Full text of Monthly Labor Review : January 1943, Vol. 56, No. 1

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J A N U A R Y 1943

i'

THE FOUR FREEDOMS
4. Freedom From Fear

III this Issue • .

• Absenteeism and War Production . .
Manpower Control in Germany . . Sta­
bilization of Millinery Industry

U N IT ED STATES D E P A R T M E N T O F LABOR • BUREAU O F LABO R STATISTICS

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UNITED STATES DEPARTMENT OF LABOR
F ran ces P e r k in s , Secretary
+
BUREAU OF LABOR STATISTICS
I sadoe L tjbin, Commissioner (on leave)
A. F . H in b ic h s , Acting Commissioner
D onald D avenport, Chief, Employ­

ment and
Branch

Occupational

A byness J oy, Chief, Prices and Cost

Outlook

H enby J. F itzgerald, Chief, Business

of Living Branch
N. A rnold T ollés , Chief,

Working
Conditions and Industrial Relations
Branch

Management Branch
H ugh S. H anna , Chief, Editorial and

Research

S idney W. W ilcox, Chief Statistician
DIVISIONS

Construction and Public Employment,
Herman B. Byer
Cost of Living, Faith M. Williams
Employment Statistics, Lewis E. Tal­
bert
Historical Studies of Wartime Prob­
lems, Stella Stewart
Industrial Injuries, Max D. Kossoris
Industrial Relations, Florence Peter­
son
Labor Information Service, Boris
Stern
Machine Tabulation, Joseph Drager

Occupational Outlook, Charles Stewart
(acting chief)
Post-War Labor Problems, Dal Hitch­
cock
Price Analysis, Walter G. Keim
Productivity and Technological De­
velopment, W. Duane Evans
Retail Prices, Ethel D. Hoover
Wage Analysis, Robert J. Myers
Wholesale Prices, J. M. Cutts

The Monthly Labor Review is for sale by the Superintendent of Documents,
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U N I T E D S TA T E S D E P A R T M E N T O F L ABOR

B URE AU O F L AB O R STATI STI CS

*************

EDITOR

+

HUGH

S. H A N N A ,

C O N T E N T S

+

*************

J A N U A R Y 1943, Vol. 56, No. 1

Speciallarticles:
t Problem of absenteeism in relation to war production_____________
Manpower control in Germ any______________________ ______
Stabilization of millinery industry, 1936-41_______________I ______

Page

1

10

22

Wartime policies:
Centralization of manpower control_________________________
Regulation of wages, absenteeism, and hours in A ustralia_________
Subsidized control of living costs in Canada and G reat B ritain____
Compulsory labor service in France_____________________________
Extension of manpower controls in New Zealand_________________

26
28
32
33
33

Employment and labor conditions:
Adjustm ent of labor standards to war needs in New York__
Recruiting of Italian metalworkers for Germany, 1941____
C ontract conditions of foreign workers in G erm any_______________

38
42
43

Post-war labor and social policies:
Policies for post-war reconstruction in Great B ritain______________

46

Women in industry:
Opinion on women’s wages in Australian m etal trad es_____________

53

Youth in industry:
Post-war em ployment of juveniles in G reat B ritain_______________

56

Industrial relations:
Decisions of N ational W ar Labor Board, August and September 1942

59

Industrial disputes:
Strikes in November 1942__________ __________________
Activities of United States Conciliation Service, November 1942____

68
69

Education and training:
Policies on war-training production work in vocational schools _
War organization of high-school students_________________________

72
74

Industrial accidents and health:
Accidents and health in British factories, 1941_______
Public health in G reat Britain in 1941-42_______________

'

76
79

"

Court decisions:
Court decisions of interest to labor______________________

84

Cooperation:
Cooperatives and post-war problem s___________________________
Electricity cooperatives, 1941_______________________________
Features of cooperative housing_______________________ " ______

86

91
93

Cost of living:
Changes in cost of living in large cities, November 15, 1942_________
Indexes of cost of controlled and uncontrolled goods and services___


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i

42

7376

100

104

Contents

II

Wage and hour statistics:

Page

Earnings in m anufacture of mechanical power-transmission equip­
ment, 1942___________________________________________________
Wage rates of union street-railw ay employees, June 1, 1942------------Wages and hours of union m otortruck drivers and helpers, June 1,
1942_________________________________________________________
W age-rate changes in United States industries_____________________
Canada—wages in 1941---------------------------------------------------------------

109
119
128
135
138

Wage and hour regulation:
Delegation of wage-approval power by War Labor Board___________
Salary regulations of Commissioner of Internal Revenue___________
Minimum-wage rates in Mexico, 1942 and 1943-----------------------------Paraguay— Pay increases, 1942___________________________________

148
149
153
155

Labor turn-over:
Labor turn-over in m anufacturing industries, October 1942___________

157

Building operations:
Summary of building construction in principal cities, November 1942_

162

Retail prices:
Retail food prices in November 1942---------------------------------------------

166

Wholesale prices:
Wholesale prices in November 1942______________________________

174

Trend of employment and unemployment:
Summary of reports of em ployment for November 1942____________
D etailed reports for industrial and business employment, October 1942_
Em ploym ent and unem ployment in November 1942------------------------

179
183
196

Labor conditions in Latin A m erica ____________________________ 153, 155
Recent publications of labor interest ----------------------------------------------198


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Ftm yiC T O R Y
BUY
UNITED
STATES

W AR
BONDS

This Issue in Brief

Absenteeism and war production.
Absences of workers from their jobs, not a particularly im portant m atter to the
N ation in peacetime, become of vital interest when the country is a t war and bend­
ing every effort to attain the utm ost in production. Although d ata on the actual
extent of absenteeism in industry are meager, scattered reports indicate rates
ranging from 2 to 15 percent or more. A series of studies in process by the Bureau
of Labor Statistics should cast light on the situation in various industries. The
general problem of absenteeism in wartime, its causes, and possible measures for
its reduction are discussed in an article on page 1.

Adjustment of labor standards to war needs.
Requests for relaxation of labor standards have been made by m any employers
in war industries to enable them to meet demands for maximum possible produc­
tion. The State of New York has granted dispensations from the labor law when
necessary, b u t under carefully prescribed standards and lim itations. An analysis
of the dispensations granted during the first 6 months of the war indicates th a t
there has been a change in the character of the dispensations requested, as em­
ployers have made adjustm ents and have come to realize the need of conserving
manpower for w hat may be a long war. Requests for a 7-day week in the summer
of 1942 were generally for a limited tim e during an emergency or to relieve bottle­
necks of production, rather than for a continuous 7-day week, and requests for
m ultiple shifts for women were more numerous than requests for longer hours on
the day shift. Page 38.

Earnings in manufacture of mechanical power-transmission equipment.
In the spring of 1942 hourly earnings in plants m anufacturing mechanical
power-transmission equipment averaged 90.1 cents per hour. During the period
from August 1939 to the spring of 1942 earnings increased 17 cents an hour, or
from 73.1 to 90.1 cents. Some of this increase was the result of overtime pay­
m ents for longer hours, as the average workweek increased by more th an 10
hours during the period. Male workers had straight-tim e average hourly earn­
ings of 84.8 cents; earnings of women averaged 56.7 cents. Page 109.

Regulation of wages, etc., in Australia.
A ustralia’s wage-freezing order of February 1942 has h ad a widespread effect and
the number of exceptional cases in which adjustm ents have been perm itted has
not been sufficiently large to affect the general principle of freezing real wages.
I t is not known to w hat extent the regulations served to prevent demands for
wage increases. The chief difficulty under the defense regulations is absenteeism.
The Government looks to labor and m anagement to reduce absence. The
G overnment’s direct contribution tow ard solution of absenteeism is a ceiling on
hours of work am ounting to 56 hours weekly for adults and 48 for young persons.
Page 28.

Stabilization of millinery industry, 1936-41.
The New York millinery m arket has since 1936 operated under the supervision
of the Millinery Stabilization Commission, an unofficial supervisory and adminis­
trativ e board created by joint agreements between workers’ and employers’
organizations in an effort to stabilize the industry. In its report for 1940 and 1941
the commission, reviewing the condition of the industry during the period of its
supervision, compares the experience of the New York m arket and th a t of th e rest
of the country. Seasonal fluctuations in employment, it states, were not so wide
in New York as in other parts of the country, although about the same in 1941.
Increases in m onthly pay rolls were also more marked. M anufacturers likewise
had an encouraging increase in volume of business. Page 22.


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IV

This Issue in Brief

Wage rates of union street-railway employees.
The average hourly wage rate of union motormen, conductors, and bus operatore in 62 cities was 84.8 cents on June 1, 1942. Wage rates as indicated by union
agreements for street railways have advanced steadily during recent years and
were on the above date 28 percent above the low point in 1934. Page 119.

Accidents and health in British factories.
The increase in reportable accidents in 1941 in British factories was again very
high. There were 1,646 fatal and 269,652 nonfatal accidents during the year—
an increase of 20 percent and 17 percent, respectively, over the figures for 1940.
The largest increase in accidents was among adult women who, the figures indi­
cate, have not only taken up a great share of munitions work b u t also their share
of the dangerous processes in these industries. A generally accepted cause of the
general increase in accidents is the increase in the pressure of war work and the
fact th a t this work is so largely carried on by inexperienced workers. In contrast
w ith the increased accident rate the health situation appears to be good, as the
report of the Chief Inspector of Factories states th a t there is no reason to believe
th a t there has been a general adverse effect on the health of workers from wartime
influences. The most im portant factor in the m aintenance of health is believed
to be the provision of canteen meals for workers at reasonable rates. Page 76.

German labor-control policies.
During the past decade three periods can be distinguished in German policies
regarding employment. In the first period (1933 and 1934), when there was wide­
spread unemployment, Government measures were directed tow ard reducing the
num ber of persons on the labor m arket and spreading the available work. In the
second period (1935 and 1936), when the lack of skilled labor began to be evident,
various steps were taken tow ard the control of labor and its direction into desired
channels. Since 1937, in order to meet the demands of “to tal w ar,” the policy
has been aimed a t overcoming a general labor shortage, and has led to the most
absolute control of workers, employers, and the hiring and firing processes. The
various measures taken by the authorities during the decade, and their effects, are
discussed on page 10.

Wages and hours of union motortruck drivers and helpers.
The average hourly wage rate of m otortruck drivers in 75 cities was 89.2 cents
on June 1, 1942. Unionized helpers averaged 72.8 cents and the average for the
combined truck driver and helper occupations was 86.8 cents. Actual rates for
drivers ranged from 30 cents per hour for taxi drivers in Charleston, W. Va., _to $2
per hour for operators of dump trucks of a capacity of 8 cubic feet or over in St.
Louis. Page 128.


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MONTHLY LABOR REVIEW
FOR JANUARY 1943

PROBLEM OF A B SEN TEEISM IN RELATIO N TO WAR
PRO D U CTIO N
By D u a n e E v a n s , Bureau of Labor Statistics

ABSENTEEISM, the failure of a worker to appear at the job he is
scheduled to do, is a matter of growing concern to those entrusted
with the responsibility for war production. During peacetime, a cer­
tain amount of absenteeism was expected and accepted by employers,
and it was kept within bounds by minor controls. Production sched­
ules were usually flexible, and enough trained workers were ordinarily
on hand to insure that no serious interruption in work resulted.
As the demands of war production bring us nearer and nearer to the
exhaustion of labor reserves, the problem can no longer be viewed com­
placently. Thus far, war production generally has not been limited by
absenteeism. In many cases, shortages of raw materials and semifabricated items, and of the facilities needed to produce them both,
are more important than absenteeism in restricting production, and
workers are still available in sufficient numbers in most areas so that
cushions of a few extra workers can be arranged to guard against
production delays. However, what may be said in general does not
apply in particular cases. There are today a number of places where
the amount of output that can be achieved depends heavily on the
amount of trained labor which can be applied to the job, and in many
cases these same points form critical constrictions in the entire war
production program. It is difficult to overemphasize the seriousness
of a report that in a recent month 8X percent of the available labor
time in a large copper mine was lost forever through absenteeism.
Moreover, as production schedules become more closely integrated, it
is clearly evident that unnecessary absences of workers from their jobs
will become a critical limiting factor throughout the war production
effort.
For practical reasons, absenteeism is usually defined as the absence
of a worker during a full shift that he is scheduled to work. Employ­
ers frequently are able to tabulate the number of workers scheduled
to appear on a given shift, the number which actually reported, and,
by difference, the number absent. It is much more difficult to tabulate
part-day absences, and there is, for example, no obvious line of demar­
cation between part-day absenteeism and tardiness.
There is no statistical information available to indicate the general
extent of absenteeism in the war industries. Scattered reports from
1

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2

Monthly Lahor Review—January 1943

a number of factories reflect rates ranging from between 2 and 3 per­
cent up to 15 percent and more. Reports from all shipyards in the
United States, tabulated by the Bureau of Labor Statistics, show that
in the month of November the absenteeism rate in that industry aver­
aged 8.7 percent. It is expected that reports indicating the extent of
absenteeism in other war industries will be available in the near future.
General Characteristics of Absenteeism

Sufficient information is available, however, to indicate certain gen­
eral characteristics of absences in industry. It is established, for
example, that absenteeism rates are generally higher for women than
for men, even on jobs of the same general character. Consequently,
it is to be expected that, as more women are drawn into the labor
force, absenteeism rates may tend to increase.
Greater sickness rates among women are probably a factor in their
higher absence rates. The United States Public Health Service reports
that in 1940 the frequency of sicknesses and nonindustrial injuries last­
ing 8 or more consecutive days was 153 per thousand for women as
compared with 96 per thousand for men. The home responsibilities
of many women in the labor force are without question an important
factor. Many women industrially employed also carry the major part
of the burden of running the home, and their actual working hours
are thus not indicated by the time card in the factory. This extra
strain probably leads to greater frequency of absences. It may also
be observed that sickness among family members or children often
means that the wife rather than the husband (where both are working),
remains at home to provide care.
One large war plant reports current absence rates at 4.8 percent for
men and 7.4 percent for women. Another gives the percentages as
5.2 for men and 8.5 for women. These figures are typical of a number
of reports. Figures from another plant are especially interesting in
that they show absenteeism rates for men and women separately dur­
ing day and evening shifts. Whereas the rates for men and women
on the day shift were 5.2 and 6.6 percent, respectively, corresponding
figures for the evening shift were 5.4 and 5.7 percent. On each shift
the rates for the women were higher than for the men, but on the
evening shift the difference was only fractional. Moreover, the rate
for women on the evening shift was lower than for women on the day
shift whereas in the case of men the reverse was true. This suggests
strongly that women who accept jobs on other than a day shift are
likely to have fewer home responsibilities, or at any rate are more
successful in carrying them along with an industrial job.
A study undertaken by one company indicates that absenteeism
tends to be higher among older workers, increasing rapidly after 40
or 50 years of age. As younger men are drawn into the armed forces
and the average age of those remaining in industry increases, this
factor may also contribute to an increase in general absenteeism rates.
For obvious reasons, absenteeism tends to increase as the scheduled
workweek becomes longer. The more time the worker spends on the
job, the less free time he has to devote to personal affairs, and the
more likely he is to take time off from his job. The physiological
factor must also be considered. As hours are increased to the limit,
the worker is under increasing nervous and physical strain. If the

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3

Absenteeism in Relation to War Production

limit of his endurance is approached, time off the job in which to
recuperate becomes a physiological necessity.
The accompanying table illustrates the effect on absenteeism of
changing hours of work in a large war plant. This plant had been
operating 6 days per week in most departments and 7 days per week
in some. During the fifth pay period shown in the table, the plant
reduced hours {so ¡that most departments operated 5 days per week
and a few 6. At almost the same time certain attendance regulations
were put into force. As a result of the combined effect of these two
factors, absenteeism declined steadily in the following 3 months from
around 7 percent to a low of 4.2 percent. At the end of the 3-month
period hours were again increased, most departments going on a 6-day
week. The attendance regulations were still in force, but within 2
months absenteeism had increased to a level of over 6 percent.
\?afes of Absenteeism for Biweekly P ay Periods in a Large War Plant
Percent of workers absent
Pay period

lst_ ___________ _______ _____ ___
2d__________________________________
3d___ ______________________________
4th_______ _________________________
5th______ _____ _____________________
6th_______ ______ ___________________
7th________ ________________________
8 t h ...___ ___________________________
9th_________________________________
10th________________________________
11th________________________________
12th________________ _______________
13th________________ ______ _________
14th________________________________
15th________________________________

Biweekly
average

Friday
(pay day)

6.6
7.1
6.7
6.9
2 7.4
3 6.5
6.3
6.0
5.4
4.7
M.2
4.4
5.4
5.8
6.2

3.6
4.1
3.8
4.3
4.0
4.1
3.3
3.3
3.0
3.1
2.7
2.8
5 4.1
3.6
4.0

Friday
(not pay
day)
5.9
6.5
6.3
6.7
6.3
6.3
7.1
6.2
5.6
4.6
4.2
4.5
4.9
5.6
6.6

Monday
Monday
follow­
(following (not
ing pay
pay day)
day)
7.9
9.2
10.2
10.8
11.4
9.1
8.4
8.8
8.1
6.9
6.6
5.4
6.6
«9.2
8.2

6.6
8.5
9.0
1 4.6
8.6
7.1
8.5
7.1
6.0
5.3
4.6
5.1
5.9
6.2
7.0

1 This Monday was a scheduled holiday, so double time was paid to those working.
2 Previous to this period, plant had been operating 6 days per week in most departments, 7 days in some.
During this pay period, most departments were cut to a 5-day week, with a few operating 6 days.
3 Previous to this period, overtime pay had been given for Saturday and Sunday work without restriction.
During this period, attendance regulations were put in force stipulating that an employee could not work
on Saturday or Sunday, and so collect overtime pay, unless satisfactory account was given of all absences
during the previous week.
* During this pay period, most departments returned to'a'full'6-day workweek.
5 The day following was a holiday.
6 The preceding Saturday was a holiday.

Absences on different days of the week show a marked pattern
related to week ends and pay days. In general, absences are least
frequent on pay days, and quite high on the day following pay day.
Moreover, there is a tendency for absences to be numerous on days
adjacent to a week end or holiday, independent of the pay-day effect.
Since many plants pay on Fridays, these effects frequently combine
to produce the lowest rate of the week on Friday, the highest on
Saturday, and a relatively high rate on Monday. The data shown in
the table are unusually interesting in that they permit separation of
these effects, since this particular plant paid in biweekly periods. It
will be observed that the Fridays which were pay days always showed
rates substantially lower than the average for the biweekly period.
As a matter of fact, the rates for pay days were remarkably stable
and ranged in general between 3 and 4 percent. In contrast, Fridays

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4

Monthly Labor Review—January 1943

which were not pay days showed rates near the biweekly average.
Absence rates on Mondays following pay days were substantially
higher than the biweekly average and also higher than the rate on
Mondays not following pay days. On the latter days, however,
absences were usually higher than the general average.
A somewhat different situation was found in another large war
plant. There the working schedule was arranged in such a way that
one-seventh of the workers were supposed to be off every day. In
such a situation it might be assumed that the week end as such would
lose its significance, and only the pay-day effect would disturb an even
pattern. The daily rates during a recent month were as follows:
Sunday___________________________________
M onday______ ,_____________________________- - T uesday______________________________________
Wednesday (pay day)---------------------------------------T hursday_____________________________________
F riday________________________________________
Saturday______________________________________

16. 0
8.2.
7. 8
6. 4
8. 5
8. 1
9- 0

Wednesday (pay day) was low for the week. The rate for Sunday,
however, was about double the weekly average. This very high rate
may have a religious significance, but it is probably also connected
with the fact that Sunday is likely to be the day when friends and fam­
ily are free from work.
There appears to be a tendency for evening and night shifts to have
higher absenteeism rates than day shifts. The following rates on
three shifts were observed in a large shipyard:
First
shift

M onday
__ _
Tuesday
Wednesday _
T hursday.
Friday (pay day)
Saturday
Weekly average

Third
shift

Second.
shift

______
______
______
______
_ .______
______

7. 5
6. 4
5. 6
5. 3
4. 2
7. 7

8.
7.
6.
5.
4.
9.

______

6. 1

6. 9

9.
7.
8.
6.
6.
12.

3
1
6
8
9
0

8
9
1
8
1
0

8. 4

On every day, rates were successively higher on the second and third
shifts. The pattern of absences, however, remained substantially
the same, with Friday (pay day) lowest and Saturday highest during
the week.
Efforts at control of absenteeism are effective in reducing the general
level, but apparently do not alter this persistent weekly pattern. The
following rates during a recent month were recorded in another large
plant:
M onday_______
Tuesday________
W ednesday____
T hursday______
Friday (pay day)
S aturday______

3.
3.
3.
3.

6
1
0
1

2. 6

4. 5

This particular plant had an elaborate absence-control system, and
had reduced its general rates to a level substantially lower than other
plants of similar character in the same area.
Some plants keep separate records on absences by department.
Where such data exist, there is usually considerable variation from

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Absenteeism in Relation to W ar Production

5

department to department. The figures would appear to indicate
that accounting departments, tool cribs, offices, and supervision show
lower rates than factory work generally. There is, however, no
information to indicate whether absences tend to be relatively more
frequent on routine as compared with nonroutine work or on heavy
versus light work.
Causes of Absenteeism
In discussing the causes of absenteeism, a distinction should be
made at the outset between voluntary and involuntary absences. In
general, no statistical distinction is possible. In a few cases efforts
have been made to determine the extent and causes of voluntary
absenteeism by interviewing workers. But the validity of the results
was questioned by the investigators themselves because of the dif­
ficulty of obtaining an objective statement of the reason for a
voluntary absence, or for that matter, simply a statement that an
absence was voluntary. However, companies with absence-control
programs and careful records of time lost have not generally been able
to reduce absenteeism below 2 to 3 percent. Some such level may
perhaps be taken as a practical minimum, and everything over this
regarded as probably preventable and so in a sense voluntary. The
real characteristic distinguishing voluntary absenteeism is, of course,
that it is under the control of the individual worker.
There is no question but that the major cause of involuntary absence
is sickness. Accordingly, the health programs sponsored by many
companies for their workers are a direct attack on this source of lost
time. Some employers require periodic physical examinations of their
employees and so are able to employ preventive measures to reduce
absences through illness. In some cases vitamin preparations and
cold vaccines have been distributed free, or at cost, to reduce respira­
tory illnesses. The United States Public Health Service has made
specific recommendations in certain industries to reduce special
health hazards. For example, it has recommended that special
“ change houses” be established for workers in the iron and steel
industry who are exposed to high temperatures, so that they may
change from perspiration-soaked clothing to dry clothing before
leaving the plant.
Community health and health services may influence absenteeism,
especially as more women are brought into the labor force. For
example, the health of young children is as important as that of
their working mother, as far as her attendance at a job is concerned.
Proper facilities for the care of children during the day, while parents
are at work, will assist in reducing lost time from such causes.
W orking conditions generally must be satisfactory if absences are to
be held to a minimum. Reasonable hours of work and periodic days
of rest contribute to reduction of absences from sickness. The recent
statement of policy of a committee of Federal agencies headed by the
Secretary of Labor, recommending that every worker be given at
least 1 day off in every 7 and work not more than 48 hours in any 1
week except where absolutely necessary, was designed not only to
maintain workers’ efficiency in the war period but also to reduce
absences caused by sickness and nervous strain.
Accident-prevention campaigns carried on by many companies help
to reduce time lost from the job. Some employers have found that

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6

Monthly Labor Review^-January 1943

accidents off the job cause more absences than industrial accidents,
and have inaugurated programs to make workers safety-conscious
off as well as on the job.
There is a series of causes of absenteeism that lies on the borderline
between the voluntary and involuntary, in that a reduction in absences
is possible through the voluntary effort of the employee, but the
conditions which lead to absence are to some extent outside his control.
For example, a worker who is required continuously to work long
hours may take time off on his own initiative, to relax and relieve
physical or nervous fatigue. Such voluntary absence may take
the place of involuntary absence, later, because of sickness or nervous
exhaustion. The most satisfactory remedy in such a case lies not
in an appeal to the worker but rather in a reduction of working
hours below the limit imposed by his endurance.
Housing shortages and transportation difficulties are in many cases
related causes of absenteeism. Makeshift housing and overtaxed
sanitary facilities in the vicinity of expanded war industries may
lead to sickness, sometimes in epidemic proportions, and consequently
to lost working time. The adequacy of housing accommodations
in any area in which war factories are situated is thus a matter to be
considered carefully in appraising general worker efficiency.
Crowded housing facilities in war production areas usually imply
long journeys to and from the job for many workers. In several
areas, according to reports, substantial numbers of workers are com­
muting distances up to and in excess of 60 miles. The effect of this
is to add 2, 3, or more hours to the employees’ workday. Both
because of the added strain and because the worker has that much
less time in which to attend to personal affairs, such conditions
will lead to absences. Many of these workers traveling long distances
depend on personally owned automobiles for transportation, and
mechanical failures, poor tires, and the like are stated to be causes of
absences, especially where public transportation is not available
or is inadequate.
In particular cases, much has been done by employers themselves
to ease transportation difficulties. Many companies have, of course,
sponsored car-pooling arrangements. In many places, working
shifts in the same plant and in neighboring plants have been staggered
to ease peak demands on overloaded public transportation systems.
Some firms have purchased and operate busses for workers where
other transportation is inadequate. A more ambitious step in this
direction has been taken by a shipbuilding company at Houston, Tex.
It is renovating 42 railroad cars purchased from the defunct New York,
Westchester, & Boston Railroad. These cars will be used to carry
workers the 15 miles from Houston to the isolated shipyards.
Some war plants in areas where housing facilities are inadequate
have reported that week-end absences are frequent among men,
who use this opportunity for visiting their families which cannot bo
housed in the neighborhood. Men are also reported to be absent
frequently in efforts to find living quarters for their families.
Inadequacies in community facilities contribute to lost time in
still other ways. As more women are brought into the labor force,
there are more families in which all adult members are expected to
work 6 days per week. Where this is the case, it is important that
shopping facilities be available for workers in the hours when they

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Absenteeism in Relation to War Production

7

are off duty. In some cities the local merchants’ associations have
arranged to see that the stores stay open at least one night each
week for the convenience of workers on day shifts. A different
approach to this problem has been reported in England, where non­
working women have assumed the responsibility of shopping for
neighbors who have accepted war jobs.
It is reported that in some areas workers have had difficulty in
obtaining the professional services of doctors, dentists, and lawyers,
except during working hours. The cooperation of local professional
societies has been obtained in some cases to make such services
available to war workers during their regular time off duty.
Some sources of absenteeism not easily classified have been reported
by employers. Many of the workers now in industry have not had
previous industrial experience and so have never formed regular
attendance habits. In some cases new workers have accepted a
job with the intention of trying it out and without the necessity of
depending on it for a livelihood. Attendance of such workers has
in some cases been spasmodic. A certain amount of absenteeism
may be mistakenly reported by employers where workers quit their
jobs without notice; such workers may be carried as absent on the
company records for periods ranging from 3 days to as long as 2 weeks.
An important factor in purely voluntary absenteeism is the morale
of the worker. If he regards his work as simply another job, he is
more likely to take time off for purely personal reasons than if he
feels that his work represents a real contribution to national security.
For this reason, programs informing workers of the uses to which
their products have been put by our armed forces probably assist
in reducing time lost through absences. A feeling of personal partici­
pation is also conducive to better morale. It is probable that the
employee-suggestion programs, scrap drives, war bond and stamp
campaigns and other activities in which employees can join, either
directly or through their unions or labor-management committees,
contribute a psychological lift to morale that should be added to
the more tangible benefits realized.
Employers who have been asked the reason for voluntary absences
have most frequently given as a major reason the high wages paid in
many war plants. At an earlier date, in industries where 7-day
operation was the rule, payment of overtime for Saturday and Sunday
work as such was criticized widely. It was believed that this
practice encouraged workers to take time off in the early part of the
week and use Saturday and Sunday work to bolster their earnings with
overtime pay. The President’s directive ending this practice was
issued with the object of reducing the absenteeism which the practice
might enourage and at the same time of discouraging excessive hours
of work for any individual worker by permitting time and a half for
the sixth consecutive day of work and double time for the seventh.
The statement that high wages as such are a major contributing
.cause to absenteeism requires some qualification. If followed to its
logical end, this idea would lead to the conclusion that the best way
to keep workers on the job would be to make the rate of pay so low
that any absence would necessarily be followed by financial hardship.
In a similar vein, higher taxes and the war-bond campaign might be
considered as contributing to absence control.


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8

Monthly Labor Review—January 1943

It is true that many of the workers now employed in war industries
previously earned substantially less than at present. Despite
increased living costs, there are certainly many workers who can take
time off and still maintain a standard of living higher than they had
previously enjoyed. Simply put, with adequate earnings there is a
point beyond which a worker places a higher value on the use of his
time for his own purposes than on additional earnings, provided no
other factors are to be considered.
Control of Voluntary Absenteeism

Since the designation of high wages as a cause of voluntary absentee­
ism would seem to lead to no practical method of reducing absences,
other considerations must be examined. That the problem is not
insoluble has been demonstrated by companies which have cut
absenteeism to reasonable proportions through absence-control
programs. The successful programs seem to have two necessary and
coordinate stages. First, the worker must be informed that there is
definite disapproval of voluntary absenteeism. This is not limited to
disapproval by the employer; the disapproval of his country and his
fellow workers are also effective deterrents. Second, the worker must
be made aware that his absence does not pass unnoticed. In many
war plants today the worker is not required to account in any way for
absences. It is no negligible contribution to absence control if the
worker knows not only that his pay envelope will be lighter and his
conscience heavier, but also that he must account to another person
if he takes time away from his job for some purely selfish reason.
The extent to which the Federal Government can assist in absence
control is limited. Workers are informed of the unpatriotic aspects
of voluntary absences from war jobs by speakers in war plants, posters,
radio programs, and through the labor-management committees
formed under the war production drive. The absentee is told through
these media that his absences directly help the enemy, and that when
he is away from his job he personally fails to meet a responsibility to
the men in the armed services. Absences among men subject to the
draft may be discouraged by the policy of not giving occupational
deferment to habitual absentees. In Great Britain the attitude of
the Government is emphasized by fines and jail sentences meted out
to those habitually absent from their work.
Individual companies have responded to the absence-control
problem more directly and in almost infinite variety. An elaborate
system used by one company requires any worker absent less than 3
days to fill in and sign a slip describing the reason for his absence on
returning to work. These slips are kept in an alphabetical file, and if
the worker accumulates more than a certain number he is interviewed
by a member of an absence-control unit. If the reasons adve need
are legitimate, an effort is made to help the worker remove the cause
of the absences; otherwise, the worker is warned. A habitual ab­
sentee is placed on probation; repeated absences bring dismissal.
Workers absent 3 days or more are required to report to the absencecontrol unit before returning to work. Occasional checks on em­
ployees reported as sick are made by visiting nurses employed by
the company. The plan has been effective, since the absence rates
reported were lower in this plant than in any similar plant in the same
area.

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Absenteeism in Relation to War Production

9

A less detailed plan, which nevertheless keeps voluntary absences at
relatively low levels, is reported by another company. Shortly
after the beginning of each shift, all time cards which have not been
punched in are taken from the racks. These are distributed to the
foremen of the various departments. In order to report for work,
therefore, an employee who has been absent or tardy has to go to his
foreman to obtain his time card.
Some establishments keep records of absences by departments,
crafts, or shifts, and post the current rates regularly on bulletin boards.
A number of plants award banners to groups with good records. The
intent of such programs is, of course, to enlist the aid of the absentee’s
fellow workers to keep him on the job. Some plants award special
bonuses or prizes periodically, but specify that workers must have
perfect attendance records during the period to qualify for such
awards.
Various methods are used to single out the absentee. Some
establishments post the names of all absentees on bulletin boards.
Others put red or yellow stickers on the time cards of absentees, re­
quire that absentees get their pay at special tables (“ Hitler’s Pay
Table”), or put facsimile German marks in the absentee’s pay enve­
lopes together with a pretended note of thanks from the German
Government. All such extreme methods should probably be used
only with considerable care, since they are likely to arouse no little
resentment in a worker who feels justified in being absent. Careless
resort to them may make the absence-control question seem one
simply of employer-employee relations, and in the present emergency
it has far broader implications.
Disapproval by fellow workers is a strong influence for control of
time lost through absences, and there are many ways in which it may
be effectively focused. In a number of plants, the labor members of
the labor-mapagement committees have accepted the responsibility
of interviewing absentees. In some cases, unions have discussed
absenteeism at meetings and have sponsored programs to control it.
One union is reported to have suspended the privileges of members
dismissed from a war plant for habitual absenteeism and to have
placed them on the inactive list. In one plant, a shop committee
composed of men with sons or brothers in the services interviews
absentees.
Absenteeism differs somewhat from many other manpower prob­
lems. The participation of the Federal Government is probably
needed for the satisfactory resolution of such questions as labor sup­
ply, migration, labor turn-over, wage stabilization, Selective Service
policy, recruitment of women, training of new workers, housing for
war workers, and the like. The most effective contribution to the
reduction of absenteeism, on the other hand, can be made by the
cooperative effort of management and workers in each war plant.


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M ANPOW ER CONTROL IN GERM ANY
B y H e r b e r t B l o c k , New School for Social Research1

Summary

DURING the past decade the German labor market has run a course
from mass unemployment, through a growing lack of skilled workers,
to a general shortage of labor. Correspondingly, in the governmental
regulation of the labor market, three periods can be distinguished.
In the first period—1933 and 1934—the measures were directed toward
reducing the number of persons on the labor market by the placing of
Government orders and the carrying out of public works, by the with­
drawal of women and older workers, by the absorption of youth and
others into the military forces, and by the shortening of working hours.
Even at that time the labor administration was strengthened for the
task of providing labor for rearmament, and these authorizations were
successively extended during the subsequent years. In the second
period—1935 and 1936—when lack of skilled labor first began to be
evident, skilled workers were forbidden to emigrate, nonessential
industries were prohibited from hiring skilled workers, skilled laborers
were compelled to return to their trades if busy in activities other
than those for which they were trained, and the training and retraining
of workers was promoted. In the third period, beginning in 1937, the
Government measures have been directed against a labor shortage—
general throughout the country—and have involved the intensification
of earlier measures, the most minute examination of industry’s labor
needs and the searching out of all possible sources of labor, with
absolute control of hiring, firing, and transfers vested in the Govern­
ment. The present article examines the various measures and their
results, together with the machinery of control.
First Period: The Struggle Against M ass Unemployment

During the first 2 years the labor policy of the Third Reich con­
centrated in the fight against unemployment, but the policy adopted
during the great depression was, in fact, the prelude to the total
regimentation of labor.
The administration of the labor market was increasingly concen­
trated in the National Bureau for Placement and Unemployment
Insurance, a public agency which is represented throughout Germany
by 13 regional and several hundred local employment offices. The
Decree Concerning the Allotment of Labor, of August 10, 1934, gave
the head of the National Bureau the exclusive right to allocate workers,
and all other agencies, governmental or party, were prohibited from
any interference.
The more important measures against unemployment undertaken
at that time may be summarized as follows:
Although public works, mostly of a military character, were carried
out on a large scale, Government orders formed the predominant
means of reemployment. The Government favored, as far as possible,
1 This article is the summary of a report prepared in connection with the Research Project on Social and
Economic Controls in Germany and Russia, organized under the Graduate Faculty of the New School for
Social Research.

10


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Manpower Control in Germany

11

regions and sections of production with a high unemployment ratio.
The same principle was enunciated in later years when full employ­
ment was approached in certain sections and districts. At no time,
however, could this policy be pursued systematically, since the char­
acter and distribution of the Government contracts were determined
primarily by military considerations.
Considerable numbers of unemployed were absorbed by inducing
or even compelling employers to hire workers beyond the limit of their
actual requirements. Similar pressure was exerted, mainly by local
party leaders, to prevent employers from dismissing workers.
In other cases the compulsion was directed against labor itself.
Thus, the mobility of the rural population was limited in order to pre­
vent a further increase in the number of unemployed in the towns.
These restrictions, however, were annulled a few years later. Though
sparingly applied, the mere existence of these rules had given youth a
distaste for farming. Moreover, by the end of 1936, the armament
industries sorely needed workers from the agricultural sector.
The measures just mentioned were devised to tie workers to their
plants or at'least to their trades. An order of August 28, 1934, pre­
scribed, on the other hand, an exchange of workers. It required single
persons under 25 years to give up their jobs in favor of older workmen.
Persons under 25 years could henceforth be hired only with the con­
sent of the Employment Office. Apprentices were exempted, in ex­
pectation of labor shortages, in order to secure “ the indispensable
amount of duly skilled labor.” Workers thus displaced were officially
directed into agricultural work and domestic service; in reality a
considerable part of the male youth affected by the order was recruited
by military or semimilitary organizations.
This transfer of unemployed or even of employed workm.en into the
armed forces and other organizations for military education belongs
to a group of measures all of which aimed at decreasing unemployment
by reducing the supply in the private labor market. For the same
reasons women were induced in 1933-34 to give up their jobs. Old
people were asked to retire, Jews were discharged, foreigners were
returned to their countries, etc.
Finally, shorter working hours were prescribed in the textile in­
dustry and in several cases the use of labor-saving machinery was
curbed.
Second Period: The Struggle Against the Shortage of Skilled Labor

By 1934 the number of unemployed had fallen from the depression
maximum of 6 to 7 millions to an average of 2,700,000 persons. In
1935 unemployment, with an average of over 2 million persons, was
still considerable. But at the end of 1934, a lack of skilled labor first
became apparent. At that time the weapons were forged which were
utilized in the spring of 1935 with the réintroduction of compulsory
military training by the law of March 16, 1935. In demand were,
above all, metalworkers, building workers, miners, and skilled and
unskilled agricultural workers.
The National Placement Bureau was strengthened for the task of
providing labor necessary for rearmament, by a law of November 5,
1935, which gave it “in principle, the exclusive right of carrying on
employment service work.” Even more important was the Law Con
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12

Monthly Labor Review—January 1943

cerning the Introduction of a Labor Book, of February 26, 1935.
This law was extended by numerous decrees in subsequent years; to­
day it covers nearly all gainfully occupied persons in Germany. “In
order to guarantee an appropriate distribution of labor in the German
economy/’ all workers and employees (and also, since a short time
ago, independent persons and dependents working for the head of a
family) must apply at the employment offices for a labor book. This
identifies the bearer and contains information on his professional edu­
cation,2former jobs and, finally, details about every position held since
the issuance of the book, as for instance, the place and kind of occupa­
tion and beginning and end of each job. No entries may be made con­
cerning wages or behavior and efficiency, nor any special marks.
Nobody without a labor book can get a job. Changes of residence,
family status, or job, participation in training courses, etc., must be
made known immediately to the employment office so that it can keep
its card index up to date.
Besides investing the administration with new powers, the Govern­
ment adopted a number of measures to deal with the growing shortage
of skilled labor. ^ Thus, it began to retain skilled workers within the
country, forbidding their emigration except in the German interest.
It even compelled German skilled workers to return from abroad. As
already mentioned, agricultural workers—skilled or unskilled—were
required to stay in that calling. In contrast to 1933-34, old workers
were induced not to retire; they were kept, if not in the same jobs, at
least in their usual trades. At the same time, retired skilled workers
were returned to the factories.
Other measures aimed to prevent the transfer of skilled workers from
essential to nonessential plants. On November 7, 1936, Goering
issued a series of “Decrees to Carry Out the Four-Year Plan.” The
second of these decrees, which was soon extended by a decree of February 11, 1937, was designed “to safeguard the requirement of metal­
workers in essential plants of the steel industry.” Any steel or metal
plant desiring to increase its staff had to have the consent of the em­
ployment office. Consent could be refused when contracts were not
essential for the rearmament program. These regulations applied
not only to skilled and unskilled metalworkers, but also to foremen,
technicians, engineers, etc. A similar decree was issued on October 6'!
1937, “concerning the allocation of masons and carpenters.
. These regulations forbade the transfer of skilled workers from essen­
tial to nonessential plants. Other decrees enforced the transfer from
nonessential to essential activities. The third in the series of decrees
of November 7, 1936, prescribed “the return of metalworkers and
skilled building workers to their trades.” Entrepreneurs who engaged
metalworkers and skilled building-trades workers for more than 2
weeks, in activities other than those for wlich they were trained and
which were registered in their labor books, were required to report
immediately to the employment office. The office must then strive to
place the workers in jobs corresponding to their training, either in the
same enterprise or in another. Such regulations were difficult to
enforce. As late as 1941 an expert wrote that “when plants are in­
spected, some skilled workers, even metalworkers, are always discovered
who are not working according to their vocational education.” 3
2 1. e., details as to place and duration of apprenticeship, training at a vocational school, other training
knowledge of farming, special abilities, possession of a driver’s license or pilot’s license, etc.
3 Frankfurter Zeitung, May 18, 1941.


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Manpower Control in Germany

13

A series of measures aimed at promoting the training of young
workers. Significantly, the very first of Goering’s decrees of Novem­
ber 7,1936, was concerned with the training of young people. It com­
pelled steel and metalworking plants to train an adequate number of
apprentices. The National Placement Bureau determines how many
apprentices are considered adequate. “Entrepreneurs who, for per­
sonal or technical reasons are not able to engage the necessary number
of apprentices, must pay a fee to the National Bureau.” According
to the statistics of the employment offices, 88,788 young people en­
tered the steel industry as apprentices in 1935-36; influenced by the
employment offices, in 1938-39 this number rose to 156,556, or almost
one-third of all the young men leaving school that year.
Extraordinary efforts were made to train unskilled workers or to
fit skilled workers for armament work. These efforts met with con­
siderable success.
Third Period: The Struggle Against the General Labor Shortage

At the end of September 1937, at the peak of the season, the number
of unemployed declined to 469,000. Of these, only two-thirds, 312,000
persons, were “completely fit for work,” and 71,000 were “completely
fit for work and for being sent to new districts” (voll einsatz- und
ausgleichsfähig) .4 Unemployment was almost at the vanishing point.
As the armed forces and armament production steadily increased,
labor became generally short. Beginning with 1937-38, not only
skilled but also unskilled workers were lacking, and many skilled work­
ers were no longer able to function with complete efficiency, owing to
lack of sufficient assistance from auxiliary workers.
Even in the preceding years the power of the National Placement
Bureau had grown considerably. Labor had been subjected increas­
ingly not only to general rules but also to individual control. Hence­
forth regulation of the labor market became “total.”
Several important laws were the basis of labor-market policy in
this third period:
On March 1, 1938, a decree ordered all young persons leaving school
to register at the employment office. Since then the consent of the
employment office has been indispensable when an apprentice, a
student employee, or an “ improver” is to be hired (as mentioned
above, the Order on the Allotment of Labor of August 28, 1934,
excepted the hiring of apprentices from the control of the employment
offices). Thus began the total vocational guidance of young persons.
The National Bureau established its first “ plan for the distribution
of young persons” in 1938 and applied it to those leaving school in
1939. Similar plans were made for subsequent years. Since then
there has been no question of free choice of vocation. The Frank­
furter Zeitung explains the situation as follows: “ Much importance
is attached to spontaneity and self-determination of young people
and their parents; the employment office, however, is authorized to
bar a young man from a given vocation, while leaving him a choice
among others.” 5
<Since the end of 1936 the National Bureau has divided the unemployed into three categories: Those com
pletely fit for work in their trade, those completely fit for work otherwise, and those not completely fit for
work. The first two categories are subdivided into those capable of being sent to new districts {Ausgleichsfähige), and those not thus capable.
* Frankfurter Zeitung, November 5,1941.
5 0 1 1 5 2 — 43------- 2


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14

Monthly Labor Review—January 1943

On June 22, 1938, the Decree Securing Labor for Projects of Great
Political Importance introduced compulsory service 6 for all Germans.
Every German could be recruited temporarily for a labor service,
during which any previous contract would be suspended. The title
and date of this decree indicate that it was issued with a view to the
construction of the Siegfried Line and similar enterprises; 400,000
compulsory laborers are said to have toiled at the fortifications in
western Germany.
On February 13, 1939, the compulsory-service decree was replaced
by a decree bearing the same name but having wider scope. The
first section of this new decree regulated compulsory service. Em­
ployment offices were empowered to recruit residents of the Reich
“ for jobs which the Commissariat for the Four-Year Plan singles out
as very important and urgent. The dismissal of workers may be
imposed upon private and public enterprises and administrations.”
Thus compulsory service was extended to all residents of the Reich,
aliens as well as nationals. Furthermore, under the provisions of the
decree all could be drafted for an unlimited period, with the con­
sequence that in such cases the contract between the workman and
his employer is terminated by law. According to a circular of the
Reich Minister of Labor, however, compulsory service which is im­
posed “ for the duration” or “ pending further instructions” is to be
regarded as “ temporary.” 7 Finally, the provision quoted above
established the legal basis for the “ combing out” of enterprises.
At the time when the compulsory service was extended, the Govern­
ment limited the right to terminate employment and introduced new
restrictions on hiring. These regulations are not enlarged upon here,
as they were replaced by even more comprehensive ones after the
beginning of the war. At any rate, long before the attack on Poland,
German labor-market policy was prepared for war. The outbreak of
hostilities, therefore, caused not a decisive change but rather the
extension of existing regulations and authorizations. A Decree to
Restrict Change of Employment, of September 1, 1939, brought
legislation on this subject to a climax. Since then, any hiring re­
quires the consent of the employment office, except for agriculture
and mining and households with children under 14 years. Further­
more, no employer or employee has the right to give notice until the
employment office has consented to termination of employment.
Permission must be obtained before notice is given, for “the mere
intention of giving notice * * * disturbs work.”8 Permission,
however, is not necessary when both parties agree to annul a contract.
Of this gap in the regulations, as will be seen, labor and business have
both taken advantage. Finally, the decree of September 1, 1939,
orders any employee who quits his employment without official
consent, to report immediately to the competent employment office,
which will try to place him in an essential plant.9
8 Compulsory service (Dienstpflicht) should not be confused with emergency compulsory service (Notdienstpflicht) introduced by a decree of October 15, 1938. All residents of the Reich may be temporarily
recruited by the authorities “for the fulfillment of public duties,” such as removing street debris after air
raids. Emergency compulsory^service apparently plays no part in production.
7 The author discusses the frictions resulting from compulsory service in the winter (1942) issue of the
Harvard Business Review.
8 Statement of Direktor Timm, in Reichsarbeitsblatt, 1939, No. 9, Nichtamtlicher Teil, p. 109.
* According to a decree of theReich Minister of Labor of January 24,1941, employment offices must examine
each person changing his job as to whether he is capable of metalwork. It has been found, for instance,
that hairdressers are easily fitted to become precision-instrument workers, and that bakers, accustomed
to great heat, become able molders and welders. (Der Vierjahresplan, 1939, p. 868.)


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Majipower Control in Germany

15

The authorities originally expected that after the outbreak of the
war the cutting down of raw-material allocations would result in the
dismissal of skilled labor by civilian-goods industries using metals.
This assumption proved to be wrong. Companies which had to
restrict their peacetime production were preparing for war contracts
and, therefore, did not dismiss but “ hoarded” their workmen. Con­
sequently, the rising demand for labor on the part of armament plants
found no supply available. Goering issued, on September 28, 1939, a
decree compelling employers to report to the employment offices all
skilled workers whom they could possibly spare. Skilled workers
were to be surrendered even if only temporarily idle. If they were
removed for compulsory service, the condition could be added that
they would return to their previous employer in case of need. This
decree, however, being very difficult to enforce, did not contribute
much to shifting labor from nonessential to essential plants.
THE "COMBING OUT” DRIVES

Labor was shifted mainly not by general rules but by individual
redirection, using three methods: First, as the employment office must
consent to the hiring and as every employee leaving a job without
previous permission must register at the employment office, all persons
entering the labor market are at the disposal of the administration
and can be recruited for the most important job at hand. Second,
employment offices constantly reexamine their card indexes based
on the labor books. As soon as they discover a case of bad place­
ment, they endeavor to redirect the worker. Should employee or
employer be obstinate, they invoke the compulsory-service decree.
The number of persons on a compulsory-service basis is relatively
small, however, for the labor administration has sufficient means of
obtaining the consent of the interested party when it wants to redirect
workers. Finally, enterprises are systematically examined by special
commissions in order to strip civilian-goods industries of workmen and
shift them to armament production.
The first drive was made by commissions of the employment offices
in the fall of 1939. It fell off as early as the end of 1939, when “results
* * * became more and more scanty. Inspections of many days
resulted only in combing out some dozens of workmen.” 10 In the
spring of 1940, a new offensive was started—“ the closing-down drive”
{Stillegungsaktion). The authorities thought they would get more
workers by closing nonessential plants than by the most careful comb­
ing out. This drive failed. The factories had already been combed
out to such a degree that their closing would not have yielded many
workers completely fit for work and for being sent to new districts.
Under these circumstances, it was considered preferable to comb the
factories again, while allowing them to continue with the rest of their
workers in the interest of civilian supply. Nevertheless, 480,000
persons are said to have been combed out in 1940.11
In 1941 the civilian-goods industries were again attacked, this time
under the slogan of “reallocation” {Umsetzung). One may wonder
how every new drive could produce some results, although the pre10 Technik und Wirtschaft, March 1941: Die Beschaffung von Arbeitskräften für die Rüstungsindustrie,
by Karl Pechartschek.
a Der deutsche Volkswirt, M ay 30,1941, p. 1254.


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16

Monthly Labor Review—January 1943

ceding ones seemed to have exhausted all possibilities. As a matter
of fact, the concept of nonessential production was constantly broad­
ened, the standard of fitness for work lowered, and the requirements
of factories more and more disregarded. At the beginning, consumergoods industries were left with some mechanics, drivers, etc.; now these
almost indispensable men have been taken away, and it is easy to
understand a German statement that the mere phrase, “ combing out,”
causes every entrepreneur without war contracts to shudder.12
The original plans of economic mobilization provided for the most
far-reaching concentration of industrial production and for the whole­
sale closing down of less-efficient plants. However, except for a few
lines of production (such as soap, margarine, and shoes) and some
individual cases, these far-reaching plans were abandoned. The
decision to continue or close was left to the owners. Today, many
consumer-goods factories are working only with women and old or
sick men. Their raw-materials allocations are, as a rule, very re­
stricted. Yet only a few owners have decided to close their plants.
The Frankfurter Zeitung termed “ one of the most amazing phenomena
of our war economy” the capacity to improvise in sections not regarded
as essential to the war effort. The “small enterprise with old workers”
still plays an important part in certain consumer-goods industries.lb
Only in 1942, when the labor shortage became particularly acute,
was concentration of production pushed vigorously in a number of
industries, especially textiles, chemicals, and tobacco. Various forms
of organizations were used for this purpose, such as the so-called
“ Reich Associations” which organize and rationalize entire industrial
branches, partly utilizing, partly replacing the cartels, and the “ Pro­
duction Rings,” officially promoted combinations of various enter­
prises which concentrate their production in the most efficient plants.
About the same time important changes in governmental organiza­
tion took place; in this connection should be mentioned the appoint­
ment of a General Commissioner of Manpower in March 1942. This
commissioner, Sauckel, is a prominent party leader and since then the
National Socialist Party has been in control of the labor administra­
tion, apparently because it is supposed to have a stronger grip on the
people than has the Government bureaucracy.
Procedure of Labor Relocation
ORGANIZATION

When an enterprise asks for additional workers, the employment
office must investigate as to whether important contracts justify this
demand and whether (even conceding the urgency of the contracts)
labor might not be saved. At the same time, the employment office
must, with the help of a card index of enterprises, investigate whether
factories can spare some of their workers. As part of their routine,
employment offices study advertising material. “ If advertisements
of an enterprise suggest that it has free capacity, the employment
office must draw the necessary conclusions,” states a circular of the
President of the Advertisement Council of the German Economy who
had received complaints about employment-office procedure.14
12 Der deutsche Volkswirt, December 13, 1940, p. 416.
13 Frankfurter Zeitung, June 15,1941.
14 Reichsarbeitsblatt, 1940, No. 35-36, 1 p. 631.


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Manpower Control in Germany

17

Extensive investigations as to whether factories need additional
workers and, especially as to whether they can give up some workers,
are made by the commissions previously mentioned. It goes without
saying that these commissions deal only with large and middlesized concerns. Small firms are inspected by officials of the employ­
ment offices or are combed out, under the supervision of the labor
administration, by the appropriate corporate organization.
The composition and activities of the commissions have changed in
the course of years. Since 1941 they have been organized as follows:
For special investigations on a large scale, there are Reich commissions
of representatives of the Ministry of Labor and other central author­
ities. They inspect the largest plants or deal with the general problems
of whole districts. For all large and medium-sized companies, investi­
gations have been decentralized to military districts (Wehrkreise). As
a rule, the commissions for the military districts are presided over,
not by an official of the labor administration, but by the competent
representative of the Reich Minister for Armament and Ammuni­
tions. When the late Reich Minister Todt formed his Ministry, he
had no extensive organization, but simply appointed representatives
for each military district. The foremost duty of these representa­
tives has been to promote cooperation between business and the various
authorities. They, therefore, are well suited for taking a leading
position in commissions formed by numerous agencies. Combingout commissions are composed, aside from the representative of the
Armament Minister, of the president of the regional employment
office, the leader of the regional economic office (the Landeswirtschaftsamt is the regional agency of the Reich Ministry of Economic
Affairs), the military inspector, and the regional representative of the
Commissariat for the Construction Industry.
The real work is done by subcommissions, the so-called “Todt com­
missions” which are competent for single employment-office districts.
These subcommissions consist of members of the employment office,
of the military authorities (Rüstungskommando) and of the Chamber of
Industry and Commerce.15 Occasionally factory inspectors are
invited to take part in the investigations and sometimes also members
of the German Labor Front, the mining authorities, or the Agricul­
tural Estate. In some cases, special commissions have been organized
for special lines of production. Business, incidentally, lias complained
about being inspected simultaneously by various commissions which
had no knowledge of each other.
The commission form was determined by various factors. Only
close cooperation with the authorities acting as contractors enables
the labor administration to know immediately which firms need work
ers and which are less occupied and may spare workers. This cooper­
ation also makes it easier to see to it that no Government orders are
placed without regard to labor capacity, thereby avoiding unnecessary
shifting of workers. The commissions, furthermore, reduce con­
flicts of jurisdiction. As all interested agencies are represented in the
commission and join in the decisions, it is rather difficult later to play
oik' off against another.
_
•
Cooperation of agencies through commissions, incidentally, is found
not only in labor-market policy but throughout the German war
18 Overorganization is being eliminated in the so-called“business self-administration,” and in t.V's process
the Chambers of Commerce are being reorganized under the name of Regional Business < ambers.


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IB

Monthly Labor Review—January 1943

economy. The distribution of contracts, labor, materials, means of
transportation, etc., is coordinated by commissions, or at least by
direct contact between agency and agency. “Today,” stated the
Frankfurter Zeitung of December 7, 1941, “the qualification of each
Government official depends to a high degree on his capacity to keep
in touch with officials of other agencies.” The principles of leadership
and centralism have been abandoned in the war economy in favor of
collegiate action and decentralization.
If an enterprise is to be inspected by a commission (all companies
have been inspected once or several times during recent years) it is
visited by a “Pre-examiner” (Vorpriifer). This person is an employee
of the employment office, who gathers the necessary statistical infor­
mation concerning sales, contracts, workers, working hours, training,
etc. It is one of the duties of the pre-examiner to extract from the
labor books a list of all skilled workers, showing also whether they are
working in their proper field or in semiskilled or unskilled jobs.^ The
commission itself, as a rule, inspects plants thoroughly, interviewing
managers, foremen, and workers. After such an investigation it is the
duty of the employment office to carry out the commission’s decisions,
i. e., to allocate new workers, comb out, or leave the situation
unchanged.
CRITERIA OF THE COMMISSIONS

The commissions examine enterprises from the following points of
view:
(1) The development of the employed workers is compared with the
development of sales (or, rather, as orders of the same value may
require a different amount of labor, with the working hours as esti­
mated in the contracts). This comparison may indicate that the
enterprise has hoarded workers. (In some cases sales declined by
more than 50 percent, whereas the number of workers was only
slightly reduced.) In such cases the plants are combed out, unless
plausible explanations can be given, as for instance, extensive prepa­
rations for future production requiring considerable numbers of work­
ers, especially of skilled workers; transition from assembly-line to
piece production; increase of stocks for important reasons; numerous
cases of illness; declining efficiency of workers owing to bad traffic
conditions, black-outs, etc.
(2) Contracts are thoroughly studied. Summary descriptions of
contracts as being [for [war^purposes, export, vital for civilian con­
sumption or the like are not regarded as sufficient. The commission
examines all large contracts, seeking evidence of exaggeration as to
urgency. In enterprises producing raw materials or semifinished
goods, lengthy investigations as to the future use of products are
often necessary in order to judge urgency. Terms of delivery are, of
course, taken into consideration, for the list of contracts regularly
includes orders temporarily requiring no labor, since arrangements
have not yet been made for them. Others, almost completed, may
require maintenance of staff for only a short time.
(3) The commission investigates whether an enterprise lightens its
labor load by farming out its work, especially to plants in occupied
countries.16 Generally the labor administration opposes the practice
by large companies, of accepting orders beyond their working capacity
w See Social Research, February 1942: Subcontracting in German Oefense^Lpdustries, by Herbert Block.


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Manpower Control in Germany

19

and demanding that smaller enterprises be stripped of skilled labor,
if necessary by compulsory service. The administration recommends
in such cases the placing of orders with small enterprises, at least as
subcontractors.
(4) The commission investigates whether the company has hired a
s u ffic ie n t number of women. The percentage of women employed is
compared by periods; these statistics indicate whether the manage­
ment made sufficient efforts to replace men by women. The com­
bined pressure thus exerted on the managers and on the women them­
selves had operated to such effect, according to a German author,
that by the summer of 1941 the reserve of women’s labor was already
exhausted. “Today, out of 100 persons gainfully employed, 60 are
men, 40 are women. ,'VThis relation is biologically not justifiable once
the war is over.”17
(5) Special attention is given to the management’s efforts to train
and retrain workers. This aspect is decisive in determining the final
judgment of the commission.
(6) The commission investigates whether skilled workers are in
proper jobs, whether they are sufficiently assisted by auxiliary work­
ers, whether the flow of labor is well arranged, and whether places of
work are appropriate. “Every plant,” states a member of the labor
administration, “must now be asked to utilize its skilled labor as well
as possible, with the help of the labor books. The labor books, with
their valuable information about the vocational capacities and ex­
perience of their holders will then be for the enterprise what they
should long since have been, that is, an indispensable means of putting
the right man in the right place.”18 If an enterprise asks for skilled
workers, the total number of workers requested is compared with the
number of skilled workers employed; often management has made
disproportionate demands in expectation of curtailment of its request.
(7) The commission closely examines labor policy. Does the
management leave hiring altogether to the employment office or does
it endeavor to get workers by advertisement, posters in the plant,
summoning relatives of employees, etc.? The labor administration
frowns upon companies “which ‘order’ perfect laborers at the employ­
ment office; certain firms even want to rely entirely on the employment
office; by threatening official contractors with missing a delivery date,
they cause them to intervene in favor of their labor requirements.
This attitude really endangers armament production.”19
Other matters of labor policy that are considered^are: Is the number
of requests for deferment of drafted workers normal? Too many re­
quests will lead the administration to feel that the entrepreneur is
taking the line of least resistance in solving his labor problems and will
result in a combing out of his force. For what reasons have workers
been dismissed? In how many cases did they quit “by mutual agree­
ment,” thereby evading the control of the employment office? In
some cases more than 80 percent of all separations were by “mutual
understanding, thus depriving the restrictions on change of employ­
ment of their effect.”20 Are women the first to be dismissed when
« Deutsche Allgemeine Zeitung, August 24,1941: Die Menschenbilanz, by Joseph Winschuh.
is Reichsarbeitsblatt, 1940, No- 4, Nichtamtlicher Teil, pp. 55 et seq.: Betriebsnaher Aroeitseinsatz, by
H. Hildebrandt.
^
» Reichsarbeitsblatt, 1940, No. 4, Nichtamtlicher Tell, p. 55.
20 A decree of May 20, 1942, closes this loophole in the regulations; since then, employment in essential
plants can be terminated only by the employment offices.


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Federal Reserve Bank of St. Louis

20

Monthly Labor Review—January 1943

orders diminish? Are the sick carefully checked? In view of the long
working hours, many workers simulate illness in order to get leave.
How is the general plant discipline? What about social institutions,
such as canteens?
(8) The commission also studies the hours of work. According to
the official point of view a company on a 48-hour-a-week basis, without
three shifts, must lengthen the working day unless there are special
hindrances such as necessity of long travel by workers.
(9) Finally, the plant machinery is examined. Is it modern or
obsolescent? Are machines fully utilized? Are modern instruments
used for measuring and testing, in order to save skilled labor? As a
rule, a company seeking additional workers is urged by the employment
office to rationalize, i. e., to introduce labor-saving machinery and to
improve plant organization. Labor-saving machinery was widely
urged in the immediate pre-war years, in contrast to the first years of
the regime, that were marked by the struggle against unemployment,
when the spirit of the machine wreckers had spread throughout
Germany. Der deutsche Volkswirt reported on May 19, 1939, a
record production of labor-saving machinery which, considering the
comparatively low level of wages, often hardly pays. Today, of
course, it is difficult to get new machines and so the possibilities of
rationalization are limited.
These are the questions with which the commissions deal. The enter­
prises are to be troubled as little as possible, but the list of questions
considered shows that the minimum requirements of investigations are
quite comprehensive.
Results of the System
MILITARY NECESSITY AND NATIONAL SOCIALIST IDEALS

From the very first, the National Socialist Government began to
prepare the labor administration for its war duties. In the early years
of the regime, the Nazis seemingly aimed at nothing in this field but
to do away with unemployment. The work to which the unemployed
were put was, however, mainly of a military nature and the authori­
zations given the National Placement Bureau were destined to safe­
guard labor needs of the armament industries. When unemployment
gave way to a shortage of labor, the military character of German
labor-market policy became more and more obvious. This was indi­
cated by the introduction of the labor book and the card index of
labor books which enable the National Bureau to judge the usefulness
of each German within the framework of a war economy, by the
measures concentrating workers in armament production, and by the
early training of millions of workers.
Not only the rights and liberties of citizens but even the “unchange­
able ideals” of the Hitler movement were sacrificed to preparation for
war. The Nazis had praised the peasants as the “blood source of the
nation.” Their slogan was: “Back to the land.” In reality, not less
than 16 percent of all (male) farmers and rural workers moved to towns
between 1933 and 1939 and were replaced by foreigners who, according
to National Socialist doctrine, are of inferior race. The middle class
was promised “complete reconstruction,” and handicrafts were assured
of “a new heyday.” In reality, small business was decimated and re
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Manpower Control in Germany

21

duced to a reserve for industrial workers. German women were to
devote themselves to kitchen and children (.Kiiche und Kinder), but
in reality, they have been put to work in factories.
CENTRALISM AND DECEN TR A LISM

As explained above, the preparation of the labor market for war
was connected with increasing centralization of the labor adminis­
tration. The National Bureau was given the exclusive right to supply
business with labor; youth was induced to choose vocations essential
to economic warfare; each worker was put in a place selected for him.
In spite of the concentration of the labor administration in the hands
of a single agency, however, since the outbreak of war the allocation
of labor has been to a large extent decentralized to regional employment
offices. These regional agencies cooperate closely with the regional
agencies of other “administrative columns” responsible for the placing
of orders and the allocation of other factors of production (raw
materials and semifinished products, power, machines, tools, means
of transportation). The factors of production are allotted to the
most important orders, not on the basis of a detailed general plan
but rather by the daily cooperation of various agencies, working
not so much through central as through regional and local offices
which, of course, are bound by rides and regulations. To the extent
that discrepancies between the distribution of contracts and the
various factors of production remain—and there generally are some
the entrepreneurs must go from agency to agency seeking a reconcilia­
tion. The corporate organizations of industry sometimes assist them
in these efforts.
COM PULSION AND ELA STIC ITY

Although there is no general plan for the German economy, every
step which individuals take is dictated and controlled by Government
agencies. Not only is the worker, for instance, subjected to legal
or contractual norms, but the labor administration decides in each
case whether he must remain at his place of work or whether he may
or must change his employment, whether and how he is to be trained,
otc
It is characteristic that movements of labor in Germany have the
appearance of spontaneity. Employers and employees follow the
suggestions of employment offices and other authorities (e. g., combingout commissions) voluntarily; the compulsory service is used sparingly.
So great is the power of the labor administration, so dominant the
Government and party control over the decisions and even_ the
thoughts of each individual, that everybody renounces opposition
at the outset.
. ,
Even a dictatorship able to influence people so effectively must,
however, take care not to upset them. Therefore, decrees have been
repeatedly revised during recent years. Restrictions of the mobility
of the rural population were moderated, at least temporarily, Wage
reductions which would have alienated the good will of the workers,
have been canceled. The iron fist is covered with a velvet glove
as soon as the highest aim, the utmost strengthening of war produc­
tion, seems endangered. A very elastic compulsory system has
succeeded in putting the whole population to work, each according
to his capacities, and all in the interest of economic warfare.

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STABILIZATION OF M IL L IN E R Y IN D U ST R Y , 1936-41
THE New York metropolitan millinery market has since 1936 operated
under the supervision of the Millinery Stabilization Commission. In
its third report on the economic condition of the industry up to
the end of 1941,1 the Commission states that “ the ups and downs of
employment in 1938, 1939, and 1940 are materially less wide in New
Tork than they are in the rest of the country,” though in 1941 they
appeared to be about the same. Relative increases in monthly pay
rolls were found to be even more marked than gains in employment.
During this period there was also an encouraging increase in volume
of business for the manufacturers.
The Millinery Stabilization Commission, Inc., is an unofficial,
supervisory, and administrative board created in 1936 by joint
agreements between workers’ and employers’ organizations in New
lo rk City, in an effort to stabilize the industry, which had for a
decade been in a singularly unfavorable economic condition.2 In
1937, New Jersey organizations entered into affiliation. In the
collective agreements of 1938 and 1940, clauses were included dealing
with the “ consumers’ protection label,” the distribution and use of
which is intrusted to the Millinery Stabilization Commission. The
members of the Commission are disinterested citizens, and its activi­
ties are financed by the sales of the label, a symbol of fair trade and
labor standards, to the members of industry, who agree to maintain
the standards promulgated by the Commission. In other ways,
such as through audits of the books of manufacturers, collection
of statistics, investigations of complaints of fraud, and promotion of
trade, the Commission seeks to maintain and advance the interest
of the industry.
The registrations of label members from 1938 to 1941 indicate that
the trend of trade mortality is at last turning downward, the rate
for 1941 being the lowest in the 4-year period.
T a b l e 1.—Registrations of M illinery Firms as Label Members, 1938-41
Item
Total registrations at beginning of year
New registrations during year
Registrations lapsed during year__
Total registrations at end of year
Average number of firms in affiliation during year
Ratio of number of lapsed firms to average number
affiliated-------------------------- ------------------ percent. _

1938

1939

1940

1941

573
170
164
579
576

160
195
573
591

576

579
107
126
560
570

29

33

31

22

573

In nearly all cases lapse of registration marked the retirement of
the firm from the industry. Of the 107 firms newly registered in 1941,
71 were ventures which had been in the industry at some earlier
period. The effect of the gathering war pressures in 1942 and followmg years upon trade mortality, the Commission states, is of course
not yet apparent.
1 Millinery Stabilization Commission, Inc. T hird report, 1940—
41
2 See M onthly Labor Review, February 1941 (p. 355).

22


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Federal Reserve Bank of St. Louis

New York, 1942.

23

Stabilization of Millinery Industry

Employment and P a y Rolls

A comparison of the trend of employment in the millinery industry
for the country as a whole and for the New York-New Jersey market,
the only market operating under a “ commission” form of government,
is reflected in official Federal and State statistics from 1935, the
year before the creation of the Commission, to 1941. Year-to-year
percentages of change in the number of persons employed in the
United States (from United States Bureau of Labor Statistics
published data) and in New York State (from New York State
Department of Labor published data) are shown below.
New York
State

1935
1936
1937
1938
1939
1940

to
to
to
to
to
to

1936_______________________________
-3 .4
1937_______________________________ + 1 4 . 0
1938__________________________________ + 1 . 0
1939_______________________________ + 1 5 . 5
1940_______________________________ + 1 9 . 6
1941_______________________________
+2.6

United
States

+11.5
+4.0
-2.3
-2.8
+10.4
+17.8

The New York market is responsible for an extremely large part of
the product of the millinery industry, and therefore the national
figures are heavily weighted by the New York data. Index numbers
of employment and pay rolls computed by the United States Bureau of
Labor Statistics for the United States excluding New York State,
and by the New York State Department of Labor for the State of
New York,3 are presented in table 2.
T able 2.— Indexes of Employment and P ay Rolls in M illinery Manufacture, New York
State and United States (Excluding New York State), 1935—41
[1935-39=100]
Employment
Year

1935
. . __________________________________
1936 ____________ ________ _____________________
1937 __________________________________________
1938 __________________________________________
1939
__________ ________ __________________
1940
_______________ _______________________
1941
___________________________

New York
State
96.6
98.6
101.7
199.7
103.4
103.1
101.1

Rest of
United
States
92.7
93.5
101.7
108.2
103.9
99.9
134.7

Pay rolls
New York
State
90.3
95.0
103.1
104.1
107.5
116.3
118.9

Rest of
United
States
92.1
92.3
104.1
112.9
108.3
103.5
101.6

The annual indexes showndn table 2 disclose [some gains in pay rolls
by the metropolitan market as compared with the rest of the United
States, as well as some losses in employment, especially in 1941. For
the year 1941, employment in New York stood at 101 percent of that
for 1935-39, while for the rest of the country it was 135 percent. Pay
rolls, on the other hand, were 119 percent of those in 1935-39 for New
York, and 102 percent for the rest of the country.
On the basis of monthly indexes, however, a noticeable and not un­
important difference is shown between the two areas in the size of the
seasonal fluctuations, and this is clearly favorable to the New York
3 It has not been possible to include any official figures for New Jersey, as the New Jersey Bureau of Labor
Statistics publishes no separate figures on the industry, its data for the millinery industry being co bined
with those for lace goods.


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Federal Reserve Bank of St. Louis

24

Monthly Labor Review—January 1943

area. The ups and downs of employment, while not noticeably differ­
ent in the two areas m 1935 and 1936, were materially smaller in New
T trV n i 93f-’ 1939, an d 11940 than in the rest of the United States,
llie lluctuations seem to be about the same in 1941, however. There
also appears to have been some stabilization in pay rolls in the New
York market, especially in 1938 and 1939.
The earnings of New York millinery workers (whatever the purchas­
ing power of those earnings) are generally higher than those of workers
m the rest oi the country. In both areas earnings increased noticeably
during the 1935-41 period, and the difference in favor of New York
seems to have widened somewhat. The average weekly earnings in
the two jurisdictions m the years 1935 to 1941 were as‘follows:
New York
State
$94. 7Q
9Ç 70

1935____
1936_____
1937___
1938___
1939____
1940____
1941____

United,
States
i o n on
*p a U . oil
o n
a a
ZU.
40
91
oc
A -L. ¿O
¿91
1 . '70
io
99
¿ a . 1l yn
¿9 4A. U /

27 00
9 7 S/L

27 72
9Q OI
- — ---------------------------------

31. 11

24. 00

Sales and Earnings

An important measure of the condition of an industrv is the amount
of business done each year. In table 3 is shown the change in dollar
J2lu,me
business m each year of the period covered, except
from
i ° tdata ,ar? ?7ailable- The increase was slight
liom 193/ to 1938, but reached 11 percent between 1938 and 1939*
cLdtefnn iln ° 0 ^
1 ™
!939 t0 194°- and agai" reached 11 per-!
“ ‘L !,940y - A 1 the price-range groups had increases in each
period, though not m equal measure, except that the lowest pricerange group had a decrease in 1937-38 of 7.8 percent.
T able 3.—Percent of Chatage in dollar Volume of Sales by M illinery Manufacturers in

l\e u 1 ork Market, 1935-41, by Price-Range Group
All groups

Group 1: $7.50
and under

Group 2: $7.51- Group 3: $13.51- Group 4: Over
$13.50
$24.00
$24.00

Period
Num ­ Per­ Num­ Per­ Num­ Per­ Num­ Per­
Num­ Per­
ber of cent of ber of cent of ber of cent of ber of
firms change firms change firms change firms cent of ber of cent of
change firms change
1935-36 K
193719381939-40 2
1940-41 2_

38 2.
39 2.

199
+5.2
250
+ 1.6
283 + 11.2
270
+1.9
303 +11.4

60
60
93
93
106

+3.2
-7 .8
+18.0
+ 1.8

+7.9

81
114
119
106
117

+7.9
+ Ì. 9
+ 11.3
+. 9
+16.0

+ 12.1
+10.6
+ 2.1

+1.4
+7.4

+7.6
+1.7
+10.4
+4.0
+9.8

indS|f„rlh+Nbii+ ‘S 8S5SS& 5S. S S S T S iV M s * "" M,lllmrr
Another important element in the condition of an industry is that
ot costs. I he Commission has striven to develop among the millinerv
manufacturers careful cost recording and has evolved a simplified
cost-calculation sheet for the use of its members. In table 4 the distribution of operating cost for reporting firms is given for each year. A
fiigh degree of stabilization is shown m the distribution of costs. The
cost oi doing business increased only 2.5 points between 1935 and 1939

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Federal Reserve Bank of St. Louis

25

Stabilization of Millinery Industry

which was probably largely due to social-security taxes. The largest
increase in relative costs was for hat materials, which rose 7 points
between 1935 and 1941. Relative labor costs rose only 1 point between
1937 and 1941, and administrative costs were slightly less in 1940 and
1941 than in former years.
T able 4.—Percentages of Costs to Net Sales (A ll Price Ranges Combined) in Millinery
Manufacture in New York, by Years, 1935-41
Item
Number of firms reporting 1____________ .

1935
199

1936
199

1937
245

1938
239

1939
225

1940
172

1941
198

Percent Percent Percent Percent Percent Percent Percent
44.2
Direct costs: Hat materials, net-- - _____
46.3
46.1
44.92
44. 76
45.7
51.0
26.2
25.78
25. 83
Direct labor____________________________ i 29.7 i 28.6
26.7
27.0
Indirect factory labor _
_ ___
2. 44
3.1
3. 00
2. 7
2.8
Blocks and d ies..- .
_ _
.
____
1.3
1.4
1.42
1.3
1. 57
1.1
1.0
Shipping expenses: Expressage, parcel post,
3. 28
2.8
2.9
.6
3.82
2.6
and fare______________ ______________
2.6
6.1
5.74
Selling costs____________________ _______
6.0
5.7
6. 22
5.7
5.9
.42
.3
.40
.6
.3
Bad debts__ ______ ________ __ __
Taxes____ . . . .
. _____
1.2
1.63
1.75
1.7
1.8
Unemployment and social se cu rity ____
1.1
1.46
1.59
1. 5
1. 6
.1
Other taxes _________ ____. . ____
. 17
. 16
.2
.2
Administrative expense. . . . . .
................
2 8.3
10.4 3 8. 01 4 6. 71
2 8.3
4 6.7
4 6.9
Office salaries
______ _.
.. ._
.90
1.0
1. 0
92.3
93.1
95.4
93. 79 94.81
93.2
Cost of doing business______ . . . . . ___
92.3
6.2
7.7
6.9
4.6
6.3
6.9
Net profit (including withdrawals)________
7.7
Proprietors’ withdrawals and salaries of
‘ 6.6
« 5.9
26.7
6.6
officers in closed corporations____________
7.1
7.1
7.5
7. 5
Book remainder________________________
.6
.3
2 1.3
2 1.4
'.2
.2
1 Including indirect factory labor.
2 Including bad debts, taxes, and office salaries,
s Including office salaries.
4 Excluding office salaries.
‘ Calculated from data in Millinery Stabilization Commission, Inc., The Economic Condition of the
Millinery Manufacturing Industry in the Metropolitan Area, 1935-36, New York, 1937, p. 10.
« U. S. Women’s Bureau Bull. No. 169, p. 112.
1 Loss.


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Wartime Policies

C EN TRA LIZA TIO N OF M ANPOW ER CONTROL
THE President, on December 5, 1942, issued an Executive order
(No. 9279) which provided for the mobilization and utilization of
manpower and transferred the Selective Service System to the War
Manpower Commission. The order vested complete control of
manpower in Paul V. McNutt, Chairman of the War Manpower
Commission, and empowered him to decide where men shall work, at
what occupation, and whether they shall serve in the armed forces.
At the same time the Selective Service System announced the
suspension of the induction of draft registrants 38 years of age and
older.
The President stated that the order was issued “ in order to promote
the most effective mobilization and utilization of the national man­
power and to eliminate so far as possible waste of manpower due to
disruptive recruitment and undue migration of workers.” To close
the gap between the Economic Stabilization Board and the Man­
power Commission, the President also appointed the Chairman of the
Commission as an additional member of this Board.
Under the terms of the President’s order, the War Manpower
Commission is to consist of a chairman and one representative,
designated subject to the approval of the chairman, of each of the
following agencies and departments: The War Department, the De­
partment of the Navy, the Department of Agriculture, the Depart­
ment of Labor, the Federal Security Agency, the War Production
Board, the United States Civil Service Commission, the National
Housing Agency, and such other executive departments and agencies
as the President shall determine, and a joint representative of the War
Shipping Administration and the Office of Defense Transportation,
designated by the chairman.
Transfer of Selective Service to War Manpower Commission

The Selective Service System, which was established for the purpose
of carrying out the provisions of the Selective Training and Service
Act of 1940, as amended, was transferred to the War Manpower
Commission to be administered under the supervision and direction
of the Chairman of the War Manpower Commission. The local
boards and appeal boards of the Selective Service System are to
continue to exercise the functions, powers, and duties vested in them,
subject, however, to the supervision and direction of the Chairman.
The Chief of Finance of the United States Army is to act as the fiscal,
disbursing, and accounting agent of the Chairman in carrying out
the provisions of the Selective Training and Service Act.
26

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Wartime Policies

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The provisions of the order relating to draft boards authorize the
Chairman to issue mandatory directives to these boards. Heretofore,
they have operated without any effective central authority or machin­
ery that would prevent divergences or confused policies with respect
to the use of men in the armed services or the vital war industries.
Thus, the Chairman of the Commission may now, in effect, decide
whether a man is to go into the Army or Navy, the Marine Corps, the
Coast Guard, a shipyard, or some other plant, or to a farm.
As a guide for putting men into the armed services, the order directs
the Secretary of War and the Secretary of the Navy, after consultation
with the Chairman, to determine the number of men required to be
selected each month in order to fulfill the total respective requirements
of the Army and Navy as approved by the President. The Chairman
is to furnish the required number of men through the Selective Service
System. The order specifies that the ages for induction of enlisted
men into the armed forces shall be between 18 and 38. At the same
time the Selective Service System announced suspension of the
induction of draft registrants 38 years of age and older.
A r m y Release of Men Aged 38 and Older

At the time the President’s order was issued, the War Department
announced that men 38 years of age and older will be released from
the Army upon the following conditions: (a) The soldier has volun­
tarily requested discharge in writing to his immediate commanding
officer; (b) the soldier is handicapped by age to such an extent that
his usefulness to the Army is secondary to his usefulness in industry;
and (c) the soldier has presented satisfactory evidence that he will be
employed in an essential war industry (including agriculture) if he
is discharged from the Army. Each application for discharge will be
considered on its individual merits and discharge will not be granted
unless a suitable trained replacement is available.
Labor Provisions

The labor provisions of the order are designed to prevent unhealthy
competition for workers among industrial concerns and to give the
Federal Employment Service a guiding hand, unweakened by divisions
of authority with State or local employment boards. The Chairman
is authorized to take all lawful and appropriate steps to assure that
(a) all hiring, rehiring, solicitation, and recruitment of workers in or
for work in any establishment, area, facility, or occupation designated
by the Chairman will be conducted solely through the United States
Employment Service, and (b) that no employer shall retain in his
employ any worker whose services are more urgently needed in any
establishment, area, facility, or occupation designated as more
essential by the Chairman.
Training of Workers

The order also vests the Chairman with considerable power over the
training of workers. Both the War and Navy Departments were
directed to have their training programs in non-Federal educational
institutions conform with such policies or regulations as the Chairman

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Monthly Labor Review—January 1943

prescribes as necessary to insure the efficient utilization of the Nation’s
educational facilities and personnel for the effective prosecution of
the war.
Procedure
The Chairman was directed to (a) issue such policies, rules, regu­
lations, and general or special orders as he deems necessary to carry
out the provisions of the order; (b) take steps to prevent and relieve
gross inequities or undue hardships arising from the labor provisions
of the order; and (c) establish such procedures (including appeals) as
are necessary to assure a hearing to any person claiming that any
action taken by any local or regional agency of the War Manpower
Commission is unfair or unreasonable as applied to him. The
Chairman was given sweeping power in carrying out his new and
enlarged duties, subject to appeal to the President, “ or to such agent
or agency as the President may designate.”
Management-Labor Policy Committee

The order also directed the Chairman to appoint a managementlabor policy committee to be selected from labor, agriculture, and
industrial management for purposes of consultation. He also is
permitted to appoint advisory committees of governmental or private
groups, or both.
►########
REGULATION OF WAGES, A B SEN TEEISM , AND HOURS
IN AUSTRALIA
WAGES of workers were frozen on February 10, 1942, as a part of
Australia’s “ austerity” program for winning the war, increases being
permitted only to compensate for rises in living costs and to correct
wage anomalies. A report from the United States Minister in Can­
berra states that wage freezing has been accomplished with a minimum
'of disturbance to business.1 The wage regulations have had a wide­
spread effect, and the number of exceptional cases in which adjust­
ments have been permitted has been insufficient to affect materially
the general principle of freezing real wages. No estimate can be made
of the extent to which the regulations have deterred workers from
requesting wage advances. General claims for increases are no
longer brought before the industrial tribunals, and competitive
bidding for labor by employers has been reduced greatly. The
difficulties that have arisen have been caused primarily by infractions
of the defense regulations forbidding absence of either an employer
or an employee from employment, except for good cause. In an
effort to curb absenteeism and raise production, hours have been
limited to a 56-hour weekly maximum.
Regulation of Wages

Authority for pegging wages is’contained in Part V of the National
Security (Economic Organization) Regulations $ (Statutory Rules,
1942, No. 76), as amended from time to time during 1942. The reguBeport of Nelson Trusler Johnson, U. S. Minister to Australia.


