average-price shoes ranging up to $7 per pair. Such shoes constitute
by far the largest part of the total shoe output in the United States.
Labor Productivity in the Shoe Lndustry
m e n ’s

sh o es

Table 3 presents data on labor productivity in 23 plants specializing
in the manufacture of men’s shoes, and shows the number of pairs of
shoes produced per man per hour. Index numbers with 1935 as the
base are also given. The table is arranged in order of the man-hour
output for 1935, placing the plant with the lowest 1935 man-hour
output first and the plant with the highest man-hour output last. *
The sample of 23 plants in reality covers 30 establishments, as in
some cases several establishments producing the same type of shoes
under the same management had to be combined into composite plants
in order to avoid undue weight placed on one type of management.
Although small and representing but a fraction of the total output of
men’s shoes in the United States, the sample includes plants owned
by large and small corporations and by individual manufacturers
operating single establishments. The plants represent all the principal

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

Labor Productivity in Shoe Industry

279

shoe-producing areas in the United States (New England, Upper New
York, and the Middle West).
T a ble 3. —Labor Productivity in Manufacture of Men's Shoes, 1923 to 1936
P lant

1923

1924

1925

1926

1927

1928

1929

1930

1931

1932

1933

1934

1935 1936 «

Number of pairs produced per man-hour
No.
No.
No.
No.

1_.
2..
3 ..
4 ..

No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
N o.

5..
6 ..
7„
8 ..
9 ..
10.
11.
12.
13.
14.
15.

No.
No.
No.
No.
No.
No.
No.
No.

16.
17.
18.
19.
20.
21.
22.
23.

0.433
.434
.463

0.396 0.408 0.435 0.462 0.475 0.492 0.439 0.382 0.410 0.439 0.535 0.571 0.521
.449 .426 .434 .466 .474 .455 .477 .462 .503 .560 .584 .580 .597
.500 .567 .610 .652 .678 .703 .680 .657 .653 .650 .702 .666 .687
.480 .498 .518 .538 .537 .627 .607 .611 .630 .678 .637
.728
.658

.694

.741

.885

.949

.938

.937

.963

.944

.903

.894

.796
.702

.816
.783

.846
.799

.877
.896

.789
.885
.873

.826
.921

.708
.840
.890
.798
.824
.970
.886

.950
.865
.‘ 983 1.038 1.090 1.066 1.051 1.048 1.106 1.151
1.222 1.326 1.310 1.296
.868

1.536 1.484 1.459 1.427 1.436 1.358 1.274 1.350
1.513
1.276 1.353 1.362 1.499
1.596 1.665 1.793 1.992 1.811 1.904 1.992 2.232
1.878 1.943 1.972 2.006 2.055 1.988 1.877 1.741

.653 .715 .925 .890 .870 .925
.779 .768 .808 .859 .915 .942
.874 .770 .825 .867 .962 .907
.773 .858 .769 .758 .971 .892
.729 .768 .791 .878 .983 1.015
.985 .979 .912 .980 1.055 .943
1.019 1.041 1.076 1.071 1.103 1.088
.948 .878 1.009 1.105 1.149 1.079
.804 .899 1.072 1.083 1.203 1.131
1.329 1.365 1.381 1.333 1.326 1.290
1.320 1.256 1.318 1.414 1.445 1.462
1.434
1.744
1.650
2.345
1.890
1.825

1.545
1.653
1.764
1.776
2.014
2.000 2.165
2.395 2.431
1.520 1.776 1.707 1.524 1.972 2.004 2.179 2.398 2.457 2.262 2.342
1.461
1.636
1.770
1.819
1.935

1.503
1.699
1.779
1.751
2.016
2.272
2.448
2.506

1.531
1.652
1.795
1.963
2.133
2.376
2.520
2.653

1.479
1.605
1.805
1.893
2.029
2.380
2.376
2.597

Index numbers (1935 = 100)
No.
No.
No.
No.

1„.
2._
3..
4__

No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.

5..
6 ..
7 ..
8..
9 ..
10.
11.
12.
13.
14.
15.

No.
No.
No.
No.
No.
No.
N o.
No.

16.
17.
18.
19.
20.
21.
22.
23.

66.2

69.4
77.4
75.1
68.7

71.4
73.7
85.1
71.1

76.2
74.8
91.6
74.1

75.7

79.8

85.2

92.0

98.7

97.6

97.5 100.2

98.2

93*9

81.1

72.2
61.1

74.0
68.1

76.7
69.5

80.0
78.0

74.8
80.3
76.0

78.3
83.5
75.5

74."l

78.3

82.2

80.4

79.3
84.6

79.0
91.8

83.4
90.6

100.3

96.9

95.3

93.2

93.8

88.7

83.2 88.2 93.6
91.6 105.6
75.4 75.9 83.5 91.9
97.1 101.6 113.8 119.4
93.2 88.0 81.7 88.6
76.8
75.6

74.7
65.1

80.9 83.2 86.1 76.8
80.4 81.7 78.5 82.3
98.0 101.8 105.5 102.1
76.9 76.7 89.7 86.7

88.1

84.9
91.1

91.4 101.6
92.5 94.1

71.0
92.4
96.4

57.3

67.0

64.3

74.4

81.5

57.5

82.1

81.4
91.8
92.5
82.2
83.8
91.9
80.3
82.6
71.9

66.9
79.6
98.6
87.4

71.8
86.8

98.0
90.0

76.8 93.5 100.0 91.2
96.6 100.8 100.0 102.9
97.7 105.4 100.0 103.2
97.0 91.1 100.0 104.1

81.9 106.4 102.3 100.0 106.3
83.9 88.4 93.9 100.0 103.0
79.4 85.8 90.1 100.0 94.3
88.4 79.2 78.0 100.0 91.9
78.1 80.4 89.3 100.0 103.3
92.8 86.4 92.9 100.0 89.4
94.4 97.6 97.1 100.0 98.6
76.4 87.8 96.1 100.0 93.9
74.7 89.1 90.0 100.0 94.0
86.8 100.2 102.9 104.1 100.5 100.0 97.3
89.7 91.3 86.9 91.2 97.8 100.0 101.2

90.4

75.1
85.2
90.9
79.6
74.2
93.4
92.5
82.5
66.7

92.6

95.4 100.9 98.2 100.0 96.6
99.0 100.1 102.8 100.0 97.2
98.6 98.2 99.1 100.0 100.2
92.7 90.6 89.3 100.0 96.6
90.8 94.5 94.5 100.0 95.1
84.2 91.1 95.6 100.0 100.2
95.1 96.5 97.2 100.0 94.3
85.3 88.3 94.5 100.0 97.2

1Averages based on d ata ranging from 3 to 9 m onths.

Even a casual glance at the figures presented reveals the large
variations in labor productivity found among the plants studied and
the wide range between the plants of lowest and highest man-hour


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

280

Monthly Labor Review—February 1939

output in any 1 year. For 1935, the range was from 0.57 to 2.65
pairs per man-hour. For 1932, the first year for which data could be
obtained for all the 23 plants, the range was from 0.41 to 2.40. Of
the 10 plants for which data were available throughout the period
from 1923 through 1935, the range was from 0.58 to 2.65 pairs per
man-hour in 1935 and from 0.43 to 1.88 in 1923.
The persistence of wide ranges in output over the entire period
covered by the survey is due to the fact that the plants studied
specialize in the manufacture of different grades of men’s shoes,
ranging in retail price from under $3 to about $7 a pair. On the
basis of retail prices of the shoes manufactured in the plants studied,
the sample of the 23 plants may be divided roughly into 3 groups:
(1) Plants producing a high-medium grade shoe, which in 1935
retailed at more than $5 a pair.
(2) Plants producing a medium-grade shoe which in 1935 retailed
at more than $3 and less than $5 a pair.
(3) Plants producing a low grade shoe which in 1935 retailed at $3
a pair or less.
Such a general classification as the above covers a wide range of
variations of product within each group. Nevertheless the 23 plants
of the sample fall in approximately the same relative position (but in
reverse order) as when classified on the basis of their 1935 produc­
tivity. Plants 1 to 4 constitute the group manufacturing a high
medium-grade shoe, plants 5 to 15 represent the medium-grade group,
and the remaining 8 plants fall into the group producing a lowgrade shoe. The inverse relationship between the grade of shoes
manufactured and the labor productivity in the plant does not require
an elaborate explanation. More expensive shoes are made of better
and more expensive materials, contain more parts, and more decora­
tions, require more operations and handling to make a better fit, and
generally demand considerably more workmanship than is the case
of the lower-price shoes.
Although no two plants in the sample have the same labor produc­
tivity trend over the entire 14 years covered by the survey, the plants
within each grade group appear to have followed a fairly uniform
trend. This is especially true for the recent years for which data
were available for more plants than during the earlier periods.
Besides, the average man-hour output of the plants grouped by grades
of shoes manufactured is sufficiently close to make feasible the pres­
entation of data by groups.
Table 4 gives the trend of labor productivity in men’s shoes segre­
gated into high-medium, medium, and low grade groups. The trend


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

281

Labor Productivity in Shoe Industry

is shown in terms of percentage changes from year to year and in terms
of index numbers with 1935 as a base.4
T a b le 4.— Trend of Labor Productivity in the Manufacture of M en’s Shoes, 1923 to 1936
H ig h -m e d iu m grade
T e ar

1923
_____________
1924________________________________
1925________________________________
1926________________________________
1927________________________________
1928________________________________
1929_________ ________ _____________
1930________________________________
1931_______________________________
1932________________________________
1933________________________________
1934_______________________________
1935_______________________________
1936 2______________________________

P e rc e n t
of change
from year
to year

+ 7.5
+ 3 .8
+ 5 .0
+ 6 .1
+ 2 .1
+ 5 .0
- 3 .1
- 4 .7
+ 4 .7
+ 6 .4
+ 7 .0
+ 2 .6
+ 0 .3

In d ex
(1935=100)

66.4
71.4
74.1
77.8
82.6
84.3
88.5
85.8
81.8
85.6
91.1
97.5
100.0
100.3

M e d iu m grade

L o w g rad e

P e rc e n t
In d ex
of change
from year (1935=100)
to yea r

P e rc e n t
In d ex
of change
fro m yea r (1935=100)
to y ea r

+ 0 .6
+ 4 .3
+ 0 .8
+ 4 .3
+ 1 .7
+ 2 .1
+ 2 .9
-0 .4
+ 1 .5
+ 6 .5
+ 3 .5
+ 7 .5
- 2 .4

70.7
71.2
74.3
74.9
78.1
79.4
81.1
83.5
83.1
84.4
90.0
93.0
100.0
97.6

+ 5 .3
+ 0 .9
(')
+ 5 .8
+ 0 .8
+ 0 .4
+ 6 .2
+ 8 .0
- 2 .2
+ 2 .7
+ 1 .5
+ 3 .9
- 2 .7

72.
76.
76.
76.
81.
82.
82.
87.4
94.4
92.
94.
96.
100.
97.C

1 No change.
2 Based on averages obtained from d ata ranging from 3 to 9 m onths.

In the plants producing a high-medium price shoe, there appears
to have been a continuous though gradual increase in labor produc­
tivity from 1923 to 1929, when their index of man-hour output was
33 percent higher than in 1923. During the next 2 years the labor
productivity in the sample declined and in 1931 the level of the man­
hour output in the sample was about 8 percent lower than in 1929.
The increase in productivity was resumed in 1932. As a result, the
1935 labor productivity index of the sample was 22 percent higher
than in 1931, 13 percent higher than in 1929, and 51 percent higher
than in 1923.
The group of plants producing medium-grade men’s shoes was
probably the most representative of all the three groups. This group
contained a larger number of plants which were more widely scattered
over the country and were operating under a wider range of manage­
ment than either of the other groups. Because this group was manu­
facturing shoes in a wider price range, the labor-productivity trends
of the individual plants were more variable than in the high-medium
group, and the range in actual productivity between the highest and
lowest plants was also larger.
4 Since the num ber of p lan ts available in each group is no t th e same for each year, the combined trend had
to be established b y m eans of a chain index. T h e construction of this index is m ost sim ply explained by
m eans of an example. N ote in table 3 th a t p lants 2,3, and 4 were th e only ones m aking high-grade shoes, for
which data were available for both 1923 and 1924. T h e percentage increases in p roductivity per m an-hour in
those plants from 1923 to 1924 were 3.7,15.2,3.7 respectively. T h e simple average of these changes is +7.5,
which is the percentage change shown in table 4. F o r 192+25, d ata from four plants were available and
th e percentage changes were, respectively, +3.0, —5.0, +13.4, and +3.7. T he average of these four changes
is +3.8, shown in table 4. T his procedure was followed in calculating th e average change for each year.
T h e average changes were th e n linked together, w ith 1935 as 100, to form th e index num ber.


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

282

Monthly Labor Review—February 1939

For the medium-grade group as a whole, there appears to have been
a continuous increase in man-hour output through 1930, when the
index of labor productivity in the sample was slightly more than 18
percent higher than for 1923. During the years of depression, 1930
through 1932, some plants in this group continued to show increases
in productivity while other plants registered decreases, with the result
that for the group as a whole labor productivity remained almost
unchanged. After 1932, however, all plants showed decided increases
in man-hour output and the 1935 index of labor productivity for the
group was 18.5 percent higher than in 1933, 23 percent higher than
in 1929, and 41.4 percent higher than in 1923.
The eight plants in the sample of low-grade shoes were much less
homogeneous than the plants in the other two groups. In the plants
making the high-medium and medium grades of shoes all manufacture
was by the Goodyear welt process. The plants making the low-grade
shoes used not only that process but also the McKay process; they
also manufactured work shoes by the nailed and stitchdown processes.5
For the group as a whole, man-hour output advanced gradually
through 1931, declined in 1932, resumed the advance in 1933, and
continued at a fairly rapid rate through 1934 and 1935. The man­
hour output index for this group in 1935 is 8 percent higher than in
1932, 21.5 percent higher than in 1929, and 38 percent higher than
in 1923.
w o m e n ’s s h o e s

Table 5 presents data on labor productivity in 20 plants specializing
in women’s and growing girls’ shoes, expressed in pairs per man-hour
and in index numbers with 1935 as the base. As in the case of the men’s
shoes, the plants are arranged in the order of their productivity during
1935.
The sample of plants making women’s shoes differs in many respects
from that making men’s shoes. In the case of men’s shoes, all the
plants producing high-medium and medium grade shoes used only
the Goodyear welt process of manufacture. The group manufacturing
women’s shoes used a number of different manufacturing processes—
Goodyear welt, Littleway, cemented, McKay, and miscellaneous.
Again, in the case of men’s shoes, there were practically no significant
changes in the plants studied, either in method of manufacture or in
type of shoe produced, during the entire period 1923-35. In the case
8 Differences in process of m anufacture are characterized chiefly b y th e m ethod used in attaching the sole
to th e upper of th e shoe. If a M cK ay or Goodyear w elt m ethod is used, the shoe and the process of m anu­
facture are designated as “ M cK a y ” or “ Goodyear w elt.” W hen th e sole is attached to the upper b y means
of cem ent the shoe is called cem ented.”
In th e course of evolution each process has become associated w ith definite grades and types of shoes.
M ost of th e m en’s dress shoes are m ade b y th e Goodyear welt process, b u t the cheaper grades of m en’s shoes
are m ade b y th e M cK ay process. W ork shoes are generally nailed. For sim ilar reasons the higher-priced
wom en’s shoes are m ade by th e Goodyear or L ittlew ay, or some variation of these tw o processes, while
the less expensive grades are m ade by th e M cK ay process.


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

283

L a b o r P r o d u c tiv ity in Shoe I n d u s tr y

of women’s shoes, however, some plants included in the sample made
changes in their method of manufacturing and the type of shoe pro­
duced during the period covered by the survey. This was especially
true of the plants producing cemented shoes (which generally replaced
McKay-process shoes between 1926 and 1932).
T a b le 5. —Labor Productivity in the Manufacture of Women’s Shoes, 1923 to 1936
Shoe a n d p la n t

P ro c ­
ess 1

1923 1924 1925 1926 1927 1928 1929 1930 1931 1932 1933 1934 1935 1936«

Number of pairs produced per man-hour
W o m e n ’s shoes:
N o . 1_________
N o . 3...................
N o . 4 _________

L
M
G
L
M
G

N o.
N o.
N o.
N o.
N o.

7...................
8 . ..............._
9_________
10.................
11.................
12.................

M
C
G
C
C

N o . 13.................
N o . 14....... .........
N o . 15.................
G ro w in g g i r l s ’
shoes:
N o . 16...............
N o . 17.................
N o . 18________
N o . 19________
N o . 20...........__

C
G

No.

0
c

MK
MK
MK
MK
S

0. 330
.355
.407
.365
.355
.362

0. 333
.318
.353
.372
.331
.341

0.347
.396
.383
.380
.369
.385

0.372
.428
.380
.392
.440
.414

0. 363
.407
.416
.462
.459
.523

0. 351
..408
.454
.488
.442
.558

. 546 .574 .588 .605 .577
.787 .762 .840 . 812 .805 .814 .744 .742 .696
.526 .537 .548 .532 .575 .571 .562
.563 .490
.615 .716 . 731 .742 .656 .677
.821 .866 .796 .768

.527
.525
.561
.528
.655
.740

.566
.560
.677
.662
.753
.933

.600
.599
.624
.714
.736
.903

.596
.618
.654
.698
.776
.904

.575
.612
.602
.702
.742
.851

0. 385 0. 374 0. 384 0.389 0. 380
.417 .386
.389
0.408 0.397 .361 .414 .431 .399 .380
.389
0. 630 .612 .566 .550 .527 .483 .476 .444

1.120 1.093 1.023 .907 .880 1.126 1.095 1.017 .961
.626 .772 .674 .712 .770 .828 .772 .704 .795 .778 .951 1.040 1.115 1.119
1.486 1.434 1.334 1.123 1.195 1.150 1.085 .911 .940 .938 .981 1.130 1.118 1.063
.872 .799 .817 .783 .648
1.047 1.008 .999 1.122 1.127 1.156
1.107 1.027 1.003 1.044 1.100 1. 221
1.064
1. 529 1.317 1.248 1.177 1.250 1.245

.697
1.102
.993
.825
1. 225

.561
.995
1.015
.886
1.314

.593
.951
1.021
1.018
1.300

.824
1.024
.884
.781
1.290

.975
1.032
1.005
.978
1.424

.921
1.075
1.088
1.081
1.443

.961
1.031
1.094
1.210
1.436

.887
1.049
1.119
1.264
1.506

Index numbers (1935 = 100)
W o m e n ’s shoes:
N o . 1...................
N o . 3 ...................
N o . 4 _________
N o . 6........... .......
N o . 7 - . ...............
N o . 8 _________
N o . 9 ..................
No. 10_______
N o . 11________
N o . 12________

No. 13______
N o . 14________
N o . 15......... .
G ro w in g g ir ls ’
shoes:
N o . 16........... .
N o . 1 7 .. .............
N o . 18.................
N o . 19_______
N o . 20.................

L
M
G

L

M
G

M
C
G

c
c
0
0
G
c

MK
MK
MK
MK
S

106.0 103.2 105.8 107.2 104.8 90.8
102.5 94.8 87.4
93.5 97.8
88.4 86.0 78.2 89.7 93.4 86.4 82.4 79.0
84.8 77.3
120.3 116.9 108.1 105.1 100.8 92.2 90.9 84.8 69.2

91.7
78.0
84.7
80.7
72.1
65.1

95.7
97.3
92.0
82.3
80.4
73.5

102.4
105.3
91.3
84.9
95.8
79.2

100.0
100.0
100.0
100.0
100. 0
100.0

96.7
100.2
109.1
105.7
96.3
106.7

91.6 96.3 98.7 101.6 96.8
127.3 123.5 135.8 131. 3 130.2 131.8 120.4 119.9 112.7
80.5 82.1 83.9 81.3 87.9 87.4 86.0
80.7 70.3
79.3 92.3 94 2 95.7 84.5 87.3
90.8 95.8 88.1 85.0

88.5
85.0
85.8
75.7
84.4
81.9

95.0
90.6
103.5
94.8
97.1
103.3

100. 7
96.9
95.5
102.3
94.8
99.9

100.0
100.0
100.0
100.0
100.0
100.0

96.5
99.0
92.0
100.6
95.6
94.1

110.1 107.4 100.5 89.1 86.5 110.7 107.7 100.0 94.5
56.2 69.3 60.5 63.9 69.1 74.3 69.3 63.1 71.3 69.8 85.3 93.2 100.0 100.4
132.9 128.2 119.3 100.4 106.9 102.8 97.0 81.4 84.0 83.9 87.7 101.0 100.0 95.1
90.8 83.2 85.0 81.5 67.4
101.6 97.7 96.9 108.9 109.4 112.1
101.2 93.8 91.7 95.4 100.5 111.6
88.0
106.4 91.7 86.9 82.0 87.0 86.7

72.5
106.8
90.8
68.2
85.3

58.4
96.4
92.8
73.2
91.5

61.7
92.2
84.2
84.1
90.5

85.8
99.3
80.8
64.6
89.8

101.5
100.1
91.9
80.8
99.1

95.9
104.3
99.5
89.4
100.4

100.0
100.0
100.0
100.0
100.0

92.3
101.7
102.3
104.5
104.9

1 C = c e m e n te d ; G = G o o d y e a r w elt; L = L ittle w a y ; M = m isc e lla n e o u s; M K = M c K a y ; S = s titc h d o w n .
2 A v erag es b ased on d a ta ran g in g from 3 to 9 m o n th s.

Classified on the basis of their 1935 retail prices, the first 6 plants
in the sample fell in the high-medium grade group producing shoes
retailing at over $5 a pair. The next 6 plants constituted the medium
group, making shoes selling at from $3 to $5 a pair. The remaining

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

284

M o n th ly L a b o r R e view — F e b ru a ry 1939

3 plants of women’s shoes and the 5 plants specializing in manu­
facturing shoes for growing girls constitute the low-grade group whose
output sells at $3 a pair or less.6 However, the number of plants
making women’s shoes, for which data were available prior to 1928,
was so small that no attempt was made to establish averages for the
3 groups prior to 1928. The grouping of the women’s-shoe plants
was applied only to the 17 plants for which data were available after
1928 and to the 20 plants for which data were available after 1930.
Table 6 gives the trend of labor productivity separately for the highmedium, medium, and low price groups of women’s shoes.
The high-medium group includes 2 plants using the Goodyear welt
process, 2 plants using the Littleway process, and 2 plants using more
than one process simultaneously. From 1928 through 1932 the aver­
age of these plants showed a continuous fall in man-hour output,
with the result that the index of labor productivity of the group in
1932 is nearly 21 percent lower than in 1928. In 1933, however, the
average productivity of the 6 plants in the group rose more than 10.5
percent above the level of 1932. Another increase of 7.4 percent was
registered in 1934 and still another increase of 8.4 percent in 1935.
As a result, the 1935 index of man-hour output for the sample is more
than 28 percent higher than in 1932 and more than 4 percent higher
than in 1928. In the 2 Littleway plants labor productivity in 1935
was from 9 to 20.9 percent higher than in 1932. In the two Goodyear
welt plants the corresponding increases were 18.1 and 53.5 percent
and in the 2 miscellaneous plants 28.2 and 38.7 percent.
Of the six plants making the medium-grade women’s shoes, three
specialized in the cemented process of manufacturing, one in Goodyear
welt, one changed from McKay to Goodyear and cemented in 1931
and to cemented alone in 1933, and one manufactured women’s shoes
by several processes simultaneously.
T a b l e 6 .—

Trend of Labor Productivity in the Manufacture of Women's Shoes, 1928 to
1936
H igh-m edium grade
Year

1928...____________ ______________
1929_______ .................. .........................
1930_____________________________
1931_____________________________
1932_____________________________
1933_____________________________
1934_____________________________
1935_____________________________
1936 2____________________________

M edium grade

Low grade

Percent
Percent
Percent
of change
Index i
Index 1 of change
of change
Index 1
from year (1935=100) from year (1935=100) from year (1935=100)
to year
to year
to year
- 1 .9
- 5 .3
- 7 .9
- 5 .6
+10.6
+ 7 .4
+ 8 .4
+ 2 .6

96.2
94.3
89.3
82.3
77.7
85.9
92.2
100.0
102.6

+ 1 .8
-3 .6
- 5 .9
- 5 .4
+16.9
+ 1.3
+ 1 .8
-3 .7

95. 0
96.7
93.2
87.7
83.0
97.0
98.2
100.0
96.3

- 6 .8
- 5 .4
+ 2.6
+ 0 .5
+15.4
+ 5.1
+ 1 .4
-0 .5

89 4
83.4
78.8
80.9
81.3
93.8
98.6
100.0
99.5

1 For m ethod of obtaining index, see footnote 4 on p. 281.
2 Based on averages obtained from d ata ranging from 3 to 9 m onths.
6 G enerally shoes for misses and growing girls are treated separately from w om en’s shoes; b u t the price
range of th e growing girls’ shoes covered in the sample, th e m ethod of m anufacture, and th e average m an.
hour p ro d u ctiv ity w arrant th e inclusion of th e 5 plan ts studied in the sample for low-grade w om en’s shoes


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

L a b o r P r o d u c tiv ity in Shoe I n d u s tr y

285

On the basis of the average of the five plants for which data were
available since 1928, together with the data on individual plants
available prior to 1928, it would appear that there was a very slow
rise in productivity in this group of plants from 1926 through 1929.
During the following 3 years, however, man-hour output of the plants
in the sample declined rapidly and the 1932 index for the sample was
14 percent lower than in 1929. The entire loss in man-hour output
was more than recovered in 1933, when the index for the group rose
slightly above that for 1929. Further, although more moderate, in­
creases in labor productivity were registered in 1934 and also in 1935,
and the index for the group rose in 1935 to a level 20 percent higher
than in 1932.
The increases in the labor productivity in 1935 as compared with
1932 were distributed much more evenly among the plants represent­
ing the medium-grade shoes than in the higher-price group. The
range of labor productivity increases for the medium group was from
13 to 32.1 percent, as compared with a range of from 9 to 53.6 percent
in the higher group#.
The low-price group of eight plants is composed of one using the
Goodyear welt and two the cemented (originally McKay) process for
women’s shoes and four using the McKay and one using the stitchdown process for growing girls’ shoes. Beginning with 1928, and for
some plants in the sample beginning with 1927, labor productivity
declined rapidly until 1930. Slight increases in labor productivity
in 1931 and in 1932, followed by a striking increase of 15.4 percent in
1933, not only regained the entire loss since 1928 but raised the index
of man-hour output 5 percent above 1928. Labor productivity con­
tinued to advance in 1934 and again more moderately in 1935, raising
the index for the group to 26.9 percent above that for 1930 and 11.9
percent above the 1928 level.
Factors Affecting Labor Productivity in Shoes
S H O E M A C H IN E R Y

Changes in shoe machinery and more effective application of power
through the use of individual motors are no doubt responsible for a
considerable portion of the increase in man-hour output of shoes
between 1923 and 1935. A special engineering analysis carried out
in connection with the present survey of labor productivity in the
shoe industry indicates that the labor time required to make 100
pairs of medium-grade men’s shoes, such as was included in the 1895
survey by the Commissioner of Labor, declined from 170 man-hours
in 1900 to 106 in 1923, and to 93 man-hours in 1936. The reduction
in man-hour requirements in the production of men’s shoes between
121435— 39------- 3


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

286

M o n th ly L ah or R e view — F e b ru a ry 1 939

1900 and 1923 was thus estimated at approximately 38 percent.
Between 1923 and 1936 labor requirements were further reduced by
approximately 12 percent.7
T a b le 7.— Man-Hours Required for Normal Daily Production of 2,000 Pairs of Men's

Shoes, Assuming Perfect Balance of Work, in Specified Years 1

D epartm ent

C u ttin g ______ _______
F i t t i n g . _____________ . . .
Stock fittin g_______ _______ ______
L asting, __ ________________ .
M aking_______ _________________
Finishing and packing_________________
O perations n o t allocated to a n y d ep artm en t. . . . _____
T o tal_____________________________ _____ ___

1850
(10-hour
day)

1900
(10-hour
day)

1923
(834-hour
day)

1936
(8J4-hour
day)

960
11,130
1,310
2,460
12,160
3, 000

320
992
132
672
693
543
50

178
642
118
319
437
386
44

167
547
110
259
394
352
41

31,020

3,402

2,124

1,870

1 D ata refer to m en’s Goodyear w elt shoes of m edium grade, retailing a t $3 to $5 per pair—calf blucher
oxford, w ith perforated tip, and leather heel in 1900 and com bination leather and rubber heel in 1923 and 1936.

In the field of machinery an important development since 1923
has been the increased use of clicking machines ho replace hand and
hand-die cutting in the cutting room, with a resultant saving of from
40 to 50 percent of labor time. Originally, use of the clicking machine
was limited to the cheapest and most standardized grades of shoes.
Gradually its use has been extended until now most of the mediumpriced men’s shoes are also cut by clicking. The clicking machines
are also used by all the larger manufacturers of cheap and mediumgrade women’s shoes. In the high-grade field, hand cutting still
predominates.
In the stitching room special types of sewing machines have been
developed to meet the requirements of different operations. A
notable characteristic is the latest design of sewing machine, capable
of performing supplementary operations while sewing a seam. For
example, an attachment cuts off the thread automatically instead of
its being done by hand. Another machine has a cutting knife, oper­
ating as part of the machine, which trims the edge of the leather close
to the machine.
The fancy styles in women’s shoes require a tremendous amount
of marking which used to be done by hand in the stitching room.
These hand operations have now been replaced by machines. Per7 T h e engineering analysis, by Sanford B. Thom pson of Thom pson & L ichtner Co., Boston, M ass.,
dealt exclusively w ith the effects of changes in shoe m achinery on m an-hour o u tp u t and disregarded all
other factors influencing labor productivity, such as m anagem ent, quality of leather, styles, etc. T he years
covered were 1850, 1900, 1923, and 1936. T he d ata for 1850 and 1900 were based on the th irteen th annual
report of th e Commissioner of Labor and were checked b y available tim e-study records, while the infor­
m ation for 1923 and 1936 was based on tim e-study records and m aterials subm itted b y th e m anufacturers
of shoe m achinery.
In an average factory w ith an o u tp u t of 2,000 pairs per day, th e num ber of individual m achines used in
m aking th e ty p e of m en’s shoes analyzed in th e stu d y increased from none in 1850 to 170 in 1900 and 235 in
1923, and th en dropped to 224 in 1936. T h e num ber of workers required in such a plant, assuming perfect
balance of w ork, declined from 3,102 in 1850 to 340 in 1900, to 243 in 1923, and to 227 in 1936,


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

L a b o r P r o d u c tiv ity in Shoe I n d u s tr y

287

forating machines have been enlarged and improved, to cut out
designs as well as to perforate and replace the handwork which was
very slow and often done imperfectly.
About 1924 a machine for lasting heel seats relieved the “bedlaster”
of that portion of his work. The machine was first built for use on
women’s shoes but was recently improved for use on men’s welt shoes
as well.
In the bottoming and making department the productivity of
operations on wooden heels for women’s shoes has been greatly in­
creased both by mechanization and by shortcuts. Formerly wooden
heels were used on better-grade shoes only and the work was done
alm o st entirely by hand. Now machines are used to fit the heel
seat, attach the glued heel, trim it, and fasten it with nails driven
from the inside of the shoe.
With the use of lighter, better-tanned upper leathers, the use of
the old wet cloths had been discontinued. In some plants they were
replaced by the installation of humidifiers which, by spraying a fine
mist into the air, made the leather more workable. Since 1923
specially designed mulling cabinets or rooms in which the uppers are
hung before lasting have become increasingly general. The condi­
tion of the uppers can now be suitably and positively controlled to
meet the requirements of different kinds of leather in different seasons
—without excessive moisture in the work rooms and with benefit to
the quality of the finished shoe. The result is economy in the amount
of material used in each shoe and a saving in the number and cost of
“cripples” or spoiled shoes.
STY LE FA CTO R

The increasing complexity of detail in women’s shoes in recent
years has served to reduce labor productivity, particularly in the
stitching department but in some cases also in the cutting and treeing
departments. The increased use of wooden heels in place of leather
or leather-board has slowed down the operations in the bottoming
and making department. However, the growing familiarity with the
work and the development of machinery to replace hand operations
has largely counterbalanced the adverse effects of styles on labor
productivity in these departments. •
The general change in styles of women’s shoes from oxford to pump
and strap types has made edge stitching a very important operation
tending to slow down productivity in the stitching department. Cut­
outs, complicated designs with an increased number of parts, and
fancy stitching result in reduced labor productivity in the cutting,
stitching, and treeing departments.
In men’s shoes the complications of style are fewer and are due
largely to the increase in the number of parts in the uppers, the

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

288

M o n th ly L a b o r R e view — F e b ru a ry 193 9

varieties of leather used, and the increase in importance of white and
two-tone shoes. Additional fancy stitching has slowed down produc­
tivity in the stitching room and if contrasting colors are used, labor
productivity is reduced also in the treeing department.
On the whole the effect of styles has been to slow down and in some
departments greatly to reduce labor producivity. Much of this re­
duction, however, has been counterbalanced by the elimination of
other operations and by the introduction of machinery to replace
hand work in the newer fields.
MANAGEMENT

In addition to the general changes in shoe machinery, which under
the lease system affected all manufacturers of shoes, a number of
plants have been installing special devices to reduce further the amount
of hand labor needed in the process of manufacture and various types
of conveyors to dispatch the work in process from one operation to
another more effectively.
To give but a few examples: One plant reported experimentation
with a women’s automatic heel seater on men’s shoes, with a result
that the operation could be performed about two and one-half times
as fast as by the previous method. A new stapling machine elimi­
nated a stapling operator and a tack puller. A tack-finishing machine
in use since 1933 has displaced two workers by performing in one
handling three operations formerly done by separate operators.
The cumbersome system of large racks, with 36 or more pairs of
shoes, standing near each operator or clogging every free space in the
factory has recently given way to smaller racks of 24 or 12 pairs,
often traveling on a belt from one operation to another. In other
plants the racks have been displaced by a continuous conveyor carry­
ing parts or partly completed shoes from one department to another
and from one operation to another, thus greatly eliminating the
amount of stock in process and indirectly increasing actual man-hour
output of the plant.
EFFECTS OF DEPRESSION

Much of the abrupt drop in labor productivity during the years
of depression, followed in most cases by an equally steep rise in
productivity in 1933, constitute what may be regarded as a reflection
of the system of wage payments and record keeping which prevails
in the shoe industry rather than of actual operations in the course of
manufacture.
More than 90 percent of the wage earners in the shoe industry
are paid on a piece-work basis. As the bundles of pieces or parts
travel from one operation to another and from one department to
another, each carries with it a series of tags or coupons specifying the

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

L a b o r P r o d u c tiv ity in Shoe I n d u s tr y

289

type of operation to be performed. Upon completing their work the
operators tear off and retain their portion of the coupon. These are
submitted to the office once a week and constitute the basis for the
weekly wage of the individual operators. The man-hours actually
spent on the job or in the plant never enter as a factor in this wage
system and have never become a standard practice of record keeping
in the shoe industry.
Very few manufacturers have, therefore, continuous records of
man-hours, though some kept such records during the N. It. A. It
was therefore necessary in most cases to estimate the man-hours of
work from the number of workers employed in the plant or in each
department and the weekly hours worked by the plant or the depart­
ment. These estimates assume that in a given week all the workers
on the pay roll in each department were at work during the entire
time the department as a whole was in operation. In normal times
the man-hours so estimated correspond closely with the actual man­
hours, including, of course, such time as may be lost by the workers
while waiting for work or because of breakage of machinery, and other
interruptions. In slack times, however, many workers, though
carried on the pay roll, would actually be on the job or in the plant
only part of the time, even if the department as a whole showed
regular hours of operation. A check of the estimated with the actual
man-hours, when such records were available for some periods, indi­
cated a wide variety in the relationship of these figures in different
periods, depending very largely on the volume of operations at the
time. Several plants showed close correspondence between the
estimated and the actual hours throughout the year, but most plants
showed great irregularity, particularly during periods of low pro­
duction.
Because of this discrepancy between the estimated and actual man­
hours of work many plants covered by the survey registered a pro­
nounced drop in labor productivity during the years of the depression.
However, the effects of the depression on the several grades of men’s
and women’s shoes were quite different.8 In the case of high-medium
grade men’s shoes, labor productivity declined sharply in 1930 and
again in 1931 (chart 2). In the medium-grade shoes productivity
rose moderately in 1930 but declined slightly in 1931, while in the
low-priced shoes labor productivity advanced both in 1930 and 1931.
* A lthough there are no statistics showing the effects of th e depression on the different grades of shoes
m anufactured, it is com m on knowledge among shoe m anufacturers th a t the depression caused large shifts
in the dem and from more expensive to m edium and cheaper grades of shoes. After the 1930 drop in total
production from 360 m illion to 304 million pairs, total production rose to 316 million in 1931, dropped to 313
million in 1932, and rose to 350 million in 1933. D uring these years th e average value per pair of shoes
m anufactured declined from $2.67 in 1929 to $2.37 in 1930, $2.07 in 1931, and $1.58 in 1933.


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

290

M o n th ly L a b o r R e view — F e b ru a ry 1 939

Assuming that during the years of the depression a drop in labor
productivity reflected to a considerable degree a reduction in the total
production of shoes, it would appear that during the first year of the
depression the decline in the total production of shoes was largely at
the expense of the high-grade shoes. The medium-grade products
probably held their own, but the sale of lower-priced shoes increased
noticeably. The second year of the depression apparently affected
also the medium-grade shoes to the point of turning downward the
labor-productivity trend in this group while in the low-grade shoes
labor productivity continued to advance. The drop in the total

production of shoes in 1932 must have also affected the low-grade
shoes, as reflected in the drop in labor productivity for this group,
although in the high-medium and medium groups man-hour output
began to advance.
In the case of women’s and growing girls’ shoes, labor productivity
in the high-medium and medium grades declined sharply from 1930
through 1932. In the lower-grade shoes, however, man-hour output
fell in 1930 but advanced slightly in 1931 and again in 1932, thus
following to some extent the trend of the low-grade men’s shoes
(chart 3).

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

L a b o r P r o d u c tiv ity in Shoe I n d u s tr y

291

The adoption of the President’s Reemployment Agreement in
August, followed by the Code of Fair Competition in October 1933,
helped to reduce, if not 'altogether to remove, the discrepancy between
estimated and actual man-hours. The restriction of the hours of work
to a maximum of 40 per week and the minimum-wage regulations of
the code compelled managements not only to inaugurate a more
effective system of record keeping (including man-hours) but also
made them improve their systems of planning the work and its dis­
tribution among the departments and their numerous subdivisions.
The year of the introduction of the N. R. A. was also marked by a
very large increase in the production of shoes in the United States,
which in turn contributed to the spurt in man-hour output that
occurred in 1933 in all the plants covered by the survey. The increase
in the total production of shoes continued during 1934 and 1935 and
was accompanied by further, though more moderate, increases in
labor productivity during these 2 years.
In April 1935 the N. R. A. was invalidated by the Supreme Court
and with it went the wage and hour restrictions in the shoe industry.
When the Bureau’s survey was made in 1936, some plants reported
the voluntary continuation of the N. R. A. regulations, but many
plants had reverted to the old system of irregular hours of work and
had abandoned the short-lived habit of keeping records of man-hours
imposed by the code. This partly explains the 1936 drop in the man
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

292

M o n th ly L a b o r R e view — F e b ru a ry 1 939

hour output in a large number of plants included in the survey: 14 of
the 23 plants in the men’s sample and 11 of the 20 plants in the
women’s sample registered declines in labor productivity in 1936.
These reductions ranged from about 1 to 9 percent in the case of
men’s shoes and from about 1 to 8 percent in the case of women’s
shoes.
Other plants, however, registered substantial increases in labor
productivity in 1936 ranging as high as 6 percent in output of men’s
shoes and 9 percent in that of women’s shoes. Besides, the data for
1936 represent averages varying from 3 months in some plants to 9
months in other plants and are not strictly comparable with the aver­
ages for the preceding years based on 12-month periods. It is there­
fore impossible to tell what the real effects of the abolition of the code
have been on labor productivity in the shoe industry until such time
as additional records covering the whole of 1936 and 1 or 2 subse­
quent years become available.


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

PROGRESS OF STATE M INIM UM -WAGE LEGISLATION,
1938
B y L ouise S titt and F lorence P. S mith , U. S. Women’s Bureau

EACH of the past 3 years has added a dramatic chapter to the history
of minimum-wage legislation in the United States. In 1936 the
United States Supreme Court declared the women’s minimum-wage
law of New York unconstitutional. In 1937 the same court reversed
its earlier decisions, and held constitutional the minimum-wage law
for women in the State of Washington. The importance of the 1937
decision is evident in the almost spectacular State activity which
followed in the field of minimum wage. This activity in turn showed
how ready the country was to accept the legislative method of main­
taining the wages of women at a living level. The year 1938 was
outstanding because of the passage of the Federal Fair Labor Stand­
ards Act. Though the present article deals with the progress of
State minimum-wage legislation in 1938,1 it is impossible to write of
such legislation without at least a passing reference to this new law,
which is one of the most far-reaching single pieces of minimum-wage
legislation ever enacted by any country.
Though the Fair Labor Standards Act of 1938, better known as the
wage and hour law, covers approximately 11,000,000 employees in
the United States, it provides no protection for other millions of
workers employed in intrastate industry over which the Federal
Government has no control. It is of the utmost importance, there­
fore, that the States continue to extend the protection of minimumwage legislation through State laws and orders.
During 1938 only 3 States were added to the list of those having
minimum-wage laws, but this apparent inactivity was due to the
fact that legislatures were in session in only 5 States that had not
previously enacted minimum-wage laws. Kentucky and Louisiana
enacted new laws in 1938, making a total of 25 States 2 plus the
District of Columbia, and Puerto Rico. Their addition is of unusual
significance, because except for Arkansas and Oklahoma, these are
the only southern States which have passed minimum-wage laws.
In March 1938 the law of Kansas was declared by the attorney
general of that State to be again valid, after being held unconstitu­
tional since 1925.
The real progress of State minimum-wage legislation in 1938
should be measured, not by the number of laws passed, but by the
1 For article on development of minimum -wage legislation in 1937, see M onthly Labor Review, January
1938 (p. 194).
2 Arizona, A rkansas, California, Colorado, C onnecticut, Illinois, K ansas, K entucky, Louisiana, M assa­
chusetts, M innesota, N evada, New H am pshire, New Jersey, New Y ork, N orth D akota, Ohio, O klahoma,
Oregon, Pennsylvania, R hode Island, South D akota, U tah , W ashington, and W isconsin.


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

293

294

M o n th ly L a b o r R eview — F e b ru a ry 1 9 3 9

number of women who have been brought under the protection of
existing laws by new wage orders issued, and by the high standards
set by these orders. During the year 37 wage orders, establishing
minimum wages for almost a quarter of a million of women, were
issued by 12 States and the District of Columbia. In the course of
the 21 months between the Supreme Court’s favorable decision in
the Washington case and January 1, 1939, 58 orders were issued.
These orders represent more than 50 percent of all those issued in
the 26-year interval following the passage of the first State minimumwage law. These figures emphasize again the important effect that
the Supreme Court decision had upon minimum-wage activity, and
the rapid progress that can be made when the uncertainty concerning
the constitutionality of this type of legislation is removed.
The highest minimum wage established for women only during the
year was $18. The District of Columbia set this rate for beauty
shops, for working weeks of from 36 to 48 hours. Women working
less than 36 or more than 48 hours must be paid 50 cents an hour.
The Oklahoma wage orders for the automotive industry and for
wholesaling and distributing provide for $18 a week for both men and
women, and the minimum wage for registered pharmacists in Okla­
homa is even higher. But few women are employed in the industries
for which Oklahoma has established these higher wages. It is inter­
esting to note that 98 percent of the rates set by State orders for
women during 1938 are higher than the 25 cents an hour established
by the Federal Fair Labor Standards Act for the first year, and that
about 90 percent of the State rates equal or exceed the 30 cents pro­
vided for under the Federal Act for the 6 years following October 24,
1939. Moreover, 44 percent of the 1938 State rates are as high as or
higher than 35 cents an hour.
During 1938 some of the minimum-wage States experimented with
a new principle in minimum-wage determination. The initiative was
taken by New York when the wage board for the laundry industry
recommended a guaranteed weekly wage. Because of the great
irregularity in working time in this industry many women were receiv­
ing only a few hours’ work a week. The New York wage board
realized that the establishment of an hourly minimum wage, even
though high, would guarantee women working in the industry neither
a regular nor an adequate income. The board recommended, there­
fore, that women be paid a specified minimum weekly wage, irrespec­
tive of the number of hours worked, up to 40 a week. It was hoped
that such improvement in the regularity of work would result from
this regulation that the employers as well as the workers would benefit
because of a higher level of efficiency.
Following the New York laundry order, which became effective
March 14, 1938, several States adopted the guaranteed-wage prin
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

S ta te M in im u m -W a g e L e g isla tio n , 1938

295

ciple for laundries and other industries, in a somewhat modified form.
Colorado, for example, requires that the same wage be paid to laundry
workers who work 40 hours a week or less, but it allows women who
prefer to work regularly as part-time workers to be paid on an hourly
basis, providing special permits are secured. In the District of Colum­
bia laundries, $14.50 must be paid for weeks ranging from 17 through
44 hours, and in Pennsylvania 17 hours of work in laundries yield
the same wage as 30 hours. Beauty culture and confectionery manu­
facturing are other industries for which the weekly guaranty in some
form has been adopted.
Court Decisions
Though the constitutionality of minimum-wage laws for women
was established by the Supreme Court decision of 1937, the year 1938
was marked by three court cases, brought by employers, involving
the laws of Oklahoma, Minnesota, and Utah. In all three cases the
procedure followed by the administrative officers in promulgating
wage orders was challenged. The important issue in the Oklahoma
case, however, was the constitutional right of the State to fix minimum
wages for men, the Oklahoma law being the only State minimumwage statute to cover men as well as women. The case has not y e t3
been settled by the Supreme Court of Oklahoma, to which it has been
appealed.
On December 14, 1938, the Supreme Court of Utah held constitu­
tional the minimum-wage law for women of that State, but declared
void the first wage order issued by the industrial commission, on
the ground that persons affected by the order had not been given an
adequate hearing.4
The procedure of the Industrial Commission of Minnesota, which
had issued a blanket wage order covering women employed in all
industries in the State, was attacked in court on several counts. The
case was dismissed when the commission agreed to refrain from en­
forcing the order, for those industries bringing the suit, until each
industry could be given an opportunity to be heard. By the end of
December 1938, the future course of the commission had not been
decided, as the public hearings were still in progress.
Cost-of-Living Studies

In view of these court cases, the painstaking care of some States in
collecting factual data, especially cost-of-living data, upon which to
base wage orders is noteworthy. Since the Supreme Court decision
in March 1937, Arizona, Colorado, the District of Columbia, New
Jersey, New York, Pennsylvania, and Utah have made cost-of-living
s E n d of Jan u ary 1939.
« For sum m ary of this case, see p. 353 of this issue.


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

296

M o n th ly L a b o r R e view — F e b ru a ry 1939

studies. The figures arrived at, showing the yearly and weekly cost
of maintaining a self-supporting woman at an adequate standard of
living are shown in the following statement.
Per year

Arizona___________
Colorado__________
District of Columbia.
New Jersey________
New York_________
Pennsylvania______
Utah______________

$1, 032.
975.
1, 118.
1, 147.
1, 192.
1, 094.
924.

34
08
49
82
46
83
28

Per week

$19.
18.
21.
22.
22.
21.
17.

85
77
51
07
93
05
77

Though no wage board has as yet deemed it practicable to recom­
mend for women a wage as high as the amount found necessary to
meet the cost of living, these figures have furnished valuable guides to
wage-board members and should provide the kind of evidence required
by courts in determining the reasonableness of wage orders issued.
Provisions of 1938 Wage Orders

A summary of the provisions of all minimum-wage orders adopted or
made mandatory during the year 1938 is presented in the following
table.


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

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938 1
W age rates for—
State and in d u stry covered

Hours
Experienced workers

Learners

Women and female minors

48 per week (8 per day, 6 days), or 42 per
week (6 per day, 7 d ays).
Less th a n 4 days per week, 8 hours each_____

$12.50 per week for first 6 m onths, $14 for
second 6 m onths.
27)<i cents per hour for first 6 m onths, 30
cents per hour for second 6 m onths.
Women and minors

Colorado
L aundry (m andatory, June 20,1938):
Zone A (D enver, Pueblo, and w ith in a
radius of 15 miles; also (from Ju n e 1
to Sept. 1) Colorado Springs, Estes
Park, and w ith in a radius of 15 miles).
Zone B (rem ainder of State) and (from
Sept. 2 to M ay 31) Colorado Springs,
Estes P ark , and w ith in a radius of 15
miles).
R etail (adopted, Dec. 3, 1938; m andatory,
Jan . 16, 1939):
Zone A (cities of 30,000 or more popu­
lation and 5 miles beyond th eir bound­
aries).

40 per week or less - . _ ________________
Over 40 to 45 per w eek_____ __ ___________
Over 45 to 48 per week (maximum 8 per day,
6 days per week).

Tim e and one-half______________________

40 per week or less_______________________
Over 40 to 45 per w eek____ __________ ____ 28 cents per hour. _ __________________ _
Over 45 to 48 per week (maximum 8 per day, Tim e and one-half................................... . . .
6 days per week).
Less th a n 24 per week
___ ____ _________ 28 cents per ho u r______________ _____ _
48 per week 2..................................... ................... $14 per week; 29H cents per hour............

Over 48 to 56 per week 3.......... ....................... ..

29)fs cents per hour for 3 peak weeks during
first half of year and 4 peak weeks during
second half.
Tim e and a half the regular rate during
the rem ainder of year.
Less th a n 48 per w e e k ........................................ 29)4 cents per hour___________ _____ ____

See footnotes at end


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

of

table.

20 percent less th a n hourly rate for first 2
weeks.

Do.

W omen: 75 percent of hourly m inim um
for experienced women for first 4 m onths.
M inors: 75 percent of hourly m inim um for
experienced women for first 3 m onths;
87H percent for next 3 m onths.

S ta te M in im u m -W a g e L e g isla tio n , 1 938

Arizona
R etail (directory, Dec. 1, 1938; m andatory,
Feb. 1, 1939). (Area extending 5 miles
from port of e n try a t Nogales excepted.)

to

vO

to
'O
co

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
W age rates for—
S tate and in d u stry covered

H ours
Learners

Experienced workers
Women and Minors—Continued

Colorado—C ontinued

Zone C (towns and com m unities under
5,000 population).

Connecticut

48 per week 3__________
Over 48 to 56 per week 3.

Less th a n 48 per week..
48 per week *_________
Over 48 to 56 p er w e e k :

Less th a n 48 per week.

M en ’s single pan ts (directory, Feb. 15, 1938). 9 per day, 48 p er week (m axim um for women
and minors u n d er 18).
L au n d ry (directory, M ay 10,1938).................. 32 to 35 per w eek_________________________
Over 35 per week (m axim um 48 hours for
women and m inors under 18).
31 or less per w eek................................................
Cleaning and dyeing (adopted Dec. 7, 1938;
directory, Jan. 9, 1939):
P la n t employees............................. ............. 48 per week (m axim um for w omen and
minors un d er 18).
Store, office, delivery employees, etc___ 41 to 48 per w eek........ .............. . .......................
Less th a n 41 per w eek_________ _____ _____
District of Columbia
Public housekeeping (m andatory, M ay 8,
1938):
Telephone operators, hat-check girls,
elevator operators, cashiers, clerical
workers, and all similar workers.
C ounter girls, salad girls, food checkers,
cooks, bus girls, and sim ilar workers.


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

$13 per week; 27}ii cents per h o u r________
27Ha cents per hour for 3 peak weeks d u r­
ing first half of year and 4 peak weeks
during second half.
Tim e and a half the regular rate during
rem ainder of year____________________
27Ha cents per hour____________________
$11 per week; 224M2 cents per ho u r____ . . .
$11 per week for 3 peak weeks during first
half of year and 4 peak weeks during sec­
ond half.
Tim e and a half th e regular rate during
rem ainder of year____________________
224H 2 cents per hour___________________

W omen: 75 percent of hourly m inim um
for experienced wom en for first 4 m onths.
M inors: 75 percent of hourly m inim um for
experienced w om en for first 3 m onths;
87 H percent for next 3 m onths

35 cents per hour.

20 cents per hour for first 3 m onths; 25 cents
per hour for second 3 m onths.

Do.

$10.50 per w eek...
30 cents per hour.
33 cents per hour.
35 cents per hour.
$14.40 per w eek...
35 cents per hour.

40 to 48 per week or standard week 4_______ $17 per w eek____
Less th a n 40 per week or th a n standard week. 40 cents per hour.
40 to 48 per week or standard week 4_______ $16.50 per w eek...
Less th a n 40 per week or th a n standard week. 40 cents per hour.

30 cents per hour for first 4 m onths.

M o n th ly L a b o r R e view — F e b ru a ry 1939

R etail (adopted, Dec. 3, 1938; m an d ato ry ,
Jan . 16, 1939)—C ontinued.
Zone B (cities and tow ns of 5,000 and
under 30,000 population).

C ham berm aids, parlor m aids, linenroom girls, cleaners, janitresses, char­
w om en, vegetable girls,¡dish and glass
w ashers, kitch en help, and all similar
w orkers.
W aitresses___________________________

Store clerks and similar workers.
Office w orkers, elevator and telephone
operators, and sim ilar workers.

36 to 48 per week or standard week 4............... $13.25 per week; $16.50 where tipping is not
allowed.
Less th an 36 per week or than standard week. 40 cents an h o u r..............................................
(D eductions allowed for meals or lodg­
ing).
Over 16 to 44 per w eek........................................
Over 44 to 48 per week, or over 88 in 2 con­
secutive weeks.5
16 or less per w eek ............ ..................................
40 to 48 per week or standard week (maxi­
m um 8 per day, 48 per week).
Less th an 40 per week or th a n standard week
40 to 48 per week or standard week (maximum
8 per day, 48 per week).
Less th a n 40 per week or than standard week.

$14.50 per w e ek ...
35 cents per hour.
40 cents per hour.
$17 per w e ek .___

40 cents per hour.
B eau ty cu ltu re or cosmetology (m andatory,
Sept. 26, 1938):
B eau ty culturists, cosmetologists, m ani­ 36 to 48 per week or standard w eek 5________ $18 per w eek____
curists, hairdressers, and sim ilar work­ Less th an 36 per week or th a n standard week. 50 cents per hour.
Over 48 per week 6__________ ____ ________ ....... d o ....................
ers.
R egistered learners______ ____ _______ 36 to 48 per week or standard w e ek 9________
Ju n io r operators........... - .............................. ...... do.9...........................................................
Cashiers, telephone operators, appoint­ ___ do.9...........................................................
m en t desk clerks, clerical workers, and Less th a n 36 per week or than standard week.
Over 48 per week 9......................................... ....
sim ilar workers.
M aids and cleaners...................................... 36 to 48 per week or standard week 9...............
Less th an 36 per week or th a n standard w eek.
Over 48 per week 9................................................
Illinois
B eau ty cu ltu re (directory, Oct. 21, 1936;
m an datory, M ar. 21, 1938):
R egistered b eau ty culturists, m anicur­
ists, desk clerks, and shop managers.

M aids.

See footnotes at end of table.


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

$14.50 per week for first 2 m onths.

40 cents per hour.
$17 per w eek____

$17 per w eek........
40 cents per hour.
....... do....................
$14.50 per w e e k 35 cents per hour.
....... do....................

45 to 48 per w eek...................

$16.50 per w e e k -

Over 48 per week 7................

55 cents per hour.

Sundays and legal holidays.

74 cents per hour.

45 to 48 per w eek_________
Over 48 per week 7................
Sundays and legal holidays.

$15 per w eek........
50 cents per hour.
66 cents per hour.

$13 per week.
$15 per week for 4 m onths after issuance of
operator’s license.

$10 per week for first year; $12.50 for second
year.
33 cents per hour for first year; 42 cents per
hour for second year.
44 cents per hour for first year; 56 cents per
hour for second year.

S ta te M in im u m -W a g e L eg isla tio n , 1 938

L au n d ry , d ry cleaning, and dyeing (m anda­
tory, Ju ly 5,1938):
Pro d u ctiv e p lan t workers and similar
w orkers.

40 to 48 per week or standard week 1_______ $14.50 per w eek...
Less th a n 40 per week or th a n standard week. 35 cents per hour.

to

vO

300

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
Wage rates for—
State and in d u stry covered

H ours
Experienced workers
Women and minors—Continued

Illinois—C ontinued

48 per week 7___
8 per d ay or less.

30 cents per h o u r.__________ ___________
$3 per d ay.......................... ................................

Over 8 per d a y 7.

Same as rates for more than 48 hours per
week.

Massachusetts
D ruggists’ preparations, p ro p rietary m edi­ 9 per day, 48 p er week...
cines, and chemical com pounds (directory,
M ar. 1, 1938; m a n d a to ry , N ov. 1, 1938).
Bread and bakery products (directory, M ay
' 1, 1938; m andatory, N ov. 1, 1938):
Cities of 100,000 population and over___ F u ll tim e 8.
Cities and tow ns of 25,000 and un d er ___ do.8___
100,000 population.
Cities and tow ns of u n d e r 25,000 popula­ ___ do.8___
tion.
Pocketbook and leath er goods (directory, 40 per week.
M ay 1,1938; m andatory, N ov. 1, 1938).
Over 40 per w e e k 8.........
P aper box (directory, Aug. 1, 1938; m an d a­ 9 per day, 48 p er w e ek 8.
tory, N ov. 2, 1938).
M illinery (directory, Oct. 1, 1938; m an d a­
tory, Feb. 1,1939):
F ro n t shop................... . ................................ ___ do.8_____
B ack shop................ ..................................... ___ do.8_____
Canning and preserving, m inor lines of con­ 44 per week 8.
fectionery and food preparations (direc­
tory, Dec. 1, 1938).


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

35 cents per hour.

25 cents per hour for less th a n 6 m o n th s’
service; 30 cents per hour for 6 m onths to
1 year.

$14 per w eek..................................
$13 per w e e k .............................. .
$12 per w eek................................
$14 per week, 35 cents per hour.
35 cents per hour.
___ do....................

___ do....................................
___ do........ ...........................
$14.25; 32.4 cents per hour.

$10.50 per week, 26H cents per hour tor less
than 3 m onths’ service.
26H cents per hour.
30 cents per hour for less th a n 6 m o n th s’
service.
25 cents for first 10 weeks.
$11 per week, 25 cents per hour for first
6 months.

M o n th ly L a b o r R e view — F e b ru a ry 1939

B eauty culture (directory, O ct. 21, 1935;
m an d ato ry . M ar. 21, 1938)—C ontinued.
Cleaning wom en_______________ ______
Part-tim e, except cleaning women (less
than 45 hours per w eek).
O v ertim e.................................................

Learners

Women and minors 18 years and over
Minnesota
A ny occupation. Exceptions: L au n d ry , res­
ta u ra n t, needlework, and telegraph *
(m andatory, Ju ly 11, 1938):
Class A (cities, towns, villages, boroughs,
or tow nships of 50,000 or more in h ab i­
ta n ts).

36 to 48 per week__________ ____ __________
Over 48 1(1or less th a n 36 per w eek________

36 cents per h o u r..

___________

Minors between 16 and 18 years
36 to 48 per week........
........ ............ ...............
Over 48 10 or less th an 36 per w eek_________ 29 cents per h o u r.. __________________
Women and minors 18 years and over
Class B (cities, towns, villages, boroughs,
or tow nships of more th a n 5,000 and
u n d e r 50,000 in h ab itan ts).

36 to 48 h o u rs ...________ ______ ___________
Over 48 10 or less th a n 36 per week................... 30 cents per h o u r._________ ________

$10.80 per week for first 3 m onths; $12.15
per week for second 3 m onths.
24 cents per hour for first 3 m onths; 27 cents
for second 3 m onths.

Minors between 16 and 18 years
36 to 48 per week_________ ____ ____ ____ _
Over 48 >° or less th a n 36 per week_________

24 cents per ho u r_______________________

S ta te M in im u m -W a g e L e g isla tio n , 1 938

$12 per week for first 3 m onths; $13.50 for
second 3 m onths.
29 cents per hour first 3 m onths; 32 cents
per hour second 3 m onths.

Women and minors 18 years and over
Class C (cities, towns, villages, boroughs,
or tow nships of 3,000 to 5,000 inhabi­
ta n ts).

See footnotes at end of table.


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

36 to 48 per week............................ ............... .
Over 48 10 or less th a n 36 per week_________

27 cents per hour_______________________

$9.60 per week for first 3 m onths; $10.80 for
second 3 m onths.
22 cents per hour for first 3 m onths; 24 cents
per hour for second 3 m onths.
OJ

o

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
W age rates for—
State and in d u stry covered

H ours
Experienced workers
Minors between 16 and 18 years

M innesota—C ontinued

36 to 48 per w eek ......... ..................................... . $9.60 per week.................................................. .
Over 48 10 or less th a n 36 per w eek................... 22 cents per ho u r...... .........................................
Women and minors 18 years and over

Class D (cities, towns, villages, bor­
oughs, or townships under 3,000 in h ab ­
itan ts).

36 to 48 per w e e k ................................................ $11 per w eek............................. ......................... $8.80 per week for first 3 m onths; $9.90 per
week for second 3 m onths.
Over 48 i° or less th a n 36 per week................... 24 cents per ho u r............................................... 19 cents per hour for first 3 m onths; 22
cents per hour for second 3 m onths.
Minors between 16 and 18 years
36 to 48 per w e ek ..................................................
Over 48 10 or less th a n 36 per week...................

$8.80 per w eek ...................................................
19 cents per hour...............................................
Women and minors

N ew Hampshire
L au n d ry (directory, M ay 1, 1936; m an d a­
tory, Ju ly 1, 1938).
R estau ran t (directory, A pr. 1, 1936: m an d a­
tory, N ov. 1, 1938):
Service_______ _________________ _____
N onservice_________________ ______ . . .
All (if meals are no t furnished)________


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

10H per day, 54 per week (m axim um for
women and minors u nder 18).

28 cents per ho u r________ _____ ____ ____

$7 per w e e k ........................... ...........................
$9 per w eek.......... ....... ...................................
25 cents to be added for each m eal n o t
allowed while on d u ty .
(D eduction allowed for lodging.)

25 cents per hour for first 3 m onths.

M o n th ly L a b o r R eview — F e b ru a ry 193 9

A ny occupation—C ontinued.
Class C, etc.—C ontinued.

Learners

B eautician (directory. M ar. 15, 1938):
Licensed hairdressers..........................
Licensed operators and hairdressers.
A p p ren tices..................................
Students w orking on customers.

10)i per day, 54 per week (m axim um for
women and minors under 18).
do.

31M cents per hour
25 cents per hour for less th a n 1 y ear’s
service.
$3 per week for service of 3 to 6 m onths.
50 percent of charge for the service.

do.
do.

N ew York

Zone B (cities outside zone A w ith popu
latio n over 18,000; from June 15 to
Sept. 15, resort counties ")•

40 per week or less.............................................. $14 per w eek.......................................................
Over 40 to 45 per w eek........................................ 35 cents per h o u r.______________________
Over 45 per week (m axim um 8 per day, 48 Tim e and a half.................................................
per week for women and m inors under 18).
40 per week or less................................................ $12.80 per week (to D ec. 31, 1938); $13.20
per week (Jan. 1, 1938, to Ju ly 1, 1939);
$13.60 per week (July 2,1939, to Dec. 30,
1939); $14 per week (after D ec. 30, 1939).
Over 40 to 45 per w eek....................................... 32, 33, 34, a nd 35 cents per hour, respec­
tively, for periods as indicated above.
Over 45 per week (m axim um 8 per day, 48 Tim e and a half.................................................
per week for women and minors under 18).
45 per week or less_______________________ 30 cents per h o u r . .. _____ _______________
Over 45 per week (m axim um 8 per day, 48 Tim e a nd a half................................................
per week for women and m inors under 18).

Zone C (rem ainder of State, including
resort counties 41 from Sept. 15 to
June 15).
B eau ty shop (directory, A ug. 1. 1938):
All (except m aid s)........................................ 45 per week or less................................................
M aid s............................................................... ____do ......................................................................
A ll.................................... ................................ Over 45 to 48 12.......... ...................................... .
Over 48 12..........................................- .............. .
8 per d ay or less, 3 days per week or less.......
Over 8 per d ay 12_________________________
Confectionery (directory, N ov. 14, 1938) . . . 40 per w eek_____________________________
Over 8 per day or 40 per week (maximum
8 per day, 48 per week for women and
minors u nder 18).

$16.50 per w eek.............................
$15.00 per w eek ................ ...........
Tim e and a half...... .....................
D ouble tim e _________________
$4 per d a y .......................................
Tim e and a half........ ....................
$14 per week, 35 cents per hour.
52)6 cents per hour 13...................

Sept. 1 to A pr. 1:
$10 per w eek____
$11.20 per w eek...
35 cents per hour.
Apr. 1 to Sept. 1:
$7 per w eek_____
2 days per week or less......................................
$8.40 per w eek__
3 days per week 15. ...............................................
35 cents per hour.
Over 3 days per w eek..........................................
3 days per week or less------------- --------- -----4 days per w e e k 14.................................................
Over 4 days per w e e k .........................................

S ta te M in im u m -W a g e L e g isla tio n , 193 8

L a u n d ry (directory, M ar. 14, 1938; m an d a­
tory , A ug. 22,1938):
Zone A (N ew Y ork C ity , W estchester
and N assau C ounties).

See footnotes at end of table.


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

GO

o
CO

304

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
W age rates for—
State and in d u stry covered

H ours
Experienced workers

Oklahoma u

Learners

Females

Males
Class A 17_............................................ .........
Class B u_._______________________ ___
Class C 17.......... .............................................

25 cents per hour, $13.50 per w eek________

Females
Cleaning and dyeing (m andatory, M ay 1,
1938):
Class B *7______________________ _____
Class C 17________ __________________

27)4 cents per hour, $13.20 per w eek___

Males
Class A 17__________ _____ _______ ____
Class B >7____ _______ _____ ___________
Class C u ____________________________

36 cents per hour, $19.44 per w eek.......... .
30 cents per hour, $16.20 per w eek________
25 cents per hour, $13.50 per w e e k .. . . ..
Females

R etail m ercantile (m andatory, M ay 1, 1938):
Class A 17_______________ _____ _______
Class B » __ ______________ ________
Class C 17..............................


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

$15 per w e e k .......................................... ...........
$12 per w e e k .__________________________

-

M o n th ly L a b o r R eview — F e b ru a ry 193 9

L aun d ry (m andatory, M ay 1, 1938):
Class A17______________________ ____
Class B >7__________________ ____ _____
Class C 17______________________ _____

Males
Class A 17........................................................ 9 per d ay (12 on 1 day per week), 64 per week. $18 per w eek___________ ____
Class B 17........................................................ 10 per day (l2 on 1 day per week), 57per w eek. $16 per w e e k ........... ..............
Class C 17______ _____________________ 10 per day (12 on 1 day per week), 59 per week. $13 per w eek____________ .
Females

(D eductions allowed for meals.)
Males
Class A 17..................................................... . 9 per day, 54 per week______________
Class B 77...................................................... 10 per day, 56 per w eek_________________
Class C 17____________________________ 10 per day, 58 per week____________
(D eductions allowed for meals.)
Females
Hotel (m andatory, M ay 1.1938):
Class A 17____________ ______ _________ 8 per day, 48 per w eek____________________
Class B 17____________________________ ____do___________________________________
Class C 77____________________________ ____do_______________________________ ___
Males
Class A 17. . ..................................................... 9 per day, 54 per week___ _______________
Class B 77...................................................... 10 per day, 57 per w eek___________________
Class C 77...................................... .................. 10 per day, 59 per w eek___________________

S ta te M in im u m -W a g e L e g isla tio n , 1 9 3 8

R estau ran t (m andatory, M ay 1,1938):
Class A 17................... . . .............. .............
8 per day, 48 per w eek________________
Class B 77........ ...................... .......................... ------do_________________________ _
Class C 17______________________ _____

See footnotes at end of table.

305


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

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
W age rates for—
State and in d u stry covered

Hours
Experienced workers
Females

Oklahoma—C ontinued

$15.00 per w eek---------- ------ ------------------$12.50 per w eek------------------------------------$12.00 per w e e k ...----------- ---------------------Males
$15 per w eek___________________________
$14 per w eek------------- -------- ----------------$13 per w eek------ ----------------------------------

17

Males and females
W holesaling and
M ay 1, 1938).

retailing

(m andatory,

9 per day, 48 per week------------------------------

$18 per w eek------------- -

---------------------

Females
Autom otive (m andatory, M ay 1, 1938):
niass f j 17


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

$18 per w eek____________ ____ __________
$16 per w eek---------------------------- ------ ----$14 per w eek_____________ _____ ________
Males
$18 per w eek................................................... .
$16 per w eek................ ......................................
$14 per w eek................ ......................................

M o n th ly L a b o r R eview — F e b ru a ry 1939

Office building (m andatory, M ay 1, 1938):
n i as:« \ u
m ass t* 17

c,

Learners

Males and females
R etail drug, i. e. registered pharm acists
(m andatory, M ay 1, 1938):
Class A 17....................................................... .
Class B 17___________________________
Class C 17__________________ _________

$32 per w eek____ ______ ________ ________

Women
Oregon
10 per day, 44 per week 18______ __________

30 cents per h o u r_______________ ________

H ospitals, i. e., cooks, waitresses, kitchen
helpers, janitresses, or general charwomen
(m andatory, M ar. 15, 1938).

9 per day, 44 per week w ith 36-hour rest
period following; or 7 per day, 44 per week,
if on d u ty 7 days per week.
O vertim e (in em ergency)_________________

30 cents per ho u r_______________ ________
Tim e and a-half th e regular ra te ........... .......
Females

F ru it and vegetable packing. Exception:
Office force (m andatory, Aug. 21, 1938).
Seventh day—first 8 hours________________
Seventh day—over 8 to 12 per day_________
Seventh day—over 12 per d a y _____________

Tim e and a q u a rte r__________ ______ ___
Tim e and a half. . . . ...................................
Double tim e _______________ _____ •._____
Women and minors

N u t processing, bleaching, grading, or pack­
ing p lan ts (m andatory, N ov. 16, 1938):
C racking and shelling n u ts____________
Processing, bleaching,
packing n u ts.

grading,

and

OVer 8 per day, 44 per week __........................ Tim e and a half th e regular ra te _________
10 per day, 60 per week 18________ : ............ . 30 cents per h o u r_______________________
Over 10 per day, 60 per w eek______________ Tim e and a half th e regular rate_________

22 cents for first 4 m onths, 25 cents per hour
for second 4 m onths, 27 H cents per hour
for th ird 4 m onths.
Do.

S ta te M in im u m -W a g e L e g isla tio n , 1938

B eau ty parlor or barber shop (m andatory,
Jan . 30, 1938).

Pennsylvania
L au n d ry (directory, Oct. 1, 1938)........... . . . . .
16 per week of less_______________________

See footnotes at end of table.


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

33 cents per hour

_________ ________

W
o
►A

308

Provisions of State Minimum-Wage Orders Adopted or Made Mandatory in 1938— C on tin u ed
Wage rates for—
State and in d u stry covered

H ours
Experienced workers

Learners

Women and minors—Continued

Rhode Island
9 per day, 48 per week (m axim um for women
and minors 16 and under 18).

Washington
A partm ent
1937).22

house

(m andatory,

Dec.

7,

Full w eek. __ __________________ _______
Less th a n 48 hours per w eek_______ ______

1 In addition to th e orders shown in this table, the following, adopted in 1937 and shown
in th e M o n th ly Labor Review for Jan u ary 1938, were m ade m an d ato ry in 1938:
D istrict of Colum bia, retail trade, Feb. 14, 1938; M assachusetts, stationery goods and
envelopes, Jan. 1, 1938, toys, games, and sporting goods, Jan . 1, 1938, w omen’s and chilren’s underw ear, neckwear, and cotton garm ents, Ju ly 1, 1938; N ew Jersey, laundry,
Ju ly 11, 1938; R hode Island, wearing apparel a n d allied industries, A pr. 25, 1938; U tah
retail trade, Feb. 1, 1938. T h is last order, never effective because of an injunction,
recently has been nullified b y decision of the S tate suprem e court.
T h e Illinois order for th e wash-dress in d u stry became directory in 1938 b u t is not
repeated here as it was adopted in 1937. (See M o n th ly L abor R eview for Jan u ary 1938.)
1 A pplicable only to part-tim e workers who request and are granted a perm it by the
industrial commission to work less th a n 24 hours per week. O ther w orkers employed
any num ber of hours u p to and including 40 hours per week m u st be paid $12.80 in Zone
A, $11.20 in Zone B.
3 H our law for females 16 and over lim its hours to 8 a d ay. M inim um -w age law pro­
vides for overtim e in emergencies if the m inim um wage is increased. R etail order pro­
vides for women and minors a basic 48-hour week and, except during peak periods, 1
d ay’s rest in 7.
4 Legal m axim um hours, 8 per day, 48 per week, for women in m ost occupations and for
m inors under 18. For workers whose hours are no t lim ited b y law, an additional 5 cents
an hour m u st be paid for hours over 54 per week.
* Legal m axim um hours, 8 per day, 48 per week. T h e 44 hours per week m ay be aver­
aged over 2 consecutive weeks and the overtim e rate shall a p p ly only when more th a n 88
consecutive hours are worked in 2 consecutive weeks.
8 Legal m axim um hours, 8 per day, 48 per week for m inors u n d e r 18; the same for women
if shop can be classified as a mercantile establishm ent, i. e., if it sells other th a n service.
TLegal m axim um hours, 8 per day, 48 per week for females 16 and over, b u t in m er­
cantile establishm ents, 9 per day, 54 per week, allowed during 4 weeks per year.
8 Legal m axim um hours, 9 per day, 48 per week, for women an d m inors 16 and under 18.
8 Pending adoption of other orders, m ade necessary by litigation, the blanket order of
FRASER
1921 was revived in October 1938 for these four industries.

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

37H* cents per ho u r_____________________
10 Legal m axim um hours, 54 per week for females 16 years and over in public house­
keeping, m anufacturing, mechanical, mercantile, or lau n d ry occupations; telephone
operators in tow ns of 1,500 population and over. In d u stria l commission m ay allow
longer hours during emergency periods not exceeding aggregate of 4 weeks a year.
11 R esort counties: C hautauqua, Clinton, Essex, Franklin, Greene, Jefferson, Orange,
St. Lawrence, Saratoga, Suffolk, Sullivan, Ulster, and W arren.
12 Legal m axim um hours, 8 per day, 48 per week, for boys betw een 16 and 18, and for
females over 16 in tow ns of 15,000 population and over.
13 D uring 14-week peak period each year (or 2 periods aggregating n o t over 14 weeks)
the rates are 3 8 cents per hour for hours over 40 to 44, 52J4> cents for hours over 44 to 48.
14 If called to work on fourth day, w hether or not she works, employee m ust be paid for
4 days.
18 If called to work on th ird day, w hether or not she works, employee m u st be paid for
3 days.
18 R estraining order so far has prevented enforcement of all orders.
17 Class A: Cities and tow ns of 40 000 or more population and contiguous territory w ithin
2 miles thereof, more or less, w ithin the discretion of the commission.
Class B : Cities and tow ns of 10,000 to 40,000 population and contiguous territory w ithin
1 m ile thereof, more or less, w ithin discretion of commission.
Class C: Cities and towns of less th a n 10,000 population and all unallocated territory
outside thereof, w ithin the discretion of the commission.
38 Special regulations, effective Sept. 14,1937, and general in th e ir application, provide
th a t in case of business emergency the State welfare commission, upon application and
showing, m ay issue a special license for the em ploym ent of a d u lt w omen beyond the
regular legal hours if tim e and one half the regular rate is paid.
15 Legal m axim um hours for minors under 18, 8 per day, 44 per week.
20 Legal m axim um hours, 8 per day, 44 per week for w omen and m inors under 18, but
d e partm ent of labor and in d u stry m ay allow variations for w omen 18 and over.
22 C opy n o t received u n til 1938.

M o n th ly L a b o r R e view — F e b ru a ry 1939

L au n d ry and d ry cleansing (directory, M ay
2, 1938; m andatory, Sept. 12, 1938).