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lations are administered by the Department of Labor and National
Service. Under the original regulations, rates of pay (including
directors’ fees) were pegged at the level of February 10, 1942. If,
on that date, the individual was receiving a higher rate of pay than
that specified in the award for the work, he was entitled to continue
to receive the higher rate. Industrial tribunals were forbidden to
alter rates of remuneration unless the matter had been before the
appropriate body prior to February 10, or unless the industrial tri­
bunal was satisfied that the existing rates were anomalous, and
action in the latter case could be taken only with the approval of the
Minister. All cases before a tribunal were to be completed by May 1,
but the date was postponed on two occasions, making the final date
November 1, 1942. Wage changes are permissible in accordance
with provisions for (1) automatic adjustments following a variation
in cost of living; (2) promotion to a higher position; (3) completion of
a probation period; and (4) periodic increments specified in a con­
tract of employment.
In amending the wage-freezing regulations the tendency has been
toward relaxation, but advocates of the plan state it would be in­
accurate to infer that the basic objectives are being abandoned.
The amendments made are not fundamental, and were designed in
most cases to smooth out discrepancies and anomalies as between
different States and kinds of awards. As the regulations now stand,
the important principles originally laid down remain. They are in
clarified and more precisely defined form, and are believed by officials
to have reached reasonably final shape. The terms of some of the
more important amendments are summarized below in chronological
order.
When the original regulations had been effective for 7 weeks,
Statutory Rules, 1942, No. 145 was adopted, setting forth the follow­
ing additional conditions under which rates of remuneration might
be changed:
(a) Where the alteration was made to m aintain the difference between the
award rate and the rate being paid, or customarily paid, by th e employer prior
to February 10, 1942;
(b) Where the alteration was made by an authority of a S tate (not being an
industrial authority as defined) having power to fix the rem uneration of State
employees, if the application for such alteration was 'made before February 10,
or the alteration was for the purpose of an adjustm ent in accordance w ith a
variation in the cost of living;
(c) Where negotiations between the parties to an industrial agreement had,
in the opinion of the Minister, been going on before February 10, 1942;
(d) Where the alteration was made to adjust piece-work rates, where the
output of the employee was altered because of changes in the m aterials or com­
modity on which the employee was working, or other reasons, so th a t the earningpower of the employee would not be reduced below (nor above) his earning power
a t February 10, 1942;
(e) Where the application of an existing award or agreement was extended,
such extension being under consideration before February 10, 1942; and
(f) Where, the Minister being satisfied th a t an anomaly existed, the alteration
was made by an industrial agreement, or by an authority of a S tate having power
to fix the rem uneration of State employees.

The same regulation provided that bonus payments which were
customary prior to February 10, 1942, should be continued.
Under Statutory Rule No. 224, an industrial authority may change
rates of pay where the alteration is for the purpose of effecting an
50 1 1 5 2 — 43-------3


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Monthly Labor Review—January 1943

adjustment in accordance with a variation in the cost of living.
Although certain authorities were in the habit of making cost-of-living
adjustments by direct variation of an award after examining changes
in the cost of living, the original regulations recognized only adjust­
ments which were “ automatic,” and for which provision was made in
the award or agreement.
Powers of State premiers to adjust and amend the basic wage are
covered by Statutory Rule No. 257. The question arose because
the Arbitration Court of Western Australia refused to make the custom­
ary quarterly wage adjustment in conformity with the rise in the
cost of living. When the union applied for a writ of mandamus
to compel the court to adjust the rate, the supreme court upheld
the arbitration court, because the Industrial Arbitration Act left it
to the discretion of the latter court either to adjust the wage or leave
it unaltered. Under Rule No. 257 the premier of a State may now
order an adjustment of the basic wage based on a change in living
costs, if the arbitration court refuses to do so. The premier must be
satisfied that his action is desirable in the interests of the defense of
the Commonwealth or the more effective prosecution of the war.
The Commonwealth Court of Arbitration was empowered to hear
and determine matters relating to overtime rates of pay, Sunday or
holiday rates, or holiday privileges of shift workers whose employment
is regulated by the four major awards governing the metal trades.
(This power was granted under Statutory Rules, 1942, No. 293.)
Continuous shift operation in the metal trades was introduced com­
paratively recently, and the existing award provisions on the matters
mentioned were tentative and subject to alteration in the light of
experience. By amending the regulations, the Court was given a
freer hand in these rather minor but somewhat troublesome matters
that could be dealt with on their merits. The same regulation for­
malized the procedure to be followed in granting the Minister’s con­
sent to awards or determinations made to remove “anomalies” ; and
deals with applications made before the effective date of the wage­
freezing order (February 10), for establishing an industrial authority,
such as a wages board.
Statutory Rule No. 332 extended to November 1 the time for the
courts to dispose of pending wage claims. It also provided for
review, under certain conditions, of the rates of remuneration pre­
scribed under industrial agreements. Before a review may be made,
the Commonwealth Court of Conciliation and Arbitration must
certify that the wage rates were fixed under an agreement in effect
on February 10, 1942, and that owing to a change of circumstances
before that date, a review is desirable. After the certificate is
given, the rates may be varied by an award, order, or determination,
made by an industrial authority, or by an industrial agreement ap­
proved by an industrial authority. This amendment insured that
parties refraining from making wage claims before February 10,
because of the existence of industrial agreements, would not be placed
at a disadvantage as compared with parties to industrial awards,
who were able to take their claims to an industrial authority imme­
diately when grounds for a claim became apparent.
Powers of State premiers were extended under Rule No. 344, when
it became apparent that Rule No. 257 gave them power only to
change pay rates in order to compensate for increases in the cost of

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Wartime Policies

31

living in the period immediately preceding the adoption of Rule No.
257. They may now make adjustments to cover all changes on
which the Arbitration Court has failed to act. Rule No. 344 also
removed a conflict between the regulations under review and the
National Security (Industrial Peace) Regulations, through which the
wage-pegging provisions might have nullified the Court’s power to
declare that certain rates of pay shall be a common rule in a particular
branch of industry.
Causes and Cure of Absenteeism

Regulation No. 19, dealing with absenteeism, forbids the absence
of any person (including an employer) from his employment except
for (1) illness or incapacity; (2) leave of absence to which the indi­
vidual is entitled; (3) domestic or other pressing emergency; and (4)
any reason considered by the Minister to be satisfactory. The
regulation was amended (Statutory Rules, 1942, No. 81) to provide
that the Minister’s permission should be given in advance and in
writing. Attendance to union business was made a permissible
reason for absence from work under Statutory Rules, 1942, No. 145.
An increase in absences is reported by both employers and union
officials. Certain groups in Australia maintain that high absenteeism
is a result of the high wage level. Trade-union leaders attribute
the rise to the curtailment of leisure for workers, owing to the length­
ened workweek.
The Commonwealth Government is endeavoring to reduce absen­
teeism, and thus raise output, by restricting working hours. Regula­
tions were issued on October 19, 1942, stipulating that after November
30, no male person over 18 years of age'should work more than 56
hours a week, exclusive of unpaid meal periods. For males under
18 years of age the limitation is 48 hours. In an emergency, employees
may be required to work more than the prescribed hours for 3 weeks
in any 3 months. Exemptions for longer periods are subject to the
approval of the Director-General of Munitions or of Aircraft Pro­
duction.
Consideration was given to reducing the maximum weekly hours of
work for women to 52 hours, but the Government decided against
the lower limit. According to a statement of the Minister of Labor
this was impracticable, as the work of many men in factories depends
upon maintenance of the flow of goods produced by women. In
cases where such interdependence does not exist it is expected that
the general limit on hours of women can be maintained at 52 hours
a week.
.
The Government is said to be reluctant to impose penalties under
the National Security Act for violation of the regulations governing
absenteeism. Union leaders are being urged to use their powers to
discipline offenders. Drastic penalties have been gazetted for other
infractions of wartime regulations, however, and there is the possi­
bility that unless the unions and employers can solve the absentee
problem the Government will take appropriate action.


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Monthly Labor Review—January 1943

SU BSIDIZED CONTROL OF LIV IN G COSTS IN CANADA
AND GREAT B R IT A IN
BOTH Canada and Great Britain have adopted the policy of subsi­
dizing the cost of certain articles in general use to prevent higher
retail prices. Those Governments find it more economical to pay
the subsidy than to allow the cost of living, as shown in the official
index number, to move upward, as rises in the index make for hard­
ship among the working people and contribute toward inflation.1
Under certain collective agreements in Great Britain, provision is
made for wage adjustments in accordance with advances in the costof-living index. Even in industries where wage adjustments are not
subject to the rise in the index, it is inevitable that demands for
increases in pay will occur when employees find that changes in
their earnings lag behind those in living costs.
The official index of cost of living in Great Britain is based on the
level of July 1914 as 100. At the outset of the war the index was
155. In 1942, it ranged between narrow limits of from 199 to 201.
A statement made by the Minister of Labor and National Service
to the House of Commons on October 15 stressed the importance of
subsidies. It was then estimated that if the Ministry of Food were
not subsidizing foods included in the cost-of-living index, the index
would be raised by about 20 points, or 10 percent over the existing
level. He added that it would be impossible to estimate the effect
on the cost of living if all the other measures taken by the Government
to stabilize prices were discontinued.
In Canada, a decision to subsidize coffee, tea, oranges, milk, and
beef, and thus reduce cost of living, was announced by the Ministry
of Finance, on December 3, 1942. This was consistent with the
announced preference for subsidy payments as being less costly than
the alternative of rising prices. The decision followed the announce­
ment of an 0.8 percent rise in the official index of living costs in Octo­
ber, and it is anticipated that the index will be reduced as a result of
the subsidy. Since the outbreak of war, the Canadian cost of living
as reflected in its index has increased 17.7 percent. The index (based
on 1935-39 = 100) was 117.8 on October 1, 1942, and 118.6 on
November 2. A rise in the food index from 129.8 for October to 132.4
for November accounted for the entire increase in the cost-of-living
index.
Government payments of approximately $40,000,000 a year will
be required to absorb the higher prices of the commodities affected.
However, the cost was considered preferable to further increases in
the cost-of-living bonus, which under the wartime system must be
increased for each quarterly rise of 1 point in the official index of cost
of living.
1
Great Britain, Parliament, House of Commons, Debates, October 15, 1942 (col. 1778); and Ministry of
Labor Gazette, October 1942. Canada, Department of Labor, Labor Gazette, October 1942; Montreal Ga­
zette, December 3, 1942; report from the United States Legation, Ottawa, Canada.


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Wartime Policies
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COMPULSORY LABOR SERV ICE IN FRA N CE
A LAW promulgated in Vichy, France,1on September 4,1942, provided
that all male citizens residing in France between the ages of 18 and
50 years, and all unmarried women between the ages of 21 and 35,
who are shown by a medical examination to be physically fit, may be
required to carry out any work judged by the Government to be in
the higher interests of the nation. All heads of enterprises are re­
quired to conform to instructions received by them from the competent
Secretaries of State regarding the constitution of crews of workmen.
In order to insure the stability of the personnel, no workmen may be
dismissed or labor contracts canceled in industrial and commercial
enterprises without the authorization of the labor-inspection service,
and no one may be hired without such authorization. These measures
were to be put into effect by orders of the competent ministries, for a
whole territory, for a region, or for a determined locality, in the
branches of industry and commerce or the professions to which they
apply. Orders by these authorities will govern the conditions of
labor of the personnel and the obligations of the heads of enterprises.
Labor inspectors and officers of the police courts will be in charge of
the enforcement of the provisions regarding the hiring and discharge
of workers.
Every able-bodied Frenchman between the ages of 18 and 50 must
be able to justify his employment as useful to the interests of the
country; if he cannot do so he will be required to take work desig­
nated by the services of the Secretariat of State for Labor. In order
to direct workers toward the occupations which lack workers, a
technical and occupational organization must be established by
employers, under terms specified by an official order. Any person
who infringes the law or the measures taken to put it in effect will be
subject to fine and imprisonment. Foreigners residing in France
may be subject to similar measures to be prescribed by the Secretaries
of State for Foreign Affairs and for Labor.
#**##*<

EX T E N SIO N

OF M ANPOW ER CONTROLS IN
ZEALAND 2

NEW

FURTHER restrictions were placed on New Zealand labor under a
series of orders issued by the Minister of Industrial Manpower in
November 1942. The recent orders modify and strengthen those
adopted earlier in the year following the entry of Japan into the war.3
In connection with the new measures, the Minister of Industrial Man­
power announced that almost 500,000 persons had come into direct
contact with the wartime manpower administration through regis­
trations and the control established over the employment of labor and
essential industries. The coverage is amazingly high, as the total
population of the country is slightly over 1,500,000 persons.
1 Vichy, Journal Officiel, September 13, 1942.
2 Data are from reports of Basil D. Dahl, United

States commercial attaché, at Wellington.
* See Monthly Labor Review, issue of April 1942 (pp. 895-904).


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Monthly Labor Review—January 1943

Restrictions on Employment

The Employment Restriction Order No. 2 was issued on November
6, 1942, by the New Zealand Minister of Industrial Manpower (Mr.
McLagan) in pursuance of the powers vested in him by Regulation 28
of the Industrial Manpower Emergency Regulations 1942. It re­
vokes Employment Restriction Order No. 1, dated May 14, 1942, and
under the new regulations the need to secure the consent of a manpower
officer before engaging labor is “ greatly extended.”
The Minister stated:
The new restriction order applies to the same localities 3 as the former order,
b u t it applies to all employers operating in those localities. Every employe! in
any of the localities specified m ust now secure the consent of the district manpower
officer before engaging any labor unless th a t labor is to be employed on work in
an undertaking declared to be essential, on farming operations or m arket garden­
ing, on ships or on the w aterfront for the loading or unloading of ships, or unless
the worker is to be employed as a midwife, m aternity nurse, or a professional
nurse for the sick. Consent m ust be obtained in all other cases unless the worker
is employed only for a period not exceeding 3 consecutive days. I t is an offense
under the regulations for any employer to whom the order applies to engage or
attem p t to engage labor other than for these purposes w ithout first obtaining the
consent of the district manpower officer. I t is, for example, an offense now to
engage a domestic servant w ithout permission.

When an employer applies for permission to engage a worker, it
was explained, opportunity will be taken to weigh the employer’s
claims to the worker against the Dominion’s needs for the service of
that person elsewhere. Each application will be decided on its merits.
It is not intended to prevent employers from ascertaining by the
usual methods whether labor is available, provided they do not hire
the employee before receiving the consent of the district manpower
officer.
A further statement by the Minister of Industrial Manpower clari­
fied the regulations, citing the main obligations placed on employers
and workers in essential industries and enterprises.
Any worker wishing to leave his employment, or employer wishing
to dismiss a worker, must first obtain the written permission of a
district manpower officer. In cases of serious misconduct, an em­
ployer may suspend (but not dismiss) a worker, and must report the
suspension within 24 hours to the district manpower officer. If the
manpower officer considers the suspension unjustified, he may require
the worker’s reinstatement, and, if necessary, compensation for time
lost.
Every decision or direction made by a district manpower officer
must be communicated in writing to both the worker and the em­
ployer affected, and is subject to appeal to a manpower appeal com­
mittee to be lodged with the district manpower officer within 7 days
If an appeal is decided in favor of the worker, the committee may re­
quire that he be paid for part or all of any lost time incurred. At the
3
These include the borough of Ashburton; the city of Auckland, the boroughs of Birkenhead, Devonport,
Ellerslie, Mount Albert, M ount Eden, New Lynn, Newmarket, Northcote, Onehunga, One Tree Hill,
Otahuhu, and Takapuna, and the road districts of Mount Roskill, Mount Wellington, and Panmure Town­
ship; the borough of Carterton; the city of Christchurch, the boroughs of Lyttelton, Riccarton, and Sumner,
and the counties of Halswell, Heathcote, Paparua, and Waimairi; the city of Dunedin, and the boroughs of
Green Island, Port Chalmers, St. Kilda, and West Harbour; the boroughs of Gisborne, Breymouth, Hamil­
ton, and Hastings; the city of Invercargill; the boroughs of Kaiapoi, Masterton, Milton, Mosgiel, and Napier;
the city of Nelson; the boroughs of New Plymouth, Oamaru, and Paeroa; the city of Palmerston North;
the boroughs of Rotorua, Stratford, and Timaru; the city of Wanganui; the cities of Wellington and Lower
H utt, the boroughs of Eastbourne and Petone, and the Johnsonville Town District; the boroughs of Westport and Whangarei.


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hearing of an appeal, any employer or worker may be represented, by
an officer of the association or industrial union to which he belongs,
or by a solicitor.
A worker may be transferred to other work if his usual work is
abolished or is temporarily not available, or if more urgent work has
to be done. An employee temporarily transferred must be paid either
the time rate appropriate to his usual work or the rate for the work
performed, whichever is higher. If the person transferred is to work
at a lower rate or for mere than 1 month, the district manpower
officer’s consent in writing must be obtained, and the worker may
appeal.
Except where a strike interferes, workers in essential enterprises
are entitled to a minimum weekly wage, provided the worker continues
to be capable of anda vailable for work and willing to perform other
work if his usual work is not available.
Part-time workers and certain other workers in essential undertak­
ings are exempted from the provisions of the regulations.
Every employer in an essential undertaking must, within 14 days,
notify the district manpower officer of every engagement of a worker
for more than 7 days, stating the name and address of the worker, the
date on which employed, and the occupation or capacity in which he
has been engaged.
Unexcused absence for more than 4 hours during ordinary working
hours, or persistent shorter absences such as tardiness or early leaving,
must be reported at once by the employer to the district manpower
officer, who may order a deduction from wages of up to 2 days’ pay
for such absences.
Any person or company may be directed to perform such services as
the Minister may require. Workers may be required to register for
work of national importance, and when registered, may be directed
to such work by a district manpower officer. An employer may be
directed to give employment and any necessary training to any per­
son directed under any of these regulations. All directions are sub­
ject to appeal. The provisions of the Occupational Reestablishment
Regulations apply to all workers directed from their existing em­
ployment.
The new regulations impose three important obligations on all em­
ployers. It is an offense for any employer to engage a worker who
has left an essential undertaking without consent in writing of a dis­
trict manpower officer. No employer may employ or continue to
employ any worker if he has been directed elsewhere by the Minister
or a district manpower officer. Employers must see that all employees
eligible to register under the regulations have duly registered. The
employer must report any cases of default to the district manpower
officer. Failure to do so is an offense. All persons registering receive
an acknowledgment signed by the district manpower officer.
Any person claiming exemption from his obligations on medical
grounds may be required to submit to a medical examination by a doc­
tor nominated by the Minister or the Controller of Manpower.
Manpower officers are empowered to enter premises, interview
persons, and inspect books with a view to insuring the enforcement
of the regulations.
Every person who is engaged in an essential industry or who is sub­
ject to a direction is deemed to be a member of any industrial union

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36

Monthly Labor Review—January 1943

normally concf rned with his occupation. A manpower officer may,
under certain nrcumstances, require the deduction of union fees from
wages.
It is an offense for an employer or any fellow worker to deter a
worker from lodging an appeal, or to induce him to terminate his
employment. It ;s likewise an offense for any worker to induce his
employer to dismiss him or to fail to work with due diligence and care.
Very substantial penalties are provided for all breaches of the new
regulations.
Restrictions on Wages

Restrictions on the payment of minimum weekly wages to employ­
ees of essential enterprises were modified by the terms of the Minimum
Weekly Wage (Essential Undertakings) Order 1942 (No. 2), issued
on November 11, 1942, pursuant to Regulation 13 of the Industrial
Manpower Emergency Regulations 1942. Earlier regulations cover­
ing minimum pay were amended, as this was found necessary in order
to give full effect to the recommendations of a special committee of
the Industrial Emergency Council. The amended order applies to
all essential enterprises except those subject to the Defense Works
Labor Legislation Suspension Order.
Minimum weekly wages, exclusive of bonus, overtime, or other
special payments remain as the equivalent of the worker’s ordinary
weekly earnings but may not exceed £5 10s. for an adult male;
£2 17s. 6d. for an adult female; and £1 15s. for a junior worker.
However, the new order specifies that in any week during which a
worker is entitled to receive a higher weekly minimum wage than is
fixed by the order, the higher wage shall be paid to him for that week.
The prescribed method of calculating the weekly working hours
and wages is as follows:
(a) The ordinary weekly earnings of any worker shall be deemed to be an
ai^ou n t calGiilated for the worker’s weekly hours a t the ordinary-tim e rate*
(b) Where no ordinary-time rate is fixed under the term s of the worker’s
employment, the ordinary weekly earnings of the worker shall be deemed to be
an am ount calculated for the worker’s weekly hours a t the ordinary-tim e rate for
the same class of work fixed by the award or agreement in force in the district
nearest to the locality where the worker is employed, or, where there is no such
award or agreement in force in New Zealand, a t such ordinary-tim e rate as may be
determined m any case by the Minister of Labor;
(c) 4 he weekly hours of any worker shall be deemed to be the weekly num ber
of hours prescribed under the term s of the worker’s employment;
(d) Any am ounts actually earned by any worker on any day in excess of the
appropriate daily proportion of his or her ordinary weekly earnings shall be
deemed to be overtime or bonus or other special paym ents.

Conditions under which a worker is entitled to the minimum weekly
wage, described above, have been extended. He must now have
reported for work at the usual place and time or have taken such other
steps to ascertain if his services were required. He must have
performed the work with due diligence, proper skill and care, and
must have complied with all the terms and conditions of employment.
Luring the immediately preceding 6 weeks the worker must not have
been absent on more than 1 working day for any reason other than
sickness, accident, or other causes beyond his control, or on leave of
absence, or for more than 3 working days if the hours worked by him
during that period exceeded the weekly number of hours for such
6 weeks by 20 percent or more.

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Wartime Policies

37

Where it is customary to close down at Christmas, New Year, or
Easter, no day in that close-down period is to be regarded as a working
day unless the Controller of Manpower directs that work is to be done.
If the controller requires operation during the close-down period and
the worker absents himself, he cannot claim the minimum weekly
wage for that period. However, such absence would not, of itself,
prejudice any claim under the order for the minimum weekly wage
during the following 6 weeks.
Employment Situation

Statistics of employment issued by the New Zealand Department
of Labor for the year ended March 31, 1942, indicate some of the shifts
from peacetime to wartime employments. Factory employment rose
to 118,180 during the year, from 116,607 in the year ended March 31,
1941. Over the same period the number of employees in stores fell
to 52,026 from 53,461. The number of men in employment
declined to 80,469 from 82,316 in factories, and to 24,451 from 26,718
in stores, owing to the continued mobilization of men of military age.
The rises in number of women employed were to 37,111 from 34,291
in factories, and to 27,575 from 26,743 in stores.
Growing apprehension has been expressed over the shortage of farm
labor. However, the Government has assured farmers that they will
be able to secure help to carry on seasonal work. Shearers are to be
released from the Army temporarily for the sheep-shearing season.
This will be arranged, without the necessity of applying to the appeal
boards, for a maximum period of 3 months.
By September, 7,000 workers, of whom 6,000 were men, had been
drafted from nonessential to essential work. In addition to the
workers added to pay rolls on war work by voluntary and compulsory
measures, production is being bolstered by overtime employment.
Overtime hours in 1941 totaled 1,413,175 as compared with 1,241,807
in 1940. Regular overtime of 10 to 30 hours weekly was worked in
1941 in the engineering and munitions industries, 10 to 12 hours in
canister making, 6 to 15 hours in woolen milling, 6 to 14 hours in
lumber and box making, 4 to 10 hours in soap production, 3 to 16
hours in the clothing industry, and 2 to 7 hours in canvas manufacture.


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Employment and Labor Conditions

A D JU STM EN T OF LABOR STANDARDS TO WAR
N EED S IN N EW YORK
THE demand for maximum possible production in war industries,
following the entry of the United States into the war, led to requests
by many employers in war industries for relaxation of certain labor
standards to enable them to meet such demand. In the State of
New York provisional measures to make possible the maximum use
of plant personnel were put into effect almost immediately after the
entry of the United States into the war. In January 1942 legislation
was approved by which dispensations from the labor law could be
obtained when shown to be necessary. This legislation, which applied
retroactively, established carefully prescribed standards and limits to
the powers granted.
An analysis of the dispensations granted during the first 6 months
(December 1941 through May 1942), when New York industries had
to make rapid adjustments to the war, has been made by the Division
of Women in Industry and Minimum Wage of the New York State
Department of Labor (in the Industrial Bulletin for October 1942).
It indicates the extent of departure from normal labor standards and
the present trend of requests for dispensations.
In the initial emergency period employers who were unable to secure
additional skilled employees or equipment requested permission to
employ their workers 7 days a week. However, by June and July
1942, it became apparent that employers had been able to make
adjustments and were not asking for this kind of dispensation. They
had come to realize that this war will probably be long and were there­
fore conserving their manpower and womanpower through the use of
reasonable hours and multiple shifts.
Up to the end of May 1942, three-fourths of the dispensations from
the day-of-rest law allowed the employer to put his workers on a
7-day continuous schedule if such a schedule would facilitate maximum
production in the plant. During June and July, however, 86 percent
of such dispensations limited the 7-day-week schedule to a specified
number of times during the dispensation period, in order to meet
emergencies or to speed up production in bottleneck processes. This
procedure insured, ordinarily, a weekly day of rest and relaxation for
the worker (necessary for maximum production over a long period)
but allowed leeway for emergencies, repairs, or break-downs. The
Division regarded it as sufficient for the present needs of war industries.
Up to the end of the 6-month period, 47 percent of the dispensations
relating to the working hours of women permitted longer hours on the
day shift. During June and July, however, only 34 percent of the
dispensations were for these purposes, whereas 66 percent provided
38

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39

Employment and Labor Conditions

2- or 3-shift work schedules for women. This latter arrangement
provided for greater use of available equipment, and protected the
individual workers from fatigue resulting from long working hours.
Dispensations Requested and Granted

During the period, December 8, 1941, to July 31, 1942, requests for
relief from peacetime requirements of the labor law were made by
1,770 plants. Only 16 percent of such applications were refused,
although some requests were modified, especially when the need was
found to be exaggerated. As the War Emergency Act provides that
in cases of emergency provisional dispensations for not longer than 1
month may be granted, almost immediate service may be given. In
86 percent of the cases, the employer received a provisional grant
within a week after his request was mailed to the State labor depart­
ment; in 53 percent, final disposition of employers’ requests was made
in less than 2 weeks, and in only 13 percent of the cases was more than
1 month required and then frequently ¡because of ¡¡insufficient infor­
mation supplied by the employer.’
During the period December 1941 through May 1942, dispensations
were granted to 1,262 plants, involving a total of 380,781 employees,
of whom 71,642, or about 19 percent, were women. The numbers of
plants and of employees involved in the different types of dispensations
are shown in table 1:
T a b l e 1.—Plants With Dispensations, and Employees Affected, by Type of Dispensation,

December 1941-M ay 1942
Employees
Type of dispensation

Plants
Total

Men

Women

All types.------- ---------------------------------------------------

1,262

380,781

309,139

71,642

Relating to conditions of work-------------------------------1 day of rest in 7---------------------------------- ------- —
Hours of women in factories.
.................. . . .
Other types of dispensations............. — -------------Relating to fingerprinting only------------ ------ ------------

i 946
661
458
247
316

298,973
242,491
54, 272
42,379
81,808

240,030
230,141

58,943
12,350
54,272
19,800
12, 699

22, 579
69,109

i 200 of these plants also received dispensations to fingerprint employees as a condition of employment.
The total is less than the sum of the parts, since some plants received more than one type of dispensation.

In the 316 plants which were granted no other dispensation than to
fingerprint employees, this was desired because of the Army and Navy
policy regarding the safeguarding of war plants.
All the orders permitting a 7-day week provided that no employee
should be required to work such a week unless he was willing to do so.
Unlimited dispensations were granted to 502 plants (with 191,479
workers); limited dispensations were granted to 181 plants (with
60,555 workers), being generally restricted to six times in 6 months.
Some plants received both types of dispensations during the 6-month
period.


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40

Monthly Labor Review—January 1943

Hours of Work of Factory Women

Dispensations from the provisions of the labor law relating to hours
of work of women in factories were granted to 458 plants. The
relaxations permitted the employment of women for longer daily
hours, for more than 48 hours a week, on night shifts beyond 10 p. m.,
or for various combinations of these modifications. The number of
plants and of employees affected, by region of State, is shown in
table 2:
T able 2.—Plants With Dispensations Relating to Hours of Work of Women, and Women
Employed and Affected, December 1941-M ay 1942
Item
Plants_______ . . . __ _
Number of women—
Employed in sh o p __ . . .
On war work. ______
To be hired as a result of dispensation grant
Covered by dispensation i . . . __
1

New York
State

Metropolitan
area

Up-State
area

458

242

216

78,645
60, 258
16,061
54,272

24,642
20,438
4,239
18,882

54,003
38,820
11,822
35, 390

Includes anticipated hirings.

Large groups of the women affected by these dispensations were in
industries m which women were customarily employed; there were
J2>5n3- m the electrical-machinery industry, 5,125 in textile mills, and
3,649 id apparel plants. Almost 10,000 of the women, however, were
m plants producing iron and steel products and some of these were in
plants and on jobs which were new to women.
Longer hours.-—The permitted weekly hours under the dispensations
langed from a schedule of 49 to 50 hours for 3,094 women in 22 plants
to 60 hours for approximately 3,000 women, most of whom were in the
up-btate area. Other schedules permitted were 52 to 53 hours for
4,900 women in 23 plants, 54 hours for 19,487 women in 226 plants,
and 55 to 56 hours for 10,583 women in 27 plants.
Work at night.—Permission was granted 250 plants to employ nearly
25,000 women at night beyond the statutory limits of 9 p. m. for
women under 21 years, and 10 p. m. for women 21 years and over.
Un a °?Lthe t ^ ee Plants.which employed women at night on one shift
used this shirt for training new workers during hours when worlc
was slack About 40 percent of the women who were at some time on
e night shift had scheduled hours ending on or before midnight,
proxmiately 7,000 women employed on the third shift in plants
which operated on a 3-shift schedule for women ended work at 5 a. m.
or later, the usual time being between 7 and 8 a. m.
Multiple-shift operation for women.—The largest group of women
anected by dispensations granted for employment of women on a shift
basis numbered approximately 27,500 in 113 plants which were given
permission for 3-shift operation for women. They were scheduled to
work longer hours on the day shift or to work on the second or third
shift at night.
Altogether^ 151 plants and 13,727 women were covered by dispensations permitting employment of women on a 2-shift basis. Some of
ese plants had employed women on a longer workweek than 48 hours
w en on a 1-shift basis. The most usual schedule for women on a

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41

Employment and Labor Conditions

2-shift basis was a 48-hour workweek on both shifts or a 54-hour week
on the first shift and a 48-hour week on the second shift. In 27 plants,
however, 1,212 women had a scheduled workweek of 54 hours on the
second shift at some time during the period.
The type of shift operations was changed by 44 plants during the
6-month period. These shift changes made possible better utilization
of the available equipment and the employment of about 6,700 addi­
tional women. Four plants reduced the number of shifts for women
either because supervisory help was not obtainable or because addi­
tional equipment for the operation involved could be obtained for
additional workers on fewer shifts. One plant changed from 2 shifts
to 1 shift, because its woman workers objected to working until 1 a. m.
on account of the inaccessibility of the plant. Data are given in
table 3 on the number of plants which changed the type of shift opera­
tion, the number of women on war work, and the anticipated increase
in employment after the shift change:
T able 3.—Plants Changing Shifts, Women on Wor Work, and Anticipated Increase in
Their Employment, December 1941-M ay 1942

Change in type of shift operation

T otal.-- ______________ _____________ ________
1 -shift

to 2 -shift operation
_ _ .
2-shift to 3-shift operation.. _____ . . . __________ ..
1-shift to 3-shift operation _ _ __ ______________ __ 3-shift to 2-shift operation
. __
2 -shift to 1 -shift operation... .
1 -shift to 2 -shift to 1 -shift operation___________
___

Women
employed
on war
work

Plants

Anticipated
increase in
employment
after change
in type of
shift
operation

144

12,047

6,667

19
16

2, 507
6 , 368
2,293
69
275
535

264
2,188
3,750

2
1
2
1

465

i Not the sum of the items but as given in the report.

Women under 21.—In order to permit women under 21 years to
work after 9 p. m. or before 6 a. m., so that they could be used on the
same schedules as other woman workers or could work on night shifts
or as messengers, 362 plants were granted dispensations involving
11,550 women under 21 years. Approximately 6,000 women under 21
were permitted to work longer than 48 hours a week on a day shift
during the 6-month period and about 1,900 were allowed to work on a
night shift.
Training of Workers
The training of new workers or the upgrading of old employees to
increase an employer’s available supply of workers was a factor consid­
ered in the granting of dispensations. As many employers reported only
for the workers covered by the dispensation, data as to the extent of
training were incomplete; however, 252 plants reported that 9,714
workers were being trained in their plants. Women were being
trained as assemblers, sewing-machine operators, mica splitters, print­
ing and bindery workers, and as operators of machines, such as drill
presses, milling machines, power presses, etc.


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42

Monthly Labor Review—January 1943

Replacement of Men by Women

Only 164 of the 1,434 plants requesting dispensations reported that
women were doing work formerly performed by men. The largest
groups of plants reporting such replacements were in the iron and steel
industry, electrical-machinery manufacture, and the production of
scientific instruments. The average beginning wage rate for women
replacing men was 46 cents, as compared with 50.3 cents which men
received in the same jobs.
Dispensations in Effect, M ay 31, 1942

On May 31, 1942, dispensations to 888 plants, exempting 224,588
men and 45,291 women from various provisions of the labor law, were
still in effect. In addition, 98 plants had provisional dispensations
in effect pending disposition of their requests for new dispensations or
for renewal of dispensations previously granted.
N » # #W #

R E C R U IT IN G

OF

ITA LIA N M ETA LW O RK ERS
GERM ANY, 1941 1

FOR

IN ACCORDANCE with agreements signed early in February 1941
between the German and Italian Governments, relating to the trans­
fer to Germany of a contingent of Italian metalworkers, special com­
mittees were formed in each of the Italian Provinces. These commit­
tees were to study the situation of each enterprise and to present to
the Provincial corporative inspectorate recommendations concerning
adjustments which should be made in the organization of labor and
especially in working hours so that workers might be available to
work in Germany.
At the beginning of May 1941, the number of workers available for
transfer to Germany was below the number needed. Therefore the
committees were urged to continue their activities, and supplementary
instructions were issued as follows: The committees were directed to
devote their attention to enterprises working fewer than 60 hours per
week, and in particular to those which, for various reasons, had not
indicated the number of workers they could spare. Enterprises
rendering services of an auxiliary character were to be required to
furnish a larger contingent. For calculating recruiting possibilities,
the special conditions in each enterprise were to be taken into con­
sideration, also the demands already made upon it, and the technical
possibility of extending the working hours.
In case the workers chosen to work in Germany proved to be
incapable of the work required of them or if, for any reason, they could
not be transferred to Germany, the enterprise to which they belonged
was to be required to furnish an equal number of other workers of the
same category.
* D ata are from Derecho del Trabajo (Buenos Aires), March 1942.


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Employment and Labor Conditions

43

CONTRACT C O ND ITIO N S OF FO R EIG N W ORKERS IN
GERM ANY
Rumanian Workers 1

UNDER an agreement reached between German and Rumanian
authorities as a result of negotiations conducted in Berlin in December
1941, 16,400 nonagricultural Rumanian workers were to be employed
in Germany during 1942. Most of these were to be young men 18
and 19 years of age, who were to be placed more especially in metal­
working establishments. In addition to the young workers, it was
proposed to recruit 5,000 adults, preferably semiskilled workers, for
industry, and 1,000 women of 18 to 30 years for domestic employment.
A recruiting office was opened in Bucharest by a representative of
the German Ministry of Labor. The first selection of candidates was
to be made by the Rumanian Chambers of Labor, and the final selec­
tion, from the vocational standpoint, by the German officials. These
officials were to explain the conditions of employment to the prospec­
tive workers and enter into an individual contract with each, one copy
of the contract to be given to the worker.
Rumanian workers employed in Germany were normally to receive
the same treatment as German workers, with regard to conditions of
employment, labor protection, and the legal protection of their rights.
The German Labor Front was to have;the'responsibility of looking
after their interests. Rumanian representatives were to cooperate
with the German authorities in making sure that the Rumanian
workers fulfilled their obligations.
The Rumanian authorities had stressed the importance of enabling
young workers to obtain technical training, and later, employment as
skilled workers. The workers were to be gathered in groups of 25
under the leadership of skilled Rumanian workers. Accommodations
were to be found for all of them in private homes, not in camps.
Workers were not to be sent to Germany unless they had the necessary
working clothes and good boots, and it was required that they should
be medically examined before tlieir departure for Germany.
Spanish Workers 2

Spanish workers wishing to work in Germany are expected to sign
a contract for 2 years, and for their work are to receive from 4.80 to
7.20 German marks per day, according to instructions and information
issued in Spain in 1941. Such workers are to appear in person before
the employment locals of the National Syndical Office (Central Nacional
Sindicalista) to present their application, and are required to meet
certain specified conditions; in return they are promised, in addition
to their pay, certain specified living conditions. Only males of Spanish
nationality, 16 years of age or over, are accepted.
The original agreement concerning this transfer of workers was
signed in Berlin on May 8, 1941; the final agreement, in Madrid on
August 21, 1941. By a decree of September 3, 1941, the Spanish
Government established in the Ministry of Foreign Affairs a perma­
nent interministerial commission to handle the transfer of Spanish
workers to Germany.
i D a ta are from International Labor Office, International Labor R eview (M ontreal), Septem ber 1942.
«D a ta are from Spanish M in istry of Labor, R ev ista d e Trabajo, Ju ly -A u g u st and October 1941.


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44

Monthly Labor Review—January 1943
C O N D IT IO N S

O F H IR IN G

The worker is required to present photographs of himself and certain
documents relating to his military service, occupation, etc.; written
permission from parent or guardian is required from any worker under
23 years of age; and every worker must agree to “submit to the syndical
discipline” from the time of his hiring and to send to his family at least
half of the amount left from his pay after paying his living expenses.
He must also provide himself with at least the following “minimum
outfit” : 2 sets of underwear, 3 shirts, 4 handkerchiefs, 4 pairs of socks,
2 towels, a suit in good condition, a pair of trousers, a mesh jersey, a
pair of leather boots in good condition, a pair of overalls, a cap, a
muffler, a heavy overcoat in good condition, comb, clothes brush,
razors, soap, etc. For the German climate it is recommended that
clothing, both inner and outer, be in good condition and of adequate
protection. Persons lacking any of the items indicated, in satisfactory
color, quality, and workmanship, are to be supplied with these before
leaving Spain, and the cost shall be charged against funds to be sent
from Germany for their relatives.
C O N T R A C T P R O V IS IO N S

Each worker is to be informed of the conditions in the particular
region to which he is to go. The workers shall sign individual agree­
ments with the representatives of the different German enterprises,
the entire contents of which must be imparted to them before signing,
and in which are specified the standards of pay, working conditions,
housing, food, etc.
Transportation to Germany and food during the journey are to be
supplied free.
Duration of contract.—The agreement for industrial employees shall
be for 2 years; contracts are to be signed with specified companies for
1 year, which may be renewed for the same length of time; or with the
worker’s consent he may be transferred to another similar enterprise,
provided the conditions are equal or better.
Rates of pay and savings—The official report states that workers’ pay
varies according to locality and the kind of work performed but aver­
ages between 0.60 and 0.90 mark per hour which, for an 8-hour day,
will amount to between 4.80 and 7.20 marks. To this pay there is to
be added 1 to 2 marks per day as compensation for separation from the
family. Costs of food and lodging, calculated beforehand according
to the form in which they are incurred, vary from 10 to 14 marks per
week, leaving “nearly always a little over 20 marks per week, an
amount more than sufficient for each worker to meet his extra expenses
in Germany and to send to his family in Spain amounts which can vary
from 60 to 100 marks per month, which, at the rate of exchange which
the National Monetary Institute automatically grants, assures the
economic independence of the family.” The workers are to be given
forms for making this transfer which shall assure the rapidity and safety
of the transaction.
Hours of work.—Working hours are not definitely stated, but the
daily rates noted above are calculated on the basis of an 8-hour day.
Vacations.—The Spanish workers are to have an annual vacation
of not less than 21 days, spent in Spain, and computed from the time

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Employment and Labor Conditions

45

they reach Spanish territory. The vacation pay is to be paid in
the “form which the German legislation establishes.”
Living conditions.—In the camps for single men of the German
Labor Front, lodging shall be furnished to large groups. The arrange­
ments shall be especially designed for these Spanish workers and shall
include all kinds of sanitary services, equipment for sports, workers’
gardens, etc. Food shall be wholesome and abundant (the workers’
ration being higher than that for the civil population) and as far as
possible shall be prepared by Spanish cooks.
Social advantages.—The Spanish workers shall automatically be
admitted to all the benefits of the German Labor Front, as well as
to the organization, “Strength Through Joy.” Membership in the
two organizations gives them (1) the protection of all the social
insurance in effect in Germany, including benefits for sickness,
periodical medical examinations and treatments, and full accident
insurance, including accidents resulting from the war, and beginning
from the moment of crossing the Spanish-French frontier; and (2)
access to sporting events, excursions, art exhibitions, visits to libraries,
museums, and typical places of the region, theatrical performances,
special radio broadcasts, etc.
Other provisions.—If the economic condition of the workers who
wish to go to Germany does not permit them to dispose of their
belongings in due form, they shall be given credits for them, to be
discounted at a rate not exceeding 10 percent of the funds transferred
to Spain. The assistance of Spain for these workers shall be assured
by the presence in Germany of a Spanish delegation attached to
the Embassy to see to compliance with the agreement and the work­
ing conditions in the contracts of the Spanish workers, making sure
also that they do not lack religious assistance, and endeavoring con­
stantly, through provision of the necessary services, to maintain the
ties binding them to their compatriots in Spain.

43- 737S
501 1 5 2- 43-

■4


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Post-war Labor and Social Policies

PO LIC IES FOR POST-WAR R EC O N STRU CTIO N IN
GREAT B R IT A IN
TWO significant documents bearing on the post-war compensation
for, control of, and utilization of land have been presented to the
British Parliament and issued as command papers.1 The first of the
reports, dealing with the future use of land (Cmd. 6378), is the work
of the Scott Committee; and the second, preparing the basis for
legislation designed to remove the obstacles in the way of orderly
reconstruction and development by the Government and private
enterprise, and to transfer the unearned increment of land values
from individual landowners to thé community (Cmd. 6386), is the
Uthwatt Committee’s work.
Scott Committee Report

According to the terms of reference, the Scott Committee was
appointed in October 1941 by the Minister of Works and Buildings
in consultation with the Minister of Agriculture “ to consider the
conditions which should govern building and other constructional
development in country areas consistently with the maintenance of agriculture, and in particular the factors affecting the location of industry,
having regard to economic operation, part-time and seasonal employ­
ment, the well-being of rural communities, and the preservation of
rural amenities.” Scotland was excluded from the coverage, which
extended to England and Wales only. In addition to the majority
report, a minority report was filed by Prof. S. R. Dennison and is
included in the published document.
M A J O R IT Y R E P O R T

To see the problems of rural development in proper perspective
and in relation to the national life, the committee considered evidence
outside that strictly covered by the terms of reference. It was
assumed that the policy of the Government includes establishment
of a central planning agency, encouragement of industry and com­
merce, maintenance of a prosperous agriculture, resuscitation of
village and country life, and preservation of amenities. No conflict
is seen by the committee between the post-war rehabilitation of
industry and the preservation of the countryside, and it is believed
that both aims can be “ achieved by measures designed to encourage
the growth of industry in those areas where the greatest balance of
1 Great Britain. M inistry of Works and Planning Report of the Committee on Land Utilization in
Rural Areas (Cmd. 6378), and Pinal Report of the Expert Committee on Compensation and Betterment
(Cmd. 6386), London, 1942. Economist (London), issues of August 22 and September 19, 1942.

46

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advantage will result both to the prosperity of industry and to the
nation as a whole.”
_
.
.
Evidence received shows a wide variety in types ol farming in
England and Wales, and the committee believes that this evidence
justifies the conclusion that there will be a continuance of the mixed
but interrelated character of British farming. Future changes in
farming are expected to be in the simplification of farm boundaries,
and in mechanization or improved methods of farm work involvinggradual reorganization, rather than in a complete change to entirely
new types of farming. In the committee’s opinion a radical altera­
tion of the types of farming is not probable, and there will be no
striking change in the pattern of the open countryside. The phrase,
“ maintenance of a healthy and well-balanced agriculture, as used
by officials in addressing Parliament on the subject of planning, is
taken in the majority report to mean the continuance and revival
of the traditional mixed character of British farming.
To stop the movement of population away from the villages and
country, living conditions there must be placed on a parity with
those in cities. It is anticipated that the former great disparity
between industrial and agricultural earnings will not recur. There­
fore the country dweller should be financially able to pay economic
rents and to pay for education and health services. Resuscitation
of village life can be attained by making such life desirable.
The countryside is viewed as a heritage of the whole nation and
of citizens of other countries of British descent. Its beauties are
man-made through cultivation and planting, for utilitarian purposes
primarily, but both the usefulness and beauty should be maintained.
Pre-war trends were toward placement of industrial plants on the
peripheries of population centers. Spontaneous dispersal of industry
to obtain a more even distribution of plants throughout the country
is likely to be too small. To prevent a harmful growth of construc­
tion the conditions of life in rural communities must be considerably
improved and made equal to those of urban workers.
Positive 'proposals—Among the positive proposals for rural housing
are that each new dwelling “ should be built ready-wired for elec­
tricity and appropriately constructed to receive gas and water supplies
even if these services are not immediately available.” Design and
planning of rural housing are stated to be the province of other
bodies, but the committee believes much thought is needed m the
interior design of cottages.
The advantages of home ownership to all sections ol the community
are stressed. Farm workers should be encouraged to have cottages
built for their own occupancy. For this reason the subsidy provision
of the 1938 Housing Act, of £10 a year for 40 years, should be
publicized.
. .. . ,
^
,
Introduction of the bicycle and automobile m the past halt century
has modified rural life. Socially the village has tended to become a
loose and indeterminate unit with some residents seeking amuse­
ments in the nearest town, while others suffer from the decline ol
local institutions owing to lack of general support. To retocus
cultural life within the village itself is a major problem. A com­
munity or social center is advocated for every village, or at least a
hall with a committee room and kitchen. Playing fields should be


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provided for every village and should not be regarded as essential
only in urban centers.
It has already been stated that maintenance of a prosperous
agriculture after the war is assumed to be necessary. The com­
mittee believes this is a prerequisite to the well-being of rural com­
munities. War conditions have brought agriculture to the position
of an essential service. Farmers and the public, the majority report
states, are recognizing the importance of Britain’s oldest industry,
and are determined to make proper use of land—one of the greatest
national assets. Witnesses and the committee agreed that (1) the
Government should formulate and adopt a long-term agricultural
policy; (2) land must be properly farmed and maintained, with
effective control exercised over landowners and good farming standards
enforced; (3) measures should be taken to secure stable farming
conditions; and (4) account should be taken of the fact that agri­
culture requires a considerable amount of new capital to enable it
to pioduce more economically and efficiently. Evidence was also
received that the nutritional needs of the nation might cause agri­
cultural changes.
Output per man and yield per acre were found to have increased,
and further rises in efficiency are anticipated by the committee on
the basis of its investigation.
M I N O R IT Y

REPORT

Professor Dennison did not agree with the majority on the inter­
pretation of “the maintenance of a prosperous agriculture” in relation
to the well-being of rural communities and the preservation of rural
amenities. His argument, he stated, was based on economic con­
siderations of fundamental importance. In his opinion the com­
munity and agricultural worker may have to pay a price, in the form
of a lower material standard of life, for the pleasure of contemplating
a particular kind of rural scene and enjoying the other spiritual bene­
fits accompanying agriculture. The whole idea of the “balance of
national interest” envisaged by the majority members of the com­
mittee is based upon values which cannot be subjected to economic
criteria.
The majority report discusses a prosperous agriculture from the
standpoint of size and type; but, in a progressive society, Professor
Dennison points out, ultimate prosperity of agriculture depends upon
increased efficiency. Agriculture is not independent of the rest of the
economic system, which in turn is dependent on international exchange
for ability to maintain standards of life. Therefore, in his opinion,
it is generally undesirable to maintain, or limit, the size of any form
of economic activity, and thus freeze enterprise at a given level. The
only way to improve the standard of living is to leave land, labor, and
capital free so that they may yield the fullest return, rather than
deliberately to impede movements; evidence indicates that mainte­
nance of a large agriculture in Britain after the war may be the
antithesis of a, prosperous agriculture. The minority report concurs
with the majority in pointing out the need for improving physical
living conditions in rural areas, but does not agree as to the positive
proposals.


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Uthivatt Committee Report

The Uthwatt Committee was appointed in January 1941 to make
an objective analysis of the subject of the payment of compensation
for land whose use is subjected to public control and of compensation
for its “betterment” (i. e., its potential development value); to advise,
as a matter of urgency, on the steps to be taken before the war’s end
to prevent developments that would be prejudicial to reconstruction.
The committee was asked to consider means of stabilizing the value
of land required for development or redevelopment, and any extension
or modification of Government powers to facilitate acquisition of such
land on an equitable basis, and also to examine the good and bad
features of the methods considered and to advise what alterations
are necessary in existing law.
Recommendations are intended to apply to Scotland as well as to
England and Wales. Adoption of necessary legislation was delayed
until publication of the report here reviewed. One member of the
committee, Mr. James Barr, made important reservations in con­
curring with the recommendations.
E V O L U T IO N

O F P L A N N IN G

The history of planning and the type of planning organizations
established in Great Britain in the past are described by the committee.
Planned use of land was first given statutory recognition in the hous­
ing and town-planning legislation enacted in 1909. Although the
terms of that legislation were limited to land in course of development
or likely to be used for building purposes, the law represented con­
siderable social progress in that it limited the previous freedom of
landowners to develop land as they pleased as long as they complied
with the public health and building laws.
The planning authorities under the 1909 legislation were the councils
of boroughs and rural districts. A 1919 law authorized two or more
such councils to form a joint committee for the preparation of a
planning scheme. Existing law was consolidated, with further amend­
ments, in 1925, and in 1929 county councils were empowered to take
part in planning by becoming constituent members of joint com­
mittees or by accepting planning powers relinquished by district
councils. In 1932 planning powers were extended to permit the
making of plans covering any land (whether built on or not) in town
or country, subject to the exclusion of built-up land unlikely to be
redeveloped and land so remote as not to need planning, “except where
expedient to round off a scheme.” The 1932 law is still in effect and
the planning powers under it are permissive only.
Only a comparatively small proportion of the land area is covered
by active planning schemes. There are large areas where even the
first step, that of passing a resolution to prepare for a planning scheme,
has not yet been taken. Moreover a planning scheme under the
1932 law is necessarily local in scope rather than national. The powers
of the local authorities are largely regulatory. In the opinion of the
committee, the plan thus far evolved is inadequate to secure the best
social use of land.
GENERAL

A N A L Y S IS

Assuming that national planning is meant to be a reality and a
permanent feature of the administration of the country’s internal

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affairs, a central planning authority would be a necessity for effective
reconstruction. It should have national as well as local considerations
in mind and adequate national resources for carrying out its policies.
Neither such an authority nor “planning,” as viewed by the committee,
exists as yet. Two distinct problems are ¡recognized: To prevent
further defacement of the countryside and a repetition and continu­
ation of the errors of the past; and, with respect to urban and other
developed land, to remove unsatisfactory or obsolete buildings, to
provide more suitable lay-outs, and to maintain adequate controls
in redevelopment.
A statement by the committee on principles of compensation for
land acquired by the State points out that ownership of land involves
duties to the community as well as rights of the individual owner.
Either the complete surrender of land to the State or submission to a
limitation of the rights of the user of land may be involved. Where
property is taken over for use, the common law of England requires
payment to the individual for the loss of property. The State pre­
scribes the basis of such compensation. If the State limits the use of
property, the rights are not taken over by the State but are destroyed
on the ground that their existence is contrary to the national interest;
in such cases no claim may be made for compensation.
It is concluded that a solution of the land-use problem requires a
measure of unification of existing rights in land to overcome the effect
of shifting value and to eliminate the conflict between private and
public interest. The committee expresses objections to private
pooling schemes, as they are essentially financial ventures. “The
only feasible system of pooling is nationalization, which is the very
result pooling is designed to avoid.” In the committee’s opinion the
solution of the compensation and “betterment” difficulty can lie only
“in a degree of unification of existing rights in land carried out on "a
national scale and involving their national ownership.’
R E C O M M E N D A T IO N S

The Uthwatt Committee recommends that land be purchased by the
Government, making fair compensation to owners. Outright na­
tionalization is not favored, and it is recommended that land be taken
over if and when needed for reconstruction and development. The
land thus acquired should not be resold by the State for private de­
velopment, but should be leased for an appropriate number of years
determined by the use which it is proposed to make of it. A distinc­
tion is made in the committee’s report between land which is unde­
veloped (not built up) and that which is developed (built up). The
committee advocates Government purchase of the right of develop­
ment of undeveloped land. A levy should be made on the increased
annual value of the developed land. According to the Economist
(London): “These three principles * * * are not novel; they have
their roots deep in the history of British thought about the land.
But, for the first time, they have been woven into a single pattern for
the utilization of the land in the national interest.”
Undeveloped land.—By acquiring the development rights on un­
developed land, the committee believes, the Government can best
lay a foundation for post-war reconstruction. Such a plan is viewed
as both practicable and equitable,

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We recommend the immediate vesting in the S tate of the rights of development
in all land lying outside built-up areas (subject to certain exceptions) on paym ent
of fair compensation, such vesting to be secured by the imposition of a prohibition
against development otherwise than w ith the consent of the S tate accompanied
by the grant of compulsory powers of acquiring the land itself when w anted for
public purposes or approved private development.

To provide this measure of unification of development rights in the
State is regarded as “an essential minimum necessary to remove the
conflict between public and private interest.” It is described as
“a complete solution of the hoary and vexing problem of shifting
values,” as the development value will have been purchased and
acquired for all time. The question of compensation will therefore
no longer be a factor hindering the preparation and execution of proper
planning schemes.
Developed land.—With respect to developed land, piecemeal transfer
for public purposes is stated to be less cumbersome and less onerous
than immediate wholesale nationalization. To facilitate improve­
ment in built-up areas it is recommended that public authorities be
given much wider and simpler powers of purchase than are provided
under existing legislation. Under the existing system of ownership
it will always be costly to obtain land for public planning purposes,
unless confiscatory measures are employed. The committee assumes,
however, general acceptance of the theory of fair compensation to
private holders.
In planning, the ideal is that the work be undertaken free of
financial considerations. Under the existing plan, local authorities
are primarily responsible for planning, and plans suffer accordingly
from lack of funds. Suitable financial arrangements are imperative
if planning schemes are to be fulfilled efficiently.
As sound planning does not destroy total land values but merely
redistributes them, the ultimate cost may be reduced by recoupment
from other sources. Much of the financial benefit will accrue to the
public purse, but in the course of development increased values may
still accrue in part on laud still remaining in private ownership.
Therefore, the committee recommends “a scheme for the imposition
of a periodic levy on increases in annual site value, with the object of
securing such betterment for the community as and when it is realized,
enjoyed, or realizable.” By this method potential development values
may be realized without hampering individual enterprise in land
development. The levy is not to be payable in respect to land on
which the development rights are to be acquired under any ‘'develop­
ment rights scheme” as long as the land remains undeveloped.
Determination and method of payment of compensation. The market
value at the date of acquisition is specified as the general basis for
determining the compensation to be paid. Any increased value or
element of value is to be excluded which arises from the actual or
possible demands for land by any Government department, local oi
public authority, or any statutory entrepreneur. The exclusion is
to apply both in case of compulsory acquisition and also under the
“development rights scheme.” One member, Mr. Barr, did not concur
in the recommendation for such exclusion.
The committee’s interim report recommended that compensation
payable in respect to the public acquisition or public control of land
should not exceed sums based on the standard of values as of March 31,

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Monthly Labor Review—January 1943

1939. This recommendation is continued in the final report under
review.
Compensation.—Compensation to be paid by the Government for
land should be taken from a general compensation fund, the report
concludes. The amount payable should be assessed for the country
as a whole. A single sum, called the general compensation fund, should
be determined, based on the fair value, and the amount should be
divided among the claimants in accordance with the value of the
development rights attached to their lands. (Precedent for this
method of financing purchase exists under the scheme for nationali­
zation of coal-mine royalties.) A supplemental fund would meet
exceptional cases. If compensation were based on piecemeal valua­
tion, the element of “floating value” would be included in each valua­
tion, and more would be paid than the worth of the rights acquired.
The payment, if made piecemeal, would be two or three times too
much, the report states. Provision of a lump sum to cover compen­
sation is advocated not merely because land is to be acquired from
many people, but because of the peculiar nature of the interests to be
acquired and the impossibility of correctly adjusting floating value
under a piecemeal plan of acquisition.
Administration.—The central planning authority under the plan
recommended would be . a “Minister for National Development”
especially responsible for national development. He should have no
departmental duties but should have the advantage of a highly
qualified staff. Broad principles of policy would be settled by the
Cabinet after consideration by a Cabinet committee presided over by
the Minister for National Development. The actual execution of
the schemes and formulation of detailed plans would be the duty of the
governmental department concerned.
The planning functions of the Minister of Works and Planning who
functions under existing legislation, as it appears to the Uthwatt
Committee, would fall within the province of the proposed Minister
for National Development. General matters connected with de­
velopment of land should be kept under a single direction and should
be under the proposed new minister.
A commission like the War Damage Commission would be most
suitable to handle day-to-day administration and to see that local
authorities, private developers, and landowners have ready access
to informed advice and authoritative direction. Such a commission
should have definite powers, including those arising under the Town
and Country Planning Act and development rights scheme. The
Minister for National Development should be empowered to give
directions to the commission.


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Women in Industry

O PIN IO N ON W O M EN ’S WAGES IN AUSTRALIAN
M ETA L TRADES
A JUDGMENT covering rates of pay for female employees under
the metal-trades award of Australia was delivered on August 17,
1942, in which the judge held that he did “ not regard comparative
productivity of itself as being a proper basis for the fixation of wages.
Disabilities, mental and physical, which are associated with the per­
formance of work may be greater in the case of one sex than in the
case of the other, and such disabilities are a material factor in fixing
rates of wages. The claim for equal pay is rejected for the reason
already stated and * * * it would be opposed to the wartime
economic plan to transfer to such a large number of employees an
increased purchasing power which they could exercise only at the
expense of the other and possibly more needy employees. ” 1
Conflict in Opinions of Tribunals

In the judge’s order, reference was made to overlapping tribunals
dealing with employment of female workers. The dispute regarding
women’s wages in the metal trades was finally settled by the order
which is here reviewed. In announcing the terms of a provisional
or interim award on July 9, 1941, the judge had stated that the
wages established were tentative and would be reviewed later when
the whole question of female employment was under consideration.
There had been no reason to suppose at that time that the functions
of regulating the employment of women would be divided among
several different authorities, as proved to be the case under the
National Security (Employment of Women) Regulations. The judge
stated that if the latest amendments to the regulations have the
meaning which the Women’s Employment Board must be regarded
as having placed upon them in the munitions-factories decision, they
apply to a far wider field than that of women actually replacing men
who have been taken out of industry by the war.
The ISlational Security (Employment of Women) Regulations, he
stated, now require an employer to obtain permission from the
Women’s Employment Board to employ women on work which they
previously were permitted to do under Arbitration Court awards.
As a result, such work is allowed in some instances and prohibited in
others, and the court must settle disputes of which it has cognizance.
With different bodies making varying decisions, discontent and dis­
putes arise. The judge rendering the decision under review confessed
1 Victorian Employers’ Federation. Industry and Trade: The Employers’ M onthly Review, Mel­
bourne, August 1942 (pp. 155-158).


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Monthly Labor Review—January 1943

a complete lack of confidence that it would be possible in future to
convince one female worker that she should work at the rate of pay
specified for females, while another woman received the rate specified
for male workers. Lines of demarcation for the payment of higher
wages are by no means easy to ascertain. Under the Employment of
Women Regulations the adult male rates come to be paid generally,
irrespective of sex.
If the doctrine of comparative efficiency without regard to the
economic effect is carried to the limit, the judge stated, he saw no
reason why junior male workers, apprenticed and unapprenticed,
should not be entitled to ask for wage fixation on the same basis.
Equal wages regardless of sex may be argued for, he said, if they are
fixed on a true economic basis and if the responsibility for a mini­
mum family wage is transferred from employers to society generally.
Australia’s adoption in 1941 of a system of universal child endow­
ment might mean that it has progressed far toward wage determina­
tion based upon the value produced by the employee. Women
might earn more and men less under such a method, but in the judge’s
opinion such a system of wage payment “ is unsound for so long as
the responsibility for the minimum family wage has to be borne by
the employers.”
Women s Work
Dealing with the question of the class of work on which females
may be employed, the judge stated that the court’s practice has been
to specify the work on which they may be engaged. This procedure
has had the twofold advantage of preventing women’s employment
in unsuitable occupations and of safeguarding the position of male
employees. Wartime regulations such as those dealing with dilution
of labor and the employment of women made it unnecessary for the
court to concern itself at present with the latter aspect of the question.
Regarding the prevention of employment of women on unsuitable
work, the matter can be regulated under existing circumstances by
allowing their employment where it will not infringe any regulations
under the National Security Act rather than by making a detailed
statement of permitted work. The understanding is that they will
be employed only on work to which they are suited and subject to
certain safeguards provided by a special board of reference. Hesi­
tating to speculate as to the future, the judge nevertheless believed
it extremely unlikely that women will be introduced in great num­
bers in many divisions of the metal industry. They are excluded
from most of the crafts under the terms of the dilution regulations,
and the nature of the work would exclude them from many occupa­
tions where heavy materials are handled. He anticipated the con­
tinued employment of females in mass production and proposed to
deal with women’s problems on this basis, stating there would be
nothing to prevent the court from correcting any matters which
would require correction.
Equal P a y
Having rejected the formula of equal pay for both sexes, the judge
set wages at a rate he considered “ to be fair and reasonable for the
work as performed by females.” Flat ‘rates were specified on the
assumption that they would in the aggregate work out fairly and be

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more conducive to efficiency than a detailed classification. Material
alterations were made in the scale of pay for juniors. As competition
between employers had been largely eliminated, no reason was seen
for continuing to provide more than one rate of wages for junior
females under 18 years of age. As a result of applying a single rate
instead of a graduated scale, females of 16 years of age and under
will receive a higher rate of pay than junior males of corresponding
ages. This was justified on the ground that there is not the same
difference between the work of the younger and more advanced
females that there is in the case of males in these age groups. Adult
females are to be granted a higher rate of pay 3 months after entry
into the industry, on the ground that they gain efficiency with service;
the 12-month period of experience formerly required was held to be
unnecessary. All the rates were increased by the decision.


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Youth in Industry

POST-WAR EM PLO Y M EN T OF JU V EN ILES IN
GREAT B R ITA IN
IN a memorandum on the problems of post-war entry of juveniles
into employment, the London Regional Advisory Council for Juvenile
Employment stresses the need for the fullest cooperation between
employer associations and trade-unions to insure the status of juveniles
as participants in industry and to prevent their entry into blind-alley
occupations.1 The council maintains that “ we shall never see the
problem of youth in industry in its proper perspective or set to work
on the right lines for its true good until we grasp it as essentially a
question of entry into employment.” Employers must consider the
position of young employees as an integral element in the management
and organization of their business. No aspect of the reconstruction
problem can be more vital than that concerned with the welfare of
youth and, the council states, it may be safely asserted that if this
part of the problem is not dealt with satisfactorily, the rest will be in
vain.
To avoid any failure to recognize the importance of dealing with
juveniles in industry, the London Regional Advisory Council for
Juvenile Employment issued the memorandum which is here sum­
marized. This body was formed in 1934 and superseded the London
Advisory Council. The council is appointed by the Minister of Labor.
Its jurisdiction covers a territory of more than 250 square miles, and it
deals with many and varied aspects of the industrial and commercial
life of inner and outer London. Membership consists of representa­
tives of education authorities, juvenile advisory bodies, employers,
employees, teachers, and other interested persons. Creation of the
council was a recognition of the expanding limits of London, bringing
about a merging of the problems of nearby communities with those of
the city proper. In forming the council it was not intended to inter­
fere with the administration of “ choice of employment powers” by
each unit of the region, but to watch over their operation.
Training of Juveniles

In the memorandum account is taken of the double problem—
education and industry. The group of juveniles may be called the
14- to 18-year group. It is reasonably expected that the school­
leaving age after the war will be raised to 15 without exemp­
tions, and possibly 16, and for those beyond the school-leaving age
compulsory day continuation classes may be established. Training
1Great Britain. Ministry of Labor and National Service. London Regional Advisory Council For

Juvenile Employment. Memorandum on the Problems of Post-War E ntry of Juveniles into Employment,'

.T n rm 1Q/19

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must be given for life, that is, for citizenship in the broadest sense. In
training juveniles for a livelihood no attempt should be made at such
training except in schools directly concerned with technical training.
Some acquaintance should be given in the regular schools, however,
with elementary processes performed in works, offices, shops, etc.
Consideration should be given to the possibility of furnishing occupa­
tional guidance in the schools by suitably qualified teachers and for
the training of these teachers in colleges and by such bodies as the
National Institute of Industrial Psychology.
Part-time day continuation schools, although related to the fife of
the pupils, should not lose sight of the main function, namely to
continue general education for citizenship. Day continuation schools
have not been popular in the past. Where created voluntarily,
investigation showed that they did very good work. Success de­
pended upon recognition of their value by employers. Under a com­
pulsory post-war system, the fullest cooperation of employers would
be required. The problem of fitting part-time education into the
operations of small employers and small working units is almost
insuperable, in the opinion of the council. However, a solution must
be found, as an all-inclusive system is necessary to thé success of a
part-time education scheme.
Industrial Aspects

Opinions differ as to whether juveniles should be made aware
immediately of their membership in the society of adult labor or
maintained as a separate group and given an extended period of
education. The council believes that the best interests of youth will
be served, both in adolescence and future life as wage earners, if the
view is accepted that juveniles are potential producers in a competitive
world. The officer for juvenile employment is the best qualified per­
son to make suitable liaison with the factory and business. He has
knowledge of the demands of industry and commerce, and experience
in selecting young persons for employment.
In considering the relative claims of industry and education, the
council is hesitant to dogmatize. To reconcile any difference, it is
suggested that the position of juveniles in industry should be viewed
from the broad standpoint of entry into employment, which is a
continuous process, the young person moving by degrees from school
life into the sphere of youthful work and later into a wider world
of adult labor.
Special Considerations
Among the special matters referred to, in which improvement is
desirable when juveniles enter industry, medical examination is
mentioned. A case is made for extending school medical service
for the well-being of minors, insuring them a continuation of the
service to which they have become accustomed and which they
trust. By extending medical examination to insure that all juveniles
are physically fitted to enter the employment they choose, the council
believes that the value of preventive measures would be recognized.
Correlation of welfare work in industry with the needs of young
workers is urged. Research is advocated to determine the optimum
length of the working week, time spent in classes, rest periods for a

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Monthly Labor Review—January 1943

wide range of occupations, and separately for boys and girls under
18 years of age. The whole problem of transportation should be
studied, to alleviate fatigue entailed in journeys to and from work
The tendency to belittle the manual crafts and to encourage em
into office work is mentioned. It is stated that among the reason^
for this situation is the desire of parents to find greater security for
their children than they themselves have found in manual work.
To offset this tendency the former pride and status, «of craftsmen
should be restored. Vocational training should be based on expert
sifting and guidance and on liaison with those responsible for appren­
ticeship. Mechanization has brought about a shift in the proportion
of men and women in office work and it is important that education
authorities should realize the demand for women’s talents is increasing.
In the transition from war to peace, it is suggested not that juveniles
should be kept at school merely to prevent them from entering the
labor market but that they should be retained for the time necessary
to secure a regulation of their flow into industry, and thus avoid
industrial chaos. The difficulties of older juveniles will require the
most sympathetic consideration and the advice of experts. The
Essential Work Order may contain elements of permanent value,
especially for juveniles. No one can know what factory develop­
ment will occur outside the London region after the war or whether
Greater London will retain its industrial preeminence. Surveys
should be made of the industrial region and of the juvenile popula­
tion of the city, so that estimates of industrial possibilities and
available labor supply may be made.
Questions of increasing significance are the need of a new outlook
on the question of apprenticeship, of greater labor mobility to meet
unexpected changes in economic organization and location of industry,
and of insuring that learners shall be equipped with the adaptability
to meet the demand of any sudden shift to new materials and tech­
nique. Education and industry should work together to solve these
problems.
It may not be in the interest of young persons to press for too rapid
a development after the war. A period of constructive delay is
advocated, which must not be allowed to degenerate into inactivity.
The waiting period should be put to creative use by education authori­
ties. The council is of the opinion that it should not suggest lines of
change to teachers, but recommends an interchange of experience
among all interested parties. The council would welcome any
scheme calculated to insure the growth of a sympathetic under­
standing by teachers and educational administrators of the needs
and problems of business and industry.


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Industrial Relations
T*
p
>+++++*+**+*+++++++++++++++++++++++*+++*+++++**+++*******+*+++*+***+**

DECISIONS OF NATIONAL WAR LABOR BOARD,
AUGUST AND SEPTEMBER 1942 1
DURING the period from August 1 to September 30, 1942—the
period just preceding the Executive Order of October 3, 1942, to
stabilize wages 2-—the National War Labor Board issued several sig­
nificant decisions on the question of wages, union security, and other
issues in disputes which threatened to interrupt war production. On
wage questions, the Board in general applied the yardstick of the
“Little Steel” formula which allows wage increases up to 15 percent to
restore purchasing power lost through cost-of-living increases between
January 1, 1941, and May 1942, the time of the President’s message
to Congress outlining the wage-stabilization policy. In cases involv­
ing union security, the Board continued to grant “maintenance of
membership” clauses in many cases. Other issues decided by the
Board included shift differentials in pay, equal pay for equal work,
and vacation allowances.
Wage Disputes

Cost-of-living adjustments.—The Board by unanimous decision ex­
tended to the 250,000 employees of the U. S. Steel Corporation the
same 5^-cent hourly increase and daily wage guaranties granted in
the “Little Steel” case.3 By a vote of 8-4, employer members dis­
senting, the increase was made retroactive to February 15, 1942, “in
order to maintain the same wage relationship which has existed in
the steel industry since 1921.” Also in accordance with the “Little
Steel” formula, 225,000 employees of the General Motors Corporation
were granted an increase of 4 cents an hour. In taking this action
the Board rejected, by a vote of 6 to 3, the request of the unions that
the Board calculate the increased cost of living on the basis of the
average increase in the cities where the plants are situated instead
of the national average.
Wage inequalities within an area or industry.-—In the application of
the “Little Steel” formula the Board has given “due consideration”
to “inequalities” and the elimination of substandards of living, as
required by the President’s wage-stabilization program. In a unani­
mous decision the Board ordered certain wage adjustments and in­
creases for 400 skilled employees of 13 jobbing machine shops in St,,
Louis, Mo. The Board accepted the findings of its investigator who
said: “In the interest of stabilizing the labor market in these shops,
1For an analysis of significant decisions issued prior to August 1, 1942, see M onthly Labor Review, June
1942 (p. 1344) and September 1942 (p. 484).
2See M onthly Labor Review, November 1942 (p. 917).
s See M onthly Labor Review, September 1942 (p. 487).
59

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increases are required in the relatively low-rate shops. This can best
be accomplished by an increase in the minimum-wage scale.” 4
In another case the Board unanimously raised the wages of 61,000
workers in 40 New England and 11 Southern textile mills by 7% cents
an hour. In its opinion the Board noted the “virtual unanimity of
opinion held by all interested parties that significant wage increases
should be provided.” The opinion further stated:
The factor which appeared to the Board to be most significant in the resolving
of this case was the need for wage increases as a means of bringing the wage rates
of the subject mills in line w ith established rates in other mills in th e cottontextile and in related textile industries. I t was concluded by the Board th a t the
elimination of such inequalities in the wage rates of the subject mills, prim arily
in relation to other mills in the same labor m arkets, is necessary in order to
stabilize the wages of cotton-textile employees.

In some instances the test of “inequality” caused the Board to
refuse wage increases. Thus, the Board unanimously refused to grant
a general wage increase to 1,750 employees of the Lever Brothers Co.
despite the fact that their increases between January 1, 1941, and
May 1942 had totaled less than the 15-percent increase in the cost of
living. The Board’s action followed the unanimous recommendation
of its mediation panel which reported that strict application of the
Board’s 15-percent yardstick would call for increases in both the
Cambridge and Edgewater plants of the company. The panel pointed
out, however, that the average hourly wage rates at both plants were
above those of comparable plants in the respective areas. The panel’s
report to the Board noted:
Under the circumstances then, if the undersigned are “to give due consideration
to inequalities” and are to avoid a “round of general increases” in this particular
area and in this industry, they cannot make any recommendation which would
either create an unequal relationship where one does not now exist, or intensify
an existing inequality. In the light of the guiding principles adopted by the
Board in the “L ittle Steel” decision, then, the panel is unanimouslv of the opinion
th a t no wage increase is w arranted a t this time. * * *
Ju st as it is impossible to reconcile this formula with the preservation of a
wage differential for comparable jobs in a given industrial area, so is it equally
impossible to reconcile the formula w ith the broadening of such a differential.

Substandards oj living.—A further interpretation of “substandard”
wages was included in the Board’s opinion in the General Cable Co.
case. In denying a general wage increase the Board said:
* * * The panel found th a t the wages received by the employees could
not be considered as substandard because the existing minimum rates for male
employees a t the Bayonne plant are 78 cents per hour and for women employees,
60 cents per hour. * * * The record shows th a t the starting rates a t the
Perth Amboy plant are 72 cents per hour for men, and 54 cents for women.
Such rates of pay do not entitle the union to an increase. * * * The Board
has made clear th a t by substandard wages it means wages which do not perm it
of the m aintenance of a standard of living of health and decency. The wages
paid the employees in this case do perm it of such a standard of living.

North-South differences in wages.—The question of eliminating the
wage difference between northern and southern textile plants received
consideration by the Board in the textile case noted above. In its
unanimous decision covering 40 New England and 11 southern mills,
4An unusual feature of this ease was the approval by the Board of a plan, agreed to by the companies

and the union, under which all employees earning $1 an hour or more would be directed to subscribe to
the war-bond pay-roll-deduction program to the extent of at least 10 percent of their earnings.


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the Board, by granting the same general increase, refused to alter
existing differences. The opinion stated:
In the textile cases under consideration the Textile Workers Union of America,
C. I. O., which represents the employees in 28 of the New England mills and the
11 southern mills, had requested a general wage increase of 10 cents per hour in
the N orth and of 20 cents per hour in the South. I t was urged th a t such ad ju st­
m ents were necessary in order to eliminate a regional differential in wage rates.
While not acquiescing in the wage increases requested by th e union, the northern
mills joined w ith the union in requesting such wage increases as would eliminate
th e regional differential. * * *
.
.
The fact remains, however, th a t a N orth-South differential in wages is not an
unusual relationship. On the contrary, it is a long-standing relationship. Even
if all of the facts were available to appraise the cost significance of the differential
for comparable jobs, which is not the case, one would have to weigh the issue
w ith care. Operating to a large extent as a war industry, there has been a marked
change in the over-all com petitive picture. There is little merit, indeed, to a
proposition to readjust the differential now, primarily in preparation for post­
war competition, a t the cost of increasing 80 percent of the industry’s employees
who work in the South beyond th a t point which is now necessary to stabilize
wages in th a t area. Such an approach would be an u tte r disregard of the respon­
sibility of the Board to stabilize wage rates in conformance w ith th e national
stabilization program.

In a separate concurring opinion, the labor members of the Board
disagreed with the reasons advanced by the majority for refusing to
eliminate the differential:
We believe it incum bent upon us, however, to express our disapproval of some
of the reasons advanced in the Board’s opinion. T h at opinion points out th a t
the regional differential in wages is not an unusual relationship and is of long
standing. The age of an inequality may increase the difficulty of its elimination,
b u t is not a justification for its existence. This is another aspect of the businessas-usual policy to which this Board should not, even indirectly, give its benedic­
tion. The proper wage policy for w artim e should not be fixed by pre-war customs
or fears of post-war complications. An inequality in wages paid for comparable
skills on comparable jobs must, in any system perm itting a mobile labor supply,
be an unstabilizing factor. Aside from the p atent injustice of condoning the con­
tinuance of such practices, the effect on the manpower problem of the N ation, m
these critical times, of freezing regional differentials m ust be obvious.

Wage classifications.—While granting or denying general wage
increases, the Board has in several cases also considered the problem
of job and wage classifications, and has issued directive orders that
steps be taken to correct inequalities within the plant wage structure.
For example, in the Brown & Sharpe Manufacturing Co. case the
Board directed the company to standardize and simplify its wage
schedule.
The change in methods of wage paym ent is necessitated by the undesirable
results of the prevailing system under which employees may jturn out the same
production on identical machines while receiving different rates of pay. ouch
inequalities in the treatm ent of different employees has understandably been the
source of grievances which tend to reduce the maximum productive efficiency
which is so urgently necessary in this tim e of war. d h e Board fails to find any
valid justification for continuing a wage schedule which specified differentials in
base rates for identical or closely similar occupations. On th e contrary, the
Board is convinced th a t such a condition is not conducive to maximum, production.
The establishm ent of the simplified and standardized wage schedule, as directed
by the Board, can be an im portant factor in developing improved efficiency and
b etter industrial relations in this vital war plant. Nor will the highly desirable
standardization of rates result in any significant increase in th e company’s to tal
wage bill. The standardization program is to be gradually accomplished by
adjustm ents made in some occupational groups upon the issuance of the diiective
order, in others on October 15 and in others on December 15. As th e panel
clearly points out, the adjustm ent in the wage schedule for standardization pur­
poses will in large p art supersede the normal company policy of making 200 to
300 individual increases per m onth, a t least until standardization of rates is
50 1152— 43 —

5


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completed on December 15, 1942. Thereafter, the union m ust expect a slower
tempo of individual rate adjustm ents than the company customarily awarded in
accordance w ith the present “m erit” system.

Shift Differentials

The question of wage differentials for second and third shifts
(afternoon and night work) was an issue in a number of cases before
the Board during August and September 1942. In several cases night
differentials were granted and in a few instances they were denied to
all or particular groups of employees. Selected cases illustrating some
of these decisions are summarized below.
The Board extended the shift premiums now paid in several plants
of the Aluminum Co. of America to additional plants of the corpora­
tion 5 except for continuous-process workers. With regard to these,
the Board stated that “this matter is subject to study and considera­
tion as to whether or not it constitutes an inequality for the continu­
ous-operation employees of the company.”
In the case of the General Cable Co. (in addition to the wage issues
discussed above) the union asked for extra pay of 5 cents an hour for
employees working on the two night shifts. The Board, by a vote of
7-2, two labor members dissenting, adopted a recommendation of its
panel that a differential of 3 cents per hour for all night work be
granted. The panel report stated:
A night differential will in the panel’s opinion be an incentive to those workers
who have altered their regular living habits in order th a t continuous 24-hourper-day production m ay be m aintained. * * * The union stated th a t the
night-shift workers have suffered a financial loss in th a t there has been added
expense in m aintaining their homes, citing as an example the need for serving
extra meals. * * * The panel is of the unanimous opinion th a t an' increase
of 3 cents per hour should compensate the workers for w hatever added expense
they have sustained and for the inconvenience and disruption of their ordinary
living habits.