Industrial Relations

ELECTIONS UNDER STATE LABOR RELATIONS ACTS
B y F lorence P eterson , Bureau of Labor Statistics

FIVE States (Utah, Wisconsin, Massachusetts, Pennsylvania, and
New York) enacted labor relations laws from March to July 1937.
All these State acts more or less resemble the National Labor
Relations Act, although there are some important differences and
additions. The Utah act, the first such law to be enacted, follows
most closely the national act. The Massachusetts act has one
important difference—the inclusion of the sit-down strike as an unfair
labor practice. The Pennsylvania act has several dissimilar provi­
sions, and the New York law departs from the pattern of the National
Labor Relations Act to a considerable degree. The Wisconsin act,
the second State labor relations act to be passed, diverges most from
the national act.
Provisions of State Acts
ADMINISTRATION

Utah is the only one of the five States whose act is administered
directly by the State industrial commission. In Pennsylvania,
Massachusetts, and New York, the labor relations boards established
by the acts are in the State labor departments, but in the last two of
these States it is specifically provided that the board shall function
independently of the labor departments. The Wisconsin Labor
Relations Board is a separate entity from the Wisconsin Industrial
Commission, although a member of the commission serves on the
board.
In all the States the procedure for filing claims, for investigations,
and for hearings by the boards follows the same general procedure of
the National Labor Relations Board. All have power to issue
subpenas requiring attendance and testimony of witnesses and the
production of evidence. All have the right to petition courts for
enforcements, and all specify, as does the N. L. R. A., that the findings
of the board as to the facts, if supported by evidence, shall be con­
clusive. In Pennsylvania and New York other government depart­
ments and commissions are required to make available to the labor
relations board any information or records the board may require; in

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

309

310

M o n th ly L a b o r R e view — F e b ru a ry 1 939

the other three States, as with the National Labor Relations Board,
such data are furnished only upon the request of the Chief Executive—
that is, of the Governor of the State or the President.
DECLARATION OF POLICY

The declaration of policy of the Utah and Massachusetts acts
follows the N. L. R. A. practically verbatim. The Utah act uses
the qualifying “intrastate” before the word “commerce,” and the
Massachusetts act substitutes “industry and trade” for “commerce.”
The Pennsylvania, New York, and Wisconsin acts, on the other
hand, do not stress as their major purpose the removal of causes of
disputes which tend to obstruct commerce, but rather the removal of
the inequalities of bargaining power and of poor working conditions
which are “inimical to the public safety and welfare and frequently
endanger the public health.” Thus, both the Pennsylvania and
New York acts specifically refer to sweatshops, depressed purchasing
power, recurrent business depressions resulting from disparity between
production and consumption, as evils produced by inequality of
bargaining power between employer and employees. Significantly
these two acts are “deemed an exercise of the police power of the
State.”
The Wisconsin Labor Relations Act rests on a declaration of public
policy made in 1931 in connection with other labor legislation. It
mentions neither the obstruction to the free flow of commerce nor the
dangers to public welfare and health, but, referring to the present
inequality between employers and employees, says that it is necessary
that “the individual workman have full freedom of association
* * * free from interference, restraint, or coercion of employers.”
JURISDICTION

Although it is the intent of all five State acts to bring under their
protection employees not covered by the National Labor Relations
Act or the Federal Railway Labor Act, the jurisdictional lines between
the State and national boards are not uniformly explicit. The Penn­
sylvania act clearly indicates that the State board begins to function
where the National Labor Relations Board leaves off. Thus, in de­
fining the term “employer,” it excludes “any person subject to the
Federal Railway Labor Act or the National Labor Relations Act
(sec. 3 (c)). The Massachusetts act specifically provides that it
“shall not be deemed applicable to any unfair labor practice subject
to the National Labor Relations Act” (sec. 14 (b)), but does not ex­
pressly prohibit the State board from conducting elections in any
plants.

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

I n d u s tr ia l R e la tio n s

311

The Utah act excludes persons subject to the Railway Labor Act
(sec. 3 (2)); otherwise the State board may investigate any controversy
affecting “intrastate commerce or the orderly operation of industry”
(sec. 10 (c)). The second clause “or the orderly operation of industry”
would seem to cover plants in interstate commerce.
The New York act says: “The provisions of this article shall not
apply to the employees of any employer who concedes to and agrees
with the board that such employees are subject to and protected by
the provisions of the National Labor Relations Act or the Federal
Railway Labor Act” (par. 715).
The Wisconsin act is silent on the subject of jurisdiction, but the
board has assumed, and its action has been upheld by the State
supreme court, that the State’s police power to regulate labor rela­
tions is not superseded by the National Labor Relations Act even
though the defendant’s business may be largely in interstate
commerce.1
Like the National Labor Relations Act, all the State acts specifi­
cally exclude agricultural and domestic workers and those in public
employment. New York also excludes employees of charitable, educa­
tional, or religious associations or corporations (par. 715).
LABOR DISPUTES

As in the National Labor Relations Act, all five State acts refer to
a labor dispute as a controversy concerning terms or conditions of
employment, questions of representation, or rights granted in the
present act, “regardless of whether disputants stand in the proximate
relation of employer and employee.” The New York act has an
additional phrase specifying that the term “labor dispute” includes
“but is not restricted to” such controversies.
In all five acts the right to strike is preserved. The New York act
further specifies that “the board shall not require as a condition of
taking action * * * that employees on strike or engaged in any
other lawful, concerted activity shall discontinue such strike or such
activity” (par. 706, sec. 5). The Wisconsin act expressly states that
a holding of an election shall not debar any group from striking:
“Nothing herein shall prohibit any employee, or minority or majority
group of employees, from declaring a labor dispute to exist respecting
a controversy over representation” (sec. 111.09 (1))
The Massachusetts act declares the sit-down strike to be an unfair
labor practice: “It shall be an unfair labor practice for any person or
labor organization to seize or occupy unlawfully private property as a
means of forcing settlement of a labor dispute” (sec. 8A).
1 Wisconsin Labor Relations Board v. Fred Rueving Leather Co., No. 85,1938.

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

312

M o n th ly L a b o r R e view — F e b ru a ry 1 939
DEFINITION OF EMPLOYEE

All the State acts conform to the National Labor Relations Act in
including among those to be protected “individuals whose work has
ceased as a consequence of or in connection with any current labor
dispute.”
Both the New York and the Wisconsin acts specify that strike­
breakers shall not be considered as employees as far as protection
under the act is concerned. The New York law describes these to
be “any individuals employed only for the duration of a labor dispute”
(par. 701 (3) ); the Wisconsin act as “any individual employed taking
the place of employees” during a strike (sec. 111.02 (3)).
UNIT FOR COLLECTIVE-BARGAINING PURPOSES

The Utah, Massachusetts, and Pennsylvania acts resemble the
National Labor Relations Act in giving the board the power to decide
whether in each case “the unit appropriate for the purposes of col­
lective bargaining shall be the employer unit, craft unit, plant unit or
subdivision thereof.”
The New York act has an important qualification: “Provided,
however, That in any case where the majority of employees of a
particular craft shall so decide, the board shall designate such craft
as a unit appropriate for the purpose of collective bargaining” (par.
705 (2) ). The Wisconsin act says that “the board may decline
jurisdiction in any case where it believes that the policies of this
chapter will be better promoted by not acting” (sec. 111.09 (2)).
UNFAIR LABOR PRACTICES

The unfair labor practices specified in the Utah and Pennsylvania
acts are practically identical with those in the National Labor Rela­
tions Act. To the list the Massachusetts act adds the sit-down strike.
Both the New York and Wisconsin acts add to the list of unfair
labor practices the use of spies and blacklists. The New York act,
under “unfair labor practices,” and the Wisconsin act, under its
definition of company unions, go into much greater detail than does
the National Labor Relations Act with respect to what shall be
considered employer domination and participation. For instance,
where the National Labor Relations Act uses the general term
“financial or other support,” the New York act specifies “compensat­
ing any employee or individual for services performed in behalf of
any such employee organization or association, agency or plan, or
by donating free services, equipment, materials, office or meeting
space or anything else of value for the use of any such employee
organization” (par. 704, sec. 3 (2c)).

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

I n d u s tr ia l R e la tio n s

313

LABOR ORGANIZATION

The Utah and Massachusetts acts, like the National Labor Relations
Act, define a labor organization to mean “any organization of any kind,
or any agency or employee representation committee or plan, in which
employees participate and which exists for the purpose, in whole or in
part, of dealing with employers concerning grievances, labor disputes,
wages, rates of pay, hours of employment, or conditions of work” (sec.
2 (5)).
The Pennsylvania act adds to this “but shall not include any labor
organization which, by ritualistic practice, constitutional or bylaw
proscription, by tacit agreement among its members, or otherwise,
denies a person or persons membership in its organization on account
of race, creed or color” (sec. 3 (f)).
The New York and Wisconsin acts define a labor organization in
terms similar to the National Labor Relations Act, except that they
add “which is not a company union,” a company union being defined
as an employees’ agency in the creation and functioning of which the
employer participated.2 The Wisconsin act qualifies its definition of
company union by the clause, “unless at the time of its formation or
afterward it has been chartered by or become duly affiliated with any
labor body, federation, or group with which labor organizations are
affiliated” (sec. 111.02 (6) (a)).
CONCILIATION

The Wisconsin act is the only State law which gives its labor rela­
tions board conciliation and arbitration functions. The Utah, Massa­
chusetts, and Pennsylvania acts follow the N. L. R. A. in saying that
“nothing in this act shall be construed to authorize the board to appoint
individuals for the purpose of conciliation or mediation * * *
where such service may be obtained from the Department of Labor”
(sec. 4 (a)). The New York act is more direct, saying “neither the
board nor any of its agents or employees shall engage in any effort to
mediate, conciliate, or arbitrate any labor dispute” (par. 702, sec. 8).
The Wisconsin act, on the other hand, specifically says that the
board may appoint conciliators and provide for their expenses (sec.
111.16). It also provides that the board shall have the power to act
and to appoint others as arbitrators in labor disputes. Furthermore,
it specifies that a provision in a written agreement “to submit to the
arbitration of the board, or its appointees, when accepted by the
board after the dispute has arisen, shall be valid and irrevocable
as to the parties to the agreement, save upon such grounds as exist at
law or in equity for the revocation of any contract” (sec. 111.12 (1)).
2
In practice, com pany unions as here defined can be declared illegal b y the N ational Labor Relations
Board and the U tah, M assachusetts, and Pennsylvania boards, on th e basis of th e unfair labor practice pro­
visions of the acts.


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

314

M o n th ly L a b o r R e view — F e b ru a ry 1 939
LISTING OF LABOR ORGANIZATIONS

The Wisconsin act is unique in specifying that the board shall main­
tain a list of all labor organizations in the State. “To be recognized
and included in the list an organization must (a) file with the board a
statement of its name, the name and address of its secretary or other
officer to whom notices may be sent, the date of its organization, and
its affiliations, if any, with other organizations or bodies, and (b)
persuade the board that it is not a company union” (sec. 111.06 (2)).
The board may make investigation of any listed organization at any
time, upon complaint. If it is determined that any listed organiza­
tion is or has become a company union, the board shall strike it from
the list. A company union for this purpose is defined as an employee
organization which exists in whole or in part for the purpose of deal­
ing with an employer concerning grievances, terms, or conditions of
employment, but in which the employer has participated or is par­
ticipating in the determination of its rules, policies, or conduct, or to
which the employer has made financial contributions of any kind
(sec. 111.02 (6)).
ELECTIONS

In all of the acts, it is left to the discretion of the boards to decide
when a question of representation has arisen, and it is optional with
the board whether or not an election shall be held.3 All of the State
acts, except New York, follow the wording of the National Labor Rela­
tions Act, in specifying that: “whenever a question * * * arises
concerning the representation of employees, the board may investi­
gate * * * and may take a secret ballot of employees, or utilize
any other suitable method to ascertain such representatives’’ (sec.
9 (c)).

The New York act, on the other hand, prohibits its board from acting
in jurisdictional disputes 4 and permits employers to petition for elec­
tions, although such employers’ requests may not be the sole deter­
minant of whether an election shall be held, “whenever it is alleged
by an employee or his representative * * * by an employer or
his representative that there is a question or controversy concerning
representation of employees, the board may investigate * * *
and may conduct an election * * * provided, however, that the
board shall not have authority to investigate any question or contro­
versy between individuals or groups within the same labor organiza­
tion or between labor organizations affiliated with the same parent
labor organization. * * * No election shall be directed by the
3
T he N ational L abor Relations B oard, by ad m in istrativ e ruling, holds elections only on petition of em­
ployees or th eir representatives.
* In practice, th e N ational L abor R elations B oaid and th e other State boards refuse to intervene in juris­
dictional disputes.


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

I n d u s tr ia l R e la tio n s

315

board solely because of the request of an employer or of employees
prompted thereto by their employer.”5 The New York act further
specifies that elections shall not be conducted “on the employer’s
property, during working hours, or with his participation, assistance,
or supervision” (par. 705, secs. 3 and 4).
In the absence of specific mention in the acts, it is left to the
National Labor Relations Board and four of the State boards to
determine by administrative ruling the terms of run-off elections when
three or more organizations are candidates for the representative
agency and none receives a majority on the first ballot. The New
York act makes provision for this kind of situation as follows: “If
* * * three or more nominees * * * appear on the ballot
and no one of them receives a majority of the votes cast at the election,
the two nominees who receive the highest number of votes shall appear
on the ballot of a second election * * * , and the one receiving
the majority of the votes cast at the second election shall be the
exclusive representative of all the employees in such unit” (par. 705,
sec. 5).
Elections Held by State Labor Relations Boards

The five State labor relations boards held elections or made de­
terminations in 304 bargaining units up to July 1, 1938. Affiliated
unions won 225 of these units,’ and nonaffiliated unions 29. In 50
cases no labor organization was certified. As the State boards started
to function at various times during 1937, the reports cover somewhat
different periods. For instance, the Wisconsin board held its first
election in May 1937, and its report, therefore, covers a period of 14
months. The New York report covers 12 months, and the other
States, periods of less than 1 year.
There is some variation in practice with respect to terms describ­
ing :those labor organizations which* Jare jjnot affiliated with either the
A. F. of L. or the C. I. O. They are variously referred to as “inde­
pendent” unions, “employee representation plans,” “company unions,”
“employees’ associations,” etc. Sometimes a distinction is made,
those covering employees of one plant being called employee represen­
tation plans or company unions, and those covering larger areas (regionor city-wide areas), being referred to as independent unions. On the
other hand, such standard international unions as the railroad brother­
hoods are also called independent unions. For purposes of simplicity,
in this report all organizations not affiliated with either the A. F. of
L. or the C. I. O. are classified as nonaffiliated unions. It should be
borne in mind that, since the labor acts disqualify company dominated
* Up to the present tim e the New York board has not accepted em ployers’ petitions unless the union or
unions concerned gave th eir consent. (See p. 318.)


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

316

M o n th ly L a b o r R eview — F e b ru a ry 193 9

or financed unions from appearing on a ballot, organizations of that
kind are not included here as nonaffiliated unions.
UTAH

The Utah Labor Relations Board held 3 elections from the time of
its establishment to July 1, 1938. All of these involved only a vote
for or against an A. F. of L. union; that is, in none did 2 different
unions appear on the ballot. In one election a unanimous vote was
cast for an A. F. of L. closed union shop; in another a tie vote was
cast and thus no agency was selected; in the third the union lost by a
vote of more than 2 to 1. In all 3 elections combined, 114 votes were
cast for and 92 votes cast against union representation.
PENNSYLVANIA

Available data indicate 6 that the Pennsylvania Labor Relations
Board conducted two elections prior to July 1, 1938. In one of these,
involving a restaurant, both A. F. of L. and C. I. O unions were
competing, and the C. I. O. won by a vote of 32 to 1. In the second,
involving a street-railway company, an A. F. of L. union was successful
over a nonaffiliated union by a vote of 23 to 22.
MASSACHUSETTS

7

The first e4ection by the Massachusetts Labor Relations Commis­
sion was held in January 1938. During the following 6 months the
board held elections in 22 different establishments in which 2,794
valid votes were cast. Since a number of these elections were held
on the basis of the craft unit, the results are classified by units—36
in all. Some type of labor organization was successful in gaining the
majority of votes in 22 of these units; in 14 no union was certified.
One-fourth of the total votes cast in all elections were against any
type of labor organization.
Two nonaffiliated unions won 9 of the unit elections, including
almost 42 percent of the total votes cast. Eight of these, including
70 percent of all the votes cast for nonaffiliated organizations, were
won by the Harvard University Employees’ Representative Associa­
tion. The ninth was won by the Gilchrist Labor Relations Council,
in which election no affiliated union appeared on the ballot.
In the three elections in which C. I. O. affiliates were on the ballot
there were no other unions contesting. In the largest of these the
C. I. O. failed to gain a majority and no union was certified. In the
other two the C. I. O. unions won. Of the total number of votes cast
(446) in elections in which C. I. O. affiliates appeared on the ballot,
78 percent were unfavorable and 22 percent favorable.
8 No report was received from th e Pennsylvania L abor Relations Board.
* From d ata received from the M assachusetts Labor Relations Commission.


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

I n d u s tr ia l R e la tio n s

317

A. F. of L. affiliates appeared on 22 ballots; in 14 instances the
ballot was simply either for or against the A. F. of L. union, in 5
cases an unaffiliated organization was also on the ballot, and in 3 unit
elections there were 2 contesting A. F. of L. unions. The A. F. of L.
affiliates lost in half the elections where no other organization appeared
on the ballot, as well as in 4 out of the 5 cases in which they were
opposed by the nonaffiliated union—the Harvard University Em­
ployees’ Representative Association. Of the total number of votes
cast (1,694) in elections in which A. F. of L. affiliates appeared on the
ballot, 57.8 percent were unfavorable and 42.2 percent were favorable.
W IS C O N S IN 8

The Wisconsin Labor Relations Board certified 54 bargaining agen­
cies during its first 14 months of operation. Of these, 41 were a
result of elections 9 and 13 were based on a check of union paid-up
membership records against eligible employees on the companies’
pay rolls upon the consent of both company and union. Thirty-five
of the 41 elections were consent elections; in 6 cases the election was
ordered after the board investigated and held formal hearings. Alto­
gether, 13,555 valid votes were counted in these 54 elections and de­
terminations.
Affiliated unions were designated as the collective-bargaining agency
in 43 of the 54 elections and determinations; in two instances non­
affiliated or independent unions won, and in 9 cases no organization
received a majority of the votes. Of the total votes cast in all elec­
tions, 14.7 percent were against any labor organization. Six percent
of the total votes cast in all elections were for nonaffiliated or inde­
pendent unions. The two elections won by such organizations were
uncontested; that is, no other union appeared on the ballot.
In the 54 elections or determinations, A. F. of L. affiliates were
involved 37 times and C. I. O. affiliates 28. A. F. of L. affiliates won
70 percent of their elections, and 47.1 percent of the total votes cast
in these elections were favorable to the A. F. of L. unions. C. I. O.
affiliates won 60 percent of their elections, with 63.5 percent of the
total votes cast. The nonaffiliated unions won both times where their
names appeared on the ballot and lost only 11.8 percent of the votes
cast in elections in which they participated.
In only 13 of the 54 elections were A. F. of L. and C. I. 0. unions
competing. Of these, A. F. of L. affiliates won 8, including 37.8 per­
cent of the votes cast. C. I. O. unions won 5, including 62.2 percent
of the votes cast in these 13 elections.
• From d ata received from the W isconsin Labor Relations Board.
• Tw o small cleaning establishm ents of the same com pany have been considered as one election; likewise
elections held in 11 small garages in the same city, held on the same day, have been considered as one election.
121435— 39-


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

318

M o n th ly L a b o r R eview — F e b ru a ry 1939
NEW YORK

10

The New York Labor Relations Board during its first year of oper­
ation certified some type of labor organization in 184 bargaining units.
In 117 cases the certifications were based on comparison of union
membership signatures with employers’ pay rolls, and in 67 through
formal elections. Elections were held in 25 additional units but no
labor organization received a majority of the votes, and a certifica­
tion was therefore not possible.
Approximately 24,137 workers were eligible to vote in the 92 elec­
tions held by secret ballot. Altogether 21,761 valid votes were cast,
representing about 90 percent of the eligible workers. About twothirds (61) of the 92 elections were held by consent of all parties.
However, the 31 elections ordered by the board after formal hearings
represented more than one-half (12,075) of the total eligible workers
involved in all elections.
More than half (66) of the total bargaining units certified through
comparisons were gained after the signing of a consent stipulation.
The 51 units certified after a public hearing represented about twofifths (4,815) of the eligible workers, while certifications made without
public hearings represented 7,480 workers.
Employers’ petitions.—As stated above, the New York Labor Rela­
tions Act is unique in that employers are allowed to petition for
elections. Of a total of 943 petitions made to the New York Board,
however, only 47 were filed by employers. Of these, 30 were situa­
tions in which 2 organizations were competing, 24 were controversies
between C. I. O. and A. F. of L. unions, and in 6 others nonaffiliated
and trade unions were present. There were 17 petitions presented by
employers during the initial stage of an organizing campaign. None
of these petitions were acted upon formally by the board, since the
unions concerned did not give their consent.
As to the outcome of these employer petitions, 12 were pending at
the close of the year; 30 were settled informally or were withdrawn
before formal action began. Frequently these settlements resulted
in a signed contract with the union whose authority had originally
been questioned. Four petitions resulted in elections and one in a
certification based on a comparison of union membership cards and
the employers’ pay-roll records. Four of these five cases were con­
troversies between C. I. O. and A. F. of L. unions; the fifth involved
a C. I. O. union and a nonaffiliated union. The latter took the form
of a “for or against” C. I. O. ballot after it was decided that the other
organization was a company union which could not be listed. Al­
though the C. I. O. affiliate lost the election, it later obtained a
contract from the employer.
10 T aken from a report prepared b y Louis Goldberg of the W orkers’ E ducation Division, W orks Progress
A dm inistration for the city of New Y ork.


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

I n d u s tr ia l R e la tio n s

319

Industries involved.—Of the 184 collective-bargaining units certi­
fied by the board, 45 were in tlie service industries such as hotels,
restaurants, laundries, etc., 83 were among office-building and apart­
ment-house workers, 27 in retail trade, 2 in insurance, 9 in transporta­
tion, 2 in utilities, 1 in quarrying, and 15 in manufacturing. Of the
total workers involved in these certifications, approximately 34.7
percent were in the service industries and 25.6 percent in retail trade.
Unions involved.—A large majority of the New York Labor Board
cases involved unions affiliated with the A. F. of L. Of a total of 896
petitions filed by labor groups requesting either the holding of elec­
tions or determinations by comparison of signatures, 546 were filed
by A. F. of L. unions. Unions belonging to the C. I. O. filed 202
petitions, and nonaffiliated or independent unions 148. In the 209
total cases in which elections were held or determinations made,
A. F. of L. affiliates were certified in 130 cases, C. I. O. unions in 36,
and nonaffiliated unions in 18. In 25 elections no organization
was certified.
In election and determination cases combined, 28.8 percent of the
workers indicated a preference for C. I. O. and 27.3 percent for A. F.
of L. unions; 8.5 percent favored nonaffiliated unions; and 35.4 per­
cent chose no organization. Included among the latter were those
workers who showed no evidence of union membership when deter­
minations were made without the holding of elections.
In no case where a determination was made by comparing union
membership with employer pay rolls was more than 1 union involved.
Such determinations resulted in the certification of 97 A. F. of L.
affiliates, 15 C. I. O., and 5 nonaffiliated unions. A large majority of
the certifications by comparison of union membership and employer
pay rolls were among smaller plants, almost 90 percent having fewer
than 200 workers. In only 3 cases were there more than 1,000 em­
ployees, the C. I. O. union winning 2 out of these 3.
Elections.—In the 92 election cases the ballots were of 4 main types.
Sixty-three elections were unopposed. In such contests workers
voted either for or against the particular labor organization appearing
on the ballot. Fifteen elections involved a choice between A. F. of L.
and C. I. O. unions. Unaffiliated unions opposed A. F. of L. or C. I. O.
unions in 14 elections. In 3 of these a second nonaffiliated union also
appeared on the ballot, and in 1 the ballot gave a choice of a non­
affiliated union, a C. I. O. union, or neither. (See Table 1.)
Both the A. F. of L. and C. I. O. unions won about the same pro­
portion of their unopposed elections, although the A. F. of L. affiliates
won a greater proportion of the votes cast in these elections—57.5
percent as compared with 46.8 percent in the unopposed C. I. O. elec-


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

320

M o n th ly L a b o r R eview — F e b ru a ry 193 9

tions. A. F. of L. affiliates also won a majority (53.3 percent) of the
A. F. of L. vs. C. I. 0. elec tions, although the C. I. O. unions obtained
more than three-fourths (76.2 percent) of the total votes cast in
these elections. A. F. of L. unions won 4 out of the 6 elections in
which they were opposed by a nonafliliated organization, while 1 out
of 9 such elections was won by a C. I. O. organization.
Nonafliliated or independent unions won all 5 elections in which
they were unopposed, although they lost 22.5 percent of the votes
cast in these elections. In the elections in which they were opposed
by either A. F. of L. or C. I. O. unions they won 8 out of 14. In 3 of
these where a second nonafliliated union appeared on the ballot, 3 of
course lost to the other nonafliliated unions. Although nonafliliated
unions won a majority of these contested elections, they received but
45 percent of the total votes cast in these elections. The smaller
vote percentage was due to one large election won by a C. I. O.
union.
T able 1 .— Elections Won and Lost in New York, by Type of Ballot, July l, 1937, to

J une 30, 1938
T otal ap ­
pearances
Organization

A. F, of L. affiliates_______________
Unopposed___________________
Opposed by —
C. I. 0 . unions____________
N onafliliated unions ______
0 . I. 0 . and nonafliliated
C. I. 0 . a ffilia te s ......... ................ .......
U n o p p o se d __________________
Opposed b y —
A. F. of L. unions_________
N o n a flilia te d u n io n s or
neither______ __________
A. F . of L. and nonafliliated
Nonafliliated unions ____________
Opposed by —
C. I. 0 . unions or n e ith e r.. .
A. F. of L. and C. I. 0 .
A. F. of L. and another non-

W on

Lost

Elections
Valid votes
Elections
Valid votes
N u m ­ Valid
ber votes
cast N u m ­ P er­ N um ­ Per­ N um ­ P er­ N um ­ Per­
ber cent
ber
cent ber cent
ber
cent
57 11,177

33

57.9

5,623

50.3

24

42.1

5, 554

49.7

36

7,962

21

58.3

4,575

57.5

15

41.7

3, 387

42.5

15
5

2, 235
767

8
4

53.3
80.0

532
515

23.8
67.1

7
1

46.7
20.0

1,703
252

76.2
32.9

1

213

1

.5

212

99. 5

46 12,449

21

45.7

6, 398

51.4

25

54.3

6,051

48.6

22

6,044

13

59.1

2,827

46.8

9

40.9

3, 217

53.2

15

2,235

7

46.7

1,703

76.2

8

53.3

532

23.8

8

3,957

1

12.5

1,780

45.0

7

87.5

2,177

55.0

1

213

88

41. 3

1 100.0

125

58.7

i 19

5, 520

68.4

2,718

49.2

6

5

583

5 100.0

452

77.5

4
6

639
3,163

151
1,143

23.6
36.1

13

4

66.7

1 100.0

31.6

4 100.0
2 33.3

2,802

50.8

131

22. 5

488
2,020

76.4
63.9

1

213

1 100. 0

124

58.2

89

41.8

1

128

1 100.0

101

78.9

27

21.1

2

794

2 100.0

747

94. 1

47

5.9

C. I. 0 . and another non-

122 nonafliliated unions appeared on ballots, b u t in 3 elections 2 such organizations competed.

Almost two-thirds (61) of the total 92 elections were held by consent
of all parties. Consent elections are means of informal settlement of

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

321

I n d u s tr ia l R e la tio n s

representation disputes where the board secures from all parties an
agreement as to the proper bargaining unit, the form of the ballot,
the polling place and time of election, the eligibility list, and other
details. In cases where the consent of all parties to an election can­
not be obtained, the board proceeds to formal hearings. On the basis
of these hearings the board may direct that an election be held, using
the evidence gathered to decide what shall be the proper bargaining
unit.
All types of labor organizations combined won 30 out of the 31
board-ordered elections. Almost 80 percent of the votes cast in
these elections were favorable to labor organizations. In the boardordered elections A. F. of L. affiliates won 11 out of 16 in which they
were parties, C. I. O. affiliates 9 out of 18, and nonaffiliated unions
10 out of 14.
Labor organizations won 65 percent of the consent elections—37
out of 61. They polled 56.1 percent of the votes cast in consent
elections. A. F. of L. affiliates won 22 out of 41 in which they ap­
peared, C. I. O. unions 12 out of 28, and nonaffiliated unions 3 out of
8 consent elections.
T a b l e 2. — Comparison of Results of Consent and Board-Ordered Elections in New York,

July 1, 1937, to June 30, 1938
All elections

R esult to labor
organization

For all organi­
zations

T y p e of election
N um ­
ber

All elections___________ ____ ______
B y consent___________________
Ordered by bo ard....................... ...


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

92
61
31

Valid
votes
cast

21, 761
10,840
10,921

Valid votes cast—

W on

Lost
N um ­
ber

67
37
30

Against all
organizations

25
24
1

14, 739
6,085
8,654

Per­
cent
67.7
56. 1
79.2

N um ­
ber
7, 022
4,755
2,267

P er­
cent
32.3
43.9
20.8

Social Insurance
t++++++++++*++++*+4*+++++*+*+++*++*+++**+++++*+++++++++*+++*++++++++++

NEW ZEALAND SOCIAL SECURITY ACT, 1938
A GENERAL social insurance law passed in New Zealand, September
14, 1938, provides for superannuation and old-age and invalidity
benefits, widows’ and orphans’ benefits, family allowances, sickness
and accident benefits, unemployment benefits, and a national health
service. Various enactments relating to pensions, family allowances,
and unemployment benefits are repealed and new provisions incor­
porated in the law, but the provisions relating to superannuation,
orphans’ benefits, and the health-insurance system are new. The act
becomes effective April 1, 1939.1
Coverage

All persons 16 years of age and over, ordinarily residing in New
Zealand, are required to be registered and to pay the registration fee
and a charge on salaries, wages, and other income. The act likewise
applies to all persons who come to New Zealand with the intention of
becoming residents, and to persons on intercolonial trading ships unless
they are not ordinarily residents of the country and are liable to a
similar tax in their country of residence. Personal exemptions may
be granted by the Commissioner of Taxes in cases where the tax
would constitute a serious hardship.
Contributions

The registration fee is 5s. a quarter for all men over 20 years of age
and in all other cases 5s. a year. The charge on salaries, wages, and
other income is Id. for every sum of Is. 8d. included in the amount of
such earnings or income. The term “ salary or wages” includes all
bonuses, tips, extra salary or special payments or fees, and any
benefits in kind. The contribution is paid by means of stamps and
is deducted by the employer or other person by whom the salary or
wages are paid. All companies resident in New Zealand, unless
exempted temporarily, are required to pay 1 shilling in the pound
on their “chargeable income” which, with minor modifications, is the
income assessable for income tax. The general tax on income, other
1 D ata in tnis article are from text of New Zealand Social Security A ct, Septem ber 14, 1938; R eport from
L. C. P inkerton, Am erican Consul General a t W ellington, dated A ugust 20, 1938: and T he Standard,
W ellington, A ugust 18, 25, 1938.

322

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

S o cia l In su ra n c e

323

than salary or wages, to cover the cost of the social-security system,
is due on the 1st day of May and each quarter thereafter
The amount or rate of the Government contribution is not specified
in the law, but it is provided that before any appropriation is made by
Parliament the Minister of Finance may, after the act becomes
effective and not later than September 30, 1939, transfer such amounts
as may be necessary from the Consolidated Fund to the Social Security
Fund. Also, any preliminary expenses prior to April 1 , 1939, may be
paid from the Consolidated Fund.
Benefits in Respect of Age and Other Special Conditions
Superannuation benefits.—This part of the act becomes effective for
the payment of benefits April 1, 1940, at which time every person
reaching the age of 65 who was resident in New Zealand on March 15,
1938, and had resided continuously in the country for not less than
10 years immediately preceding the application for benefit, or in
other cases for 20 years, will be entitled to receive the benefit. Super­
annuation benefits payable for the financial year 1940 will be at the
rate of £10, increased by £2 10s. for each subsequent year until the
maximum of £78 is reached in 1969.
Old-age benefits.—These benefits are payable at age 60 to persons
who have the same residence qualifications as are required for super­
annuation benefits. The basic rate of the age benefit is £78 per year
and in computing the age benefit for any person who is in receipt of a
superannuation benefit, the amount of that benefit is included in and
considered to form a part of the age benefit. The law provides that
the basic rate shall be paid in all cases, with the following exceptions:
In the case of unmarried persons who are in receipt of an income from
other sources or from accumulated property, the benefit is reduced by
£ l for every complete pound of such income in excess of £52 per year
or by £ l for every complete £10 of the net capital value of the accumu­
lated property, whichever is greater. In the case of married persons
who are both entitled to receive an age benefit the rate of benefit
will be reduced by 10s. for every complete pound of their total income
in excess of £52 a year, and in any other case by £1 for every complete
pound by which their total income, including any benefit except
medical benefits, exceeds £130 per year. However, the Social Security
Commission is empowered in its discretion to increase the total
income figure for husband and wife (including benefits) from £130 to
£156 a year. The joint maximum income, therefore, of a married
couple receiving old-age benefits is £4 a week or £208 a year. In
1969 when the superannuation benefit reaches the maximum of £78
per year, it will supersede in its entirety the present age benefit and
there will be universal superannuation of £78 per annum.

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

324

M o n th ly L a b o r R eview — F e b ru a ry 193 9

Widows’ and orphans’ benefits.—Every widow who is the mother of
one or more children under 16 years of age is entitled to receive a
benefit, as are also widows who have had one or more children, pro­
vided that the duration of their marriage was not less than 15 years
or that the duration of their marriage and any subsequent period in
which they had the care and control of at least one of their children un­
der 16 years of age was not less than 15 years. Also entitled to benefits
are widows who have been married at least 5 years and become wid­
owed after reaching the age of 50 and all other widows who are at
least 50 years of age, provided that they became widows after reaching
the age of 40 years, that the duration of marriage was not less than
10 years, and at least 15 years have elapsed since the date of marriage.
Benefits are also payable to mothers of one or more children who are
deserted by their husbands or whose husbands are mental defectives.
With the exception of widows having one or more children under the
age of 16, residence of at least 3 years by both husband and wife
preceding his death or desertion is required for the payment of benefit.
The rate of benefit for widows who have no children under the age of
16 years is £52 a year; if there is one child it is £65, increased by £26
a year for each additional child up to a maximum of £234. These
rates are reduced by £ l for every complete pound of income in excess
of £52 per year, but where there are one or more minor children the
allowable income before the deduction is made is £78.
Orphans’ pensions are payable to children under the age of 16 who
were born in New Zealand, whose last surviving parent was a resident
of the country for at least 3 years preceding death, and who are not
being maintained in any State institution. The maximum benefit
is £39 a year, reduced by £1 for every complete pound of other
income.
Family benefits.—Either the father or the mother of three or more
children under the age of 16 is entitled to receive an allowance for such
children if the applicant has been a permanent resident of the country
for not less than 1 year before the application is made. The benefit
amounts to 4s. a week for each child of the applicant in excess of two.
In no case, however, may the family benefit, together with the average
weekly amount received by the applicant from all sources, exceed £5
increased by 4s. a week for each child in excess of two. The benefit
is payable to the mother of the children, unless there are reasons why
this is inadvisable.
Invalidity benefits.—Benefits for total blindness and for permanent
incapacity for work from accident or illness, or because of a congenital
defect, are payable to persons at least 16 years of age who are not eli­
gible for an age benefit, if they satisfy the residence requirements of
10 to 20 years and if the blindess or disability was acquired while a
permanent resident in New Zealand and was not self-induced.

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

S o cia l In su ra n c e

325

The benefit of a married man or a man who has a child or children
dependent on him is at the rate of £78 a year, increased by £26 a
year for his wife and by £26 for each dependent child. The rate for
an unmarried applicant under 21 years of age is £52 a year and for
all other persons £78 a year. The rate is reduced for married persons
by £1 for every complete pound of the total income of the family in
excess of £78 and by £1 for every complete £10 of the accumulated
property of the applicant and his family. If the applicant is a married
woman, the deduction is made on the basis of the total annual income
of the applicant and her husband in excess of £104. If the applicant
is incapacitated, so that domestic or nursing service is necessary, the
Social Security Commission may increase the benefit so computed up
to £78 a year, but the total income of the applicant and her husband
may not exceed £5 a week. In computing the benefit of a blind person
no account is taken of his personal earnings up to £143 a year. The
maximum invalid’s benefit allowable is £208. Totally blind persons
who are employed receive an additional benefit equal to 25 percent
of their average weekly earnings for the year, with a maximum allow­
able total income of £221 a year.
The Commission may require an examination of an applicant for
invalidity benefit by a registered medical practitioner, and if the
benefit is refused or canceled on medical grounds the applicant has
the right of appeal within 3 months to a board of 3 registered medical
practitioners appointed by the Commission.
Miners’ benefits.—These benefits are payable to miners who con­
tract miners’ phthisis or any other occupational disease or heart
disease and are permanently and seriously or totally incapacitated
for work, if they have been employed as miners for not less than 2%
years and have resided in New Zealand for the 5 years preceding the
date of application for benefit. These benefits are at the same rate
as the invalidity benefits, with a maximum benefit, including the
allowances for the wife and dependent children, of £234 a year.
Applications for benefit must be accompanied by a certificate from a
registered medical practitioner. In case of the death of a person in
receipt of miners’ benefit, reasonable funeral expenses are paid and a
benefit of £45 10s. a year is payable to his widow during widowhood.
Benefits jor temporary incapacity firom sickness or accident.—Every
person over 16 years of age who has resided in the country continu­
ously for not less than 12 months is entitled to a benefit beginning on
the eighth day of incapacity for work caused by sickness or accident.
The benefit may not exceed the amount by which the weekly earnings
of the applicant have been reduced by the incapacity, with a maximum
of 10s. for persons under 20 years of age and of £ l a week in other
cases, or £4 if allowances for the wife and dependent children are
included. The benefit may be reduced in proportion to the other

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

326

M o n th ly L a b o r R e view — F e b ru a ry 193 9

income of the applicant. If an applicant is a member of a friendly
society the amount of the benefit from both sources may not exceed
£5 a week. Benefits may not be paid for disabilities for which the
claimant is entitled to recover compensation or damages.
Unemployment benefits.—Unemployed persons over 16 years of age
and not entitled to receive an old-age benefit, who are capable of and
willing to work and who have resided in the country continuously for
12 months, are entitled to the same benefits as are payable in the case
of temporary disability. The payment of the benefit may be post­
poned for a period not to exceed 6 weeks, or it may be terminated, if the
unemployed person has voluntarily given up work without justifica­
tion or if he is unemployed because of misconduct or failure to accept
suitable employment, or, in the case of a seasonal worker, if the Com­
mission decides his earnings are sufficient to maintain himself and his
family notwithstanding a period of temporary unemployment. An
unemployment benefit is payable as long as the unemployed person
satisfies the conditions under which it is granted.
Emergency benefits.—Special benefits may be granted to persons
who for any reason are unable to earn a sufficient livelihood for their
families if they are not qualified to receive benefits under any of the
preceding sections of the act, although in the discretion of the Social
Security Commission emergency benefit may be substituted for a
sickness or an unemployment benefit. The amount of the emergency
benefit is determined by the Commission but it must be as nearly as
possible equal to the amount which the applicant would be entitled
to if he were qualified to receive any other of the foregoing benefits.
The grant or continuance of the benefit may be subject to the require­
ment by the Commission that the applicant undergo a course of voca­
tional training, or be examined at a medical or psychological clinic,
receive medical or other treatment or training, or that he should do
any work required of him. The period for which the benefit will be
continued in each case is decided by the Commission.
Maori War benefits.—The law provides for the payment of an annual
benefit of £78 to every person who served in any of the Maori wars
and was awarded a medal for active service, if he has resided con­
tinuously in New Zealand for 10 years before the date of application.
General provisions covering the social benefits.—Every claim for a
benefit under this part of the act must be investigated by the Social
Security Commission, which has power to grant the benefits. No
person may receive more than one benefit under this part of the act.
The Commission may at its discretion continue the benefit for children,
2 years after the child has reached the age of 16 years, for the purpose
of assisting in the further education of the child. The superannuation
benefit is payable annually or at such shorter intervals as the Com­
mission may determine, while the other benefits are payable in install
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

S o c ia l In su ra n c e

327

ments at intervals of not more than 1 month. Temporary absences
from the country, within specified time limits, are allowed without
loss of the right to benefits.
For the payment of benefits in respect of age, widowhood, families
of three or more, invalidity, occupational diseases among miners, and
Maori pensions, it is the general requirement that the applicant be of
good moral character and sober habits. Benefits are forfeited in any
period in which the beneficiary is in a prison or reformatory, but
where any part of the benefit is payable in respect of the wife or
children the Commission may pay the whole or such part of the benefit
as it considers proper to them.
Administration

A department, to be called the Social Security Department, is
created, which may be divided into two or more separate divisions.
For the purposes of the act a permanent Social Security Commission
is established, the members of which are the principal officers of the
Department. The Commission consists of a chairman and two other
members. One or more acting commissioners may be appointed to
act as alternates. The Commission has the powers of a commission
of inquiry and may investigate any claim for benefit under the act.
At any meeting of the Commission two members form a quorum.
Health Benefits

The part of the Social Security Act relating to medical, hospital, and
related benefits will be administered by the Minister of Health. The
Minister may from time to time appoint such committees or other
advisory bodies as he may consider necessary for the purpose of ad­
vising him as to the terms and conditions governing the granting of
benefits, hearing complaints and disputes, or for any other purpose
in connection with the administration of this part of the act. Where
any committee is appointed with particular reference to the members
of any profession, not less than half of the members, exclusive of the
chairman, shall represent members of that profession. The benefits
provided include medical treatment, pharmaceutical benefits, hospi­
talization, maternity care, and such supplementary benefits as are
regarded as necessary to insure effective operation of the system and
maintain and promote public health. With some exceptions the act
applies to all persons over 16 years of age residing in New Zealand
and to members of the families of such persons under 16 years of age.
A child under 16 years is considered to be a member of the family
of the person who for the time being has charge of the child. The
Minister is empowered to make such special arrangements as are
considered advisable for the provision of adequate services in lieu

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

328

M o n th ly L a b o r R e view — F e b ru a ry 193 9

of any or all of the health benefits for persons living in isolated areas.
Medical benefits.—These benefits include treatment by ordinary
medical practitioners but not by specialists. Every registered medical
practitioner may enter into a contract with the Minister to provide
medical service to insured persons. Physicians who have entered into
such contracts may terminate them by giving not less than 3 months’
notice in writing to the Minister or such shorter notice as the Minister
may accept. Every person who is entitled to receive medical benefits
has free choice of a physician, with the physician’s concurrence, from
among those who have entered into a contract to provide medical
services.
Pharmaceutical benefits.—All persons entitled to medical treatment
are also entitled to such medicines, drugs, materials, and appliances as
may be prescribed by the physician. Pharmacists or other persons
dealing in such supplies must be approved for this purpose by the
Minister of Health. The Minister may from time to time fix the
prices to be paid for such pharmaceutical supplies, and persons dealing
in them, in order to be approved, must signify their willingness to
supply them under the terms and conditions fixed by the Minister.
Hospital benefits.—Hospital treatment for insured persons includes
all medical and surgical treatment, nursing, etc., in public or approved
private hospitals. The payment for such treatment may be made
from the Social Security Fund for individual patients, or the Minister
may from time to time, on such terms and conditions as he thinks fit,
authorize a grant in respect of hospital treatment afforded in any pri­
vate hospital or other approved institution.
Maternity benefits.—A woman who is confined in a maternity hos­
pital receives all necessary medical and nursing attendance, main­
tenance, and care at confinement and for 14 days after the birth of the
child. In case the confinement is elsewhere than in a maternity
hospital the services of a medical practitioner and of an approved mid­
wife or an approved maternity nurse are provided at her confinement
and for the period of 14 days thereafter. Necessary antenatal and
postnatal advice and treatment are also provided in all cases.
Every woman is entitled to select the medical practitioner by whom
the maternity care shall be given, who may be either the regular med­
ical practitioner selected for medical benefits or any other who has
entered into a contract to provide medical services in relation to
maternity benefits on the special terms and conditions fixed by the
Minister for these services. However, for women who are confined in
a maternity hospital, the right of selection is subject to the approval of
the authority controlling the admission of patients to that hospital.
The Minister may from time to time fix the fees to be paid to ap­
proved midwives and approved maternity nurses for their services,
and every registered midwife and every registered maternity nurse

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

S o cia l In su ra n c e

329

who qualifies for the service on the terms and conditions fixed by the
Minister shall be approved.
Supplementary benefits.—Provision may be made by the Minister of
Health for such supplementary benefits as he considers necessary for
the effective operation of the various health benefits. Such benefits
may include the provision of radiological and laboratory services, the
administration of anesthetics, the services of specialists and consult­
ants, dental services, ambulance services, and home-nursing and
domestic assistance.
Cost of Social-Security Scheme

The cost of the system during the first year of operation, it was esti­
mated by the Minister of Finance, would amount to £15,000,000, of
which £8,500,000 would be provided by the levy and tax on incomes.
Of the remainder, £5,135,000 represents the amount that would
normally be provided from revenue for existing pensions and allow­
ances, leaving a balance of £1,365,000 to be paid from the Govern­
mental Consolidated Fund.


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

Women in Industry

EARNINGS OF WOMEN IN CONNECTICUT U N D E R ­
WEAR INDUSTRY, 1937
MEDIAN 1hourly earnings in the underwear and nightwear industry
in Connecticut in 1937 were 33.7 cents in both a representative busy
season and a representative slack season. Median weekly earnings
in the busy season were $13.59, but during the slack season median
weekly hours were reduced from 41.5 to 31.4, and in consequence
median weekly earnings were only $9.93. Since the termination of
the N. R. A., there has been a general lowering of wage standards in
the industry. In the silk- and rayon-garment branch, 51.9 percent
of the woman operators in the busy season and 54.9 percent in the
slack season earned less in 1937 than the N. R. A. minimum of 37.3
cents per hour. The percentages of the other woman employees
who earned less than their N. R. A. minimum of 34.7 cents an hour
were 58.7 and 59.4 in the busy and slow seasons, respectively. In the
cotton-garment branch, 73.8 percent of the workers earned less than
the N. R. A. minimum of 36.1 cents during the slack season.
These conclusions were reached in a study by the Minimum Wage
Division of the Connecticut Department of Labor in cooperation
with the W. P. A.2 The study covered all plants making underwear
and nightwear from finished fabrics but not those making knitted
products. Data were obtained for 4 representative weeks in the
1936-37 busy season and 4 representative weeks in the 1937 slow
season. Approximately 2,300 workers were employed in the 21
plants operating at the time of the study. Over nine-tenths (92.3
percent) of the workers were women, the majority of whom were
operators of power-driven sewing machines.
About 42 percent of the women in the industry were employed in
the 7 union shops. Median earnings and weekly hours were about
the same in union and nonunion shops in the busy season. During
the slow season, however, hourly earnings of union workers averaged
10.2 percent more than those of nonunion workers, but they worked
shorter hours. As a result, weekly earnings of union workers were
very little higher than those of nonunion workers.
1 A m edian is th e m idpoint of a series of num bers arranged in order of size.
2 C onnecticut. D epartm ent of Labor. M inim um W age Division. H ours and E arnings of W om en in
the U nderw ear and N ightw ear In d u stry in C onnecticut, 1937. H artford 1938. Prepared in connection
w ith N ational Research Project of th e W . P . A. (M imeographed.)

330


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

331

Jr om en in I n d u s tr y

Hours of Work

An 8-hour day was common in the industry, though there was a
range from 7% to 9 hours a day among the establishments. In 16
establishments there was a 40-hour work week, and the other 5 had
a work week of 39%, 42%, 44, 46%, and 48 hours, respectively. Most
of the establishments had a 5-day week, though a few had a 6-day
week. Because of the seasonal variations and the uneven flow of
work, however, longer hours than those scheduled were worked in the
busy season and shorter hours in the slow season. A comparison of
the hours worked in a representative busy season and a representative
slow season is shown in table 1:
T a ble 1.—Distribution of W/oman Workers in Connecticut Underwear and Nightivear

Industry, 1937, by Weekly Hours Worked
4 busy weeks 1
H ours per week

4 slow weeks 2

N um ber of Percent of N um ber of
total
employees
employees
2, 062

100.0

6
96
679
1,219
62

.3
4.7
32.9
59.1
3.0

Percent of
total

1,946

100.0

68
269
723
671
215

3.5
13.8
37.2
34.5
11.0

1 Does not include 93 for w hom no records were available.
2 Does not include 50 for whom no records were available.

Hourly Earnings

A large number of women in the industry were found to be receiving
very low wages, 717 in the busy season and 660 in the slow season
earning less than 30 cents an hour. Table 2 presents a distribution
of the woman workers by hourly earnings.
T a b le 2.—Distribution of Woman Workers in Connecticut Underwear and Nightwear

Industry, 1937, by Hourly Earnings
4 slow weeks 2

4 busy weeks 1
H ourly earnings

T o tal_________________________ ___________
U nder 10 cents,
--------------------------------------10 and under 15 cents------------------------------------15 and under 20 c e n t s ----------------------------------20 and under 25 cents------------------------------------25 and under 30 cents-----------------------------30 and und er 35 cents------ -----------------------------35 and under 40 c e n t s --------------- ------------40 and under 45 cents------ -----------------------------45 and under 50 cents-------------- -----------------50 cents and o v e r .......................................................

Percent
of total

C um u­
lative
percent

N um ­
ber of
ployees

Percent
of total

2,062

100.0

100.0

1.945

100.0

100.0

4
23
104
267
319
423
435
275
140
72

.2
1.1
5.0
12.9
15.5
20.5
21.2
13.3
6.8
3.4

.2
1.3
6.3
19.2
34.7
55.2
76.4
89.7
96.5
100.0

5
31
89
220
315
426
421
259
115
64

.3
1.6
4. 6
11.3
16.2
21.9
21.6
13.3
5.9
3.3

.3
1.9
6. 5
17.8
34.0
55.9
77.5
90.8
96.7
100.0

1 Does no t include 93 for w hom no hours records were available.
2 Does not include 57 for w hom no hours records were available.


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

C um u­
lative
percent

N um of em ­
ployees

332

M o n th ly L a b o r R e view — F e b ru a ry 1939

The most highly paid woman workers were zigzag operators, who
executed the more skilled operations required in trimming garments.
Median hourly earnings of women in the different occupations are
shown in table 3.
T a b le 3. —-Median Hourly Earnings of Woman Workers in Connecticut Underivear

and Nightwear Industry, 1937, by Occupations
4 busy weeks
O ccupation
N um ber of
em ployees1

4 slow weeks

M edian
hourly
earnings

M edian
N um ber of
hourly
em ployees2 earnings

T o ta l_________________________ _______________

2,062

Cents
33.7

1,945

Cents
33.7

Zig-zag operators_____________________ ____ _______
Pressers_________________ _______ _________ .
O ther operators________________________________
E xam iners__________ ______ ________ .
M iscellaneous_________________________

211
132
1, 258
231
230

38.6
34.8
34.2
32.0
30.1

198
129
1.190
220
208

38.0
34.6
34.1
32.0
30.0

1 Does no t include 93 for w hom no hours records were available.
3 Does no t include 57 for w hom no hours records were available.

Median hourly earnings varied greatly between establishments,
ranging from 24.3 to 37.7 cents in the busy season and from 23.2 to
38.4 in the slack season. This great difference in earnings indicates,
the report states, “the existence of a serious competitive situation
which may undermine wage standards in the industry.”
Weekly Earnings

Even in the busy season one-fifth of the women employed in this
industry in Connecticut earned less than $10 a week, and in the slack
season the proportion was increased to one-half. Table 4 presents
a distribution of the woman workers in the industry according to
weekly earnings.
T a b le 4.

Distribution of Woman Workers in Connecticut Underwear and Nightwear
Industry, 1937, by Weekly Earnings
4 busy w e ek s1

4 slow weeks 2

E arnings
N u m b er of P ercent of N um ber of Percent of
employees
total
employees
total
T o ta l_____ ______

___ _ .

U nder $5________________ _
$5 and u n d er $10______
$10 and u n d er $15_____
$15 and u n d er $20______
$20 and over_______________ .

2,154

100.0

1,994

100.0

17
413
951
659
114

.8
19.2
44.2
30.6
5.3

109
903
818
152
12

5. 5
45. 3
41.0
7.6
.6

1 Does no t include 1 for whom no record of earnings was available.
3 Does no t include 8 for whom no record of earnings was available.


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

333

W om en in I n d u s tr y

In the busy season weekly earnings of women in the different occupa­
tions varied according to the differences in hourly earnings. In the
slow season, however, the miscellaneous employees had the steadier
hours, and in consequence had the highest weekly wages. Table 5
shows median weekly wages in the different occupations:
T a b le 5.— Median Weekly Earnings of Woman Workers in Connecticut Underwear

and Nightwear Industry, 1937, by Occupations
4 busy weeks 1
Occupation
N um ber of
employees

Zig-zag operators___________________________________
Pressers_____. . . . . __________ _____________ _____
O ther operators________________________________ .
Exam iners_____________ ______________ _______ _____
M iscellaneous__________ _____________ _____ _______

219
146
1,292
244
253

1 Does not include 1 for w hom no record of earnings was available.
3 Does not include 8 for w hom no record of earnings was available.

121435— 39------ 6


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

M edian
weekly
earnings
$15.19
14.00
13.80
12.46
12.28

4 slow w e ek s3

N um ber of
employees

203
132
1,209
226
225

M edian
weekly
earnings
$10. 28
9. 76
10.05
8.78
10. 57

Housing Conditiojis

INCREASE OF AUTHORIZED INSURANCE BY F. H. A.
THE Federal Housing Administration was authorized by the President
to increase the volume of mortgage insurance by 1 billion dollars in
December 1938.1 This action was taken under section 203 (a) of the
amended National Housing A ct2 which provides that the aggregate
amount of principal obligations of all mortgages insured and out­
standing at any one time may not exceed 2 billion dollars, except with
the approval of the President, when it may be increased to 3 billion
dollars.
It is expected by officials of the Federal Housing Administration
that the additional sum thus made available for financing residential
construction will contribute effectively to the revival of building
activity that began in the spring of 1938. As of December 1 the total
in outstanding commitments amounted to 1,585 million dollars. In
addition mortgages in process of appraisal amounted to 115 million
dollars and applications for mortgage insurance with appraisal fees
paid were being received at the rate of 100 million dollars a month.
Thus the limit, of 2 billion dollars, originally established as the maximum
of mortgages that the Administration was empowered to insure, was
expected to be reached within a short time.

FUND ALLOCATIONS BY THE U NITED STATES
HOUSING AUTHORITY
ALLOCATION of virtually all loan funds for the long-range slumclearance and low-rent housing program provided for by the Federal
Housing Act of 1937, was announced by the United States Housing
Authority in December 1938.3 Under the law the Housing Authority
was empowered to expend $800,000,000, of which nearly $650,000,000,
representing 90 percent of the development cost of projects, has been
allocated to local housing authorities. The remainder is being set
1 Federal H ousing A dm inistration. Press release N o. 346, D ecem ber 17,1938.
2 For summaries of th e original act and am endm ent see M o n th ly L abor Review for A ugust 1934 (p. 369)
and M arch 1938 (p. 707).
3 Press releases, Nos. 209 and 219 dated December 8 and 16, 1938.

334


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

335

H o u sin g C o n d itio n s

aside to meet the Federal Government’s obligations under the legisla­
tion, of which the most important are the annual contributions to
keep rents of the dwellings erected within the reach of families for whom
they are intended and, in pursuance of a policy adopted by the Housing
Authority, to provide amounts representing 10 percent of the estimated
cost of projects for use in cases where actual costs exceed the estimates.4
Commitments totaling $649,789,000 were made to 155 communities
in 29 States, the District of Columbia, Hawaii, and Puerto Rico.
Loan contracts covering $320,986,000 were approved, and the remain­
ing $328,803,000 represents earmarkings outstanding. The distribu­
tion of the local housing authorities for which commitments were
made and the total amount of the commitments are shown in the
accompanying table.
List of Commitments by United States Housing Authority as of December 1938

S tate or territory

N um ber
of hous­
ing au­
thorities

T otal com­
m itm ents

All S tates______________

155

$649,789,000

A labam a_____ ____ ___
California............... ........
Colorado___ . . _________
C onnecticut_______ ____
D elaw are---------------------D istrict of C o lu m b ia ... .
Florida________________
Georgia.......
................
H aw aii________________
Illinois_________ _______
In d ia n a ____ ________ . . .
K e ntucky___________
Louisiana ________ . . .
M ary lan d ______ ______
M assachusetts___. . . . . . .

5

11,589,000
50,000,000
4,000,000
19,450,000
2.100,000
15,000,000
12, 383,000
22,450,000
3,400 000
20,059,000
12,049,000
19, 596,000
25,311,000
23,928,000
50,800, 000

4

2
6

1
1
9
7

1
3
12
6

1
3
10

State or territory

M ichigan__ _____ ____ _
M ississippi. . _ ______
M o n tan a_______________
N ebraska____ . . . . . . .
N ew Jersey_______ . ._
New Y ork__ _ . . . ___
N o rth C aro lin a... . . . . .
Ohio___ ____ _
______
Pennsylvania_________ _
Puerto R ico_____
South C arolina_______ .
Tennessee______________
Texas_______ ____ ______
V erm ont__ . . . ._ ' .
V irginia______ __ . . . ._
W est V irg in ia.. ______
W isconsin.......... ........ .

N um ber
of hous­
ing au­
thorities
3
4
4
1
13
6
2
11
10
3
4
4
10
1
1
6
1

T otal com­
m itm ents

$35,000,000
2,880,000
2,145,000
4,243,000
36.807,000
70, 630,000
3, 555,000
64, 584,000
61.021,000
12,000,000
6,468,000
14,445,000
33,942,000
436,000
1,500.000
7,343,000
675,000

As of December 8, 1938, the Administrator stated that the number
of local housing authorities had increased from 46 to 221 in the 13
months that the Housing Authority had been in existence. As
negotiations for governmental aid to housing must be carried on
between the Federal Government and a duly constituted local housing
body meeting the conditions established by the Federal Government,
it is significant that 31 States have local bodies qualified to carry on
slum-clearance programs. In announcing the completion of commit­
ments of housing funds the Administrator stated that there remained
more than $200,000,000 in unfilled requests for loans.
4 F o r a su m m a ry of th e F e d e ra l H o u sin g A ct of 1937 see M o n th ly L a b o r R ev iew for O cto b er 1937 (p. 918).


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

336

M o n th ly L a b o r R e view — F e b ru a ry 1939

BUILDING AND LOAN ASSOCIATIONS, 1937
AT THE end of 1937, there were in the United States 9,762 local
building and loan associations. These had a combined membership
of 6,233,019 and total assets of $5,711,658,4102 As compared with
1936, there was a decline in the number of associations (from 10,256)
but the total membership increased 1.7 percent. Although the total
assets, all States combined, fell 0.5 percent, there were 36 States and
the District of Columbia that registered a gain.
The peak in number of associations occurred in 1927 when there
were 12,804. The year 1930 showed the highest point as regards
membership and resources—12,350,928 and $8,828,611,925 respec­
tively. Each succeeding year has shown a decline in total number of
associations (except 1934) and in assets, but the decline in assets
shown in 1937 was the smallest for some years.2 As noted, an upward
turn was taken in total membership figures.
The following table shows the details, by States, for associations
formed under State acts and those formed under the Federal act.
The Federal associations represent a group growing in numbers,
membership, and assets, but their expansion has not been sufficient
to offset the losses sustained by the State associations.
Number, Membership, and Assets of Building and Loan Associations, 1937
N u m b er of asso­
ciations

N um ber of mem bers

State
State
ed ­ Total associa­
State Feral
tions

Fed­
eral
asso­
cia­
tions

A m ount of assets

T otal

State asso­
ciations

Federal
associa­
tions

T otal

A labam a......... .........
Arizona__________
A rkansas___ _____
California___ ____
Colorado...................

24
1
10
124
36

14
2
35
69
25

38
3
45
193
61

8,250 5,120
718
613
4,800 4,793
218,401 36,183
17, 505 14, 000

13, 370
1,331
9,593
254, 584
31, 505

$7, 821, 273
424, 257
4,129,211
224,504, 988
12,268,471

$4,848, 272
1,504,464
8, 629, 718
68,456, 501
16, 526, 261

$12, 669, 545
1,928,721
12, 758,929
292,961,489
28,794, 732

C onnecticut______
D e law a re ................
F lorida............ .........
Georgia__________
Idaho____________

37
43
45
23
4

15

52
43
94
66
13

27,907 7,422
14, 900
6,750 15,398
9,998 11,151
1,800 6,508

35,329
14, 900
22; 148
21,149
8,308

22,896,347
12,414, 227
6 ,126,289
6. 396,672
801,892

8.157,925

49
43
9

29,100, 540
14, 022,419
6,146,403

31,054, 272
12,414, 227
35; 226', 829
20,419,091
6,948,295

Illinois___________
In d ia n a __________
Iow a_____________
K ansas__________
K e n tu ck y ________

660
208
68
129
127

102
66
32
20
48

762
274
100
149
175

286, 500 55, 507
89.600 67, 868
38, 990 6,096
109, 512 6, 500
72, 820 39, 543

342, 007
157,468
45, 086
116, 012
112,363

258,057,130
77, 797, 971
33,027,368
66, 928,112
53, 739, 583

81, 879, 596
77, 783, 339
7,886, 249
8,784, 574
51,277, 281

339, 936,726
155, 581, 310
40,913,617
75, 712, 686
105, 016,864

Louisiana.................
M aine.............. .........
M a ry la n d ...............
M assachusetts____
M ichigan________

70
36
i 875
189
58

12
6
28
26
24

82
42
903
215
82

98,418 5, 987
24, 028
433
201, 300 12, 288
344, 251 55,758
81, 280 14, 335

104,405
77,585,442
24,461
22, 691,391
213, 588 1 140, 900, 000
400,009 396, 782,814
95, 615
94,309, 666

11,498,970
442, 012
17,931,441
79,409, 501
19,259,920

89,084,412
23,133,403
158,831,441
476,192,315
113, 569,586

' Estim ated.
> D ata are from American Building Association News, D ecember 1938 (p. 545).
2 For d ata for earlier years, see M o n th ly Labor Review, Jan u ary 1938 (p. 109),


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

337

H o u sin g C o n d itio n s

Number, Membership, and Assets of Building and Loan Associations, 1937— C on tin u ed
N u m b er of asso­
ciations

N u m b er of m em bers

State
State
e d ­ Total associa­
State Feral
tions

$50, 640, 864
8,306,487
127,893, 004
11,163, 518
71, 277,197

5
30
1, 423
8 »21
384
64

1,140
14,074 3,477
585,395
899
3', 329
376, 568 133,480

1,140
17, 551
585, 395
4,228
510,048

952,464
11,157, 512
5, 790, 686
792,361,056
3, 578,944
1, 217, 374
256,266, 687 122, 233,902

952,464
16, 948; 198
792, 361, 056
4, 796', 318
378, 500,589

183 100,272 5,112 105,384
9, 747
23
7,930 1,817
724 1,157,475 149,325 1, 306,800
38,626
14,401 24, 225
73
27,042
16,982 10,060
37

67,415, 711
8, 399,193
8, 748,137
1,647,464
648, 920, 718 161, 777, 514
19, 757, 674 39,313,016
14,301,958 10, 709,808

75,814, 904
10,395, 601
810, 598, 232
59,070, 690
25, Oil, 766

15
5
103
32
23

510,402 17, 215
49,401
250
8.110 9,316
5,290 1,515
2,290 12, 889

527,617
49,651
17,426
6,805
15,179

573, 576, 873
35,856,065
8,030, 285
3,173, 279
1 1, 700, 000

23.128,363
252, 075
11,270,063
1,406,407
17,886,758

596,705, 236
36,108,140
19,300, 348
4, 579, 686
19, 586, 758

176
21
14
98

42, 762 16, 713
21, 600 4,830
908
5, 500
38,650 7,467

59,475
26,430
6,408
46,117

59, 530, 001
21, 206, 610
4, 270, 726
30,995,147

24,186,152
5, 290,144
1, 278, 555
13, 263, 090

83, 716,153
26,496,754
5,549, 281
44,258,237

36
21
27
9

70
69
202
14

70, 000 72, 222
21,300 8,241
173,886 6,111
3,462 1,221

142, 222
29, 541
179, 997
4,683

19,000,000
14, 816,377
178,462,121
3, 297, 696

33, 742,091
11,690, 624
8, 672, 614
2, 083,488

52,742, 091
26, 507,001
187,134, 735
5,381,184

1
1
1

28
10
1

129,780
2i; 500

129, 780
22) 550
56

120, 614,000
4,329,993

1, 673, 460
95,975

120, 614, 000
6,003,453
95,975

Pennsylvania____ 2,103
8
Rhode Isla n d _____
44
South Carolina __.
South D a k o ta .. __
14
Tennessee________
7

54 2,157
1
9
30
74
19
5
45
38

Texas________ _
U ta h ____________
V erm ont__ . . . .
V irginia____ _ . . .

87
15
12
77

89
6
2
21

W ashington______
W est V irginia____
W isconsin________
W yom ing________

34
48
175
5

H aw aii.............. .......

27
9

Total:
1937____
1936____

T otal

$21, 873,804 $28, 767,060
' 5,148, 000
3,158,487
95,291, 779 32, 601,225
1, 595,123
9, 568, 395
65, 852,076
5,425,121

1
2

168
18
621
41
14

Federal
associa­
tions

48,192
7,023
178,063
19, 211
87,401

4
28
1,423
N ew M exico... . . .
13
New Y o r k . ______
320
N orth C arolina___
N orth D ako ta____
Ohio........... ..............
O klahom a________
Oregon____ ____ _

S tate asso­
ciations

20, 019 28,173
4, 200 2,823
155, 000 23,063
14,825 4, 386
83,005 4,896

31
21
37
3
16

New H am psh ire.--

T otal

78
46
221
23
92

47
25
184
20
76

M innesota_______
M ississippi..............
M issouri_________
M ontana.................
N ebraska________

F ed ­
eral
asso­
cia­
tions

A m ount of assets

1,050
56

8,434 1,328 9,762 5,316, 276 916.743 6, 233, 019 4, 619, 557,192 1,092,101,218 5, 711, 658,410
9, 044 1,212 10, 256 5,450,472 675,499 6,125,971 4,968, 710,171 773, 225,259 5,741,935,430


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

Unemployed Youth

ACTIVITIES OF C. C. C. IN 1938
OVER 2,000,000 young men and veterans have been enrolled in the
Civilian Conservation Corps during the 5 years of its existence.
During the fiscal year 1938, 252,196 young men were selected and en­
rolled in the Civilian Conservation Corps to fill vacancies occurring
in the 1,500 camps located in the 48 States and the District of Colum­
bia. Since there were several times as many eligible applicants as
there were vacancies during the year, those chosen were the product of
a highly selective policy.
On June 30, 1938, there were 231,091 enrollees (the authorized
strength being 300,000), according to the annual report of the Director
of the Civilian Conservation Corps,1 from which this information is
taken. Including Indians and Territorial enrollees there was a total of
241,528.2
A law enacted June 28, 1937, modified the standards of eligibility, so
that while applicants must still be “unemployed and in need of em­
ployment,” they may not be excluded because their families are not
dependent on public relief or welfare aid. This law also gave the
organization a more permanent status, providing for a 3-year existence
as a regular establishment of the Federal Government, and also estab­
lished more definite employment and vocational features for the Corps.
Work Accomplishments

The work engaged in by enrollees of the Civilian Conservation Corps
has been of a varied character, and the physical accomplishments have
reached impressive totals. More than 150 types of work have been
carried on. Since 1933, 17 separate coal-bed fires at Federal coal
deposits in Wyoming have been brought under control, reducing the
losses of millions from the burning of rich veins of coal. A large
amount of rescue work, searching for lost persons, and similar work,
was done in 1938, as in earlier years. The largest single contribution,
in the conservation of natural resources, that the Civilian Conservation
Corps has made during the 5 years of its existence, it is stated, has been
1IJ. S. Civilian Conservation Corps. A nnual R eport of th e D irector, fiscal year ended June 30, 1938.
W ashington, 1938.
2 An additional m axim um of 10,000 Indians and 5,000 Territorials is perm itted b y law.

338

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

Unemployed Youth

339

the protection of forests from fire, insect, and fungus attacks. Over
270,000,000 forest trees were planted in 1938. Increased attention
was given to wildlife development, improvement, and protection.
Some of the accomplishments of the Civilian Conservation Corps in
1938 are shown in table 1.
T able

].— Work Accomplishments of the C. C. C. During Fiscal Year 1938, by Type of
Work
T ype of work

U n it

Eradication of poisonous plants, etc_______________ Acres_______________
Excavations, channels, canals, and ditches________

C ubic y ard s_________
M iles_______________
Fire fighting____________________________________ M an-days.....................
Forest-stand im p ro v e m e n t____

_

_______ ___

R odent and" predatory-anim al control_____________

Acres______ _________

Acres...............................

New work
1,599
129, 575
610.920
5,103,643
3,151
372, 569
178,879, 568
322.920
270,312,300
2,066
1,036,581
303
3,604
4,086,962
7, 575
563, 002
9,185

M aintenance
785
16, 787
15, 873, 287
4,803

13, 618
303
6,452
32,210
29, 036
164, 966
63, 508

Education

Academic courses are provided by the Civilian Conservation Corps
for enrollees who wish to supply deficiences in their school education,
and 32 percent of the men participated in 1938. Ninety-four percent
of the illiterates attended classes, and 8,817 were taught to read and
write. State and local school systems cooperating with the Civilian
Conservation Corps awarded elementary school diplomas to 3,517
qualified enrollees, high-school diplomas to 634, and college diplomas
or degrees to 13. Under the provisions of the act of June 1937, leave
of absence was granted to 1,309 enrollees to attend schools and col­
leges. More than 100 scholarships were offered to Civilian Conserva­
tion Corps men by 42 colleges and universities during 1938.
Approximately one-half (49 percent) of the educational activities of
the Civilian Conservation Corps are vocational in their objective.
Training on the job is supplemented by courses in related subjects,
and other prevocational courses are given in the camp or nearby trade
schools. Fifty-four percent of the men received such job training,
and 41 percent took the pre vocational courses.
Other educational activities were instruction in first aid, safety, and
sanitation; teacher, leader, and foreman training courses; corre­
spondence courses; and arts, crafts, dramatics, music, hobbies, and
discussion and debating groups. The camp libraries contained
1,647,719 books. In 1938, there were 68,693 educational films shown,
and an average of about 8,500 lectures a month were given. Seventyone percent of the companies published a camp newspaper.

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

340

M o n th ly L a b o r R e view — F e b ru a ry 193 9

M orbidity and M ortality Among Enrollees

Communicable diseases were more prevalent than any other type
of disease among Civilian Conservation Corps enrollees during 1938,
and the common cold, pharyngitis, tonsilitis, influenza, and bron­
chitis were the most common forms. Forty percent of the admissions
to “sick report” 3 had communicable diseases. Injuries caused 12%
percent of the admissions to sick leave, but this number was considered
small, considering the extensive use of tools and machinery in manual
work by enrollees with no previous experience.
Influenza and pneumonia were less prevalent than in 1937. Vac­
cination with a new vaccine, considered to be a protection against
pneumonia of certain types, was administered to approximately half
of the enrollees over a 5-month period and it is thought this may have
had a great influence on the incidence of pneumonia. The experi­
mental use of the vaccine is to be continued.
Cases of measles and mumps were more numerous in 1938 than in
1937, and malaria was present in all corps areas but one. The annual
rate for venereal diseases declined, but the number of cases was still
large, there being over 4,000. There were only 241 cases of tuber­
culosis reported.
During the fiscal year 1938, there were 636 deaths in the Civilian
Conservation Corps, 338 of which were due to disease and 298 to
injury. The death rate was 2.4 per 1,000. In a comparison of the
death rates in the Civilian Conservation Corps in 1938 with those of
the male population of the country 15 to 29 years of age in 1935, the
differences shown, which were not great, are probably explained, it is
stated, by the difference in ages in the two groups, the effect of en­
trance examinations, or the mode of life of Civilian Conservation
Corps enrollees. Table 2 gives the rates for the two groups for certain
causes of death.
T a b l e 2 . —Death

Rates for Male Population, Age 15 to 29, in 1935, and for Civilian
Conservation Corps in 1938
D eath rate per 100,000
Cause of death
General pop­
ulation

A utomobile and tru ck accidents_______
Pneum onia, all forms.............
D row ning, j ________________________
A ppendicitis_________________________
R ailroad accidents_____ ____ __________
Tuberculosis___________________ _____
M eningitis, cerebrospinal______________

43.6
30. 5
12.4
15.2
5.2
39.5
3.7

C. C. C.

48.3
33. 7
18.3

8T h a t is. cases excused from d u ty 24 hours or longer because of illness or injury.


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

8.2

7.5
6.4
5.6

Cooperation

EMPLOYMENT CONDITIONS IN EUROPEAN
COOPERATIVES
IN EUROPE, collective bargaining has long been in force between
cooperative associations and their employees. The agreements set
forth general conditions of work, as well as specific wage rates, hours,
and other arrangements. In some countries a basic agreement out­
lining general policies to be followed is made between the national
cooperative federation and the national labor organization. Indi­
vidual agreements are then negotiated by the regional or local associ­
ations and the local trade-unions of their employees.
The provisions of the collective agreements of cooperatives in six
countries (Finland, France, Great Britain, Norway, Sweden, and
Switzerland) have been analyzed by the International Labor Office.1
The findings of that analysis are summarized in this article.
The scales of wages set very often provide for an automatic increase
after each year of service. Wage rates may also vary with the age of
the employee. In Sweden a few large associations have introduced
a “collective commission” system. Under this system fixed basic
wages are paid, supplemented by a commission based on sales. The
aggregate amount of the commission is divided among the staff, in
proportion to the basic wage for their respective jobs.
The 48-hour week was found to be the common maximum for store
employees in Great Britain, Norway, Sweden, and Switzerland.
Clerical employees generally had shorter hours. The shortest hours
of all were in France where they were fixed by decree at 40 hours
for all workers.2 In Finland, Norway, and Sweden, a 30-minute
period was allowed by agreement after the regular working day in
order that the store or other premises might be put in order; this
period was not regarded as overtime nor was it paid for. In most
cases overtime, when allowed, was paid for at higher than regular
rates. In Norway, as the cooperative stores were open considerably
longer than the 8 hours worked by employees, a system of overlapping
8-hour shifts was in use.
1 Cooperative Inform ation (Geneva), Nos. 1,2, 3, 6,9, and 12 (1938).
No d a ta are available as to w hat extent recent developm ents in th a t country have affected hours of work
in cooperatives.

2


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

341

342

M o n th ly L a b o r R e view — F e b ru a ry 193 9

All the agreements studied provided for annual paid vacations.
These usually were given after 6 months’ service and varied with
period of service. Those studied fixed periods ranging from a week
to a month. Generous provision for annual paid sick leave was found,
ranging in some cases up to 3 months with full pay, followed by 3
months at half pay. In some cases paid sick leave was granted only
on a doctor’s certificate.
Arbitration of disputes is quite generally provided for. In France
the trade-unions recognize the special character of the cooperatives
and agree not to ask of them conditions that would place them at a
competitive disadvantage. In case of strike by the trade-union the
cooperative employees continue at work, and the association agrees
to accede to any conditions won from other employers.
Coverage of Study

In Finland the cooperatives composed mainly of industrial workers
are federated into a central union (K. K.), which generally guides the
collective-bargaining and wage policies of its 122 local associations.
An agreement between the federation and the Finnish Confederation
of Trade Unions contains general principles governing working con­
ditions in cooperative associations. Individual agreements are also
entered into by the local associations and trade-unions, which may
introduce certain slight variations.
At the end of 1937 the 33 largest associations (with over 60 percent
of all cooperative employees) had 76 collective agreements; and the
wholesale society had 4 agreements covering 700 of its 1,500 employees.
The collective agreements in France between cooperative associa­
tions and their employees are based upon a general agreement be­
tween the National Federation of Consumers’ Cooperatives and the
French Confederation of Trade Unions. This agreement lays down
the general principles to be followed in all agreements. The regional
associations then negotiate agreements on specific points. The data
in the table on page 344 represent the prevailing provisions in the
regional agreements.
The provisions given for Great Britain are those found in the agree­
ments of the sectional councils of the hours and wages board of the
Cooperative Union for the affiliated associations in the Midland,
Northern, Northeastern, Western, Scottish, and London areas. These
associations had from 55 to 60 percent of all cooperative employees
in Great Britain.
The data for Norway “are based on collective agreements which
reflect typical conditions of work in Norwegian cooperative retail
societies.”


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

C ooperation

343

In Sweden there are no collective agreements between the tradeunions and the consumers’ cooperative movement as a whole. The
contracts negotiated have been between individual associations and
a trade-union—generally the Swedish Commercial Workers’ Union.
Conditions therefore vary somewhat but the provisions here noted
are regarded as representative of the majority of associations.
The provisions noted for Switzerland are based upon the agreements
for five of the largest associations in that country.
Principal Provisions of Agreements

The following table summarizes the provisions of agreements in
each of the six countries studied, as regards wages, hours, overtime,
and paid vacations.


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

344

Principal Provisions of Collective Agreements With Cooperative Associations in Specified Countries
C ountry

Wages

M axim um hours

P a y for overtim e and holidays

F in lan d _____

M anagers’ wages based on sales;
scale generally revised 3 or 4 tim es
a year. Wages of other employees
based on age, w ith au tom atic in ­
crease each year. Cost of living
considered in setting rates.

Set b y law, as follows:
Stores and warehouses—8 a. m. to 6 p. m.
on week days, 8 a. m. to 5 p. m. on S atur­
day; 6-day week.
D airy stores—8 per day, 47 per week (includ­
ing not over 3 on Sundays and holidays).
R estau rants—8 per day, in shifts, between
5 a. m. and m idnight.
Bakeries—8 per day, betw een 5 a. m. and 10

“ Clearing tim e” (not over 30 m in­
utes) not regarded as overtime.
Thereafter tim e and a half for first
hours; double tim e for all other
hours and for work on Sunday.

Set b y law, as follows: 1 week after 6
m onths’ service; 2 weeks after 1
year’s service; 3 weeks after 5 years’
service; 1 m o n th after 10 years’
service.

M anagers no t covered b y agreem ent.
Wages of other employees based
upon official cost-of-living index,
and adjusted for every 10 points’
variation therein.

Fixed b y decree a t 40 hours per week, spread over
5 or 6 days.

O vertim e allowed only in exceptional
cases, being generally compensated
for b y tim e off. W here paid for,
rate varies in different associations.

G reat B ritain . M anagers’ wages based on average
weekly sales. Wages of other em­
ployees generally based on age.

48 hours per week, store employees (44 in N o rth );
for clerical employees, hours vary from 40
(N o rth and N ortheast) to 46 (W est). In Scot­
lan d employees working custom arily less than
48 hours are paid for 48 hours.
48 hours per week, store employees; 42 per week,
clerical employees.

G enerally tim e and a quarter on
week days; double tim e on Sun­
day. Sometimes paid for a t high­
er rates after specified num ber of
hours.
“ Clearing tim e” (not over 30 m in­
utes) not regarded as overtime.
Thereafter tim e and a quarter for
first 2 hours; for all other hours,
tim e and a half. For Sundays and
holidays, double time.
“ Clearing tim e” not regarded as
overtim e. Thereafter generally
tim e and a half. For Sundays
and holidays, double time.

Set b y decree, for employees of 1
year’s service, a t 15 days (including
w ork days). For employees of
less service, agreem ents generally
provide proportionate length of
vacation. In some cases longer
periods are provided for longer
service.
Varies, b u t generally from 6 to 12
days, according to years of service.

N o rw ay_____

Fixed rates, based on years of service,
b u t employees can call for revision
if cost-of-living index rises or falls
b y specified num ber of points.

Sweden 1____

M anagers’ wages based on average
annual sales. Wages of other em­
ployees based upon years of service.

S w itz e rla n d .. M anagers not covered by agreement.
Wages of other employees based
upon years of service, plus (gener­
ally) a m o n th ly commission on
sales.

Set b y law, as follows:
Stores—48 per week (betw een 8 a. m. and
7 p. m.).
D airies—48-53)4 hours per week (betw een
7 a. m. and 8 p. m j , plus 3 hours on Sun­
day every 2 weeks.
48 hours per week, store employees (51 in L au­
sanne); 44 or 47 hours, clerical employees; 54
hours, dairy employees( Lausanne).

1D ata given represent provisions of a “ ty p ical” regional agreem ent.


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

Regular rate plus 30 percent.
Sundays, tim e and a half.

For

12

12consecutive w orking days,

after 6
m o n th s’ service; u nder 6 m onths’
service, 1 w orking day for each
whole m onth of service.

Varies, b u t generally 12 w orking days
after 1 y ear’s service, 1 week after
service of from 6 m onths to 1 year.

1-4 weeks, according to period of
service.

M o n th ly L a b o r R e view — F e b ru a ry 1939

F r a n c e ..........

2

Paid-vacation policy

C ooperation

345

PAYMENT OF WAGES DURING SICKNESS

In Finland, store, office, and warehouse employees are all entitled to
full pay, in case of sickness, for periods varying with the period of
service, as follows: Less than 3 years, 2 weeks; 3 to 5 years, 3 weeks;
and over 5 years, 1 month. In exceptional cases, wages continue for
even longer periods. Three weeks’ pay is generally the maximum,
during illness, for restaurant and bakery employees.
Employees of cooperatives in France are generally provided for
through the French social-insurance system. Under the law employers
and employees are required to contribute in equal amounts to support
the system. Some of the cooperative associations, however, pay the
employees’ contribution as well as their own. One large regional
association pays an employee absent because of sickness the difference
between his wages and the sick benefits received under social insurance,
during the first month of illness. The national federation grants, to
employees with more than a year’s service, full wages for the first 2
months of illness and half wages for the next 3 months. Both of
these organizations also allow, to woman employees who have been
in their service for over a year, 6 weeks’ maternity leave, with full pay,
both before and after confinement.
In Great Britain the period of annual sick leave ranges from 12
days to 3 weeks. The associations in the northeastern section not
only allow 3 weeks with full pay but grant an additional 3 weeks at
half pay.
The Norwegian cooperatives allow 2 months’ annual sick leave with
pay, ‘‘where proper medical evidence is produced justifying absence
from duty.”
Swedish societies grant paid sick leave only to employees who belong
to a sickness insurance fund. The period of leave varies, but generally
ranges from 1 month at half wages (after 1 year’s service) to 3 months
at full wages and 3 months at half wages (after at least 3 years’ serv­
ice), in any year.
In Switzerland the provision for paid sick leave varies considerably.
In the agreements studied, the minimum annual period found was 14
days’ paid leave in case of 1 year’s service and 27 days’ leave there­
after. The most generous arrangement provided for 3 months at
full pay and 3 months at half pay, in any one year, after 6 months’
service. A number of the associations insure their employees
against accident so as to provide for full pay during disability.
HANDLING OF DISPUTES

The basic agreement in Finland provides for compulsory arbitration
of disputes arising with regard to the general principles covered by the
agreement. Most of the agreements of the individual societies

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

346

M o n th ly L a b o r R e view —-F ebruary 193 9

provide that controversies shall be settled by cquipartisan courts of
arbitration. During 1937 only 2 cases had gone to arbitration and
in both an agreement was reached. It is stated that, broadly speak­
ing, relations between the cooperatives and their employees have been
“very good and labor conflicts have been few and far between.”
In France, also, arbitration is provided for in the general agree­
ment. It lays down as a general policy that strikes are to be avoided.
If a trade-union of which cooperative employees are members is
involved in a strike, there is to be no cessation of work in the coopera­
tive, but the latter binds itself in advance to grant any concessions
won from private employers in the strike. For the handling of any
disputes between the cooperative association and its employees a
committee of six is provided for—three representing the association,
two the employees, and one the trade-union to which the employees
belong.
All disputes affecting cooperative associations and their employees
in Great Britain are handled by the National Conciliation Board, on
which the cooperative movement and the trade-union movement have
equal representation.
TERMINATION OR REDUCTION OF EMPLOYMENT

For termination of employment by either society or employee,
notice of 1 month is required in both Norway and Sweden; 1 week
in case of employees paid by the week and 1 month if paid by the
month, in France; and 2 weeks in Finland.
In France, employees to be dismissed are given, during the period of
notice, time off (usually 2 hours) each day to allow them to look for
another job. Employees with service of more than 2 years are usually
also given “dismissal compensation,” the amount of which is based
upon the years of service; such compensation is not paid, however, if
the employee is being dismissed because of “gross negligence.”
Seniority in service governs the order of lay-off, in case of reduction
of force, in Norway and Sweden.
If business conditions will not permit full-time employment of the
regular force, one regional association in France provides for short
time for all employees or a system of fortnightly rotation of full-time
hours.
OTHER PROVISIONS

Many of the Finnish associations insure their workers against old-age
and unemployment, and pay at least half of the premiums therefor.
The wholesale society (O.T.K.) gives to every employee in its service
for at least 2 years a life-insurance policy for 5,000 marks, and to
those in service for 5 years one for 10,000 marks. The association
pays half of the premiums (60 percent, in case of women) for old-age

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

C ooperation

347

and invalidity insurance. Pensions are provided for male employees
at 63 and for women at 58. Beds at a tuberculosis sanatorium are
subsidized by the wholesale, for possible use by its employees. To­
gether with an insurance association, it has founded a recreation place
where employees may spend their vacations.
In Norway employees attending “an officially approved evening
school” are permitted to leave work each day early enough to allow
them IK hours’ rest before class.


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

Health and Industrial Hygiene

COST OF M ED IC A L CARE AMONG FARM FA M ILIES
THE annual expenditure of farm families in the United States for
medical services amounts to approximately $265,000,000 and. other
medical costs, including medicines, health and accident insurance,
etc., bring the total cost to about $350,000,000, according to a recent
report by the United States Bureau of Agricultural Economics.1 The
average cost per year per family for medical services alone is $39,
while the total medical costs average $51 per family, or about 8 per­
cent of the family budget. Although this average expenditure is not
large, it is pointed out that the cost for any one family may vary from
nothing in some years to several hundred dollars in other years.
Data were collected by the Bureau in 1936 on rates charged for
selected, medical services to farmers in the periods 1910-14, 1924-29,
1932, and 1935-36. Between 1910-14 and 1924-29 these rates were
found to have increased 21 percent. There was some decline in rates
during the depression which began in 1930, and in 1935-36 the average
of rates for the country as a whole was only 16 percent above the
1910-14 level. The increase in rates for medical services during the
past 25 years has been accompanied by improvement in the quantity
and quality of medical services, while a marked improvement in
transportation facilities and an increase in the number of hospitals have
made medical services more easily and quickly available for farm
families. Since with improved roads more patients now visit the
doctor, much of the time he formerly spent in visiting farm homes
can be devoted to rendering additional services, and it is said to be
probable that except for this increased efficiency in the use of doctors’
time there would have been a greater increase in the rates for medical
services in rural areas.
The increase in fees from the period 1910-14 to that of 1935-36
varied in the different services. Physicians’ fees increased 13 percent;
dentists’ fees, 22 percent; oculists’ and optometrists’ fees, 14 percent;
hospital charges, 17 percent; and nurses’ fees, 23 percent. Rates in
the New England and Middle Atlantic States have been maintained
at relatively high levels during the past decade or more as compared
i U . S. D epartm ent of A griculture. B ureau of A gricultural Economics.
A ugust 1938, p p. 13-14: T h e Cost of C ou n try M edical Service.

348

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

T he A gricultural Situation,

349

Health and Industrial Hygiene

with 1910-14, which is due in part to the greater stability of farmers’
incomes in these regions. In the West North Central region, how­
ever, as a result of the severe droughts of 1934 and 1936 which re­
duced farm income sharply, rates in 1935-36 were only 9 percent
above the pre-war level.
The following table shows changes in the index numbers of fees for
medical services to farmers, in the various regions and for the different
periods, based on the 1910-14 rates. In general, the rates for medical
service and the expenditures for this service by farmers were highest
in the Pacific and Mountain States and lowest in the Southern States.
Index Numbers of Fees for Medical Services to Farmers, in Specified Periods, by Regions
[1910-14 = 100]
R egion

1910-14

1924-29

1935-36

1932

U n ite d S ta te s ..................................................................................

100

121

116

116

N e w E n g la n d ...... ................... ....................... ...............................
M id d le A tla n tic .............................................................................
E a s t N o r th C e n t r a l ................................................................ ..
W e st N o r th C e n tra l______________ - ....................... .............
S o u th A tla n tic .......................... ................. ................................ E a s t S o u th C e n tr a l....... .............................................................
W e st S o u th C e n t r a l....................................... - .........................
M o u n ta i n .--------------- ------------------- ------------------- ...............
P acific________________________________________________

100
100
100
100
100
100
100
100
100

133
138
123
117
121
124
119
116
115

132
133
118
112
118
121
107
110
113

133
132
119
109
122
121
111
112
112

H EA LTH W ORK OF A IR H Y G IEN E FOUN D A TIO N
THE Air Hygiene Foundation of America, Inc., was founded in 1935
for the purpose of seeking the elimination or control of industrial
diseases caused by air pollution from gases or dusts, silicosis being of
special interest. The membership of the organization is made up of
individual companies, corporations, and associations of employers.
The total dues-paying membership in 1937 was 165.
More than 200 executives from 101 industrial concerns attended
the third annual meeting of the Foundation held at Mellon Institute,
Pittsburgh, on November 17. Reports covered engineering and
medical developments during the past year toward employee health
improvement, State codes governing health hazards, and legal and
economic trends. In addition to the technical discussions, speakers
stressed the broad benefits for management, labor, and the community
resulting from the collective effort by employers toward improving
health in industry.

121435— 39------ 7


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

Prison Labor

EM PLO Y M EN T OF PR ISO N ER S IN GERM ANY
UNTIL the issuance of a decree in May 1938, the German Penal Code
provided for forced labor only for prisoners in penitentiaries, but
inmates of prisons could upon request be given such work as they
were able to do.1 They could, however, be given outside work only
with their own consent. The new decree, superseding this law, pro­
vides for forced labor for prisoners of all kinds, including those await­
ing trial. There is, however, a provision requiring that prisoners
awaiting trial be given sufficient time to prepare their defense.
In order to make use of experience and skill, every prisoner is to be
given work for which he has been trained. Occupations which are
already overcrowded are to be avoided. Prisoners coming from over­
crowded occupations, such as printers, bakers, butchers, and hair­
dressers, are to be retrained for metal industries.
The prisoners are to be used for both outdoor and indoor work.
Special consideration is to be given outdoor work in brick works,
quarries, clay pits, road and waterway building, excavation work,
forestry, swamp drainage and cultivation, seasonal agricultural work
(i. e., cultivation and crop periods). If daily transportation to the
workplace is not feasible, a suitable prisoners’ labor camp is to be
established. For indoor work the prisoners are to be used in the
iron and steel industry and building trades. As there are some 8,000
metal workers among the prisoners, it is planned to establish metal
workshops in the prisons. Female prisoners are to be used in packing
plants, fish canning, and other industries.
Public employment offices are to furnish reports on all prisons in
their districts to the State Bureau for Unemployment and Unem­
ployment Insurance. These reports must contain information as to
the number of prisoners, by sex and occupation; previous and planned
occupations; together with a detailed plan for their employment on
outdoor and indoor work and for their transportation or provision of
quarters at distant workplaces.
The volume of available prisoners’ labor is seen from the following
official figures for June 1938: 24,000 prisoners awaiting trial; 34,000
persons in penitentiaries; 51,000 in prisons; and 4,000 long-term
1 K eport of Joel C. H udson, A merican C onsul a t Berlin, O ctober 28,1938.

350 
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

351

Prison Labor

prisoners—altogether 113,000 persons. Of these, including those
awaiting trial, 105,000 were found, upon investigation, to be em­
ployable.
PR ISO N IN D U ST R IE S IN GREAT B R IT A IN
ABOUT 90 percent of the persons in prison in Great Britain, in the
year ending March 31, 1938, were engaged in productive labor within
the prison. Thus, according to an official report,1 the daily average
prison population totaled 10,698 persons, of whom 9,680 were em­
ployed. The hours worked were approximately 8 per day. Over
half of the prisoners at work were engaged in manufacturing. The
total value of manufactures supplied to other Government depart­
ments increased to £254,671,2 or by 75 percent, in 3 years. Satis­
factory progress is reported to have been made in the general reor­
ganization of prison.industries that has been under way for 4 years.
This would have been impossible, the report states, had it not been
for the cooperation of various purchasing agents of other Government
departments in taking goods that were produced by prisoners.
During the year under review, the number of prisoners not engaged
in any kind of work averaged 1,018. Of these, 529 were sick, 304
were not detailed for labor, 161 were awaiting trial, 17 were under­
going punishment, and 7 were certified as unfit for labor.
Types of employment at which the prisoners were occupied in the
3 years 1935-36, 1936-37, and 1937-38, are shown in the accompany­
ing table.
D aily Average Number of Prison Inmates in Great Britain at Various Types of Work
1935-36 to 1937-38
T ype of work
T o ta l................................................................................................ .

M anufactures----------- --------- ------------ --------------------------F a rm ___________________ ________ ___________________
B uilding__________ ____ ______________________ _____
D om estic ____ ______________________________________

1935-36

1936-37

1937-38

10,090

9, 529

9, 680

6,317
434
1,358
1,981

5,884
420
1,357
1,868

5,925
469
1,416
1,870

The proportion of the total number of prisoners employed in manu­
facturing declined slightly in the last two years shown in the table.
Manufacturing accounted for 62.2 percent of the total employed
prisoners in 1935-36 and 1936—37 and 61.2 percent in 1937-38. Pris­
oners engaged in domestic work made up practically the same pro­
portion of the total employed throughout the period. In contrast.
* G reat B ritain. H om e Office. Priso n Commission. R eport of Commissioners of Prisons and the
D irectors of C onvict Prisons for th e year 1937. London, 1938.
1 Average exchange rate of th e p o u n d in 1937=$4.944, s h illin g s 24.72 cents, and p en n y =2.06 cents.


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

352

Monthly Labor Review—February 1939

employment on farms and buildings increased both numerically and
on a percentage basis.
New prison shops of several different kinds were established during
the latest fiscal year for which data are shown. Several of these were
equipped with machinery of more modern types than had been in use.
Shop lay-out was also changed to insure more economical operation.
A movement started earlier to centralize industries was continued.
A plan previously adopted, to produce more vegetables for the use
of prisons, was extended. All farms were provided with equipment
designed to improve the quality of work and to augment the agri­
cultural training of prisoners.
Stores in various establishments were remodeled and improved to
facilitate storage, issue, and maintenance of garments in use.
The average yearly earnings of prisoners employed in manufacturing
in 1937-38 amounted to £12 19s. 3d.; for farm labor the average was
£11 11s. 2d.; for building labor £40 17s. 10d.; and for domestic work
£16 13s. 5d. The quantity of skilled work increased over the previous
year, and this benefited a larger number of prisoners financially.


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

Labor Laws and Court Decisions

R E C E N T COURT D ECISIO N S OF IN T E R E S T TO LABOR
Utah M inim um Wage Law

THE minimum wage law of Utah, which authorizes the industrial
commission to establish minimum wages and maximum hours of
labor for women and minors, was recently held constitutional by the
Utah Supreme Court. The court based its decision on the ground
that the legislature was empowered in the exercise of its police power
to protect the health, morals, and welfare of women and minors. The
statute did not deprive employers of property without due process
of law, it was said, and was valid as a proper exercise of the power
vested in the legislature by the provision of the State constitution
empowering it to pass laws “calculated to promote the industrial
welfare of the State.”
However, the order of the industrial commission fixing wages and
maximum hours for retail clerks was held to be invalid because of
failure to hold a proper hearing. Although a public meeting was
held, pursuant to notice, and the opponents and proponents were
allotted 3 hours each to talk about the matters, “no witnesses were
sworn; no record made of their statements; and as far as the pro­
ponents were concerned none of them appeared to be either employers
or employees, or in any way connected with the retail trades or familiar
with the questions under discussion.” The court said that this was a
“public meeting and not a public hearing,” and declared that the order
was invalid, as “there must be a full and public hearing.” It was
pointed out also that “there must be evidence to support the neces­
sary findings of fact” and “findings must be made by the commission
and must embrace the facts which are needed to sustain the order”
(McGrew v. Industrial Commission, 85 Pac. (2d) 608).
Minnesota Anti-Injunction A ct

A suit for an injunction by the owner of a cleaning and dyeing
establishment to restrain picketing was held by the Minnesota
Supreme Court to constitute a labor dispute, even though the dispute
was not between the owner and his employees. For this reason, it
was decided that the owner was not entitled to an injunction, as the

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

353

Monthly Labor Review—February 1939

354

State anti-injunction law was applicable. The cleaning establish­
ment was picketed by a dry-cleaning drivers’ union because the owner
proposed to put into effect a schedule of prices lower than that estab­
lished by a local cleaners’ association pursuant to the State unfair
trade practices act, which would result in decreasing the compensa­
tion of union truck drivers employed on a commission basis.
In holding that the owner of the cleaning establishment was not
entitled to an injunction, the court pointed out that the union had a
direct interest in the prices which the owner of the establishment pro­
posed to charge his customers, since such prices would affect the
wages of the members of the union. Although the labor union had
“no right to dictate to plaintiff what charges to make against his
customers,” the court declared that “the members of defendant union,
whom it lawfully represents, have a manifest interest in opposing a
manner of doing business, or any charges therein, which threaten
their own security as to status or wages” (Lichterman v. Laundry
and Dry Cleaning Drivers Union, Local No. 131, 282 N. W. 689).
Picketing to Compel Recognition of Union

Picketing of an employer by a union because of his failure to induce
his employees to become members of the union, and because he refused
to contract with the union respecting the wages and hours of his
employees, does not involve a labor dispute under the Washington
labor disputes act. The Washington Supreme Court held that the
union was properly enjoined from picketing the premises of the em­
ployer. In this case, none of the employees belonged to the union
and there was no controversy between the employer and his employees.
This ruling was based on an earlier decision of the same court hold­
ing that picketing by a union for such a purpose did not constitute a
labor dispute. In this connection, the court observed that at the 1937
session of the legislature there was no amendment of the labor dis­
putes act evincing an intent to override the construction given by the
court to the act, and “the acquiescence on the part of the legislature
in our construction of the statute is evidence that such construction
is in accordance with the legislative intent.” The court also declared
that its decision was not affected by the fact that the statute was
modeled after the Federal Norris-LaGuardia Act, even though Federal
courts have held a similar controversy to be a labor dispute. (Adams
v. Building Service Employees International Union, Local No. 6, 84
Pac. (2d) 1021.)
Picketing to Obtain Closed Shop

A butcher’s union was held by the Massachusetts Supreme Judicial
Court not to have the right peacefully to picket an employer for the

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

Labor Laws and Court Decisions

355

purpose of compelling him to enter into a closed-shop contract with
the union. In this case, the three employees of the butcher shop did
not belong to any union and no dispute existed between the employer
and his employees. The court held that the employer was entitled to
damages for losses suffered as a result of the picketing but not to an
injunction, as the picketing had ceased.
In its decision, the court declared that the common law of Massa­
chusetts was not changed by the State anti-injunction act, so as to
legalize picketing for the purpose of compelling a closed-shop contract.
This common-law rule was likewise not changed by the State labor
relations act, it was said, as that act does not suggest “any right in a
labor union, not designated or selected as the exclusive representative
of all the employees in a unit for the purpose of collective bargaining,
to picket a shop for the purpose of obtaining recognition of the union
or a closed shop, where the employer and his employees have no rela­
tions with it and wish only to be let alone” (Simon v. Schwachman, 18
N. E. (2d) 1).
Injunction Against Strike in Violation of Contract

A restaurant whose employees engaged in a strike, in violation of a
collective-bargaining contract which forbade strikes or lock-outs, was
entitled to an injunction against the union if it illegally interfered
with the business of the restaurant as an incident of the strike, accord­
ing to a decision of the New York Court of Appeals. The court also
held that the restaurant owner was entitled to damages, but did not
decide whether the remedy of specific performance of the contract
was available.
In deciding that the injunction was properly granted, the court
declared that the complaint for injunctive relief was sufficient under
the New York Anti-injunction Act and otherwise set up facts sufficient
to state a cause of action in equity. It was pointed out that there
were allegations that the union and its members, as an incident to the
strike, intimidated and coerced the nonstriking employees of the res­
taurant and in other ways illegally interfered with the restaurant and
its business, (The Nevins, Inc., v. Kasmach, 18 N. E. (2d) 294.)
A ct Regulating Contracts for Public Printing Upheld

The Colorado act regulating contracts for public printing was held
constitutional in a recent decision of the Colorado Supreme Court.
The statute provides that all public printing for the State must be
performed under contracts providing that “all persons employed by
the contractor in the manufacture or furnishing of materials, sup­
plies or articles in the performance of the contract shall observe the
prevailing standards of working hours and conditions fixed and pre
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

356

Monthly Labor Review—February 1939

scribed by the Industrial Commission of Colorado.” The court said
that the act did not delegate legislative power to the commission nor
violate the right of contract. It was also the view of the court that
the act did not constitute class legislation.
In its decision, the court pointed out that “prevailing standards of
working hours and conditions in the printing industry are existing
facts,” and as such “they may be ‘found’ and ‘determined’ and in this
sense they are fixed and prescribed.” The court was therefore of the
opinion that the statute did not unlawfully delegate legislative power
to the commission, as the act “merely authorizes the industrial com­
mission to determine and lay down authoritatively as a guide the
prevailing standards of wages and hours in the printing industry—a
fact necessary to be known in the application of the law as enacted
by the legislature” (Smith-Brooks Printing Co. v. Young, 85 Pac.
(2d) 39.)
Injuries From Food Sold by Employer Compensable

An injury received by an employee of a textile mill as a result of
eating a contaminated sandwich purchased from his employer during
working hours is compensable under the North Carolina Workmen’s
Compensation Act, according to a decision of the North Carolina
Supreme Court. A fellow employee was employed to sell sandwiches
and drinks to employees in the mill, and arrangements had been made
for employees to purchase coupon books. It did not appear that sales
were made to the general public.
In holding that the injury constituted an accident arising out of and
in the course of employment, the court observed that “when an
employer undertakes to sell to his employees during their hours of
employment sandwiches or other food or drinks, the purchase and
consumption thereof by the employee is not such a deviation from
the course of his employment as would deprive him of the beneficial
effects of the workmen’s compensation act.” As the employer and
employee were presumed to have accepted the provisions of the work­
men’s compensation act, the court held that the rights and remedies
provided by the act were exclusive against the employer, though the
injured employee had a right of action at law against the fellow
employee who made the sale (Tscheiller v. National Weaving Co.,
199 S. E. 623).


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

Industrial Disputes

T R E N D OF STRIK ES
IN DECEMBER 1938 there were fewer strikes, fewer workers
involved, and less idleness because of strikes than in November.
Compared with December 1937, however, there was an increase of
18 percent in the number of new strikes and 60 percent in the number
of workers involved in strikes beginning in the month, but a decrease
of 18 percent in man-days of idleness.
Trend of Strikes, 1933 to December 1938 1
W orkers involved in
strikes

N u m b er of strikes

Y ear and m onth

1933.............................
1934.............................
1935.............................
1936.............................
1937....... .....................
1937
Jan u a ry __________
F ebruary ...................
M arch______ _____
A pril...... ....................
M a y .............. ...........
Ju n e ....... ....................
J u ly .____ _________
A ugust......................
Septem ber________
October.................... .
N ovem ber.................
D ecem ber.................
1938
Jan u a ry __________
F ebruary_________
M arch____________
A pril..........................
M a y ..........................
J u n e ..........................
J u l y ...........................
A u g u s t .. ...... ...........
Septem ber________
October____ ____ _
N ovem ber 1_______
D ecember 1_______

Con­
tin u ed
from
preced­
ing
m onth

Begin­
ning
in
m onth
or
year

In
prog­
ress
during
m onth

E nded
in
m onth

In
effect
a t end
of
m onth

1,695
1,856
2 ,014
2 ,172
4,740

Beginning
in m onth
or year

In prog­
ress
during
m onth

1,168, 272
1,466| 695
1,117,213
' 788,648
1,860' 621

M an-days
idle
during
m onth or
year

28’ 424^857

100
139
146
250
273
330
358
297
295
263
205
202

171
211
614
535
604
610
472
449
361
320
262
131

271
350
760
785
877
940
830
746
656
583
467
333

132
204
510
512
547
582
533
451
393
378
265
213

139
146
250
273
330
358
297
295
263
205
202
120

108,621
99,335
290, 324
221, 572
325,499
281,478
143, 678
143,033
88,967
67,242
68,929
21,943

214,268
226,329
358,155
394,178
445,170
474,954
353,682
238,828
160, 241
127,109
118, 632
60,518

2,720,281
1,491,268
3,288,979
3,377,223
2,982,735
4,998,408
3,007,819
2,270,380
1,449,948
1,181,914
981,697
674,205

120
116
125
156
164
161
139
137
129
115
128
120

151
176
245
243
261
193
177
212
176
196
175
155

271
292
370
399
425
354
316
349
305
311
303
275

155
167
214
235
264
215
179
220
190
183
183
165

116
125
156
164
161
139
137
129
115
128
120
110

34, 865
52,314
53,484
78,428
80, 950
51,085
48,096
45, 243
90, 547
50,167
40,000
35,000

55,386
76,426
102,145
108,927
121,964
92,409
81,194
76,801
125, 551
108,475
70,000
60,000

470,138
504,001
748, 355
810, 261
1,144, Oil
824, 627
737,481
804,744
948,016
821,969
600,000
550,000

1 Strikes involving fewer th an 6 workers or lasting less than 1 day are no t included in this table nor in the
following tables. Notices or leads regarding strikes are obtained b y the Bureau from more than 650 daily
papers, labor papers, and trade journals, as well as from all G overnm ent labor boards. Letters are w ritten
to representatives of parties in the disputes asking for detailed and authentic information. Since answers
to some of these letters have n o t yet been received, the figures given for the late m onths are not final. This
is p articularly tru e w ith regard to figures for the last 2 m onths, and these should be considered as prelimi­
nary estim ates.


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

357

358

Monthly Labor Review—February 1939

Based on preliminary estimates for November and December, and
incomplete data for some of tbe other months, it would appear that
there were about one-half as many strikes in 1938 as in 1937, and about
one-third as many workers involved and man-days of idleness.
The figures for November and December 1938, as shown in the
accompanying table, are based on newspaper reports and other
information available as this goes to press. An analysis of strikes
in each of these months, based on detailed and verified information,
will appear in subsequent issues of the Monthly Labor Review.

ANALYSIS OF ST R IK ES IN OCTOBER 19381
THERE were more strikes in October 1938 than in the preceding
month but substantially fewer workers involved and less idleness
because of labor disputes. The Bureau of Labor Statisics has re­
ceived detailed information on 311 strikes which were in progress in
October 1938, involving more than 108,000 workers. Of these 311
strikes 196, involving over 50,000 workers, began in October and the
others (115 strikes) had begun in preceding months but continued
into October.
More than half of the 196 strikes beginning in October were in five
industry groups. There were 26 in building and construction, 23 in
textiles, 21 in transportation and communication, and 18 each in
trade and in the lumber industries. The greatest amount of idleness
in any industry group because of strikes in October was in trade
(153,000 man-days), where the strike of San Francisco departmentstore workers was in progress during the entire month; in the textile
industries there were 106,000 man-days of idleness, although no
single strike was responsible for any large proportion; in transporta­
tion and communication 102,500 man-days, caused in part by the
trucking strike in Nebraska and neighboring States which began in
September and had not been settled by the end of October. In the
lumber industries there were 100,000 man-days idle, caused prin­
cipally by a dispute at a lumber mill in Bellingham, Wash., which had
been in progress since July and a dispute at two Portland (Oreg.)
furniture companies which began in October and was still in progress
at the end of the month.
* D etailed inform ation on a few strikes has n o t y et been received. (See footnote to table in preceding
article.) D a ta on missing strikes will be included in the annual report.


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

Industrial Disputes
T a b l e 1 .— Strikes

359

in October 1938, by Industry
Beginning in
October

In d u stry

Iron and steel an d th eir products, not including m achinery—

Fabrics:

W earing apparel:

P rin tin g and publishing:
O th e r....................... ............................. ............................. .........


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

In progress d u r­
ing October

M andays
idle
during
N u m ­ W orkers N u m ­ W orkers
October
ber involved
ber
involved
196

50,167

311

108,475

821,969

7
1
1

1,920
374
80

1
1
2
1

45
186
1,214
21

11
1
1
1
2
1
4
1

2,472
374
80
30
98
186
1,683
21

24,748
1,122
880
630
1,248
3,162
17,685
21

8
1
5

522
82
383

16
2
7
2
5

2, 885
359
1,478
585
463

47, 648
2,205
27,752
12,285
5,406

2

57

6
4
1
1

12, 900
Hi 667
210
1,023

8
5
1
1
1

16,625
15,167
210
1,023
225

31,023
27,555
420
1,023
2,025

2

108

533
53
193
287

5,860
1.098
3,281
1,481

2

108

6
2
1
3

18
13
2
2
1

3,951
2,720
780
443
8

27
15
3
5
4

7,157
2,889
964
3,118
186

99,956
39,985
9,684
48, 403
1,884

2
1

135
58

885
223
175
487

15. 594
4,443
2,310
8,841

1

77

6
3
1
2

23

3,362

40

8,621

106,038

1
1
1
2
3

83
6
19
1,612
404

5
2
2
3
3

2,908
141
74
1,662
404

48,123
395
387
5,132
1,088

3
10

252
712

1

250

1

24

4
14
1
2
1
2
1

296
852
110
950
425
199
600

3, 670
10, 389
660
16,200
6.375
1,019
12, 600

2
2

640
640

3
3

682
682

3,922
3,922

6

392

2
2
1
1

226
45
29
92

13
4
2
3
1
1
1
1

1,350
417
226
111
29
92
375
100

16,667
4, 381
2, 560
1,472
87
92
7,875
200

1
1

1,035
1,035

3
1
1
1

2,060
1,035
640
385

35,310
21, 735
10,880
2,695

8
3

907
75

9
4

943
111

17, 593
444

2
3

511
321

2
3

511
321

13,055
4,094

360

Monthly Labor Review—February 1939
T a b le 1 .— Strikes in October 1938, by Industry — C on tin u ed
Beginning in
October

In d u stry

M andays
idle
during
N u m ­ W orkers N u m ­ W orkers
ber
involved
ber
involved October

Chemicals a n d allied products..........................
P ain ts and varnishes________ __________
O ther........................... .............................

2

47

9

47

R ubber p ro d u c ts...___________ ______ ______
O ther ru b b er goods_______________________

2
2

1.276
1.276

13
1
4

1,888
101
95
1,490

Miscellaneous m anufacturing__________ .
Electric light, power, and m anufactured gas..........
F urriers and fur factories_______ ____
O th er....................................... .
Extraction of m in erals.......................
Coal m ining, a n th ra c ite .____ ______ ____
Coal m ining, b itu m in o u s_________ ________
O ther______ ______ _____ ___________
Transportation a n d communication_____
W ater tra n sp o rtatio n ___________________
M o to rtru ck tra n sp o rta tio n _________
M otorbus tra n sp o rta tio n ____________
Taxicabs and miscellaneous_______
Electric railroad________________________
Telephone and telegraph___ ______
T rad e. _____________________ .
W holesale___ _____ ____________
R etail_________ ____ ____ ______________
Domestic and personal service_________ .
H otels, restaurants, and boarding houses_____
L aundries___ ______ ___________ _____
D yeing, cleaning, and pressing___________
E levator and m aintenance w orkers (when n o t attached
to specific in d u stry )____ ___________ .
Professional service................ .............. .
Recreation and am usem ent_________
Semiprofessional, atten d an ts, and helpers___
Building and construction______
B uildings, exclusive of P . W . A . . .
All other construction (bridges, docks, etc., and P . W . A.
buildings).......... ................... ....................

In progress d u r­
ing October

2

569

i

356
213

21
7
10

8,214
5,083
2, 582

1

318

18

961
497
464

231

13
13
8
1

53
6
47

288

1,608

28, 336
28,336

’ 276
95

3,776
543
16,175

21G

20

31, 546
2,872
821
i
31

30, 433

16
1

22, 554
34
1,302
I y XXI.

1

8, 555
5, 690

1,256
237
882
12

20
12

125

1

1,471
362
63

3
2
1

97
35
62

28
14

1,183
551

32
18

12

632

14

9
4

5,878
3,128

9

11,545
4, 473
102, 552
15,141
67, 253
14, 512

152,819
39, 596
113,223
9,911
2,242
6,083
1,086

1, 572
84

876

1,430
764

10, 391
7,749
2, 642

Agriculture an d fishing__________
A griculture_______________________
W. P. A., relief, and resettlem ent projects . .
Other nonmanufacturing industries

5, 878
3,178

12,941
25,300

New York, with 62 strikes, had a greater number in October than
any 5 other States. There were 20 in Pennsylvania, 14 in New Jersey,
and 10 each in Illinois and Massachusetts. Three States had more
workers involved in new strikes during October than New York,
however. In Michigan there were 10,096, in Ohio 6,605, in Pennsyl­
vania 6,167, and in New York 5,958. The large number in Michigan
was due principally to the stoppage at the Plymouth plant of the
Chrysler Corporation, October 7. The most man-days of idleness
because of strikes in any State was 155,000 in California, caused
mainly by the department-store workers' strike in San Francisco.
There were nearly 100,000 mam days of idleness in Pennsylvania and
95,500 in New York.

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

Industrial Disputes

361

Three of the 196 strikes beginning in October extended across State
lines. These were (1) a strike of longshoremen on South Atlantic
ports, October 8 to 13, (2) a strike of truck drivers against trucking
companies operating in Missouri and adjoining States, and (3) a 1-day
strike of Postal Telegraph workers in Missouri and Indiana.
T a b le 2. — Strikes in October 1938, by States
Beginning in
October

In progress during
October

State
N um ­
ber

K entucky _____________________________________

W orkers
involved

N um ­
ber

W orkers
involved

M an-days
idle during
October

196

50,167

311

108,475

821,969

5
1
7
3

242
37
755
211

2
1
1
10
3
1
1
3
3
1

65
75
20
1,551
1,911
1,000
90
743
449
400

10
5
1
5

1,293
10,096
9
507

14
62
2
9
1
1
20
2
1

3,863
5,958
66
6,605
209
1,509
6,167
56
105

4
4
3
2
5
3

733
1,215
533
184
623
2,887

8
1
13
1
3
3
2
1
14
9
3
1
3
4
1
1
11
5
5
7
1
1
25
90
4
14
1
2
33
2
4
3
5
5
5
3
10
7

1,692
37
8,157
182
211
151
93
20
2,148
2,761
1,625
90
743
549
400
120
1,323
10,096
188
944
193
46
4,698
10,961
142
7,284
209
1,834
11,833
56
1,805
472
742
1,600
2,883
319
6,145
25, 723

31, 379
592
155,023
1,820
517
467
528
140
21,018
20,997
13, 625
360
7,059
2,721
2,800
1,560
5,731
10,478
1,726
10,554
3,281
1,196
41,191
95,534
806
38,484
3,762
33,314
99,956
128
23.055
8,310
2,957
11,032
47, 588
3,019
53,844
65,417

On the average, 256 workers were involved in each of the 196 strikes
beginning in October. About 64 percent of the strikes involved less
than 100 workers each, 28 percent involved from 100 to 1,000 workers
and 8 percent involved more than 1,000 workers each. Only one of
the strikes in the latter group involved as many as 5,000 workers.
This was the short stoppage at the Plymouth auto plant in Detroit,
referred to previously.


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

362

Monthly Labor Review—February 1939

T a b le 3. — Strikes Beginning in October 1938, Classified by Number of Workers Involved
N u m ber of strikes in which the num ber of
workers involved was—
In d u stry group

All industries.................................. ......................................

Total

196

20
100
500
1,000 5.000
6 and
and
and
and
and
under and under
under
under under under
20
100
500
1,000 5,000 10.000
49

77

50

5

2

3
4
1

3
2
1
1
8

i

14

1

3

1

Manufacturing
Iron and steel and th eir products, not including
m achinery....................... ................................. ..................
M achinery, no t including transportation e q u ip m e n t..
T ransportation eq u ip m en t________ _______ ________
Nonferrous metals and their p roducts______________
L um ber and allied p ro d u c ts ........... ...............................
Stone, clay, and glass products................. .......................
Textiles and their p ro d u cts................ ....................... .......
Leather and its m anufactures_____________ ________
Food and kindred p roducts_______________________
Tobacco m anufactures_____ ______ ______ __________
Paper and printing________ ________________ ______
Chemicals and allied products_____ _______________
R ubber products___________ ____ _______ __________
M iscellaneous m anufacturing______ ______________

7
8
6
2
18
2
23
2
6
1
8
2
2
13

1
6
7

3
2
8

1

3

2
1

3
1

5

4

3
8
5
1
7

6
8
6
2
16
5
2

1

7
2
2

i
i

2

i

1
3

1
i

2
8
2
i

i

Nonmanufacturing
Extraction of m in e ra ls........... ........................... ........... .
Transportation and com m unication__________ _____
T rad e....................................... ................................. ...........
Domestic and personal service___ ____ ____________
Professional service.............................................. .
Building and construction_____ _______________ .
W . P. A., relief, and resettlem ent projects.................
O ther nonm anufacturing industries_____ _________

2
21
18
13
3
26
9
4

3
1
1

4

3
i

Union-organization matters (recognition, closed shop, discrimina­
tion, etc.) were the major issues involved in 59 percent of the strikes
beginning in October 1938; wages and hours were the major issues in
23 percent; and 18 percent of the strikes were primarily over miscel­
laneous matters, including union rivalry, jurisdiction and various
grievances such as delayed pay, changes in methods of hiring, alleged
unfair penalties, and objectionable disciplinary methods.
About 26 percent of the total workers involved were in the unionorganization strikes, 40 percent were concerned with the wage-andhour strikes, and 34 percent were involved in the disputes over
miscellaneous matters. Among the latter group were strikes of truck
drivers on W. P. A. projects in northeastern Ohio over questions of
competitive bidding; a strike of shipbuilding workers in New Jersey
over speed-up, several strikes in automobile plants over questions of
seniority, and a walk-out in a silk plant in Pennsylvania in protest
against the employment of persons who had not paid their union dues.


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

Industrial Disputes

363

T a b l e 4.-—Major Issues Involved in Strikes Beginning in October 1938
Strikes

W orkers involved

M ajor issue
N um ber

Percent of
total

N um ber

Percent of
total

All issues................................. ................................. .................

196

100.0

50,167

100.0

Wages and hours.................................................. ....................
Wage increase.............................. ............ .........................
Wage decrease....................................................................
Wage increase, hour decrease.......................... .............
H our increase.............................. .................. ....................
H our decrease................................. ................ .............

45
21
11
9
2
2

23.0
10.8
5.6
4.6
1.0
1.0

20,214
6,273
3,413
2,706
7,487
335

40.3
12.5
6.8
5.4
14.9
.7

U nion organization................................. ..................... ..........
Recognition............................ ...........................................
Recognition and wages....................................................
Recognition and hours....................................................
Recognition, wages and hours................. ......................
Closed shop.............................. ........................................
D iscrim ination..................................................... ............
O ther_______ ___________ _______ ______ ________

115
16
27
1
25
29
8
9

58.6
8.2
13.8
.5
12.7
14.7
4.3
4.6

12,989
1,618
4,247
70
1,824
3,459
451
3,320

25.9
3.2
8.6
.1
3.6
6.9
.9
2.6

M iscellaneous................... ....... ..........................................
S ym p ath y ............................................................ ............
R ival unions or factions........................ .........................
J u ris d ic tio n ............................................... .......................
O ther.................................... ..............................................

36
1
5
5
25

18.4
.5
2.6
2.6
12.7

16.964
24
644
163
16,133

33.8
c)

1.3
.3
32.2

» Less th a n Ho of 1 p e rc e n t.

T a b l e 5. —Duration of Strikes Ending in October 1938
N u m b e r of strik e s w ith d u r a tio n of—

In d u stry group

All industries________________ ____________

T otal

183

1 week H and
1 and
2 and
3
Less
and
less
less
less m o n th s
th a n 1
less
th a n 1 th a n 2 th a n 3
or
week th a n H m
onth m o n th s m o n th s more
m onth
60

49

36

21

11

6

M anufacturing
Iron and steel and their products, no t includ­
ing m achinery....... . . . .................. .........._.........
M achinery, n o t including transportation
equipm en t_________ ____ _______________
Transportation eq u ip m en t____________ ____
N onferrous metals and their pro d u cts_______
L um ber and allied products_________ ______
Stone, clay, and glass products............... ...........
Textiles and their p ro d u c ts ...______________
L eather and its m anufactures______________
Food and kindred products________________
Tobacco m anufactures____________________
Chemicals and allied p ro d u cts._____________
R ubber products___ ...................................... .

4

1

8
7
5
15
2
25
1
8
1
6
2
2
11

2
5
1
6
l
4
1
3

1

2

1

2
1
4
1
1

3

2

i

4
3
1

4
1
2
1
1

2
1
3

1

2
3
1
1
2
1
8

1
3

1
1
4

6

5

i
2
2

1
i

i

2
1
1

2

Nonmanufacturing
E xtraction of m inerals..... ............ ........................

3

23

A griculture and fishing____________________
W . P . A ., relief, and resettlem ent projects—


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

16
10
4
16
2
8
4

10
3
4
2
6
5

1
4
6
3
1
6
2
2
4

2
1

1

364

M o n th ly L a b o r R e view — F e b ru a ry 1 939

Of the 311 strikes in progress during October, 183 were terminated
during the month with an average duration of 21 calendar days.
About one-third of the strikes lasted less than 1 week, 46 percent lasted
from a week up to a month, and 21 percent had been in progress for
1 month or more. Six strikes in the latter group, as shown in table 5,
had been in progress for 3 months or more. The largest of these
were (1) the dispute at the Dallas Manufacturing Co. where the
cotton-goods plant at Huntsville, Ala., had been closed for nearly a
year, and (2) the dispute involving San Francisco warehousemen
which had been in progress since July. Both of these disputes were
settled by signed agreements.
Government officials or boards assisted the disputing parties in
negotiating settlements of about half of the strikes which were ter­
minated in October. In these strikes were 64 percent of the total
workers involved. About 37 percent of the strikes, including 27%
percent of the workers involved, were settled by negotiations directly
between employers and representatives of organized workers. Ten
percent of the strikes, including only 2% percent of the workers, were
terminated without formal settlements. In most of these cases the
strikers lost their jobs entirely when employers replaced them or
went out of business or else they returned to work without settlement
of the disputed issues.
T a b l e 6 . — Methods

of Negotiating Settlements of Strikes Ending in October 1938
Strikes

W orkers involved

Negotiations tow ard settlem ents carried on by —
N um ber

Percent of
total

N um ber

Percent of
total

T o tal__________________ _______ ____________________

183

100.0

77, S68

100.0

Em ployers and workers directly_____________________
Em ployers and representatives of organized workers
directly.................................... ...............................................
G overnm ental officials or-boards.........................................
Private conciliators or arbitrators ......................................
T erm inated w ith o u t formal settlem en t...... ........................

4

2.2

402

.5

67
91
3
18

36.6
49.8
1.6
9.8

21,352
49,829
4,050
1,935

27.5
64.3
5.2
2.5

The workers were successful in obtaining substantially all of their
demands in 45 percent of the strikes ending in October. The workers
in these strikes constituted about 23 percent of the total number in­
volved. In 35 percent of the strikes, which included 73 percent of
the workers involved, partial gains or compromise settlements re­
sulted, and in 14 percent of the strikes the 3 percent of the total
workers involved gained little or nothing.


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

365

Industrial Disputes
T a ble 7.—Results of Strikes Ending in October 1938
Strikes

WorKers involved

Results
N um ber

Percent of
total

N um ber

Percent of
total

T o ta l_____________________________________ ________

183

100.0

77, 568

100.0

Substantial gains to w orkers.................................... . ..........
P artial gains or compromises___________________ ____
L ittle or no gains to w orkers________________________
Jurisdiction, rival union, or faction settlem ents...... .........
Indeterm inate ___________ _____________ _____ ____
N ot reported_________ ______ . _____ ________________

82
64
26
9
1
1

44.9
35.0
14.2
4.9
.5
.5

18,121
56,381
2,149
887
24
6

23.4
72.7
2.8
1.1
0).
(>)

1 Less th a n Ho of 1 percent.

From the workers’ point of view the union-organization strikes
ending in October were more successful than those principally over
wages and hours. Of the strikes over union-organization matters,
the workers substantially won 57 percent, compromised 27 percent
and lost 15 percent, as compared respectively with 40, 50, and 10
percent of the wage-and-hour disputes. Of the workers involved in
the union-organization strikes, 41 percent substantially won their
demands, 53 percent obtained compromise settlements, and 6 percent
gained little or nothing. In the wage-and-hour disputes 12 percent
won, 86 percent obtained compromise settlements and 2 percent gained
little or nothing. These figures are based on data in table 8.
T a b l e 8. —Results of Strikes Ending in October 1938, in Relation to Major Issues Involved
Strikes resulting in —

M ajor issue

Total

Sub­
stan ­
tial
gains
to
workers

P artial
gains or
compro­
mises

L ittle or
no gains
to workers

Jurisdic­
tion, rival
union, or
faction
settle­
m ents

Inde­
o t re­
term i­ N
ported
nate

Num ber of strikes
All issues______ _________ _____

183

82

64

26

Wages and ho u rs______________
W age increase__________ ___
W age decrease________ _____
W age increase, hour decreaseW age decrease, hour increase.
H our increase______________
H our decrease______________

60
29
15
11
1
2
2

24
9
6
7
1
1

30
18
7
3

6
2
2
1

U nion organization ___________
Recognition__________ _____
Recognition and wages______
Recognition, wages, and hours.
Closed s h o p _______________
D iscrim ination_______ ____ _
O ther........ ........................ . . .

88
17
16
15
25
9
6

50
10
7
9
17
5
2

24
3
7
5
3
2
4

13
4
2

M iscellaneous..............
S y m p a th y ________ _ _____

35
1
3
6
25

8

10

7

Jurisdiction________________
O ther___________________

121435- 39-

-8


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

1
1

9

10

1

1
1
1
5
2
9
3
6

8

1

7

1
1

366

M o n th ly L a b o r R e view — F e b ru a ry 1 9 3 9

T a b le 8.—Results of Strikes Euding in October 1938, in Relation to Major Issues

Involved — C on tin u ed
Strikes resulting in—

M ajor issue

T otal

Su b ­
stan ­
tial
gains
to
workers

Partial
gains or
compro­
mises

L ittle or
no gains
to workers

Jurisdic­
tion, rival
union, or
faction
settle­
m ents

In d e ­
term i­ N o t re­
ported
nate

Number of workers involved
77,568

18,121

56,381

2,149

Wages and hours................. ........... 44, 757
W age increase______________ loi 090
4, 219
W age decrease_____________
Wage increase, hour decrease. 21,226
W age decrease, hour increase. 1,400
H our increase______________
7’ 487
H o u r decrease______________
'335

5, 553
1,910
i; 4i9
'808
1,400
16

38,540
8; 071
2, 275
20,405

664
109
525
13

U nion organization .......... ........... 15, 288
Recognition________________ 1,689
3,127
Recognition and wages_____
'944
Recognition, wages, and hours.
3,413
Closed shop............... ................
'590
D iscrim ination________ ____
O th er____ _____ ___________
5, 525

6,241
1,175
1,193
'598
2,488
'482
305

8,149
407
1,876
340
235
71
5,220

892
107
58

17, 523
S y m p ath y .................................
24
722
R ival unions or factions.........
165
Jurisd ictio n _______________
O th er........ ................................... 16,612

6,327

9,692

593

All issues.................. .....................

6,327

7,471
'318

9,692

887

24

6

17
6
o

690
37
887

24
24

722
165
593

ACTIVITIES OF UNITED STATES CONCILIATION
SERVICE, DECEMBER 1938
IN DECEMBER, the United States Conciliation Service disposed of
305 situations involving 79,079 workers. The services of this agency
were requested by the employees, employers, and other interested
parties.
There were 131 labor disputes involving 75,579 workers; these were
in the form of strikes, threatened strikes, lock-outs, and controversies.
The remaining 174 situations, involving 3,500 workers, included such
services as supplying information, adjustment of complaints, con­
ferences regarding labor conditions, etc.
Activities of the Service were utilized by employees and employers
in 36 States, the District of Columbia, and Alaska (table 1).
The facilities of the Service were used in 25 major industrial fields,
such as automobile, building trades, foods, iron and steel, textiles,
etc. (table 2).


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

367

I n d u s tr ia l D isp u te s

T a b le 1.—Situations Disposed of by U. S. Conciliation Service, Classified by States,

December 1938
D isputes
State

O ther situations

Total

N u m ­ W orkers N u m ­ W orkers N u m ­ W orkers
ber
involved
ber
involved
ber
involved

All States........- .............................................................._

131

75,579

174

3,500

305

79,079

A labam a....... ............................. ....................... ................
Alaska____ . . __ _ ______________________ _____
A rizona____ __________________________________
A rkansas______________________________________
California________ ________________________ ____
Colorado_______________ _______ _______________
C onnecticut______________ ________. ______ _____
D istrict of C olum bia______________________ _____
F lorida__________ ______ ___ _______________
Georgia......................................................... .................. .
Illinois________________________________________
In d ia n a ____ ______ ___________________________
Iow a___ _________________________________ ____
K ansas______________________________ _____ ___
M aine________________________________________
M ary lan d _________________ ____ _______________
M assachusetts_______________ _________________
M ichigan__________ ____ _____ ________________
M innesota___________________________ ________
M issouri_____ _______________ ___________ _____
M o n tan a.............. ............................................ ..................
N ew H am pshire___________________ ____ ______
N ew Jersey___________________ ________________
N ew Y ork_____________________________________
N orth C arolina____________ ______ _______ ______
O h io ...___________ ______ _________________
O klahom a___ ______________________________
Pennsy 1vani a ________________ ___________ _____
Rhode Island___________ ____ __________________
South Carolina________________________________
Tennessee___________ _______ _________________
Texas________________________________________
V irginia__________________________ ____ ______
W ashington____ ________________ _____ ______ _
W est Virginia......... .................. .................. ................ .
W isconsin_____________________________________

5
1
2
2
3

1,634
150
2,003
130
255

5

82

10

1,716

1
6
6
1
6
5

150
84
1,095
112
1,571
387

456
102
1,581
313
1,782
396

13
28
8
10

212
404
21
10

20
1
1
1
4

649
718
28,621
85
1,621
130
64
820
26,481
46
866
550
3,078
118
750
15
601

22
9
306
18
486
201
211
9
1
1
1
125
233
3
41
2
1

14
2
7
19
13
3
16
12

4
4
7
1
13
1
1
3
13
1
8

11
2
6
13
7
2
10
7
1
1
1
1
5
3
6
2
1

6

6

7
2

2,668
127

4
2
3
9
1
6

903
2
3
169
1
17

]

277

1
5
9
10
7
15
2
1
16
41
9
18
I
26
1
x
5
6
3
16
3
6

774
951
28,624
126
1,623
131
1,032
26,885
67
876
3,084
918
603
2,837
128
17

T a b le 2.— Situations Disposed of by U. S. Conciliation Service,rClassified by Indus­

tries, December 1938
D isputes
In d u stry

O ther situations

Total

N u m ­ Workers N um ­ Workers N u m ­ W orkers
ber
involved
ber
involved
ber
involved

All industries......................... ............................................

131

75,579

174

3,500

305

79,079

A griculture___________ _______________ _______
Autom obile______ _____________________________
Building trades__________________________ ____ _
Chem icàls_____ ______ _______ __________________
C om m unication____ ___________________________
Domestic and personal____________________ ____ _
Food____ _____________________________________
Iron and steel_______ __________________________
L e a th e r.._________ ___________ ______________
Lum ber:
F u rn itu re ________ ____ ____________________
O ther________ _____________________________
M achinery________ ________________ __________
M aritim e..................................... ...................................
M ining_______ _______________________________
M otion pictu res_______________________________
N onferrôus m e ta ls.. __________________________
Paper and prin tin g ______________________ ____ _
Petroleum ____________________________ ______ _
Professional______ _______ _______________ ______
Public utilities_____ ____________ ______ ___ ____
R u b b er—______ _______________________ _______
Stone, clay, and glass_____________________ ____ _
Textile:
C otton_______ ____ ____ __________ _____ ___
O ther............... ................................ ...........................
T rad e___ ____ ______ _________________ _________
T ransportatio n...................................... ...........................
Unclassified............................. ................. .......................

6
7
11
3

1,095
28, 753
960
251

7
19
6
1

523
27,490
326
186

1
1
15
1
2
2
10
15
4

1
1
30
1
3
2
29
270
9

7
8
26
4
2
9
29
21
5

1,096
28,754
990
252
3
525
27, 519
596
195

3
3
15
1

905
3,955
1,194
76

2
3
8
2
2

2
3
19
2
2

4
4
1

696
296
275

2
1
4

785
246
257

2
4
2
3
3
4

2
7
2
3
3
4

3
5
18
9
2
2
4
6
5
2
5
4
8

905
3,957
1,197
95
2
2
696
298
282
2
788
249
261

2
9
5
14
3

1,900
2,868
483
1,927
132

1
22
9
11
45

900
783
30
112
1,280

3
31
14
25
48

2,800
3,651
513
2,039
1,412


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

M inimum Wages and Maximum Hours

I N D U S T R Y C O M M IT T E E S U N D E R W A G E A N D H O U R
LAW 1

THE second industry committee was appointed in December 1938,
by the Administrator of the Fair Labor Standards Act, 1938,2 to deal
with wages in the apparel industry. The first committee had been
appointed for the textile industry, its coverage had been defined by
the membership, and recommendations had been made for establish­
ing other committees for certain branches of the textile industry.
The industry committees, of which there may be as many as there
are individual industries subject to the wage and hour legislation, are
authorized to recommend minimum wages of not less than 25 cents
an hour, which is the minimum already in effect under the legislation,
nor more than 40 cents an hour, which will not substantially curtail
employment in the particular industry.
Apparel industry committee.—Over half a million persons are
employed in the apparel industry, and the newly formed industry
committee, which is composed of equal numbers of representatives
of the public, employers, and employees, will recommend a wage
schedule for its various branches. Wage rates established will affect
all employees of the industry who are engaged in the production of
goods for commerce within the meaning of the law.
Determinations will affect employees of firms manufacturing
products defined as: “All apparel, apparel furnishings, and accessories
made by the cutting, sewing, or embroidery processes except knitted
outerwear; knitted underwear; hosiery; men’s fur-felt, wool-felt,
straw, and silk hats and bodies; ladies’ and children’s millinery; furs;
and boots and shoes.”
Textile committee action.—In accordance with recommendations of
the textile committee (Industry Committee No. 1), the Administrator
of the wage and hour legislation issued the following definition of the
textile industry:
(a)
The manufacturing or processing of yarn or thread and all processes
preparatory thereto, and the manufacturing, bleaching, dyeing, printing and other
1 U . S. D epartm ent of Labor. Wage and H our D ivision. Press releases, Nos. R-125, R-129, R-130,
R-131, R-132, December 1938.
* For a sum m ary of th e wage and hour legislation, see M onthly Labor Review, Ju ly 1938 (p. 107).

368

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

M in im u m

Wages

a n d M a x im u m H o u rs

369

finishing of woven fabrics (other than carpets and rugs) from cotton, silk, flax,
jute, or any synthetic fiber, or from mixtures of these fibers; except the chemical
manufacturing of synthetic fiber and such related processing of yarn as is con­
ducted in establishments manufacturing synthetic fiber.
(b) The manufacturing of batting, wadding, or filling, and the processing of
waste from the fibers enumerated in clause (a).
(c) The manufacturing, bleaching, dyeing, or other finishing of pile fabrics
(except carpets and rugs) from any fiber or yarn.
(d) The processing of any textile fabric, included in this definition of this
industry, into any of the following products: Bags, bandages and surgical gauze,
bath mats and related articles, bedspreads, blankets, diapers, dishcloths, scrub­
bing cloths and washcloths, sheets and pillow cases, tablecloths, lunchcloths and
napkins, towels, and window curtains.
(e) The manufacturing or finishing of braid, net, or lace from any fiber or yarn.
(f) The manufacturing of cordage, rope, or twine from any fiber.

This definition excludes the manufacturing and processing of knitted
fabrics from the jurisdiction of the committee for textiles and extends
its jurisdiction to include certain further processings of textile fabrics,
other than knitted fabrics, which are commonly conducted in textile
mills. Woolen textiles are also excluded from the coverage of the
committee.
A further recommendation of the textile committee was that the
woolen-textile industry should have a separate committee to comple­
ment its own work covering the cotton-, silk-, and rayon-textile
industries, that certain members of the textile committee should be
designated to serve on the wool-textile industry committee,“ and that
the two committees should have the same chairman.

A IR C R A F T W A G E D E T E R M I N A T I O N U N D E R P U B L IC
CONTRACTS ACT

EFFECTIVE December 29, 1938, a minimum wage of 50 cents an
hour, or $20 for a 40-hour week, was fixed by the Secretary of Labor,
for workers engaged in the manufacture or supply of airplanes, air­
craft engines, and aircraft propellers 1 to fulfill contracts with agencies
of the United States Government, subject to the provisions of the
Public Contracts Act.2 The minimum rate prescribed must be paid,
whether wages are arrived at on a time-work or a piece-work basis.
This determination does not apply to-workers employed in the manu­
facture or supply of light or commercial aircraft as distinguished from
military and large transport aircraft, nor to workers on propellers and
engines for light or commercial aircraft.
° T his com m ittee was established in Jan u ary 1939 as a subcom m ittee of th e textile committee.
U . S. D epartm ent of Labor. Division of Public C ontracts. Title 41. Press release, No. 570.
1 For summaries of earlier determ inations, see M onthly Labor Review July 1938 (p. 112) December 1938
(p. 1358).

1


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

370

M o n th ly L a b o r R e view — F e b ru a ry 1939

Apprentices are exempt from the minimum-wage requirement, pro­
vided the terms of their employment conform to the standards of the
Federal Committee on Apprenticeship.
Two hearings were held before the determination was made. After
the first hearing, the Public Contracts Board recommended a 60-cent
minimum wage, a tolerance of not to exceed 15 percent of the workers
in any establishment for learners or apprentices, and a wage rate for
this class of not less than 40 cents an hour. This recommendation was
opposed by a large number of employers and employees, and a second
hearing was therefore called.
Evidence available indicated that there are approximately 31,500
workers in the industry covered. Information was presented showing
that a considerable number of employees receiving 60 cents an hour or
less are engaged in occupations which never pay less than 50 cents an
hour. As workers in skilled or semiskilled occupations of the type in
which learning periods may be necessary are paid at this rate, it
appeared unnecessary to allow any tolerance below the 50-cent mini­
mum for learners and therefore none was set.
EFFECT

O F M I N IM U M W A G E I N D R Y -C L E A N I N G
A N D L A U N D R Y IN D U S T R IE S

MINIMUM-WAGE regulations in the service industries, even during
adverse business conditions, have resulted in improved business man­
agement, a higher level of wage rates, and increased total earnings for
women. They did not bring about a substitution of men for women,
and although a few employees may have been dismissed by some firms
when the minimum rates were first put into effect, in most cases this
was due fundamentally to the general bad business condition of the
firm. These conclusions were reached by the United States Women’s
Bureau after a study of conditions in the dry-cleaning and dyeing
industry in Ohio and the power-laundry industry in New York.1
These were the only two States which issued minimum-wage orders
between the fall of 1933 and the fall of 1935, when business conditions
were disturbed because of the depression of 1931-33. Comparative
studies of the same industries in Indiana and Pennsylvania, respec­
tively, which had no such regulation, were also made. The establish­
ments and employees covered by the surveys were representative of
the industries.
i U . S. D epartm ent of Labor. W om en’s B ureau. T h e Eflect of M inim um -W age D eterm inations in
Service Industries: A djustm ents in dry-cleaning and pow er-laundry industries. W ashington, 1938. (Bull.
No. 166.)


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

M in im u m

Wages

a n d M a x im u m H o u rs

371

Conditions in the Industries

During the period covered by the study important changes took
place in the dry-cleaning and dyeing industry. The highly inflam­
mable petroleum hydrocarbons previously used as solvents of grease
and loose dirt in dry cleaning were replaced by noninflammable
chlorinated hydrocarbons. Newly designed automatic machines for
the larger plants and small open machines for small establishments
were introduced. These operated electrically and, together with the
new press-bed machine and steam iron for pressing, increased the
output per employee and decreased costs considerably. In order to
secure a greater volume of business, prices were reduced one-half, and
the resultant increase in volume of business made it possible to keep
the same number of workers as before.
Small units have always been a factor in the industry and the noninflammable fluids made it possible for the small shops doing only
sponging and pressing to install open machines. However, because
of the same factor of noninflammability, power laundries were able
to install the large cleaning and dyeing machine, thus offsetting the
influence of the small press shops in the industry. Each of these
important changes in the industry affected the employment and earn­
ings opportunities for women in the industry.
In the power-laundry industry during the period 1931-33 laundry
receipts decreased greatly, as a result of a diminished use of laundry
services and also because of price cuts. Employment and wages
were naturally affected, but the former less than the latter. Appar­
ently, it is said, the employers had adopted the policy of dismissing as
few employees as possible while keeping the total wage bill closely
related to business receipts.
D ry Cleaning and Dyeing
Employment.—In the dry-cleaning industry, either men or women
may perform the several operations, the work not being assigned
traditionally to either sex and not requiring any peculiar qualifications
according to sex. In Ohio and Indiana the proportion of women
among all the employees of all the establishments studied was approxi­
mately the same in April 1937 as in April 1934—55 percent and 53
percent, respectively. Thus there was no appreciable shift of work
between the sexes during the period, nor did the m in im um wage
affect the relative proportion of women in Ohio as compared with the
proportion in the nonminimum State of Indiana. A small percentage
of the women were dismissed during the period in both Ohio and
Indiana; in Ohio in all but a relatively few cases other factors than the
minimum wage were responsible and in those few cases almost all had
found other positions.

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

372

M o n th ly L a b o r R e view — F e b ru a ry 1 939

Hourly earnings.—The minimum wage set in Ohio for the drycleaning and dyeing industry was 35 cents an hour or $14 a week for a
40-hour work week, except that for store clerks it was 35 cents an
hour or $16.80 for a 48-hour workweek. Under the minimum-wage
orders, payments of less than 35 cents an hour have been practically
eliminated and after 2 years’ operation, as shown by records of identical
firms, the proportion of women earning 40 cents and over had increased
from 30 percent in 1935 to 51 percent in 1937. Table 1 gives wage
data not only for Ohio but also for the nonminimum State of Indiana.
Most of the women in the dry-cleaning industry were paid by the
hour, but in other cases average hourly earnings were used.
T a b l e 1. — Hourly Earnings of Women in the D ry Cleaning and Dyeing Industry in

Ohio and Indiana, 1934, 1935, and 1937
Ohio

H ourly earnings

N um ber of
women 1
1934

1935

Indiana
Percentage distribution

N um ber of
women 1

Percentage distribution

1937 1934 1935 1937 1934 1935 1937

1934

1935

1937

All establishments reporting for any year
1,273 1,388 1,889 100.0 100.0 100.0

212

255

428 100.0 100.0 100.0

81 48.7 4.0 4.3
929 22.5 66.9 49.2
671 23.1 22.3 35.5
208 5.7 6.9 11.0
249

146
35
24
7
32

171
43
32
9
44

247
71
83
27
91

620
286
294
73
114

55
928
310
95
160

68.9
16.5
11.3
3.3

67.0
16.9
12.5
3.5

57.8
16.6
19.4
6.3

Identical establishments reporting for each year
1,247 1,246 1,395 100.0 100.0 100.0

Over 35 and un d er 40 cen ts.

614
97
180
283
73
106

47
211
610
287
91
106

45 49.2 3.8 3.2
136 7.8 16.9 9.7
506 14.4 49.0 36.3
544 22.7 23.0 39. C
164 5.9 7.3 11.8
106

187

193

223 100.0 100.0 100.0

121
21
14
24
7
26

121
27
11
25
9
26

115
25
22
44
17
26

64.8
11.2
7.5
12.8
3.7

62.7
14.0
5.7
13.0
4.7

51.5
11.2
9.9
19.7
7.6

i Figures include only those for whom hours worked were reported.

In Indiana nearly three-fifths of the women in the industry were still
earning less than 35 cents an hour in April 1937, and the proportion of
women in identical firms earning 40 cents and over had increased from
16%percent in 1934 to only 27 percent in 1937.
Comparison of men’s and women’s hourly earnings in identical firms
in Ohio revealed that there was an increase over the 3 years of 7.6
percent in men’s median earnings (from 48.8 to 52.5 cents) and of 14
percent in women’s median earnings (from 35 to 40 cents). In Indiana
the increase in men’s earnings was 19 percent (from 35.0 to 41.7 cents)
and in women’s earnings it was 10 percent (from 30 to 33 cents).
Thus, the report states, the minimum wage seems to have influenced

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

M in im u m

Wages

373

a n d M a x im u m H o u rs

firms in Ohio to give woman employees a relatively larger increase than
the men, whereas in Indiana the men received the larger increases.
Women in Ohio employed in the same occupations were, however,
still earning substantially less than men.
Weekly hours and earnings.—Although the Ohio hour law limits the
workweek of women to 50 hours, the minimum-wage order set no
specific limit but required the payment of time and a half for all time
over 48 hours worked by store clerks and over 40 hours worked by
others. During busy months therefore, no attempt was made to limit
hours. Only 18% percent of the women in Ohio worked as long as 48
hours, however, as compared with 41 percent in Indiana, so that the
minimum wage did prevent overlong hours for many women.
During the 3-year period, week’s earnings of women in all the firms
having records increased more than 20 percent and those of women in
identical firms increased about 23 percent. These increases in week’s
earnings compare with increases in Indiana of 10 and 16% percent,
respectively. The weekly minimum set in Ohio, it is concluded,
evidently did not become the usual rate, as only 3 percent of the women
earned that amount in both 1935 and 1937, and it did not become the
maximum as three-fourths of all the woman workers earned more than
$14 a week in 1937. Median week’s earnings of woman workers in
the dry-cleaning and dyeing industry in Ohio and Indiana from 1934
to 1937 are shown in table 2.
T a b le 2.— Week's Earnings of Women in the D ry Cleaning and Dyeing Industry in

Ohio and Indiana, 1934, 1935, and 1937
Indiana

Ohio
W eek’s earnings

N um ber of
w o m en 1
1934

1935

Percentage
distribution

1937

N um ber of
women 1

1934 1935 1937 1934

1935

Percentage
distribution

1937 1934 1935 1937

$13.85 $15.20 $16. 70
$13.15 $13. 70 $14. 50
351
437
890 100.0 100.0 100.0
T o tal................... ............................. 1,556 1,600 2,150 100.0 100.0 100.0
U nder $10________________
$10 and under $12_________
$12 and un d er $ 1 4 ________
$14______________________
Over $14 and under $16____
$16 and under $18_________
$18 and un d er $20_________
$20 and un d er $25_________
$25 and over______________

187
192
443
35
275
196
113
87
28

171
103
248
53
398
311
147
124
45

141
98
179
70
397
486
375
322
82

12.0
12.4
28.4
2.2
17.7
12.6
7.2
5.6
1.8

10.7
6.4
15.5
3.3
24.9
19.4
9.2
7.8
2.8

6.6
4.5
8.3
3.3
18.5
22.6
17.4
15.0
3.7

48
70
104
27
65
19
10
5
3

57
74
101
36
86
40
25
13
5

116
110
162
60
158
107
83
78
16

13.7
19.9
29.6
7.7
18.5
5.4
2.8
1.4
.9

13.0
16.9
23.1
8.2
19.7
9.2
5.7
3.0
1.2

13.0
12.4
18.2
6.7
17.8
12.0
9.3
8.8
1.8

i Figures relate only to those for w hom earnings were reported.
> T he m edian or m idpoint, w ith half th e earnings below and half above the am ount shown.

Power-Laundry Industry

About three-fourths of the employees in power laundries are engaged
in actual laundering operations, but usually men and women do

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

374

M o n th ly L a b o r R e view — F e b ru a ry 1939

distinctively different work, though there is an overlapping in some
minor occupations. The women are engaged in ironing operations,
and the men in washing operations and in collection and delivery.
The proportion of woman employees in identical establishments
changed but little between 1933 and 1935, in both New York and
Pennsylvania, there being a decrease of only 1.6 points and 0.5 point,
respectively. Obviously, the report states, there was no shifting of
employment between the sexes because of the minimum wage in
New York.
Hourly earnings.—The New York minimum-wage order for the
laundry industry, which became effective October 2, 1933, and manda­
tory August 6, 1934,2fixed a rate of 31 cents an hour in the New York
City area and 27% cents an hour in the rest of the State for a work
week of 40 hours. Prior to the enforcement of the order, over fourfifths of the woman workers in the New York City area earned less
than 31 cents an hour, and more than three-fourths of those in 21
other New York cities earned less than 27% cents. After 15 months’
operation of the minimum-wage order, 45 percent of the woman work­
ers in the New York City area earned 35 cents an hour and 38 percent
between 31 and 35 cents; 28 percent of those in the 21 other New York
cities earned 27% cents and 45 percent earned between 27% and 31
cents. In Pennsylvania, where there was no minimum wage, 87
percent of the woman employees in Philadelphia and 26 other cities
earned less than 27% cents an hour in May 1933, and in November
1935 there were still 71 and 76 percent, respectively, earning less than
that amount, as compared with less than 1 percent in New York State.
In table 3 is shown a distribution of the woman workers in New York
and Pennsylvania power laundries by their hourly earnings in May
and November 1933 and in November 1935.
>A new order became effective M arch 14, 1938, and was m ade m andatory A ugust 22,1938, w hich m ade
certain changes in rates.


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

375

M in im u m Usages a n d M a x im u m H o u rs

T a b le 3. —Hourly Earnings of Women in Power Laundries, in New York and Penn­

sylvania, 1933 and 1935 1
N um ber of
women 1
H ourly earnings

Percentage dis­
tribution

N o­ N o­
N o­
M ay vem ­ vem ­ M av vem ­
1933 ber
ber 1933 ber
1933 1935
1933

N um ber of
women 3

N o­
N o­ N o­
vem­ M ay vem ­ vem ­ M ay
ber 1933 ber
ber 1933
1935
1933 1935

N ew York State
T o t a l . .. ____________________
3,171 4, 505 4, 549
U nder 20 cents____________
501
8E
20 and u nder 25 cents______ 1,260
313
25 and un d er 27H cents____
573
268
37
27H cents_________ _____
2
928
348
Over 27M and un d er 31
cents......... ..................... .......
393 1,050
610
31 cents__________________
8
587 1,512
Over 31 a n d under 32J^
cents___________________
102
327
690
32J^ and u n d er 35 cents____
133
432
682
35 and un d er 40 cents______
109
320
347
40 cents and over....................
90
191
323
N um ber of establishm ents..........
100
131
131

N o­
vem ­
ber
1933

N o­
vem ­
ber
1935

Pennsylvania

100.0 100.0 100.0 2,314 3,214 3,118 100.0 100.0 100.0
12
£76
15. 8 2 0
13
37
39.7 6.9
44
461 25 1 1 3 14* 8
581
18.1 5.9
562 2,536 1,793 24.3 78.9 57'. 5
.8
. 1 20.6 7.7
9
37
1.2
12.4 23.3 13.4
.3 13.0 33.2
3.2
4.2
3.4
2.8

7.3 15.2
9.6 15.0
7.1 7.6
4.2 7.1

171
11

349
23

430
11

7.4 10.9 13.8
.5
.7
.4

40
25
36
12
65

53
84
73
30
87

71
107
109
62
87

1.7
1.1
1.6
.5

1.6
2.6
2.3
.9

2.3
3.4
3.5
2.0

100.0 1,105 1, 636 1,542 100.0 100.0
7
258 68 5
757
208 1,293
834 iè! 8 79.0
(3)
1.4
88
200
263 8.0 12.2
45.1
9
17
7
.8 1.0
72
37.6
23
95 2.1 4.4
32
8.1
18
52 1.6 2.0
2
7.8
.2
15
33
.9
32
18
30

100.0
16 7
54.1
17.1
.5
6.2
3.4
2.1

N ew Y ork C ity area
T o ta l........ ........................................ 2,079 3,217 3,302
U nder 25 cents____ ____ _
382
1,157
25 and under 27J^ cents____ '324
1
167
273^ and under 31 cents........
268 1,061
46
31 cents__________________
572 1,488
5
Over 31 and under 35 cen ts..
181
635 1,243
35 and under 40 cents______
76
250
266
40 cents and over....................
68
150
258
N um ber of establishm ents.........
58
81
81

Percentage dis­
tribution

100.0
55. 7
15.6
12.9
.2
8.7
3.7
3.3

100.0
11.8
5.2
33.0
17.8
19.7
7.8
4.7

Philadelphia

21 other N ew Y ork localities

26 other Pennsylvania localities

T o ta l___________ ____________ 1,092 1,288 1,247 100.0 100.0 100.0 1,209 1, 578 1,576 100.0 100.0 100.0
U 29 8
7
U nder 20 cents___ ________
2
2
158
360
14.4
12
20 and un d er 25 cents______
446
18
40.9 1.4
340
229 28. 1 2 4 14 5
38
25 and under 27J^ cents.........
249
101
36 22.8 7.8 2.9
354 1,243
959 29.3 78.8 60.9
27H cen ts................ ................
4
350
348
27.2 27.9
23
^3 1.5
Over 27}£ and under 31
cents_________ ______ ___
127
567
564 11.6 44.0 45.2
154
83
181 6.9 9.8 11.5
31 and under 40 cents.......... .
90
209
234 8.2 16.2 18.8
62
112
144 5.1 7.1 9.1
40 cents and over..... ..............
22
41
65 2.0 3.2 5.2
10
15
29
.8 1.0 1.8
N um ber of establishm ents_____
42
50
50
47
57
55
i New Y ork establishm ents identical for N ovem ber 1933 and N ovem ber 1935.
* Figures relate only to those for whom hours were reported.
* Less th a n % of 1 percent.

Weekly hours and earnings.—The minimum-wage order for the
power-laundry industry in New York State specified that time and
a half should be paid for all time worked after 45 hours a week.
Before the wage order became effective 48 percent of the woman
laundry operatives in New York City worked 46 hours or longer, as
compared with 12 percent in 1935. In 21 other New York cities, 27
percent of the women worked at least 46 hours in 1933 as against 10
percent in 1935. In Pennsylvania, which permitted a 54-hour week,
only 13 percent of the women worked as long as 46 hours in November
1935 but undertime was more of a problem in this State than overtime.