In the Cambridge Tile Manufacturing Co. case the union asked,
among other things, for a differential of 5 cents per hour on night
work. The Board, by a 5-4 vote, adopted a panel recommendation
that no differential be granted, for the reason that—
The question of a wage differential for night work is not regarded by the panel
as a m ajor one. I t is apparent th a t the only regular night work is performed
by continuous-process workers who would in any event not come w ithin such a
provision. Social and physical considerations which in m any cases m ight be a
dom inant factor have little application in this case. Therefore, the panel recom­
mends th a t no provision for a night differential be included.

Public member, Wayne L. Morse, and three labor members of the
Board dissented. In a minority opinion, Mr. Morse stated that he
still held to the views which he expressed in his dissenting opinion
on the same issue in the Aluminum Co. of America case, namely—The minority is impressed w ith the argum ent th a t premium wage rates should
be paid for night work not only because of the fact th a t night work is disruptive
of normal living habits but also because night work is essential to increasing
production of American industry. Hence, premium rates for night work will
serve as a work incentive and will tend to induce a larger num ber of American
workmen to accept night-work assignments. This is particularly desirable
during this war period because one of the prim ary needs of America today is to
produce the greatest quantity of war materials in the shortest period of tim e for
use in the prosecution of our war effort. However, the minority wishes to have
« See Monthly Labor Review, June 1942 (p. 1345).


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it distinctly understood th a t it favors premium wage rates for night work even
during peacetime economy. * * *
The record of this case shows th a t the num ber of woman employees of the
company has been increased. As the m onths go by during this war period,
more and more women will have to be called upon to work in war production
plants, and m any of them will undoubtedly be assigned to night shifts. The
standard reasons justifying extra pay for night work when performed by men,
namely, those referring to health, expense, and detrim ental effects upon normal
living, are even more applicable to the night employment of women.

The Board, by a vote of 4-2, the employer members dissenting,
directed the Towne Robinson Nut Co. to replace its present system of
rotating shifts by a system of steady shifts and to grant 5 cents per
hour additional compensation to those working on the second and
third shifts. The Board’s order provided that in making shift assign­
ments, employees with the longest seniority should receive first choice
of shifts. The Board said:
The determ ination of shift arrangem ents is a question which would be con­
sidered by the Board only under unusual circumstances. Shift arrangem ents
are preeminently a m atter for decision by local m anagement or, if made the
subject of collective bargaining, for agreement between those representatives of
m anagem ent and labor who are intim ately acquainted w ith the operational
problems and requirem ents of the plant as well as w ith the circumstances and
desires of the employees. I t should, therefore, be clearly understood th a t in
specifying a change from a system of rotating shifts to a system of steady shifts
a t this company, the Board is not setting a precedent or laying down any general
rule. Our decision and our willingness to enter an order on the question a t all
are based on the peculiar facts of this case.
The plant is small, employing only 108 employees. The change of shift
arrangem ents in a plant of this size can be effected rapidly and w ith no serious
difficulty.' In such a small grouD of employees, there can be a virtual unanim ity
r f desire for a certain system. Of m ajor importance to the Board in this case is
the fact th a t the company has never claimed th a t the change would in any way
adversely affect its operations. Its sole contention has been th a t, in spite of
the contrary statem ents of their leaders, the employees did not desire the change.
On th a t issue the Mediation Officer had reason to accept the testim ony of the
employee representatives. They asserted th a t the employees were intensely
dissatisfied w ith the rotating-shift system, th a t it made it impossible for them
to make any regular adjustm ent in their living conditions, and th a t a t a recent
meeting of employees the desire for steady shifts had been unanimously ex­
pressed. We believe th a t the institution of steady shifts a t this plant will result
in improved morale and will assist increased production. In the absence of any
evidence th a t the change would be difficult to effect or prejudicial to plant opera­
tion, the Board has ordered it.

Equal P ay for Woman Workers

The National War Labor Board has generally adopted the policy
of “ equal pay for equal work.” This clause was ordered inserted in
several agreements without comment by the Board. In the Brown
& Sharpe case, however, a detailed discussion of the problems in­
volved in establishing this principle was contained in the written
opinion. Excerpts from this opinion appear below.
The N ational W ar Labor Board has accepted the general principle of paging
wages to female employees on the basis of “equal pay for equal work.” There
should be no discrimination between employees of equal ability employed on
similar work where production is substantially the same. This is no new principle.
I t was enunciated by th a t War Labor Board which was set up in 1917 to meet
the industrial problems of the World W ar of th a t earlier date. In the MarlinRockwell case, the N ational Defense M ediation Board made a decisive step
tow ard economic equality for women. In the Norma-Hoffman case, the present
N ational W ar Labor Board held th a t “when women take th e places of men and
fully perform all of the tasks previously performed by men, they shall be paid
the same wages as the men thus replaced.”

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* * * In treating this question in the present case, the panel has recom­
mended, in part, th a t “rates of pay for female employees will be based upon the
established rates for the work performed. Where such work is identical with,
or substantially the same as, th a t performed by men on the same or comparable
operation, the base rates and hourly rates will be th e same.” The wording of
the above-quoted section indicates the im propriety of using slight or inconse­
quential changes in job content or in method of operation as a sole reason for
setting up a wage differential against women employees. W age-setting on such
a basis is considered by the Board to be discrim inatory and hence not compatible
with the principle of “equal pay for equal work.” The Board approves the
above-quoted wording as recommended by the panel w ith the proviso, however,
th a t it cannot be interpreted solely in relation to the physical characteristics of
the operation performed. I t m ust also be related to th e quality and quantity
- of production turned out. Female employees assigned to th e same operation
which has been or which is performed by men should receive the same pay when
they produce the same quantity and quality of output. Any differential which
results in lower pay to women under such conditions would be discriminatory.
On the other hand, where lower production or decreased performance standards
m ust be established for women as compared w ith men, a proportionate ad ju st­
m ent of wages for women is compatible w ith th e principle of “ equal pav for
equal work.”
In its recommended clause, the panel takes specific cognizance of th e fact th a t
it is often impossible or inadvisable for female employees to undertake heavy
physical labor which has been established as a p art of certain jobs when they
are performed by men. In such cases, the employment^of women workers may
entail extra supervision, extra set-up men or additional carry-off men. The
panel suggests th a t such “ extra labor costs will be com puted and will be given
pro-rata weight in establishing an equable rate of pay for female workers.” The
Board points out th a t such an adjustm ent of wage rates is in line w ith the “equal
pay for equal work” principle when it is necessary to prevent an increase in unit
labor costs. On the other hand, the assignment of the heavy parts of a job to
men may be a division of work and a specialization of tasks which may, frequently
be made w ithout any increase in unit labor costs even though the female employees
continue to receive the established rate for the operation. In other words, such
a m ethod of performance may perm it an increased production which offsets the
added cost of the additional employees. In such cases, there is no sound basis
for setting a differential rate against the female employee. I t is pointed out th a t
such a division of tasks has often been used on jobs m anned entirely by male
employees as a means of reducing unit costs while maintaining hourly rates.
There are sound reasons, therefore, for guarding against the use of the procedure
to cut women’s rates when the “extra” labor for heavy work does not increase
unit costs of production.
The previous discussion indicates some of the im portant factors which m ust
be taken into account in equitably effectuating the principle of “ equal pay
for equal work.” This m atter cannot be autom atically disposed of by any clause
in a labor agreement no m atter how carefully it may be conceived. TTe principle
of “ equal pay for equal work” for women m ust be worked out in individual situa­
tions by parties who cooperate in good faith to secure the desired objectives.
Even under such circumstances, there may be honest differences of opinion. I t
is in recognition of this fact th a t the panel in this case has provided th a t any
dispute regarding the rates established for women employees will be treated as a
grievance and will be handled through the established grievance procedure which
provides for ultim ate determ ination by an im partial umpire.

Union Security

y

During tlie period August 1 to September 30, 1942, the Board
continued to grant maintenance-of-membership clauses in many cases.
However, in three cases such security was denied to unions because
of “ irresponsibility” of leadership reflected in recent work stoppages.
In most cases the granting of maintenance of membership repre­
sented a compromise between the union’s demand for the union shop
and the existing sole bargaining recognition. In one case, however,
that of the Pioneer Gen-E-Motor Co., a maintenance-of-membership

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clause was granted despite the fact that the company had operated
for 3 years previously under a closed-shop contract. In this case the
local union which had the closed-shop contract had changed its
affiliation and the employer had objected to a closed-shop contract
with the new union.
in four cases decided during August and September maintenance-ofmembership provisions were granted by unanimous vote of the Board.
In two there was a dissent of labor representatives who felt that a
stronger clause should have been granted. In the majority of the
union-security cases, however, the vote wras divided, with one or
more employer members opposing thé membership-maintenance
principle.
Because the arguments for and against the [maintenance-of-member­
ship principle were thoroughly presented in two previous articles,6
they will not be repeated here, except as they apply to the facts
surrounding some of the individual cases.
The 11standard” clause.—The type of maintenance-of-membership
clause granted most frequently includes the 15-day “ escape” period,
during which union members may resign if they so desire, and a
stipulation by the union that it will not coerce employees into mem­
bership.
This identical clause was used in the great majority of cases decided
during the 2-month period and is reproduced below in full as it was
stated in the Norma-Hoffman Bearings Corporation case.
In order to secure the increased production which will result from greater
harm ony between workers and employers and in the interest of increased cooper­
ation between union and management, which cannot exist w ithout a stable and
responsible union, the parties hereto agree as follows:
All employees who, 15 days after the date of the N ational W ar Labor Board’s
directive order in this m atter, are members of the union in good standing in
accordance w ith the [constitution and bylaws of the union, and all employees
who thereafter become members, shall, as a condition of employment, remain
members of the union in good standing for the duration of this contract.
The union shall prom ptly furnish the N ational War Labor Board a notarized
list of its members in good standing as of the fifteenth day after the date of the
N ational War Labor Board’s directive order in this m atter. If any employee
nam ed on th a t list asserts th a t he withdrew from membership in th e union prior to
th a t day, and any dispute arises, or if any dispute arises as to w hether an employee
is or is not a member of the union in good standing, the question as to w ith­
draw al or good standing, as the case may be, shall be adjudicated by an arbiter
appointed by the N ational War Labor Board, whose decision shall be final and
binding on the union, the employee, and the company.
The union agrees th a t neither it nor any of its officers or members will intim i­
date or coerce employees into membership in the union. If any dispute arises
(as to w hether there has been any violation of this pledge or whether any em­
ployee affected by this clause has been deprived of good standing in any way
contrary to the constitution and bylaws of the union), the dispute will be re­
garded as a grievance and subm itted to the grievance machinery, and, if neces­
sary, to the final determ ination of an arbitrator appointed by the N ational War
Labor Board in the event th a t the collective-bargaining agreement does not pro­
vide for arbitration.

The “standard” clause with check-ojf.—The Board, by a vote of 8-4,
employer members dissenting, extended to the employees of the U. S.
Steel Corporation the same maintenance-of-membership and check-off
provisions as were granted in the “Little Steel” decision on July 16.7
This clause is virtually identical with that of the Norma-Hoffman
6See Monthly Labor Review, June 1942 (p. 1347) and September 1942 (p. 488).
1 See M onthly Labor Review, September 1942 (p. 495).


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case except that it includes a provision for the check-off of union dues
and initiation fees for all union members.
In a few other cases, notably the Bethlehem Steel Co. (Shipbuilding
Division) case, a voluntary check-off was granted under which the
company is to deduct initiation fees and union dues of union members
who individually and voluntarily certify in writing that they authorize
such deductions. In its opinion the Board outlined the reasons for
such check-off provision:
Adoption by the Board of the m ajority recommendation of the panel in this
particular was based, to no small extent, upon the fact th a t the check-off of union
?mfSMof-Vaili l1! °ther divisions of the company as a result of previous action of
the National War Labor Board. I t was fully recognized th a t the Board had
already participated in developing union-security procedures in a number of east
coast shipyards through mamtenance-of-membership rules b ut w ith no check-off
provisions l o r this reason, the Board emphasizes th a t the union-security pro­
visions, determined in this case involving the Bethlehem Steel Co., Shipbuilding
Division, rest primarily upon company practice as set forth by the Board in an
earlier case. In other words, the determ ination in the present case is based upon
its particular and somewhat exceptional circumstances.

Other types of maintenance-of-membership clauses.—In the case of
three logging and lumber companies in Marshfield, Oreg., the Board
departed somewhat from the “standard” membership-maintenance
provision The 15-day “escape” period was omitted and a clause
was added m which the employer agreed to recommend that all eligible
employees join the union after a probationary period of 40 days. In
ordering this clause, the Board approved the recommendation of its
panel which pointed out that such a clause “had now become uniform
throughout 75 percent of the northwest lumber industry.” The vote
m this case was 8-1, an employer member dissenting.
r
£yPe °f maintenance-of-membership provision granted in the
Dallas Manufacturing Co. and Golden Belt Manufacturing Co. cases
reverts to one of the earliest of the Board’s union-security decisions.8
It is dissimilar to the majority of later cases in that only those mem­
bers who individually agree in writing are bound by the maintenanceof-membership and check-off provisions. The Board’s opinion in
these cases pointed out that similar clauses had been arrived at in
other southern textile mills and that “the insertion of such a unionsecurity clause in these contracts is in recognition of the widespread
use of the clause in the textile industry.”
Refusal to_grant maintenance of membership.—In only three of the
many cases in which union security was an issue did the Board refuse
to grant mamtenance-of-membership clauses. In each of the three
cases the union had violated its “no-strike” pledge by participating
m a work stoppage. In the case of the Monsanto Chemical Co., where
a 5-day strike had occurred, the Board said:
Ija6 °r Board would not be justified in granting a maintenance-ofmembership protection to this or any other union which resorts to the use of
e^ n o m ic force m an attem p t to obtain its demands. Such action is in direct
violation of lab o rs pledge to the President and to the N ation th a t it will not
stn ke for the duration of the war and th a t it will agree to abide by decisions
reached through the use of the peaceful procedures of conciliation, mediation,
arbitration, and if necessary, final determ ination by the W ar Labor Board. * * *
f he. Paocl found th a t the evidence clearly shows th a t the decision to call a
strike m this im portant war industry was specifically recommended by the union’s
eaders and places the responsibility for calling the strike upon those leaders, and
tffe action was endorsed overwhelmingly by the membership of the union.

8See Marshall Field & Co. case, Monthly Labor R eview , June 1942 (p. 1347).

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Industrial Relations

67

/ acations With P ay

The War Labor Board during August and September granted vacations-with-pay clauses in several instances. In the General Motors
case the previous 1-week vacation-pay allowance for all employees
was increased to 2 weeks’ allowance for all employees with 5 or more
years’ seniority.
A union request for a 2-week vacation for employees with 1 or more
years of service was denied by the Board in the Bethlehem Steel Co.
(Shipbuilding Division) case. Instead, the Board decided that the
same policy should be followed in the Shipbuilding Division which
prevails in other divisions of the company. The geneial company
policy on vacations is to grant a week’s vacation to employees with 3
or more years of service, and 2 weeks’ vacation for all employees with
15 or more years of service.
The Board also granted 1 week’s vacation with pay to employees
of 56 transportation companies of St. Louis, Mo. In this case the
Boaid’s opinion discusses the effect of vacation pay on general wage
policy:
The Board approves the recommendation for a week’s vacation with pay at
a flat rate of $38 per week. I t is made very clear, however, th a t this decision
is based solely upon the facts of this case and does not establish a rule th a t vaca­
tion pay is never to be considered as a wage increase.
On the one hand, vacation pay is clearly a p art of a com pany’s labor costs.
If the vacation is not taken—as in wartime it frequently will not be—the vacation
pay certainly constitutes an addition to the employees’ equal earnings. On the
other hand, a universal rule th a t vacation pay is to be considered as equivalent
to a wage increase would often work manifest injustice. I t would logically result
in lesser rate increases being given where vacation pay is granted th an where it
is denied; in fact, therefore, the employees would not be receiving vacations
with pay.
R ather than attem pt, therefore, to lay down a general rule, we think it fairer
to decide the question in each instance upon the peculiar facts of the case then
before us. Among the relevant facts to consider are the am ount of the vacation
pay in relation to average weekly straight-tim e earnings, the length of the vaca­
tion, the percentage of employees eligible to receive it, the probability th a t it
will or will not be actually taken, the circumstances of the negotiations over the
vacation issue, its relation to and effect on wage negotiations, and the tradition
and practice in the industry w ith regard to vacation pay.


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Industrial Disputes

STRIKES IN NOVEMBER 1942
PRELIMINARY estimates of the Bureau of Labor Statistics show
a substantial decline in strike activity in November, continuing the
downward trend of the preceding 3 months.
The number of new strikes in November was 70 percent of the
number in October, 61 percent as compared with November 1941,
and about 90 percent of the average for November in the 5-year
pre-defense period 1935-39. There were about 90 percent as many
workers involved in November strikes as in October, one-fourth as
many as in November 1941, and 4 percent more than the 1935-39 aver­
age for November. Idleness during strikes in November amounted
to slightly more than half as much as in October, one-eighth as much
as in November 1941, and about one-seventh as much as the Novem­
ber average during 1935-39.
The largest strikes in November, in terms of workers involved,
were (1) the 1-dav strike in Detroit affecting nearly 5,000 workers
in 15 tool and die plants, called by the Mechanics Educational Society
of America because of alleged interference with its organizing efforts
by the United Automobile Workers (C. I. O.), and (2) the 3-day stoppage
involving about 4,000 workers at two plants of the Nash-Kelvinator
Corporation, Lansing, Mich., because of dissatisfaction with certain
supervisory employees. Both stoppages were terminated pending
further negotiations before the National War Labor Board.
Idleness during strikes in November is estimated to be 0.03 percent
of available working time.
Trend of Strikes, January to November 1942
All strikes 1
Month

Strikes affecting war work 2

Number of Number of Number of Number of
Number of Number of
strikes
strikes
workers
man-days beginning
workers
man-days
beginning involved
idle
involved
idle
in month
in month

19Jp

January______
February_____
M arch________
April_________
M ay_________
June_________
July_________
August_______
September____
October______
November____

155
190
240
310
275
350
400
350
290
235
165

32,500
57,000
65,000
55,000
58,000

100,000
87,500
80,000
80,000
60,000
55,000

390,000
425,000
450,000
375,000
325,000
550,000
450,000
450,000
450,000
325,000
175,000

27
50

66

91
125
171
198
195
156
93
91

11,605
24,587
34,957
26,255
44,891
78, 627
74,812
70, 352
71,912
38,321
43, 422

46,197
118,700
166, 680
173, 513
. 137,330
254,653
233, 614
266, 353
318, 892
167,865
91,925

1Figures are not final but are subject to change as later information is received.
2As determined by a Joint Committee of representatives from the War, Navy, and Labor Departments,
Maritime Commission, War Labor Board, and War Production Board. The Bureau of Labor Statistics
does not participate in the selection of these strikes, but it does furnish the statistics after the Joint Com­
mittee determines which strikes affected war work.
68


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69

Industrial Disputes

ACTIVITIES OF UNITED STATES CONCILIATION
SERVICE, NOVEMBER 1942 1
THE United States Conciliation Service, during November, disposed
of 1,442 situations involving 752,164 workers (table 1). The services
of this agency were requested by the employers, employees, and other
interested parties. Of these situations 91 were strikes and lock-outs
involving 47,932 workers; 881 were threatened strikes and contro­
versies involving 418,737 workers. During the month 222 disputes
were certified to the National War Labor Board, and in 50 cases other
agencies assumed jurisdiction. The remaining 198 situations in­
cluded investigations, arbitrations, requests for information, consul­
tations, etc.
T able 1.— Situations Disposed of by United States Conciliation Service, November 1942,
by Type of Situation
Type of situation

W orkers in volved

N u m b er

All situations handled.

11,442

752,164

Disputes------- ---------Strikes_________
Threatened strikes
Lock-outs_______
Controversies------

972
90
155

466, 669
47,912
58,955

726

359, 782

Other situations-------------------------------------------Investigations___________________________
Technical services...............................................
Arbitrations---- ----------- ------ ----------------- - - Requests for verification of union membership.
Requests for information-------- ------------------Consultations.-........................ ............. .............
Special services of Commissioners......... ...........
Complaints---------- ------ ----------------------------

198
48
18
52

18, 737
3,348
5,608
7,990
49
241
328
1,168
5

Disputes referred to other agencies during negotiations.
To National War Labor Board------------------------To National Labor Relations Board.-.....................
To other Federal agencies.. --------------------- ------To nongovernmental agencies-------- -----------------To State agencies------------- -----------------------------

1

2

17
49
7
5
272
222

36
8

4
2

20

266, 758
230,147
11, 510
24,922
137
42

i 355 of these cases involving 1 i 1,371 vorkers were adjusted, subject to arbitration or approval of the wage
provisions by the National War Laoor Board.

The facilities of the Service were used in 28 major industrial fields,
such as building trades, and the manufacture of foods, iron and steel,
textiles, etc. (table 2), and were utilized by employees and employers
in 47 States, the District of Columbia, Puerto Rico, and Alaska
• (table 3).
i Report prepared by United States Conciliation Service.


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70
1

able

Monthly Labor Review—January 1943
2.

Situations Disposed of by United States Conciliation Service, November 1942,
by Industries
Disputes

Other situations

Total

IndustryNumber
A ll industries............................ .

1,244

2

A griculture________ ____ _____
B u ild ing trades_______________
C hem icals____________________
C om m uni cations_____ ____ _
D om estic and personal____
Electrical eq u ip m en t_________
F o o d _______ i ________________

48
46
7
31
46
125

Furniture and finished lum ber
Iron and steel____________ ____
L eather_____ _________________
L u m ber______________________
M a c h in e ry ..____ _____________
M aritim e_____________________
M in in g _____ ____ ____________

199
24
29
57
4
19

Workers
involved
733,427
214
47, 793
11, 346
19,323
5,829
42,154
32,592

68

13,840
105,414
14, 795
9,478
24,109
568
17,131

M otion pictu res_________ ____
N onferrous___________________
Paper________________________
P etroleu m _____ _____ ________
P rin tin g______ ______ ________
Professional___________________
R u b b e r ..______ _____ ________

3
45
17
16
15
16

428
22,389
2,185
5,568
1,272
89
29,828

Stone, clay, and glass_________
T ex tile_______________________
T ob acco__________ ____ ______
T rad e________________________
T ransportation. . . . ___________
Transportation eq u ip m en t____
U tilitie s________ ____ ________
U nclassified________________ _

62
57
3
99
59
71
14
60

19, 741
45,394
3,383
12,208
18, 730
204, 387
7,883
15,356


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2

Number
198

12
4
1
2
7
19

6

27
13
7
7

Workers
involved
18, 737

2

752,164
214
48,019
11,419
20,423
5,982
43,912
33, 548

60
50

153
1,758
956

33
53
144

1,272
1,996
635
350
400

74
226
37
36
64
4

3

21

15,112
107, 410
15,430
9,828
24, 509
568
17,134

2

4
58
18
18
17
3
18

430
24,463
2,215
5,575
1, 290
108
32,332

67
75
4
113

20,944
47,679
3,385
12,489
18,956
204,603

1,100

2,074
30
7
18
19
2,504

5
18

1, 203
2,285

14
9
5
5

281
226
216
227
721

12

1,442

Workers
involved

226
73

2
1
13
1
2
2
1
2
1

Number

2

8

68
76
19
72

8,110

16,077

71

Industrial Disputes

T able 3.—Situations Disposed of by United States Conciliation Service, November 1942,
by States
Disputes
State

All States----- ----------------------------------Alabama

__ _ _ ___ ___________

Arizona__________________- ........- ..........
Arkansas----------------- --------------- ------- California---------------------------- -........... .
Connecticut------- -------------------------------

Num­
ber

733,427

16

5,574
2,918
3
903
70,071
550
12,641
21, 212
3; 821
2,842

2
1
6

118
5

11
2

9
15

Illinois________ ____ ____ ____-...........
Indiana----------------------------------- --------Iowa. ------------ ---------- -------------------Kansas--------------------------------- ------ ----Kentucky----------------------------------------Louisiana----------------------------------------M aine....... .................. ....................-..........M aryland......... -......................... ................

118
53

14

Nebraska___________________________
New Hampshire _ _______ __________
New Jersey.-------------- ----------------------New Y o rk ... -------------- . ---------------Nortb Carolina. _ _ _ _ _ _ ________
O h io _____
. ----------------Oklahoma--------- -----------------------------Oregon ________ ______
- ------------Pennsylvania------------------- ------ ---------Puerto Rico-------------------------------------South Carolina---------------------------------Tennessee----------------------------------------Texas------ ------- ------------------------------TTtfth
_ _ _______________
Virginia_____________________ ______
Washington---- --------------------------------West Virginia---------- ------------------------Wisconsin---------- -----------------------------


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Workers
involved

1,244

District of Columbia--------------------------Florida...................................----............---

Massachusetts-------------- ----------- --------M ichigan.---------- ---------------- -----------M innesota------------------------- ----------Mississippi------------ --------------------- ---Missouri-------------- ----------- ------ ----------

Other situations

1

22
12
16
9
3
13

28
87
26

8

36
7

6
2
2

64

2
120
6
1
100
10

2,138
25
40, 450
37,895
15,082
679
5,135
18,667
12, 560
1,189
6,828
64,568
20,262
23,925
10,115
893
1,471
28
600
19,489

Num ­
ber
198

1
1
10

Total

Workers
involved
18,737

13
33
3,002
577
420
73

18

10
6
2
1
4
6

128
59
24
13

3
5

134
851
117
30
269
119
657
213

19
17

1,719
1,358

3
13

260
1,539

47
104
27

2

1

20
15
6
18

11

1

264

49
7
7

7

678

71

17

2,316

23

10
4
11
2

2,105
1,009
126
345
17

1,802
13,564
2,507
342

3

10
100
1

2,796
11, 320
2,852
9,627

2
1
1

32

666

2
12

14

5
18
17
3

200

5, 574
2,918
16
936
73,073
550
13,218
21, 212
4, 241
2,915

2
2

3
3

27
103
4
5

1
21

752,164

16

3

1

1
1

3

2

87
259

Workers
involved

1,442

7
128
5
14

3,225
129; 066
9,153
38
64, 212
2,277
14,154
59,042
1,080
2,970

36
14
35
4

Num ­
ber

2
2

2
6
1
123
20
137

31
114

6
5

8

2,138
25
40, 584
38, 746
15,199
709
5,404
18,786
13, 217
1,402

8, 547
65,926
20,264
24,185
11,654
893
1,735
28
600
20,167
3,225
131, 382
9,153
38
66, 317
3,286
14, 280
59,387
1,097
2,970

19
18
3

1,812
13,664
2,508
342

23
37
15
38,
4

2,828
11,322
2,939
9,886

1

200

666

Education and Training

POLICIES ON WAR-TRAINING PRODUCTION WORK
IN VOCATIONAL SCHOOLS
SINCE July 1, 1940, when the defense training program was started,
many public vocational schools, especially those giving machine-shop
courses, have engaged to some extent in production work. Most of
the articles produced have been for the use of the schools, but recently
certain types of production have been undertaken for Government
establishments, such as navy yards and arsenals, and in some locali­
ties even production for private contractors on war work.
The United States Office of Education has now established policies
to govern such war-training production work in the public vocational
schools. The types of production work which may be carried on are
classified, and conditions under which production may be engaged in
are stated, proper safeguards are specified, and compensation for
trainees is provided for. Such production is to be conducted as a
cooperative enterprise between management and labor, and provi­
sion is made for the conservation of critical materials. The policies
are stated to be for “the duration of the emergency only.”
Types of Production W ork

The Office of Education classifies production work that may be
included in training programs for war production in vocational
schools as:
1. Production for school use, in connection with training for war
production, of hand tools, shop equipment and accessories, and
machine tools, as well as maintenance and repairs.
2. Production for Government establishments, including the proc­
essing of material for military establishments such as navy yards,
arsenals, and ordnance depots, with the Government establishments
providing the component parts and material.
3. Production work for private contractors, including the process­
ing of materials into component parts of war products, and various
machine operations in connection with that part of the war-production program engaged in by the contractor. Such materials and
component parts are to be provided by the private contractor.
Conditions Under W hich Schools M ay Engage in Production W ork

Selection of work- Production work must be selected primarily be­
cause of its instructional value, and training therein is to be based on
comparable standards of practice and production methods of the
industry in which the trainees will be employed. Only those articles
72

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Education and Training

73 .

are to be produced which are useful in connection with the war effort.
When work for processing on a mass-production basis is chosen, the
training must be of a kind to meet specific needs for unit-skilled oper­
ators in a given industry. The time element in training for the opera­
tion in a production line shall not be longer than is necessary for
proficiency at the minimum level acceptable to industry for the grade
of work for which training is given.
Objective of training.—The main objective of the training program
shall be the training of the students for war production in the shortest
possible time. Production must be a byproduct of training and must
contribute directly to the war effort.
The training program shall provide for each trainee minimum in­
struction on each type of operation required in the work on which
he is to be employed. In case of production work for a Government
establishment or a private contractor, the training plan shall be for­
mulated and approved by a committee from the industrial establish­
ment concerned, composed of craft and management representatives,
and its final approval shall be recommended by the local advisory
committee..
Records.—The schools must keep adequate records of the amount
and types of production work, of the value and distribution of the
work done and of the articles produced.
Legal requirements.—All requirements of applicable Federal and
State laws must be met.
Production time schedules.—The schools are forbidden to enter into
contractual agreements for a period too short for proper training.
Supervision.—Adequate technical counsel and advice shall be given
by the State to schools engaged in production work.
Specific conditions.—Articles produced for school use shall be re­
stricted to those which cannot be purchased and which are actually
needed in connection with the State program of vocational training
for war production workers. Such articles shall be so designed and
processed as to require a minimum of critical materials, and shall
not enter into the channels of trade in competition with articles pro­
duced by business and industrial establishments.
In order to insure proper inspection and coordination of the train­
ing with the requirements of the jobs only schools in the areas near
military establishments shall do production work for such establish­
ments. The establishment requesting the training shall select and
compensate the trainees in accordance with civil service regulations,
unless the school seeks the work for training purposes solely.
Trainees on production for private contractors shall be employed
by the contractors on the same basis and in the same way as other
employees, and then referred to the schools for training. During the
time they are actually engaged in production work they shall be
paid the beginning wage for learners in the occupation for which they
are being trained. The rate of pay shall be the prevailing wage as
established by any effective collective-bargaining agreement in the
plant for which they are being trained.
School authorities shall make sure that any lowered production
cost resulting from work performed by the schools has received proper
consideration.


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74

Monthly Labor Review—January 1943

WAR ORGANIZATION OF HIGH-SCHOOL STUDENTS
THE imminent inclusion of young men of 18 and 19 years of age in
the Selective Service and the realization that the war may be of long
duration have focused attention on the education and training of boys
and girls of 15 and 16 years of age for war service—the boys probably
in the armed forces and the girls in war production and other war
services. For this reason, the National Policy Committee (repre­
senting the War Department, the Navy Department, the Civil Aero­
nautics Administration of the Department of Commerce, the United
States Office of Education Wartime Commission, and civilian aviation
interests), which was formed for the purpose of developing a plan,
has sponsored the voluntary organization of the 6,500,000 students
in the 28,000 high schools of the Nation for war preparation and
service.
The plan for organization of a High School Victory Corps in every
high school, large or small, was launched in September 1942, and
enrollment therein is progressing in every part of the country. The
organization is voluntary. It is democratic in initiation and manage­
ment through school officials and advisory councils of students,
teachers, parents, and citizens of local communities. Its membership
is open to students of all races, colors, and creeds. Although Nation­
wide in scope, it does not establish a national organization as such.
The fundamental purpose of the High School Victory Corps is to
promote instruction and training for useful pursuits and critical war
services. The specified objectives of the Corps are as follows: Guid­
ance into critical services and occupations; wartime citizenship;
physical fitness; military drill; competence in science and mathematics;
preflight training in aeronautics; preinduction training for critical
occupations; and community services. I t is recognized that much
has been done in thousands of high schools along this line, but the
plan is to provide a Nation-wide framework into which all high-schoolstudent war organizations can be fitted, if desired, and which will
include all student bodies. State and local leadership is invited.
A general membership is provided in which all students can partici­
pate, and in addition there are five divisions designed for students in
their last year or two of high school. The requirements for enrollment
as general members of the High School Victory Corps include partici­
pation in a school physical-fitness program; studying courses not
only suitable to the age, grade, and ability of the student but also of
immediate and future usefulness to the Nation’s war effort; and
participation in at least one important wartime activity or service of
specified type.
Membership in each of the five divisions of the Victory Corps is
directly related to preparation for the special war service in which
it is believed the student may make the most effective contribution.
These divisions and the war service for which preparation is given are
as follows: Air Service Division, for service in the armed forces as
aviation cadets or as aircraft repair and maintenance workers; Land
Service Division, for some branch of the ground forces of the Army;
Sea Service Division, for some branch of the Navy or Merchant Marine
(other than naval aviation) ; Production Service Division, for service
in war industry, agriculture, or other essential civilian productive
occupations; and Community Service Division, for community or
other service occupation.

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Education and Training

75

Participation in programs of physical fitness and of military drill
is a requirement for all the divisions. High-school mathematics is
required in the Air Service Division, Land Service Division, and Sea
Service Division, the required time for the subject being, respectively,
3 years, at least 1 year, and preferably through plane trigonometry.
Shop mathematics is an alternative in the Land Service Division.
The Land Service Division and the Sea Service Division each require
at least 1 year of laboratory science—preferably elementary physics
in the Sea Service Division, and with the alternative of 1 year of shop
science in the Land Service Division.
In addition, the Air Service Division requires 1 year of high-scliool
physics; the Sea Service Division, one or more shop courses and a
course in the elements of navigation; the Land Service Division, one
or more special preinduction courses; the Production Service Division,
preparatory courses for agricultural work or trades or industry, and
part-time work, either paid or voluntary, in some form of production;
the Community Service Division, preparation for community service
at the professional level or commercial, distributive, homemaking,
or similar community-service occupations, and part-time work, either
paid or voluntary, in some form of community service.
It is the duty of the High School Victory Corps to make every
member realize the relation between his courses in high school and the
victory which means survival of all which we in our country hold
dear. Both curricular and extracurricular activities of the Corps are
designed to promote the training of the students for that war service
which will come after they leave school and for active participation
in the community’s war services while they are yet in school.
The organization of the High School Victory Corps in all the
secondary schools of the country is being promoted by the United
States Office of Education. All three divisions of the Army—the
Army Air Forces, the Ground Forces, and the Services of Supply—
are developing preinduction training manuals for use in secondary
schools. The manuals cover such subjects as the fundamentals of
electricity, automotive mechanics, preflight aeronautics, shop work,
machines, and others. The Navy, the Civil Aeronautics Administra­
tion, civilian defense councils, etc., have instituted programs to assist
in the training of these young people for war service. Coordination
of the Victory Corps program with other community war programs
is advised.
Insignia for the different branches of the Corps, including the
special service divisions, have been adopted, and may be worn on a
Victory Corps cap of uniform design or on arm bands or the front
pocket or sleeves of shirts, blouses, or sweaters. Simple uniforms, or
uniform dress, may be worn especially for public appearances, but
are not considered necessary.


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Industrial Accidents and Health

ACCIDENTS AND HEALTH IN BRITISH FACTORIES,
1941
BRITISH experience in this and the last war confirms the opinion
that if maximum production is to be obtained, the general require­
ments of the Factories Act, such as the prevention of accidents, pro­
vision of proper ventilation, heating and other physical conditions,
and reasonable hours of work, must be observed, according to a state­
ment by the Chief Inspector of Factories of Great Britain in his
annual report for the year 19414 This has not been self-evident, it is
said, even to some of the Government departments, as the extra out­
put obtained from long hours after the battle of Dunkirk is often
cited. However, “reasonable hours of work produce the best steady
output, and production is a matter of organization on these lines, lines
that will not prevent workers from making an extraordinary effort for
a short period to meet some exceptional emergency.”
Industrial Accidents

The increase in reportable accidents in 1941 was again very high,
but is accounted for by the increased war effort with a consequent
large increase in the number of factory employees, particularly in the
number of women employed in relatively dangerous industries.
There were 1,646 fatal and 269,652 nonfatal accidents in 1941—
increases of 20 percent and 17 percent, respectively, over the figures
for 1940. The principal increase was in accidents to adult women,
indicating that women not only had taken a great share in the
work of making munitions, but that they also had taken their share
of the dangerous processes in these industries. Compared with the
pre-war figures for 1938, the number of accidents to adult males had
increased from 134,752 to 191,343, or 42 percent; to adult females from
14,626 to 42,857, or 192 percent; to male young persons from 22,922
to 27,757, or 21 percent; and to female young persons from 7,803 to
9,347, or 20 percent. The approximate accident rate per 1,000 em­
ployed for adult males was 40 in 1938 and 50 in 1941, or an increase
of 25 percent; for adult females 9.5 in 1938 and 18 in 1941, or an in­
crease of 90 percent; for male young persons 43 in 1938 and 52 in
1941, or an increase of 21 percent; and for female young persons 14.5
in 1938 and 18 in 1941, or an increase of 24 percent. These figures
do not show the actual frequency rate, as the hours worked by the
injured persons in the 2 years are not known. It is probable that
there was about a 15-percent increase in hours and therefore in the
1Great Britain. Ministry of Labor and National Service. Annual Report of the Chief Inspector of
Factories for the Year 1941. London 1942. (Cmd. 6397.)

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period of exposure to risk in the main munition factories, and it can
be assumed that approximately this percentage of the increase in acci­
dents was due to this extra time of exposure.
The extent to which women are working in the dangerous processes
in industry is shown by the increase in accidents to females in a few
of the industries that are known as accident producers. In four
branches of the metal and engineering industries and in the aircraft
industry, the total number of accidents to women in 1938 was 3,491,
as compared with 22,544 in 1941. Among girls the number of acci­
dents rose from 1,754 to 3,380 in the same period. There is no evi­
dence that women are more liable to accidents than men, the report
states, with the exception of accidents caused by unconfined hair and
loose clothing, and it is the general impression of factory inspectors
that after the period of special liability to cuts and bruises in the
breaking-in period, women, for work within their strength, are safer
workers than most men. However, in spite of the large number of
women in war industries, the really dangerous industries are still staffed
largely by men. One generally accepted cause of the general increase
in accidents is the increase in the pressure of war work and the fact
that this work is so largely carried on by inexperienced workers.
Physical Conditions in Factories

Although there has been steady improvement in ventilation and
other requirements of the Factories Act in all parts of the country, it
is said there are still too many complaints of neglect of ventilation
and of the lack of necessary sanitary and washing accommodations.
These unsatisfactory conditions are found mainly in the new dispersal
factories, many of which are in buildings which were not designed for
the accommodation of large numbers of workers. In many of the
new factories insufficient consideration has been given to the problem
of ventilation under blackout conditions. In the larger factories and,
in particular, those where regular night shifts are worked, the neces­
sity for the installation of a ventilation system has been recognized,
and in many plants such a system was installed during the year (1941).
Under present conditions, however, the problem is becoming one of
the supply of ventilation equipment rather than of convincing the
management of the necessity for a ventilation system. The report
also emphasizes the importance of the thorough removal of harmful
dust and fumes by localized exhaust draft at the point of origin.
The Factories (Standards of Lighting) Regulations became effective
February 1, 1941, and have had satisfactory results, particularly in
the larger factories and the new wartime factories. The importance
of good lighting from the standpoint both of the comfort and efficiency
of the workers and of its effect on production has been more generally
realized than ever before, but the need for economy in the use of labor,
materials, and fuel is becoming increasingly felt and has to be kept in
mind in putting the regulations into effect.
Hours of Work

The control'of hours of employment of women and young persons,
which had been relaxed for a brief period in 1940 after the withdrawal
5 0 1 1 5 2 — 4 3 -------6


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Monthly Labor Review—January 1943

from France, was again well established by the beginning of 1941.
The terms of the General Emergency Order for Engineering and cer­
tain other classes of work, issued in the latter part of June 1940,
covered the requirements of the majority of factories in which emerg­
ency modifications of the hours provisions of the Factories Act were
needed. Early in 1942 less than half of about 10,000 factories which
had emergency permissions to employ women and young persons
over 16 either on a system of day and night shifts or for more than
48 hours a week on a day shift, were permitted hours between 55
and 60 per week, and this proportion has since tended to decrease.
It is pointed out in the report that the fact that permission has been
obtained for certain hours does not necessarily mean that these hours
will always be worked by the entire factory force.
The effects of changes in hours of work on production and absentee­
ism are shown by the records of different factories. In one case a
firm employing women in the making of hand grenades found that
production was higher in a 50-hour week than in a 56-hour week.
Records of daily and weekly output in a factory manufacturing
scientific glass, in which most of the employees were women, showed
that output was regained within a short time after an 8K-hour day
was substituted for one of 9 hours and 50 minutes. The value of
rest periods was shown in a factory maintaining a 12-hour night
shift for adult men, which had had only a half-hour break in the
shift. The granting of another half hour later in the shift showed,
after a short interval, that there was no loss in production. Various
systems of rotation of shifts by which the individual works only
6 days or less out of 7 have been put into effect, and during the year
there was a more extensive introduction of the part-time system of
employment of women with domestic or other responsibilities, in
order to meet the difficulties in connection with manpower.
Health in Factories

In the section dealing with health the Senior Medical Inspector
reports that there does not appear to be any reason to believe that a
general adverse effect on the health of workers has resulted from
wartime influences. If industrial employment had produced deteri­
oration in health, it would have been evidenced by an increase in the
notifiable infectious diseases, since a lowered vitality renders the indi­
vidual more liable to be affected by a poisonous substance. That
there has been no such rise in the number of cases of poisoning in
industry indicates that there has been no general lowering of vitality;
it cannot be stated, however, that all workers maintain their full
vitality, since workers in the heavy industries, for example, would
be unlikely to retain their normal health if long hours were worked
continuously. The most important factor in the maintenance of
health among the British workers is believed to be the provision of
canteen meals for workers, at reasonable rates. There is said to be
no indication that the work which women have taken up in industry
has, in-general, adversely affected them, although the employment,
on certain types of work, of women who have had children is con­
sidered unwise. Also, there is no direct evidence of physical injury
to young persons whose hours of work had to be increased temporarily.

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As regards specific diseases attributable to the materials handled in
different processes, it is pointed out that the number of cases of lead
poisoning—59—is the lowest since notification became a statutory
obligation. Cases of cyanosis developing from the handling of TNT
account for the greatly increased number of cases of “anilism” re­
ported, but these cases usually recover with removal from contact.
Cases of jaundice, however, occurring after the cyanosis or inde­
pendently, accounted for 41 cases, of which 12 terminated fatally.
There was a reduction in the number of cases of anthrax—22 with 3
fatalities, as compared with 37 with 5 fatalities in 1940. There were
nearly 200 more cases and 10 more deaths from gassing accidents.
Carbon monoxide caused the greatest number of cases—258 with
24 deaths in 1941, as compared with 162 with 20 deaths in 1940—while there was a reduction in the number of cases of gassing from
nitrous fumes—217 as compared with 236 in 1940. Cases of gassing
from all causes numbered 782, with 41 fatalities, as compared with
the 1940 totals of 585 cases and 31 deaths. There was an increase
in the number of cases of dermatitis, but this was not considered
surprising in view of the increasing numbers entering into employ­
ment and the increased use of materials causing dermatitis.
An encouraging feature of the health situation in factories was
the fact that, in spite of the difficulties occasioned by requirements of
the various branches of the service and in spite of other claims on
the medical profession, there had been progress in the provision of
medical supervision, particularly in the appointment of works medical
officers for part time.
Factory Canteens
Perhaps the most outstanding achievement of the year in the
maintenance of the health of industrial workers was the progress
made in the provision of factory canteens. Prior to the end of 1940,
canteens providing hot meals were relatively uncommon except in
the largest factories, but by the end of 1941, 6,592 places subject to
inspection by the Factory Department had canteens, while an addi­
tional 857 places were known to have canteens in preparation. There
are no statistics available as to the total number using the canteens, but
it is stated that it is safe to say that some millions of workers through­
out the country now habitually get a full cooked meal daily at
their works canteen. The feeding of workers in small places still
presents many problems, but much has been done for such workers
through the provision of British Restaurants.
######<
PUBLIC HEALTH IN GREAT BRITAIN IN 1941-42
Health Situation in Country as a Whole

THE health of the British nation remained good during the year
ended March 31, 1942, according to the annual report 1of the Ministry
of Health, although the period under review extended well into the
third year of the war. The sustained good health of the people,
which is said to be largely due to the improvements in housing, health,
1Great Britain. Ministry of Health. Summary report, for the period from April 1, 1941, to M arch31,
1942. London, 1942. (Cmd. 6394.)


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and other social services that were made between 1919 and 1939, has
contributed substantially to the war effort. The changing attitude
of the public toward health problems has been promoted by news­
paper and magazine articles and the radio, which have stressed the
value of keeping fit and of the use of the preventive services. Ration­
ing and the educational publicity of the Ministry of Food have created
a new and practical interest in a balanced diet and in methods of
preparing and cooking food so that the valuable constituents are
retained.
Incidence of Disease and Maintenance of Health
There was no great change in either the incidence or the death rates
of the principal communicable diseases during the year. The number
of cases of cerebro-spinal fever was still abnormally high, but notifi­
cations as well as the death rate per 1,000 of the population fell some­
what. There was a considerable increase in the number of cases of
diphtheria and an increase in the number of deaths over the precedingyear. Progress has been made in immunization of children against
this disease since the beginning of the campaign at the end of 1940,
when the necessary toxoid was made available to local authorities
free of charge. However, it is recognized that no substantial im­
provement in incidence or death rate can be expected until at least
three-fourths of the child population of the country has been im­
munized.
Parasitic diseases, such as scabies and typhus, were dealt with
under special regulations. The former disease has become widely
prevalent, partly because large numbers of the population have been
living under more crowded conditions; and, as a result, local authori­
ties have been given wider powers to deal with the disease. In view
of the prevalence of typhus fever in continental Europe, special pre­
cautions were taken to guard against its introduction into Great
Britain. Strict medical check is exercised at seaports and airports;
local authorities have been given full information about the disease
and how to deal with it; special medical and sanitary teams have
been organized and trained to deal with it in any area in which it may
arise, and arrangements made for expert diagnosis. Exceptional
precautions have also been taken against an outbreak of malaria be­
cause of the return to the country of abnormal numbers of persons
from malarial regions abroad, who are potential carriers of the disease.
An increase in tuberculosis is usual in time of war. The disease
had increased since 1939, but deaths from respiratory tuberculosis
which numbered 23,633 in 1941 were fewer by 27 than in 1940.
Deaths from nonrespiratory tuberculosis numbered 5,037, an increase
of 553 over the 1940 figure. Before the war, more and better houses,
slum clearance, and generally better living conditions had supple­
mented modern methods of treatment and care of tuberculosis.
Although these allies have largely been put out of action, in one way
the war has perhaps quickened progress by showing the value of minia­
ture radiography in early cases which other methods of diagnosis fail
to reveal. A committee of the Medical Research Council has in­
vestigated the general trends of tuberculosis from 1939 to 1941 and,
although its report had not been presented by the end of the period
under review, it was clear that one of its recommendations would be
the general use of miniature radiography as an aid in the early detec
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tion of tuberculosis as soon as the necessary apparatus becomes
available.
A campaign was carried out in the autumn and winter of 194142 by the Central Council for Health Education and the Ministry of
Information to impress upon the public the necessity for the control
of droplet infection spread by spitting, coughing, and sneezing. The
infections spread by this means range from the common cold and in­
fluenza to tuberculosis and other fatal forms of respiratory disease.
The fact that at least 2 days’ work are, on the average, lost by every
worker every year through colds and influenza makes it important in
the interest of war production to control the spread of these diseases.
The efficiency of the ordinary handkerchief as a trap for the droplets
has been publicized, but unfortunately the supply situation did not
allow the sale of handkerchiefs coupon-free, although this might
have been a great help to the campaign.
A shortage of nursing and domestic staff in hospitals was reported
in 1941 and there was also an acute shortage of these workers in sanatoriums. The need for such staff in infectious-disease hospitals is
one which may become urgent at any time. Recruitment for nursing
has been assisted by the Ministry of Labor and National Service and
by central and local publicity measures, with the result that the flow
of recruits to the civil nursing reserve has been maintained. A
special committee is concerned with establishing salary scales for
nurses, as well as working hours, length of holidays, and interchangeability of pensions.
Many drugs have become scarce or unobtainable owing to enemy
occupation of the sources of essential raw materials, to the need to use
these materials for nonmedicinal war purposes, and to the difficulties
of transport and exchange. Measures taken to meet the shortage of
drugs have been (1) the authorization of the use of substitute alter­
natives for certain scarce drugs, and (2) the issuance of a national
war formulary, providing for the economical use of essential drugs
of which there is a limited supply, and giving a comprehensive range
of formulas in which drugs which are scarce have been replaced by
those of equivalent value which are readily obtainable.
Summing up the experience for the year, the report shows that
there was no major epidemic, no falling away from nutritional stand­
ards, and no increase in mental disease. The estimated population oi
England and Wales, based on the mid-1939 population figures, was
41,460,000. The number of deaths from all causes in 1941, including
violence directly attributable to the war, was 535,180. The crude
death rate was, therefore, 12.9 per 1,000 population but, if deaths
from violence resulting from the war are excluded, the rate was only
11.7 per 1,000, a whole point below that of 1940 and only 0.2 above the
1939 rate.
CARE OF MOTHERS AND CH ILD REN

Maternal mortality which reached a record low figure of 2.60 per
1,000 in 1940 rose slightly in 1941 to 2.76, but the lowest rate for
infection incidental to childbirth—0.47 per 1,000 births— was recorded
in 1941. Infant mortality rose to 59 per 1,000 live births, 3 points
above the 1940 figure and 0 points above the record low of 1939.
However, the rate for the fir§t quarter of 1942 was the lowest yet
recorded for piy first quarter,

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Monthly Labor Review—January 1943

Expectant or nursing mothers and children under 5 years of age have
been furnished either free or cheap milk, and eggs in the ratio of four
to one available to the ordinary consumer. In addition, meals for
needy expectant mothers wore provided by many welfare authorities
at recognized communal centers. Children under six also had first
call on the limited supply of oranges and children under two could get
free or very cheap orange juice or black currant juice, while other
sources of essential vitamins were made available for children under
five. Provision was also made for clothing for infants when the
clothes ration scheme was introduced.
The need for wartime nurseries for the care of the children of work­
ing mothers developed rapidly during 1941. By August 1942, 675
whole-time and 151 part-time nurseries were open; 442 whole-time and
26 part-time nurseries were under contract; and 176 and 3, respectively,
were awaiting authorization. The nurseries are usually open from 12
to 15 hours a day, but some remain open the entire 24 hours. There
were 360 residential nurseries in operation by the end of March 1942,
with places for 11,400 children. Other facilities for the care of
children include 595 hostels established by local authorities for evacu­
ated children.
H O SPITA L D E V EL O PM E N TS

Prior to the war, although there were considerable and varied
hospital resources and well-developed hospital technique, there was
haphazard hospital distribution and uneconomical competing services.
After the outbreak of war, an emergency hospital scheme was created
to adapt and supplement existing hospital resources so that the needs
of civilian war casualties and of the services could be met. This
scheme, which was developed to meet the emergency, with the contin­
uation of the war became the center of the wartime treatment of the
whole hospital problem. The scheme could not in itself provide a
permanent solution of the hospital problem, but it has formed the
basis for a long-term hospital policy for post-war reconstruction
which is being developed.
Other developments under the emergency scheme include the pro­
vision of rehabilitation services for persons injured in war industry, and
vocational training for persons who have been disabled for their
ordinary occupation but are still capable of undertaking employment
under ordinary working conditions in wartime industry.
Health In London

An interim report2 for the year 1941 of the medical health and
school medical officer of the County of London, covering the second
whole year of war, shows that, in spite of the loss of life and destruction
of property from the continued heavy bombing during the first 4 or 5
months of 1941, the work of the health services was never disorganized.
No matter where the blow fell, new arrangements were speedily made
and the work went on. The patients and staff of hospitals which were
wholly or partly put out of action were promptly transferred else­
where and new patients were admitted to appropriate hospitals with­
out delay. Temporary ambulance stations and school clinics were
set up within a few days or even hours of the loss of a building. Under
1 T h e Local G overnm ent Chronicle, London, October 31,1942.


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the heavy air attacks the population of London fell considerably by
evacuation and this, combined with the absence of any serious
epidemic, made it possible to provide the necessary hospital treatment
in spite of the reduced accommodation. The rapid evacuation of air­
raid casualties and other acutely ill patients from the London hospitals
to hospitals outside the city (through the Ministry of Health’s
emergency hospital scheme) was of great assistance in keeping beds
available for casualties and for civilian patients.
The gathering together of large numbers of people in air-raid shelters
did not result in serious epidemics as might have been expected; and
diseases caused by droplet infection, such as influenza, pneumonia, and
bronchitis, were fewer in 1941 than in 1940. There were no cases of
smallpox or typhus fever reported during the year, and cases of cerebro­
spinal (or spotted) fever were fewer in 1941 than in 1940. Only two
deaths from scarlet fever occurred.
The rate of maternal mortality increased from 1.98 per 1,000 live
births in 1940 to 3.05 per 1,000 in 1941. The rate for 1940 was un­
usually low and the 1941 rate was about the same as the rates of 8 or
9 years ago.
The number of notifications of dysentery increased during 1941; but
enteric fever caused only 17 deaths, none of which was attributable to
infection by water, in spite of frequent disturbances of the sewerage and
drainage systems.
Deaths from street accidents in London fell from 543 in 1940 to 373
in 1941.
The number of notifications of tuberculosis increased—5,252 in 1941
compared with 4,979 in 1940—but there was some reduction in the
number of deaths. The population at risk in London is smaller and,
it is said, there is little doubt that death rates from this disease are
increasing.
In January 1941 the estimated number of elementary school children
in London was 85,000, but by the end of the year the number had in­
creased to 150,000. Routine and special examinations carried out
under the authority of the London County Council, when compared
with results of examinations of children of the same age groups in
1938, indicate that the nutritional condition of the children has re­
mained satisfactory and that the children as a whole were showing
no evidence of physical or mental deterioration. There was an increase
of scabies, however, among school children and in many cases the
condition of the children’s teeth was unsatisfactory. About 80
percent of the elementary school children received milk in the schools.
By the end of 1941 a total of 53,894 children either had received
inoculations against diphtheria or were in the process of being im­
munized. This represented about 30 percent of the London child
population between the ages of 1 and 14.
There is no evidence to show that war conditions and the stress of air
raids have resulted in an increase in the number of mental break­
downs, as during the year there was a marked decrease in the number
admitted to mental hospitals.
The work of the staff of the public health and mental health services,
particularly during the first part of the year, was often carried out in
the face of great danger. A total of 57 of the staff lost their lives on
duty during 1941 and 95 were injured by enemy action.


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Court Decisions

COURT DECISIONS OF INTEREST TO LABOR1
Supreme Court Decisions

AN extension of the decision reached in the Kirschbaum and Arsenal
cases is embodied in a later decision of the United States Supreme
Court in the case of the Warren-Bradshaw Drilling Co.2 In the
Kirschbaum and Arsenal cases the Supreme Court held that the
Federal Fair Labor Standards Act applied to maintenance and service
workers employed by the owner of a loft building whose tenants were
principally engaged in the production of goods for interstate com­
merce.3
In the Warren-Bradshaw Drilling Co. case, it was held that em­
ployees of a well-drilling company operating a rotary drilling rig were
engaged in an occupation necessary to the production of goods entering
interstate commerce, and thereby entitled to receive payment for
overtime hours in accordance with the Fair Labor Standards Act.
The rotary drilling process is a preliminary process in oil-well drilling;
it was left to other drilling companies with other employees actually
to “bring in the oil with cable tools.” Some of the oil produced found
its way into interstate commerce and the court ruled that, the em­
ployer, being “closely identified with the business of oil production,
cannot escape the impact of the act by a transparent claim of igno­
rance of the interstate character of the Texas oil industry.” A second
contention that no overtime pay was due because the employees
received wages in excess of the statutory minimum, including one and
one-half times that minimum for all overtime, was set aside as being
squarely in conflict with the decision in the Missel3 case. One justice
dissented from the interpretation of the court as to the coverage of the
act, holding that its effect “is to ignore all practical distinction be­
tween what is parochial and what is national.”
The petition of the Administrator of the Wage and Hour Division
for a rehearing of the Belo 3 case was denied by the Supreme Court on
October 26, 1942.
The Court also refused to review a number of cases involving the
National Labor Relations Act, the Railway Labor Act, and the Federal
Anti-injunction Act.
State Court Decisions

Recent decisions of interest in the higher State courts include a
case involving conflict between the Wisconsin Employment Peace Act
* Prepared by Division of Labor Standards in cooperation with the Solicitor’s Office, Department of
Labor.
2 Warren-Bradshaw Drilling Co. v. Hale (63 Sup. Ct. 125).
3 See.Monthly Labor Review, September 1942 (p. 531).

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of 1939 and the National Labor Relations Act. A local union of
structural-iron workers had been certified as the exclusive collective­
bargaining agent of the employees of the Lakeside Bridge & Steel Co.
by the National Labor Relations Board. The State board, however,
ordered the union to cease picketing the company’s premises and jobs,
on the ground that no labor dispute existed within the meaning of the
Wisconsin act. The union, the State board held, had not been au­
thorized by a three-fourths vote of the employees to call a strike; in fact,
the board maintained, it had lost its majority among Lakeside Co.’s
employees since its certification 4 years earlier. The Wisconsin
Supreme Court refused to sustain these determinations by the State
board. The court thought that any decline in membership might be
ascribed in large measure to the company’s refusal to bargain; in any
event only the National Board and not the court had power to order
a new election.4
Two recent minimum-wage cases ended unfavorably, owing in both
cases to d eficien cies in administration procedure. In Maine the Supreme
Judicial Court denied the jurisdiction of a lower court to enforce a
minimum-wage order, on the ground that the Labor Commissioner
had failed to file the required documents with the court.5
In California the Appellate Court denied the appeal of the State
Division of Industrial Welfare against the judgment of a lower court
invalidating that part of the Division’s minimum-wage order for the
restaurant industry which forbade counting tips as part of the
minimum wage.6 The question presented was: Is this section of the
order inconsistent with an act of the legislature, passed after the order
was issued, to regulate the practice of tipping? The law required
employers to post a notice indicating what proportion of the tips, if
any, must be turned in by the employees. The majority decision
invalidating the anti-tipping provision of the order rested, at least in
part, upon the fact that the Industrial Welfare Division had permitted
the practice of counting tips as part of wages to continue for some years
immediately following the enactment of the tipping law and, instead
of challenging its legality, had acquiesced in the practice. Only after
a change of State administration and the passage of some 10 years did
the Division endeavor to enforce that section of the order. Consider­
able weight was given by the court to this “contemporaneous con­
struction” of the conflict between the order and the statute. A long
and detailed dissenting opinion was filed, which is of interest in view of
the bill now pending in Congress to amend the Fair Labor Standards
Act, so as to exclude tips from the statutory minimum wage.
4Wisconsin Employment Relations Board v. International'Association of Bridge, Structurafand Ornamental
Iron Workers’ and Shopmen’s Local 471 (6 N. W. (2d) 339, 1942).
5Calvin L. Stinson v. Taylor (27 Atl. (2d) 400).
6California Drive-In Restaurant Association v. Clark (129 Pac. (2d) 109).


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Cooperation
********************************************+*******4**+**+*****+++**+*
COOPERATIVES AND POST-WAR PROBLEMS
COOPERATIVE associations in the United States, while coping with
wartime conditions, have become increasingly concerned with the
situation that will follow the peace, and have been directing their
thought toward insuring not only the continuance but the broadening
of democracy and the attainment of an economy of abundance.
Naturally, the part that cooperatives can and should play in such an
economy lias been one of their chief concerns.
Shortly after the attack on Pearl Harbor the cooperative movement,
acting through the Cooperative League of the U. S. A., offered the
Government its services in any measures that would assist in protect­
ing the interests of consumers. At the request of the League a bill
(Voorhis-Wagner resolution) was introduced in the 77th Congress of
the United States, calling for the establishment of a Federal agency
for post-war planning. It was reported favorably by the House
Committee on Labor in April 1942, but no action was taken by either
House prior to adjournment in December, so that the bill automatically
died. When the cooperative section of the International Labor Office
in the summer of 1942 inaugurated its current inquiry on the coopera­
tives’ part in the post-war world and called upon cooperatives for
their views, a detailed plan was drawn up by the board of directors
of the League. Planning for the post-war period was also the theme
of the thirteenth biennial congress of the Cooperative League, held
at Minneapolis, September 28-30.
Even before the United States entered the war Midland Cooperative
Wholesale in March 1941 called a conference of committees from each
of its 10 districts to formulate a program for cooperatives that would
strengthen them during the war and protect against a post-war col­
lapse. This conference recommended for the local cooperatives (1)
three measures to increase efficiency, namely, the setting of commodity
quotas, stricter control of credit with the purpose of attaining an
entirely cash basis of operation and measures to decrease loss through
shrinkage; (2) building of reserves rather than using surpluses for
expansion into new lines of business; and (3) the setting aside by local
cooperatives of sums equal to a tenth of 1 percent of annual sales, to
pay for employee improvement (such as attendance at training
courses, institutes, etc.). These recommendations were presented to
member cooperatives in a series of local meetings.1 The annual meet­
ing of the wholesale, held in June 1942, passed a resolution directing
that a post-war economic planning committee be appointed by the
Midland board of directors. The duty of the committee would be to
“receive, study, publish and transmit to the proper national authori1 Midland Cooperator (Minneapolis, Minn.), issues of March 12 and April 9,1942.
86


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ties any ideas or plans which appear to have merit in formulating our
post-war economic welfare.” 2
Program of Cooperative League

^ In a series of meetings during 1942, the board of directors of the
Cooperative League of the U. S. A. drew up a program for coopera­
tives that, in the opinion of the board, would assist in insuring perma­
nent peace after the present ward This program included four steps:
L Cooperatives should appoint committees on public affairs, which
should organize conservation programs among the cooperative mem­
bers and support legislation in the interest of consumers.
2. Cooperatives should support every sound effort on the part of
the Government to prevent the dangers of inflation and deflation.
The board pointed out that the simple way of prevention of these
dangers is to “pay as we go” and to take out of the people’s income
taxes, equitably prorated, sufficient to pay the Government expenses.
This would “leave in the pockets of the people only an amount equal
to the normal cost of the civilian goods which are available for
consumption.”
W hatever is borrowed now is only a deferment of the decision of who will pay
the taxes, since as a whole the am ount borrowed m ust be paid for in taxes in time.
We m ust learn to think in term s of goods—wars can only be fought with goods—
th e people can only consume the goods th a t are left. The people cannot have
any more goods th an are available, irrespective of the pay they get and the
price they pay.
But, to be realistic, to pay as we go would prevent profits and we are yet too
much profit-minded to adopt such a simple solution as to tax ourselves equitably
and in full for the to tal expense which the Government incurs. So we continue
to borrow and go in debt. However, this only puts an obligation on those who
have thought things through to endeavor, insofar as possible, to persuade the
Government to collect as much as possible in taxes levied on an equitable basis,
and thereby to prevent such an increase in debt as might arouse a revolutionary
spirit in the people and jeopardize the achievement of perm anent peace.
Along w ith supporting the Government in every sound effort to prevent infla­
tion and deflation, cooperatives should naturally promote programs of rationing
of scarce commodities, so th a t those who need them will receive w hatever supply
is available. There are also other types of action of a similar nature, leading
tow ard the achievement of perm anent peace, which also should be supported.

3. _Cooperatives should prepare a cooperative world program for
consideration at the peace table and persuade the people in advance
to be willing and determined to accept and support it. Reference was
here made by the board to the program submitted by the League to
the International Labor Office. That plan advocated the post-war
organization of an international economy on a cooperative nonpolitical
basis which, by accustoming people to “mutual aid in place of hostile
economic competition,” would eventually make war impossible.4
4. Cooperatives should educate their members to be willing to vote
funds and to send representatives to assist in the rehabilitation of the
cooperatives in other countries after the war.
After the First World War, the cooperatives in the United States were so weak
th a t they could only struggle for their own survival. After this second world,
war, cooperatives in this country should be able, with the preparations they are
rapidly making in strengthening their financial structures, to render m ajor
2

Midland Cooperator (Minneapolis, M inn.), June 24, 1942.

3Consumers’ Cooperation (New York), June 1942, p. 84.
i Idem, April 1942, p. 51.


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88

assistance to the stricken cooperatives in other countries. By preparing ourselves
to “clasp cooperative hands around the world” immediately as soon as the oppor­
tu n ity arrives, the consumers’ cooperative movement of the United States can in
p art repay to the cooperatives of other countries the indebtedness we owe them
for their having educated us to understand our powers as consumers, for havinginspired us to begin organizing cooperatives, and for having shown us the way
by their examples.

Action of the Cooperative Congress, 1942

The part that cooperatives may play in post-war reconstruction
was developed in a general discussion of a speech delivered at the
Congress of the Cooperative League held in September 1942, by
Charles W. Eliot, Director of the National Resources Planning
Board, outlining the Government program for the post-war period.
Certain assumptions were, he felt, to be accepted at the start: (1) A
total and complete victory for the United Nations; (2) a national
income of over 120 billion dollars of which upwards of 70 billions
will go for items connected with the war; (3) full employment of
manpower, with new skills and “vastly increased efficiency” ; (4) a
large demand for consumer goods, accumulated from unsatisfied
needs during the war; and (5) controls over rationing, allocations,
priorities, prices, etc., that will be increasingly intensified the longer
the war lasts. In comparison with these were set the following
objectives:
(1) The right to work, usefully and creatively through the productive years;
(2) the right to fair pay, adequate to command the necessities and amenities
ot life in exchange for work, ideas, thrift, and other socially valuable service;
(3) the right to adequate food, clothing, shelter, and medical care; (4) the right
to security, w ith freedom from fear of old age, want, dependency, sickness, un­
employment, and accident; (5) the right to live in a system of free enterprise,
free from compulsory labor, irresponsible private power, arbitrary public author­
ity, and unregulated monopolies; (6) the right to come and go, to speak or to be
silent, free from the spyings of secret political police; (7) the right to equality
before the law, w ith equal access to justice in fact; (8) the right to education,
for work, for citizenship, and for personal growth and happiness; and (9) the right
to rest, recreation, and adventure; the opportunity to enjoy life and take p art in
an advancing civilization.

Post-war plans to attain these ends must take into account the war
weariness that follows a long struggle, the fears of business depression,
and the hope of a “boom,” that may result in too speedy relaxation
of controls. “Post-war adjustment plans must head off both boom
and depression and substitute orderly gradual progress.” This will
necessitate that such plans have a definitely dynamic quality.
In the speaker’s opinion, “the democratic way to an expanding
economy is through purchasing power and freedom of choice in the
hands of the consumer.”
* * * We .have discovered th a t it is the existence of a m arket rath er than
restrictions on production which limits our economy. The survival of economic
democracy after the war thus seems to depend upon our finding a m arket which
will call upon our productive capacity to work a t a rate which will provide reason­
ably full employment. Only by assurance of such a m arket can the whole cycle
of purchase, production, employment, and purchasing power resulting from
em ployment be completed.

The steps to this end, to be included in the Government program are:
(1)
Dismissal allowances for service men and workers in war
industries, payable until they are again absorbed into peacetime
employments.

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(2) In order to increase purchasing power, a reversal of wartime
measures (taxes, wage limitations, compulsory savings, etc.) restrict­
ing purchases.
(3) Improved health, education, recreation, and other services for
the underprivileged third of the population, or housing paid for in
whole or in part at public expense.
(4) Greater use of cultural goods and services.
(5) Larger and quicker use of savings or “venture capital,” in­
duced by Government assistance to new ventures, such as in clearing
away obsolescent plant, in assembling properties for reorganization
and redevelopment, in simplification of tax policies, in new ways of
financing projects, and in exploration of new forms of joint private
and governmental partnership in new ventures (possibly cooperative
experience comes in here).
In planning the “preparedness campaign” for the post-war peace­
time, the National Resources Planning Board includes in its program
the following items: Plans for the return of service men to their
former jobs, for men let out of war industries, and for the reconversion
of the war industries themselves; plans not only for public works,
but for rebuilding cities and terminals, new transportation facilities,
etc.; plans for services in the field of health, nutrition, medical care,
education, recreation, and research; plans for broadening the present
scope of work relief, social insurance, and public assistance; plans for
labor and its participation in the new expanding economy, including
not only working conditions, rates and hours, but also relations with
management and the consumer, and the training of new skills; plans
for bringing into the program the various regions, States, communi­
ties, private citizens, local enterprises, and professional groups; plans
to deal with finance and fiscal policies; and plans for international
action, in which field the Board is collaborating with the Department
of State and the Board of Economic Warfare.
In the discussion that followed Mr. Eliot’s speech he pointed out
that the best service cooperatives can render toward “building the
future we want” is to organize their communities for the discussion
of post-war problems and mapping out suggestions and plans toward
their solution for the use and guidance of the National Resources
Planning Board.
In turn? with the theme of the congress were speeches by Dr. James
P. Warbasse, former president of the Cooperative League, on “The
organization of the world on a cooperative basis after the war,” and by
Neil S. Beaton, president of the Scottish Cooperative Wholesale
Society, on “A world cooperative democracy.”
R E SO LU T IO N S OF T H E CO O PERATIVE CONGRESS

Several resolutions adopted by the Cooperative Congress dealt with
planning for post-war conditions. One of these directed the board of
directors of the League to appoint at its next regular meeting or a
special meeting called for the purpose a national planning committee
to draw up a 5-year program, to coordinate cooperative activities
with those of the National Resources Planning Board, and to submit
the program to a special meeting of regional cooperatives or to the
next congress of the League. Another resolution provided for the
appointment of a standing committee on development of post-war

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planning, with the special duty of keeping in touch with similar groups
in other fields. A third provided for the immediate election of a com­
mittee of three “to set on foot a scheme of transportation, through
cooperatives, of commodities after the war to countries needing such
distribution,” this committee to cooperate with the American Red
Cross and other established agencies. Members elected to this com­
mittee were Howard A. Cowden, president and general manager of
Consumers Cooperative Association, a regional wholesale which until
the outbreak of war was active in international trade with European
cooperatives; Dr. James P. Warbasse, former president of the Coop­
erative League, chosen because of his wide first-hand knowledge of
European cooperatives and conditions, and Leslie Woodcock, manager
of the Eastern Cooperative Wholesale.
Action on International Scale

At the first world conference of the World Federation of Interna­
tional Groupments, held in New York City, December 4, 1942, Dr.
James P. Warbasse stressed the need of the following action for post­
war reconstruction:
1. Im m ediate restoration of the freedom of cooperatives in the occupied coun­
tries a t the close of the war.
2. Use of cooperatives as agencies for shipping and distribution of post-war
relief. Goods should not be given away b u t sold to th e consumers.on long-term
credit to remove the stigm a of charity. Cooperatives can function in all coun­
tries and make profit from none.
3. Avoid the tem porary m akeshift of relief by setting up cooperatives which
use methods of rehabilitation th a t are so good they will continue as a perm anent
p a rt of the program of reconstruction.
4. Encourage a concerted uprising of cooperators, not w ith arms b u t with
ideas, in all occupied countries to rebuild their former cooperatives.
5. Develop central national leagues or wholesales for production and distribu­
tion of commodities and services and expand trade between national wholesales
for trem endous international trade.
6. In colonial countries political governments will be confronted w ith the op­
portunity of the ages to develop a greater sense of responsibility among the people
by educational campaigns to teach and guide people in the way of self-help rather
th an giving them charity. Upon the degree to which this principle of self-help
is observed hangs the fate of civilization.

Early in March 1942 the Cooperative League announced the forma­
tion of the International Committee for Cooperative Reconstruction,
the duty of which was to be “to assist in the reconstruction of coopera­
tives in war-torn countries after the war and to encourage the use of
cooperative methods in general post-war reconstruction.”5
The committee is composed of a group of executives of cooperatives
now in exile in America from the occupied countries in Europe, a
number of American cooperative leaders, several economists and other
public men and representatives of several countries outside of Europe
in which cooperative activities are playing an increasingly important
part. Dr. J. P. Warbasse, president-emeritus of the Cooperative
League, is chairman.
It was stated that the committee would go to work immediately on
several projects: (1) Mobilizing the experience and the services of
cooperative leaders now in exile, for reconstruction work in their home
countries or for specialized work in American cooperatives; (2) serv­
ing as a clearing house for information on developments in the occu4 Cooperative League News Service, March 12.1942.

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pied countries; (3) encouraging Government and other agencies to
make cooperatives an important part of all programs of democratic
reconstruction; and (4) preparing short-wave broadcasts and other
materials designed to reach into occupied Europe. The committee will
work with The Cooperative League of the U. S. A. and the Interna­
tional Cooperative Alliance, London, in all of its enterprises.
#+#####*

E L E C T R IC IT Y COOPERATIVES, 19411
DURING the first 5 years of its operation the rural electrification
program brought about tremendous changes in the rural and farming
areas. On December 31, 1934, a little more than 4 months before the
Rural Electrification Administration was established, only 10.9 per­
cent of the farms in America had central-station electric service; on
June 30, 1941, the proportion had risen to 34.9 percent. More farms
were electrified during the 5 years ending in January 1940 than during
the entire previous 50 years. At the beginning of 1935 there were only
743,954 electrified farms as compared with 2,126,150 at the end of
June 1941. Significant progress was also made in reducing construc­
tion costs to a level permitting the average farmer to use electricity
in his home and work.
By the end of 1941, allotments aggregating $433,988,321 had been
made under the program, to 869 borrowers, for the construction of
rural lines and electrical facilities. Of these borrowers, 793 were non­
profit or cooperative enterprises. REA lines were operating in 73.9
percent of the 3,078 counties in the United States at the beginning of
1942, as compared with 52.5 percent at the end of October 1939. In
1942 the REA-financed lines, which are largely cooperatively owned,
were operating in every county in Arkansas and New Hampshire and
in over 90 percent of the counties in Georgia, Indiana, Iowa, Kentucky,
Minnesota, Mississippi, Missouri, South Carolina, and Tennessee.
Electricity cooperatives which had received allotments were in oper­
ation in all but 5 States; these were Connecticut, Massachusetts,
Nebraska (public power districts took the place of electricity cooper­
atives in this State), Nevada, and Rhode Island.
The appliance survey undertaken by the REA during the first 6
months of 1941 indicated a growing use of electrically operated appli­
ances and farm equipment. Socket-power radios, flatirons, washing
machines, refrigerators, electric pumps, poultry lighting devices, and
cream separators were among the popular appliances being used.
Considerable ingenuity and inventiveness in the use of home-made
apparatus were reported on numerous occasions. In view of the
restrictions placed upon the manufacture of electrical devices during
the war period, the REA has endeavored to encourage further this
development through its educational program.
Because of the shortage of critical materials required by the war
effort, no new REA-financed lines are being started except where the
lines provide electric service for war purposes. There is veiy little
likelihood that any new associations will be organized, or that estab­
lished ones will be expanded, during the war period, and there is a
1 Data are from U. S. Rural Electrification Administration, Report on Allotment, Construction, Operat­
ing, and Financial Statistics of REA-financed Systems, December 31, 1941; Congressional Hearings; and
unpublished data supplied to the Bureau of Labor Statistics by the Rural Electrification Administration.


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strong possibility that many of the going associations will have to
curtail their operations. Strenuous efforts were made by the REA
cooperatives during the year, however, to meet the increased demands
for service resulting from the efforts of farmers in the defense program
as well as from war industries and the armed forces.
In hearings before a Congressional Committee it was revealed that
not only had the rural electrification cooperatives invested over
$1,000,000 in war bonds, but they had made direct contributions to
the war program by aiding in the production of necessary food prod­
ucts. Electricity enabled the members to substitute mechanical power
for manpower and thereby release men for the armed services and for
war work. At the beginning of 1942, REA-financed systems were
serving or preparing to serve 36 war projects, 222 airplane beacons,
36 intermediate landing fields, and 52 aircraft radio facilities.
Financial Record of Electricity Cooperatives

Cooperative associations financed by the REA reported operatingrevenues of $33,400,701 for the year ending December 31, 1941. As
of that date, 329,554 miles of line had been put into operation, serving850,458 consumers. During the year the kilowatt-hours of current
purchased by the associations amounted to 808,493,528, of which
83,058,284 kilowatt-hours were generated by the associations them­
selves.
As of November 30, 1941, the total due on current notes outstanding
was $13,637,396 and the total payments on these accounts, excluding
overpayments, amounted to $13,497,935 or 99.0 percent of the amount
due. Delinquencies totaled $139,461 and were attributable to only
14 of the 869 borrowers to which allocations had been made. In the
case of 10 of the 14 delinquent borrowers, the amounts involved were
less than $4,000 each.
On December 31, 1941, payments made amounted to $12,586,395 or
99.5 percent of the $12,652,789 due. Delinquent accounts of, 71
associations amounted to $66,394, but there were 296 associations
which had made advance payments on their notes to the extent of
$3,702,651.
A summary of operations, by States, is given in the accompanying
table.
Statistics of REA-Financed Cooperatives, Year Ending December 31, 1941

State or Territory

Number of
coopera­
tive
borrowers

Total
allotments

Number of Number of Number of
energized
consumers
miles
coopera­
energized connected
tives

Operating
revenues

Total_________________

793

$408,213,368

706

329, 554

850,458

$33,400, 701

Alabama . . .
______
A la s k a ..___ ______
Arizona ____ ___ . ___
Arkansas . . . . . . _____
California.. . . . .
Colorado . . . . . . . . .
Delaware. .
___
Florida
. . _______ _
Georgia. . _____. _____
I d a h o _____ _____ ___
Illinois .. __________
Indiana . . . . .
. . .
Iow a... ____ ___ ___ _
Kansas_______________

21
2
1

11,706,049
295,000
708,000
10, 540, 500
1,351, 500
8 , 094,000
978,000
4, 299,500
23,082, 209
3,619,750
21,415,630
21,391,779
24,488,834
9,778,151

17

8,744
(*)
258
6,877
757
4, 657
973
2,600
19,685
2,731
18,059
20,389
22,411
8,145

25,093

807,153
(')
39,954
559,809
134,023
587,662
117,446
206,975
1,705,163
263,822
1,930,885
2,310,635
2,493,667
537,346

* N o t in operation


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17
4
18
1
12

44
9
27
44
50
24

(')

1

13
3
15
1
10

41
9
26
43
47
20

(0

608
16,847
2,019
10, 275
2 ,6 8 6

5, 806
57,939
5,882
44, 006
60,872
47,915
13, 597

Cooperation

93

Statistics of REA-Financed Cooperatives, Year Ending December 31, 1941

State or Territory

Number of
coopera­
tive
borrowers

TCp.ntneky ___________
Louisiana . ___________
Maine________________
M ary land
________
Miehigan __ _________
Minnesota
_______
Mississippi
________Missouri.
___ ______
Montana
________
New Hampshire - ____
]STp,w .To,rsbv __________
NTp.w Mexico _ _______
New York
____ - ___
North Carolina
_ ___
North Dakota_________
Ohio
_ _ _ _______
Oklahoma - ________Oregon
__ _ ______
Pennsylvania
_
__
Sont.b Carolina _____ South Dakota_____
Tennessee. _____ _____
Texas. _______________
Utah
_ _ _ ___ ___ _
Vermont _____________
Virginia - - _____ - ___
Virgin Islands ________
Washington
. ___ ___
W est V irginia
W isconsin
___________
W yom in g _______ - ___
i N o t in operation.