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

376

M o n th ly L a b o r R e view — F e b ru a ry 1 939

Average week’s earnings in New York City increased from $11.10
prior to the minimum-wage order to $13.50 15 months after the order
became mandatory, and in 21 other cities in the State the increase
was from $9.30 to $11.85 in the same period. Pennsylvania laundry
women earned $2.20 less in 1933 than those in New York and $2.50
less in 1935.
The effect of overtime rates is apparent, it is stated, from the fact
that the average week’s earnings of the women in the New York
City area who worked 46 hours or longer in 1935 were $15.30 and in
other New York cities $13.70, while in Philadelphia the women
averaged but $12.20 and in other parts of the State $12.40 for 46
hours or longer.
Table 4 shows the average week’s earnings of women in power
laundries in New York and Pennsylvania, and a distribution of the
women according to classified earnings.
T a b le 4 .— Week's Earnings of Women in Power Laundries in New York and Penn­

sylvania, 1933 and 1935
N u m b er of
women i
W eek’s earnings

Percentage
distribution

N um ber of
women i

Percentage
distribution

N o­ N o­
N o­ N o­
N o­ N o­
M ay vem ­ vem ­ M ay vem ­ vem ­ M ay vem ­ vem ­ M ay
1933 ber
ber 1933
ber 1933 ber ber 1933 ber
1933 1935
1933 1935
1933 1935
N ew Y ork (131 laundries)

Pennsylvania (116 laundries)

$10. 60 $12.00 $13.15
T o tal............................................... 4, 383 4, 554 4, 552
197
130
71
U nder $5_________________
$5, and un d er $10_________ 1,641
758
316
162
$10, and un d er $11..................
593
524
541
$11, and u n d er $12____ ____
491
861
$12, and u nder $13_________
449 1,142 1,032
$13, and u nder $14_________
338
446 1,099
242
$14, and u n d er $15_________
255
592
432
$15 and over_____ _________
739
438

N o­ N o­
vem ­ vem ­
ber ber
1933 1935

$8.40 $10.40 $10.65
100.0
4.5
37.4
13.5
11.2
10.2
7.7
5.5
9.9

100.0
2.9
16.6
11.5
18.9
25.1
9.8
5.6
9.6

100.0 4,348 , 4, 346 4,474 100.0 100.0 100.0
621
1.6
183
161 14.3 4.2 3.6
6.9 2,359 1, 636 1.466 54.3 37.6 32.8
460
903
3.6
915 10.6 20.8 20. 5
11.9
927
747 8.0 21.3 16.7
348
230
305
22.7
503 5.3 7.0 11.2
24.1
106
131
212 2.4 3.0 4.7
13.0
75
87
156 1.7 2.0 3.5
16.2
149
314 3.4 4.0 7.0
174

N ew Y ork C ity area (81 laundries)
$11.10 $12. 25 $13.50

Philadelphia (50 laundries)
$8. 65 $10. 65 $10.90

T o tal........ - .................... ............. . 3,114 3,266 3,305 100.0 100.0 100.0 2,434 2,451 2,536 100.0 100.0 100.0
124
87
347
87 14.3 3.6 3.4
44 4.0 2.7 1.3
88
U nder $5— _____ _________
951
553
155 30.5 16.9 4.7 1,257
740 51.6 30.9 29.2
$5, and u n d er $10_________
758
452
372
87 14.5 11.4 2.6
291
503 12.0 23.4 19.8
$10, and un d er $11____ ____
574
412
$11, and u nder $12_________
377
115 12.1 12.6 3.5
611
454 8.5 24.9 17.9
208
345
890
775 11.1 27.3 23.4
149
329 6.1 7.7 13.0
$12, and un d er $13_________
188
286
982 9.2 11.5 29.7
63
136 2.6 3.4 5.4
375
83
$13, and under $14_________
209
519 6.7 6.7 15.7
39
41
99 1.6 1.7 3.9
$14, a n d u n d er $15_________
218
370
359
628 11.9 11.0 19.0
80
188 3.3 4.4 7.4
$15 and over_____ _________
108
21 other N ew Y ork localities
(50 laundries)
$9.30 $11. 55 $11. 85

26 other Pennsylvania localities
(66 laundries)
$8.20 $9.90 $10.40

T o tal_______________ ______ 1,269 1,288 1, 247 100.0 100.0 100.0 1,914 1,895 1,938 100.0 100.0 100.0
73
43
27 5.8 3.3 2.2
274
95
74 14.3 5.0 3.8
U nder $5______ ____ ______
690
205
161 54.4 15.9 12.9 1,102
878
726 57.6 46.3 37.5
$5, and un d er $10....................
141
152
329
75 11.1 11.8 6.0
169
412 8.8 17.4 21.3
$10, and under $11_________
114
140
449
426 9.0 34.9 34.2
316
293 7.3 16.7 15.1
$11, and under $12_________
104
252
257 8.2 19.6 20.6
81
117
174 4.2 6.2 9.0
$12, and under $13____ ____
52
117 4.1 5.5 9.4
71
43
76 2.2 2.5 3.9
48
$13, and u n d er $14________
33
37
73 2.6 2.9 5.9
36
46
57 1.9 2.4 2.9
$14, and u nder $15_________
62
79
111 4.9 6.1 8.9
69
66
126 3.6 3.5 6.5
$15 and over............................
i .Figures relate only to those for w hom earnings were reported.
J_The median or m idpoint, w ith half the earnings below and half above the am ount shown.


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

Wages and Hours o f Labor

W AGES A N D

H O U R S OF U N IO N

S T R E E T -R A IL W A Y

E M P L O Y E E S , 1938

THE average hourly wage rate for union motormen, conductors, and
bus operators 1 advanced 2.9 percent between May 15, 1937, and
June 1, 1938.2 The average rate of all the union members for whom
reports were received in both years was 73.3 cents per hour in 1937
and 75.5 cents in 1938.
The index of hourly wage rates, based on 1929 as 100, advanced
from 105.3 in 1937 to 108.3 in 1938. The current advance in the
index of union wage rates is a continuation of the upward trend which
began in 1935. The decline following 1931 carried the index to its
lowest point (96.1) in 1934. The present index represents an advance
of 12.7 percent above the 1934 low point.
T able

1.

Indexes of Union Hourly Wage Rates of Street-Railway Motormen, Con­
ductors, and Bus Drivers, 1929 to 1938
[1929-100]
Year

1929______________ _
1930___________
1931_________
1932........... .........
1933..._____________

Index
100.0
101.0
101.0
99.0
(*)

Year

Index

1934
1935
1936
1937
1938

96.1
99.8
100.6
105.3
108.3

1 N ot available.

The distribution of the membership according to wage rates is shown
in table 2. In both 1937 and 1938 the largest group of members had
rates between 70 and 80 cents per hour. The proportion in this classi­
fication declined from 52.9 percent of the total membership in 1937
to 42.5 percent in 1938. The proportion having rates of 80 cents and
1 M otorm en, conductors, and bus operators on city and city-suburban lines operated by the same com­
pany.
J This stu d y is one of a series of annual surveys started in 1921. In 1938, effective union scales for streetrailw ay employees were reported in 53 of the 72 cities visited by the B ureau’s agents. All of the averages,
index num bers, and comparisons presented in the text have been based upon schedules showing rates in
both years for th e same occupations. These quotations cover 50,316 members. A dditional reports were
received for 14,792 m em bers for whom no comparable 1937 rates were shown. T he average 1938 rate for the
entire 65,108 m embers reported was 75.2 cents pei hour. T he weights used in computing the averages and
the current index num bers are the num ber of m embers reported for 1938.


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

377

378

M o n th ly L a b o r R e view — F e b ru a ry 1939

higher, however, increased from 14.5 percent in 1937 to 37 percent in
1938.
T a b l e 2 . —Distribution

of Union Street-Railway Employees, by Hourly Rate Groups,
June 1, 1938, and M ay 15, 1937
June 1,
1938

M ay 15,
1937

Average rate per ho u r______ _______ . ________

$0. 755

$0.733

Percent of members whose rates were—
40 and under 50 cents___________________
50 and under 60 cents___________________
60 and under 70 cents___________________
70 and under 80 cents___________________
80 and under 90 cents________ __________
90 cents and under $1___________________

0.3
2.1
18.1
42.5
33.3
3.7

0.2
4.0
28.4
52.9
10.9
3.6

Classified hourly rate

Rate increases between May 15, 1937, and June 1, 1938, were
reported in 132 quotations received from 24 cities. These quotations
covered 67.8 percent of the membership for whom rates for both years
were reported. Only 6 rates were shown as having been decreased
during the year. These decreases were in 2 cities and applied to 2.3
percent of the membership. Nearly 30 percent of the membership
had no change in their rates.
A majority of the changes, affecting 54.7 percent of the member­
ship, were increases of 2 to 6 percent. There were 42 increases of 2
to 4 percent; 28 of 4 to 6 percent; 21 of 6 to 8 percent; 13 of 8 to 10
percent; and 24 of over 10 percent.
Five of the decreases, which affected 2.2 percent of the member­
ship, were 12 to 16 percent deductions in rates over the preceding
year. The other decrease, amounting to 9.4 percent, applied to only
0.1 percent of the membership.
T a b le 3.—Number of Changes in Union Wage Rates and Percent of Members Affected

by Each Percent of Change, June 1, 1938, Compared With M ay 15, 1937
N um ber of quotations show­
ing—

Percent of m embers affected—

Classified percent of change in rates
Increase
Total quotations............................... .......

132

Less th a n 2 percent_________________
2 and less th a n 4 percent........ ................
4 and less th a n 6 p e rc en t.......................
6 and less th a n 8 percent.........................
8 and less th a n 10" percent___________
10 and less th a n 12 percent______ . . .
12 and less th a n 14 percent__________
14 a n d less th a n 16 percent__________
16 percent and over___ ____ _________

4
42
28
21
13
3
6
8
7

1Less th a n Ho of 1 percent.


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

Decrease No change
6

1
3
2

116

Increase
67.8
.2
43.5
11.2
6.2
1.3
.4
4.1
.4
.5

Decrease No change
2.3

.1
2.2
(»)

29.9

IV ia ges a n d H o u rs o f L a b o r

379

Hours p er D ay and Week

Because of the impracticability of adjusting transportation work to
a fixed scale of daily hours, few of the street-railway or bus operators’
agreements attempt to specify the exact hours of work. A definite
maximum is sometimes provided, but generally the workday specified
is merely considered the ideal to be approximated as nearly as pos­
sible in the creation of “runs.” A great majority of the agreements
establish 8 hours as the basic day, although 8%- and 9%-hour days are
frequently provided. In a few cases the desirable number of hours is
set as low as 6 per day.
The agreements recognize that there are wide variations in the de­
mand for transportation at different hours of the day. The agree­
ments, therefore, permit the creation of some “runs” composed of
two or more short daily assignments between which there may be
several hours for which the employees are not paid. This privilege
is generally limited by the requirement that a majority of the “runs”
shall be “straight” and that the day’s “split runs” must be completed
within a specified number of hours. The maximum spread permitted
ranges as high as 15 hours in some cases, although 13% hours is most
commonly specified.
The usual workweek is 6 days, but a number of agreements specify
5 days. In a few instances it is provided that each operator shall
have 1 day off in every 8.
P a y for Overtime and Extra Work

Overtime, for which a penalty rate is paid, is generally defined in
the agreements as applying only to work in addition to the regularly
assigned runs. Extra time required to complete a regular run because
of blockades on the line resulting from fires, storms, floods, etc., is
commonly paid for at the regular rate, although in a few cases a
penalty rate applies after a specified number of hours regardless of
the cause.
Under ordinary circumstances all work not included in regular
assignments is reserved for men on the “extra board.” In a few in­
stances men who hold regular runs are permitted to register their de­
sire for additional work, but may be given such assignments only
after all of the extra men have been put to work. Such assignments
are paid at the regular rate. In emergencies, however, a regular
operator may be given additional work for which he has expressed
no desire, in which case he is paid the penalty rate.
The penalty rate provided for overtime is time and one-half in all
but a few instances. A small number of agreements specify time and
one-fourth or some specific monetary bonus.

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

380

M o n th ly L a b o r R e view — F e b ru a ry 1939

Because uninterrupted streetcar and bus service requires that a
supply of extra or substitute employees be constantly on call, such
workers are usually required to report periodically during the day.
These workers are paid for the actual hours worked, subject to a
minimum which ranges from 1 hour’s pay for each report to $110
per month.
Other types of pay provisions establish pay, at the usual rate, for
time spent waiting for repairs, answering complaints, making out
reports, etc. Somewhat higher rates are established in most cases
for work with snow equipment or on routes involving delivery of
newspapers, and for time spent instructing new employees. If an
employee is temporarily transferred to a new job, he is paid the higher
of the two job rates.
Holidays and Vacations

Holidays are not usually observed in streetcar and bus operations,
although generally service is reduced to the Sunday schedule which
restricts the amount of work available on those days. The desig­
nation of the employees who shall be off on Sunday is established in
the selection of “runs.” When holidays occur during the week it is
customary to allow time off, first, to those for whom the holiday
happens to be the regularly scheduled rest day, and then to those who
have requested time off, either in the order of their requests or on a
seniority basis.
A number of the agreements provide for 1 week’s vacation with pay
for all employees having a year’s service. In a very few instances 2
weeks are allowed. Generally it is specified that the allowed vaca­
tion must be taken and may not be accumulated.
Provisions for leave without pay are very common. The right to
such leave is usually restricted in respect to the time desired and
according to the number of employees requesting leave at the same
time, the decision being left with the company. Nearly all the agree­
ments, however, specifically provide that members who are elected to
union offices, appointed to committees, or named as delegates to union
conventions shall be granted such leave as the performance of their
duties may require, with full reinstatement upon their return to work.
Employment Provisions

Only a minority of the agreements call for a closed shop. When
union membership is required, it applies only to employees who have
completed the probationary employment, usually 90 days. Most of
the agreements which require union membership provide that members
suspended or expelled by the union must be discharged from the
service.

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

W ages a n d H o u rs o f L a b o r

381

Only a few of the agreements provide for the collection of union
dues and assessments by the company. A considerable number,
however, specifically provide that union representatives may be
present at the barn on pay days for the purpose of making collections.
Many agreements provide that the union may set up a bulletin
board in each barn for the purpose of displaying announcements of
interest to its members. In the Chicago and Cincinnati agreements
it is provided that the companies shall maintain for each regular
employee a $1,000 life-insurance policy. In addition, the Chicago
companies provide health insurance paying $20 per week during
illness.
The regulations concerning the assignment of runs form one of the
most important sections in the streetcar and bus operators’ contracts.
These regulations vary slightly from city to city, but are almost
invariably stated with considerable detail in the agreements. In
general, the method to be followed requires the company to publish
periodically (from two to four times a year) a list of the regular
“runs” with their schedules. The regular employees are then per­
mitted to register their preferences and the assignments are made on
the combined basis of seniority and personal preference. The same
system is used in the assignment of new jobs established when one
type of service is abandoned for another.
Seniority likewise governs in lay-off, reemployment, and promotion.
The unit of seniority varies from a rating by department to a company­
wide standing. The right of transfer, however, usually results in
seniority standing according to length of service with the company
rather than in a particular branch or department.
A specified period of notice is usually required before lay-offs go into
effect. Similar notice of intention to reemploy must be given before
an employee can be considered as resigning from the service and
forfeiting his seniority rights if he does not answer the call. Occa­
sionally a time limit of 1 or 2 years is set as the period of lay-off during
which a worker’s seniority status remains intact. This limitation also
applies to workers on lay-off due to disability. Promotions are made
in accordance with seniority, unless an employee is not considered
qualified. The possibility of abuse in making such exceptions to the
seniority rule is curtailed by requirements for notification of vacancies
before they are permanently filled, for written statement of reasons if
seniority is not observed, or for the granting of a trial on the job to
the senior employee.

121435- 39-

9


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

382

M o n th ly L a b o r R e v ie w — F e b ru a ry 1939

Rates P aid in Each City

The rates per hour in force on June 1, 1938, and May 15, 1937, in
each city are shown in the following table. Hours are not given,
since the hours of work are irregular, depending upon the “run.”
T a ble 4. — Union Rates of Wages of Street-Railway Employees, M ay 15, 1937, and

June 1, 1938, by Cities
R ates of wages
per hour

R ates of wages
per hour

C ity and classification

C ity and classification
Ju n e 1,
1938

M ay 15,
1937

June 1,
1938

Atlanta, Qa.
2-man cars or feeder bus lines:
F irst 9 m on th s____ _____
10-18 m o n th s........ . ............
A fter 18 m o n th s_________
1-man cars:
F irst 9 m o n th s....................
10-18 m o n th s ......................
A fter 18 m onths^................
B us drivers:
F irst 9 m o n th s....................
10-18 m onths___________
A fter 18 m o n th s____ ____

Chicago, III.—C ontinued
$0. 535
.585
.615

$0. 500
.550
.580

.605
.655
.685

.570
.620
.650

.605
.655
.685

.520
.570
.600

Elevated lines:
C onductors (regular). . . . . _
M otorm en:
F irst 3 m onths (extra)..
4-12 m onths (extra)___
After 1 year (regular or
extra)______________
G uards (extra):
F irst 3 m onths________
4-12 m onths__________
A fter 1 year__________
G uards (regular)__________

Birmingham, Ala.
2-man cars:
F irst y ear.........................
Second y ear.....................
T h ird y e a r . . . .................
1-man cars and bus drivers:
F irst y ear.........................
Second y ear......................
T h ird y ear______ _____

.565
.585
. 615

.565
.585
.615

.615
.635
.665

.615
.635
.665

.580
.640
.780
.880

.550
.610
.750
.850

.830

.800

.580
.640
.780

.550
.610
.750

.800

.800

Charleston, S. C.
.525
.545
.565

.525
.545
.565

Chicago, III.
Surface lines:
2m an cars:
F irst 3 m o n th s................
4-12 m o n th s.....................
A fter 1 y ear......................
N ight cars.........................
1-man cars............. ................ .
N ig h t cars........................
Bus drivers:
Gas or trolley..........................
N ight, gas or trolley_______


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

$0. 736

.757
.766

.727
.736

.811

.781

.720
.730
.739
.748

.690
.700
.709
.718

2-man cars:
F irst 3 m onths______
4-12 m o n th s ,...............
A fter 1 year..................
1-man cars:
F irst 3 m onths............
4-12 m onths..................
After 1 year..................
Bus drivers: A fter 1 year.

.620
.650
.670

.570
.600
.620

.690
.720
.740
.740

.640
.670
.690
.690

Cleveland, Ohio

Butte, M ont.

Bus drivers:
F irst 3 m o n th s.......................
4-12 m on th s________ _____
A fter 1 year..............................

$0.766

Cincinnati, Ohio

Boston, M ass.
Surface lines:
2-man cars:
F irst 3 m o n th s .............
4-12 m o n th s.....................
A fter ly ear___________
1m an cars and bus drivers.
R apid tra n sit lines:
M otorm en: A fter 1 y ear___
G uards:
F irst 3 m o n th s................
4-12 m onths__________
A fter 1 y ear.....................

Bus d riv e rs ...._______________

M ay 15,
1937

.750
.780
.800
.820
.880
.900

.730
.750
.770
.790
.850
.870

.880
.900

.850
.870

2-man cars:
F irst 3 m onths.......................
.670
4-12 m onths............................
.700
A fter 1 year...........................
.720
1m an operators collecting fares:
F irst 3 m onths.................... .
.740
4-12 m onths______ _____ _
.770
A fter 1 y ear_____ _____ ___
.790

.670
.700
.720
.740
.770
.790

Columbus, Ohio
2-

m an cars:
F irst 3 m onths.......................
4-12 m onths_____________
After 1 y ear.........................
1-man cars and class A bus
drivers:
First 3 m onths___________
4-12 m o n th s ........... ...........
After 1 year____ _____ ____
Class B bus drivers:
First 3 m o n th s ....................
4-12 m o n th s ...........................
After 1 y e a r .. .........................
Class C bus drivers:
F irst 3 m onths____ ____ _
4-12 m onths.......... .................
After 1 y e a r .. .......... .............

.490
. 520
.540

.490
.520
.540

.570
.600
.620

.570
.600
.620

.540
.570
.590

.540
.570
.590

.490
.520
.540

.490
.520
.540

.580
.600
.620

.580
.600
.620

Davenport, Iowa
(See Rock Island (111.) district.)
Dayton, Ohio
M otorm en:
First 3 m onths..... ..................
4-12 m onths.............................
After 1 y ear.............................

383

W ages a n d H o u rs o f L a b o r

T able 4.— Union Rates of Wages of Street-Railway Employees, M ay 15, 1937, and

June 1, 1938, by Cities— C o n tin u ed
R ates of wages
per hour
C ity andjclassification

R ates of wages
per hour
C ity and classification

Ju n e 1,
1938

June 1,
1938

M ay 15,
1937

Dayton, Ohio—C ontinued

Little Rock, A rk .— C ontinued

O p e ra to rs (H a m ilto n C ity
Lines) :

N orth L ittle Rock Division:
1-man cars and bus drivers:
F irst 6 m o nths________
7-12 m on th s.....................
Second y ear______ ____
After 2 years................

$0. 480
.480

$0. 560
. 530

_

.615

.615

Los Angeles, Calif.

After 2 years (reeular) _ ___

. 625
.635
.645
.655
.665

.665

Second y ear______________
After 2 vears________ ____
1-man cars and m otor coaches:

Denver, Colo.
2-man cars__ ____ ______ _
1-man cars and bu s drivers:
First 3 m o n th s____

$0.420
.450
.480
.500

M ay 15,
1937

$0,400
.410
.420
.450

.645
.660
.680
.730
.750

In teru rb an lines:
4-12 m o n th s______
After 1 y ear______________

. 625
.655
.700

.611
.640
.683

Single track after 2 years—

. 680
.700
.750

Madison, Wis.
Detroit, Mich.
Bus drivers:
F irst 6 m onths ----------------

2-man cars:

Owl cars_______
1-man cars:
First 6 m o n th s__________

.730
. 770
. 810
.910
.780
.820
. 860
.960
.860

.780

.830
.830

2-man cars:
F irst y ear................................

.550

. 500

T h ird y ear.......... ....................
After 3 years-------------------1-man cars and bus drivers:
First y ear___ ____ ________
Second y ear______________
T hird y e a r .. ------- -----------After 3 y e a rs..........................

.580
.600
.620
.650

.550
.560
.570
.580

Indianapolis, Ind.

Little Rock, A rk.
1-man cars and bus drivers:
.490
.520
.580

1 1 cent per hour increase Dec. 1, 1938.


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

.575
.625
.675

.575
.625
.675

.670
.690
.710
.730

.580
.600
.620
.640

.720
.740
.760
.780

.630
.650
.670
.690

. 590
.620
.650

. 560
.590
.620

.640
. 670
.710

.600
. 63C
.670

Milwaukee, W is.
.580
.630
.660

.580
.630
.660

Grand Rapids, Mich.

Second y ear............................
T hird y ear.............................
After 3 years_____________

.550
.610
.670

1-man cars and bus drivers:

Erie, Pa.

1-man cars and bus drivers:
F irst y ear________________
Second y ear............................
T hird y ear_______________

.550
.610
.670
. 670
Memphis, Tenn.

. 560
.590
. 610

After 2 years-------------------Bus drivers:
First 3 m o n th s___________

.500
. 530
. 550
. 570

Manchester, N . H .

D uluth, M in n .
1-man cars and bus drivers:
First y ear_____

i. 510
i. 540
i. 560
i. 580

.450
.480
.540

Minneapolis, M in n .
2-man cars:
First y ear________________
Second y ear______________
T h ird y ear----------------------1-man cars and bus drivers:
F irst y ear-----------------------Second y ear______________
T h ird y ear---------------------(See Rock Island (111.) district.;

384

M o n th ly L a b o r R e view — F e b ru a ry 193 9

T a b le 4. — Union Rates of Wages of Street-Railway Employees, M ay 15, 1937, and

June 1, 1938, by Cities— C on tin u ed
R ates of wages
per hour
C ity and classification
Ju n e 1,
1938

M ay 15,
1937

Newark, N . J .
1-

m an cars and bus drivers:
F irst 3 m on th s___________
$0,610
$0.610
4-12 m onths______________
.630
.630
A fter 1 y ear______________
.650
.650
N ew Haven, Conn.
2m an cars:
F irst 3 m o n th s___________
.530
4-12 m on th s______________
.560
After 1 y ear______ _____ _
.600
1-man cars:
F irst 3 m o n th s..... ..................
.600
.600
4-12 m on th s_________ ____
.630
.630
A fter 1 y e a r . . ....................... _■
.670
.670
Bus drivers____ ____ _________
.670
.670
N ew Orleans, La.
Bus drivers:
F irst 5 m o n th s___________
.400
.400
6-12 m o n th s...... ......................
.410
.410
13-18 m on th s...........................
.420
.420
19-24 m on th s__________ _
.430
.430
25-30 m o n th s ..........................
.440
.440
A fter 30 m o n th s.......... ...........
.450
.450
N ew York, N . Y .
Surface lines:
3d Ave. R ailw ay System :
F irst 3 m o n th s ..............
.480
4 to 12 m onths.................
.540
Second y e a r ....................
.640
T h ird y ear______ _____
.700
Fo u rth y e ar__________
.710
5 to 9 years........ ..............
3 .730
After 9 y ears....................
3 .760
Brooklyn lines:
F irst 6 m onths________
.463
6 to 12 m o n th s............
.484
13 to 18 m onths_______
.506
19 to 21 m onths...............
.528
22 to 24 m o n th s_______
.550
T h ird y ear...................
.572
F o u rth y ear...... .............
.594
Fifth y ear........ ................
.616
A fter 5 years__________
.770
Subw ay and elevated lines:
Interboro R apid T ran sit:
M otorm en:
First y e ar..................
.783
Second y ear..............
.858
A fter 2 years______
.953
Y ard motorm en:
F irst y ear..................
.659
After 1 y e a r .. ..........
.690
Conductors:
F irst 2 years.............
.648
T h ird y e ar.......... .
.668
Conductors, M . U. D . C.:3
F irst 2 y ears.............
.668
A fter 2 years______
.689
Trainm en:
F irst y ear..................
.574
Second y ear.......... ..
.583
T h ird y ear................
.619
Trainm en, M . U. D. C.:3
F irst y ear..................
.594
Second y ear..............
.605
T h ird y ear................
.641
N . Y . R . T . lines:
O perators..........................
.660
3 Starting Ju ly 1, 1938, the 76-cent ra te applies after
3 M u ltip le u n it door control.


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

R ates of wages
per hour
C ity and classification
June 1,
1938

M ay 15,
1937

N ew York, N . Y .—C ontinued
Subw ay and elevated lines— ,
C ontinued.
T rainm en:
F irst 2 years—.......... $0. 528
T hird y ear_______ _
.550
Fourth y ear_______
.572
Fifth y ear________
.594
After 5 years______
.616
B. M . T . lines:
Operators (1-man cars):
F irst y ear_________
.792
Second y ear..............
.869
A fter 2 years______
.957
B us lines:
Avenue B and E a st B road­
w ay T ransit Co.:
First 6 m o n th s________
.500
7 to 12 m onths______ _
.520
Second y ear.....................
.550
T h ird year.......................
.570
F o urth y ear__________
.620
After 4 years__________
.650
B rooklyn B us Corporation:
F irst year____________
.528
13 to 15 m onths_______
.550
16 to 18 m onths_______
.572
19 to 24 m onths_______
.594
T h ird year___________
.616
F o u rth y ear__________
.638
Fifth y e a r .......................
.660
After 5 years__________
.770
Fifth A venue Coach Co.:
D rivers:
F irst year_________
.730
Second y ear_______
.740
T h ird year________
.770
F o u rth y ear______
.780
A fter 4 years______
.790
Conductors:
F irst year___ _____
.660
Second y ear_______
.670
T hird year________
.700
F o u rth y ear..............
.710
After 4 years______
.720
Green Lines, N orth Shore Bus
Line Co., Schenck T ranspor­
tatio n Co., Tri-Boro Coach
C orporation, Z. and M .
Coach Co.:
F irst year.................................
.550
Second y ear______________
.570
T h ird year_______________
.600
F o u rth y ear.............................
.630
After 4 years.................. .........
.700
N . Y. O m nibus Co.:
First 6 m o n th s___________
.610
7 to 12 m onths........................
.650
Second year______________
.710
T h ird year_______________
.770
F o u rth year.............................
.780
F ifth y ear____ ___________
.790
After 5 years_____________
.820
T h ird Avenue R ailw ay System:
F irst 3 m onths___________
.480
4 to 12 m onths____________
.540
Second y ear____ __________
.640
T h ird y ear____ __________
.700
F o u rth y ear______________
.710
5 to 9 years_______________
.730
After 9 years..... .................. ..
.760
5 years’ service.

$0. 500
.520
.550
.570
.620
.650

.550
.570
.600
.630
.700

385

W ages a n d H o u rs o f L a b o r

T a b le 4. — Union Rates of Wages of Street-Railway Employees, M ay 15, 1937, and

June 1, 1938, by Cities— C on tin u ed
R ates of wages
per hom-

R ates of wages
per hour
C ity and classification

C ity and classification
Ju n e 1,
1938

Oklahoma City, Okla.
1-man cars and bu s drivers:
F irst 6 m o n th s___________
7-12 m o n th s.......... .............
Second y ear____ __________
After 2 years.................. .........
In te ru rb a n .. ________________
Peoria, 111.
2-man cars:
F irst y e a r .. . .......... ....... .........
Second y e ar______________
After 2 y e a r s .. __________
1-man cars; trackless trolley
men; and bus drivers:
F irst year________________
Second y e ar___________ _
A fter 2 years_____________
Phoenix, A r il.
1-man cars and bus drivers:
F irst year_____________ _
Second y ear______________
A fter 2 y e a rs.. __________
Pittsburgh, Pa.
1-man cars:
F irst 3 m o n th s____ _______
4-12 m o n th s______________
After 1 y ear____ __________
B us drivers:
F irst 3 m o n th s. _________
4-12 m o n th s______________
Second y e ar.............................
A fter 2 years ____________

U nion B. B us drivers:
$0. 550
.575
.600
.625
.650
.675
.700

$0. 550
.575
.600
.625
.650
.675
.700

.480
.500
.530
.540
.580

.480
.500
.530
.540
.580

.620
.660
.680
.700
.750

.478
.500
.525
.560
.570

.610
.630
.650

.560
.580
.600

.660
.680
.700

.610
.630
.650

*. 688
4. 700
*. 715

.688
.688
.688

.810
.900
.955

.810
.900
.955

.630
.740
.770
.780

.630
.740
.770
.780

.650

Providence, R . I.
U nion A. 1-man cars and bus
drivers:
F irst 3 m o n th s. _________
4-12 m o n th s__________ ___
A fter 1 y ear.............................

«. 670
5.700
5. 720
5.690

.690
.720
.740
* 75 cents per hour for all classifications after
8 11 cents per hour increase Oct. 1, 1938.
« $0,745 after Ju ly 1, 1938.


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

Second y ear....................... ___

$0. 528
. 556
. 583
.611

Rochester, N . Y .
1-man cars:
F irst 3 m o n th s____ ____ —.
4-12 m on th s______________
After 1 y ear................ ............
B us drivers____ _____________
2-man subw ay cars------- ---------

.640
.660
.680
.680
.650

$0. 640
.660
.680
.680
.650

.610
.630
.650

.590
.610
.630

.540
.600
.660
.710

.520
.580
.640
.690

.610
.670
.730
.780

.590
.650
.710
.760

.590
.620
.650

.560
.590
.620

.640
.670
.710

.600
.630
.670

Salt Lake City, Utah
1-man cars and bus drivers:
F irst y e ar....................... .........
After 1 y ear........................... .

.520
.600

.520
.600

San Antonio, Tex.
Bus drivers........................ ............

«. 720

.720

.600
.625
.650
.675
.700

.575
.600
.625
.650
.675

.675
.700
.725
.750
.775

.650
.675
.700
.725
.750

.750
.800

.750
.800

Rock Island (R l.) district

Portland, M aine

Portland, Oreg.
1-man cars and bus drivers:
F irst 3 m o n th s................ .......
4-12 m o n th s..................... .......
A fter 1 y e a r . . .........................
In te ru rb a n ___________________

M ay 15,
1937

Providence, R . I .—C ontinued

N ew York, N . Y .—C ontinued
Staten Island B us Co.:
F irst 3 m o n th s ......................
4 to 6 m onths_____________
7 to 12 m onths____________
13 to 18 m onths______ ____
18 to 30 m onths___________
31 to 42 m o n t h s .. ...............
After 42 m o n th s__________
Triangle B us Corporation:
First y ear________________
Second y ear_____ _________
Third y e a r ........... .................
F o u rth y e a r ...........................
After 4 years_____________

June 1,
1938

M ay 15,
1937

.650

.780
.810
.830
,800

.670
.700
.720

1-man cars and bus drivers:
F irst 6 m o n th s. ...................
7-12 m on th s______________
A fter 1 y e a r - .................... .
St. Louis, Mo.
.2-man cars:
F irst 6 m o n th s_____ ______
7-12 m on th s............................
13-18 m on th s____ _________
After 18 m onths____ ______
1-man cars and bus drivers:
F irst 6 m o n th s. _________
7-12 m on th s___ ____ ______
13-18 m on th s____________ _
After 18 m o n th s__________
S t. P aul, M in n .
2-man cars:
F irst y e ar___________ ____
Second y ear------ --------------T hird y e ar.......................... .
1-man cars and bus drivers:
F irst y e ar________________
Second y ear______________
T h ird y e a r_______________

San Francisco, Calif.
2-man cars:
F irst 6 m onths___________
7-12 m o n th s....................... .
13-18 m o n th s_____________
19-30 m on th s_____________
After 30 m o n th s__________
1-man cars and bus drivers:
F irst 6 m o n th s ................ .
f? 7-12 m o n th s ...........................
13-18 m o n th s..........................
19-30 m o n th s________ ____
After 30 m o n th s__________
M unicipal lines:
2-man cars_______________
M otor coach drivers______

Ju ly 1, 1938.

386

Monthly Labor Review—February 1939

T a b l e 4. — Union Rates of Wages of Street-Railway Employees, M ay 15, 1937, and

June 1, 1938, by Cities— C o n tin u ed
R ates of wages
per hour
C ity and classification

C ity and classification
Ju n e 1,
1938

M ay 15,
1937

$0. 710

$0.710

Scranton, Pa.
1-man cars and bus drivers..........

R ates of wages
per hour
June 1,
1938
Washington, D. C.
2-man cars:
F irst 3 m o n th s .....................
4-12 m o n th s______________
A fter 1 y e ar..................... .......
1-man cars and bus drivers:
First 3 m o n th s___________
4-12 m onths.............................
A fter 1 y ear____________

Seattle, Wash.
2-man cars:
O perators or gripm en_____
C o n d u cto rs,.______ _______
1-man cars:
Regular operators ..............
E x tra operators:
First 6 m o n th s________
7-12 m o n th s__________
A fter 1 y ear___________
Bus drivers________________

.750
.800
.820
.860

.800

South Bend, Ind.
1-man cars and bus drivers____

.550

.525

York, Pa.

.620
.670
.710
.710

1-man cars and bus drivers:
F irst y ear................................
Second year______________
T h ird y ear..............................
F o u rth y ear........ —................
Fifth y ear................................

.620
.640
.670

1-man cars and bus drivers:
F irst 3 m onths___________
4-12 m o n th s ..........................
A fter 1 y e a r . . .........................

Springfield, M ass.
1-man cars:
F irst 3 m o n th s.......................
4-12 m o n th s______________
A fter 1 y e a r .. ____________
Bus drivers— ...............................
Toledo, Ohio
1-man cars and bus drivers:
F irst 6 m onths __________
7-12 m o n th s________ _____
A fter 1 y ear______ ____ ___

M ay 15,
1937

.800
.800

.810
.740

.860

.800

.620
.670
.710
.710

$0. 610
.650
.670

$0. 610
.650
.670

.680
.720
.740

.680
.720
.740

.640
.690
.740

.620
.670
.720

.560
.570
.580
.590
.600

.560
.570
.580
.590
.600

.650
.700
.750

.530
.620
.660

Worcester, M ass.
1-man cars and bus drivers:
F irst 3 m o n th s .....................
4-12 m o n th s ._____________
A fter 1 y ear.........— ..............

Youngstown, Ohio
.620
.640
.670

WAGES AND HOURS IN MANUFACTURE OF DRUGS
AND TOILET PREPARATIONS, 1938
IN THE drug-manufacturing industry median hourly earnings in 1938
amounted to 55.3 cents and in the branch of the toilet preparation in­
dustry covered 1 they were 47.5 cents; this was disclosed in a survey
by the United States Women’s Bureau of wages and hours in these
industries. The survey was preliminary to proceedings to assist the
Secretary of Labor in determining the prevailing minimum wages in
such industries under the Public Contracts Act, and covered 12,486
regular employees in 220 establishments.2 These figures included
11,645 employees in 197 drug-manufacturing plants, and 841 employ­
ees in 32 toilet preparations firms. The employees covered in drug
manufacturing represented more than half of those reported by the
1935 census. Office workers, research workers, and other technical
workers not engaged in the actual processing of materials, and yard
and maintenance workers, were not included.
1Including dentifrices, after-shaving creams and lotions, and hair tonics.
39 firms manufactured both drugs and toilet preparations.


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

Wages and Hours of Labor

387

A great variety of products is manufactured in the drug and medicine
industry, and establishments therein differ greatly in size and equip­
ment. The smallest plants employ 1 pharmacist and a few helpers
and manufacture but one product. The manufacturing processes in
many small establishments are simple, being limited to extracting,
refining, compounding, or packaging one or a few closely related prep­
arations whose basic ingredient is the same, and therefore little machin­
ery is required. At the other end of the scale are many large firms
which manufacture full lines of pharmaceuticals, medicinal chemicals,
or biological products, or a combination thereof. As the identity,
strength, and purity of each preparation must be definitely estab­
lished, great care and skill are required in the processing of all the con­
stituent materials. Box-making, printing, glass-making, and machine
shops and other auxiliary departments are also maintained by many
large firms.
There is a close connection between drug and medicine manufactur­
ing and the toilet preparations industry. In some instances the same
firm manufactures both, as the basic ingredients of some types of toilet
preparations and the raw materials used in the preparation of medicine
are the same. In the toilet preparations industry only plants whose
principal products were dentifrices, after-shaving creams, lotions, and
powders, and hair tonics and washes were covered, as Government
purchases of toilet preparations were limited to these items.
Sex and Occupations of Workers

Men predominated among the workers covered in the drug-manu­
facturing industry, forming 53 percent thereof, though the proportion
varied in the different States. Only one-quarter of the workers in the
toilet preparations industry were men.
About 44 percent of all the workers reported on in the two industries
were employed in finishing operations ; that is, filling and labeling con­
tainers and packaging them. These employees were generally women.
In the actual processing of materials, the workers (mostly men) com­
prised one-quarter of the total employees studied. Among them were
working pharmacists, chemists, and laboratory technicians; still, per­
colator, vacuum-machine, compressed-air-syphon, filter-press, and
other machine operators; grinders, compounders, and mixers; pill,
tablet, and medicated cigarette makers, and pill and tablet coaters;
animal caretakers; and other skilled and semiskilled laboratory
workers.
About 4 percent of the employees, mostly women, were occupied in
making or filling and finishing capsules or ampoules. Workers in the
shipping departments, and the auxiliary departments of box making,
printing shop, and machine shop and power house, most of whom were

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

388

Monthly Labor Review—February 1939

men, formed 21 percent of all the workers.
comprised the remaining group.

Inspectors or foremen

Hourly Earnings

About four-fifths (78 percent) of the workers were paid on a time
basis, the remainder being paid on a piece-rate basis or a guaranteed
rate plus a production bonus. The former earned an average of 56.3
cents per hour as compared with 60.2 cents earned by the latter.
When classified on the basis of product, earnings were slightly higher
in the drug-manufacturing industry than in the toilet preparations
industry. There was an important difference between the two indus­
tries, however, when measured by the first quartile and the median
(the points in the wage scale below which fell, respectively, 25 and 50
percent of the workers). In drug manufacturing, the quartile was
42.3 cents per hour and the median 55.3 cents; in the toilet prepara­
tions industry the quartile was 37.3 cents and the median 47.5 cents.
The difference was due principally to the fact that the proportion of
finishing workers, the lower-paid employees, was relatively larger in
the toilet preparations industry than in drug manufacturing. For all
workers the mean (arithmetic average) was 57.2 cents; for drug
workers, 58.0 cents; and for those in toilet preparations, 47.5 cents.
In drug manufacturing 60 percent of the workers earned from 35 to
60 cents an hour, while in the toilet preparations industry the same
proportion earned from 35 to 45 cents. The highest-paid workers in
these industries were in the auxiliary occupations. The mechanical
workers earned an average of 83.0 cents an hour, foremen and fore­
ladies, 80.8 cents, and workers in printing and glass-making shops
and in paper-box departments classified as “other/’ 71.8 cents.
Among the workers handling the products, the processing or labor­
atory workers had the highest average hourly earnings (67.2 cents),
followed by workers in the shipping department (60.7 cents), and
workers on capsule and ampoule operation (61.2 cents). Workers in
the finishing department, who were the lowest-paid workers and formed
the largest occupational group, earned an average of 46.5 cents.
Hourly earnings varied considerably in the different States. The
first quartile ranged from 35.3 cents in Maryland to 55.5 cents in
Michigan, a difference of 20.2 cents. Even in the same section of the
country there were differences, as the first quartile in Illinois was 14.7
cents lower than that in Michigan and that in Indiana was 8.0 cents
lower than that in Michigan. A comparison of the wage levels in the
different States is given in table 1:


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

Wages and Hours of Labor

389

T a b le 1.—Hourly Earnings of Workers in Drug and Toilet Preparations Manufacturing ,

by States
H ourly earnings
N um ber of
employees

State

First
quartile

M edian

A rithm etic
average

T o ta l------------- ---------------------------------------------- --------

12,303

Cents
42.0

Cents
53.9

Cents
57.2

California...... ............................................................. ..............
Illinois.----------- ----------------------------------------------------In d ia n a ----------- ----------------------------------------------------Iow a and W isconsin..... ............................. .............................
M ary lan d ............. .................. .......................................... .......
M assachusetts............................................. ................ ............
M ichigan......................................................... .............. ...........
M issouri------- ---------- --------------------------------------------New Jersey____ ______ ___ ____ ____________________
N ew York and C onnecticut_________ ______________
N o rth Carolina and Tennessee______________________

346
1,300
1,249
236
138
281
2,060
968
1,516
2,276
407
282
1,244

45.2
40.8
47.5
40.7
35.3
37.0
55.5
40.4
42.9
37.8
36.4
39.3
44.1

49.1
46.6
63.8
44.5
37.8
45.5
64.9
62.1
55.5
45.3
40.5
45.6
52.1

52.1
50.0
63.9
49.5
46.9
54.7
69.2
59.5
57.8
52.0
43.3
53.6
55.4

P ennsylvan ia______________ _______________________

Hours Worked

Almost one-half (48 percent) of the employees in the drug and toilet
preparations industries worked 40 hours, and nearly one-third (31
percent) worked less than 40 hours, in the week recorded. Only onefourteenth (7 percent) worked longer than 44 hours.
In the different States the proportion of the employees working 40
hours or less varied from 46 percent in North Carolina and Tennessee
to 93 percent in In diana and 100 percent in Maryland. Massachusetts
had the highest proportion working over 44 hours—22 percent. Table
2 gives a percentage distribution by hours worked and by States:
T a b l e 2. —Hours Worked by Drug and Toilet Preparations Manufacturing Employees

I
State

Percent of employees who worked—
N um ber
of employees
w ith
Over 48 and
Over 44
and 60 hours
U nder
hours
and under 56
to
under
and
worked 40 hours 40 hours 4440
under
hours
56
hours
60
hours
over
reported
48 hours

T o ta li_____ ____________________

12,303

31.4

48.3

12.8

4.3

2.8

0.2

0.1

California______________________
Illinois____ ___________ ______ _
In d ian a_____________ ___________
Iow a and W isconsin......................
M ary lan d ______ ______________
M assachusetts___________ ____ _
M ichigan_______________________
M issouri____________ ____ ______
N ew Jersey.................... .....................
New Y ork and C onnecticut______
N o rth Carolina and Tennessee___
Ohio________________________ . .
Pennsylvania....................................

346
1, 300
1,249
236
138
281
2,060
968
1,516
2,276
407
282
1,244

12.4
22.0
31.6
25.4
10.1
26.0
46.2
11.9
24.6
45.4
5.2
29.8
33.8

41.0
38.0
61.2
54.2
89.9
42.3
42.6
80.3
54.9
39.9
41.0
31.9
41.5

39.0
23.7
4.5
15.7

2.9
12.7
1.4
1.3

4.6
3.2
.9
3.0

.3
.2
.4

.2
.3

9.3
5.1
7.6
9.0
8.9
32.9
24.8
23.6

19.9
1.9
.2
4.7
4.2
13.5
5.7
.5

2. 5
3.3

.9

.1

.1

.2

6.5
1.6
7.4
7.4
.7

.4

i In Wisconsin, C onnecticut, M aryland, N o rth Carolina, Tennessee, and Pennsylvania, drug firms only
were covered.


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

390

Monthly Labor Review—February 1939
Weekly Earnings

The median week’s earnings reported for the 12,486 employees
covered by the survey were $21.10. The highest in the different
States was $25.05 in Indiana and the lowest, $15.10, in Maryland.
Michigan, Missouri, and New Jersey also had relatively high median
weekly earnings—$24.70, $24.50, and $23.35, respectively. Based on
the first quartile, Michigan, California, and Indiana paid relatively
high wages, and Massachusetts, Maryland, New York and Connecti­
cut, and Ohio relatively low wages, as may be seen by table 3:
T a ble 3. — Week's Earnings of Workers in Drug and Toilet Preparations Manufac­

turing, by States
W eek’s earnings
N u m b er of
employees

State

T o tal......................... .........................- ................ .....................

F irst
quartile

M edian

A rithm etic
average

12, 486

$15. 90

$21.10

$22.25

378
1,304
1, 253
241
138
316
2,068
970
1,517
2, 353
407
286
1,255

18. 25
16. 25
18.00
15. 50
14.15
14.60
20.70
16.00
16. 65
14.10
15.15
13.80
16.05

19. 90
18.75
25.05
17.45
15.10
18.25
24.70
24.50
23.35
17.00
16.85
17.70
20.15

21.80
20.20
24.75
18.85
18.30
21.40
26.35
23.70
23.25
19.30
18.45
21.10
21.55

W W W

WAGES AND HOURS IN MILK CONDENSERIES, 1938
THE major product of the 161 condenseries reported as operating in
the United States is evaporated milk, though some plants also make
one or both of the two other forms of preserved milk—condensed milk
and dry milk. Over 70 percent of the employees of milk condenseries
covered by a survey made by the United States Women’s Bureau in
March and April 1938 earned from 40 to 60 cents an hour. The sur­
vey covered 3,143 workers in 113 plants, all but 137 of the employees
being men. The plants were located in 20 States and included the
major producers in each State and some smaller plants in the more
important of the States in the production of evaporated milk. The
following information is from the report of that survey.
Hours Worked

The majority of the condenseries visited operated on a schedule of
more than 40 hours per week. The scheduled hours reported by 14

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

Wages and Hours of Labor

391

plants were 40 a week; by 34 plants, 44 hours; by 5 plants, between
44 and 48 hours; by 31 plants, 48 hours; and by 9 plants, between 48
and 63 hours. The other 20 plants had irregular hours. A 6-day week
was reported for 74 plants and a 7-day week for some employees for
39 plants, including 6 with a 7-day week for the plant.
Only 16.2 percent of the employees actually worked 40 hours or less
in the week scheduled. The largest percentage (31.7) worked 48 and
under 56 hours in the week. The proportions of the employees in the
various States working certain classified hours are shown in table 1.
T a b l e 1. —Hours

Worked by M ilk Condensery Employees, by State
Percent of employees
N um ­
ber of
em­
ployees
Over
and
whose U nder 40
40 and 44
under
hours
40
under
hours
48
were re­ hours
44
ported
hours hours

State

T otal......................... .....................
California.....................................................
Illinois and In d ia n a ......................................
K ansas and M issouri................. .............
K entucky................................ .............
M ichigan______ ____ _______ _____
N ew Y ork and Pennsylvania..........................
Ohio___ ____________________ .
Tennessee........ ............ ......................
W ashington and O re g o n ...__________
Wisconsin and Iow a___________ ______
Five Southern States *....................................

who worked—

48 and 56 and
60
under under hours
56
60
and
hours hours over

2,926

13.4

2.8

12.2

27.0

31.7

4.9

8.0

473
201
114
96
220
279
360
120
78
814
171

16.7
14.4
13.2
17.7
10.0
7.9
10.3
28.3
24.4
12.0
11.1

.2
2.0

11.4
16.4
23.7
20.8
9.5
6.8
8.9
30.0
28.2
7.9
16.4

18.8
26.4
13.2
41.7
35.5
14.7
29.4
27.5
41.0
31.6
26.9

48.2
21.9
21.1
11.5
35.5
46.2
28.9
10.0
6.4
31.4
22.2

1.9
8.0
9.6
4.2
4.5
9.3
6.7
1.7

2.7
10.9
19.3
4.2
1.8
12.5
13.6
1.7

4.3
4.1

8.7
6.4

3.2
2.5
2.2
.8
4.1
12.9

1 A labam a, M aryland, M ississippi, Texas, and Virginia.

Hourly and Weekly Earnings

Wages were on a time-rate basis in all but three plants. Payment
according to production, but with a guaranteed time-rate
was in effect in these three plants.
Hourly earnings.—The median hourly earnings (midpoint) for the
2,926 workers in the 112 condenseries for which hours were reported
were 50.1 cents and the mean (arithmetic average) was 48.8 cents.
Over seven-tenths of the employees earned from 40 to 60 cents an
hour.
A comparison by occupations reveals that the highest hourly earn­
ings (57.3 cents) were in the can-manufacturing department, and
that the operating engineers had the next highest earnings (53.6
cents). Workers in the department where the fresh milk was re­
ceived and tested, and operators of the milk-processing machines
averaged 49.7 and 49.3 cents an hour, respectively.
The general utility and warehouse men earned an average of 48.3
cents an hour, and workers in the can-filling and packing department
had the lowest average (45.3 cents).

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

Monthly Labor Review—February 1939

392

Average hourly earnings in the different States showed greater
variation than appeared among the different occupations. The
highest hourly earnings were in California condenseries, the average
being 60.1 cents. The lowest were reported for plants in Kansas
and Missouri, in Tennessee, and in the five Southern States com­
bined; from 58 to 79 percent of all the workers in these States earned
under 40 cents an hour. The variation in hourly earnings among the
States seems to have been due to dissimilarity in recognized wage
standards in the different States, rather than to union agreements,
as only one-sixth of the plants scheduled had such contracts. The
variation in hourly earnings in the different States may be seen in
table 2.
T a b le 2. —Hourly Earnings of Milk-Condensery Employees, by States

S tate

Percent of employees w ith average hourly earnings of—
Aver­
age
50
55
60
65
40
45
35
30
hourly U n­
70
and and and and and and and and cents
earn­
der under
under under under under and
under
under
under
ings
30
55
60
65
70
50
40
45
35
(cents) cents
over
cents cents cents cents cents cents cents cents

T o tal...............................................

48.8

C alifornia.........-...........................
Illinois and In d ia n a ....................
K ansas and M issouri.................
K en tu ck y......................................
M ichigan__________ _________
New York and P enn sy lv an ia..
Ohio_______ ____ ________ ___
Tennessee______________ ____
W ashington and O regon..........
W isconsin and Iow a...... ............
Five southern States > ..............

60.1
44.6
37.5
43.1
46.2
42.3
47.1
39.3
55.4
52.6
35.8

9.6
.5

11.9
45.6
25.0
2.3
26.9
.6

21.7
4.7

32.2

15.1

15.5

.2

3.4
35.3
5.3
19.8
35.5
16.8
28.9

9.0
25.4
21.9
4.5

19.9
19.3
7.3
35.0

11.1

22.6

13.1
36.7

26.4
24.2
6.4
9.3
15.2

Tö'

42.1

10.8

'n.T
3.5

21.6

6.8

9.5
.9
11.5
14.5
11.8

18.3
5.8
37.2
48.9

1.8

13.8
17.3

4.0

2.5
1.9

.7
1.7

1.9

11.5
6.4

2.6

5.1

2.9

30.7
10.4

37.6
2.5

7.3
5.9
6.5
7.2

6.3

37.2
17.3

2.6

1.8

1.0
1.0

.5

1. ]
.8
1.8

* Alabama, M aryland, M ississippi, Texas, and Virginia.

Weekly earnings.—The week’s earnings recorded in the survey in­
cluded actual earnings for all work, including overtime. Of the 113
condenseries scheduled, 52 reported pay for overtime, 30 at the rate
of time and one-half and 22 at straight time. The median week’s
earnings ($23.50) were approximately the same as the mean ($23.25).
A large majority of the workers (71.2 percent) earned $20 or more in
the week, and two-fifths (40.4 percent) earned $25 or more. Among
the States, California plants had the highest proportion (71 percent)
of the workers earning $25 or more. This was due to higher hourly
rates and also to the large proportion working 48 hours or more.
With the exception of a few States where the difference in the hours
of work of many workers affected the week’s earnings, the ranking of
the States in week’s earnings was the same as in hourly earnings.
The average week’s earnings of the 3,143 workers in the 113 conden­
series in the different States and a percentage distribution of employ­
ees according to earnings and by States are set forth in table 3:

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

Wages and Hours of Labor

393

T a b le 3. — Week’s Earnings of Milk-Condensery Employees, by States
Percent of employees w ith week’s earnings of—
State

Aver­
age
week’s
earn­
ings

T o tal............................. .............................

$23. 25

3.8

7.8

17.1

30.8

25.2

10.8

2.9

1.4

0.1

California_________________________
Illinois and In d ia n a ________________
K ansas and M issouri___ _________
K entucky_________ _______________
M ichigan ,____ _______________ ____
N ew Y ork and Pennsylvania_______
Ohio___________ _______ _________
T e n n e sse e..._________ _____
W ashington and Oregon__________
W isconsin and Iow a_____ _______
Five Southern S ta te s1_____________

27.05
22.15
20.50
21.60
22. 30
21.20
23.15
17.50
23.25
24.95
17.95

2.8
3.2
4.1
4.5
2.6
4.2
4.6
8.4
3.7
3.0
6.7

3.2
8.2
24.0
10.7
3.8
12.2
4.3
26.0
4.9
2.3
26.7

4.0
23.3
23.1
28.6
20.5
28.0
20.6
38.2
4.9
8.6
37.9

18.7
38.8
20.7
26.8
49.6
27.6
32.8
18.3
51.9
36.8
15.4

37.0
16.0
14.9
17.0
15.8
19.6
26.3
5.3
24.7
33.8
7.2

28.1
5.5
10.7
6.2
5.6
5.6
6.8
1.5
7.4
10.3
4.1

4.9
2.3
.8
2.7
1.7
1.4
3.5
.8

1.1
2.7
1.7
3.6

.2

$10
$15
$20
$25
$30
$35
$40
U n­ and
$50
and and and and and and
der under under
and
under
under
under
under
under
$10
over
$15
$20
$30
$25
$35
$40
$50

3.8
1.0

.4
1.4
1.1
1.5
2.5
1.4
1.0

.1

1A labam a, M aryland, M ississippi, Texas, and Virginia.

E A R N I N G S O F F A C T O R Y O F F IC E W O R K E R S I N N E W
Y O R K S T A T E , O C T O B E R 1938

OFFICE workers in New York State factories averaged $34.19 per
week in October 1938, an increase of 26 cents over October 1937, ac­
cording to the annual report on factory office workers’ earnings by the
New York Department of Labor, published in its Industrial Bulletin
for November 1938. The New York department points out that,
although the figure for 1938 is higher than that for 1937, it is possible
that the increase was due as much to the laying off of low-paid clerical
employees as to a general rise in salary scales, since the reporting
firms employed only 44,040 office workers in October 1938 as against
46,475 a year earlier. Average weekly earnings of all factory workers,
office and shop combined, are reported to have dropped 36 cents
during the same period, with a much greater decline in the total
number employed than was recorded for office workers alone.
Average weekly earnings of office employees in the various industry
groups in New York State, in October of each year from 1929 to 1938,
are shown in table 1. The averages are based upon reports from the
fixed list of manufacturing firms whose reports are used by the New
York Department of Labor in its monthly employment record. As
these reports cover substantially the same firms each year, the data
in the table may be assumed to indicate the trend in office salaries.
However, the New York department emphasizes that variations in
salaries as between occupations, and in the proportion of higher sala­
ried supervisory and technical workers in different industries, render
questionable any comparisons of dollar earnings as between industries.
The workers covered in this annual survey include clerks, stenog­
raphers, bookkeepers, accountants, cashiers, stock clerks, office
managers, and superintendents.


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

394

Monthly Labor Review—February 1939

T a ble 1.—Average Weekly Earnings of Office Employees in Representative New York

State Factories in October of Each Year, 1929 to 1938
A verage w eekly ea rn in g s in October^—
I n d u s tr y
1929

1930

1931

1932

1934

1933

1935

1936

1937

1938

A verage, all in d u s trie s ______ $36.94 $37.48 $35.49 $31.86 $31.85 $32.45 $32. 71 $33. 05 $33.93
S tone, clay, a n d g l a s s . . . .........
M e ta ls a n d m a c h in e ry ______
W ood m a n u fa c tu re s _________
F u rs, le a th e r, a n d ru b b e r
g o o d s ...................................... ..
C h em icals, oils, p a in ts , e t c . . .
P u lp a n d p a p e r _____________
P rin tin g a n d p a p e r goods___
T e x tiles_____________________
C lo th in g a n d m illin e ry .......... ..
F ood a n d to b a cco ____ ____ _
W a te r, lig h t a n d p o w e r. ___

$34. 19

34.70
37.72
37.56

35. 52
38.29
36.74

34.35
35.06
38.07

31.48
31. 27
32.04

28. 83
32.39
30.31

27.74
34.29
30.59

26.47
35.30
30. 05

26.65
35. 56
30.02

28.07
36.83
32. 67

29. 30
36.21
33.02

29. 34
34.07
(>)
42.68
30.87
33.30
36.04
30. 77

30.58
34.74
)
43.94
33.47
32. 60
36.49
33.01

28.75
32.87
)
41.85
33.46
31.27
35.10
30.64

24. 73
29.93
)
37.25
29. 35
27.63
33.10
31. 59

24.72
30.64
C)
36. 44
31.76
26.24
31.90
30.24

23.72 24.51
31. 00 30.41
)
(')
36.71 36.13
29.97 m . 3 2
25. 38 26.28
31.86 32.84
34.10 34. 68

24.73
31.49
(‘)
36. 23
26.92
26. 67
33. 55
35. 47

23.80
32.59
(>)
37.28
26.45
27. 44
33. 49
36. 30

24 98
32.81

0

0

0

0

(0

38. 89
27.59
27.41
34.41
36. 07

i S ep arate earn in g s n o t c o m p u te d b ecause of sm all n u m b e r of em p lo y ees.
J N o t c o m p arab le w ith p reced in g yea rs.

Table 2 shows average weekly earnings of men and women in October
1938. The figures in this table were not based on a fixed list of firms,
as was the case with those in table 1.
T a b le 2. —Average Weekly Earnings of Men and Women in Factory Offices in New

York State, October 1938
M en
I n d u s tr y t
T o ta l
S ta te

N ew
Y o rk
C ity

W o m en

U p s ta te

T o ta l
S ta te

N ew
Y o rk
C ity

U p s ta te

A verage, all in d u s trie s ___________________

$43.52

$44. 46

$42.99

$22.23

$23.45

$21.35

M e ta ls a n d m a c h in e ry ___________________
W ood m a n u factu re s ___________________
F u rs, le ath er, a n d ru b b e r goods ________
C hem icals, oils, p a in ts , e tc ________ ____
P rin tin g a n d p a p e r goods................................
T ex tiles__________________________ ____
C lo th in g a n d m illin e ry ______ ___________
F o o d a n d tobacco________________________

43.33
43.85
37.99
43. 59
48.38
36.91
39.20
42.65

40 89
36.87
40. 22
36.94
52.54
40. 23
39.48
44.74

43.89
46.42
36.18
47.00
41.87
36.00
37.92
39.19

21.68
20.35
20.00
22.69
22. 55
20.72
23.01
23.95

23.80
20.49
20.98
23.01
23.24
20.63
24.00
25.05

21.00
20.31
18.96
22.56
21.60
20.75
20.09
22.80

1 S ep arate earnings n o t c o m p u te d for sto n e, clay , a n d glass, p u lp a n d p a p e r, a n d w a te r, lig h t, a n d pow er
in d u stries, because of sm all n u m b e r of em ployees.

The data in table 3, on employment and pay rolls, show that the
number of employees in factory offices in New York State declined 5.2
percent from October 1937 to October 1938, and pay rolls 4.5 percent.


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

Wages
T a b l e 3 . —Employment

395

a n d H o u rs o f L a b o r

and P ay Rolls in Factory Offices in New York State, October
1938 as Compared With October 1937
Em ployees

In d u stry

Stone, clay, and glass_______________________ _______
M etals and m achinery_____________ ____________ ___
Wood m anufactures________________________ _____
Furs, leather and rubber goods........................ ...................
Chemicals, oils, paints, etc........ ............................................
Printing and paper goods______________ ____________
Clothing and m illinery........... ................................................
W ater, light, and power.............................................. ...........


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

P ay rolls

Percent of
change,
October
1937-October 1938

A m ount,
October
1938

44,040

- 5 .2

$1,505,576

-4 .5

961
15,140
1,348
2,811
3,703
328
8,537
1,959
3,857
3,767
1,629

+22.3
-5 .6
-3 .9
-5 .5
-6 .4
-1 .2
-9 .3
-1 2 .1
+ 3 .6
-6 .0
+ .4

28,156
548,216
44, 512
70,227
121,484
12,816
332,015
54,056
105,710
129,625
58,759

+27.6
-7 .2
-2 .8
-.7
-5 .7
-5 .3
-5 .3
-8 .3
+3 4
- 3 .4
-.3

N um ber,
October
1938

Percent of
change,
October
1937-October 1938

WAGES IN MEXICO, 1937 AND 1938 1
STATE regulation of wages in Mexico is exercised, under provisions
of the Federal Constitution, by the central board of conciliation and
arbitration (Junta Central de Conciliación y Arbitraje) in each State,
which coordinates the work of the municipal minimum wage commis­
sions, or in the absence of these local commissions, itself fixes the
minimum wage. Federal regulation is exercised through decrees
issued by the President of the Republic giving the force of law to
collective labor contracts, including wage agreements, which have
been entered into by two-thirds of the employers and union workers
in a specified branch of industry and in a given district, making these
terms binding upon all employers and workers in that branch of
industry in the area.
The Federal Labor Code of August 28, 1931, as amended by a decree
of October 6, 1933, provides that the special municipal minimum wage
commissions are to be composed of an equal number of representatives
of employers and workers in the municipality, not less than two of
each, and a representative of the municipal government, acting as
chairman. If the employers and workers do not select their represen­
tatives within the time limit specified in the law, the State central
board of conciliation and arbitration is empowered to complete the
required number of members for the commission. Action to secure
the fixing of minimum wages in municipalities is to be initiated by the
central board of conciliation and arbitration on the first day of October
in odd years; the decisions of the special commissions are subject to
review by the central boards, after which they are promulgated by
those boards. Upon the application of the majority of employers or
workers in a municipality, the special commissions are (if conditions
seem to justify it) to review the minimum wage fixed, and as in the
case of the biennial fixing of wages, their findings are subject to review
by the central boards. Time limits are set for each step in the pro­
ceedings, and if the special commissions do not act within the time
limits set, after due notice to the parties concerned, the central boards
fix the minimum wage. Work which, by its nature, is carried on in
more than one municipality is to receive the highest of the minima
established by the special commissions concerned. Piece-work rates
1 D ata are from reports of W illard G albraith, A merican consul a t Mexico C ity, October 4, 1938; G. R .
Willson, American consul a t Piedras Negras, Jan u ary 18, 1938; Charles H . Taliaferro, American vice consul
at M érida, Jan u ary 20, 1938; A. F . Yepis, A merican vice consul a t G uaym as, F ebruary 23, 1938; and Perry
Ellis, American vice consul a t M azatlán, F ebruary 14 and April 5, 1938. O ther sources consulted include
Revista del Trabajo (Mexico); D iario Oficial (Mexico); Boletín Oficial (La Paz); Periódico Oficial (C h i­
huahua); Periódico Oficial (Pachuca de Soto); and B ulletin of the P an A merican Union.

396

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

397

Wages and Hours of Labor

are to be so fixed that 8 hours of labor will normally yield a return not
less than the minimum wage.
An executive resolution of September 7, 1933, established the
National Minimum Wage Committee (Comision Nacional del Salario
Minimo ) of five members, which, working with State governors, muni­
cipal authorities, progressive employers, and workers in general, was
to expedite the fixing of minimum wages. Rulings of that body
dated January 26 and February 28, 1934, reiterated the right of women
and minors to receive the minimum wage, as specified in article 86 of
the Federal Labor Code.
The minimum-wage rates which had been determined by the early
part of 1938 for the years 1938 and 1939, varied from 75 centavos per
day in Jalisco to 4.50 pesos in the northern district of Lower Cali­
fornia.2 In 4 States and the Territory of Quintana Roo only one wage
was established for all types of work, although this wage varied from
one municipality to another in 3 of the States. In 13 municipalities
of Tlaxcala the minimum wage consisted of a specified amount of
money and a specified quantity of maize. The greatest number of
minimum wage rates fixed according to type of work was 9, in Sinaloa.
Table 1 shows for the various political divisions of Mexico the
number of different types of work for which wages were fixed for
1938 and 1939, with the lowest and highest minimum-wage rates for
each division.
T a b l e 1. —Minimum

D aily Rates Fixed in States of Mexico for 1938 and 1939

[Average exchange rate of peso in 1937=27.75 cents, and in Ju ly 1938=20.10 cents]

S tate or d istrict

Aguascalientes_______ ____
Lower California:
N orthern d istric t______
Southern d istric t______
C am peche________________
C h ia p a s ..____ ___________
C h ih u ah u a_______________
C oahuila___ _
_________
C olim a________________ . .
D urango_________________
Federal D istric t__________
G uanajuato______________
G uerrero_____ ___________
H idalgo_____ _______ ____ _
Jalisco_________ _____ ____
M exico._________________
M ich o a c à n .............................

M inim um
N um ­
wage
ber of
types
of
work
for
which Low­ H igh­
est
est
rates
were
fixed

7

Pesos
1.15

Pesos
1.75

2
8
1
4
3
3
3
4
2
4
3
3
1
2
1

3.00
1.50
1.50
.80
1.50
1.20
1.15
1.00
1.65
1.00
1.00
1.00
.75
1.25
1.00

4.50
2.50
2.00
2.50
3. 50
2.50
2.00
2. 50
2.50
1.85
2.00
2.25
1.70
2.50
1.00

State or d istrict

M orelos..........................
N a y arit________ ________
N uevo L eon______
O axaca.____ _________
P u e b la ..___ ______
Querfitero___________
Q uintana R o o _________
San Luis P o to sí................
Sinaloa________________
Sonora.____ ______
Tabasco............ ...........
T am aulipas____________
Tlaxcala________________
V eracruz............................
Y u catan ____________
Zacatecas_________ _______

N u m ­ M inim um
wage
ber of
types
of
work
for
which Low­ H igh­
rates
est
est
were
fixed

2
5
2
8
2
4
1
5
9
3
2
3
3
3
1
2

Pesos
1.00
1.10
1.00
1.00
1.30
1.00
3.00
1.00
1.00
1.00
1.50
1.00
1.90
1.55
1.75
1.00

Pesos
2.00
2.00
2.50
2.00
2.10
1.50
3.00
2.00
3.00
3.25
2.50
3.60
1.25
2.85
3.50
1.75

i In 13 m unicipalities a specified am ount of maize is added.
1 For 1936 and 1937 th e range was from 75 centavos to 4.50 pesos. See M o nthly L abor Review, August
1936 (pp. 409-410).
121435— 39------- 10


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

398

M o n th ly L a b o r R eview -—F e b ru a ry 193 9

These rates represent an increase in the lowest minimum wage in
12 governmental divisions, varying from 5 centavos in Chiapas to 50
centavos in Quintana Roo, and an increase in the highest wage in 24
divisions, varying from 20 centavos in Guanajuato to 1.50 pesos in
Mexico. Decreases shown in the lowest wages were 5 centavos in
Veracruz, 15 centavos in Nayarit, 20 centavos in Jalisco, and 50
centavos in Sonora; in the highest rate, 25 centavos in the southern
district of Lower California and Zacatecas, 45 centavos in Veracruz,
and 50 centavos in Oaxaca. In Quintana Roo, where only one wage
rate was established for each biennium, that for 1938 and 1939 showed
an increase of 50 centavos. The lowest rates remained the same in
the northern district of Lower California, and in Michoacán, Querétero, and Tlaxcala.
In 26 of the governmental divisions special minimum wages were
fixed for field work, ranging from 80 centavos in Chiapas to 2.75 pesos
in Sonora and 4 pesos in the northern district of Lower California; in
20 of these divisions special wage rates were designated for city workers
as such, ranging from 1.10 pesos in Chiapas, Nayarit, Nuevo León, and
Tamaulipas, to 3.60 pesos in Tamaulipas, and 4.50 pesos in the
northern district of Lower California. In 8 divisions separate wages
were established in mining, varying from 1.25 pesos in Querétero
to 2.80 pesos in the southern district of Lower California. Workers
designated as unskilled or unclassified were assigned wages ranging
from 1 peso in Morelos to 1.75 pesos in Zacatecas; and skilled or
classified workers from 1.25 pesos in Guanajuato to 2.50 pesos in
Mexico. Four States fixed rates of 1 peso to 2.85 pesos for industry,
3 States 1 peso to 2.70 pesos for commerce, and Nayarit and Sinaloa
1.75 and 2 pesos, respectively, for fishing. In the southern district of
Lower California the minimum wages fixed amounted to 2 pesos for
seamen and 2.75 pesos for laborers in salt works; and other special
rates were set for specified groups of workers. In Oaxaca the rate for
domestic servants in certain kinds of public institutions was 1.75 pesos.
National Collective Agreements

Articles 58 and 64 of the Federal Labor Code provide that when a
collective agreement has been entered into by two-thirds of the em­
ployers and union workers in a specified branch of industry and in a
given district, it becomes binding upon all employers and workers in
the same branch of industry in that district if a decree to that effect
is issued by the President. The period of effectiveness in such cases
is not to exceed 2 years, although under certain circumstances it may
be extended for similar periods of time.
Such collective agreements (including the wage scales fixed in them)
have become law in various industries. Thus, in the silk and artificial

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

399

¡Pages a n d H o u rs o f L a b o r

silk industry the agreement of August 5, 1937, provided for immediate
increases of 3 to 20 percent over wage levels effective at that time,
and allowed 6 months for a commission to study the question of
minimum wages in the industry. In the textile industry an agreement
binding upon the entire industry, made effective by a decree in
1929, was modified in coverage by a decree of July 14, 1932, so as to
apply only to the cotton-textile industry in 22 governmental entities
and the Federal District; its period of effectiveness was extended for
6 months from July 15, 1932. It has been extended by periods of 6
months each until the present time, but by a decree of April 4, 1938,
temporary wage increases were made to apply to the cotton-textile
industry throughout the country until the convention then in session
completed its work of revision and the agreement might be made
effective throughout the Nation. The latest extension of the rates of
1925-27 (a decree of July 14, 1938), however, makes provision that
this decree shall cease to apply if, before its expiration, the permanent
contract for the Nation goes into force. Other industries in which
collective agreements have been put into effect throughout the
industry, and the period and date of their effectiveness, are shown
below.
Period (years)

Woolen-textile industry_______________________________ 2
Counterpane industry_________________________________ 2
Rubber industry______________________________________2
Sugar, alcohol, and similar industries___________________ 1

Date effective

July
Dec.
1 Jan.
1 Dec.

20,
7,
16,
22,

1937
1937
1938
1937

i Extension of original period.

A collective agreement in the hard-fiber textile industry (henequen,
jute, istle, etc.), signed June 3, 1938, by more than two-thirds of the
employers and unionized workers in the industry, has been published,
but up to December 1, 1938, has not been made law by a presidential
decree.
PROVISIONS OF AGREEMENTS

The principal minimum requirements specified in the Federal Labor
Code apply to all contracts unless otherwise noted. These include full
pay for 3 compulsory rest days and the vacation period each year, and
for 8 days of maternity leave before and a month after confinement,
with two 30-minute nursing periods per day after return to work
(any additional maternity leave is without pay); a maximum 8-hour
day (7 hours at night and 7%hours for a mixed shift); double time for
overtime, which is not to exceed 3 hours per day on 3 days in a week;
prohibition of overtime work for minors under 16 years and for women;
a compulsory day of rest each week with pay; for workers with more
than a year’s service, not less than 4 days’ paid vacation each year
nor after 2 years less than 6 days; wages not to be discounted except,
with the worker’s consent, for debts contracted with the employer

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

400

Monthly Lahor Review—February 1939

(not to exceed 30 percent of that part of the wage exceeding the
minimum), for union dues, or for the establishment of cooperative
associations and savings banks; prohibition of work requiring con­
siderable physical exertion during 3 months before childbirth; and
special quarters for working mothers to nurse their babies, in enter­
prises employing more than 50 women.
Silk and Artificial-Silk Industry

The agreement in the silk and artificial-silk industry is provisional,
and certain regulations are subject to revision, but it established the
wage increases noted above. It provides that the third (night) shift
is gradually to be eliminated from the industry. Five compulsory
holidays with pay and three without pay are designated for each year.
Workers with more than a year’s service are to have 6 days’ paid
vacation in the spring, each year, and persons with 6 months’ service
get 3 days with pay and 3 days without pay. Enterprises may, with
advance notice, suspend operations for 1 workday coming between
two holidays, but in that case must pay for it. Leave of absence
without pay, either individual or collective, may be granted for
periods usually not less than 1 day nor more than 30 days. A firstaid station must be maintained. Enterprises are required to pay 50
centavos per month per worker for medical attention to workers in
the clinic chosen by the workers’ union, or may contract directly
with the clinic. Enterprises employing 30 or more women are to
furnish a suitable room apart from the working place in which working
mothers may leave their babies in charge of a competent person paid
by the employer, and the company physician is to advise them regard­
ing the care of their babies.
Woolen-Textile Industry

The effective period for the national agreement in the woolen
industry is 2 years, unless extended; but the agreement between the
parties agreeing to it is to remain in force indefinitely, although it
may be revised in accordance with the provisions of the Federal
Labor Code.
Various wage rates are established, representing an advance over
existing levels. Daily wages set for workers engaged in the woolentextile industry itself range from 2.30 to 2.80 pesos; for mechanics,
carpenters, and other artisans employed in connection with the in­
dustry, from 2.35 to 5.85 pesos. For many types of piece work, in­
cluding family manufacture of blankets (sarapes), flat rates of pay
are set, but for certain other types of piece work involving varied
degrees of responsibility or skill the agreement provides for increases
(in existing rates) ranging from 1 to 35 percent, and for certain simple
types of piece work increases ranging from 13% to 25 percent. In

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

Wages and Hours of Labor

401

factories already paying wages higher than those established in the
schedule, wages are to be increased by 10 percent. In the case of
jobs not mentioned in the contract, the following increases are to
apply: Jobs paying 3 pesos per day or less, 20 percent; those paying
5 pesos or less, but more than 3 pesos, 15 percent; and for those paying
more than 5 pesos, 10 percent.
The above rates apply to the day shift which begins between 6 and
8 a. m. and lasts for 8 hours. The second and third shifts are not to
last longer than 7 hours each. Workers on the second and third
shifts employed by the day are to receive pay for 8 hours, increased
by 5 and 17% percent, respectively, and those employed at piece-work
rates receive regular pay increased by 15 and 22% percent, respec­
tively. Double time is paid for overtime and for work during vaca­
tions and under ordinary circumstances on the weekly rest day.
One day of rest in seven is compulsory, but must be paid for at the
regular rate, in proportion to the days worked each week. Kegular
wages are paid for 5 holidays each year, and 4 other (church) days’
leave without pay may be granted. Each year, 10 “natural” days
of vacation are allowed all workers who have been employed in the
enterprise for more than a year, to be paid for on the day preceding
the vacation; piece workers are to be paid at the average rate for the
preceding 4 weeks. Workers who have maintained a good record of
conduct may also take 20 days’ leave without pay each year, in
periods not less than 1 day each.
Present housing arrangements (not described in the agreement) con­
tinue in force. Compensation for industrial accidents is to be as pro­
vided for by law, except that, in the case of temporary injuries, 75
percent of regular wages are to be paid for the first 4 days and after
that 100 percent during the period of incapacity for work but not to
exceed 1 year.3 Maternity benefits include leave with full pay for
12 days before and after confinement.
Employers are to furnish athletic fields unless adjacent ones can be
used by the workers. The enterprise is to pay to the union 1.15 pesos
per month for each worker for care of nonoccupational diseases or
may continue care as at present, until the adoption of a national
social security scheme. Each employer must pay 1 peso per half
year for each worker into a special fund to be administered by a com­
mittee of three (one person each, representing the employer, the
workers, and the Government), to provide specialized technical edu­
cation for workers or the sons of workers who meet specified require­
ments. The number of such students (not more than 10) depends
on funds on hand.
8 A rt. 303 of th e Federal L abor Code allows 75 percent of regular wages from the first day of disability
and for a period no t to exceed 1 year.


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

402

M o n th ly

Labor Review—February 1939
Rubber Industry

In the national collective agreement for the rubber industry,
effective for 2 years from January 16, 1938, almost all jobs are de­
scribed, and most of the wages specified are for piece work; a few
rates, however, are given for work by the week or month, and more
for work by the day. The daily minimum is set at 2.25 pesos; for
work requiring a high degree of skill or responsibility, 6 or even 8
pesos are specified, particularly in jobs involving some supervisory
duties.
Four holidays with pay are to be given each year; for work done on
these days double time must be paid, and in addition the worker is to
be allowed a substitute holiday with pay. Permanent workers are
to have 6 days’ vacation each year, regardless of their length of
service, paid in advance. The agreement stipulates 40 days’ maternity
leave, with full pay, medical attendance, and medicines.
Benefits for retirement because of disability are payable for life, at
the rate of wage received at retirement, in the case of workers employed
continuously in the same enterprise for 25 years under a contract
which has not lapsed, provided disability is not due to venereal
disease, drugs, alcoholism, or criminal acts. Medical and phar­
maceutical care is required in the case of occupational risks, full pay
for time lost, and indemnities as provided in the Federal Labor Code.
For diseases other than occupational and for conditions not caused
by venereal disease, drugs, alcoholism, or criminal acts, the worker
is to receive medical and pharmaceutical aid as long as needed, and
after 4 days of disability, 50 percent of pay for 30 days. When,
after a year of service, a worker dies from cause other than occupa­
tional risk, suicide, or criminal act, the enterprise is to pay 60 pesos
for burial expenses.
Enterprises in which more than 25 women are employed are to
furnish a nursing room, and in those in which more than 50 women
work, a place is to be provided where mothers may leave their babies
under a year old.
Sugar, Alcohol, and Allied Industries

The national labor agreement in the sugar, alcohol, and allied indus­
tries applies to both field and factory employment. The enterprises
covered by the contract are divided into three groups, according to
wages paid; only a few companies are classified in the first (highest)
and second wage groups, leaving most of them subject to the lowest
wage rates.
One day of rest per week must be paid for, except for persons em­
ployed by the month; if a worker is absent 1 workday no deduction is
made from his pay for Sunday, if he is absent 2 days he receives 75
percent of normal pay for Sunday, and if absent three times, 50 per
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Wages and Hours of Labor

403

cent, unless local practices in the industry are otherwise. Four days
of holiday with pay each year are compulsory, with double pay for
any work done, and if a worker is obliged to work on a holiday which
coincides with his weekly rest day he is to receive triple pay. Upon
advance notice the union may declare not to exceed 3 days of collec­
tive holiday without pay each year. Workers are to have 8 days of
paid vacation for their first year of service and 12 days for the second
and subsequent years, or 6 days for those persons who work through­
out the grinding season (zafra), with shorter vacations in proportion
for persons in all three instances who have worked less than full time.
Leave without pay up to 90 days per year is allowed for personal
reasons, and for union business or official duties whatever time is
needed is granted. By agreement, cane cutters may have up to 50
per cent of their wages advanced.
For occupational disabilities workers are to receive full pay during
the period of their incapacity, in addition to medical attention. The
enterprise is to employ a physician to care for the health of the workers
and the common diseases of specified relatives who are members of
their immediate families. A clinic or hospital is to be maintained for
the workers and their families. In addition to funeral expenses for
workers required by the Federal Labor Code, employers are to con­
tribute to the funeral expenses of certain near relatives in accordance
with the local custom. For sickness and for nonoccupational acci­
dents the employer is to pay 50 percent of wages for up to 60 days,
and if the disability lasts longer he is to continue to furnish medical
attention. However, the health benefits to either the worker or
members of his family do not apply if the condition is due to fighting,
to venereal disease, drugs, or intoxication.
Workers are to have sanitary living quarters furnished, and those
who live on the estate, a garden plot also, with the privilege of using
farm animals to work it, and of cutting firewood and of getting sugar
for their own use at a lower price. The enterprises must furnish
athletic fields for their workers and elementary schooling for their
workers’ children.
Cotton-Textile Industry

By the terms of a temporary contract for the cotton-textile industry
of the Nation, signed March 19, 1938 (but effective from March 17,
1938, until a permanent contract goes into effect), all wages except
certain daily wages over 7 pesos were increased above the wage scale
adopted in 1925-27. Persons receiving 2 pesos per day under the
scale of 1925-27 were raised to 2.70 pesos. All wages below 2 pesos per
day were increased by 70 centavos. All piece-work rates less than 7
pesos were increased by 70 centavos, except that wages of persons
minding 3 looms were increased by 55 centavos and those minding two

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

Monthly Labor Review—February 1939

404

looms, by 43 centavos. Piece workers getting more than 7 pesos were
to receive increases of 43 centavos. An increase of 70 centavos was
prescribed for salaried employees listed in the former contract to
receive’upAo 7, pesos. For^wages not listed in the schedule by day or
piece work, increases of 70 centavos for those up to 5 pesos per day;
35 centavos, from 5.01 to 7 pesos; and for persons receiving 7.01 pesos
or more no increase, unless one was needed to equal the pay of a person
from the lower wage level engaged at the same sort of work whose
wage had, by this contract, been increased by 35 centavos.
Wages and Earnings in Various Industries

In addition to manufacturing industries, agriculture, livestock,
petroleum, and mining play an important part in Mexican economic
life. In general, the provisions of the Federal Labor Code apply to
all branches of industry, involving the maximum 8-hour day, 48-hour
week, double pay for overtime, limited to 3 hours per day on 3 days
per week, compulsory rest day with pay each week, and certain other
requirements for larger concerns. The only general deductions from
wages are those mentioned in connection with the collective labor con­
tracts, and income tax, where applicable. Except as noted in the fol­
lowing pages, supplementary payments are not usual.
AGRICULTURE

Farming operations formerly carried on by independent growers on
leased or independently owned land have been greatly curtailed during
recent years by the extensive practice of expropriating large estates
and parceling them out for operations on a communal basis, with the
financial aid of the Government, by former farm laborers. For
general farm work wages range from a minimum of 80 centavos in a
part of Chiapas to 2.75 pesos for one municipality in Sonora, and 3
to 4 pesos per day in the northern district of Lower California; these
wages are the minima established by the local commissions, and
apply only to the independently operated farms. In the State of
Durango, for which information is available, employers ordinarily
furnish farm laborers with free housing, fuel, and pasturage for their
livestock. The laborers usually cultivate the lands of their employers
on shares, and receive wages only for the time they work for the
employer, and a part of these wages is often paid in kind. Skilled
and semiskilled agricultural laborers, persons able to operate tractors
and machinery, receive from 1.75 to 3.50 pesos per day.
The minimum wage rate fixed by decree in the banana region of
Chiapas is 1.80 pesos; in Oaxaca, 1.50 to 2.00 pesos.
In the banana industry in the Veracruz consular district, workers
paid on a piece-work basis employed at cleaning, pruning, and culti
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Wages and Hours of Labor

405

vation are able to earn 4 to 5 pesos per day; for cutting and hauling
fruit from farm to river, from 10 to 13 pesos for a day of from 8 to 10
hours. For transporting fruit to port the basic minimum monthly
pay varies from 130 to 245 pesos and actual earnings from 400 to 600
pesos; persons paid by the trip earn 300 to 500 pesos per trip. Every
person working by the day must be paid for a day of rest each week;
a worker employed by the month is paid 2 full days’ wages extra if he
works on Sundays. The employers provide schools and medical
attention. The banana planters house their workers in large camps.
In Chiapas, minimum wage rates in the coffee region are 1.10 to
1.30 pesos. Wages paid in Veracruz, 2.50 to 3.00 pesos daily, average
higher than any minimum wage fixed by decree in that State. In
Veracruz double rates are paid for overtime; in Chiapas time and a
half is paid on ordinary days and double time on holidays. Payment
of wages is made for four national holidays each year. In Chiapas
workers are furnished free housing, wood for fuel, and sometimes free
electric light; they also have medical attention and are supplied with
medicines for all illnesses of an occupational nature.
In the pineapple industry in Veracruz, drivers and cultivators are
paid at the rate of 2.50 pesos per day; a crew of four men engaged in
loading cars earns a total of about 15 pesos per day. Overtime is not
customary. The only supplementary payments are medical attention
and medicines. In one district in this State, steady workers are paid
45 pesos per month and day workers 1.50 to 2.00 pesos.
In the Torreón consular district, laborers on the small private
cotton farms usually receive 1.75 to 2.00 pesos per day and foremen
about 3.00 pesos The farm operators usually supply their regular
workers with free housing, light, water, and medical attention.
The henequen and chicle industries are localized in the region of the
Mérida consular district. Most of the henequen farms are operated
on a communal basis, but on the approximately 740 privately owned
farms the minimum wages for the various municipalities are paid—
2.50 pesos in Mérida and an average of 2.18 pesos in the other places.
Overseers receive 75 to 125 pesos per month. For piece work, assist­
ant mechanics and firemen in rasping plants average 2 pesos per day;
field laborers, 1.00 to 2.62 pesos; and for leaf-transportation men and
operators of baling machines the maximum average daily earnings
do not exceed 3.75 pesos. Because of the extremely trying climate,
hours are irregular throughout the year but are on the average less
than 8 per day. All workers are allowed the use of certain specified
areas in which to plant corn and beans and to raise such animals as
they can afford, and the majority of them are furnished housing.
Employers are required to furnish medical attention and medicines
without any deductions from wages.

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

Monthly Labor Review—February 1939

406

Work in the chicle industry is mainly on a piece-work basis, at
which the worker can produce about 2% to 3 quintals of chicle per
month, earning about 151.25 pesos. The usual day’s work in the
jungle is from 6 to 8 hours. It is stated that when workers are fur­
nished medical attention a deduction of 2 pesos per quintal is made.
The contractor of labor for the chicle industry furnishes food, clothes,
etc., for the workers during the chicle season of about 7 months.
CATTLE RAISING

In the Nogales consular district, cattle-ranch hands receive at least
1.50 pesos (the minimum fixed by decree), and ranch foremen from
2.50 to 4.00 pesos per day. In the Piedras Negras district, cowhands
are paid 30 to 50 pesos per month, sheepherders 25 pesos, and foremen
of sheepherders 35 pesos. In the Agua Prieta and Chihuahua consular
districts, cowhands receive 2 pesos pqr day. In all these districts
free housing is furnished, and in the Piedras Negras district workers’
families also receive meat, as well as timber for firewood.
LOGGING, LUMBERING, AND NAVAL STORES

Logging and lumbering wages reported from Durango are as follows:
Daily wages
(pesos)

Roustabouts______________________________________ 2. 33- 2. 75
Mill workers______________________________________ 2. 33- 5. 00
Mill hands, skilled________________________________ 5. 00- 8. 00
Box-factory laborers_______________________________ 2. 33- 2. 75
Box-factory laborers, skilled------------------------------------ 3. 00-11. 00
1 5. 00
Loggers__________________________________________
Sawyers, skilled___________________________________ 5. 00- 9. 00
Locomotive engineers and machinists_______________ 9. 50-12. 00
• Average.

Skilled men working at piece-work rates in the box factory earn
slightly more than the day workers. Paid vacations are, from 8 to 25
days per year, depending on length of service. Supplementary items
include free housing, light, and fuel.
In the hardwood industry around Veracruz unskilled laborers are
paid 2 pesos per day, skilled laborers 2.30 to 4.00 pesos, and carpenters
4 to 7 pesos. Workers receive free medical attention and medicines.
Schools are provided for their children.
In the mahogany region around Merida, loaders are paid 150 pesos
per month, mechanics and tractor men 250 pesos, and foremen 288 to
324 pesos. Hunters and fellers are paid by the tree, 1 and 5*pesos
respectively, and workers who clear the pathway 2.50 pesos per 30
yards. The piece workers average about 5 pesos daily throughout the
season (which corresponds roughly with the dry season) of about 6 orB7
months, but if food is furnished wages average about 1 peso per day

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

Usages a n d H o u rs o f L a b o r

407

less. Men usually work in 2 shifts of 12 hours each, but the hours of
piece workers are irregular. Foremen receive free housing, and the
other workers make their huts from materials at hand. Workers are
given free medical treatment.
In the production of naval stores in the Durango consular district,
laborers receive 2.33 to 2.75 pesos per day and chippers, freighters,
and dippers 8 to 10.75 pesos per standard gum barrel. Average daily
earnings of distillers and of deck hands on a piece-work basis are 6.60
and 3.30 pesos respectively. Supplementary payments include free
housing, schools, paid vacations of 6 days for 1 year to 12 days for
7 «years’ service, and free medical attention and 2 pesos per day for
board and lodging until the patient is discharged by the doctor.
PETROLEUM INDUSTRY

In the expropriated properties of the foreign oil companies, ad­
ministered by a Government organization known as “Mexican
Petroleum” (.Petróleos Mexicanos), workers are grouped according to
pay, regardless of occupational classification. In the Tampico and
Minatitlán refineries and production units, 12 wage groups are listed,
with a total of 1,190 classifications of workers. Table 2 shows repre­
sentative classifications, from these groups and from the wage schedule
of an American-owned petroleum company which was not expro­
priated.
T a b l e 2 . —D aily

Wage Rates in Petroleum Industry in Mexico
Occupation

G overnm ent-adm inistered properties of foreign oil companies— Tam pico and M inatitlân
refineries:
W heelbarrowmen, w aterboys, cook’s assistants, second assistant masons, painters, and
electricians, common laborers____ ______ _______ _______________ _______ _______
B arrel nailers, packers, barrel repairers, w atchm en____________ 7 7 7 7 7 7 7 7 7 7 7 7
B elt tighteners, th ird assistant greasers, topping-machine operators, third-class painters'
barrel closers, assistant masons, painters, and riv eters.________ ______________
Stillmen, first-class firemen, soldering-machine operators, fourth-class'ele’c'trici'ans,"utilitygang bosses, assistant gasoline treaters_________________________________________
Absorbers, steam -ham m er operators, first-class mechanic’s assistants, third-class"mechanics,
plum bers, solderers, electricians and pipe fitters_______ ______________
Cranem en, w inchmen, gas redistillation p lan t operators, boss pipe fitters______ A IIIIIIIIIIZ ’
Laboratory assistants, analyzers, D iesel-plant operators, second-class masons, mechanics, and
electricians...................................... ............... .................. ............ ...................
Pum pm en, refiners, lubricant treaters...................................... ......................... 7 7 7 7 7 7 7 7 7 7
T ractor operators, asphalt dippers, first-class operations bosses____ ______ ______
First-class p lan t and relief operators.-........................................................... ................ I . ” "” 1 "7
First-class masons, boilermen, plum bers, and pipe fitters, boss winchmen," tinsm iths," plate
riveters....... ....................................................... .............................. ...........
Privately operated company:
M achinists.......................................... .....................................................................
Mechanics, foremen, and master welders_____________ _____ ______ . . . 7 .
Carpenters, marine pilots or engineers, pumpers, and caterpillar operators!
Warehousemen and rig helpers_______________________________________
Clerks, field, and telephone operators________
77!
Truck drivers, well men, and gagers......................................................7 7 7 7 7 7
Firemen........................................................................................................ 7 7 7 7
Watchmen................. ..............................._...................................... 7 . 7 7 7 1
Watchmen, land department............................................................ 7 7 7 7 7 1 7
Ferrymen....................................................................
7!
Connection men, line riders, and machinists’ helpers_________ _____ .1.
Station men___ ________ ________________ __________ _____ . . . 7 7 7
Teamsters____ __________________________ ____ ________7 7 7 7 7 7
Laborers....................................................................................7 . 7 7 7


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

D aily wage
(pesos)

Average
4.87
5.41
5.91
6. 69
7. 53
7.87
8. 63
9.43
9.94
10.43
11.09
M axim um
12.50
12.00

8.00

7.00
9.50
6.00

5.50
4.50
5.00
4.50
5.00
8.33
4.50
4.00

Monthly Labor Review—February 1939

408

Drillers and tool dressers are paid 300 and 250 pesos per month re­
spectively, and in addition they are given room, board, and laundry.
MINING AND SMELTING INDUSTRIES

Minimum wages in the mining industry in Mexico have been officially
fixed for 1938 and 1939 in the States of Aguascalientes, Coahuila,
Durango, Guanajuato, Nayarit, Queretero, and Sinaloa, and in the
southern district of Lower California. These minima range from 1.25
pesos in Queretero to 2.80 pesos in Lower California.
For copper, silver, and gold mining, as reported from Saltillo, mine
superintendents receive 600 to 800 pesos per month, timekeepers 120
pesos, and weighers 100 pesos.
Actual wages in the mining and smelting and refining industries in
various regions are shown in table 3.
T a b l e 3 . —D aily

Wages in Mining and Smelting Industries in Mexico

T y p e of m ining, district, and
occupation or process

D aily
wage

T y p e of m ining, district, and
occupation or process

Coal mining

Zinc mining

Piedras Negras:
C utting and loading:
Laborers, w aterm en, porters,
and screeners_________ ____
Shovelers and trackm en......... .
M ule d riv ers..............................
D rilling and shooting........................
H auling and hoist/ng:
Laborers a n d telephone opera­
to rs ............................................
H aulage au d ito rs........................
W eighers.._______ __________
Signal foremen__________ ___
H oisting foremen and m en in
charge of hoisting cable.........
M ine-car repair:
Greasers_________________
C arpenters and foremen_____
O ther operations:
V entilation workers and hoistm en and shaftm en.................
Outside-lamp workers...............
Stable w orkers______________
T ipple and washer workers . . .
Coke-oven w orkers__________

Piedras Negras: W orkers in—C ontd.
M ix rooms:
Forem en.......................................
A ssistant foremen.......................
O thers............................................
Copper, silver, and gold mining
Saltillo:
Forem en................. ............................
M ine bosses_________ _____ _____
Tim berm en and pickm en........ .......
H elpers................................ ................
Laborers..................... .........................
Guadalajara:
Pneum atic-drill operators................
H oist operators..................................
Car counters and carters................
Trackm en and drillers.....................
Tool dressers and helpers.................
W atchm en and unskilled laborers.
M ine bosses____________________
Pipe fitters----------- -------------------P u m p operators.................................
M echanics.......... ...............................
9.48 Electricians..........................................
Agua Prieta:
P um pm en, masons, electricians,
carpenters, machinists, and black­
sm ith s................................................
Pipe fitters...........................................
H oistm en...... ......................................
D rill sharpeners..................................
M otorm en_________ ___________
Compressor atte n d an ts....... ............
Tim berm en and trackm en_______
D iesel-plant operators___________
D iesel-plant oilers..-------------------6.80 Boilerm akers----------------------------6. 20Plum bers and m illm en_____ ____
W elders.................. ..................... .......
M ill repairm en----------------------- —
Flotation operators-------------------C rusher operators__________ ____
C onveyorm en.....................................
Engineer, railroad..............................
C onductors........................ ....... .........

Pesos
3.80
4.50-5.60
4. 50-6.20
5.60
3.80
3.80-4.50
5.60
4.50
10.44
3.80
4. 50-7. 50
3.80-5.60
3.60-6.20
3.20- 4.50
3. 20-6.20
3.20-

Zinc mining
Piedras Negras: W orkers in—
Sampling division------------ --------Laboratory (chemists), and zinc
rolling mills (except foremen)—
D ryers, skinner roasters and cool­
ers, D . & L. sinters, po ttery and
condenser concentrators, crush­
ers, and clay m ills---- --------------C ottrell plan ts and baghouses____
Acid p la n ts________________ ____
Zinc-sulphate p la n ts.............. ........
Batteries of zinc..................... ...........
Gas producers--------------------------Refineries (including foremen)
and concentrator m ills------------C irculating pum ps, lime k iln s---M echanical departm ents of shops.
M agnetic separators....................... .


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

3.60-6.80
4.50-6.20

3. 20-5.04
3. 20-6.80
3.803.804. 50-8.40
3. 20-8.40
3. 20-5. 60
3. 20-4. 50
3.60-8.40
3.20-3.60

D aily
wage

Pesos
10.44
6.20

3.20-5. 60

6. 60
4.60
5.00
3.00
2.85
3.24
2.50
2.16
2.16-2. 70
1. 70-3.78
1.80
4.32-5.17
3.25- 4. 50
3.00
2.70-3. 24
4.25-

4.00
3.50
5.00
4.50
3.70
6.00

3. 70
10.00

5.10
8.80
5.10
6.75
4.60
4.15
3.45
3.25
8.80
5.10

5.75

Wages and Hours of Labor
T a b l e 3 . —D aily

409

Wages in Mining and Smelting Industries in Mexico— C on tin u ed

T y p e of m ining, d istrict, and
occupation or process

D aily
wage

Copper, silver, and gold mining—Con.
Agua P rieta—C ontinued.
Firem en and b ra k e m e n .. _
Common laborers, surface____
Common laborers, underground—.
M iners, m uckers, and tram m ers—

D aily
wage

Smelting and refining—C ontinued.
Pesos
4.40
3.00
3.25
3.25

Smelting and refining
M onterrey:
Unloaders and melters, lead bu l­
lion__________________

T ype of m ining, district, and
occupation or process

4.84-5.85

M onterrey—Con tinued.
Desilverizers, and cupellers of reto rt m etal_______ —
R etorters of zinc crust_______
Dezincers, lead bullion______
Shippers of refined lead.
W orkers in engine and car service
W orkers in mechanical depart­
m e n t_________________

4.84-7.09
4 84 R 2Q
5.02-5! 57
5.29-5. 79
4.84-5. 79
6. 55-8.95
4.00-11. 40

In zinc mining, loading and unloading are done mostly on the piece­
work basis, though some persons are employed at monthly salaries.
Supplementary payments in both coal and zinc mining include
housing at a minimum rental of 50 centavos to 7.50 pesos per month,
depending on the type of house rented; medical attention, medicines,
and hospitalization for workers in case of occupational accidents or
diseases; and free medical attention and medicines for workers and
their families suffering from nonoccupational ailments. Workers
suffering from occupational accidents and diseases receive full pay
throughout the time they are under the medical care of the company,
and in the case of nonoccupational ailments 50 percent of pay as long
as their illness continues. In the case of unavoidable accidents in
coal mining, the company guarantees a salary of 6.80 pesos to motormen and of 5.60 pesos to assistant motormen.
Supplementary payments reported in gold and silver mining in
Guadalajara usually include housing, and the larger mines provide
free medical attention and medicines for mine workers and their
families. During occupational illness workers receive 75 percent of
regular pay; they are also allowed up to 30 days of sick leave for
nonoccupational illness, on half pay. For the region about Agua
Prieta it is reported that all workers are given free rent, light, and
water, and medical attention for themselves and their families.
Workers in the smelters and refineries at Monterrey each receive
6 pesos per month for house rent, and the company pays to the union
2.50 pesos per month per worker for medical attention and medicines
for the worker’s family, in addition to furnishing medical care, in­
cluding surgery and hospitalization, free to the worker h i m s e l f
Persons absent from work because of occupational accidents or
diseases receive foil pay, and those absent because of nonoccupational
ailments, 60 percent of pay for not to exceed 60 days each year. All
workers are insured for 500 pesos. In case of death from causes other
than occupational, the company furnishes the casket and pays the
family (for funeral expenses) 45 days’ pay; in case of death from

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

Monthly Labor Review—February 1939

410

occupational accident or disease, the company pays 60 days’ pay, for
funeral expenses, and an indemnity of 812 days’ wages. If a worker
chooses to retire after 20 years’ service the company pays him in a
lump sum the equivalent of 25 days for each year of service; if he is
entitled to retirement but dies before he claims it, his family receives
the payment.
The company pays into a savings fund 1 percent of all workers’
wages.
MANUFACTURES

The actual wages paid in various manufacturing industries in the
different localities of Mexico are shown in table 4:
T a b l e 4 . — Wages

Paid in Manufacturing [Industries [in^Specified Localities in Mexico

[For benefits and paym ents in addition to wages, see text pp. 412,413]
In d u stry , locality, and occupation

A lum inum ware, Saltillo:

Wage per
day
Pesos

6.00
3.75

Polishers, burnishers, finishers,
decorators, and foundry workers.
Breweries, M exicali:

2.50

2.00
1 750.00
i 250.00
i 600.00
75.00
11.50-14.00
15.75

2

Breweries, Veracruz:

Pasteurizing-tank chargers and

Beer-box inspectors and m arkers.
Cold rooms:

4.50
3.95
3.30
4. 20-5.75
3.70
3.80
4.20
2.25
4.40
3.30
2.75

6.00
4.75
4.00

F ilter adjusters and specialH ot rooms:
B rick and tile, M onterrey:

Cem ent, M onterrey:

Com m on laborers.............................

3.85
7.00
2.47-4. 50
4.60-5. 50
4.50-5.30
4.50
4.00
2.90
2.56
7.20
5.00
4.44-5. 60
5.00
3.45-3.60
3.10
2.96
2.80

In d u stry , locality, and occupation

Chewing gum, M o n terre y :3
K ettlem en................... ......................
M illm en, mechanics, and gum
coaters..................................... .......
G um w ashers....................................
W rapping-m achine operators and
gum b re a k ers................................
Cigarettes, M onterrey:
Packing-machine fixers-------------Knife changers-.............................. Stam p cutters...................................
D ryer feeders......................- ............
Opening-leaf workers and to­
bacco-hanks turners.....................
M achine feeders............. ..................
Cigarette-machine o p e r a t o r s ,
cigarette catchers, packing-ma­
chine operators and feeders,
glacine-machine operators, packw rapper operators and feeders..
Pack-w rapper catchers-------------Cordage, M érida:
Spreader-machine and breakerm achine operators........................
B reaker receivers and drawingframe operators................ - ..........
Tw isters and balling-machine
operators____________________
W inding-machine and cop-ma­
chine operators, drawing-frame
assistants, finishing drawingframe attendants, and breaker
receivers’ assistants--------------C otton ginning, Mexicali:
d in n e rs........................ - ..................
Pressm en.........................................
Suction-tube handlers...................
Sweepers.......................................
Samplers......................................—
Pressm en, hull presses..................
C rusher foremen.............................
C rusher foremen, assistant_____
Oil-press forem en...........................
Oil-press workers— .....................
Cake-m ill forem en.........................
Cake-mill w orkers..........................
Forage mixers, meal w arehouse.
Soap m akers___________ ______
Soap-factory workers, other.........

1Per m onth.
23Per
week.
A bonus is also paid which am ounts to ab o u t 20 percent of th e wages stated.
< M inim um ; supplem ented b y efficiency bonus.


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

Wage per
day
Pesos
3.30
2.80
2.60
2. 50
Per hour
1. 00- 1.20

.44
.43
.42
.38
.36

«.38
<.35
Per day
3. 70
3.45
3.20

3.15
12.00

8.90
6,60
6.10

7.60
8.64
9.68
7.15
11.97
6.07- 8.94
8.64
6.07- 6. 75
7.69
9.58
.00-7.00

6

411

W ages a n d H o u rs o f L a b o r
T a ble 4. — Wages P aid in Manufacturing Industries in Specified Localities in

Mexico— C on tin u ed
In d u stry , locality, and occupation

Cottonseed-oil mills, Torreón:
M ill superintendents___________
Skilled workers_______________
U nskilled w orkers_____________
Explosives, Torreón:
Chem ists............................................

Wage per
day
Pesos
4 00
3. 25
3.00

870. 00
Per hour
A cid-departm ent w orkers______
0. 60-0. 70
Pow der m en, extra_____________
.70
D ynam ite-départm ent workers
and nitroglycerin m en...............
. 80-1. 00
D ynam ite mixers_______ .
. 90-1.00
C artridge fillers________________
1.00
Electrician w inders.............. ...........
1.50
Fish-products canneries, Ensenada:
Per day
Skilled workers____ _____ ______
6. 00-10. 00
Semiskilled workers...... ..................
5.00- 6. 00
Brine-tank attendants, packingcase workers, and m anual
Per hour
w orkers__________ ______
0. 75
C utters, boilers, and retorts oper­
ators______________ ______
1. 50
Sealing-machine operators_____
1.25
Fish cleaners and cutters, female
.65
M echanics..............................
2 100. 00
Overseers_________
2 80.00
Flour milling, Guaym as:
Per day
Millers, first_______ _
3.80
Millers, second______________
3.45
M illers, rice-mill______________
4. 60
Sack m enders________________
3. 45
W eighmasters, large scales . —
4. 05
W eighmasters, small scales. ___
3.20
Unskilled labor________________
3.05
Flour milling, Saltillo:
M illers, second__________ .
4.50
W heat weighers___________
4. 00
Oilers........ . ....................
2.80
Packers_________________
2.14
Sweepers, w atchm en, and la­
borers____ _____ ____
2. 00
Engineers............... ..................
6. 40
Flour milling, Mexicali:
M illers_______________ _
8 22.00-23.00
Millers, assistan t____ ______
7. 50
Common laborers____ _____
5. 50
Flour milling, Piedras Negras:
M illers____ _______
5.00-10.00
M illers, assistant.............
3.00
Packers__________ _
2. 50- 3.75
Laborers_________ .
2.00
Furniture, M onterrey:
Planing mill:
L um ber jacks, planter feed­
ers’ and equalizers’ helpers,
and lathe sanders___
2.56
M olders’ helpers______
2.80
Sawyers, cut-off______
3.92
Planter feeders-..............
3.04
M olders, equalizers, a n d
shapers................
4.40
L athe operators___
4.00
B and saw yers____
3.60
Sanders.........................
2.96
C abinet room:
Assemblers__________
4.00
Sanders........................
2.80
Sweepers............. . _
2.56
Finishing room:
Sprayers............................
4.80
Sprayers’ helpers_________
2.80
Sanders............... ...........
2.56
Packing room: Packers_____
3.20
D elivery departm ent:
T ruck drivers_____________
4.40
T ru ck drivers’ helpers. ____
2.96
2 Per week.
8 Average earnings on piece-rate basis.


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

In d u stry , locality, and occupation

Wage per
day

Furniture, Monterrey—Continued.
Bed and spring department:
Pesos
Bending-machine operators. .
4.40
Bending-machine operators’
helpers................................
2.96
Boring-machine operators__
3.60
Assemblers, and punch-press
operators.............................
4.00
Spring-coiler operators..........
3.36
Chair department:
Boring-machine operators__
2.96
Planer-feeder operators and
automatic sander operators.
3.20
Planer-feeder and bandingmachine operators’ helpers,
and sanders______ _____
2. 56
Lathe operators__________
4.00
Band sawyers, assemblers,
and finishers.......................
3.60
Shaper operators...................
4. 40
Banding-machine operators..
2.80
Glass, Monterrey:
Modelers......................................
7.80- 9. 50
Welders___________ ___ ____
6. 00- 8. 40
Engravers........................ ............
4 .0 0 - 6.00
Furnace men...................... .........
4.00
Incandescent lamps, Monterrey:
Mechanics, electricians, and ma­
chine adjusters________ ___ _
9. 27-12.00
Female workers______ ______ _
4. 38- 5. 75
Iron and steel, Mexico City:
Pattern makers...........................
6. 00- 7. 20
Molders___________________
6. 30- 7. 60
Mechanics__________ _______
6. 30- 7.00
Common laborers____________
3.00
Istle fiber, Saltillo:
Engineers........ ............. .............
4.50
Engineers, assistant, and waste
packers....................................
2.50
Packers and bundlers_________
3.50
Cutters and bleachers.................
4.00
Assemblers and matchers______
3.00
Mechanics...................................
5.00
Watchmen........................ ...........
2.00
Istle fiber, Monterrey:
Per week
Cutters........... .......................... .
26.76
Combers.......................................
20.60
Hacklers............................... ......
23.06
Bunchers..................... .............
24.42
Packers.......................... ......... .
23.43
Boilermen...... .................... .........
33. 96
Rope twisters_______________
22.31
Rope untwisters_____________
19.90
Mechanics.................. .................
27.32
Watchmen............ .....................
21.12
Matches, Monterrey:
Per day
Match dippers.............................
5.25
Match dippers’ helpers, and
packers........... ......................... .
3.00
Waxmen.................. ....................
4.25
Waxmen’s helpers........ ...............
3.40
Match-box makers__________ _
4. 25
Match-box makers’ helpers.........
2.80
Match-box liners___ _________
3. 50
Paper, Mexico City:
Paper-machine operators______
6. 00- 10.00
Paper cutters and selectors..........
3 .0 0 - 6.00
Shoes, Monterrey:
Construction room:
Per week
Stitchers.......... ......................
20.00
Levelers, heel setters, and
cementers.................. ........
17.00
Cutting room:
Foremen................................
26.50
Leather cutters and tip and
tube cutters........................
20. 00
Tongue and lining cutters__ I
18.00

412

M o n th ly L a b o r R e view — F e b ru a ry 193 9

T a ble 4. — Wages P aid in Manufacturing Industries in Specified Localities in

Mexico— C o n tin u ed
In d u stry , locality, and occupation

Wage per
week

Shoes, M onterrey—C ontinued.
Stitching room:
U pper stitchers____________
T u b e stitchers, lining stitchers, and eyelet-machine
Sole-leather departm ent:
C utters, sole-leather and inSole skivers------ --------- -------Lasting room:
F o rem e n .,---------- --------------Stitch-down machine operaC em ent lasters and tip lasters.
Finishing departm ent:
Heel skivers, edge-setting machine operators, and ironInking and finishing boys---Soap, Torreon:
Soap, M onterrey:
Sugar, Veracruz:
Centrifugal operators___________
Sugar, G uadalajara:

Textiles, V eracru z:«
Preparation departm ent:
Blowing-room
operatives,
strippers, and grinders,
and drawing-frame, slubbing-frame, interm ediateframe, and roving-frame
te n d e rs ...................................

Pesos
26.50
17.00
16.00
26,50
20 00
17.00
15.00
26. 50
24.00
16.00
18. 00
17.00
20.00

18. 00
16.00
Per day
3.00
11.00

In d u stry , locality, and occupation

Textiles, V eracruz—C ontinued.
Preparation departm ent—Con.
Ring spinners______________
B obbin winders and reelers,
m ale______________ ______
Bobbin winders and reelers,
female......................................
D oubler tenders, mechanics,
and carpenters.......................
B earners.'.------- ----------------W eavers, 4 looms......................
Finishing departm ent:
Cloth-warehousemen,
tu r­
bine operators, and boiler
te n d e rs...................................
Textiles, cotton, Saltillo: *
C otton dressers____ ___________
C arders----------------------------------Carders, assistant.......... ... ..............
Roving-machine w orkers_______
Spinners______________________
B obbin removers______________
Bleachers___________ ________
Finishers.............................................
D yers------------------------------------W arpers.................. ......................... .

20.00
5.60
4.72
4.31-4.82
4.05-4.73
3 64-4.25
2. 70-3.15
1.95-2. 27

Dressers.........— ..............................
W eavers_____________ _________
Textiles, woolen, San Luis P o to s í:5
Carders, combers, knotters, and
m achine operators........... ............
Yarn-m achine operators________
Unskilled labor______________ _

W age per
week

Pesos
21.25
16.92
19.75
26. 75
42. 25
52.25
26.50

22.25
15.25
22. 30
24.60
19.90
22. 30-31. 60
22.15-24.00
16. 50
21. 30
21. 35
33.00
24. 00
26.80
36. 70
42.00
45.00
20.00
Per dap
2. 60- 3. 50
5.00-12. 00
2. 60- 7. 00
2.60- 5. 00
2.40- 2.50

Per week
22.00

8 Average earnings on piece-rate basis.
«Average wages.

In the aluminum industry in Saltillo the day shift works 43 hours
and 20 minutes and the mixed and night shifts 42 hours each, weekly,
but all workers are paid for seven 8-hour days a week.
Work in breweries in Veracruz is done in three shifts of 8 hours
each; workers on the mixed shift are paid 1 hour’s overtime and those
on the night shift receive 2 hours’ overtime. Medical attention and
medicines are furnished free to the workers and their families.
In the cordage mills in the city of Merida, workers incapacitated for
a temporary period are paid regular wages, and if fully incapacited
are indemnified in accordance with the provisions of the Federal Labor
Code. All of the mills provide medical attention and free medicines;
the larger mills have their own physicians.


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

W ages a n d H o u rs o f L a b o r

413

Workers employed in cotton ginning in Mexicali are paid for 4
obligatory holidays and for 7 days’ vacation each year.
Cottonseed-oil mills in Torreón usually work three shifts of 8 hours
each, with double pay for one-half hour of the mixed shift and for the
last hour of the night shift. As the work does not continue through­
out the year, workers are paid a bonus ranging in amount from 2
weeks’ to 1 month’s wages. Some of the mills give free housing, light,
and water to permanent workers. Medical attention is provided for
nonoccupational as well as occupational sickness. Wages are not
paid for absence because of nonoccupational sickness.
In the explosives factory in Torreón, the company furnishes free
housing, water, and light, and the income tax on salary.
Workers employed by an iron and steel manufacturer in Mexico
City are paid for 5 holidays and 2 weeks’ vacation each year. The
family of a deceased worker receives 1,000 pesos and in addition 100
pesos for funeral expenses. One peso per month is deducted from a
worker’s wages for union dues, and 10 percent of his wages is placed
in a bank as an individual savings fund, to which the company adds
1 percent of his wages.
Supplementary payments to workers by an important shoe manu­
facturing concern in Mexico City include holidays and vacations on
full pay, payments for death from natural causes, a recreation club,
medical attention and medicines, and payment of wages during sick­
ness, both occupational and nonoccupational. In Guadalajara
workers in shoe factories receive free medical attention and medicines
for occupational diseases and accidents. Union dues are deducted
from wages.
In the woolen-textile industry in San Luis Potosí medical attention
and medicines are furnished for both occupational and nonoccupational
sickness, and the worker’s wages are paid while he is disabled or sick.
Union dues are deducted from the wages, and amount to 40 to 60
centavos per month per man.
TRAN SPORTATION

The Mexican Railway Co., Ltd., pays the following daily wages
for certain track-department workers: Track foremen, 15.48 and 16.26
pesos; section bosses, 3.22 to 4.19 pesos; drillers, 2.36 and 2.84 pesos;
wheelbarrow men, 2.94 to 3.20 pesos; various guards, water carriers,
and track repairers, 2.20 to 3.19 pesos; sand bosses, 2.36 pesos; sand­
men, 2.20 pesos; crane engineers, 8.70 and 10.65 pesos; blasters, 2.20
to 2.91 pesos; and transportation hands, 3.64 pesos. Monthly salaries
paid by this company are: Engineers, 566 pesos for local trains to 1,150
pesos for passenger trains' (firemen receive 50 percent of the salaries
paid to engineers); and for conductors, 602 pesos for local trains to
121435— 39-------11


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

414

M o n th ly L a b o r R e view — F e b ru a ry 193 9

748 pesos for passenger trains, but Pullman conductors are paid
450 pesos (brakemen receive 50 percent of conductors’ salaries).
Monthly salaries of yard engineers are 205 pesos; general and yard
foremen, 475 and 325 pesos respectively; and dispatchers, 515 and 635
pesos. Various classes of telegraphers are paid 205 to 469 pesos per
month, and of agents, 180 to 525 pesos; agents also receive a commis­
sion on express which sometimes amounts to 1,000 pesos. The hourly
wages of railway shop workers for this company are as follows:
Pesos per hour

Mechanics.-.
Boilermen__
Electricians _
Foundrymen
Molders____
Carpenters __
Painters__ _
Tinsmiths__
Upholsterers.
Masons____

1. 03-1.
1. 03-1.
1. 03-1.
. 93-1.
. 93-1.
. 83- .
. 83- .
. 83- .

13
13
13
00
00
88
88
88

. 88
. 54

Hours worked are in accordance with the Federal Labor Code.
Double time is paid for overtime, except for trainmen who receive time
and a quarter. Company houses, where available, are provided free
of charge.
On the Southern Pacific Railway of Mexico, engineers and conduc­
tors are paid 11 pesos per day for 160 kilometers, and are guaranteed
286 pesos per month; firemen and brakemen, 7.30 pesos per day for
160 kilometers, with a monthly guaranty of 165 pesos. Mechanics
receive 8.40 and section hands 2.25 pesos per day. The daily wage is
calculated on an 8-hour day or mileage basis or both, and double time
is paid for overtime. Trainmen receive extra pay for extra mileage
and overtime for delays. Union and hospital dues are deducted from
wages.
Wages for certain workers on the Coahuila & Zacatecas Railway are
as follows:
Pesos per
month

Hand-car operators________________________________
Section bosses_____________________________________
Builders pumpers_________________________________
Telegraph linemen_____ ________________ _______ ___
Roundhouse hostlers__________
Station masters___________________________________
Yardmasters______________________________________
Telegraphers__________________
Telegraph messengers______________________________

54. 00
64. 00
63. 00
87.50
151. 65
244. 98
136. 49
151. 65
58. 33
Pesos per day

Boilermakers_____________________________________
Laborers_________________________________________


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

3. 80-10. 90
2. 30

415

W ages a n d H o u rs o f L a b o r

Day shifts work 45 hours per week (5 hours on Saturday), mixed
and night shifts, 7% and 7 hours per day respectively, but all are paid
for a 48-hour week. Overtime on regular work days is paid for at
regular rate, but on holidays double time is paid for overtime, both
computations being based on 195 hours (26 days X 7% hours) per
month. Free housing is provided for the superintendent, master
mechanic, supervisor, section bosses, and line laborers. Employees
55 years of age are pensioned after 35 years’ service on full salary;
after 30 but less than 35 years’ service, on three-fourths salary; and
after 20 but less than 30 years’ service, on half salary.
Deduction of 1.2 percent of wages is paid to the railway employees’
union. Deductions paid to the life insurance fund are: On salaries
of 100 pesos, 70 centavos; of from 100 to 200 pesos, 1.40 pesos; of
from 200 to 300 pesos, 2.10 pesos; and of 300 pesos and up, 2.80 pesos.
From Guadalajara the following daily wages are reported for
street railways:
Pesos per day

Inspectors__ ______________________________________
4. 16
Motormen_________________________________________
4. 00
Trolleymen_____________
2. 56
Conductors________________________________________
3. 48
Track workers_____________________________________
Foremen__________________________________________
3. 96
Helpers___________________________________________
3. 64
Unskilled laborers___________
2. 64
Foremen or superintendents_____________________
5. 08
Mechanics_________________________________________ 2. 64-3. 15
Electricians________________________________________ 2. 64—3. 96

Each worker contributes 5 centavos per day toward the expenses
of sick fellow-workers, and in case of the death of a fellow-worker he
contributes a day’s wages toward the expenses and pension of the
deceased worker’s family. Free medical attention, nursing, and
medicines are furnished the workers.
The street-car system of Veracruz is a cooperative organization,
hence the wage system is not in effect. Hourly earnings for certain
workers are as follows:
Pesos per hour

Traffic managers_______________________________
Dispatchers___________________________________
Inspectors_____________________________________
Motormen_____________________________________
Conductors____________________________________
Switchmen____________________________________
Linemen, air__________
Assistant linemen____________________________ _
Chauffeurs____________________________________


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

0. 81
. 81
. 73
. 73
. 64
. 55
. 73
.6 0
. 65

416

M o n th ly L a b o r R e view — F e b ru a ry 1 939
BUILDING CONSTRUCTION

Daily wages in building construction reported from Guadalajara
are: Bricklayers, 2 to 2.75 pesos; plumbers and electricians, 4.50 to
6 pesos; carpenters, 3 to 8 pesos; painters, 2 to 4 pesos; and unskilled
laborers, 1.70 pesos. The Piedras Negras consulate reports that
carpenters, brickmasons, and painters are paid 4 pesos and plumbers
5 pesos per day. A report from the Monterrey consulate states that
masons and all other skilled laborers except carpenters are paid 3.50
to 6 pesos per day; carpenters, 3.50 to 5 pesos; and common
laborers, 2.50 pesos. Wages in building construction reported from
Saltillo are as follows: Foremen and electricians, 4 pesos per day;
pipe layers, painters, carpenters, and masons, 3 pesos; timekeepers,
2.50 pesos; and common labor, 2 pesos.
The following wages are paid in the city of Veracruz in building
construction:
Pesos per day

Masons__________ _________________________________
Mason’s apprentices________________________________
Laborers__________________________________________
Painters___________________________________________ 3.
Painter’s apprentices_________________________________2.
Carpenters________________________________________ 5.
Carpenter’s apprentices___________
2.
Electricians____________________________________
2.
Electrician’s apprentices_____________________
2.
Watchmen________________________ _______________
Plumbers________ ________________________________
Plumber’s apprentices______________________________

6.00
3. 00
2. 85
50-4.50
00-2.50
00-8.00
50-3.25
50-7.50
00-2.50
2. 50
4. 50
2. 50

The report from Saltillo states that its rates are for 8-hour days,
7 days per week, that night shifts receive 50 percent increase over
day shifts, and that double time is paid for overtime. Union and
hospital dues are deducted from wages at Guadalajara. The con­
tractors or employers pay insurance fees and furnish medical attention
and medicines. Employers at Veracruz who hire’ labor for an
extended period are required to pay for 2 weeks’ vacation annually
for the workers.
PRINTING AND PUBLISHING

In Saltillo bookbinders and line rulers are paid 35 pesos per week;
typesetters and pressmen, 23 and 21 pesos per week respectively; and
linotypists, 5 pesos per day.
From Monterrey the following daily wages are reported:
Pesos per day

Bookbinders____________________
7. 00
Linotypists________________________________________
6. 00
Compositors, stone engravers, and cutters____________
5. 00
Line rulers_________________________________________
4. 00
Pressmen__________________________________________ 3. 50-7. 00

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

417

W ages a n d H o u rs o f L a b o r
Pesos per day

Unskilled laborers_____________________________ _______
Apprentices__________________________________________

2. 50
2. 00

In Guadalajara compositors, printers, and binders are paid 3.60 to
4.20 pesos and apprentices 85 centavos per day. The report from
Guadalajara also states that medical attention and medicines are
furnished by the employers during illness, and that workers’ pay
continues during such illnesses.
SHIPPING AND STEVEDORING

Although the principal coastwise-shipping company of Veracruz
is a cooperative organization and the members, strictly speaking, do
not receive wages, nevertheless the payments operate almost like
the wage system. “Advance payments” made to certain employees
are as follows:
Pesos per day

Captains________________________________________ 15. 48-17. 14
Mates____________________________________________ 8.78-11. 44
Engineers_________________________________________ 8.79-15. 22
Radio operators__________________________________
7. 98
Pursers__________________________________________
6. 55
Boatswains________________________
6. 20
Steersmen and quartermasters_____________________
5. 72
Chief stewards___________________________________
6. 51
Carpenters, oilers, and first cooks__________________
6. 20
Seamen and second cooks_________________________
5. 27
Room stewards__________________________________
5. 21-5. 99
Scullions________________________________________
4. 91
Mess boys_______________________________________
2. 00

Members have 1 month’s paid vacation annually and medical
attention in case of accident or illness. An annual partition of
profits is made among members, but because of the unfavorable
economic situation no profits are anticipated at present, and salaries
have had to be readjusted downward recently.
Stevedores at Veracruz are reported to earn, under present rates,
11.80 and 12 pesos daily for 8 hours’ work during ordinary hours.
The stevedores’ union pays the cost of insurance.
Monthly salaries reported from Guaymas are as follows:
Pesos per month

Masters______
Mates________
Engineers_____
Radio operators
Pursers_______
Boatswains____
Oilers________
Quartermasters.
Firemen______
Sailors________

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

427. 00
148. 00-289. 87
185. 00-370. 00
148. 00
181. 00
130. 00
125. 00
120. 00
110. 00

84. 00

Labor Turn-Over

LABOR TURN-OYER IN MANUFACTURING,
NOVEMBER 1938
LOWER total separation and accession rates in November than in the
preceding month were indicated by the Bureau of Labor Statistics’
monthly survey of labor turn-over in manufacturing industries.
Total separations declined from 3.30 per 100 employees in October
to 3.14 in November, which was, with one exception, the lowest total
separation rate since April 1937. The accession rate decreased from
5.19 to 4.24 during the same period. Compared with November
1937, the lay-offs and total separations were less than half as high
and the accession rate was more than twice as high. Compared with
October 1938, slightly lower quit and discharge rates were shown, but
a small increase was indicated in the number of lay-offs.
Of the 24 industries for which separate rates are published, 12 had
lower total separation rates than in October 1938 and 23 had lower
total separation rates than in November 1937. The November 1938
accession rate was above that for the preceding month in 6 industries.
Compared with November 1937, there were 18 industries showing
higher accession rates.
A ll Manufacturing
The Bureau of Labor Statistics’ survey of labor turn-over covers
more than 5,000 representative manufacturing establishments, which
in November employed nearly 2,300,000 workers. The rates repre­
sent the number of changes in personnel per 100 employees on the
pay rolls during the month.
The rates shown in table 1 are compiled from reports received from
representative plants in 144 industries. In the 24 industries for which
separate rates are shown (see table 2) reports were received from repre­
sentative plants employing approximately 25 percent of the workers
in each industry.
Table 1 shows the total separation rate, classified into quit, dis­
charge, and lay-off rates, and the accession rate for each month of
1937 and for the first 11 months in 1938 for manufacturing as a whole.
The averages of the monthly rates for 1937 are also presented.
418

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

PER IOO ON THE PAY

ROLL
RATE

12

10

L a b o r T u rn -O ver


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

LABOR TURN-OVER RATES IN MANUFACTURING

420

Monthly Labor Review—February 1939

T a b l e 1 . — Monthly

Labor Turn-Over Rates in Representative Factories in 144 Industries 1

Class of turn-over Jan u ­ F eb ­ M arch April M ay June J u ly
ary ruary
and year

Separations:
Quits:
1938______
1937______
Discharges:
1938______
1937______
Lay-offs:2
1938______
1937______
Total:
1938______
1937______
Accessions:
1938______
1937______

Au­
gust

Sep­
N o­ D e­ Aver­
­ cem­ age
tem ­ Octo­
ber vem
ber
ber
ber

0. 52
1.27

0.49
1.19

0. 61
1.43

0. 59
1.38

0. 62
1.37

0. 61
1.89

0.59
1.25

0. 65
1.23

0.82
1.59

0. 78
1.05

0. 60
.72

.60

1.25

.11
.21

.11
.22

.11
.24

.10
.23

.13
.21

.11
.19

.09
.21

.10
.19

.12
.19

.12
.19

.10
.16

.14

.20

5. 45
1.90

3.79
1.44

3. 74
1.53

3.85
1.48

3.82
1.79

3. 69
1.94

3.13
2. 06

2.33
2. 57

2. 62
2.84

2. 40
4. 45

2.44
5.99

7. 77

2.98

6.08
3.38

4. 39
2.85

4.46
3.20

4. 54
3. 09

4. 57
3.37

4.41
4.02

3.81
3.52

3.08
3.99

3. 56
4. 62

3.30
5. 69

3.14
6.87

8. 51

4.43

3.78
4. 60

3.13
4.71

3.13
4.74

2. 58
4.04

2.84
3. 56

3.44
3.69

4.81
3. 36

5. 29
3.36

4.51
3.78

5.19
2.84

4.24
1.79

2. i2

3. 55

1 T h e various turn-over rates represent th e num ber of quits, discharges, lay-offs, total separations, and
accessions per 100 employees.
1 Including tem porary, in determ inate, and perm anent lay-offs.

Detailed turn-over rates for 24 selected manufacturing industries
are listed in table 2 which gives the number of quits, discharges, and
lay-offs, total separations, and total accessions per 100 employees in
reporting firms in November and October 1938 and November 1937.
T a b l e 2 . —Monthly

Turn-Over Rates (Per 100 Employees) in Specified Industries

Class of rates

Nov.
1938

Oct.
1938

Nov.
1937

Automobiles and bodies
Q u it........ ........................... .......
Discharge______ ____ _____
Lay-off_____ _____________
T otal separation__________
A ccession.________________

0.49
.08
1.89
2. 46
8.29

0.34
.04
1.41
1.79
21.62

0. 63
.14
11.09
11.86
2. 96

Nov.
1938

0.53
.10
4. 65
5.28
4.92

0.73
. 13
2.31
3.17
4.88

0. 62
. 14
10. 22
10.98
3.62

C otton m anufacturing

Q u it....................................... .
D ischarge________________
Lay-off____ ____________
T otal s e p a ra tio n ................
Accession____________ _
_


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

1.01
.21
1.38
2. 60
4.08

1.15
.17
2. 07
3.39
5.05

0.81
.15
5. 62
6.58
1.64

N ov.
1937

A utomobile parts
0. 57
.11
2.35
3. 03
9.97

B rick, tile, and terra
cotta
Q u it........ .................. ................
Discharge.................................
Lay-off____ _____________
T otal separation__________
Accession____________ ____

Oct.
1938

0. 64
. 14
1.94
2. 72
15.14

0.70
.18
13. 71
14.59
2.13

C em ent

0.64
.04
6.46
7.14
.66

0.40
.03
3.29
3.72
4. 05

0.48
.07
.95
1.50
5.38

Oct.
1938

N ov.
1937

Boots and shoes
0. 59
.10
4.79
5.48
2.23

0.
. 10
4.17
5.12
1. 57

0. 62
85
.10
8. 36
9.08
2. 75

Cigars and cigarettes

0.86
.33
6.14
7.33
1.17

Electrical m achinery

0.47
.07
.98
1.52
3.45

N ov.
1938

0. 55
.22
5.33
6.10
.83

0. 89
.10
4.08
5.07
2. 29

1.16
.19
1.37
2. 72
2.69

1.36
.12
.88
2. 36
1.45

Foundries and machine
shops
1.87
.05
1. 67
3. 59
4.12

0.39
.06
2.45
2.90
3.33

0.51
.18
5.93
6. 62
1.07

421

L a b o r T u rn -O ver
T a b l e 2 .—

Monthly Turn-Over Rates (Per 100 Employees) in Specified Industries—

Continued
Class of rates

N ov.
1938

Oct.
1938

Nov.
1937

N ov.
1938

F urniture
Q u it....................
D ischarge...........
Lay-off................
T otal separation.
A ccession.......... .

0. 65
.19
3. 56
4.40
4.87

4.09
. 13
2.78
7.00
3.29

0. 67
. 10
1.38
2.15
2. 27

0.74
. 11
1.11
1.96
3. 37

N ov.
1937

Nov.
1938

H ardw are
0. 71
. 19
11.16
12.06
3.09

K n it goods
Q uit.....................
Discharge...........
Lay-off..........
T otal separation.
Accession.............

Oct.
1938

0.48
.09
.65
1.22
3. 51

0. 43
. 11
1.07
1.61
4. 64

0.64
.05
6.47
7.16
3.92

0. 74
.27
5.64
6. 65
4.29

N ov.
1937

Iron and steel
0.50
.12
5. 85
6.47
.38

M en ’s clothing
1.00
. 10
3. 21
4.31
1.66

Oct.
1938

0.43
.03
.79
1.25
4.42

0. 41
.03
.85
1.29
2. 51

1.00
.04
6.68
7.72
1.05

Petroleum refining

0. 68
.06
10.03
10. 77
1.91

0.23
.01
1.97
2. 21
1.01

0. 30
.06
1.39
1.75
1.65

0.28
.06
2.70
3.04
1.95

P rinting and publishing
Radios and phonographs
Book and job
Q uit__________ _
D ischarge______
Lay-off.............. .
T otal separation.
Accession______

0. 35
.08
2. 61
3.04
4.45

0.53

.11

2.74
3.38
4. 70

N ewspapers
0. 57
.28
4.37
5. 22
4.70

R ayon
0. 56
.11
1.21
1.88
1.25

Q u it....................
D ischarge______
Lay-off-........ —
T otal separation.
Accession.............

0.78
. 15
2.37
3.30
1. 94

0.61
. 17
5. 93
6. 71
11.11

0. 76
. 14
4.92
5.82
8. 77

.01

.94
1.19
2.08

0. 27
.05

0. 38
. 10

.20

.88

2. 97
3.45
2. 51

1.72
3.21
11.23

1.20

2.70

1.29

R ubber tires
0. 57
.13
4. 42
5.12
1.44

Slaughtering and m eat
packing
Q u it.................—
D ischarge...........
Lay-off________
T otal separation
A ccession...........

0. 24

0.64
.20
7. 64
8. 48
7.74

0.45
.06
.56
1.07
3.23

0.41
.05
1.33
1. 79
3.47

0. 51
.13
2. 67
3.31
1.36

1.06
.17
19.37
20. 60
1.32

Sawmills
0.81
.06
7.41
8. 28
.66

Steam and hot-w ater
heating apparatus
0.42
.09
1.62
2.13
.98

2.28
.17
L 46
3.91
17.73

0. 79
.14
8. 77
9. 70
.62

0. 91
.18
5.34
6.43
3.95

1.59
.19
4.70
6.48
4. 68

1. 07
.25
13.00
14.32
2.88

Woolen and worsted
goods
0.84
.06
3.71
4.61
8.63

0. 65
.09
4.43
5.17
10.12

0.59
.07
13.07
13. 73
2. 60

LABOR TURN-OYER IN THE IRON AND STEEL
INDUSTRY, 1936 AND 1937 1
GREATER stability of employment in the iron and steel industry
than in all manufacturing was shown by reports on labor turn-over
received by the Bureau of Labor Statistics in 1936 and 1937. The
combined separation and accession rate in the 105 iron and steel
plants reporting to the Bureau for both years was 59.71 in 1936.
In 1937 the combined separation and accession rate was 71.03. The
1 Prepared in th e B u reau ’s D ivision of C onstruction and Public Em ploym ent. For previous articles on
labor turn-over in th e iron and steel in d u stry see M onthly Labor Review June 1934, p. 1393; and September
1936, p . 647.


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

Monthly Labor Review—February 1939

422

all-manufacturing rate 2 was 92.41 in 1936 and 95.53 in 1937. This
means that the maintenance and necessary curtailment and expan­
sion in the volume of production in iron and steel plants involved
total personnel changes equivalent to approximately one-half of the
average number of employees in 1936 and nearly three-fourths in
1937. In all manufacturing, however, the total changes were nearly
100 percent of the average number of workers on the pay rolls.
The annual quit rate in the iron and steel plants increased from
12.55 in 1936 to 14.82 per 100 employees in 1937. The discharge rate
declined from 1.13 to 0.99 in the same period. The number of lay­
offs was uearly three times as high in 1937 as in 1936. The total
separation rate increased from 21.51 in 1936 to 38.41 per 100 employees
in 1937. In 1936 workers were hired or rehired at the rate of 38.20
per 100; in 1937 the hiring rate was 32.62. The 105 plants included
in the study employed an average of 276,390 workers in 1936 and an
average of 318,348 in 1937.
Table 1 shows the labor turn-over rates in all manufacturing and in
iron and steel plants, 1936 and 1937.
T a b le 1.—Labor Turn-Over Rates in All Manufacturing and in the Manufacture of

Iron and Steel, 1936 and 1937 1
Separations
Accessions
Item

Q uits

All m anufacturing__________
Iron and steel...............................

Discharges

Lay-offs 2

Total

1937

1936

1937

1936

1937

1936

1937

1936

1937

1936

15.02
14.82

12.96
12.55

2. 37
.99

2.64
1.13

35. 67
22.60

24.73
7. 83

53.06
38.41

40.33
21.51

42.47
32. 62

52.08
38.20

• T h e rates for iron and steel are based on reports from 105 identical plants. T he annual quit, discharge,
lay-off, total separation, and accession rates are found by taking the total for each class of turn-over during
the 12 m onths as th e num erator. T h e denom inator is the average of 12 m onthly averages, each found by
taking th e reported num ber of employees a t the beginning and a t the end of the m onth and dividing b y 2.
T he resulting fraction is m ultiplied by 100 to secure th e rate on a basis of “ per 100 employees.”
2 Including tem porary, indeterm inate, and perm anent lay-offs.

,

Labor Turn-Over by Rate Group

Table 2 shows for each type of turn-over the number of plants and
the number of their employees according to the hiring and separation
rates in 1936 and 1937. The figures relate to 105 identical plants in
the 2 years.
The number of plants having a quit rate of less than 10 per 100
employees remained virtually the same in both years. Firms showing
a quit rate of 30 or more, however, increased from 8 plants with 15,280
workers on the pay roll in 1936 to 17 employing 31,981 workers in 1937.
1 Compiled from m o n th ly labor turn-over reports received from representative firms employing more than
1,600,000 workers in 144 industries.


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

Labor Turn-Over

423

No significant changes in the classification of discharges were shown
in the number of firms or employees. In 1936, 53.3 percent of the
total number of plants, employing 58.8 percent of the total number of
workers, reported a discharge rate of less than 1 per 100 workers.
In 1937, 54.3 percent of the total number of firms, with 62.6 percent
of the employees, were in the same group.
A substantial decrease was shown in 1937, compared with 1936 in
the number of plants with lay-off and total separation rates of less
than 20 per 100. However, in the groups reporting lay-offs of 20 to 40,
there was a marked increase in firms and employees in 1937 compared
with 1936. The increase in the number of firms having lay-off rates
of 90 or more was insignificant.
The number of firms registering an accession rate of less than 20 per
100 workers increased from 10, in 1936 to 27, in 1937. In the rate
groups of 70 or more, the distribution of plants did not vary greatly
between the 2 years.
T a b l e 2. —Distribution of 105 Establishments Manufacturing Iron and Steel, by Turn 4

Over Rates, 1936 and 1937 1

Class and rate of turn-over

N u m b er of es­
tablishm ents
1937

1936

N um ber of employees

1937

1936

Percent of total em­
ployees
1937

1936

T o tal___________ __________________

105

105

318, 348

276,390

100.00

100. 00

Quits:
U nder 2.5______________________
2.5 and u nder 5.0_______________
5.0 and under 7.5___________ ____
7.5 and u nder 10.0______________
10.0 and under 15.0_______ _____
15.0 and un d er 20.0___
.. .. 20.0 and u n d er 25.0______________
25.0 and un d er 30.0_____________
30.0 and un d er 35.0... ............. .......
35.0 and over___________________

5
12
11
22
21
6
6
5
5
12

2
13
14
18
24
9
10
7
3
5

1,564
14,844
35, 745
120,171
75, 371
14,978
20,968
2,726
14,170
17,811

2,084
19, 987
21, 262
89,140
78, 553
15, 875
28,132
6,077
12, 470
2,810

.49
4. 66
11.23
37. 75
23.68
4.70
6. 59
.86
4. 45
5. 59

.75
7. 23
7. 69
32. 25
28.43
5. 74
10.18
2.20
4. 51
1.02

Discharges:
U nder 0.2_________ ____ ____ ___
0.2 and under 0.4_______________
0.4 and u nder 0.5_______________
0.5 and u n d e r 0.8______ ____ ____
0.8 and under 1.0_______________
1.0 and under 1.5___ ___________
1.5 and under 2.0___________ ____
2.0 and under 3.0_______________
3.0 and under 5.0_______________
5.0 a nd over____________________

19
7
1
25
5
14
12
10
8
4

21
6
5
18
6
10
5
17
13
4

34, 550
19, 522
719
138,969
5, 616
64, 301
19,959
13,724
18, 624
2,364

53,172
7, 994
11, 566
82,695
7,138
41, 237
31,915
25, 092
12, 540
3,041

10.85
6.13
.23
43. 65
1.76
20. 21
6.27
4.31
5.85
.74

19.24
2.89
4.18
29.92
2.58
14.92
11.55
9.08
4.54
1.10

Lay-offs:
4. 70
11
45
14,964
127,179
46.01
U nder 5_______________________
14. 22
5 and un d er 10_____ _ __________
16
25
45,279
95,376
34. 51
32,528
34.69
29
19
110,432
10 and u n d er 20_________ _______
11.77
36. 68
20 and u n d er 30________________
24
7
116, 719
15, 245
5. 52
3
2,578
30 and u n d e r 40_______ _______
11
18, 561
5.83
.93
914
5
3
3, 707
1.16
.33
40 and u n d er 6 0 _____ _______
715
2
1,161
5
.36
.26
60 and u n d er 90________________
0
0
1,855
0
1
90 and u n d e r 120________________
.67
.08
269
0
1
0
120 and u n d er 150_______________
0
2.28
0
7,256
3
150 and over------ ------------- --------i T he various turn-over rates rep resen t the num ber of quits, discharges, lay-offs, total separations, and
accessions p e r 100 employees.


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

0
0

Monthly Labor Review—February 1939

424

T a ble 2.—Distribution of 105 Establishments Manufacturing Iron and Steel, by Turn-

Over Rates, 1936 and 1937— C on tin u ed
N u m b er of es­
tablishm ents

N u m b er of employees

Percent of total em­
ployees

Class and ra te of turn-over
1937

1936

1937

1936

1937

1936

T otal separations:

Accessions:

40 and un d er 50_______ . . . _____

3
17
24
18
20
11
3
5
1
3

15
33
23
15
9
8
2
0
0
0

1,665
30, 515
133,676
75,922
49,956
12,440
4,131
2,401
386
7,256

27,123
150,578
56,098
12,947
12,707
14, 942
1,995
0
0
0

. 52
9.59
41.99
23.85
15.69
3.91
1.30
.75
. 12
2.28

9.81
54.49
20.29
4.68
4. 60
5.41
.72
0
0
0

1
6
20
31
26
6
4
3
6
2

1
2
7
25
22
17
18
11
2
0

123
2,966
44,915
188,073
54,427
10, 510
1,535
5, 644
7,702
2,453

1,920
5,225
17,783
41, 240
71,867
66,992
64,115
5,088
2,160
0

.04
.93
14.11
59.08
17.10
3.30
.48
1.77
2. 42
.77

.69
1.89
6.43
14.92
26. 01
24.24
23. 20
1.84
.78
0

,

Turn-Over Rates B y Size of Plant

Table 3 shows comparative labor turn-over rates for plants with
less than 1,000 employees compared with those employing 1,000 or
more. All classes of separations and accessions were lower in both
years in firms having an average of 1,000 or more workers on the
pay roll.
Forty-eight plants had fewer than 1,000 employees per establish­
ment and 57 had 1,000 or more. The smaller plants had an average
of 21,008 persons on the pay roll in 1936 and 23,693 workers in 1937.
The firms with 1,000 or more employees on the pay roll had an average
of 255,382 workers in 1936 and 294,655 in 1937.
T a b l e 3.— Comparative Labor Turn-Over Rates in Iron and Steel Plants, by Size of

Establishment, 1936 and 1937
R ate per 100 employees in plants employing in—

Class of tu rn over

1937
Fewer th an
1,000 em­
ployees

1936

1,000 or Few er than
more em­
1,000 em­
ployees
ployees

1,000 or
more em­
ployees

Separations:
Q uits______ ____ - _______ _________ ______ _______
Discharges_____________________ __________ ____
Lay-offs_______________________________________

18.56
1.75
32.71

14.52
.93
21.79

15.82
2.80
12.64

12.28
1.00
7.43

Total ___ _____________________________ _____
Accessions ___________________ ____________ _____

53.02
38.49

37.24
32.15

31.26
47.09

20. 71
37.47


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

Em ploym ent Offices

O P E R A T IO N S O F U N I T E D S T A T E S E M P L O Y M E N T
S E R V IC E , D E C E M B E R 1938

CONTINUED declines in the number of persons seeking employment
through offices of the United States Employment Service occurred
during December, but the number of placements exceeded those of
December 1937. For the fourth consecutive month the number of
registrants in the active file declined and the number of persons cur­
rently registering for work during the month showed a drop from
November. Placements declined moderately from November but
were 28.9 percent above December 1937.
At the close of December, 7,215,691 persons were actively seeking
jobs through the public employment service, a decline of 4.2 percent
from the November total and of 11.1 percent from the active file at
the end of August which was then at the highest level since early
1936. Men represented 5,688,578 applicants in December and
women, 1,527,113.
During December employment offices received 1,051,047 applica­
tions for work, 800,922 being from men. The majority of these ap­
plicants were persons who were renewing their applications. The vol­
ume of new applications continued the decline which has been reported
since the close of last January when the inauguration of unemploy­
ment-compensation benefit payments in 21 States and the District of
Columbia threw a heavy burden on the employment offices. Com­
pared to the 942,374 new applications received in January 1938 the
December total was only 477,030.
December placements numbered 230,268, a decline of 10.3 percent
from the November daily rate. Private jobs accounted for 160,982 of
the placements, 75,573 of these being of men and 85,409 of women.
The influence of the seasonal nature of the fluctuations is shown in the
24.8 percent drop in private placements of men during December com­
pared to an increase of 4.6 percent in private placements of women.
Public placements numbered 69,286, off 6.9 percent from November
and up 40.9 percent from December 1937.
During December the 1,647 offices and 2,066 itinerant points of the
United States Employment Service received 8,922,579 personal visits.
During the same period the employment-office personnel made 136,279
425

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

Monthly Labor Review—February 1939

426

field visits to employers in connection with the program for expanding
job opportunities. The offices also participated in filling 26,872 jobs
through supplemental placement activity. These placements are not
included in the general totals of complete placements because of the
more limited extent of the employment offices’ participation in effectu­
ating the placements.
T a b le 1.—Summary of Operations of United States Employment Service, December 1938
Percent of change from—
A ctivity

T o tal applications.................................... ...............................
New a p p lic a tio n s ------ . ----------------------- ------------Renew als---------- ------------------ --------------------- ----T otal placem ents____________ _________ ____ ________
P r iv a t e .._______ _______________ - .............- ............
P u b lic.......................................... - .............- ........................
Active file (end of m o n th )................................ .....................

N um ber

1,051,047
477,030
574,017
230, 268
160,982
69, 286
7,215,691

Novem ber
1938'

December
1937

-5 .5
-7 .2
- 3 .9
-1 0 .3
-1 1 .6
- 6 .9
-4 .2

+17.1
+ 5 .5
+29.0
+28.9
+24.3
+40.9
+48.0

December
1936
+47.3
+55.3
+41.3
-2 4 .1
- 6 .4
-4 7 .2
+14.3

1 A djusted for num ber of working days in m onths.

Activities of the Employment Service for veterans during December
showed similar trends, although the decline in placements from the
preceding month was smaller than for nonveterans. Total place­
ments of veterans in December numbered 11,331, off only 4.6 percent
from November. Private jobs accounted for 5,197 placements, while
placements in public employment numbered 6,134. New applications
were received from 13,725 veterans and renewals from 28,117. At
the close of December 361,335 veterans were actively seeking work
through offices of the Employment Service.
T a b l e 2. — Summary of Veterans' Activities, December 1938
P ercent of change from—
A ctivity

T otal applications.....................................................................
New applications...............................................................
R enew als................................- ..........................................
T otal placem ents....... ...............................................................
P riv ate...................................... - ........................................
P u b lic................................................ - ................ ..............
Active file (end of m o n th )......................................................
' Adjusted for num ber of working days in months.


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

N um ber

41,842
13, 725
28,117
11,331
5,197
6,134
361,335

N ovem ber
19381

December
1937

- 3 .1
- 3 .4
- 2 .9
- 4 .6
-1 9 .4
+13.0
- 5 .0

- 8 .0
-2 0 .6
-.2
+15.4
+ 8 .2
+22.4
+34.7

December
1936
- 7 .0
+ 8 .5
-1 3 .1
-4 0 .0
-3 0 .0
-4 6 .5
+ 4 .9

Employment Offices

427

T a b le 3. —Operations of United States Employment Service, December 1938
TOTAL
Applications

Placem ents
P rivate
Division and
State

Percent
of
T otal N u m ­ change
Regular P u b ­
(over 1 lic
ber
from m
onth)
N ov­
em ber 1

Field
visits
Total

New

Active
file,
Dec.
31,1938

P er­
sonal
visits

Supplem ental
place­
m ent

U nited S tates___ 230, 268 160,982

-1 2

New E nglan d ___ 11,618
M aine____ . . .
1,658
New H am pshire 1,855
918
V erm ont______
M assachusetts . 2,934
R hode Is la n d ... 1,079
C onnecticut___ 3,174

8, 604
895
1,542
610
2,031
863
2,663

-1 1
+6
-1 1
-3
-2 0
+13
-1 8

5,035 3,014
673
763
1,124
313
313
308
1,187
903
486
216
1, 252
511

63, 200 28, 760 607, 053 757,092
8, 760 2,756 51, 298 87, 274
6,468 1,726 35,052 41, 939
3, 261 1,216 16, 657 17, 512
24, 035 14, 732 324, 368 403,489
5, 738 3,115 69,135 79, 360
14, 938 5,215 110,543 127, 518

774
124
95
10
437
42
66

M id. A tlan tic___ 26, 696 21,611
N ew Y ork____ 15,856 12,930
N ew Jersey____ 2,873 2,723
P e n n s y lv a n ia .. 7,967 5,958

-3
+3
-3 4
+6

8, 400 5,085 15, 990 240,159 107, 969 1,842,013 2,528,463
4,359 2,926 9,064 151,217 66,919 580, 075 1,724,079
955
150 1, 502 16, 736 6,368 234,126 57, 627
3,086 2,009 5,424 72, 206 34, 682 1,027,812 746, 757

1, 328
173
31
1,124

E . N . C en tral___ 39, 215 31,400
Ohio__________ 7, 603 5,658
In d ia n a _______ 5,977 5, 571
Illinois................ 11,719 11,053
M ichigan_____
8,602 5,674
W isconsin_____ 5,314 3,444

-7
-8
-3
-4
-1 0
-1 3

14,015
2,103
2,736
3,898
3,697
1,581

W . N . C entral__ 22, 050 13, 614
4, 550 3,185
M innesota____
Iow a_________
6, 427 3,899
M issouri . . . _ 3,443 2,429
N orth D a k o ta.. 1,911 1,655
South D a k o ta .. 1,095
676
N ebraska........... 1,852
807
K ansas_______
2,772
963

-1 7
-1 9
-1 3
+4
-2 2
-3 6
-2 3
-2 7

5, 223
1, 539
1,348
1,035
378
224
335
364

S. A tlantic______ 33,607 17, 545
Delaw are_____
1,001
780
M ary lan d _____ 3,286 2,036
3, 237 2,603
D ist. of Col___
V irginia______
5,283 2, n o
W est V irg in ia.. 3,373 2,673
N orth Carolina. 8,289 4,276
South C arolina. 2,559
877
5,128 2,190
Georgia_______
1, 451
0

-1
-1 0
+0
+1
+5
-1
-4
-0
-1

8, 405
429
865
928
1, 229
1,469
2,045
526
914
0

E. S. C entral____ 14,885
K entuck y _____ 1,700
Tennessee_____ 4, 623
A labam a______ 4,833
M ississippi____ 3, 729

8,341
806
2,952
3, 261
1, 322

-4
-1 0
+28
-2 8
+39

4,837
316
1,610
2,231
680

W. S. C e n tr a l.... 45, 778 35, 253
A rkansas______ 2,178 1,002
Louisiana ___ 3,860 2,576
O klahom a.......... 2,853 1,880
T e x a s ................ 36,887 29, 795

-3
-2 3
-1 0
-1 7
-1

8, 597
535
1,682
439
5,941

M ou n tain ______ 12, 577
M ontan a______ 1,392
Id a h o . .............
1,452
W yom in g .........
799
1,729
C o lo rad o ..........
New Mexico__
2,087
A rizona_______ 3,085
U ta h _________
1,205
N evada_______
828

8,408
596
974
346
1,115
1,578
2,512
801
486

-5 3
-1 8
-4 9
-1 2
-3 5
-8 3
+29
-3 3
-2 0

3,604 4,169
259
796
368
478
121
453
614
465
770
509
1,272
573
404
133
342
216

Pacific.................... 23,529 16,030
948
W ashington___ 1,281
Oregon................ 2,711 1,346
California.......... 19, 537 13, 736

-1 7
-3 4
-4
-1 7

Alaska ............... .
H aw aii...... ............

83
230

69
107

-1 9
-1 2

64,541 69, 286 136, 279 1,051,047 477, 030 7,215,691 8,922,579 26,872
7,912
1,362
874
322
2,143
434
2,777

7,815 23,913 181, 590 82, 216 1,525,883 1,349,844
1, 945 3,938 39, 339 18,120 448,436 200, 633
406 4,401 32, 021 16,979 221,127 327, 632
666 6, 431 29,372 11,840 305, 259 148,393
2,928 6.268 49,601 26, 202 413, 552 490,049
1,870 2,875 31, 257 9,075 137, 509 183,137

2,443
369
815
603
96
560

8, 436 19, 520
1,365 8,617
2, 528 3, 275
1,014 2,611
256
716
419
455
1,045 2,374
1,809 1,472

1,691
331
742
42
77
100
62
337

16, 062 13,896 116, 787 55, 562 877,898
221
2,441
111
955 14,134
1,250 1,713 19, 255 7,178 70,959
634
8,063 3, 707 55,022
73
3,173 1,532 18,635 8,777 50, 372
700 2,194 14, 622 5,271 158,454
4,013 2,643 25,306 13,186 155,142
1,682 1,161
8,623 4,171 131,900
2,938 4,287 15,334 8,917 132,972
4,
508 3,400 108,943
1,451
182
6,544
894
1,671
1,572
2,407

6,019
245
2,071
2,584
1,119

914,450
9,294
131, 713
74,896
125,487
148,651
261, 458
94,162
47,830
20,959

2,360
15
158
87
95
557
410
141
128
769

54,993 28, 627 479,414 444,954
10, 649 6, 218 98, 034 30,047
11, 531 6,865 145,618 163,308
15,113 6,908 150,469 133,485
17,700 8,636 85, 293 118,114

3,104
380
646
1,748
330

10, 525 26, 710 119, 059 58,860 474,878
1,176 1,550 10,080 6, 005 73, 388
1,284 2,506 16, 587 8,315 120, 210
973 1,227 28, 257 15,306 58, 744
7,092 21,427 64,135 29,234 222, 536

941, 774
33,693
130,628
144,317
633,136

8,240
330
1,467
503
5,940

48,911 17,032 194, 695 279, 511
4, 213 1,071 33,180 27,879
7, 508 2,886 22, 608 75,461
3,022
837
9, 305 13,332
12, 018 3,940 46,851 46,390
5,460 2,118 37, 226 31,982
6,187 3,169 22, 654 39,532
8, 421 2,395 18,898 35,115
2,082
616
3,973
9,820

2,534
177
50
22
25
69
1, 553
588
50

6,375 7,499 14,985 127,891 54,423 540,754 1,063,292
333 1,976 12,348 5, 849 135,195 58, 720
358
889 1,365 1,655 14, 251 6,480 85,827 164, 643
5,128 5,801 11,354 101, 292 42,094 319,732 839,929

4,195
488
556
3,151

3,099
4,137

»0
203

16
34

14
123

7,173
1,459
1,508
330
956
1,182
578
514
646

45
116

1 A djusted for num ber of working days in m onth.


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

96,464 41,900 665,421 635,963
23,316 10, 057 203,882 245,917
20, 615 8,439 100, 962 206, 604
22,646 11,928 187, 691 78,864
4,039 1,346 28,483 18,442
2, 821 1,193 35, 663 13, 580
10,170 3, 214 42, 216 36,835
12,857 5,723 66, 524 35,721

481
1,512

367
1,314

1,626
6,056

1 Incomplete.

428

Monthly Labor Review—February 1939

T a ble 3. —Operations of United States Employment Service, December 1938— C o n tin u ed
M EN
Applications

Placem ents

New

P rivate
Division and State
T otal

Per­
cent of
Public
change
N u m ­ from Regular
(over 1
ber
N o­ m onth)
vem ­
ber 1

Total

Active
file,
Per­ Dec. 31,
cent of
1938
N um ­ change
from
ber
N o­
vem ­
ber 1

68,566 800,922 341,809

144,139

75, 573

-2 5

29,449

-3

5,688,578

6,967
1,200
1,357
560
1,741
483
1,626

3,988
437
1,053
252
847
282
1,117

-2 9
-2 0
-2 4
-3 4
-4 0
+3
-3 3

2,542
328
804
144
526
180
560

2,979
763
304
308
894
201
509

43,549
6,834
4, 767
2,509
15,825
3, 582
10,032

17,687
1,843
1,172
823
8,800
1,712
3,337

-9
-1 2
-1 3
+30
-1 7
+7
-7

428,108
40,865
25,682
13,438
225,439
45,458
77, 226

M iddle A tlan tic.................... 12,408
New Y o rk .., _______
7,360
N ew Jersey__________
923
4,125
Pennsylvania____ . . .