26
13
4
2

13
52
23
36
13
1
2

5
6

29
8

28
23
13
13
24
11
21

72
3
3
15
1

14
2

32
11

Total
allotments
$14,442,020
5,068,100
661,500
1,758,500
13,157,500
28,745,445
13,435,953
18,285,200
3,678,598
1,674,000
510, 800
1,233,000
2,060,000
13,720,200
4,464,472
18,071,993
10, 512,591
4, 674, 500
11,282,700
7,487, 500
3,333,500
12,421, 500
35,109,174
1,307,000
1,091,000
9,120,300
275,000
5,646,200
1,362,000
18,577,420
3, 296,800

Number of Number of Number of
energized
consumers
miles
coopera­
energized connected
tives
25
11
2
2

13
45
22

35
12
1
2

4
0

)

26
6

27
21
12

13
21
6

17
65
3
3
15
1
12

2

27
9

11,213
4,201
283
1,097
9,230
24, 310
1 2 , 280
15,384
2,847
1,373
355
904
(>)
10,640
2,280
16,219
10,155
1,897
8,652
8,657
1,685
7,944
33,187
544
622
7,817
53
4,016
430
13,244
1,749

Con.
Operating
revenues

31,438
11,082
708
2,830
28,184
48,681
41,911
32,723
6,463
2 , 281
1,188
1,997
(0

31,525
4,198
47,807
19, 607
4,732
25, 287
24,166
2,933
48,666
72,817
1,724
1,489
20,836
304
7,236
1,188
29,215
3,697

$1,152,716
425,015
22,966
123,170
U 1)^3,9/5
2,596,336
1,212,746
1,313,834
333, 518
43,410
61,023
100,491
(0

786,080
222,558
1,929,524
792,176
183,781
957,084
645,495
126,402
2,213,982
2,285,513
67,000
47,837
835,102
0

330,069
34,299
1,654,888
175,172

2 D ata not available.

FEA TU R ES OF COOPERATIVE HOUSING 1
THE question of housing lias in recent years increasingly engaged the
attention of the people and the public authorities, because of its
effects on health and on economic life as a whole. The complexity of
the housing problem has induced numerous countries to adopt housing
policies, based on statistical inquiries and special surveys regarding
housing conditions. Large-scale public housing projects have been
carried on all over the world. The provision of living accommodations
has become a matter of world-wide interest as well as a vital problem
for the average household, for which this single item represents from
20 to 25 percent of the total family budget. * * *
Depending upon the angle of approach, the efforts to solve the
housing problem may be roughly divided into commercial housing,
government and public housing, limited-dividend projects, and co­
operative housing.
.
.
.
Commercial housing.—Since comparatively large investment is
involved in home ownership, the great majorities of the population
of the cities are housed by commercial builders on a rental basis.
Houses constructed by these builders as a commercial venture not
only serve as homes to live in but also are investments and means ol
obtaining profits. As a result, the factors most closely affecting the
occupant—such as sanitation, conveniences, and choice of the site—
are for the builder primarily marketability features. Also, the tenant,
i Fxppm ts from in troductory chapter of C ooperative H ousing (report issued b y T h e C ooperative Project
N ew V o r ^ C it y 11Works P roje cits A dm inistration, w ith th e assistance of th e E dw ard A F ilen e Good W ill
F u n d , Inc.; the project is under the sponsorship of th e U . S. B ureau of Labor sta tistics).
5 0 1 1 5 2 — 4 3 --------7


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Monthly Labor Review—January 1943

if he is a renter, usually regards the dwelling as temporary quarters
only, and may therefore not be particularly concerned with its best
appearance or maintenance. All of these factors, if not controlled,
contribute considerably to overcrowding, congestion, and creation of
slums.
Government housing.—Government action in housing usually involves
financial measures, such as direct subsidies from the central and local
authorities, mortgage loans, advances of capital at low rates of interest,
etc. Although interest in housing on the part of governments is of
comparatively recent origin, government action has proved indispen­
sable in most countries in order to provide the lower-income groups of
the population with dwellings meeting the housing standards devised
by modern science. At the same time two essential difficulties are
usually inherent in governmental action as a method of solving the
problem of housing. The first is the difficulty of engaging the active
interest of the beneficiaries themselves and of preventing destruction
of the spirit of self-help. The second is of an organizational nature;
public-housing experience all over the world indicates that the govern­
mental machinery is often too complicated to insure a smooth ad­
ministration, there may be shifts of responsibility from one agency to
another, and the proper coordination of the efforts of central and local
authorities is hard to achieve. As a result of this, government housing
may become very expensive and its successes in regard to one part of
the population may be attained at the expense of another.
Limited-dividend, projects.—The limited-dividend method of housing
is semiphilanthropic in nature. It originates in the inability of the
lower-income groups to keep pace, in paying rents, with the develop­
ment of higher standards of dwellings, and in the consequent gradual
withdrawing of commercial housing from the low-cost market. It is
for these low-income families that limited-dividend housing is designed .
Although directed toward a real need, this type of housing project
has rarely developed to the point of acquiring any considerable social
and economic importance, and up to the present has played a relatively
small part in the solution of the housing problem. Primarily philan­
thropic in motive, some limited-dividend projects nevertheless repre­
sent a manifestation of cooperative spirit and do approach, therefore,
cooperative housing.
Cooperative housing—In the case of cooperative housing, the diver­
sity of forms, objectives, and methods of operation is very great.
The housing cooperatives, as to their organizational forms, range from
savings associations in Denmark, and the earliest forms of the build­
ing and loan associations, to various garden city projects and “gen­
uine” housing cooperatives. The characteristic features of a genuine
housing cooperative are as follows:
(a) Each member has one vote, regardless of the number of shares
held.
(b) The buildings are bought or constructed by the association as
such and not by the members individually.
(c) Each member owns shares in the association to the value of the
dwelling he occupies and does not receive title to any individual dwelling; legal ownership is held by the association as a whole.


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Cooperative Housing—Extent and Variations

In actual practice a relatively small proportion of the housing coop­
eratives adhere strictly to all of the principles noted above. For
instance, in a group of 35 associations in this country, studied by the
Bureau of Labor Statistics in 1936, in only 3 was each member allowed
one vote on administrative decisions regardless of the number of
shares held (Monthly Labor Review, November 1937). In Europe,
probably in no other branch of the cooperative movement has devia­
tion from the accepted principles been so frequent. Under these
circumstances it is sometimes difficult to draw an exact fine of demar­
cation in defining what constitutes cooperative housing.
Also, authorities differ in their classification of associations in the
housing field, and for this reason statistics brought together from
various sources have to be examined carefully to be sure of their com­
parability. Thus the 10,073 housing cooperatives shown for the
United States in the statistics of the International Labor Office, for
1939, included 10,025 building and loan associations. The U. S.
Bureau of Labor Statistics publishes data on such associations but
classifies them as semicooperative and regards them as financing rather
than housing organizations. That this view is shared by the Cooper­
ative League of the U. S. A. is indicated in a statement in its periodi­
cal, Consumers’ Cooperation, that the building and loan association
is “nothing more than a cooperative bank, which helps individuals to
build their own homes by lending them money for that purpose at
a fair rate of interest and giving them long-term mortgages on easy
conditions.”
* * * [However,] Their motive is service and not private profit;
they could be adapted and developed into genuine cooperatives; and
they certainly represent a manifestation of cooperative effort applied
in the field of housing.
The advantages of cooperative housing are both economic and social.
Member-owners in genuinely cooperative apartments receive back,
over a period of time, at least part of their original investment, in
the form of lower monthly payments (“rent”) as the amount of princi­
pal owed is reduced. Cooperative housing develops the spirit of
self-help and cooperative action by imposing upon each member the
responsibility of joint ownership and operation of the building in
which he lives. The democratic form of administration inherent
in the housing cooperative gives the members a liberal education in
democracy in action, creates a common bond among them, and goes
a long way toward eliminating the usual indifference of the ordinary
city dweller toward his neighbors. Joint activity in running the build­
ing may easily lead to other cooperative activities. Among those
carried on by cooperative housing associations in the United States
are the following: Operation of cooperative laundry, library, nursery
school, playground, garage, restaurant, and store, and cooperative
purchase of ice, electric current, and milk. Because of the ownership
factor and the personal interest of the member-occupants, there is
always the incentive for proper maintenance of the building, so that
cooperative property does not degenerate into slums or become a
detriment to the community.
The obstacles to cooperative housing cannot be disregarded, how­
ever. It may be an arduous task to find a homogeneous or congenial

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96

Monthly Labor Review—January 1943

group of members, especially in the large cities. Ignorance of the
cooperative idea also retards the growth of cooperative housing. Of
particular importance is the fact that few groups can provide sufficient
funds to cover the entire construction costs, and the difficulties in
securing funds or credit for this purpose are many; this is one of the
prime reasons why cooperative housing in the United States has not
been particularly successful in reaching the low-income groups for
which the problem of housing is of especial importance.
An indication of the development of cooperative housing (including
building and loan associations) in some of the countries of the world
may be obtained from the following data, published by the Inter­
national Labor Office in 1939 in its report, Cooperative Societies
Throughout the World (pp. 22, 23):
Number of
associations

A ustria-----------------------------------------------290
Czechoslovakia________________________ 1 ; 341
’ 437
F rance-----------------------------------------------G erm any--------------------------------------------- 3 , 650
G reat B ritain --------------------------------------- 1 , 3 3 3
Ita ly --------------------------------------------------- 1 , 204
Sweden------------------------------------------------ 1 , 000
A ustralia--------------------------------------------180
In d ia-------------------------------------------------200
United S tates--------------------------------------- 10 , 073

Membership

38,711

71 909
3 3 ’QOO

736, 757
2 , 121, 090

71,000
40,000
81,106
6,300
5, 002, 248

Cooperative Housing in Certain Foreign Countries

Great Britain.—From the historical point of view the British cooper­
ative movement was the first to be concerned with the housing problem.
Although England developed the earliest industrial slums, as the
price for her leadership in the industrial revolution, she also assumed
the leadership, in the 1850’s, in the movement to remedy slum con­
ditions. The British Utopians contributed to the “garden cities’'
movement, and the garden cities of Letchworth and Welwyn produced
that cottage-and-garden type of housing which has been considered
traditionally an ideal for cooperative housing. The English housing
cooperatives have practically all built their houses outside of the limits
of the cities. However, most of these cooperatives have for their
objective the financing of low-cost individual houses rather than
cooperative ownership and management; they therefore resemble the
American building and loan associations, rather than the genuine
housing cooperatives.
Among the oldest British societies are the Woolwich Equitable
founded in 1847 (apparently the oldest of the societies existing in
Great Britain today), Leeds Permanent (1884); National (1849)and Halifax (1853). By 1890 there were 2,795 “ building” societies
in Great Britain, with 646,388 members. The Homestead Tenants,
Ltd., one of the largest societies in Great Britain, has financed the
building of over 5,000 houses. The local societies long ago federated
into a national organization, maintaining a staff of architects and
expert builders, and serving as a financial center and agency central­
izing the purchases of building materials for member associations.
Denmark.—In Denmark, comparatively few housing associations
can be considered as entirely cooperative; the form and methods of
the government aid which they receive provide all features of public,
rather than cooperative housing.

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Cooperation

97

The Workmen’s Cooperative Building Society, organized in Copen­
hagen in 1912, is an example of the genuine housing cooperatives
in Denmark. Each apartment house of this society operates as a
separate branch of the main society and is under independent manage­
ment. The society itself therefore is somewhat like a federation of
cooperative housing associations, and has not only been successful
in its building activities but has also undertaken its own production
of building materials.
Switzerland.—There were no housing cooperatives in Switzerland
prior to 1900, but by 1932 there were 130 of them, which with the
aid of the State and communes had been successful in bringing about
a substantial lowering of rents. Although, as was noted by the
Ministry of Public Health in 1933, Switzerland has not had the acute
housing shortage which necessitated public and cooperative action
in most other European countries, it has contributed one of the bestknown examples of cooperative housing. The name of the coopera­
tive community “ Freidorf” (near Basel), founded in 1919, is known
to cooperators all over the world as one of the most successful co­
operative housing projects. The village consists of about 150 houses,
most of which are occupied by the members and employees of the
Swiss Cooperative Union. Community enterprises include a com­
munity building, a cooperative grocery store, and one of the best
European schools for training cooperative shopgirls.
Czechoslovakia.—In Czechoslovakia, housing cooperatives formed
the most numerous group of three types of the so-called “ public
benefit housing,” which constituted a significant part of the housing
policy of the former Czechoslovakian Government. These coopera­
tives were under supervision of the Ministry of Social Welfare and
were required to confine their activities to the construction of houses
and to the sale or leasing of family dwellings and other available
spaces in such houses.
Sweden.—Although the early housing associations bore little re­
semblance in their practices to the present accepted principles, it is
nevertheless true that in Sweden, more than in any other country in
the world, cooperative housing has been closely related to the general
cooperative movement.
. .
The earliest housing societies in that country were three associations
formed in Stockholm between 1870 and 1880. In the Swedish capital
housing conditions were such that, according to the GovernorGeneral of Stockholm, “ many respectable working men with their
families had been forced to seek shelter in garrets and outbuildings
where it was impossible for them to protect themselves from the cold.”
In the 15-year period beginning in 1870 rents increased by as much
as 80 percent.
The early housing societies in Stockholm were called housing
clubs” (Bostadssallskap) or “ workmen’s housing associations” (.Arbetarbostadsbolag). Since no appropriate cooperative legislation existed at
that time, they were organized as stock companies. It was the prac­
tice of most of these societies to buy houses already built, which they
then would rent (not sell) to members.
The first important cooperative milestone was reached on June
21, 1916, when the Stockholm Cooperative Society was founded.
This society, also, was primarily a rental society; to safeguard the
tenants’ leases, however, its statutes provided that the society itself

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98

Monthly Labor Review—January 1943

could not break a lease if the tenant had lived up to the conditions of
die contract. The tenant, however, was free to terminate the lease.
Each tenant-member had to invest 10 percent of the cost of his apart­
ment, in return for which he received the apartment at a rental
much lower than the current rate. On withdrawing from the society,
a member was reimbursed the full amount paid down, as well as
accumulated interest. Thus 10 percent of the cost of the housing
was furnished by the members; the other 90 percent consisted of
loans (obtained mostly from the city).
The Stockholm Cooperative Housing Society is still in existence
and is today one of the principal real estate owners of the city. In
1937, its houses contained accommodations for 2,000 families and its
membership numbered 2,429.
In 1917, as a protest against the wild speculation in private real
estate, a Tenants’ Union was organized in Stockholm and Gothen­
burg. Gradually similar unions were formed in other cities and in
1922 all of them combined into a national society. In a letter sub­
mitted to the Swedish Government, the Stockholm Union asked per­
mission to arrange a lottery with prizes aggregating about $750,000.
rhe surplus was to be used for the construction of 800 apartments
for the members. The Government approved the plan and the next
year the building program was started. The plan to continue the
lotteries was, however, later vetoed by the Government under pres­
sure of private owners. Not until 1922, when the housing situation
went from bad to worse, was the plan resurrected. By that time it
had become clear that only a firm and permanent organization could
insure sane systematic cooperative action. It was this need for a
strong organization that gave birth to the idea of the Tenant’s
Savings and Building Society (popularly known as “ H. S. B.”).
The first II. S. B. society was organized in Stockholm in 1923 and
was rapidly followed by others. A national H. S. B. association
was formed in 1926. The organizational arrangement of the H. S. B
1S ,follows: EveiT cooperative building constitutes a separate locai
or “ daughter” society which represents the members as owners of
the building, attends to the management of the building, and functions
as an economic and legal unit. In every city there is a parent society
which organizes the locals, assists them in constructing the buildings
and then turns the buildings over to them, relinquishing all further
legal rights, except those specified in the contract.
All the parent societies are federated into the National H. S. B.
Society. The latter operates as a financial center, obtains loan funds
from the Government, sells “ building loan certificates,” and accepts
from the members deposits in its savings fund. It has created a
unified purchasing agency through which pass all orders for materials
that go into the numerous H. S. B. houses; it also has an architectural
office. A high standard of housing has been, from the very first, one
of the chief aims of the H. S. B. It also has done a good deal to im­
prove city planning in Sweden. Today H. S. B. has numerous factories
producing building materials; it has initiated a special “ H. S. B.
Home Protection Insurance” for its members; and has extended its
activities to the development of a summer colony, “ Arsta Havsbad,”
in one of the most beautiful seashore districts of Sweden. Cooperative
nurseries and playgrounds are integral parts of almost every H. S. B.
house. The recent achievements of H. S. B. are the so-called “ Co
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Cooperation

99

operative Children’s Hotels,” where children are received for care
when their parents for some reason cannot keep them at home or must
be away for a few days. * * *
The International Labor Office notes, in its statistics throughout
the world, altogether 21,474 associations with 8,408,354 members.
These figures indicate that, in comparison with the need, cooperative
housing is still insignificant. The discrepancy between accomplish­
ment and need is still more apparent in view of the serious worsening
of the housing problem which has been brought by the war. Un­
doubtedly housing will be among the other problems with which the
whole world will be confronted in the formidable task of the post-war
social and economic reconstruction. Of course, cooperative housing
cannot solve the problem alone. But by a steady and peaceful progress
the cooperative movement can greatly contribute both to the eleva­
tion of the standard of housing all over the world and to the develop­
ment of the spirit of self-reliance, initiative and cooperation in the
broadest and best meaning of the word.


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Cost o f Living

CHANGES IN COST OF LIV IN G IN LARGE C ITIES,
N O V EM BER 15, 1942
LIVING costs of city families rose 0.7 percent between October 15 and
November 15,1942. Most of the increase was due to the rise in food
costs, particularly those not under OPA control, to higher charges for
personal and professional services, and to the new excise taxes effective
on November 1. These taxes—on cigarettes, cigars, telephone calls,
and railroad fares—resulted in an increase of 0.1 percent out of the
total increase of 0.7 percent in living costs.
Since mid-May, when the General Maximum Price Regulation be­
came effective, food costs have moved up 7.8 percent and costs of all
other goods and services, 0.6 percent. Today, prices of almost every­
thing important in family spending, with the exception of some fresh
fruits and vegetables (constituting, with a few other foods, about
10 percent of the family food budget), and all personal and profes­
sional services are controlled by Government regulations. Rent ceil­
ings have been announced for all cities. About 12 percent of the
family budget thus remains uncontrolled.
The following figures show changes from October 15, 1942, to
November 15, 1942.
Percent of change,
Oct. 15,1912, to
Nov. 15,19/,2

All item s____

_

__

__ _ _

Food________________________
Controlled by OPA on November 17_
Under March ceilings
____
Ceiling adjustm ents perm itted in October
Under price freeze of October 5
Uncontrolled by OPA on November 17
Clothing _ _
_
R ent__
Fuel, electricity, and ice _
. _
Housefurnishings__ __ _
__ _
Miscellaneous______

-t-0 7
4 -1 2

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

+. 5

----------------------- + 1 .1
----------------------- + . 8
----------------------- + 6 . 6
----------------------- 4-, 1
i

(2)
---------------------------------------------

4-. 1

+ .8

1 Includes lamb prices, frozen on August 1 .
1 No change.

By November 15, the index of living costs for city wage earners and
lower-salaried workers had risen to 119.8 percent of the 1935-39
average, and 21.5 percent above costs in August 1939.
Food costs.—The average family food bill rose by 1.2 percent be­
tween mid-October and mid-November. Most of this increase was
in prices of the fresh fruits and vegetables and fresh fish which are not
under direct control by the Office of Price Administration. These
advanced 6.6 percent and by mid-November were selling 21 percent
higher than in May 1942. Food prices under direct control of the
100

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Cost of Living

101

OPA advanced 0.5 percent during the month, as quotations moved
up for a number of products whose prices have recently been adjusted
under OPA regulations, such as lard, canned fruits and vegetables, and
canned fish. Prices also increased for eggs and butter, brought under
OPA control on October 5.
All cities surveyed in the New England, Middle Atlantic, Mountain,
and Pacific areas reported increases in food costs, while three cities in
the South showed decreases because of locally lower prices for fruits
and vegetables. San Francisco showed the greatest increase (3.5 per­
cent), while Savannah reported the largest decline (0.8 percent).
The Bureau’s index of retail food costs for November 17 stood at
131.1 percent of the 1935-39 average, the highest point reached since
January 1930. The cost of food was 16 percent higher than at the
same time in 1941. It has increased 40 percent since the outbreak
of the war in Europe, when food prices were unusually low.
Clothing and housejurnishings.—Cost of both clothing and liousefurnishings rose, on the average, 0.1 percent over the month. A few
seasonal clothing articles were marked down to sell out (women’s
coats in certain cities, for example), while for some goods increases
were noted, where prices were returned to pre-sale levels. In 14 of the
21 cities, advances were reported in prices of men’s business shirts.
Prices of sheets advanced in several cities. There were continued
reports of shortages of blankets.
Rents.—-Only slight changes in rents occurred during November in
the cities surveyed by the Bureau of Labor Statistics. Houston was
the only exception, and in that city the rental bill of moderate-income
families dropped 1.1 percent between mid-October and mid-November,
as a result of Federal control established on November 1. In three
other cities where rents were placed under Federal control on Novem­
ber 1, rents remained unchanged between mid-October and midNovember. In Cincinnati, on the other hand, in spite of the imposition
of Federal control on November 1, the average rental bill rose 0.2 per­
cent. In Seattle, where Federal control has been in effect since June 1,
rents continued to decline, dropping 0.2 percent during the month.
Fuel costs.—Higher wood prices in Manchester, and increased bi­
tuminous-coal prices in several mid-West cities, authorized by OPA
were the outstanding changes in fuel costs. In New York, the rate
charged for gas for domestic use was advanced as usual at tbis season
of the year.
Other goods and services.—Increases in the cost of miscellaneous
goods and services, which averaged 0.8 percent over the month, were
due in large part to the new excise taxes, imposed on November 1 on
cigars, cigarettes, telephone calls, and railroad fares. In addition,
there were advances in hospital and medical charges, and in beautyand barber-shop services in a number of cities. In a few cities, in
spite of OPA controls, increases were reported for laundry and auto­
repair charges. These increases were in part counterbalanced by
declines in automobile-insurance rates, which were lowered because
of the general decrease in driving.


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102
T

Monthly Labor Review—January 1943

able

1.

Percent of Change in Cost of A ll Goods Purchased by Wage Earners and
Lower-Salaried Workers in Large Cities over Specified Periods
Percent of change
from—

Area and city

Nov. 15,
1941, to
Nov. 15,
1942

Percent of change
from—
Area and city

Dec. 15,
1940, to
Nov. 15,
1942

Average: Large cities_______

+8.7

+19.0

New England: B o sto n ..........
Middle Atlantic:
Buffalo_______________
New York___ . ..
Philadelphia___________
Pittsburgh____________
East North Central:
Chicago____ _____ ___
Cincinnati______ ____
Cleveland____ ______
Detroit_____ _______
West North Central:
Kansas C ity.................. .

+9.4

+19.9

+ 8 .8
+9.0
+9.5
+ 8 .1

+20.7
+17.4
+19.7
+17.8

+7.6
+ 8 .1
+ 8 .1
+7.1

+18.2
+ 2 0 .1
+19.6
+19.4

+7.9

+18.6

Nov. 15, Dec. 15,
1941, to
1940, to
Nov. 15, Nov. 15,
1942
1942

West North Central—Con.
Minneapolis__________
St. Louis__________
South Atlantic:
Baltimore________
Savannah___________
Washington, D. C_____
East South Central: Binningham_______
West South Central: Houston
Mountain: Denver __
Pacific:
Los Angeles________
San Francisco____
Seattle................... _

+7.5
+7.8

+16.4
+17.2

+8.7
+ 8 .8
+ 8 .8

+20.4
+ 2 1 .6
+18.6

+5.6
+ 6 .6
+ 8 .0

+17.7
+15.9
+18.3

+10.9
+11.7
+9.5

+20.5
+ 2 1 .6
+ 2 1 .8

T ab le 2.

Percent of Change, Oct. 15 to Nov. 15, 1942, in Cost of Goods Purchased
by Wage Earners and Lower-Salaried Workers in Large Cities, by Groups of Items.
Area and city

Average: Large cities______
New England: B o sto n .......
Middle Atlantic:
Buffalo________
New York____
Philadelphia__________
Pittsburgh______ .
East North Central:
C hicago________
Cincinnati____
Cleveland___
Detroit______
West North Central:
Kansas City__ __
Minneapolis__ _
St. Louis_____ ..
South Atlantic:
Baltimore________
Savannah_______
Washington, D. C . . .
East South Central: Birmingham
West South Central: Houston
Mountain: Denver
Pacific:
Los Angeles____________
San Francisco______
Seattle___________
Based on data for 51 cities.
2 Based on data for 21 cities.
1

3 No change.
4 Based on data

for 34 cities.


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Fuel, elec­ Housetricity, furnish­
and ice
ings

All
items

Food

+0.7

i + 1 .2

+ .8

+1.5

+ .2

0

0

+ .7
+ .9
+ .9
+ .3

+1.4
+1.7
+1.9

- .1
+ .1
+ .1

0

+ .2

+ .5

0
0
0
0

+ .4
+ .3
+ .5
+ .5

+ .8

0
0
- .1
+ .1

- .1
+ .2
0
- .1

+•

+ .5
+ .8

+ .4
+ .5
- .2

+ .4

+ .4
+ .5
+ 1 .1

3

+ 0 .1

R ent

2-

0 .1

+. 8
+ 1 .8
+ .7

1
+ .2
+ .1

+ .1
- .1
0

+ .8
-.8
+ .8

+ .2
0
0
+ .1
- .2
+• 1

0
0
0
0

0
-.2
+ .6

- .3
- .4
+ 1 .2

+• 6
+ 1 .6

+ 1 .1
+3.5
+1.4

+ .6

Cloth­
ing

0
+ .2

- .5

-

1 .1

(3 4)

0

+ .3

+ .2
0

+ .1

+•
0

+• 1
0
0
0

(’)
0
0
0
0
0

0
0
0

+ .3

1

+ 0 .8
1 .1

+ 1 .1
+ 1 .0
+. 8
+ 1 .2
+ .6

0
0
0

+ .9
+ 1 .6

0
0
0

+ .7

+ .6

+ .6

+ .7

+ .2

+ .5
+ .7
+ .5

+ .4

+ .4

+•

2

0

+ .4

2

+

~
+ .2

0
0

0
-.1
0
-.2

2 + 0 .1

Mis­
cella­
neous

0
0

0
0
0

+ .6
+ .6

+ .7
+ .7
+ .5

103

Cost of Living

T able 3.—Indexes of Cost of Goods Purchased by Wage Earners and Lower-Salaried
Workers in Large Cities, by Groups of Items, Nov. 15, 1942
[Average 1935-39 = 100]

Area and city

Average: Large c i t ie s ___________________
N ew England: B o sto n __________________
M id d le A tlantic:
. -----B u ffalo-, _________ ____
N e w Y o rk ______
____ _____ _____
P h ilad elp h ia____________ __________
P i t t s b u r g h - _________ ____ _____
E ast N orth Central:
C hicago_____________________________
C in cin n ati_____ _____ - ......... ....... .........
C levelan d ____________________ _____
_____
D etro it___- _____________
W est N orth Central:
K ansas C ity ________________________
M inn eap olis________________________
St. L ou is___________________________
South A tlantic:
B altim ore_______ __________________
S a v a n n a h ...
................ . . .
W ashington, D . C __________________
E ast South Central: B irm in gham . -------W est South Central: H o u sto n ------------M ountain: D en ver________________ ___
Pacific:
Los A ngeles_________________________
San F r a n c is c o ______________________
S ea ttle___________________ _________
1
2
8

Fuel, elec­ Housefurnish­
tricity,
and ice
ings

M is­
cella­
neous

A ll
item s

Food

C loth­
ing

R en t

119.8

i 131.1

8 126. 0

8 107.9

8 106. 2

8 123. 7

2112. 6

118.8

130.4

122.4

105.1

116.3

118.3

111.4

122.8
118.5
118.6
119.1

133.7
130.2
128.2
129.6

127. 2
125.8
126.2
128.1

114.6
103.3
106.7
107.3

103.6
109.2
103.7
108.4

125.3
117.9
122.0
122.3

118.7
111.6
113.6
112.5

119.4
119.6
122.0
120.5

129.9
130.6
132.5
129.6

121.3
130.2
128.2
127.3

114.3
105.6
115.0
114.4

103.7
102.5
112.3
107.3

119.8
125.0
123.9
120.6

111.7
112.3
113.1
114.3

116.9
119.0
118.4

125.0
128.9
130.8

123.2
126.0
127.2

108.0
110.3
106.2

106.0
99.0
106.2

117.3
124.4
116.3

114.0
115.1
110.4

121.0
123.4
118.2
119.9
118.5
118.5

134.9
136.0
130.5
127.7
132. 4
129.9

125.8
127.5
131.8
126.9
126.4
123.3

106.7
114.9
100.3
120.4
107.6
109.1

104.7
108.8
103.6
100.1
92.9
99.5

127.8
119.9
129.3
119.1
122.2
122. 2

112.9
115.0
114.8
113.1
111.8
112.8

123.2
123.5
124.2

141.5
139.3
141.5

127.6
125.4
128.2

110.0
105.9
109.6

94.2
94.1
100.5

118.5
119. 2
119.6

113.8
118.9
117.4

Based on data for 51 cities.
Based on data for 21 cities.
Based on data for 34 cities.

T able 4.— Indexes of Cost of Goods Purchased by Wage Earners and Lower-Salaried
Workers in Large Cities, 1935 to November 1942
[Average 1935-39=100]

Year

1935 ....... ........... ............ ...........
1936
....... ...... ........... ........
1937
___________________
1938
______ ______ _____
1939
- _______________
1940
___________________
1941
_________________
Jan. 15. _______________
Feb. 15 _______________
M ar. 15 - _____________
A p r. 15
_______________
M ay 15________________
June 15________________
July 15
____________
Aug. 15 _ __- __________
Sept 15
_____________
Oct 15
__________
Nov. 15 - ___________
Dec. 1 5 ________________
1942*
Jan. 15_________ _______
Feb. 15
- ............ ..........
Mar. 15- ________ ____Apr. 1 5 ________________
M ay 15________________
June 15__ - ____ _________
July 15
____________
Aug. 15________________
Sept. 15
_____________
Oct. 15 ............ - ................
Nov. 15---.......... - ............. -


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Federal Reserve Bank of St. Louis

All items

98.1
99.1
102.7
1 0 0 .8

99.4

1 0 0 .2

105.2
1 0 0 .8
1 0 0 .8
1 0 1 .2
1 0 2 .2

102.9
104.6
105.3
106.2
108.1
109.3
1 1 0 .2

110.5
1 1 2 .0

112.9
114.3
115.1
116.0
116.4
117.0
117.5
117.8
119.0
119.8

Food

Clothing

Rent

113.1
113.1

113.8
114.8

94.2
96.4
100.9
104.1
104.3
104.6
106.2
105.0
105.1
105.1
105.4
105.7
105.8
106.1
106.3
106.8
107.5
107.8
108.2

116.2
116.8
118.6
119.6

116.1
119.0
123.6
126.5
126.2
125.3
125.3
125.2
125.8
125.9
126.0

108.4
108.6
108.9
109.2
109.9
108.5
108.0
108.0
108.0
108.0
107.9

100.4
101.3
105.3
97.8
95.2
96.6
105.5
97.8
97.9
98.4

96.8
97.6
1 0 2 .8
1 0 2 .2

100.5
101.7
106.3
100.7
100.4
1 0 2 .1

1 0 0 .6
1 0 2 .1

102.4

105.9
106.7
108.0
110.7

103.3
104.8
106.9

1 1 1 .6

1 2 1 .6

123.2
124.6
126.1
126.6
129.6
131.1

1 0 2 .8

1 1 0 .8
1 1 2 .6

Fuel,
electric­
ity, and
ice

Housefurnish­
ings

100.7

94.8
96.3
104.3
103.3
101.3
100.5
107.3

104.3
104.4
104.5
104.3
104.9
105.0
106.3
106.2
106.2
106.2
106.2

1 0 0 .2
1 0 0 .2

99.9
99.0
99.7
1 0 2 .2
1 0 0 .8
1 0 0 .6

100.7
1 0 1 .0
1 0 1 .1

101.4
102.3
103.2
103.7
104.0
104.0
104.1

1 0 0 .1

100.4
1 0 1 .6

102.4
103.2
105.3
107.4
108.9

Miscel­
laneous
98.1
98.7
1 0 1 .0

101.5
100.7
1 0 1 .1

104.0
101.9
101.9
101.9
1 0 2 .2

114.4
115.6
116.8

102.5
103.3
103.7
104.0
105.0
106.9
107.4
107.7

118.2
119.7

108.5
109.4

1 2 1 .2
121 .9
1 2 2 .2

1 1 0 .1
1 1 0 .6

1 1 2 .0

122.3
1 2 2 .8

123.0
123.6
123.6
123.7

110.9
110.9

1 1 1 .1
1 1 1 .1

111.4
111.7
1 1 2 .6

104

Monthly Labor Review—January 1943

IN D E X E S OF COST OF CONTROLLED AND U N CO N ­
TRO LLED GOODS AND SERVICES 1
October 1942 almost the whole field of consumer buying was
covered by some form of governmental price control. The exceptions
chiefly fresh fruits and vegetables—form about 10 percent of the
family food bill.
Price controls at the retail level were extended gradually. The
extent to which the rise in the cost of living was retarded by these
gradually extending controls and the rate of advance in prices left
free of control are indicated by a series of special indexes compiled
by the Bureau of Labor Statistics from its comprehensive cost-ofliving index. These special indexes are described in this article
Although price control at the wholesale level had been in effect
lor some time, in general, prices were not controlled at retail until
May 18, 1942, by the General Maximum Price Regulation. This
order brought under control at retail the prices of many foods, all
clothing and housefurnishings, and a large number of other articles in
daily use. It left unregulated prices of about 40 percent of the family
food bill and all personal and professional services. Services rendered
in connection with a commodity were controlled as of July 1.
With the emergency price brake only partly locked, prices continued
to advance after May 18, although at a retarded rate. The cost of
the share of the city family’s budget which was regulated by OPA on
September 15 was 0.1 percent lower on that date than on May 15, but
the cost of goods and services unregulated as of September 15’was
5.1 percent higher. The group of foods not under OPA control on
September 15 was almost 10 percent higher in price.
In view of these continued advances, which threatened the ulti­
mate success of the price-stabilization program, President Roosevelt
m his Labor Day address to Congress requested authority to control
all farm products and foods whose regulation was prevented by
restrictions in the original Price Control Act.2 Within a month
legislation was enacted,3 and the Office of Economic Stabilization
was created by its authority. On October 5 the Office of Price Admin­
istration brought under control numerous additional farm products
and foods, making a total coverage of 90 percent of the family food
bill. Other controls, including those over rent, were also extended.
Development of Price Control

General price stabilization is a wartime measure, but control of
some prices was already a part of the Government’s functions before
the war. Railroad fares and postal rates have long been controlled
by the Federal Government. Rates charged for gas and electricity
have been regulated by local public utilities commissions. Streetcar
and bus fares, auto licenses and taxes, water rent, and in some local­
ities insurance rates, have been controlled by State and municipal
governments.
Even among foodstuffs, there have been peacetime controls of
prices, although these have for the most part been indirect. Milk
<Prepared in the Bureau’s Cost of Living Division by Frances R Rice
* The Emergency Price Control Act of 1942 (Public No. 421, 77th Cong.', 2d Sess )


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Federal Reserve Bank of St. Louis

Pre™nttae

**

Cost of Living

105

control boards in many States have regulated the price paid by the
distributor to the dairy farmer; and taxes on such foods as oleomar­
garine have acted as regulators of both price and consumption.
Before the General Maximum Price Regulation became effective
on May 18, 1942, the Office of Price Administration had already
established controls on a number of durable goods, important in the
expenditures of moderate-income families on housefurnishings, includ­
ing refrigerators, vacuum cleaners, washing machines, stoves, and
radios. These articles constituted about one-fourth of the house­
furnishings expenditures of families^of wage earners and lower-salaried
workers, and because they are largely made of critical materials they
were rapidly disappearing from retail markets during the spring and
summer months of 1942. In addition, there were already controls
on the prices of tires and tubes and of gasoline.
On May 18, prices of all clothing, all other housefurnishings, fuels
in domestic use, about 60 percent of the foods commonly purchased,
and about 80 percent of other commodities were placed under OPA
controls. Thus, prices of nearly two-thirds of the entire family budget
were regulated at that time.
More controls were instituted later. Services rendered in connec­
tion with a commodity came under OPA control in July. In October,
many additional foods were placed under ceilings. Rents in urban
areas were placed under Federal control gradually, until by December
1942 almost all important urban areas were within the sphere of
Federal rent control.
As of December 1942, only about 10 percent of family food pur­
chases, particularly fresh fruits and vegetables, and all personal and
professional services were not regulated. Together, these two groups
in the budget comprise 12 percent of family expenditures.
Movement of Costs Under Price Control

Indexes of the cost of the controlled and uncontrolled commodities
and services in the Bureau of Labor Statistics cost-of-living index,
based on August 15, 1939, as 100, are shown in the table, grouped ac­
cording to the dates on which they were placed under control. Rents,
and the goods and services which are controlled by Government
agencies other than the Office of Price Administration, are excluded
from these computations. These exclusions cover gas and electricity
rates, railroad, trolley and bus fares, telephone, postage and water
rates, insurance fees, and licenses and taxes.4 All other goods and
services important in family spending are included.
These indexes measure the behavior of prices under regulation as
compared with those not under OPA control; however, they should
not—without more detailed study—be interpreted as measures of the
effectiveness of price control. As far as provisions of the Price
Control Act would permit, commodities were selected for regulation
by the OPA because of their importance in the average consumer’s
budget, because their prices had been advancing sharply, or because
it appeared likely that they would advance. Other commodities
have remained uncontrolled as a result of their inherent stability or
of the unusual administrative difficulty involved in their regulation.
' Under an order of November 13, 1942, the Price Administrator must be notified of proposed increases
n rates by common carriers and other public utilities and m ay protest them to the regulatory bodies.


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Federal Reserve Bank of St. Louis

Monthly Labor Review—January 1943

106

Conclusions concerning the effectiveness of price control, therefore,
must be qualified by a consideration of the basic market character­
istics of the various commodities included in each index.
Indexes of Cost of Commodities and Services in Cost-of-Living Index, Controlled by
OP A and Uncontrolled 1
[August 15, 1939=100]
Indexes of cost of item s controlled b y O P A on Oct

10, 1942

Date
Controlled
before May
18, 1942
1939: Aug. 15-.
Sept. 15_.
Dee. 15-1940: Mar. 15June 15-.
Sept. 15Dee. 15-.
1941: Mar. 15—
June 15-.
Sept. 15Dee. 15..
1942: Mar. 15„
Apr. 15-_
May 15.June 15-.
July 15-Aug. 15..
Sept. 15.
Oct. 15—

1 0 0 .0

100.4
1 0 0 .1

96.1
95.3
95.2
93.8
94.8
98.6
103.1
108.2
1 1 1 .6
1 1 2 .1

112.3
112.7
114.9
1 1 2 .2

111.9
111.7

First con­ First controll­ Total con­
trolled as of ed between
trolled on
M ay 18,1942 May 19, and Oct. 10 , 1942
Oct. 10, 1942
1 0 0 .0
1 0 2 .8
1 0 1 .6

100.0

100.0

101.5

102.2

101.3
107.9
103.8
106.5

103.6
101.7
101.3

1 0 1 .1

103.0
102.4
103.8
106.2
113.4
115.1
121.3
122.7
123.5
1 2 2 .8

123.2
123.4
123.9
124.1

107.2

101.2

119.0
120.7
123.2
124.7
127.0
129.2
132.7
135.3
138.6
141.4
147.7

Uncontrolled
on Oct. 10 ,
1942

100.0

99.4

100.0

103.9
105.3
101.4
103.2
106.8
107.3
106.1
113.6
118.0
116.6
118.1
122.4
123.6
124.4
123.1
126.4

102.2
102.8

102.8

102.9
108.4
114.4
116.4
121.5
123.1
124.2
124.3
125.2
126.0
126.9
128.3

iM uiuum g leuo, gas a m electricity

insurance fees; and licenses and taxes.

Controlled and Uncontrolled Commodities and Services 6
i

The items included in the Bureau’s cost-of-living index which were
placed under OPA price control before May 18 are as follows: Auto­
mobile tires and tubes, gasoline in rationed areas, electric refrigerators
gas refrigerators, radios, and stoves. On May 18 all articles of clothmg, fuel, ice, and all the housefurnishings and miscellaneous commodi­
ties not already covered, except newspapers and used automobiles,
were placed under price control and the foods listed below were
controlled.
On July 1, dry cleaning, shoe repairs, auto repairs, and laundry
services came under Office of Price Administration control. All other
services are uncontrolled.
Foods which were <designated as controlled and uncontrolled at
each of the several perijOds covered, as well as the dates at which rents
m each of the large cities included in the cost-of-living indexes have
been shifted from the uncontrolled to the controlled group, are shown
m the accompanying statements.
5 As

of December 1942.


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Federal Reserve Bank of St. Louis

107

Cost of Living

Foods included in cost-of-living index, controlled and uncontrolled, May lS-September
15, 19^2
Controlled

Uncontrolled

Cereals and bakery products.
Cereals and bakery products:
Corn meal.1
Corn flakes.
Flour, white.1
Macaroni.
Bread, white,
Bread, whole wheat.
Bread, rye.
Vanilla cookies.
Soda crackers.
Meats, fish, and poultry:
Meats, fish, and poultry:
Lamb, leg.2
Beef, round steak.
Lamb, rib chops.2
Beef, rib roast.
Poultry (roasting chickens!.1
Beef, chuck roast.
Fish, fresh.
Veal cutlets.
Pork chops.
Bacon, sliced.
Ham, whole.
Pork, salt.
Salmon, pink, canned.
Lamb, leg
Lamb, rib chops.
Dairy products and eggs:
Dairy products and eggs:
Butter.1
Milk, fresh, delivered and grocery.
Cheese.1
Milk, evaporated.1
Eggs.1
Fruits and vegetables:
Fruits and vegetables:
Apples.
Bananas.
Oranges.
Canned peaches.
Beans, green.
Canned pineapple.
Cabbage.
Canned corn.
Carrots.
Canned peas.
Lettuce.
Canned tomatoes.
Onions.
Potatoes.
Spinach.
Sweetpotatoes
Dried prunes.
Dried navy beans.
Other foods:
Other foods:
None.
Coffee.
Tea.
Lard.
Other shortening.
Salad dressing.
Oleomargarine.
Peanut butter.®
Sugar.
1 R e g u la te d b y O P A a s o f O c to b e r 5.
U n c o n tr o lle d t o A u g u s t 1,194 2 ; co n tr o lle d th erea fte r.
3 C o n tr o lle d to J u ly 29,1942; u n c o n tr o lle d th erea fte r.


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108

Monthly Lahor Review—January 1943

Month of 194% in which rents in each of the large cities included in Bureau’s cost-of
living index were placed under Federal control
Atlanta___
Baltimore __
Birmingham
Boston_____
Buffalo____
Chicago.-___
Cincinnati. _
Cleveland__
Denver____
Detroit____
Houston___
Indianapolis.
Jacksonville _
Kansas City.
Los Angeles.
Manchester.
Memphis___


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Federal Reserve Bank of St. Louis

__ August,
-- July.
June.
. . November.
-- July.
-- July.
November.
June.
August.
. . June.
-- November.
July.
__ July.
__ September.
November.
-- November.
- - October.

Milwaukee_________ August.
Minneapolis-------------November.
Mobile_____________ June.
New Orleans_____ _ September.
New York--------------- Not controlled.
Norfolk____ ________ June.
Philadelphia________ July.
Pittsburgh__________ July.
Portland, Maine____ August.
>■ Portland, Oregon___ July.
Richmond___________ December.
St. Louis___________ July.
San Francisco______ July.
Savannah__________ July.
Scranton____________ December.
Seattle_____________ June.
Washington,D. C___ January.

SAVE
G A S-T /A E Sf
**+ *•¥ *+ ♦ + + ******•****

Wage and Hour Statistics

EARNINGS IN MANUFACTURE OF MECHANICAL
POWER-TRANSMISSION EQUIPMENT, 19421
Summary

THIS report on earnings in plants manufacturing mechanical powertransmission equipment is the twelfth in the series undertaken by the
Bureau of Labor Statistics for the purpose of providing information
on the effects of the war on the several branches of the machinery
industry.2
During the spring of 1942, 32 of the 45 plants included in this
survey were either producing war materials or operating under high
priority ratings; over two-fiftlis of all the plants studied were usingmore than 90 percent of their facilities in the war effort. Little
technological conversion was necessary. Nearly half the plants studied
were operating 3 shifts, and virtually four-fifths were working at
least 2 shifts.
The number of persons employed in these plants during the spring
of 1942 was about two and one-half times the figure for August 1939,
and average hourly earnings increased 17 cents—from. 73.1 cents to
90.1 cents per hour—during the same period. The lengthening of the
average workweek by over 10 hours resulted in some inflation of
average hourly earnings, however, because of extra payments for over­
time; the actual increase in hourly rates is estimated at about 10 cents.
More than a fourth of the m.ale workers studied were in the 19
occupations with average hourly earnings in excess of $1.00 per hour;
of the total male skilled workers, three-fourths were in these occupa­
tions. Aside from apprentices, helpers, and learners, the only occu­
pational groups with average earnings below 60 cents per hour were
class C chippers and class C engine-lathe operators; these occupations
include less than 1 percent of the male employees studied.
Substantial variations in average hourly earnings were found
between plants in different geographic regions; plants in small and
large communities showed little variation in earnings levels. Woman
workers averaged 56.7 cents per hour.
Scope and Method of Study

In order to provide basic information on the effects of the transition
to a war economy on technological processes, occupational patterns,
and wage structures, the Bureau of Labor Statistics has undertaken
1 Prepared in the Division of Wage Analysis by Oscar F. Brown. The study was directed and the
preparation of the report supervised by Harold R. Hosea.
.
2 P r e v io u s a rticles in t h is series h a v e a p p e a red in e a c h is s u e of th e M o n t h ly L a b o r R e v ie w , M a y - D e c e m b er 1942; re p o r ts of in d iv id u a l in d u str ie s are a v a ila b le o n r e q u e st.

501 1 5 2- 43-

-8


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Federal Reserve Bank of St. Louis

109

HO

Monthly Labor Review—January 1943

a series of studies in establishments manufacturing various types of
machinery and similar products. Each of the industrial branches
covered in this series is defined in terms of the principal products of
the various plants during the year 1939 as reported by the Census of
Manufactures. Important changes in type of product are to be
expected, especially because the war emergency has accentuated the
shifts in production that would ordinarily occur over a 3-year period.
The data on these changes are in themselves significant, however,
and it is thus useful to begin with the 1939 classihcation as a starting
point in order to determine their nature.
Reports of the latest Census of Manufactures (1939) show that
there were, in the United States, 218 establishments “ primarily
engaged in the manufacture of mechanical power-transmission equip­
ment such as ball and roller bearings, gears made for sale separately,
drives, shafts, etc.” Of this total, 34 establishments reported an
average of fewer than 6 wage earners, and were excluded from the
scope of this study. The remaining 184 plants employed an average
of 30,174 workers during 1939, and over a third were working in the
45 establishments included in this survey.
The manufacture of mechanical power-transmission equipment is
characterized by a high degree of concentration, both geographically
and by plant size. During 1939, slightly over two-thirds (66.1 per­
cent) of the wage earners and nearly two-fifths (39.9 percent) of the
plants were in the 4 States of Connecticut, Pennsylvania, Ohio, and
Indiana. Slightly less than a half (45.9 percent) of the plants and
somewhat more than half the workers (53.7 percent) were found in
the Middle Atlantic and New England States; of the workers in this
northeastern region, one-half (50.0 percent) were found in Connecti­
cut. Most of the remainder of the industry is in the East North
Central region, with Ohio the leading State. This area included
about two-fifths (42.7 percent) of the industry’s plants and about the
same proportion (41.4 percent) of the wage earners.
The data for the present survey were collected by trained field
representatives of the Bureau who visited the plants and analyzed pay
rolls and other pertinent records. The detailed wage data on indi­
vidual employees are limited to day-shift workers in certain occupa­
tional groups selected for their numerical importance or because they
are key jobs. In general, however, earnings by occupation were
compiled for 80 to 90 percent of the wage earners on day shifts.
The current earnings data shown in this report are based, in most
instances, on a representative pay-roll period during March, April,
or May 1942.
Characteristics of the Industry

Type of product.—The production of ball and roller bearings and
parts accounts for the major part of the output of this industry; in
1939, these items of equipment constituted nearly two-thirds (64.2
percent) by value of the entire output of the industry. The pro­
duction of chain drives and gears was also important; other items were
speed reducers, variable-speed drives, and parts and attachments.
The plants studied are characterized by a high degree of specialization
in manufacturing individual types of equipment used throughout
the machinery trades. Of the total production of mechanical power
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Wage and Hour Statistics

111

transmission equipment, nearly seven-eighths (86.6 percent) was
produced by specialized companies leaving about one-eighth (13.4
percent) as the output of plants primarily engaged in other types of
manufacturing. On the other hand, of the total output of plants
producing mechanical power-transmission equipment mainly, about
5 percent consisted of products not classified in the industry.
Production oj war materials.—Conversion of facilities to war pro­
duction appears not to have been a major factor in this industry.
Any shift on a wide scale would, indeed, hardly be expected, since the
industry’s peacetime products are used in great volume by plants
producing war materials directly. Thus, the impact of the war on
the mechanical power-transmission equipment industry has resulted
chiefly in a great expansion without drastic changes in types of product.
In 1940 direct production of munitions and other defense materials
was not a factor of much importance in this industry. By the end
of that year only 2 of the 45 plants surveyed were producing materials
directly connected with the defense program. This figure did not
increase in 1941, but in that year 29 plants were given high priority
ratings, as compared with 19 plants in 1940. In 1942, 1 of the 3
plants engaged in the production of direct war materials was using
all of its facilities for war purposes; at the same time, 29 other estab­
lishments were operating under high priority ratings, owing to the
importance of their regular products. In the case of 21 of these 32
plants, over 90 percent of output in the spring of 1942 consisted of
either direct war materials or products made under high priority
ratings. Only 13 plants reported no production directly connected
with the war.
The labor force.—Detailed earnings data were compiled for about
70 percent of all the workers employed in the plants surveyed; this
group amounts to between 80 and 90 percent of those on day shifts.
Slightly over a third (36 percent) of the males for whom wage and
occupational data were collected were working at skilled jobs, 40
percent were doing semiskilled work, and the remaining 24 percent
were unskilled.
At the time the present survey was made, women constituted nearly
a fifth (18.3 percent) of the factory workers. However, over 80
percent of all the female workers in the plants surveyed were found
in 3 large establishments; in one very large plant about a third of the
employees were women. About a third of the women in these 3
large establishments were working as class C inspectors in bearing
departments. Other occupations in which female employees were
found in substantial numbers were class B and C bench assemblers,
learners, packers, and punch-press operators, class C. Nearly threefourths (74.1 percent) were doing unskilled work, and a fourth (25.2
percent) were classified as semiskilled ; in all the plants surveyed, only
13 woman workers out of a total of 1,884 studied were doing skilled
work.
Negroes were employed in 10 plants, but they constituted only
1.4 percent of all employees in the plants surveyed; nearly threefourths of the 381 Negroes found were working in 1 large midwestern
plant. As in the case of many other industries, their principal oc­
cupations were those of laborers and janitors; one plant reported sub­
stantial numbers employed as heat treaters’ helpers.

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132

Monthly Labor Review—January 1943

Eleven of the 45 plants included in this survey had agreements
with nationally affiliated unions. Six of these agreements were with
unions affiliated with the American Federation of Labor, and 5 with
unions affiliated with the Congress of Industrial Organizations. In
addition, there were independent labor unions in 4 plants, 3 of which
were in large cities. The remaining 30 plants were unorganized.
Union agreements were seldom found in small plants; of the 15 plants
with fewer than 51 employees, only 2 were organized and all the
establishments employing between 51 and 100 workers each were
unorganized. In the 14 plants having over 250 workers each, the
8 that were unionized employed slightly more than half the
workers in all plants in that size group.
M e th o d o j w age p a y m e n t — Widespread use of incentive methods
of wage payment was found in the plants manufacturing mechanical
power-transmission equipment, since many of the products are highly
standardized and produced by means of mass-production techniques.
A third (15) of the plants surveyed made use of some incentive
system, and somewhat over a fourth (28.2 percent) of the workers
studied were paid on the basis of output. In the 25 plants employing
fewer than 100 workers, all but 3 establishments paid on a straight
hourly basis. Six of the 12 plants employing between 100 and 500
workers used some form of incentive system, as compared with 6
of the 8 establishments with over 500 workers; in plants of this size
group, about a third (32.6 percent) of the workers were paid according
to output.
A third (15) of the plants paid no extra overtime rates beyond
minimum statutory requirements, i. e., time and a half for all work
above 40 hours a week. Twenty-five plants also applied this rate to
work in excess of 8 hours in 1 day. Nine plants paid time and a half
for all Saturday work and 1 applied this rate after noon on that day.
Nine establishments paid on this same basis for Sunday work, and 6
for holiday operation. In but one instance was double time paid for
Saturday work, and in this case it applied only to the afternoon. This
higher rate was effective for Sunday work in 11 establishments and
in 6 cases double compensation applied on holidays.
The demand for the industry’s products by war establishments has
resulted in a rather high degree of utilization of the facilities of these
plants making mechanical power-transmission machinery. Thus,
nearly half (19) of the plants surveyed were operating 3 shifts, and
practically four-fifths were working at least 2 shifts (table 1). In the
group of 16 plants reported as operating 2 shifts, 8 paid no shift differ­
ential and 6 paid premiums of 5 to 10 cents per hour; 1 paid secondshift workers 4 cents per hour extra plus a paid 30-minute lunch period.
Of the 19 plants operating 3 shifts, 6 paid no premium to workers on
either late shift. Nine establishments paid the same bonuses to
workers on both late shifts; the premiums in these plants ranged from
about 4 cents per hour to 10 percent of base rates. Four plants paid
additional differentials for the third shift, workers on the “graveyard”
shift receiving 4 or 5 cents an hour, or 5 percent of the base rate, more
than those on the second shift.


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113

Wage and Hour Statistics

T able 1.— Wage Differentials for Second and Third Shifts in 45 Mechanical PowerTransmission-Equipment Plants, M arch-M ay 1942

¡Number of shifts worked

Number
of plants

Plants with 1 shift only___
Plants with 2 shifts __

Differential paid for—
Second shift

Third shift

10
8

No differential______ _________
5 cents per hour_________ ____
8 cents per hour_______________
4 cents per hour plus paid lunch
period.
1
10 percent over base ra te .......... .
1 hour’s pay extra_______ ____
1
6
No differential______ ________
5 5 percent over base rate.. ______
2
10 percent over base rate...... .........
2
5 cents per hour_______________
2
S percent over base rate_________
1
5 cents per hour_______________
1
4 cents per hour__________ ____

4
1
1

Plants with 3 shifts

No differential.
5 percent over base rate.
10 percent over base rate.
5 cents per hour.
10 percent over base rate.
10 cents per hour.
S cents per hour.

Employment, Hours , and Earnings
TREND FROM 1939 TO 1942

Comparable data on employment for selected periods, 1939-42, are
available for 39 of the 45 plants included in the survey. Employment
in these establishments as a group in the spring of 1942 was about
two and one-half times the figure for August 1939; the increase was
from 6,461 workers to 15,704 (table 2). Average hourly earnings,
which in August 1939 amounted to 73.1 cents (including extra pay­
ments for overtime and night work), had increased to 90.1 cents by
March-May 1942, a gain of 17 cents.
T able 2.—Employment, Average Hourly Earnings and Weekly Hours of Workers in
39 Mechanical Power-Transmission-Equipment Plants, Specified Periods, 1939—42

P e rio d

A u g u s t 1939_______________________________________________
A p r il 1940--------------- ----------------------------------------------------A u g u s t 1 9 4 0 .-- __________________________________________
F e b r u a r y 1941_______________ ______ ______________________
A u g u s t 1941________________________________________ ______
M a r c h -M a y 1942___________________________________ _____

T o ta l
w age
earners1

6,461
8,208
9 ,0 3 2
11, 366
13, 458
15, 704

A v era g e
h o u r ly
ea r n in g s

$0.731
.748
.7 6 3
.813
.865
2. 901

E s t im a t e d
a v era g e
h o u r ly
ea r n in g s
e x c lu s iv e
o f ex tra
o v e r tim e
ea r n in g s
$0.713
.7 1 9
.7 1 9
.7 4 5
.7 8 5
2. 811

A v era g e
w e e k ly
hours

39 .4
41 .7
4 4 .0
4 7 .2
4 8 .5
4 9 .6

1 D a t a for 2 c o m p a n ie s u s e d w it h r e d u c e d w e ig h t t o a v o id o v e r r e p r e se n ta tio n o f large p la n ts. _
2 I n c lu sio n o f th e d a ta from th e 6 p la n ts for w h ic h co m p a r a b le in fo r m a tio n c o v e r in g th e earlier p erio d s
is n o t a v a ila b le w o u ld raise a v er a g e e a r n in g s b y le ss t h a n 1 c e n t p e r h o ur.

During the same period, the average workweek in these plants had
lengthened 10.2 hours, a change which progressively inflated hourly
rates as a result of increased premiums for overtime. The elimination
of such extra payments is estimated to reduce average hourly earn­
ings for the latest period by 10 cents, or to about 81.1 cents. Exclu­
sive of the effect of extra overtime payments, hourly rates increased
by an estimated 9.8 cents, or 14 percent, during the period. The
plants for which comparable data covering the earlier periods were not
available employed 6,883 workers; the addition of wage data for these

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Monthly Lahor Review—January 1943

114

plants increases average hourly earnings for the latest period by only
0.8 cent.
PLANT AVERAGES

Average hourly earnings, including extra payments for overtime
and night work, amounted to 90.9 cents for the entire 45 plants studied.
For more than a third (16) of the establishments, the figure was 90
cents or more, and average hourly earnings were over $1.00 in 10
plants; of the 21 plants surveyed in the Northeastern States, only 3
showed hourly averages of $1.00 or more, while nearly a third (7 out of
23) of those in the North Central and Western States were in this
category. At the other extreme were 8 establishments which showed
average earnings below 75 cents. The averages for about half (22) of
the plants in this survey were between 75 and 90 cents per hour.
O C C U P A T IO N A L

D IF F E R E N C E S

IN

E A R N IN G S

Average hourly earnings, exclusive of extra payments for overtime
and night work, are available for 10,017 workers, who constituted the
greater part of the day-shift workers in the plants surveyed. Occupa­
tional averages (excluding apprentices, helpers, and learners) in the
industry ranged^ from less than 57 cents per hour for class C chippers
and class C engine-lathe operators to $1.246 for class A working fore­
men (table 3).
The general hourly average for all workers in the occupations
studied in detail was 80.3 cents; this figure is 0.8 cents below the esti­
mated average hourly earnings of 81.1 cents for the industry shown in
table 2. The difference is due, at least in part, to the inclusion of
shift differentials in the industry average. Average hourly earnings
for male workers amounted to 84.8 cents, or nearly 5 cents more than
the combined average for both sexes. The women whose earnings
were studied in detail averaged 56.7 cents per hour.
T abA e 3 .—Average Hourly Earnings 1 of Day-Shift Workers in Selected Occupations in
Mechanical 1 ower-Transmission-Equipment Plants, by Region, M arch-M ay 1942
United States

New England and
Middle Atlantic
States

North Central and
Western States

Number
of
workers

Average
hourly
earnings

Number Average
of
hourly
workers earnings

Occupation and class
Number Average
of
hourly
workers earnings
All workers,........ ............................

11,901

$0.803

6,082

$0. 731

5,819

$0. 879

Male workers........................
Apprentices, first year_____ ”
Apprentices, second year_____
Apprentices, third year.............
Assemblers, bench, class A___
Assemblers, bench, class B ___
Assemblers, bench, class C___
Assemblers, floor, class A _____
Assemblers, floor, dass B _____
Assemblers, floor, class C _____
Balancing-machine operators..
Blacksmiths___ ____________
Boring-mill operators, class A
Boring-mill operators, class B__.
Broaching-machine operators__
Buffers.........................................
Bulldozer operators...................
Burrers, class B ........................

10,017
56
41
26

.848
.553
.692
.736
.898
.744
.761
1.025
.807
.754
.830
.853
1.033
.775
.779
.828
.781
.820

4,911
39

.782
.472
.636
.723
.986
.822
.814
1.056
.885
.797
(2)
(2)

5,106
17

.911
.739
.752
.743
.831
.709
.645
.935
.740
.552
(2)
(2)
.973
.846
.782
• 77Q
(2)
C2)

S e e fo o t n o t e s

at e n d of table,


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Federal Reserve Bank of St. Louis

86

173
66
102
102

62
6
6

78
28
39
78
8

23

21

9
37
53
45
76
47
51
2

3
34
14
5
27
5
19

1 .1 1 0

.704
.758
.937
(2)
.815 |

20

17
49
120
21

26
55
11

4
3
44
14
34
51
3
4

115

Wage and Hour Statistics

T able 3.—Average Hourly Earnings 1 of Day-Shift Workers in Selected Occupations in
Mechanical Power-Transmission-Equipment Plants, by Region, M arch-M ay 1942— Con.

United States

New England and
Middle Atlantic
States

North Central and
Western States

Number Average
hourly
of
workers earnings

Number Average
of
hourly
workers earnings

Number Average
of
hourly
workers earnings

Occupation and class

Male workers—Continued.
Burrers, class C ._ ............. ...................
Carpenters, class A ...............................
Carpenters, class B ............................. .
Carpenters, class C ..........................
Casting cleaners....................................
Chippers, class B _________________
Chippers, class C _________________
Coremakers, class A__..........................
Coremakers, class B ----------- ------ ----Coremakers’ helpers______________
Crane operators..............- ................... Craters------------------------------------- Cupola tenders________ __________
Cupola tenders’ helpers............. .........
Die setters_______________________
Drill-press operators, class A________
Drill-press operators, class B .............
Drill-press operators, class C________
Electricians______________________
Firemen, stationary boiler_____ ____
Foremen, working, class A_________
Foremen, working, class B _________
Foremen, working, class C_________
Gear cutters..........................................
Gear finishers_______ :-----------------Grinding-machine operators, class A ..
Grinding-machine operators, class B__
Heat treaters, class A .----- -------------Heat treaters, class B ........................ .
Helpers, journeymen’s------------------Helpers, machine operators’________
Inspectors, class A----------------------Inspectors, class B _______________
Inspectors, class C_________: ---------Janitors_________________________
Job setters_______ : ----------------------Laborers________________________
Laborers, foundry________________
Lathe operators, engine, class A ..___
Lathe operators, engine, class B _____
Lathe operators, engine, class C-------Lathe operators, turret, class A_____
Lathe operators, turret, class B _____
Lathe operators, turret, class O_____
Lay-out men, class A ______________
Learners, journeymen and others . . . . .
Learners, machine operators-----------Machine operators, all-round_______
Machinists, class A ______________ _
Metal-saw operators---------------------Milling-machine operators, class A__
Milling-machine operators, class B —
Millwrights, class A ---------------------Molders, bench______________ ____
Molders, floor____________________
Molders’ helpers__________________
Molders, machine, class A ...................
Molders, machine, class B _________
Packers......................... ........ ................
Painters, brush........................ ...........
Painters, spray........................... ..........
Patternmakers, wood..... ............. ........
Pipefitters----------------- ------------ ----Planer operators, class A----- ---------Planer operators, class B............ ..........
Platers___________________ ______
Punch-press operators, class A......... .
Punch-press operators, class B --------Punch-press operators, class O . .. .......
Repairmen, machine.............................
Sandblasters................... .......................
Screw-machine operators, class A........
Screw-machine operators, class B ____
Screw-machine operators, class O........
S e e f o o t n o t e s a t e n d o f ta b le .


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44
9
13
30
28
10
29
14
6
6
29
20
7
18
11
55
142
57
48
38
66
54
29
154
13
742
595
81
91
214
305
175
240
388
188
262
299
55
199
168
35
265
190
25
11
201
290
42
112
20
68
81
71
22
43
21
39
36
104
14
14
15
28
14
9
18j
23
81
25
161
6

220
132
112

$0. 608
1.069
.780
.691
.657
.699
.568
.847
.773
.477
.852
.721
.826
.658
.988
.968
.879
.618
.870
.724
1. 246
.994
.822
.866
.952
1.135
.970
.905
.744
.695
.621
.905
.754
.680
.670
1.099
.625
.668
1.080
.801
.566
1.088
.904
.743
.996
.590
.575
.861
1.057
.726
1.082
.835
.977
.807
.892
.600
.843
.714
.696
.920
.741
1.190
.987
.974
.996
.795
1.242
1.002
.917
.977
.766
1.133
1.025
.806

21
2
5
9
10
7
14
4
4
12

$0.610
(2)
.860
.681
.492
(2)
(2)
(2)
(2)

1
4
10
39
56
23
14
14
38
20
6
84
9
318
277
21
32
155
231
44
80
271
74
144
160

(2)
(2)
.958
.973
.976
.678
.868
.668
1.213
.930
.718
.953
.981
.869
.798
.899
.712
.680
.585
.920
.707
.679
.616
1.043
.616

77
40
20
112
83
23
4
151
220
16
58
7
35
20
18
7

1.015
.763
.624
1.074
.909
.749
(2)
.585
.567
.846
1.052
.633
1. 044
.942
.871
(2)

7
11
13
45
3
2
9

(2)
(2)
(2)
.687
(2)
(2)
1. 262
.867
(2)
.996
.744

6

4
9
9
46
11
78
2

60
32
104

.974
.790
.928
(2)
1.029
.948
.811

23
7
8
21
18
3
15
10
6
2
17
20
6
14
1
16
86
34
34
24
28
34
23
70
4
424
318
60
59
59
74
131
160
117
114
118
139
55
122
128
15
153
107
2
7
50
70
26
54
13
33
61
53
15
43
14
28
23
59
11
12
22
10

$0.606
.990
.730
.696
.748
(2)
.529
.860
_77 a
(2)
.803
721
.848
.651
(2)
.958
.816
.576
.871
.756
1.292
1.063
.849
.763
(2)
1.334
1.119
.908
.761
.734
.731
.900
.777
.684
.705
1.168
.635
. 668
1.121
.813
(2)
1.098
.900
(2)
.833
.608
.602
.871
1.063
.775
1.131
.800
1.014
.803
.892
.656
.879
.748
.703
.934
.702
1.082
1.020
.892

9
23
35
14
83
4
160
100
8

.850
1. 242
1.039
1.020
1.024
(2)
1.171
1.050
.734

6

Monthly Labor Review—January 1943

116

T able 3.—Average Hourly Earnings 1 of Day-Shift Workers in Selected Occupations in
Mechanical Power-Transmission-Equipment Plants, by Region, M arch-M ay 1942— Con.

United States
Occupation and class

Male workers—Continued.
Shake-out men__________ ______ _
Shaper operators_________ ______ _
Sheet-metal workers, class A_______
Sheet-metal workers, class B.__ ____
Stock clerks______ ______ _______
Testers, class A__________________
Testers, class B ___ ______________
Testers, class C___________________
Thread-milling-machine operators___
Time clerks___ __________________
Tool and die makers______________
Tool-grinder operators_____________
Truck drivers____________________
Truckers, hand_________ _____ ___
Truckers, power, inside__ ________
Tumbler operators________________
Upsetters______ _________________
Watchmen______________________
Welders, hand, class A____________
Welders, hand, class B _________ . ..
Woodworkers............... ........... ... _
Female workers______________________
Assemblers, bench, class A_________
Assemblers, bench, class B ........ ..........
Assemblers, bench, class C..................
Drill-press operators, class B .......... .
Drill-press operators^ class C________
Inspectors, class C______ __________
Janitresses_________________ _____
Learners, machine operators________
Learners, others__________ _______
Packers_________________________
Punch-press operators, class C ______
Testers, class C______ ____________
Time clerks_______ _______ _____

Number
of
workers

Average
hourly
earnings

24

$0. 692
.867
.937
.808
.658
.901
.779
.654
.795
.603

12

23*
12

406
13
17
10

15
155
160
134
25
232
33
16
27
209
13
9
12

1,884
13
91
215
6
12

1,083
12

62
155
102

63
12

58

1 .1 1 0

1.015
.704
.628
.745
.680
1.047
.657
1.041
.790
.737
.567
.708
.570
.640
.759
.624
.578
.569
.467
.429
.592
.583
.548
.462

New England and
Middle Atlantic
States

North Central and
Western States

Number Average
hourly
of
workers earnings

Number Average
of
hourly
workers earnings

3

0

6
2

$0,928

9
244

(2)
.618
.926
.785
(2)
.702
.601
1.079
.867
.634
.584
.673
.595

8

13
8

5
144
94
53
12

135
13
9
5
102

3
1

1,171
2

89
172
6

0

21
6
21

3
162
5
4
2
10
11
66

81
13
97

$0. 640
.801
.940
(2)
.719
.860
(2)
(2)
.842
.638
1.153
1 .1 1 2

.768
.691
.792
.798
1.015
.744
1.047
.783
.737

20

7
22

0

.566
(2)
(2)

107

.520
(2)
.565
.610
.759

713

10
8
12

11
2

43

.646
0
0

.514

526
2

62
155
28
60
11

58

0

.467
.429
.490
.579
(2)
.462

557
10

74
3
1

.761
.624
.638

12
0

.631
0
0

1 A v e r a g e s are b a se d o n a c tu a l ea r n in g s e x c lu siv e o f e x tr a p a y m e n t s for o v e r tim e .
2 N u m b e r o f p la n ts a n d /o r w o rk ers to o sm a ll t o j u s t if y c o m p u ta tio n of a n a v er a g e.

Nineteen occupational groupsTsliowedJaverages^}f£$1.00 orjmore
per hour; these groups included slightly more than a fourth (27.0 per­
cent) of all male employees and|three-fourths (75.2 percent) of the
skilled male workers for whom detailed occupational data were com­
piled. By far the largest of the groups earning an average of $1.00 or
more per hour were the 742 class A grinding-machine operators who
also constituted the largest single occupational class of male workers
in the industry. Approximately a third of the male employees were
in occupations paying less than WO cents per hour and, of these,
about half were in jobs paying less than 65 cents. Except for appren­
tices, helpers, and learners, less than 1 percent of the male employees
were in jobs paying less than 60 cents per hour.
A fairly accurate basis for estimating regional differences is pro­
vided by the combined weighted averages shown in table 3. The
hourly average (excluding extra payments for overtime) paid to the
6,082 employees studied in detail in the 22 plants in the Northeastern
States was 73.1 cents. The corresponding average for 5,819 workers
in 23 plants in the North Central and Western States was 87.9 cents
or over a fifth above that paid in the Northeastern region. If male

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Wage and Hour Statistics

117

workers alone are considered, the average for the North Central and
Western region is over a sixth above the corresponding figure for the
Northeastern region.
There are 75 occupational classifications in which the average
hourly rates paid in the two geographical sections may be compared.
Those in the North Central and Western States combined were
greater in 54 instances; in 29 cases they exceeded by 10 cents or more
the averages paid in the Northeast. The averages in the North
Central and Western States were higher by 20 cents or more in 7
occupations, while in only 1 occupational group was the northeastern
rate higher by a similar amount. It may be noted that the general
average for the North Central and Western States is affected consid­
erably by the earnings of the 742 class A and B grinding-machine
operators; their averages exceeded by 46.5 cents and 32.1 cents, re­
spectively, those paid for similar work to the 595 employees in the
Northeast. These substantial differences were apparently due in
some measure to the high hourly rates paid in the East North Central
metalworking centers, as compared with the much lower rates effective
in New England, even in some of the larger plants.
The frequency with which these two classes of grinding-machine
operators occur is explained by the fact that the most important single
product of the industry (i. e., bearings) involves substantial amounts
of precision grinding.
The occupational averages tended also to vary significantly in
relation to the average number of workers employed per plant. In
comparing average rates in both large and small plants, it is desirable,
obviously, to eliminate any regional wage differences wherever pos­
sible. The data shown in table 4 are limited, therefore, to the 23
plants studied in the North Central and Western States. For many
classifications the numbers of workers are insufficient to permit
reliable comparison of average hourly rates between plants of different
size groups. There are 40 occupational groups, however, in which the
numbers of male employees are believed to be adequate for this pur­
pose. The average hourly earnings of the 3,186 employees in estab­
lishments with 500 or more workers amounted to 99.6 cents, over a
fourth higher (22.4 cents) than the corresponding figure of 77.2 cents
for the 1,920 workers in the smaller plants (table 4).
Average hourly rates were also higher in the larger plants for all
of the 40 occupations for which comparisons are possible. In over
half (23) of the occupational classifications, the difference was more
than 10 cents per hour; for 8 groups the averages were higher by 20
cents or more. The greatest differences found were between the two
numerically most important groups—class A and class B grindingmachine operators—whose averages were higher in the large plants
by 34 cents and 32 cents per hour, respectively; the extent of the wage
variations in these two classifications is largely due to the inclusion,
in the “large plant” group, of one very large establishment which used
incentive methods of wage payment.
Because of the varied character of the industry, there appears to
be no general trend in the wage differences between plants in large
and small communities. Although there is a difference of about 1.5
cents per hour between average earnings in organized and unorganized
plants, the higher rates in the union plants were apparently due in
part to their larger average size and to their geographical location; 8

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118

Monthly Labor Review—January 1943

of the 11 unionized plants were in the North Central and Western
States where wage rates tended, on the average, to be higher.
T able 4.—Average Hourly Earnings 1 of Day-Shift Male Workers in 23 Plants, ISorth
Central and Western States, by Occupation and Size of Plant, M arch-M ay 1942
Average
hourly earn­
ings in plants
employing—
Occupation and class

Occupation and class
500
workers or
less

Over
500
workers

Number of workers, 2___________ 1,920
Average hourly earnings 2________ $0.772

3,186
$0.996

Assemblers, bench, class A .............
Assemblers, bench, class C .............
Boring-mill operators, class A_.......
Broaching-machine operators_____
Electricians, class A ......... ...............
Firemen, stationary boiler............ .
Foremen, working, class A ...........
Foremen, working, class B _______
Grinding-machine operators, class

.753
.625
.927
.733
.824
.719
1.276
.953

.993
.710
1.065
.854
.887
.800
1.344
1.088

1.054

1.396

.840
.879
.723
.706
.607

1.163
.913
.771
.753
.749
.910
.782
.717

G r in d in g -m a c h in e o p era to rs, cla ss

B______________________ ____ _

H e a t trea te rs, cla ss A _______________
H e a t treate rs, cla ss B ___ ________
H e lp e r s , j o u r n e y m e n ’s a n d o t h e r s . .
H e lp e r s , m a c h in e o p era to rs’________
In s p e c to r s, cla ss A ____ ______________
In sp e c to r s, cla ss B ............................
I n s p e c to r s, cla ss O .____ ____________

Average
hourly earn­
ings in plants
employing—

.8 6 8

.763
.603

500
Over
work­ 500
ers or work­
ers
less
Janitors_____________
Job setters-___ _________ _____
Laborers __ ___ _ ..
Lathe operators, engine, class A ___
Lathe operators, engine, class B ___
Lathe operators, turret, class A
Lathe operators, turret, class B_ .
Learners, journeymen and othersLearners, machine operators
Machinists, class A_______
Metal-saw operators
Milling-machine operators, class AMilling-machine operators, class B
Millwrights..................
Packers_______________
Repairmen, m achine.. . .
Screw-machine operators, class A ...
Stock clerks________
Tool and die makers.........
Tool-grinder operators___
Truck drivers___________
Truckers, hand-,- ___
W atchmen______ _ .

$0.606
1.093
.527
1.046
.754
1.055
.809
.596
.586
.911
.744
1.003
.753
.950
.611
1.005
1.114
.646
1.048
.911
.683
.618
.586

$0. 733
1.180
.755
1.188
.900
1.154
1.005
.659
.689
1.097
.795
1.208
1 .0 0 0
1 .0 2 2

.740
1.028
1.175
.775
1.214
1 154
.841
.713
.817

j •[A v era g es are b a se d o n a c tu a l ea r n in g s, e x c lu s iv e o f ex tra p a y m e n t s for o v e r tim e .
2 I n c lu d e s w o r k e r s in o c c u p a tio n s n o t s h o w n s e p a r a te ly .

A fifth of the workers in the industry are women; those for whom the
data warrant the computation of averages received hourly earnings of
56.7 cents. Over half of all the women whose earnings were studied
in detail were employed as class C inspectors; the 1,083 workers in
that occupation received average hourly earnings of 57.8 cents. Apart
from learners, the lowest rate for women, 46.2 cents per hour, was paid
to time clerks. In the North Central and Western States rates paid
to female employees were considerably higher than the corresponding
averages in the Northeast; in every occupational group in which the
numbers of plants and workers were sufficiently large to justify the
computation of an average, the northeastern rates were lower.


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119

W iage and Hour Statistics

WAGE

RATES OF U N IO N STREET-RAILW AY
EM PLOYEES, JU N E 1, 1942 1

Summary
THE average hourly wage rate of uuion motormen, conductors, and
bus operators in 62 cities was 84.8 cents‘on June 1 , 1942. This
average covers operators employed on local lines and also those
employed on city-suburban lines which furnish local service. Em­
ployees of strictly intercity lines are not included.
The index of hourly rates advanced 7.4 percent during the period
June 1 , 1941, to June 1 , 1942, to a new index of 122.9 (1929 = 100).
Wage rates as indicated by union agreements for street railways have
advanced steadily during recent years, the 1942 rate being 28 percent
above the low point in 1934.
T a b l e 1.— Indexes of Union Hourly Wage Rates of Street-Railway Motormen, Conductors,

and Bus Drivers, 1929—42
Year
1929
1930--.
_______ __________
1931
1932 ____________________________
1933
______________________
1934-1935

Year

Index
1 0 0 .0
1 0 1 .0
1 0 1 .0

99.0
(0

96.1
99.8

1936 ___________________________
1937_____________________________
1938
________________________
1939 ____________________________
1940
_________________________
1941 ___________________________
1942 ____________________________

Index
1 0 0 .6

105.3
108.3
109.2
110.4
114.1
122.9

i Not available.

Scope and Method of Study
This study is one of a series of annual surveys started in 1921.
In 1942 the Bureau’s agents visited 75 cities and obtained reports of
effective union scales for street-railway or bus operators in 62 of those
cities. The rates reported were those in effect on June 1, 1942.
Whenever possible the comparable rates in effect on June 1, 1941,
were also reported. The 1942 survey included 430 quotations of
rates, 366 of which included comparable data for 1942 and 1941.
The union members covered by these contractual wage rates num­
bered 76,570 of whom 69,362 were included in the reports which
gave comparable rates for 1941.
The averages presented in this report are weighted according to
the number of union members receiving each rate and thus reflect
not only the actual rates provided in union agreements but also the
number of members benefiting from those scales. The index numbers
are based on aggregates computed from the rates quoted for identical
unions and service classifications in both years. The weights in both
of the aggregates used in each year-to-year comparison were the
membership figures reported in the second year. Index numbers
therefore eliminate the influence of changes in union membership.
Caution.—Because of changes in coverage, the averages should not
be compared from year to year to determine trend. For trend
purposes the index numbers (table 1) should be used, since these were
computed from comparable quotations only and the influence of
changes in coverage has been eliminated. For comparison of the
general wage level of street-railway and bus operations with those
1

Prepared in the Bureau’s Industrial Relations Division.


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Federal Reserve Bank of St. Louis

120

Monthly Labor Review—-January 1943

of other occupations at the time the survey was made, the average
(table 2) should be used.
Hourly Wage Rates

Hourly wage rates in street-railway and bus operations are generally
graduated on the basis of an employee’s length of service with the
company. Most frequently the agreements provide for an entrance
rate, an intermediate rate, and a maximum rate. A considerable
number, however, specify several intermediate periods, each with
successively higher rates. The specified time for the rate steps
varies widely from city to city. The entrance-rate period is usually
DISTRIBUTION OF WAGE RATES OF
UNION STREET-RA ILW A Y EMPLOYEES
PERCENT OF
MEMBERSHIP


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Federal Reserve Bank of St. Louis

JU N E I, 1 9 4 2

PERCENT OF
MEMBERSHIP

121

Wage and Hour Statistics

3, 6, or 12 months. The maximum rate most frequently applies
after either 1 or 2 years of service, but many agreements provide
for longer periods, ranging up to 5 years and including as many as 12
progressive rate steps. The differences between the entrance rates
and the maximum rates ranged from 1% to 34 cents per hour in 1942,
the most frequently reported differences being either 5 or 10 cents.
Rates for operators of 2-man cars were reported in only 18 of the
62 cities included in the survey. In each of these cities the agree­
ments provided higher rates for 1-man-car operators and bus drivers
than for motormen and conductors on 2-man cars. Generally, the
rates for bus drivers were the same as for 1-man-car operators. The
differences in favor of 1-man-car operators ranged from 3 to 10 cents
per hour, the most common difference being 10 cents.
The entrance rates for 2-man-car operators ranged from 56 cents
per hour in St. Louis to 90 cents per hour in Detroit, the majority
being between 65 and 75 cents. The entrance rate for the subway
motormen in New York City was 96 cents. For 1-man-car and bus
operators the range of entrance rates was from 46 cents per hour in
Tampa to $1 per hour in Detroit; almost half of the entrance rates
were between 70 and 80 cents.
Maximum rates for 2-man-car operators ranged from 65 cents in
Omaha to $1 per hour in Detroit, with a majority of the rates ranging
from 75 to 85 cents. Subway motormen in New York City had maxi­
mum rates of $1.06. For 1-man-car and bus operators the maximum
rates ranged from 53 cents per hour in New Orleans to $1.10 per
hour in Detroit. The majority of the maximum rates were between
80 and 90 cents.
As streetcar and bus operators generally remain permanently in
the employ of one company, a very great majority of the union mem­
bers reported were receiving the maximum rates provided in their
respective agreements. Almost one-half of the union members were
covered by union scales of between 80 and 90 cents, over one-sixth
received rates between 90 cents and $1, while about one-fiftli had
rates between 70 and 80 cents. (See table 2 and chart.)
T able 2.-—Distribution of Union Street-Railway Employees by Hourly Rate Groups,
June 1, 1942
Classified hourly rates
Average rate per hour____ ______ ________ ___ ___ _
Percent of members whose rates were—
50 and under 60 cents _ ______ ________ ________
60 and under 70 cents
____________ ____- ..........
70 and under 80 cents
____ ___________ _____
80 and under 90 cents _
______________ ___
90 cents and under $1.00__
--- _
$1.00 and under $1 .1 0 _____________ - - .
$1 . 1 0 -- ______________________________________

1942
$0.848
0.5
3.7
2 2 .0

47.3
16.2
7.7
2 .6

About 82 percent of the quotations of union scales provided for
increases during the year June 1, 1941, to June 1, 1942 (table 3).
These raises benefited approximately 71 percent of the total member­
ship covered in the survey. Almost half of those receiving increases,
had their 1941 rates advanced by less than 10 percent while slightly
more than half received increases of 10 percent or higher. No de­
creases were reported during the period June 1, 1941, to June 1, 1942.