7,477
4,470
775
2,232

-2 0
-1 9
-3 4
-1 6

3,498
1,671
345
1,482

4,931 168,443
2,890 104,167
148 12,057
1,893 52,219

69,448
44,160
4,632
20,656

-8
-3
-2 6
-1 2

1,408, 682
400,480
183,449
824, 753

E ast N o rth C entral______ 20,721
Ohio________________
3,877
In d ian a______________ 2,336
Illinois______________
5,400
M ich ig a n ..__________
5,970
W isconsin____ _______ 3,138

12,991
1,944
1,951
4,746
3,049
1,301

-2 2
-2 6
-2 3
-1 4
-2 7
-2 8

5,975
660
996
1,554
2,176
589

7,730 139,063
1,933 31, 507
385 23,425
654 20, 557
2,921 39,828
1,837 23, 746

60,817
13,915
12, 265
7,931
19,986
6,720

+19
+4
-2
+6
-1 6

1, 260, 611
381, 593
177,350
250,444
338, 292
112,932

W est N o rth C en tral______
M innesota___________
Iow a______________ _
M issouri_____________
N o rth D ak o ta........ .......
South D ak o ta................
N ebraska........................
K ansas______ ________
South A tlantic___ _______
D elaw are_______ ____
M ary lan d _____ ______
D istrict of C o lu m b ia...
V irginia_____________
W est Virginia________
N o rth C arolina______
South C arolina_______
Georgia_____________
Florida_________ ____
E ast South C entral______
K e n tu ck y___________
Tennessee____ _______
A labam a___ ______
M ississippi__________
W est South C en tral____ _
A rkansas___________
Louisiana____________
O klahom a_________ .
Texas_______________
M o u n tain ____ __________
M o n tan a ____ ________
Idaho______ _______
W yom ing___ ______ _
Colorado____________
New Mexico_________
Arizona______ _____
U ta h ______________
N evada______________
Pacific_______________
W ashington...................
Oregon_____________
California_______ ____
Alaska........... ..................... ...
H aw aii_____________ ____

5,937
1,353
1, 773
1,037
711
259
376
428
7,629
223
895
865
908
1,018
1,920
528
1, 272
0
4, 387
271
1,392
1,891
833
20, 227
413
1,377
675
17, 762
4,913
370
440
170
502
1,009
1,900
263
259
7,912
460
954
6,498
52
60

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

1,966
589
543
392
167
63
94
118
3, 677
133
462
290
591
695
762
321
423
0
2,394
58
719
1,214
403
4,199
138
962
108
2,991
2,222
159
137
75
155
542
972
31
151
2,946
133
641
2,172
11
19

U nited S tates....................
New E n g lan d ____________
M ain e___________ . . .
New H am pshire_____
V erm ont_____________
M assachusetts_____ R hode Islan d________
C onnecticut_________

14,266
2,695
4,258
2,051
963
664
1,401
2,234
23, 558
442
2,144
1,491
4,045
1, 712
5,910
2,202
4,197
1,415
10,912
1,164
3,061
3,457
3,230
30, 719
1,582
2, 657
1,644
24, 836
9,031
1,145
911
620
1,113
1, 511
2,465
667
599
15, 319
782
2,314
12, 223
63
175

-1 4
-2 5
+27
-3 5
+14
-1 1
-4 5
-1 0
-3 0
-9
-5 8
-3 0
-6 9
-3 2
-4 9
-8 4
+40
-6 6
-3 2
-2 9
-4 5
-1 1
-3 0
-2 6
-2 7

1 A djusted for n um ber of working days in m onth.


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

8,329
1,342
2,485
1,014
252
405
1,025
1,806
15,929
219
1,249
626
3,137
694
3,990
1,674
2, 925
1,415
6,525
893
1,669
1, 566
2,397
10,492
1,169
1,209
969
7,074
4,118
775
471
450
611
502
565
404
340
7, 407
322
1,360
5,725
11
115

76,324
17,885
16,092
17,447
2,829
2,275
8,657
11,139
89, 712
1,893
14,505
5,226
14,934
12, 111
18,076
6,863
12,346
3, 758
45, 592
9,104
8,874
12, 304
15, 310
96,938
8,657
13,400
24,487
50, 394
41, 384
3, 760
6,576
2,571
10,059
4,602
5, 359
6,637
1,820
98,051
9, 802
11,877
76, 372
438
1,428

30, 795
7,211
5,767
8,859
853
882
2,454
4, 769
40,156
708
4,808
2,178
6,647
4,030
9,134
3,044
6,869
2,738
22, 521
5,214
5,032
5,317
6,958
47, 243
5,154
6,383
13,312
22,394
13,455
867
2,393
631
3,204
1, 699
2,641
1,517
503
38,129
4,104
5, 245
28, 780
326
1,232

+27
+26
+15
+47
-1 0
+1
+15
+34
-2 5
+39
+1
-1 1
-1 7
+6
-4 3
-5 6
-1 5
-5
-2 1
+30
-1 2
-2 0
-4 3
+17
+22
-8
+97
-1
-3 2
-7
-2 4
+7
+23
+33
+2
+31
+1
-4
-1 6
+5
-2 1
+228

542,868
165, 548
80,878
154,881
23, 379
28,422
34,937
54,823
681, 554
11,017
56, 567
36, 283
38,452
135,947
111, 662
105, 591
104,618
81,417
388, 573
78,152
116,233
121,091
73,097
386,672
63,346
96, 715
49,904
176, 707
164,447
28,152
20, 624
7, 752
37, 737
31,274
19, 300
16,150
3,458
420,355
117,808
69,978
232, 569
1,468
5.240

Employment Offices

429

T a ble 3. —Operations of United States Employment Service, December 1938— C on tin u ed
W OM EN
Placements

Applications

P rivate

New

Division and State
T otal
N um ­
ber

U nited S tates____________________
New E ng lan d _______ ____________
M aine_______________ ______
N ew H am pshire— . . . ______
V erm ont____________ ____ —
M assachusetts____ _________
R hode Islan d _________ _______
C onnecticut _________________
M iddle A tlantic_______ ________
N ew Y ork____ _ . _________
N ew Jersey_____ ___________
Pennsylvania___________ _____
E ast N orth C en tral______________
Ohio_______________________
In d ian a____ ____ _______ _____
Illin o is ..____ _____ ___________
M ichigan_______
_____ . . .
W isconsin________ ___________
W est N o rth C entral______ ______
M innesota___________________
Iow a__ __________ . . . . . ____
M issouri___________
. . . ..
N orth D akota________________
South D ak o ta______ . . . . ___
N ebraska____________________
K ansas........................... .............
South A tlan tic___________________
D e la w a re ______ . _________
M ary lan d _______ . . . . . . . .
D istrict of C olum bia_________
V irginia________ _____ ______
W est V irginia__________ _____
N orth C arolina_____ _____ . . .
South C arolina______ _______
Georgia_______ . . . . _______
Florida______________________
E ast South C en tral______________
K e n tu ck y _____________ ______
Tennessee___________________
A labam a____________________
M ississippi__________________
W est South C en tral______________
A rkansas_______ . . . _______
Louisiana_______ ___________
Oklahom a___________________
Texas_______________________
M o u n tain ___________ ____ ______
M o n tan a____________________
Id a h o _____________ _______ _
W yom ing_____________
___
Colorado______________ ____
N ew Mexico__________ ______
Arizona____________ _______
U ta h ________ _____ __________
N evada___ __________________
Pacific......................... .............. ........
W ashington____________ ___ .
Oregon_________ ___________
California___________ _______
A laska. ________________________
H aw aii....................................................
1

86,129 85,409
4,651
4,616
458
458
498
489
358
358
1,193
1,184
596
581
1,548
1,546
14,288 14,134
8,496
8, 460
1,950
1,948
3,842
3, 726
18,494 18,409
3,726
3,714
3,641
3,620
6,319
6,307
2,632
2,625
2,176
2,143
7,784
7,677
1,855
1,832
2,169
2,126
1,392
1,392
948
944
431
417
451
431
538
535
10,049
9,916
559
557
1,142
1,141
1,746
1,738
1,238
1,202
1,661
1,655
2,379
2,356
357
349
931
918
o
36
3,954
3,973
536
535
1,562
1,560
1,376
1,370
499
489
15,059 15,026
596
589
1,203
1,199
1,209
1,205
12,051 12,033
3,546
3,495
247
226
541
534
179
176
616
613
576
569
620
612
538
538
229
227
8,210
8,118
499
488
392
397
7,314
7,238
20
55

17
47

A djusted for n um ber of working days in m onth.
121435— 39------ 12


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

Per­
cent of
egu­
change Rlar
from
(over
1
N o­
vem ­ m onth)
ber >
+5
+15
+52
+47
+44
+6
+18
-2
+9
+20
-3 4
+25
+8
+12
+6
+23
+0
-2
-2
-3
+24
-7
-1 0
-1 7
-1 3
+17
-1
+29
+29
+37
+7
-6
+39
+9
+29
-1 7
+122
+10
+8
-1 1
-9
+16
-4 1
+14
+8
+24
-1 6
-8 2
+28
+1
-1
-1 9
+15
+0
+21
+21

35,092
2,493
345
320
169
661
306
692
4,902
2, 688
610
1,604
8,040
1,443
1,740
2,344
1,521
992
3,257
950
805
643
211
161
241
246
4, 728
296
403
638
638
774
1,283
205
491
o
2,443
258
891
1,017
277
4,398
397
720
331
2,950
1,382
100
231
46
310
228
300
102
65
3,429
225
248
2,956
5
15

T otal

250,125
19, 651
1,926
1,701
752
8,210
2,156
4,906
71, 716
47,050
4, 679
19,987
42,527
7,832
8, 596
8,815
9, 773
7,511
20,140
5,431
4,523
5,199
1,210
546
1,513
1,718
27,075
548
4,750
2,837
3,701
2,511
7,230
1,760
2,988
750
9,401
1,545
2, 657
2,809
2,390
22,121
1,423
3,187
3,770
13, 741
7,527
453
932
451
1,959
858
828
1,784
262
29,840
2,546
2,374
24,920
43
84

Active
file,
Per­ Dec. 31,
cent of
1938
N um ­ change
from
ber
N o­
vem ­
ber i
135, 221
11,073
913
554
393
5,932
1,403
1, 878
38,521
22, 759
1,736
14,026
21,399
4,205
4,714
3,909
6, 216
2,355
11,105
2,846
2,672
3,069
493
311
760
954
15,406
247
2,370
1,529
2,130
1,241
4,052
1,127
2,048
662
6,106
1,004
1,833
1,591
1,678
11,617
851
1,932
1,994
6,840
3,577
204
493
206
736
419
528
878
113
16,294
1,745
1,235
13,314
41
82

-1 7 1,527,113
-1 7
178,945
-2 3
10,433
-2 9
9; 370
+21
3, 219
-2 1
98,929
-6
23, 677
-2 2
33,317
-9
433,331
-1 7
179, 595
-4 3
50,677
+17
203,059
-1 9
265, 272
-1 2
66,843
-3 3
43,777
-1 6
54; 815
-6
75; 260
-3 1
24,577
-5
122,553
38,334
+1
-1
20,084
+4
32,810
-3 0
5,104
-3 0
Ì, 241
-2 2
L 279
-1 0
11,701
-3 1
196,344
+4
3,117
-8
14,392
-3 1
18,739
-2 9
11,920
-2 7
22,507
-4 0
43,480
-4 3
26,309
-2 5
28,354
27 .*526
—34
-2 8
90,841
-2 2
19,882
-1 2
29,385
-3 9
29,378
-3 3
12,196
-2 2
88,206
+4
10,042
-2 6
23,495
+8
8,840
-2 8
45,829
-1 2
30,248
-4 8
5,028
-8
1,948
-3
1,553
-3 2
9,114
5,952
3,354
-2 0
+29
2,748
+24
515
-1 5
120,399
17,387
+14
-2 4
15,849
-1 7
87,163
-4 1
-1 6

158
816

430

Monthly Labor Review—February 1939
T a ble 4. —Operations of United States Employment Service, December 1938
V ETERA N S
Applications

Placem ents

New

P rivate
D ivision and State
Total

Percent
Public
of
N u m ­ change Regular
(over 1
ber
from m
onth)
N ov­
ember 1

T otal

Active
File,
Percent Dec. 31,
1938
of
N u m ­ change
from
ber
N ov­
em ber 1

U nited States................. ......... 11,331

5,197

-1 9

1,706

6,134

41,842

13, 725

-3

361,335

N ew E n g lan d-------- ----------M aine________________
N ew H am pshire---------V erm ont______________
M assachusetts.................
R hode Islan d -------------C onnecticut------ ---------

774
149
79
27
242
91
186

267
26
50
15
49
21
106

-2 7
-2 1
-2 4
-2 5
-5 2
+17
-1 8

152
19
33
7
34
12
47

507
123
29
12
193
70
80

2,690
431
349
146
977
185
602

858
86
55
46
443
61
167

-1 3
+2
-2 4
+44
-2 3
-2 2
-3

29, 647
2, 621
2,031
794
16,820
2,581
4,800

M iddle A tlan tic---------------N ew Y ork........................
New Jersey...... ............
Pennsylvania_________

749
393
64
292

345
166
60
119

-3 0
-3 9
-4 1
-2

186
68
54
64

404
227
4
173

5,862
2,255
662
2,945

1,960
984
160
816

-6
+0
-3 3
-7

74,256
18,642
11,155
44,459

E a st N o rth C entral.... ...........
O h io ......................- .........
In d ian a................. ............
Illinois...........................
M ichigan-------------------W isconsin........................

1,542
345
141
428
349
279

813
167
94
328
154
70

-2 4
-1 2
-3 9
-1 8
-2 3
-4 4

346
43
53
99
114
37

729
178
47
100
195
209

7,312
1,481
1,212
1,370
1,565
1,684

2,562
501
539
373
777
372

-5
-5
+2
-9
-1
-1 8

88,577
29, 609
12,559
19,297
18, 682
8,430

W est N o rth C en tral.......... .
M innesota.........................
Iow a----------- --------------M issouri______________
N o rth D a k o ta ................
South D ak o ta_________
N ebraska_____________
K ansas----- ------ ----------

1,413
241
613
129
49
78
115
188

555
119
229
71
32
40
29
35

-2 6
-2 6
-2 6
-2 3
-3 2
-1 5
-2 2
-4 2

148
42
47
30
9
4
6
11

858
122
384
58
17
38
86
153

4,718
1,098
1,155
1,055
108
118
519
665

1,473
340
296
435
17
28
121
236

+27
+32
-1
+43
-2 9
-1 8
+30
+63

42,135
13, 717
6,084
12,868
1,333
1,969
2,168
3,996

South A tlan tic----------------D elaw are_____________
M ary lan d ____________
D istrict of C olum bia___
V irginia______________
W est Virginia...................
N o rth C arolina_______
South C arolina________
Georgia________ ______

1,543
25
161
181
274
126
304
135
244
93
651
113
254
183
101
1,870
128
167
159
1,416
929
128
12948
69
73
321
87
74
1,844
82
292
1,470
6
10

422
14
66
68
38
50
73
27
86
0
240
34
98
88
20
1,114
31
80
75*
928
474
38
64
8
31
31
249
21
32
957
45
90
822
3
7

-2 2
-3 3
+10
-1 9
-4 4
-3 8
-2 4
-1 0
-1 7

175
3
32
16
22
32
28
11
31
0
107
12
40
43
12
210
9
54
8
139
149
18
13
3
7
25
69
1
13
233
8
60
165
0
0

1,121
11
95
113
236
76
231
108
158
93
411
79
156
95
81
756
97
87
84
488
455
90
65
40
38
42
72
66
42
887
37
202
648
3
3

4,569
119
817
441
754
606
761
291
581
199
2,218
576
539
588
515
4,666
456
584
1,402
2,224
2,890
307
445
209
601
300
447
443
138
6,822
570
656
5,596
37
58

1,541
33
186
161
220
148
297
104
250
142
788
204
221
187
176
1,750
206
184
668
692
742
41
138
36
136
80
198
79
34
1,979
180
198
1,601
25
47

-1 7
+43
+6
-2 0
+0
+17
-4 0
-4 6
-3
-1 0
-1 7
+21
-1
-3 5
-3 5
+23
+38
-2 0
+57
+11
+0
-4 5
-1
-3 2
-6
+13
+11
+46
+42
-1 3
-2 4
-1 8
-1 1
-3 1
+327

37,855
850
3,491
3, 585
1, 798
6, 979
4,572
4,417
4,897
7,266
20,514
5,064
7,229
6,104
2,117
21, 256
3,531
4,753
3,532
9,440
11, 533
2,088
1,320
609
2,448
2,087
1,578
1,157
246
35,090
10,046
5,013
20,031
129
343

E ast South C en tral----------K en tu ck y ____________
Tennessee____________
A labam a______ _______
M ississippi.......................
W est South C en tral_______
A rkansas_____________
Louisiana_____________
O klahom a____________
Texas________________
M o u n tain .......... .....................
M o n tan a_____________
Id ah o________________
W yom ing_____________
Colorado_____________
N ew Mexico.....................
A rizona_______________
U ta h .............................. .
N evada_____ _________
Pacific___________________
W ashington........... ...........
Oregon_______________
C alifornia..........................
A la sk a ......................................
H aw aii.......................................

-1 3
-2 1
+10
-2 7
-1 7
-1 5
-5 4
-6
-2 3
-1 2
-1 5
-2 4
-5 4
-3 3
-5 7
-6 7
+106
-5 3
+23
-1 0
-4 2
+7
-9
-4 0
+75

* A djusted for num ber of working days in m onth.


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

Employment Offices

431

SUMMARY OF ACTIVITIES OF UNITED STATES
EMPLOYMENT SERVICE IN 1938
OPERATIONS of the Employment Service during the calendar year
1938 reflected the influence of the recession in business activity and
even more notably the marked effect of the widespread inauguration
of unemployment-compensation activities throughout the country.
Beginning in January, general business activity as reflected in the
principal indices was near bottom and continued at a low level through
the first half of the year. The greatest effect of the unemploymentcompensation program, in which the Employment Service participates
directly through the registration of all claimants, was felt immediately
in January when payments of unemployment-compensation benefits
were begun in 21 States and the District of Columbia. Added States
began benefit payments successively through the year—2 States in
April, 3 at the end of June, 1 in September, and 2 at the beginning of
December.
Reflecting the combined influence of both factors, the volume of
registrations at employment offices increased tremendously in 1938.
During January 1% million applications for work were received, the
highest volume for any month in more than 2 years, and the active file
jumped from 4,874,000 at the end of December 1937 to over 6,000,000
at the end of January. This upward trend continued until the end
of August. Placements fell to extremely low levels in both January
and February.
The volume of current applications after January became more
stable, although remaining throughout the year well above the levels
of 1937. The excess ranged from 136 percent in January down to
17 percent in December. During the first 8 months the major portion
of applications were received from new registrations; in the last 4
months of the year the volume of renewals exceeded the new registra­
tions. The active file continued to increase until the end of August
when a total of 8,119,000 registrations was reached, the highest volume
since early 1936.
After the initial rush of registrations, during which time employ­
ment offices were of necessity preoccupied to a considerable extent
with the handling of the huge volume of applicants, particularly in
January and February, placement activity again received increasing
attention. By the latter half of the year placements began to approx­
imate the levels of the previous year and during the months of Novem­
ber and December exceeded the totals for the same months in 1937.
The year ended with the active file at 7,215,691 after 4 months of
steady decline; and the monthly volume of current applications and
placements moderately below the levels for the months immediately
preceding but notably above the levels of a year earlier.

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

432

M o n th ly L a b o r R e view — F e b ru a ry 1 939

The following table summarizes principal operating totals for the
year. Table 2 reports activities for the individual States.
T a b le 1.— Summary of Operations of United States Employment Service, Calendar

Year 1938
P ercent of change from—
N um ber, 1938

A ctivity

1936

1937
14,597,789
8,041,443
6, 556, 346
2, 701. 349
1,885, 744
815, 605
1,485, 646

+80.7
+121.2
+49.4
-2 5 .8
-1 9 .9
-3 6 .7
-2 1 .6

+66.0
+88.7
+43.1
-4 6 .9
+24.9
-7 7 .2
+34.4

T a ble 2. —Operations of United States Employment Service, January-December 1938
A pplications

Placem ents
P riv ate
T otal

Division and
State
T otal

I_____

T otal

R egu­ Public
P er­
lar
cent of (over
N u m ­ change, month)1
Ja n .ber
Dee.
1937

U. S...................... 2,701,349 1,885,744
N . E n g _________ 117,203
18, 698
M ain e______
17, 508
N . H _______
10,446
V t_________
24,963
M ass_______
R.
10, 572
35,016
C onn............

Field
visits
N ew

Active
file,
Personal
visits 1
Dec.
31, 1938

-1 9 .8 842,259 815,605 1,485,646 14,597,789 8,041,443 7,215,691 105,674,103

86,218 +10.7
10, 394 +257. 7
13,887 +63.2
6,692
- 7 .1
19,030 -1 2 .3
8,098
- 7 .3
-2 .4
28,117

53,698 30,985
8,241 8, 304
8,153 3,621
3, 750 3, 754
12, 442 5,933
4, 812 2,474
16, 300 6,899

63, 548
13,095
8,212
3, 944
15, 687
4, 727
17,883

989,285 603,966 607,053
142,197 62,468 51,298
97,403 44,689 35,052
44,881 21,198 16, 657
359, 728 252, 304 324, 368
91, 516 61,148 69,135
253,560 162,159 110, 543

12, 716, 840
1,106, 895
678,979
244,979
6, 309, 530
1,884,712
2, 491,745

M . A tlantic_____ 319, 337 240,184
N . Y _______ 165,224 129, 919
41,910 38,464
N . J ________
P a _________ 112,203 71,801

-2 7 .9 115,032 79,153 144, 696 3,524,425
-3 4 .3 56,134 35, 305 51, 215 2,023, 406
-2 4 .7 17,161 3,446 34, 361 329,080
-1 4 .8 41, 737 40, 402 59,120 1,171,939

2,131,753
1,240,458
162,104
729,191

1,842,013 29, 348,957
580,075 16, 326, 748
234,126
934, 585
1,027,812 12,087,624

E. N . C entral___ 436, 778 343,026
98, 695 72,182
Ohio_______
I n d _________ 57, 819 52,973
111__________ 148, 375 127, 218
M ic h ... ___ 64, 650 43,304
W is___ _____
67,239 47, 349

-4 1 .1 168, 737 93, 752 262, 702 2,935, 300
-5 7 .2 32,338 26, 513 65,026 645,206
- 5 .8 31, 918 4,846 46,390 473, 657
-4 1 .1 50,804 21,157 80,280 527,421
-4 4 .2 27,935 21, 346 42,811 842,265
-2 5 .9 25, 742 19,890 28,195 446,751

1,557,026
322, 079
283,853
225, 440
560,696
164,958

1,525,883
448,436
221, 127
305,259
413, 552
137, 509

W . N . C e n tra l... 298, 330 185,367
M in n .. ------ 60, 627 46,084
Iow a...... ......... 75,960 44, 742
M o _________ 42, 340 30,449
N . D a k _____ 35,175 29,153
S. D ak _____
17,996
8, 765
N eb r_______
35, 604 13, 946
K ans_______
30,628 12, 228

-2 4 .7
-3 2 .8
-2 1 .9
-2 6 .6
+• 2
-1 6 .7
-2 4 .2
-4 1 .3

S. A tlan tic_____
D el________
M d ________
D ist. of C o l..
V a_________
W . V a ...........
N . C _______
s.
G a_________
F la ....... ...........
i 11 m onths total

c____

361,199 197,373 -2 2 .7
13, 507
9, 889 -2 5 .1
31, 358 21,134 +29.7
27,968 25, 680
+ 1 .7
59,135 30, 678
- 2 .8
33, 799 19,816 -1 3 .6
- 2 .6
89,823 57,191
28,061
8,636 -6 1 .5
62,077 24, 317 -3 5 .9
32 -9 9 .9
15,471
only. D ata not available


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

80,289
23, 601
17,268
14, 459
11,414
3,587
5, 766
4,194
109, 243
4, 750
11, 554
11, 353
21,841
12, 223
32,703
4, 453
10,329
31

15, 529, 569
2, 257, 216
3, 530,223
1,868,136
5, 548, 560
2, 325,434

112,963 195,382 1,109,572 496,458 665,421 5,424, 838
14, 543 66, 412 282,124 138,139 203,882 2, 393,946
31,218 38, 381 212, 622 88, 824 100,962 1, 307,241
11,891 33, 680 281, 543 138,182 187, 691
691, 545
6,022 11,125
65, 595 24,297 28,483
247, 328
9. 231
7,605
43,949 17, 513 35,663
144, 696
21,658 25,406 100. 316 38, 648 42, 216
339,940
18,400 12,773 123,423 50, 855 66, 524
300,142

163, 826 145, 583 1,806,314 1,047,302 877,898 13, 300,879
3, 618
4, 418
34,884 12,980 14,134
121, 698
10,224 18,787 235,183 131,017 70,959 2,158, 792
3,469 119, 285 60,089 55,022
2,288
856,148
28, 457 21, 111 272,149 152,971 50, 372 1, 616,190
13,983 16, 571 303,965 186,853 158,454 2,953,054
32,632 23,875 373,205 229,151 155,142 4,098,974
19,425 13,042 154, 305 96,232 131,900
741, 988
37, 760 42,084 233, 496 124,657 132,972
518,886
15,439
2,226
79,842 53, 352 108,943
235,149
for Jan u ary 1938.

Employment Offices

433

T a ble 2. —Operations of United States Employment Service, January—December 1938—

Continued
Placem ents

Applications

Private
Total

Division and
State
T otal

E . S. C entral___ 176,887
K y -------------- 24, 732
T en n _______
46,113
A la_________ 52,200
M iss_______
53,842

Field
visits

Regu­ Public
Per­
lar
cent of
N u m ­ change, (over 1
month)
ber
Ja n .Dec.
1937
85, 220 -1 0 .0
10, 307 -6 7 .3
27,205 +16.0
32, 733 -1 2 .9
14,975 +603. 7

W . S. C entral___ 497,333 398,156
A r k _______
33, 565 25, 320
L a ____ _____
41,804 30,776
O kla_______
43,698 32, 431
T ex ________ 378,266 309,629

55,142
4,363
17, 572
22,376
10,831

91,667
14,425
18,908
19,467
38,867

T otal

60, 293
6, 216
22,440
19,084
12, 553

876,472
162,296
167,459
291,274
255,443

New

Active
file,
Personal
Dec.
visits
31, 1938

506,095 479,414 6,048,264
81,061 98,034
333,219
105, 301 145, 618 2 ,50», 326
170,052 150,469 2,126,046
149,681 85,293 1,080,673

+ 1 .4 106,742 99,177 350,876 1,365,183 723,684 474,878 9, 364,653
+14.6
6,004 8,245 20,845 105, 567 57,719 73, 388
266,181
+34.2 20,887 11,028 23,683 255, 471 150,452 120, 210 1,500,154
-1 1 .2
6,016 11, 267 16,086 169, 507 79, 780 58,744
613,001
-.4
73, 835 68,637 290, 262 834,638 435, 733 222, 536 6,985, 317

M ountain ______ 192,252 133,443 +15.8
M o n t______
24,667 12,614 +12.1
Id a h o ______
25, 321 17,380 +36.7
W y o -. _____ 12,789
5,602 -2 3 .2
Colo________ 45,421 34,690
+ 2 .3
N . M ex____
36,610 31,192 +104.4
A riz________
22, 369 15,850 +10.0
U ta h _______
14, 761
9,678 -3 5 .7
N ev................. 10,314
6,437 +19.6

57, 500 58,809
7,064 12,053
5,826 7,941
3,061 7,187
11, 798 10, 731
13,103 5,418
9,820 6,519
3,082 5,083
3,746 3,877

Pacific_________ 291,316 214,168
W ash ______
23,281 16,137
Oreg------------ 44,752 28,481
Calif_______ 223,283 169,550

94, 935 77,148 170, 525 1, 414,467 744,165 540, 754 11,004,977
6,149 7,144 20,959 171, 367 74,187 135,195
667, 868
18, 600 16, 271 21,470 170,847 107, 507 85,827 1,670,463
70,186 53, 733 128,096 1,072,253 562,471 319, 732 8,666,646

A laska 2________
H a w a ii3................

3,618
7,096

-1 6 .0
-4 5 .6
+24.6
-1 6 .2

1,117
1,472

2 Operations inaugurated Jan u ary 1938.
3 Operations inaugurated F eb ru ary 1938


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

453
488

2 501
5,624

89,460
16,490
17, 358
3,913
16,147
16, 702
6, 762
5,251
6,837

1 255
326

558, 796 215,644 194, 695 2,870,017
63, 537 23,306 33,180
357,981
90, 262 29,853 22,608
421,381
38,485 11,313
9,305
160,518
141, 289 52,349 46,851
562', 740
59,829 23,483 37,226
266,383
66,993 35,907 22. 654
502,026
76, 380 31, 738 18,898
497,099
22,021
7,695
3,973
101, 889

12' 208

l l ’ 020

6,056

30, 762

Trend o f E m ploym ent and P ay Rolls

SUMMARY OF REPO RTS FOR D E C E M B E R 1938
Total Nonagricultural Employment

THERE was a further increase of 200,000 in employment in non­
agricultural industries in December. The most significant features of
the December gain were the continued increase in factory employ­
ment, which normally declines at this season, and an unusually large
expansion in retail trade. Since July almost 1,200,000 workers have
been reemployed in nonagricultural occupations. These figures do
not include employees on projects of the Works Progress Administra­
tion and other Federal emergency agencies, or certain temporary
workers who are hired only during peaks of activity in some industries.
In addition to the gain of approximately 55,000 workers in manu­
facturing industries, approximately 450,000 additional persons were
employed in retail stores between mid-November and mid-December
to handle the holiday trade. Smaller increases were reported in
metal and coal mining, wholesale trade, brokerage, and insurance.
In quarries, dyeing and cleaning plants, and private building construc­
tion there were substantial seasonal recessions. In building, the
decline was much less pronounced than usual in December. Class I
railroads laid off nearly 18,000 workers. The seasonal reductions in
employment in crude petroleum producing, utilities, hotels, and
laundries were not large.
In December employment gains were reported on P. W. A. projects,
on low-cost housing projects of the United States Housing Authority,
on Federal projects under The Works Program, and on work projects
of the National Youth Administration. Decreases in the number
working occurred on all other programs. In the regular services of
the Federal Government increases occurred in the executive, judicial,
and military services; a decrease occurred in the legislative service.
Industrial and Business Employment

Increases in employment were reported by 49 of the 87 manufactur­
ing industries surveyed by the Bureau and 7 of the 16 nonmanufactur­
ing industries covered. Pay-roll increases were reported by 63 of the
manufacturing and 7 of the nonmanufacturing industries.
434

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

Trend of Employment and Pay Rolls

435

The rise of 0.8 percent (55,000 workers) in factory employment
continued the succession of increases which began in July 1938,
although in December employment normally declines by about 1
percent. The Bureau of Labor Statistics’ index of factory employ­
ment (91.2 percent of the 1923-25 average) is above that for any
month during the past year. It shows a reduction of 3.5 percent
from December 1937. The gain of 3.0 percent in factory pay rolls
was much more pronounced than the usual seasonal increase of 0.4
percent and represented an addition of $4,800,000 in weekly dis­
bursements to factory wage earners. The Bureau’s index of factory
pay rolls for December (86.6 percent of the 1923-25 average) reached
the highest level since November 1937 and was 2.9 percent above the
December 1937 level.
The employment increases in the separate manufacturing industries
were in most instances either more pronounced than seasonal or
contra-seasonal, while most of the declines were smaller than usual.
The most pronounced gains were in the durable-goods industries, in
which employment rose 1.2 percent as compared with 0.4 percent in
the nondurable-goods group. The manufacturing industries in which
the most substantial numbers of workers were returned to employ­
ment between November and December were as follows: Automobiles
(20,100); woolen goods (12,200); foundries and machine shops (11,200);
shoes (9,100); steel (5,700); cotton goods (4,400); agricultural imple­
ments (3,700); and book and job printing (3,000). Among the
manufacturing industries showing comparatively large seasonal
declines were canning (15,100); sawmills (6,700); beet sugar (3,500);
and men’s clothing (1,800).
In retail trade the employment gain of 12.9 percent (440,000
workers) reflected the expansion necessary to handle holiday volume
and was the most pronounced employment increase in this month
during the last 10 years. In the general merchandising group (depart­
ment, variety, and general merchandise stores and mail-order houses)
the gain of 37.9 percent in employment brought the index for Decem­
ber to 146.0 percent of the 1929 average, the highest level shown dur­
ing the past decade, and represented a substantially larger gain than
the usual December increase of 26 percent. Pronounced gains were
also reported in the following lines of retail trade: Jewelry, 22.3 per­
cent; apparel, 13.4 percent; furniture, 5.2 percent; hardware, 4.1
percent; drugs, 3.2 percent; coal, wood, and ice, 2.8 percent; cigars,
2.7 percent; automotive, 1.2 percent; and food, 1.2 percent.
Wholesale trade showed a contraseasonal employment gain of 0.3
percent, or 3,200 persons. This increase brought the employment
level for this industry to the highest point since February. Among
the important wholesale groups which shared in the increase were:
Farm products (1.7 percent); paper and paper products (3.7 percent);

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

436

M o n th ly L a b o r R e view — F e b ru a ry 193 9

automotive (0.8 percent); electrical (0.5 percent); furniture (0.7
percent); and groceries (0.1 percent). Among the wholesale lines
reporting employment declines were food products, dry goods and
apparel, and lumber and building materials.
The employment gain of 0.6 percent or 400 workers in metal mines
continued the upward movement of the last 4 months and brought the
employment level above that of any month since March 1938.
Bituminous coal mines took on 3,200 additional workers, while
quarries and oil wells curtailed employment slightly less than season­
ally, by approximately 4,000 workers. Anthracite mines showed an
employment gain of 0.6 percent, coupled with a pay-roll increase of
17.3 percent. Laundries and dyeing and cleaning plants reduced
their forces seasonally by 0.3 percent and 4.5 percent, respectively.
Telephone and telegraph companies curtailed their forces by 0.2
percent, electric light and power companies by 0.5 percent, and elec­
tric railroads by 0.3 percent. Year-round hotels reduced their staffs
by 0.6 percent, which is less than usual for December.
Private building-construction firms reported a decline of 6.7 percent
in employment, according to returns from 15,137 contractors employing
121,428 workers. This was the smallest curtailment reported for
December in the last 6 years, with the exception of 1935. Corre­
sponding pay rolls decreased 6.6 percent. Decreases in buildingconstruction employment were reported in each geographic division.
The reports on which these figures are based do not cover construction
projects financed by the Public Works Administration, the Works
Progress Administration, and the Reconstruction Finance Corpora­
tion, or by regular appropriations of the Federal, State, and local
Governments.
Average employment and pay rolls for the year 1938 were below
those for 1937 for most of the major industrial groups surveyed
monthly by the Bureau. In employment the outstanding decreases
from 1937 to 1938 were 26 percent for the durable-goods group of
manufacturing industries (nondurable goods showed a decline of 11
percent and manufacturing as a whole showed a drop of 18 percent),
26 percent for private building construction, 23 percent for metal
mining, 18 percent for quarrying, 15 percent for brokerage, and 13
percent for coal mining. The pay-roll declines for these industries
were equal to or more pronounced than the employment decreases.
All of the remaining industries covered showed employment decreases
ranging from 2 percent to 6 percent and pay-roll decreases ranging
from less than 1 percent to 4 percent, except insurance which showed
an employment gain of 2 percent and the telephone and telegraph
industry, which showed a pay-roll gain of 3 percent.
A preliminary report of the Interstate Commerce Commission indi­
cated a decrease between November and December of 1.8 percent, or

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

T re n d

of E m p lo y m e n t

437

a n d P a y R o lls

17,620 in the number of employees on class I railroads. The total
number reported in December was 943,082. Corresponding pay-roll
figures for December were not available when this report was pre­
pared. For November they amounted to $149,011,526 as against
$155,270,047 for October, a decrease of 4.0 percent.
Hours and earnings.—The average hours worked per week by wage
earners in manufacturing industries were 37.1 in December, an in­
crease of 2.0 percent since November. The corresponding average
hourly earnings were 64.8 cents, an increase of 0.5 percent as compared
with the preceding month. Average weekly earnings increased 2.3
percent to $24.24.
T a b le 1.-—Employment, P ay Rolls, and Earnings in A ll Manufacturing Industries

Combined and in Nonmanufacturing Industries, December 1938 (Preliminary figures)
E m ploym ent

Percentage
change from—

In d u stry
Index,
Decem­
ber 1938

No­
vem ­
ber
1938

D e­
cem­
ber
1937

(m s -2 5
=100)
91.2 + 0 .8 - 3 .5
52.8 - 1 .8
- 6 .3
(1929=
Coal mining:
100)
A n th ra c ite 5__............ ..........
51.3
+ .6 -1 6 .4
B itu m in o u s5— __________
89.3
+ .8 -1 0 .2
M etalliferous m ining_______ _
62.3
+ .6 -1 1 .6
Q uarrying and nonm etallic
m ining________ ______ ____
41.4 - 6 . 7
-5 .6
C rude-petroleum producing___
- . 9 -1 1 .4
67.7
Public utilities:
Telephone and teleg rap h ...
-.2
74.2
-4 .8
Electric light and power
and m anufactured gas__
-.5
91.4
- 4 .8
Electric-railroad and motorbus operation and
m aintenance___________
69.4
- 4 .8
-.3
Trade:
W holesale___ __________
90.0
+ . 3 - 3 .5
R etail......................................
98.5 +12.9 - 1 .9
General m erchandising
146.0 +37.9
+ .1
O ther th an general
m erchandising_____
86.0 + 4 .5 - 2 . 8
H otels (year-round)5 7________
91.9
-.6
- 3 .1
Laundries 5___________ ____
93.4
- .3
- 3 .7
D yeing and cleaning 5________
97.9 - 4 .5 - 1 .2
Brokerage.................................. .
+ .2 - 9 .9
(0
Insurance___________________
4". i + 2 .2
(4)
Building construction________
- 6 .7 -1 5 .5
«
All m anufacturing industries
combined 1________________
Class I steam railroads 23_____

Average weekly
earnings

P a y roll

Index,
Decem­
ber 1938

Percentage
Percentage
change from— Aver­ change from—
age in
D e­
No­
De­
cem­
N o­
D e­
vem ­ cem­
ber
vem ­ cem­
ber
ber
1938
ber
ber
1938
1937
1938
1937

(1923-25
=100)
86.6 + 3 .0 + 2 .9 224. 24 + 2 .3
0)
W
(4)
(*)
«
(1929=
100)
42.5 +17.3 -1 7 .1 26.99 +16.6
80.9
- . 6 -1 4 .9 24.05 - 1 .4
54.1 + 3 .5 -1 6 .9 27.16 + 2 .8
33.7
62.5

- 9 .6
- 1 .3

-1 0 .4

20.42
33.41

+ 6 .6
(4)
-.8
-5 .3
- 6 .0

-3 .2
-.5

+ 6 .9
+ 1 .2

92.7

-.3

- 2 .1

530. 71

-.1

+ 2 .9

98.2

-.5

633. 72

+ .1

+ .7

69.5

+ 1 .0

- 4 .1
*
- 3 .3

«32. 59

+ 1.3

+ 1 .5

75.6
79.9 +11.4
125.9 +35.0

-2 .7
-.9
+ 2.1

«29.10
«20. 21
«17.08

+ .1
- 1 .4
-2 .2

+ .8
+ 1.1
+ 2 .0

- 1 .9 «24.05
- 1 .8 «15. 02
- 1 .3 17. 43
-.4
19. 23
-1 2 .7 «36. 59
+ 1 .2
- . 5 «35. 79
- 6 .6 -1 1 .8 28. 97

+ .1
+ 1 .2
- 3 .1
+ .7
+ 1.1
+ .2

+ .9
+ 1 .3
+ 2 .5
+ .9
- 3 .1
-2 .6
+ 3 .9

70.4
81.1
80.0
68.3
(4)
(4)
«

+ 4 .6
-.2
+ .9
- 7 .5

1 Revised indexes—A djusted to 1935 Census of M anufactures. Indexes for earlier m onths and years
given in table 3 of the Novem ber issue of the M o n th ly Labor Review.
2 Does no t include railroad repair shops.
3 Prelim inary; source: In terstate Commerce Commission.
4 N ot available.
5 Indexes adjusted to 1935 census. Com parable series back to Jan u a ry 1929 presented in Jan u a ry 1938
issue of th e pam phlet, E m ploym ent and P a y Rolls.
• Average weekly earnings no t strictly comparable w ith figures published in issues of the M o nthly L abor
Review dated earlier th an A pril 1938 (except for the Jan u ary figures appearing in the M arch issue), as they
now exclude corporation officers, executives, and other employees whose duties are m ainly supervisory.
7 Cash paym ents pnly; the additional value of board, room and tips cannot be com puted.


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

438

Monthly Labor Review—February 1939

Of the 14 nonmanufacturing industries for which man-hour data are
available, 8 showed increases in average hours worked per week and 4
showed gains in average hourly earnings. Average weekly earnings
were higher for 10 of the 16 nonmanufacturing industries surveyed.
Employment and pay-roll indexes and average weekly earnings in
December 1938 for all manufacturing industries combined, for selected
nonmanufacturing industries, and for class I railroads, with percentage
changes over the month and year intervals, except in the few industries
for which data are not available, are presented in table 1.
Public Employment

Employment on projects of the Public Works Administration
showed an increase of 21,000 for the month ending December 15.
The gains in the number working on projects financed from funds
provided by the Public Works Administration Appropriation Act of
1938 were sufficiently great to offset declines in employment on
P. W. A. projects financed from other funds. Of the 195,000 at work
in December, 12,000 were working on Federal and non-Federal
projects financed from National Industrial Recovery Act funds,
46.000 on non-Federal projects financed from funds provided by the
Emergency Relief Appropriation Acts of 1935, 1936, and 1937, and
137.000 on Federal and non-Federal projects financed with funds
provided by the Public Works Administration Appropriation Act of
1938. Pay-roll disbursements for the period amounted to $16,170,000.
During the month ending December 15 more than 2,000 men were
working on new construction and demolition projects of the United
States Housing Authority; pay rolls amounted to $293,000. These
figures pertain only to new projects under the United States Housing
Authority and not to those formerly under the Public Works Admin­
istration.
The seasonal decline in construction work, usual at this time of
the year, was reflected in the drop of 25,000 in the number of men
working on construction projects financed by regular Federal appro­
priations. Decreases in employment were reported for all types of
projects with the following exceptions: Building construction, dredg­
ing, dikes, revetments, etc., ship construction, streets and roads, and
miscellaneous projects. During the month ending December 15,
215.000 men were at work; pay rolls for the period amounted to
$20,191,000.
Nearly 3,000 men were working on construction projects financed
by the Reconstruction Finance Corporation during the month ending
December 15. Monthly pay rolls for this period amounted to
$308,000.

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

Trend of Employment and Pay Rolls

439

In December there was a drop from November of 226,000 in em­
ployment on projects operated by the Works Progress Administration.
However, the number at work, 2,987,000, was more than 1,316,000
above the employment level of a year ago. Pay rolls for December
1938 amounted to $167,160,000, a decrease of $5,214,000 when com­
pared with the preceding month but a gain of $82,447,000 over the
pay rolls for December 1937. There was a small increase in tb^
number working on Federal projects under The Works Program
during the month ending December 15. A gain of 12,000 in employ­
ment was reported on work projects of the National Youth Adminis­
tration. Data on employment and pay rolls for student aid in
December will not be available until next month.
In the regular services of the Federal Government increases in
employment were reported in the number working in the executive,
judicial, and military services; a decrease was shown for the legislative
service. Of the 917,000 employees in the executive service in Decem­
ber 120,000 were working in the District of Columbia and 797,000
outside the District. Force-account employees (employees who are
on the Federal pay roll and are engaged on construction projects) were
10 percent of the total number of employees in the executive service.
Increases in employment occurred in the Post Office Department, the
Navy Department, and the administrative offices of the Public Works
Administration. The following agencies reported declines in employ­
ment: War, Interior, Agriculture, and the Tennessee Valley Authority.
As usual at the end of an enlistment period there was a decrease in
employment in the Civilian Conservation Corps. In December
15.000 were dropped from the rolls, reducing the total number in
camps to 321,000. Of this total 284,000 were enrollees, 5,000 reserve
officers, 300 nurses, 1,600 educational advisers, and 30,000 super­
visory and technical employees. For all groups of workers monthly
pay-roll disbursements totaled $14,450,000.
As a result of seasonal influences, employment on State-financed
road projects declined during the month ending December 15. Of the
184.000 at work, 21,000 were employed on new road construction and
163.000 were engaged in maintenance work. Pay rolls for both types
of road work were $11,439,000.
A summary of Federal employment and pay-roll data for November
and December is given in table 2.


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

440

Monthly Labor Review—February 1939

T a b l e 2 . — Summary

of Federal Employment and P ay Rolls, December 19381 (Pre­
lim inary figures)
P ay rolls

Em ploym ent
Class

Decem­
ber

Percentage
N ovem ­ change
ber

Federal services:
E x e c u tiv e 2- . , ________________ 917, 303 3 869, 256
2,264
Judicial- - --2,271
5,145
5,163
Legislative— _________________
339,938
___ __________ 340,891
M ilitary .- Construction projects:
Financed b y P. W. A.4_____ ____
194,677
173, 310
U. S. Housing A uthority, lowcost housing__________________
2,301
1,199
2,892
3,243
Financed b y R . F. C .3-__ _ _____
Financed by regular Federal ap239, 511
propriations______ — ____
214,844
Federal projects under T he W orks
124, 074
Program , - _________ __________
123,119
Projects operated b y W. P. A _______ 2,986,931 3, 213,115
N ational Y outh A dm inistration:
225,088
W ork projects__________________ 237,399
361,067
(6)
335,479
C ivilian Conservation Corps................. 320,975

+ 5 .5
+ .3
- .3
+ .3

December

N ovember

$141, 924,984 3$131, 568,899
554,388
544,630
1, 205, 224
1,197,211
26, 795,878
26,935, 537

Percentage
change

+ 7.9
+ 1 .8
-.7
+ .5

+ 12.3

16,169,889

14,861,489

+ 8 .8

+91.9
-1 0 .8

292, 583
308, 347

149, 530
390, 238

+95.7
-2 1 .0

-1 0 .3

20,190,980

23, 014,693

-1 2 .3

+ .8
- 7 .0

5,914,821
167,159, 709

5, 925, 239
172,373,413

-.2
- 3 .0

+ 5 .5

4, 328, 281
(6)
14,449,956

4,110,810
2,400,437
14, 718,482

+ 5.3

- 4 .3

- 1 .8

1 Includes d ata on projects financed w holly or partially from Fedeial funds.
2 Includes force-account and supervisory and technical employees shown u nder other classifications to
the extent of 125,033 employees and pay-roll disbursem ents of $14,681,831 for December and 125,546 em ­
ployees and pay-roll disbursem ents of $14,814,599 for November.
3 Revised.
4 D ata covering P. W . A. projects financed from Em ergency Relief A ppropriation Acts of 1935,1936, and
1937 funds and Public W orks A dm inistration A ppropriation Act of 1938 funds are included. These data
are no t shown under T h e W orks Program . Includes 46,049 wage earners and $4,106,952 pay roll for D ecem ­
ber; 57,000 wage earners and $5,191,123 for November, covering Public W orks A dm inistration projects
financed from Em ergency Relief A ppropriation Acts of 1935, 1936, and 1937 funds. Includes 136,966 wage
earners and $10,747,455 p ay roll for December; 101,590 wage earners and $8,085,341 pay roll for Novem ber,
covering Public W orks A dm inistration projects financed from funds provided b y the Public W orks A d­
m inistration A ppropriation A ct of 1938.
3 Includes 241 employees and pay-roll disbursem ents of $19,499 for December; 347 employees and pay-roll
disbursem ents of $35,177 for Novem ber on projects financed b y the R F C M ortgage Co.
6 D ecember d ata no t available.


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

Trend of Employment and Pay Rolls

441

DETAILED TABLES FOR NOVEMBER 1938
A MONTHLY report on unemployment and pay rolls is published
as a separate pamphlet by the Bureau of Labor Statistics. This
gives detailed data regarding employment, pay rolls, working hours,
and earnings for the current month for industrial and business estab­
lishments and for the various forms of public employment. This
pamphlet is distributed free upon request. Its principal contents for
the month of November, insofar as industrial and business employ­
ment is concerned, are reproduced in this section of the Monthly
Labor Review.
Industrial and Business Employment

Monthly reports on employment and pay rolls are available for the
following groups: 87 manufacturing industries; 16 nonmanufacturing
industries, including private building construction; and class I steam
railroads. The reports for the first two of these groups—manufac­
turing and nonmanufacturing—are based on sample surveys by the
Bureau of Labor Statistics, and in virtually all industries the samples
are large enough to be entirely representative. The figures on class
I steam railroads are compiled by the Interstate Commerce Commis­
sion and are presented in the foregoing summary.
EMPLOYMENT, PAY ROLLS, HOURS, AND EARNINGS

The indexes for the manufacturing industries have been adjusted
to the 1935 Census of Manufactures and are not comparable to those
published in the July 1938 and earlier issues of the pamphlet. Com­
parable indexes for earlier months and years are available on request.
Electric- and steam-railroad repair shops have been excluded from the
new series in keeping with the reclassification for the 1937 Census
of Manufactures.
The average hours worked per week, average hourly earnings, and
average weekly earnings for all manufacturing industries combined
now relate to 87 industries, instead of 89 as heretofore, because of the
exclusion of electric- and steam-railroad repair shops. This exclusion
also affects the averages for the durable-goods group because these
industries were classified in that group. The average hours and
hourly earnings for the 87 manufacturing industries combined, and
for the manufacturing groups, are weighted on the basis of estimated
employment for the separate industries. As these estimates have
been affected by the revision of the indexes, it follows that the weighted
averages for October and November differ from the averages that
would result if the former estimates of employment were used as
weights. Revised averages for earlier months will be computed and
made available in the near future.

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

442

Monthly Labor Review—February 1939

The indexes and averages for the iron and steel group and the nonferrous metal products group have been affected by the transfer of the
stamped and enameled ware industry from the latter group to the
former. The indexes, hours, and hourly earnings for the knit-goods
industry are now weighted on the basis of four subdivisions (hosiery,
knitted outerwear, knitted underwear, and knitted cloth) for which
separate figures are now given. Tractor manufacturing establish­
ments have been transferred from the engine, turbine, water wheel,
and windmill industry to the agricultural implement industry,
thereby affecting the figures for both industries.
The revised series of employment and pay-roll indexes, as well as
average hours worked per week, average hourly earnings, and average
weekly earnings for September, October, and November 1938, where
available, are presented in table 1. The September and October
figures, where given, may differ in some instances from those previously
published, not only because of the foregoing, but also because of revi­
sions necessitated by the inclusion of late reports and other causes.
The weekly average earnings shown in table 1 are computed by
dividing the total weekly pay rolls in the reporting establishments
by the total number of full- and part-time employees reported. As
all reporting establishments do not supply man-hour data, average
hours worked per week and average hourly earnings are necessarily
based on data supplied by a smaller number of reporting firms. The
size and composition of the reporting sample varies slightly from
month to month and therefore the average hours per week, average
hourly earnings, and average weekly earnings shown in tables 1 and 2
are not strictly comparable from 1 month to another. The sample,
however, is believed to be sufficiently adequate in virtually all in­
stances to indicate the general movements of earnings and hours over
the period shown. The changes from the preceding month, expressed
as percentages, are based on identical lists of firms for the 2 months,
but the changes from November 1937 are computed from chain
indexes based on the month-to-month percentage changes.


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

T a b le 1.— Employment, P ay Rolls, Hours, and Earnings in Manufacturing and Nonmanufacturing Industries
MANUFACTURING
[Indexes are based on 3-year average, 1923-25=100, and are adjusted to 1935 Census of M anufactures. N ot comparable to indexes published in pam phlets prior to A ugust 1938
Com parable series available upon request]
E m ploym ent index

Average weekly
earnings >

Pay-roll index

Average hours worked
per week i

Average hourly
earnings i

In d u stry

All m anufacturing_____________________________

90.5

89.5

88.8

84.1

83.8

81.0

$23. 82

$23. 98

$23. 32

36.5

37.4

36.9

Cents
64.5

Cents
63.7

Cents
63.2

D urable goods_____________________________
N ondurable goods__________________________

82.2
98.3

79.0
99.4

75.3
101.8

78.3
90.5

75.2
93.4

68.7
94.9

27.14
20.84

27.01
21.36

25. 80
21.33

36.5
36.4

37.4
37.4

36.0
37.5

72.4
58.0

71.0
57.9

70.8
57.7

86.8
90.3
90.0
65.7

84.1
86.6
84.9
65.4

81.7
85.1
81.9
64.6

79.1
81.8
90.6
54.5

74.8
73.8
81.0
53.8

68.6
67.6
73.1
53.8

26.72
28. 64
25. 69
19. 71

26.13
27.11
24.42
19.54

24. 59
25.25
22.82
19. 77

35. 1
33.8
37.1
33.9

34.9
32.2
35.0
34.1

33.0
30.0
32.5
34.2

75.7
84.1
69.5
58.0

75.3
84.0
69.9
56.9

75.3
83.9
70.5
57.4

82.6
47.9
84.4
73.0
133.4

80.2
45.6
79.5
73.1
128.7

77.7
43.5
66.9
73.2
121.6

75.5
44.6
93.2
54.9
133.5

73.6
41.9
86.3
62.0
133.3

67.5
37.7
65.7
59.6
119.9

23.11
26.82
26. 79
21.34
24.08

23.22
26.94
26. 32
24.14
24. 88

21.88
25.45
23.86
23. 21
23.67

39.0
36.0
39.0
32.0
38.0

39.3
36.3
38.8
36.1
40.0

36.9
34.5
36.3
35.0
37.9

60.2
74.6
68.9
66.6
63.2

59.7
74.3
68.0
66.7
62.1

60.1
73.9
65.8
66.3
62.6

69.1
78.9
60.7
84.6

71.3
83.1
61.1
86.2

69.8
79.7
60.5
97.6

53.3
62.7
50.1
87.5

59.0
75.7
50.5
89.2

53.3
69.2
49.7
103.0

23. 27
23. 55
26. 07
22.50

24.98
26.98
26.12
22.50

23.00
25. 71
25.93
22.85

33.9
35.5
36.0
37.3

36.3
41.0
36.3
37.3

33.3
39.4
35.8
38.2

68.9
66.7
72.5
60.7

69.0
66.2
72.0
60.6

69.1
65.9
72.6
59.9

80.9
164.6

77.0
146.5

74.8
127.9

75.8
180.2

71.9
156.1

67.4
134.2

23. 24
26. 39

23.11
25. 65

22. 28
25. 31

38.0
38.8

38.2
37.9

36.4
36.9

61.2
68.1

60.8
68.0

61.5
68.7

89.5
96.6

87.2
93.7

85.5
90.3

83.9
95.0

81.9
92.4

78.6
87.1

26.07
27.08

26.07
27.11

25. 57
26. 55

36.2
34.3

36.3
35.2

35.4
34.6

72.0
79.4

71.7
77.7

72.1
77.1

135.4
83.2

136.1
80.7

136.4
77.4

119.7
80.4

119.7
78.0

120.8
73.0

28.57
26. 69

28.43
26. 71

28. 62
26.07

35.0
36.7

34.9
36.5

35.3
35.3

82.3
73.0

82.2
73. 2

81.8
73.7

Durable goods
Iron and steel and th eir products, not including
m achinery___________________________________
B last furnaces, steel works, and rolling m ills ..
Bolts, n u ts, washers, and riv e ts............... ..........
Cast-iron p ip e ............... .........................................
C u tlery (not including silver and plated c u t­
lery) and edge tools.............................................
Forgings, iron and steel............ .............................
H ard w are____ ____________________________
Plu m b ers’ supplies..................................................
Stam ped and enam eled w a re ................... ..........
Steam and hot-w ater heating apparatus and
steam fittings............................................... .......
Stoves_________________ ______ _______ ____ _
S tru ctu ral and ornam ental m etal w o rk .............
T in cans and other tin w are.......................... .......
Tools (not including edge tools, machine tools,
files, and saw s)................................... ................
W irew ork_______________________ __________
Machinery, not including transportation equip­
m ent________________________________________
A gricultural im plem ents (including tra c to rs)..
Cash registers, adding machines, and calculat­
ing m achines__________________ _________
Electrical m achinery, apparatus, and supplies.
See fo o tn o te s a t e n d o f ta b le .


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

Trend of Employment and Pay Rolls

N ovem ­ October Sep­ N ovem ­
Sep­ N ovem­
Sep­ N ovem ­ October Sep­ N ovem ­
Sep­
October tem
October tem
October tem
ber
ber
ber
ber
ber
ber
ber
ber
ber
ber
1938 tem
1938
1938
1938 tem
1938
1938
1938
1938
1938
1938
1938
1938
1938
1938
1938

w

P ay Rolls, Hours, and Earnings in Manufacturing and Nonmanufacturing Industries— C o n tin u ed

444

T a b l e 1.— Employment,

M ANUFACTURING—Continued
E m ploym ent index

Average weekly
earnings

Pay-roll index

Average hours worked
per week

Average hourly
earnings

In d u stry

Durable goods—C ontinued
Machinery, not including transportation e q u ip ­
m ent—C o n tin u ed .
Engines, turbines, w ater wheels, and w ind­
m ills_______________ ____________ _____ __
Fou n d ry and machine-shop p roducts________
M achine tools____ _____________ _______ .
Radios and phonographs_________ ____ _____
Textile m achinery and p a rts ________________
T ypew riters and p a rts ______ _______________
Transportation equipm ent _____ _
__ . . . ___
A ircraft___ _____ __ ____ ___________________
Autom obiles__________________ _____ _______
Cars, electric- and steam -railroad____________
Locomotives_____ _________________________
Shipbuilding___________ ____ _______ ___ . . .
Nonferrous m etals and their products____ ______
A lum inum m anufactures_________ __________
Brass, bronze, and copper products__________
Clocks and w atches and time-recording devices
Jew elry____ _______ ________ i _____________
Lighting eq u ip m en t-__________ ____________
Silverware and plated w are______ ___________
Smelting and refining—copper, lead, and zinc.
Lum ber and allied products_________
. ... ...
F u rn itu re___________________________ _____
Lum ber:
M illw ork__________ . . . _____ _______ _
Sawmills_________ ____________________
Stone, clay, and glass products______
_____ . . .
Brick, tile, and terra co tta....... .................. ...........
C em ent____________ . . _. _____________
Glass_____________ ____________ _. _____
M arble, granite, slate, and other products____
P o ttery _____________________________ ____ _


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

Cents
83.5
78.9
117.6
118.8
64.2
128.9
91.6
814.9
101.9
26.3
16.9
96.6
95. 5
143.2
100.5
85.0
101.0
91.6
66.5
71.1
65.3
79.9

83.4
77.5
115.8
108.0
61.3
125.3
79.4
785.8
86.3
25.3
16.1
92.1
92.2
142.4
96.4
83.6
100.3
85.4
64.0
66.4
65.7
79.7

83.1
77.7
114.2
93. 5
59.9
121.6
63.7
755.5
64.9
27.4
16. 1
89.9
87.9
136.3
92.7
79.9
96.0
76.2
59.8
65.4
65.8
79.0

91.6
70.6
110.8
106.9
61.3
130.9
95.9
799.0
107.6
23. 1
12.8
94.2
90.3
148.0
99.8
87.6
82.7
83.4
66.1
65.8
56.2
65.0

90.4
69.4
110.5
97.9
56.5
128.1
83.8
780.8
91.3
23.5
11.1
95.1
88.5
148.4
96.2
85.6
91.8
78. 1
62.4
62.2
60.0
68.4

90.0
68.1
107.8
83. 5
54.1
115.7
84.7
727.2
66.3
25.3
11.1
92.3
81.4
138.8
89.1
78.1
81.4
69.2
55.6
60.3
60.0
68. 1

$28. 35
25. 58
26.78
22. 40
24. 83
24. 39
33.64
29.81
34.89
24. 21
24. 30
29.05
25. 62
26.44
27.14
21.57
22.81
25.43
27. 39
26. 03
19.91
19. 74

54.9
52.3
71.6
52.4
67.8
92.1
42.9
80.0

54.0
53.1
70.1
52.0
70. 1
87.5
42.3
77.7

54.0
53.5
67.8
51.2
68.0
82.1
43.0
74.8

44.5
46.4
63.9
39.4
63. 7
98.6
30.7
74.5

46.0
50.4
63.0
40.6
65.4
92.9
30. 1
73.2

45.5
50.6
58.3
38.6
63.4
82.6
31.3
63.9

21.40
19. 57
23. 87
19. 67
26.15
25. 68
24.12
23.12

$28.01 $28.00
25. 54
25. 02
27. 12
26. 87
22. 53
22. 21
24. 09
23. 56
24. 55
22. 85
32. 64
33. 88
30. 79
29. 87
34.98
33.81
25.62
25. 48
22.13
22.14
30. 75* 30. 60
26. 06
25. 14
26. 66
26.04
26. 32
27. 28
21. 66
20. 66
25.89
23. 87
25. 53
25.31
26. 77
25. 56
26. 34
25. 95
21.09
21.31
20. 77
21. 50
22.40
20. 94
23.97
20. 37
26.02
25. 47
23.99
23. 41

22.17
20. 88
23.00
19. 77
25. 96
24.13
24. 31
21.40

Cents

Cents

36.2
35.8
36.3
38.5
36.6
37.9
37,1
40.2
37.5
32.7
3U7
34.5
38.7
40.4
38.3
37.2
39.2
37.6
42.4
37.9
37.6
37.9

35.8
36.0
36.8
39.1
36.6
38.0
38.6
40.4
38.7
34.7
29.2
36.9
39.7
40. 1
38.5
37.7
45.2
38.7
41.5
38.2
41.0
40.5

35.6
35.2
36.3
37.5
35.5
35.4
36.4
40.1
36.3
34.9
29.0
36.5
37.8
38.8
36.9
36.3
41.0
38. 1
39.5
37.7
40.3
39.9

78.6
71.3
73.8
58.2
67.9
64.4
90.6
75.1
93.2
74.0
76.5
83.8
66.2
65.5
71.0
57.9
57.6
67.7
64.9
68.8
53.3
52.4

78. 5
70.9
73.8
57.7
66.0
64.6
87.8
75. 5
90.6
73.9
75.9
83.2
65.9
66.5
70.9
57.5
56.3
65.9
64.5
68.9
52.0
51.8

78.8
71.0
74.1
59.4
66.6
64.6
89.7
75.1
93.3
73.0
76.4
83.7
66.1
67.2
71.3
56.9
57.4
66.5
64.6
68.8
52.6
52.4

39.7
37.0
36.3
36.5
38.0
35.7
34.9
36.8

42.4
40.9
37.1
38.8
37.8
35.6
35.1
37.2

41.6
40.3
36.2
38.0
37.4
34.3
35.7
35.7

54.0
53.7
64. 5
53. 1
68.8
72.2
68.8
62.4

52.8
52.0
64.0
52.6
69.2
71.6
67.5
62.6

53.4
52.5
63.2
51.6
69.4
70.7
67. 1
62.4

Monthly Labor Review—February 1939

Novem- October Sep­ Novem ­ October Sep­ Novem ­
Sep­ N ovem­ October Sep­ N ovem ­ October Sep­
October tem
bei
ber
ber
ber
ber
ber
ber
ber
ber
ber
1938 tem
1938 tem
1938
1938 tem
1938 tem
1938
1938
1938
1938
1938
1938
1938
1938
1938
1938

Nondurable goods

m

¡2
c£
co
f

M

96.9
89.6
79.8
86.1
83.0
109.3
82.8
114.6
145.5
78.2
70.9
154.8
61.7
78.4
112.0
98.1
158.5
98.5
149.2
55.1
117.7
84.8
83.3
84.0
123.3
144.6
229.2
96.8
103.3
90.6
78.2
70.5
100.7
264.9
86.6
68.9
61.9
67.5
107.0
105.2
105.9

97.5
87.2
76.7
83.7
79.9
105.8
89.1
114.5
143.9
83.3
70.2
156.3
61.2
71.9
119.6
104.5
171.4
98.9
149.2
74.2
119.2
89.6
89.9
81.2
128.7
144.3
233.6
99.4
147.3
93.0
77.5
73.8
97.4
260.7
89.0
66.3
57.7
67.4
105.5
102.8
104.8

97.9
86.6
72.7
83.2
76.4
104.1
90.0
111.8
140.7
80.1
69.1
150.3
63.2
72.7
122.1
107.5
177.1
97.3
138.1
79.3
117.9
92.3
93.8
78.6
142.7
145.6
250.3
103.7
272.0
87.9
77.2
83.4
95.5
100.2
92.7
66.3
62.6
66.8
104.3
98.8
104.0

78.5
77.4
67.2
73.8
77.3
92.7
70.1
H 8.5
165.0
68.6
61.4
119.4
48.6
63.7
78.1
63.1
101.7
99.8
151.4
40.4
104.1
62.4
54.4
84.7
122.4
139.7
264.7
82.4
86.0
84.9
73.8
60.7
110.0
274.2
75.4
59.8
69.1
58.5
103.3
110.0
103.0

83.1
76.5
66.0
72.4
77.4
92.0
78.0
122.1
167.0
77.0
62.7
131.0
50.2
58.1
93.0
74.9
128.8
104.8
140.1
62.7
99.3
69.6
64. 5
81.7
126.9
139.5
272.6
85.6
130.3
91.6
79.7
63.7
110.0
226.1
79.3
60.7
63.3
60.3
103.7
112.7
106.5

84.0
74.7
60.8
71.0
71.1
89.5
95.0
116.0
159.1
71.6
59.3
128.1
50.6
57. 5
99.5
80.1
137.6
96.1
124.9
91.6
97.4
74.0
70.9
78.9
136.7
143.5
297.6
90.0
238.1
90.9
81.2
70.1
108.7
97.3
84.8
61.0
71.8
59.6
101.1
105.4
101.5

16. 34
16. 34
22. 23
13. 93
17.81
20. 47
21. 77
18.13
19. 64
16. 81
14.58
17. 65
15.15
18. 78
16. 35
16.73
17.10
16. 96
15. 77
18. 99
13. 70
17. 22
15.41
24. 30
24. 22
25. 21
32.11
22.27
15.14
17.40
24. 67
28.89
27. 54
25.76
23.46
18. 55
17.47
16.33
27.48
21. 34
23.81

17.00
16. 65
22. 78
14.04
18.56
20. 99
22.13
18.68
20.13
17. 91
15. 06
18.99
15. 83
18. 75
18. 01
18. 68
19. 94
17.75
14.85
21. 92
12. 84
18. 32
16. 97
24.23
24.15
25.30
32.50
22. 52
16.07
18.23
26.88
29.33
28. 51
22.22
23.96
16. 84
17.17
16. 77
28.14
22.29
24.85

17.03
16. 43
22.15
13.83
17.89
20.85
26. 85
18.11
19.60
17.27
14. 39
19.06
15. 99
18.39
18. 68
19.33
20.69
16. 54
14.17
28.29
12. 69
18. 98
17.87
24. 24
23.43
25.86
33.12
22. 76
15. 83
19. 22
27.72
28.19
28. 66
25.00
24. 59
16. 96
17.97
16. 72
27.91
21.74
23.92

34.6
36.3
35.5
36.2
38.0
38.2
31.5
36.8
37.2
36.6
35.0
37.2
35.6
35.8
31.4
28.9
31.1
36.8
38.3
28.6
35.3
32.8
31.3
38.6
'40.1
41.6
37.8 '
45.8
33.5
37.8
41.6
44.9
40.5
51.2
37.7
35.8
34.2
35.9
37.9
40.4
38.9

35.5
37.0
36.0
36.8
39.9
39.2
31.2
37.7
37.5
39.2
36.1
40.8
37.2
35.6
33.1
31.4
33.0
38.8
36.7
33.9
34.7
35.3
34.6
38.5
41.0
42.0
38.5
46.6
37.3
40.2
45.2
45.1
41.8
43.7
38.5
37.1
35.0
37.4
38.6
42.2
40.6

35.4
36.3
35.0
36.2
38.8
38.6
36.4
36.4
36.2
38.2
34.6
40.8
35.7
35.0
33.9
32.3
34.0
36.2
34.9
40.1
34.9
36.8
36.3
38.7
41.3
42.8
39.2
46.9
38.3
42.1
46.1
46.0
41.9
41.3
40.3
37.1
35.5
37.2
38.0
40.8
39.1

47.8
46.0
62.7
38.4
47.4
53.0
69.7
50.5
53.8
45.9
41.5
46.9
42.1
52.6
51.0
57.2
50.5
46.0
38.0
66.3
38.9
53.3
50.8
62.9
61.2
61.1
85.7
48.7
47.0
46.7
59.5
63.5
68.5
50.6
62.2
46.2
51.3
45.6
76.2
53.3
61.3

48.6
45.9
63.2
38.2
46.9
53.0
67.2
50.9
54.4
45.4
42.2
46.0
42.2
52.7
53.1
59.1
54.8
45.8
36.4
62.3
37.0
53.0
50.6
63.0
59.8
60.9
85.5
48.3
44.9
45.9
58.7
63.5
68.5
51.4
62.3
45.6
49.3
45.2
76.4
53.2
61.3

61.7
61.0
45.8
50.7
45.3
78.5
53.8
61.3

101.4
107.1

99.6
106.0

98.9
105.1

89.1
109.4

87.9
108.7

88.2
106.4

29. 22
36.84

29. 35
37. 25

29. 68
37. 26

37.1
36.4

37.3
36.5

37.5
36.2

79.8
98.5

79.9
99.1

80.0
98.8

49.2
46.2
63.3
38.3
46.4
S3. 4
71.1
61.1
54.9
44.8
41.6
47.6
44.5
52.7
53.9
59.4
55.4
45.7
35.7
69.0
36.5
52.4
50.1
62.9
67.6
61.0
85.4
48.3
42.5
46.2
59.9
60.7
68.6

Trend of Employment and Pay Rolls

m

Textiles a n d th eir pro d u cts..___ ___________
F a b r ic s ................................. .......................
C arpets and rugs................................ ...
C otton goods...........................................
C o tto n sm all w ares..--------------------D yeing and finishing textiles----------H ats, fur-felt...... ...............................
K n it g o o d s.............................................
H o s ie r y .........................................
K n itte d outerw ear.....................
K n itte d u n d e rw e ar......................
K n itte d cloth..................................
Silk and rayon goods________ _____
W oolen and worsted goods_________
W earing ap p arel_____________ _______ _
C lothing, m en’s......................................
C lothing, w om en’s . . . ..........................
C orsets and allied garm ents................
M en ’s fu rn ish in gs............ ....................
M illin ery....................................... ..........
Shirts and collars...................................
le a th e r an d its m anufactures______________
Boots a n d shoes.............................................
L e a th e r............................................. ...............
Food a n d k in d red products________________
B aking...... .................. ....................................
Beverages—.................................... ...............
B u tte r..............................................................
C anning and preserving_________ _____
C onfectionery.................................................
F lo u r................................................................
Ice cream .......................................................
Slaughtering and m eat packing.................
Sugar, beet.......................................................
Sugar refining, cane.......................................
Tobacco m anufactures_____________________
C hew ing and smoking tobacco and snuff.
Cigars and cigarettes___ ____ __________
P a p e r a n d printing_______________________
Boxes, p a p er....................................................
P ap er an d p u l p . . .......................................
P rin tin g and publishing:
Book and jo b ___________ _________
N ewspapers and periodicals............... .
S e e fo o tn o te s a t e n d o f ta b le .

445


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

Employment, P ay Rolls, and Earnings in Manufacturing and Nonmanufacturing Industries— Continued

446

T a b l e 1. —

MAN UFACTURING—Con tinned
E m p lo y m en t index

Pay-roll index

A verage weekly
earnings 1

Average hours worked
per w e e k 1

Average hourly
e arn in g s1

In d u stry

Nondurable poods—C ontinued
Chemicals a n d allied products, and petroleum
refining_____ ________ ____________________
Petroleum refining__________ ______________
O ther th a n petroleum refining....... .............. .......
C h em icals.......................................................
C ottonseed—oil, cake, and m eal_________
D ruggists’ p reparations_____ ___________
Explosives________________ ____________
Fertilizers............................................................
P a in ts and varnishes............... : .............. .......
R ayon and allied p ro d u c ts .................... .......
Soap.....................................................................
R ubber products._____ ________________________
R u b b er boots and shoes___________ _________
R u b b er tires and inner tu b e s_______ ______
R u b b er goods, o th er............................... ................

118.0
118.9
111.6
117.2
116.3
109.7
82.8
78.5
112.4
312.8
88.9
82.4
63.4
66.1
133.6

113.4
119.5
111.9
114.8
122.1
110.3
84.1
79. 5
112.9
314.4
93.2
77.7
60.1
63.5
123.3

113.0
121.0
111.1
112.5
113.5
109.6
84.9
82.1
112.5
315.2
92.6
75.9
58.0
61.9
121.0

119.1
133.6
114.6
128.1
100.1
119.6
91.7
65.2
113.8
302.7
88.3
85.2
60. 6
75.3
130.7

120.1
132.8
116.2
128.1
104.0
123.9
96.5
70.1
116.3
302.6
94.8
79.7
61.6
69.1
122.6

118.9
134.6
114.1
121.4
95.1
118.6
93.1
77.4
114.5
308.2
94.6
76.7
57.7
67.3
116.6

$28. 26
34.86
25.41
30. 22
13.11
24.54
30.45
15.38
27.34
23. 74
28.29
27. 68
21.88
32. 77
23.09

$28. 41
34.45
25. 79
30.88
13.04
25.31
31.62
16. 41
27.83
23. 63
28.98
27. 27
23. 48
31. 25
23. 43

$28. 36
34.58
25.70
29.90
12. 93
24. 40
30.16
17. 58
27. 70
24.02
29.10
26.91
22. 79
31. 27
22. 73

37.8
35.8
38.6
38.9
44.7
38.7
38.0
33.9
39.4
• 37.0
38.0
36.7
36.6
34.5
39.2

38.7
35.5
39.9
39.8
51.3
40.3
39.4
36.7
40. 1
37.0
39.4
38.6
38.7
33.1
40.0

38.3
35.3
39.5
38.3
50.8
39.4
37.7
38.3
39.7
37.7
39.7
35.9
37.7
33.0
38.5

Cents
74.4
97.9
65.7
77.6
28.8
59.2
80.2
45.4
69.5
64.1
74.6
75.6
59.7
95.2
59.5

Cents
73.6
97.6
64. 8
77.5
25. 2
58.9
80.3
44.8
69.4
63.9
73.7
75.6
60.7
94.4
59.2

Cents
74.4
98.4
65.3
78.1
25.3
58.7
80.1
45.9
69.9
63.8
73.5
75.8
60.5
94.6
59.4

$20.64
22.86
26.04
21.68
34. 38

24.9
28.0
38.3
38.2
39.2

28.8
26.8
39.5
40.9
39.7

22.1
26.0
39.0
40.6
40.2

Cents
91.7
87.9
68.2
55.7
85.6

Cents
92.5
88.7
67.5
54.4
83.9

Cents
91.1
88.2
67.0
53.5
83.8

NONMANUFACTURING
[Indexes are based on 12-month average, 1929 «=1001
Coal m ining:
A nthracite *.................................................... ..........
B itum inous » ...________ ____ _____ ___ _____
M etalliferous m in in g .............................................. .......
Q uarrying and nonm etallio m ining................. ...........
Crude-petroleum producing.................................. .
Public utilities:
Telephone and telegraph »....... ............................
Electric lig h t and power and m anufactured
gas ...........................................................................
Electric-railroad and m otorbus operation
and m a in te n an c e 3...................................... .........
FRASER

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

51.0
88.6
61.4
44.4
68. 1

52.4
87.2
57.9
44.4
69.5

46.4
83.4
55.2
44.6
71.5

36.2
81.4
51.6
37.2
62.8

43.4
78.3
49.2
39.2
63.7

29.4
71.9
46.1
38.4
66.5

$23.14
24. 56
25. 96
21.15
33.50

$26. 99
23.84
26. 52
22. 37
33.81

74.4

74.7

74.9

93.0

95.3

92.6

30.98

31.57

30.72

39.1

39.8

39.1

82.5

82.7

81.6

92.0

92.5

92.5

98.6

99.9

98.4

33. 71

33.72

33.19

39.8

39.8

39.8

85.0

84.5

83.4

69.5

69.9

69.3

68.8

68.9

68.4

32.36

32. 23

32.27

45.0

44.7

44.8

71.1

71.2

71. 3

Monthly Labor Review—February 1939

Novem­ October Sep­ Novem­ October Sep­ N ovem­
Sep­ Novem­ October Sep­ N ovem­ October Sep­
October tem
ber
ber
ber
ber
ber
ber
ber
ber
ber
ber
1938 tem
1938 tem
1938 tem
1938
1938 tem
1938
1938
1938
1938
1938
1938
1938
1938
1938
1938

Trade:
W holesale *___ ____ _____________ ________
R e ta il1. . .................................. .................................
G eneral m erchandising
.............................
O ther th a n general m erchandising »............
H otels (year-round)* * 4..................................................
Laundries
....................................................................
D yeing and cleaning *.....................................................
Brokerage 1 *____ _______ ______________ ______
Insurance * *.....................................................................
B uilding construction •...................................................

89.8
87.0
105.4
82.2
92.4
93.7
102.6
+ .8
-.2
-4 .2

89. 1
86.1
100.7
82.3
92.9
94. 4
106.8
-.9
-.5
+ 3 .2

88.5
85.0
98.2
81.5
91.8
96.5
107.8
- 1 .4
+ .6
- .4

75.3
71.6
93.1
67.2
81.1
79.3
73.8
+ 1 .6
+ 1 .3
-8 .4

75.1
71.1
89.7
67.2
80.8
79.5
78.0
+ 1.2
+ .2
+ 5 .0

74.3
69.7
86.8
66.1
78.9
81.4
81.7
—1.2
-.8
-.5

29. 22
21.26
18.00
23. 97
14. 96
17.30
19. 63
36. 36
36.02
28.95

29.70
21.04
17. 62
24.04
15.01
17. 24
19.91
35. 76
35. 56
30.19

29. 35
20.81
17.58
23. 71
14.81
17.05
20. 85
34.82
35.18
29. 66

42.0
42.4
39.0
43.5
47.1
41.7
41.3
(«)
«
31.9

42.3
42.4
39.0
43.5
46.7
41.4
42.1
(6)
(»)
33.8

42.1
42.2
38.6
43.4
46.4
41.9
43.5
(6)
(6)
32.9

69.4
53.9
47.5
56.1
31.6
41.6
48.6
(6)
(6)
90.7

70.6
53.8
48.1
55.7
31.9
41.8
47.9
(6)
(6)
89.4

70.3
53.3
48.2
54.9
31.6
41.3
48.3
(6)
(•)
90.3

1
Average weekly earnings are com puted from figures furnished by all reporting estab­ 2 Indexes adjusted to 1935 census. Com parable series back to Jan u ary 1929 presented
lishm ents. Average hours and average hourly earnings are com puted from d ata supplied
in January 1938 issue of pam phlet, “ E m ploym ent and P a y R olls.”
b y a smaller num ber of establishm ents, as all reporting firms do not furnish m an-hours.
3 Average w eekly earnings, hourly earnings, and hours not strictly comparable w ith
T he figures are no t strictly comparable from m onth to m onth because of changes in the
figures published in pam phlets prior to Jan u ary 1938 as they now exclude corporation
size and composition of the reporting sample. H ours and earnings for all m anufacturing
officers, executives, and other employees whose duties are m ainly supervisory.
industries now relate to 87 industries instead of 89 which were covered in the July and
4 Cash paym ents only; the additional value of board, room, and tips cannot be com ­
prior issues of th e pam phlet. T he 2 industries excluded are electric- and steam-railroad
puted.
repair shops. T he averages for the durable goods group have also been affected by this
5 Indexes of em ploym ent and pay rolls are not available; percentage changes from pre­
exclusion. See text in section headed, “ E m ploym ent, pay rolls, hours, and earnings.”
ceding m onth substituted.
* N ot available.


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

5»

'I
a
a
a.
I

©

£»

448

Monthly Labor Review—February 1939
INDEXES OF EMPLOYMENT AND PAY ROLLS

Indexes of employment and pay rolls are given in table 2 for all
manufacturing industries combined, for the durable- and nondurablegoods groups of manufacturing industries, and for 13 nonmanufac­
turing industries, including 2 subgroups under retail trade, by months,
from November 1937 to November 1938, inclusive. The accompany­
ing chart indicates the trend of factory employment and pay rolls
from January 1919 to November 1938.
The indexes of factory employment and pay rolls are computed from
returns supplied by representative manufacturing establishments in
87 manufacturing industries and relate to wage earners only. For­
merly 89 manufacturing industries were covered in the Bureau’s
monthly survey, but two of these—electric- and steam-railroad repair
shops—are now excluded. The base used in computing the indexes
is the 3-year average 1923-25 as 100. In November 1938 reports
were received from 25,422 manufacturing establishments employing
4,237,795 workers, whose weekly earnings were $100,963,723. The
employment reports received from these establishments cover more
than 55 percent of the total wage earners in all manufacturing in­
dustries of the country and more than 65 percent of the wage earners
in the 87 industries included in the monthly survey of the Bureau of
Labor Statistics.
The indexes for the nonmanufacturing industries are based on the
12-month average for 1929 as 100. Figures for mining, laundries,
dyeing and cleaning, and building construction cover wage earners
only, but the figures for public utilities, trade, hotels, brokerage, and
insurance relate to all employees, except corporation officers, execu­
tives, and other employees whose duties are mainly supervisory. For
crude-petroleum producing they cover wage earners and clerical
field force.
Data for both manufacturing and nonmanufacturing industries are
based on reports of the number of employees and amount of pay rolls
for the pay period ending nearest the 15th of the month.


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

EMPLOYMENT 5

PAY ROLLS

A L L MANUFACTURING INDUSTRIES
Inder Nu/nhers

1923-25=100

ln s/ a \s A / / / m A a rc

° 1919 1920 1921 1922 1923 1924 1925 1926 /9271928 1929 1930 /93/ 19321933 1934 /9 3 5 1936 1937 i938 1939 1940 °
U NIT ED ST A T E S B U R E A U O F L A B O R ST A TISTIC S __________________________


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

450

Monthly Lahor Review—February 1939

T a ble 2. — Indexes of Employment and P ay Rolls in Selected Manufacturing 1 and Non-

manufacturing 2 Industries, November 1937 to November 1938, Inclusive
Em ployment
In d u stry

1937

1938

Avg. Nov. Dec. Jan. Feb.
M ar. Apr. M ay June July Aug. Sept. Oct. Nov.
1937
Manufacturing
All in d u strie s...................... 105.8 101.1 94.5 87.8 88.2 87.7 85.7 83.4 81.6 81.9 85.7 88.8 89.5 90.5
D urable goods 3______
N ondurable goods 4---Nonmanufacturing
A nthracite m ining----------Bituminous-coal m in in g .. .
M etalliferous m ining____
Q uarrying and nonm etallic
m ining__________ ___ .
C rude-petroleum producing-----------------------------Telephone and teleg rap h ..
Electric light and power,
and m anufactured g a s ...
Electric-railroad and motorbus operation and
m aintenance 3____ ____
Wholesale tra d e _________
Retail tra d e _____________
General m erchandisin g -----------------------O ther th an general
m erchandising_____
Y ear-round hotels........ .......
L aundries_______________
D yeing and cleaning____

104.0 100.8 91.7 81.7 80.1 79.3 77.0 75.0 72.4 70.3 71.7 75.3 79.0 82.2
107.6 101.4 97.2 93.7 95.9 95.8 94.0 91.5 90.3 92.9 99.0 101.6 99.4 98.3
—
60.2 60.9 61.4 59.6 60.0 59.3 57.0 52.8 56.0 44.6 37.6 46.4 52.4 51.0
99.3 101. 4 99.4 96.9 95.5 93.2 85.8 82.2 80.2 78. 5 80.1 83. 4 87.2 88.6
76.8 75.4 70.4 67.4 63.6 62.3 61.6 58.8 56.0 49.7 51.4 55.2 57.9 61.4
51.4 49.9 43.9 38.2 37.8 38.9 41.7 43.7 43.6 44.1 44.6 44.6 44.4 44.4
76. 5 77.2 76.5 75.3 74.2 73.6 73.8 73.2 72.8 72.3 72.4 71.5 69.5 68.1
77.8 78.9 78.0 77.8 75.7 74.9 74.8 75.0 74.8 74.9 74.8 74.9 74.7 74.4
95.6 97.3 96.1 93.8 92.6 92.0 91.8 91.7 92.2 92.3 92.7 92.5 92.5 92.0
73.1 73.2 72.8 72.3 71.2 70.8 71.1 70.6 70.4 70.1 69.5 69.3 69.9 69.5
92.0 93.5 93.3 91.0 90.4 89.1 88.5 87.3 87.2 86.8 87.6 88.5 89.1 89.8
89.8 91.7 100.4 84.1 82.4 83.0 88.2 83.8 83.6 81.1 80.0 85. 0 86.1 87.0
104.3 109.8 145.9 91.5 88.8 90.5 101.0 92.4 91.9 87.9 86.4 98.2 100.7 105.4
85.9 86.9
94.9 96.6
100. 6 97.8
107.5 103.5

88.5
94.9
97.0
99.2

82.1
94.3
96.8
96.8

80.7
94.5
95.7
95.6

81.0
93.4
94.8
98.5

84.9
93.5
95.4
111.8

81.5
93.7
96.2
109.9

81. 4 79.3
92. 2 90.7
96.6 97.8
110.8 108.6

78.3
90.4
97.5
105.0

81.5
91.8
96.5
107.8

82.3
92.9
94.4
106.8

82.2
92.4
93.7
102.6

Pay roll»
Manufacturing
All industries__________ . 102.0 92.9 84.2 75.0 76.9 77.1 74.6 72.9 70.8 70.6 76,9 81.0 83.8 84.1
D urable goods 3______
N ondurable goods 4---Nonmanufacturing
A nthracite m ining_______
Bituminous-coal m in in g ...
M etalliferous m ining_____
Q uarrying and nonm etallie m ining_____________
C rude-petroleum producing------------- ---------------Telephone and telegraph. .
Electric light and power,
and m anufactured gas..
Electric-railroad and motorbus operation and
m aintenance 3________
Wholesale tra d e _________
R etail tra d e _____________
General m erchandisin g ------------- ------ O ther th a n general
m erchandising...........
Year-round h o te ls........... .
L au n d ries___ ____ _______
D yeing and cleaning_____

103.5 94.8 81.0 67. 1 67.2 67.4 65.6 64.2 61.7 58.6 63.7 68.7 75.2 78.3
100.4 90.8 87.7 84.0 87.8 87.9 84.7 82.6 80.9 84. 1 91.7 94.9 93.4 90.5
46.9 49.0 51.3 46.5 46.1 47.3 39.0 38.3 49.7 20.2 20 0 29.4 43.4 36.2
88.5 91. 1 95.1 70.4 74.0 68.4 56.3 55.3 57.0 56.8 64. 2 71.9 78.3 81.4
74.0 71.6 65. 1 59.1 55.8 56.3 53.3 51.2 46. 1 38.0 43.7 46.1 49.2 51.6
45.4 41.7 33.4 27.7 28.6 30.2 33.9 38.3 37.3 37.0 39.2 38.4 39.2 37.2
68.2 70.2 69.8 68.2 69.6 68. C 68.0 66.7 67.6 66.7 66.8 66.5 63.7 62.8
89.6 91. A 94.7 93.7 89.9 92.6 91.6 91.3 90.9 90.9 91.3 92.6 95.3 93.0
99.6 103.8 102.4 98. £ 98.5 98.6 97.6 97.4 98.6 98.3 98.9 98.4 99. £ 98.6
70.6 71.8 71.9 70.6 70.2 69. £ 70.0 71.2 69.7 69 C 69.5 68.4 68. £ 68.8
76.6 78. E 77.8 75.4 75.3 74.7 74.6 75. 1 73.8 73.6 73.7 74.3 75. 1 75.3
73.1 75. c 80.6 70.1 68.4 68.6 72.2 70. C 69.5 68. 1 66.8 69.7 71. 1 71.6
92.5 97. 1 123. Í 84.6 81.5 82.2 89.4 84.4 84. S 80.4 78. S 86.8 89.7 93.1
69. 1
80.6
83. C
77.6

70.8
84. f
81. 1
73.7

71.8
82.6
81. 1
68.6

67. 1
81.6
80. 1
65.5

65.7
83.6
79. 1
65.2

65.8
80. £
78.6
68.2

68.6
80.5
80.6
87.2

67. C
80.5
80. £
80.7

66.4
79.6
81.8
83.3

65.6
77.4
83. C
77.5

64. Í
77.4
83. 1
74.3

66 1
78.9
81.4
81.7

67.2
80.8
79. 5
78.0

67.2
81.1
79.3
73.8

* 3-year average, 1923-25=100—adjusted to 1935 Census of M anufactures. C om parable indexes for earlier
m onths are in th e Novem ber issue of th e M onthly Labor Review.
2 12-month average for 1929=100. Com parable indexes are in the February 1935 and subsequent issues
of th e M onthly Labor Review, except for anthracite and bituminous-coal mining, year-round hotels, laun­
dries, and dyeing and cleaning. Indexes for these industries from January 1929 forward have been adjusted
to th e 1935 census and are presented in the Jan u ary 1938 and subsequent issues of E m ploym ent and Pay
Rolls.
3 Includes: Iron and steel, machinery, transportation equipm ent, railroad repair shops, nonferrous
metals, lum ber and allied products, and stone, clay, and glass products.
4 Includes: Textiles and their products, leather and its manufactures, food and kindred products, tobacco
m anufactures, paper and printing, chemicals and allied products, products of petroleum and coal, rubber
products, and a num ber of miscellaneous industries no t included in other groups.
8 N o t including electric-railroad car building and repairing.


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

451

Trend of Employment and Pay Rolls

TREND OF INDUSTRIAL AND BUSINESS EMPLOYMENT, BY STATES

A comparison of employment and pay rolls, by States and geo­
graphic divisions, in October and November 1938 is shown in table
3 for all groups combined and for all manufacturing industries com­
bined based on data supplied by reporting establishments. The per­
centage changes shown, unless otherwise noted, are unweighted—that
is, the industries included in the manufacturing group and in the grand
total have not been weighted according to their relative importance.
The totals for all manufacturing industries combined include
figures for miscellaneous manufacturing industries in addition to the
87 manufacturing industries presented in table 1. The totals for all
groups combined include all manufacturing industries, each of the
nonmanufacturing industries presented in table 3 (except building
construction), and seasonal hotels.
Similar comparisons showing only percentage changes are available
in mimeographed form for “all groups combined,” for “all manufac­
turing/ ’ for anthracite mining, bituminous-coal mining, metalliferous
mining, quarrying and nonmetallic mining, crude-petroleum produc­
ing, public utilities, wholesale trade, retail trade, hotels, laundries,
dyeing and cleaning, and brokerage and insurance.
T a b l e 3 . — Comparison

of Employment and P ay Rolls in Identical Establishments in
October and November 1938, by Geographic Divisions and by States

[F ig u res in italics are n o t com piled b y th e B u re a u of L a b o r S tatistic s, b u t are ta k e n from re p o rts issued b y
coo p eratin g S ta te organizations]
T o ta l—all g roups

G eo g rap hic d iv i­
sion a n d S ta te

N um ­
b er
of
e s ta b ­
lish ­
m e n ts

M a n u fa c tu rin g

P e r­
P e r­
N u m b e r c e n t­ A m o u n t c e n t­ N u m ­
of
age
ber
age
on
p a y roll change
of
p a y ro ll, change
w
eek)
from
e
sta
b­
from
N ovem ­
O cto­ N o v em ­ O cto­ lish ­
b e r 1938
b er
b er 1938
b er
m e n ts
1938
1938

(1

P e r­
P e r­
N u m b e r c e n t­ A m o u n t c e n t­
age
of
age
on
p a y ro ll change
p a y roll, change
from
w
eek)
from
N ovem ­
O cto­ N o v e m ­ O cto­
b e r 1938
b er
b e r 1938
b er
1938
1938

(1

Dollars

New England....... .

854,393

- 2 .5

3,628

587,307

51,729

- .9

951,127

- 4 .8

290

43* 216

+ 1 .3 12,444, 581
- 1 .1
761,849

38,157
15,381

- 3 .7

707, 451
313,181

- 9 .8
- 3 .9

154

33,455
9,979

- 3 .8
+ 3 .0

- . 4 10,564,555

-3 .1

1,781

265,083

- 2 .5
+ .5

449
742

76,405
159,169

M iddle Atlantic___
N e w Y o rk ____
N e w J e rs e y ___
P e n n s y lv a n ia ..

459,615
92,093
197,418

32,040 2, 018, 735
20,462
3,846
7,732

+ 0.9 19, 099,417

D ollars

13, 326

M a in e ________
775
N ew
H am p­
591
s h ire .................
444
V e rm o n t______
M a s sa c h u s e tts. i 7, m
R h o d e I s la n d . .
1,197
2,394
C o n n e c tic u t___

+.8

+ 5 .3
+ 3 .3

1,822,341
4,740,762

+.6 51,839,292

914,791
332,409
771,535

- . 1 24,724,152
+ 1 .9 8,298,299
+ 1 .0 18,816,841

East North C entral.. 25,167 2,088,087

+ 3 .7 56, 698,768

7,138
O h io ....................
I n d ia n a _______
2,993
Illin o is ................. » 6 ,8iy
M ic h ig a n ...........
3,816
W isco nsin_____ H ,37S

212

+ 2 .4 13,819,518

+ 4 .6
+ 3 .7

251,332
583,511

+ 2.7 6,283,94S
+ 1.1 15,017,708

+ 3.2
+ .5

8, 553 1, 522,391
2,435

1,083
2,465
500,445 + 1 0 .7 15,854,537 + 1 1 .7 1,054
229,700
5,723,062
2
1.516
+
.9
+ .6


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

1 .8

612,070 - 1 0 .5
197,811 - 1 . 3
-1 .9
1,449,101
- 1.0
3,721,624 + 1.1

+ .2 5,702,126
+ 6 .0
+ 2 .6

-.5
6,464 1,162, 548
+ . 9 28, 875,375
-.4
- 1 . 4 2 2,553 422,189
- . 7 11,092,476 - 2 . 9
1,613
274,867
+
2 .5 6,775,952
+ 3
+ J
+ .5
2,298 465,492 * + 1 .1 11,006,947 < + 1 .6

523,099

See footnotes at end of table.

-

-5 .4

387,535

+ 4 .6 42,854,087

+ 5.2

+ 3 .2 10,454,249

+ 5 .2

197,803 + 3.2 5,090,464 + 3 .8
374,157 + 1.2 9,562,184
+ .7
407,177 +11.2 13,330,053 +10.5
155,719 * + .2 3,917,137 *+■9

Monthly Labor Review—February 1939

452

T a ble 3. — Comparison of Employment and P ay Rolls in Identical Establishments in

October and November 1938, by Geographic Divisions and by States— C on tin u ed
M a n u fa c tu rin g

T o ta l—all groups

G eographic division
a n d S ta te

N um ­
b er
of
e s ta b ­
lish ­
m e n ts

P e r­
N u m b e r c e n t­
age
on
p a y roll, change
from
N ovem ­
O cto­
b er 1938
b er
1938

West North Central- 11, 833
M in n e s o ta ......... s 2, 709

438,992

2,032
Io w a __________
M is so u ri______
2,751
N o rth D a k o ta —
568
459
S o u th D a k o ta -.
1,065
N e b ra s k a _____
K a n s a s _______ » 2 ,249

62,324
157, 643
4,967
, 596
28,412

South Atlantic....... — 11,056

128,890

6

P e r­
A m o u n t c e n t­ N u m ­
of
age
b er
p a y roll change
of
w eek) from e s ta b ­
N o v e m ­ O cto­ lish ­
b er
b e r 1938
m e n ts
1938

(1

Dollars
- . 1 10,440, 855
- . 2 3,228,416
-1 .6
+ .4

—.2
+.6
+ .5

55,160 i° - . 6

1,419,406
3,628,814
116,443
148,687
639,592

-.6

210, 754

641

49,626

- 2 .9

385
817
29
33
136

34,424
88,798
458
2, 754
10,374

-.2

- 1 .2
- 1 .1
+ 3 .7

1,259,497 t- 1 .8

44S

24,320

+ .5

2,968

593, 859

+ .1

82
651

10, OSS
88,842

40
446
217
680
253
401
198

3,436
77,338
50,897
162,897
83,942
93,904
22,570

1,043
281
370
304

250

1,641

181,191

+ 1 -3 16,468,429
332,352
+ .3
+ . 7 8,071,958

1,059
2,066
1,167
1,588
802
1,472

1,011

39,098
113,456
135,933
178,677
91,364
118,471
45,190

1,033,931
- 1 . 6 2,069,872
+ 2 .2 3,388,651
+ 1 .5 2,672,910
+ 1 .4 1,290,317
1,823,499
784.939
+ 9 .1

- 2 .9
+ 1 .4
- .3
+ 1 .9
+ 1 .1
+ 7 .4

K e n tu c k y _____
T e n n essee_____
A la b a m a ...........
M ississip p i____

4,129
1,263
1,288
1,078
500

290,871
80,693
99,152
93,466
17,560

+ 1.8 5,311,209
+ 3 .2 1,663,327
+ . 9 1,737,748
+ 2 .5 1,661, 974
248,160
- 2 .1

+ .3
- 1.0
- 1 .6
+ 4 .5
- 3 .8

West South Central.

6,124

230,092

5, 037,898

-.6

East South C entral..

A rk a n s a s ......... .
L o u isia n a _____
O k la h o m a _____
T e x a s ..............

11 1,185

M ountain___ _ . . .

+.6

+.8

-.5

-.2
-.2

P e r­
A m o u n t c e n t­
of
age
p a y roll change
w eek) from
N o v e m ­ O cto­
ber
b er 1938
1938

(1

Dollars
2, 484

-.5

867,962
14,582

D e la w a re ______
M a ry la n d _____
D i s t r i c t of
C o lu m b ia ___
V irg in ia—...........
W e st V irg in ia ..
N o rth C aro lin a.
S o u th C a ro lin a .
G eo rg ia_______
F lo r id a ..............

P e r­
N u m b e r c e n t­
age
on
p a y roll, change
from
N ovem ­
b e r 1938 O cto­
b er
1938

- .5
+ .s
- 2 .5

-.6

- 6 .5
+ 2 .1
-.5
_ 3

5,038, 645

- 1 .2

1,303,003

+ .3

801,607 - 5 . 4
1, 966,413 - 1 . 5
11,436 - 1 3 .4
66,480
- .5
256,166 + 6 .0
633,540
0

+ 1 .6 10,226,262
229,102
+ 3

* -.6 2,064,074

+.8

+.8

+ 1.0

< + (3)

113,861
1,350,480
1,237,956
2,411,927
1,157,960
1,315, 915
344,987

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

181,015
32,572
72,944
63, 378

+ 2 . 5 3,070,845
636,995
+ 7 .6
+ 1 .1 1,241,206
+ 2 .7 1,033,251
159,393
-2 .8

+ .3
-.5
- 2 .0
+ 4 .8
- 6 .0

1,320

111, 163

- 1 .3

2,369,470

- 1 .4

361,403

-4 - 7

88 12,121

- 1 .4
+ 4 .6
+ 2 .0
+ 1 .4
+ 1 .1
+ 8 .9

85,886

- 1 .1

695,932

- 2 .8

811

22,057

991
1,310

53,994
39,067

- 2 .1
- 1 .5

1,042,284
960,017

- 2 .8
-1 .7

238
135

30,474
10,590

-4 .4
- 4 .0

550,766
248,821

- 4 .6
- 4 .6

2,688

101,695

+ .9 2,489,665

+1.8

636

48,042

+ f .S 1,208,480

+ 1.9

4,102
642
496
' 325
1,273
292
420
495
159

125,404
18,707
11,812
9,130
43,973
6,586
13,985
18,753
2,458

+ 1 .1
+ 8 .1
- 1 .5

3,192,075
509,676
287,815
270,478
+ 3 1,095,212
- .9
141,759
+ 5 .2
362,490
- 2 .8
450,962
+ 2 .7
73,683

+ 5 .2
+ 6 .5
-.4
+ 4 .6
+ 7 .3
+ 4 .0
+ 2 .2
+ 6 .5
+ 1 .7

551
72
61
39
197
31
41
96
14

40,115
-1 .5
5,204 + 5 .4
4,622 - 5 . 1
1,937 - 1 . 7
16,151
925 - 1 1 . 2
2,776 + 4 .2
8,262 - 7 . 1
238 + 4 .4

Pacific____________ 10,447

445, 572
85,724
43, 798

- 1 . 9 12, 551, 590
- 3 . 3 2, 220,655
- 3 . 2 1,109,384

- 2 .4
- 5 .1
- 6 .2

2,662
557
310

229,499
49,913
26, 534

- 5 .0
- 5 .3
- 4 .6

6,207,416
1,272,899
661,135

-5 .7
- 7 .5
- 9 .7

816,050

- 1 .8 9,221,551

-l.S

1,795

153,052

- 5 . 0 4,278,882

-4 -5

M o n ta n a ............
I d a h o ........... .......
W y o m in g _____
C o lorado ______
N ew M e x ic o . . .
A rizo n a_______
U ta h — .............
N e v a d a _______
W a sh in g to n ___
O re g o n ............. .
C alifo rn ia...........

2,614
1,273

126,560

+.1

- 1.4

989, 089 + 7 .6
129,321 - 1 . 3
112,019 + 5 .7
58,184
+ .5
406,819 + 1 3 .1
15, 512 - 1 1 .4
65,380 + 2 .0
195,175 + 1 0 .8
6,679 - 1 . 9

*Includes banks and trust companies; construction, municipal, agricultural, and office employment;
amusement and recreation; professional services; and trucking and handling.
s Includes laundering and cleaning; and water, light, and power.
*Less than Ho of 1 percent.
‘ Weighted percentage change.
*Includes automobile and miscellaneous services; restaurants; and building and contracting.
8Includes construction but not public works.
1Does not include logging.
*Includes banks; real estate; pipe-line transportation; trucking and transfer; railroads (other than repair
shops); motor transportation (other than operation and maintenance); water transportation; hospitals and
clinics; personal, business, mechanical repair, and miscellaneous services; and building construction.
8Includes financial institutions, miscellaneous services, and restaurants.
i° Weighted percentage change including hired farm labor.
ii Includes automobile dealers and garages; and sand, gravel, and building stone.
*JIncludes banks, insurance, and office employment.


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

Trend of Employment and Pay Rolls

453

INDUSTRIAL AND BUSINESS EMPLOYMENT IN PRINCIPAL
METROPOLITAN AREAS

A comparison of employment and pay rolls in October and Novem­
ber 1938 is made in table 4 for 13 metropolitan areas which had a
population of 500,000 or over in 1930. Cities within these areas, but
having a population of 100,000 or over, are not included. Data con­
cerning them are presented in a supplementary tabulation which is
available on request.
Footnotes to the table indicate which cities are excluded. The
figures represent reports from cooperating establishments and cover
both full- and part-time workers in the manufacturing and non­
manufacturing industries presented in table 1, with the exception of
building construction, and include also miscellaneous industries.
Revisions made in the figures after they have gone to press, chiefly
because of late reports by cooperating firms, are incorporated in the
supplementary tabulation mentioned above. This supplementary
tabulation covers these 13 metropolitan areas as well as other metro­
politan areas and cities having a population of 100,000 or more ac­
cording to the 1930 Census of Population.
T a b l e 4 . — Comparison

of Employment and P ay Rolls in Identical Establishments in
October and November, 1938 by Principal Metropolitan Areas

M etropolitan area

N um ber of
establish­
m ents

N um ber
on pay
roll N o­
vember

Percentage
change
from
October

A m ount of
pay roll
(1 week)
N ovem ber

Percentage
change
from
October

New Y ork, N . Y .i____ _______________
Chicago, 111.2............................................ ..
Philadelphia, P a.3____________________
D etroit, M ich ________________________
Los Angeles, Calif.*___________________

14,665
4,564
2.083
1,608
3.083

626,738
417,985
194,682
321,504
155,944

+ 0 .6
+ 1 .4
+ 1 .7
+11.6
+ 1 .7

$16,482,056
11,317,155
5,170,351
10,920,392
4,498,434

+ .7
+ .7
+12.5
+ 1.1

Cleveland, Ohio_______________ ______
St. Louis, M o _____________ _________
B altim ore, M d ______ ________________
Boston, M ass.3_____ ___ ______________
P ittsburgh , P a ______ _____ ___________

1,712
1,470
1,193
1,551
1,092

119,442
118,412
99,052
107,917
162,338

+ 1 .8
+ .7
+ .9
+ 1.1
+ 1.4

3,200,713
2,803,238
2,346,787
2,868,016
4,249,585

+ 1 .4
+ (0
+ .4
- 1 .3
+ 4 .3

San Francisco, Calif.6. . . _______________
Buffalo, N . Y ....................... .....................
M ilw aukee, W is___ __________________

1,721
829
1,145

81,595
65,400
94,288

+ 3 .4
+ 2 .3
+ 1.7

2,418,282
1,792,265
2,576,546

+ 3 .2
+ 1 .6
+ 3 .7

-

1.0

1 Does not include Elizabeth, Jersey City, Newark, or Paterson, N . J., nor Yonkers, N . Y.
* Does not include Gary, Ind.
* Does not include Camden, N . J.
* Does not include Long Beach, Calif.
* Figures relate to city of Boston only.
8 Does not include Oakland, Calif.
7 Less than Ho of 1 percent.

UNEMPLOYMENT IN FOREIGN COUNTRIES, LAST
QUARTER OF 1938
AS WAS to be expected from returns for earlier months in 1938,
statistics of unemployment in many foreign countries reflected a

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

454

M o n th ly

Labor Review—February 1939

somewhat less satisfactory situation at the end of the year than in
1937. Increased unemployment was reported in trade-union statis­
tics, unemployed registered, and in returns for some compulsorily
insured workers.
In Belgium, Canada, France, Great Britain, Norway, The Nether­
lands, and Sweden the latest available figures show that unemployment
was heavier than in the same period of 1937.
Conditions were more favorable in Australia, Denmark, Germany,
Ireland, Poland, New Zealand, and Switzerland, but in some countries
the series on unemployment showed a comparatively small decrease
in unemployment in the latter part of 1938 as compared with identical
months in 1937.
The table following gives statistics of unemployment in foreign
countries as officially reported, by years from 1932 to 1937, and by
months beginning with November 1937 and including the latest month
for which figures are available. Beyond comparisons of the figures in
a single series for different periods, it is not possible to use the official
unemployment statistics to measure volume of unemployment in a
single country or to compare conditions in one country with those in
another, owing to the fact that the coverage is not always complete.
For example, only insured persons may be reported in some instances,
or certain classes, such as agricultural labor, may be excluded.
Statement of Unemployment in Foreign Countries
A ustralia

Y ear and date (end of m onth)

Belgium

A ustria

Trade-unionists
unem ployed

U nem ploym ent-insurance societies
C om pul­
sory insur­
ance, n u m ­
W holly unem ­
P artially unem ­
ber of un ­
ployed
ployed
employed
in receipt
of benefit N um ber Percent N um ber Percent

N um ber

Percent

1932____________ _____ _____
1933___________ _____ ______
1934_______________________
1935___________ ____ _______
1936_______________________
1937____________ __________

120,454
1C4,035
86,865
71,823
53,992
41,823

29.4
25.1
20.5
15.6
12.2
9.3

309,969
328,844
287,528
261, 768
259,185
231,313

161,468
168,033
182,855
165,469
122,256
104, 785

19.0
17.0
19.0
17.9
13.4
11.5

175, 259
170,023
166,229
118, 754
91,451
89, 281

20.7
17.2
17.2
12.8
10.0
9.8

1937
N ovem ber_________________
December_______________

37, 558

8.2

224,166
268i 784

115, 564
136; 298

12. 7
14.9

110,176
147,510

12.1
16.1

37, 111

8.0

39,824

146,678
141,499
131,007
121, 734
12i; 763
115; 382
114, 555
118; 750
12< 010
135,847

16.0
15.3
14.2
13.1
13.1

8.6

302, 263
300; 294
263', 000
1 280,000
i 246| 000
i 190,000
l 123,619
• 91; 5 n
1 73; 488
1 69,617

178 668
164,444
136, 510
136 141
171,217
158,064
152, 286
149; 096
144,076
154,827

19.4
17.8
14.8
14. 7
18 4
16.8
16.1
15. 7
15. 1
16.1

1938
Ja n u a ry ............................... .......
F e b ru a ry .................. ..................
M arch ..................... ....................
A pril____ ______ __________
M a y .......................................
J u n e . . . ___________________
J u ly ____ ____ ____ _________
A ugust____________________
Septem ber___________ _____
October___________________

43,092

1 Revised series—unem ployed registered.


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

9.2

12.3

12. 1

12.5

13.0
14.1

Trend of Employment and Pay Rolls

455

Statement of Unemployment in Foreign Countries— C on tin u ed
C anada

Y ear and date (end of m onth)

Danzig,
Free
C ity of

Czechoslovakia

Percent N um ber
of trade- of unem ­
unionists ployed
u n em ­
on live
ployed
register

Trade-union insur­
ance funds — u n ­ N um ber
employed in re­ of unem ­
ceipt of benefit
ployed
N um ber

D enm ark

Trade-union unem ­
ploym ent funds—
unem ployed
N um ber

Percent

Percent

1932............................................
1933..._______ ____________
1 9 3 4 ....___________________
1935___________________ _
1936_______________________
1937_______________________

22.0
22.3
18.2
15.4
13.3
10.7

554,059
738, 267
676,994
686, 269
622, 687
408,949

184,555
247,613
245,953
235, 623
208,539
151,167

13.5
16.9
17.4
15.9
13.1
8.8

33, 244
31,408
20, 326
17,983
13,553
8,009

99, 508
97,417
81, 756
76,195
78,669
95,103

31.7
28.8
22.2
19.8
19.3
21.9

1937
N ovem ber___________ _____
December_________________

11.2
13.0

333,455
459,142

132,364
177,972

7.5
10.0

5,028
9, 714

103,878
153,384

23.5
34.6

1938
Jan u a ry _____ ____ _________
F e b ru a ry __________________
M arch____________________
A pril______________________
M ay ______________________
Ju n e ______________________
J u l y .. . _______ ____________
A ugust_______________ ____
Septem ber.................................
O ctober______________ _____
N ovem ber_________________

12.4
13. 7
12.8
13.1
13.2
13.5
14.0
11.6
10.4
12.3
13.7

519,002
511,288
434,506
360,849
284, 785
224,170
184,118
165,423
261,697
2 77, 331
2 102, 232

222,050
220,138
204,132
173,487
145, 692
121,827
107, 596
96, 205

12.4
12.3
11.4
9.7
8.4
6.8
6.0
5.4

10, 223
8,580
4, 722
3,157
2,022
1,544
1,139
1,048
1, 200
1,757
1,985

130, 288
124,228
99,076
90,983
78,541
75, 227
76, 743
76, 659
76, 739
86,188
103,701

29.2
27.7
22.1
20.3
17.5
16.7
16.9
16.9
16. 8
18.8
22.6

Estonia
Y ear and d ate (end of m onth)

Finland

N um ber u n ­
employed re­ N um ber of
maining on unem ployed
registered
live register

France

G erm any

G reat B ritain

N um ber of
unem ployed
in receipt of
benefit

N um ber of
unemployed
registered

N um ber of
persons reg­
istered w ith
em ploym ent
exchanges 4

1932.
1933.
1934.
1935.
1936.
1937.

7,121
8, 210
2,970
1, 779
1,276
1,158

17,581
17,139
10, Oil
7,163
4,796
3,763

273,412
276,033
345,033
426,931
432,120
350,458

5, 579,858
4, 733,014
2, 718,309
* 2,151,039
2 1, 592,630
2 912,312

2,757,000
2,520, 616
2,159,231
2,036,422
1, 754,975

N ovem ber.
D ecem ber..

1, 473
1,726

3,924
3, 770

332,850
365,452

572,621
994,784

1,499,203
1,665,407

J a n u a ry __
F e b ru a ry ..
M arch____
A pril_____
M a y ............
Ju n e ........... .
J u ly ...........
A ugust___
Septem ber.
O ctober___
N ovem ber.
D ecem ber..

2,255
1,798
1,805
1,302
872
684
519
522
607
999
1,719
1,831

4, 579
4, 544
3,635
3,462
2,963
2,414
2,186
2,747
3,192
4,041
5,172

403,813
412, 386
398, 254
393,054
380,826
362,899
344,517
338, 383
338,409
361, 724
367,106
404, 730

1,051,745
946, 431
507, 649
422, 530
338, 355
292, 240
218, 328
178, 762
155, 996
163, 941
152,430
455,622

1,827,607
1,810,421
1, 748, 981
1, 747, 764
1, 778,805
1,802,912
1, 773,116
1,759, 242
1,798,618
1, 781, 227
1,828,103
1,831,372

2 N ew territo ry .
5 Includes the Saar.
4 N ew series from Septem ber 1937 on.


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

456

Monthly Labor Review—February 1939
Statement of Unemployment in Foreign Countries— C on tin u ed
Great B ritain and N orthern Ireland

H ungary

Com pulsory insurance
Year and date (end of
m onth)

Tem porary stop­
pages

W holly unemployed

N um ber

Percent

N um ber

Percent

Trade-unionists
Em ploy­
unemployed
m ent ex­
changes,
applica­
tions for
work
C hristian Social
(B uda­
D em o­
pest)
cratic

1932_______________________
1933_______________________
1934_______________________
1935_______________________
1936_______________________
1937_______________________

2,272.590
2,110.090
1,801,913
1,714,844
1,497,587
1,277.928

17.6
16.4
13.9
13.2
11.3
9.4

573.805
456,678
368, 906
312,958
251,379
204,020

4.5
3.5
2.9
2.3
1.9
1.5

66, 235
60, 595
52,157
52, 048
52,114
48, 359

1,026
1,085
996
967
800
945

29,772
26,716
22,291
18,315
15,637
14,279

1937
N ovem ber...................
... .
December_________________

1,284.386
1,338,850

9.4
9.8

222, 204
326,026

1.6
2.4

36,968
46,132

1,116
1,211

13,840
16,163

1, 466,354
1,466,887
1, 425, 596
1,394,315
1,375, 768
1,351,865
1,338, 509
1, 333,082
1,387,087
5 1, 516, 467
1,568,883
1 ,69i; 128

10.7
10.7
10.4
10.2
10.0
9.9
9.8
9.7
10.1
10.2
10.6
10.7

351,483
340, 630
338,483
365, 599
404,303
477,617
480, 569
447,161
419, 695
5 314,161
311, 562
299', 831

2.6
2.5
2.5
2.7
3.0
3.5
3.5
3.3
3. 1
2.1
2.1
2.0

49,832
50,442
50,850
47,423
46,445
45,415
45,454
47, 659
47, 413
45,328

1,270
1,211
1,150
1,061
1,022
1,214
1,205
1,115
946

19,108
18,142
17,486
18,476
18, 767
19,191
19,134
15, 534
12,889

1938
Jan u a ry ___________________
F e b ru a ry ____ _ ___________
M arch _________ _______ .
A pril______________________
M a y ____ __________________
J u n e ______________________
J u ly _______________________
A u g u s t___________________
Septem ber_________________

Y ear and date (end of
m onth)

Ireland

Jap an

L atvia

N etherlands

Compulsory insurance—
num ber
unemployed.

Official estimates,
unem ployed

N um ber
unemployed
remaining
on live
register

U nem ploym ent insur­
ance societies—unem ­
ployed

N um ber

Percent

N um ber

Percent

62, 817
72, 255
103, 671
8 119, 498
99,834
82,425

485,681
408, 710
372,941
356,044
338,365
295,443

6.8
5.6
5.0
4.6
4.3
3.7

14, 587
8,156
4, 972
4,825
3,851
3,014

153, 500
163,000
160,400
173, 673
168, 668
137,700

29.5
31.0
32.1
36.3
36.2
29.2

N ovem ber.
D ecem ber..

94,414
97,855

270,418
270,592

3.4
3.4

2,304
3,968

138,118
155,959

28.9
32.4

Jan u a ry ___
F e b ru a ry ..
M arch____
A pril...........
M ay _____
Ju n e ............
J u ly .......... .'
A ugust.......
Septem ber.
O ctober___
N ovem ber.
D ecem ber..

105,449
104, 829
102, 515
100, 076
97, 571
71,959
68,320
70| 552
70’ 411
91, 280
93, 223
88,380

271,874
265, 845
254, 906
243,093
227,992
230,262

3.4
3.3
3.1
3.0
2.9
2.9

4,123
4, 071
3, 622
2,611
1,313
1,148
887
604
663
1,060
2,132

166, 288
156, 575
142, 578
133,106
128, 016
122,873
122, 013
118, 894
117, 738
120,357
113,192
195,047

34.5
31.2
29.2
27.0
26.0
24.9
24.6
23.9
24.0
24.5

1932.
1933.
1934.
1935.
1936.
1937.
1937

* Includes agricultural and domestic labor.
• Incom plete figures.


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

Trend of Employment and Pay Rolls

457

Statement of Unemployment in Foreign Countries— C on tin u ed
N ew Zea­
land

Year and date (end of m onth)

N um ber
unem ­
ployed
registered
b y em ploy­
m ent ex­
changes 7

N orw ay

Trade-unionists (10
unions) unem ployed

N um ber

Percent

Poland

R um ania

N um ber
unem ­
ployed
remaining
on live
register

N um ber
unem ­
ployed
registered
w ith em­
ploym ent
offices

N um ber
unem ­
ployed
remaining
on live
register

1932___ ____________________
1933_______ ________________
1934___________________ ____
1935_______________________
1936_______ ________________
1937...................... .........................

51,549
46, 971
39,235
38, 234
36,890

14,790
16,588
15,963
14, 783
13, 267
16,532

30.8
33.4
30.7
25.3
18.8
20.0

32, 705
35,591
35,121
36,103
32, 643
28,520

255,582
249,660
342,166
381,935
367, 327
375,088

38,899
29,060
16,871
13,852
13,549
10,851

1937
N ovem ber_________________
D ecem ber_________________ _

11, 276
8,367

18,827
22,687

22.0
26.6

32,239
33,906

329,474
463,175

8,341
12,135

1938
Ja n u a ry ____________________
F e b ru a ry .._______ _________
M arch _____________________
A pril____________________ _
M ay ________ ____________
Ju n e ______ _____ __________
J u ly _______________________
A ugust____________________
Septem ber_________________
O ctober_________________ __
N ovem ber___________ ____
D ecem ber__________________

8,056
7, 241
6,695
7,215
8,314
8,721
3,929
2,154
1,575
1,245
1,026

24, 746
24.321
22.916
21, 256
17.853
16,197
14,843
14, 504
15,683
16,490

28.9
28.2
26.5
24.5
20.5
18.5
16.9
16.4
17.7
18.5

33,046
35,311
34.104
29,8o0
25,693
22,938
20,144
21,068
26,105
30,085
33,861
34,873

546,947
547,983
493,000
393, 291
304,336
296,322
276, 759
211.076
234, 534
316, 474
316,474
455,470

12,096
11,927
10,907
7,957
5,618
5,348
3,836
4,807
5,493
5,290

Sweden

Switzerland

Trade-unionists
unem ployed

U nem ploym ent funds

Yugo­
slavia

Y ear and date (end of m onth)
W holly unem ­
ployed
N um ber

Percent
N um ber

Percent

1932__________ ____ __________
1933______ __________________
1934._________ ______________
1935........ .............. ..................... .
1936.___________ _____ _______
1937________ ___________ ____

89,922
97' 316
80Î 216
81,385
7i; 552
67| 351

22.8
23.7
18.9
16.1
13.6
11.6

1937
N ovem ber____ ______________
D ecember____ ______________

69,533
109,621

11.7
18.5

50,000
71,613

9.5
13.4

1938
Jan u a ry _____________________
F eb ru ary ____________________
M arch ______________________
A pril.____ _____ _______ _____
M a y ................. ...............................
J u n e . .. _____________________
Ju ly .............................. ..................
A ugust______ ____ __________
Septem ber___________ ____ _
O ctober_____________________
N ovem ber__________________

92, 909
89,614
84,474
71,812
56, 281
57, 285
49, 093
50,461
51,557
62,137
75,289

15.4
14.5
13.7
11.6
9.1
9.3
8.0
8.1
8.2
9.8
11.9

77,900
75,900
52,007
42,100
37, 900
34,005
32,700
33, 600
34,264
38,400

14.0
13.6
9.6
7.5
6.8
6.3
5.8
6.0
6.3
6.8

N um ber

9.1
10. 8
9.8
11.8
13.2
10.0

7 N ew series from 1933 through Septem ber 1937: revised in October 1937.


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

P artially unem ­
ployed

N um ber
of unem ­
ployed
regis­
tered

Percent
12.2
8 5
6.1
5.9
5.3
2.5

14 761
15 997
15 647
16,752
19,436
21,650

16,200
18,877

3.0
3.5

18,494
29,988

20,900
23, 400
25,074
24,200
24,900
25, 580
24,800
23,800
23,502
22,000

4.0
4.4
4.7
4.6
4.7
4.7
4.6
4.4
4.3
4.1

44,234
42,145
36,413
29,184
18,023
14,828
13,049
10,973
10,926
12,103
14,739

Building Operations

SUMMARY OF BUILDING CONSTRUCTION IN
PRINCIPAL CITIES, DECEM BER 1938 1
IN DECEMBER there was a decrease of 0.5 percent from November
in the value of permits issued for all classes of building construction, a
considerably smaller drop than the usual seasonal decline. The value
of new residential buildings decreased 14.8 percent and additions,
alterations, and repairs showed a decline of 3.3 percent. The permit
valuation of new nonresidential buildings, however, increased 22.5 per­
cent. These data are based on reports received by the Bureau of
Labor Statistics from 2,078 cities.
A comparison of data for December 1938 and December 1937, based
on reports of building activity in 1,607 identical cities, showed a decline
of 5.8 percent in the value of permits issued for all classes of building
construction. However, figures excluding data for New York City
showed an increase of 57.9 percent for all classes of building construc­
tion with gains in new residential construction of 65.2 percent and in
new nonresidential of 93.7 percent. The value of additions, altera­
tions, and repairs declined 7.2 percent. In studying the cyclical trend
of building construction the data excluding New York City are more
significant than the data for all cities including New York, because a
new building code became effective in New York City the latter part
of January 1938. This caused a large influx of applications for per­
mits during December 1937 and January 1938 which normally would
have been spread over a longer period.
Comparison of December 1938 With November 1938

A summary of building construction in 2,078 identical cities in
November and December 1938 is given in table 1.
* M ore detailed information by geographic divisions and individual cities is given in a separate pam phlet
en titled “ Building Construction, December 1938,” copies of w hich w ill be furnished upon request.

458


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

459

Building Operations

T a b le 1.— Summary of Building Construction fo r Which Permits Were Issued in 2,078

Identical Cities, November and December 1938
N um ber of buildings
Class of construction
Decem­
ber 1938

Per­
N ovem ­ centage
ber 1938 change

P erm it valuation

December
1938

N ovem ber
1938

P er­
centage
change

All construction......................................

37,869

53,109

-2 8 .7

$144, 902,709

$145,621,671

-0 .5

New residential.......................................
New nonresidential______ __________
A dditions, alterations, and repairs___

10,812
6,932
20,125

13,809
10,409
28,891

-2 1 .7
-3 3 .4
-3 0 .3

63, 372,090
60,013,610
21,517,009

74,350,052
49,009,275
22,262,344

-1 4 .8
+22.5
-3 .3

A summary of permit valuations of housekeeping dwellings and the
number of families provided for in new dwellings in 2,078 identical
cities having a population of 1,000 and over, is shown in table 2 for
December compared with November 1938.
T a b le 2.—Permit Valuation of Housekeeping Duellings and Number of Families

Provided for in 2,078 Identical Cities, November and December 1938
P erm it valuation of housekeeping
dwellings
T y p e of dwelling

M u ltifa m ily 3. - __________ . . . . . .

December
1938

Novem ber
1938

$62, 553,030

$74,088, 331

40, 537,226
1,875,656
20,140,148

52,066, 702
2,379, 720
19, 641, 909

Per­
cent­
age
change

N um berof families provided
for in new dwellings
P er­
cent­
age
change

Decem­
ber 1938

N ovem ­
ber 1938

-1 5 .6

16, 753

20,088

-1 6 .6

-2 2 .1
-2 1 .2
+ 2 .5

10,045
730
5,978

12,964
960
6,164

-2 2 .5
-2 4 .0
-3 .0

1 Includes 1- and 2-family dwellings w ith stores.
3 Includes m ultifam ily dwellings w ith stores.

Comparison of December 1938 With December 1937

Table 3 presents a summary of the number of buildings and value
of permits issued in 1,607 identical cities in December 1938 compared
with the corresponding month of 1937.
T a b le 3.—Summary of Building Construction for Which Permits Were Issued in 1,607

Identical Cities, December 1937 and 1938
N um ber of buildings
Class of construction

New nonresidential________ ____ ___
A dditions, alterations, and repairs___


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

P erm it valuation
Per­
centage
change

Per­
centage
change

D ecember
1938

December
1937

33,993

+ 9 .4

$142, 631,983

$151,450, 762

- 5 .8

8,031
5,729
20,233

+31.2
+18.1
- 1 .7

62,326,335
59,089, 924
21,215, 724

64, 236,457
60, 519,351
26,694,954

- 3 .0
- 2 .4
-2 0 .5

Decem­
ber 1938

Decem­
ber 1937

37,198
10, 535
6,768
19,895

460

Monthly Labor Review—February 1930

Table 4 shows a comparison of the value of permits issued for
housekeeping dwellings and the number of families provided for in new
dwellings in 1,607 identical cities with a population of 2,500 and over
in December 1938 with the corresponding month of the preceding year.
T a b l e 4 . —Permit

Valuation of Housekeeping Dwellings and Number of Families
Provided for in 1,607 Identical Cities, December 1937 and 1938
P erm it valuation of housekeeping
dwellings

T ype of dwelling

All ty p es....................

.............................

1-family__________________________
2-family i __________ ____ _______ _

December
1938

D ecember
1937

$61, 510,775

$63, 111, 210

39, 516,671
1,871,956
20,122,148

26,833,885
4,793,734
31,483,591

J Includes 1- and 2-family dwellings w ith stores.

Per­
centage
change

N um ber of families provided
for in new dwellings
P er­
centage
change

Decem­
ber 1938

Decem­
ber 1937

-2 .5

16,474

16,028

+ 2 .8

+47.3
-6 0 .9
-3 6 .1

9,775
725
5,974

7,043
1,454
7,531

+38.8
-5 0 .1
-2 0 .7

> Includes m ultifam ily dwellings w ith stores.

Construction During Calendar Years 1937 and 1938

Cumulative totals for the calendar year of 1938 compared with 1937
are shown in table 7. The data are based on reports received from
cities having a population of 2,500 and over.
T a b le 7.—Permit Valuation of Building Construction, Calendar Years 1937 and 1938,

by Class of Construction
P erm it valuation of building construction
Class of construction
1938

All construction_____ ______ ___________ __________
New residential.............................................................
New nonresidential............................... .........................
A dditions, alterations, and repairs................................

Percentage
change

1937

$1,694, 345,021

$1,647,962,177

+ 2.8

842,102, 523
544,963,928
307, 278, 570

738,047,040
545,283, 338
364,631,799

+14.1
- 0 .1 '
-1 5 .7

Table 8 presents the permit valuation of housekeeping dwellings
and number of family-dwelling units provided in cities with a popu­
lation of 2,500 and over for the calendar years 1937 and 1938.
T a b le 8.—Permit Valuation of Housekeeping Dwellings and Number of Families

Provided for, Calendar Years 1937 and 1938, by Type of Dwelling
P erm it valuation of housekeeping
dwellings
T ype of dwelling

All types

_________________

1-family......... ........................................
M ultifam ily A .......................... ..............

1938

1937

P er­
centage
change

1938

$832,925,148

$726,134,491

+14.7

228, 539

181,755

+25.7

549,570, 247
31,670,980
251,683,921

516,388, 274
33, 775, 296
175,970,921

+ 6 .4
-6 .2
+43.0

138,412
12,064
78,063

119,905
11,916
49,934

+15.4
+ 1 .2
+56.3

1 Includes 1- an d 2-family dw ellings w ith stores.


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

N um ber of families
provided for
1937

Per­
centage
change

J Includes m ultifam ily dwellings w ith stores.

Building Operations

461

The information on building permits issued during November and
December 1938 is based on reports received by the Bureau of Labor
Statistics from 2,078 identical cities having a population of 1,000 and
over. The data for December 1937 and 1938 are based on reports
from 1,607 identical cities with a population of 2,500 and over.
The information is collected by the Bureau of Labor Statistics from
local building officials, except in the States of Illinois, Massachusetts,
New Jersey, New York, North Carolina, and Pennsylvania, where
the State departments of labor collect and forward the information
to the Bureau. The permit valuations shown in this report are
estimates, made by prospective builders on applying for permits to
build. No land costs are included. Only building projects within
the corporate limits of the cities enumerated are included in the
Bureau’s tabulation. In addition to permits issued for private and
municipal building construction, the statistics include the value of
contracts for Federal and State buildings in the cities covered by
the report. Data concerning public buildings are collected by the
Bureau from the various Federal and State agencies having the power
to award contracts for building construction. In December 1938 the
value of these buildings amounted to $12,426,000; in November 1938,
to $17,496,000; and in December 1937, to $6,479,000.
Construction From Public Funds

The value of contracts awarded and force-account work started
during December 1938, November 1938, and December 1937 on
construction projects financed wholly or partially from various
Federal funds is shown in table 9.
T a ble 9. — Value of Contracts Awarded and Force-Account Work Started on Projects

Financed From Federal Funds, November and December 1938 and December 1937 1
Contracts aw arded and force-account work
started
Federal agency
D ecember 1938 Novem ber 19382 December 1937 2

Public W orks A dm inistration:
N on-Federal:
N . I. R . A _____________________ _____ ______ _
E . R . A. A ______ ______ ______ ______________
P . W . A. A. 1938..
.......................... ...........
Federal projects un d er T he W orks Program . ------------Regular Federal appropriations__________ ___________

' Prelim inary, subject to revision.
2 Revised.

121435— 39-------14


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

$139,545,435

$116,127,488

$224,725,582

6,151,504

21,007,404

68,895

0
491,173
37,476,607
2,233,200
61,438,223
8,336,781

676.653
2,362,904
110,292,216
2,120,604
87,792.351
473,450

1,837,422
59,968,854
7,451, 275
69,618,989

462

Monthly Labor Review—February 1939

The value of public-building and highway-construction awards
financed wholly from appropriations from State funds, as reported
by the various State governments for December 1938, November
1938, and December 1937 is shown in table 10.
T a b l e 1 0 . — Value

of Public-Building and Highway-Construction Awards Fiiumced
Wholly From State Funds
Value of contracts

T ype of project


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

December
1938
$205,283
4,051,786

N ovem ber
1938
$3,651,020
4,456,701

December
1937
$4, 549,602
2,572,449

R etail P rices 1

FOOD PRICES IN DECEM BER 1938
RETAIL costs for food increased 1.0 percent between November and
December due principally to a greater than seasonal advance of 7.3
percent in the price of butter and higher prices for 11 of the 13 fresh
fruit and vegetable items.
The December index for all foods was 78.6 percent of the monthly
average of the 1923-25 period. It was 4.9 percent lower than in
December 1937 when the index was 82.6. Decreases for the 12month period were shown for all of the commodity groups except
eggs and fruits and vegetables. As compared with December 1937,
eggs advanced 10.3 percent, and important items of fresh fruits and
vegetables, including potatoes and apples, were priced higher. Food
costs were 21.3 percent higher than in December 1932 when the index
was 64.7, and 25.7 percent lower than in December 1929 when the
index was 105.7.
Indexes of retail food costs by commodity groups for December and
November 1938, together with indexes for December 1937, 1932, and
1929 are shown in table 1. The accompanying chart shows the trend
in the cost of all foods and of each major commodity group for the
period from January 1929 to December 1938, inclusive.
Indexes of Retail Food Costs in 51 Large Cities Combined,l by Commodity
Groups, December and November 1938 and December 1937, 1932, and 1929

T a b l e 1. —

[1923-25=100]
1938
C om m odity group
Dee. 13 a N ov. 15

Beverages and chocolate.....................................................

1937
Dec. 14

1932
Dec. 15

1929
Dec. 15

78.6

77.8

82.6

64.7

105.7

86.5
92.7
79.1
84.5
59.6
58.2
74.5
57.3
66.3
65.8
62.6

86.8
93.2
77.4
87.2
55.9
54.0
75.0
57.7
66.4
66.6
62.5

93.6
98.0
88.2
76.7
58.4
56.2
79.9
62. 4
69.4
72.0
66.8

71.1
66.8
65.7
80.6
51.8
50.7
66.8
49.5
72.8
49.0
58.5

97.8
117.6
100.5
128.7
103.7
104.1
94.6
106.9
105.3
90.7
75.1

i Aggregate costs of 42 foods in each city prior to Jan. 1, 1935, and of 84 foods since th a t date, weighted to
represent total purchases, have been combined w ith th e use of population weights.
i Prelim inary.
1 M ore details on food, gas and electricity prices are given as a separate pam phlet, entitled "R e ta il Prices
in D ecem ber 1938.”


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

463

Monthly Labor Review—February 1939

464

R e t a il C o s t

of
192 3-2 5= 100

index Numbers

140

120

100

Index Numbers

140
120

A

100

C e re a ls & B a k e r y
P r o d u c ts ¡Y ~

80

80

dh?i:SCi/A

60

40

Fo o d

F ru it s & Veg e t a b l e s ^ *
\

60

A l l F o o d s '^
1

1

40

140
120

to o
80

60
4 0

U n it e d S ta t es B u r e a u o E l a b o r S t a t ist ic s


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

465

Retail Prices

Prices of each of the 84 foods for 51 cities are combined with the use
of both consumption and population weights. Quantity weights for
each food include the average family consumption in each city, not
only of the food priced, but for groups of foods which are related in
kind and which seem to follow the same price trend. These weights
are based on the cost of living study of 1917-19. Population weights
are averages of the population in 1920 and 1930 for each city, including
adjacent metropolitan areas and cities of over 50,000 in the same
region.
Prices of 49 of the 84 foods included in the index were lower in
December than in November, 29 were higher, and 6 were unchanged.
Compared with December 1937, prices of 73 foods were lower and
11 were higher.
Average prices of each of the 84 foods for 51 cities combined are
shown in table 2 for December and November 1938, and Decem­
ber 1937.
T a b l e 2 . —Average

Retail Prices of 84 Foods in 51 Large Cities Combined, December and
November 1938 and December 1937

[‘ Indicates th e foods included in indexes prior to Jan. 1, 1935]
1937

1938
Article
Dec. 13 '
Cereals and bakery products:
Cereals:
•F lour, w heat________
•M acaroni___ _______
•W heat cereal________
•Corn flakes_________
•C orn m eal....................
H om iny g rits...............
•R ice_______________
•Rolled oats_________
Bakery products:
•B read, w h ite_______
Bread, w hole-wheat—
B read, ry e....................
C ake..............................
Soda crackers..............
M eats:
Beef:
•Sirloin steak— ............
•R o u n d steak ________
•R ib roast___________
•C huck roast________
• P la te .............................
Liver..............................
Veal:
C u tlets..........................
Pork:
•C hops________ _____
Loin roast__________
•Bacon, sliced..............
Bacon, s trip ________
•H am , sliced________
H am , w h o le............ —
Salt pork......................
Lam b:
B reast............................
C huck...........................
•Leg.................................
R ib chops____ ______
• Prelim inary.


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

............... pou n d —
................. do----28-oz. package..
..8-oz. package..
_______ p o u n d —
,24-oz. package..
..............p o u n d ..
..................do-----

N ov. 15

7.6
7.1

Cents
3.7
14. 6
24.4
7. 3
4. 6
8. 7
7. 6
7. 2

Cents
3.7
14.6
24.4
7.3
4.6

8.6

Dec. 14

Cents
4.3
15.2
24.5
7. 6
5.0
9.1
8. 1
7. 3
8.9
9.8

.do___
.do___
do---do ___
.do___

8. 2

8. 2

9. 3
9.5
25. 0
15.4

9. 3
9.5
24.9
15. 5

25.4
16.6

.do___
.do___
.do___
.do___
.do---.do----

38.4
35.1
29.9
23.4
15.9
25.5

38.4
35.2
29.7
23.3
15.5
25.0

39.4
36.1
31.6
24.8
16.9
24.8

.d o ___

42.7

42.7

43.6

do___
.do___
.do___
.do---.do___
.do___
.do___

29.4
23.4
35.3
29.7
47.0
28.2

31.5
25.6
35.9
30.5
47.2
28.8

20.1

20.0

31.1
25.3
40.0
33.8
47.1
28.4
23.7

.do___
.do___
.do___
.do-----

12.7

12.4
21.3
27.3
34.4

14.7
24.4
30.0
38.0

22.0

27.4
35.0

10.0

466

Monthly Labor Review—February 1939

T a ble 2. —Average Retail Prices of 84 Foods in 51 Large Cities Combined, December and

November 1938 and December 1937— C on tin u ed
1938

1937

Article
Dec.
M eats—C ontinued.
Poultry:
‘ Roasting ch ick en s.-............................. _______ _____ po u n d —
Fish:
Salmon, p in k ......... .............................. .
‘ Salmon, r e d . . . ....................... ................ ............................. do___
D airy products:
‘ B u tte r.____ _________________________
‘ Cheese________________ ______________
C ream _________ _______ _____________
M ilk, fresh (delivered and store)_______ ................... .........q u a rt..
•M ilk, fresh (delivered)________________ ---------------------- do----M ilk, fresh (store)___________ _________ ---------------------- do----‘ M ilk, evaporated_______ _____________
‘ E g g s.------- ------ --------- ----------------------- ______________dozen..
F ru its and vegetables:
Fresh:
A pples________ _______________ .
•B an an as_____________ ________
---------------------- do___
Lemons_______________ _____ ____
•O ranges__________________________ ---------- -----------_do___
Beans, green____ _________________
•C abbage______________ _________
C arrots______ ______ ______ _______
Celery___________ ____ __________
L ettuce___ ______________________
•O nions_______________ ____ . . . . . --------------------p o u n d ..
•P o tato es_________________________
Spinach__________________________
Sweetpotatoes____________________
Canned
Peaches.....................................................
Pears____________________________
Pineapple________ _______________
A sparagus..................... .............. ............
Beans green................. .........................
•Beans w ith p o rk __________________
•C o rn ____________ ________________
•P eas. ................... ............ ............ ......... ---------- ------------do___
•T om atoes____ _______________ ____
Tom ato so u p____ _______________
Dried:
Peaches__________________________
• P ru n e s .._________________________
•R aisins___________________________
Black-eyed peas______ __________
Lim a beans______________________
•N avy beans_________________ ____
Beverages and chocolate:
•Coffee.______________________________
•T e a __________________________________
Cocoa_______________________________
C h o co late _____________________ _ . . .
F ats and oils:
•L a rd _________________________ ____ _
Shortening, other th an lard:
In cartons__________ _____________
In other containers________________
Salad oil_______ _____________________
M ayonnaise__________________________
•Oleom argarine_______________________
P ean u t b u tte r_________ _______ _______
Sugar and sweets:
•S ugar. ........................... ...........................
Corn siru p _________ ______ __________
M olasses____________ ________________
Straw berry preserves....................................


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

13

N ov. 15

Dec. 14

Cents
29.8

Cents
29.4

Cents
35.4

12. 5
23.5

12.6
23.8

14.0
27.0

35.6
25.1
14.6
12.3
12.6
11.5
6.9
43.2

33.2
25.2
14.6
12.2
12.6
11.5
6.9
44.5

45.5
29.4
15.0
12.7
13.0
12.1
7.5
39.0

5.2
6.2
24.5
26.0
10.4
3.0
6.2
8.2
9.2
3.9
2.2
6.7
3.7

4.9
6.2
24.2
26.2
9.8
2.5
5.5
7.6
8.1
3.7
1.9
6.1
3.4

4.4
6.2
36.8
28.6
13.9
3.7
5.8
8.8
8.1
4.3
2.0
8.1
3.7

17.0
20.6
21.4
28.2
10.6
7.3
11.0
14.2
8.6
7.4

17.2
20.6
21.5
28.2
10.6
7.3
11.0
14.3
8.6
7.4

19.5
21.7
23.1
30.1
11.5
7.6
12.1
16.0
9.0
7.4

14.8
9.2
9.4
7.6
9.0
6.0

14.9
9.1
9.5
7.7
9.2
6.1

16.2
9.8
10.2
8.3
9.7
6.9

22.8
17.8
8.5
16.2

22.9
17.8
8.6
16.2

25.0
17.7
9.8
16.5

11.9

12.4

14.7

13.2
20.5
24.5
17.3
16.8
18.3

13.3
20.5
24.5
17.3
16.9
18.4

13.5
20.1
25.2
17.5
17.6
19.0

5.2
13.8
13.6
21.1

5.2
13.9
13.6
21.2

5.6
14.4
14.4
22.4

467

Retail Prices
DETAILS BY REGIONS AND CITIES

Each of the nine regional areas contributed to the 1.0 percent in­
crease in the cost of all foods between November and December.
Higher costs were reported from 47 cities and slightly lower costs
from 4 cities. In the 2 cities registering the largest increases, Cleve­
land, 4.0 percent, and Scranton, 3.7 percent, the general advance in
the cost of fresh fruits and vegetables was greater than elsewhere. In
Cleveland the price increase of 8.5 percent for butter was greater than
average, and meats advanced, contrary to the general price movement.
In Scranton the price of milk rose 1 cent per quart and butter showed
an increase of 8.9 percent. Decreases in the cost of food were shown
for 4 widely scattered cities, Boston, Cincinnati, Kansas City, and
Richmond. None of these cities reported a drop of as much as 1
percent.
Indexes of retail food costs by regions and cities are given in table
3 for December and November 1938 and December 1937.
T a b l e 3 . —Indexes

of the Average Retail Cost of A ll Foods, by Regions and Cities,l
December and November 1938, and December 1937
[1923-25 = 100]
1938

1938

Region and city
Dec.
13 »

N ov.
15

1937
Dec. 14

United States.....................

78.6

77.8

82.6

New England........ ............
Boston..........................
B ridgeport..................
Fall R iver...................
M anchester............... .
New H a v en . ............
Portland, M aine____
Providence..................
M iddle Atlantic...... ........
B u ffa lo ............... .......
N ew ark____________
New Y o rk ...............
Philadelphia...............
P ittsb u rg h _________
Rochester.....................
Scranton......................
East North C en tral.. ___
Chicago........................
C incinnati_________
C le v e la n d .................
C olum bus, Ohio........
D etroit.........................
Indianapolis________
M ilw au k ee.. ______
P e o ria ... ...... ............
Springfield, 111............
West North Central_____
K ansas C ity ...............
M inneapolis................
O m ah a.____ _______
St. L o u is....................
St. P au l........................

76.4
74.5
81. 1
79.8
80.0
80.7
76.8
75.4
79.9
78.7
82.0
81.9
78.4
78.0
78.2
75.0
78.4
78.8
78.4
80.8
76.5
76.7
77.9
80.9
79.1
77.6
80.7
79.8
83.4
75.4
82.7
79.5

76.2
74.6
80.4
78.8
79.2
79.7
75.9
»75.0
79.0
77.4
81.2
81.2
77.7
77.5
76.7
72.3
77.5
78.3
78.7
77.6
75.1
76.3
77.3
79.9
78.6
76.8
80.2
80.6
82.7
74.3
82.2
78.8

81.0
78.7
86.6
84.6
82.1
86.1
81.4
80.6
84.0
81.8
85.6
86.0
83.9
81.1
82.8
77.0
82.9
84.2
83.3
81.9
81.0
82.5
81.6
85.7
82.5
80.9
84.2
82.0
87.1
79.9
86.3
83.9

Region and city
Dec.
13

N ov.
15

1937
Dec. 14

South Atlantic....................
A tlan ta........................
B altim ore__________
Charleston, S. C ........
Jacksonville _____
Norfolk____________
R ichm ond_________
Savannah__________
W ashington, D . C .. .

77.5
73.1
83.1
79.9
76.5
75.5
71.4
77.8
80.2

76.9
71.9
82.6
78.6
75.4
74.7
72.0
77.2
79.4

81.0
76.6
86.1
82.2
79.4
79.8
76.0
80.8
83.6

East South C entral. . . . .
B irm ingham . ........
Louisville....................
M em phis................... .
M obile............ ............

72.2
67.5
81.8
74.3
74.0

71.4
67.1
80.0
73.5
73.6

77.2
72.8
86.9
78.5
76.6

West South Central_____
D a lla s... _________
H ouston___________
L ittle R ock.................
New O rleans.............

77.6
74.2
77.9
73.0
82.8

76.9
73.1
77.4
72.8
82.5

80.7
78.7
80.3
78.5
84.2

M ountain.............................
B u tte............................
D enver...... ............. .
Salt Lake C ity .........

80.4
75.6
82.6
77.7

79.0
75.1
81.4
75.8

84.8
80.5
87.8
80.9

Pacific___________ ____ _
Los Angeles....... .........
Portland, Oreg...........
San F rancisco...........
Seattle_____ _______

77.7
73.7
79.8
81.9
78.5

76.5
71.6
78.9
81.4
77.8

80.0
74.9
82.3
85.1
81.5

*Aggregate costs of 42 foods In each city prior to Jan. 1, 1935, and of 84 foods since that date, weighted
to represent total purchases, have been combined for regions and for the United States with the use of
population weights.
*Preliminary.
1Revised.


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

468

M o n th ly L a b o r R e view — F e b ru a ry 1939

ELECTRICITY PRICES ON DECEM BER 15, 1938
RESIDENTIAL rates for electricity are secured quarterly in March,
June, September, and December, from 51 cities. These rates are used
for computing average prices and typical bills in each city for the quan­
tities of electricity which most nearly approximate the consumption
requirements for the usual domestic services for a five-room house,
including living room, dining room, kitchen, and two bedrooms. The
blocks of consumption which have been selected as representative of
average conditions throughout the country are 25 and 40 kilowatthours for the use of electricity for lighting and small energy-consuming
appliances; 100 kilowatt-hours for lighting, small appliances, and a
refrigerator; and 250 kilowatt-hours for lighting, and electric appli­
ances including both refrigerator and range.
The technical specifications which are used as the basis for the
application of these rates are:
Floor area (1,000 square feet).
Connected load:
Watts
Lighting and appliances________________________
700
Refrigeration__________________________________
300
Cooking_______________________________________ 6, 000
Measured demand:
Lighting and appliances________________________
600
Refrigeration__________________________________
100
Cooking_______________________________________ 2, 300
Outlets: Fourteen 50-watt.
Active room count: In accordance with schedule of rates.

Price changes between September and December were reported for
4 of the 51 cities—Scranton, Birmingham, Louisville, and Memphis.
Typical monthly bills and average prices per kilowatt-hour for amounts
of electricity representative of the requirements of 4 residental services
on December 15, 1938, are shown in table 4 for each of the 51 cities.


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

469

Retail Prices
T a b l e 4 . — Total

Net Monthly B ill and Price per Kilowatt-Hour for Typical Consump­
tion of Electricity Based on Rates as of Dec. 15, 1938, by Cities

[25 and 40 kilow att-hours for lighting and small energy-consuming appliances]
[100 kilow att-hours for lighting, small appliances, and refrigerator]
[250 kilow att-hours for lighting, sm all appliances, refrigerator, and range]

Region and city

New England:
B oston______ __________
B ridgeport_____________
Fall R iver........ ..................
M anchester____________
New H av en .............. . . . .
Portland, M aine...............
Providence____________
M iddle A tlantic:
Buffalo_______________
N ew ark______ _______
N ew York: *
B ronx_____________
B rooklyn__________
M a n h a tta n ________
Queens____________
R ic h m o n d ________
P h ilad e lp h ia 3_________
P ittsb u rg h _____________
R ochester..................... .
Scranton______________
E ast N orth Central:
Chicago___________ . . .
C incinnati____________
C levelan d .--------- --------C olum bus_____________
D e tro it2 *_____________
Indianapolis___________
M ilw au k ee........................
Peoria_________________
Springfield, 111_________
W est N orth Central:
K ansas C ity 3_____ ____
M inneapolis___________
O m a h a.. ____________
St. Louis 3 4____________
St. P a u l_______________
South A tlantic:
A tlanta:
Im m e d ia te ...______
In d u c e m e n t3. . . ___
B altim ore_____________
Charleston, S. C _______
Jacksonville___________
Norfolk_______________
R ichm ond_____________
Savannah____ _______
W ashington, D . C ______
E ast South C entral:
B irm ingham ___________
Louisville 2____________
M em phis______________
Mobile:
Present____________
Objective 3____ ____
W est South C entral:
D a lla s.________________
H ouston...... ................ .......
L ittle Rock 3____ _____
N ew Orleans_____ ____

T ype
of
owner­
ship i

N et m onthly price per kilow atthour

N et m onthly bill

25
kw h.

40
kw h.

100
kw h.

250
kw h.

25
kw h.

40
kw h.

100
kw h.

250
kw h.

p
p
p
p
p
p
p

$1.55
1.31
1.58
2.00
1.31
1.85
1.76

$2.30
1.93
2. 38
2.80
1.93
2.60
2. 66

$5.10
4.03
4.98
5. 00
4.03
4.70
5.50

$9.60
7.28
9.13
8.00
7.28
7.70
9. 50

Cevts
6.2
5.3
6.3
8.0
5.3
7.4
7.0

Cents
5.8
4.8
5.9
7.0
4.8
6.5
6.7

Cents
5.1
4.0
5.0
5.0
4.0
4.7
5.5

Cents
3.8
2.9
3.7
3.2
2.9
3.1
3.8

p
p

1.13
1.81

1.70
2.49

3.06
4.39

5.31
8. 64

4.5
7.2

4.3
6.2

3.1
4.4

2.1
3.5

p
p
p
p
p
p
p
p
p
p

1.71
1.71
1.71
1.71
1.97
1.75
1.43
1.25
1.59
1.25

2.48
2.48
2.48
2.48
3.05
2. 52
2.19
2. 00
2.26
1.90

4.86
4.86
4.86
4.86
6.14
5. 05
3.84
4.00
4.41
3.85

8.24
8.24
8. 24
8.24
10.77
8.14
6.90
7.50
7.83
7.10

6.8
6.8
6.8
6.8
7.9
7.0
5.7
5.0
6.3
5.0

6.2
6.2
6.2
6.2
7.6
6.3
5.5
5.0
5.7
4.8

4.9
4.9
4.9
4.9
6.1
5.0
3.8
4.0
4.4
3.9

3.3
3.3
3.3
3.3
4.3
3.3
2.8
3.0
3.1
2.8

p
p
p
M
P
M
P
P
P
P
P
M

1.34
1.00
1.00
.85
1.25
1.00
1.39
1.38
1.41
1.25
1.25
1.25

1.94
1.45
1.60
1.27
1.95
1.58
1.95
2.10
1.90
1.84
1.90
1.90

3.65
2. 50
3. 75
2.80
4.50
3.80
3. 48
4.00
3.35
3. 34
3.02
3.02

6. 65
4. 75
7.25
5. 55
8. 50
8.30
6. 95
7.10
6.23
6. 09
5. 22
4.80

5.4
4.0
4.0
3.4
5.0
4.0
5.6
5.5
5.7
5.0
5.0
5.0

4.9
3.6
4.0
3.2
4.9
4.0
4.9
5.3
4.8
4.6
4.8
4.8

3.7
2.5
3.8
2.8
4.5
3.8
3.5
4.0
3.4
3.3
3.0
3.0

2.7
1.9
2.9
2.2
3.4
3.3
2.8
2.8
2.5
2.4
2.1
1.9

P
P
P
P
P
P

1.28
1.19
1.19
1.21
1.09
1.25

2.04
1. 78
1.90
1.74
1. 45
1.85

3.83
3. 56
3.88
3.20
2.91
3.75

7. 65
6. 65
7. 78
6. 35
5. 81
7.00

5. i
4.7
4.8
4.8
4.4
5.0

5.1
4.4
4.8
4.4
3.6
4.6

3.8
3.6
3.9
3.2
2.9
3.8

3.1
2.7
3.1
2.5
2.3
2.8

P
P
P
P
M
P
P
P
P

1.45
1.22
1.13
1.50
1.50
1.25
1.25
1. 02
.98

2. 12
1.90
1.80
2. 25
2. 35
2.00
2.00
2. 37
1. 56

3. 95
3.85
3. 90
4.20
4.60
4. 63
4.63
4. 57
2.85

6. 57
6. 57
8.20
6.82
7.60
7.63
7.63
7.97
5.10

5.8
4.9
4.5
6.0
6.0
5.0
5.0
6.5
3.9

5.3
4.7
4.5
5.6
5.9
5.0
5.0
5.9
3.9

3.9
3.8
3.9
4.2
4.6
4.6
4.6
4.6
2.9

2.6
2.6
3.3
2.7
3.0
3.1
3.1
3.2
2.0

P
P
P

.98
1.03
.86

1.56
1. 65
1. 38

3.20
3. 61
2.88

6.95
6.70
5.75

3.9
4.1
3.5

3.9
4.1
3.5

3.2
3.6
2.9

2.8
2.7
2.3

P
P

1.45
1.20

2.13
1.80

3.95
3.50

6.58
6.13

5.8
4.8

5.3
4.5

4.0
3.5

2.6
2.5

P
P
P
P

1.06
1.20
1.79
1.58

1.66
1.80
2. 55
2.25

3.91
3. 83
5.10
4.80

7.51
7.08
8. 67
8.50

4.2
4.8
7.1
6.3

4.2
4.5
6.4
5.6

3.9
3.8
5.1
4.8

3.0
2.8
3.5
3.4

> T ype of ow nership is indicated as follows: P , private utility ; M , m unicipal plant.
2 Prices include 3-percent sales tax.
1 Prices include 2-percent sales tax.
* Prices include free lamp-renewal service.
! T he “ In d u cem en t” rate in A tlanta and the “ Objective” rate in M obile were designed to encourage
greater use of electricity.


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

470

Monthly Labor Review—February 1939

T a b l e 4 . — Total

N et Monthly Bill and Price per Kilowatt-Hour for Typical Consump­
tion of Electricity Based on Rates as of Dec. 15, 1938, by Cities— C on tin u ed

Region and city

M ountain:
B u tte _________________
D enver 8______________
Salt Lake C ity 3_______
Pacific:
Los Angeles____________
Portland, Oreg_________
San Francisco__________
Seattle________________

T ype
of
owner­
ship

N e t m onthly price per kilow atthour

N e t m o n th ly bill

25
kw h.

40
kw h.

100
kw h.

250
kw h.

25
kw h.

40
kwh.

100
kw h.

250
kw h.

p
p
p

1.55
1.53
1.63

2.38
2. 45
2.30

4.43
4.90
3. 83

7.93
9. 49
7.14

Cents
6.2
6.1
6.5

Cents
5.9
6.1
5.7

Cents
4.4
4.9
3.8

Cents
3.2
3.8
2.9

p
M
P
P
P
P
M

1.10
1.10
1.25
1.25
1.30
1.25
1.25

1.65
1.65
1.88
1.88
1. 77
2.00
2.00

2.97
2.97
3.37
3.37
3.09
3. 20
3.20

5.10
5.10
6.07
6.07
5.89
6.08
6.10

4.4
4.4
5.0
5.0
5.2
5.0
5.0

4.1
4.1
4.7
4.7
4.4
5.0
5.0

3 .0

2.0
2.0
2.4
2.4
2.4
2.4
2.4

3.0
3.4
3.4
3.1
3.2
3.2

! Prices include 2-percent sales tax.