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Federal Reserve Bank of St. Louis

122

Monthly Labor Review—January 1943

T able 3.—Number of Changes in Union Street-Railway Quotations, June 1, 1941, to
June 1, 1942, and Percent of Members Affected
Num­ Percent
ber of of mem­
quota­ bers af­
tions
fected

Amount of rate change

No change reported.. . _ ___
Increases reported________ . . .
Under 2 percent. _________
2 and under 4 percent. . . . .
4 and under 6 percent.. ___
6 and under 8 percent_____
8 and under 10 percent. ___
10 and under 12 percent. . . . .

58
264
2

14
27
51
35
45

28.7
71.3
.4
4.5
9.0
10.7
10.3
15.0

Num­ Percent
ber of of mem­
quota­ bers af­
tions fected

Amount of rate change

Increases reported—Continued.
12 and under 14 percent. ___
14 and under 16 percent__ .
16 and under 18 percent
18 and under 20 percent.. .
20 and under 2 2 percent
22 percent and over

22

23
15
u
8

11

2.4
5.0
2 0

7.5
25
9

T able 4.— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and
June 1, 1941, by Cities
Rates of wages per
hour
City and classification

Rates of wages per
hour
City and classification

June 1,
1942

June 1,
1941

June 1,
1942
Chicago, 111.

Atlanta, Ga.
2 -man

cars and feeder busses.
First 9 m onths__________
10-18 m onths_________. . . .
After 18 m onths_________
1 -man cars, busses, and trolley
coaches:
First 9 m onths__________
10-18 months. ..^ ________
After 18 m onths_________

2 -man

$0 . 680
.730
.760

$0.600
.650
.680

.750
.800
.830

.670
.720
.750

Binghamton, N . Y.
Busses:
First 3 months
4-12 m on th s...
After 1 year__

.665
.715
.745

.610
.660
.690

Birmingham, Ala.
cars:
First y ear..........
Second year_____
After 2 years_____
1 -man cars and busses:
First y e a r......... .
Second year_____
After 2 years_____

2 -man

.685
.705
.735

.600
.620
.650

.760
.780
.810

.675
.695
.725

cars:
First 3 months
4-12 m onths...
After 1 y ear...
Night cars___
1-man cars_______
Night cars___
Busses:
Under 40 passengers:
Day---------------N ig h t............ .
Over 40 passengers:
D ay.--------------Night_________
Elevated railway:
Motormen:
First 3 m onths..
4-12 m onths___
After 1 year____
Conductors:
First year_____
After 1 year____
Guards, regular____
Guards, extra:
First 3 m onths__
4-12 months___
After 1 year____

Boston, Mass.
cars:
First 3 m o n th s....
4-12 months_____
After 1 year_____
1-man cars and busses:
First 3 months___
4-12 months_____
After 1 year_____
Rapid transit lines:
Motormen______
Guards:
First 3 months.
4-12 m onths...
After 1 y ear.. .

.580
.670
.830

.580
.640
.780

.680
.770
.930

.680
.740
.880

.880

.830

.580
.670
.830

.580
.640
.780

Butte, Mont.
Busses.

.800
Charleston, S. C.


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Federal Reserve Bank of St. Louis

$0.800
.830
.850
.870
.930
.950

$0.800
.830
.850
.870
.930
.950

. 900
.920

.900
.920

.930
.950

.930
.950

.807
.816
.861

.807
.816
.861

.798
.816
.798

.798
.816
.798

.770
.780
.789

.770
.780
.789

.640
.670
.690

.640
.670
.690

.710
.740
.760

.710
.740
.760

Cincinnati, Ohio

2 -man

Busses:
First 3 months.
4-12 m onths...
After 1 y ear.. .

June 1,
1941

.610
.630
.650

.585
.605
.625

2 -man

cars:
First 3 m o n th s....
4-12 m onths_____
After 1 year_____
1-man cars and busses:
First 3 months___
4-12 months_____
After 1 year_____
Cleveland, Ohio
2 -man

cars:
First 3 m onths__________
4-12 months________ ____
After 1 year_____________
Busses:
First 3 months__________
4-12 months__________ ...
After 1 year...................... .
Columbus, Ohio
1-man cars and Class A busses:
First 3 m onths...................
4-12 months..........................
After 1 year..........................

. 855
.885
.905
.925
.955
.975

.730
.760
.780

.720
.750
.770
.790
.820
.840
.660
.690
.710

123

Wage and Hour Statistics

T able 4.— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and
June 1, 1941, by Cities— Continued
Rates of wages per
hour
City and classification
June 1,
1942

June 1,
1941

$0 . 660
.690
.710

$0. 590
.620
.640

Columbus Ohio— C o n tin u e d
C la s s B b u sses:
B ir st 3 m o n t h s . . .....................
4-1 2 m o n t h s ____________ . . .
A fte r 1 y e a r . ................... ..........

Davenport, Iowa
Dayton, Ohio
m a n cars a n d b usses:
C o m p a n y A:
F ir s t 3 m o n t h s ________
4-12 m o n t h s ___________
A fte r 1 y e a r ___________
C om pany B:
F ir s t 6 m o n t h s ________
7-12 m o n t h s .......................
A fte r 1 y e a r ___________

.670
.690
.710

.650
.700
.750

.600
.650
.700

.710
.720
.730
.740
.750

.610
.620
.630
.640
.650

.760
.770
.780
.790
.800

.660
.670
.680
.690
.700

Des Moines, Iowa
1-

m a n ears a n d b u sses:
F ir st 3 m o n t h s _____________
4-12 m o n t h s ................................
A fte r 1 y e a r .............................. ..

1.665
1.695
1.740

.635
.665
.710

.900
.940

.790
.830
.870

Detroit, Mich.
m a n cars:
F ir s t 6 m o n t h s _____ ________
7-12 m o n t h s ___ ______ ______
A fte r 1 y e a r ________________
1-m an ears a n d b usses:
F ir s t 6 m o n t h s ...........................
7-12 m o n t h s _________ _____ _
A fte r 1 y e a r ................. ...............

2-

1.000
1.000

1.040
1.100

.840
.880
.920

Duluth, M inn.
B u sse s:
F ir s t y e a r __________________
S eco n d y e a r ............ ...................
T h ir d y e a r .................................. .

.690
.720
.750

.590
.610
.630

Erie, Pa.
B u sses:
F ir s t 6 m o n t h s .......................... .
7-12 m o n t h s ________________
A fte r 1 y e a r . ...............................

.800
.870
.900

2.650
2.720
2. 750

.720

.640

Indianapolis, Ind.
1-m an cars a n d b u sses:
F ir s t y e a r . ...................................
S eco n d y e a r .................................
A fte r 2 y e a r s ................................

.670
.780
.690
.800
.850
.740
i Increase of 7 cents per hour, July 1 , 1942.
3 Plus a bonus of
cent for each hour worked.


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Federal Reserve Bank of St. Louis

$0.630
.680

$0. 570
.620

Jacksonville, Fla.
.650
.670
.700

1 -man

ears and busses:
First 6 m onths______
7-12 m onths...............
Second y e a r ............ .
After 2 years................

.550
.580
.620
.700

Los Angeles, Calif.
Los Angeles Railway Co.:
2 -man cars:
First year_________ _
Second y ear._ ______
After 2 years_________
1 -man cars and busses:
First year___________
Second year_________
After 2 years________
Pacific Electric Co.:
2 -man cars:
First 6 m onths___ _
7-12 m onths__ __
After 1 year. ...........
1 -man cars and busses:
First 6 months...............
7-12 m onths.. . . . .
After 1 year____ _
Single-track cars:
First 6 m onths____ ..
7-12 m onths____
After 1 year_________
Madison, IVis.
Busses:
First 6 m onths__________
7-12 m onths_____________
13-18 m onths____________
After 18 m onths_________

.660
.720
.750

.660
.720
.750

.760
.820
.850-

.760
.820
.850

.730
.750
.770
.830
.850
.870
.780
.800
.820
.680
.710
.730
.750

.580
.610
.630
.650

.720
.780
.850

.730
.730

.690
.740
.790

.615
.665
.715

.700
.720
.740
.760

.670
.690
.710
.730

.750
.770
.790
.810

.720
.740
.760
.780

Manchester, IV. H.
Busses:
First year_______________
Second year_____________
After 2 years____________
Memphis, Tenn.
1 -man

Grand Rapids, Mich.
B u s s e s .....................................................

Jackson, Miss.
Busses:
First 6 m onths........
After 6 m onths____

June 1.
1941

Little Rock, Ark.
.720
.740
.760

Denver, Colo.
2- m a n cars:
F ir s t 3 m o n t h s _____ _______
4-12 m o n t h s ...............................
13-18 m o n t h s ______________
19-24 m o n t h s . . . . . .............. ..
A fte r 2 y e a r s _______________
1-m an cars a n d b u sses:
F ir s t 3 m o n t h s _____________
4-12 m o n t h s ________________
13-18 m o n t h s _______________
19-24 m o n t h s ............................. .
A fter 2 y e a r s ..............................

June 1,
1942

Busses:
First year.....................
Second year_________
After 2 years.................

(S e e R o c k Isla n d (111.) d is tr ic t.)

1-

Rates of wages per
hour
City and classification

cars and busses:
First year_______________
Second year____________
After 2 years____________
Milwaukee, Wis.
2 -man cars:
First year________ ______
Second year_____________
Third year______________
After 3 years.........................
1 -man cars and busses:
First year_______________
Second year........... ............
Third y ear...................... .
After 3 years.........................

124

Monthly Labor Review—January 1943

T able 4.— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and
June 1, 1941, by Cities— Continued
Rates of wages per
hour
City and classification
June 1,
1942

June 1,
1941

Minneapolis, M inn. (includes
St. Paul, Minn.)
2 -man

cars:
First year---------------------Second year________ . . ..
After 2 years_____
___
l-inan cars and busses:
First year__________ ____
Second y e a r... _________
After 2 years________ ____

$0.710
.740
.770

$0.640
.670
.700

.800
.830
.870

.730
.760
.800

.600
.650

.530
.580

Moline, III.
(See Rock Island (111.) district.)
Nashville, Tenn.
Busses:
First 3 m onths______
4-12 m onths_____________
13-18m onths____ ___ . _
19-24 m onths____ _______
After 2 years______ - _- -

.580
.620
.640
.670
.700

.540
.580
.600
.630
.660

.810
.830
.850

.660
.680
.700

.500
.550
.600
.630

.480
.510
.530
.560

.800
.830
.870

.720
.750
.790

.480
.490
.500
.510
.520
.530

.480
.490
.500
.510
.520
.530

.960

.792
.869
.957

Newark, N . J.
1 -man

cars and busses:
First 3 m onths______ ____
4-12 m onths................. ........
After 1 y e a r ________ ...
Ironbound Transportation Co.:
Busses:
First 6 months______ _
7-18 m onths.................
19 months to 5 years__
After 5 years........ . .. .
V
New Haven, Conn.
1 -man

cars and busses:
First 3 m onths___ _______
4-12 m onths_____________
After 1 year_____________
New Orleans, La.

Busses (Algiers Division):
First 6 months___________
7-12 m onths____ ________
13-18 m onths___________
19-24 m onths......... ..............
25-30 months____________
After 30 m o n th s.......... ......
New York, N. Y.
Subways:
B. M. T. System:
Road motormen:
First year________
Second year______
After 2 years______
Conductors:
Front position:
First year_____
After 1 year. „
Rear position_____

1 .0 0 0

1.060
.730
.780
.700

* Inc rease of 3 c e n ts p er h our, S e p t. 1, 1942.
In c rea se o f 1 c e n t per h our, S e p t. 1, 1942.

*


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Federal Reserve Bank of St. Louis

June 1,
1942

June 1,
1941

New York, N . Y .—Continued

Mobile, Ala.
Busses:
First 6 m onths________
After 6 m o n th s _____ ____

Rates of wages per
hour
City and classification

Su bways—Continued.
I. R. T . System:
Road motormen:
First year
Second year
After 2 years............
Conductors:
Front position:
First year
After 1 year
Rear position
Platform:
First year
After 1 year
Surface cars:
Third Avenue Railway
System:
First 3 m onths_______
4-6 m onths__________
7-9 m onths____ _____
10 - 1 2 m onths_____ . . .
13-15 m onths________
16-18 months
19-21 months
22-24 months
Third year
Fourth year
Fifth year......................
After 5 years________
Brooklyn-Queens Transit
Lines:
First year
Second year
Third year
Fourth year .
Fifth year______ _ _
After 5 years
Queensboro Bridge Railway and Steinway Omnibus
___ ___
Busses:
Avenue B and East Broadway Transit Co.:
First 6 months...... ........
7-12 months
Second year
Third year
Fourth year.............. .
After 4 years_________
Bee Line, Inc.:
First year__
.. .
Second year
Third year
Fourth year
After 4 years
Brooklyn Bus Division:
First year
Second year_________
Third year
Fourth year____
Fifth year
After 5 years_________
Comprehensive and East
Side Companies:
First 3 months
4-12 m onths_________
Second yearv. ......... ... .
Third year
Fourth year
After 4 years___
....

$0.960
1 .0 0 0

1.060

$0.858
.960
.960

.730
.780
.700
.650
.680
.520
.540
.560
.590
.610
.630
.650
.670
.760
.770
.780
.840

.460
.480
. 500
.530
.550
.570
.590
.610
.700
.710
.720
.760

.640
.680
.720
.760
.800
.860

.521

.770

.840

.680

‘.530
3.630
». 680
*. 730
3. 780
3.830

.500
.560
.620
.640
.690
.740

.600
.640
.680
.720
.800
.640
.680
.720
.760
.800
.860

.521

.770

.600
.673
.720
.755
.790
.880

.600
.673
.720
.755
.790
.880

125

Wage and Hour Statistics

T a b l e 4 .— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and

June 1, 1941, by Cities— Continued
Rates of wages per
hour

Rates of wages per
hour
City and classification

City and classification
June 1,
1942

June 1,
1941

New York, N . Y —Continued

New York, N . Y .—Continued

B u s s e s — C o n tin u e d .
F ifth A v e n u e C o a ch C o.:
D riv e rs:
F ir s t y e a r __________
S eco n d y e a r ________
T h ir d y e a r _________
F o u r th y e a r ________
A fte r 4 y e a r s _______
C on d u cto rs:
F ir st y e a r ---------------S eco n d y e a r ________
T h ir d y e a r _________
F o u r th y e a r -----------A fter 4 y e a r s _______
G r een L in es:
F ir s t 6 m o n t h s _________
7-12 m o n t h s ____________
S eco n d y e a r ------- ----------T h ir d y e a r . ....................... ..
A fter 3 y e a r s ........... ..........
J a m a ic a B u s s e s , In c .:
F ir s t y e a r ------- ------------S eco n d y e a r ____________
T h ir d y e a r _____________
F o u r th y e a r ------------------A fte r 4 y e a r s ___________
M a n h a tta n a n d Q u ee n s
L in e:
F ir s t 6 m o n t h s _____ . . . .
7-12 m o n t h s ____________
S ec o n d y e a r .............. ..........
T h ir d y e a r --------.-----------A fter 3 y e a r s ___________
N e w Y o r k C it y O m n ib u s
C o .:
F ir s t 6 m o n t h s _________
7-12 m o n t h s ____________
S eco n d y e a r . . . . ________
T h ir d y e a r . .............. ..........
F o u r th y e a r ........................
A fter 4 y e a r s ___________
N o r th S h or e B u s L in e s:
F ir s t y e a r . _____________
S eco n d Y e a r ____________
T h ir d y e a r --------------------F o u r th y e a r ------- ----------Q ueens - N a ssa u
T r a n s it
L in es:
F ir s t y e a r ------------ --------S eco n d y e a r ------- ----------T h ir d y e a r --------------------F o u r th y e a r .........................
A fter 4 y ea r s____________
S c h en ck T r a n s p o r t a t i o n
C o.:
F ir st y e a r ______ _____ —
S econ d y e a r ____________
A fter 2 y e a r s ----------------S ta te n I s la n d C o a ch C o.:
F ir s t 3 m o n t h s _________
4-6 m o n t h s _____________
7-9 m o n t h s _____________
1 0 -1 2 m o n t h s ......................
13-18 m o n t h s .....................
19-24 m o n t h s ............... ..
A fter 2 y e a r s ___________
S te in w a y O m n ib u s an d
Q u ee n sb o ro B r id g e R a il­
w ay:
F ir s t 3 m o n t h s _______
4 -6 m o n t h s ________. . .

Busses—Continued.
Steinway Omnibus and
Queensboro Bridge Rail­
w ay-C ontinued.
7-9 m onths:_______
1 0 -1 2 m onths_______
13-15 m onths_______
16-18 m onths_______
19-21 m onths_______
22-24 m onths_______
Third year________
Fourth year_______
Fifth year_________
After 5 years_______
Third Avenue Railway
System:
First 3 months....... ........
4-6 m onths__________
7-9 m onths__________
1 0 -1 2 m onths________
13-15 m onths________
16-18 m onths________
19-21 m onths________
22-24 months________
Third year__________
Fourth year_________
Fifth year___________
After 5 years______ ...
Tri-Boro Coach Corpora­
tion:
First year_______ ____
Second year_________
Third year__________
Fourth year_________
Fifth year___________

$0.790
.800
.830
.840
.850

$0. 790
.800
.830
.840
.850

.720
.730
.760
.770
.780

.720
.730
.760
.770
.780

. 650
.700
.750
.800
.875

.605
.605
.630
660
.790

.705
.738
.771
.815
.870

.610
.640
.670
.720
.770

.650
.680
.705
.730
.830

.610
.640
.665
.690
.770

.710
.800
.860
.920
.940

.650
.740
.800
.860
.880
.940

1.000
.710
.760
.830
.910


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Federal Reserve Bank of St. Louis

.520
.540
.560
.590
.610
.630
.650
.670
.760
.790
.810
.860

400
480
500
530
550
570
590
610
700
730
750
780

.600
.650
.700
.740
.830

cars and busses:
First 6 months___
7-12 m onths_____
13-24 months____
After 2 years........
Interurban______

« .570
« .600
L630
» .660
8.680

570
590
620
650
670

Omaha, Nebr.

.730
.810
.900
.900

.638
.680
.760
.810
.850

.650
.680
.770

.650
.680
.725

».705
*.730
» .755
» .780
« .805
» .840
».875

.680
.705
.730
.755
.780
.815
.850

.460
.560
.480
.580
»Increase of 2J4 cents per hour, Aug. 1, 1942.
« Increase of 6 cents per hour, July 1, 1942.
^ Increase of 7 cents per hour, July 1,1942.
»Increase of 10 cents per hour, July 1,1942.
5011 5 2 — 43------- 9

500
510
520
540
560
580
590
620
630
770

Oklahoma City, Okla.
1-man

2 -man

.688

$0 . 600
.620
.640
.660
.680
.700
.760
.770
.780
.860

cars:
First 6 months - _________
7-12 months_____________
13-18 months____________
Busses:
First 6 months__________
7-12 months_____________
After 1 year_____________
Peoria, III.
1 -man cars and busses:
First year______________
Second year------------------After 2 years---------------Philadelphia, Pa.
Subway, elevated, and high
speed lines:
Motormen:
First 6 months_______
7-12 m onths_________
13-18 m onths________
19-24 m onths.................
After 2 y ears-..............

.610
.630
.650
.660
.680
.700
.790
.810
.830

.720
.740
.760

.810
.835
.860
.885
.910

.730
.755
.780
.805
.830

126

Monthly Labor Review—-January 1943

T able 4.— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and
June 1, 1941, by Cities—Continued
R ates of w ages per
hour
C ity and classification
June 1,
1942

June 1,
1941

Philadelphia, Pa.—Continued
Subway, elevated and high
speed lines—Continued.
Conductors:
First 6 m onths.......... .
7-12 m onths_________
13-18 months________
19-24 m onths.................
After 2 years_________
2 -man cars:
First 6 months__________
7-12 m onths____ ________
13-18 m onths____________
19-24 m onths____________
After 2 years____________
1 -man cars and busses:
First 6 months___________
7-12 m onths_____________
13-18 m onths____________
19-24 months____________
After 2 years____________

$0. 730
.755
.780
.805
.830

I. 650
.675
.700
.725
.750

.730
.755
.780
.805
.830

.650
.675
.700
.725
.750

.810
.835
.860
.885
.910

.730
.755
.780
.805
.830

.790

.750

Busses:
First 6 months7-12 months__
After 1 year___

$0. 710
.730
.750

$0. 660
.680
.700

.560
.620
.680
.730

.560
.620
.680
.730

.630
.690
.750
.800

.630
.690
.750
.800

St. Louis, Mo.

2-man cars:
F irst 6 m on ths____
7-12 m on th s_______
13-18 m onths ______
A fter 18 m o n th s___
1-man cars and busses:
First 6 m o n th s____
7-12 m on th s........ ......
13-18 m on th s_______
A fter 18 m o n th s___
Service ears:
First 6 m on th s_____
7-12 m on th s................
2-3 years___________
A fter 3 years_______

.550
.575
.600
.625

Salt Lake City, Utah
.810
.900
.955

.810
.900
.955

Busses:
First year_______________
A fter 1 year_____________

.690
.800
.830
.840

.690
.800
.830
.840

B u sses.

«. 690
». 770

.580
.660

i°. 790

.745

.650
.675
.700
.725
.750

.625
. 650
.675
.700
.725

.750

.725

.750
.775
.800
.825
.850

.725
.750
.775
.800
.825

» . 750
1». 825

.750
.825

.660
.710
.780

.640
.690
.720

.920

.840
.870
.900

San Antonio, Tex.

San Francisco, Calif.
.800

.700

Portland, Oreg.
1 -man

cars and busses:
If employed before April 1 ,
1942:
First 3 months_______
.950
4-12 months_—..........
.970
After 1 year.............. ...
1
.000
If employed after April 1,
1942:
First 6 months_______
.900
7-12 months_________
.920
13-18 months________
.940
19-24 months________
.960
After 2 years_________
1.000
Providence, R . I.
1man cars and busses:
First 3 months.....................
.800
4-12 m o n th s...____ _____
.830
After 1 year____________ ]
.850
Rochester, N . Y.
2man subway cars— .......
Busses:
First 3 months_____ _____
.860
4-12 months................
.880
After 1 year................ ...... I ’
.900
9 Increase of 1 cent per hour, Oct. 26,1942.
10 Increase of 5 cents per hour, Ju ly 1, 1942.
11 Increase of 12)3 cents per hour, J u ly 1, 1942.


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Federal Reserve Bank of St. Louis

June 1,
1941

St. Paul, M inn.

Portland, Maine
Busses.

1942

(See M inneapolis, M inn.)

Pittsburgh, Pa.
1-man cars:
F irst 3 m onths _
4-12 m on th s___
A fter 1 year___
B usses:
First 3 m onths
4-12 m o n th s___
Second y ea r___
A fter 2 years—

June 1 ,
Rock Island (III.) District

Phoenix, Ariz.
1-man cars and busses—.

Rates of wages per
hour
C ity and classification

.800
.830
.850

2-man ears:
F irst 6 m o n th s ......................
7-12 m on th s______________
13-18 m on ths______________
19-30 m on th s_____________
A fter 30 m o n th s___________
Cable cars:
G ripm en and conductors.. .
Busses:
First 6 m o n th s................. .......
7-12 m o n th s_______________
13-18 m o n th s______________
19-30 m on th s______________
After 30 m on th s___________
M unicipal R ailw ay:
M otorm en and conductors.
B u sses.______ _____ _______

Scranton, Pa.
.725
.755
.775

1-m an cars and busses:
First 3 m o n th s___
4-12 m on th s______
After 1 year.............

Seattle, Wash.
.750
.740
.760
.780

Busses:
First 6 m on th s.
7-12 m on th s___
After 1 year___

1.000
1.000

127

Wage and Hour Statistics

T able 4.— Union Rates of Wages of Street-Railway Employees, June 1, 1942, and
June 1, 1941, by Cities—Continued
R ates of w ages per
hour
C ity and classification

C ity and classification
June 1,
1942

June 1,
1941

South Bend, Ind.
Busses:
First y ear.......... .......
Second year................
After 2 years_______
Spokane, Wash.
Busses:
First year..................
2-3 years.....................
After 3 years..............
Springfield, Mass.
Busses:
First 3 months........ .
4-12 m onths...............
After 1 y ear...............
Tampa, Fla.
Busses:
First 6 months........ .
After 6 m onths..........
Toledo, Ohio
1-m an cars and busses:
First 6 months...........
7-12 m onths_______
After 1 y ear...............

R ates of wages per
hour
June 1,
1942

Washington, D. C.
$0.750
.775
.800

$0. 650
.675
.700

.650
.700
.750

.600
.640
.680

.780
.830
.870

.720
.770
.810

2-m an cars:
First 3 m on th s_____ ______ » $0.680
4-12 m on th s_______________
u . 720
A fter 1 year___ __ _______
12 .760
1-m an cars and busses:
12. 780
First 3 m on th s____________
12. 820
4 -1 2 m on th s___________ ___
12. 860
After 1 year_______________

.730
.770
.790

I3. 710
in. 760
is. 810

.710
.760
.810

.600
.650
.720

.600
.650
.720

.830
.880

.750
.800

York, Pa.
Busses:
First 6 m o n th s____________
7-12 m on th s_________
A fter 1 year_________

.460
.540

$0. 660
.700
.720

Worcester, Mass.
1-m an cars and busses:
First 3 m o n th s____________
4-12 m o n th s_______________
A fter 1 year___________
__

Youngstown, Ohio
.790
.810
.840

.740
.760
.790

Busses:
First year_________________
A fter 1 year_______________

12 Increase of 9 cents per hour, Ju ly 1, 1942.
13 P lu s bonus of $90 per year, paid in quarterly in stallm ents.


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Federal Reserve Bank of St. Louis

June 1,
1941

128

Monthly Labor Review—January 1943
WAGES AND HOURS OF UNION MOTORTRUCK
DRIVERS A N D HEI FERS, JUNE 1, 1942 ■
Summary

THE average hourly wage rate of union motortruck drivers in 75 cities
was 89.2 cents on June 1, 1942. Unionized helpers averaged 72 8
cents and the average for the combined truck driver and helper occu­
pations was 86.8 cents. Based on comparable quotations for both
June 1, 1941, and June 1, 1942, the general level of hourly rates ad­
vanced 6.8 percent for drivers, 8.7 percent for helpers, and 7.0 percent
lor the combined groups. Actual rates for drivers ranged from 30
cents per hour for taxi drivers in Charleston, W. Va., to $2.00 per
hour for operators of dump trucks of a capacity of 8 cubic feet or
over m St Louis. Helpers had a range in rates between 34.7 cents
lor some of the helpers on city freight trucks in Atlanta to $1.25 for
helpers on theatrical-equipment trucks in New York City.
The averages quoted above cover city trucking primarily, although
over-the-road drivers were also included when they were paid on an
hourly, rather than a mileage, basis. The survey included 3,000 wage
quotations covering 256,900 union members. The term “truck drivers’’ covers a heterogeneous group of occupations, such as drivers of
building and excavating trucks, coal trucks, ice trucks, general hauling
and transfer trucks, delivery trucks hauling various and miscellaneous
commodities, and express and freight trucks. In each of the many
classifications of hauling, different types and sizes of trucks are likely
to be used. Each truck-driving occupation and each size and type
ot tiuck usually has a different wage rate. Furthermore, there is
S'1eat variation among the different cities, not only in respect to the
commodities handled under union agreements, but also in respect to
the types of trucks and the terminology used to describe the different
occupations. For these reasons it is impossible to make an intercity
classification by types. The data on all truck driving in all cities
studied, therefore, are treated as for one trade in this study, division
being made only between drivers and helpers.
Wage payments for drivers doing local hauling, or making local
( 7 V r T S , eh C^P no^ involve sales functions, are almost universally
established on a time basis. Most frequently the agreements specify
nouily lates, although daily or weekly wage scales are not uncommon,
n older to achieve comparability, these daily and weekly wage scales
ia\ o been converted to an hourly basis whenever the agreements specmed the number of hours for which the scales applied. Some trucking
agreements, although specifying wage scales on an hourly, daily, or
weekly basis, do not set the number of hours that shall constitute full
time. (Quotations of this type consequently have been omitted in the
computation of average full-time hours and in the table showing the
distubution according to hours per week. When the wage rates were
given on an hourly basis these quotations have been included in all
rate computations, but when a specified wage scale could not be con­
verted to an hourly basis it has been excluded.
Agreements covering route drivers, particularly those handling
.aveiy products, beer, laundry, and milk, commonly classify the
1 Prepared in th e B u reau ’s Industrial R elations D ivision ,


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Federal Reserve Bank of St. Louis

129

Wage and Hour Statistics

drivers as salesmen. Ordinarily, the compensation of these drivers is
specified as a weekly guaranty plus various commissions based upon
the volume of deliveries or collections. Similarly, the agreements
covering road drivers commonly specify either trip or mileage rates
rather than hourly wage scales. All quotations specifying such com­
mission, trip, or mileage wage scales, which could, not be converted
to an hourly basis, have been excluded from the computations upon
which this report is based.
D istrib u tio n of M em bers A ccordin g to H o u rly W age Rates

Thirty-seven percent of the union truck drivers had hourly rates
between 80 and 95 cents, and 20 percent had rates of 95 cents to $1.05.
Over 17 percent of the drivers received $1.05 or more per hour, while
less than 80 cents per hour was paid to almost 26 percent of the total
membership.
A substantial majority (56.1 percent) of the helpers had hourly rates
from 65 cents up to 85 cents. Only 2.9 percent were receiving as much
as $1.00 per hour, with none higher than $1.25; more than half (54.1
percent) had rates less than 75 cents per hour.
T able 1.-—Percentage Distribution of Union Motortruck Drivers and Helpers, by Hourly
Wage Rates, June 1, 1942

Classified hourly rate

Driv­
ers and Driv­
help­ ers
ers

Help­
ers

Average hourly rate. ____ $0 .8 6 8 $0. 892 $0.728
Percent of members whose
rates were—
Under 40 cen ts_____
40 and under 45 cents...
45 and under 50 cents...
50 and under 55 cents...
55 and under 60 cents...
60 and under 65 cents..
65 and under 70 cents...
70 and under 75 cents...
75 and under 80 cen ts...
1 Less

.1

.5
1 .1

1.7
3.0
4.2
4.2
6.3
10.4

.1
.2

.5
1 .2
2 .6

3.5
3.0
4.5
9.9

.6

2.3
4.1
4.9
5.5
8 .1
1 1 .6

17.0
13.1

Classified hourly rate

Percent of members whose
rates were—
80 and under 85 cen ts...
85 and under 90 cents.._
90 and under 95 cents. . .
95 cents and under $1.00.
$1.00 and under $1.05__
$1.05 and under $1.10__
$1.10 and under $1.15__
$1.15 and under $1.20__
$1.20 and under $1.25__
$1.25 and under $1.30__
$1.30 and over______ .

Driv­
ers and Driv­ Help­
help­ ers
ers
ers

14.8
9.8

14.6
10.4

1 1 .0
6 .6

1 2 .0

11.3
4.8
4.5
2 .8
.8

1.4
.7

7.1
13.1
5.4
5.2
3.3
1 .0
1 .6
.8

14.4
6.5
5.5
3.5
.8

1.4
.4
.2
.1
0)

than a tenth of 1 percent.

W eekly H o u rs , 1942

The average full-time weekly hours in effect for union drivers and
helpers was 46.4 on June 1, 1942. The 48-hour week was most preva­
lent in the trucking industry, 37 percent of the drivers and 43 percent
of the helpers having this workweek. Over 27 percent of the drivers
and about 22 percent of the helpers were covered by the 40-hour week.
The 44-hour week ranked third, including about 10 percent of the
drivers and 13 percent of the helpers. Weeks longer than 48 hours
were worked by 20 percent of the drivers and 14 percent of the helpers.
The longest workweek was in Charleston, W. Ya. which reported a
72-hour week for taxi drivers.
The effect of the Fair Labor Standards Act, in limiting straight-time
working hours to 40 per week for workers in interstate commerce, was
reflected in a number of motortruck drivers’ agreements. The ma­
jority of the drivers, however, as is indicated by the prevalence of

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Federal Reserve Bank of St. Louis

04
G
D ISTRIBU TIO N OF UNION MOTORTRUCK D R IV E R S AND H ELPER S
ACCORDING TO HOURLY WAGE RATES
JUNE I, 1942

PERCENT OF MEMBERS

PERCENT OF MEMBERS

40

40

HELPERS
30

30

20

-

20

10

10

J7777X

UNDER
UNITED STATES DEPARTMENT OF LABOR
BUREAU OF LABOR STATISTICS


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Federal Reserve Bank of St. Louis

1.20

1.30

1.30

OVER

ANO UNDER

$ .4 0
HOURLY WAGE RATES

AND

Monthly Labor Review—January 1943

DRIVERS

131

Wage and Hour Statistics

hour scales in excess of 40 per week, were considered either as working
in strictly intrastate commerce, to which the act does not apply, or
were drivers of common, contract, or private motor carriers engaged
in transportation in interstate commerce, which are generally exempt
from the overtime provisions of the Fair Labor Standards Act. Driv­
ers in the latter classification are subject to the regulations of the
Interstate Commerce Commission, which has ruled that no employer
of drivers operating vehicles in interstate commerce may require
drivers in its employ to remain on duty for more than 60 hours in a
period of 168 consecutive hours, with the exception that carriers
operating vehicles every day of the week may permit drivers to remain
on duty 70 hours in a period of 192 consecutive hours. Furthermore,
drivers are limited to 10 hours’ aggregate driving in any period of 24
hours, unless they are off duty 8 consecutive hours during or immedi­
ately following this driving period. An exception from the daily
limitation is made in the event of adverse weather conditions or un­
usually adverse road or traffic conditions necessitating hours of driving
in excess of 10, when drivers may be permitted to operate vehicles up
to 12 hours in any given day or days, provided, however, that the
extra 2 hours are necessary to complete a trip.2
In a number of cases the 60-hour scales specified in the agreements
are basically a restatement of these ICC regulations. In a number of
the reports, particularly those showing 60 hours as the full-time work­
week, it was indicated that the hours specified in the agreement merely
constituted the maximum permitted at straight time, and that fre­
quently actual working hours were considerably less, depending upon
the amount of work available.
T able 2.—Percentage Distribution of Union Motortruck Drivers and Helpers, by Hours
per Week, June 1, 1942
Hours per week

Drivers
and
helpers

Average weekly h o u rs..........................................
Percent of members whose hours per week were—
Under 40. _________________ _________
40
______________ ______ _________
Over 40 and under 44_______________ . . .
44___________________________________
Over 44 and under 48__________ ______
48
______ ____________________
Over 48 and under 54-------- ------ -----------54
______________________
Over 54 and under 60-------- ------------- ----60
________ _____________
Over 60....................... ................................

46.4
1 ,2

26.4
.5
1 0 .0

5.1
38.0
7.4
5.8
1 .6

4.0
(0

Drivers

Helpers

46.4

46.3

1 .1

27.2
.5
9.5
4.7
37.4
8 .2

5.4
1.7
4.3
(')

1 .2

21.5
.4
1 2 .6

7.2
43.3
2.5
8 .2
1 .0
2 .1

(■)

> Less than a tenth of 1 percent.

Overtime Rates

Time and one-half was the most prevalent overtime rate in union
trucking agreements. Over three-fourths of the quotations for drivers
and helpers specified this penalty rate. These quotations covered
2 An essential difference between the hour regulations of the Interstate Commerce Commission and of the
Fair Labor Standards Act should be noted. Whereas the Interstate Commerce Commission regulations
specify maximum hours which may not be exceeded, the regulations under the Fair Labor Standards Act
merely specify the maximum hours that may be worked at straight-time rates, and do not limit the number
of total hours that may be worked, provided time and a half is paid for all hours m excess of the specified
normal week.


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Federal Reserve Bank of St. Louis

132

Monthly Labor Review—January 1943

72.7 percent of the drivers and 71.1 percent of the helpers. Other
overtime provisions which affected a substantial number of members
were those providing fixed rates rather than multiples of the regular
rates. Some members were covered by overtime rates of one and onethird or one and one-fourth times the normal rate. In 14.9 percent of
the drivci quotations and 12.6 percent of the helpers no overtime rates
were specified, and in a few instances overtime was prohibited. Pro­
hibitions of overtime usually pertained to interstate over-the-road
drivers, who were limited to 60 hours per week.
A great many of the trucking agreements specified that the over­
time i ate should apply only on the basis of cumulative weekly hours
and not on a daily basis. A number also provided a daily or weekly
tolerance, whereby a limited amount of overtime could be worked
without payment of any penalty rate. This tolerance generally was
not over 6 hours per week.
A number of quotations covering drivers and helpers considered
subject to the Fair Labor Standards Act were modified to provide that
the straight-time weekly hours should be reduced to conform to the
law, but that each regular driver and helper should be guaranteed
sufficient overtime each week to equal the full working time specified
m the pievious agreements. In some instances the hourly rate for
straight time was retained unchanged under the new schedule of hours
which resulted in larger net weekly earnings for the members affected’
in other cases net earnings were increased by a combination of an
increase m the scale of wages and an increase in the number of guaran­
teed overtime hours.
T able 3 .—Overtime Rates Provided for Motortruck Drivers and Helpers in Union
Agreements, June 1, 1942
Drivers and helpers
Overtime rate

No penalty rate provided..
Time and one-half_______
Double time____________
Other penalty scales 1____
1

Drivers

Helpers

Number Percent Number Percent Number Percent
of quota­ of mem­ of quota­ of mem­ of quota­ of mem­
bers
bers
bers
tions
tions
tions
affected
affected
affected
433
2,297
18
251

10.9
72.5
.8

15.8

363
1 ,8 6 8

15
196

10.9
72.7
.9
15.5

70
429
3
55

10.7
71.1
.7
17.5

Fixed penalty scales, time and one-third, or time and one-fourth, etc.

Trend of W age and Hour Scales

Data based on comparable quotations for the trucking industrv
are available only for the past 6 years. Since 1936 the movement of
wage rates has been consistently upward and until 1942 that of allowed
wcevly hours has been generally downward. Union hourly wage
rates for drivers increased 6.8 percent, on the average, during the
year ending June 1 1942, and helpers' rates increased 8.7 percent.
4 uli-time hours for drivers and helpers, on the average, increased 0 4
percent during the year ending June 1, 1942; 0.1 percent for drivers
and 2.0 percent for helpers.


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Federal Reserve Bank of St. Louis

133

Wage and Hour Statistics

T able 4.-—Percent of Change in Union Hourly Wage Rates and Weekly Hours for
Motortruck Drivers and Helpers, 1936 to 1942
Drivers

Drivers and helpers
Yearly period

1936 to
1937 to
1938 to
1939 to
1940 to
1941 to
1 Not

1937__________________________
1938__________________________
1939_________________________
1940__________________________
1941__________________________
1942__________________________

Hourly
wage
rates

Weekly
hours

+ 6 .6
+3.6
+ 2 .2
+ 2 .0
+4.0
+7.0

-0 .9

Hourly
wage
rates
(0

+3.6
+ 2 .2
+ 2 .1
+3.8
+ 6 .8

0

- .9
- .9
- .7
+ .4

Helpers

Weekly
hours
)

0

0
-.8
-.8

- .7
+ .1

Hourly
* wage
rates

Weekly
hours

(>)
+3.5
+ 2 .6
+ 2 .0
+5.0
+8.7

0

)
0 '
- 1 .2
-1 .3
- .7
+ 2 .0

available.

Changes Between 1941 and 1942

Wage rales.—Almost 70 percent of the organized truck drivers and
helpers received increases in hourly wage rates during the year ending
June 1, 1942. A larger proportion of the helpers (80.6 percent)
received raises than did the drivers (67.6 percent). Reductions in
scales were reported for only 0.2 percent of the drivers and 0.1 percent
of the helpers.
T able 5.—Number of Changes in Union Rates of Motortruck Drivers and Helpers, and
Percent of Members Affected, June 1, 1942, as Compared With June 1, 1941
Drivers and helpers
Type of change

Drivers

Helpers

of Number of Percent'of Number of Percent of
Number of Percent
members quotations members
quotations members
affected quotations affected
affected

Increase_________ - ----------Decrease________ ________
No change. _______
___

1,745

69.5

10

.2

674

30.3

1,418
9
540

67.6
.2

32.2

327
1

134

80.6
.1

19.3

Of the total number of drivers receiving increases during the year,
over four-fifths had their rates raised by less than 15 percent. In­
creases of less tiian 5 percent were received by 10.4 percent of the total
membership. Increases of at least 5 percent but less than 10 percent
were most common among truck drivers (24.9 percent). However,
increases of 10 percent and less than 15 percent were also quite preva­
lent (19.9 percent); 12.4 percent of all drivers included in the survey
received advances of at least 15 percent over their previous rates,
most of these being less than 20 percent.
About 42 percent of the total helpers benefited by raises of less
than 10 percent. Increases of less than 5 percent covered 6.3 percent
of the membership, and 35.4 percent had their 1941 scales advanced
by between 5 percent and 10 percent. Approximately 22 percent
had their rates raised by between 10 percent and 15 percent, and 3.9
percent received advances of 25 percent or more.


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Federal Reserve Bank of St. Louis

Monthly Labor Review—January 1943

334

T able 6.—Number and Percent of Increases in Rates of Motortruck Drivers and Helpers
and Percent of Members Affected, June 1, 1942, as Compared With June 1, 1941
Drivers and helpers
Amount of increase

Less than 5 percent- 5 and under 10 percent
10 and under 15 percent
15 and under 20 percent -20 and under 25 percent
25 and under 30 percent
30 and under 35 percent -.
35 and under 40 percent
40 percent and over_______

Drivers

Helpers

Number of Percent of Number of Percent of Number of Percent of
members quotations members
quotations members
affected quotations affected
affected
182
518
553
256
132

62
15
13
14

9.8
26.4
20.3
6.7
3.9
1.4
.2

.3
.5

154
420
462
197
99
53
9

10.4
24.9
19.9
6.7
3.5
1.3

12
12

.3
.4

.2

28
98
91
59
33
9
6
1
2

6.3
35.4
2 2 .2

6.7
6 .1

1.7
.6
.1

1.5

. M a x im u m w eekly ho u rs. Almost 8 percent of the quotations cover­
ing drivers reported a i eduction in straight-time working hours during
the past year. These changes affected 3.8 percent of the organized
dm eis. Among helpers, decreases in maximum weekly hours were
listed in 7.1 percent of the quotations also covering 3.8 percent of the
members. Approximately 95 percent of the members in both classi­
fications retained their 1941 working schedules.
T able 7. Number of Changes in Union Hours of Motortruck Drivers and Helpers, and
Percent of Members Affected, June 1, 1942, as Compared With June 1, 1941
Drivers and helpers
Type of change

Increase______ _
Decrease________
No change______

Drivers

Helpers

Number of Percent of Number of Percent of Number of Percent of
members
quotations members
quotations members
affected quotations affected
affected
65
182
2,136

1 .8

3.8
94.4

50
150
1, 733

2 .0

3.8
94.2

15
32
403

1 .0

3.8
95.2

Average Rates , by City

•
? sh,0ws the avera2e rate for driver occupations in each city
included m the survey except for Charleston, S. C , where sufficient
quotations to compute an average were not obtained. The average
shown lor each city is a composite of all driver rates quoted for that
d ty weighted by the number of union members covered by each rate
Seattle had the highest rates, on the average ($1,119 per hour)
while bpokane was next in line with an average of $1.083. New York
City ranked third ($1,061), followed by Newark ($1,022). Nine addi­
tional cities had higher averages than the 89.2 cents average for all 74
cities; Los Angeles (99.8 cents), Portland, Oreg. (97.6 cents), Butte
(96.4 cents), Phoenix (96.3 cents), Detroit (94.9 cents), San Francisco
T W C l e v e l a n d (918 cents), Pittsburgh (91.8 cents), and South
o i^9'4LCents!' Twenty-five cities had average rates between 75
and 85 cents; 15 between 65 and 75 cents, and 10 between 55 and 65
cents. Dallas had the lowest average (53.2 cents).


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Federal Reserve Bank of St. Louis

Wage and Hour Statistics
T

able

135

8 . — Average

Hourly Rates of Union Motortruck Drivers, by City, June 1, 19421

City

Average
hourly
rate 2

Seattle, Wash----- -----Spokane, Wash--------New York, N. Y _____
Newark, N. J -----------Los Angeles, Calif-----Portland, Oreg______
Butte, Mont ..............
Phoenix, Ariz________
Detroit, M ich_______
San Francisco, Calif.. .
Cleveland, Ohio_____
Pittsburgh, P a______
South Bend, In d .........
Average for all cities___
Salt Lake City, U tah..
Chicago, 111_________
Milwaukee, Wis_____
Philadelphia, P a .____
Boston, Mass.......... —
Toledo, Ohio________
Youngstown, Ohio----Mobile, A la.................
Buffalo, N. Y _______
Denver. Colo...............
Madison, Wis...............

$1,119
1.083
1.061
1 .0 2 2

.998
.976
.964
.963
.949
.924
.918
.918
.894
.892
.887
.884
.883
.869
.867
.8 6 6

.862
.848
.847
.839
.832

City
New Haven, Conn —
St. Paul, M m n--------Washington, D. C ----Rochester, N. Y -------Indianapolis, In d ------Peoria, 111__ - - ------Little Rock, Ark------Springfield, Mass------Minneapolis, M inn---Dayton, Ohio______
Columbus, Ohio-------Charleston, W. Va___
Cincinnati, Ohio_____
Providence, R. I ----St. Louis, Mo_______
Worcester, Mass-------Rock Island (111.) distric t 3__________ -Reading, P a ________
Binghamton, N. Y ___
Erie, P a___ ______ Baltimore, M d ------Scranton, P a-----------Duluth, M inn___ . . .
Des Moines, Iowa__ -

Average
hourly
ra te 2
$0.830
.828
.826
.816
.812
.810
.807
.803
.800
.795
.789
.788
.787
.776
.775
.775
.766
.764
.762
.761
.758
.758
.737
.736

1 D o e s n o t in c lu d e d riv e rs p a id o n a c o m m iss io n or m ile a g e b a sis.
n u m b e r r e c e iv in g eac h d iffer en t rate.
2 H e lp e r s are n o t in c lu d e d in th is ta b le a s in p r e v io u s y ea r s.
s I n c lu d e s R o c k I sla n d , 111., D a v e n p o r t, Io w a , a n d M o lin e , 111.

City

Average
hourly
rate 2

Omaha, Nebr_______
Kansas City, M o------Louisville, K y----------York, P a----------------Birmingham, Ala____
Grand Rapids, M ich...
Portland, Maine__ .
Manchester, N. H ----Oklahoma City, Okla..
Jacksonville, F la... . . .
Tampa, F la ... ------Wichita, Kans_______
Houston, Tex_______
Nashville, T enn---- -Atlanta, Ga. ----------New Orleans, L a------Charlotte, N. C--------Memphis, Term-------Norfolk^ Va_________
El Paso, Tex________
Jackson, Miss_______
Richmond, Va____ ..
San Antonio, Tex____
Dallas, Tex. -------- ..

$0. 733
.730
.726
.726
.720
.714
.713
.703
.6 8 8

.661
.653
.653
.651
.648
.639
.621
.612
.610
.606
.603
.590
.572
.559
.532

A v e r a g e s are w e ig h te d a cc o rd in g to

WWW
WAGE-RATE CHANGES IN U NITED STATES
INDUSTRIES
THE following table gives information concerning wage-rate adjust­
ments occurring during the month ending October 15, 1942, as shown
by reports received from manufacturing and nonmanufacturing estab­
lishments which supply employment data to the Bureau of Labor
Statistics.
.
As the Bureau’s survey does not cover all establishments m an indus­
try and furthermore, as some firms may have failed to report wagerate changes, these figures should not be construed as representing
the total number of wage changes occurring in manufacturing and non­
manufacturing industries.


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Federal Reserve Bank of St. Louis

136

Monthly Labor Review—January 1943

Wage-Rate Changes Reported by Manufacturing and Nonmanufacturing Establishments
During Month Ending October 15, 1942 1
Establishments
Num ­
ber reporting
mcoverec creases

Group and industry

Total
num-

All m anufacturing..._____ ______ ____________ 34,639
Durable goods___________________________ 13, 533
Nondurable goods________________________ 21,106
' Iron and steel and their products, not including
machinery________________________________
Blast furnaces, steel works, and rolling m ills.__
Wire drawn from purchased rods___________
Wire work_______________________________
Cutlery and edge tools____________________
Tools (except edge tools, machine tools, files,
and saws)_______ ______________________
Hardware_______________________________
Plumbers’ supplies___________________
Stoves, oil burners, and heating equipment,
not elsewhere classified__________________
Steam and hot-water heating apparatus and
steam fittings____ ______________________
Stamped and enameled ware and galvanizing..
Fabricated structural and ornamental metal­
work_________________________________
Bolts, nuts, washers, and rivets___________
Forgings, iron and steel___________________
Wrought pipes, welded and heavy riveted___
Screw-machine products and wood screws...
Guns, howitzers, mortars, and related equip­
m ent______________________________
Gray-iron castings___________________
Boiler-shop products__________________ ’ _’ (
Electrical machinery____________ __________
Electrical equipment, not elsewhere classified’ .
Communication equipment________________
Radios and phonographs________________
Machinery, except electrical______________ ____
Machinery and machine-shop products .
Machine tools___________________________
Machine-tool accessories______________
Textile machinery_______________
Metalworking machinery___________

Employees

Total
number
covered

Number
receiving
increases

Average
percent]
of change
in wage
rates of
employees
having
increases

855
446
409

9,430,304
5,689,409
3, 740,895

199, 988
134, 648
65,340

7.7

140
28
4
4
3

1,322,137
517,574
33,6 6 6
21, 245
15,107

70, 228
46,271
1, 587
230
64

5.7
5.4
6.3
7.8
5.4

112

4
5
5

17,642
33, 341
17, 947

658
170
135

11.5
8.9

244

10

37,256

983

111

6

258
3,423

8 .1

348
863
3,010
1,623
702

10.4
10.3
5.2
6.7

3,540
335
66

171
97
126
154

283

9

51,031
49,362

292
69

3
9
5
4

34,092
19, 747
28,110
14, 551
32, 300

100

30
100

8

28
527
167

3

734
580
63
91

G)

10
6

59,044
29,805

24
13
3

490,640

8

G)
G)
G)

3, 928
889
638
15, 235
4,317
1,145
9,773

9.6
6 .6

6 .0

7.3
5.5

8 .6

5.6
6 .2
6 .8

6.5
8 .6

5.3
5.7

847, 698
360,057

91

97
51
7
16
7
4

24, 251
29,433

2,387
701

Automobiles________________________ ____

386

6

419, 231

3,664

9.7

Transportation equipment, except automobiles
Cars, electric and steam railroad____________
Aircraft and parts, excluding engines. _
Shipbuilding and boat building___________ I.

622
73
169
290

15
4
4
5

1, 704, 236
(2)
(2)

5,260
987
1,853
684

8.9
14.5
9.2
7.5

Nonferrous metals and their products.
Alloying, rolling and drawing (of nonferrous’
metals except aluminum) ________
Jewelry (previous metals) and jewelers’ find-’
mgs-----------------------------------------Lighting equipment________________ ____
Aluminum manufactures_____________
Sheet-metal work________________ ]

1,174

40

331, 666

131

4

165
87
63
167

3

Lumber and timber basic products.
Sawmills_____________________•_____
Planing and plywood mills_____________

1, 277
691
586

”

2 ,6 6 6

1, 506
145
198
121

4

G)
G)

(2 )

(2 )

10, 725
11,605

14,250
6,409
1,903
1 ,6 8 6

5.8

213

5.1
5.8
7.5
5.3
4.5
7.0
7.2
5.9

11

13,105

25
14

174, 826
130,336
44,490

1,756
1,410
346

11

(2 )

8.9

8,657

458
960
271
3,081

6

7.8
7.9
6 .6
1 0 .1
6 .1

Furniture and finished lumber products_________ 1, 553
35
170,999
2,791
9.6
Mattresses and bedsprings...
197
4
8,443
15
14.7
F u rn itu re._______ ________ "
750
13
106,435
732
8.4
Wooden boxes, other than cigar__---I-’II” I II’
139
6
14,856
295
9.9
Caskets and other morticians’ goods_________
108
5
5,988
756
13.8
1 Figures are
I1'uV, ^ v ei1
some industries to avoid disclosure of information concerning individual
establishments. A t A11"0’ n°wever>included where practicable in “all manufacturing,” and in the various
industry groups . No decreases reported.
? Included in group totals but not available for publication separately.


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Federal Reserve Bank of St. Louis

Wage and Hour Statistics

137

Wage-Rate Changes Reported by Manufacturing and Nonmanufacturing Establishments
During Month Ending October 15, 1942— Continued
Establishments

Group and industry

Total
num ­
ber
covered

Num ­
ber re­
porting
in­
creases

Stone, clay, and glass products...... ..........................
Glass____________ ____ __________________
Glass products made from purchased glass___
Brick, tile, and terra cotta _______________
Pottery and related products --------------------Marble, granite, slate, and other products____
Concrete products__ __________ _________
Nonclay refractories, ____________________

1,581
150
57
463
131
227
113

64

Textiles and finished textile products, _ ________
Textile-mill products and other fiber manufactures,
__ __________________
_____
Cotton manufactures except small wares..
Silk and rayon goods_________ ________
Woolen and worsted manufactures except
dyeing and finishing.. ______________
Hosiery________________ ___________
_ ____________
Knitted cloth______ _
Knitted outerwear and knitted gloves----------Cordage and twine___________ ___________

Employees

Total
number
covered

Number
receiving
increases

Average
percent
of change
in wage
rates of
employees
having
increases

20

11

4
4
3
5

227,976
68 , 280
2.967
33, 534
37, 582
4,589
2,852
3,244

12,807
3,217
429
2,534
555
144
17
1, 787

7.9
8.7
12.4
7.9
4.8
9.7
10.9
6.7

6,968

98

1,404,190

20,365

7.1

3,157
829
443

71
14

987,150
468, 662
74,372

16, 534
3,605
1,820

1 1 .6
8 .0

435
490
75
206
65

12
11

3

164,460
94, 913
8,299
17,118
13, 547

8,123
1,532
84
410
340

5.0
6.7
9.3
5.2
8.5

Apparel and other finished textile products______
Housefurnishings, other than curtains, etc----Textile b ag s..____ _ ____________________

3,811
78
56

27
3
3

417,040
8 , 818
7,939

3,831
1, 587
345

6.7
3.3
7.6

Leather and leather products_______________ .
L e a th e r_______________ . , ,
. ----- ...
___
Boot and shoe cut stock and findings
Boots and shoes,,
--------- --------- _ ._ ,
Leather gloves and mittens __________ . __

1,075
178
126
495
70

34

237,462
37,237
10,198
161,075
9,082

4,901
1,715
820
1,871
133

5.7
5.7
7.8
4.4
5. 6

Food and kindred products----- --------------------Slaughtering and meat packing_____________
Butter__________________________________
Icecream _________
_____ _ . ----------Flour______ . . . , ----- ------- ------- -------Feeds, prepared---- -- ------------- ------------ .
Baking__________________________ _____
Confectionery___ _ _ ------------ -----------Beverages, nonalcoholic-------------------- . —
Canning and preserving___________________

5,185
335
297
271
331
108
983
257
601
1,061

92
5
4
3

613, 397
151,117
6 , 419
9,607
16,271
5,752
89,195
44, 697
47, 786
134,239

7,081
158

2,154
2, 555
76
1,025

9.5
9.2
11. 5
13.4
8.5
8.5
9.2
9.2
13.4
10.9

Tobacco manufactures ---- . . . ----------------------Cigars and cigarettes,. . . . .
. -------- -----Chewing and smoking tobacco and snuff.. . . .

206
169
37

8

5
3

74,419
62,964
11, 455

1,590
1,091
. 499

1 0 .0

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

1,366
428
680

46
18
16

222,548
134. 620
49, 008

8 , 680

2,958
1,142

0 .1
8 .0

Printing, publishing, and allied industries_______
Newspapers and periodicals-------- ----------- Book and job . . . , . . .
. . ----------------Bookbinding____________________________

2, 532
707
1,429
118

26
4
16
4

166,833
59, 679
74,948
13,025

2,406

8.4

1,194
918

8. 0
9.3

Chemicals, petroleum and coal products . ..

..

2,467

77

550, 326

13, 913

7.8

Chemicals and allied products, ---------------------Paints, varnishes, and colors---------------------Drugs, medicines, and insecticides__ .
Chemicals, not elsewhere classified_______
Cottonseed o i l _________________________
Fertilizers. . . . ------- --------- --------

2,180
479
207
291
154
328

67
15

453, 590
21,864
22, 362
92,782
9, 524
15,008

9,519
434
1, 642
5,444
172
358

8.9
7.9
14. 6
7.1
13. 5
12.9

Products of petroleum and coal-----------------------Petroleum refining, . . ---- ------- -------------Coke and b y p ro d u c ts,.---- -------. . . ------

287
177
34

10

96, 736
77, 293
11, 053

4, 394
3,263
945

6 .1

Paper and allied products,. . -------Paper and pulp . . , ---- ---Paper boxes-------- ----------------

8

3

12

3
8

8
12
6

3

8

3
24
9
7
14

6

15
3
12

4
3

100

81
313
122

211

7.2

1 2 .8

14.0
8.7

6 .0

5.4
5.0

Rubber products-------------------------------------------

269

6

150, 418

2,508

7.2

Miscellaneous industries----------- ------------- ------

1,038

22

221,302

3,896

8.4


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138

Monthly Labor Review—January 1943

Wage-Rate Changes Reported by Manufacturing and Nonmanufacturing Establishments
During Month Ending October 15, 1942— Continued
Establishments
Group and industry

N onm anufacturing (except building construction)
M etalliferous m in in g________________________
Quarrying and nonm etallic m in in g __________
Crude p etroleu m ..................................... .................
P u b lic utilities:
E lectric light and pow er_________________
Street railw ays and busses______________
Trade:
W holesale______ ________________________
R eta il__________________________
H o tels______________________________________
L aundries_____________________________
Brokerage_______________________________
Insurance___________________________

Employees

Average
percent
of change
in wage
rates of
employees
having
increases

Total Num­
num­ ber re­
ber
porting
covered
in­
creases

Total
number
covered

3 87, 050
3
480
3 1,320
3 530

891
5
13
14

3, 065, 200
81, 500
49, 700
31, 600

17, 705
176
164
1, 569

9.3
14.5
9.9

3 2, 580
3 340

54
4

224, 500
144, 600

1,151
1, 532

9.0
9.2

314, 250
3 47, 580
31,730
3 1, 240
3 930
3 3, 440

231
499
16
7

333,200
1,027, 400
136,000
87, 600
13, 500
157,300

3,718
3, 230
2,300
385
73
1,421

6.3
6.9
10.9
8. 6
9.9
8.4

6

37

Number
receiving
increases

8 .0

3 A pproxim ate—based on previous m o n th ’s sam ple.

WAGES IN CANADA, 1941
WAGES in Canada increased considerably from 1940 to 1941—an
average rise for all industries of 10 percent, as compared with 3
percent between 1939 and 1940. The figures, however, do not rep­
resent the wage level at the end of 1941, as in some cases statistics
were based on figures for June and in others for September. As a
result of the adjustment of the cost-of-living bonuses in the closing
months of 1941 and such increases in rates as were made before the
‘ wage ceiling” was provided for in November, the level of wages by
December 1941( including the cost-of-living bonus) was probably 15
percent in excess of the 1939 rates or approximately equal to the
increase in cost of living after August 1939, which was 14.9 percent.
This information is taken from the annual survey of wages and hours
in Canada which was published as a supplement to the October 1942
issue of the Labor Gazette.1
. Wage statistics for 1941 include the cost-of-living bonus reported
in each case, usually to October; for coal mining and steam railways
the adjustments after November 15 were included. In most cases
the bonus is computed as a part of the wages and in others it is specified
by footnote, in the tables, of which some are shown in the present sum­
mary. Many of the bonuses were given in accordance with order in
council of December 17,1940 (P. C. 7440), for the guidance of boards of
conciliation and investigation dealing with wage disputes in mines,
some public utilities, and war industries. The same policy was
recommended for adjustment of wages generally. The order was
amended in June 1941 to provide a bonus of 25 cents weekly for each
1-point rise in the cost-of-living index (adjusted to the August 1939
base as 100) during the period from August 1939 or from the last
Department of Labor. Wages and Hours of Labor in Canada, 1929, 1940 and 1941. Ottawa,
(Keport No. 25.)


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Wage and Hour Statistics

139

increase in basic rates of wages after August 1939. Application
extended to adult males and females paid 50 cents an hour or more;
and to male workers under 21 years of age and females paid less than
50 cents an hour, who were entitled to receive a bonus of 1 percent
of basic wage rates. Adjustment was to be made not oftener than
once every 3 months and when the index rose at least 5 points.
On October 24, 1941, the National War Labor Board was ordered
appointed under P. C. 8253 and provision made for wage stabilization
and the payment of cost-of-living bonuses to be adjusted quarterly
according to changes in the official index of cost of living. Changes
in basic rates could be made only on written permission of the Board.
Adjustments were ordered made in bonuses paid under P. C. 7440
to compensate for later changes in cost of living and those employers
who were not paying bonuses were required to begin on February
15, 1942, to compensate for rises in living costs between October
1941 and January 1942 or for such other period as the Board finds
fair and reasonable.
The new order specified quarterly increases or decreases in the
amount of all bonuses. For each rise of 1 percentage point in the
cost of living, the amount of the bonus was fixed at 25 cents per week
for adult males and other employees paid basic wage rates of $25
or more weekly; and at 1 percent of the basic weekly wage rate for
males under 21 years of age and females having basic rates of under
$25 a week. Employees above the rank of foreman were excluded
from the bonus payment.
After November 15, 1941, the bonus payable to those receiving the
full bonus under P. C. 7440 (not having had a wage increase since
August 1939) was $3.65 a week on the basis of the adjusted index for
October 1, 1941 (114.6, or a rise of 14.6 points).
Recovery in wages since 1933, following the industrial depression
after 1929, varied considerably in different industries. Building
trades showed the smallest rise from 1933, having fallen precipitately
after 1929 from a comparatively high level. Average increases were
12 percent for steam railways, coal mining, and common factory
labor; 11 percent for miscellaneous factory trades; 10 percent for
logging and sawmilling, steamships, and telephones; 9.5 percent in
metal mining (many miners also receive bonuses based on price,
production, etc.); 9 percent in the metal trades; 7.5 percent on electric
railways; 7 percent in laundries; 5.5 percent in the building trades;
and 5 percent in the printing trades.
Although workers in all manufacturing industries received advances
in wages during 1941, the range was wide, that is from 19 percent in
the furniture and radio industries to 5 percent in pulp and paper
production.
Index numbers of rates of wages for various classes of labor in
Canada are shown in table 1 for the years 1901 to 1941, inclusive.


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Monthly Labor Review—January 1943

140

T ab le 1.— Index Numbers of Rates of Wages for Various Classes of Labor in Canada,

1901 to 1941
[1935-39=100]
Steam
Printing Electric
trades 3 railways 4 railways

Common
Coal
m ining« factory
labor

Building
trades 1

Metal
trades 2

1901
1902
1903
1904
1905

36. 5
38.9
40.8
42.2
44. 2

37.8
38.7
40.4
41.9
43.4

32.0
32.8
33.3
35.2
36.5

33.7
35.8
37.5
38.5
38.7

35.4
37.0
38.6
39.5
38.3

48.8
49.4
50.3
50.2
50.9

1906
1907
1908
1909
1910

46.5
48.5
49.3
50.3
52.6

44.0
45.4
46.7
47.5
49.0

38.4
41. 7
42.8
44.4
46.7

40.0
42.9
43.1
42.8
45.2

40.8
41.6
44.3
44.4
46.3

51.6
55.2
55.9
56.1
55.6

1911_______________________
1912___ ___________________
1913________ _____________
1914_______________________
1915_______________________

54.6
58.1
60.5
61.0
61.4

50.2
52.6
55.2
55.4
56.0

48.8
51.1
53.2
54.5
55. 1

46.4
48.7
52.7
53.2
51.6

49.2
50.3
51.4
52.4
52.3

57.5
58.0
59.0
60.1
60.4

49.9
51.6
52.6
53.1
53.1

1916_______________________
1917_______________________
1918_______________________
1919_______________________
1920_______________________

62.0
66.5
76.2
89.7
109.5

59.0
70.6
85.6
99.3
115.5

56.3
59.2
65.8
77.6
97.9

53.9
60.4
75.3

7 64.0

54.4

65.9
77.2
93.1

58.0
67.9
80.1
94.7
113.2

1921___________________ ___
1922_______________________
1923_______________________
1924_______________________
1925_______________________

103.2
98.4
100.7
102.7
103.1

103.0
95.8
96.0
96.8
96.7

102.9
102.3
100.5

1926.____ _________________
1927_______________________
1928_______________________
1929_______________________
1930_______________________

104.2
108.5
112.3
119. 6
123.0

97.8
98.2
99.3

102.9
103.8
105. 5
107.7
108.2

1931_______________________
1932_______________________
1933_______________________
1934_______________________
1935_______________________

118.5
107.9
95.6
93.7
96.7

100.9
96.4
93.3
92.7
93.6

1 0 2 .2

97.3

93.8
103.4
104.4
104.7
109.3
119.0

98.6
99.9
101.5
101.9
103.6
108.6

Year

1936_______________________
1937_______________________
1938_______________________
1939_______________________
1940_______________________
1941 8______________________
1 7 trades
n f tp T

1 0 0 .1

102.5
103.3
105.7
111.7

1 0 1 .8

102.9

10 2 .1
1 0 2 .6

103.4
98.1
97.7
98.2

3

1 0 0 .6

102.4

81.2
94.6
113.6

101.3
97.2
98.2
98.3
99.0

100.7
94.8
95.8
95.8
95.8

122.9
116.7
116.7
113.5
98.9

1 0 0 .2

99.3

95.8

1 0 0 .1

1 0 2 .0
1 0 2 .0

98.8
99.1
99.6
99.6
99.9

98.5
98.7
98.4
98.7
98.9

99.9
96.8
95.5
96.1
97.8

96.4
91.3
88.4
89.8
92.0

8 6 .1

102.3
104.7
105.1
104.7
100.7
96.3
96.2
96.8
97.8
100.4
1 0 2 .1

102.7
105.6
113.7

105.0
105.0
8 102 .4

94.6
92.4
89.3
94.6
94.6
1 0 0 .8

105.0
105.0
105.0
117.7

116.6

97.9
98.4
102.9
102.9
104.0
116.6

96.2
95.5
96.3
97.9

94.5
1 0 2 .8

105.0
105.9
109.5
122.4

from 1901 to 1920, 8 from 1921 to 1926, 9 from 1927 to 1941; 13 cities to 1927, 14 cities to 1930, there-

tf l AO

2 5 trades from 1901 to 1926, 4 from 1927 to 1941.
2 2 trades from 1901 to 1920, 4 for 1921 and 1922, 2 for 1923 and 1924, 6 from 1925 to 1941.
4 2 classes from 1901 to 1923, 5 from 1924 to 1941; from 1901 to 1930, 13 cities; thereafter 35
6 23 classes.
6 4 classes 1901 to 1920; 12 classes 1921 to 1941.
7 Including some increases effected near the end of the year.
8 Including a 10-percent decrease for certain classes toward the end of the year.
8 Rates include cost-of-living bonus where reported.


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decreasing to 25.

141

Wage and Hour Statistics
T

able

1 . — Index

Numbers of Rates of Wages for Various Classes of Labor in Canada,
1901 to 1941— Continued
[1935-39=100]
General
average—
Weight­
ed (ii)

Miscel­ Logging
laneous and saw­
factory
milling
trades 10

Metal
mining

Steam­
ships

55.7
57.1
58.4
59.4
61.5

62.9
63.3
61.2
59.7
60.3

48.3
48.5
48.3
48.9
49.2

40.1
42.1
43.6
44.5
45.4

63.6
65.2
63.9
67.2
69.3

64.2
63.4
64.4
65.0
64.2

50.0
51.1
52.4
53.1
53.2

47.3
48.8
49.9
50.9
52.5

47.7
48. 6
50.0
51.6
53.1

70.7
73.0
73.9
70.6

64.9
67.1
67.2

6 8 .0

6 8 .1

54.0
55.1
57.2
58.1
59.4

47.8
50.0
48.3

51.8
53.5
54.9
55.6
56.0

57.6
64.0
73.4
90.1
108.5

79.3
100.5
114.6
131.2
148.7

75.2
83.4
90.6
90.9
105.8

60.4
71.0
86.5
95.4
115.7

51.6
57.8
66.7
76.4
89.7

95.1

59.9
68.7
80.7
94.8
112.7

1921
_______
1922
_______
1923
- ______
_________
1924
1925_______________________

1 0 1 .1

112.9
92.6
107.1
116.2
107.8

97.9
90.5
94.5
94.6
95.9

105.6
95.4
100.7
99.2
99.4

99.0
99.9
101.3

94.6
89.9
91.3
91.8
91.9

102.7
95.9
98.6
99.8
98.8

1926
- ____
1927
_________
1928
- ______
_______
1929
1930-..- ___________________

98.4
99.7
100.5

108.4
109.5
110.9
110.5
109.2

95.8
95.9
95.8
96.4
96.5

99.2
100.4

1 0 1 .6

102. 5
103.3
103.5
103.7

92.5
94.2
96.0
97.1
97.6

99.4
101.5
102.7
104. 5
lOò. 2

1931
_______
1932
________
1933
_______
1934
_________
1935_______________________

98.7
92.2
87.9
90.3
92.2

92.6
76.7

95.2
92.2
91.1
93.4
95.2

102.3
95.1
89.3

103.2
100.7
98.6
97.7
98.2

97.9
91.3
90.6
96.6
95.9

101.7
94. 5
89.6
90.5
93.1

1936
- ________
1937
________
1938
___________
1939
_____________
1940
- - _________
1941 8______________________

94.4
101.9
105.2
106.0

90.5
104.6

97.6
101. 9
102.4

90.6
301.2
109.0

1 0 2 .8

1 1 0 .0

Year

1901
1902
1903
1904
1905
1 9 0 fi
1907
1908

1909
1910

1911
191?
1918
1914
1915
1910
1917
1918

1919
1920_____ _________________

94.6
98.1
98.8
97.8

1 0 1 .1
1 0 1 .2

1 1 0 .6

122.5

6 6 .0

74.9
82.3

1 1 2 .0

110.5
114.2
125.6

6 8 .2

103.5
113.2

1 0 1 .1

105.7
106.9

8 8 .6

89.2

115.5
126.9

Laun­
dries

1 0 1 .6

100.7

Tele­
phones

98.7

96.7

94.8

1 0 0 .0

1 0 1 .6
1 0 2 .8

1 0 1 .8

101.4
101.7
103.1
1 1 0 .2

103.1
104.1
114.5

104.9
105. 3
108.4
119.2

s Rates include cost-of-living bonus where reported.
.
,.
.
, ,
w The number of samples (and industries) increased from time to time since 1920; machine operators, heip°r i! Weighted* according to average number of workers in each group in 1921 and 1931 except metal mining
where years 1921, 1931 and 1938 were used.

Wage Rates and Hours in Metal Trades

Rates of wages and hours of labor in various trades in certain cities
are shown in the report under review for different pursuits, including
the building, metal, and printing trades, and electrical street railways,
for selected years from 1920 through 1941. The data on the metal
trades are reproduced in table 2 for the years 1920, 1930, 1940, and
1941, as of particular interest owing to the wartime importance of
metals.

501152— 43-

10


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142

Monthly Labor Review—January 1943

T able 2.—Rates of

;es and Hours of Labor in the Metal Trades in Canada in
Specified Years

[Rates in foundries and machine shops and manufacturing establishments. When a range appears figures
represent predominant rates. Rates include cost-of-living bonus where reported]
B la c k s m ith s

Machinists

B o ile r m a k e r s

Molders

1

L o c a lity
W a g es
per h o u r

H o u rs
p er w e e k

W a g es
p er h o u r

H ours
p er w e e k

Wages
per hour

Hours
per week

Wages
per hour

0.65
.60
.65
.65

44 -54
44 -50
40 -44
44

$0. 70 -0.80
. 70 - . 80
. 70 - . 85
. 725- . 85

Hours
per week

Nova Scotia
H alifax:

1920____ $0 . 60 -0.80
1930____ .55 - .75
1940____ .60 - .90
1941____ .65 - .96

44 -54
44 -50
40 -44
44

$0.65
.55
.67
.73

-0. 765 48 -54
- .75 44 -50
- .90 40 -44
- .96
44

-0.85
- . 75
- . 90
- . 96

44
44
44
44

-48
-48
-48
-48

New Brunswick
S a in t J oh n :

1920____
1930____
1940____
1941____

.60
.55
.50
.65

-

.65
.65
.65
.80

.50
.50
.58
.60

- .6 8
- .60
- .67
- .72

48
44
44
44

-54
-54
-45
-48

.60
.50
.55
.65

-

.65
.80
.70
.80

54
45J-á—
50
44
44

.545. 45 .55 .60 -

. 73
. 70
. 70
. 80

50
40 -55
44 -45
44 -48

. 51 .35 .50 . 50 -

. 60
. 65
. 65
. 70

54
45 -50
44 -45
44 -54

49^-60
50 -54
48 -60
48 -54

.60
.40 - .65
.58 - .60
.60 - . 77

54
54
48 -60
48 -54

. 40
. 40
. 45
. 48

. 65
. 65
. 75
. 77

49J.á-60
50 -54
48 -60
48 -59

. 375. 335. 375. 375-

. 58
. 57
. 58
. 67

48 -60
60
44 -60
48 -59

.735.50 .55 .65 -

47
47
40
44

. 55 - . 85
. 50 - . 85
. 50 - . 90
. 55 -1.00

44 60
44 -55
40 -60
44 -60

. 70 . 60 . 50 . 55 -

. 875
. 88
. 90
. 95

45
44
44
44

-54
-49
-55
-55

50
44 -50
44 -50
44 -50

. 62 . 50 . 45 . 50 -

. 70
. 68
. 70
. 75

50
44
40
44

-54
-50
-50
-50

Quebec
Q u eb ec:

1920____
1930____
1940____
1941____

M o n tr e a l:

1920____
1930____
1940........
1941........

-

.55 .525.50 .55 -

.825
.75
.80
.85

45
44
40
44

.60
.45
.45
.50

-

.70
.70
.65
.75

50
44 -50
44 -50
48 -58

.6 8

- .75
.55 - .75
.40 - .67
.45 - .85

48 -50
44 -50
44
44 -50

.48
. 50
. 50
. 55

.65
.55
.50
.55

- .8 6
- .75
- .80
- 85

48
44
44
44

-52
-54
-56
-60

.60
.60
.60
.70

44
44
44
44

-48
-48
-56
-50

. 55 - . 90
. 50 - . 80
. 50 - . 96
. 55 -1.05

44
44
44
44

-50
-54
-59
-60

. 70 . 50 . 55 . 59 -

. 95
. 90
. 89
. 95

48
44
44
44

-50
-54
-55
-51

.50
.45
.50
.60

-

48
45
44
44

-55
-59
-59
-59

.53 .425.485.50 -

70
65
65
65

50 -60
50
59
59

. 50 - . 85
.40 - . 75
. 50 - . 90
. 55 -1. 06

44
44
44
44

-60
-59
-60
-59

. 50 - . 95
. 45 - . 80
. 50 - . 90
. 64 -1.02

48
40
44
44

-50
-54
-54
-54

63 49J4-50
. 6 6 - 75
60 44 -49 y2 .55 - 70
55 44 -55
.49 - 57
60 44 -55
.50 - 66

50
44
44
50

.65
.48
.45
. 50

. 87
. 75
. 66
. 77

50
44 -50
44 -45
49J4-55

-58
-55
-60
-60

.80
.78
.90
.96

-49^
-49 té
-48
-48

Ontario
O tta w a :

1920____
1930........
1940____
1941____

T o ro n to :

1920........
1930____
1940____
1941____
H a m ilto n :

1920____
1930____
1940____
1941____

London:

1920........
1930____
1940........
1941____

.475.50 .45 .50 -

W in d so r:

1920____
1930____
1940____
1941____

.67
.50
.60
. 65

80
65
75
79

- 90
- 66
- 93
-1.03

- 88
- .75
- 70
- 85

49J-S-50
49H
40 -50
40 -50

. 60
.45
.40
.45

- . 78
- . 70
- . 85
-1.08

-

. 76
50
. 685 44 -50
. 60 44 -50
. 70 44 -55

-

. 67 - . 90
. 60 - 1 .0 0
.55 -1.10
. 60 - 1 .2 0

44 -55
40 -55H
40 -60

49^ -5 0

.80
.60 - . 90
.60 - . 85
.60 - . 90

50
44 -55
40 -48
40 -54

. 60
. 50
.50
.55

48
44
40
44

.575.50 . 53 . 55 -

50
44 -50
40 -50
40 -50

Manitoba
W in n ip e g :

1920____ .70 - 80
1930____ .40 - 77
1940........ .40 - 75
1941____ .45 - 80
1 Includes toolmakers.


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Federal Reserve Bank of St. Louis

50
44 -54
40 -50
44 -50

.65
.60
.55
.65

-

82
74
79
82

1

50
44
50
50

-

. 80
. 75
. 80
. 85

-50
-50
-50
-50

. 80
. 80
. 70
. 77

143

Wage and Hour Statistics

T able 2.—Rates of Wages and Hours of Labor in the Metal Trades in Canada in
Specified Years— Continued

Locality

Wages
per hour

Machinists

Boilermakers

Blacksmiths
Hours
per week

Wages
per hour

Hours
per week

Wages
per hour

Molders

1

Hours
per week

Wages
per hour

Hours
per week

Saskatchewan
Regina:
1 Q20
1930___
1940____
1941____

$0.85
.60 - . 85
. 50 - . 90
.50 - . 96

44
48 -50 $0. 73 - . 85
0.90
40 -44
.96
44

$0. 90
. 66 - . 85
.55 - . 90
.55 - . 96

50
44 -48
40 -49
44 -49

$0. 78

50

48 -55
40
44

.45 - . 55
.45 - . 55

44
44

.85
. 70
. 65
. 70

- . 95
- . 85
- . 95
-1.01

44
44 -48
40 -44
40 -44

.85
.80 - . 90
.90
.96

44
48
40
40

.85
.63 - . 85
.50 - . 90
.50 - . 96

44
44 -48
40 -48
40 -48

.85
.75 - . 82
.60 - . 75
.69 - . 80

44:
44
44
44

.70
. 60
.50
.50

-

. 80
. 85
. 80
. 80

44
44
44
44

.80 - . 85

44 -50

. 70 -1.00
. 60 - . 90
. 50 - . 70
. 52 - . 75

44
44
44
44

.70
.75
.65
.65

. 75
.65
.70
.75

-

. 93
. 83
. 90
. 905

44
44 -48
40 -44
40 -44

.78 .75 .75 . 815-

. 95
. 90
. 90
. 955

44
44 -48
40 -44
40 -44

. 75 . 75 . 70 . 80 -

. 95
. 875
. 90
. 955

44
44
40 -48
40 -48

.75 . 75 . 70 .80 -

. 905
. 875
. 80
. 94

44
44
44 -45
44 -45

.75 - . 90
.80 - . 84
.85
.905

44
44
44
44

. 775-1.00
.84
.90
.955

44
44
44
44

.825. 75 . 75 . 80 -

. 85
. 82
. 79
. 955

44
44
44
44

.75 .75 .75 . 84 -

. 87
. 81
. 86
. 955

44
44
44
44

Alberta
Calgary:
1920____
1930___
1940____
1941.......
Edmonton:
1920____
loan
1940
1941

-50
-54
-50
-50

-50
-54
-50
-54

- . 875
- . 80
-2.70
-2.75

44 -50
-44
44 -49
45 -54

British
Columbia
Vancouver:
1920____
1930____
1940____
1941____
Victoria:
1920 ___
1930 ___
1940 ___
1941____

1 Includes toolmakers.
2 Minimum rate approved under the Industrial Standard Act, 1935.

Wages in Agriculture

Average wages of farm workers in Canada, as estimated by crop
correspondents of the Dominion Bureau of Statistics, are given in
table 3 by Provinces for 1920, 1926, and 1929 through 1941.


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Federal Reserve Bank of St. Louis

144

Monthly Labor Review—January 1943
T able 3.— Average Wages of Farm Workers in Canada A s Estimated by Crop
Correspondents of Dominion Bureau of Statistics 1
Males, per
month in
summer
season

Males, per
year

Females, per
year

Year

Males, per
month in
summer
season

Males, per
year

Females, per
year

Wages Wages
W ages Wages
Wages Wages
Wages Wages
Wages Wages Wages Wages
with with­
with with­
with with­
with with­ with with­ with with­
out board
out board
out
out board out
board board
out
board
board
board
board
board board board
Canada
1920.
1926.
1929
1930.
1931.

$60
41
40
34
25

$86

1932
1933
1934
1935.
1936.

19
17
18

1937.
1938.
1939..
1940.
1941

Ontario

64
63
56
43

$543
384
373
326
240

$821
639
627
559
439

$275
242
242

176
161
171
184
206

341
322
338
358
374

120
112

20
21

34
32
33
35
37

23
24
24
28
36

40
41
40
41
51

224
230
245
275
353

400
405
424
456
559

$492
455
465
409
322

$52
37
35
31
25

$75
58
57
51
43

$474
349
341
304
237

$736
583
595
532
440

$259
232
242
229
180

$470
419
454
423
348

115
117
126

255
246
253
254
261

18
17
18
20
21

33
32
33
36
37

178
159
173
187
211

341
325
344
372
388

130
123
137
137
147

260
264
287
287
295

134
135
140
151
185

272
275
283
296
350

25
24
24
29
38

43
42
41
43
54

235
228
252
289
389

421
411
440
483
614

158
152
165
186
233

312
303
320
345
421

$559
438
438
398
296

210

159

Prince Edward Island
1920
1926
1929
1930.
1931.

$42
31
34
32
25

$50
47
52
50
39

$371
294
327
308
250

$572
484
534
513
413

$212

1932.
1933.
1934.
1935.
1936.

18
18
17
18
18

30
30
30
31
31

164
178
167
188
190

305
319
320
343
351

106
116
no

1937.
1938..
1939.
1940..
1941 .

21
20

36
33
30
31
38

206
205
219
231
323

374
364
372
399
498

18
20

26

Manitoba
$372
325
355
344
284

$70
38
38
32

$650
367
352
298
213

$975
614
608
536
410

$312
233

22

$98
60
61
53
39

17
15
16
17
19

32
29
31
32
34

164
143
149
160
178

337
307
312
323
336

101

126

225
237
231
247
262

89
92
92
103

249
229
233
232
235

125
130
128
132
158

252
260
259
268
305

21

37
39
37
40
51

202

22

221

367
373
398
409
500

113
116
124
134
168

249
250
267
276
328

$364
261
256
215
138

$853
498
496
427
312

230
240
238

180
196
179
153

122

23
27
37

Nova Scotia
$49
35
38
34
27

$73
54
57
54
44

$472
350
383
353
269

$735
588
605
562
465

$218
194

1932.
1933.
1934
1935.
1936.

22
20
20
22
22

37
34
35
37
37

213
208
195
213
245

1937.
1938.
1939.
1940.
1941.

25
25
25
25
34

40
41
40
40
51

r 'i ä x

i Ä


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Federal Reserve Bank of St. Louis

239
309

194
134

Saskatchewan

1920.
1926.
1929.
1930.
1931

- Ä

207

222

$72
43
44
37
23

$102

187
161

$408
369
391
344
316

377
365
360
364
415

135
129
124
128
136

261
248
253
245
260

18
16
16
18
19

33
31
31
33
35

158
144
153
173
188

324
305
319
345
346

98
85
89
96
105

262
169
271
299
414

435
439
452
472
631

145
145
143
142
194

272
277
271
265
352

19
22
22

35
37
38
42
50

184
203
218
243
307

344
363
381
407
497

106
113

t t a

a

. “

212

“

28
34

67
69
60
42

“Dd ,rom th*

$667 $1,003
406
678
398
685
340
593
215
418

122

134
169

Ye,r B“ k; flsures

240
222

233
247
262
270
331

Wage and Hour Statistics

145

T able 3.—Average Wages of Farm Workers in Canada A s Estimated by Crop
Correspondents of Dominion Bureau of Statistics—Continued
Males, per
month in
summer
season

Males, per
year

Females, per
year

Males, per
month in
summer
season

Males, per
year

Females, per
year

Year
Wages Wages
Wages Wage
Wages Wages
Wages Wages
Wages Wages
Wages Wages
with with­
with with­
with with­
with with­
with with­
with with­
out
out
out
out
out
out
board board board board board board board board board board board board
Alberta

New Brunswick

$697 $1,038
422
701
678
404
342
598
232
447

$360
271
253
223
156

$638
520
485
445
345

185
170
178
189
206

367
344
350
367
378

120

109
113
115
125

279
261
263
271
271

221

401
418
431
475
573

131
137
143
157
193

282
289
295
315
369

$684 $1,033
452
767
482
792
450
741
358
633

$131
278
291
270
228

$742
532
562
512
456

1920________
1926________
1929________
1930________
1931________

$56
39
40
34
27

$79
57
60
54
43

$531
354
375
335
276

$785
529
589
550
460

$213
176
198
181
161

$391
319
367
345
304

$76
45
43
37
25

$107
69

1932________
1933________
1934________
1935________
1936________

20

175
185
214

107
115
103
117

236
227
245
216
218

20

257

320
336
366
360
398

121

25

33
31
35
35
40

21
22

36
34
35
37
38

1937________
1938________
1939________
1940 _______
1941________

28
26
25
32
39

44
41
39
44
52

295
280
293
353
441

442
432
439
518
625

133
128
143
151
162

248
247
264
284
304

23
25
25
30
38

40
43
42
46
57

237
251
288
364

18
22
21

210

19
19

68

60
44

British Columbia

Quebec

57
61
52
41

$524
345
369
316
244

$767
547
577
510
406

$235
185
191
175
143

$407
326
342
314
261

$64
49
49
46
35

$95
76
76
72
58

18
17
18
18
19

30
28
30
31
32

158
152
164
170
196

284
265
293
306
332

104
94
96
98
106

202

187
192
196
206

25
23
24
26
25

44
42
43
45
46

250
234
240
242
265

467
446
462
465
494

168
152
162
160
166

348
332
349
347
358

25
24
24
24
32

40
38
39
37
47

226
247
243
288
351

376
398
398
453
539

121
122

232
235
240
262
308

28
28
28
30
35

49
50
49
46
57

279
284
285
314
373

513
522
525
551
627

170
170
172
183
216

363
365
370
379
429

1920________
1926 _______
1929 ______
1930 _______
1931________

$62
38
41
33
26

1932________
1933________
1934 _______
1935 _______
1936________
1937 ______
1938
____
1939 ______
1940
___
1941 _______

$86

124
142
171

Average wages of male farm help, on both a daily and monthly
basis appear in table 4 as of May 15, 1940, 1941, and 1942. The data
are given with and without board.


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Federal Reserve Bank of St. Louis

146

Monthly Labor Revieiv—January 1943

T able 4.—Average Wages of Male Farm Workers per D ay and per Month, as of M ay
15, 1940, 1941, and 1942 1
With board

W ithout board

Province
1940

1941

1942

1940

1941

1942

Wages per day
Canada___________
Prince Edward Island______________ _
Nova Scotia____ _________ _
New Brunswick. _____ _ _
Quebec _ .
__ Ontario___________ ___
M anitoba________ ____
Saskatchewan-. _ .
Alberta______________
British Columbia.- ___ Canada________ ___________
Prince Edward Island ___________
Nova Scotia___________________
New Brunswick___
: _ ...
Quebec____________________ Ontario__ ________
M a n ito b a .-.___ ____ _
Saskatchewan___________ - __
Alberta
- ____ - _ . .
British Columbia.
_. .

$1 .2 2

$1.48

$1.91

1 .0 1
1 .1 2

1 .2 1

1.56
1.79
1.98

$1.76

$2 . 06

$2. 57

1.52
1.65
1.63
1 .6 6
1.54
2.18
1.89
1.82
1.69
1 .8 6
1. 75
2. 03
1.93
2. 09
2. 33
Wages per month

1.70
1.95
1.94
1.84
2.35
1.84
1.99
2 . 20
2. 48

2.08
2.46
2.59
2.26
2. 89
2. 50
2. 49
2.79
2. 92

1.31
1. 50

1.38
1.44
1.31
1. 75
1.32
1.39
1.54
1.65

$26. 02

$31. 90

$42. 49

$39. 26

$46. 45

$58.80

2 1 .2 1
24. 88

25.19
30. 57
33.20
28.67
34.84
30.24
31.17
35.42
29. 97

35.00
42. 38
43.48
38.24
44. 08
42. 01
42.83
46. 38
44.09

31.33
38. 57
38. 88
35. 06
40. 21
39.14
39.75
44. 94
46.68

39.64
43. 96
45. 06
41.80
50.03
43. 64
45. 00
52.18
50. 46

49. 64
61.06
57.73
54.44
59.91
57.71
58. 59
67. 19
6 8 . 57

1.16
1.08
1. 34
1.14
1 .2 1

27.14
23. 53
26. 09
25. 43
26. 61
29. 03
27.00

i Reproduced from a report on “ Farm Wages in Canada” issued July 2 , 1942, by the Dominion Bureau
of Statistics.

Statistics of Coal Mines

Average daily wages, number of days worked, and number of wage
earners in coal mines are shown in table 5 by mining districts for 1921
to 1940, inclusive.
T able 5.—Average Wages Per Day, Average Number of Days Worked Per Man Per
Year, and Average Number of Wage Earners, 1921-40 1
[Dominion Bureau of Statistics: Annual Reports on Coal Statistics for Canada]
Year

Canada

Nova
Scotia 2

New
Brunswick

Saskatch­
ewan

Alberta

British
Columbia

Average wage per man per day
1921____ .
1922______
1923_________
1924____________
1925____________

$6 . 20
5.18
5. 57
5. 62
5. 51

$5. 06
4. 07
4. 35
4. 93
5. 73

$5.17
3. 78
4. 54
4.50
3. 21

$5.93
4.12
4. 53
4. 51
4. 26

$7. 63
6 . 42
7.41
6.74
5. 97

1 $6 . 37

1926______
1927-............ -,
1928_________
1929______
1930___________

4. 97
5.03
5. 57
5.49
5.47

4.69
4.81
5.83
5. 52
5.62

3.18
3. 58
3. 55
3.83
3.82

4. 52
4. 42
4.72
4. 21
4.15

5. 56
5.57
5.79
5. 94
5.68

4.91
4. 94
4. 89
4. 92
5.04

1931_______
1932 3____
1933 3__
1934 3 1935 3 ____

5. 28
4. 90
4. 11
4.38
4.46

5. 49
5. 08
4. 30
4. 29
4. 39

3.78
3. 27
3. 36
2 . 86
2. 75

3.83
3.19
3.01
3.07
3.09

5. 35
5. 05
4. 83
4.84
4.97

4. 94
4. 83
4. 68
4.69
4.62

1936 3--1937 3 _______
1938 3 ____
1939 3 ..........................
1940 3__________

4. 57
4.76
4.85
4.91
4.95

4. 55
4.79
4. 92
4. 93
4. 96

2 .8 6

3.08
3.00
3.13
3.25
3.56

5.05
5. 19
5. 27
5.37
5.49

4.63
4. 81
4.74
5.10
4.95

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

2.90
3. 16
3. 05
3.17

5.81
5. 85
5. 76
4. 99

147

Wage and Hour Statistics

T able 5.—Average Wages Per Day, Average Number of Days Worked Per Man Per
Year, and Average Number of Wage Earners, 1921—40 1— Continued
Year

Canada

Nova
Scotia 2

New
Brunswick

Saskatch­
ewan

Alberta

British
Columbia

Average number of wage earners (12 months)
449
611
612
608
614

435
460
505
519
517

13,317
13, 333
12, 760
13,376

544
558
585
578
584

26, 489
25, 597
24, 812
24, 671
24,831

13, 388
12, 623
11 , 861
12, 051
12, 674

25, 597
25, 890
25, 767
25, 200
25,128

12, 848
13, 268
13, 592
13, 035
12, 949

12 , 626

1921______________________
1922______________________
1923______________________
1924______________________
1925______________________

30, 223
' 30,096
30, 300
25, 708
23, 490

1926______________________
1927__________ ________ _
1928______________________
1929______________________
1930______________________

26, 878
28, 357
28, 754
28, 227
27, 704

1 2 ,1 0 0

1931______________________
1932______________________
1933______________________
1934______________________
1935______________________
1936______________________
1937______________________
1938______________________
1939______________________
1940______________________

14, 068
13, 385
12, 500
4 8 , 333

10, 019

4 8 , 815

i 6 , 694
4 6,140

8 ,6 8 6

5, 879
916
5, 336

470
509
509
561
529

8 , 667
8,932
9, 280
9, 534
8,849

5,095
5,038
5, 043
4, 791
4,363

608
709
1, 025
1,035
1,136

538
748
891
882
813

8,024
7,824
7, 971
7, 839
7,662

3, 890
3, 684
3, 050
2,849
2,531

1,158
1,050

847
874
841
667
649

8 , 054

2,639
2,874
2,833
2 , 826
2, 783

1 ,1 2 0

1,284
1, 406

9, 917
4 7, 163

7,813
7, 374
7, 384
7,337

4 4,

Average number of days worked per man per year

224

207
245
269
213
272

190
228
231
214
214

217
237
227
228

244
251
249
252
219

247
245
243
266
228

249
285
266
245
230

214
214
197
225
205

230
244
243
232

1931______________________
1932______________________
1933______________________
1934______________________
1935______________________

185
177
182
214
216

182
155
170
233
217

196
219
250
229
231

196
219
216

171
189
179
182
207

1936______________________
1937______________________
1938______________________
1939______________________
1940______________________

225
235
208
228
252

227
247
204
231
263

232
244
210

230
230
232
246
235

1921...______ _____________
1922______________________
1923______________________
1924______________________
1925______________________

228
229
250
231

1926______________________
1927______________________
1928______________________
1929______________________
1930______________________

221

230
210

263
202

257
274

201

206

212

200

209
207
202

208
228

1 246
258
261
260
271
261
278
281
258
232
218
212
202

217
241
260
258
229
246
257

1 Figures for the Yukon Territory were included under British Columbia in 1921, but have been compiled
separately since. For several years 2 to 4 miners were employed from 50 to 100 days, wages averaging about
$8.00 per day; in 1939 and 1940 no coal was mined. In Manitoba mining operations began in 1931, small
numbers being employed, 4 in 1940, averaging $2.40 per day.
2 Prior to 1933 the figures for Nova Scotia included certain employees handling coal at a distance from
the mine.
3 Figures calculated by dividing number of man-days worked into total wages paid.
4 Prolonged dispute during year.


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Wage and Hour Regulation

DELEGATION OF WAGE-APPROVAL POWER BY WAR
LABOR BOARD
IN a series of orders, the National War Labor Board announced a
considerable decentralization of its authority to make wage and salary
adjustments. Thus, field offices of the Wage and Hour Division are
authorized to make final rulings, except in unusual circumstances, as
to whether a rate for a new job classification exceeds that paid for
similar classifications. Impartial chairmen, arbitrators, or umpires
are authorized to fix rates for new jobs without prior approval of the
Board, provided they have that duty under bona fide collective­
bargaining contracts. Employers are authorized to make adjust­
ments to equalize wages of women with those of men for comparable
quality and quantity of work.
In addition, the Board delegated to the War Department the power
to rule upon wage and salary adjustments for civilian employees
of the Government employed in this country and Alaska by the War
Department, the Army Exchange Services, and Government-owned
but privately operated facilities of the War Department.
Control of N ew Job Classifications

The policy of the Board with respect to the stabilization of hiring
rates is to be enforced by field offices of the Wage and Hour Division.
These offices are authorized to make final rulings, except in unusual
cases, on the question of whether a new job classification in an existing
plant is fixed “ at a level not exceeding that which prevails for similar
classifications within the area/’ and does not, therefore, need Board
approval. Where the job rates are being established in a new plant,
or where the case involves the establishment of a new department of
considerable size in an existing plant, the application for approval
must be submitted by the Wage and Hour office to the proper regional
director of the Board.
Adjustment of Job Rates

The Board, in two general orders, authorized impartial chairmen,
umpires, or arbitrators to establish new job rates, and employers to
equalize rates for men and women. Such adjustments will furnish no
basis for increases in price ceilings. The rates established by chair­
men, umpires, or arbitrators must be in balance with established
rates for other jobs covered by the applicable collective-bargaining
agreement. Both these rates and equalizing adjustments made by
employers are subject to review by the Board.
148

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Wage Adjustments by War Department

In another order, the War Labor Board delegated to the Secretary
of War the power to rule upon wage and salary adjustments for
civilian employees of the War Department. This power is to be
exercised through the Wage Administration Section of the Civilian
Personnel Division, Headquarters, Services and Supply. An appeals
committee consisting of members appointed by the Personnel Division
and the War Labor Board will handle appeals from the decisions of
the Wage Administration Section. Any ruling of the committee
is subject to the Board’s ultimate power of review.
The authority of the Wage Administration Section to rule upon
applications for wage and salary adjustments covers all civilian
employees within the continental limits of the United States and
Alaska, employed by (1) the War Department, (2) the Army Ex­
change Service, and (3) Government-owned, privately operated,
facilities of the W7ar Department. However, the authority of the
Wage Administration Section extends only to wage and salary ad­
justments over which the War Labor Board has jurisdiction.
Exemption of Small Employers

Under a previous order of the Board, employers of eight or more
workers were exempted from Board approval of wage and salary
adjustments. In further defining such exemptions, the Board stated
that the time to determine the total number of employees for the
purpose of the exemption is when the employer puts an adjustment
into effect or agrees to it. N o employer may make adjustments under
the exemption for more than a total of eight employees in the year
following October 3, 1942, in the case of wages, or October 27, 1942,
in the case of salaries.
SALARY REGULATIONS OF COMMISSIONER OF
INTERNAL REVENUE
THE Commissioner of Internal Revenue recently issued regulations
applicable to all salaries over which he has jurisdiction under regula­
tions previously issued by the Director of Economic Stabilization.1
In most instances, the regulations parallel the rules established by the
War Labor Board for the control of wages and those salaries over
which it has jurisdiction.2
The regulations of the Commissioner broadly define the term
“ salary” to include all forms of direct or indirect compensation for
the personal services of an employee which is computed on a weekly,
monthly, annual, or other basis, other than wages. Bonuses, gifts,
loans, commissions, fees, and other additional compensation or re­
muneration are also considered as “ salary.” The relationship of
employer and employee is considered to exist when the person for
whom services are performed has the right to control and direct the
individual performing the services, both as to the results to be ac­
complished and the means to be employed.
1 See M onthly Labor
2 Idem, p. 1144.

Review, December 1942, p. 1142.


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Monthly Labor Review—January 1943
Jurisdiction of Commissioner

The jurisdiction of the Commissioner is confined to salary pay­
ments in excess of $5,000 per year, in the case of individuals employed
in any capacity whatsoever, and to salary payments of $5,000 or less,
in the case of individuals (a) who are employed in a bona fide ex­
ecutive, administrative, or professional capacity, (b) who in their
relations with their employer are not represented by a duly recognized
or certified labor organization, and (c) whose services are not those
of agricultural laborers. Other salary payments are subject either
to the War Labor Board or to the Secretary of Agriculture, as pre­
scribed in the General Kegulations of the Director of Economic
Stabilization.
Changes in Salaries and Other Payments
Salary increases.—Any increase not otherwise exempt in a salary
rate of $5,000 or less existing on October 27, 1942, or established
thereafter in compliance with the regulations,’or a salary above $5,000
existing on October 3, 1942, or established thereafter under the reg­
ulations, may not be granted without the approval of the Commis­
sioner. The burden of justifying an increase in salary rate in every
instance is upon the employer seeking to make such an increase.
Increases in salary rates will not be approved unless necessary to
correct maladjustments or inequalities, or to aid in the effective
prosecution of the war. Payment for overtime will constitute an
increase in salary rate, and thus will require the approval of the
Commissioner, unless^ the customary practice of the employer has
been to pay for overtime, and the rate has not been changed.
The Commissioner’s approval is not required where an increase
in salary rate is made in accordance with the terms of a salary agree­
ment or salary rate schedule in effect on October 3, 1942, or approved
thereafter by the Commissioner, and is a result of—
(1) Individual promotions or reclassifications,
(2) Individual merit increases within established salary rate
changes,
(3) Operation of an established plan of salary increases based on
length of service,
(4) Increased productivity under incentive plans,
(5) Operation of a trainee system, or
(6) Such other reasons or circumstances as may be prescribed in
rulings or regulations promulgated by the Commissioner from time
to time.
The term “salary agreement” or “salary rate schedule” may include
a salary policy in effect on October 3, 1942, even though not evidenced
by written contracts or written rate schedules. The burden of proving
the existence of such a policy, however, rests upon the employer, al­
though it may be established by previous pay-roll records or other
pay-roll data.
New job classifications.—An employer who has established a new
job classification or who began business after October 3, 1942, must
obtain the approval of the Commissioner for the payment of salaries
for such job classification or in such new business. However, if the
salary rates in question are not in excess of those prevailing for similar

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Wage and Hour Regulation

151

classifications within the local area, the approval of the Commissioner
is not required.
Any change in a salary rate, regardless of its effective date, which
results from an award or decision of an arbitrator or referee made
after October 3, 1942, in the case of salaries of more than $5,000,
and after October 27 in the case of salaries of $5,000 or less, must be
approved by the Commissioner.
Control oj bonus 'payments.—Bonus payments may be made without
the prior approval of the Commissioner under the following conditions:
(1) If the amount to be paid is not greater than the amount paid
to the same employee or an employee occupying the same position
in the previous bonus year.
(2) If the employer had entered into an enforceable contract with
the employee before October 3, 1942, to pay him in 1942 (a) a bonus
of a specified amount or (b) a bonus calculated in a specified manner,
the amount of which was determinable on or before October 3, 1942.
(3) If it has been the settled policy of the employer for at least
2 years to pay bonuses calculated on a fixed percentage of the salary
of each of the employees of any group, provided the fixed percentage
is not increased. An increase in the amount of any employee’s
bonus due to an increase in his salary during the past year, without
any change in the percentage, will not be in violation of this rule.
(4) If the bonus or other additional compensation is based on a
fixed percentage of an employee’s individual sales, provided the rate
of such payment was fixed before October 3, 1942.
Salary decreases.—In the case of salaries of less than $5,000 per
year, the general rule is that no decrease can be made by the employer
in such salary rate below the highest salary rate paid for such work in
the local area between January 1, 1942, and September 15, 1942.
A decrease is permitted, however, with the approval of the Commis­
sioner, in order to correct a gross inequity in any case or to aid in
the effective prosecution of the war. The approval of the Commis­
sioner is not required in the following cases where salary decreases
are made after October 3, 1942:
(1) The new salary rate does not fall below the highest salary
rate existing between January 1, 1942, and September 15, 1942, for
the particular work in question or for the same or comparable work
in the local area.
(2) An employee has been demoted to a lower position than that
filled by him between January 1, 1942, and September 15, 1942, and
the salary rate for such lower position is not less than the highest
salary rate existing for that position during the same period.
(3) An employee has been relieved of substantial duties and re­
sponsibilities.
In the case of a salary rate existing as of October 3, 1942, or estab­
lished thereafter in compliance with the regulations, under which an
employee is paid a salary of more than $5,000, the employer is per­
mitted to make, without the approval of the Commissioner, a decrease
to a rate of not less than $5,000 per year.
Limitation on certain salaries.—Under the General Regulations of
the Director of Economic Stabilization, no amount of salary may be
paid which, after allowance for Federal income taxes, would exceed
$25,000 per year. Additional allowances of salary, however, are
permitted in certain cases. In order to put this limitation in effect,

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152

Monthly Labor Review—January 1943

the regulations of the Commissioner provide for a gross salary limit
of $67,200, the amount necessary to yield a net income of $25,000
under the 1943 tax laws if no credits or deductions of any kind are
taken.
The regulations also provided, however, that salary payments in
excess of the basic ceiling may be allowed (1) to maintain customary
charitable contributions; (2) to meet payments for insurance pre­
miums and fixed obligations contracted prior to October 3, 1942; (3)
to meet payments on Federal taxes for prior taxable years; and (4)
to compensate for expenses paid or incurred by the employee which
are ordinary and necessary in the performance of his job.
Procedure for P a y Adjustments

To obtain approval of a proposed increase in salary, the employer
is required to file an application with the regional office of the Bureau
of Internal Revenue’s Salary Stabilization Unit in whose territorial
jurisdiction his main office or principal place of business is located.
The proposed increase must be justified either on the ground that it is
necessary to correct maladjustments or inequalities or to aid in the
prosecution of the war. Where approval is required for a decrease in
salary, a similar application must be filed.
Exemptions from Regulations

Employers of 8 or less individuals are exempt from the regulations.
The exemption has no effect, however, if it is subsequently deter­
mined that the employer temporarily reduced the number of employ­
ees below eight for the purpose of claiming the exemption. Salaries
whose amounts are fixed by statutes of Federal, State, or territorial
governments are also exempt. In addition, salaries paid to employees
for services rendered exclusively in foreign countries are not covered
by the regulations.
Enforcement and Review

In case of violations of the regulations, the entire amount of the
salary payment, not merely the unauthorized adjustment, will be dis­
regarded in determining the employer’s costs for the purposes of any
Federal law or any contract made by or on behalf of the United States.
Furthermore, the entire amount of the salary payment will be dis­
regarded in determining the employer’s deductions under the Federal
revenue laws. If the violation is willful, the employer, employee, or
both, are subject to a fine of not more than $1,000, or imprisonment
for not more than 1 year, or both.
Determinations of the Commissioner are final and not subject to
review by the Tax Court or any other court in civil proceedings.
However, the regulations stipulate that employers have the right to
contest in the courts (1) any provision of the regulations on the
ground that it is not authorized by law, or (2) any action taken or
determination made under the regulations on the ground that such
action or determination is not authorized in the manner required bv
law.


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Wage and Hour Regulation

153

M IN IM U M -W A G E RATES IN M EX IC O ,
1942 AND 1943
MINIMUM-WAGE rates in Mexico, fixed by special commissions
in the various municipalities, for the years 1942 and 1943, and
approved by the Central Boards of Conciliation and Arbitration in
1942,1 vary from 0.75 peso 2 per day in Chiapas to 5 pesos in the
northern district of Lower California, the same as in 1940 and 1941.
For 1938 and 1939 the lowest rate was 0.75 peso in Jalisco, and the
highest 4.50 pesos in the northern district of Lower California; for
1936 and 1937 the lowest was 0.75 peso in 5 States, and the highest
4.50 pesos in the northern district of Lower California. For 1942 and
1943, as for 1940 and 1941, a general rate was established for all types
of work in the State of Jalisco and in the Territory of Quintana Roo,
although this wage varied from one municipality to another in Jalisco.
In three municipalities of Colima the minimum wage in the salt
works consists of a specified amount of money and a share in the salt.
In all the municipalities of Tlaxcala, the minimum-wage rates fixed for
1942 and 1943 are to be augmented by 16% percent, as payment for
the seventh day of the week; throughout this State, bakery workers
receive 15 percent of the bread they make. The minimum wage
fixed for field workers in the Federal District for 1942 and 1943 is
applicable to persons to whom the employer furnishes certain pay­
ments in kind which reduce their cost of living.
The greatest number of m.inim.um-wage rates fixed, according to
type of work, for 1942 and 1943 is 11 in Oaxaca, as in 1940 and 1941,
and 10 in Sinaloa as compared with 8 in 1940 and 1941. For 1938
and 1939 the greatest number was 9 in Sinaloa, and for 1936 and 1937,
11 in Sinaloa and the southern district of Lower California.
The accompanying table shows for the various political divisions
of Mexico, the number of types of work for which wages were fixed
for 1942 and 1943, with the lowest and highest minimum-wage rates
for each division, and comparable figures for 1940 and 1941.
The rates for 1942 and 1943 represent an increase over those for
1940 and 1941 in the lowest minimum wage in 5 governmental di­
visions, varying from 10 centavos in Jalisco and Nayarit to 25 centavos
in the southern district of Lower California and Oaxaca; and an increase
in the highest rate in 6 divisions, varying from 15 centavos in Jalisco
to 50 centavos in Guerrero. No decreases were shown in the lowest
wages, but in the highest rate a decrease of 10 centavos was shown
for the southern district of Lower California and of 25 centavos in
Zacatecas. Both lowest and highest minimum-wage rates remained
at the same level in 22 governmental divisions for 1942 and 1943
as for 1940 and 1941; in addition to these, the lowest rates remained
the same in Coahuila, Guerrero, Michoacán, Sonora, and Zacatecas,
and the highest rates remained the same in Oaxaca and Tlaxcala.
In 3 governmental divisions some change was shown in both the
lowest and the highest rates.
1 Salarios minimos aprobados para los municipios de las entidades de la República por las Juntas Cen­
trales de Conciliación y Arbitraje respectivas y que regirán durante los años de 1942 y 1943. México, D. F.,
Secretaría del Trabajo y Previsión Social, Dirección de Previsión Social, 1942 (mimeographed). For back­
ground and analysis of rates for 1940 and 1941, see Bureau of Labor Statistics Serial No. R. 1339, Labor Condi­
tions in Latin America, No. 9, pp. 14-16; for 1938 and 1939, see Bureau of Labor Statistics Serial No. R. 897;
Wages in Mexico, 1937 and 1938; for description of the Mexican plan for fixing minimum wages and the rates
for 1936 and 1937, see Bulletin of the Pan American Union (Washington), July 1938.
2 Average exchange rate of peso (100 centavos) in 1942= about 20.5 cents.


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Monthly Labor Review—January 1943

Minimum D aily Wage Rates Fixed in Mexico for 1940 and 1941 and for 1942 and 1943
1940 and 1941
Governmental division

Aguascalientes_____________
Baja California, D. N _____ _
Baja California, D. S_______
Campeche___ _________
Chiapas____ ___ ___
Chihuahua______ ____ _
Coahuila ________________
C olim a... ______________
Durango__ ______ _ __
Federal District___. . . .
Guanajuato_______ _______
Guerrero______
Hidalgo__ _____________
Jalisco____________ . . . . _
México_________ . _
Michoacán_____ _____
Morelos____________ . . . .
Nayarit _ ______________
Nuevo León______ _____
O axaca____________
Puebla. __________ ____
Queréfaro_________ ____
Quintana Roo____ .. .
San Luis Potosí______ . . .
Sinaloa__________ ___
Sonora_____________ __
Tabasco_______ ____
Tamaulipas_____ ____ ___
Tlaxcala_____ ____ _____
Veracruz___ ________ .
Yucatán_______ . . .
Zacatecas___ ____ _____

Number of
types of
work for
which
wages
were fixed
5
2
8
3
4
3
2
i3
4
22
4
3
3

1
4
3
3

6
2
11
2
4
1
4
8
3

2
3

37

3
3
3

1942 and 1943

Minimum wage

Lowest

Pesos
1.50
4.00
1.50
2.00
.75
1.50
1.20
1.15
1.00
1.65
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.10
1.00
1.00
1.30
1.00
3.00
1.10
1.25
1.50
1.50
1.10
.85
1.65
1.50
1.00

Highest

Pesos
2.00
5.00
3.20
3.00
2.50
3.50
2.50
2.00
3.00
2.50
1.85
2.00
2.25
1.85
1.75
1.25
2.00
2.00
2.50
2.50
2.10
1.50
3.00
2.25
3.00
4.00
2.50
3.75
2.00
3.55
3.50
2.00

Number of
types of
work for
which
wages
were fixed
5
2
8
3
4
3
2
i3
5
22
4
3
3

1
4
3
3

5
2
11
2
2
1
4
10
3

2
3

34

3

2
2

Minimum wage

Lowest

Pesos
1.50
4.00
1.75
2.00
.75
1.50
1.20
1.15
1.00
1.65
1.00
1.00
1.00
1.10
1.00
1.00
1.00
1.20
1.00
1.25
1.30
1.00
3.00
1.10
1.25
1.50
1. 50
1.10
1.00
1.65
1.50
1.00

Highest

Pesos

2 no

on
3.10
3.00
2.50
3.50
2.75
2.00
3 on
2 50
1.85
2. 50
2.25
2 00
1 75
1. 50
2.00
2. 25
2. 50
2.50
2.10
1 50
8 00
2.25
3.00
5

4 .2 5

2. 50
3 .7 5

2.00
3. 55
3. 50
1.75

1 For laborers in the salt works in 3 municipalities, a share of the salt is added.
2 The minimum wage fixed for field workers in the Federal District is applicable to persons to whom the
employer furnishes certain payments in kind.
8 All rates given are to be increased by 16% percent.

Rates fo r Various Industries and Regions

In 29 of the 32 political divisions of Mexico, special minimum
wages were fixed for field work, ranging from 75 centavos in Chiapas
to 3.25 pesos in Sonora and 4.50 pesos in the northern district of Lower
California; in all instances in Oaxaca the wages for field work were
included with other classes of work. In 22 political divisions special
wage rates were designated for city workers as such, ranging from 1
peso in Chiapas and Queretaro to 4.25 pesos in Sonora and 5 pesos
in the northern district of Lower California; in Oaxaca, as in the
case of field workers, city workers were not specifically designated
as a group. In 6 divisions separate wages were established in mining,
varying from 1.50 pesos in Sinaloa to 3 pesos in Sinaloa and Durango;
for the southern district of Lower California, where the highest
minimum-wage rate in mining was established in 1940 and 1941,
mining was included with other groups and the rate set was 2.60
pesos. Workers designated as unskilled or unclassified in 4 States
were assigned wages varying from 1 peso in Morelos to 1.75 pesos
m Morelos and Oaxaca; and skilled or classified workers, in 6 States,
varying from 1.25 pesos in Guanajuato to 2 pesos‘in Aguascalientes,
Morelos, Oaxaca, and Tlaxcala (with a supplement, for Tlaxcala,

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Wage and Hour Regulation

155

of 16% percent). Seven States fixed rates of 1.25 to 3.55 pesos
for industry, though in the southern district of Lower California,
Miclioacan, and Sinaloa, industrial wages were included with other
classes of work; 4 States, 1.25 to 2.75 pesos in commerce, but in the
southern district of Lower California and Michoacim commerce was
included with other types of work; and 2 States (Nayarit and Sinaloa),
1.50 to 2 pesos for fishing. In the southern district of Lower Cali­
fornia the minimum wages fixed for laborers in the salt works, either
classified separately or included with other groups, varied from 2.50
to 3 pesos; other special rates were set for specified groups of
workers. In Oaxaca, specific rates set for cultivation of sugarcane
range from 1.75 to 1.90 pesos, and for cultivation of pineapple, 2.15
pesos; other special groups, as those engaged in the cultivation of
different kinds of bananas, etc., were protected by special rates.
Coffee workers in Chiapas were to receive a minimum of 1.30 pesos;
and sawyers, 2 pesos in Durango. Wages for sugar factory workers
in Sinaloa were set at from 1.50 to 1.75 pesos, and for certain crafts­
men, at 2 pesos; other rates were set for other types of work.
With the exception of the localities or the classes of work indicated
above the rates covered workers in general.
Specified minimum-wage rates in mining were established in 6
States for 1942 and 1943, as against 8 States for 1940 and 1941,
though the rates do not vary greatly. For 1942 and 1943, 6 States
named wages for skilled or classified workers, as against 5 States in
the preceding biennium. The number of States wherein minima
were set in industry increased from 4 to 7, but with no increase in the
extremes of rates set. In 10 States, the Federal District, and the
Territory of Quintana Roo, no changes were made in minimum-wage
rates from the preceding biennium, and in all other instances changes
in highest and lowest rates were small.
PAY INCREASES IN PARAGUAY, 1942 1
A DECREE-LAW (No. 15011) promulgated in Paraguay on October
8, 1942, provides for pay increases for salaried and wage-earning
employees in industry and commerce, in order to enable them to meet
the increased cost of living. The increases are based upon the rate
of pay received on January 1, 1938, and are effective from October
15, 1942, as follows:
Percent
Pay classes

From 1 to 6,000 pesos__________________________________
6.001 to 10,000 pesos___________________________________
10.001 to 25,000 pesos__________________________________
25.001 to 40,000 pesos__________________________________

in pay

40
30
15
5

Persons engaged on job work shall have the same proportional in­
creases as above.
Pay increases granted since January 1, 1938, are to be counted as
part of the increases shown above; however, where the increases, made
voluntarily or because of arbitral award, have exceeded these per­
centages they are not to be diminished because of the present decree.
Employers who have not increased the pay of their employees since
1 D a ta are from report of E d m u n d B . M on tgom ery, first secretary of U n ited S tates E m b a ssy at A suncion


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Monthly Labor Review—January 1943

January 1, 1938, are to provide 50 percent of the increase allowed in
this legislation on the effective date of the decree-law (October 15),
25 percent more in 3 months, and the remaining 25 percent in 6
months. Employers who have made some increases are to complete
their compliance with this legislation within 3 months.
The administration of the present decree-law is entrusted to the
National Labor Bureau, and fines are prescribed for violations by
employers. The Bureau is authorized to settle the questions arising
from the application of this increased wage scale, and to propose to
the Executive Authority diminution or exemption from these in­
creases for industrial and commercial establishments not able to
meet the additional burden, upon proof before the Bureau within 30
days from date of publication of the decree-law. Salaried and wage­
earning employees of enterprises performing activities of the same
kind are to receive the same increases.
The Executive Authority is authorized to create a commission
whose duty it will be to prepare a bill dealing with the minimum wage.


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Labor Turn-over

LABOR TU RN -O Y ER IN M A N U FA CTU RIN G IN D U S ­
T R IE S, OCTOBER 1942
FROM a September peak of 5.19 per 100 workers, the quit rate for
all manufacturing industries combined declined to 4.65. The decline
is seasonal as September rates are always high because of the reopen­
ing of school. The rate in October 1941 was 2.11. As a result of
increased military separations, the miscellaneous separation rate in­
creased from 1.79 in September to 2.03 in October; consequently the
total separation rate continued at a high level—7.91 per 100 workers,
only slightly lower than the September rate of 8.10.
T a b l e 1 — Monthly Labor Turn-over Rates (per 100 Employees) of Factory Workers in

Representative Establishments in 135 Industries 1
Class of turn-over and
year

Jan­ F eb ­ M arch April M ay
uary ruary

Separations:
Quits:
1942 ........................ 2.36
1.31
1941.................. ..
D ischarges:
.30
1942 . .
______
.18
1941._____ ______
L ay-offs: 2
1942
_____ 1.61
1941_____________ 1.61
M iscellaneous separa tio n s:3
.83
1942 .
.31
1941_____________
Total:
1942
. _______
1941_____________

T o ta l:
1942
___
1941_____________

Ju ly

A u­
gust

Sep­
tem ­
ber

N o­ D e­
Octo­ v em ­ cem ­
ber
ber
ber

2. 41
1.33

3.02
1.70

3. 59
2. 08

3. 77
2.20

3.85
2.06

4.02
2.25

4.31
2.46

5.19
2.81

4.65
2.11

1.57

1.75

.29
.19

.33
.21

.35
.25

.38
.24

.38
.26

.43
.29

.42
.30

.44
.31

.45
.28

.24

. 29

1.05
1.40

.87
1.13

.68
1.16

.78
1.41

1.44

.26

. 52

3. 51

Th
.94

1.39
1.20

1.19
1.06

1.31
1.19

1.43
1.08

1.21
1.03

.73
.43

.82
.43

.87
.37

.96
.34

1.02
.36

1.23
* .30

1.46
.25

1.79
.25

2. 03
.33

5.10
3.41

4.82
3.15

5. 36
3.40

6.12
3.89

6.54
3.86

6. 46
3. 71

6.73
4.24

7.06
4.14

8.10
4. 53

7.91
4.13

1.45

1 02
1.08

1 18
1.24

1. 11
1.04

1.07
.92

1.12
.90

1.09
1.04

1.12
1.11

1.08
.87

.85
.86

.79

6.22
5.03

7.13
5. 41

7.19
4.96

6.78
4.32

8.07
4.29

7.84
4.01

3.12

7.29
5. 95

8.25
6. 31

8. 28
6.00

7.90
5. 43

9.15
5.16

8. 69
4.87

3.91

Ascessions:
Rehirings:
1941_____________
N ew hirings:
1942
____
1941_____________

June

5. 46
4.09

4.99
3.84

5.81
4. 38

6.01
5.00

6.87
5. 54

6.02
4.92

6. 99
5.62

7.12
6.04

—

2.15

3. 82

4. 76

1Turn-over rates are not comparable to the employment and pay-roll reports issued monthly by the
Bureau of Labor Statistics, as the former are based on data for the entire month, while the latter refer only
to the pay period ending nearest the middle of the month. In addition, certain seasonal industries, such as
canning and preserving, are not covered by the labor turn-over survey and the sample is not as extensive as
that of the employment survey, which includes.a larger number of small plants.
2 Including temporary, indeterminate, and permanent lay-offs,
s Military separations included.

Although the quit rate decreased in almost all of the 11 war indus­
tries, rates in excess of 5 per 100 workers were reported in October for
501152— 43-------11


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157

C
coa

LABOR TURN-OVER RATES
IN REPRESENTATIVE FACTORIES
RATE

RATE

Monthly Labor Review—January 1943


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Federal Reserve Bank of St. Louis

PER 100 ON THE PAY ROLL

159

Labor Turn-over

shipbuilding (5.39), aluminum and magnesium products (5.27), brass,
bronze, and copper products (5.17), and foundries and machine
shops (5.15).
Of the 42 industries for which complete turn-over data are released,
only 8 reported increased quit rates in October. Quit rates in excess
of 7 per 100 workers were reported for slaughtering and meat packing
(8.65), rubber boots and shoes (8.56), planing mills (7.50), furniture
(7.22), stamped and enameled ware (7.18), and flour (7.15). How­
ever, in each of these industries (except rubber boots and shoes) the
October rates represented decreases from September.
The October labor turn-over data are based on reports received by
the Bureau of Labor Statistics from approximately 8,400 manufactur­
ing establishments employing more than 4,800,000 factory wage
earners. Table 1 shows the monthly turn-over rates for all 135
industries combined, and table 2 presents data for the separate indus­
tries in which sizable numbers of reports are received from employers
and for which the release of the data is not restricted. Table 3 shows
only the quit rates for each of 11 selected war industries for which the
publication of other turn-over data has been restricted for mditary
reasons.
T

able

2 —Monthly Turn-over Rates (per 100 Employees) of Factory Workers in 42
Manufacturing Industries 1
Accession rates

Separation rates
Date

Industry

Quit

A g r ic u lt u r a l im p le m e n t s

__

Automobiles and bodies______
Automobile parts and equipm ent

______

__________

Blast furnaces, steel works and
r o llin g mills.
___ _______
Boots and shoes.........................
Boxes, paper....... .........................
Brick, tile, and terra co tta........
Cast-iron pipe..................... ........

4.82
5.09
2.29

.81
.75
.37

1.18
.84

Oct.
Sept.
Oct.
Oct.
Sept.
Oct.
Oct.
Sept.
Oct.
Oct.
Sept.
Oct.
Oct.
Sept.
Oct.

3. 33
3.60
1.36
5.68
5.81
1.77
6.78
8.15
3.04
5.80
6 .97
1.97
1.47
2.89
1.48

.19
.19
.15
.24
.25
.19
.47
.35
.32
.54
.34
.32
.34
.36
.42

.60
.42
.51
.50
.64
1.37
.61
.73
1.17
1.38
1.33
1.67
.61
.09
.25

2.06
1.77
.47
1.33
1.15

1.51
1.51
.29
1.52
1.26
.24
1.43
1.33
.28

5.98
2.49
7.75
7.85
3.54
9. 37
10. 74
4.82
9.24
9.90
4.20
3.85
4. 67
2.43

4.21
4.70
.91
4.02
5.11
1.39
6.08
7.16
2.83
6 . 58
6.50
3.46
6 . 58
7. 58
3.01

.31
.32
.14
.44
.41
.41
.29
.27
.09
.38
.51
.33
1.06
.99
.34

.19

1.65

6.36

.20

1.00

6.22

1.14
.55
.39
.71
.40
.55
.33
.45
.52
.81
.69
.93
1.14

1942
1942
1041
19*12
1942
1941
1942
1942
1941
1942
1942
1941
1942
1942
1941

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

1.11

.80
1.87

1.86

1.60
.26
1.72
1.42
.47
1.76
1.50
.42

.21

.29
1.90
2.12

.36
.65
.45
.14
1.63
1.26
.29
2.08
1.48
.28

8.12

9. 30
10.35
6.77

.63
.57
.37
1.56
1.26
.85

4.73
4.50
1.60
6.44
4.95
2.83
9.96
8.83
6 . 36
6 .74
6.83
2.84
5.14
2.80
2.84

6.18

Oct. 1942
Sept. 1942
Oct. 1941

2.86

2.11

1.18
1.26
1.33

8 . 57

1.57

2.92
3.36
1.93
2.92

7.57
6.70
4. 51
9.09

0.65
1.78
.85
1.94

1.05
.69
1.58

1942
1942
1941
1942
1942
1941

6.92
4.92
3.6 6
7.15
6 .55
2.41

6.46
5.95
4.01
6.07
5. 33
4.09

0. 38
.30
.24
.32
.25
.18

Oct.
Sept.
Oct.
Oct.
Sept.
Oct.

Oct. 1942
Sept. 1942
Oct. 1941
Chemicals.................................... Oct. 1942
Sept. 1942
Oct. 1941
Cigars and cigarettes................... Oct. 1942
Sept. 1942
Oct. 1941
Cotton manufacturing.............. Oct. 1942
Sept. 1942
Oct. 1941
Dyeing and finishing textiles---- Oct. 1942
Sept. 1942
Oct. 1941

Cement.....................................

Mis­ Total Rehir­ New Total
Dis- Lay- cella­
separa­ ing hiring acces­
charge off neous
sion
2 tion 2

8.18
4.94

2.48
6.91
8.03
2. 87
7.42
8 .43
3. 39
9.04
8 . 79
4.89
10.41
10.98
4.77

1.66

1.86

.88

1.41
.41
.60
.94
.40

.12

1.87
.78

.32
.49
.30
.40
.54
.29
.92
1.34
1.16
1.70
1.52
1.19
1.37
.95
1.36

9.09
5.44

4.88
4.96
1.72
7.06
6.90
3.72
7. 61
7.42
3.61
6.88
6.88

4.25
9.56
9.69
3.68

8.21

4.27

5.36
5.07
1.97
8.00

6.21

3.68
10. 84
10.24
6 .77
7.34
7.77
3.24
5. 26
4.67
3.62
5.20
5.45
2.02

7.46
7.44
4.01
8.53
8.76
4.77
8 . 58
8.40
5.44
10.93
10.64
5.04

160
T

able

Monthly Labor Review—January 1943
2 . —Monthly

Turn-over Rates (per 100 Employees) of Factory Workers in 42
Manufacturing Industries 1— Continued
Separation rates

Industry

Date
Quit

Flour___

Discharg(

Mis­ Total Rehir­
Lay­ cella­
New Total
off neous separa­
ing hiring acces­
tion
sion

Oct.
Sept.
Oct.
Foundries and machine shops.. Oct.
Sept.
Oct.
Furniture .
. Oct.
Sept.
Oct.
Glass____
Oct.
Sept.
Oct.
Hardware.
Oct.
Sept.
Oct.

1942
1942
1941
1942
1942
1941
1942
1942
1941
1942
1942
1941
1942
1942
1941

7.15
7. 92
2.94
5.15
5. 51
2. 33
7.22
8 . 77
3. 35
4.86
4. 7S
1.63
5. 69
6.03
3. 50

Knit goods______ _

- Oct.
Sept.
Oct.
. Oct.
Sept.
Oct.
_ Oct.
Sept.
Oct.
_ Oct.
Sept.
Oct.

1942
1942
1941
1942
1942
1941
1942
1942
1941
1942
1942
1941

5.25
5. 53
2.17
4. 29
4.78
1.43
5.6 8
4.30
1.87
4. 87
4. 93
1.49

_ Oct.
Sept.
Oct.
Oct.
Sept.
Oct.
Oct.
Sept.
Oct.
Oct.
Sept.
Oct.

1942
1942
1941
1942
1942
1941
1942
1942
1941
1942
1942
1941

6 .45
5. 66
1.78
5.8 8
7. 65

2. 04
2. 41
.53
7. 50
9.50
3.54

.28
.03
.70
.72
.47

Oct.
Sept.
Oct.
Newspapers and periodicals. Oct.
Sept.
Oct.

1942
1942
1941
1942
1942
1941

3. 80
5.24
1. 89
1. 56
1.39
.80

.2 2

2 .1 1

.29
.15
.24
. 14

2.54
.62
.46
1.23

Oct. 1942
Sept. 1942
Oct. 1941
Oct. 1942
Sept. 1942
Oct. 1941
Oct. 1942
Sept. 9142
Oct. 1941
Oct. 1942
Sept. 1942
Oct. 1941
Oct. 1942
Sept. 1942
Oct. 1941

5. 56
7.50
2.94
2:03
2 . 06

.55
.45
.28
.24

. 19
.45

.8 8

. 19
.34

Leather goods_____
Lighting equipment .
Men’s clothing_____

Paints and varnishes.
Paper and pulp.
Petroleum refining.
Planing mills.
Printing:
Book and job.

Radios and phonographs...
Rayon and allied products.
Rubber boots and shoes__
Rubber tires.
Sawrnills.

Silk and rayon goods.

Oct.
Sept.
Oct.
Slaughtering and meat packing. Oct.
Sept.
Oct.
Stamped and enameled ware__ Oct.
Sept.
Oct.
Steam and hot water heating
apparatus___ _____________ Oct.
Sept.
Oct.
S ee fo o tn o te s a t e n d of ta b le.


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Federal Reserve Bank of St. Louis

1 .6 8

8.56
7. 97
2.47
4.36
5. 51
1.45
6 .33
8.36
3.80

1942
1942
1941
1942
1942
1941
1942
1942
1941

7.18
8.82
4. 25

1942
1942
1941

4.07
3.37
2.41

6.14
6.52
3. 22
8.65
8 . 75
1 .8 6

0 . 81

.34
.49
.60
.61
.44
.73
.80
.51
.34
.30
.26
.47
.30
.35

.32
.2 2

.27
. 18
. 18
. 15
.27
.55
.19
.26
.28
.16
.50
.87
.29
.39
.37
.27
.2 0

.27

.2 0

.2 0

.19
.19
.24
.09
.47
.40
.34
.26
.48
.23
.6 8

.53
.28
.56
.56
.61
.27
.2 1

.29

Accession rates

0. 57
.59
1.04
.46
.43
1.42
3. 08
1.60
1. 35
2 . 06
.99
1.48
.24
.52
1.18

2 .1 2
2 .0 2

.31
2.08
1.80
.31
2.14
1.82
.38
1.76
1 .6 8

.61
1.49
1.43
.34

10. 65
10. 87
4. 78
8 . 29
8 . 35
4. 50
13.17
12.99
5.59
8.82
7. 75
3.98
7.89
8.28
5. 40

.30
.52
1. 74
.54
.70
1. 03
.61
2 . 08
.31
2. 73
.85
1.96

.78
.55
.13
1.45
1.54
.23
2. 44
1.61
.15
.51
.60

.40
.39
1. 17
.72
.43
1.07
.37
.49
1.05
2. 64
l. 71
1.49

2.14 ■ 9.49
1.70
8.62
.44
3.68
2.07
9.06
1.91 10. 36
.28
3.30
2.14
4. 75
1.55
4.73
.42
2.03
2 .1 0
12.94
1.56 13.49
.40
5. 90

1.23

1.34
.95
.19
.92
.98

.8 6

.27
.59
1.40
.03
.14
.1 1

. 12
.26
1. 23
1.32
1 .1 2

2.44
.77
1. 57
1.89
3.18
2. 48
6.33
1.58
1.15
3.47
.42
.14
.70

.1 0

6 . 65
6.82
4.31
6 . 46
7.20
2. 84
9. 00
8 . 54
2. 52
8 .37
6 .6 6

3.71

12.01

10.80
3.73
9. 30
9.18
4. 46
10. 36
11.82
5.22
7.82
6.79
4.19
7.91
7. 54
4.07
.77

1.24
1. 07

12. 46
12.13
4.03
9. 74
9. 72
4.96
11.80
13.10
6.12

9.25
7.80
6 . 00
8 . 77

8.27
5. 36

6 . 55
5.36
2. 53
6 . 03
4.8 6
2. 92
9. 71
5.62
2. 93
5.17
5. 20
2.36

7. 32
6 . 05
3.86
6.58
5. 63
3.41
12.15
7. 87
3.15
6.16
6 .44
3.43

7.31

8 . 07

8. 00

2. 59
7.45
8.05
3. 20
3.26
3. 53
1. 56
11.44
10. 46
3.94

8.30
2.71
8.31
8.78
3.6 8
3.46
3. 73
1. 91
12. 23
11. 42
5.27

6 . 64
8 . 52
4. 91
3.25
3. 07
2 . 38

7.43
5. 79
4.83
3.28
3. 37
1.24

8.54
7.48
6.34
4. 15
4. 20
2.16

7. 97
9.59
4.24
4.19
4. 38
2 . 86
10.40
9. 62
3. 28
6 . 53
7.42
3.25
11.81
6.96

11.81
12. 34
3.95
4.26
2. 90
1.92
10.81
12. 51
5.16
10. 73
14.51
1.39
6 . 99
8.03
4. 02

12.44
13. 28
4.64
4.56
3.10
2.45
12.52
14. 42
6.89
11.09
15.69
2.18
8.13
9.51
5.12

.34
2.93
2. 27
.56
2.17
1.78
.63

8.23
10.43
5. 68
15. 44
14.03
9.03
11. 49
12.31
8.96

1.49
5.91
1.15
6.30
1. 75 2.80
3.18 10. 20
2. 92 11.48
4. 39
6.00
.39
9.96
.75 10. 25
1.66
6 . 29

7. 40
7.45
4. 55
13.38
14.40
10. 39
10. 35

2.19

6 .95

8.18
7. 77
3.25

8.76
7.93
3.55

.2 1

1.67
1.19
. 16
1. 65
1.53
.39
1.47
1.31
.51
1 .8 6

1.41
.48
2 . 08
1.93
.38
1.06
1 .8 6

1 .8 8

.40

1 0 .2 0

5.60
3.80

11.00

7.95

161

Labor Tura-over

T able 2.—Monthly Turn-over Rates (per 100 Employees) of Factory Workers in 12
Manufacturing Industries1—Continued
Separation rates
Industry

Date
Quit

Stoves_____ - _____________
Structural and ornamental
metal works_______________
Textile machinery_________

Mis. Total Rehir­ New Total
Dis­ Lay­ cellasepara­ ing hiring acces­
charge off neous
sion
2 tion

Oct. 1942
Sept. 1942
Oct. 1941

6.07
5. 62
3.09

1942
1942
1941
1942
1942
1941

6 . 24
6 . 64

1.90
2.81
4. 33
3. 00

.2 1

1942
1942
1941
1942
1942
1941

4. 64
5.13
2.26
4.35
5.30
2. 59

.51
.47
. 13

Oct.
Sept.
Oct.
- Oct.
Sept.
Oct.

Tools (not including edge tools,
machine tools, flies, and saws) _ Oct.
Sept.
Oet.
Woolen and worsted goods....... . Oct.
Sept.
Oct.

Accession rates

10. 70
11.50
5.88

2.83
3.10
.40

2. 29
1.74
.48
2.04
1.80
.23

1 1 .2 1

.52
.71
.34
.37
.77

1.78
1.55
.26
1.77
1.55

7.06
7.41
3.04
7. 75
8.07
4.04

0 . 68

2. 27
3. 71
2.16

1.41
.32

.65
.64

2.03
.96
1.06
. 18
.37
.46
.13
.26
.39
1.41
.98
.94

.76
.31

.19
.29
.27

.2 2

.24
.29

1 .6 8

.2 2

9. 98
3. 65
5. 22
6 . 79
3. 96

.2 1

.28
.49
.2 2

1.27
1.89
1. 07

16.82
13.98
14. 85
11.75
3.49 ■ 3.89
10. 04
10. 97
2. 33
5.36
5. 06
3. 54

10. 56

7. 81
6 . 80
3.93
4. 72
4.84
3.43

8 . 09
7. 29
4.15
5. 99
6 . 73
4. 50

1 1 .6 8

2.67
5.73
5.83
3.75

1 No individual industry data shown unless reports cover at least 25 percent of industrial employment.
Military separations included.

2

In the following table are given the quit rates for strategic war
industries for which the publication of other turn-over data has been
restricted.
T able 3.—Monthly Quit Rates (per 100 Employees) in Selected W ar Industries
Quit rates
Industry

Average for 11 selected war industries 1_____

October
1942

September
1942

October
1941

_ _ ___ ___ __

4.29

4.81

1.99

Aircraft_______ -- - ___ ................. ..........
Aluminum and magnesium products_________
Brass, bronze, and copper products___________ . ___
Electrical machinery________________ __
_ _______ _______
. .
Engines and tu r b in e s ..___
Explosives____ _ _______ _____ ________ . .
. .
Firearms________ ___ _
. _____ ____ _____
Metalworking m achinery____ ___________ . .
Shipbuilding__ _ ____ ___________
..
___

4.41
2 5. 27
5.17
3.17

4.72
4 34
5. 65
3.60
2.13
3.80
4.16
3.87

2.73
1. 5 5
2. 37
1.64
1 . 61
1. 27
2.13
1. 93
2. 70

2 .0 1
2 .1 2

4. 50
3. 64
5.39

6 .6 6

1 Includes blast furnaces, steel works, and rolling mills and foundries and machine shops as shown in
table 2 .
2 Not directly comparable with data previously released.


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Building Operations

SUMMARY OF BUILDING CONSTRUCTION IN P R IN ­
CIPAL CITIES, NOVEMBER 1942 1
BUILDING permit valuations for November 1942 were only about
a third as high as they were for November 1941. Valuations for new
nonresidential buildings dropped 85 percent, chiefly because the
federal Government had tapered off its expansion of war plant facili­
ties. Contracts were awarded for more new dwelling units in Federal
wai housing projects in November 1942 than in 1941, but continued
curtailment of private building, as a result of priorities, caused
a 52-percent decline in total valuations of new residential buildings.
\ aluations for additions and repairs dropped 46 percent between
November 1941 and 1942.
November was the ninth consecutive month of declining permit
valuations, the decrease from the previous month exceeding 30 percent.
The October-to-November reduction in permit valuations for non­
residential buildings amounted to 52 percent; for residential buildmgs, 21 percent; and for additions and repairs to existing structures
25 percent.
Comparison of November 1942 with November 1941 and October 1942

The volume of building construction in 2,367 identical cities with
populations of 500 and over, which reported to the Bureau of Labor
Statistics in October and November 1942 and November 1941 is
summarized in table 1.
’
T able

1

.

Summary of Building Construction for Which Permits Were Issued in
2,367 Identical Cities, November 1942
Number of buildings

Class of construction

November
1942

Permit valuation

Percent of
Percent of
change from— November
change from—
1942
(thou­
Octo­ Novem­ sands of
Octo­ Novem­
ber 1942 ber 1941 dollars)
ber 1942 ber 1941

All construction___

37,426

-30.2

-36.5

69, 989

-30.4

-

New residential___
New nonresidential--. .
Additions, alterations, and repairs

10,175
4,890
22,361

-23.7
-37.1
-31.2

-45.4
-53.8
-24.7

43, 548
13.440
13, 001

- 2 1 .0
-52.3
-24.7

-51.7
-85.4
-45.5

6 6 .0

1 More detailed information by geographic divisions and population groups is contained in a seDarate
uponCrequestd
eDtltled “ Building Construction, November 1942,” copfes of which will be furnfshed

162


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Federal Reserve Bank of St. Louis

Building Operations

163

The number of new dwelling units for which permits were issued
and the permit valuation of such new housekeeping residential con­
struction in the 2,367 cities reporting in November 1942 are presented
in table 2. Percentage changes between November 1942 and October
1942 and November 1941 are also shown.
T able 2.—Number and Permit Valuation of New Dwelling Units in 2,367 Identical
Cities, November 1942, by Source of Funds and Type of Dwelling
Number of dwelling units

Source of funds and type of dwelling

All dwellings______________________

November
1942

_

13,085

Privately financed____ _________________
1 -family____________________________
2 -family i ___ _____________ _________
M ultifam ily 2__________________
Publicly financed_____ _________________
1 Includes
2 Includes

9,370
6,051
• 902
2,417
3,715

Permit valuation

Percent of
change from

Percent of
November change from—
1942
(thousands
October Novem­ of dollars) October Novem­
1942 ber 1941
1942 ber 1941
-17.6

-45.9

40,256

-25.6

-54.5

- 1 0 .1
- 2 1 .8
-23.6
+61.2
-32.1

-56.4
-60.1
-25.5
-52.4
+35.8

29, 299
21, 780
2,450
5,069
10,957

-15.3
-19.5
-33.4
+32.1
-43.8

-56.4
-60.1
-2 5 .5
-52.4
+17.0

1- and 2-family dwellings with stores.
multifamily dwellings with stores.

Comparison of First 11 Months of 1941 and 1942

Permit valuations reported in the first 11 months of 1941 and 1942
are compared in table 3.
T able 3.—Permit Valuation of Building Construction, by Class of Construction, First
11 Months of 1941 and 1942 1
Permit valuation
First 11 months of—

Class of construction

1942 (thousands 1941 (thousands
of dollars)
of dollars)
All construction_______ ___ - ________

________

New residential
_
________________ _________
New nonresidential_________ _ __________________
Additions, alterations, and repairs_____ ___ _________

Percent of
change

1,658,907

2,820,168

-41.2

756,978
661,853
240,076

1,385,917
1, 085, 633
348, 618

—45.4
-39.0
-31.1

1 Based on reports from a varying number of cities with a population of 500 and over, the cities being
identical for any given month of both years.

The number and permit valuation of new dwelling units for which
permits were issued in the first 11 months of 1942 are compared with
similar data for the corresponding months of 1941 in table 4.


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Federal Reserve Bank of St. Louis

J 64

Monthly Labor Review—January 1943

T able 4.—Number and Permit Valuation of New Dwelling Units, by Source of Funds
and Type of Dwelling, First 11 Months of 1941 and 1942 1
Number of dwelling units

Source of funds and type of dwelling

First 11 months
of—

1942

First
Percent
of
change

1941

Permit valuation
11

months of—

Percent
of
1942
1941
change
(thousands (thousands
of dollars) of dollars)

All dwellings____

223, 805

364, 317

-38.6

740, 640

1, 370, 420

-46.0

Privately financed
1family____
2family A
M ultifamily3...
Publicly financed.

163, 291
115, 761
14,888
32, 642
60, 514

306, 425
238, 627
20, 005
47, 793
57,892

-46.7
-51.5
-25.6
-31.7
+4.5

540, 550
412, 346
41, 275
8 6 , 929
200,090

1,174,427
984, 056
52, 393
137, 978
195, 993

-54.0
-58.1
- 2 1 .2
-37.0
+ 2 .1

'B ased on reports from a varying number of cities with a population of 500 and over, the cities beingidentical for any given month of both years.
’
2 Includes 1 - and 2 -family dwellings with stores.
3 Includes multifamily dwellings with stores.

Construction From Public Funds , November 1942

The value of contracts awarded and force-account work started
during October and November 1942 and November 1941 on all con­
struction projects financed wholly or partially from Federal funds is
shown in table 5. This table includes other types of construction as
well as building construction, both inside and outside 2,367 reporting
cities.
6
I

5
aluP °.f Contracts Awarded and Force-Account W ork Started on Construction
I rojects financed From Federal Funds. October and November 1942 and November 1941
[Thousands of dollars]

Source of funds

Contracts awarded and force-account work
started
November 19421 October 1942 1 November 19412

Total_________________________

233, 356

505, 602

345, 745

War public works_____________
Regular Federal appropriations 3...
Federal Public Housing Authority

2,421
194,949
35, 986

3, 451
456, 997
45,154

2, 770
321, 335
« 21, 640

1 Preliminary; subject to revision.
2 Revised.
3 Exclusive of contracts awarded for public housing.
4 Includes contracts awarded for all public housing.
3
Includes $9,300,246 for contracts awarded on

from regular Federal appropriations.

USHA projects and $12,339,448 for
contracts awarded
’ ’

The value of all contracts awarded for public buildings and highway
construction, to be financed wholly from State funds, as reported by
the State governments for October and November 1942 and November
1941, was as follows:
November 1941
October 1942_._
November 1942


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Federal Reserve Bank of St. Louis

Public
buildings

Highway
construction

$1, 896, 345
343, 399
208, 826

$8, 788, 661
4, 036, 432
2, 947, 966

Building Operations

165

Coverage of Building Permit Statistics

Building-permit data are collected by the Bureau of Labor Statistics
each month from more than 2,500 places having a population of 500 or
more in 1940, from which are selected those for cities which also re­
ported in the preceding month and in the corresponding month of the
previous year. In addition, the Bureau receives notifications of the
value of construction contracts awarded by Federal and State govern­
ments. Federal and State building construction in the 2,367 reporting
cities totaled $19,725,000 in November 1942, as contrasted with
$39,469,000 in the previous month and $66,419,000 in November 1941.
The permit-valuation figures represent estimates of construction
costs made by prospective private builders when applying for permits
to build and the value of contracts awarded by Federal or State
governments. No land costs are included. Unless otherwise indicated,
only building construction within the corporate limits of the reporting
cities is included in the tabulations.


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Federal Reserve Bank of St. Louis

Retail Prices

RETAIL FOOD PRICES IN NOVEMBER 1942
THE index of retail food costs, compiled by the Bureau of Labor
Statistics, for 51 large cities combined, stood at 131.1 percent of the
1935-39 average on November 17, 1942. The increase from October
13 was 1.2 percent and the November index was the highest reached
since January 1930. The rise in cost of food has been continuous
since November 1940, with the exception of a period in December 1941,
when the average did not change.
The average increase from mid-October to mid-November was
chiefly due to advances in prices of those fresh fruits and vegetables and
fresh fish which are not under direct control by the Office of Price
Administration. ^ Uncontrolled foods advanced 6.6 percent over the
month and on November 17 were selling 21 percent higher than in
May of this year. Food prices under direct control of the OPA
advanced 0.5 percent during the month, partly as a result of adjusted
ceilings for commodities such as lard, vegetable shortening, canned
fruits and vegetables, and canned fish, and partly resulting from
increases for certain commodities brought under control on October
5, 1942. The average for foods under control on November 17 is 6
percent above the level of May 12, date of the last survey before
control was inaugurated in the retail markets.
Table 1 shows the percentage changes from October to November
and from May to November 1942, and the relative importance in the
food budget for various groups of foods controlled by OPA and for
those not under direct OPA control.
T

able

1.— Changes in Prices of Controlled and Uncontrolled Foods
Percent of increase
Group
Oct. 13 to
Nov. 17

M ay 12 to
Nov. 17

All foods______
Controlled by OPA on November 17
Under March ceilings...
Optional ceilings, March prices or fixed percentage m ark­
up—
Mark-up ceiling o n ly ...
Under July 27-31 ceiling
Under September 28-October 2 ceiling
Uncontrolled by OPA on November 17

Percent of
total family
food bill
1 UU

5
!i

6.3

3!8

1 0 .1

6 .6

13.3
17.6
21.3

.8
8

89
44
3

29
11

A regulation issued in October by the Office of Price Administration
permitted ceiling adjustments for approximately 13 percent of the
foods in the average family budget by allowing retailers to take a
fixed percentage mark-up over the purchase price. Among the foods
166

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Federal Reserve Bank of St. Louis

167

Retail Prices

affected, advances were reported for lard, vegetable shortening, canned
vegetables, canned fish, and sugar. A decrease was reported for
dried fruits.
Percentage changes in retail costs of food on November 17, com­
pared with costs on May 12, 1942, in November 1941, and in August
1939 (before the outbreak of war in Europe), are shown in table 2.
T able 2.— Changes in Retail Costs of Food in 51 Large Cities Combined, by Commodity
Groups
Percent of change, Nov. 17,
1942, compared with—

Percent of change, Nov. 17,
1942, compared with—
1941

1939

Nov.
18

Aug.
15

All foods_________ + 1 .2 +7.8 +15.9
Controlled, ___ + .5 +6.3
(■)
Uncontrolled---- + 6 .6 +21.3
(0
Cereals and bakery
+ .5 +3.4
0
products________
M eats_________ -- + .5 + 6 .1 + 19.5
Beef and veal--- + . 1 + 2 .0 + 1 2 .6
P ork---- ---------- + .3 +1.3 +18.4
+ . 8 +13.4 +24.8
Lamb________
Chickens— --. + .4 +17.7 +34.3
Fish, fresh and
canned—------- +3.0 +17.9 +30.9

+40.2
(')
(■)

Commodity group

1942
Oct.
13

1 Not

May
12

+13.2
+37.8
+27.1
+41.8
+35.6
+41. 1

1942

Commodity group
Oct.
13
Dairy products____
Eggs-------------------Fruit and vegetablesFresh_________
Canned____ —
Dried________
Beverages.-- - —
Fats and oils--------Sugar____ ______

May
12

1941

1939

Nov.
18

Aug.
15

+0.5 +6.9 +9.0
+ 1 .0 +44.1 +13.8
+3.2 +9.9 +28.3
+3.8 + 1 1 .2 +30.0
+1.5 +3.4 + 2 0 .6
- . 1 + 14.1 +28.8
+10.4
0
+• 4
+ 2 .6 + 1 .6 +16.5
.
1
+12.5
+ .1

+41.6
+83.4
+53.1
+55 . 8
+38.5
+65.8
+31.3
+47.1
+32.8

+78.6

available.

Indexes of retail costs of food by commodity groups are presented
in table 3 for May, September, October, and November 1942, Novem­
ber 1941, and August 1939. The accompanying charts show the
trend of the costs of all foods, January 1913 to November 1942,
and of each major commodity group, January 1929 to November 1942.
T able 3.— Indexes of Retail Costs of Food in 51 Large Cities Combined,1 by Commodity
Groups, in Specified Months
[1935-39=“ 100]
1941

1939

May 12

Nov. 18

Aug. 15

1942
Commodity group
Nov. 17 s

Oct. 13

Sept. 15

All foods.......... ................... ........ ......... ...........

131.1

129.6

126.6

1 2 1 .6

113.1

93.5

Cereals and bakery p ro d u c ts___ ______
Meats
__ ________ __________
"Peef and veal. ______ __________
Pork
___________________ —

105.7
131.9
126.6
124.8
134.0
133.5
177.9
131.8
166.3
141.5
144.6
126.9
149.7
124.6
124.3
127.0

105.7
131.2
126.5
124.4
133.0
133.0
172.8
131.2
3 164. 7
3 137.1
139.3
125.0
3 149.9
124. 1
3 121 . 2
126.9

105.4
130.6
126.1
124.0
133.7
133.7
168.2
127.7
155.2
129.7
130.3
123.8
143.4
123.8
120.7
127.0

105.2
124.3
124.1
123.2
118.2
113.4
150. 9
123.3
115.4
128.7
130.0
122.7
131. 2
124.6
122.4
127.1

1 0 2 .2

93.4
95.7
99.6

T^m h

________________ --

Chickens
__________________
Fich fresh and canned_____________
Dairy products______________________
Fggs

____________________ ______

Fruits and vegetables _______________
Fresh
__________________
Canned
_________________
Pried
________________
p evetages
_________________
Fats and oils
___________________
Sugar
____________________

110.4
112.4
105.4
107.4
99.4
135.9
120.9
146.1
110.3
1 1 1 .2

105.2
116.2
112.9
106.7
112.9

8 8 .0

98.8
94.6
99.6
93.1
90.7
92.4
92.8
91.6
90.3
94.9
84.5
95. 6

'Aggregate ccsts of 54 feeds in each city, weighted to represent total purchases of families of wage earners
and lower-salaried workers, have been combined with the use of population weights.
3Preliminary.
sKevised.


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Federal Reserve Bank of St. Louis

AVERAGE FOR 51 LARGE CITIES

Monthly Labor Review—-January 1943

UNITED STATES

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Federal Reserve Bank of St. Louis

RETAIL COST OF ALL FOODS

BUREAU OF LABOR STATISTICS

169

Retail Prices

RETAIL COST OF FOOD
1935-39

INDEX
220

=

100

INDEX
220

200

200

180

1

f 1\

180

L j s FRUIT S AND V E 6 E ' 'A B LE S

160

140

160

J

h

V
AT

120

100

140

120

A
V

100

v w
- —

80
CDS

60

I

60

140

140

120

/

120
ALL

FOODS

/
100

100

80
60

80

o

U.
_J

'* " A l

80
CEREALS A N D / '
8/kKERY PR O D U C T S
1
1

60

r

J40
120

140
120

J\ —
A -L

FC)O DSx
100

100

80

80
/

A

e

AT S

_ 1 _____ ______

60
140

r
-A L L

60
140

rOODS
120

120
*/ h jr

100

V DA IR Y

PR O D U C T S

80
60

60
1929

1930

1931

1932

1933

1934

u.s. 3EPT. OF LABOR-BUREAU OF LABOR STATISTICS


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Federal Reserve Bank of St. Louis

1935

1936

1937

1938

1939

1940

1941

1942

1

170

Monthly Labor Review—January 1943

Cereals a n d b akery 'products. —The cost index for this group re­
mained unchanged between October 13 and November 17, although
increases were reported for flour and for three foods not included in
the index (wheat cereal, rice, and rolled oats). Ten cities reported
increases in the average price of flour. The average price of vanilla
cookies decreased by 1.1 percent. Prices for bread remained stable,
with only two cities reporting minor changes. All foods included
in the group are under control by the OPA, but ceiling adjustments
were permitted in October for prepared breakfast cereals.
M e a ts.-—T h e index rose 0.5 percent over the month, primarily as a
result of increases for fresh fish, prices of which are uncontrolled, and
of adjustments allowed in the ceilings for canned salmon. Prices of beef
and veal and pork were relatively stable, the average increases being
0.1 percent and 0.3 percent, respectively. Lamb prices rose by 0.8
percent, as prices for leg of lamb advanced in 31 cities. Advances in
beef and pork prices are contraseasonal, scarcity of meats being
reported in most cities. Prices of roasting chickens also advanced
contraseasonally, resulting in price increases of from 0.1 cent to 3.0
cents per pound in 22 cities. Under the plan for adjusting ceilings to
a mark-up basis, the price of pink salmon increased in 28 cities, with
no decreases reported, while red salmon prices advanced in 8 cities.
Prices of fresh fish rose in 31 cities, resulting in a 6.7-percent increase
for the 51 cities combined. Meat prices have risen steadily since
November 1941, when the index was 110.4 as compared with 131.9
for November 17, 1942, or a net increase over the year of 19.5 percent.
D a ir y p ro d u c ts. The cost of dairy products rose 0.5 percent from
mid-October to mid-November, a relatively small increase when
compared with the 2.7-percent advance occurring between midSeptember and October 13. Prices of milk and butter usually rise
at this season, but the price of fresh milk remained unchanged over
the month, with increases reported for only 4 of the 51 cities. The
price of butter rose 1.1 percent, with 36 cities sharing the increase.
There was a slight increase in the price of cheese, while evaporated
milk remained stable.
E ggs.-— Prices of eggs increased in 34 cities, resulting in a net ad­
vance of 1 percent. This is much less than the usual seasonal advance.
Prices of eggs in November were 14 percent above the same month of
1941 and 83 percent above the price in August 1939.
F r u its a n d vegetables. —Costs for all fruits and vegetables combined
rose 3.2 percent between October 13 and November 17 and were 28
percent above November 18, 1941. Among the fresh fruits and vege­
tables, not under control by OPA, carrots and apples rose by more than
the usual seasonal advances, the increases being 21 percent and 8 percent,
respectively. Contraseasonal advances of 7 percent for lettuce and
8 percent for spinach were accompanied by less-than-usual increases
tor fresh green beans. Decreases were reported for cabbage and sweetpotatoes, following lower prices to the farmers. Small increases
were reported for oranges and potatoes, on which ceilings were set
on October 5. Advances in canned fruits and vegetables followed the
OPA regulations permitting adjustment of the ceiling prices during
October and November. Prices of dried prunes, on which a mark-up
ceiling is mandatory, decreased by 0.6 percent, while prices of dried
beans remained unchanged. The order of November 12 making


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Federal Reserve Bank of St. Louis

Retail Prices

171

mark-up ceilings mandatory on the latter was too late to affect prices
on November 17.
Beverages.—Coffee prices advanced in 25 cities while the prices of
tea increased in 13 cities, resulting in a 0.4-percent advance for the
beverage group. The cost of beverages was 10 percent higher than in
November 1941 and 31 percent above August 1939.
Fats and oils.—Prices for fats and oils rose 2.6 percent, following
an advance of 2.8 percent in the uncontrolled price of peanut butter
and a 6.4-percent increase for lard, resulting from removal of the
March ceiling prices and substitution of a mark-up ceiling. This
advance for lard is contrary to the usual seasonal picture, but retail
prices had been frozen at abnormally low levels. Small increases
were reported for shortening in cartons and in other containers, while
prices of the remaining foods in the group were relatively stable.
Sugar.—Retail prices of sugar were relatively unchanged, with 9
cities reporting increases, 5 showing decreases, and 37 reporting no
change.
Average prices of 65 foods in 51 cities combined are presented in
table 4 for May, October, and November 1942, and November 1941.
T able 4.—Average Retail Prices of 65 Foods in 51 Large Cities Combined, May, October,

and November 1942 and November 1941
1941

1942
Article
Nov. 17 2
Cereals and bakery products:
Cereals:
Flour, wheat_______________ - - . 1 0 pounds..
Macaroni__________________ ___ ..pound-.
Wheat cereal 2_____________ __ 28-oz. pkg__
Corn flakes____
------- ___ 8 ounces,.
Corn meal___________ _____ __ -..pound..
Rice 2_____________________ _______ do___
Rolled oats 2_______________ ________do___
Bakery products:
Bread, w hite______________ ________do___
Bread, whole-wheat________ ________do___
Bread, rye_________________ ________do___
Vanilla cookies____ - - - - - - ________do___
Soda crackers________ ____ _______ do___
Meats:
Beef:
Round steak___________ ____ ________do___
Rib r o a s t . ._____ ___ -.- ____ ..d o __
Chuck roast___________ .-- ________do___
________do—
Veal: Cutlets_______ ____.Pork:
Chops___ _______________ ________do___
Bacon, sliced_______________ ________do---Ham. sliced 2_____________ ________do---Ham. whole__________ _____ ________ do_ __
Salt pork-.- ______________ __ _____do__ Lamb:
Leg----------------------------------- ________do___
_____ do___
Rib chops_____________ ____
Poultry: Roasting chickens______ ________do___
Fish:
________do___
Fresh, frozen____________
Salmon, pink---- -------- ----- ___ 16-oz. can..
Salmon, red 2-_- -_ - ----- -_______ -do___
Dairy products:
B utter------------------------------------ .. - ..p o u n d ..
Cheese_____________ ________ ............ ..d o ___
Milk, fresh (delivered)__________ -_- ___ quart..
Milk, fresh (store). ------- . ________do___
Milk, fresh (delivered and store) 2 . ___ ____do___
Milk, evaporated__________ ____ ---HH-oz. can..
Eggs......................................................... _______dozen..
See footnotes at end of table.


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Federal Reserve Bank of St. Louis

Oct. 13

May 12

Nov. 18

1 2 .6
8 .8

Cents
55.3
14.1
24.0
7.0
5.1
12.5
8.7

Cents
51.6
14.2
24.1
7.2
4.7
12.3
8 .6

Cents
48.5
14.0
23.8
7.1
4.4
9.1
7.5

8.7
9.6
9.7
26.5
16.6

8.7
9.6
9.7
26.8
16.6

8.7
9.5
9.7
27.7
16.4

9.5
9.6
25.7
15.2

44.5
34.7
30.2
55. 1

44.5
34.8
30.2
55.1

44.2
34.0
28.9
53.6

39.3
31.1
26.5
49.0

43.0
40.8
59.7
38.5
23.5

43.1
41.3
59.7
38.4
23.8

43.2
39.3
58.8
37.8
24.0

36.0
36.3
52.4
32.0

38.4
46.5
42.7

38.0
46.4
42.4.