Price Changes December 1937 to December 1938
Changes in prices of electricity for residential customers between
December 15, 1937, and December 15, 1938, were reported for 25 of
the 51 cities. The Pacific coast was the only region showing no
change. In one of these cities, Philadelphia, an increase of 2 percent
resulted from the introduction of a city sales tax. Rate reductions
were effective in each of the remaining 24 cities. In New York only
the customers in Richmond Borough were benefited by the lower
rates, while prices for customers in all boroughs were advanced by an
increase from 2 percent to 3 percent in the city sales tax. Prices for
Bronx, Brooklyn, Manhattan, and a part of Queens were also affected
by changes in the cost of fuel to the companies. Twelve of the
twenty-four cities which reported lower rates in 1938 also registered
rate reductions in 1937.
Typical net monthly bills representing the use of electricity for
each of the 4 services for the 24 cities showed that the greatest reduc­
tions in 1938 accrued to customers using from 25 to 40 kilowatt-hours
in 13 cities, and to those using from 100 to 250 kilowatt-hours in
9 cities. The distribution of benefits due to rate reductions was
fairly equitable for all customers in 2 cities—Newark where the
decreases averaged less than in other cities and Memphis where the
greatest decreases occurred. The decreases for the 4 services varied
between 0.6 percent and 2.0 percent for Newark, and between 32.4
percent and 37.3 percent for Memphis. Between these 2 extremes
reductions for each of the 4 services ranged from 6.3 percent in
Charleston (S. C.) to 23.1 percent in Kansas City for 25 kilowatthours; from 4.3 percent in Salt Lake City to 21.1 percent in New
Orleans for 40 kilowatt-hours; from 0.5 percent in Norfolk and
Richmond to 22.2 percent in Salt Lake City and 21.5 percent in
Charleston for 100 kilowatt-hours; and from 0.3 percent in Norfolk

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

R e ta il P ric e s

471

and Richmond to 22.9 percent in Charleston for 250 kilowatt-hours.
Two cities reported slight advances to customers using 250 kilowatthours per month. In Minneapolis, the increase was 0.7 percent, and
in Rochester, 0.3 percent.
Lower prices for Charleston and Salt Lake City resulted from the
discontinuation of the “Objective” rate plan. The “Objective” rate
was made available to all customers, hence the benefits affected only
the 35 or 40 percent of customers in each city which previously had
been served under the “Immediate” or “Present” rates. Two other
cities discontinued the “Objective” rate plan in 1938. In Little Rock
a new rate schedule which superseded both the “Present” and “Cen­
tennial” rates provided reductions for all customers using relatively
small amounts of electricity. In Birmingham only the customers
served under the “Immediate” rate were benefited by the two separate
rate reductions reported during the year. The first, a reduction in
the “Immediate” rate occurred in March. The second was the dis­
continuation of the “Objective” rate plan in December which elimi­
nated the “Immediate” rate under which about half of their customers
were being served and automatically made the lower or “Objective”
rate available to all customers.
GAS PRICES ON DECEM BER 15, 1938
RESIDENTIAL rates for gas are secured quarterly in March, June,
September, and December from 50 cities. Since December 1934
these rates have been used for computing average prices and typical
bills for each city for quantities of gas which approximate the aver­
age residential consumption requirements per month for each of four
combinations of services. In order to put the prices upon a compara­
ble basis it was necessary to convert the normal consumption require­
ments used for computing monthly bills into an equivalent heating
value expressed in therms (1 therm= 100,000 B. t. u.). This proce­
dure was required because of the wide range in the heating value of a
cubic foot of gas between different cities. The equipment and blocks
of consumption which have been selected as representative of aver­
age conditions throughout the country are based upon the require­
ments of a five-room house, including living room, dining room,
kitchen, and two bedrooms.
Trends of prices from March 1923 through December 1938 for
each of two services, as indicated by the composite indexes for 50
cities combined, appear in the chart on page 472.


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

5 0 C itie s Combined

Index Numbers
HO

1923-25100
Index Numbers

90

SO

70

60

Monthly Labor Review—February 1939

100

Typical net monthly bills and average prices per thousand cubic
feet and per therm for each of 4 services, based on rates effective
December 15, 1938, are presented in table 5 by cities.


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

Retail P rices of Gas

T a ble

5.— Total and

Unit Net Monthly Prices of Gas for Specified Consumptions, Based on Rates as of Dec. 15, 1938, by Cities
[10.6 therm s for range]
[19.6 therm s for range and m anual-type w ater heater]
[30.6 therm s for range and autom atic storage or instantaneous type w ater heater]
[40.6 therm s for range, autom atic storage or instantaneous type w ater heater, and refrigerator]
M ANU FACTURED GAS

Region and city

H eat­
ing
value
per
cubic
foot in
B ritish
mal
u n its

Fall R iv e r___ ____ _________
M anchester________________
Portland, M aine___________
Providence_________ ______
M iddle A tlantic:
N ew ark________ _______ ___
New Y o r k :2
B r o n x ...............................
B ro o k ly n ..........................


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

U n it price
P er thousand cubic feet

10.6
19.6
30.6
40.6
10.6
19.6
30.6
40 6
therm s therm s therm s therm s therm s therm s therm s therm s

635
535
528
525
528
525
510

1,980
1,980
2,010
2,020
2,010
2,020
2,080

525
540
540
540
540
540
540
540
530
537
520

Per therm

10.6
19.6
30.6
40.6
10.6
19.6
30.6
40.6
therm s therm s therm s therm s therm s therm s therm s therm s

Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars
2. 48
4.16
5.70
7.19
1.25
1.14
1.00
0. 95
2.28
4. 21
5. 63
1.15
7.12
1.15
.98
.94
2.53
4. 06
5.94
7. 64
1.26
1.09
1.02
.99
4. 82
2.85
5. 67
6. 92
1.41
1.29
.97
.89
2. 41
4.11
6. 20
8.09
1.20
1.11
1.07
1.05
3.03
5.16
6. 51
8. 03
1.50
1.38
1.12
1.04
2. 57
4.16
7. 86
1.24
6.10
1.02
1.08
.99

Cents
23.4
21.5
23.9
26.8
22.7
28.5
24.3

Cents
21.2
21.5
20.7
24.6
21.0
26.3
21.2

Cents
18.6
18.4
19.4
18.5
20.3
21.3
19.9

Cents
17.7
17.5
18.8
17.0
19.9
19.8
19.4

3,660
3,660
3,710
3,730
3,710
3', 730
3,840

5,720
5, 720
5,800
5,830
5,800
5,830
6,000

2,020

3, 730

5,830

7, 730

2. 69

4.31

6. 06

7. 29

1.33

1.16

1.04

.94

25.4

22.0

19.8

18.0

1,960
1,960
1,960
1,960
1,960
1,960
1,960
2,000
1,970
2,040

3, 630
3,630
3,630
3,630
3,630
3,630
3,630
3,700
3,650
3, 770

5, 670
5, 670
5,670
5, 670
5, 670
5, 670
5,670
5, 770
5,700
5,880

7, 520
7, 520
7, 520
7, 520
7,520
7, 520
7, 520
7. 660
7, 560
7,810

2. 32
2. 36
2. 46
2. 61
2. 32
2.32
3.14
1.84
1.97
2. 89

4. 30
3. 83
4.09
4.42
4.30
4. 30
5.15
3.31
3.65
4. 57

6. 72
5. 30
6. 09
6. 62
6. 72
6. 72
7.15
5.10
5. 56
5.77

8.91
6. 48
7. 90
8. 62
8.91
8.91
8. 95
6. 74
7. 05
7. 60

1.18
1.20
1. 25
1.33
1.18
1.18
1.60
.92
1 00
1.41

1.18
1.06
1.13
1.22
1.18
1.18
1.42
.89
1.00
1.21

1.18
.94
1. 07
1.17
1.18
1.18
1.26
.88
.98
.98

1.18
.86
1.05
1.15
1.18
1.18
1.19
.88
.93
.97

21.9
22.3
23.2
24.6
21.9
21.9
29.6
17.3
18.6
27.2

21.9
19.6
20.9
22.5
21.9
21.9
26.3
16.9
18.6
23.3

21.9
17.3
19.9
21.6
21.9
21.9
23.3
16.7
18.2
18.8

21.9
16.0
19.5
21.2
21.9
21.9
22.1
16.6
17.4
18.7

570
520

1,860
2,040

3,440
3,770

5,370
5,880

7,120
7,810

1.58
1.76

2. 92
2.89

4. 57
4. 26

6. 05
5. 51

.85
.86

.85
.77

.85
.72

.85
.71

14.9
16.6

14.9
14.7

14.9
13.9

14.9
13.6

555
550

1,910
1,930

3,530
3,560

5, 510
5,560

7, 320
7,380

1.46
1.98

2. 27
3.16

3. 26
4.59

4.16
5.87

.76
1.03

.64
.89

.59
.83

.57
.79

13.7
18.7

11.6
16.1

10.6
15.0

10.2
14.5

7, 590
7,590
7, 690
7,730
7,690
7, 730
7,960

473

M a n h a tta n ...... ..................
Q ueens.................................
R ichm ond..........................
P hiladelphia 3_____________
R ochester______ __________
Scranton............. ........................
E ast N orth C entral:
Indianapolis.............................
M ilw a u k e e ..............................
W est N o rth C entral:
O m aha______ _______ ______
St. P a u l______ ____________

T otal price (net m onthly bill)

Retail Prices

N ew England:
B oston........... ................... .........

N e t price based on m onthly use of specified consum ptions
Cubic feet equivalent to spec!fled num ber of therm s •

a b le

474

T

5 . —Total and Unit Net Monthly Prices of Gas for Specified Consumptions, Based on Rates as of Dec. 15, 1938, by Cities— C o n tin u ed

MANUFACTURED GAS—Continued
------------------- --- ------------------------------------------------------------ ----- -------

Region and city

Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars
.75
.78
6.08
.85
.85
3. 33
4.78
1.80

500

2,120

3,920

6,120

8,120

550
550
535
530
525
535

1,930
1,930
1,980
2,000
2,020
1,980

3, 560
3, 560
3,660
3,700
3,730
3,660

5, 560
5, 560
5, 720
5, 770
5,830
5, 720

7, 380
7,380
7,590
7, 660
7, 730
7, 590

520

2,040

3,770

5, 880

7, 810

1.63

570
500

1,860
2,120

3,440
3,920

5, 370
6,120

7,120
8,120

2.34
3.10

2.70
«
3.97
2.40
2. 63
2. 48

4. 98
4. 42
5.73
4. 36
4.78
4.58

1.40
(«)
2.01
1.20
1.30
1.25

7.19
5.92
7.59
6. 62
6. 05
7.15

9.01
7.28
9. 27
8. 51
7. 76
9.49

3.02

4.70

6. 25

.80

3. 98
5. 36

5.33
5. 32

6. 61
6. 45

1. 26
1. 46

2.19

Cents
17.0

Cents
71.0

Cents
15.6

Cents
15.0

25.5
(‘)
37.5
22.6
24.8
23.3

25.5
22.6
29.3
22.2
24 4
23.3

23.5
19.3
24.8
21.6
19.8
23.3

22.2
17.9
22.8
21.0
19.1
23.3

1.29
1.06
1.33
1.15
1.04
1. 25

1.22
.99
1.22
1.11
1.00
1. 25

.80

.80

.80

15.4

15.4

15.4

15.4

1.16
1. 37

.99
.87

.93
.79

22.0
29.2

20.3
27.3

17.4
17.4

16.3
15.9

1.40
1.24
1. 57
1.18
1.28
1.25

NATURAL GAS
M iddle A tlantic:
P ittsb u rg h------- -----------------E ast N orth C entral:
C le v e la n d ...............................
C olum bus.................................
D e tro it2___ ____ _____ ____
Peoria.........................................
Springfield, 111.........................
W est N orth Central:
Kansas C ity 3_____________


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

1,113

950
960
960

1,760
1,780
1,780

2, 750
2,780
2, 780

3,650
3,690
3, 690

1.00
« 1.00
« 1.00

1.06
1.07
1.07

1.65
1.67
1.67

2.21
2.21

1. 05
1.04
1.04

0. 60

0. 60

0. 60

9.4
9.4
9.4

5.4
5.4
5.4

5.4
5.4
5.4

5.4
5.4
5.4

960

1,050
1,050

1,010
1,010

2,780
2,910
2.910
3.030
3. 060
3,060

3,690
3.870
3,870
4, 020
4.060
4, 060

«.75
« .75
.75
1. 55

8
2.12

1. 43
1.60
1.40
3.68
4. 67
4. 47

1.93
2.13
. 86
4. 75
5. 57
5. 37

.78
.74
.74
1.47
. 00
1.80

.50
.55
.48
1.29

.52
55
.48
1.18
1. 37
1.32

4.7
5.2
4.6

1. 71

.51
.55
.48
. 21
1. 53
1.46

7.1
7. 1
7.1
14.6

1.91

.89
1.03
.90
2.51
3. 64
3. 36

4.5
5.2
4.6

1,050
1,060
1,060

1,780
1,870
1,870
1,940
1,960
1,960

1,020

1,880

2,940

3, 900

1.33

2.12

3. 05

3.88

1.31

1.13

1.04

1.00

1,100
1,100
1,100
1,010
1,000
1,000
1,040

3

1

2

.60
.60

1.86

.60
.60

1

.60
.60

18.6
17.1

12.0

18.0

15.3
14.6

4.8
5. 2
4.6
11.7
13.7
13.2

12.6

10.8

10.0

9.6

20.0

12.8

M o n th ly L a b o r R eview — F e b ru a ry 1939

South Atlantic:
Baltim ore----- -------------------Charleston, S. C.:
Im m ediate_____________
Objective 1_____________
Jacksonville--------- ------------Norfolk__________ _________
R ichm ond_________________
Savannah_________________
E ast South C entral:
B irm ingham ______ ________
Pacific:
Portland, Oreg.........................
Seattle 3____ _________ _____

N et price based on m onthly use of specified consum ptions
H eatC ubic feet eq uivalent to speci­
ing
fied num ber of therm s
value
U nit price
T otal price (net m onthly bill)
per
cubic
foot in
Per therm
P er thousand cubic feet
B ritish
th er­
30.6
40.6
10.6
19.6
30.6
40.6
10.6
19.6
mal
therm s therm s therm s therm s therm s therm s therm s therm s
40.6
30.6
40.6
10.6
19.6
30.6
10.6
19.6
units
therm s therm s therm s therm s therm s therm s therm s therm s

South Atlantic:
Atlanta___ ___
East South Central:
Memphis_____
Mobile:
Present........
Objective
West South Central:
Dallas________
Houston.............
Little Rock3___
New Orleans___
Mountain:
Butte..................
Denver3.............
Salt Lake City3.
Pacific:
Los Angeles........
San Francisco__

980

1,080

2,000

3,120

4,140

1.78

2.70

3. 77

4.38

1.65

1. 35

1. 21

1.06

980

1,080

2,000

3,120

4,140

1. 51

2.48

3.60

4.21

1. 40

1.24

1.15

1.02

14.3

960
960

1,100
1,100

2,040
2,040

3,190
3,190

4, 230
4,230

2. 25
2.05

3.43
2.99

4. 75
4. C6

5. 43
4. 69

2. 05
1.86

1.68
1. 47

1. 49
1. 27

1.28
1.11

21. 2
19.3

1,050
1,030
1,000
950

1,010
1,030
1,060
1,120

1,870
1,900
1,960
2,060

2,910
2,970
3,060
3,220

3, 870
3,940
4,060
4,270

1. 26
1.17
1.11
1.26

1.84
1. 74
1.61
2.10

2.54
2. 43
2.23
3.15

3.19
3.06
2. 79
4.09

1.25
1.14
1.04
1.12

.98
.91
.82
1.02

.87
.82
.73
.98

.82
.78
.69
.96

11.9
11.0
10.4
11.9

850
825
865

1,250
1,280
1,230

2, 310
2, 380
2,270

3,600
3,710
3,540

4,780
4,920
4,690

1.11
2.18
2.12

1.59
3. 35
3. 27

2.17
4. 20
4. 16

2.70
4.84
4.86

.89
1.70
1.72

.69
1.41
1.44

.60
1.13
1.17

.57
.98
1. 04

1,100
1,150

960
920

1,780
1,700

2, 780
2, 660

3,690
3, 530

1. 25
1. 22

1.81
1. 73

2. 42
2.35

2.95
2.85

1.30
1.32

1.01
1.01

.87
.88

.80
.81

12.3

10.8

12.7

11.8

10.4

17.5
15.3

15.5
13.3

13.4
11.5

9.4
8.9
8.2
10.7

8.3
7.9
7.3
10.3

7.9
7.5
6.9
10.1

10.5
20.6
20.0

8. 1
17.1
16.7

7.1
13.7
13.6

6.7
11.9
12.0

11.8
11.5

9.2
8.8

7.9
7.7

7.3
7.0

16.8

13.8

M iddle A tlantic:
B uffalo.................................. ___
E a st N o rth C entral:
Chicago..... .................................
C incinnati.................................
W est N o rth C entral:
M in n ea p o lis............................
St. Louis 3..................................
South A tlantic:
1 W ashington, D . C...................
E ast South C entral:
Louisville 3.................................

900

1,180

2,180

3,400

4,610

0.77

1. 42

2.21

2.93

0. 65

0.65

0.65

0. 65

7.2

7.2

7.2

7.2

800
930

1,330
1,140

2,450
2,110

3,830
3,290

5,080
4,370

2.26
.85

3.65
1.52

5.01
2.29

5.71
2.97

1.70
.74

1. 49
.72

1.31
.70

1.12
.68

21.3
8.0

18.6
7.8

16.4
7.5

14.1
7.3

800
800

1,330
1,330

2,450
2,450

3,830
3,830

5,080
5,080

1.94
2.05

3. 05
3.35

4.40
4. 92

5.59
6.23

1.46
1.54

1. 25
1.37

1.15
1.29

1.10
1. 23

18.3
19.4

15.6
17.1

14.4
16.1

13.8
15.3

604

1,750

3,250

5,070

6, 720

1.51

2.71

4.01

5.16

.86

.83

.79

.77

14.2

13.8

13.1

12.7

900

1,180

2,180

3,400

4,510

.98

1.58

2. 20

2.78

.83

.72

.65

.62

9.2

8.0

7.2

6.8

1 T ypical m onthly consum ption for each service for a 5-room house. (1 therm equals
100,000 B. t. u.).
3 Prices include 3-percent sales tax.
3 Prices include 2-percent sales tax.
* T h e “ O bjective” rates in C harleston, S. C., and M obile were designed to encourage
a greater use of gas. An interm ediate rate called th e “ Inducem ent” rate also available

in M obile, provided a price lower th a n th a t of the “ P resen t” rate for a p a rt of the m onthly
consum ption for custom ers whose increase in the use of gas was not sufficient to entitle
them to the advantages of th e “ O bjective” rate.
* T he “ O bjective” rate was not applicable for custom ers using 10.6 therm s since the bill
would have been higher than th a t com puted under the “ Im m ediate” rate.
• M inim um charge.

475


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

R e ta il P ric e s

MIXED MANUFACTURED AND NATURAL GAS

476

M o n th ly L a b o r R e view — F e b ru a ry 193 9

Price Changes December 1937 to December 1938

Changes in prices of gas between December 1937 and December 1938
occurred in 10 of the 50 cities. Rates were raised in 2 cities—
Chicago and Louisville, and lowered in 4—Minneapolis, Springfield
(111.), Jacksonville, and San Francisco. The heating value of the gas
was increased in Cincinnati and decreased in Pittsburgh. Prices were
increased in Philadelphia and New York by sales taxes. New York
prices also showed the effect of the summer rates which were in
operation for May through December. These 10 cities are listed
below according to type of gas served.
Manufactured, gas

New York.
Philadelphia.
Jacksonville.

Natural gas

Pittsburgh.
Springfield, 111.
San Francisco.

Mixed manufactured and natural
gas

Chicago.
Cincinnati.
Minneapolis.
Louisville.

Price decreases were reported for five cities. Among the cities
serving mixed manufactured and natural gas, two, Cincinnati and
Minneapolis, showed reductions which were general for the four types
of services typical of the use of 10.6, 19.6, 30.6, and 40.6 therms.
The decreases ranged between 1 and 2 percent in Minneapolis, due to
a reduction in rates, and between 6 and 7 percent in Cincinnati, where
there was an increase in the heating value of the gas. Customers
using the larger amounts benefited most from the rate reductions in
two cities served with natural gas. In Springfield (111.) there was no
change for customers using 10.6 or 19.6 therms, while prices for 30.6
and 40.6 therms averaged about 3.5 percent lower. In San Francisco
where the benefits increased gradually with an increase in consump­
tion, the decreases ranged from 4.4 percent for 10.6 therms to 8.1
percent for 40.6 therms. The greatest decrease reported for any of the
five cities was for manufactured gas in Jacksonville where the price for
19.6 therms dropped 9.6 percent. For the other services the decreases
ranged downward to 1.4 percent for 10.6 therms.
Price increases were reported for five cities. In two, New York and
Philadelphia, advances were due to city sales taxes. The tax was
increased from 2 to 3 percent in New York, and a 2-percent tax was
introduced in Philadelphia. The greatest increase occurred in Chicago
where new rates for mixed manufactured and natural gas advanced
the price 16.5 percent for customers using 10.6 therms. Since the rate
change consisted of an increase in the initial charge covering the use
of the first 2 therms, the advance in price was less as the consumption
increased and diminished to 5.9 percent for 40.6 therms. In Louisville
price advances for mixed gas ranged between 5.5 and 10.1 percent.
In Pittsburgh the decrease in the heating value of natural gas resulted
in an advance of about 1.5 percent for customers using an amount in
excess of that covered by the minimum bill.

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

Wholesale Prices

W H O L E SA L E P R IC E S , D E C E M B E R A N D Y E A R 1 9 3 8 1

THE Bureau of Labor Statistics index number of wholesale prices for
the calendar year 1938 was 8.9 percent below the 1937 average.
Although the range of movement during the 12-month period was less
than 5 percent, the trend was gradually downward from the high
point of 1938 (January) when the index stood at 80.9 percent of the
1926 average to December when the index had fallen to 77.0.
Wholesale prices on the average were generally lower in 1938 than in
1937. The farm products group registered the largest decline, 20.7
percent. Foods decreased 13.9 percent; textile products, 12.6 percent;
hides and leather products, 11.3 percent; chemicals and drugs, 7.5
percent; miscellaneous commodities, 5.8 percent; building materials,
5.1 percent; housefurnishing goods, 3.2 percent; and fuel and lighting
materials, 1.4 percent. The metals and metal products group index
rounded off at the level of a year ago.
From 1937 to 1938, raw material prices fell 15.1 percent and semi­
manufactured commodities declined 11.6 percent. Average whole­
sale prices of finished products decreased 5.7 percent. The index for
the large group of “All commodities other than farm products,”
marking the movement in prices of nonagricultural commodities,
declined 6.5 percent between 1937 and 1938 and, according to the
index for “All commodities other than farm products and foods,”
industrial commodity prices dropped 4.2 percent.
Some of the outstanding changes in subgroup indexes during the
year period were a decline of 38.4 percent for grains, 35.2 percent
for hides and skins, 30.4 percent for cattle feed, 22.4 percent for cotton
goods, 21.6 percent for fruits and vegetables, 18.8 percent for nonferrous metals, and 17.3 percent for livestock and poultry. A few
subgroup indexes averaged above the 1937 level. These were coal,
coke, agricultural implements, iron and steel, motor vehicles, and
automobile tires and tubes.
In table 1 will be found a comparison of the 1938 group and sub­
group indexes with 1937 and 1929; also the dates and indexes for the
high and low points falling between July 1935 and December 1938.2
1 M o re d e ta ile d in fo rm atio n on w holesale prices is given in th e D ecem b er a n d Y e a r 1938 issue of W h o le­
sale P rices.
2 S im ila r d a ta for J u n e 1930-June 193o are giv e n in th e D e cem b er a n d Y e a r 1937 W h o lesale P rice
P a m p h le t.

121435— 39-

15


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

477

478

M o n th ly L a b o r R eview — F e b ru a ry 1939

T a b l e 1.-—Index Numbers of Wholesale Prices for Year 1938 Compared With 1937 and

1929, and High and Low Points Between July 1935 and December 1938
[1926=100.0]

G ro u p a n d su b g ro u p

1938

P e r­
c e n t­
1937
age
change

P e r­
1929 c e n t­
age
change

H ig h , J u ly 1935D ecem b er 1938
In d e x

D a te

Apr. 1937

88.0

Dec. 1938

1937

94.1

1938

66.8

O ct. 1938
D ec. 1938
A p r. 1938

50.8
74.4
62.0

D a te

All commodities____ _________

78.6

86.3

- 8 .9

95.3 -1 7 .5

Farm products___ ___________

68.5

86.4 -2 0 .7

104.9 -3 4 .7

G ra in s ., __________________
L iv esto ck a n d p o u ltry _____
O th e r farm p ro d u c ts _______

60.6
79.0
63.9

98.3 - 3 8 .4
95.5 - 1 7 .3
77.2 - 1 7 .2

97.4 - 3 7 .8
106.1 - 2 5 .5
106.6 - 4 0 .1

Foods _______________________

73.6

85.5 -1 3 .9

99.9 -2 6 .3

D a iry p r o d u c t s .......................
C ereal p ro d u c ts . _________
F ru its a n d v eg e tab le s _____
M e a ts ___________________
O th e r foods________________

72.8
78.4
58.2
83.3
67.5

83.1
87.6
74.2
99.1
75.6

- 1 2 .4
- 1 0 .5
- 2 1 .6
- 1 5 .9
- 1 0 .7

105.6 - 3 1 .1
88.0 - 1 0 .9
97.8 - 4 0 .5
109.1 - 2 3 .6
93.9 - 2 8 .1

M ar.
O ct.
F eb .
S ep t.
D ec.

1937 90.2
1935 98.9
1937 87.8
1937 113.4
1935 84.0

92.8 104.6 -1 1 .3

109.1 -1 4 .9

102.2 105.0 - 2 . 7
73.6 113.5 - 3 5 .2
83.7 95.8 - 1 3 .5
98.5 102.6 - 4 . 0

106.3 - 3 . 9
112.7 - 3 4 .7
113.2 - 2 6 . 1
106.4 - 7 . 4

Aug.
O ct.
A ug.
A p r.
S ep t.

1937
1937
1937
1937

A pr.
J u ly
A p r.
S ept.
O ct.
J u ly
A ug.

1937
1937
1937
1937
1935
1937
1937

Hides and leather products____
S hoes______________________
H id e s a n d s k in s ____________
L e a th e r____________________
O th e r le a th e r p ro d u c ts _____

66.7

76.3 -1 2 .6

90.4 -2 6 .2

C lo th in g __________ ____
..
C o tto n g o o d s _____________
H o siery a n d u n d e rw e a r____
Silk a n d ra y o n .. ._ _______
W oolen a n d w o rsted g o o d s..
O th e r te x tile p ro d u c ts . . .

82.9
65.4
60.3
29.3
77.4
65.5

87.9 - 5 . 7
84.3 - 2 2 .4
65.1
- 7 .4
32.5 - 9 . 8
91.1 - 1 5 .0
68.4 - 4 . 2

90.0
- 7 .9
98.8 - 3 3 .8
88.5 - 3 1 .9
80.4 - 6 3 .6
88.3 - 1 2 .3
93.1 - 2 9 .6

Fuel and lighting m aterials____

76.5

77.6

- 1 .4

A n th r a c i te .............. ....... ... . . 78.0 77.8
B itu m in o u s c o a l___________ 99.0 98.6
C o k e _______________ ____ _ 104.8 103.1
(i)
80.4
G as________________________ (i)
82. 4
P e tro le u m p ro d u c ts ________ 55.9 60.5

+ 0 .3
+ 0 .4
+ 1 .6

83.0
- 7 .8
90.1 - 1 3 .4
91.3 + 8 .4
84.6 + 2 3 .9
94. 5
93.1
71.3 - 2 1 .6

Textile products............................

Metals and metal products_____ 95.7

95.7

A g ricu ltu ral im p le m e n ts ___
F a rm m a c h in e ry _______
Iro n a n d stee l______________
M o to r vehicles_______ ____ _
N o n ferro u s m e ta ls _________
P lu m b in g a n d h e a tin g _____

95.5
98.9
98.6
95.4
72.8
78.5

94.0
95.6
98.2
89.3
89.6
78.8

Building m aterials____________

90.3

95.2

B ric k a n d tile ______________ 91.0 93.5
C e m e n t___________ ______ 95.5 95. 5
L u m b e r . . . ______________ 90.4 99.0
P a in t a n d p a in t m a te ria ls ... 81.3 83.4
P lu m b in g a n d h e a tin g _____ 78.5 78.8
S tru c tu ra l s te e l____ _______ 111.0 113.2
O th e r b u ild in g m a te ria ls ___ 92.7 99.1
Chemicals and drugs________
77.6 83.9
C h em ica ls_______________ _ 81.6 89.9
D ru g s a n d p h a rm a c e u tic a ls. 73.9 79.1
F e rtiliz e r m a te ria ls ____ . . .
69.2 71.2
M ix ed fertilizers___________ 72.2 73.2
H ouse-furnishing goods..
86.8 89.7
F u rn is h in g s . __________
90.8 93.4
F u r n itu r e ... ______ _
82.8 85. 9
Miscellaneous commodities . .
73.3 77. 8
A u to m o b ile tires a n d tu b e s . 57.7 55.8
C a ttle feed_________________ 76.9 110.5
P a p e r a n d p u lp ___________
85.0 91.7
R u b b e r, c ru d e ___ _________ 30.5 40.5
O th e r m iscellan eo u s. _____ 81.5 84.7

Raw m aterials__________ _
Semimanufactured articles____
Finished p ro d u c ts _____
All commodities other than farm
products. _ _________
All commodities other than farm
products and foods_____

i Data not available.


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

72.0
75.4
82.2

84.8
85.3
87.2

- 7 .6
0.0 100.5 - 4 .8
+ 1 .6
98.7
- 3 .2
- 1 .1
+ 1.4 98.0
+ 0 .4
94.9 + 3 .9
+ 6 .8 100.0 - 4 . 6
- 1 8 .8 106.1 - 3 1 .4
- 0 .4
95.0 - 1 7 .4
- 5 .1
95.4
- 5 .3
94.3
- 2 .7
- 3 .5
0.0 91.8 + 4 .0
93.8
- 8 .7
- 3 .6
- 2 .5
94.9 - 1 4 .3
- 0 .4
95.0 - 1 7 .4
- 1 .9
98.1 + 1 3 .1
97.7
- 6 .5
- 5 .1
- 7 .5 94.2 - 1 7 .6
-9 .2
99.1 - 1 7 .7
- 6 .6
71.5 + 3 .4
-2 .8
92.1 - 2 4 .9
-1 .4
97.2 - 2 5 .7
- 3 .2 94.3 - 8 .0
- 2 .8
93.6
- 3 .0
- 3 . 6 95.0 —12. 8
- 5 .8
82.6 - 1 1 .3
+ 3 .4
54.5 + 5 .9
- 3 0 .4 121.6 - 3 6 .8
- 7 .3
88.9
- 4 .4
- 2 4 .7
42.3 - 2 7 .9
-3 .8
98.4 - 1 7 .2
- 1 5 .1
97.5 -2 6 .2
-1 1 .6 93.9 - 1 9 .7

L ow , J u ly 1935—
D ecem b er 1938

M ar.
A p r.
A ug.
M a r.

1937 119.2
1937 108.2
1937 88.5

77.0

M ay
Ju n e
N ov.
S ep t.
F eb .
A p r.

1938

72.1

1938
1938
1938
1938
1938

68.5
74.0
55.5
78.4
64.5

July
J u ly
Ju n e
J u ly
J u ly

1935

89.3

107.6
122.1
100.7
103.3

1935
1938
1935
1935

97.8
62.3
80.2
84.4

79.5
90.1
95.1
66.5
35.1
94.4
71.1

June 1938

65.5

A ug.
June
J u ly
June
D ec.
D ec.

1935
1938
1936
1938
1938
1938

80.5
63.9
59.3
27.6
74.8
64.4

Sept. 1937

Sept. 1935

73.0

N ov.
Jan .
D ec.
F eb .

A p r.
A ug.
J u ly
A p r.
M a r.
O ct.
June
A p r.
J u ly
M a r.

72.4
96.0
88.6
77.1
79.8
50.1

Sept. 1937

S ep t.
Sept.
A p r.
A p r.
M av

88.0

Oct.

In d ex

1937 108.1

78.7
1935 83.0
1938 103.2
1937 105.5
1938 89.6
1935 94.0
1937 62.2
1937 9 7 . 1
1938 96.3
1938 97.8
1938 101.8
M
1937 101.1
1937 80.6
1937 97.2
1937 95.5
1935 95.5
1937 103.0
1937 84.6
1937 80.6
1937 114.9
1937 101.3
1937 87.8
1937 96.4
1937 83.0
1937 72.5
1937 74.9
1937 91. 1
1937 95.0
1937 87.1
1937 81.1
1938 58.8
1937 146.8
1937 95.0
1937 50.9
1937 85.8

(0

M ar.
S ep t.
May
A ug.
O ct.
A p r.
S ept.
S ept.
A pr.
M ay
F eb.
Jan.
F eb .
O ct.
O ct.
Aug.
A ug.

A pr.
N ov.
A p r.
Ju n e
M a r.
Ju n e

Mar. 1937

- 5 .7

94.5 -1 3 .0

Sept. 1937

90.1
89.6
89.1

M ar. 1937

1937
1935
1935
1937
1937
1935
1936
1937
1935
1936

(01935

J u ly
J u ly
July
O ct.
J u ly
D ec.
A ug.
J u ly
J u ly
M a r.
Ju n e
D ec.
June
Ju n e
A p r.
July
J u ly
J u ly

Sept.
J u ly
O ct.
D ec.
S ep t.
A ug.

1935
1935
1935
1935
1935
1935
1935
1935
1933
1938
1938
1938
1936
1936
1935
1935
1935
1935
1935
1938
1935
1935
1935
1938
1935

May
July
Dec. 1938

86.2
92.1
91. 7
86.3

(')

66.1
68.8

85.2
88.3
94.9
81.5
78.6
68.8
92.0
88.5

76.3
80.0
71.9
64.0
64.5

80.4
84.0
76 8
67.1
45.0
66.5
79.2
24.0
80.0

70.7
72.8
80.2

80.6

86.2

-6 . 5

93.3 - 1 3 .6

Aug. 1937

87.6

Dec. 1938

79.0

81.7

85.3

- 4 .2

91.6 -1 0 .8

Apr. 1937

86.5

Sept. 1935

77.8

479

W holesale P ric e s

Wholesale Price Level in December 1938

During December wholesale commodity prices fell 0.6 percent to the
lowest point reached in the past 4 years. Pronounced declines in aver­
age prices for foods and hides and leather products largely accounted
for the decrease.
The all-commodity index of 813 price series dropped to 77.0 percent
of the 1926 average, representing a decline of 5.8 percent from Decem­
ber a year ago.
Six of the 10 major commodity group classifications declined from
November to December. Hides and leather products dropped 1.6
percent; foods, 1.3 percent; fuel and lighting materials, 0.7 percent;
textile products, 0.6 percent; and farm products and metals and metal
products, 0.3 percent. Building materials and housefurnishing goods
advanced 0.2 percent and chemicals and drugs and miscellaneous com­
modities rose 0.1 percent during the month. Each of the groups was
below its December 1937 level. The decreases ranged from 1.8 per­
cent for metals and metal products to 8.4 percent for foods.
A comparison of the December level of wholesale prices with Novem­
ber 1938 and December 1937 is shown in table 2.
T a b l e 2 . —Index Numbers of Wholesale Prices by Groups of Commodities, December

1938 Compared With November 1938 and December 1937
[1926=100]
C h an g e
from a
m o n th
ago

C h an g e
from a
y e a r ago

D ecem ­
b er 1938

N ovem ­
b er 1938

A ll co m m o dities___________________ ____ ___________

77.0

77.5

- 0 .6

81.7

- 5 .8

F a rm p ro d u c ts ___ ______ _______________ _____ ____
F o o d s____________ _____ ________________ __________
H id es a n d le a th e r p ro d u c ts........................... .....................
T ex tile p ro d u c ts ___________________________________
F u el a n d lig h tin g m a te r ia ls ... _____________________

67.6
73.1
98.1
65.8
73.2

67.8
74.1
94.6
66.2
73.7

-.3
-1 .3
- 1 .6
- .6
- .7

72.8
79.8
97.7
70.1
78.4

- 7 .1
- 8.4
- 4 .7

M e ta ls a n d m e ta l p ro d u c ts _________________________
B u ild in g m a te ria ls _____________________ ______ ____
C h em icals a n d d ru g s .................................................. ...........
H o u sefu rn ish in g goods____________________ _ ____
M iscellan eo u s______________________________ _______

94.6
89.4
76.7
86.0
73.1

94.9
89.2
76.6
85.8
73.0

-.3
+ .2

96.3
92.5
79.5
89.7
75.0

- 1 .8
- 3 .4
- 3 .5
- 4 .1
- 2 .5

R a w m a te ria ls ____________________________________
S e m im a n u fa c tu re d articles............................... ...................
F in is h e d p ro d u c ts _____ ____________________________
All co m m o d ities o th e r th a n farm p ro d u c ts. ._ _____
All co m m o d ities o th e r th a n farm p ro d u c ts a n d fo o d s..

70.9
75.2
80.2
79.0
80.3

71.5
76.2
80.5
79.5
80.6

75.4
77.7
85.3
83.5
83.6

- 6 .0

C o m m o d ity group

D ecem ­
b e r 1937

Percent

+ .1
+ .2
+ .1
-.8
-1 .3

-.4
-.6
-.4

Percent

- 6 .1
-6 .6

- 3 .2

- 6 .0
-5 .4

-3 .9

,

Index Numbers by Commodity Groups 1926 to December 1938

Index numbers of wholesale prices by commodity groups for selected
years from 1926 to 1938, inclusive, and by months from December 1937
to December 1938, inclusive, are shown in table 3.


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

480

M o n th ly L a b o r R eview — F e b ru a ry 1939
T a b l e 3 . — Index Numbers of Wholesale Prices, by Groups of Commodities
[1926=100]
H id es T e x ­
F a rm
and
p ro d ­ Foods le a th e r tile
p ro d ­
p
ro d ­
u c ts
u c ts
u cts

Y ear a n d m o n th

B y years:
1926_____________ 100.0
1929_____________ 104.9
1932_____________
48.2
51.4
1933_____________
1936______ ______
80.9
86.4
1937____ ________
1938_____________
68.5
B y m o n th s:
1937:
D e c e m b e r___
72.8
1938:
J a n u a r y . ___
71.6
F e b ru a ry ____
69.8
M a rc h ______
70.3
A p ril________
68.4
M a y ________
67.5
J u n e _____
68.7
69.4
J u ly _________
A u g u s t______
67.3
S e p te m b e r__
68.1
O c to b e r___ _ 66.8
N o v e m b e r___
67.8
D e c e m b e r___
67.6

ls
F uel Maeta
B u ild ­ C h e m ­ H o u se
nd
f u r­
and
ing
icals
m e ta l
n ish ­
lig h t­
p ro d ­ m a te ­ a n d
ing
ing
rials
d
ru
g
s
u c ts
goods

M iscellaneous

A ll
com ­
m o d i­
ties

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. S

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
94.2
73.5
72.6
80.4
83.9
77.6

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

79.8

97.7

70.1

78.4

96.3

92.5

79.5

89.7

75.0

81.7

76.3
73.5
73.5
72.3
72.1
73.1
74.3
73.0
74.5
73.5
74.1
73.1

96.7
94. 7
93.6
92.1
91.3
90.1
91.5
91.9
92.0
93.4
94.6
93.1

69.7
68.6
68.2
67.2
66.1
65.5
66.1
65.9
65.8
66.2
66.2
65.8

78.3
78.5
77.7
76.8
76.2
76.4
76.8
76.8
76.6
75.4
73.7
73.2

96.6
96.0
96.0
96.3
96.7
96.1
95.2
95.4
95.5
95.3
94.9
94.6

91.8
91.1
91.5
91.2
90.4
89.7
89.2
89.4
89.5
89.8
89.2
89.4

79.6
79. 1
78.7
77.5
76.8
76.3
77.7
77.7
77.3
77.1
76.6
76.7

88.3
88.0
87.7
87.3
87.2
87.1
86.4
86.4
86.2
85.7
85.8
86.0

75.2
74.8
74.4
73.4
73.1
72.9
72.7
72.4
72.4
72.6
73.0
73.1

80.9
79.8
79.7
78.7
78.1
78.3
78.8
78.1
78.3
77.6
77.5
77.0

The price trend for specified years and months since 1926 is shown
in table 4 for the following groups of commodities: Raw materials,
semimanufactured articles, finished products, commodities other than
farm products, and commodities other than farm products and foods.
T a b l e 4 . —Index Numbers of Wholesale Prices, by Special Groups of Commodities
[1926=100]

Y ear a n d m o n th

B y years:
1926____________
1929____________
1932____________
1933____________
1936___________
1937____________
1938____________
B y m o n th s:
193/:
D ecem l e r___

SemiR aw m anm a te ­ ufacrials tu re d
a r t i­
cles

A ll
com ­
m
od­
F in ­
ished ities
o th e r
p ro d ­ th a n
u cts
farm
p ro d ­
u cts

100.0 100.0 100.0 100.0
97. 5 93.9 94. 5 93. 3
55.1 59.3 70.3 68.3
56.5 65.4 70.5 69.0
79.9 75.9 82.0 80.7
84.8 85.3 87.2 86. 2
72.0 75.4 82.2 80.6
75. 4


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

77.7

85.3

83.5

A ll
com ­
m od­
ities
o th e r
th e n
farm
p ro d ­
u cts
and
foods

100.0
91 6
70.2
71.2
79. 6
85.3
81.7
83.6

Y e a r a n d m o n th

SemiR aw m an m a te ­ ufacrials tu re d
a r ti­
cles

A ll
co m ­
m
od­
F in ­
ished ities
o
th
er
p ro d ­
th a n
u cts
farm
p ro d ­
u cts

All
com ­
m od­
ities
o th e r
th a n
farm
p ro d ­
ucts
an d
foods

B y m o n th s:
1938:
74 Q
73.6
73.2
71 3
70 7
J u n e _______ 71.4
J u l y .............
72.3
A u g u st____ . 71.4
S e p te m b e r ... 72.0
O cto b e r_____ 70.9
N o v e m b e r ... 71.5
D e c em b er___ 70.9
F e b r u a r y ___
M a r c h ______

76.1
75.6

83.3
83.4

81.9
81.6

83.0
82. 6

74.1
74.3
74.4
74.7
75.9
76.2
75.2

82. 2
82.5
81.8
81.8
81.1
80.5
80.2

80.3
80.8
80.3
80.4
79.9
79.5
79.0

8L 3
81.4
81.4
81.3
81.1
80.6
80 3

Recent Publications o f Labor Interest

JANUARY 1939
Agriculture
Agricultural labor in Pacific coast States: A bibliography and suggestions for research.
Berkeley, University of California, Giannini Foundation of Agricultural
Economics, August 1938. 64 pp.
Patterns of agricultural labor migration within California. By Paul S. Taylor and
Edward J. Rowell. Washington, U. S. Bureau of Labor Statistics, 1938. 11
pp. (Serial No. R. 840, reprint from November 1938 Monthly Labor
Review.)
Trends in size and production of the aggregate farm enterprise, 1909—36. By
Raymond G. Bressler, Jr., and John A. Hopkins. Washington, U. S. Works
Progress Administration, 1938. 255 pp., maps, charts. (National Research
Project, Studies of Changing Techniques and Employment in Agriculture,
Report No. A-6.)
One of a series of studies intended to explain the relationships between the
volume of agricultural production and the amount of labor employed since 1909
and to throw light on the future trends of agriculture, particularly with regard to
employment prospects. This volume is designed in particular for the purpose of
constructing indexes of agricultural production, general and regional. It is
announced that a forthcoming study will make use of the indexes for measuring
changes in labor productivity and in the demand for labor.

Civilian Conservation Corps
Annual report of Director of Civilian Conservation Corps, fiscal year ended June 30,
1938. Washington, U. S. Civilian Conservation Corps, 1938. 96 pp.,
folders.
Data from this report are given in this issue of the Monthly Labor Review.

Coal-Mining Industry
The world coal-mining industry: Volume I, Economic conditions; Volume 11,
Social conditions. Geneva, International Labor Office (American branch,
734 Jackson Place NW., Washington, D. C.), 1938. 258 and 372 pp.
(Studies and Reports, Series B, No. 31.)
Revised and final edition of the report originally prepared and distributed by
the International Labor Office, as a “White” Report, to serve as a basis for discus­
sion at the Technical Tripartite Conference on the Coal-Mining Industry, held in
Geneva in May 1938. This report represents an effort by the International
Labor Office to give a comprehensive picture of economic and social conditions in
the coal-mining industry, particularly as regards their bearing on the problem of
hours of work in coal mines. Data from the earlier report, on labor productivity
and labor costs in various countries, were published in the June 1938 Monthly
Labor Review (pp. 1386-1390), and on earnings of coal-mine labor, in the July
1938 Monthly Labor Review (pp. 145-147).
Pennsylvania anthracite. Washington, U. S. Bureau of Mines, 1938. 32 pp.
(Chapter from Minerals Yearbook, 1938.)
The labor statistics presented show average number of men employed, average
number of days plants operated, man-days of labor, output per man per day, and
labor disputes, in 1936.

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

481

482

M o n th ly L a b o r R e view — F e b ru a ry 1939

1988 year book on coal mine mechanization. Washington, American Mining Con­
gress, 1938. 409 pp., diagrams, illus.
Contains papers on the general aspects and extent of coal-mine mechanization
and reviews the experience in specific mines as reported to the convention of the
American Mining Congress.

Consumer Problems
Consumers and the market. By Margaret G. Reid. New York, F. S. Crofts &
Co., 1938. 584 pp.
A book designed “to help consumers,” emphasizing the character of consumer
problems as they are related to buying in the market, practices and policies
affecting consumers’ day-to-day difficulties and the efficiency of the distribution
system in general, and factors responsible for the present practices and policies.
One chapter deals with consumers’ cooperatives.
It’s an art. By Helen Woodward. New York, Harcourt, Brace & Co., 1938.
405 pp.
Written, from the standpoint of the consumer, by an ex-advertising writer,
this book analyzes the faults and virtues of the “advertising game.”

Cooperative Movement
Agricultural cooperatives in Rio Grande do Sul, Brazil. By Fabio Luz Filho.
Washington, Pan American Union, Division of Agricultural Cooperation,
1938. 28 pp.; mimeographed. (Series on Cooperatives, No. 11.)
Contains brief accounts of individual agricultural cooperatives.
Organizing a farmers’ cooperative. By S. D. Sanders. Washington, U. S. Farm
Credit Administration, 1938. 42 pp. (Circular No. C-108.)
Describes the proper methods of procedure and gives in appendixes suggested
forms of articles of incorporation, bylaws, etc., and the text of the CapperVolstead Act.
The cooperative banks of Massachusetts. By Donald H. Davenport. Boston,
Harvard University, Graduate School of Business Administration, 1938.
53 pp., charts. (Business Research Studies, No. 20.)
Analysis of building and loan associations in Massachusetts, with comparative
statistics from 1890 to 1937.
Cooperative productive enterprises in the United States. Washington, U. S. Bureau
of Labor Statistics, 1938. 10 pp. (Serial No. R. 841, reprint from Novem­
ber 1938 Monthly Labor Review.)

Economic and Social Problems
Capital consumption and adjustment. By Solomon Fabricant. New York,
National Bureau of Economic Research, 1938. 271 pp., charts. (Publica­
tion No. 35.)
Described by the writer as an appendix to the studies of capital formation by
the National Bureau of Economic Research, under the direction of Simon Kuznets.
These studies are instances of current interest in the problem of declining oppor­
tunities for the profitable investment of funds available under prevailing alloca­
tions of income.
Capitalism in crisis. By James Harvey Rogers. New Haven, Yale University
Press, 1938. xi, 210 pp.
The author views our economic system in historical perspective, and recognizes
the necessity for constant adaptations as the price of survival. “If the system
is to be saved, careful diagnosis of its most dangerous ills must first be made
before an intelligent cure can be attempted. If it is to be allowed to perish, a
similar diagnosis is necessary in order to determine the least painful means of
exit.” He holds that the outcome depends mainly on the ability of capitalism
to reestablish economic security and to eliminate present losses from the failure
to utilize effectively our economic resources.


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

R ecen t P u b lic a tio n s o f L a b o r In terest

483

Monopoly and competition in industry and labor. Edited by John A. Krout.
New York, Academy of Political Science, 1939. 143 pp. (Proceedings,
Vol. XVIII, No. 2.)
One of the papers is on “Labor policies and the volume of employment,” by
Prof. Leo Wolman, who thinks there is “need for a quick and thoroughgoing
relaxation of many of the standards which we have put into effect in these last
years.”
Britain in recovery. Prepared by a Research Committee, Economic Science and
Statistics Section, British Association for the Advancement of Science.
London, Sir Isaac Pitman & Sons, Ltd., 1938. 474 pp.
Collection of articles on the experience of individual industries in varying
periods up to 1937, and on general questions, including employment, unemploy­
ment, and industrial relations.
The second industrial survey of South Wales. Cardiff, National Industrial De­
velopment Council of Wales and Monmouthshire, 1937. 3 vols.
This study was undertaken to ascertain the potentialities of the industrial
region of South Wales in relation to the transfer of workers from the Special
Area. Part 1 covers industries, part 2, facilities, and part 3, development.
N azi Germany: Its women and family life. By Clifford Kirkpatrick. New
York, Bobbs-Merrill Co., 1938. 353 pp., illus.; bibliography.
Deals with the status of women and family life in present-day Germany.
Democratic Sweden. Edited by Margaret Cole and Charles Smith. London,
George Routledge & Sons, Ltd., 1938. 334 pp.
Wages, cost of living, labor organizations, the cooperative movement, social
services, and education, are among the subjects discussed in this volume on
present-day socio-economic conditions in Sweden.

Education and Guidance
Annotated, list of pamphlet material for workers’ classes. New York, Affiliated
Schools for Worker«, Inc., Labor Education Service, 1938. 45 pp.; mimeo­
graphed.
The material is classified under the following heads: The labor movement;
labor economics; English and parliamentary law; labor plays; methods and
materials.
Federal aid for education, 1985-86 and 1986-37, with a brief history and bibli­
ography. By Timon Covert. Washington, U. S. Office of Education,
1938. 24 pp. (Leaflet No. 30.)
Objectives and problems of vocational education. Edited by Edwin A. Lee. New
York and London, McGraw-Hill Book Co., Inc., 1938. 476 pp. 2d ed.
The subjects discussed in this symposium include vocational education as a
national responsibility; trends in the various fields of vocational education and in
vocational guidance; the vocational rehabilitation of the disabled; industrial arts
education; and the attitudes of employers and of organized labor toward vocational
education.

Employment and Unemployment
Revised indexes of factory employment adjusted for seasonal variation. (In Federal
Reserve Bulletin, U. S. Federal Reserve Board, Washington, October 1938,
pp. 835-866; also reprinted.)
In this compilation the monthly index numbers of the United States Bureau of
Labor Statistics, 1919 to 1938, have been adjusted for seasonal variations.
Ten years of work experience of Philadelphia machinists. By Helen Herrmann.
Washington, U. S. Works Progress Administration, 1938. 132 pp., charts,
illus. (National Research Project, Philadelphia Labor Market Studies,
Report No. P-5.)
A study of the experiences of 683 Philadelphia machinists during the years
1926-36. The materials were obtained by interviewing the machinists in their
homes. The evidence indicates that machinists as a group had less unemployment
during the 10-year period than other Philadelphia groups that have been studied.
But machinists found greater difficulty in utilizing their skills by transferring from
one industry to another than is commonly supposed. There were reports of a
shortage of machinists in the Philadelphia area in 1936 but the study indicated
that 12 percent of machinists were unemployed in May 1936.

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

484

M o n th ly L a b o r R eview — F e b ru a ry 1939

Health and Industrial Hygiene
Disability from specific causes in relation to economic status. Washington, U. S.
Public Health Service, National Institute of Health, 1938. 13 pp., charts.
(National Health Survey, Preliminary Reports, Sickness and Medical Care
Series, Bull. 9.)
The report shows the relation found in the National Health Survey between
the economic status of the families surveyed and the per capita volume of disability
from certain of the more important diseases.
Industrial hygiene: A handbook of hygiene and toxicology for engineers and plant
managers. By Laurence B. Chenoweth, M. D., and Willard Machle, M. D.
New York, F. S. Crofts & Co., 1938. 235 pp., illus.
Intended to be used primarily as a textbook for engineering students and others
studying industrial hygiene.
Industrial hygiene: Report on activities of Division of Industrial Hygiene, New York
State Department of Labor. (In Industrial Bulletin, Department of Labor,
Albany, October 1938, pp. 466-470.)
Shows how the State labor department operates to control industrial accidents
and diseases.
Health hazards from cement dust and wet concrete. Chicago, Illinois Department
of Public Health, [1938?]. 8 pp. (Educational Health Circular, Industrial
Health Series No. 1.)
Causes of the different types of disability resulting from work with Portland
cement—irritation of the respiratory tract, irritation or burning of the skin, con­
junctivitis, irritation of the eyes, clogging of the ears, and rheumatic conditions—
are discussed, and measures of prevention are suggested.
The analysis of mine dusts: I, The determination of carbon dioxide in mine dusts
containing carbonates; II, The determination of free and combined water in mine
dusts containing gypsum. By A. L. Godbert. London, Safety in Mines
Research Board, 1938. 20 pp., diagrams, illus. (Paper No. 101.)
Second International Conference on Silicosis. (In International Labor Review,
Geneva, December 1938, pp. 819-825.)
Summary of conclusions regarding items on agenda of the conference held in
Geneva from August 29 to September 9, 1938, in accordance with a decision of
the Governing Body of the International Labor Office. The conference was
attended by medical experts from 10 countries as’well as by representatives of the
Governing Body and of the Health Section of the League of Nations Secretariat.
L’assicurazione obligatoria contro le malattie professionali. By Aldo Mattioni.
Rome, Patronato Nazionale per l’Assistenza Sociale, 1938. 47 pp. (Sup­
plement to l’Assistenza Sociale, October 1938.)
Brief account of existing legislation providing compulsory insurance against
occupational diseases in Italy and other countries, and a discussion of certain
diseases not now compensable in Italy which the author thinks should be included
under the law. A bibliography on occupational diseases is included.

Housing
Housing—a national disgrace. By Charles Stevenson. (In The Atlantic Monthly,
Boston, December 1938, pp. 835-845.)
A discussion of the rackets which make house construction costly and act as
a deterrent to the replacement of substandard dwellings. The conclusion reached
is that the Government in its housing program should reform the building indus­
try. The article is divided into two parts of which this is the first.
Municipal subsidies for public housing. By Paul Studenski. (In National
Municipal Review, New York, December 1938, pp. 577-582.)
Considers the suitability of tax exemption and direct subsidy for public housing
as a means of assistance by municipalities for local housing projects.
What the Housing Act can do for your city. Washington, U. S. Housing Authority,
1938. 88 pp., charts, illus.
Explains the provisions of the United States Housing Act and shows the need
for new housing.


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

R ecen t P u b lic a tio n s o f L a b o r In te re st

485

Maaseudun asunto-olot vuonna 1937. Helsingfors, Sosiaaliministerio, Sosiaalinen
Tutkimustoimisto, 1938. Various paging.
Report on housing conditions in rural districts of Finland in 1937, including
data on number of rooms and air space per person and per family, dwellings
provided by employers for their workers, and dwellings owned by workers.
There is a r£sum6 in French and a French translation of the table of contents.

Income
Statistics of income for 1936: Part 1, Compiled from individual income tax returns,
estate tax returns, and gift tax returns. Washington, U. S. Bureau of Internal
Revenue, 1938. 178 pp.
Wealth and income (basic information sources). Washington, U. S. Bureau of
Foreign and Domestic Commerce, July 1938. 8 pp.; mimeographed.
The national income of Australia. By Colin Clark and J. G. Crawford. Sydney
and London, Angus & Robertson, Ltd., 1938. 120 pp.
Describes the different methods of computing national income and presents
statistics for a number of years ending with 1937-38. Income available and
income produced are calculated, as well as real income.

Industrial Accidents and Workmen’s Compensation
Industrial injuries to women and men, 1932 to 1934. By Margaret T. Mettert.
Washington, U. S. Women’s Bureau, 1938. 37 pp., map, chart. (Bulletin
No. 160.)
Tyossa sattuneet tapaturmat vuonna 1935. Helsingfors, Sosiaaliministerio,
Sosiaalinen Tutkimustoimisto, 1938. 63 pp.
Beport on industrial accidents in Finland during 1935, including information
on causes, duration, severity, degree of disability, and mortality. French trans­
lations are furnished for the table of contents and some table heads.
Ongevallenstatistiek, betreffende het kalenderjaar 1936. Amsterdam, Rijksverzekeringsbank, 1938. 257 pp.
Statistics of accidents and accident insurance in the Netherlands in 1936,
covering workers in practically all industries.

Industrial Management
Creative forces in industry: Labor1s view of time and motion study. By M. H.
Hedges. Washington, M. H. Hedges, International Brotherhood of Electrical
Workers, 1938. 9 pp.; mimeographed.
Paper presented at time and motion clinic sponsored by the Industrial Manage­
ment Society, Chicago, November 4, 1938.
Seventh International Management Congress, Washington, D. C., September 19 to
23, 1938. Baltimore, Waverly Press, Inc. (for International Management
Congress, Inc.), 1938. 6 vols.
The six volumes of the proceedings cover, respectively, administration; agricul­
ture; distribution; home management; personnel and general management; and
production.
The principles of rational industrial management. By James J. Gillespie. London,
Sir Isaac Pitman & Sons, Ltd., 1938. xv, 229 pp.
A text by an English management consultant that throws light on English
conceptions of labor relations. The author emphasizes the view that “there is
need not only for obedience of authority by employees but, also, for obedience by
management to the W'hole purpose which industry is serving.” Management, he
asserts, should recognize the need for social acceptance of disciplines and the role
of government in the processes of general coordination and integration.
Multiple management. By Charles Perry McCormick. New York and London,
Harper & Brothers, 1938. xii, 175 pages.
Describes the organization and functioning of the junior board of directors in
the author’s company, which he says “not only makes unionization unnecessary,
but discourages attempts at unionization.”


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

486

M o n th ly L a b o r R eview — F e b ru a ry 1939

The development of scientific management in Great Britain. By Lyndall Urwick..
(Reprinted from British Management Review, Vol. I ll, No. 4, London, 1938:
85 pp., paster.)
Traces the history of the evolution of the modern management practice culmin­
ating with the formation of the British Management Council in 1936.

Industrial Relations
Collective agreements of United Shoe Workers. Washington, U. S. Bureau of Labor
Statistics, 1938. 8 pp. (Serial No. R. 843, reprint from November 1938
Monthly Labor Review.)
Industrial relations— 1989 model. By Ordway Tead. (In Personnel Journal,
New York, November 1938, pp. 160-167.)
The author analyzes some of the deeper industrial trends and suggests that
personnel, executive, and corporation problems may be more easily solved when
considered with community problems of which they are a part.
What employees think: The results of a Nation-wide survey of employee attitude.
New York, National Association of Manufacturers, [1938?]. 15 pp.

International Labor Conference
Record of proceedings of International Labor Conference, twenty-fourth session,.
Geneva, 1938. Geneva, International Labor Office, 1938. 712 pp.
The results of the conference were summarized in the August 1938 Monthly
Labor Review (pp. 278-285).

Labor and Social Legislation
A summary of State laws affecting employment of minors in factories and stores.
Washington, U. S. Children’s Bureau, November 1938. 7 pp.
Labor law and relations: The law and statutes involved in dealings and relations with
labor as interpreted by the courts and administrative agencies. By Herbert A.
Lien. New York, Matthew Bender & Co., Inc., 1938. 747 pp. Supple­
ment, Wages and hours guide (Fair Labor Standards Act of 1938), 72 pp.
Código del trabajo con todas sus modificaciones y reglamentos [Chile]. Santiago,
[“Diario Oficial”?], 1937. 586 pp.
The Labor Code of Chile with all its amendments and regulations through
May 22, 1937, annotated.
Labor legislation in Czechoslovakia, with special reference to the standards of the
International Labor Organization. By Esther Bloss. New York, Columbia
University Press, 1938. 210 pp.
Covers general provisions for protection of workers, special provisions for protec­
tion of woman and child workers, protection of workers against industrial acci­
dents and diseases, and social insurance, in Czechoslovakia, and in Austria and
Hungary prior to 1938, and participation of workers in management in Czecho­
slovakia. A chapter is devoted to Czechoslovakia and the International Labor
Organization.
Labor legislation in Indian States. By Rajani Kanta Das. (In International
Labor Review, Geneva, December 1938, pp. 794-818.)
The tenants’ guide. By Michael Best. London, Labor Research Department,
1938. 54 pp.
A guide to the present legal position under the British Rent Acts, from the
tenant’s point of view, and a summary of the provisions of the rent law enacted in
1938.

Labor Organization and Activities
American labor. By Herbert Harris. New Haven, Yale University Press, 1939.
459 pp.; bibliography.
This is both a history and an analysis of the American labor movement in the
light of the trend of economic conditions in the United States during the last few
decades. The philosophy of labor is illustrated in a more detailed analysis of the

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

R ecen t P u b lic a tio n s o f L a b o r In terest

487

histories of the United Mine Workers, the Brotherhood of Carpenters and Joiners,
the American Newspaper Guild, the Ladies’ Garment Workers, and the railroad
unions. Professor Harris concludes that the “real paradox of poverty amid poten­
tial abundance has become a challenge to the American labor movement.” The
American worker “has made up his mind that the promise of life, liberty, and the
pursuit of happiness which is still the mainspring of his spiritual being must be met
in fuller measure.”
The Brewery Workers International Union. By Joseph Obergfell. (In Labor
Information Bulletin, U. S. Bureau of Labor Statistics, Washington, Decem­
ber 1938, pp. 1-3.)
Report of proceedings of 54-th annual convention of Trades and Labor Congress of
Canada, held at Niagara Falls, Ontario, September 12-17, inclusive, 1988.
Ottawa, Trades and Labor Congress of Canada, 1938. 208 pp.
The membership of the Congress as reported to the convention was 160,378,
distributed in 1,892 unions.

Legal A id and the Legal Profession
Report of Commission on the People’s Court of Baltimore City. Baltimore, June 17.
1938. 117 pp.
Lawyers and the promotion of justice. By Esther [Lucile Brown. New York,
Russell Sage Foundation, 1938. 302 pp.
In a section on new trends in the promotion of justice there is a discussion of legal
service for the poor.
The economics of the legal profession. Chicago, American Bar Association, 1938.
230 pp.
Describes the results of the bar surveys made to date; the principal proposals
which have been advanced for the improvement of the economic condition of the
profession and for furthering its capacity for usefulness. Includes data on the
earnings of lawyers, for as late as 1936 in some cases, and also on the earnings of
doctors and certain other professional workers, 1929-34.

Lumber IndustryLumber, its manufacture and distribution. By Ralph Clement Bryant. New
York, John Wiley & Sons, Inc., 1938. xxiv, 535 pp., diagrams, illus.
A brief section is devoted to labor matters, including efficiency, wage systems,
unions, and accident prevention.
The lumber industry in Washington, including logging, sawmills, shingle mills,
pulp and paper, specialties, distribution. By William Ray Melton. Tacoma,
National Youth Administration of Washington, 1938. 160 pp., illus.;
mimeographed. (Industrial Study No. 1.)
Contains information on occupations, qualifications for employment, average
wages, working conditions, and labor organizations.

M inim um Wage
Report of Confectionery Minimum Wage Board to Industrial Commissioner, New
York State, October 7, 1938. New York, [Department of Labor?], 1938.
12 pp.; mimeographed.
The effect of minimum-wage determinations in service industries: Adjustments in
dry-cleaning and power-laundry industries. Washington, U. S. Women’s
Bufieau, 1938. 44 pp., charts. (Bulletin No. 166.)
Data from this report are given in this issue of the Monthly Labor Review.
Report of Pennsylvania Minimum Wage Board for Laundries, May 81, 1988.
Harrisburg, 1938. 18 pp.; mimeographed.
Contains the minimum fair wage rates recommended by the board.


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

488

M o n th ly L a b o r R eview — F e b ru a ry 1939

A minimum-wage budget for employed women in Pennsylvania. Harrisburg,
Department of Labor and Industry, 1938. 89 pp., mimeographed.
The minimum-wage budget presented was established primarily for women
working in laundries or laundry occupations, but in large measure is applicable
to women employed in other industries. The process of constructing such a
budget is described.
Minimum wage legislation in Latin America. By Eugene D. Owen. (In Bulletin
of the Pan American Union, Washington, June 1938, pp. 323-331; July 1938,
pp. 406-414; bibliography.)
Account of minimum wage legislation in the 14 Latin American republics in
which such legislation is in force.
This article was also published, in two parts, in the August and October 1938
issues of the Portuguese edition of the Pan American Union Bulletin, and in the
October and November 1938 issues of the Spanish edition.

Negro in Industry
Job opportunities for Negro youth in Columbus. By Chester J. Gray. Columbus,
National Youth Administration in Ohio, 1938. 87 pp., charts, bibliography;
mimeographed.
Thirty-four occupations in which Negroes are commonly employed are dis­
cussed, and suggestions are offered to help Negro youth in using available com­
munity resources.
The Negro and economic reconstruction. By T. Arnold Hill. Washington, Asso­
ciates in Negro Folk Education, 1937. 80 pp. (Bronze Booklet No. 5.)

Older Worker in Industry
Report of International Labor Office on question of discrimination against elderly
workers. Sixteenth item on agenda of 85th session of Governing Body,
London, October 25, 1938. Geneva, International Labor Office, 1938.
Various paging.
Reviewed in this issue.

Planning
Governmental planning machinery— a comparative study. By Sir Henry N. Bunbury. Chicago, Public Administration Service, 1938. 25 pp. (Publication
No. 63.)
Brief comparisons of public agencies in the field of planning in France, England,
and the United States, with references to similar agencies in other countries, and a
concluding general analysis. The author emphasizes a restricted view of planning
which would retain private enterprise as a “free profit-seeking activity.”
Public works as a factor in economic stabilization. (In International Labor Review,
Geneva, December 1938, pp. 727-757.)
This article outlines the principles on which the International Labor Office has
based its recommendations in regard to the advance planning of public works with
a view to diminishing economic fluctuations. It gives examples of the application
of these principles in a number of countries, and explains the function in such
activities of the International Public Works Committee set up within the Inter­
national Labor Organization.
Soviet planning organizations. By Jacob Miller. (In Plan Age, National Eco­
nomic and Social Planning Association, Washington, November 1938, pp.
247-260.)
Revision of an article originally published in the Slavonic Review for April 1938.

Prison Labor
Report of commissioners of prisons and directors of convict prisons [Great Britain] for
year 1937. London, Home Office, Prison Commission, 1938. 137 pp.
(Cmd. 5868.)
The section on prison industries is summarized in this issue of the Monthly
Labor Review.


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

R ecen t P u b lic a tio n s o f L a b o r In terest

489

Prisoner activities. By Sam A. Lewisohn. Address delivered at 68th Annual
Congress of American Prison Association, St. Paul, Minn., October 5, 1938.
[New York, American Prison Association?], 1938. 18 pp.
Stresses the importance of education for prisoners.

Relief Measures and Statistics
A survey of the current relief situation in 45 representative areas in 28 States of the
United States, winter of 1988. New York, American Association of Social
Workers, 1938. 31 pp.; mimeographed.
A compilation showing, State by State, the general relief situation.
Analysis of 70,000 rural rehabilitation families. By E. L. Kirkpatrick. Wash­
ington, U. S. Farm Security Administration and Bureau of Agricultural
Economics, 1938. 93 pp. (Social Research Report No. IX.)
Most of the families included in these surveys represent farm population with
levels of living regarded as below the minimum of decent standards.
Summary of recommendations of Social Study of Pittsburgh and Allegheny County.
Pittsburgh, Social Study of Pittsburgh and Allegheny County, Citizens'
Committee, 1938. 144 pp.
The recommendations of a committee appointed by the Community Fund and
the Federation of Social Agencies to study the whole program of social work in
Pittsburgh in the light of present Conditions. Recommendations cover all
phases of social care, including problems of immigrants and care of the aged.
Public welfare administration in the United States— select documents. By Sophonisba
P. Breckenridge. Chicago, University of Chicago Press, 1938. 1229 pp.
2d ed.
The documents included consist almost entirely of reports of legislative com­
mittees or of special investigative commissions, statutes authorizing the creation
of public welfare agencies, reports of the authorities created under such statutes,
and discussions in national conferences or similar gatherings evaluating these
agencies and proposing their development or alteration.
L ’assistenza medico-legale dei lavoratori in Italia. Rome, Patronato Nazionale
per l’Assistenza Sociale, 1938. 192 pp. (In Italian and German.)
Deals primarily with medico-legal assistance to workers in Italy, its develop­
ment, administration, and operation, from 1926 to 1937, but there is also discussion
of the subject in general and a brief account of such assistance in France and
Germany.

Social Security
Three years’ progress toward social security, August 14, 1985-August 14, 1988.
Washington, U. S. Social Security Board, 1938. 10 pp.; mimeographed.
Data from this report were given in the October 1938 Monthly Labor Review
(p. 758).
L’assistenza di malattia ai lavoratori del commercio durante l’anno 1987. By
Filippo Pennavaria. (In Assistenza Fascista, Cassa Nazionale Malattie per
gli Addetti al Commercio, Rome, July-August 1938, pp. 157-184.)
Report on extension of the services of the Italian National Sickness Fund for
Commercial Workers in 1937 to include new regional offices, family allowances,
surgical aid, consultative clinics, etc., and on the activities of the fund during the
year. Statistics of sickness and sick benefits are also analyzed.

W ages and Hours of Labor
Survey of agreements and bulletin board statements covering wages, hours, and working
conditions in effect [on newspapers] on June 1, 1988. New York, American
Newspaper Guild, 1938. 13 pp.
Settlement of railroad wage controversy. By Nelson M. Bortz. (In Labor In­
formation Bulletin, U. S. Bureau of Labor Statistics, Washington, December
1938, pp. 9-11.)
Earnings and hours in private shipyards and navy yards. Washington, U. S.
Bureau of Labor Statistics, 1938. 19 pp. (Serial No. R. 845, reprint from
November 1938 Monthlv Labor Review.)

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

490

M o n th ly L a b o r R eview — F e b ru a ry 1939

Wages in Great Britain, 1937. Washington, U. S. Bureau of Labor Statistics,
1938. 28 pp. (Serial No. R. 838, reprint from October 1938 Monthly
Labor Review.)
Report on economic and commercial conditions in Philippine Islands. By Stanley
Wyatt-Smith. London, Department of Overseas Trade, 1938. 44 pp.
A brief section on labor gives some information on wages in 1937 and 1938.
Wages and hours in the Scandinavian countries, 1937-38. Washington, U. S.
' Bureau of Labor Statistics, 1938. 12 pp. (Serial No. R. 848, reprint from
November 1938 Monthly Labor Review.)
Undersokningar rorande arbetstidsforhdllanden och lonevillkor for privatanstallda.
Stockholm, Socialstyrelsen, 1938. 235 pp.
Contains the results of an investigation of working hours and salary levels of
salaried employees in private industrial and trade establishments in Sweden.
There is a resume in French and a French translation of the table of contents.
Undersokning rorande lonelaget och lonevariationerna inom jordbruket 1935-1936,
Stockholm, Socialstyrelsen, 1938. 172 pp., maps.
Report of an investigation of wages and wage changes in agriculture in Sweden,
including data on working hours, housing, and conditions in domestic service in
rural districts.

Women in Industry
Women in industry: A series of papers to aid study groups. By Mary Elizabeth
Pidgeon. Washington, U. S. Women’s Bureau, 1938. 85 pp. (Bulletin
No. 164; revision of Bulletin No. 91.)
The topics covered include the work of wage-earning women; the industrial
world in which women work; married women workers; women and unemploy­
ment; health standards for women’s work—working conditions and working time;
labor legislation for women; what the wage-earning woman earns; various con­
nections of women with the industrial and labor world; work of the Women’s
Bureau.
Report of Minimum Wage Division of Industrial Commission of Arizona on cost of
living survey and wage studies, 1937-1938. [Phoenix], 1938. 60 pp.
Reports on surveys of women’s wages in retail stores, hotels and restaurants,
hospitals, and laundry and dry-cleaning establishments in Arizona are included,
together with a summary of the effects of the various State minimum-wage laws.
Report of Industrial Commissioner to Cleaning and Dyeing Wage Board relating to
wages and other conditions of employment of women and minors in cleaning and
dyeing industry, New York State. New York, Department of Labor, Division
of Women in Industry and Minimum Wage, 1938. 137 pp., charts; mimeo­
graphed.
Report of Industrial Commissioner to Confectionery Minimum Wage Board relating
to wages and other conditions of employment of women and minors in confec­
tionery industry, New York State. New York, Department of Labor, Division
of Women in Industry and Minimum Wage, 1938. Various paging.
Report to wage board for laundry industry on employment of women and minors in
laundry occupations in Pennsylvania. Harrisburg, Department of Labor and
Industry, Bureau of Hours and Wages, 1938. 44 pp.; mimeographed.
Hours and earnings of women in the underwear and nightwear industry in Connecti­
cut, 1937. Hartford, Department of Labor, 1938. Mimeographed.
Data from this report are given in this issue of the Monthly Labor Review.

Youth Problems
American youth—an annotated bibliography. By Louise Arnold Menefee and
M. M. Chambers. Washington, American Council on Education, American
Youth Commission, 1938. 492 pp.
The main topics under which the references are classified include the following:
Youth in the depression—unemployment and relief; employment and vocational
adjustment; education; child welfare and child labor; family life and housing;
governmental youth-serving agencies; Negro youth; youth in other countries.
One chapter lists bibliographies.


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

R ecen t P u b lic a tio n s o f L a b o r In tere st

491

Report on National Youth Administration, June 26, 1985, to June 30, 1938. Wash­
ington, U. S. Works Progress Administration, 1938. 11 pp., charts, illus.
(Reprinted from Report on progress of WPA program, June 30, 1938.)
Youth demands a peaceful world: Report of 2d World Youth Congress, Vassar
College, Poughkeepsie, N. Y., August 16-23, 1938. New York, World Youth
Congress, 1938. 53 pp., illus.

General Reports
Biennial report of Commissioner of Labor, Nevada, for period Jidy 1, 1986, to June
SO, 1938. Carson City, 1938. 36 pp., mimeographed.
Following recommendations for changes in State labor legislation, statistics are
given on collection of wage claims and on prison labor. Other statistics deal with
the work of the State employment offices and unemployment compensation. The
report also contains a directory of local labor unions in Nevada, their officers, and
legislative representatives.
Manufacturing industries [of Australia], 1936-37: No. 1, Cement and cement goods.
Canberra, Commonwealth Bureau of Census and Statistics, 1938. 6 pp.,
mimeographed.
One of a series of 33 brochures for the more important manufacturing industries
in Australia, giving statistics of production, employment by sexes, and salaries
and wages.
Informes que para la memoria anual del Ministerio de Previsión Social, Trabajo,
Agricultura, etc. [Ecuador], presentan al Ministro del Ramo los jefes de sección
y los directores de las dependencias adscritas, acerca de las labores desarrolladas
desde el 23 de octubre de 1937 hasta el 10 de agosto de 1938. Quito, [Ministerio
^ de Previsión Social?], 1938. 98 pp., pasters, illus.
The report of the Director General of Labor of Ecuador, which forms a part of
this volume, itemizes labor laws and gives details of factory inspection and brief
accounts of other activities of the labor office from October 23, 1937, to August
10, 1938. The chief of the legal bureau outlines the proposed labor code which is
now under consideration.
Annuaire statistique, Direction de la Statistique Générale et de la Documentation,
Ministère de l’Economie Nationale, République Française, 1937. Paris, 1938.
Various paging.
This French statistical yearbook includes statistics of wages, production, con­
sumption, savings, social-insurance systems, education, housing, strikes, indus­
trial disputes, and other economic data. The figures in general relate to the years
1935 and 1936 but in some cases cover the year 1937.
Labor movement in Japan. By Mitsu Kohno. [Tokyo], Foreign Affairs Asso­
ciation of Japan, 1938. 25 pp.
Contains data on working hours, wages, employee-employer relations, and
unemployment.
Condiciones de vida y de trabajo de la población indígena del Peru. By Moisés
Poblete Troncoso. Geneva, International Labor Office (American Branch,
734 Jackson Place NW., Washington, D. C.), 1938. 233 pp. (Studies and
Reports, Series B, No. 28; in Spanish.)
Historical account of living and working conditions of the Indians of Peru
from the days of the Incas to the present, with an analytical discussion of their
working conditions in agriculture, industry, and mining today, and of welfare
measures which have been taken by the Government in their behalf.
Extracto estadístico del Peru, 1936-1937.
Lime, Ministerio de Hacienda y Co­
mercio, Dirección Nacional de Estadística, 1938. Ivi, 442 pp., maps.
Gives for the city of Lima certain wholesale and retail prices and index num­
bers, cost-of-living index numbers, and statistics of industrial accidents and
number of registered unemployed; and for the country as a whole, data on number
of workers employed; working hours; daily wages in wheat growing, in the sugar
and rice industries, and in the cotton industry; and employment and total wages
in the mineral industry. English translations of table heads are supplied.


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

o

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