33.8
41.3
36.1

30.5
37.8
31.7

Cents
55.4
14.1
24.1
7.0
5.1

(?)
2 2 .2

(3)

(3)

8 .6

2 0 .0

(•)

2 2 .0

2 1 .8

2 0 .0

40.6

40.7

40.0

36.3

54.6
36.1
15.1
13.5
14.5
9.2
59.0

54.0
35.9
15.0
13.5
14.5
9.2
58.5

45.7
34.0
14.9
13.5
14.4
8.7
40.9

43.3
34.2
14.7
13 6
14.3
8.7
51.9

172
Fa b l e 4 .

Monthly Lahor Review—January 1943
Average Retail Prices of 65 Foods in 51 Large Cities Combined, M ay, October,
and November 1942 and November 1941— Continued
1942

1941

Article

Fruits and vegetables:
Fresh:
Apples______________
Bananas____________
Oranges_____________
Grapefruit 2__________
Beans, green_________
Cabbage____________
Carrots_____________
Lettuce_____________
Onions_____________
Potatoes____________
Spinach_____________
Sweetpotatoes________
Canned:
Peaches_____________
Pineapple___________
Grapefruit juice 2 _____
Beans, green 2________
Corn________________
Peas________________
Tomatoes____________
Dried:
Prunes________ _____
Navy beans__________
Beverages:
Coffee__________________
Tea___ ________________
Cocoa 2_________________
Fats and oils:
Lard___________________
Shortening, other than lard:
In cartons___________
In other containers____
Salad dressing______ _____
Oleomargarine___________
Peanut butter___________
Sugar and sweets:
Sugar__________________
Corn sirup 2_____________
Molasses 2_______________
1 Preliminary.
2 Not included

in index.

------ pound.
----------do-_--------dozen----------each.
-------pound.
--------- do.--------bunch.
______head.
-------pound.
..15 pounds.
-------pound.
--------- do__

Nov. 17 4

Oct. 13

Cents
6.7
10.7
45.0

Cents
6 .2

10.7
44.5

6 .8

1 0 .1

May 12

Cents
7.5
1 2 .0

31.4
6.3
13.4
4.5

Nov. 18

Cents
5.3
8 .0

38.3
5.5
15.4
3.5
6.7
8.7
4.6
39.1
7.9
4.2

17.6
3.6
9.8
14.9
4.7
51.6
10.5
5.2

13.9
4.7
51. 1
9. 7
•5.6

53.0
7.4
5.4

.No. 2j4> can.
-------- do__
...N o . 2 can..
--------- do__
______ do__
--------- do__
--------- do__

25.0
29.1
13.1
13.9
13.6
14.7
11.9

24.6
28.6
13.0
4 13.7
13.4
14.6
11.7

23.3
27.1
9.8
14.0
13.0
15.8
12 . 1

21.4

-------pound..
--------- do___

15.8
9.2

4

15.9
9.2

12.3
9.0

10.5
8.3

______ do-...
--.$4 pound..
---H pound..

28.1
21.9
10.3

28.2

28.9
22.4
1 0 .2

26.6
19.5
9.1

16.7
3.8
8 .1

22. 2
4 1 0 .6

6 .6

9.2
6 .8

2 2 .2

9.5
11.9
1 2 .0

14.2
9.9

------ pound..

18.4

17.3

17.9

14.8

--------- do___
--------- do___
--------- pint..
------ pound..
---------do___

19.6
24.4
25.1
22.5
29.0

19.5
24.3
25.2
22.5
28.2

19.8
25.8
25.4
22.4
26.9

17.7
23.3
23.7
19.5
19.6

---------do___
. ..24 ounces..
...18 ounces..

6.9
15.3
15.0

6 .8

15.2
15.0

6.9
14.8
14.5

14.1
13.5

3 Composite
4 Revised.

6 .1

prices not computed.

Details by Cities

Of the 51 cities included in the index, 40 reported increases and
11 showed decreases in the average food costs. The 5 cities not in­
cluded in the indexes reported advances. All cities surveyed in the
New England, Middle Atlantic, Mountain, and Pacific areas reported
increases, while all cities surveyed in the West South Central region
showed decreases. Locally lower prices for fruits and vegetables
were primarily responsible for the lower costs in the Southwest.
Cities showing the greatest increases over the month were San Fran­
cisco, 3.5 percent; Newark, 2.5 percent, and Philadelphia, Fall River,
and Minneapolis with approximately 2-percent increases. The largest
decrease reported by any city was 0.8 percent in Savannah and Dallas,
while New Orleans, Peoria, Jacksonville, and Houston showed retail
food cost declines of about one-half of 1 percent. Los Angeles con­
tinued to report the highest prices over November 1941, with a
22-percent difference while the smallest increase over the year was
11 percent in Louisville, Ky.
Indexes of food costs by cities are shown in table 5 for May, October,
and November 1942, and November 1941.

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Federal Reserve Bank of St. Louis

173

Retail Prices
T

able

5.— Indexes of the Average Retail Cost of A ll Foods, by Cities,1 May, October, and
November 1942 and November 1941
[1935-39 = 100]

City

United States

Nov.
17 2
-

Oct. May
12
13

- - 131.1 129.6

New England:
"Poston
Bridgeport
- -Tifili Biypr
"JVTanchpsfpr
New Haven
Portland, Maine
Provi <ipnpp.
Middle Atlantic:
Buffalo
Newark^- New York _
- P h i1or| P-lph ia
Pittsburgh
B oohio^tor
East North Central:
Ohicogo
Oio pin n a.t.i
OlpyalaTld
Columbus, Ohio___
Detroit
M ilwRIl^P^
Pp.nria
Springfield, 111 __
West North Central:
Kansas City. __
M innPRpnlis
Omaha

1942

1941

1942

1 2 1 .6

City

Nov.
18
113.1

130 4
130. 1
130 fi
130 0
130.3
130.0
129.7

128. 5
128.6
128. 3
128 8
128.6
128.5
128. 9

118.3 111.5
121.3 111.5
120 . 8 111. 7
124. 0 1 1 2 .8
1 2 0 .6 110.5
121.7 1 1 1 .2
1 2 2 .1

1 1 2 .1

133 7
133.6
130.2
128 2
129.6
129 2
130.3

131. 8
130. 3
128. 0
125.8
129.4
128 2
129 0

125. 2
120.9
118.0
119.4
121.4
122. 3
121 . 0

115.2
111.9
113.1
108.7
112.9

129 9
130 6
132 5
124.4
129. 6
129 7
12 fi 8
134.6
134.3

128. 9
130.1
131. 8
122.7
128.2
129 2
125 2
135.2
133.1

121.7
122.4
124.1
118.6
122.4
125.0
119.8
129.0
128.0

114.8
114.3
116.4
110.4

112.1

109.5

1 1 2 .0

114. 9
111. 3
116.1
115.7

125.0 124.0 118.8 109.6
128. 9 126. 6 120.9 112.9
127.0 127.1 119.9 109.4

1941

Nov. Oct. May Nov.
172
12
17
13

West North Central—
St. Louis.-- St. P au l_____ ____
South Atlantic:
Atlanta - -Baltimore___ - Charleston, S. C ---Jacksonville --- . . .
Norfolk 3 -- Richmond________
Savannah------------Washington, D. C_.
East South Central:
Birmingham______
Louisville------------Memphis_________
Mobile___________
West South Central:
Dallas______ -- Houston---- ---------Little Rock..
New Orleans... __
Mountain:
Butte. . . - Denver -- --Salt Lake City____
Pacific:
Los Angeles____ Portland, Oreg-----San Francisco____
Seattle. . -----------

130.8 129.9 123.8 117.0
127.1 125.8 118.7 111. 4
129.2 129.0
134.9 133.8
127.6 127.7
137.1 137.7
135.4 4134.0
128.9 128.2
136.0 137.1
130.5 129.5
127.7
126.5
134.4
137.6
125.1
132.4
130.3
140.7

120.4
125.8
123.2
127.4
126.1
120.9
130.3
120.7

111 . 1
114.3
113.1
119.2
116.7
1 1 1 .8

118.6
111.4

128.1 120. 5 1 1 2 .6
126.9 1 2 2 .6 114.1
132.6 123.5 112. 3
136.8 126.8 1 2 0 .2
126. 1
132.9
4130. 5
141.4

116.8
125.9
123.2
129.0

111. 7
118.6
114.4
118.7

131.3 129. 5 121.5 110. 9
129.9 128.4 122.9 113.2
136.1 134.0 124.2 115.7
141.5
143.2
139.2
141.5

140.0
142.2
134.6
139.6

128.1
134. 5
125. 5
129.9

115.4
121. 7
114.4
118.9

1 Aggregate costs of 54 foods in each city, weighted to represent total purchases of families of wage earners
and lower-salaried workers, have been combined for the United States with the use of population weights.
Primary use is for time-to-time comparisions rather than place-to-place comparisons.
2 Preliminary.
. ,
s Includes Portsmouth and Newport News.
4 Revised.

Annual Average Indexes oj Retail Food Costs, 1913 41

Annual average indexes of food costs for the years 1913—
41, and
monthly indexes for January 1941 to November 1942, inclusive, are
shown in table 6.
T

able

6 . — Indexes

of Retail Food Costs in 51 Large Cities Combined, 1913 to
1942

A

ovember

[1935-39 = 100]
Year

All-foods
index

Year

All-foods
index

Year and month All-foods
index

1941
130.8
79.9 1928_____
1918
132.5 January_______
81.8 1929_____
1914
126.0 February_____
80.9 1930_____
1915
101 A
103. 9 March___ ___
90.8 1981
iyio----—
86.5 April______ 116.9 1982
1917
1988
84.1 M ay_____ . ..
134.4
ii nm
93. 7 June -_ . . ..
149.8 1984
y i y -------ilyzu--------non
100. 4 J u ly .. . ...
168.8 1985
101.3 August_______
128.3 198fi
1921
105.3 September-----119.9 1937
1922
97.8 October___ _
124.0 1988
I i'Aj --------95.2 N ovem ber...
1939
1 2 2 .8
1924
96.6 December... . . .
__________
132.9 1940
1925
__________
1941
__________
137.4 ....................
1926
....................
. 105.5
132.3 ....................
1927
....................

501152— 4 3 — — 12


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

Year and month All-foods
index
1942

97.8
97.9
98.4
1 0 0 .6
10 2 .1

105.9
106.7
108.0
110.7
1 1 1 .6

113.1
113.1

January.._ . - ..
February ____
M a r c h ..____
April. _ ____
M a y ... _____
June___ ____ July--------------August_______
September____
October..........
November____

116.2
116.8
118.6
119.6
121.6

123.2
124.6
126.1
126.6
129.6
131.1

Wholesale Prices

WHOLESALE PR IC ES IN N OVEM BER 1942 1
CONTINUED gains in prices for agricultural commodities together
with higher excise taxes caused the Bureau of Labor Statistics com­
prehensive index of nearly 900 price series in primary markets 2 to
rise 0.3 percent in November. The all-commodity index reached
100.3 percent of the 1926 average, the highest level in more than 16
years. Except for the increased taxes on alcohol and tobacco prod­
ucts, prices for most industrial commodities were firm or slightly lower
than in October.
In the past year the all-commodity index has risen 8.4 percent and
is more than 33 percent higher than in August 1939.
Largely as a result of the higher taxes on alcohol the index for chem­
icals and allied products advanced 3.4 percent in November. Average
prices for miscellaneous commodities increased 1.7 percent; farm prod­
ucts, 1.4 percent; and foods and fuel and lighting materials, 0.1 per­
cent. The index for building materials declined slightly. Quota­
tions for raw materials averaged 0.9 percent higher for November than
for October, primarily because of the increase in prices for nonprocessed
agricultural commodities. Semimanufactured articles were fraction­
ally lower, while manufactured commodities remained unchanged at
the October level.
Although primary market prices for industrial commodities have
fluctuated within a comparatively narrow range since November 1941,
other groups of commodities—mostly agricultural—have risen sharply.
In the past year prices for livestock and poultry advanced about 34
percent; fruits and vegetables, 31 percent; meats, 23 percent; dairy
products, 15 percent; and grains, 10 percent. The index for farm
products was 22 percent higher than for November 1941 and that for
foods had risen nearly 16 percent.
Following the outbreak of World War II in the autumn of 1939,
prices of nearly all commodities began to rise rapidly. In the little
more than 3 years of war, average prices for farm products have ad­
vanced 81 percent and foods, 54 percent. However, price controls
were placed on a large number of industrial commodities soon after
the markets began to rise, and prices for metals and metal products
and fuel and lighting materials were only 11 percent and 9 percent,
respectively, higher than they were in August 1939.
1 During the period of rapid changes caused by price controls, materials allocation, and rationing, the
Bureau of Labor Statistics will attem pt promptly to report changing prices. Indexes marked (*), however,
must be considered as preliminary and subject to such adjustment and revision as required by later and
more complete reports.
2 The Bureau of Labor Statistics wholesale price data for the most part represent prices prevailing in the
first commercial transaction.” They are prices quoted in primary markets, at principal distribution
T in in f c

174


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

Wholesale Prices

175

With an advance of 1.4 percent during November, average prices
for farm products in primary markets rose to the highest point since
the autumn of 1925. The upward movement was characterized by
sharp increases in prices for fresh fruits and vegetables and by higher
prices for fresh milk—not under Office of Price Administration regula­
tion. In addition, grains advanced 1.4 percent, with corn and oats
up more than 3 percent; barley, over 1 percent; and wheat, 0.5 percent.
Other important agricultural commodities for which higher quota­
tions were reported were cotton, hops, seeds, hay, and tobacco. Heavy
marketing of hogs in November caused prices to drop over 7 percent
and brought the index for livestock and poultry down 1.7 percent,
notwithstanding higher prices for cows, steers, sheep, and for live
poultry in the New York market.
Led by increases of 3.9 percent for fruits and vegetables and 1.8
percent for dairy products, the foods group index rose 0.1 percent in
November. Higher prices were reported for apples and potatoes in
most markets, and for citrus fruits, dried beans, and onions. In addi­
tion, fresh milk rose from 3 to 5 percent in the New York, Chicago,
and San Francisco markets, and prices were also higher for butter.
Minor increases were reported for cereal products, including wheat
flour, rice, and oatmeal. Mutton advanced more than 10 percent,
and prices were also higher for dressed poultry, eggs, lard, peanut
butter, cottonseed oil, and pepper. Meats averaged 3 percent lower
in November, largely because of lower prices for pork and for fresh
beef at New York. Quotations for evaporated and condensed milk
dropped back to current market quotations after higher opening prices
had been reported. Prices for cheese, rye flour, corn meal, and canned
apricots and salmon were somewhat lower than in October.
Increased prices for raw jute were not reflected in the index for the
textile products group index. No changes were reported in prices for
hides and leather products.
Fractionally higher prices for bituminous coal in some areas, to­
gether with increases in prices for fuel oil and gasoline from the Okla­
homa fields, accounted for the advance of 0.1 percent in the fuel and
lighting materials group index.
Prices for certain types of heating equipment were lower in Novem­
ber. Minor fluctuations with a slight downward tendency were re­
ported in prices for lumber. Declines of between 1 and 2 percent
occurred in prices for linseed oil, rosin, and shellac. Plaster and tar
also averaged lower during the month.
A tax increase of $2 a proof gallon on alcohol, effective on Novem­
ber 1, caused the index for drugs and pharmaceuticals to rise 28.4
percent during the month, notwithstanding a decline of 6 percent in
the price of ergot. Acetone and phosphate rock dropped about 4
percent, while ground bone and cottonseed meal advanced more than
8 percent.
In the miscellaneous group of commodities average prices for cattle
feed were 6.7 percent higher because of increases of over 7 percent for
cottonseed meal and middlings, 6 percent for bran, and almost 3
percent for linseed meal. Higher taxes were reflected in prices for
cigars and cigarettes, and boxboard also advanced. Lower prices were
reported for neutral oil.
Percentage comparisons of the November 1942 level of wholesale
prices with October 1942, November 1941, and August 1939, with
corresponding index numbers, are given in table 1.

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

176
T

Monthly Labor Review—January 1943

1.— Index Numbers of W holesale Prices by Groups and Subgroups of Commodities,
November 1942 with Comparisons for October 1942, November 1941, and August 1939

able

[1926=100]
Group and subgroup

Novem October Per­ Novem­ Per­ August Per­
cent of ber 1941 cent of
cent of
ber 1942 1942 change
change 1939 change

All commodities___________________ ___

*100.3

*1 0 0 .0

+0.3

92.5

+8.4

75.0

+33. 7

Farm products_________________ _______
Grains____________________________
Livestock and poultry_______________
Other farm products_____ __________

110.5
92.8
121.3
108.0

109.0
91.5
123.4
104.4

+1.4
+1.4
-1 .7
+3.6

90.6
84.3
90.6
91.7

+ 2 2 .0
+ 1 0 .1
+33.9
+18.0

61.0
51.5
60.1

+81.1
+80.2
+83.8
+80.0

Foods________________________________
Dairy products____________________
Cereal products____________________
Fruits and vegetables_______________
M eats____________________________
Other foods____ ___________________

103.5

+ .1
+ 1 .8
+• 2

95.9

103.4
109.2
89.3
98.2
115.5
95.4

+3.9
-3 .0
+ .5

89.3
96.3
85.9
77.9
90.8
89.0

+15.9
+15. 5
+4.2
+30.9
+23.3
+7.8

67.2
67.9
71.9
58.5
73.7
60.3

+54.0
+63.8
+24.5
+74.4
+52.0
+59.0

Hides and leather products____ ________
Shoes______________ _____________
Hides and skins____________________
Leather___________________________
Other leather products............ ...............

117.8
126.4
116.0
101.3
115.2

117.8
126.4
116.0
101.3
115.2

0
0
0
0
0

114.1
120.5
114.0

+3.2
+4.9
+ 1 .8

92.7
1 0 0 .8

+27.1
+25.4
+50.3
+ 2 0 .6
+18.6

Textile products_______________________
Clothing___ ______________________
Cotton goods_______________________
Hosiery and underwear_____________
Rayon.................
silk________________
Woolen and worsted goods________
Other textile p roducts.,.___ _______

97.1
107.0
112.4
70.5
30.3
(■)
111.7
97.6

97.1
107.0
112.4
70.5
30.3

0
0
0
0
0

111.7
97.4

+ .2

96.0

Fuel and lighting materials________ _____
A n t h r a c i t e . _______ ______________
Bituminous coal________________ " . . .
Coke.____________________________
Electricity_______________ Y.V.W.WSS.
Gas____________________
Petroleum and products.__________ I."

79.1
85,7
111.4

111.0

79.0
85.7

+ .1
0

78.8
85.3
108.2

(')
60.7

79.2
60.6

Metals and metal products______________
Agricultural implements_____________
Farm machinery________________
Iron and steel_______________ ____ _
Motor vehicles_____________________
Nonferrous m etals__________________
Plumbing and heating_______________

*103.8
96.9
98.0
97.2
*1 1 2 .8

*103.8
96.9
98.0
97.2
*1 1 2 .8

8 6 .0

8 6 .0

Building materials_____________________
Brick and tile______________________
Cement___________________
Lumber___________________ IIIIIIIII
Paint and paint m aterials... _________
Plumbing and heating_____________
Structural steel______________
Other building materials_____________
Chemicals and allied products___________
Chemicals_______________________
Drugs and pharmaceuticals
Fertilizer materials__________________
Mixed fertilizers___________________
Oils and fats______________________ ’
Housefurnishing goods__________________
Furnishings__ ____________________
Furniture_________________________
Miscellaneous_________________________
Automobile tires and tubes______ ____
Cattle feed_________________________
Paper and pulp____________________
Rubber, crude______________________
Other miscellaneous_________ _______
Raw materials_________________________
Semimanufactured articles_______ ________
Manufactured products.___ _____________
All commodities other than farm products.
All commodities other than farm products
and foods_____________

1 1 0 .1

‘Preliminary.
Data not available.

1


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

1 1 1 .2

89.5
1 0 2 .0
1 1 2 .0

1 2 2 .1
0)

93.2

(0

1 2 2 .1
(0

i)

+ .4
0

+ .2
0
0
0
0
0

0

94.1

-1 .0

110.4
98.7
94.2
133.3

-.1
0

- .3

+3.3

91.1
97.9
105.4
67.0
30.3
0)

+ 6 .6
+9.3
+ 6 .6
+5.2

1 0 2 .6

1 2 2 .2
6 8 .2

77.5
60.4
103.3
96.3
97.4
97.1
112.3
84.8
87.9
107.5
96.6
93.1
128.7
95.3
87.9
107.3
103.2
89.8
88.3
123.2
77.3
79.6
92.9

0

+8.9
+1.7
+ .4
+3.0
-. 1
+ .5
+ •6
+ .6
+ .1

+ .4
+ 1 .4
+ 6 .0
+2.4
+ 2 .1
+ 1 .2
+3.4
+5.7
+ 6 .0

77.2
84.0
97.1
67.8
81.5
65.5
61.5
28.5
44.3
75.5
63.7

-+17.4
+11.4
+3.6
+3.5
+ 2 .2
+21.9
+15.3
+17.5
+22.9
+9.0
+3.2
+47.7
+ 22.7
+17.5
+ 15.0
+34.1
+14.8
+21.5
-4 2 0 .0
+13.3
+150.0
+ 19.7
+19.2
+ 2 0 .1
+22.9
+20.7
+93.1
+23.5
+32.7
+17.0
+56.2
+24.3
+25.7
+25.7
+19.6

-.1
0
0

+3.1
+15.2
+3.2
+ 6 .0
+5.6

+ .3

93.5

+ 2.5

80.1

+2.9
+ .9

*95.8

*95.5

+28.4
+ .4

8 8 .6

+ 1.7

0

- .4
4 3.4

0

0
0
0
0
0
0

+ 6.7
0
0

1 0 0 .6

105.2
95.8
87.3
67.4
120.7
1 0 2 .2

0

- .3
+ 1 0 .8
+8.9
+34.3
+4.0
+9.3
+1. 9
+ 2 .0
+1.7
+3.2
+8.3
+9.4
-3 .3
0

+47.9
+53.2

93.2
93.5
94.7
95.1
92.5
74.6
79.3

46.3
92.2
90.2
89.7
93.8
92.7

73.0
123.8
98.8
46.3
92.4
103.0
92.7
*99.4
*97.9

- .2

- .3
-1 .0

94.1
107.3
103.3
96.2
96.2
128.8
78.3
82.8
101.5
102.5
107.3
97.4

+43.2
+31.3
+71.6
+14.6
+6.3

72.6
72.1
96.0
104.2
75.8
86.7
51.7

89.6
90.5
91.3
90.1
82.1
79.3
107.3
89.5
74.2
83.8
77.1
65.5
73.1
40.6
85.6
90.0
81.1
73.3
60.5
6 8 .4
80.0
34.9
.81.3
66.5
74.5
79.1
77.9

98.6
94.2
133.1
100.7
93.2
107.3
102.9
99.5
96.2
165.4
78.6
82.8
101.5
102. 5
107.3
97.4
90.1
73.0
132.1
98.8
46.3
95.1
103. 9
92.6
*99.4
*97.9

1 0 1 .0

1 0 1 .1

111.5

6 6 .0

+9.0
+18.9
+16.0
+17.2

0

Wholesale Prices

177

Index Numbers by Commodity Groups, 1926 to November 1942

Index numbers of wholesale prices by commodity groups for selected
years from 1926 to 1941, inclusive, and by months from November
1941 to November 1942, inclusive, are shown in table 2.
T able 2.— Index Numbers of Wholesale Prices by Groups of Commodities
[1926=100]
Hides Tex­ Fuel Metals Build­ Chem­
icals HouseAll
Farm
and
and
furMis­ com­
tile
ing
and metal
and nishprod­ Foods leather prod­
cella­ modi­
light­
mate­
allied
ucts
prod­ ucts
prod­ rials prod­ ing neous
ing
ties
ucts
ucts
ucts goods

Year and month

1926_______________ 1 0 0 .0
1929_______________ 104.9
1932_______________ 48.2
1933_______________ 51.4
1936_______________ 80.9
1937_______________
1938_______________
1939_______________
1940_______ _______
1941________ ______
1941:
November__
December______
1942:
January____ . . .
February--. _ _ _
March _
April-- ______ M ay___________
June__ __ July___________
August________
September______
October______ .
November__ _ -

1 0 0 .0

1 0 0 .0

99.9
61.0
60.5
82.1

109.1
72.9
80.9
95.4

86.4
68.5
65.3
67.7
82.4

85.5
73.6
70.4
71.3
82.7

104.6
92.8
95.6

90.6
94.7

89.3
90.5

1 0 0 .8

93.7
94.6
96.1
98.7
98.9
99.3
99.2

101.3
1 0 2 .8

104.5
104.4
104.4
105.3
106.1
107.8
109.0
110.5

1 0 0 .8

102.4
103.4
103.5

1 0 0 .0

1 0 0 .0

83.0
70. 3
66.3
76.2

100.5
80.2
79.8
87.0

108.3

76.3
66.7
69.7
73.8
84.8

77.6
76.5
73. 1
71.7
76.2

95.7
95.7
94.4
95.8
99.4

114.1
114.8

91.1
91.8

78.8
78.4

103.3
103.3

114.9
115.3
116.7
119.2
118.8
118.2
118.2
118.2
118.1
117.8
117.8

93.6
95.2
96.6
97.7
98.0
97.6
97.1
97.3
97.1
97.1
97.1

78.2 103.5
78.0 103.6
77.7 103.8
77.7 103.8
78.0 103.9
78.4 103.9
79.0 103.8
79.0 103.8
79.0 103.8
79.0 *103.8
79.1 *103. 8

1 0 0 .8

1 0 0 .0

90.4
54.9
64.8
71.5

1 0 0 .0

1 0 0 .0

1 0 0 .0

94.0
73.9
72.1
78.7

94.3
75.1
75.8
81.7

95.2
90.3
90.5
94.8
103.2

82.6
77.0
76.0
77.0
84.6

86.3
88.5
94.3

77.8
73.3
74.8
77.3
82.0

86.3
78.6
77.1
78.6
87.3

107.5
107.8

89.8
91.3

1 0 0 .6
1 0 1 .1

87.3
87.6

92.5
93.6

109.3

96.0
97.0
97.1
97.1
97.3
97.2
96.7
96.2
96.2
96.2
99.5

102.4
102.5

89.3
89.3
89.7
90.3
90.5
90.2
89.8
88.9

96.0
96.7
97.6
98.7
98.8
98.6
98.7
99.2
99.6

95.4
71.4
77.0
86.7

1 1 0 .1

110.5
1 1 0 .2
1 1 0 .1
1 1 0 .1

110.3
110.3
110.4
110.4
1 1 0 .1

89.7
8 6 .8

1 0 2 .6
1 0 2 .8

102.9
102.9
1 0 2 .8

102.7
102.5
102.5
102.5

1 0 0 .0

82.6
64.4
62.5
70.5

8 8 .8
8 8 .6

90.1

1 0 0 .0

95.3
64 8
65.9
80.8

*1 0 0 .0
*100.3

* Preliminary.
T

able

3 . — Index

Numbers of Wholesale Prices by Special Groups of Commodities
[1926=100]

Baw
Year and month mate­
rials

1926___________
1929___________
1932___________
1933
1936
1937
1938
1939
1940
1941

1 0 0 .0

Semimanufactured
arti­
cles

Man­
ufac­
tured
prod­
ucts

All
com­
mod­
ities
other
than
farm
prod­
ucts

1 0 0 .0

1 0 0 .0

1 0 0 .0

All
com­
modi­
ties
other
than
farm
prod­
ucts
and
foods
1 0 0 .0

93.9
59.3
65.4
75.9

94, 5 93.3
70.3 68.3
70.5 69.0
82.0 80.7

_______ 84.8 85.3
72.0 75.4
70.2 77.0
71.9 79.1
83. 5 86.9

87. 2 8 6 .2
82.2 80.6
80.4 79.5
81.6 80.8
89.1 88.3

85.3
81.7
81. 3
83.0
89.0

92.7

93.5

1941:
November__

97.5
55.1
56. 5
79.9

90.2

89.7

93.8

Preliminary.


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91.6
70.2
71.2
79.6

Year and month

1941—Continued.
December___
1942:
January____
February___
M arch--....... .
A p r il.___
M ay_____ -J u n e ____ _July________
August_____
September__
October____
November__

All
com­
modi­
ties
other
than
farm
prod­
ucts
and
foods

Baw
mate­
rials

Semimanufactured
arti­
cles

M an­
ufac­
tured
prod­
ucts

All
com­
mod­
ities
other
than
farm
prod­
ucts

92.3

90.1

94.6

93.3

93.7

96.1
97.0
98.2

91.7 96.4 94.8
92.0 97.0 95.5
92.3 97.8 96,2
92.8 98.7 97.2
92.9 99.0 97.4
92.8 98.6 97.1
92.8 98.6 97.0
92.7 98.9 97.5
92.9 99.2 97.7
92.7 *99.4 *97.9
92.6 *99.4 *97.9

94.6
94.9
95.2
95.6
95.7
95.6
95.7
95.6
95.5
*95.5
*95.8

1 0 0 .0

99.7
99.8
1 0 0 .1
1 0 1 .2
1 0 2 .2

103.0
103.9

178

Monthly Labor Review—January 1943

The price trend for specified years and months since 1926 is shown
in table 3 for the following groups of commodities: Raw materials,
semimanufactured articles, manufactured products, commodities
other than farm products, and commodities other than farm products
and foods. The list of commodities included under the classifications
“Raw materials/’ “Semimanufactured articles,” and “Manufactured
products” was shown on pages 10 to 12 of Wholesale Prices,
December and Year 1941 (Serial No. R. 1434).
Weekly Fluctuations

Weekly changes in wholesale prices by groups of commodities
during October and November 1942 are shown by the index numbers
in table 4. These indexes are not averaged to obtain an index for the
month but are computed only to indicate the fluctuations from week
to week.
T able 4.— Weekly Index Numbers of Wholesale Prices by Commodity Groups, October
and November 1942
[1926=100]
Commodity group
All commodities___ ______
Farm products_____________
____ ____
Foods_____
Hides and leather products .
Textile products_____ ___
Fuel and lighting materials Metals and metal products
Building materials'__ ___
Chemicals and allied products
Housefurnishing goods-Miscellaneous____________

Nov.
28

Nov.
21

Nov.
14

Nov.
7

Oct.
31

Oct.
24

Oct.
17

Oct.
10

*1 0 0 .1 *1 0 0 .1 *1 0 0 .1

*99.7

*99.7

*99.7

*99.6

*99.8

*99.7

110.9
103.3
118.4
96.6
79.7

109.8
102.9
118.4
96.6
79.6

109.1
103.0
118.4
96.6
79.6

108.7
103.1
118.4
96. 5
79.6

107.9
103.1
118.4
96 5
79.7

108.9
103.3
118 4
96 6
79.7

108.7
103.0
118 4

1 1 0 .8

103.6
118.4
96.6
79.7

110.7
103.0
118.4
96.6
79.7

*103.9 *103. 9 *103.9 *103.9 *103. 9 *103.9 *103.9 *103 0
1 1 0 .2
1 1 0 .2
1 1 0 .2
1 1 0 .2
1 1 0 .2
110 . 2
no 2 110 6
99.5
99.5
99.5
96.2
96.1
96 1 96 2
96.1
104.1 104.1 104.1 104.1 104.1 104.1 104.1 104.1
89.9
89.9
90.0
88.7
88.5
88.3
88.4
88.4
Raw materials . - ___
103.8 103.8 103.7 103.2 102.7 102.5 1 0 2 .0 1 0 2 .6
Semimanufactured articles___
92.5
92.5
92.5
92.5
92.5
92.5
92.5
92.8
Manufactured products
*99.7 *99.7 *99.7 *99.3 *99.5 *99.6 *99.7 *99.7
All commodities other than farm
products________ *97.8 *97.8 *97.8 *97.5 *97.7 *97.7 *97.8 *97.9
All commodities other than farm
products and foods_____
*96.1 *96.1 *96.1 *95.7 *95.7 *95.6 *95.6 *95.7
* Preliminary.


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Oct.
3

79.7
*102 9

104.1
88.4
102.4
92.8
*99.6
*97.8
*95.7

Trend o f Employment and Unemployment

SUMMARY OF REPORTS OF EMPLOYMENT FOR
NOVEMBER 1942
THE number of employees in civil nonagricultural establishments
declined by 41,000 between mid-October and mid-November, bringing
the level down to 38,437,000. Nevertheless, this figure was larger
than the total for any other month except October and exceeded the
November 1941 level by 2,511,000. These figures do not include
proprietors of unincorporated businesses, self-employed persons, un­
paid family workers, domestics employed in private homes, personnel
of the WPA, NYA, and CCC, and the uniformed personnel of the
Army, Navy, Marine Corps, and Coast Guard. They are based on
preliminary November and revised October reports.
Construction employment fell more than 10 percent during the
month (218,000) largely because of declines on Federally-financed
projects. Small employment declines were also reported for the
finance-service-miscellaneous group, the transportation-public-utility
group, and the mining group. Manufacturing employment increased
contraseasonally by 123,000, and trade employment expanded sea­
sonally by 76,000. Government civilian employment increased by
41,000.
The increase of 1,873,000 in manufacturing employment from
November 1941 was about three-fourths of the total gain in nonagricul­
tural establishments during this period and reflected to a great extent
the shift from peacetime production to war production. The Federal,
State, and local government group had about 25 percent (1,178,000)
more workers, largely as a result of expansion in the War and Navy
Departments and in other war agencies. The transportation-publicutility group showed a gain of 135,000; trade, 373,000; construction,
281,000; and mining, 87,000. The finance-service-miscellaneous group
also showed a small gain (66,000).
Industrial and Business Employment

About two-thirds of the 152Tnanufacturing industries^surveyed by
the Bureau of Labor Statistics reported employment and pay-roll
gains over the month interval, reflecting the mounting tide of produc­
tion in war industries. Of the 16 nonmanufacturing industries sur­
veyed, 3 reported employment gains and 9, pay-roll increases.
In all manufacturing industries combined, there was an increase in
employment of 0.8 percent in contrast to a seasonally expected decline
of 1.7 percent. The corresponding gain in weekly wage disbursements
was 3.8 percent as against a normally expected decline for this time
of the year of 3.2 percent. These gains brought the indexes in Novem179

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Federal Reserve Bank of St. Louis

180

Monthly Labor Review—January 1943

ber to 156.6 percent of the 1939 average for employment and 270.8
percent for pay rolls. Compared with November 1941, the gains were
13.1 percent in employment and 46.4 percent in pay rolls, the greater
gain in pay rolls being due to increases in basic wage rates, to longer
hours worked, to overtime premiums, and to continued expansion in
war industries, where relatively higher wage scales prevail. After
June 1940, when the United States actually shifted to a war economy,
factory employment increased 53 percent and corresponding weekly
pay rolls rose 152 percent.
The gains in the durable-goods group of manufacturing industries
were even more marked, due to the concentration of war work in these
industries, many of which had converted their facilities from peacetime
to war production. The October-November gains for this group were
1.7 percent in number of wage earners and 4.9 percent in weekly wages.
The corresponding increases between November 1941 and November
1942 were 22.7 percent and 61.2 percent. The gains between June
1940 and November 1942 were 83 percent in number of wage earners
and 212 percent in weekly wage disbursements. The nondurable-goods
group, which has been most seriously affected by wartime restrictions,
curtailments, and shortages, because of less conversion to war produc­
tion, showed a decline of 0.3 percent in employment and a gain of 1.5
percent in pay rolls over the month interval, with corresponding in­
creases over the year interval of 2.6 percent and 23.2 percent,
respectively.
Among the many war industries showing substantial employment
gains over the month were shipbuilding, aircraft, engines, automobiles
(largely converted to the manufacture of war equipment), radios,
electrical equipment, shell loading, ammunition, and explosives.
Among durable-goods industries reporting declines, largely because of
material shortages coupled with Government restrictions, were hard­
ware, agricultural implements, typewriters, clocks, silverware and
plated ware, sawmills, planing mills, furniture, and tin cans and other
tinware. Seasonal declines were reported by firms manufacturing
brick, tile and terra cotta; men’s clothing; millinery; ice cream;
beverages; canned goods; and cottonseed oil-cake-meal.
In anthracite mining employment increased only slightly over the
month (0.3 percent) but pay rolls advanced sharply (2.4 percent) as
average weekly hours increased. Over the year interval employment
fell off 7.5 percent, while pay rolls rose 18.5 percent, reflecting a labor
shortage on the one hand and a longer workweek on the other.
Relatively small employment declines over the month and large losses
over the year were also reported in bituminous-coal mining, metal
mining, and quarrying and nonmetallic mining, indicating a similar
situation with respect to the labor supply. Metal mining was the
only one of the three last-named industries to show a pay-roll gain
over the month, but all of them showed large pay-roll gains over the
year interval as a result of wage-rate increases and more hours worked.
The Government order closing gold mines resulted in a 30.1-percent
employment decline between mid-October and mid-November in
this branch of metal mining, with the hiring of some of the gold miners
and of furloughed soldier-miners by copper-mine operators contribut­
ing to the gain of 7.8 percent in the number of copper miners atwork.
Lead and zinc mines increased employment by 3.9 percent and iron
mines reduced their forces seasonally by 1.9 percent.

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Trend of Employment and Unemployment

181

Employment decreases over the month, largely seasonal, were
reported in all of the service industries, the most pronounced being in
dyeing and cleaning (4.2 percent) and laundries (1.6 percent). In
the electric light and power industry, employment dropped 1.6 percent,
continuing the uninterrupted series of monthly declines which began
in August 1941. Telephone and telegraph companies reported a
slight employment decline since October, and street railway and bus
companies a slight employment increase. Corresponding pay rolls
rose 0.5 and 2.7 percent, respectively, reflecting increased overtime,
particularly in the latter industry where the demand for public
transportation continued.
In retail trade the employment and pay-roll gains over the month
of 2.1 and 2.8 percent, respectively, were better than the average
November increases, department stores having increased employ­
ment seasonally by 9.5 percent; variety stores, 7.3 percent; jewelry
stores, 5.4 percent; men’s and boys’ clothing, 4.2 percent; family
clothing, 3.6 percent; and women’s clothing, 2.3 percent. Retail
automobile dealers continued their employment curtailment with an
0.7-percent cut, while tire and battery shops took on 0.9 percent more
T a b l e 1 — Employment, P ay Rolls, and Earnings in A ll Manufacturing Industries

Combined and in Nonmanufacturing Industries
[Preliminary!
Employment index
Industry

No­
vem­
ber
1942

No­
Octo­ vem­
ber
ber
1942
1941

All manufacturing industries com­
b in ed 1________ -- _ _________

(I 939=101»
156.6 155.3 138.4

Class I steam railroads 2 _____ ___

(1936-89=1 00)
129.1 I 129. 5 117.8

Coal mining:
A n th racite__ _ _ --------Bituminous___ ______________
Metalliferous mining___ _-. . __
Quarrying and nonmetallic mining__
Crude-petroleum production_______
Public utilities:
Telephone and telegraph _______
Electric light and power________
Street railways and busses______
Trade:
Wholesale------- -------- ----------Retail- __________________
Hotels (year-round) 4---------------------Laundries _
. _____________ - Dyeing and cleaning___________
Brokerage s--- ----------------------------Insurance 5______________________
Building construction s ____________
Water transportation 6 - ________ -

a 939=10 5)
46.3
46.4
90.6
89.4
77.7
77.4
48.5
50.0
55.4
55.0
92.9
81.3
76.1
89.8
96.6
95.3
114.0
119.6
- .7
- 1 .1
-4 .5
80.8

93.3
82.6
75.9

Pay-roll index
No­
vem­
ber
1942

No­
Octo­ vem­
ber
ber
1942
1941

Average weekly
earnings
No­
vem­
ber
1942

No­
Octo­ vem­
ber
ber
1942 1941

a 939=10 5)
270.8 260.9 185.0 $39.99 $38. 86 $30. 93
(3)

(3)

(3)

50.2
95.1
79.5
52.6
60.9

(1939=10 5)
49.5
48.4
41.8
124.1 124.8 116.4
106.9 104.5
89.8
66.7
68.9
57.5
64.2
63.7
62.6

35. 09
36. 84
43.05
33. 94
41. 74

34.36
36. 56
41.93
34. 01
42.26

27. 38
32.64
35.74
27.66
38.79

90.1
93.4
70.2

129.0
108.6
97.8

118.3
115.2
78.5

33.97
40.46
41.97

33.67
40. 71
40. 98

32.08
37. 6 f
36. 42

94.6
91.6
96.4
98.5
103.2
93.2
118.9 101.9
112.5
93.0
+2.4 -17.3
+ .4 +2.7
- . 9 - 1 0 .6
+7.3 +76.9

37.13
23.18
18. 85
21.81
25.17
44. 00
39.02
45. 72
(3)

36. 52
23. 36
18.60
21. 57
25.23
43.24
38. 26
45. 36

33. 44

(3)

96.3
96.0
90.0
99.1
94.6 103.0
96.1 104.3
95.6
115.9 108.9 118.3
124.8 117.2 107.5
-1 .3 -23.1 + 1 .0
+ .9
- 1 .2 -4 .5
-1 .4 -31.0 -3 .7
77.4 +10.7
74.6

«

128.4

111 . 1

95.3

(3)

0

21.88

16. 7"
19. 44
22. Of
40. 22
37. 71
35. 91
(3)

1 Employment and pay-roll indexes for manufacturing are now based on 1939 average as 100 and are ad­
justed to 1940 and preliminary 1941 data supplied by Bureau of Employment Security. Not comparable
with previously published indexes.
2 Preliminary; source—Interstate Commerce Commission.
3 Not available.
4 Cash payments only; the additional value of board, room, and tips cannot be computed.
t Indexes of employment and pay rolls not available. Percentage changes from October to November
1942, September to October 1942, and November 1941 to November 1942 substituted.
» Based on estimates prepared by the U. S. Maritime Commission covering steam and motor merchant
vessels of 1,000 gross tons or over in deep-sea trades only. Pay-roll data include war bonuses and value of
subsistence and lodging. Pay-roll indexes on 1929 base not available. Percentage changes from October to
November 1942, September to October 1942, and November 1941 to November 1942 substituted.


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182

Monthly Labor Review—January 1943

employees. Electric-appliance stores and radio dealers, as well as
lumber yards, decreased employment by 3.0 percent, and fuel and
ice dealers, by 7.2 percent. Over the year interval, retail trade as a
whole showed an employment loss of 6.2 percent. The more important
retail groups showing pronounced employment and pay-roll decreases,
because of Government restrictions, were furniture and housefurnishings (25.6 and 13.8 percent, respectively), automotive (40.7 and 32.0
percent), and lumber and building materials (17.2 and 3.6 percent).
In wholesale trade, employment decreased slightly over the month
(0.2 percent), but pay rolls increased (1.5 percent). Small employ­
ment decreases were reported by all of the important wholesale groups,
except farm products, which reported a marked percentage loss
(12.6). Sharp employment declines over the year were shown by
wholesale trade as a whole and by the various important wholesale
groups, but they were coupled for the most part with large pay-roll
gains. The automotive group reported the largest employment de­
cline over the year (19.8 percent) coupled with a pay-roll decrease
(10.4 percent).
Public Employment

Employment in the regular Federal services (executive, legislative,
and judicial) aggregated 2,780,000 in November, increasing 53,500 over
October and 1,204,000 over November 1941. From October to
November, employment in the War and Navy Departments and war
emergency establishments showed a rise of 67,300, which was partially
offset by a decline in nonwar establishments of 13,800.
Federally financed construction and shipbuilding showed declines of
26,500 for employment and $8,500,000 for pay rolls. Gains reported
for shipbuilding were offset by declines on building and water and
sewer construction because of the completion of certain projects, and
by seasonal declines on street and road projects. Of the 2,175,000
building-trades workers engaged on all Federally financed projects,
2,083,000, or 96 percent, were engaged on war projects. Oniy 14
percent were on the direct pay roll of the Federal Government,
however, the others being employed by contractors and subcontractors.
Data are not available for the student work program of the NYA,
but the war production training program showed a decrease of 450
trainees from October to November.
Reductions on the WPA and CCC programs of 18,300 and 400
persons, respectively, left personnel aggregating 363,000 and 1,650 in
November. Over the past year the WPA has dropped 693,400
workers and the CCC, 169,800.
For the regular Federal services, data for the legislative, judicial,
and force-account employees are reported to the Bureau of Labor
Statistics by the respective offices; for the executive-service employees,
data are reported through the Civil Service Commission. The Bureau
of Labor Statistics receives monthly reports on employment and pay
rolls for the various construction projects financed wholly or par­
tially by Federal funds directly from the contractors and subcon­
tractors, and for the NYA, WPA, and CCC programs from the respec­
tive agencies.
A summary of employment and pay-roll data for the regular
Federal services, for construction projects financed wholly or partially
from Federal funds, and for other Federal programs is given in table 2.

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183

Trend of Employment and Unemployment

T able 2.—Employment and P ay Rolls in Regular Federal Services and on Projects
Financed Wholly or Partially From Federal Funds
[Subject to revision]
Pay rolls

Employment
Service or program

Novem­
ber 1942

October
1942

Novem­
ber 1941

November
1942

October
1942

November
1941

Federal services:
Executive 1_______________ 2, 770,559 2,717,093 1, 567, 251 $456,920, 562 $449,392,252 $239,318, 111
654,806
2,582
677,693
2,664
2 ,6 6 6
675, 543
Judicial__________________
1,360, 645
1,379,162
6,320
6,319
6 ,2 0 2
1, 379, 556
Legislative. ______ ______
Construction projects:
Financed from regular Federal
956,329 399,366,164 405,197,271 158, 984,626
appropriations 2__________ 1,990, 511 2,019,003
815,820 383,057,185 389,006,437 139,963, 276
W ar__________________ 1,900,801 1,928,361
19,021, 350
16,190,834
Other_________________
89,710
90,642
140, 509 16,308,979
10,656,779
12,457,123
12,167,033
79,412
77,628
Public housing 3___________
77,826
13,308
1, 225,048
211
1,269,986
9,746
9,291
War public works_____ . . . .
3,590,705
19, 671,588
95,053
95,339
21, 528
17,248,235
Financed by RFC 4________
3, 313,032
19,308,117
93,222
16,936,106
W ar__________________
93,232
19, 732
277,673
312,129
363,471
Other_________________
1,821
2,117
1,796
Other programs:
National Youth Administra9,883,476
2,774, 345
132,033
tion 5_______________
651,616
(6)
(6)
2,375,632
376,923
342,641
Student work program__
46,308
(8)
(6)
War production training
7,507,844
2,397,422
2,6 6 8 ,947
program 7_____ _____
85, 274
85, 725
308,975
Work Projects Administra60, 525, 210
25,627,385
23,144,108
381,295 1,056,401
tion projects_____________ 363,005
18, 014,020
9, 250,000
W ar__________________
123, 812 324,107
(«)
(6)
42,511,190
16,377,385
732,294
Other___ ____ ______
257,483
(6)
(6)
8,242,555
431,870
1,650
2,051
171,493
296,680
Civilian Conservation Corps..
1 Includes force-account employees also included under construction projects, and supervisory and tech­
nical employees included under NYA, WPA, and CCC. Data for public employment offices which were
federalized in January 1942 are included for October and November 1942. Data for all months include for
first time certain employees of the Federal Security Agency.
2 Includes new Federal ship construction.
3 Includes all Federal housing projects, including those formerly under the USHA.
< Includes employees and pay roll of the RFC Mortgage Co.
5 Beginning July 1942 the National Youth Administration was considered a training program for war work,
rather than a work-relief program. Value of maintenance is included in the pay-roll data for November
1941 but excluded from October and November 1942.
6 Not available at this time.
7 Called the out-of-school work program prior to July-1942.

D ET A IL E D R EPO RTS FOR IN D U STR IA L AND
BUSINESS EM PLO Y M EN T, OCTOBER 1942
Estimates of Nonagricultural Employment

ESTIMATES of civil employees in nonagricultural establishments by
major groups are given in table 1. With the exception of the trade
and finance-service-miscellaneous groups, they are not comparable
with estimates published in the September 1942 or prior issues of the
Monthly Labor Review. Revisions for the years 1929 to 1939 are
contemplated, and comparable figures for the months from January
1939 to July 1942 were given in the October 1942 issue of the Monthly
Labor Review.
The estimates are based on reports of employers to the United
States Bureau of Labor Statistics; on data made available by the
Bureau of Employment Security of the Social Security Board and the
Bureau of Old-Age and Survivors Insurance, covering employment
figures reported under the State unemployment compensation
programs and the Federal old-age and survivors insurance system;
and on information supplied by other Government agencies, such as
the Interstate Commerce Commission, Civil Service Commission,

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Monthly Labor Review—January 1943

184

and the Bureau of the Census. They do not include military per­
sonnel, emergency employment (such as Y PA, NYA, and CCC),
proprietors, self-employed persons, unpaid family workers, and
domestics.
. Estimates of total nonagricultural employment have been discon­
tinued, as they have recently been made available through the Census
Bureau’s Monthly Report on the Labor Force. Estimates of em­
ployees in nonagricultural establishments, by States, are given each
month in the Bureau of Labor Statistics mimeographed release on
employment and pay rolls.
T able

1

.— Estimates of Employment in Nonagricultural Establishments, by Industry

Divisions 1
[In thousands]

Industry division

October
1942
Septem­
(prelimi­ ber 1942
nary)

Change,
Septem­
ber to
October
1942

October
1941

Change,
October
1941 to
October
1942

TotaM__________

38, 555

38, 348

+ 207

36, 053

+2, 502

M anufacturing... . .
Mining____
Contract construction and Federal force-account
construction____ .
Transportation and public utilities. .
Trade. _ . . . . . .
Finance, service, and miscellaneous
Federal, State, and local government (civil employees)____________________
_ .

15, 297
901

15, 233
910

+64
-9

13, 597
988

+1,700
-8 7

2,089
3,539
0, 679
4,325

2,185
3, 542
6,561
4,397

-96
-3
+118
-7 2

2, 204
3| 424
7, 070
4,256

—115
+115
-391
+69

5,725

5,520

+205

4, 514

+ 1 ,2 1 1

1 Comparable series January 1939 to July 1942 in October 1942 Monthly Labor Review.
Estimates exclude proprietors of unincorporated businesses, self-employed persons, domestics employed
in private homes, public emergency employees (WPA, NYA, and CCC), and personnel in the armed forces.

industrial and Business Employment
Monthly reports on employment and pay rolls are available for 152
manufacturing industries; 16 nonmanufacturing industries, including
private building construction; water transportation; and class I
steam railroads. The reports for the first 2 of these groups—manu­
facturing and nonmanufacturing—are based on sample surveys by
the Bureau of Labor Statistics. The figures on water transportation
are based on estimates prepared by the Maritime Commission, and
those on class I steam railroads are compiled by the Interstate Com­
merce Commission.
The employment, pay-roll, hours, and earnings figures for manufac­
turing, mining, laundries, and dyeing and cleaning cover wage earners
only, but the figures for public utilities^ brokerage, insurance, and
hotels relate to all employees except corporation officers and execu­
tives, while for trade they relate to all employees except corporation
officers, executives, and other employees whose duties are mainly
supervisory. For crude-petroleum production they cover wage
earners and clerical field force. The coverage of the reporting samples
for the various nonmanufacturing industries ranges from approxi­
mately 25 percent for wholesale and retail trade, dyeing and cleaning,
and insurance to approximately 80 percent for public utilities, and
90 percent for mining.
The general manufacturing indexes are computed from reports
supplied by representative establishments in 152 manufacturing in­
dustries surveyed. These reports cover more than 65 percent of the

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Trend of Employment and Unemployment

185

total wage earners in all manufacturing industries of the country and
about 80 percent of the wage earners in the 152 industries covered.
Data for both manufacturing and nonmanufacturing industries are
based on reports of the number of employees and the amount of pay
rolls for the pay period ending nearest the 15th of the month.
The average weekly earnings for individual industries shown in
table 3 are computed by dividing the weekly pay rolls in the reporting
establishments by the total number of full- and part-time employees
reported. As not all reporting establishments supply information on
man-hours, the average hours worked per week and average hourly
earnings shown in that table are necessarily based on data furnished
by a slightly smaller number of reporting firms. Because of variation
in the size and composition of the reporting sample, the average hours
per week, average hourly earnings, and average weekly earnings shown
may not be strictly comparable from month to month. The sample,
however, is believed to be sufficiently adequate in virtually all in­
stances to indicate the general movement of earnings and hours over
the period shown. The average weekly hours and hourly earnings
for the groups are weighted arithmetic means of the averages for the
individual industries, estimated employment being used as weights
for weekly hours and estimated aggregate hours as weights for hourly
earnings. The average weekly earnings for the groups are now com­
puted by multiplying the average weekly hours by the corresponding
average hourly earnings and are not comparable with previously
published figures, which were computed by dividing total weekly
pay roll by total employment without any formal weighting of figures
for the component industries.
EMPLOYMENT AND PAY-ROLL INDEXES, AVERAGE HOURS, AND EARNINGS

The revised manufacturing indexes in the accompanying tables are
presented for the first time with the corresponding employment
aggregates. The estimates are based upon the industry classification
of the 1939 Census of Manufactures and of the Standard Industrial
Classification Manual. As a result of the change of classification,
the present figures for the major manufacturing groups should not be
compared with previously published data. Revised estimates on
the current basis will be available in mimeographed form by months
from January 1939 forward.
To attain comparability, it has been necessary to shift certain in­
dustries from one group to another. For example, the gray-iron and
malleable-iron foundry industries, and the power-boilers industry are
now considered part of the “iron and steel and their products” group
rather than of the “machinery” group as heretofore. In addition to
changes of this type, subdivisions of certain groups have been intro­
duced. For instance, the “paper and allied products” group and the
“printing, publishing, and allied industries” group, now shown sepa­
rately, appeared as a single classification in previous publications.
The figures relating to all manufacturing industries combined, to the
durable- and nondurable-goods divisions, and to the major industry
groups, have been adjusted to conform to levels indicated by final
1940 and preliminary 1941 data released by the Bureau of Employment
Security of the Federal Security Agency. The Bureau of Employ­
ment Security data referred to are (a) employment totals reported
by employers under State unemployment-compensation programs,

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Monthly Labor Review—January 1943

186

and (b) estimates of the number of employees not reported under the
programs of some of these States, which do not cover small establish­
ments. The latter estimates were obtained from tabulations pre­
pared by the Bureau of Old Age and Survivors Insurance, which
obtains reports from all employers regardless of size of establishment
T able 2.—Employment and P a y Rolls in Manufacturing and Nonmanufacturing
Industries 1
MANUFACTURING
[Manufacturing indexes are based on 1939 average as 100. For the individual industries they have been
adjusted to the 1939 Census of Manufactures and for the groups to final 1940 and preliminary 1941 Bureau
of Employment Security figures. Comparable series for earlier months available on request]

Industry

Indexes 2 of—
Estimated
’ num­
Employment
Pay rolls
ber of
em­
ploy- Octo­ Sep­
Sep­
Au­ Octo­ tem­
Au­
tem­ gust
ees,
ber
ber
gust
October 1942
ber
ber
1942
1942
1942
1942
1942 2
1942

Thou­
sands
All manufacturing_______ ___________________ 12,721 155.3
Durable goods_____ ____________________
7,153 198.1
Nondurable goods_______________ ________ 5, 569 1 2 1 .6
Durable goods
Iron and steel and their products ______________ 1,636
165.0
Blast furnaces, steel works, and rolling mills A _ 525
135.2
Steel castings 3 _____ ______________ __ ___
79.6 264.7
Cast-iron pipe and fittings_________________
2 0 .1
121.5
Tins cans arid other tinware__ ______ ..
31.3
98.5
Wire drawn from purchased r o d s __________
33.8 154.0
Wirework.. ___ _______ _____ . _
31.5 103.5
Cutlery and edge tools______________
2 0 .2
131.2
Tools (except edge tools, machine tools, files
and saws)___________ ____ _____ _____ __
26.6 173.7
Hardware____________________________ _
42.2 118.5
Plumbers’ supplies___________________ . _
82.2
20.3
Stoves, oil burners, and heating equipment
49.3 106.9
Steam and hot-water heating apparatus and
steam fittings.._________________________
54.1 178.6
Stamped and enameled ware and galvanizing
75.0 134.9
Fabricated structural and ornamental metal­
work _______________________ _
187.5
6 6 .6
Metal doors, sash, frames, molding, and trim
10.7 138.2
Bolts, nuts, washers, and rivets_____ _____
25.9 181.4
Forgings, iron and steel____ _____ _____
37.4 243.6
Wrought pipes, welded and heavy riveted .
2 0 .0
239.5
Screw-machine products and wood screw s___
47.9 283.1
Steel barrels, kegs, and drums_____________
6.9 114.1
Electrical machinery_______________ _ .

154.5
194.1
123.2

152.1
191.1
121.3

260.9
350.2
173.6

252.5
337.2
169.6

245.8
327.3
166.1

163.6
137.0
260.2

163.7
138.9
256.6
126.6
112.7
147.4

255.5
199.7
417.8
190.2
149.0
212.7
165. 2
224.2

251.9
196.6
408.6
207.4
151.9

132.9

263.1
200.7
431.4
202.7
137.2
221.3
172.5
242.8

161.9
225.6

173.3
118.8
79.5
98.8

176.1
120.7
80.9
97.6

304.0
209.9
126.1
167.2

289.8
194.6
113.7
143.6

292.7
197.6
118.9
141.4

171.4
134.5

164.4
134.7

307.5
227.2

298.3
208.9

279.9
213.2

182.3
132.1
177.7
236.4
222.9
277.3
114.2

180.5
133.6
173.9
232.6

319.0
215.9
305.4
431.2
431.1
489.7
180.7

295.5
291.6
390.1
420.6
462.2
169.1

290.2
203.0
291.1
390.5
362.0
460.6
164.5

1 2 1 .6

110.7
150.4
101.7
130.6

1 0 2 .2

2 1 2 .6

274.1
113.6

2 1 2 .8

2 0 2 .6

229.1

220.3

2 1 2 .0

372.1

358.9

334.8

211.7
149.2
114.6
131.2
281.2
71.9
151.8

207.4
217.5
144.6
114.1
133.3
280.3
75.3
145.8

205.2
214.9
147.6
136.1
281.3
74.0
142.8

361.8
371.3
211.4
186.3

343.0
354.8
198.4
163.5
218.7
510.8
124.9
255.9

343.2
352.1
202.4
182.5
216.2
540.6
118.6
235.6

139.6
135. 5
116.7

128.2
132.0
107.3

120.9
127.8
99.6

190.7
236.4
157.7

188.8
230.0
149.7

Transportation equipment, except automobiles___ 1,768
1113.8 1062.9 1015. 0 2039.1 1976. 8
Motorcycles, bicycles, and parts..... .................
9.2 131.8 135.5 141.6 216.3 213.4

1849.2
232.7

594

Machinery except electrical________
1,119
Machinery and machine-shop products. . .
449
T ractors 4 ...................... ...... ...
46.7
Agricultural machinery, excluding tractors4..
31.9
Textile machinery___________ ..
28.7
Pumps and pumping equipment . . .
6 8 .1
Typewriters____________
11.7
Cash registers, adding and calculating machines
29.9
Washing machines, wringers, and driers, do­
mestic_____________________
10.4
Sewing machines, domestic and industrial___
1 0 .6
Refrigerators and refrigeration equipm ent.........
41.0

2 2 2 .0

1 2 0 .0

2 2 2 .6

531.3
129. 5
260.1
2 1 0 .6

259.8
180.7

Automobiles________

478

118.8

114.8

1 1 0 .1

192.4

183.3

176.5

Nonferrous metals and their products
Primary smelting and refining___
Clocks and watches .
Jewelry (precious metals) and jewelers’findings.
Silverware and plated ware...............
See fo o tn o tes a t end of tab le.

371
36.5
25.9
16.3
11.5

162.0
131.9
127.8
113.2
94.6

161.5
130.7
128.6
115.0
96.0

161.1
132.2
128.2
114.9
95.2

267.3
196.9
229.8
160.4
145.2

259. 2
189.8
224.6
155.2
138.5

256.1
189.7
221.3
147.5
143.2


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Trend of Employment and Unemployment

187

T able 2.—Employment and P a y Rolls in Manufacturing and Nonmanufacturing
I ndustries— Continued
M A N U F A C T U R IN G —C ontinued

Industry

Indexes of—
Estimated
num ­
Employment
Pay rolls
ber of
em­
ploy- Octo­ Sep­ Au­ Octo­ Sep­ Au­
tem­ gust
ees,
tem­ gust
ber
ber
ber
October 1942
ber
1942
1942
1942
1942
1942
1942

Thou­
Nonferrous metals and their products—Continued. sands
Lighting equipment-- - _ ___ ___ _
21.2
Sheet-metal work_________________________
28.0
Lumber and timber basic products__
________ 484
Sawmills..____ ________ _______ __________
295
Planing and plywood mills___ _ ____ . ..
88.2
Furniture and finished lumber products________
350
Mattresses and bedsprings.......................... __
15.7
Furniture_______________________ _______ 173
\\ ooden boxes, other than cigar . _________
32.1
Caskets and other morticians goods-.. ______
11.9
Wood preserving_____________ ___________
7.7
Wood, turned and shaped-.- - _ _ ______ ..
23.1
Stone, clay, and glass products . . . ......................... 354
Glass_______________________ ___________
81.6
Glass products made from purchased glass____
11.7
Cement ______
...
. . . _____ . . .
29.5
Brick, tile, and terra cotta____ _____ _
61.8
Pottery and related products__ ____ ______
45.5
Gypsum________________________________
4.6
Wallboard and plaster (except gypsum) and
mineral wool _______ . . . _
_____ . . . .
10.9
Lime_______ ______ _________ ________
10.1
Marble, granite, slate, and other products____
13.7
Abrasive w h eels.-._________ ____________
18.4
Asbestos products_____ ________ ________
21.6
Nondurable goods
Textiles and finished textile products____________ 2,097
Textile-mill products and other fiber manufactures. 1, 255
Cotton manufactures except smallwares.........
505
Cotton sm allwares_______________________
17.9
Silk and rayon goods___________
. ____ _
99.7
Woolen and worsted manufactures, except dye­
ing and finishing_______________ _______ 177
Hosiery_________________________________
124
Knitted cloth. ___ .
_ _____ __ ___
11.7
Knitted outwear and knitted gloves______ _ 30.2
Knitted underwear________________ ■_______
44.7
Dyeing and finishing textiles, including woolen
and worsted____________________________
70.0
Carpets and rugs, wool___ ____ ____________
23.1
Hats, fur-felt______ ________________ - __
8.9
Jute goods (except felts)___________________
3.9
Cordage and twine__________________ ____
15.9
Apparel and other finished textile products.._____
843
Men’s clothing______________ ____________ 242
Shirts, collars, and nightwear_________ ____
66.1
Underwear and neckwear___________ ____
13.9
Work shirts_____________ . . . . ________
18.8
Women’s clothing_________________ ______ 253
Corsets and allied garments________________
17.5
Millinery___ _______________ . _ _____
20.8
Handkerchiefs___________________________
4.2
Curtains, draperies, and bedspreads... . . . ..
16.8
Housefurnishings, other than curtains, etc____
16.1
Textile bags______ ________________
. ...
15.5
Leather and leather products_______ _________
350
Leather_____________ __________________
48.4
Boot and shoe cut stock and findings____ ..
18.0
Boots and shoes________ ______ ________
199
Leather gloves and m itte n s-----------------------14.6
Trunks and suitcases____ _______ ________
15.8
Food and kindred products__ _________ . _ __ 1,125
Slaughtering and meat packing________ ___ 174
Butter__________________________ _______
21.3

See footnotes at end of table.


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Federal Reserve Bank of St. Louis

103.4
149.5
115.1
102. 5
121.4
106.6
85.4
108.4
126.5
95.2
68.5
105.0
120.7
117.0
116.6
123.9
108.9
137.3
93.3

102.8
149.7
117.5
105.0
122.8
107.9
84.7
107.2
128.3
93.4
109.3
107.1
121.2
118.9
113.8
127.3
111.4
134.0
92.7

107.2
151.3
120.8
108.5
123.8
108.4
88.3
107.0
127.1
91.1
116.8
110.2
121.5
117.7
116.9
127.5
114.5
132.1
95.0

163.8
238.9
179.3
163.0
174.7
162.3
116.6
164.9
197.4
130.4
169. 4
157.1
172.4
163.8
157.3
167.3
155.2
183.8
144.8

158.5
217.2
173.9
158.4
168.1
152.7
104.6
154.5
190.4
113.8
178.0
150.4
162.3
147.1
141.7
168.7
152.0
172.5
131.5

170.9
228.0
180.1
164.1
174.1
154.1
115.5
154. 3
190.5
113.0
186.7
154.2
163.4
151.7
145.3
107.5
153.9
173.0
134.2

134.3
107.1
73.8
238.0
135.8

134.3
109.3
73.7
228.3
134.5

135.3
112.3
74.7
216.8
136.0

201.7
164.0
90.1
365.3
226.1

184.4
163.1
85.1
338.6
218.1

189.6
160.3
85.6
326.4
212.1

108.5
109.7
127.6
134.7
83.2

108.6
109.5
127.6
133.9
81.9

109.4
110.5
128.0
135.3
86.0

160.2
170.1
210.1
227.5
130.8

153.0
164.2
208.1
216.1
126.5

154.2
163.7
202.2
215.9
126.9

118.7
77.9
107.3
107. 5
116.1

120.3
77.6
107.8
105.9
115.4

121.3
78.5
107.6
107.8
116.7

198.2
103.2
152.9
158.6
177.0

196.3
93.2
145.7
139.1
158.8

198.1
98.6
148.4
143.3
167.4

104.7
90.2
61.3
109.2
131.7
106.7
110.8
93.8
85.8
139.6
93.0
93.2
85.5
87.0
99.5
151.3
129.1
100.9
102.4
95.7
91.3
146.0
190.2

102.8
89.8
61.3
104.2
132.3
107.2
112.5
94.4
84.5
140.0
92.6
91.9
91.6
89.6
97.4
146.6
126.6
100.9
102.2
94.9
91.7
144.4
184.3

100.5
88.2
65.9
109.8
134.8
107.9
113.1
96.1
85.6
140.9
93.2
93.8
88.8
91.2
99.1
143.0
128.2
104.0
101.8
95.9
95.6
147.5
186.9

153.1
138.0
83.0
181.6
202.2
146.3
148.2
141.9
125.4
222.2
127.7
128.6
103.3
131.2
149.5
229.0
181.0
146.6
145.8
131.7
134.5
202.2
260.5

142.6
130.7
70.2
166.9
194.6
137.5
142.5
130.4
115.2
214.2
116.3
116.5
120.7
121.9
135.4
214.1
164.0
143.2
137.7
125.4
134.9
177.2
229.7

138.1
125.7
88.4
164.7
196.0
141.0
146.4
137.3
120.9
218.5
120.1
115.4
115.2
124.3
138.7
199. 5
168.5
143.9
137.4
128.6
134.9
193.7
234.3

131.6
144.5
118.6

145.0
147.3
124.5

134.9
148.6
128.0

168.4
176.4
157.1

177.5
173.0
158.7

165.5
173.4
163.4

188

Monthly Labor Review—January 1943

T a b l e 2.—Employment and P ay Rolls in Manufacturing and Nonmanufacturing
I ndustries— Continued
Esti­
Indexes of—
mated
num­
ber of
Employment
Pay rolls
employSep­
Sep­
ees,
Octo­ tem­
Au­ Octo­ tem­
Au­
October ber
gust
ber
gust
ber
ber
1942
1942
1942
1942
1942
1942
1942

Industry

Thou­
sands
13.1
16.0
25.9
20.6
9.7
265
11.6
25. 2
64.4
24.7
43.3
197

134.7
102. 1
104. 5
133.6
130. 6
114. 7
81.9
242. 2
129.5
116.2
120.0
146.4

140.1
110. 2
103.7
127. 5
117.9
113.6
85.6
94.6
121. 5
121.2
123.2
239.7

145.2
119. 4
102. 8
122.9
123.5
111.8
85.4
72. 2
112. 1
125. 4
124.3
184.5

180.3
123. 6
149. 5
195.3
190.4
143. 5
95.9
295. 4
178.0
132.6
143. 6
228. 7

186. 3
131.6
137.8
182. 5
155. 2
140.7
119.8
118.9
155. 4
137.6
152.9
373. 4

194. 1
140. 2
134.4
166. 2
171.9
138. 5
106.7
92. 8
144.0
144. 2
157.9
266.2

99.4
34. 5
49.9
8.6

106. 5
126.0
98.1
93.5

105. 2
123.3
98. 5
87.4

103.5
120.8
97. 5
84.6

154. 0
171.8
146.0
129.8

144.2
167.3
132.0
120. 4

144.3
171.1
130.1
117.2

Paper and allied productsPaper and pulp____.
Paper goods_______ _____
Envelopes________ .
Paper bags......... .............
Paper boxes ...................

295
151
45.2
9.5
12. 1
74.3

111.3
109. 5
120.2
109.6
109.5
107.4

110.0
109.7
117.6
109.1
110. 7
103. 5

110.3
110.6
117.0
109.4
110.3
103.0

156.0
158.9
156. 2
138.2
151.4
146.9

144.3
148.5
142.8
131.9
144.8
131.8

144.4
149.7
141.8
129.3
145. 0
130.2

Printing, publishing, and allied industries .
Newspapers and periodicals
Book and job____.
Lithographing _- Bookbinding

324
116
129
23.9
26.6

98.9
98.1
101.8
92.0
103.2

96. 6
97.4
97.5
88.7
104.0

97.1
96.3
99.7
86.2
107.3

114.0
109.4
119.1
103.4
139.9

109.0
107.8
110.3
98.3
134.8

108.1
105. 5
110.8
94. 2
138.7

Chemicals and allied products
Paints, varnishes, and colors
Drugs, medicines, and insecticides
Perfumes and cosmetics._
Soaps______ _
Rayon and allied products.
Chemicals___________
Compressed and liquefied gases
Cottonseed oil__ „ _ .
Fertilizers__ _ . . .

655
28.9
38.8
10.5
14.0
51 6
in
6.4
23.1
19.3

227.1
102.7
141.6
101.0
103.1
106 9
158.9
160.7
152.0
102.6

220.3
102.5
139.1
101.7
102.5
106.6
159.2
161.9
126.5
103.0

213.8
102.6
137.1
104.2
98.7
106.1
158.9
162.8
69.2
91.8

342.1
131.2
183.2
125.6
134.3
144.7
230. 6
231. 2
239.5
164.1

331.7
128.8
172.9
120.7
133. 2
146. 2
222.1
229.3
179.3
164.6

322.5
128.5
165. 2
121.4
125.5
143.2
221.6
233.7
91.9
148.8

Products of petroleum and coal
Petroleum refining.
Coke and byproducts. . .
Paving materials___ . ..
Roofing materials_____

125
78.9
26.6
2.0
10.4

117.9
108.4
122.8
82.3
128.8

119.4
110.3
124.7
74.1
127.9

120.1
110.8
125.0
72.5
131.7

158.9
145.7
160.4
131.6
201.9

158.6
144.3
170.7
113.0
186.5

154.6
139. 9
165.8
112. 5
192.7

Rubber products . . . _
Rubber tires and inner tubes
Rubber boots and shoes . . .
Rubber goods, other..

162
72.6
20. 2
66.7

134.0
134.0
136.2
129.0

130.2
129.3
138.2
124.6

126.3
125. 5
129.1
122.3

193.8
187.6
209.8
191.3

182.9
177.3
207.3
177.1

178.2
172 9
191.9
175.4

Miscellaneous industries__
Photographic apparatus__
Pianos, organs, and parts
Games, toys, and dolls. .
Buttons_______ .

335
25.0
6.8
14.1
12.3

137.0
144.5
89.8
75.5
111.9

134.3
141.0
81.3
80.0
115.0

132.8
141.8
82.4
87.8
117.1

214.9
209.5
147.6
119.8
172.9

206.4
200.0
126. 2
113.8
175.4

197.8
195.0
123. 4
120.7
174.1

48.4
124.8

50.3
122.2

48.2
118.6

Food and kindred products—Continued.
Condensed and evaporated m ilk.
Ice cream _
_. _ _
Flour_______ Feeds, prepared__________
Cereal preparations_____
Baking___________
Sugar refining, cane. __ ____
Sugar, beet__ - Confectionery- - _
Beverages, nonalcoholic 5 __
Malt liquors 5________ . __ _
Canning and preserving____
Tobacco manufactures____ _ Cigarettes 6_______ . .
Cigars 6____ Chewing and smoking tobacco and snuff

N O N M A N U F A C T U R IN G

[Indexes are based on 12-month ave ag \ 1929= 100]
Coal mining:
Anthracite 78____ .
Bituminous 10__ _____
S ee fo o t n o t e s a t en d o f ta b le .


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

(«)
(»)

46.3
90.6

46.7
91.6

46.7
92.3

189

Trend of Employment and Unemployment
T

able

2.—Employment and P ay Rolls in Manufacturing and Nonmanufacturing
Industries—Continued
N O N M A N U F A C T U R IN G — C ontinued

Industry

Metalliferous mining 10._ ___________ ___ _____
Quarrying and nonmetallic mining _ _ _ _______
Crude-petroleum production 11______________ ..
Public utilities:
Telephone and telegraph i213__________ __ _
Electric light and power 1213 _ . . . .................
Street railways and busses 1213 “ ____ ____ _
Trade:
Wholesale 1215_.. ____ _ _____ ______ ._
Retail I2 43_______________________________
Food 13 _ . .............. __ _ _____ _____
General merchandising 7213__ . . . . . . . .
A pparel13.
_
_____
Furniture and housefurnishings 13. _.
Automotive >3_ _ _ _ _
Lumber and building materials 13
Hotels (year-round) 71218____ _____________ ..
Laundries 7______ _________________________
Dyeing and cleaning 7__ . ________________ . _
Brokerage121718-.. . _ __ _ _____ _________
Insurance1217 .. . . . ___ _______ . . . . . . .
Building construction17
.
.
....
Water transportation 19__________________ . . . _
Class I steam railroads 20____ . . . . _________

Indexes1of—
E sti­
mated
num­
Employment
Pay rolls
ber of
em­
ployees, Octo­ Sep­ Au­ Octo­ Sep­ Au­
tem­ gust
October ber
tem­ gust
ber
19422 1942
ber
ber
1942
1942
1942
1942
1942
(»)
(9)
(9)

77.7
50.0
55.4

78.6
50.7
55.8

80.3
51.5
56.7

104.5
68.9
63.7

103.0
67.5
64.5

106.5
67.4
62.4

(«)
(9)
(9)

93.3
82.6
75.9

93.6
84.2
75.7

93.8
85.9
75.0

128.4
111.1
95.3

130.5
112.5
93.6

127.4
112.8
93.8

(9)
(9)
(»)
(9)
(9)
(9)
(9)
(»)
(“)
(9)
(9)
(9)

90.0
94.6
114.5
121.1
96.5
58.9
51.3
69.3
95.6
115.9
124.8
-1 .3
-1 .2
-1 .4
74.6
129.5

89.4
91. 7
112.1
112.0
91.6
59.4
51.9
69.0
93.9
116.4
123.0
-3 .8
-1 .4
-3 .9
71.4
129.6

90.2
89.4
112.4
103.9
81.2
60.2
52.8
69.8
93.4
117.4
123.7
-2 .6
- .4
-3 .1
69.4
129.6

94.6
92.3
96.4
93.1
119.5 117.9
121.6 112.4
98.7
93.0
63.6
62.5
57.8
56.6
82. 2 80. 4
103.2
98.5
118.9 117.3
112.5 107.9
+2.4 -1 .1
+ .4 -1 .8
- .9
- .1
+7.3 +10.2
(9)
( 9)

91.7
91.4
118.0
104.9
84.0
62.4
58.4
80 9
96.6
116.8
106.4
- 3 .8
- .8
- 2 .2
+ .4

( 9)
( 9)

(9)
(9)

( 9)

1 Data for manufacturing, mining, laundries, and dyeing and cleaning, cover wage earners only; for crudepetroleum production they cover wage earners and clerical field force; for public utilities, brokerage, insurance,
and hotels they relate to all employees except corporation officers and executives; and for trade to all employ­
ees except corporation officers, executives and strictly supervisory personnel.
2 Information concerning the following war industries is not published but may be obtained by authorized
agencies upon request: Aircraft engines; aircraft and parts, excluding engines; alloying, aluminum manu­
factures; ammunition; ears, electric- and steam-railroad; communication equipment; electrical equip­
ment, other; radios; engines and turbines; explosives and safety fuses; fire extinguishers; firearms; fire­
works; locomotives; machine tool accessories; machine tools; optical instruments and ophthalmic goods;
professional and scientific instruments; and shipbuilding.
3 New subdivisions: “ Blast furnaces, steel works, and rolling mills” and “steel castings” were formerly
shown as one industry under the heading, “ Blast furnaces, steel works, and rolling mills.”
* New subdivisions: “Agricultural machinery” and “tractors” were formerly shown as one industry
under the heading, “Agricultural implements including tractors.”
5 New subdivisions: “ Beverages, nonalcoholic” and “malt liquors” were formerly shown as one industry
under the heading, “ Beverages.”
9
New subdivisions: “ Cigarettes” and “cigars” were formerly shown as one industry under the heading
“ cigars and cigarettes.”
7 indexes adjusted to 1935 Census. Comparable series back to January 1929 presented in January 1938
issue of “Employment and Pay Rolls” pamphlet.
8 See table 7 of October 1940 “Employment and Pay Rolls” for revised employment and pay-roll indexes,
average hours worked per week, average hourly earnings, and average weekly earnings in anthracite mining,
February 1940 to September 1940, inclusive.
9 Not available.
10 See table 7 of February 1941 pamphlet for revised figures for metalliferous and bituminous-coal mining
from January 1938 to January 1941, inclusive.
11 Does not include well-drilling or rig-building.
12 Average weekly earnings, hourly earnings, and hours are not comparable with figures published in pam­
phlets prior to January 1939 as they now exclude corporation officers, executives, and other employees whose
duties are mainly supervisory.
13Retail-trade indexes adjusted to 1935 Census and public-utility indexes to 1937 Census. Not comparable
to indexes published in pamphlets prior to January 1940 or in “Monthly Labor Review” prior to April 1940,
with but one exception, retail furniture, which has been revised since publication of July 1940 pamphlet,
back to January 1936. Comparable series for earlier months available upon request.
14 Covers street-railways and trolley and motorbus operations of subsidiary, affiliated, and successor com­
panies f ormerly “electric-railroad and motorbus operation and maintenance.”
13 Indexes adjusted to 1933 Census. Comparable series in November 1934 and subsequent issues of “Em ­
ployment and Pay Rolls.”
16 Cash payments only; additional value of board, room, and tips cannot be computed.
17 Indexes of employment and pay rolls are not available; percentage changes from preceding month
substituted.
18 See note 18 in table 9 in the July 1941 issue of “Employment and Pay Rolls” for revised average weekly
earnings in the brokerage industry from January 1939 to January 1941.
19 Based on estimates prepared by the United States Maritime Commission covering employment on
steam and more merchant vessels of 1,000 gross tons or over in deep-sea trades only. Pay-roll indexes not
available. Perentage changes from preceding month substituted.
29 P r e lim in a r y ; source— I n te r s ta te C o m m e r c e C o m m is sio n ,

50115 2 — 43-

13


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Federal Reserve Bank of St. Louis

Monthly Labor Review—January 1943

190

Data relating to individual manufacturing industries have been
adjusted from 1937 to date to conform to levels of the 1939 Census
of Manufactures. Not all industries in each census group are repre­
sented in the tables since minor industries are not canvassed by the
Bureau, and others cannot be shown because of their close relation­
ship to the war program. Furthermore, no attempt has been made
to allocate among the separate industries the adjustment to unem­
ployment-compensation data. Hence, the estimates for individual
industries within a group will not in general add to the total estimate
for that group.
T

able

3 . —Hours

and Earnings in Manufacturing and Nonmanufacturing Industries
M A N U F A C T U R IN G

Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry
Oct. Sept. Aug. Oct. Sept. Aug. Oct. Sept. Aug.
1942 1942 1942 1942 1942 1942 1942 1942 1942
All manufacturing. ___ . . . . .
Durable goods._ _____________ ...
Nondurable goods______________

$38.86 $37. 79 $37. 38 43.6 42.3 42.8
45. 26 44. 45 43 84 45.7 44 6 45.2
30.64 29.53 29. 36 40.6 39.5 ¿9.9

Cts. Cts. Cts.
86.6 88.5 86.4
98.8 99.5 96.6
75.7 74.9 73.8

Durable goods
Iron and steel and their products. _. __ ...
Blast furnaces, steel works, and rolling mills 2
Steel castings 2___ _______________ _ ...
Cast-iron pipe and fittings______________
Tin cans and other tinw are...
Wirework 2___ _____________ _____
Cutlery and edge tools.............. ...........
Tools (except edge tools, machine tools, files,
. . . . ...
and saws) U . ___
Hardware 45
................... .
_
Plum bers’ supplies_________________
Stoves, oil burners, and heating equipm ent..
Steam and hot-water heating apparatus and
steam fittings............ ...... _ ____ _
Stamped and enameled ware and galvanizing
Fabricated structural and ornamental metal
w ork... _ _ . . .
Bolts, nuts, washers, and rivets________ .
I orgings, iron and steel5_____________ .
Firearms U. ___________ . .

47.03
42. 97
53.09
55.81

44.81
41.96
49. 56
58.02

44. 37
42.94
50. 58
56.28

47.9
46.0
48.1
49.0

46.6
44.9
45.6
48.8

47.2 98.8 96.7 94.4
45.6 93.5 93.5 92.3
47.4 110.5 108.8 106.7
49.3 113.9 119.0 114.1

Electrical machinery___ ___________ ._ ..
Electrical equipm ent6..
__
...
Radios, and phonographs 5_______________
Communication equipm ent6________

43.64
45. 23
37.88
40. 29

43.77
45.30
37.28
41.25

42. 41
44.29
36.38
38.78

46.4
47.0
46.0
45.9

45.7
46.4
44.9
45.2

46.1
46.6
45.0
46.0

96.3
98.3
83.0
91.5

92.6
95.0
81.1
84.6

Machinery except electrical__________________
Machinery and machine-shop products 4 3
Engines and turbines excluding aircraft en­
gines 4_______________________________
Agricultural machinery, excluding tractors 73_
Tractors 5___
.........
Machine tools..................
Textile machinery_________ . . . . ______
Typewriters___________________________
Cash register, adding, and calculating ma­
chines. _ ._ ____ ________________ . ..

49. 27 47.68 48.24 48.6 47.2 48.6 101.8 101.3
48.10 46. 95 47.04 48.8 47.8 48.8 98.4 97.9

99.7
96.2

43. 20
43.87
45.38
36.24
32. 36
41.25
39. 46

42.31
43.21
44.54
33. 77
31.48
40.12
36. 69

41.69
41.99
44.07
35. 42
31.41
39.12
36.42

43.4
41.0
45.6
44.0
41.5
46.1
46.5

42.1
39.9
45.6
42.6
40.8
45.0
44.8

42.8 99.0 99.7 96.7
40.2 107.1 107.9 104.1
45.9 99.0 97.7 96.1
44.8 81.7 78.6 78.8
41.5 78.8
75.7
45. 4 89.6 89.2 86.2
45.0 85.7 82.5 81.6

42.36
38.40
39. 57
38.88

40. 47
35.43
36.73
36. 35

40.22
35. 35
37.74
36.24

48.0
46.5
45.2
44.7

46.5
43.6
42.5
42.5

47.3
44.9
43.8
43.2

88.0
82.6
87.5
87. 1

87.0
81.0
86.4
85.6

85.0
78.8
86.2
83.9

44.70 45. It 44.15 47.6 46.3 46.8
40.04 36.95 37. 65 45.1 42.3 44.3

94.0
88.8

97.5
87.4

94.0
84.8

55.64
43.66
47.28
52. 32
43.90
43.25

53.33
38.48
45.80
50.72
42.41
39.87

54.33
40.70
45.78
52. 12
40.98
38.51

49.7
43.7
44.6
52. 5
50.3
49.4

47.7
39.0
42.9
51.2
49.4
45.1

94.6
97.0
82.2
87.9

49.6 112.1 112.3 110.3
42.0 99.2 98.2 96.8
44.0 106. 6 107.4 104.2
52.8 99.8 99.0 98.7
49.0 87.4 85.9 83.6
46.2 87.5 88.5 83.4

51.96 53. 21 49.98 47.7 47.0 47.0 109.8 114.3 107.3

Automobiles.. . ______ _ _________

52. 72 51.85 51.85 44.9 43.7 44.5 117.2 118.8 116.8

Transportation equipment, except automobiles..
Locomotives. _ _ ___
.
Cars, electric-and-steam railroad__________
Aircraft and parts (excluding aircraft engines).
Aircraft engines 4____ _ ...................
Shipbuilding and boat building___________
See fo o tn o tes a t end of table.

53. ¿0
56.00
48. 58
45.77
59. 24
57.57


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

54.18
53.11
44.54
46.55
60.36
58.60

53. 09
52.90
45.30
46.24
59.43
56.82

47.1
48.4
44.4
46.3
48.0
47.6

46.6
47.7
41.9
46.3
48.0
47.0

47.1
47.4
43.6
46.7
48.6
47.6

111.0

116.0
109.1
99.1
123.5
120.9

il4 .2
111.7
106.3
101.1
124.8
124.7

110.5
110.7
103.8
99.3
122.3
119.3

191

Trend of Employment and Unemployment
T

able

3 . —Hours

and Earnings in Manufacturing and Nonmanufacturing IndustriesContinued
M A N U F A C T U R IN G —C on tin u ed

Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry
Oct. Sept. Aug. Oct. Sept. Aug. Oct. Sept. Aug.
1942

1942

1942

1942 1942 1942

Durable goods— C o n tin u e d
N on ferrou s m e ta ls a n d th e ir p r o d u c ts ____________ $43.54 $42.18 $41.78 45.3 44.3
P r im a r y s m e ltin g an d re fin in g 86______ ______ 38.92 38.09 37.62 42.0 41.5
A llo y in g ; a n d r o llin g a n d d r a w in g (of n o n ferrous m e ta ls e x c e p t a lu m in u m ) >___......... 48.61 49.03 48.68 46.5 45.7
37.11 35.96 35. 57 45.9 45.0
C lo c k s a n d w a tc h e s 8 5__________ _____ - - - - —
J e w e lr y (p r e c io u s m e ta ls a n d je w e le r s’ fin d ­
in g s ) 6_________________ ________ _____ ______ 36.69 34.95 33.31 45.3 44.4
S ilv e r w a r e a n d p la te d w a r e 3____________ _____ 40. 25 37.83 39.45 46.4 43.7
L ig h tin g e q u ip m e n t 3_________________________ 40.34 39.51 41.00 44.2 42.9
46. 39 44.83 43.18 45.7 44.8
A lu m in u m m a n u fa c tu r e s 3___ _______________

4

4

45.0
41.2

1942

1942

1942

Cls.

Cts.

Cts.

97.9
92.7

97.9
91.7

95.4
91.0

46.2 105.3 107.7 105.9
45.0 80.9 80.1 79.1
78.6
44.0
86.6
46.3
44.3 92.2 92.1
45.2 101.3 100.0

75.0
85.3
92.6
95.5

Lumber and timber basic products_____
Sawmills________________________
Planing and plywood mills 8________

29.53 28.01 28. 25 42.5 41.0 41.7
28.69 27.22 27.33 42.0 40.6 41.2
32.10 30.68 31.60 44.3 42.6 43.6

69.5
68.4
72.9

68.2

67.1
72.0

67.6
66.3
72.0

Furniture and finished lumber products- _
Furniture 5______________________

29.47 27.70 27.34 43.1 41.0 41.4
30.76 28.97 28.95 43.6 41.6 41.6

70.4
70.6

69.5
70.0

68.1
68.2

Stone, clay, and glass products______________
Glass------------- ------- --------------------------Cement--------------------------------------------Brick, tile, and terra cotta 8-------------------Pottery and related products___________
Marble, granite, slate, and other products.Asbestos p ro d u cts-..----- ---------------------

33.54
35.61
35.91
28.91
30. 29
32. 74
39.33

82.3

81.0
85.4
87.0
71.2
76.4
79.8
88.4

79.8
84.2
85.3
69.7
78.0
79.4
82.6

31.44
31.28
35.29
27.72
29.11
30.98
39.08

31.57
32.55
34.98
27.32
29.64
30.65
37. 53

39.8
40.0
41.7
40.0
39.4
39.6
46.0

37.9
36.7
40.6
38.7
38.3
38.7
44.2

38.7
38.7
41.0
39.0
38.3
38.3
45.4

88.8

86.1
72.5
77.4
80.3
87.2

Nondurable goods
39.3 37.8 38.8

Textiles and apparel and other finished products. 25.14
Textile-mill products and other fiber manufac­
tures___________________________________ 25.83 24.95 24.83
Cotton manufactures except small wares----- 23. 35 23.10 22.37
Cotton, small wares___________ _____ — 31.46 29.97 29. 55
Silk and rayon goods_________ __________ 25.31 24.69 23.62
Woolen and worsted manufactures except
dyeing and finishing--------------------------- 31.13 30.40 31.43
Hosiery________ ________ ________ ____ 24.15 22.05 23.20
Knitted cloth__________________________ 27.01 25.63 26.13
Knitted outerwear and knitted gloves-------- 24.16 21.60 21.85
Knitted underwear_____________________ 22.7 20. 57 21.48
Dyeing and finishing textiles, including
woolen and worsted----------------------------- 30.32 28.91 28.61
35.01 33.30 32.60
Carpets and rugs, wool----------------- -----Hats, fur-felt__________________ ____ ___ 31.10 26.19 30.64

62.7

40.4
40.5
44.4
40.9

39.4
40.3
42.7
40.4

40.3
40.8
43.7
40.0

64.2
57.7
71.1
61.5

63.6
57.5
70.4
61.1

61.9
54.9
68.0
59.0

39.7
38.2
41.6
39.3
40.0

39
35.2
39.6
36.4
37.8

40.6
37.3
41.4
37.9
39.7

78
64.3
64.5
61.0
56.0

77.9
62.8
64.5
58.8
54.5

77.4
62.6
62.9
57.1
53.7

43.1 41.6 41.8
42.7 40.7 40.6
36.2 30.0 35.5

70.
82.5
86.3

69.4
82.0
87.9

68.3
80.6
87.6

34.6
34.6
35.2
34.1
34.3
36.
33.

Apparel and other finished textile products---Men’s clothing_______________________
Shirts, collars, and nightwear 4_.------------Underwear and neckwear 4-------------------Women’s clothing, not elsewhere classified.
Corsets, and allied garments____________
Millinery____________________________

24.13
25. 53
20. 65
19.93
26.86
23.99
29.38

35.
35.4
36.8
35.0
36.2
36.6
34.4

65.8
70.2
54.9
55
66.3
60.0
76.4

65.2
70.1
53.8
53.4
64.7
59.5
80.3

64.2
69.7
53.1
53.6
63.1
58.1
77.9

Leather and leather products
L eath er______________
Boots and shoes________

36.6 38.2
27. 62 25.82 26.21 38
34.89 33.09 33.17 41.5 39.6 40.4
26.03 25.93 24.89 38.1 35.9 37.7

71.1
84.2

70.5
83.7
67.7

82.3
65.7

Food and kindred products___________
Slaughtering and meat packing., j . . .
Butter------------- ------ ------------------Ice cream_______________________
Flour 5------ ------------------------------Baking________________________
Sugar refining, cane---------------------Sugar, beet_____________________
Confectionery___________________
See fo o tn o tes a t end of table.

30.95
33.92
29.11
33.34
■36.27
31.90
28.07
30.80
25. 30

41.5
40.1
47.7
47.1
44.9
43.3
38.3
37.0
39.7

75.7
82.2
61.7
70.9
77.1
74.
78.0
72.9
61.4

72.8
81.3
59.9
69.6
75.5
73.3
80.5
85.7
60.3

73.2
80.7
58.6
67.3
74.5
73.2
78.2
87.6
59.8


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Federal Reserve Bank of St. Louis

22. 53
24. 18
18.88
18.58
24. 57
21.97
32.02

29.93
32. 62
28.01
32.91
33.79
31.72
33.55
31.61
23. 59

22.95
24.70
19.51
i 9. 20
25.20
21.31
31.56

29. 67
32.40
28.09
32.40
33.33
31.69
29.95
32.35
23.63

36.8
36.3
37.6
35.8
37.1
39.7
32.3

41.9
41.2
47.3
46.0
47.5
43.1
36.5
41.8
41. 4

42.0
40.1
46.7
46.2
44.9
43.4
37.4
36.9
39.2

192

Monthly Labor Review—January 1943

T able 3.

Hours and Earnings in Manufacturing and Nonmanufacturing Industries—

Continued
M A N U F A C T U R IN G — C ontinued

Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry
Oct. Sept. Aug. Oct. Sept. Aug. Oct. Sept. Aug.
1942 1942 1942 1942 1942 1942 1942 1942 1942
Nondurable goods—Continued
Food and kindred products—Continued.
Beverages, nonalcoholic 8
$29. 03 $28. 87 $29. 24 42.8 43.2 43.9
M alt liquors 85________
41.72 43.41 44. 42 40. 7 41.9 43.1
Canning and preserving_________________ 24. 93 24.88 23.14 37.6 41.1 38.2
Tobacco manufactures___
24. 38 23.03 23. 46 40.4 38.6 39.4
Cigarettes 10_____ _
28. 46 28.31 29.56 41.3 40.7 42.1
Cigars 10_______
21. 34 19.31 19. 22 40.1 37. 2 38.0
Chewing and smoking tobacco and snuff
24. 38 24. 02 24.21 38.9 38.3 38.3
Paper and allied products .
33. 42 31.24 31.20 43.3 40.8 41.2
Paper and pulp_____
36. 59 34.10 34.18 44.2 41.4 41.9
Paper boxes. ___ _
29.89 27. 80 27.54 42.8 40.3 40.3
Printing, publishing, and allied industries...
37. 45 36. 64 36.18 38. 5 38. 2 38.0
Newspapers and periodicals . _
42.29 41.86 41.34 36.1 35.7 35.9
Book and job 3__
35. 21 34. 07 33. 43 40.0 40.1 39.2
Chemicals and allied products...
37.76 37. 67 37. 73 42. 5 41. 7 41. 9
Paints, varnishes, and colors
36. 83 36.11 35. 92 41. 7 41. 2 41. 4
Drugs, medicines, and insecticides 4________ 30. 98 29. 50 28. 51 41.8 40.0 39.7
Soaps_______
37. 14 37.03 36. 28 41.1 41. 2 40.8
Rayon and allied products .
32. 96 33. 38 32. 85 39. 5 39. 5 39. 7
Chemicals, not elsewhere classified 5
43. 38 41.70 41.73 42.6 41.1 41.6
Explosives and safety fuses 4. . .
45. 22 46.31 44. 82 46.0 45.7 46.2
Ammunition. __
39. 21 40.11 40. 54 45.0 45.4 46.4
Fireworks. . .
31.87 33. 30 33.98 41.7 42.6 43.3
Cottonseed oil______________________
21.39 19. 23 18.03 57.2 48.7 43.3
Fertilizers.. .
23.10 23. 23 23.31 39.2 39.1 38.8
Products of petroleum and coal
43. 80 42.95 41.66 40.5 39. 5 39. 5
Petroleum refining. ___
46. 56 45.19 43. 58 40.1 38.8 38.7
Rubber products___
40. 49 39.28 39.43 42.7 41. 5 42.2
Rubber tires and inner tubes___
46.86 45. 88 46.10 41.9 41.2 41.7
Rubber boots and shoes ..
34. 76 33.87 33. 57 43.8 42. 7 42. 9
Rubber goods, other. .
35. 07 33.64 33.98 43.3 41.5 42.7
Miscellaneous industries
Professional and scientific instruments and
fire control equipment

Cts
Cts. Cts
70.5 69. 7 69. 5
102.7 103. 7 103.1
67.7 62.2 61.1
59.6
68.9
53. 7
62.7

59. 1 58. 7
69.6 70.3
52 0 50 ft
62.8 63.3

77.1
82.8
70.2

76. 6
82. 5
69.3

75 7
81. 4
68.6

97 2 90 0 95 2
114.6 114.9 113. 5
88.4 85.4 85.5
88 0
88 6
73.7
90. 3
83 4
101. 9
98.2
87.0
76.4
37.2
58.9

89 7
87 Q
73. 2
89 8
84 5
101 4
101.3
88.4
78.1
39.4
59.3

89 2
87 0
72 ! 2
88 8
82 7
100 1
9 7 .1

87. 2
78. 6
41. 5
60.1

108.1 108. 8 105.4
116.0 116.5 113.0
94. 8 94 8 93. 6
112 0 111 6 110 5
79. 4 79 1 78 2
81.4 81.2 7 9 .9

3fi 23 35.39 34.18 44.9 43.4

7 9 .9

48.17 50. 24 47.65 52.2 51.0 49.5

92.4

98.5

96.0

N O N M A N U F A C T U R IN G

Coal mining:
Anthracite___________ ___________
Bituminous______________________
Metalliferous mining_________________
Quarrying and nonmetallic mining____’’
Crude petroleum production___________
Public utilities:
Telephone and telegraph___________
Electric light and power___________
Street railways and busses_________
Trade:
Wholesale_______________________
Retail_________________________
Food________________________
General merchandising_________
Appajel______________________
Furniture and house furnishings. _
Automotive_____ _______
Lumber and building materials..
See fo o tn o tes a t end of table.


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Federal Reserve Bank of St. Louis

34. 36
36. 56
41.93
34. 01
42.26

35. 52
35. 64
40.69
32. 85
42. 77

34. 00
34.13
41.4?
32. 47
40.14

35. 1
34. r
46.3
45. 7
39.8

35.8
33.5
45.4
44. 7
39.9

34.0 98.4 98.9 99.2
32. 1 107. 5 106.5 106.1
45.8 90.6 89.7 90.6
44.7 74.4 73.8 72.8
38.8 103.9 103.7 102.0

33.67 34.10 33.19 40.6 41.4 40.7
40. 71 40.59 39.82 40.5 40.1 40.0
40. 98 40. 39 40. 46 47.9 47.4 48.5
36. 52
23.36
26. 75
19. 75
23. 74
33.06
33. 46
33. 09

36.08
23.41
27. 07
19.76
23. 93
32.16
3?. 65
32. 01

35. 97
23.66
26.91
19. 82
24. 27
31.71
32. 95
31.90

41.7
40.9
40.9
37.3
36.7
44. 2
47.8
43.4

41.2
41. 1
41.2
37.5
36.8
44.0
47.5
42.2

40.9
42.1
42.4
38.3
38.1
43.9
48.6
43.2

83.3
84.0

82.9
100.5
83.6

81.9
99.3
82.9

87.9
62.3
63.0
52.0
64.8
77.6
70.5
78.5

87.8
62.1
62.9
51.9
64.7
75.5
69.3
78.8

87.0
61.4
61.8
51.6
63.8
75.2
69.0
76.8

100.0

Trend of Employment and Unemployment

193

T able 3.—Hours and Earnings in Manufacturing and Nonmanufacturing Industries—

Continued
NONMANUFACTURING— Continued

Average weekly
earnings 1

Average weekly
hours 1

Average hourly
earnings 1

Industry
Oct. Sept. Aug. Oct. Sept. Aug. Oct. Sept. Aug.
1942 1942 1942 1942 1942 1942 1942 1942 1942

Hotels (year-round)________________ . . . . . .
Laundries._____ __________________ ______
Dyeing and cleaning________________________
Brokerage____ . . . ............
.........................
Insurance _ . . . _ _______ _________________
Building construction_____ _________________

$18. 60 $17. 95 $17. 75
21. 57 21.15 20. 85
25. 23 24.49 23.95
43.24 41.86 40.49
38. 26 37. 67 37. 77
45. 36 45.40 43. 79

45.0
43.3
43. 5
(»)
(••)
37.9

45.3
43.1
43. 1
(»)
(n>
37.8

Cts.
45.6 40.6
43.2 50.2
42.8 60.1
(») (»)
(")
(“ )
37.3 119.8

Cts.
39.2
49.6
58.8
<“ >
(»)
120.1

Cts.
38.9
48.7
58.0
(>')
(“)
117.4

1 These average weekly hours, weekly earnings and hourly earnings are based on reports from cooperating
establishments covering both full- and part-time employees who worked during any part of one pay period
ending nearest the 15th of the month. Since not all reporting firms furnish man-hour data, average hours and
average hourly earnings are based upon a slightly different sample than are weekly earnings. Except for
the group averages the data have not been adjusted to remove the small inconsistencies due to this procedure.
Weekly earnings for manufacturing groups are now weigh ted, and are therefore not comparable to previous
published series.
2 New subdivisions: Blast furnaces, steel works, and rolling mills and Steel castings were combined in
previous releases.
3 Because of changes in the composition of the reporting sample, average weekly earnings, average hours,
and average hourly earnings are not comparable with those previously published as indicated:
Wirework—Average weekly and hourly earnings (comparable July $38.38 and 85.1 cents).
Tools—Not Edge—Average hourly earnings (comparable July 83.5 cents).
Silverware and Plated Ware—Average hours and hourly earnings (comparable July 44.8 hours and 82.9
cents).
Lighting Equipment—Average hours (comparable June 43.6 July, 45.1); average weekly earnings (com­
parable July $40.37); and average hourly earnings (comparable June and July 89.4 and 89.6 cents).
Aluminum Products—Average weekly earnings, average hours, and average hourly earnings (comparable
July $42.39, 45.1 hours and 94.0 cents).
Pottery—Average hours and average hourly earnings (comparable July 37.1 hours and 75.5 cents).
Printing—Book and Job—Average hourly earnings (comparable July 86.1 cents).
4 New series, comparable to Standard Industrial Classification definition.
8 Revisions in the following industries have been made as indicated:
Hardware—July average weekly earnings to $34.99, average hours to 44.0.
Forgings—July average weekly earnings, average hours, and average hourly earnings to $48.98,47.2,and
103.8 cents.
Firearms—July average weekly earnings, average hours and average hourly earnings to $55.19, 49.1 and
112.5 cents.
Radios—June and July average weekly earnings and average hours to $36.32 and $36.59, and 45.4 and
45.1, also July average hourly earnings to 81.0 cents.
Machine Shop Products—July average hours and average hourly earnings to 48.2 and 94.7 cents.
Agricultural Implements—July average weekly earnings, average hours, and average hourly earnings to
$38.32, 40.3, and 95.4 cents.
Smelting and Refining—July average weekly earnings to $37.59.
Alloying—July average weekly earnings, and average hourly earnings to $48.24 and 105.5 cents.
Clocks and Watches—July average weekly earnings, average hours, and average hourly earnings to
$36.07, 44.9 and 77.6 cents.
Jewelry—July average weekly earnings, average hours, and average hourly earnings to $32.08,42.9, and
74.6 cents.
Furniture—July average hourly earnings to 67.3 cents.
Flour—June average hourly earnings to 70.2 cents and July average hours and average hourly earnings to
45.4 and 71.8 cents.
Malt liquors—July average weekly earnings, average hours, and average hourly earnings to $44.14, 42.4
and 103.7 cents.
Chemicals—July average weekly earnings, average hours, and average hourly earnings to $42.01, 41.7 and
103.7 cents.
Chemicals—July average weekly earnings, average hours, and average hourly earnings to $42.01,41.7 and
100.4 cents.
• New subdivisions Electrical equipment and Communication equipment were combined in previous
eleases.
I New subdivisions: Agricultural implements and Tractors were combined in previous releases.
8 Industry definitions changed slightly to conform to Standard Industrial Classification, not strictly com­
parable with previously published series.
II New subdivisions: Nonalcoholic beverages and M alt liquors were combined in previous releases.
10 New subdivisions: Cigarettes and Cigars were combined in previous releases.
11 Not available.


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Federal Reserve Bank of St. Louis

T able 4.— Indexes of Employment and P ay Rolls in Selected Manufacturing 1 and Nonmanufacturing 1 Industries, October 1941 to October 1942

\o

EM PLOYM ENT

1942

1941
Industry
Aver­
age

Octo­ Novem­ Decem­ Janu­
ary
ber
ber
ber

Febru­ March
ary

April

May

June

July

Octo­
August Septem­
ber
ber

130.3
151.3
113.7

139.0
163.3
119.8

138.4
164.2
118. 1

138.3
164. 5
117.6

136. 5
164.2
114.8

138.7
167. 1
116.3

140. 6
170.6
117.0

142.2
173.9
117. 2

143.5
177.3
116.9

145.1
181.4
116.5

148.5
186. 1
118.8

152. 1
191. 1
121.3

154.4
194. 1
123.2

155.3
198.1
121. 6

Nonmanufacturing
Anthracite m ining3 __
__
-----Bituminous-coal mining 3____________________________
Metalliferous mining «_______________________________
Quarrying and nonmetallic mining- ..
_
-----_
Crude-petroleum production___
_ _____ _
_
Telephone and telegraph L . . . ___ _
______
_
Electric light and power 7
- - - - Street railways and busses 78
. . ------------- ---------- - Wholesale trad e-_ . . . ___
___ _ _______ - . . _
Retail trade 7_- ____
------------- ---- -----------Year-round hotels s__ ___ _ ____ ______________ -Laundries5- _________ ______
________ __ ---___ ________ --------Dyeing and cleaning 5__

49.7
86.2
77.6
49.8
61.0
86.3
92.7
69.3
94.0
98.0
95.0
108. 5
115.1

50. 3
95.3
79. 7
54. 1
61.6
90.6
94. 1
70.3
96.3
101.0
96.2
111.2
121.2

50.2
95. 1
79. 5
52.6
60.9
90.1
93.4
70.2
96.3
103.0
96.1
108.9
117.2

49. 1
95.5
80.2
50.9
61. 1
90.0
93. 1
70.6
96.3
113.0
95.3
108.4
113.3

49.0
95. 1
80.7
46. 8
61.3
90.4
92.0
70.4
94.9
95.4
94.2
108.8
109.8

48.8
94.5
81.0
46. 7
60.6
90.3
90.5
70.7
94.3
94.0
94. 1
107.6
109.5

48.4
93.7
81.9
47.7
59.7
90.5
89.6
71.2
93.9
94.4
93.5
107.9
113.8

47.8
93.5
81.9
50.3
58.8
91. 2
88.9
72. 1
92.7
94.3
95.2
110. 3
121.3

48.2
92.9
82. 2
51.7
58. 1
91.7
88.0
72.9
91. 2
94.0
96.1
113. 7
127. 6

45.5
92.7
81.8
51.9
57.5
92.5
87.7
74.0
90.4
92.8
95.5
114.8
130.1

46.8
93.0
81.5
51.6
57.1
93.5
86.9
74.8
89.7
90.3
94.4
119.1
126.9

46.7
92.3
80.3
51.5
56.7
93.8
85.9
75.0
90.2
89.4
93.4
117.4
123.7

46.7
91.6
78.6
50. 7
55.8
93.6
84.2
75.7
89. 4
91.7
93.9
116.4
123.0

46.3
90.6
77.7
50. 0
53.4
93.3
82.6
75.9
90.0
94.6
95.6
115. 9
124.8

P A Y R O LLS

Manufacturing
All industries
__ _ _ _ _
Durable goods 3
_ _________ - ______________
Nondurable goods4
_ ______ ___
___

165.3
199.3
132.0

186.8
228.9
145.6

185.0
228.0
143.0

191.0
236.0
147. 1

195.9
248.6
144.4

202.9
257.9
149. 1

209.2
267.3
152.3

214.8
277.2
153.7

221.2
288.2
155. 7

226.5
299. 1
155.4

234.3
310.3
160. 0

245.8
327.3
166. 1

252.5
337.2
169.6

260.9
350.2
173.6

41.4
99.6
81.9
51.8
60.5
112.7
111. 2

49.2
122. 6
88.3
61.5
64.4
117.0
115.7

41.8
116.4
89.8
57.5
64.2
118.3
115.2

35.9
119.9
93.7
55.8
64.6
122.9
115.2

39.4
117.1
94.3
48.9
64.8
120.9
114.6

49.6
118.2
98.4
52.0
64.8
120.9
113.7

50.9
116.7
99.1
54.4
62.6
121.8
113.5

44.7
118.3
99.1
58. 1
63.2
122.2
113.5

51.5
122. 1
ICO. 8
63.0
62.0
125.0
113.6

56.0
140.3
102.0
65. 1
62.9
125.3
113.6

45.9
112.7
101.6
65.9
62.4
126.0
113.4

48.2
118.6
106.5
67.4
62.4
127.4
112.8

50.3
122.2
103.0
67.5
64.5
130.5
112.5

48.4
124.8
104.5
68.9
63.7
128.4
111. 1

Nonmanufacturing
Anthracite m ining5
Bituminous-coal mining 5
.......
Metalliferous mining 6
Quarrying and nonmetallic mining
Crude-petroleum production
Telephone and telegraph 7 _

Electric light and power 7--- ______

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Federal Reserve Bank of St. Louis

-

_

__ ___ .
________ ______

Monthly Labor Review—January 1943

Manufactur ing
All industries
- - - ....... .......
Durable goods 3____________________ --- ----------Nondurable goods4 - . ________
- - - -

Street railways and busses 78— ---------------------------------Wholesale trade
__
__ -__
___ _ __ _ ______ _
Rpta.il trad p 7
Year-round hotels 5
______ __ __
T.antidries
_
Dyeing and cleaning 8-----------------------------------------------

75.4
87.1
93.4
88.5
99.3
90.4

78.4
92.0
97.3
91.9
103.4
98.5

78.5
91.6
98.5
93.2
101.9
93.0


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80.5
91.8
94.6
91. 5
103.8
86.5

83.7
93.7
93.9
92.6
102. 5
85.6

84. 7
93.9
93.7
91.6
104. 3
92.7

84.4
92. 2
93.6
93.5
108.6
105.7

86.8
91.7
94.0
95.4
113.8
113. 1

89.4
91.0
93.4
96.6
115.2
117.7

91.0
91.3
91. 8
96.5
117. 8
109.2

93.8
91.7
91.4
96.6
116.8
106.4

93.6
92.3
93.1
98. 5
117.3
107.9

95.3
94.6
91). 4
103. 2
118. 9
112. 5

products; printing, publishing, and allied industries; and a number of miscellaneous
industries not included in other groups.
3 Indexes have been adjusted to the 1935 census. Comparable series from January 1929
forward are presented in January 1938 and subsequent issues of “ Employment and Pay
Rolls.” See also table 7 of October 1940 “ Employment and Pay Rolls” for revised figures
for anthracite mining, February to September 1940.
« See table 7 of February 1941 “ Employment and Pay Rolls” for revised indexes January
1938 to January 1941.
7 Reiail-trade indexes adjusted to 1935 census and public-utility indexes to 1937 census.
Not comparable with indexes published in “ Employment and Pay Rolls” prior to
January 1940 or in Monthly Labor Review prior to April 1940. Comparable series, Janu­
ary 1929 to April 1942, available in mimeographed form.
8 Covers street railways and trolley and motorbus operations of subsidiary, affiliated,
and successor companies.

Trend of Employment and Unemployment

1 1939 average=100—adjusted to 1940 and preliminary 1941 data supplied by Bureau of
Employment Security. Not comparable with previously published indexes.
2 1929 average=100. Comparable indexes for wholesale trade, quarrying, metal m ining,
and crude petroleum production are in November 1934 and subsequent issues of “ E m ­
ployment and Pay Bolls” or in February 1935 and subsequent issues of Monthly Labor
Review. For other nonmanufacturing indexes see notes 5, 6, and 7.
3 Includes the following groups: Iron and steel and their products; machinery except
electrical; transportation equipment except automobiles; nonferrous metals and their
products; lumber and timber basic products; stone, clay, and glass products; electrical
machinery; automobiles; and furniture and finished lumber products.
i Includes the following groups: Textiles and finished textile products, leather and
leather products; food and kindred products; tobacco manufactures; paper and allied
products; chemicals and allied products; products of petroleum and coal; rubber products;
textile-mill products and other fiber manufactures; apparel and other finished textile

80.0
92.8
107.8
93.3
102.6
88.6

O
Cn

196

Monthly Labor Review—January 1943

EM PLO Y M EN T AND U N EM PLO Y M EN T IN
NOVEM BER 1942
EMPLOYMENT in the United States increased by 400,000 between
October and November 1942, according to returns from the Bureau
of the Census sample Monthly Report on the Labor Force. At the
same time, the civilian labor force increased by 500,000 and unem­
ployment went up by 100,000.
T able 1.— Estimated Civilian Labor Force, by Employment Status and by Sex, A pril
1940—November 1942
[Source: U. S. Department of Commerce, Bureau of the Census]
Estimated number (millions of persons)
Month

Labor force
Total

Male

Employed

Unemployed 1

Female

Total

Male

Female

Total

Male

Female

1940

April_________ . . _
M ay_______________ .
June _ _______ _
July_________________
August_____________ _
September __
. _
O ctober____
November________ . . .
D ecem b er,....................

53.9
54.7
56.2
56.9
56.6
54.9
54.4
53.7
53.4

40.6
41.3
42.3
43. 1
42.9
41.5
41.3
41.1
40.9

13.3
13.4
13.9
13.8
13.7
13.4
13. 1
12.6
12.5

45.1
46.3
47.6
47.6
47.7
47.9
47.0
46.3
46.3

34.1
35.3
36.4
36.8
36.9
36.7
36.2
35.8
35.7

11.0
11.0
11.2
10.8
10.8
11.2
10.8
10.5
10.6

8.8
8.4
8.6
9.3
8.9
7.0
7.4
7.4
7.1

6.5
6.0
5.9
6.3
6.0
4.8
5.1
5.3
5.2

2.3
2.4
2.7
3.0
2.9
2.2
2.3
2.1
1.9

53.0
52.9
52.7
53.5
54.2
56.2
56.6
56.4
54.8
54. 1
54. 1
54.0

40.7
40.6
40.4
40.9
40.9
42.3
42.6
42.4
41.0
40.4
40.3
40.2

12.3
12.3
12.3
12.6
13.3
13.9
14.0
14.0
13.8
13.7
13.8
13.8

45.3
45.7
45.8
46.8
48.5
50.2
50.9
51.0
50.3
50.2
50.2
50.2

35.1
35.4
35.4
36.2
37.0
38.3
38.9
38.8
38.0
37.9
37.7
37.6

10.2
10.3
10.4
10.6
11.5
11.9
12.0
12.2
12.3
12.3
12.5
12.6

7.7
7.2
6.9
5.7
6.0
5.7
5.4
4.5
3.9
3.9
3.8

5.6
5.2
5.0
4.7
3.9
4.0
3. 7
3.6
3.0
2.5
2.6
2.6

2.1
2.0
1.9
2.0
1.8
2.0
2.0
1.8
1.5
1.4
1.3
1.2

53.2
53.4
54.5
53.7
54.2
56. 1
56.8
56.2
54. 1
54.0
54.5

40.0
40.0
40.0
39.8
40.0
41.1
41.6
41. 1
39.2
39.0
38.5

13.2
13.4
14.5
13.9
14.2
15.0
15. 2
15.1
14.9
15.0
16.0

48.9
49.4
50.9
50.7
51.6
53.3
54.0
54.0
52.4
52.4
52.8

37.0
37.2
37.6
37.8
38.4
39.4
39.9
39.7
38.2
38.1
37.5

11.9
12.2
13.3
12.9
13.2
13.9
14.1
14.3
14.2
14. 3
15.3

4.3
4.0
3.6
3.0
2.6
2.8
2.8
2.2
1. 7
1.6
1.7

3.0
2.8
2.4
2.0
1.6
1.7
1. 7
1. 4
1.0
.9
1.0

1.3
1.2
1.2
1.0
1.0
1.1
1.1
.8
.7
.7
.7

1941

January__________ __
February. __ _ . . .
March.
April_____________ _
M ay____ ________ _
June__________ .
Ju ly-------------------------August. __ __ _ ___ _
September.______ .. .
October___________
November. __
...
December____________
194S

Ja n u a ry ... __________
February_____ _____
M arch_______ _ . .
April___________ . _
M ay______________ .
June_____ . . . . . .
Ju ly _________________
August________
September..
_ __
October____________ .
November . . . . . . . .

>Includes persons on public emergency projects.

A decline of 500,000 in the male civilian labor supply was more
than offset by an increase in the female labor force (table 1). Simi­
larly, a decrease in the number of workers under 25 years of age was
more than balanced by increases in the older age groups (table 2).
Nonagricultural employment showed a sizable increase between
October and November, while the number of persons working on
farms declined seasonally.


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197

Trend of Employment and Unemployment

T able 2.— Estimated Civilian Labor Force, Employment and Unemployment, by Age
Groups, October and November 1940, 1941, and 1942 1
[Source: U. S. Department of Commerce, Bureau of the Census]
1941

1942
Labor-market status and age

Novem­
ber

October

Novem­
ber

1940

October

Novem­
ber

October

Estimated number (millions of persons)
Labor force__________________________
14 to 24 years_____________________
25 to 54 years_________________ . . .
55 years and over______ _________
Employed______________ __________
14 to 24 years______________ _____
25 to 54 years______ . ___________
55 years and over___. . . _. ________
Unemployed________________________
14 to 24 years ___________ ___ ...
25 to 54 years_______________ _____
55 years and over................... .......... .

54.5
11.5
34.0
9.0
52.8
11.0
33.2
8.6
1.7
.5
.8
.4

54.0
11.8
33.7
8.5
52.4
11.3
32.9
8.2
1.6
.5
.8
.3

54.1
11.9
34.3
7.9
50.2
10.6
32.2
7.4
3.9
1.3
2.1
.5

54.1
12.0
34.0
8.1
50.2
10.7
32.1
7.4
3.9
1.3
1.9
.7

53.7
12.2
33.7
7.8
46.3
9.6
30.0
6.7
7.4
2.6
3.7
1.1

54.4
12.5
34.0
7.9
47.0
9.9
30.4
6.7
7.4
2.6
3.6
1.2

Unemployment rate 2 (percent) 3
All age groups_______________________
14 to 24 years_____________________
25 to 54 y e a rs____ . ..............
......
55 years and over_________________

3.2
4.3
2.5
4.3

3.0
4.4
2.2
4. 1

7.3
10.6
6.0
7.8

7.2
11.0
5.8
7.9

13.7
21.3
11.0
13.8

13.6
21.1
10.7
14.1

Percentage distribution of unemployed 3
All age groups--------------- -----------------14 to 24 years______ . . . . ___ _ ._
25 to 54 years---- ------- --------------- ._
55 years and over_____________ . ..

100.0
28.5
49.0
22.5

100.0
32.2
46.2
21.6

100.0
31.9
52.1
16.0

100.0
33.5
50.1
16.4

100.0
35.2
50.2
14.6

100.0
35.8
49.2
15.0

1 All data exclude persons in institutions. Persons on public emergency work projects are included with
the unemployed.
2 Unemployed as a percent of labor force in each age group.
3 Percentages computed from unrounded numbers.


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Recent Publications o f Labor Interest

JANUARY 1943
Consumer Problems
By Gottfried Haberler.
New York, National Bureau of Economic Research, Anc., 1942. 239 pp.’
charts. (Studies in consumer installment financing, No. 9.) $2.50.
Final and capstone” report in the series of studies on consumer installment
credit. Subjects covered include types and institutions of installment credit,
ways in which such credit may influence economic stability, causes and economic
consequences of installment-credit fluctuations, and the problem of control of
such credit. One of the appendixes contains the text of Government regulations
on installment credit.
C o n s u m e r i n s ta llm e n t c r e d it a n d e c o n o m ic f lu c tu a tio n s .

By Duncan McC. Holthausen. (In Survey of Current Business, U. S. Department of Commerce
Washington, November 1942, pp. 9-25, charts. 15 cents, Superintendent
of Documents, Washington.)
The article emphasizes the recent reduction of short-term consumer debt, ex­
plains the causes, and describes the bearing of the reduction on consumption
prices, taxation, and savings.
M o n t h l y e s tim a te s o f sh o r t-te r m c o n s u m e r d e b t, 1 9 2 9 -4 -2 .

Washington,
U. S. Office of Education, 1942. 42 pp., bibliography. (Pamphlet No. 94.)
Report of a conference on consumer education Reid in Washington, D. C.,
June 3-5, 1940. Covers assumptions upon which programs of consumer education
should be based ; scope and minimal essentials of such education at the secondary
school level; methods of organization; teaching methods; sources of teaching ma­
terials; and pre-service and in-service teacher training.
S o m e p r i n c i p l e s o f c o n s u m e r e d u c a tio n a t th e s e c o n d a r y sc h o o l le v e l.

Cooperative Movement
o n c r e d it u n io n s .
By David A. Bridewell. New
Bender & Co., 1942. xvii, 835 pp., bibliography. $6.50.

B r id e w e ll

York, Matthew

The volume contains digests and analyses of Federal and State legal provisions
concerning credit unions, a glossary of legal words and terms, sources of creditunion information, and a list of credit-union supervisory officials.
E l c r é d ito r u r a l.
By Alfonso Rochac. San Salvador, El Salvador, Banco
Hipotecario de El Salvador, 1942. 256 pp. 3d ed.
Discussion of the value and functions of the cooperative association in providing
rural credit and of the need for extension of the system in El Salvador, with brief
summaries of the movement in other countries.
F r o z e n f o o d lo c k e r p l a n t s i n S o u th D a k o ta .
By W. P. Cotton and F. U. Fenn.
Brookings, South Dakota State College, Agricultural Experiment Station,
1942. 28 pp., charts. (Bull. No. 360.)
Gives service charges, income, and operating costs for cold-storage plants in
South Dakota, and discusses the advantages of such plants from the points of
view of operators and patrons. The report notes 135 plants altogether in the
State, but of the 101 which reported, only 5 percent were cooperatively owned.
M a n u a l f o r c o o p e r a tiv e d ir e c to r s .
By V. S. Alanne. Superior, Wis., Cooperative
Publishing Association, 1942. 270 pp. 2d ed., rev.
E ditor’s N ote —Correspondence regarding the publications to which reference is made in this list should
be addressed to the respective publishing agencies mentioned. Where data on prices were readily available,
they have been shown with the title entry. The amounts do not include postage, and also they are subject

198

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Recent Publications of Labor Interest

199

Cooperativismo em Pernambuco. By Nobrega de Siqueira. (In Boletim do
Ministerio do Trabalho, Industria, e Comércio, Rio de Janeiro, April 1942,
pp. 249-263; May 1942, pp. 270-275.)
Account of the development of cooperative societies, including consumers’
cooperatives, in the Brazilian State of Pernambuco, with some statistics.

Cost and Standards of Living
[Budget, consumption, and retail consumers survey, Texas]: Progress reports— No. 1,
Family expenditures and per capita consumption in 9 Texas communities; No. 2,
Family expenditures in 21 Texas communities; No. 3, Family income and ex­
penditures by occupational groups in 24 Texas communities; No. 4, Consumer
opinions, habits, and preferences with reference to retail purchases in 9 Texas
communities. By F. A. Buechel and Edward R. Dedeke. Austin, Uni­
versity of Texas, Bureau of Business Research, 1942. Various paging; mimeo­
graphed. $1 for the series.
Rural family living— the situation, early 1942. Washington, U. S. Bureau of Home
Economics, 1942. 65 pp.; mimeographed.
El costo de la vida obrera en México. By Pedro Merla. (In Trabajo y Prevision
Social, Secretaría del T rabajo y Previsión Social, México, D. F., July 1942,
pp. 11—38.)
After reviewing the history of cost-of-living investigations in the U nited States
and Mexico, the author discusses factors affecting the cost of living of the Mexi­
can worker, including climatic conditions, earnings, and purchasing power of the
Mexican peso, giving some statistics.
Padrâo de vida dos operários em Sâo Paulo. By Oscar Egidio de Araujo. (In
Boletim do Ministério do Trabalho, Industria, e Corrércio, Rio de Janeiro,
March 1942, pp. 81-96; April 1942, pp. 72-94.)
Report on cost-of-living budget studies for workers’ families in the city of Sâo
Paulo, Brazil, made in 1934, 1936, and 1941.
Budgets familiaux de la population salariée [Switzerland], 1936—37 et 1937—38.
Berne, D épartem ent Fédéral de l’Économie Publique, 1942. 237 pp., charts.
(42e supplément de la “ Vie Économique.”)
This budgetary study covered 1,454 families for 1936-37 and 590 for 1937-38,
including families of wage earners and salaried employees and of civil servants.

Economic and Social Problems
Distribution costs—wasting at the bunghole. By Edwin G. Nourse. Washington,
Brookings Institution, 1942. 25 pp. (Pam phlet No. 42; Chapter V III of
the forthcoming book “ Price-making in a democracy.”) 25 cents.
Deficiencies in distributive industry are not so much in the physical handling
of goods as in sales promotion work and in price policies, the author concludes.
Producers, he holds, are in p art responsible for the maintenance of selling prices
by m anufacturers. A post-war problem is noted, namely, th a t of continuing the
simplified and direct methods of distribution brought about under the pressure of
wartime requirements.
The economics of 1960. By Colin Clark. London, Macmillan & Co., 1942.
118 pp., charts. 8 s. 6 d. ($2.75, Toronto).
The author attem pts to make extensive comparisons of real income per “ occu­
pied person in work” and per head of the population in a large number of countries
over the period 1909 to 1938. The international units used are defined as equal to
the average purchasing power of $1 in the United States in th e years 1925 to
1934. On the basis of a detailed study of the recent past an effort is made to
indicate “th e most probable course of world populations, industrial developments,
prices, capital movements and interest rates over the next 20 years.” The inter­
national comparisons of real income, although broadly significant, m ust be used
in the light of the lim itations of the available data and of significant differences
in types of economic society not necessarily reflecting real differences in economic
well-being.
Goals for America: A budget of our needs and resources. By S tuart Chase. New
York, Tw entieth Century Fund, 1942. 134 pp. (In the series of studies on
“ When the war ends.”) $1.
The term “ budget” is defined not as a financial statem ent b u t as “ a balance
between work, skill and plant on the one side, and the physical needs of the whole
population on the other.” The point of view emphasized throughout is the

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200

Monthly Labor Review—January 1943

maintenance of full employment not merely during the immediate period of
conversion to peacetime production after the war but as a perm anent public
The integration of Federal and non-Federal research as a war problem. By Richard
H. Hemdel. Washington, U. S. N ational Resources Planning Board, 1942.
122 pp.; mimeographed: (Technical paper No. 9 .)
An inquiry into the “farming ou t” of research problems by the Federal Govern­
ment, including the contracting” or “subcontracting” of research. The study is
illustrative rather than exhaustive. In the field of labor some of the activities
o t is nature sponsored by the D epartm ent of Labor are mentioned in the sec­
tions on Labor research” and “ W artime research on post-war problems.”
Mexicans m the _United, States—a bibliography. Washington, Pan American
Union, Division of Labor and Social Information, September 1942. 14 dd •
mimeographed. (Bibliographic series No. 27 )
Indudes references on agricultural labor, industrial labor, and social problems
of Mexicans in the United States.
Social institutions in an era of world upheaval. By H arry Elmer Barnes New
York Prentice-Hall, Inc., 1942. 927 pp., bibliography. $ 5 .3 5 .
Description and appraisal of our institutional equipment in a period of farreaching and unpredictable social change. Subjects discussed include the founda­
tion and framework of so_cial_ institutions, economic institutions in an era of world
crisis, political and legal institutions in transition, communication and the forma­
tion of public opinion, family and community disorganization, and institutions
promoting richer living.

Education and Training
Guidance problems in wartime. Washington, U. S. Office of Education, 1942
bl 3l 1?g roRhy’ f11Uo (Educatlon and national defense series, pam ­
phlet JNo. 18.) 20 cents, Superintendent of Documents, Washington.
Job training for victory: A condensed guide to programs authorized by Congress to
tram persons for work in defense industries, governmental agencies, and the
armed services. Washington, U. S. Office of Education, 1942. Folder. Rev. ed.
Regulations governing education and training of war workers, pursuant to public law
W 7’ 77th.Congress,2d session approved July 2, 1942, issued by United States
Commissioner of Education, August 11, 1942. Washington, [U. S. Office of
Education], 1942. 19 pp.; mimeographed.
Vocational education and the war industries training program New York Oitv
Board of Education, 1942. 43 pp., chart, illus.
y’
schoolsrep0rt outlines the war industries training program of New York City
A evolugào das escolas de aprendizes artifices [Brazil]. By Valdomiro Fetterm ann
May 1 9 4 ™ p p ° ^ mn f n ° d° Trabalho’ In d astria e Comércio, Rio de Janeiro,'
the- aPPreniiceship-education movement in Brazil, commemoratine
c o u n U y l anm versary of the establishm ent of apprenticeship schools in th a t

Employment and Unemployment
The concept of unemployment. By Clarence D. Long. (In Q uarterly Journal of
Economics, Cambridge, Mass., November 1942, pp. 1-30. charts. $1.25.)
I a author summarizes theoretical discussions of unemployment, attem pts to
edefine unem ployment from different points of view, and makes suggestions for
modifying statistical researches by taking account of the different uses of unem­
ployment data He emphasizes the view th a t there is no single, all-use measure of
Sa^H Pl+°ym ent' w T ° m au! coacePts are developed: Gross unem ployment, de­
signed to approach the problem from the psychological, social, or political poikt of
problem d ^ unemPloym ent>bearing prim arily on unem ployment as a production


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Recent Publications of Labor Interest

201

Democracy against unemployment: An analysis of the major problem of post-war
planning. By William H. Stead. New York, H arper & Bros., 1942. 280
pp., charts. $3.
Causes of unem ployment are analyzed and various programs for keeping recur­
rent unem ployment to a minimum are described. I t is stated th a t the central
problem of unemployment is the maldistribution of purchasing power. There is a
discussion of measures viewed as vital in an attack on this central problem of
income distribution and purchasing power in relation to unem ployment in the post­
war period.
Effect of the war on textile employment. By R uth E. Clem. Washington, U. S.
Bureau of Labor Statistics, 1942. 14 pp., chart. (Serial No. R. 1480,
reprint from September 1942 M onthly Labor Review.) Tree.
Colocagao do trabalho no Brasil. By Stanislau Lischlowitz. (In Revista do
Servigo Público, D epartam ento Administrativo do Servigo Público, Rio de
Janeiro, M av 1942, pp. 18-20.)
Discussion of the placement of workers in Brazil, a country m which, according
to the author, unemployment, as a phenomenon of great proportions, is unknown.

Food and Nutrition
The feeding of war workers—a selected, annotated bibliography. Princeton, N. J.,
Princeton University, Industrial Relations Section, October 1942. 15 pp.;
mimeographed. (Bibliographical series No. 70.) 25 cents.
The food and nutrition of industrial workers in wartime. Washington, N ationa
Research Council, 1942. 17 pp. (Reprint and circular series, No. 110.)
Free.
Discusses dietary and nutritional deficiencies, industrial health practices, and
British experience' w ith nutritional conditioning _of arm y recruits and factory
workers, and gives recommendations of the N ational N utrition Conference for
Defense (Washington, May 1941), and of the Committee on N utrition in Industry
of the N ational Research Council, concerning diets and nutrition of defense workers.
Industrial lunchrooms in wartime. New York, National Industrial Conference
Board, Inc., 1942. 28 pp., charts. (Studies m personnel policy, No. 48.)
The relationship of nutrition to industrial efficiency, different types of lunch­
room service, initial costs in setting up lunchroom facilities, and m anagement
problems, are covered.
Proper kinds of food for workers in war industries. By May R. Mayers, M. D.
(In Industrial Bulletin, New York D epartm ent of Labor, Albany, September
1942, pp. 300-302; also reprinted.)
Outlines the nutrition campaign of the New York D epartm ent of Labor m the
State war factories.
Comedores populares en la América del Sur. By José Quintín Olascoaga. (In
Asistencia, Secretaría de la Asistencia Pública, México, D. L., N ovem berDecember 1941, pp. 23-36.)
.
A brief discussion of the popular-restaurant system to be inaugurated in
Mexico, and accounts of similar services in operation in Argentina, Brazil, Chile,
Peru, and Uruguay.

Health and Industrial Hygiene
Civilian health in wartime. By Lrancis R. Dieuaide, M. D. Cambridge, Mass.,
H arvard University Press, 1942. 328 pp., bibliography. $2.50.
Subjects discussed include nutrition; safety from infectious diseases; health ol
workers, children, and the aged; medical and nursing services; and m ental attitudes
and morale.
Health of the war worker. London, Labor Research D epartm ent, 1942. 41 pp.
2 d ed. 6d.
,
_, , , .
...
Designed for the use of workers’ organizations, the pam phlet deals w ith acci­
dents, hours of work, dangers from T. N. T. and tetryl in shell-filling factories,
factory medical service, and methods by which workers can improve health
conditions in industry.


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Major studies of fatigue. By R. R. Sayers, M. D. (In W ar Medicine, Chicago,
September 1942, pp. 786-823. $1.25.)
Reviews studies on the relationship of fatigue to health, accidents, and effi­
ciency, and on methods of detecting and preventing industrial fatigue.
Periodic health examinations—important findings among garment workers. By
Leo Price, M. D. (In Industrial Medicine, Chicago, August 1942, pp. 369373. 50 cents.)
Report on the medical work of the Union H ealth Center in New York City,
w ith statistical d ata for the year 1941.

Housing
Building construction. 1941. Washington, U. S. Bureau of Labor Statistics, 1942.
130 pp.; charts. (Bull. No. 713.) 20 cents, Superintendent of Documents,
Washington.
Census tract data on population and housing, New York City, 1940. New York,
Welfare Council of New York City, 1942. 342 pp., bibliography.
Eighth annual report of Federal Housing Administration, for year ending December
81, 1941. By Abner H. Ferguson. Washington, Federal Housing Adminis­
tration, 1942. 56 pp., charts. 10 cents, Superintendent of Documents,
Washington.
Housing for war. (In Fortune, New York, October 1942, pp. 92-96 et seq., map,
illus.; $1. Also reprinted.)
Tells hbw the biggest worker migration in our history brings w ith it serious
social and economic problems, and whpt is being done to solve them.
La vivienda rural en la Argentina. By Juan L. Tenembaum . (In Boletín del
Museo Social Argentino, Buenos Aires, July-A ugust 1942, pp. 196-207.)
Statistics and discussion relating to various phases of rural housing in Argentina,
based on the agriculture-grazing census taken in 1937, with a summ ary of steps
taken since th a t tim e to remedy the worst features of the situation.
The housing program in Ireland. By A rthur W. Bromage and Mary C. Bromage.
(In Social Service Review, Chicago, September 1942, pp. 497-519. $1.25.)

Industrial Accidents and Accident Prevention
Industrial injuries in the United States during 1941- By Max D. Kossoris;
Washington, U. S. Bureau of Labor Statistics, 1942. 27 pp., charts. (Seria
No. R. 1481, reprint from September 1942 M onthly Labor Review.) FreeElectrical injuries in California industries, July 1, 1941, to June 30, 1942. Sac­
ram ento, Industrial Accident Commission, 1942. 29 pp.; mimeographed.
Summary and analysis of accidents on steam railways in the United States subject
to Interstate Commerce Act. W ashington, U. S. In terstate Commerce Com­
mission, Bureau of T ransport Economics and Statistics, 1942. 119 pp.,
charts. (Accident bull. No. 110.) 25 cents, Superintendent of Documents,
Washington.
Labor safety service. A report by the labor members of the National Committee
for th e Conservation of Manpower in War Industries.
Washington,
U. S. D epartm ent of Labor, Division of Labor Standards, 1942. 11 pp.
Proceedings of thirteenth All Ohio Safety Congress, Columbus, April I 4- I 6 , 1942.
Columbus, Industrial Commission of Ohio, 1942. 576 pp.
Proceedings of Pennsylvania Industrial Safety Conference, Harrisburg, June 5, 1942.
Harrisburg, D epartm ent of Labor and Industry, 1942. 72 pp., illus.
Safety in construction work, other than building erection, in the United States. By
Swen Kjaer. (In Industrial Safety Survey, International Labor Office, Mon­
treal, July-Septem ber 1942, pp. 81-96, illus. 50 cents.)
Safety promotion is discussed, but the article deals mainly with accident
experience.


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Suggestions for teaching safety engineering war training classes. Prepared for
National Committee for the Conservation of Manpower in War Industries.
Washington, U. S. D epartm ent of Labor, Division of Labor Standards, 1942.
46 pp. ; processed.
The methods and aids for teaching safety engineering listed in the manual were
selected for their suitability for effective instruction of key supervisory employees
in accident prevention and control.

Labor Laws and Court Decisions
The worker, his job, and his government—an introduction to Federal labor laws.
Prepared jointly by U. S. Office of Education, and Division of Labor Stand­
ards U. S. D epartm ent of Labor. Washington, 1942. 63 pp. (Office of
Education, Vocational division bull. No. 220; Defense training series No. 1.)
15 cents, Superintendent of Documents, Washington.
New York labor laws enacted in 1942. New York City, State D epartm ent of Labor,
1942. 71 pp. (Special bull. No. 211.) 30 cents.
State occupational legislation. Washington, U. S. Bureau of Foreign and Domestic
Commerce, 1942. 457 pp., charts. (A M arketing Laws Survey publication.)
Analysis of State laws regulating 24 occupations and professions which have
been brought under State control. The theory underlying enactm ent of such
legislation is th a t the occupations regulated are ones in which the public health,
safety, morals, or welfare would be endangered unless the qualifications and activi­
ties of persons engaged in them are regulated or controlled.
Wage and hour cases: Report of opinions of Federal and State courts relating to
minimum wages, maximum hours, overtime compensation, child labor, with
case table and index-digest. Washington, Bureau of N ational Affairs, Inc.,
1942. xviii, 1332 pp. $9.
The industrial laws of New Zealand. By A. J. Mazengarb. W ellington, B utterworth & Co. (Aus.), Ltd., 1940. 490 pp. 55s. ($16.50, Butterw orth, l o ronto).
Groups the industrial laws by subject and shows their evolution.

Labor Organizations and Congresses
History of the American trade-union movement. By David J . Saposs. Chicago,
U nited T ransport Service Employees of America, 1942. 34 pp.; mimeo­
graphed. 25 cents.
„ , TTr , ,
Study outline of the history of the labor movement to the first W orld War
<1792-1918).
Forty-first annual directory of labor organizations in Massachusetts, 1942 (with
statistics of membership, 1938-1942). Boston, D epartm ent of Labor and
Industries, 1942. 112 pp. (Labor bull. No. 186; Public document No. 15.)
List of American trade-union journals and labor papers currently received by Depart­
ment of Labor Library. Washington, U. S. D epartm ent of Labor, Library,
October 15, 1942. 38 pp.; mimeographed. Free.
Forty-fifth annual report of Scottish Trades Union Congress, 1942. Glasgow, 1942.
249 pp. Is.
,
Includes reports on the organization of women committee and the youth
advisory council.

Manpower
Breaking the skilled labor bottleneck: How to subdivide labor skills to gain maximum
production. By Eugene J. Benge. New \o r k , N ational forem en s Institute,
1942. 47 pp., diagrams. $2.
Subjects covered include the nature of skill and methods of overcoming labor
shortages.
Control of manpower. Bv Buel W7. Patch. Washington, Editorial Research Re­
ports, 1013 13th Street N W , 1942. 18 pp. (Vol. 2, 1942 No. 12 .) $1.
Activities in the control of manpower in the United States, Great Britain, and
■Canada, and future needs and prospects in the United States, are discussed.


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Monthly Labor*Review—January 1943

Investigation of the national defense program: Preliminary report on manpower By
Special [Senate] Committee Investigating the N ational Defense Program
77th Congress, 2 d session. Washington, Government Printing Office 1942'
7 pp. (Senate report No. 480, p art 2 .)
Manpower Hearings, October and November 1942, before Committee on Military Affairs, United States Senate, 77th Congress, 2 d session, on S. 2397 etc
bills relating to the manpower of the United States. Washington Govern­
ment Printing Office, 1942. 248 pp. Rev. ed.
Includes statem ents by civilian Government officials, Army and N avy officers
and others; an address by Daniel J. Tobin, president of T eam sters’ Union on his
survey of labor conditions in England, made a t the request of the President of the
United States; and (in an appendix) a statem ent on steps taken by the War
Manpower Commission to im port Mexican workers for agricultural employment
m California.
' ^ J
Sixth interim report of Select Committee Investigating National Defense Migration,
U. S. House of Representatives: Changes needed for effective mobilization of man­
power. W ashington, Government Printing Office, 1942. 43 pp
(House
report No. 2589, 77th Cong., 2d sess.)
J1
1
This is the com mittee’s fourth report on the war production program and con­
tains further recommendations on mobilization of the N ation’s manpower for the
all-out war effort.
Wage and manpower controls in Canada. By Bryce M. Stewart, D eputy M inister
of Labor of Canada. New York, American M anagement Association 1942
16 pp. (Personnel m anagem ent series, No. 5 9 .)
Covers governmental machinery established and its application to the m an­
power situation.
Labor conscription. By Charles S. Slocombe. (In Personnel Journal New York
December 1942, pp. 194-206. 75 cents.)
’
An account of English and German experience in the field of manpower control
and a presentation of argum ents in opposition to a draft of labor in the United
States. I t is stated th a t the use even of restricted compulsory measures in England has been of doubtful value. The effort to control manpower by compulsory
measures in Germany is described as having given rise to grave problems with
which the German Government is still struggling. Several suggestions are offered
for the adoption of voluntary means to make the best use of manpower.
Manpower—a summary of the British experience. By Eric H. Biddle Chicago
Public A dm inistration Service, 1942. 28 pp. (Publication No. 84.) 75 cents’
Sketches the mam framework of policy and adm inistration developed by the
British Government in mobilizing manpower for total war.

Occupations
Air workers today. By Picture Fact Associates. New York and London Harper
& Bros., 1942. 55 pp., chart, illus. $ 1 .
’
1
Your career in plastics. By E. F. Lougee. New York, Plastics In stitu te [1942?]
14 pp. (Reprinted from “ The boy’s place in life,” McDonnell & Co’., Champaign-Urbana, 111.)
Inform ation on occupational opportunities is tied in w ith a descriptive outline
of the characteristics of different divisions of the plastics industry. The author
formerly was editor of Modern Plastics (New Y ork).
Your career in transportation: Employment opportunities in rail, highway water and
air transport. By Norman V. Carlisle. New York, E. P. D utton & ’Co
1942. 188 pp., bibliography, illus. $2.
War production occupations for vocational training. Washington U S Office of
Education, 1942. 122 pp. Rev. ed.
List of occupations issued by War Manpower Commission for which vocational
training for war production workers may be given when need for training is
established.
6

Personnel Management
Company annual reports to employees. New York, N ational Industrial Confer­
ence Board, Inc., 1942. 32 pp., charts. (Studies in personnel policy, No. 47.)
1 he report covers the reasons for the practice of reporting by companies to

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employees on business and financial operations, and gives an account of types and
contents of reports and an evaluation of the results in employee interest and
appreciation.
Employee magazines. New York, M etropolitan Life Insurance Co., Policyholders
Service Bureau, [1941?]. 73 pp., illus.
Reviews the policies and goals of 282 employee magazines.
Management’s personnel responsibility for all-out war effort: Proceedings of Per­
sonnel and Industrial Relations Conference, held at Purdue University, May
15-16, 19f2. Lafayette, Ind., Purdue University, 1942. 77 pp. (Engineer­
ing bull., Vol. X X V I, No. 3; Extension series No. 54.) Free.
Personnel selection by standard job tests. By Charles A. Drake. New York,
McGraw-Hill Book Co., Inc., 1942. 147 pp., diagrams, illus. $2.
Describes a new technique for the selection of industrial personnel, involving
the designing of special performance tests th a t embody the essential elements of
dexterity and perception discovered by the analysis of an industrial job or the
analyses of a group of similar jobs.
The status of personnel practices in the Pacific Northwest. By Robert A. Sutermeister. (In N orthw est Industry, U niversity of Washington, Bureau of
Business Research, Seattle, April 1942, pp. 1-11; mimeographed.) Free.
Based on inform ation furnished by 114 firms, with 118,993 employees, in Idaho,
M ontana, Oregon, and W ashington. Sixty percent of the firms were working on
war orders but only 15 percent were engaged full tim e on war production.

Post - War Reconstruction
After the war? By Maxwell S. Stewart. New York, Public Affairs Committee
Inc., 1942. 32 pp., charts. (Public affairs pam phlet No. 73.) 10 cents.
Based largely on reports of the N ational Resources Planning Board relating to
domestic post-war planning and on various studies on planning in the international
sphere. It is pointed out th a t our first concern m ust be to provide jobs for all
for the purpose of producing things needed. It is necessary to recognize the fact
th a t w ith suitable arrangem ents it will be possible not only to produce the things
needed b ut also to pay for the things produced.
Plans for a post-war world. Compiled by Julia E. Johnsen. New Vork, H. W.
Wilson Co., 1942. 238 pp., bibliography. (Reference Shelf, Vol. 16, No. 2.)
$1.25.
A companion volume to two previous numbers of the Reference Shelf— In ter­
national Federation of Democracies (proposed) and The “Eight P oints” of PostWar World Reorganization.
Post-war agenda. W ashington, U. S. N ational Resources Planning Board, 1942.
Folder.
T entative outline prepared for purposes of discussion by public and private
agencies in the formulation of plans for post-war reconstruction.
Post-war planning. W ashington, U. S. N ational Resources Planning Board, 1942.
32 pp.
Discusses plans for demobilization of the arm ed forces and of war industries
after the war.
Regional resource development. By Alvin H. Hansen and H arvey S. Perloff.
Washington, N ational Planning Association, 1942. 40 pp. (Planning
pam phlet No. 16.) 25 cents.
I t is stated th a t a comprehensive development program in the U nited States,
such as is discussed in this pam phlet, is necessary to assure the continuance after
tne war of substantially full em ployment and the expansion of national income as
rapidly as technical progress will perm it. Such a program, it is estim ated, will
call for a public investm entof about $ 2 ,000 ,000,000 per year forthe next generation.
Post-war reconstruction in Great Britain. By H. Finer. (In Canadian Journal
of Economics and Political Science, Toronto, November 1942, pp. 493-513.
$ 1 .)

The proposals for reconstruction are grouped under five headings—physical
reconstruction, development of the social services, education, machinery of gov­
ernm ent, and reconstruction of economic controls of the State over industry and
commerce.
5011 5 2 — 43-------14


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Monthly Labor Review—January 1943

What it will be like in the new Britain. By Richard Acland. London Victor
Gollancz, Ltd., 1942. 185 pp. 3s. 6 d. ($1.35, Ryerson Press, Toronto).
th a t a now social atm osphere and a change in individuals are reouired
to rebuild society after the war.

Price Control and Rationing
First quarterly report of U. S. Office of Price Administration, for period ended April
80,1942. Washington, 1942. 239 pp., charts.
J.n adi ii |on to iufo™ ation on the organization, procedure, and activities of the
Office of Price A dm inistration, the report contains an account of price-control
activities carried on under executive authority since the launching of the national
defense program. Appendixes include price schedules and regulations, histories
of price actions concerning m any individual commodities, and a short chapter on
prices and price control in World War I.
How to win on the home front. By Helen Dallas. New York, Public Affairs
Committee, Inc., 1942. 32 pp. (Public affairs pam phlet No. 7 2 ) 10
cents.
Tins pam phlet, based upon reports from official Government sources, explains
the necessity for price control, rationing, and credit control, and gives suggested
m arket lists for low-cost meals, and hints on stretching the food dollar and on
how to shop for clothing and various household items.
Progress of price regulation to September 1942. By Saul Nelson. W ashington
U. S. Bureau of Labor Statistics, 1942. 21 pp., charts. (Serial No R I486’
reprint from October 1942 M onthly Labor Review.) Free.
French price control from Blum to Petain. By Louis Franck
Washington
Brookings Institution, 1942. 57 pp., chart. (Pam phlet No. 4 3 .) 50 cents’
General price-control measures in France date from the enactm ent of the
Popular Front laws in 1936. The economic and political background of the past
20 years is briefly outlined in this pam phlet, and the effects of the selective con­
trols, particularly of w heat and rent, which were never brought w ithin the scope
of the general price-control legislation, are described. The scope, adm inistration
and results of pre-war and w artim e price control, and the control system followed
by Vichy, w ith the widespread development of black markets, are discussed.
Wartime rationing and consumption. Geneva, League of N ations, Economic
^ Intelligence Service, 1942. 8 ? pp., charts. $ 1 .
The study is concerned mainly w ith the im pact of war controls and rationing
on consumption and standards of living in continental Europe and G reat Britain

Sickness Insurance and Medical Care
B lu e ( boss hospital service plans protect individual and national health By C
Rutus Rorem. Chicago American H ospital Association, H ospital Service
Plan Commission, [1941?]. 8 pp.
Describes the benefits and operation of the plans.
National health insurance fund accounts [Great Britain] for year ended December 31
1940. London, Exchequer & A udit D ep a rtm en t,'1942. 30 pp 6d
t he report covers receipts and expenditures of the English, Welsh, and Scotch
health-insurance funds for the year 1940.
0 seguro-enfermidade na América do Sul. By Rudolf Aladàr Metall. (In Boletm i do Ministério do Traballio, Industria e Comércio, Rio de Janeiro June
1941, p p . 219-245.)
Analysis of sickness-insurance legislation enacted in Chile, Ecuador Peru
and Venezuela, w ith statistics of its operation in Chile, Ecuador, and Peru during
various periods, 1936 to 1940. Inform ation is also given on steps taken in the
direction of sickness-insurance legislation in Argentina, Bolivia, Colombia
Paraguay, and Uruguay.

Social Security General
Proceedings of Institute on Employment Security, University of Minnesota, May
12-17, m U - Mmneapohs, U niversity of Minnesota, Center for Continualion Study, 1941. 38 pp. ; mimeographed.
1he report summarizes the speeches and discussions of the conference. Sub­
jects treated include the problem of economic security, economic implications

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of unem ployment compensation, merits and defects of unem ployment com­
pensation and em ployment service, and farm placement and the migratory
worker.
War and post-war social security. By A rthur J. Altmeyer and others. Washing­
ton, American Council on Public Affairs, 1942. 89 pp. $1.
The articles in the symposium deal w ith fundam ental principles and programs
of social security, war and post-war problems and the goals to be aimed at, reor­
ganization and development of unemployment compensation and old-age and
survivors’ insurance, and establishm ent of a health-insurance system.
Derecho de pensión en las leyes nacionales de previsión social, 4349, 10,650, 11,110,
y 11,575 [Argentina,]. By H um berto A. Lestani. (In Derecho del Trabajo,
Buenos Aires, July 1942, pp. 292-301.)
Analysis of provisions for survivors’ pensions under each of the four national
social-insurance laws of Argentina.
A previdencia no Instituto de Aposentadoria e Pensóes dos Comerciários [Brazil],
By José Vitorino de Lima. (In Boletim do Ministerio do Trabalho, In ­
dustria e Comercio, Rio de Janeiro, August 1941, pp. 218-237.)
Legislative history of the Brazilian Retirem ent and Pension In stitu te for
Personnel in Commerce since its authorization in 1934, and detailed analysis of its
provisions for insurance against sickness, invalidity, and old age, for survivors’
benefits, and for birth and funeral benefits. Statistics of operations of these
forms of social insurance as of April 30, 1941, are given for each of 10 States and
the Federal D istrict.
La seguridad social [Chile], By Julio Bustos A. Santiago de Chile, Talleres
Gráficos “ La Nación,” S. A., 1942. 174 pp., pasters, charts.
The first p art of the volume is devoted to a discussion of the bases for organizing
social insurance, risks insured against, and financial and adm inistrative organiza­
tion. The second part describes the coverage and activities of the various socialinsurance schemes in Chile. A G overnment bill subm itted in 1941 for the reform
of the existing social-insurance system is presented.
La memoria de la Caja Nacional de Seguro Social | Peru], 1941. (In Informaciones
Sociales, Caja Nacional de Seguro Social, Lima, second quarter 1942, pp.
135-194 and tables.)
This report of the Peruvian N ational Social Security Fund for 1941 gives
statistics of operation of workers’ hospitals established by the Fund, coveiing
service furnished, num ber of persons hospitalized, cash benefits, etc., and also
a sum m ary of social-insurance legislation enacted in 1941.

Un eraplo ym en t Compensa ti on
An analysis of various benefit formulae [under Iowa unemployment compensation
law]. Des Moines, Iowa Unemployment Compensation Commission, 1941.
156 pp., charts; mimeographed.
Unemployment compensation in Ohio. By W alter J. Mackey. Columbus,
Ohio, Atlas Publishing Co., 1942. 548 pp. $6.50.
Analysis of provisions of the Ohio unemployment-compensation law. One
section‘of the volume is devoted to a discussion of experience rating. The ap­
pendixes contain the texts of the Ohio law and am endments and of the regulations
and rules issued by the compensation bureau and the board of review.
Adequacy of [unemployment] benefit payments in Pennsylvania during 1940—1941
benefit year. Harrisburg, D epartm ent of Labor and Industry, Bureau of
Unemployment Compensation, 1942. 21 pp., charts; mimeographed.
(Statistical inform ation bull. No. 27.)
Examines the benefit claims of 35,028 applicants whose benefit years ended in
1941, showing the extent to which periods of unem ployment were compensated.
Unemployment compensation rights of workers employed in more than one State
By Ida C Merriam and Elizabeth T. Bliss. W ashington, U. S. Social
Security Board, Bureau of Research and Statistics, 1941. 8 / pp., charts,
processed.
Discussion of the problems of loss or curtailm ent of benefit rights arising from
the interstate movement of workers covered by State unemployment-insurance
systems.


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Monthly Labor Review—January 1943

II ages and Hours of Labor
Overtime payments and wages in manufacturing, March 1941 and March 191+2.
By Robert A. Sayre. (In Conference Board Management Record, N ational
Industrial Conference Board, New York, November 1942, pp 341-352
charts.)
A study of straight-tim e hourly earnings and hours, and overtime hourly
earnmgs and hours, in m anufacturing industries from which the N ational Industrial Conference Board obtains reports. In 27 industries combined, average
hourly earnings for regular work rose 11.6 percent and the average for all work
rose 14.3 percent from M arch 1941 to M arch 1942. The average am ount of
overtime work per week rose from 6.6 to 7.4 hours. The average num ber of over­
time hours in M arch 1942 ranged from 2.2 per week in m eat packing to 12.5 in
the m anufacture of machines and machine tools.
Wages arid labor relations in the railroad industry, 1900-191+1: Historical survey
and summary of results. New York, Bureau of Inform ation of the Eastern
Railways, [1942]. 346 pp., charts.
Extensive tabulations of wage data, largely from the reports of the In terstate
Commerce Commission. In the interpretation of the statistical data, the point
of view is critical of wage increases as having impaired the claims of stockholders.
11 ages as cost and as market. By Edwin G. Nourse. W ashington, Brookings
Institution, 1942. 43 pp., charts. (Pam phlet No. 4 4 ; C hapter IX of
forthcoming book “ Price-making in a democracy.”) 25 cents.
A discussion of the relationships of wages, prices, and the general levels of
em ployment and consumption. It is pointed out th a t increases in wage rates do
not necessarily mean increases in labor cost and th a t the upward trend of wage
rates in the past has been accompanied by a downward trend of unit cost and
frequently of prices. There is a discussion of three possible channels for distrib­
uting the gains resulting from improved productive efficiency: profit expansion
wage raising, and price lowering. The role of union officials as “ price-making
executives” is described.
Resumen de los reajustes de precios de pulpería, sueldos y salarios efectuados en las
empresas mineras “ Patino Mines,” “Bolivian Tin (fe Tungsten,” “Armayo
Mines Co.,” y “Oploca de Bolivia.” (In Boletín del Ministerio del Trabajo
¡salubridad y Previsión Social, La Paz, October 1941, pp. 77-105.)
Detailed tables showing increases in retail prices of articles sold in company
stores of four large Bolivian mining concerns, and corresponding adjustm ents in
o'ng?n,fnd p a r i e s of their employees, made in accordance w ith a decree of June
A t 1940, which provides th a t if prices are increased wages and salaries shall be
increased ni like proportion. (See Bureau of Labor Statistics Serial No R
140o, or M onthly Labor Review, October 1941, p. 991, for digest of decree )

II omen in Industry
Womanpower to supplement manpower. H artford, M anufacturers Association
of Connecticut, Inc., 1942. 31 pp., illus.
Compilation of inform ation on em ployment of women, prepared for the use
ol Connecticut industry, which is said to have already “reached a critical point
on m a n p o w e r . T h e pam phlet contains m aterial on preparatory steps; types
ot work; supervision, recruiting, and training; hours of work; equal pay for equal
performance; fatigue and absenteeism; and British experience.
11 omen after college: A study of the effectiveness of their education. By Robert G.
Foster and Pauline Park Wilson. New York, Columbia U niversity Press’
1942. 305 pp., charts. $2.75.
A study of case histories of college graduates to determine, if possible, how far
education had contributed or could contribute to their preparation for and
orientation to life.
Women in war work. By Michael H. Froelich. (In Aero Digest, New York
September 1942, pp. 132 et seq., illus. 50 cents.)
Describes the _experience of individual aircraft companies in introducing
woman workers into their factories, showing the classes of women employed
how sociological and industrial problems have been solved, methods of training
women, types of work women are doing, their aptitude for the work, and their
value to the industry.

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Needed—women in Government service. By Dickey Meyer. New Lork, Robert
M. McBride & Co., 1942. 220 pp., illus. $2.
Gives information as to where women are most needed in the Government
service, not only in Washington b u t in their home towns, and also how to apply
for positions and where free Government training for the positions can be
obtained.
The psychology of supervising the working woman. By Donald A. Laird. New
York and London, McGraw-Hill Book Co., Inc., 1942. 202 pp., illus. $2.
Safety and health problems of women in industry. Address by Mary Anderson,
Director, U. S. Women’s Bureau, a t 31st N ational Safety Congress of N at­
ional Safety Council, Chicago. 111., October 27. 1942. Washington, U. S.
Women’s Bureau, 1942. 10 pp.; mimeographed.
Mobilization of women in Germany. By Judith Grtinfeld. (In Social Research,
New York, November 1942, pp. 476-494. 75 cents.Q
Description of the measures taken by the Nazis to recruit, train, allocate, and
control women for labor in the various kinds of total-w ar service.
Women of Latin American countries. By M ary M. Cannon, U. S. Women’s
Bureau. (In Womans Press, New York, November 1942, pp. 468, 469,
et seq. 25 cents.)
,
A survey of fields of employment engaged in by women in L atin American
countries, w ith some discussion of protective legislation for employed women and
of adult education.

General Reports
Cómo encaré la política obrera durante mi gobierno. By M anuel A. iresco. La
Plata, Argentina, 1940. 2 vols.
Account of the labor policy of the Government of the Argentine Province of
Buenos Aires from 1936 to 1940, including discussion and statistics of labor dis­
putes and agreements, wages, weekly rest, industrial home work, housing, child
labor, agricultural labor, workmen’s compensation, and dismissal compensation,
and text of labor legislation enacted.
Brazil 1940-41—an economic, social, and geographic survey. Rio de Janeiro,
M inistry of Foreign Affairs, [1941?]. 382 pp. (In English.)
This Brazilian yearbook includes information on geographical distribution of
workers, minimum-wage legislation and rates, occupational associations (legisla­
tion and figures), regulation of working hours, regulation of the liberal professions,
social insurance (legislation and figures), investm ent of funds of welfare institu­
tions, and protection of the family, especially through marriage loans and family
grants.
China’s war economy. By Lawrence K. Itosinger. (In Foreign Policy Reports,
New York, November 15, 1942, pp. 218-232. 25 cents.)
Discusses the serious inflation problem in China and governmental measures
of control; the extent of industrial development during the war period, including
the plight of the cooperatives, which have faced not only normal technical and
economic problems of organization and operation but also political difficulties,
the food problem; and social problems of agriculture.
Informe a la Nación [del Ministro de Previsión Social y Trabajo, Ecuador], 1942.
Quito, Ministerio de Previsión Social y Trabajo, 1942. 139 pp.
This report of the Ecuadoran M inister of Social Welfare and babor for the
period from August 20, 1941, through a p art of 1942, covers activities of his
M inistry and some inform ation concerning colonization and allotm ent of public
lands, cooperatives, minimum wage, industrial disputes, and the Social A elfare
Institute. The report was to be supplemented by separates relating to specific
p arts of the M inistry’s work.
Labor in the [British] colonies: I. Some current problems. London, Victor Gollancz,
Ltd., 1942. 47 pp. (Fabian Society research series No. 61.) Is.
Report of New Zealand Department of Labor, for financial year April 1, 1941, to
March 31, 1942. Wellington, 1942. 24 pp.
Describes em ployment conditions, giving statistics of overtime hours, and.
operations under the Factories Act and other labor laws. An appendix lists
industrial unions of employers and of orwkers with membership figures.

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Monthly Labor Review—January 1943

Statistical abstract of Palestine, 1941. Jerusalem, Office of Statistics, 1941.
xxii, 178 pp.
Statistics relating to labor cover wages, employment, and labor disputes in
1940, and industrial accidents in 1939, w ith com parative d ata for earlier years.
Extracto estadístico del Perú, 1940. Lima, Ministerio de H acienda y Comercio,
Dirección Nacional de Estadística, [1942?]. Various paging.
Cives certain wholesale and retail prices and index numbers, cost-of-living
indexes, and statistics of industrial accidents, for the city of Lima; for the country
as a whole, data on employment, with some figures on wages and hours, in the
sugar, rice, wheat, cotton, and mining industries; num ber of employees in different
industries; and results of a detailed cost-of-living budget study for 81 families in
Lima.
Rapports des inspecteurs fédéraux [Switzerland] des fabriques sur Vexercice de leurs
fonctions pendant l’année 1941■ [Berne], D épartem ent Fédéral de l’Écono­
mie Publique, 1942. 108 pp., illus.
Annual report on factory inspection in Switzerland in 1941, with information
on shop sanitation, working hours, woman and child labor, welfare work, and
accident-prevention measures. Printed partly in French and partly in German.


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